CABLE COMPETITION.

New Zealand Mail, Issue 1717, 25 January 1905, Page 21

CABLE COMPETITION.

COMPANIES IN DIFFICULTIES. MELBOURNE, January 20. A statement has been published -in the press that as the Pacific and Eastern Extension Companies are both losing money, there may be a “pooling" of receipts, a cessation of competition, and the raising of the cable rates. It is incidentally suggested that the postponement of the Pacific Cable Conference may arise from the wish to niece the Eastern Extension Company in euch a position that it cannot fail to agree to pool. The manager of the Eastern Extension Company, in the course of an interview, said it was out of tho power of Ilia company to combine, as suggested, in raising the rates, since the agreement provided that once the rate was reduced it could not be raised. Because of that agreement competition was now acute, hut the rates could not be raised unless the-’ Governments interested in the agreement consented. It would require something as binding as an act of Parliament to do that. MELBOURNE, January 20. The Postmaster-General (the Hon Sydney Smith) declined to say anything regarding the reported pooling rumours or the coming conference. “Something may turn up," he added, “which will warrant me in making some rejiresentations."