the narrow gauge Newfoundland Railway expanded both the number of trains and vessels which called at Port Aux Basques. In 1925 the steamer SS Caribou began service. She was attacked and sunk by the German submarine U-69 (1940) on 14 October 1942 with a loss of 137 lives, some from the Port aux Basques area. There were 20 widows from Caribou sinking in the Port aux Basques area. The Town of Port aux Basques was incorporated in 1945 with Samuel (Sam) Walters as the first mayor. On March 31, 1949, Newfoundland entered into Confederation and the railway was transferred to Canadian National Railway. Under Term 32 of the Terms of Union between Canada and Newfoundland (1949), the ferry service between North Sydney, Nova Scotia and Port aux Basques, Newfoundland was guaranteed, first under the British North America Act and after 1982 under the Constitution of Canada. Upon CNR's assumption of the railway and ferry service, the 1950s saw extensive construction at Port aux Basques with expansion of new dock facilities and the arrival of newer and larger ships such as the MV William Carson. Extensive blasting of rock created space for large rail yards with extensive dual gauge trackage. The excess rock was then used as fill to create the required docks. By the mid-1960s, new railcar-capable ferries such as the MV Frederick Carter permitted the exchange of standard gauge railcars, requiring further expansion at the Port aux Basques terminal facilities. The mid-1960s also saw the completion of the Trans-Canada Highway across Newfoundland, an event which eventually led to the closure of the railway by 1988, but which made Port aux Basques into an even more important gateway to the island of Newfoundland, given the increased number of tourists visiting the province, and the rising amount of truck traffic. New Ro-Pax-capable vessels were commissioned and/or chartered during the 1960s-1980s to meet the growing demand, such as Marine Nautica, Marine Atlantica, Marine Evangeline, Ambrose Shea, and John Hamilton Gray. With the abandonment of the railway, extensive rebuilding of Port aux Basques terminal resulted in expansive marshaling areas for waiting motor vehicle traffic. A plant disease inspection station operated by the Canadian Food Inspection Agency is located on site, as well as a modern rebuilt railway station now used as a passenger terminal for the ferry service operated by Marine Atlantic, which was renamed from CN Marine in 1986. Port aux Basques