Isthmian Steamship Company
Encyclopedia
The Isthmian Steamship Company was a shipping company founded by US Steel in 1910.
Isthmian Steamship was the brainchild of US Steel President James A. Farrell
, who had connections with the maritime industry through his father's trade as a ship's master. Farrell realized that US Steel could save substantial sums of money by owning its own fleet of freighters, rather than chartering cargo space from other companies. Farrell named the company after the Isthmus of Panama
, in honour of America's recent construction achievement, the Panama Canal
.
Farrell headquartered Isthmian Steamship in London
, partly in order to take advantage of Great Britain
's respected name in the industry, and partly to benefit from Britain's long history of maritime experience. Management of the company was assigned to the British Federal Steam Navigation Company, a company which traced its own origins back as far as 1782 with the British East India Company
. The US end of Farrell's new company was managed by the Norton Lilly Agency.
The company's first ship was the SS Bantu, a British vessel launched in 1902 and purchased by US Steel in 1907 for a reputed £24,000. By 1914, the company had purchased six additional ships - Kentra, Buenaventura, Santa Rosalia, Charleton Hall, Craston Hall and the sleek cargo liner
Crofton Hall - all sturdy British steamships. With the outbreak of World War I
however, Farrell brought the company back under the protective cover of the American flag which was not at the time a belligerent.
The company would continue to expand its operations in the ensuing decades. In 1956 however, the by now highly lucrative company was sold to States Marine Lines. US Steel justified the sale on the grounds that Isthmian's overall usefulness had diminished, as it now carried only a fraction of the Corporation's exports.
Isthmian Steamship was the brainchild of US Steel President James A. Farrell
James A. Farrell
James Augustine Farrell was president of US Steel from 1911 to 1932. A major business figure of his era, Farrell expanded US Steel by a factor of five during his Presidency, turning it into America's first billion-dollar company...
, who had connections with the maritime industry through his father's trade as a ship's master. Farrell realized that US Steel could save substantial sums of money by owning its own fleet of freighters, rather than chartering cargo space from other companies. Farrell named the company after the Isthmus of Panama
Isthmus of Panama
The Isthmus of Panama, also historically known as the Isthmus of Darien, is the narrow strip of land that lies between the Caribbean Sea and the Pacific Ocean, linking North and South America. It contains the country of Panama and the Panama Canal...
, in honour of America's recent construction achievement, the Panama Canal
Panama Canal
The Panama Canal is a ship canal in Panama that joins the Atlantic Ocean and the Pacific Ocean and is a key conduit for international maritime trade. Built from 1904 to 1914, the canal has seen annual traffic rise from about 1,000 ships early on to 14,702 vessels measuring a total of 309.6...
.
Farrell headquartered Isthmian Steamship in London
London
London is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...
, partly in order to take advantage of Great Britain
Great Britain
Great Britain or Britain is an island situated to the northwest of Continental Europe. It is the ninth largest island in the world, and the largest European island, as well as the largest of the British Isles...
's respected name in the industry, and partly to benefit from Britain's long history of maritime experience. Management of the company was assigned to the British Federal Steam Navigation Company, a company which traced its own origins back as far as 1782 with the British East India Company
British East India Company
The East India Company was an early English joint-stock company that was formed initially for pursuing trade with the East Indies, but that ended up trading mainly with the Indian subcontinent and China...
. The US end of Farrell's new company was managed by the Norton Lilly Agency.
The company's first ship was the SS Bantu, a British vessel launched in 1902 and purchased by US Steel in 1907 for a reputed £24,000. By 1914, the company had purchased six additional ships - Kentra, Buenaventura, Santa Rosalia, Charleton Hall, Craston Hall and the sleek cargo liner
Cargo liner
A Cargo liner is a type of merchant ship which carried general cargo and often passengers. They became common just after the middle of the nineteenth century, and eventually gave way to container ships and other more specialized carriers in the latter half of the twentieth...
Crofton Hall - all sturdy British steamships. With the outbreak of World War I
World War I
World War I , which was predominantly called the World War or the Great War from its occurrence until 1939, and the First World War or World War I thereafter, was a major war centred in Europe that began on 28 July 1914 and lasted until 11 November 1918...
however, Farrell brought the company back under the protective cover of the American flag which was not at the time a belligerent.
The company would continue to expand its operations in the ensuing decades. In 1956 however, the by now highly lucrative company was sold to States Marine Lines. US Steel justified the sale on the grounds that Isthmian's overall usefulness had diminished, as it now carried only a fraction of the Corporation's exports.