HUGE COMPANY.

Star (Christchurch), Volume LXIV, Issue 945, 15 December 1933, Page 1

HUGE COMPANY.

Shipping Merger Will Have £23,000,000 Capital. ANOTHER GIANT LINER LIKELY. United Press Assn.—By Electric Telegraph—Copyright. (Received December 15, 9.35 a.m.) LONDON, December 14. It is estimated that the new company formed by the merging of the Cunard and White Star Lines, will control £23,000,000 of capital, 750,000 tons of shipping and a staff of 35,000 ashore and afloat. The “ Daily Telegraph ’’ states that the Treasury is prepared to guarantee £6,000,000 for the completion of the giant Cunarder, which suggests that the building of a sister ship will also be financed, as the work remaining to be done on the present Cunarder is, at the most, about £4,000,000. This will afford direct employment for 3000 and indirect employment for 10,000 or more. HAS LOST POSITION. Shipping Strength Reduced by Half. LONDON, December 13. In the House of Commons, Dr J. W. Leech (Con.) said that Great Britain had lost her proud position since the time when nearly half the shipping of the world flew the Red Ensign. Her tramp ships had been reduced by 50 per cent since 1914, and foreign ships had increased by one-third. The Government had rescued the heavy industries substantially by tariffs, and it should similarly rescue shipping. French subsidies on shipping and shipbuilding in 1932, said Dr Leech, amounted to £4,000,000, Italian £5,000,000 and United States £17,000,000. Mr Neil Mac Lean (Labour) moved an amendment demanding reorganisation of shipping and ship-building under Government control. The Right Hon W. Runciinan (President of the Board of Trade) would make an admirable controller, he said. Mr Runciman said that Labour’s suggestion could be ignored. The experience of the United States and Australia was sufficient to dismiss the idea of Government ownership Mr M’Lean’s amendment was defeated by 221 votes to 34. The debate was adjourned.