F.—4,

22

lII.— As to New Zealand Cable.

6. That the Company's ship be free of port dues, and be allowed the use of the Government docks and stores for repair. That all cable stores and materials be admitted into the colony free of Customs duty. That the Company be free from income tax. The Company do not see their way at present for a cable to the northward of New Zealand being remunerative, and therefore, in the absence of an adequate subsidy, they are unable to entertain the proposal for laying the cable to New Caledonia and Fiji.

No. 4.

Easteen Extension Austealasia and China Telegbaph Company (Limited) to Mr. Beee. My deab Beee,— 66, Old Broad Street, London, E.C., 26th April, 1875. As the result of the conference which has taken place here this afternoon between you, Mr. Pender, Sir James Anderson, Mr. Wells, and myself, I am prepared to accept the carrying out of the proposed cable connection between Australia and New Zealand on the following terms, viz.:— 1. The New Zealand Government to pay us an annual subsidy of £7,500, payable half-yearly, for ten years from the date of opening of the cable. 2. The tariff to be 7s. 6d. per message of ten words, and 9d. for every additional word. 3. The tariff to be reduced to ss. for ten words, and 6d. for every additional word, whenever the average number of messages during the preceding six months has amounted to two hundred per day. 4. Exemption from Customs dues and taxation, as mentioned in clause 6 of our original proposition. i 5. Undirected messages to be sent by our lines for a period of twenty years, similar to the provisions of the agreement between the Anglo-American Company and the English" Post Office. 6. That land be granted for stations, &c, as per clause 4 of our original propositions. 7. That Government make necessary connections between this Company's terminus and their own system. We are further prepared to reduce the tariff between Port Darwin and London to £3 per message of ten words, and 6s. for every additional word, in consideration of a subsidy from all or any of the colonies interested, amounting together to a sum of £20,000, payable half-yearly: this arrangement to be in foroe for a period of ten years. Tours faithfully, T. G. Gloves.

No. 5. Messrs. J. Mackeell and Co. to the Hon. Sir J. Vogel. Deae Sib, — 21, Cannon Street, London, 10th July, 1875. We obtained yesterday from Messrs. Ereshfields.just at the last moment, and in time for the mail, a copy of the report of Messrs. Clark, Porde, and Co. to the Company, on the cable proposed to be constructed. Sir Daniel Cooper requested that a copy might go to the Colonial Secretary at Sydney, and we therefore thought it right to forward a copy to the Colonial Secretary at Wellington, which we did. We send you a copy enclosed, together with copy of a letter from Messrs. Freshfield to us, and copy of the letter, therein referred to, from the Secretary to the Company to them. We prepared and forwarded to Mr. Eox, to send out to New Zealand, a report upon the arrangement made with the Telegraph Company, and sent a copy to Sir Daniel Cooper for him to send out to Sydney, which he did yesterday. Shall we send you a copy thereof? We have, &c., The Hon. Sir Julius Vogel, K.C.M.G. John Mackeell and Co.

See F —6c, 1875, No. 1.

Enclosure. Messrs. Fbeshflelds and "Williams to Messrs. J. Mackbell and Co. Deab Sies,— 5, Bank Buildings, E.C., 9th July, 1875. ¥c beg to enclose a copy of the report made by Messrs. Clark, Forde, and Co., the engineers of the Eastern Extension Australasia and China Telegraph Company (Limited), to the Directors of that Company, regarding the sufficiency of the type of cable selected for the line between Australia and New Zealand. We enclose, also, the copy of the letter from the Secretary of tho Company which accompanied it, in which you will find Bet out the resolution of the Board adopting the type. We beg to add, that we have prepared a contract between the Eastern Extension, &c, Company, and the Construction Company, for the manufacture and laying of this cable ; and this will be in the hands of the Construction Company and their solicitors this afternoon, or, at latest, the first thing to-morrow morning. We shall be glad if, at your early convenience, you will, as a matter of form, obtain the approval of your constituents to the type of cable selected by the Company, as arranged. When the contract with the Construction Company ia completed, we will produce it to you for their inspection. We are, &c, Messrs. J. Mackrell and Co. Eeeshfields and Williams.