H.—l9a.

1925. NEW ZEAL A N D

SMALL-ARMS AMMUNITION (AGREEMENT BETWEEN THE NEW ZEALAND GOVERNMENT AND THE COLONIAL AMMUNITION COMPANY (N.Z.), LIMITED, FOR SUPPLY OF).

Laid on the table of the House in pursuance of Section 87 (e) Defence Act, 1909.

Agreement made the thirty-first day of December One thousand nine hundred and twenty-four between His Excellency the Governor-General of the Dominion of New Zealand (hereinafter with his successors in office called " the GovernorGeneral ") of the one part and the Colonial Ammunition Company N.Z. Limited a duly incorporated Company carrying on business in the Dominion of New Zealand as manufacturers of small-arms ammunition having its registered office at Auckland (hereinafter with its successors and permitted assigns called " the Company ") of the other part Whereas by Memorandum of Agreement dated the fifth day of April One thousand nine hundred and twenty-two the GovernorGeneral acting under the provisions of the Defence Act 1909 as amended by the Defence Act 1914 entered into a contract with the Company for the supply by the Company of Five million rounds of service ammunition per annum for the first five years of the said contract and of Six million rounds of service ammunition for the last ten years of the said contract And Whereas the Governor-General has requested the Company to cancel the said contract and to enter into a new contract for the supply of Three million rounds of service ammunition per annum for a period of fifteen years from the first day of January 1925 which the Company has agreed to do upon certain terms and conditions which have been mutually agreed upon Now THEREFORE THIS AGREEMENT WITNESSETH as follows that is to say : — 1. The said contract of the fifth day of April One thousand nine hundred and twenty-two shall be cancelled by mutual consent as from the thirty-first day of December One thousand nine hundred and twenty-four and these presents shall come into operation as soon as the said contract is cancelled. 2. The Company hereby agrees with the Governor-General that the Company will manufacture small-arms ammunition within the Dominion of New Zealand in such annual quantities as specified in clause 4 of this contract during a period of fifteen years computed from the first day of January One thousand nine hundred and twenty-five (being the term of this contract) Provided that the Company shall not be bound to maintain a monthly supply after the thirty-first day of December One thousand nine hundred and twenty-four of more than Two hundred and fifty thousand (250,000) rounds of service ball ammunition and Twenty thousand eight hundred and thirty-three (20,833) rounds of service blank ammunition Whenever any small-bore-rifle ammunition such as -22 is required by the Governor-General he shall and will during the term of this Contract place all orders for such ammunition with the Company and the Company shall supply such ammunition at a price which shall be calculated by ascertaining the full landed cost of