Railway involved in Quebec derailment files for bankruptcy

Wed Aug 7, 2013 4:04pm EDT
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WILMINGTON, Del Aug 7 (Reuters) - Montreal, Maine & Atlantic Ltd, the railway involved in last month's deadly derailment in Lac-Megantic, Quebec, filed for Chapter 11 bankruptcy protection on Wednesday, saying the move would enable the company to preserve the value of its assets.

The railway said it lost much of its freight business following the Quebec derailment and explosion on July 6, which killed 47 and devastated downtown Lac-Megantic.

The company said it had assets of between $50 million and $100 million and liabilities of up to $10 million, according to court documents filed with the U.S. Bankrutpcy Court in Maine.