D.—No. Ib

ecutors, administrators and successors, do hereby respectively covenant and agree to and with the other of them and their respective executors, administrators, and successors, in manner following, that is to say — 1. All other contracts at preseut subsisting between the said parties hereto for the steam postal services are hereby cancelled and terminated, save and except the service between AVellington, Wanganui, Taranaki, Raglan, and Manukau, which will cease and determine on the 31st day of May, 1864. 2. From and after the date hereof, and for twelve calender months thence next ensuing, the said New Zealand Steam Navigation Company shall, with two of tho after-mentioned steamers, viz., ' Wellington,' ' Lady Bird,' ' Queen,' or other steamers authorised by the said Postmaster-General, perform two services monthly between Auckland and Otago via the East coast of New Zealand, leaving Auckland on the 13th and 23rd of each month, and leaving Otago on the 10th and 30th of each month, according to Time Tables, Nos. 1 and 2, hereunto annexed, subject to variation of dates as hereinafter mentioned. 3. From and after the date hereof, and for twelve calendar months thence next ensuing, the said New Zealand Steam Navigation Company shall, with one of the afore-mentioned steamers, or other steamer authorised by the Postmaster-General, perform a service monthly between Manukau and the Bluff, leaving Manukau on the 18th and the Blurt' on the 2nd of each month, according to Time Table No. 3, hereunto annexed, subject to variation of dates as hereinafter mentioned. 4. By the aforesaid steam postal services, the said Company shall receive and safely carry Her Majesty's mails, and provide all necessary accommodation therefor, to the satisfaction of the said Postmaster-General, and shall deliver the same over the ship's side at the respective ports of call free of charge, other than the payments hereinafter mentioned. 5. By each of the aforesaid steamers the said Company shall, if required, provide a free cabin passage, fare, and accommodation, for one person in charge of the mails, in accordance with written instructions from the said Postmaster-General. 6. The aforesaid steamers shall (weather permitting) proceed on their respective voyages from Auckland and Otago at noon, or as near thereto as the tide will permit on the respective dates mentioned in the said Time Tables hereunto annexed, or on such other dates as may be fixed as hereinafter mentioned, and shall not, in their respective voyages between the said ports, exceed tbe time allowed by tho said Tables. Provided always that it shall be lawful for the said Postmaster-General, or his authorised agent at either ofthe said ports, to detain without charge either ofthe said boats for the period of twenty-four hours, and to detain them for such further time as he shall think proper on payment of a bonus of fifty pounds (£SO) per day, not exceeding three days, the said Company paying a liquidate penalty of fifty pounds (£SO) for each day, or part of a day, they do not (weather permitting and accidents excepted) proceed from the aforesaid ports at tho times appointed. 7. In consideration of the punctual performance of the aforesaid services, the aforesaid Postmaster-General shall, out of moneys voted by the Parliament of New Zealand, pay to the aforesaid Company the sum of three hundred and seventy-two pounds ten shillings (£372 10s.) per month for each of the aforesaid services, or One thousand one hundred and seventeen pounds ten shillings (£lll7 10s.) per mouth for the three services, on the certificate of the Secretary of the General Post Office that the said services respectively have been duly performed. 8. The said Postmaster-General shall be at liberty, on reasonable notice, to alter the dates of sailing mentioned in the said Time Tables hereunto annexed, provided such alteration does not, without consent of the Company, shorten the times of remaining at the several intermediate ports of New Zealand respectively. 9. This contract shall continue in force until terminated by two month's notice by either of the said parties hereto, provided that it shall not be terminated by such notice sooner than the aforesaid period of twelve months—such notices to be delivered at the offices in Auckland of the respective parties hereto. In witness whereof the said parties to these presents have hereunto set their hands the day, month, anl year first above written. Thomas B. Gillies : R. J. Duncan. Signed by Thomas Bannatyne Gillies, Postmaster-General of New Zealand for the time being, in presence of G. Eliott Eliott, Sec G. P. O. Signed by Richard John Duncan, Manager ofthe New Zealand Steam Navigation Company (Limited), for and on behalf of the said Company, in presence of S. Cabroll, Secretary to the Wellington Chamber of Commerce.

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NEW ZEALAND MAIL SERVICE.