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No. 86. The Hon. Sir H. A. Atkinson to the Postmaster-General, Sydney. (Telegram.) Wellington, 12th April, 1889. Frisco service : Should fortnightly service be established by direct steamers, and it decided we shall not join you in renewal, our postages by Frisco line, at the rates you name, are estimated at six or seven thousand pounds a year. Although vote of Parliament prevents us making an offer, we shall be glad to receive and submit to Parliament any proposals your Government may be disposed to make. The Postmaster-General, Sydney. H. A. Atkinson.

No. 87. The Hon. D. O'Connor to the Postmaster-General, Wellington. (Telegram.) Sydney, 13th April, 1889. My telegram apparently misapprehended. What we asked was, should this Government decide on renewing present contract for another year, what sum you thought your postages would amount to at the rates mentioned. Daniel O'Connor, The Postmaster-General, Wellington. Postmaster-General.

No. 88. The Hon. Sir H. A. Atkinson to the Postmaster-General, Sydney. (Telegram.) Wellington, 16th April, 1889. Sorry misapprehended your meaning. If services remain as at present, our homeward postages about fourteen thousand, and on mails from London about fifteen thousand. But, if fortnightly direct service established —and this must be dealt with by Parliament next session, as contract expires December—postages would be as stated in my telegram of 12th. The Postmaster-General, Sydney. H. A. Atkinson.

No. 89. Mr. Lambton to the Secretary, General Post Office, Wellington. (Telegram.) Sydney, 17th April, 1889. Our telegrams still misunderstood. We want to know, should we renew present contract one year, what amount may expect from your postages if unable rejoin, and if Government agree carry your mails for postages. Information important in negotiating. W. Gray, Esq., Wellington. S. H. Lambton.

No. 90. Mr. Gray to the Secretary, General Post Office, Sydney. (Telegram.) ■ Wellington, 17th April, 1889. Do not expect more than seven thousand pounds. Amount stated in Postmaster-General's first telegram approximately correct. S. H. Lambton, Esq., Sydney. W. Gray.

No. 91. The Postmaster-General, Sydney, to the Postmaster-General, Wellington. (Telegram.) ■ Sydney, 22nd June, 1889. Under all circumstances this colony has, subject approval Parliament, agreed to extend the San Francisco service contract of the Union Steamship Company for twelve months. Subsidy, thirty-three thousand five hundred pounds (33,500), with proviso for increase to thirty-seven thousand pounds (37,000) should postages, or subsidy received from New Zealand justify increase. Am relying on your efforts to induce your Parliament to sanction your rejoining this contract on same terms as at present; failing which, on your making such use of -the service as will secure substantial contribution from New Zealand in shape of postages. Hon. Postmaster-General, Wellington. Postmaster-General.

[Approximate Cost of Paper.— Preparation, nil; printing (1,350 copies), £20 175.]

Authority: George Didsbuby, Government Printer, Wellington.—lBB9.

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