BREAKING: FirstGroup Agrees to Sell Off Contract to get merger approved!

Two giant transit companies are trying to merge and the Department of Justice's way of playing hardball?

WASHINGTON — In order to resolve antitrust concerns, FirstGroup plc will sell off a large school bus contract and associated assets in Alaska in order to proceed with its acquisition of Laidlaw International Inc., the Department of Justice announced today. First Group and Laidlaw contract with school districts throughout the United States to provide school bus services.

Yes. Alaska. It's one contract First Student gives up to gain countless more from Laidlaw. Not to mention the Greyhound line.

As a result of the parties' decision, the Department's Antitrust Division has closed its investigation of the transaction. The investigation was closed under the Antitrust Division's "fix-it-first" policy based on the parties' decision to sell FirstGroup's Anchorage school bus business to Forsythe Transportation. The Anchorage School Board approved transfer of the contract to Forsythe on Sept. 24, 2007.

Stick a fork in it. Laidlaw's done for. Approval will most likely come Friday or early Monday, October 1st, when both companies had planned on closing the deal anyway.
Well, since the merger is imminent, here's some interesting facts from the US Dept. of Justice Press Release:

FirstGroup is the United Kingdom's largest bus operator. Its U.S. school bus division, First Student Inc., is based in Cincinnati. It has revenues of about $800 million. Laidlaw Inc., headquartered in Naperville, Ill., is the largest school bus service company in the United States. Its school bus division, Laidlaw Education Services, has revenues of more than $1.5 billion.

Those two couldn't have used that money to improve service before a merger, now could they?