The Railroad Builders: A Chronicle of the Welding of the StatesMoody, John
History
The Railroad Builders: A Chronicle of the Welding of the States
Moody, John
Railroads -- United States -- History
The secret of Hill's striking success with his Western extension was the
method by which the line was constructed. Hill had a theory that it was
far better to go around mountains and avoid grades than to climb them or
to bore through them; it was always better to find the route which would
make long hauls easy and economical. He thus built his road with the
idea of keeping down the operating costs and of showing a larger margin
of profit than the others. From the very start the Great Northern was
noted for its low ratio of operating expenses and its comparatively long
trains and heavy trainloads. It was by this method that it really made
its money.
By the year 1901 the Great Northern Railway absolutely controlled its
own territory. But it was still handicapped by lack of an independent
entrance into Chicago, as its eastern lines terminated at Duluth and
St. Paul. At the western end also, the situation was unsatisfactory.
It seemed important for the Great Northern to control a line of its own
into Portland, Oregon, because the Northern Pacific Railroad, which, as
we have seen, had been reorganized several years before by the
Morgan interests, had been rapidly extending its lines in Oregon and
Washington. Hill and his associates, therefore, had been quietly buying
a substantial interest in the Northern Pacific property and thus, in the
course of time, had come into closer relations with the Morgan group in
New York. Soon afterward, under Hill's influence, the Northern Pacific
began the construction of further extensions in Oregon and reached into
territory that the Harriman interests in the Union Pacific Railroad
had regarded as their own. This move created much friction between the
Harriman and Hill groups, and in order to forestall danger Harriman
in turn began quietly accumulating an interest in the Northern Pacific
property by purchases in the open market.
Public-domain text, read in full here on John Shaqi.
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