When bus competition became a threat to the Isle of Man Railway, it bought out the bus company and operated it as Isle of Man Road Services in conjunction with the railway. In addition to the island-wide services Douglas Corporation also operated a fleet of buses around the capital, distinctive by their yellow livery. As the railway company began to falter, it relied more heavily on the bus operation, and when the railway lines closed for the first time in 1965 the bus services were intensified to replace the rail services.