Dubai Ports World International has announced it will divest itself of its U.S. operations, after House and Senate Republican leaders declare the deal 'dead' in Congress.
Senator John Warner (R-VA), Chairman of the Senate Armed Services Committee, announced that the United Arab Emirates company had withdrawn efforts to take over control of 21 U.S. ports on the Senate floor.
CNN: Reading a statement from DP World on the Senate floor, Warner, a Virginia Republican, said the reason is "to preserve" the strong relationship between the UAE and United States.
AP: "Warner, the Republican chairman of the
Senate Armed Services Committee, said he had received the statement from DP World's chief operating officer Edward Bilkey."
The announcement came shortly after House and Senate leaders declared the deal dead, and House Speaker Dennis Hastert (R-IL) and Senate Majority Leader Bill Frist (R-TN) delivered the news to Bush during a meeting at the White House.
Dubai Ports World closed its $6.8 billion takeover of Peninsular & Oriental Steam Navigation Co. Thursday, the British company that was managing the U.S. ports, turning it into one of the world's three largest ports operators.