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should this be agreed to, and the contractors fall in with the proposal-., you should have little difficulty in negotiating with the Imperial authorities for an extension of existing arrangements. Indeed, you might at once communicate with the Post Office and ascertain definitely whether a three years' extension of the present San Francisco and Direct services on existing conditions would be acceptable. I have, &c, P. A. Buckley, Sir F. D. Bell, K.C.M.G., C.8., For the Premier. Agent-General for New Zealand, London.

DIRECT MAIL-SERVICE.

No. 64. The Hon. the Premier to the Agent-General, London. (Telegram.) Wellington, 9th September, 1890. Direct Service.—Urge Imperial Post-office allow one shilling books, fivepence newspapers. House considers Thursday.

No. 65. The Agent-General to the Hou. the Premier. (Telegram.) London, 9th September, 1890. Message received to-day. Imperial Post Office decidedly refuses, and while the question is still unsettled Frisco, will not now advise Imperial Treasury do more than halve Direct subsidy, each retaining postages.

No. 66. Mr. Gray to the Secretary, New Zealand Shipping Company. Sir,— General Post Office, Wellington, 26th September, 1890. I have the honour, by direction of the Postmaster-General, to forward you six copies of the resolutions agreed to by the House of Eepresentatives on the 13th instant, under which the Government is authorised to renew the existing San Francisco and Direct mail-service contracts for another twelve months. The Hon. Mr. Mitchelson would feel obliged by your bringing the resolutions under the notice of your Board forthwith, and favour him with an early reply whether the Board is prepared to continue the Direct service on the terms mentioned in section (b) of the third resolution. The existing contract-conditions have been altered in the following particulars: Bonus for early arrival abolished, steamers not liable for penalties except when late delivery of mails exceeds fortyeight hours; and payment of light, harbour, and other dues to be made by the company. I should add that from the statement appended to the original resolutions (which have already been sent you), it is estimated that the payment to your company under the new proposals for the year would amount to £8,605. I have, &c, W. Gray, Secretary. The Secretary, New Zealand Shipping Company (Limited), Christchurch.

No. 67. Mr. Gibbs to the Secretary, General Post Office, Wellington. The New Zealand Shipping Company (Limited), Christchurch, Sir,— 9th October, 1890. I have the honour to acknowledge receipt of your letter of the 26th ultimo, with copy of the resolutions agreed to by the House of Eepresentatives, authorising the Government to renew the mail-contract with this company for one year. In reply, I am directed to inform you that the question of renewing the mail-contract is now under the consideration of the directors of this company, but, in consequence of our having received the following cable, dated London, 6th instant, any decision on the matter has been postponed for the present : " Mail-service.—Eecommend delay acting pending agreement between Agent-General for New Zealand and the Imperial Government." The writer will be in Wellington early next week, and hopes to have the honour of calling upon you in reference to the above. I have, &c, Isaac Gibbs, Secretary. The Secretary, Post-office and Telegraph Department, Wellington.

No. 68. The Hon. the Pkemibk to the Agent-General, London. (Telegram.) Wellington, 13th October, 1890. Direct Service.—London Board advised New Zealand Shipping Company not contract pending result negotiations yourself Imperial Post Office. What is position?