Now named Bangor-based Central Maine & Quebec Railway, owner of the runawa freight train that created an inferno killing 47 people in 2013, has been sold to Canadian Pacific Railway.
MMA’s assets were sold at auction to Railroad Acquisition Holdings, LLC, a subsidiary of Fortress Investment Group, LLC on January 21, 2014. Fifteen locomotives worth $1.6 million were excluded from the deal and will be sold separately. The sale was approved by bankruptcy judges on January 23, with the transfer of assets expected to occur on or before March 31, 2014.[needs update] Railroad Acquisition Holdings, LLC has established a new railroad named Central Maine and Quebec Railway (reporting mark CMQ) to operate the former MMA rail lines.
The Montreal, Maine and Atlantic Railway (reporting mark MMA), itself a product of the 2002 Iron Road Railways bankruptcy, filed for bankruptcy in the United States and Canada on August 7, 2013, following the fiery Lac-Mégantic rail disaster, in which a runaway crude oil train killed forty-seven people and caused an estimated $200 million in property damage to downtown Lac-Mégantic, Quebec. The company received protection under Chapter 11 of the United States Bankruptcy Code and under the Companies’ Creditors Arrangement Act in Canada to oversee the sale of assets.[5