Bash Scripting: reading data from a file

#!/bin/bash
#
# reading data from a file
#
file=~/sandbox/scripts/data.d/states1
count=1
cat $file | while read line
do
        echo "Line $count: $line"
        count=$[ $count + 1 ]
done
echo "Finished processing file"




[d54712@t3psolarwebl2 bash.d]$ ./test28.sh
Line 1: Alabama
Line 2: Alaska
Line 3: Arizona
Line 4: Arkansas
Line 5: Colorado
Line 6: Connecticut
Line 7: Delaware
Line 8: Florida
Line 9: Georgia
Line 10: New Hampsire
Line 11: New Mexico
Line 12: New York
Finished processing file