by Lucius Kwok
Both NYC and PRR were losing money in their core railroad operations in the 1960s, even with technological innovations like CTC. The real turnaround didn't happen until the Staggers Act of 1980 which allowed Conrail to set rates and decide where to run their trains. The PRR's investments in other industries, far from being a drain on the company, actually provided dividends which subsidized their freight and passenger railroad operations.
The PRR was on the road to modernization and would have survived the recession of the 1970s if not for the merger with the NYC. I'm not saying either railroad was better than the other, despite what some might imply, but they were two very different companies with different organizational structures and management philosophies.
The PRR was on the road to modernization and would have survived the recession of the 1970s if not for the merger with the NYC. I'm not saying either railroad was better than the other, despite what some might imply, but they were two very different companies with different organizational structures and management philosophies.