U.S. MERCHANT FLEET.

New Zealand Herald, Volume LX, Issue 18412, 30 May 1923, Page 9

U.S. MERCHANT FLEET.

FAILURE" OF SALE PLAN. DISAPPOINTING OFFERS. GOVERNMENT OPERATION. By. Telegraph— Association—Copyright. (Received 7.7 p.m.) A. and N.Z. WASHINGTON, May 28. The United States Shipping Board anD ounces that offers have been received for vessels' of 18 foreign services which the board conducts. The offers are extremely disappointing, only four out of 20 giving hope of possible sales. These pertain to the Oriental and South American routes. Bidders completely ignored the Atlantic services. Direct Government operation of the board's lines now seems certain. Following a conference between the President, Air. W. G. Harding, and the Shipping Board last month it was announced that the Government would remain in the shipping* business until it could' sell its vessels without unjustiable loss . The statement declared that with the failure of the Subsidy Act the Shipping Board was confronted with ' * vast possession of ships and heavy'losses under the existing plan of allocated operation under managing agents. The board would proceed to consolidate the foreign trade lines, and then offer these ships. for sale on suitable guarantees of a maintained service. If such sales could not .'be'made without unjustifiable sacrifice of the ships, the Government would proceed ■ to direct Government operation, aggressively pursued. *