THE SHIPPING FUSION.

Press, Volume LIII, Issue 15917, 2 June 1917, Page 9

THE SHIPPING FUSION.

STATEMENT BY SIB JAMES MILLS. ADVANTAGES TO SHAREHOLDERS. IMPROVED TRADING FACILITIES. 3y Cablo—Pre»s Association—Copyright.) (Australian and N.Z. Cable Association., (Received Juno 2nd, 12.50 a.m.) LONDON, Juno 1. Union Steam Ship Company's shares lro quoted at 58a to 60s, ex dividend, fiiero havo been numerous dealings in tho stock. Sir James Mills, in a memorandum to shareholders, states that the P. and O. Company will make a cash payment on July Ist, at whichever office shares aro registered. Tho Board or Directors of tho Union Company recommends the exchange on the grounds of an immediately improved return on tho investment of shareholders, totalling 16fr per cent, as compared with 10 per cent, bv tho Union Company in 1916, also that tho basis of security of earning power will bo broadened by improved trading facilities in New Zealand, Australian, and Pacific waters, and between Australasia and Groat Britain. There will be no changes in the control and management. UNION COMPANY TO RETAIN ITS IDENTITY. "SO ALTERATION IN METHODS OR MANAGEMENT, (oteciax *o "tine priss.") DUNEDIN, June 1. There was a great deal of speculative talk in town to-day as to tho possible outcome of tho fusion of interests between tho P. and 0. Company and the Union Steam Ship Company, and rumour had, of course, removed the Dunedin headquarters of tho latter company, changed the directorate, and altered tho whole policy of the Union Company's administration. All that was idle talk. The Union Company is not to bo absorbed by the P. and O. Company as a result of the proposed fusion of interests, but Brill retain its identity and carry on without disturbing alterations in the icrvice. Tho headquarters will remain '? P un °dia and tao personnel, methods, and management of the company will bo maintained. . It is probable that tho company's activities will be widened as one result sf the fusion with the P. and O. - At A "^. tland yesterday sales of Union .steam Ship Company snares were made it 60s, 60s, and 59s 6d, the top price representing an advance of Is 6d on Thursday's closing price. At Wellington tho shares were quotad —Buyers 57s 6d, sellers 61s. At Dunedin sales were made as follows—s9s 3d, 59a 3d, 59s „ (four par-