Editing Reading Railroad (section)

== Expansion and Diversification ==

Under the leadership of Franklin B. Gowen, president from 1870 to 1883, the Reading expanded aggressively, acquiring coal mines, connecting railroads, and new lines that extended the system into new markets. Gowen sought to control the entire anthracite industry, from mines to transportation to distribution. His ambitions led to bitter conflicts with labor, including his controversial prosecution of the Molly Maguires, a secret society among Irish coal miners accused of violence and sabotage. Gowen's expansion also strained the company's finances, leading to bankruptcies in 1880 and 1884 that forced reorganization and more conservative management.<ref name="schlegel"/>

The Reading developed passenger services that complemented its coal business. Commuter trains served growing suburbs in Montgomery and Berks Counties, connecting communities along the Schuylkill Valley with Center City Philadelphia. Long-distance trains provided service to New York via connections and to the Jersey Shore via the Reading's own lines and those of subsidiary companies. The passenger services never matched coal in importance to the Reading's bottom line, but they gave the company visibility and connected it to the daily lives of Philadelphia-area residents in ways that freight service alone could not.<ref name="holton"/>