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The NYNH&Ha€™s strength was in its ability to haul thousands of passengers and commuters along its high speed main line between New York and Boston (which continues to this day), and points in between. Through World War II, following its bankruptcy during the Great Depression era, the NYNH&H did quite well under the guidance of Howard Palmer, who did away with unprofitable ventures (such as its steamship and bus services) and quickly switched to diesel and electric locomotive operation in place of steam locomotives. Such tactics typically only work for a short period of time and it did not take the deferred maintenance and other a€?cost savingsa€? ideas long to begin to affect the railroad in a negative way.

On merger day chaos ensued and the new PC literally began to fall apart from the very beginning.
However, along with the failed ideas of the previous leadership, a freight and passenger market that was drying up, and a Northeast rail market that was too heavily populated to support all of the railroads in place Alpert had a very hard time keeping the railroad profitable and the New Haven went bankrupt in 1961. In terms of freight the biggest problem for the railroad was the fact that it served markets extremely close to together, the result of which was short-haul freight, something not very profitable (typically, the longer haul, the more profitable).

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