The next task of the Government was to carry through in earnest the building of the railway to the Pacific. For over a year Macdonald persisted in Mackenzie's policy of government construction but with the same slow and unsatisfactory results. Then an opportunity came to enlist the services of a private syndicate. Four Canadians, Donald A. Smith, a former Hudson's Bay Company factor, George Stephen, a leading merchant and banker of Montreal, James J. Hill and Norman W. Kittson, owners of a small line of boats on the Red River, had joined forces to revive a bankrupt Minnesota railway.* They had succeeded beyond all parallel, and the reconstructed road, which later developed into the Great Northern, made them all rich overnight. This success whetted their appetite for further western railway building and further millions of rich western acres in subsidies. They met Macdonald and Tupper half way. By the bargain completed in 1881 the Canadian Pacific Railway Company undertook to build and operate the road from the Ottawa Valley to the Pacific coast, in return for the gift of the completed portions of the road (on which the Government spent over $37,000,000), a subsidy of $25,000,000 in cash, 25,000,000 selected acres of prairie land, exemption from taxes, exemption from regulation of rates until ten per cent was earned, and a promise on the part of the Dominion to charter no western lines connecting with the United States for twenty years. The terms were lavish and were fiercely denounced by the Opposition, now under the leadership of Edward Blake. But the people were too eager for railway expansion to criticize the terms. The Government was returned to power in 1882 and the contract held. * See "The Railroad Builders", by John Moody (in "The Chronicles of America"). The new company was rich in potential resources but weak in available cash. Neither in New York nor in London could purse strings be loosened for the purpose of building a road through what the world considered a barren and Arctic wilderness. But in the faith and vision of the president, George Stephen, and the ruthless energy of the general manager, William Van Horne, American born and trained, the Canadian Pacific had priceless assets. Aided in critical times by further government loans, they carried the project through, and by 1886, five years before the time fixed by their contract, trains were running from Montreal to Port Moody, opposite Vancouver.