PACIFIC MAILS.

Dominion, Volume 7, Issue 1872, 4 October 1913, Page 7

PACIFIC MAILS.

j SAN FRANCISCO CONTRACT. RENEWAL QUESTION. Tho three years' contract entered into by tho Union S.S. Company with the Government of New Zealand expires on October 31, and the question of its renewal is now under consideration by tho Postmaster-General (the Hon. R. H. Rhodes), who will consult with the Ministry before any definite pronouncement is made. Sir Jamos Mills, managing director, of tho Union S.S. Company, arrivod from the south yesterday : morning, and in the course of tho day had an interview with tho Postmaster- . General respecting tho Wellington-Sail, Francisco sorvico. When seen by a Dominion representative yesterday- afternoon, Sir James Mills made some mention of the San Francisco servico. Ho remarked that he was not in a position to say whether the sorvice would bo continued, as tho company had not been advised of tho Government's intention to renew at. In consequenoe of this tho company was. not in a position to make arrangements ahead or deal with shippers for cargo space. Whilst Sir James Mills was not ablo to stato anything definite, ;• is thougnt that the contract will bo renewed, but upon, what terms' cannot bo stated. In the meantime tho Union Company, acting, on that. assumption, are announcing steamers /to leavo Wellington for San Francisoo as far ahead as January '2. The Willochra is only making ono trans-Pacific trip. On her return she will be plaoed in the intercolonial trado for the summer months.. Tho Aorangi will take her • place in the San Fran-cisco-Wollington running. , The contract now running out provides for tho payment of a subsidy of £21,666 per annum to the Union Company for a term of three years. That amount was debited in equal amounts to the Post and Telegraph Department and tho Department of Agriculture and Commerce. Incidentally it is of interest to noto that the Auckland-Vancouver scrvice contract with the Union Company has two years yet to run. Tho subsidy paid by the Government is Shared equally by the same two Departments which foot the bill for the . San Francisco servico subsidy.; Sir James Mills stated in the course of the ■ interview that the company had recently called for tenders for the building of two large passenger steamers, but nono had been acooptcd so far. In calling for the tenders the company had- the continuation of the Vancouver service in view. / ,