During the Civil War, different parts of the network were pressed into service by both armies at various times, and considerable damage from wear, battle, and sabotage occurred. (For example, during the Battle of Lebanon in July 1863, the company's depot in Lebanon, Kentucky, was used as a stronghold by outnumbered Union troops). However, the company benefited from being based in the Union state of Kentucky, and the fact that Nashville fell to Union forces within the first year of the war and remained in their hands for its duration. It profited from Northern haulage contracts for troops and supplies, paid in sound Federal greenbacks, as opposed to the rapidly depreciating Confederate dollars. After the war, other railroads in the South were devastated to the point of collapse, and the general economic depression meant that labor and materials to repair its roads could be had fairly cheaply.