Deutsche Bahn on Selling Spree

Germany's Deutsche Bahn is trimming its wide-ranging service spectrum with the sale of its travel subsidiary Ameropa and bus companies Deutsche Touring and Bayern Express. The announcement made by Deutsche Bahn on Wednesday, comes on the heels of the rail company's decision to sell its catering subsidiary Mitropa to British catering group Compass for €39 million ($47 million). "With the sale of our subsidiaries we now want to concentrate on our core business," Deutsche Bahn spokesman Achim Stauss said. The rail company, which recorded a huge loss last year, has said that proceeds from the sales will be invested in shoring up its long-distance travel infrastructure. Deutsche Bahn is in financial dire straits owing to Germany's weak economy, stiff competition posed by an explosion of low-cost airlines and the rail company's own controversial pricing system, which has seen an ebbing of customers.