Finances of the System.

The line, which was twelve miles long, connected the Great Southern and the Western system with the River Shannon at the Portumna bridge. The capital amounted to £80,000, of which £13,000 was subscribed by the Great Southern and Western Railway, and £12,000 was advanced on the security of the ill-fated undertaking by the Public Works' Loan Board of England. The remainder of the capital was subscribed mainly by local investors, who saw great possibilities in the venture.

The line was opened in 1868, and was worked by the Great Southern and Western Company under an agreement whereby they supplied the rolling stock, and undertook to run two trains daily in each direction retaining 40 per cent, of the gross receipts. From the beginning the line proved a financial failure. It was alleged before the Commission by the Loan Board's representatives that the working company never made any serious attempt to work the line to the best advantage, that only the minimum number of trains were run, and those at times when hardly anybody could use them. Be that as it may, on the expiration of the agreen ent in 1878 the Great Southern and Western Company, finding that they had been losing on the transaction, refused to renew the agreement, and ceased to work the line. The Board thereupon took possession as mortgagees and tried to sell the line to the Great Southern and Western Company, but the latter would only have the “white elephant” as a gift.