Southern's. far-ranging industrial development men call themselves "rainbow chasers." And every year they confound the old legend by turning up often the supposedly mythical "pot of gold" at the rainbow's end.
With equal justice they might refer to themselves as "insurance men" for what they do helps insure the future of Southern Railway and railway people. New and expanded industries in our territory mean more of the freight traffic on which railroad revenues and railroad jobs so largely 1epend.
So the industrial development department's report that ground was broken for 335 new industrial projects along Southern Railway System lines in 1958 comes as welcome news to all of us.
NICKEL & COBALT - South of New Orleans, Freeport Nickel Company's $45 million nickel and cobalt refinery, started in 1958, is nearing completion at Port Nickel, La. Metal and metal products represented the largest single category of new industrial developments along Southern's lines in 1958. (Freeport Nickel Company photo) |
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Even the simple statistics are impressive. There were 114 new industries, 75 major distribution warehouses and 146 additions to existing industries. Constructing and equipping these projects involved an investment of more than $340 million. The new or expande1 operations in these plants promise to create 14,800 new jobs.
The pattern? One of consistent growth and expansion throughout Southern's territory despite depressed economic conditions elsewhere. The prospects? Unlimited!
But more cheering still is the story behind the statistics.
LIQUID PETROLEUM GAS - fractionating towers form a graceful pattern against the sky at Texas Natural Gasoline Corporation's nearly-completed LP-gas plant at Toca, La. |
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In a year shadowed by recession almost 200 businessmen saw such promise in the Southern's territory that they were eager to invest millions in building new plants or opening major distributing warehouses. Almost 150 companies already established in our territory not only weathered the recession but prospered enough to spend or authorize millions of dollars to expand their plants.
Industrial developments along Southern's lines in 1958 occurred in a number of fields and concerned the manufacture or distribution of a wide variety of products. This has been the pattern of the South's growth in recent years and it is one that industrial development people welcome. In industry, as in agriculture, a region fares far better with diversified "crops" than with a "cone crop" economy.
Metals, metal working and machinery industries led the list by a wide margin-both in the number of projects and the amount of investment. Pulp and paper, power plants and chemicals were closely grouped in second place. Significant expansion occurred in the food and beverages, lumber and building materials industries, too, in 1958. And there was growth in textiles, cement, concrete and asphalt, electrical equipment and appliances, petroleum products, furniture and minerals.
FIBERGLASS - Nearing completion in North Carolina is a new multi-million-dollar fiber glass plant at Shelby started in 1958 by Pittsburgh Plate Glass Company. Due to start partial operation soon, with two glass furnaces, the plant will have additional furnaces installed for the next 18 months. At full operation with 16 furnaces, the plant will employ about 850 people, produce up to 25 million pounds of fiber glass yarn annually for use in fabrics for home and industry and reinforcement for paper and plastic products. |
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A state-by-state survey of industrial growth in our territory discloses an interesting point. With few exceptions, the number of projects in a state and the amount of investment involved corresponded closely to the extent of Southern's miles of road in the state. (One example: North Carolina, where Southern has more miles of railroad than in any other state, had the greatest number of industrial projects and ran a close second. in total investment. )
The Southern's "rainbow chasers" would be the last to claim that they are responsible for all of the industrial development which occurs along the lines of the Southern. Indeed, they are first to affirm that industrial prospects make their own decisions as to where they will build and expand, and show little disposition to hog the credit that rightfully belongs to many before a big one is landed.
As a practical matter the Southern joins hands with many others in its efforts to "sell" industry on Southern Railway locations. Civic and business development groups at state, area and local levels are constant allies in the effort. Their confidence and support are essential ingredients of the success which Southern has enjoyed. Their knowledge that Southern's industrial representatives respect their confidence and do not play favorites is most important. Considering the varying industrial attractions of different sections of the South, statistics make a strong case for the ability of Southern's industrial staff to work fairly, effectively, and in harmony with its many teammates as well as with its prospects.
FOAM PLASTIC & RUBBER BALLOONS-Already in operation, with production increasing steadily, is Poly products company's million-dollar plant at Spartanburg. Products include polyurethene foam for furniture, rubberized cloth ice caps, vinyl inflated balls and rubber balloons. |
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That's the Southern's half of the industrial development story in 1958-but what about the other half? What happens in a region when new industry comes to town by the hundreds?
The effect of construction spending and new industrial payrolls on a community is a story pleasantly familiar to many communities in Southern's territory from the experience of the past seven years. (Since the beginning of 1952, more than 2,400 industrial developments have taken place along Southern's lines - involving a total investment of more than $3 billion and creating an estimated 134,000 new jobs.)
But most of these communities would agree that it is a story well worth retelling.
BABY FOOD-Gerber Products Company, caterers to small fry throughout the country, has an $8 million baby food processing and distributing center almost completed at Skyland, N. C., near Asheville. The warehouse is complete (note the railroad siding) and the food processing plant due to be finished this spring. In full operation the facility will employ 700, have a $2 million annual payroll and provide a valuable new market for the area's fruit and vegetables. (Ashville Citizen-Time's photo) |
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Depending on the size of the plant, construction may last for a few months or for more than a year. Some of the industrial developments begun in 1958 have already been completed and put in operation. Some are just reaching completion now and others are still in the latter stages of construction. Construction spending gives the first lift to a community's economy.
More important and permanent growth comes when the production lines start up, and paychecks begin to find their way into the cash registers of local businessmen.
Several years ago, the United States Chamber of Commerce made a survey of what happens to the life of a community when a new plant opens and a new payroll comes to town.
AUTOMOBILE PARTS-Completed, but not yet landscaped into the attractive setting planned for it, is General Motors' new Chevrolet Division warehouse at Louisville, Ky. The glazed brick, glass and aluminum structure houses office space for Chevrolet and a million-dollar inventory of auto parts and accessories to supply GM dealers in the area. (Louisville Courier Journal photo) |
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According to the survey, here's what 100 new factory workers mean to a community: 296 more people ...112 more households. ..51 more school children ...107 more passenger car registrations. ..174 more workers employed. ..four more retail establishments ...$590,000 more in personal income each year ...$270,000 more in bank deposits and $360,000 more in annual retail sales.
Probably the survey results are equally valid today. (If anything, the dollar figures should be higher by now.) And,they illustrate graphically the "chain reaction" effect of the industrialization of the South.
More employment and payrolls in an area produce an increased demand for goods and services, a wider market for products of all kinds. Other production industries naturally move in to supply this growing demand. And the cycle continues.
CONSTRUCTION STONE - A system of conveyor belts at Superior Stone Company's rock quarry in New Bern, N. C., distributes variously sized pieces of crushed marl into separate storage bins. Beginning operations in the spring of 1958 this branch of the company, whose headquarters are in Raleigh, produces stone used mainly in building foundations and as an aggregate in concrete for highway building. |
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The South's happy combination of natural resources, room to expand, growing markets and modern transportation has set off such an industrial chain reaction and has made the South the country's fastest growing industrial region.
No one knows where it may stop and no one wants it to stop. On the contrary, chambers of commerce and other industrial development groups in communities along our lines are working hard to keep it going. And Southern gives them all possible aid in bringing new industry to town.
The industries pictured here were selected more or less at random, but 'with the idea of giving a cross section of the growth of the Southern's territory in 1958. Like the hundreds of others they represent, some are large, some small. Some have already gone into operation, others may be completed by the time this is published, a few are still skeletons of steel. All are important. All will playa part in the industrial chain reaction mentioned here.
ALUMINUM - Reynolds Metals Company's huge aluminum producing and fabricating complex at Listerhill, Ala., near Sheffield saw the completion of a $70 million addition in 1958 - a new reduction plant (top center in the picture). It is part of an over - all $140 million expansion program scheduled for completion in mid 1960. Beyond the new reduction plant is the new aluminum casting plant of Ford Motor Company. (Reynolds Metals Company photo) |
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And they all have a common denominator of particular interest to railway people. If there isn't a railroad siding in the picture, you can be sure it was just out of camera range.
WALLBOARD - This impressive steel framework rising in south Georgia is Bestwall Gypsum Company's new $10 million wallboard plant at Brunswick. Loaded box cars on the siding {containing plaster for the plant roof) arrived from the company's Acme, Texas, plant via Southern Railway from Memphis. |
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The presence of that rail siding tells more clearly than words why industrial development of its territory is a railroad's insurance for the future.