FCF Inc. had talked with many of the local railroads on how to manage the depression and stay solvent.  The S&T railroad and the Tionesta Valley railroad were both in financial trouble.  A proposal was made to the railroads by FCF Inc.  Both railroads would be sold to FCF Inc, where they could be merged into one railroad.  Both railroads initially baulked at the proposal, but within a year the S&T was sold to FCF Inc, and 1 year later the Tionesta Valley was sold.  The New railroad was known as the Blue Jay Southern, named after the Creek the S&T followed for some of its trackage.

By WWII all trackage owned by FCF Inc was standard gauge.  P&W had regauged its line to standard gauge by 1900, FC&F RR was built as standard gauge, and the BJS completed the change of gauge shortly after it joined FCF.

Things remained status quo for many years.  Locomotives were rebuilt or purchased to replace the aging steam fleet and the entire Railroad system was dieselized by the mid 1950’s.