Arkansas Southern Railroad, L.L.C. (ARS) has filed for an exemption to extend and amend its lease agreements with The Kansas City Southern Railway Company (KCS) for two railroad lines. The amendments, agreed upon in July 2020, will extend the lease until November 30, 2034, and include a commitment related to train interchange. ARS confirms this transaction won't increase their annual revenues beyond $5 million or change their carrier classification. Petitions to challenge the exemption can be submitted, with the earliest transaction effective date being March 14, 2021.
Simple Explanation
Arkansas Southern Railroad wants to keep using some train tracks owned by another train company, and they've agreed to use them until the year 2034. They're making a promise about how they share train tracks, but they haven't told us exactly what that promise is.