’FRISCO MAIL SERVICE.

Gisborne Times, Volume XXV, Issue 2058, 1 May 1907, Page 2

’FRISCO MAIL SERVICE.

Press Association. AUCKLAND, yesterday

Tlio Press Association ’Frisco correspondent states that during the Congress debate on the Shipping Subsidy Bill, an amendment was moved permitting three of the Oceanic Company’s steamers to share the subsidy, though unable to maintain the speed fixed by tlio Bill'. The amendment was defeated by 127 to 112. Subsequently the whole Bill was shelved ior the session, having met violent opposition, and being considered by some as legislation for special interests. The other reason assigned for the withdrawal of the steamers were the cancelling of New Zealand’s mail contract and preferential duties against American products, notably paper and salmon, which caused a reduction in tlio freight business of nine shiploads out of fifteen previously carried during.the year. Regular dividends were paid until 1902, since which time several hundred thousand dollars have been lost. The steamers Ventura, Sierra, and Sonoma will probably be sold. It is reported a Japanese company may purchase them. The likelihood of the exclusion of Japanese laborers and the possibility of competition between the Pacific coast and the French islands may cause the Oceanic Company to abandon business altogether. About 600,000 dollars a year will be lost to San Francisco business interests, and one thousand men will lose employment. The net loss in 1906 was 103,970 dollars. Overdraft is due to J. i). Spreckels and Co. of 1,877,1/9 dollars.