AIR SERVICES

Waikato Times, Volume 121, Issue 20270, 12 August 1937, Page 5

AIR SERVICES

HITCH IN NEGOTIATIONS. NEW ZEALAND AND AMERICA. A CRITICAL STAGE REACHED. United Press Assn.—Elec. Tel. Copyright. WASHINGTON, Aug 10. The Australian Associated Press says it learns authoritatively that the negotiations between the New Zealand Government and Pan-American Airways are at a very critical stage and it is feared that they may be broken off. It is understood that the issue is whether imperial Airways should he allowed to maintain a New ZealandNorth American service, which would be virtually competitive with PanAmerican Airways. It is believed that the New Zealand Government is insisting that Imperial Airways should be given landing rights at Honolulu and San Francisco, thus making it possible for Imperial Airways to carry New Zealand and Australian passengers desirous of crossing to the United States, Imperial Airways' normal terminal being Vancouver. It is believed that the Imperial Airways Company is offering a plan whereby passengers would use tickets inter-changeable on both lines. Visit to New Zealand. The negotiations between the State Department, the British Embassy, PanAmerican Airways and Imperial Airways have reached a point where the Pan-American -Company’s principal negotiator probably will proceed to New Zealand In a few days in an effort to secure a closer approximation to the Dominion Government’s alleged original promises. PRIME MINISTER’S STATEMENT., INFORMATION AWAITED. POSITION SHOULD BE CLARIFIED. (Special to Times.) • AUCKLAND, Thursday. The Prime Minister, the Right Hon. M. J. Savage, when approached by telephone last evening regarding the hitch which has arisen in connection with the Pan American Airways service stated that he was awaiting detailed information from the Minister of Finance (the Hon. W. Nash) who Is due here on Saturday. He added: “Our negotiations with Pan-Ameri-can Airways have brought us to the point where we are simply asking that the part of our agreement with the company providing for reciprocal landing rights for British enterprise should be tested. Our position Is that we have been dealing with a private company, not another Government, and it is only a Government that can have an authoritative voice on the question of reciprocal landing rights. “However, the fact remains that Pan-American Airways are coming here under the terms of an agreement which provides for reciprocal rights. We have accepted that agreement, although it was made by our predecessors. It should not be too much to ask that the position regarding those reciprocal rights should be clarified- “ The position as a whole is not without its difficulties, but until I have an opportunity of discussing the latest developments with Mr Nash I do not want to say anything which might endanger the prospects of what otherwise appears to he a most desirable project.” THE AUSTRALIAN LINES. A COMPETITIVE SERVICE. PLANS OF AN AMERICAN. United Press Assn.—Elec. Tel. Copyright. (Received August 12, 11.30 a.m.) DENVER, August 11. Mr Seth Terry, a Denver mining man, interviewed by the Australian Associated Press regarding rumours that lie is planning to buy up the existing Australian lines, said the stories are absolutely false. Actually lie is planning to run a competitive service against them. REMARKABLE PROGRESS. LONDON TO PARIS SERVICE. 18TII ANNIVERSARY CELEBRATED. (Omctul Wireless.) * (Received August 12, 1 p.m.) RUGBY, August 11. This month will see the eighteenth anniversary of the British air passenger and freight service between London and Paris, which was the first of its kind in the world. Remarkable progress has been made since then, when half-a-crown was charged to send a letter the 250 miles between the two capitals. To-day a letter can be sent 8000 miles from England to South Africa for lid.