The same activity continued to exist in the following year, for in points so far apart as the Upper Saskatchewan and Lake Winnipeg new forts were built. The former of these was Edmonton House, built on the north branch of the Saskatchewan. The fort erected on Lake Winnipeg was probably that at the mouth of the Winnipeg River, near where Fort Alexander now stands.
In 1796, another post was begun on the Assiniboine River, not unlikely near the old site of Fort de la Reine, while in the following year, as a half-way house to Edmonton on the Saskatchewan, Carlton House was erected. The Red River proper was taken possession of by the Company in 1799. Alexander Henry, junr., tells us that very near the boundary line (49 degrees N.) on the east side of the Red River, there were in 1800 the remains of a fort.
Such was the condition of things, so far as the Hudson's Bay Company was concerned, at the end of the century.
In twenty-five years they had extended their trade from Edmonton House, near the Rockies, as far as Rainy Lake; they had made Cumberland House the centre of their operations in the interior, and had taken a strong hold of the fertile region on the Red and Assiniboine Rivers, of which to-day the city of Winnipeg is the centre.
Undoubtedly the severe competition between the Montreal merchants and the Hudson's Bay Company greatly diminished the profits of both. According to Umfreville, the Hudson's Bay Company business was conducted much more economi cally than that of the merchants of Montreal. The Company upon the Bay chiefly employed men obtained in the Orkney Islands, who were a steady, plodding, and reliable class. The employés of the Montreal merchants were a wild, free, reckless people, much addicted to drink, and consequently less to be depended upon.
The same writer states that the competition between the two rival bodies of traders resulted badly for the Indians. He says: "So that the Canadians from Canada and the Europeans from Hudson Bay met together, not at all to the ulterior advantage of the natives, who by this means became degenerated and debauched, through the excessive use of spirituous liquors imported by these rivals in commerce."
One thing at any rate had been clearly demonstrated, that the inglorious sleeping by the side of the Bay, charged by Dobbs and others against the old Company, had been overcome, and that the first quarter of the second century of the history of the Hudson's Bay Company showed that the Company's motto, "Pro Pelle Cutem," "Skin for Skin," had not been inappropriately chosen.