Railway Express Agency 1959 Postcard

From www.railphotoexpress.biz For Safe,Swift,Sure Shipping The Big difference is The Railway Express Agency Railway Express Agency 1959 The Railway Express Agency (REA) was set up by the United States federal government in 1917. Rail express services provided small package and parcel transportation using the extant railroad infrastructure much as UPS functions today using the road system. The United States government was concerned about the rapid, safe movement of parcels, money, and goods during World War I and REA was its solution to this problem. REA negotiated a new contract in 1959 which allowed it to use any mode of transportation, and it acquired truck rights to allow continued service after passenger trains were discontinued. It tried piggyback and containers, but without much success. In March 1929, the assets and operations of American Railway Express Inc. were transferred to Railway Express Agency (REA). REA was owned by 86 railroads in proportion to the express traffic on their lines - no one railroad or group of railroads had control of the agency. In response to customer demand, REA added a Chicago, Illinois-based refrigerator car line. In 1927, REA began an Air Express Division. In 1938, the remainder of Southern Express also joined the consolidated REA.Post World War II Operations In 1969, after several years of deficits, REA was sold to five of its officers and renamed REA Express. By then only 10% of its business moved by rail and its entire business constituted less than 10% of all intercity parcel traffic. REA ceased operations in 1975, when its business model ceased to be viable due to the construction of the interstate highway system making the UPS business model cost less to the customers