35

B.—ll

other on the basis of the market rate of each. That the calculations should be made by an actuary would not, in the sense I meant, constitute it an actuarial equivalent. As regards an actuarial equivalent, I think I quite explained that in my understanding it meant a bond of equal intrinsic value irrespective of market caprice. In the one case, in fact, the actuarial equivalent would mean that a bond, of precisely an equal value should be substituted for the other, whilst, in the other case, the market equivalent would mean that a bond of equal value in the market should be substituted, having regard to the possibly higher market value of a bond of one denomination over that of another. If my memory serves me rightly, in the letter to which I refer, I expressly pointed out that the tables sent me by the Agent-General dealt partly with market and partly with actuarial equivalents. I shall be glad to know that our understanding is the same upon this subject, as these terms may from time to time have to be usefully employed. I have &c, The Agents for New Zealand Loans, London. Julius Vogel.

No. 78. The Loan Agents to the Colonial Teeasueee. Sic, — 7, Westminster Chambers, London, S.W., 19th December, 1884. We have the honour to acknowledge the receipt of your letter of the Bth November, No. 8, and to inform you that the drafts for £100,000, referred to therein, were duly presented to-day and accepted. We have, &c, P. G. Julyan, F. D. Bell, The Hon. the Colonial Treasurer, Wellington. Loan Agents.

No. 79. The Loan Agents to the Colonial Teeasurer. Treasurer, New Zealand, (Beceived 6th February, 1885.) Youe letter of 24th November received. Please reply to proposal contained in our letter December first respecting exchange Consolidated Loan 1867 for five-per-cent. debentures ; it has important bearing on questions raised by Stock Act eighty four, and we still think our proposal would be preferable to provisions that Act so far as concerns Consolidated Loan 1867. Loan Agents, London, 5.

No. 0 . The Colonial Teeasurer to the Agent-General. Agent-General, London. Waiwera, 6th February, 1885. Loan Agents. Important not allow conversion interfere with negotiation million and a half which desire immediately we think market favourable after end of March. Act eighty-four aids proposal letter December first by enabling creation short-dated debentures. Agree five-per-cent. debentures not desirable ; still, if great quantity Consolidated Loan 1867 obtainable, willing exchange par five-per-cent. debentures make period of currency five years with option convert during first four years into inscribed stock at following rates: 105 per 100, or immediate exchange debentures for stock at following rates : 109 inscribed stock per 100 Consolidated Loan 1867. Beply.

No. 81. The Loan Agents to the Colonial Teeasueee. Treasurer, New Zealand. (Beceived 9th February, 1885.) Conveesion. Yours to-day. Firstly, we think our proposal would not materially affect million and a-half; that issue must be deferred some months. Secondly, must postpone answer few days respecting exchangeable quantities. Thirdly, we did not regard Act as antagonistic to proposal. Loan Agents, London, 7.

No. 82. The Loan Agents to the Colonial Treasures. Sib, — 7, Westminster Chambers, London, S.W., 30th December, 1884. We duly received your letter of the Bth November, No. 7, informing us that you were unable to write by the mail then leaving, as the session was closing that day.