Federal review could stall buyout of MCA

December 22, 1990|By Los Angeles Times

In a surprise move that could complicate Matsushita Electric Industrial Co.'s purchase of MCA Inc., Secretary of the Interior Manuel Lujan Jr. has ordered a thorough review of the implications for an MCA subsidiary that operates tourist facilities in Yosemite National Park.

Mr. Lujan's order concerns the Yosemite Park & Curry Co. MCA and Matsushita have said that they would put the company in escrow until it could be sold to an American buyer, but Mr. Lujan has put pressure on both companies to donate the concession to the National Park Service.

Tom Wilson, a department spokesman, said the secretary is withholding approval of the escrow arrangement to ensure that the interests of "the public and the park" are protected.

MCA and Matsushita had hoped to close the deal as early as this week, pending various regulatory approvals. It was not immediately clear whether the closing would be postponed.

Mr. Wilson gave no timetable for the review by the Department of the Interior but hinted that it might go slowly. "That's up to the lawyers," he said. "But they're not noted for speed. We hope they will be thorough."

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