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No. 15. The Agent-Geneeal to the Hon. the Postmaster-General. Sir,— 7, Westminster Chambers, London, 22nd February, 1883. Since writing to you on the 9th instant, the forms of tender and contract for the proposed direct steam service have been finally settled in consultation with Mr. Mackrell and Mr. Dennistoun Wood, Q.C., and I now send you a hundred copies of each by book-post, as well as three copies herein.* You will find that there is no material variation in these forms from the ones I sent you on the 9th instant, as it seemed to me inexpedient to run the risk of much alteration, in case you should have distributed the latter. The New Zealand Shipping Company have now issued an advertisement, of which I enclose a copy, announcing the departure of a monthly line of powerful steamers direct. I. should think this is likely to be followed by a similar announcement from the Albion-Shaw-Savill Company, which cannot afford to be left out of the trade by steam. It may thus be that what so many have said about " steam coming, subsidy or no subsidy." will happen sooner than any of us thought. In the meanwhile there have been many inquiries for the forms of tender and contract here, and it can hardly be that they should have been made without any intention of tendering. I have, &c, The Hon. the Postmaster-General, Wellington. E. D. Bell.

No. 16. The Hon. the Postmaster-General to the Agent-General. Sir,— General Post Office, Wellington, 20th April, 1883: I have the honour to acknowledge receipt of your several letters noted in the margin (the 6th and 24th January, Nos. 3 and 23 ; and the 7th, Bth, 9th, and 22nd February, Nos. 54, 55, 56, and 68), in connection with the direct-steam-service question, That of the 22nd February covered the finally revised forms of tender and contract, which have been duly received. The Government recognize the many difficulties you had to contend with, and the labour involved in the preparation of these documents, which bear marked evidence of very great care and thought having been given to their compilation. I much regret to learn that your illness was so severe as to interfere with the discharge of your duties ; and the Government fully recognize that the delay in issuing advertisement and tender forms was wholly beyond your control. The alterations you have made in the conditions of the contract commend themselves to the Government. Indeed, it was manifest at the outset tßat you should have discretionary power, as it was found impossible for any set of conditions suitable in all respects to the character of the service and the class of vessels to be employed to be drawn and decided upon in the colony. I have had the forms widely distributed, and forwarded copies to the owners and agents of such steamship lines as I supposed to be in a position to tender. So far, no tender has been received, but I hope several tenders for the service may be lodged with you. Mr. Coster has gone to London in connection with matters relating to the service, and I believe he is anxious to come to an understanding with the Albion-Shaw-Savill Company as to the tendering. If a combination is not possible, there is little doubt a tender will be received from each company. In any case I think it may be assumed that the direct steam service is even now an accomplished fact. Again thanking you for the very great care and attention you have given to this matter, I have, &c, Sir F. D. Bell, K.C.M.G., Thomas Dick, Agent-General for New Zealand, London. Postmaster-General.

No. 17. The Agent-General to the Hon. the Premier. London, 30th April, 1883. Direct Service. No tenders received.

No 18. The Hon. the Premier to the A gent-General. Wellington, Ist May, 1883. Direct Service. No tenders received here.

No. 19. The Hon. the Postmaster-General to the Agent-General. Sir,— General Post Office, Wellington, 19th May, 1883. When writing you last mail I did not anticipate there would be no response to the advertisement calling for tenders for the direct steam service, and the result has been somewhat of a surprise to the Government. It was believed that one or other of the shipping companies already in the New Zealand trade would have tendered. The nominal subsidy, coupled with the fact that shipowners regard the conditions as most stringent, may have deterred persons from tendering; but it is probable this is not the only explanation for the non-receipt of offers from either the New Zealand Shipping

* For particulars and conditions of contract, vide F.-2A.

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