F.—6.

siderable influence with Mr. Spreckels. We would recommend, if you think the present time-fable can be greatly improved on, that you pass on your views to the United States Postmaster-General, who could then take up the question of change with Mr. Spreckels. Should you do this we should be very pleased if you would give us an outline of the changes you have suggested, so that we can keep in touch with any alteration which might possibly eventuate. Apart from any future change, we have reason to congratulate ourselves on the change of sailing-date from this port, though, curious to remark, the steamers now seem to be getting into splendid steaming-form. Trusting the future will develop a punctual and a satisfactory service to all the principal points embraced, We remain, &c, Hendebson and Macfaelane. The Secretary, General Post Office, Wellington.

No. 4. Messrs. Hendeeson and Macfablane, Auckland, to the Secbetaby, General Post Office, Wellington. Oceanic Steamship Company (American and Australian Line), Sic, — Auckland, 23rd July, 1902. We have now the honour to forward you the contract for conveyance of ocean mails, hearing the signature of Mr. John D. Spreckels for Messrs. the J. D. Spreckels and Bros. Company, and have to confirm our telegram just despatched apprising you of our intention to post it by this day's mail. Mr. Spreckels writes that in virtue of the understanding between your good self and this firm he has amended clause 9to read seventy-two hours in lieu of ninety-six. He points out that the steamers have at the present time only ten days in Sydney, and are obliged to work continually overtime to be ready for the return voyage to San Francisco. If the English mails arrive late in San Francisco this time is necessarily subject to a further reduction, and imperils the correct delivery of the outward mail at San Francisco. Mr. Spreckels is most anxious to meet your wishes where he can possibly do so, and regrets his inability to bind his company to a delay at San Francisco which might disarrange all the delivery dates on the return trip. Even when the steamers will be delayed seventy-two hours at San Francisco waiting for the mails, considerable expense will require to be borne by the Oceanic Company, as the demurrage of £5 per hour after the .first twelve hours will in no way recoup them for the delay. Mr. Spreckels trusts that you will use every possible effort to have the mails despatched from Europe to reach San Francisco on their due date; also that you will impress on the postal authorities at Home the necessity for despatching their mails by swift Atlantic steamers, and not by a slower boat when a fast steamer belonging to a different company is leaving on the same date. We are confident that you will appreciate the fact that in not pressing Messrs. J. D. Spreckels and Bros, to sign the contract providing for a ninety-six-hours delay at San Francisco you are directly assisting them to maintain time-table dates, and indirectly meeting the wishes of all New Zealand correspondents. Trusting, therefore, that you will accept the enclosed contract with the one amendment made by Mr. Spreckels, We have, &c, Hendeeson and Macfaelane, General Agents for New Zealand. The Secretary, General Post Office, Wellington.

No. 5. Messrs. Henderson and Macfaelane, Auckland, to the Seceetaby, General Post Office Wellington. Oceanic Steamship Company (American and Australian Line), Sic,— Auckland, 23rd July, 1902. We have the honour to refer to you a request from Messrs. the J. D. Spreckels and Bros. Company that your Government consent to the three Oceanic sister-ships now carrying out the mail contract between this port and San Francisco calling at Fanning Island on their way from Auckland and Pago Pago to Honolulu and San Francisco. The request for this call was made to Messrs. Spreckels by Mr. David Cuthbert, Superintendent of the Pacific Cable Board, and the following reply from Mr. Spreckels to. that gentleman will show you the present position. Mr. Spreckels writes to him as follows: " Referring to the conversation between you and our Mr. Samuels in reference to the stoppage of our mail-steamers at Fanning Island on their way from Sydney, Auckland, and Pago Pago to Honolulu and San Francisco, we beg to say that, provided the New Zealand Government desires us to do so, we will call at Fanning Island every twenty-one days with our through steamers. Passenger and freight rates are to be the same as now existing between San Francisco and Auckland. Both passengers and freight would be landed at Pago Pago by our down steamer, and six days later would be taken on board by our up steamer and delivered at Fanning Island. Both passengers and freight would be required to bear their own expenses at the Port of Pago Pago while waiting the arrival of the up-bound steamer. Upon arrival at Fanning Island the steamer must be promptly met by a craft from the shore for the transferring of passengers, mails, and freight. One hour will be the limit of time for stoppage at Fanning Island. Should the weather prove such that it would be impossible to safely land the passengers or freight, then such passengers and freight are to be taken on to Honolulu and -there transferred to the

3