History
The Delaware and Hudson Railway traces its origins to 1823, when the state of New York chartered a company under the cumbersome formal title of "The President, Managers and Company of the Delaware and Hudson Canal Co." The enterprise was driven largely by Philadelphia merchant William Wurts and his brothers, who had discovered extensive anthracite coal deposits in northeastern Pennsylvania and recognized an opportunity to supply fuel-hungry eastern cities, particularly New York, which was struggling with depleted timber supplies and restricted imports of British bituminous coal. Ground was broken on the canal in July 1825, and the waterway opened to navigation in October 1828, running from the Hudson River at Rondout Creek southwest through Port Jervis to the Delaware River and then northwest along the Lackawaxen River to Honesdale, Pennsylvania. To move coal from the mines near Carbondale to the canal terminus at Honesdale, the company constructed the Delaware and Hudson Gravity Railroad, a Pennsylvania subsidiary. On August 8, 1829, the company's first locomotive, the Stourbridge Lion, became the first steam locomotive to operate on a commercial railroad in the United States, a milestone that gave the Delaware and Hudson a legitimate claim to being among the oldest continuously operating transportation enterprises in North America.
As railroads gradually displaced canal traffic throughout the mid-nineteenth century, the company steadily expanded its rail network and reduced its reliance on the canal, which carried its last coal shipments in 1898 and was subsequently drained and sold. The company formally dropped the word "Canal" from its name the following year and reorganized as the Delaware and Hudson Company, having grown from a narrow regional coal carrier into a substantial Class I railroad serving the northeastern United States. The railroad developed a main line running from Wilkes-Barre and Scranton, Pennsylvania, northward through Albany and the Adirondack region of New York to Montreal, Quebec, earning it the informal designation as a bridge line connecting New England and Canada with the mid-Atlantic states. This corridor gave the D&H strategic importance as an interchange partner for several larger railroads seeking through routes between Canada and the eastern seaboard.
The Delaware and Hudson operated independently through much of the twentieth century, building a reputation for quality passenger service on its New York to Montreal route and maintaining solid freight operations despite the intense competitive pressures facing northeastern railroads after World War II. Financial difficulties mounted in the latter decades of the century, and in 1988 the railroad entered bankruptcy. After several years of restructuring and uncertainty, Canadian Pacific Railway purchased the D&H in 1991, ending more than 150 years of independent operation. Under Canadian Pacific, the D&H was retained as a wholly owned subsidiary and its reporting mark continued in use, with the railway functioning as an important corridor for Canadian Pacific's access into the northeastern United States and New England interchange territory. In September 2015, the D&H South Line, a 282-mile segment connecting Schenectady, New York, to Sunbury, Pennsylvania, was sold to Norfolk Southern Railway. When Canadian Pacific merged with Kansas City Southern to form Canadian Pacific Kansas City in 2023, the D&H passed into the new combined system, where it continues to operate under the Soo Line Corporation subsidiary structure, still carrying its historic reporting mark of DH.