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![]() Milwaukee Road system map | |
![]() Twin Cities Hiawatha postcard from 1935 | |
Overview | |
---|---|
Headquarters | Chicago, Illinois |
Reporting mark | MILW |
Locale | Midwestern andWestern United States |
Dates of operation | 1847–1986 |
Successor | Soo Line Railroad Most trackage in South Dakota and Montana is now operated by theBNSF Railway Some trackage in Washington is now operated by theUnion Pacific Railroad Some trackage in the Midwest is now operated byCanadian Pacific Kansas City,Canadian Pacific Railway and Soo Line Railroad's successor. Some trackage in Wisconsin and Illinois is now operated by theWisconsin and Southern Railroad Some trackage in Illinois is now operated byMetra |
Technical | |
Track gauge | 4 ft 8+1⁄2 in (1,435 mm)standard gauge |
Length | 11,248 miles (18,102 km) (1929) 3,023 miles (4,865 km) (1984) |
TheChicago, Milwaukee, St. Paul and Pacific Railroad (CMStP&P), better known as theMilwaukee Road (reporting markMILW), was aClass I railroad that operated in theMidwest andNorthwest of the United States from 1847 until 1986.
The company experienced financial difficulty through the 1970s and 1980s, includingbankruptcy in 1977 (though it filed for bankruptcy twice in 1925 and 1935, respectively). In 1980, it abandoned its Pacific Extension, which included track in the states ofMontana,Idaho, andWashington. The remaining system was merged into theSoo Line Railroad (reporting markSOO), asubsidiary ofCanadian Pacific Kansas City (reporting markCPKC), on January 1, 1986. Much of its historical trackage remains in use by other railroads. The company brand is commemorated by buildings like the historicMilwaukee Road Depot inMinneapolis and preserved locomotives such asMilwaukee Road 261 which operates excursion trains.
The railroad that became the Milwaukee Road began as theMilwaukee and Waukesha Railroad inWisconsin, whose goal was to link the developingLake Michigan port City ofMilwaukee with theMississippi River. The company incorporated in 1847, but changed its name to theMilwaukee and Mississippi Railroad in 1850 before construction began. Its first line, 5 miles (8.0 km) long, opened between Milwaukee andWauwatosa, on November 20, 1850. Extensions followed toWaukesha in February 1851,Madison, and finally the Mississippi River atPrairie du Chien in 1857.[2]
As a result of the financial panic of 1857, the M&M went into receivership in 1859, and was purchased by theMilwaukee and Prairie du Chien Railroad in 1861. In 1867,Alexander Mitchell combined the M&PdC with theMilwaukee and St. Paul (formerly theLa Crosse and Milwaukee Railroad Company) under the nameMilwaukee and St. Paul.[3] Critical to the development and financing of the railroad was the acquisition of significant land grants. Prominent individual investors in the line included Alexander Mitchell,Russell Sage,Jeremiah Milbank, andWilliam Rockefeller.[4]
In 1874, the name was changed toChicago, Milwaukee, and St. Paul after constructing an extension to Chicago in 1872. The company absorbed the Chicago and Pacific Railroad Company in 1879, the railroad that built theBloomingdale Line (now The 606) and what became theMilwaukee District West Line as part of the 36-mile Elgin Subdivision fromHalsted Street inChicago to the suburb ofElgin, Illinois. In 1890, the company purchased the Milwaukee and Northern Railroad; by now, the railroad had lines running through Wisconsin,Minnesota,Iowa,South Dakota, and theUpper Peninsula of Michigan.
The corporate headquarters were moved from Milwaukee to theRand McNally Building in Chicago, America's first all-steel framed skyscraper, in 1889 and 1890, with the car and locomotive shops staying in Milwaukee.[3] The company's general offices were later located in Chicago'sRailway Exchange building (built 1904) until 1924, at which time they moved toChicago Union Station.[5]
In the 1890s, the company's directors felt they had to extend the railroad to thePacific to remain competitive with other railroads. A survey in 1901 estimated costs to build to the Pacific Northwest as $45 million ($1.32 billion in 2023 dollars). In 1905, the board approved the Pacific Extension, now estimated at $60 million ($1.58 billion in 2023 dollars). The contract for the western part of the route was awarded toHorace Chapin Henry ofSeattle. The subsidiaryChicago, Milwaukee and Puget Sound Railway Company was chartered in 1905 to build from the Missouri River to Seattle and Tacoma.[6]
Construction began in 1906 and was completed three years later. The route chosen was 18 miles (29 km) shorter than the next shortest competitor's, as well as better grades than some, but it was an expensive route, since Milwaukee Road received few land grants and had to buy most of the land or acquire smaller railroads.
The two main mountain ranges that had to be crossed, theRockies and theCascades, required majorcivil engineering works and additional locomotive power. The completion of 2,300 miles (3,700 km) of railroad through some of the most varied topography in the nation in only three years was a major feat. Original company maps denote five mountain crossings: Belts, Rockies,Bitterroots,Saddles, and Cascades. These are slight misnomers as the Belt mountains and Bitterroots are part of the Rockies. The route did not cross over theLittle Belts orBig Belts, but over the Lenep-Loweth Ridge between theCastle Mountains and theCrazy Mountains.
Some historians question the choice of route, since it bypassed some population centers and passed through areas with limited local traffic potential. Much of the line paralleled theNorthern Pacific Railway.Trains magazine called the building of the extension, primarily a long-haul route, "egregious" and a "disaster".[7] George H. Drury listed the Pacific Extension as one of several "wrong decisions" made by the Milwaukee Road's management which contributed to the company's eventual failure.[8]
Beginning in 1909, several smaller railroads were acquired and expanded to form branch lines along the Pacific Extension.[9]: 15
Operating conditions in the mountain regions of the Pacific Extension proved difficult. Winter temperatures of −40 °F (−40 °C) inMontana made it challenging forsteam locomotives to generate sufficient steam. The line snaked through mountainous areas, resulting in "long steep grades and sharp curves".Electrification provided an answer, especially with abundanthydroelectric power in the mountains, and a ready source ofcopper inAnaconda, Montana.[11] Between 1914 and 1916, the Milwaukee Road implemented a 3,000voltdirect current (DC) overhead system betweenHarlowton, Montana, andAvery, Idaho, a distance of 438 miles (705 km).[12] Pleased with the result, the Milwaukee electrified its route in Washington betweenOthello andTacoma, a further 207 miles (333 km), between 1917 and 1920.[13] This section traversed the Cascades through the2+1⁄4-mile (3.6 km)Snoqualmie Tunnel, just south ofSnoqualmie Pass and over 400 feet (120 m) lower in elevation. The single-track tunnel's east portal atHyak included an adjacentcompany-owned ski area (1937−1950).[14][15][16][17]
Together, the 645 miles (1,038 km) of main-line electrification represented the largest such project in the world up to that time, and would not be exceeded in the US until thePennsylvania Railroad's efforts in the 1930s.[18] The two separate electrified districts were never unified, as the 216-mile (348 km) Idaho Division (Avery to Othello) was comparatively flat down theSt. Joe River toSt. Maries and througheastern Washington, and posed few challenges for steam operation.[13] Electrification cost $27 million, but resulted in savings of over $1 million per year from improved operational efficiency.[19]
The Chicago, Milwaukee, and Puget Sound Railway was absorbed by the parent company on January 1, 1913.[6] The Pacific Extension, including subsequent electrification, cost the Milwaukee Road $257 million, over four times the original estimate of $60 million. To meet this cost, the Milwaukee Road sold bonds, which began coming due in the 1920s.[20] Traffic never met projections, and by the early 1920s, the Milwaukee Road was in serious financial condition. This state was exacerbated by the railroad's purchase of several heavily indebted railroads inIndiana. The company declared bankruptcy in 1925 and reorganized as theChicago, Milwaukee, St. Paul and Pacific Railroad in 1928. In 1929, its total mileage stood at 11,248 miles (18,102 km).[21]In 1927, the railroad launched its second edition of theOlympian as a premier luxury limited passenger train and opened its first railroad-owned tourist hotel, theGallatin Gateway Inn in Montana, southwest ofBozeman, via a spur fromThree Forks.
The reorganized company scarcely had a chance for success before theGreat Depression hit. Despite innovations such as the famousHiawatha high-speed trains that exceeded 100 mph (160 km/h), the railroad again filed for bankruptcy in 1935. The Milwaukee Road operated under trusteeship until December 1, 1945.
During WWII the CMSt.P&P sponsored one of the Army'sMRS units the 757th Railroad Shop Battalion.
The Milwaukee Road enjoyed temporary success afterWorld War II. Out of bankruptcy and with the wartime ban on new passenger service lifted, the company upgraded its trains. TheOlympian Hiawatha began running between Chicago and thePuget Sound over the Pacific Extension in 1947,[22] and theTwin Cities Hiawatha received new equipment in 1948.[23]Dieselisation accelerated and was complete by 1957.[24][25] In 1955, the Milwaukee Road took over from theChicago and North Western's handling ofUnion Pacific'sstreamliner trains between Chicago andOmaha.[22]
The whole railroad industry found itself in decline in the late 1950s and the 1960s, but the Milwaukee Road was hit particularly hard. The Midwest was overbuilt with a plethora of competing railroads, while the competition on the transcontinental routes to the Pacific was tough. The premier transcontinental streamliner, theOlympian Hiawatha, despite innovative scenic observation cars, was mothballed in 1961, becoming the first visible casualty. The resignation of President John P. Kiley in 1957 and his replacement with the fairly inexperiencedWilliam John Quinn was a pivotal moment. From that point onward, the road's management was fixated on merger with another railroad as the solution to the Milwaukee's problems.
Railroad mergers had to be approved by theInterstate Commerce Commission, and in 1969 the ICC effectively blocked the merger with theChicago and North Western Railway (C&NW) that the Milwaukee Road had counted on and had been planning for since 1964. The ICC asked for terms that the C&NW was not willing to agree to. The merger of the "Hill Lines" was approved at around the same time, and the mergedBurlington Northern came into being.
The formation of Burlington Northern in 1970 from the merger ofNorthern Pacific,Great Northern,Burlington Route, and theSpokane, Portland and Seattle Railway on March 3 created a stronger competitor on most Milwaukee Road routes. To boost competition, the ICC gave the Milwaukee Road the right to connect with new railroads in the West over Burlington Northern tracks. Traffic on its Pacific Extension increased substantially to more than four trains a day each way[26] as it began interchanging cars withSouthern Pacific atPortland, Oregon and Canadian railroads atSumas, Washington.[27] The railroad's foothold on transcontinental traffic leaving thePort of Seattle increased such that the Milwaukee Road held a staggering advantage over BN, carrying nearly 80% of the originating traffic along with 50% of the total container traffic leaving thePuget Sound (prior to severe service declines after roughly 1974).[citation needed]
In 1970, the president ofChicago and North Western offered to sell the railroad to the Milwaukee Road outright. PresidentWilliam John Quinn refused,[28] stating that it now believed only a merger with a larger system, not a slightly smaller one, could save the railroad. Almost immediately, the railroad filed unsuccessfully with the ICC to be included in theUnion Pacific merger with theChicago, Rock Island and Pacific Railroad.
By the mid-1970s, deferred maintenance on Milwaukee Road's physical plant, which had been increasing throughout the 1960s as it attempted to improve its financial appearance for merger, was beginning to cause problems. The railroad's financial problems were exacerbated by their practice of improving its earnings during that period by selling off its wholly owned cars to financial institutions and leasing them back. The lease charges became greater, and more cars needed to be sold to pay the lease payments. The railroad's fleet of cars was becoming older because more money was being spent on finance payments for the old cars rather than buying new ones. This contributed to car shortages that turned away business.
The Milwaukee Road chose at this time to end its mainline electrification. Its electric locomotive fleet was reaching the end of its service life, and newer diesel locomotives such as theEMD SD40-2 and theGE Universal Series were more than capable of handling the route. The final electric freight arrived atDeer Lodge, Montana on June 15, 1974.[29][30]
In 1976, the Milwaukee Road exercised its right under the Burlington Northern merger to petition for inclusion based on its weak financial condition. The ICC denied it on March 2, 1977.[31][32]
Between 1974 and 1977, the Milwaukee Road lost $100 million, and the company filed for its third bankruptcy in 42 years on December 19, 1977.[33] JudgeThomas R. McMillen presided over the bankruptcy until the Milwaukee Road's sale in 1985. The railroad's primary problem was that it possessed too much physical plant for the revenue it generated. In 1977, it owned 10,074 miles (16,213 km) of track, and 36% of that mileage produced a mere 14% of the company's yearly revenue.[34] The approach taken by the bankruptcy trustees was to sell or abandon unprofitable or marginally profitable lines, leaving a much smaller railroad which could be profitable. Outright liquidation was considered, but not pursued.[35]
In 1980 the secondary line betweenMarquette, Iowa andRapid City, South Dakota on its section betweenMitchell andKadoka was embargoed and then acquired by theSouth Dakota Department of Transportation.[36]
Between 1977 and 1984, route distance was reduced to a quarter from its peak and a third from its total in 1977, shrinking to 3,023 miles (4,865 km).[8] The most extensive abandonment eliminated the Milwaukee Road's transcontinental service to the West Coast. While theBurlington Northern merger generated more traffic on this route, it was only enough to wear out the deteriorating track, not enough to pay for rebuilding. This forced trains to slow at many locations due to bad track.[37] A final attempt to devise a plan to rehabilitate the Pacific Extension under the Milwaukee Road Restructuring Act failed. Operations ended west ofMiles City, Montana, on February 29, 1980.[38]
The new, smaller railroad began earning small profits in 1982 (that same year, its two commuter rail lines, collectively known as theMilwaukee District West andMilwaukee District North Lines respectively, were turned over to the Northeast Illinois Regional Commuter Rail Corporation, a forerunner of commuter rail agencyMetra).[39] Still in reorganization, the Milwaukee Road attracted interest from three potential buyers: theGrand Trunk Corporation, theChicago and North Western Railway, and theSoo Line Railroad. TheInterstate Commerce Commission approved the offers by both Soo Line and C&NW. Ultimately, Judge McMillen approved the former's offer on February 19, 1985. The Soo reorganized the property asThe Milwaukee Road, Inc., prior to merging the Milwaukee into the company itself effective January 1, 1986.[40] The Soo Line would be acquired by Canadian Pacific in 1990 with the latter consolidating with theKansas City Southern Railway 33 years later.
In 1982, all that remained of the main line to the Pacific to Miles City, viaAberdeen, SD, along with other lines in the same state and in Montana was sold to BN.[41]
The successor-in-interest to what remained of the Milwaukee Road after the Soo Line sale was its holding company, theMilwaukee Land Company, reverted to Chicago Milwaukee Corporation ownership (CMC).[42] Without the railroad, CMC's primary function became disposal or redevelopment of Milwaukee Road real estate not sold to the Soo Line, which stretched from Bedford, Indiana, to Washington state. The larger properties were developed into big-box retail[43] or industrial sites. The CMC itself was beset with legal and financial woes, filing for bankruptcy (under numerous versions of CMC/Heartland Partners), as a result of environmental cleanup costs and liabilities at former Milwaukee Road sites.[44] CMC Heartland, and its various reincarnations, were dissolved in a final liquidation process that came to a close in 2010.
Much of the abandoned Milwaukee PCE line has becomerail trails. ThePalouse to Cascades State Park Trail (formerly the John Wayne Pioneer Trail) in Washington, Milwaukee Road Rail Trail in Idaho,Route of the Hiawatha Trail in Idaho and Montana, Route of the Olympian in Montana,Midtown Greenway in Minnesota,Bugline Trail in Wisconsin, and Milwaukee Road Transportation Trailway in Indiana all run on sections of the right-of-way among others. Today, both the Milwaukee Road and Soo Line Railroad trackage make up the Midwest US routes of theCPKC.
Following the 1984 abandonment of the Pacific Extension,Tacoma Rail purchased all of Milwaukee's lines south of Tacoma. Starting in 1990, theChehalis–Centralia Railroad began operating over the section from Centralia to Curtis. In 2010 the line was sold to the Port of Chehalis and in 2019, The railroad purchased the line from Chehalis to Ruth. In 2021 the section from Highway 6 West to Curtis was leased.
Milwaukee Road Historical Association now owns the Milwaukee Road trademarks/copyrights, except for the AAR reporting marks (MILW) used by the Soo Line Railroad (which does business in the American Midwest as the Canadian Pacific Kansas City Railway).
The Milwaukee Road aggressively marketed passenger service through much of its history, maintaining a high quality of service until the end of private intercity passenger operations in 1971. The Milwaukee prided itself on its passenger operations, providing the nation with some of its most innovative and colorful trains. The railroad's home-built equipment was among some of the best passenger equipment ever run on any American railroad. The Milwaukee's reputation for high-quality service was the principal reason thatUnion Pacific shifted its service to the Milwaukee Road for its "City" streamliners in 1955.
The Milwaukee Road'sPioneer Limited was one of the first named trains and its colorfulHiawatha trains were among the nation's finest streamliners. The post-World War IIHiawatha trains remain a high-water mark for passenger train industrial design.
Starting in November 1955, the Milwaukee Road assumed joint operation of the Union Pacific'sCity of Los Angeles,City of Portland,City of Denver, andChallenger trains as well as the UP/Southern PacificCity of San Francisco. After assuming operation of the UP's services, the Milwaukee Road gradually dropped its orange and maroon paint scheme in favor of UP's Armour yellow, grey, and red, finding the latter easier to keep clean.
The Milwaukee Road's streamlined passenger services were unique in that most of its equipment was built by the railroad at its MilwaukeeMenomonee Valley shops, including the four generations ofHiawatha equipment introduced in 1933–34, 1935, 1937–38, and 1947–48. Most striking were the "Beaver Tail" observation cars of the 1930s and the "Skytop Lounge" observation cars by industrial designerBrooks Stevens in the 1940s. Extended "Skytop Lounge" cars were also ordered from Pullman forOlympian Hiawatha service in 1951. TheOlympian Hiawatha set, as well as some full-length "Super Domes" were later sold to the Canadian National Railway.
Regional passenger trains that the Milwaukee Road operated from Chicago up toAmtrak's assumption of passenger operations in 1971 included theTwin Cities Hiawatha serving Minneapolis, theSioux servingMadison, Wisconsin, theMilwaukee Express serving Milwaukee, and theVarsity serving Madison.[45] Amtrak still operates several services on the Milwaukee Road's Twin Cities mainline. Daily long distance service to and from the Pacific Northwest is provided by theEmpire Builder along the Chicago-St. Paul route after the train was rerouted by Amtrak on the first day of operations on May 1, 1971. Amtrak also operates corridor services as theHiawatha along the Chicago-Milwaukee section of the route. In 2024, Amtrak began service for theBorealis, supplementing theEmpire Builder with an extra daily round trip from Chicago to St. Paul.
For years, the Milwaukee Road also operated an extensive commuter rail service in the Chicago area. One branch served the northern suburbs and extended into the outer suburbs of Milwaukee, while another branch served the western suburbs. These services passed to theRegional Transportation Authority in 1982 after the Milwaukee Road's bankruptcy. They are still operated today byMetra, Chicago's commuter rail agency, as theMilwaukee District North Line andMilwaukee District West Line. Canadian Pacific dispatches Metra trains while running freight trains on both of these lines via trackage rights.