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No. 59. The Union Steamship Company, Dunedin, to the Secretary, General Post Office. Union Steamship Company of New Zealand (Limited), •Sir,— Dunedin, 25th November, 1885. I have the honour to advise you that the steamship " Mararoa " arrived at Hobart on the afternoon of Monday, 23rd instant, and sailed from that port for Sydney at 6 o'clock this morning. We learn by cable from Hobart that she will require six days for overhaul at Sydney, and this may consequently make her a day or two late in leaving with the first mail. I hope, however, that, under the circumstances, you will be disposed to accede to this. We further propose to depart from the terms of the contract by running the steamers through from Sydney to San Francisco in the meantime, and so avoid the transhipment at Honolulu provided for in the contract; and I trust that this will meet the approval of the department. Your telegrams regarding the accommodation to be provided on board the steamers to enable the officers of your department to carry out their duties efficiently, will have my best attention, and, if necessary, instructions will be sent to Sydney accordingly. I have, &c, B. P. Houghton, The Secretary, General Post Office, Wellington. (For Managing Director.)

No 60. Mr. Gray to the Secretary, General Post Office, Sydney. (Telegram.) Wellington, 28th November, 1885. Union Company applied to despatch "Mararoa" from Sydney on fourth, and to run through Frisco without transhipping Honolulu. Postmaster-General agrees, subject Hon. Mr. See'fl concurrence. The Secretary, General Post Office, Sydney. W. Geay.

No. 61. The Secretary, General Post Office, Sydney, to the Secretary, General Post Office, Wellington. (Telegram.) Sydney, 30th November, 1885. Me. See thinks would be unwise sanction any variation of terms contract. Better let contractor's take risk of consequences of any alteration. Eighth clause provides penalty for non-starting appointed time, but there is provision to remit penalty. Mr. See thinks sanction for steamer proceed through Frisco unnecessary. Secretary, Secretary, Post Office, Wellington. Post Office.

No. 62. Mr. Geay to the Managing Director, Union Steamship Company, Dunedin, Sir, — General Post Office, Wellington, 2nd December, 1885. I have the honour to acknowledge receipt of your letter of the 25th ultimo concerning the starting of the s.s. " Mararoa "on the first voyage of the new San Francisco mail service, &c. The matters in question have, in the meantime been disposed of by telegram. I have, &c. The Managing Director, Union Steamship Company W. Gray, of New Zealand (Limited), Dunedin. Secretary.

No. 63. The Agent-General to the Hon. the Postmaster-General. Sir, — 7, Westminster Chambers, London, S.W., sth October, 1885. I have to acknowledge the receipt of your letter of the 14th August, transmitting the revised conditions of the San Francisco service, and calling my attention to the debates on the subject in the House of Representatives. I need hardly say that I shall be very glad to give any assistance which the Government may call upon me for. Your telegram of the 29th September reached me in due course as to the best days for the departure of mails in this hemisphere; and, after consulting the General Post Office, I returned you a message stating that Thursday was considered the best day for London, and Saturday from New York. I enclose herewith copy of a letter I lately received from Mr. William Pearce, stating that he intended to perform his part under the existing contract by sending on the mails of the sth November from San Francisco on the 21st, in his steamship " Zealandia." I have, &c, The Hon. the Postmaster-General, Wellington. F. D. Bell.

Enclosure in No. 63. Mr. Pbakce to the Agent-General. Sir, — Fairfield Works, Govan, near Glasgow, 28th September, 1885. With reference to a circular as to the cessation of the mail service between San Francisco, Auckland, and Sydney, recently issued by the Pacific Mail Steamship Company, the contractors, for