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U.S. Code as of:
01/19/04
Section 1173. Confirmation of plan
(a) The court shall confirm a plan if -
(1) the applicable requirements of section 1129 of this title
have been met;
(2) each creditor or equity security holder will receive or
retain under the plan property of a value, as of the effective
date of the plan, that is not less than the value of property
that each such creditor or equity security holder would so
receive or retain if all of the operating railroad lines of the
debtor were sold, and the proceeds of such sale, and the other
property of the estate, were distributed under chapter 7 of this
title on such date;
(3) in light of the debtor's past earnings and the probable
prospective earnings of the reorganized debtor, there will be
adequate coverage by such prospective earnings of any fixed
charges, such as interest on debt, amortization of funded debt,
and rent for leased railroads, provided for by the plan; and
(4) the plan is consistent with the public interest.
(b) If the requirements of subsection (a) of this section are met
with respect to more than one plan, the court shall confirm the
plan that is most likely to maintain adequate rail service in the
public interest.
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