The Santa Fe Railway suffers the worst traffic losses in its history as the Midwest is transformed by drought into a "Dust Bowl."
In May, B&O's Columbian, the first completely air-conditioned passenger train, is put into service between New York and Washington.
Depression-era hardship causes industry leaders to lower railroad wages by 10 percent for one year. Despite that concession, the net income of railroads plummets to a loss of $122 million.
Roosevelt is inaugurated: He promises quick recovery as the United States enters "The 100 Days."
Union Pacific's M-10000 streamliner does a coast-to-coast run in 57 hours.
The Railroad Retirement Act of 1934 is declared unconstitutional.
The streamlined Challenger, running between Omaha and Los Angeles, introduces such luxuries as air-conditioning, free pillows, and attendants trained as nurses.
Santa Fe's Super Chief, America's first all-Pullman diesel-powered streamliner, begins twice-a-week service between Chicago and Los Angeles. Running time is less than 40 hours.
In September, a war emergency is declared in the United States.