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THE GIANT OF THE PACKAGE
FREIGHT FLEETS

Photographic images are all that remain today, a mute testimony to a time that was. Like the long dormant bones of dinosaurs tell us a little of their past, all that we have remaining of a once-proud era of Great Lakes package freighters are fading images. Package freighters, a transportation breed of a century ago, succumbed to the pressures of evolution and vanished.

Evolution, according to the dictionary, is the process through which something changes into a different form. Great Lakes commerce has evolved from a variety of early beginnings dating back to the mid-1800s. Following close on the heels of evolution is often another more final process called extinction. Quite often the two are inter-related, such as in the case of the dinosaur . . . and the Great Lakes package freighter.

Long before there were highways; long before there was a well-developed railway system, the Great Lakes afforded the best means of moving men, machines and merchandise to the new, western reaches of early United States civilization. There developed a type of vessel called the "Package Freighter", a floating equivalent perhaps, of the ubiquitous United Parcel Service truck of today. Capable of carrying just about any commodity, these vessels flourished in an era when the waterways provided the cheapest and often the only means of moving goods and people to remote locations.

Like the dinosaur, however, the package freighter at first prospered, then was slowly replaced by newer, more efficient means of transportation. In the end, having been determined too slow for the fast-paced times, it too became extinct. Although a few package freighters actually continued on the Great Lakes until the early 1980s, the "giant" of the genre disappeared long before. This is the story of how an era died.

In the beginning, there were railroads pushing westward from such large metropolitan areas as New York and Philadelphia. As they reached the shores of the large bodies of water known as the Great Lakes, the rails had to end. However, the lakes offered an opportunity for expanded routes and outlets. In the mid-1800s, railroads had not yet been able to provide fast and efficient rail connections between eastern cities to such remote locations as Chicago, Milwaukee, and Duluth.

Several rail moguls viewed the open expanses of the Great Lakes as a natural extension of their railroads through ships. Passenger boats flourished in the mid-1800s, sailing from eastern ports such as Buffalo, New York, a natural outlet to the upper Great Lakes. Passengers and general cargo combination carriers were a natural expansion for the railroad-owned vessels. Soon several fleets began to appear on the Great Lakes specializing in the general cargo, or "package freight" business. Major eastern roads such as the Erie Railroad, New York Central Railway, Rutland Railroad, Lehigh Valley Railroad, and Pennsylvania Railroad entered the business, and soon they were competing for a booming trade.

Package freighters were found on regular trade routes to the major western cities of the Lakes. Duluth, Superior, Milwaukee, Chicago and Detroit were among the cities served by at least one, but usually several of these railroad package freight fleets. The ships were fast, large and sleek steamers for their day, the earliest of which were built of wood. By the late 1800s, the package freighters were built of iron, and finally, steel.

The railroads enjoyed big business in Great Lakes package freight, and there was stiff competition to see which company could provide the fastest service. At about the turn of the century, most of the major fleets expanded by building a variety of new steel steamers. Most shipyards around the lakes were contracted to build dozens of these new steamers. The vessels all were built with 'tween decks, or a second deck inside the hull for carrying loose packaged goods.

Although built to an assortment of different dimensions to meet the individual owner's needs, physically the various steamers were quite similar. Despite the fact that they were sold to several different fleets, the standardized ships were virtually identical in their design.

Package freight profits for the railroads was primarily derived from the amount of cargo and the speed at which it could be carried from one end of the Great Lakes to the other. The new package freighters were large and particularly fast for their era. They became an important facet of Great Lakes commerce, especially during the span of years from approximately 1890 to 1910, when dozens of these ships were built to increase the capacity of the trade.

Although many of the railroads that owned the package freighters had already made rail connections to Chicago and various other major points westward by 1900, the lake boats continued to be a viable alternative. The ships, some over 400 feet in length, could carry nearly 6000 tons of general cargo. The railroads kept the ships busy as an addendum to their rail business to the western cities, even though some of the ship and rail routes paralleled each other. Freight rates differentiated between "all rail" or "rail and water" transportation.

The railroads were not ready to admit that their lake fleet service paralleled their rail service, however. They viewed the package freighter trade as an extension of their rail service. While the package freighters prospered, some private operators became jealous of the advantages that the railroads had in operating these general cargo vessels. The railroads, with their "built in" connecting points, had a distinct advantage. By 1910, opposition to the railroads remaining in business with the package freighters was becoming quite vocal. Opponents were concerned about restriction of free trade, and some felt that the railroad-controlled package freighters constituted a monopoly.

Meanwhile, the government was actively supporting construction of the Panama Canal, which would ultimately become a great boom to ocean shipping interests. Transcontinental railroad operators voiced their strong opposition to the canal, since the resultant savings in time would benefit ships carrying cargo between the Atlantic and Pacific Ocean ports in the United States. Water transportation was cheaper, and the railroads logically feared loss of business because of existence of the Panama Canal.

Congress, meanwhile, noting that the railroads could utilize their Great Lakes vessels to effectively control freight movements far beyond the normal rail terminals, took action against the railroads. With so much time and effort being expended in the desire to build the Panama Canal, Congress feared that the transcontinental railroads would control or stifle inter-coastal traffic through the Canal. Convinced that the Panama Canal was a better investment than Great Lakes operations, the Panama Canal Act was adopted.

In 1912, with the passage of the Panama Canal Act, the U.S. Congress enacted a landmark piece of legislation, a provision of which would change the face of Great Lakes package freight operations. Although other provisions of the Panama Canal Act may have been controversial, the portion that adversely affected the Great Lakes was the section that made it illegal for railroads to operate ships on routes that paralleled their own rail service. This legislation was clearly levelled at the package freighters, and the railroads involved faced a dilemma.

Yet there were other railroads, those that were involved with carferries, that were not directly affected by the new legislation, and in fact may have been aided by it. With the enactment of the Panama Canal Act, the railroads would be unable to operate their own package freighters on the Great Lakes after 1915. It was not a universally popular law, just as the Panama Canal was not necessarily welcomed by all citizens of the United States. Ultimately, the Act was subject to a variety of interpretations by the various railroads involved.

Package freight operators faced making some major decisions that would ultimately determine how they would compete or survive. Although the package freighters were still quite active, many of the railroads involved reluctantly viewed future operations as being a losing proposition. By 1915 the railroads had improved their rail connections and performance to the point where the freighters were actually quite redundant, and in some fleets were losing money. All of the railroads involved, with the lone exception of the Lehigh Valley, agreed to disband their individual fleets with relatively little opposition to the new legislation. Lehigh Valley, however, single-handedly took the government to court in long and expensive litigation
which they eventually lost.

Some fleets, such as the Rutland, were disbanded altogether, while most of the others agreed to a new proposal. A new, private corporation was formed in which various railroads participated, but, because of the Panama Canal Act, were not actually owners. At the close of the 1915 shipping season, several large package freighter fleets went out of business for good. New York Central's Western Transit Company operated ten freighters in 1915. The Anchor Line, owned by the Pennsylvania Railroad, had a fleet of nine package freighters and three passenger vessels operating in 1915, while Erie Railroad's Lake Line operated eight freighters.

With thirty-three ships originating from a variety of owners, the company began with a massive organizational problem. When the different railroads owned the ships, much of the activity was competitive. When merged together into just one fleet, however, some of the vessels would no longer be required, since the former competitive schedules could be reduced. In early 1916 the entire fleet sailed, but it was obvious that many of the vessels would not be needed. Plans were being made to get rid of many of the smaller, less profitable carriers.

It was a proud fleet that began the 1916 shipping season. The Great Lakes Transit Corporation became one of the larger operators on the lakes virtually overnight. It began the new year with initial capitalization of $20 million, which was a tremendous boost to the fledgling company. Much of the backing came from the railroad lines which had preceded the new firm. Chosen as Chairman of the Board of the new venture was William J. Connors, who had been associated with many of the railroads involved in the former package freight fleets. He brought with him several other executives from various railroads. The combination of the railroads' support and experienced top level management gave the new GLTC a strong sendoff for their first season of operation.

Getting thrity-three ships ready to begin a new season was a tremendous undertaking. Fleet designs and color schemes had to be chosen, and the GLTC chose the fleet colors of the former Western Transit Company for its vessels. Hull color was brown while cabins were painted white. Smokestacks were painted black with a wide orange band. These colors would remain with all vessels in the fleet until a major restructuring occurred in the 1920s. In addition, the new corporation chose not to rename any of the package freighters initially, even though many of the vessels were named for cities along rails far inland from the Great Lakes.

Competitive or not, the railroads maintained joint rail-water and water-rail-water rates. In addition, initially there were arrangements for the interchange of cargo between the rail and water carriers. However, it wasn't long before the railroads began to take a firmer competitive stance against the package freight lines that had succeeded their former fleets.

A slow erosion of traffic began as the railroads steadily reduced their rates to hold large blocks of traffic on their lines. Through economics the railroadstried to keep traffic away from the very water carriers they had once fostered and promoted. The railroads, meanwhile, also began to feel the increasing impact of motor trucks. All of this negativism, however, was still in the future as the new package freighter venture was being formulated.

A large majority of the vessels that began operation in 1916 were built between the years 1898 and 1910, and were at least 350 feet in length. On the roster, however, were quite a few ships that were older. With a reduction of schedules, it became obvious that the older, smaller and slower ships were excess tonnage.

After its initial season of operation, GLTC began to trim its roster. In 1917, Great Lakes Transit sold the CODORAS and the MAHONING to Boland & Cornelius which operated them for less than one season.

Also that year GLTC disposed of the package freighters SUSQUEHANNA, NORTH WIND, NORTHERN LIGHT, AND NORTHERN WAVE. All of these ships were sold to the United States Shipping Board for use during World War I. With the German U-boats causing such devastation to shipping in the North Atlantic, all available vessels were required to aid in the transport of supplies. In addition, it allowed Great Lakes Transit Company a convenient means to dispose of the older ships in the massive fleet.

The resultant fleet, thus leaned in size, operated until the 1920 season with only a few further changes. In 1919 the GRANVILLE A. RICHARDSON was sold to James Playf air of Midland, Ontario, and became part of GLTC's Canadian affiliate, the Great Lakes Transit Company, Ltd. It was renamed GLENCAIRN.

The die was cast, however, and package freight revenues began a rapid decline. Net results of the Panama Canal Act on package freight tonnage on the Great Lakes were stunning. Milwaukee, Wisconsin, for example, was among the largest package freight ports on the Lakes. In 1914, Milwaukee was served by a wide variety of package freight operators, including four cross-lake lines, six lower lake lines, four shoreside lines, as well as two carferry fleets.

Package freight tonnage for Milwaukee in 1915, the last year before the Act took effect, was reported as being 1.5 million tons, of both inbound and outbound cargo. The effects of the Act decimated the traffic, and by 1918 Milwaukee had a total package freight tonnage of only 126,349 tons of inbound and outbound cargo. Milwaukee was not the only port to be adversely affected by the railroad's divestment of its vessels.

The railroads, meanwhile, took steps to dissuade shippers from using the boats by offering attractive all-rail rates. By the early 1920s, however, it was obvious that something had to be done to assist the ship operators. A law was passed that compelled the railroads to make "through lake" and rail rates and to issue bills of lading to shippers using independent lines of steamers. This provided a temporary improvement in the business of the Great Lakes Transit Corporation, especially in Milwaukee, where total tonnage reached 309,852 in 1921, and ballooned to 780,767 tons in 1927. It was not ideal, but was an improvement for the package freighters ... as long as the economy could remain strong.

Beset by increased competition from the railroads, as well as by the steadily increasing use of trucks on the rapidly improving highways, times got lean for the package freight fleet. However, through the boom years of the 1920s, the Great Lakes Transit Company kept its large fleet quite active, although it was considerably smaller than when it was formed. By 1930, the fleet still consisted of a total of twenty-two ships, nineteen of which were package freighters.

After the Lehigh Valley Railroad lost its appeal of the Panama Canal Act, their two remaining package freighters were sold to the Great Lakes Transit Company in 1920. The MAUCH CHUNK and the WILKES-BARRE were renamed WJ. CONNORS and EDWARD E. LOOMIS respectively, and became the first of the GLTC vessels to receive new names.

After a major reorganization of Great Lakes Transit Company in 1925, several changes developed. Wholesale renames, new fleet colors, and other operational changes began to appear. All of this, apparently, as the railroads became less influential in the operation of the package freight business.

The year 1925 saw the disappearance of many of the old "regional" names of the vessels which had been associated with their original owning railroads. Many of the ships were renamed to honor prominent citizens, either in the shipping community or associated with the rail industry. Only four of the ships retained their original names . . . those that were named after cities on the Great Lakes to which the vessels still maintained schedules.

Most dramatic of the changes, however, was the adoption of a new color scheme for the vessels. The light brown hulls of the first ten years, that had been a trademark of the former Western Transit Company eventually gave way to hull colors of another predecessor, the Anchor Line of the Pennsylvania Railroad. GLTC adopted the crisp white upper hulls with dark green on the hull boot. The vessels had a crimson stack with black smoke band, and retained their white cabins, while the vessel names and company logo was in golden red. Throughout the early years that the Great Lakes Transit Company operated, the vessels were usually well painted and kept in immaculate condition . . . especially the passenger boats.

Business continued to be good for the package freighters through the 1920s, as cargoes, especially those consigned to the upper lakes, continued strong. Many of the ships in the fleet had refrigeration equipment added on their decks topside during the twenties, to add yet another dimension of cargo capability. Package freighters seemed, in fact, to be making a comeback after several years of lackluster performance. A competing freight line was formed in 1923; however, the Minnesota-Atlantic Transit Company was never a success, and, in fact, never had much of a record in profitability prior to its liquidation in 1941.

With virtually no changes to its vessel roster for nearly a decade. Great Lakes Transit Company continued to operate its fleet with consistency during the"Roaring 20s". By the end of the decade, however, GLTC began to feel the pinch from several different directions at almost the same time. The stock market crash of 1929 was just one of the major problems that began to cripple the fleet.

The year 1929 also saw two devastating losses within the fleet. Things started out badly that year when the RALPH BUDD, formerly the SUPERIOR, stranded. The BUDD was bound for Duluth with general merchandise on May 15, 1929, when she encountered a blizzard. During the night the BUDD battled onward, but in the blinding storm, stranded on the rocks of Saltese Point about six miles west of Eagle Harbor. All of the crew members were ultimately rescued, but on July 8 the ship was abandoned to the underwriters. The vessel was eventually released and sold to Dominion Towing & Wrecking Company. She went on to sail for various Canadian operators until finally being scrapped at Hamilton, Ontario in 1966 as L.A. McCORQUODALE.

During 1929, the steamer MILWAUKEE experienced major mechanical problems and went into early lay-up. At the time, no one anticipated the terrible economic upheaval that was to come, so it was not expected that the MILWAUKEE would be in permanent lay-up.

Fleet strength was diminished even further as the result of another serious accident later in the season. Once again a GLTC vessel was lost on Lake Superior when the CHICAGO stranded on October 23, 1929. The vessel went on the western shore of Michipicoten Island with a crew of thirty-one. No lives were lost, and attempts at freeing the stranded ship were futile. Finally, on December 19, the vessel slid off into deep water and was lost.

In addition to losing both the CHICAGO and RALPH BUDD as a result of accidents, the steamer UTICA caused the company additional embarrassment. On October 3, 1929, the UTICA was inbound at Milwaukee, Wisconsin, with a mixed cargo when it was boarded by Federal agents. An inspection was made of its cargo, and when liquor was discovered, the vessel was impounded for several days for violation of the Volstead Act. Although "Prohibition" was proving to be quite unpopular, the law was still in effect, and the liquor on board was seized as contraband. The vessel remained tied to the dock at Milwaukee for several days.

However bad the losses of the ships were, it would become nothing compared with the losses that were about to come. With the severe economic slump of the "Great Depression", the Great Lakes Transit Corporation was hit especially hard. Faced with some marginal years even during the 1920s, the lack of business

Milwaukee ranked among the largest of the package freighter docks on the Great Lakes during the busiest years of the business. Most of the GLTC freighters called there, such as the UTICA on October 3, 1929. However, on this occasion, the UTICA was boarded by government agents, and illegal liquor was confiscated. (Photo courtesy Great Lakes Photo Collection, Milwaukee Public Library)

during the 1930s spelled doom for the package freight fleet. The last profitable year for GLTC was 1932, and everything deteriorated rather quickly after that.

With so many people out of work across America, cargoes of the type that the package boats carried were difficult to come by. Great Lakes Transit began to look for other possibilities, such as transporting manufactured steel products to various markets. The steamer F.D. UNDERWOOD was converted from a standard package freighter to a steel carrier at Buffalo, New York, in 1930, and was fitted with cranes to handle steel products. Success in the venture was fleeting. The UNDERWOOD was the only one of the package freighters to be so converted, and she was idle much of the time during the 1930s.

By 1930, the Great Lakes Transit Corporation had been reduced to a fleet of twenty-two vessels, nineteen of which were package freighters. The year started with only sixteen of the package freighters seeing service, as the MILWAUKEE and DELOS W. COOKE were both out of service with various mechanical maladies, and the UNDERWOOD was in lay-up during its conversion to a crane boat. The number of actual operating vessels would continue to dwindle as the bottom of the American economic system fell out.

Fewer and fewer ships were needed each succeeding year, and 1933 saw the start of a rapid trend toward extensive losses. Not only the package freighters, but the once popular and profitable passenger vessels also fell victim to the economic woes of the country. Operating on a small margin, GLTC could ill afford to have any more serious casualties, but trouble seemed to stalk the aging freighters.

On November 21, 1934 Great Lakes Transit's EDWARD E. LOOMIS rammed and sank the Canadian grain carrier W.C. FRANZ near Thunder Bay Island in Lake Huron. The FRANZ was lost, but the LOOMIS was able to sail to Buffalo, where her severely smashed bow and hull damage precluded her from further service. She was tied to the dock, and remained there until finally being scrapped at Hamilton in 1940. The incident did nothing to aid the failing Great Lakes Transit Corporation's financial picture.

On July 25,1935, the steamer P.E. CROWLEY was inbound at Milwaukee at about 4 p.m. when she stranded on the rocks just off of North Point. The CROWLEY, carrying about 850 tons of merchandise westbound, was stranded about 1500 feet from shore, and about 1800 feet north of the City's filtration plant.

By the end of the 1930s, many of Great Lakes Transit's finest package freighters were in layup for lack of business. The GEORGE D. DIXON is seen at the company dock at Buffalo, New York on September 14, 1939. Also visible behind her were MILWAUKEE, EDWARD E. LOOMIS, J.E. GORMAN, and F.D. UNDERWOOD. (Photo courtesy Great Lakes Photo Collection, Milwaukee Public Library)

The CROWLEY remained on the rocks until nearly 7 p.m. on July 26, when she was finally pulled free by the Coast Guard cutter ESCANABA. She was brought into Milwaukee, where she remained until the afternoon of July 27, when she cleared for South Chicago for repairs to about twenty-seven damaged plates.

The CROWLEY's ills were not serious, and the ship was back at Milwaukee on September 24, 1935, on her first downbound trip after the accident and the subsequent repairs.

With only about ten of its ships operating in 1935, GLTC's losses were mounting. The company sought to carry the increasing loads of automobiles that were being shipped on the lakes, and two of the package freighters, the FRED W. SARGENT and UTICA, were specially refitted to be a combination auto carrier and package freighter. Other vessels in the fleet would also regularly carry autos on their decks. Earlier, the RALPH BUDD had been similarly converted, but sailed in the auto trade for only one year before her accident.

Losses of vessels, subsequent costly litigation, combined with accumulating losses from operation kept Great Lakes Transit deferring repairs and upgrades on its aging fleet. In general, the fleet was operating on a very limited budget, and major renovations could not be afforded. Losses on the package freighters were great, but the staggering losses on the passenger steamers were even greater.

Fearing that strict new safety measures would be required for passenger vessels after the devastating loss of life on the MORRO CASTLE, GLTC had serious decisions to make. New refits of the three passenger ships would be too costly for the struggling fleet to handle, so the ultimate decision was obvious. The palatial OCTORARA, TIONESTA, and JUNIATA were retired at the end of the 1936 season.

Both the OCTORARA and JUNIATA were sold to the Sand Products Corporation for conversion to combination passenger ships and auto carriers on Lake Michigan. Being in somewhat better condition, the JUNIATA was the first to be rebuilt as the MILWAUKEE CLIPPER, and was put into active service. The OCTORARA, however, was used as a floating warehouse, and as such was not in good enough condition to be converted. It was eventually sold to the U.S. War Shipping Administration.

The Great Lakes Transit Corporation was faced with all types of competition from railroads and motor trucks, with the land-based trucks rapidly gaining the upper hand in transporting package

One of the major losses to the package freighter fleet, was the collision of the EDWARD E. LOOMIS with the freighter W.C. FRANZ. Although the FRANZ sank, the LOOMIS was able to continue on her way. Heavily damaged, the LOOMIS never was repaired, and went into permanent layup. Here she is seen at the Great Lakes Transit dock at Milwaukee early in the 1934 shipping season. (Photo courtesy Great Lakes Photo Collection, Milwaukee Public Library)

commodities. After several consecutive years of financial losses, GLTC began a massive sell-off of equipment. Obsolete and damaged vessels which had been retained during the 1930s were the first to be disposed of.

The DELOS W. COOKE and CHARLES DON-NELLY which had both been idle throughout much of the 1930s, were sold in 1937 to the Larsen Wrecking Company of Chicago. Both vessels were in rather dilapidated condition at the time of the sale, and it was expected that both of them were to be scrapped. Although they had not been fired for several years, the COOKE's boilers were brought back to life, and on June 7, 1937, she towed the DONNELLY out of Buffalo. Both vessels arrived in South Chicago where they surprisingly remained untouched for several years.

In 1941, with a sudden resurgence in traffic on the Great Lakes caused by fears of eventual war, both of the old vessels were spared the cutting torch and were sold to the Nicholson Transit Company of Detroit. Both vessels were in poor shape, but Nicholson refurbished the two old ships and converted them into bulk freighters. Both vessels were returned to service in
1941. After sailing throughout the war years with virtually little change to her outward profile, the DONNELLY was extensively modified and converted into a specialized automobile carrier in 1946. In addition to receiving new cabins, she was the first Nicholson ship to be equipped with a "flight deck", an upper ramp for carrying automobiles above the main deck.

The COOKE, meanwhile, was renamed STEEL KING and eventually converted into a crane ship. Her forward cabins were cut down and moved forward to make room for the cranes. She sailed with that configuration for several seasons in the 1940s, before having the cranes removed during her final years of service. She remained in the bulk freight service until she was sold in 1954 and cut down to make two derrick scows.

With little likelihood that they would ever be needed again, Great Lake Transit sold the package freighters MILWAUKEE, F.D. UNDERWOOD, and EDWARD E. LOOMIS as well as the passenger vessel TTONESTA for scrapping at Hamilton, Ontario in 1940. This reduced the operable fleet to but fourteen vessels.

After many years of inactivity, it was expected that the run down package freighter DELOS W. COOKE was due for the scrapper's torch. However, a scarcity of ships in the early 1940s found the vessel repaired and returned to service. The COOKE is seen at South Chicago, Illinois on May 12, 1939, in very rough shape. (Photo courtesy Great Lakes Photo Collection, Milwaukee Public Library)

Like the DELOS W. COOKE, the steamer CHARLES DONNELLY had been idle for many seasons before being sold in 1939. She was eventually converted into an automobile carrier, but still looked good in all her package freighter livery when seen at Chicago in 1928. (Photo courtesy of Great Lakes Graphics)

CHARLES DONNELLY was rebuilt as a bulk carrier in 1940 and then, in 1946, she became an auto carrier. The vessel is seen at Cleveland in July, 1954. (Pete Worden)

The year 1941 saw GLTC starting the season with nine of its ships sailing. By this time many of the vessels were no longer in fresh paint, and some of them were in rather poor operating condition. It was not a good year for the package freight business, and quite often, the ships sailed with less than capacity loads. Quite often the company was scrambling to keep the vessels busy, often having them carry grain on various occasions.

With lean prospects and mounting losses, the final nails for the GLTC coffin were being prepared. The death knell was sounded in June, 1941, when the Congress passed a law reaffirming the right of the President and his agents to requisition ships for emergency use. The War Shipping Administration was created as a result of that legislation, and with it began the process of acquiring ships to replace the tremendous loss of tonnage on the oceans due to heavy German U-boat attacks.

By the summer of 1942, the War Shipping Administration was making its presence felt on the Great Lakes. Iron ore-carrying bulk freighters were urgently required to carry the materials needed to make the steel necessary for the war effort, and were ignored by the WSA. Package freighters, however, were vulnerable, and the remaining roster of the Great Lakes Transit Corporation was pillaged.

The Corporation had been experiencing losses for so many years that it was perhaps a blessing in disguise that the end could come about so quickly and easily. By late June and July, 1942, the War Shipping Administration purchased the C.T. JAFFRAY, DANIEL WILLARD, DULUTH, EDWARD CHAMBERS, H.A. SCANDRETT, J.E. GORMAN, J.M. DAVIS, P.E. CROWLEY, W.J. CONNORS, and W.W. ATTERBURY. Great Lakes Transit Corporation was paid a "just compensation" of $1.9 million for these ten vessels, and they were removed from the lakes almost immediately. Totally stripped of their package freight gear, the vessels were completely rebuilt for service on the oceans. Painted in wartime gray, in most cases their profiles were so severely altered that there was not even the slightest resemblance to the sleek package freighters that they had once been.

The four remaining package freighters in the fleet, ALFRED H. SMITH, FRED W. SARGENT, GEORGE W. DIXON, and UTICA were also included in the sale. However, delivery of these vessels to the Gulf for conversion to ocean service had been delayed. At the time of their sale, there was no available shipyard space, so they were not immediately converted. By the time that the available yards were cleared, it had been decided that these four ships would not be needed. They were then returned to Great Lakes Transit.

Since the vessels had already been stripped of much of their cargo handling gear and other equipment, an agreement was reached between GLTC and the War Shipping Administration

Although the various vessels that made up the GLTC fleet came from several other fleets and builders, they all shared design similarities. The J.M. DAVIS is seen in the Detroit River in this view dated 1934. (Photo courtesy Great Lakes Graphics)

that the Government would pay the company a charter fee for the period of time that the ships were in their possession. The Government also agreed to restore the ships to their former condition. Great Lakes Transit which had been losing money continuously for nearly ten years in the package freight trade, decided to defer on the offer, and keep the ships as they were.

The four were brought back to the Great Lakes during 1943, and GLTC operated them in the grain trade for the balance of the year and all through 1944. Having been built as package freighters, all four of the vessels had 'tween decks, which made them unsuited for carrying grain. They were difficult to unload as well as dangerous for workers inside the ships who had to load and unload the 'tween decks. Most comparable grain carriers of the era could be unloaded in about one day, but the former package freighters required nearly a week at most elevators.

Cargo handling difficulties notwithstanding, grain vessels were in short supply in 1943 and 1944 while most other available bulk cargo ships were kept busy handling a never-ending stream of iron ore. The four former package boats carried 16.2 million bushels of grain during 1944 resulting in a small profit. All four
vessels, however, were put into permanent lay up at the end of the shipping season.

The following spring, Great Lakes Transit applied to the U.S. Maritime Commission for permission to sell the four vessels to foreign owners. Permission was sought in May, 1945, and finally granted in July. The ships were sold for a total of $2 million, with the understanding that GLTC would place any proceeds from their sale in a construction reserve fund for future replacement. However, the deal called for the Corporation to put the four in operating condition and to deliver them to New Orleans. This movement to the Gulf took so long that GLTC was taken to Court, where they lost a ruling and had to pay an additional judgment because of the delay. The net result was that the judgment and delivery of the ships to New Orleans cost more than what Great Lakes Transit had received for them.

After the sale of the last of their ships, Great Lakes Transit Corporation was not much more than a mere corporate entity with little tangible property remaining. However, the Corporation remained legally intact, with the possibility of having some of their old vessels returned by the Government at the end of the war.

Most of the GLTC freighters were eventually equipped with refrigeration equipment, however, the FRED W. SARGENT still had a clean upper deck when photographed in this scene in 1937. (Photo courtesy Great Lakes Graphics)

During 1944 Congress had declared that any vessel requisitioned by the War Shipping Administration would be returned to private ownership at the cessation of hostilities, provided that the ship had been in use the year prior to being requisitioned by the Government. In essence, the vessels involved could be reclaimed by the original owner upon return of a portion of the "just compensation" they were paid. Deductions would be allowed for any reconditioning that would be needed as well as for the amount of time that the Government had used the ship. The Act also had provisions so that the repayment figures would be considerably less than the "just compensation" amount.

However, the Act also stated that if the original owner did not reclaim the ship, the War Shipping Administration could dispose of it through competitive sealed bids. It was as a result of this Act that Great Lakes Transit Corporation was offered all ten of their former vessels in 1947. The repayment figure set by the Government was just over $488,000 for all ten ships.

Although Great Lakes Transit had earlier announced their intention to remain in business, they were either unable or unwilling to raise enough funds to buy back their former freighters. All ten of the ships, therefore, were sold through the bid process to the Overtakes Freight Corporation. The Detroit-based firm operated automobile carriers, but had no interest in returning the ships to the Lakes. Eight of the ten were subsequently resold to foreign owners for a price of nearly $2 million, while the two remaining ships were scrapped.

Great Lakes Transit Corporation, unable to raise the funds to buy back their ships, could not participate in the profits that were gained in reselling the vessels. With no funds in their construction reserve fund, no vessels, and virtually no future for package freight business on the Great Lakes, the Great Lakes Transit Corporation went out of business. With its demise went the largest operation of package freighters on the Great Lakes.

While it is easy to point fingers at the damage caused by the Government's heavy hand concerning the destiny of package freight on the Great Lakes, the modern tide of commerce was the most detrimental. When the Panama Canal Act made it illegal for the railroads to operate the ships, it resulted in the creation of the Great Lakes Transit Corporation. GLTC followed the letter of the law, although the destiny of

Duluth/Superior was a major docking area for the package freighters of the Great Lakes Transit Corp. The boats, like the EDWARD CHAMBERS were frequent visitors at the Soo Canal, and made regular passages through the locks. This undated scene is apparently from the late 1930s. (Photo from author's collection)

Showing the signs of her heritage, the RALPH BUDD was the last of the former GLTC boats to remain operating on the Lakes. Seen here m 1931, during her days in Canadian colors of the Great Lakes Transit Corporation Ltd., the ship was saved after stranding on Lake Superior. She remained active on the lakes in the package freight and grain trade until finally being scrapped in 1966. (Photo courtesy of Great Lakes Graphics)

L.A. McCORDQUALE, the former RALPH BUDD, is shown at United Metals in Hamilton, Ont. on June 28, 1966 (Skip Gillham)

its early years were almost fully in the control of the railroads whose former vessels made up its extensive roster.

It was the expertise and modernization of those same railroads that ultimately led to the demise of the package freighters. Overland transportation such as trucks, while not as economical as lake transportation, perhaps, was considerably more convenient. The "Great Depression" and resultant heavy economic losses was another factor.

Aging, ill-kept vessels, disastrous economic conditions, combined with better competition from the railroads and ever-increasing competition from trucks, kept the red ink flowing for Great Lakes Transit Corporation from 1933 on. Perhaps it was a merciful end, then, when the Government stepped in once again to virtually force the end to the fleet of colorful vessels that it had inadvertently helped create in 1916.

Package freighters would remain a strong and viable business in Canada for many years after World War II, however, the ilk eventually lost profitability there as well. No package freighters remained in operation on the Great Lakes after the end of the 1981 shipping season.

Although the great white fleet of Great Lakes Transit Corporation had been but a memory for many years, some of its former ships continued to sail on for several years. The RALPH BUDD, which had been stranded in 1929, remained in service as the L.A. McCORQUODALE through 1963 before finally being scrapped in 1966. To the end, she retained the fine distinctive profile that all of the package freighters displayed. The STEEL KING (formerly the DELOS W. COOKE) sailed as a bulk freighter and crane ship until scrapping occurred in 1954. The CHARLES DONNEL-LY, equipped as a flight deck automobile carrier, was scrapped in 1961.

However, it was two former GLTC boats that went to salt water that ultimately lasted the longest in one form or another. The J.M. DAVIS, which was sold to the War Shipping Administration, became the Argentinian freighter CANOPUS in 1949. In December, 1976, this ship underwent scrapping at La Plata, Argentina.

It was apparently the H.A. SCANDRETT which was the last of the former GLTC vessels to disappear. Sold to the Baltic Chartering Company of Helsinki, Finland in 1949, the vessel sailed as the HAMINA until 1955. It's double bottom hull was retained after the rest of the ship was scrapped, and used as a mooring pontoon in Flushing Outer Harbor. In May, 1983, the hull was finally towed into the inner harbor, and broken-up.

And with that scrapping, an era ended!

C.T. JAFFRAY, dated 1937

H. A. SCANDRETT dated 1931

H.A. SCANDRETT went to the Atlantic in WWII and eas rebuilt for deep sea duty. (Canadian Forces)

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