Business: Subsidy or Else?

Putting on the pressure, money-losing eastern railroads last week appealed to three states for tax relief or subsidy. The alternative: shut down some major passenger lines.

¶ New York Central's President Alfred Edward Perlman warned that the line was ready to cut off all commuter service into Manhattan, close the famed Grand Central Terminal and terminate all routes 43 railroad miles away at Harmon, N.Y. unless the state and its cities "help" the line overcome its overall $1,000,000-per-week passenger loss. If the Central should move out, New York City would lose its third biggest (after Consolidated Edison and New York Telephone Co.)...

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