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The Southern Pacific

The Southern Pacific Railroad (SP) was founded in 1865 as a land development project, intended to build a rail line from San Francisco to the Colorado River. In 1868, it was purchased by the "Big Four" (Leland Stanford, Collis P. Huntington, Mark Hopkins, and Charles Crocker), who were also key figures in the Central Pacific Railroad, which buildt the western portion of the first Transcontinental Railroad. The SP rapidly expanded, absorbing smaller railroads and extending its tracks throughout California, Arizona, New Mexico, and Texas. By 1883, it completed a transcontinental route from New Orleans to California, linking up with the Texas & New Orleans Railroad. The SP became a dominant force in the West, often controlling local economies and politics. It held a near-monopoly on transportation in California. It controlled many subsidiary lines, including the Texas and New Orleans Railroad and the Central Pacific Railroad (after fully absorbing it in 1885). The SP was known for its mammoth back shops at Sacramento, California, with an average employment of 3.000, peaking at 7.000 during World War II. Other major shop sites were located at Ogden, Utah; Houston, Texas; and Algiers, New Orleans.  In the early 20th century, the SP faced growing opposition from government regulators and labor unions. The Sherman Antitrust Act and Interstate Commerce Commission forced SP to divest some of its holdings, including the Central Pacific, which was legally separated in 1912. The Great Depression (1929–1939) caused financial struggles, though the SP remained a key player in freight and passenger service. During World War II, the SP was crucial in transporting troops and supplies across the West. After the war, it continued expanding dieselization, replacing steam locomotives with diesel-electric engines. The 1950s and 1960s saw the decline of passenger rail service due to the rise of automobiles and air travel. In 1980, Southern Pacific/Texas and New Orleans still operated a total of 21.739 km. mostly freight. .In 1971, Amtrak took over most passenger rail operations, though SP continued to run some commuter services. By the 1980s, SP struggled financially due to declining freight revenues and competition from trucks and airlines. In 1988, it merged with Denver and Rio Grande Western Railroad, forming the Southern Pacific Transportation Company, but financial troubles continued. Finally, in 1996, Union Pacific Railroad (UP) acquired Southern Pacific, fully absorbing its operations and ending the SP as an independent company.


February 8th,  2025

 

 
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