ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Thursday, November 14, 1996 TAG: 9611140044
SECTION: BUSINESS PAGE: B-6 EDITION: METRO
Fight over Conrail emits new sparks
PHILADELPHIA - CSX Corp. on Wednesday passed up an opportunity to raise its cash-and-stock bid for Conrail, which said shareholders should stay away from Norfolk Southern Corp.'s richer offer. NS issued a statement accusing Conrail directors of ignoring their fiduciary duty.
NS bought advertisements in Philadelphia and New York newspapers Wednesday, urging Conrail shareholders to reject the CSX bid and complain to Conrail's board about its support for CSX. ``We're getting results - a huge number of shareholders are supporting our bid,'' said NS spokesman Robert Fort.
NS increased its bid 10 percent Friday, offering $110 per share - about $10 billion total - for Conrail stock. CSX two days earlier made a cash-and-stock offer worth about $94 per share.
A federal court hearing next Monday may be the next stage in the fight. NS has asked the court to nullify the CSX offer.
-Associated Press
Va. Power parent to buy British utility
LONDON - Dominion Resources Inc. will buy East Midlands Electricity PLC for 1.3 billion pounds, or $2.1 billion, extending a string of big acquisitions of British power companies by U.S. counterparts.
East Midlands, one of Britain's 12 regional utilities, said Wednesday it has accepted Dominion's offer of 670 pence ($11) per share, about 70 pence higher than Dominion said last week it was prepared to offer.
Richmond-based Dominion is the parent company of Virginia Power, which sells electricity in portions of Alleghany, Bath, Bedford, Botetourt and Rockbridge counties. Dominion said it expects the takeover to be complete within 60 days.
-Associated Press
Avis starts probe after bias lawsuit
RALEIGH, N.C. - Avis Inc. says it has begun an evaluation of its rental procedures in the wake of allegations that a North Carolina-based franchisee refused to rent cars to blacks.
Three black women have sued Avis and the owner of five Avis outlets in North Carolina and South Carolina, claiming they were denied service. Three former franchise managers say franchise owner John Dalton ordered employees to find reasons to refuse black customers.
``If the alleged charges in the North Carolina operation prove to be true, we will not tolerate the continuation of this franchise,'' said Avis chairman and chief executive officer Joseph Vittoria. Dalton has denied the charges.
-Associated Press
LENGTH: Medium: 54 linesby CNB