Pan Am Says It Has Takeover Offer

Pan Am Corp. said Guilford Transportation Industries agreed to pay $28.5 million for the airline, which ended all scheduled flights and filed for bankruptcy protection in February. Now operating as a charter carrier under bankruptcy law shelter, Pan Am will present the proposed deal for approval to a U.S. Bankruptcy Court judge in Miami on Wednesday, a spokesman for Pan Am said. The agreement, if approved, would form the foundation for the carrier’s reorganization plan, which will be filed by May 20 and set for confirmation hearing in the summer, the airline said in a news release. Guilford, based near Lowell, Mass., operates freight trains on some 1,600 miles of track in New England, New York and Canada. Pan Am said it would receive in excess of $23.5 million in cash for assets and pay an unspecified portion to NationsBank, its largest secured creditor. Pan Am said that, after the purchase of the assets, the remaining $5 million would be used to capitalize the new company under the plan of reorganization.