Wilmington and Northern Railroad

Wilmington and Northern Railroad

Company type	Railroad
Industry	Rail transport
Predecessor	Wilmington and Reading Railroad
Founded	1877
Fate	Reorganized from Wilmington and Reading Railroad in 1877; acquired by Reading Company in 1898; became paper railroad thereafter
Successor	Reading Company (majority owner from 1898)
Headquarters	Wilmington, Delaware , United States
Area served	Pennsylvania, Delaware
Key people	Robert Frazer (first president after reorganization), Daniel R. Bennett (president), Henry A. du Pont (president)
Products	Rail transport services (freight and passenger)
Parent	Reading International, Inc. (subsidiary as of 21st century)

The Wilmington and Northern Railroad formerly operated a rail route extending from Reading, Pennsylvania to Wilmington, Delaware. Its initial main line, constructed between 1869 and 1871 by its forerunner, the Wilmington and Reading Railroad, connected Wilmington with Birdsboro, Pennsylvania. In 1874, the line was extended from Birdsboro to High's Junction, linking with the Berks County Railroad to provide access to Reading. Following the foreclosure of the Berks County Railroad in 1874, it was reorganized as the Reading and Lehigh Railroad, coming under the control of the Philadelphia and Reading Rail Road ("Reading"). The Wilmington and Reading encountered financial troubles leading to foreclosure in 1876 and was subsequently reorganized as the Wilmington and Northern in 1877. Although it maintained close ties with Reading, it operated under independent management until 1898 when Reading acquired a majority shareholding and incorporated it into its network. The segment from Birdsboro to Wilmington was designated the Wilmington and Northern Branch, while the extension beyond Birdsboro became part of the Reading Belt Line. The Wilmington and Northern continued to exist as a paper railroad within Reading. In 1976, Conrail purchased the section north of Modena, Pennsylvania, whereas the portion south of Modena remained with Wilmington and Northern, which leased or divested parts between 1981 and 2005. As of , Wilmington and Northern is still a subsidiary of Reading International, Inc.

First predecessors and construction

The earliest antecedent was the Wilmington and Brandywine Railroad, chartered in Delaware on March 5, 1861, with plans to build from the Christina River near Wilmington toward the state boundary close to Parkesburg, Pennsylvania. The charter allowed for branch construction but prohibited lines within proximity of any DuPont powder manufacturing facilities. Incorporated in 1864, the Berks and Chester Railroad aimed to establish a connection from Birdsboro to railroads located in Chester County. In 1865, the Wilmington and Brandywine changed its name to the Delaware and Pennsylvania State Line Railroad. Legislation passed in 1866 permitted a merger with Berks and Chester; later that year both companies consolidated under the name Wilmington and Reading Railroad. The board of directors featured iron industry leaders Edward and George Brooke, Hiester Clymer, L. Heber Smith, Hugh E. Steele, Charles E. Pennock, Charles Huston, alongside Wilmington entrepreneurs Joseph Tatnall, Edward Betts, Joshua T. Heald, Francis Barry, James Bradford, and William S. Hilles. The railroad's objective was to transport anthracite and bituminous coal supplied by Reading to emerging markets along its corridor as well as facilitate waterborne shipment from Wilmington.

In 1866 surveys evaluated three potential routes between Wilmington and the West Branch Brandywine Creek near Buck Run—the location of Steele's Laurel Iron Works. Due to charter restrictions forbidding alignment close to the Brandywine near Hagley Yards, the chosen path proceeded northwest over hills toward Twaddell's Ford in the Brandywine valley. From there it followed the West Branch down to Coatesville, crossed into East Branch Brandywine near Isabella Furnace, then continued through Elverson along Hay Creek valley reaching Birdsboro. At Birdsboro it crossed the Schuylkill River to connect with Reading’s lines. Though plans existed for branches extending to Downingtown and West Chester, these were never realized.

During a stockholders meeting in March 1867, directors George Brooke, Smith, and Bradford were succeeded by Coatesville ironmaster Sheshbazzar B. Worth along with Victor and Irenee du Pont from the du Pont family. Edward Brooke assumed presidency while William S. Hilles served as secretary-treasurer. A charter amendment in February 1867 authorized an extension from Christina River reaching out to the Delaware River including construction of wharves and piers. Leadership adjustments followed: Steele replaced Brooke as president in January 1868; meanwhile Heald and Barry departed from the board making way for Wilmington businessmen Evan C. Stotsenburg and Charles Warner.

The railroad commenced its first revenue operation on July 28, 1869 with freight service running southward from Coatesville to Embreeville, Pennsylvania. Passenger trains began operating on December 24, 1869 with an inaugural special trip between Coatesville and Wilmington. Construction progressed northward until reaching Birdsboro by June 22, 1870 where it linked with Reading’s network.

Berks County expansion and financial collapse

The Wilmington and Reading Railroad terminated at Birdsboro, situated downstream from Reading, Pennsylvania along the Schuylkill River, which made it dependent on the Philadelphia and Reading Railroad for coal transportation. The Philadelphia and Reading's dominance over coal shipments from the Schuylkill region was a source of widespread dissatisfaction. During the Wilmington and Reading's construction phase, extending the line to Pottsville or other coal-producing areas was considered a strategic move to achieve autonomy and establish a direct coal outlet. To facilitate this extension, the Manufacturers and Consumers Anthracite Railroad was chartered in 1866. In 1870, Asa Packer, then president of the Lehigh Valley Railroad, proposed constructing a route from Lehigh Valley at Slatington, Pennsylvania around or through Reading to link up with the Wilmington and Reading. This initiative led to the 1871 incorporation of the Berks County Railroad, regarded as an extension of Wilmington and Reading with overlapping board members. The junction point was designated at High's Junction (later renamed Cumru Junction), near Reading, prompting Wilmington and Reading to construct a branch line from Birdsboro to that location in 1874.

However, this undertaking ended in failure. Franklin B. Gowen, president of the Philadelphia and Reading Railroad, vehemently opposed the Berks County Railroad and is reported to have threatened to block Lehigh Valley's coal traffic if it supported the project. The economic downturn triggered by the Panic of 1873 caused a deep recession that severely weakened railroads financially, including Wilmington and Reading’s management. Consequently, the Berks County Railroad underwent foreclosure in late 1874 and was reorganized as the Reading and Lehigh Railroad, with leadership under Reading’s legal counsel George F. Baer. Wilmington and Reading was unable to obtain operating rights over the Reading and Lehigh; its equipment was removed north of Court Street in Reading, and on March 11, 1875, the Reading leased the line.

Soon after, Wilmington and Reading defaulted on an interest payment due April 1, 1875, leading to its collapse. Several attempts were made to rescue the company. In 1874, plans by the South Mountain Railroad to build a branch into Reading sparked hopes that the Pennsylvania Railroad might lease Wilmington and Reading to redirect traffic; however, following the Panic, Pennsylvania lost interest, and South Mountain never commenced operations. Expecting bondholders would lose all value, Wilmington and Reading entered discussions with W. O. Leslie, a Philadelphia promoter who served as president of the Baltimore, Philadelphia and New York Railroad, an entity with extensive charters but minimal assets aside from grading near Towsontown, Maryland. Despite rumors of support from the Baltimore and Ohio Railroad, Leslie lacked such backing. Most stock was issued to Leslie but remained unpaid. The companies merged on May 31, 1875; however, operations stayed unchanged as Wilmington and Reading defaulted later that year and entered receivership. Anticipated investments from Baltimore and Ohio or successful bond placements in London—which could have benefited shareholders—did not come to fruition.

Restructuring

On December 4, 1876, Wilmington and Reading’s assets were sold through foreclosure. Due to varying mortgage laws across states, the Pennsylvania portion was reorganized as Wilmington and Northern Railroad (of Pennsylvania) on February 5, 1877, while the Delaware section became Wilmington and Northern Railroad (of Delaware) on February 22, 1877. These two companies merged under Pennsylvania law on April 3, 1877, forming the Wilmington and Northern Railroad. The inaugural annual meeting took place on May 7, 1877, appointing Robert Frazer as president with directors including Matthew Baird, Edward S. Buckley, Lammot du Pont, Charles Baber, George Brooke, and Daniel R. Bennett. By year-end, despite economic difficulties, the railroad operated eleven locomotives along with passenger cars; it also completed a connection to the Pennsylvania Railroad at Coatesville while upgrading stations in both Reading and Wilmington.

In 1878, Frazer and du Pont resigned from their board positions; Daniel R. Bennett assumed presidency with L. Taylor Dickson and Henry A. du Pont joining as directors. The company invested significantly in infrastructure improvements but suffered setbacks such as storm damage to a trestle at Dupont Station. The following year saw Henry A. du Pont succeed Bennett as president—a role he maintained throughout the railroad’s independent period. New directors L. Waln Smith and Charles Huston joined as bonds were issued to finance two branch lines: the French Creek Branch (5.7 miles) servicing iron ore mines supplying Birdsboro Steel Corporation; and the Rockland Branch (1 mile), catering to a paper mill in Delaware.

In 1879’s foreclosure sale of the Reading and Lehigh line ended Wilmington and Northern’s trackage rights into Reading; however, it secured permanent rights over Philadelphia and Reading tracks between Birdsboro and Reading by agreeing not to compete during that sale process. Increased business activity prompted expansion of freight capacity along with new siding installations.

By 1880 Antoine L. Foster replaced Matthew Baird on the board of directors. Both French Creek and Rockland branches commenced operations mid-year resulting in increased traffic volumes. In 1881 a wye track was constructed at St Peters to improve operational flexibility. That same year preparations began for extending tracks within Wilmington toward the Delaware River; mortgage bonds were issued for this purpose. Grading started in July with rails laid up to Christiana River where an iron drawbridge was constructed.

By 1882 completion of a 3.5-mile Delaware River Extension at Pigeon Point included a 1.87-mile Christiana Avenue Branch serving major South Wilmington industries such as Old Ferry Rolling Mills. In July 1883 additional bonds funded further expansions including construction of Kentmere Branch near Silverbrook, Delaware. The company leased right-of-way for 999 years to Pennsylvania Schuylkill Valley Railroad for a parallel line alongside its own Reading Branch from Birdsboro to Naomi; revenues generated from this lease supported building of South Walnut Street Branch (1.07 miles) off Delaware Extension plus Water Street Branch along Philadelphia, Wilmington & Baltimore Railroad tracks serving waterfront industries.