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University Daily Kansan, September 28, 1983
Santa Fe, Southern Pacific propose merger
By Staff and Wire Reports
Santa Fe Industries Inc. and Southern Pacific Co. yesterday announced an agreement to merge, who would join the companies that virtually built the Southwest
Santa Fe operates at a freight terminal in Lawrence at 413 E. 7th St. The terminal serves the Portland line and Kansas City, and GeorgeBOquinn, a Santa Fe clek.
Combined railroad would be largest in state
Boquinn said Southern Pacific owned rights to use Union Pacific track in Lawrence, but that no Southern Pacific trains serviced the city.
Gov. John Carlin, who is in Washington, D.C., meeting with the staff of the National Governors' Conference, issued a statement yesterday on the proposed merger, which would form a state-owned corporation. Santa Fe Southern Pacific Corp.
"This merger may prove to be a positive development for the future of rail transportation in Kansas," Carlin said. "We have successfully analyzed before we can determine whether it is in the best interests of the entire state."
SANTA FE OPERATES 2,541 miles of track in Kansas and carried 38,634,000 tons of freight in 1982, according to the Kansas Department of
Transportation. That makes Santa Fe the second-largest railroad in Kansas.
The largest is the combined Union Pacific-Missouri Pacific system, which was formed by a merger last year between those two companies and Western Pacific to form the Union Pacific system.
"In supporting the Union Pacific-Missouri Pacific merger," Carlin said, "the state expressed concern about possible adverse effect upon the Santa Fe and the Southern Pacific railroads, among others."
SOUTHERN PACIFIC OPERATES in Kansas through a subsidiary known as the "Cotton Belt Route," which owns 67 miles of track between Topeka and Kansas City, and 369 miles elsewhere in the state. It ranked No. 4 in the state in track mileage and No. 5 in freight volume in 1982.
"During those merger proceedings, the state made clear it would encourage and support the Santa Fe in launching its future competitive interests."
Combining those systems would form the largest rail system in Kansas, with 2,910 miles of track, the transportation department reported.
Southern Pacific have attempted a merger. In 1980, Santa Fe proposed a $1.2 billion plan to take over Southern Pacific but talks fell through because government approval would have taken too long.
This is the second time Santa Fe and
The Federal Staggers Rail Act of 1980 changed that, giving the U.S. Interstate Commerce Commission a 31-month deadline for approving rail mergers.
THE SOUTHERN PACIFIC is the direct descendent of the Central Pacific railroad, one of the two joining the
Established in 1865 to build a rail line from San Francisco to San Diego, the Southern Pacific was eventually the first railroad to cross the Southwest.
eastern and western United States at the United Golden Spike at Promontory, New York.
Santa Fe Industries is the parent company of the Atchison, Topeka and Santa Fe railroad, made famous in the 1940s song of the name — a favorite of Glenn Miller and his orchestra.
The Santa Fe began as a trunk line between Kansas and Chicago in 1888 and quickly expanded to challenge the eastern Pacific for rail business in the West.
The merger, announced by John J. Schmidt, chairman and chief executive officer of Santa Fe Industries, and B.F. Biaggiini, chairman and chief executive officer of Southern Pacific, is the latest in a list of rail mergers that began with the junction of New York Central and the Pennsylvania Railroad in 1969.
AT A NEWS conference at his company's headquarters in San Francisco, Biaggiun said the "merger of equals" would produce "one of the world's largest and strongest companies."
Student Senate committee to hear public opinion on changes
By the Kansan Staff
The Student Senate's blue-ribbon Committee in charge of revising the Senate Rules and Regulations will hold a symposium on changes tomorrow night at 8 p.m. in the Governor's Room of the Kansas Union.
that Senate members and the public may have about the proposed changes.
Jim Cramer, student body vice president and chairman of the committee, said that the symposium was planned to accommodate the questions
The committee has been restructuring the rules since last summer in an effort to update them and consolidate committees. Just as Cramer said the last time that the rules were revised was during the early 1970s.
The changes in various articles will be voted on by the Senate after all the articles are reviewed individually by Senate members.
ARTICLES I-III WERE reviewed at the Senate's Sept. 6 meeting. Articles IV-VI are scheduled for review on Oct. 5.
After the Sept. 6 meeting, the Senate Rights Committee filed a complaint with the Student Senate Executive Committee questioning whether the Blue Ribbon Committee properly followed the existing Senate rules by submitting the changes to StudEx instead of to the rights committee.
Committee had acted legally, but offered the symposium so people would have a chance to review the changes before the Oct. 5 Senate meeting.
Cramer said that the Blue Ribbon
"They wanted to have a chance to express their concerns, and make sure that nothing was railroaded through," Cramer said.
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Half price for KU Students
the Chamber Music Society of LINCOLN CENTER
"It is good for the stockholders,good for the employees and good for the public we serve in many ways," Bliazini said.
THE MUSICAL SUCCESS STORY OF THE GENERATION The New York Times
Sunday, October 9, 1983; 3:30 p.m.
Monday, October 10, 1983; 8:00 p.m.
Swarthout Recital Hall/Murphy Hall
Tickets on sale in the Murphy Hall Box Office for reservations, call 913/864-3982
All seating is general admission
Public; $8; KU Students with ID; $4; Senior Citizens and Other Students; $8;
Student ID cards must be presented at the time of purchase and at the door
Upon consummation of the merger, each outstanding share of Southern Pacific would be exchanged for 1.543 shares of common stock in the new company. Each Fe stock would be exchanged for 1.293 shares of the new holding company.
Partially funded by the KU Student Activism Fee, KU Endowment Association, swarajhood society, Kansas Arts Commission and the National Endowment
Schmidt will be the company's chairman, and R.D. Krebs, president of Southern Pacific, will be chief operating officer after the merger, which should be completed by the end of the year. If the merger would also create more jobs.
The proposed merger is the sixth in a line of "mega-mergers" that one expert said typified a "new golden age of railroads."
THE MERGER WILL allow both companies to consolidate considerable holdings in timber, farm and industrial acreage.
Other recent large rail mergers include the joining of the Norfolk and Western rail and the Southern rail into the Norfolk Southern corporation in 1974, the burying Northern merger, an early year process that culminated in 1970.
The Kansan's ad number is 864-4358.
Torture used by Khomeini Amnesty says
By United Press International
LONDON — Ayatollah Ruhullah Khomini's government in Iran routinely tortures and secretly executes political opponents, including pregnant women and children as young as 15 in Amnesty International said yesterday.
The human rights group, quoting former prisoners, said that the most frequently reported method of torture was whipping — with woven leather whips, electric cables, hosepipes and flexible wooden strips bound with wire. Men who refuse to cooperate under interrogation are tied down and repeatedly thrashed across their testicles. Amnesty said.
ANMESTY SAID THE number of executions in Iran since the 1979 Islamic revolution in which the government of Shah Mohammad Reza Pahlavi was considered higher than the more than 5,000 officially announced so far.
Underground Iranian opposition groups have put the number of ope-
ration killings in line with the United States.
"The prison killings have been corroborated in extensive interviews with former prisoners who have been sentenced to death parts of the country." Arnesty said.
The findings were contained in a letter sent to Khomeini in August, suggesting that the human rights group send a delegation to Iran.
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