Malcolm Laughlin <mlaughlinnyc@...>
The Jan., 1953 ORER shows the NYO&W as having 146 cars suitable for interchange. For an over 400-mile Class One pike, this road must have had substantial per diem costs. No wonder that they went under in 1957.
The per diem deficit is not necessarily a sign of a weak railroad. Mopst railroads bought cars to protect their on-line loading. A well managed primarily terminating road should have a per diem deficit. If you are a small railroad without ready access to the capital markets, it might be much cheaper to rent cars than to own them. Especialy if except for coal you are a terminating railroad. W eshould remember that in the 50's the railroads that were buying a lot of cars also were screaming about the per diem rate being too low to pay for their cost of car ownership. The terminating roads in the east were probably much better off renting cars thanif they had had to pay the costs of buying and maintaining those cars.
Malcolm Laughlin, Editor 617-489-4383
New England Rail Shipper Directories
19 Holden Road, Belmont, MA 02478