THE OCEANIC COMPANY.

New Zealand Herald, Volume XLIV, Issue 13497, 25 May 1907, Page 5

THE OCEANIC COMPANY.

CLOSING OF NEW ZEALAND

OFFICES.

STATEMENT BY MR. SPROUL.

Interviewed by a Herald reporter last evening concerning the cabled announcement that ; the Oceanic Steamship Company had decided to close its Sydney office, Mr. V. A. Sproul, the local representative of the company, stated, that the news! did not come to him as a surprise. "As a matter of fact," he said, "I have been expecting it for the last fortnight. The cable, as it applies to Sydney, also "■ applies here; The local office and the various agencies will be closed as soon as I can get everything fixed tip, which will probably be about June 30. The company's property here, consisting of gear on the wharves and office fittings, will be sold."

Asked as to what would be his movements after the end of next month, and whether he was likely to proceed to America, Mr. Sproul stated that he expected to receive a letter from; San Francisco next week detailing more fully the desires of the company. " There is one statement which I wish to make in conclusion," said Mr. Sproul. "The withdrawal of the Oceanic Company is the natural result of the failure of the Ships Subsidy Bill to pass Congress at its last session, and until that Bill, or. some such Bill, is passed, it is not at all,likely that the company will resume operations in the Pacific. The company has no grudge against New Zealand; the opposition to the service in the colony was partly natural as the steamers did not fly the British flag. Though the Oceanic Company now withdraws, the San Francisco route remains now and ever the natural mail route to England. Events of the last week or two only show how economically. New Zealand lias had hei mails carried; £18,000 was the highesi figure paid for the maintenance of a 28-days service to London throughout a year, anc the time-table was strictly adhered to unti April, 1906.* ;; ( '

" Some 'New Zealand journals declaimed the San Francisco service, even at its best," continued Mr. Sproul, "and they now have more time on hand to show what it costs to forward mails by an alternative service. If New Zealand determines that' sentiment must altogether overshadow economy the country will have to pay a huge sum for even a 28-days' service to London by any other, route than San Francisco. Personally, I am confident that in the near future the colony will conclude that the despatch of mails must be treated on a purely business basis, and that in granting, say, £25,000, v or at the most £30,000, to a San Francisco service, the difference between that sum and the amount necessary to subsidise another route ■■ can be expended to better advantage than on a sentiment which will pay no dividend." ,