In 1863, a number of Liverpool merchants and shipowners, anticipating a large trade would arise between this country and the Confederate States of North America on the termination of the civil war then raging, formed themselves into a company under the title of the National Steam Navigation Co., with a capital of £700,000. It was the intention of the promoters of the company to establish a regular service of first-class steamships between Liverpool and the Southern States. The requisite capital was quickly subscribed, and three steamships were promptly acquired; but, alas! the hoped-for peace did not arrive as soon as the promoters anticipated. Under these circumstances the Directors decided to enter into competition with the Cunard and Inman Companies for a share of the passenger and goods trade to and from the Northern States. The pioneer vessel of the new company was the LOUISIANA, which vessel sailed on her maiden voyage from Liverpool to New York in the year 1863. She was followed by the VIRGINIA and the PENNSYLVANIA, each of these vessels being between 3,000 and 3,500 gross tonnage, and consequently they were the largest cargo carriers afloat at that time. During the following year (1864) three new steamers of still larger tonnage were added to the fleet. These were named respectively THE QUEEN, ERIN and HELVETIA. So successful were these vessels that twelve months later (1865) two more steamers were built for the Company, viz., the ENGLAND and DENMARK, both of 3,723 tons gross, and these were followed in 1866 by the FRANCE, a vessel of about the same tonnage. A great advance in the size of the Company’s steamers was made in 1868, when the ITALY, a steamer of 4,300 tons, was placed on the line. Not only was the ITALY the largest transatlantic liner at that date, but she was also the first in which compound engines were fitted. A somewhat smaller steamship, the HOLLAND, of 3,847 tons gross, was built in 1869. The following year two very large and powerful vessels were added to the fleet. These were the EGYPT, of 4,669 tons gross, and the SPAIN, of 4,512 tons; both steamers were built on the Mersey, the former by the Liverpool Shipbuilding Co., and the latter by Messrs. Laird, of Birkenhead. The Company now possessed a sufficiently large fleet to maintain a regular weekly service between Liverpool and New York, sailing from Liverpool every Wednesday, and from New York every Saturday; and a fortnightly service from London to New York, via Havre.