Greyhound Dial and Greyhound Bus Lines Enter Pact
Jul. 07, 1990
PHOENIX (AP) _ Greyhound Dial Corp. has entered an interim agreement with Greyhound Bus Lines to maintain uninterrupted operation of the bus line while it is involved in U.S. Bankruptcy Court proceedings.
Under an agreement announced Thursday, Greyhound Lines will pay Greyhound Dial rent for 15 bus terminals, a maintenance garage in New York and about 2,000 buses leased or subleased to Greyhound Lines.
The agreement, filed with a bankruptcy court in Brownsville, Texas, can be canceled by either party with 30 days' written notice.
Phoenix-based Greyhound Dial sold the bus line in 1987 to a Dallas-based investor group. Greyhound Dial still owns 22 1/2 percent of GLI Holdings, the parent company of Greyhound Lines.
In June, the bus company sought federal protection under Chapter 11 while it reorganized. The filing came after Greyhound Lines workers walked out in a labor action. The strike, started in March, has not been resolved.