THE SHIPPING FUSION.

Press, Volume LIII, Issue 15918, 4 June 1917, Page 6

THE SHIPPING FUSION.

DETAILS OF THE PROPOSED

ARRANGEMENT.

In connexion with tho proposed arrangement between tho P. and O. Company and tho Union Steam Ship Company, the P. and O.'s offer (of 10s deferred stock and 30s cash for each ordinary U.S.S. Co. share) is made subject to its beinc accepted by the whole of the ordinary shareholders of the U.S.S. Co. or bv such lesser number as tho P. and O. Company may decide to accept. Tho new issue of P. and 0. stock ti'ill rank for final dividend for the year ending September 30th, l'Jl", and tho stock when issued will rank pari passu with the existing P. and 0. deferml stock. The final dividend for the year ending September 30th noxt on tho ordinary shares of the U.S.S. Co., which may be dealt with under the scheme, will go to the P. and O. Company. The- cash payment of 30s per share will be made on July Ist next or as soon thereafter as practicable. The P. and O. dividend and bonus for Inst year was 18 per cent., which would yield 9 per cent, to shareholders making the exchange, and if the 80s cash is invested to bring in 5 per cent., the new rc-tnrn to a shareholder wou.d bo IGJ per cent, instead of 10 per cent. It is not intended that any change shall bo made in the coutroi or management of tho U.S.S. Co. A London cablo message dated Ist inst. states that Union Steam Ship Company shares are quoted at 59s to 61s. At Dunedin on Saturday 'Union Steam Ship Company shares (prcf.) were sold at £1 Os 8d and £1 0s CURTAILMENT OF P. AND O. COMPANY'S SERVICES. , (Australian and X.2. Cablo Association.) SYDNEY, June 2. It is officially stated that the P. and O. Company will discontinue tho Australian service at tho end of this month. Tho China servico will also be discontinued.