He then went ahead in accordance with this announced policy and appointed Federal managers for the larger roads, incorporating into their direction smaller lines, closely affiliated or connected with them. But in almost every case the president of the railroad became its Federal manager, invariably at a lower salary than the private corporations had paid. Mr. Harrison, Mr. Willard, Mr. Rea, Mr. Kruttschnitt, and Mr. Underwood (of the Erie) were extremely conspicuous exceptions to this rule. * * * * * I am setting down these intensely personal episodes in the conduct of the Railroad Administration under its first director-general solely for one purpose--they have had a very large bearing on the present-day plight of our railroads of the United States. The bitternesses that were then engendered have not ceased. I do not feel that Mr. Harrison or Mr. Willard or Mr. Rea, to-day restored to their old positions and influence, now harbors a single grievance against Mr. McAdoo because of them. The damage that he did has all been done, in the thrust against the morale of the rank and file of our American railroad organization. McAdoo talking to the men from the rear end of his own private-car at Pueblo and at El Paso and telling them that at last they were come into their own rights did not begin to do the damage that the whispered rumors, running here and there and everywhere, of what the director-general was doing to the former big bosses of great railways did to our old-time traditions of railroad respect and discipline. In giving labor a seat in his cabinet McAdoo did a big thing. In making speeches such as those at Pueblo and at El Paso he did a far smaller thing, to put the matter very lightly indeed. In the innuendo of his attitude toward a group of important railroad presidents a very great wrong was done unquestionably. The functions of the director-general's cabinet were national. In addition to its members the steersman of the craft chose regional directors, at first (and with but a few changes thereafter) as follows: for the extremely congested lines north of the Ohio and east of the Mississippi, A. H. Smith, president of the New York Central; for the lines of the Southeast, as we have just seen, C. H. Markham, president of the Illinois Central; and for those of the rest of the country, R. H. Aishton, president of the Chicago and Northwestern. Later Mr. Aishton's huge territory was subdivided and three sub-regions made of it. In a similar fashion New England also was made a sub-region, and James H. Hustis, the very popular president of the Boston and Maine, placed in charge of it, after him came Percy R. Todd of the Bangor and Aroostook, an executive equally experienced in New England railroading.