Railroads -- United States; Railroads -- United States -- Finance
Meanwhile, in the search for new markets, the Reading had stretched
into New England, having chosen that territory in the hope of
increasing its tonnage without a desperate struggle with its
neighbors.[243] The most available subject for control was the Boston
& Maine, which reached from Northampton and Boston, Massachusetts, to
Portland, Maine, was independent of the large trunk lines, and had a
profitable local business of its own. Purchases of this railroad’s
stock were quietly made; and in October, 1892, the public was surprised
by the election of Mr. McLeod to the presidency, although, as it
subsequently transpired, an actual majority of Boston & Maine stock was
not secured.[244] It was obvious that nothing could be gained from
the new arrangement unless the gap between the Reading and the Boston
& Maine should be filled; and so, even before the purchase of stock in
the latter was begun, the lease of the Poughkeepsie Bridge across the
Hudson was put through,[245] and a controlling interest was bought in
the stock of the Central, New England & Western. The last-named road
extended from Hartford, Connecticut across the Poughkeepsie Bridge
to Campbell Hall, 145½ miles, and connected at this point with the
Pennsylvania, Poughkeepsie & Boston, a road controlled in the interest
of the Reading. This completed a through route from Philadelphia to
Hartford. Later the Central, New England & Western Railroad Company and
the Poughkeepsie Bridge Railroad Company were consolidated into the
Philadelphia, Reading & New England, with Mr. McLeod as president;[246]
and a controlling interest was purchased in the New York & New England
Railroad, which ran from Poughkeepsie via Hartford and Providence
to Boston,[247] and afforded another entrance into New England. All
this involved a very great extension of the Reading system. The lease
of the Lehigh Valley had connected it with Buffalo; the subsequent
consolidations brought it into every New England state, and gave it a
total mileage of, roughly, 5000 miles.
Danger lay in two directions. First, it was possible that even the
union of the Lehigh, Jersey Central, and the Reading might fail to
secure a profit for the mining end of the business, and second, the
financing of the New England deals might be so conducted as to put the
parent road into a very difficult situation.
Public-domain text, read in full here on John Shaqi.
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