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No. 43. The Secretary, General Post Office, Wellington, to the General Manager, Union Steam Ship Company, Dunedin. Sir,— General Post Office, Wellington, 11th October, 1911. In reference to your letter of the 29th ultimo, respecting payment for the inward conveyance of mails from the United States and other countries by the New Zealand-San Francisco contract steamers, I have the honour to inform you that the Department is awaiting a reply from the Washington Post Office, and, pending the receipt of a reply, would prefer that the matter be not represented by your San Francisco agents. I have, &c, D. Robertson, Secretary. The General Manager, Union Steam Ship Company of New Zealand (Limited), Dunedin. [Wn.-S.F. 11/279.]

No. 44. The General Manager, Union Steam Ship Company, Dunedin, to the Secretary, General Post Office, Wellington. Union Steam Ship Company of New Zealand (Limited), Sir,— Dunedin, 28th October, 1911. With reference to your favour of 11th instant, regarding payment for mails from United States, &c, I now enclose for your information copies of the statements accompanying payments made by the Washington Post Office Department, through our San Francisco agents, for the quarter ended 30th June, 1911. In accordance with your desire, expressed in your letter referred to above, we are not addressing our San Francisco agents on the subject of these payments, and will just allow them to continue receiving the remittances as forwarded by the AVashington Post Office, pending further communication from you. I have, &c, R. McK. McLennan, for General Manager. The Secretary, General Post Office, Wellington. [Wn. -S.F. 11/288.]

Enclosure 1 in No. 44. The Second Assistant Postmaster-General, Washington, to the Agents, Union Steam Ship Company, San Francisco. Sirs, Post Office Department, Washington, 10th August, 1911. I have the honour to report that the steamers of the Union Steam Ship Company have conveyed foreign closed mails from San Francisco to and via New Zealand during the quarter ended 30th June, 1911, as follows : —

Francs. 3,100,754 grams of letters at 4f. per kilo. .. .. .. 12,403-01-12 29,450,082 grams of prints at 50 cm. per kilo. .. .. .. 14,725-04-20 Total compensation allowable . . . . . . . . 27, 128-05-14 f., ■ or $5,235-72 I have, etc., John W. Hollyday, Second Assistant Postmaster-General, The Union Steam Ship Company, J. D. Spreckels Bros, and Co., San Francisco. [Wn.-S.F. 11/286.]

Date. Date. i Vessel. • Letters. Prints. I • 1911. ipril 5 Maitai lay 3 Manuka lay 31 Maitai une 28 Aorangi Grains. 624,675 1.072.681 1,088,221 315,177 Grams. 7,516,600 7.448,512 9,882,774 4,602,196 3,100,754 29,450,082