P.—3d

4

your colonies from whom I have heard, that it seems but reasonable that your Government should m mediately grant the privilege of the C route, pending the time that may be necessary to secure such action of their respective Parliaments as they may deem necessary. After the foregoing, I need not urge upon you the importance of an early decision of the case. If the cable is working, please communicate by it. Yours, &c, Wm. P. Clyde, Messrs. Gilchrist, Watt, and Co., Sydney. President.

Enclosure 3 in No. 8. Copt of Coeeect Cableoeam from Pacific Mail Steamship Company. New York, 13th July, 1876. Negotiate change of route. If via Honolulu-Auckland: Time to latter, 570 hours. Sydney, 674. Honolulu-Bay of Islands, 562. Sydney, 670. If ten-knot schedule impossible, no coastal service. Subsidy should be £80,000, as steamers employed exceed in power and capacity contract stipulation. Experience shows fixed monthly date sailings to be most advantageous to correspondents and passengers, hence ask monthly trips. Messrs. Gilchrist, Watt, and Co.

Enclosure 4 in No. 8. Mr. Lambton to Messrs. Gilchbist, Watt, and Co, Gentlemen, — Sydney, 21st September, 1876. I am directed to state, in reply to your letter dated the 15th instant, that the PostmasterGeneral is disposed to give due consideration to the representations of the Directors of the Pacific Mail Steamship Company, and that he has placed himself in communication with the Government of New Zealand in reference to the proposals of the Directors, and hopes to be in a position to inform you definitely, before the departure of the next mail, the intentions of this Government in relation thereto. I have, Ac, S. H. Lambton, Messrs. Gilchrist, Watt, and Co., Sydney. Secretary.

No. 9. Mr. Geat to Messrs. Gilchrist, Watt, and Co. Gentlemen, — General Post Office, Wellington, 7th October, 1876. I have been directed to acknowledge the receipt of your communication of the 29th ultimo, having reference to the proposed change in the route of the San Francisco Mail Service, and enclosing various copies of correspondence bearing on the subject. 2. I have to inform you that the resolution of the Select Committee of the House of Representatives is now under the consideration of Parliament, and a decision will probably be arrived at on Monday or Tuesday next, which will be at once communicated to you by telegram. 3. I am directed by the Postmaster-General to express regret at the delay which has occurred in this matter. I have, &c., W. Gray, Messrs. Gilchrist, Watt, and Co., Sydney. Secretary.

No. 10. Messrs. Gilchrist, Watt, and Co. to the Hon. the Postiiastee- General, "Wellington. (Telegram.) Sydney, 9th October, 1876. Referring to letter twenty-ninth ult.: Please grant permission to our mail steamers via Auckland or Bay Islands, pending approval of Parliament of direct service. Otherwise, Pacific Mail Company instruct us to send our mail direct Home to 'Frisco, as they will not again risk their large vessels on coastal service. Please communicate to this Government your decision, as prompt action is necessary, and we think it is generally admitted that it is most undesirable now to allow this important service to be abandoned. Gilcheist, Watt, and Co., The Hon. the Postmaster-General, Wellington.

No. 11. Mr. Gbay to Messrs. Gilchbist, Watt, and Co. v (Telegram.) "Wellington, 11th October, 1876. QtrESTiox"Pacific Mail Service comes before Parliament this week. Decision will be communicated as soon as possible. W. Geat, Messrs. Gilchrist, "Watt, and Co., Sydney. (for Postmaster-General.)