CHAPTER XXIX

THE PULLMAN COMPANY

Early development of Pullman services-Organization of Pullman Company with diagram-Pullman equipment in use-Contract relations of Pullman Company and the railroads-Pullman fares -Traffic and profits-References.

EARLY DEVELOPMENT

THE first attempt to furnish sleeping-car facilities was made on the Cumberland Valley Railroad, between Harrisburg and Chambersburg, Pa., in the winter of 1836-37, when a regular passenger coach was fitted with berths. Prior to 1858 various other railways made similar attempts. Three tiers of shelves answered as berths, and the mattresses and pillows were piled up in the end of the car, to be dragged to the bunks by the passengers when desired. The cars were narrow, cramped, and unventilated, were fitted with inadequate springs, and were poorly lighted and heated. A few specially constructed sleeping cars were operated, but even these were highly uncomfortable and crude.

In 1859 Mr. George M. Pullman converted several passenger coaches into sleeping cars for the Chicago & Alton with some degree of success, and in 1864 he built his first Pullman palace car, the "Pioneer," in the yards of the Chicago & Alton, at a cost of $18,000. It was a model of the cabinetmaker's art, very unlike the crude sleeping cars

then being constructed for $4,500 each. The "Pioneer " was built a foot wider and two and one half feet higher than the prevailing passenger equipment, so that station platforms had to be cut down and bridges rebuilt before it could move.

The new car proved popular, and two more were ordered by the Chicago & Alton. The Michigan Central likewise declared its willingness to operate Pullman cars. Instead of reducing the cost of his cars, the second one was constructed at a cost of $24,000. It was put in a train with the old type of sleeping cars and its berths were sold at a higher rate. The President of the Michigan Central predicted failure when this was shown to be necessary, but the passengers purchased all available berths in the Pullman car and complained that more were not to be had.

In 1867 the Pullman Palace Car Company was organized. It operated the sleeping cars through to destination, in charge of responsible Pullman employees. This same year the first Pullman hotel car, the " President," was put on the Great Western Railway of Canada, it being a combination sleeper and kitchen with portable tables. At about the same time came the parlor cars for day runs. In 1868 the first Pullman diner, the "Delmonico," was started on the Chicago & Alton,

Mr. Pullman next turned his attention to the problem of vestibuling trains. In 1886 experiments were made, and during the following year his improved vestibule was patented. The elastic diaphragm with steel frames between the cars unites the coaches into a continuous train, prevents the oscillation of the cars, and reduces the power necessary to pull the train by minimizing the air spaces between the cars; and, by practically preventing the telescoping of the

cars, it provides one of the greatest safety devices in the passenger service.

Since these early beginnings the number of special services has steadily increased, and the business of the company has reached great proportions. A special town was laid out on a tract of 500 acres, fourteen miles from Chicago, at a cost of $8,000,000. The city of "Pullman" is the seat of the great car works, at which both freight cars and passenger coaches are constructed. The output in 1908 was valued at $24,868,000 and at $37,236,000 in the previous year. The city has become famous also as a scientific experiment in philanthropy.

In 1899 the Pullman Company bought out its principal competitor, the Wagner Palace Car Company, of Buffalo, with an issue of new capital amounting to $20,000,000. It also controls the Union, Mann, and Woodruff companies. Aside from the few railroads owning sleeping cars, the Pullman Company has a monopoly of the sleeping-car service. Its capital has grown to $120,000,000, its operating contracts cover 198,610 miles of railway, it annually carries over 18,600,000 passengers, and its gross revenue exceeds $31,620,000 per annum.1

BUSINESS ORGANIZATION

The business of the Pullman Company is conducted through two departments-the operating and the manufacturing. The former of these operates the company's coaches, while the latter builds and repairs cars. The two departments are jointly controlled by the Board of Directors, the Executive Committee, President, Vice President, and General Counsel, and there is one General Manager

1 Annual Report to Stockholders of the Pullman Co. (1908).

in charge of the affairs of both. The departments are separate and distinct.

The General and Assistant General Ticket Agents are in charge of traffic development and the fixing of fares. The actual operation of cars is directed by the General Superintendent, who is assisted by two Assistant General Superintendents, a Superintendent of Car Service, a Superintendent of Sanitation, Service Inspector, and Commissary. The General Superintendent has divided his territory into four operating divisions -the Northeastern, Southeastern, Southwestern, and Northwestern-with the Mississippi, Ohio, and Missouri rivers as substantially the boundaries. In charge of these are four Division Superintendents, who in turn are assisted by forty-one District Superintendents and twenty-six General Agents. The purchasing for both departments is done by the Purchasing Agent.

The manufacturing department has two chief officials. The Manager of Sales attends to the sale of cars, as this department regularly builds cars for railways and other purchasers. The manufacturing department sells to the operating department all the cars required, at cost plus a manufacturer's profit of ten per cent. The Manager of the Mechanical Department controls the work of construction and repairs, and is assisted by the Manager of the Pullman Car Works, who is in direct charge of construction, and by the Mechanical Superintendent and five Managers of repair shops, who attend to the work of repairing cars.

Each department has its own Treasurer and Auditor. Money received by the company outside of Chicago is deposited in local banks and receipts are sent to the Treasurer. In each large district there is a Receiving Cashier, respon

1908.

The Pullman Co., Schedules of Lines and List of Cars, March 1,