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F.— 2a. 3 Enclosure 1 in No. 2. Sir Julius Vogel to Mr. Creighton. Sir, — 7, Westminster Chambers, London, S.W., 17th April, 1880. I have the honor to acknowledge the receipt of your letters of 11th and 12th March, and of the printed memorandum on the Postal service and commercial advantages of the trade between the United States and New Zealand and Australia. I desire to thank you for these communications, and to state that I do not believe the Government here would re-open the question. The charge now made is an arbitrary one, and does not depend altogether on the land carriage in America. I have, &c, Julius Vogel, R. J. Creighton, Esq., Agent-General for New Zealand. San Francisco.

No. 3. Mr. Gray to Mr. E. J. Creighton. Sir,— General Post Office, Wellington, 19th June, 1880. I have the honor to acknowledge the receipt of your letter of the Bth ultimo, in continuation of previous correspondence relative to the remission by the United States Post Office of the transit rates on British, Australian, and New Zealand closed mails forwarded vid San Francisco. 2. The Postmaster-General is very pleased to observe the success which has so far attended the negotiations. Pressure of Parliamentary business has, however, prevented him from giving such full consideration to the several points raised in your letter as he would desire. The Postmaster-General regrets he is not in a position to forward by the present mail the necessary documents empowering you to conclude an agreement with the United States Government for the transit of the mails, as the interval between the arrival in and departure of the mails from the Colony has been too short to admit of his obtaining the decision of the Postmaster-General of New South Wales, who has been asked to concur in granting the powers desired by you. The Sydney Office was at once communicated with on receipt of your letter, but sufficient time has not yet elapsed to allow of the receipt of a reply. 3. By the following mail, however, it is hoped that all necessary instructions may be forwarded to you. I have, &c, R. J. Creighton, Esq., W. Gray, Resident Agent for New Zealand, San Francisco. Secretary.

No. 4. Mr. Gray to the Secretary-General, Post Qffice, Sydney. Sir, — General Post Office, Wellington, 29th June, 1880. By direction of the Hon. the Postmaster-General, I have to forward, for the information of the Hon. Mr. Samuel, the accompanying print of a letter and enclosures received by the last San Francisco mail from Mr. R. J. Creigliton, our Resident Agent at San Francisco, having reference to tlie negotiations undertaken by that gentleman, with the object of obtaining a reduction of the high charges at present levied by the United States Post Office, for the overland carriage of the Colonial mails between San Francisco and New York. 2. There is every reason to believe that Mr. Creighton ■will succeed in prevailing upon the United States Post Office to materially reduce, if not altogether abolish, the transit charges. In fact, a recent telegram from San Francisco intimates that the United States Senate had empowered the Postmaster-General to remit the charges altogether- I have to direct special attention to the tenth paragraph of Mr. Creighton's letter, in which he asks for certain powers authorizing him, on behalf of the Governments of New South Wales and New Zealand, to conclude an agreement with the United States Government, for the transit of our mails between New York and San Francisco. The Hon. Mr. Hall is of opinion that discretionary powers within certain limitations might with advantage be given Mr Creigliton, and should the Hon. Mr. Samuel concur, he would propose that the necessary joint authority be sent Mr. Creighton by next mail, who should be clearly informed that any agreement made by him is to be subject to confirmation by the Postmasters-General. 3. I also forward copy of printed papers laid before Parliament, containing correspondence bearing on this matter. As time will not admit of a written reply being received, the Postmaster-General would be glad if you would forward your decision by telegram, prior to the departure of the next outgoing San. Francisco mail. I have, &c, The Secretary, W. Gray, General Post Office, Sydney. Secretary.