FOR IMMEDIATE RELEASE                                          AT
THURSDAY, SEPTEMBER 28, 1995                       (202) 616-2771
                                               TDD (202) 514-1888

            JUSTICE DEPARTMENT CHARGES GREYHOUND WITH
                    ANTICOMPETITIVE PRACTICES

     WASHINGTON, D.C. -- The Department of Justice today
challenged a lease provision used by Greyhound Lines Inc., the
nation's largest bus company, that prevented smaller bus
companies that lease space at Greyhound terminals from making
tickets available for purchase anywhere else within 25 miles. 
The Department said the so called, "25 mile rule," limited
competition from other bus companies which resulted in less bus
service and less convenience for travellers.  
     The Department's Antitrust Division today filed a civil suit
in U.S. District Court in Washington, D.C., against the Dallas-based 
company.  At the same time, the parties filed a proposed
consent decree that would settle the case, if approved by the
court.  
     Because of the 25-mile rule, bus tickets were sold in fewer
places and bus companies offered riders fewer services, the
Department said.  Today's action prevents Greyhound from
enforcing the rule.
     Anne K. Bingaman, Assistant Attorney General in charge of
the Antitrust Division, said, "The 25-mile rule limited other bus
companies from competing effectively against Greyhound.  It
resulted in less bus service and less convenience for consumers."
     Greyhound's 25-mile rule made it harder for bus companies to
offer full service to other locations near Greyhound terminals,
such as competing bus terminals, college campuses, train
stations, and airports.  It limited competition in the
distribution of bus tickets in many cities, making it difficult
for any bus tickets to be sold except in a Greyhound terminal. 
       Finally, it made it harder for smaller bus companies to
connect with each other to form alternative routes, in
competition with Greyhound, in intercity bus service.  
     Under the agreement, Greyhound would drop the 25-mile rule
from all of its lease agreements and would not impose any similar
rule in the future.  The agreement also prevents Greyhound from
using leasing in other ways to limit bus companies from selling
tickets outside Greyhound terminals.
     As required by the Tunney Act, the proposed consent decree,
along with the Department's competitive impact statement, will be
published in the Federal Register.  Anyone may submit written
comments concerning the proposed decree during the 60-day public
comment period to Roger W. Fones, Chief, Transportation and
Energy Section, Room 9104, 555 4th Street, N.W., Washington, D.C.
20001. 
                               ###
95-508