Cunard Line

Manawatu Times, Volume 64, Issue 173, 25 July 1939, Page 4

Cunard Line

HOPES FROM NEW SHIPS The disturbed conditions in Europe and their effect upon Atlantic passenger earnings, were stated by Sir Percy Bates to be tho cause of the decline in the Cunard Steam Ship Company's operating revenue during 1938, when speaking at the annual meeting in Liverpool. Ab to tho outlook, Sir Percy said they had done decidedly better. This was surprising, but it was a fact. How long it would continuo ne would not attempt to forecast. "Tho Queen Mary did very well last year," he added, "nearly as well as in 3937. She is still doing well. In June wo get the Mauretania, and I think that she also will bo a successful ship. When we get tho Queen Elizabeth iu 1940 the three ships will form a trio of business-getters that will be very hard to beat, and, given real peace in tho world, should make a very great deal of money. "But the peace must be a real one, and not merely an abseuce of technical hostilities. Speaking for myself, I believe such a peace to be possible, and I have evory confidence iu the way in which the Primo Minister is setting about to secure it."

Referring to the future of shipping, Sir Percy said the building subsidy could apply to ships of their associated lines, but it appeared insufficient in amount to warrant building a ship before she was really needed for service. He declared that their own company

was in no way subsidised. If they had borrowed money for shipbuilding from the Government, they were most strictly obliged to pay it back. Asked by a shareholder whether there was any probability of a capital reconstruction taking place in the near future, Sir Percy said: "The company certainly cannot indulge in a capital reconstruction at tho moment. Neither tho weather outside nor inside the company is suited to that operation. Obviously, as some newspapers have already noticed, the company is going in for a real reconstruction of some sort, but until the time comes for it to be undertaken I think it would be unwise to speculate upon it."