The Wichita Falls and Southern Railway Company was chartered on June 1, 1907, to build 125 miles from Wichita Falls to Cisco in Eastland County. Its main purposes were to serve the coal fields at New Castle and to draw more area wheat and cotton to Wichita Falls. Principal owners were Joseph A. Kemp, Frank Kell, and Isaac H. Kempner. The capital was $150,000, and the business office was located at Wichita Falls. Members of the first board of directors included J. C. Doneghy of St. Louis, Missouri, D. W. Krumpmen and J. H. Krumpmen of Galveston, and Kemp, Kell, Robert E. Huff, Wiley Blair, and Charles E. Huff, all from Wichita Falls. During 1908 barbecues and land auctions were held at various towns as the railroad arrived, and by September the line had been completed to New Castle. In 1911 the road was sold to the Missouri, Kansas and Texas of Texas (Katy) and was leased by that line in 1914. However, in 1920 Kemp and Kell repurchased the stock of the Wichita Falls and Southern Railway from the receiver of the Katy, and the company resumed independent operation on March 1, 1920. The following year the Wichita Falls and Southern Railway Company was leased to the Wichita Falls and Southern Railroad Company, which acquired the stock of the former in 1927, and the two companies were merged on December 31, 1940.