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No. 48. The Managing Dieectoe, Union Steam Ship Company, to the Hon. the Peemiee. Union Steam Ship Company of New Zealand (Limited), Dunedin, My Deae Me. Seddon,— "27th February, 1895. I notice in connection with the recent negotiations between the Postmaster-General and the contractors for the Vancouver service for their steamers to call at New Zealand, that a proposal has been made that instead of bringing the main line via New Zealand they should establish a branch service from Auckland to Fiji and Samoa, connecting with the main line at Fiji. From the tone of the newspaper paragraphs the impression is created that failing the possibility of securing a connection with the main line at Auckland the Government will, for a moderate subsidy, fall in with the alternative proposal. I take the liberty of writing you personally on this subject to point out that we have already in existence a four-weekly line from Wellington and Auckland to Fiji, and also from Auckland to Tonga and Samoa, while in addition to the latter the Frisco mail-steamers connect Auckland and Samoa each four weeks. We have maintained these trades for many years, oftentimes at considerable loss, and have done our best to work up and foster trade between New Zealand and the Pacific Islands generally, so that we now naturally view with some alarm the possibility of a rival line being established under a heavy subsidy from our own Government. I take this opportunity of bringing the matter before you, as possibly this aspect of it may not have occurred to you. I cannot but think that the interests of our company in this connection will receive full* , consideration at your hands. It should not be forgotten also that we are a local company, seeing that our head-quarters are in the colony, and that by far the greater portion of our expenditure for repairs, provisions, and wages is made in the colony, which is the home of the great majority of our employees. Yours, &c, The Hon. E. J Seddon, Wellington. James Mills.

No. 49. The Hon. the Peemiee to the Managing Dieectoe of the Union Steam Ship Company My Deae Mb. Mills, — Premier's Office, Wellington, 10th April, 1895. I duly received your letter of the 27th February last on the subject of the Vancouver mail-service. I am entirely of opinion that New Zealand should be served by the main steamers and not by a branch line from Fiji. In fact, the Government will not entertain proposals for a branch service. If the colony subsidises the Vancouver service it will be on the condition that the main-line steamers make Wellington or Auckland a port of call, and also touch at Samoa both ways. I am, &c, James Mills, Esq., Managing Director, E. J Seddon Union Steam Ship Company of New Zealand (Limited), Dunedin.

No. 50. The Managing Dieectoe, Union Steam Ship Company, to the Hon. the Pebmiee. Union Steam Ship Company of New Zealand (Limited), Dunedin, Deae Sib,— 2nd April, 1895. Eeferring to mv letter to you of the 27th February last, and my subsequent interview with you in Wellington on the 19th March, on the subject of the Vancouver service, I gathered that the desire of the Government was to secure a connection with Vancouver by means of the main line of steamers rather than by a branch line, in order, if possible, to develop commerce between Canada and this colony I take this opportunity of pointing out that this connection could be secured by means of an extension of our present San Francisco service to Vancouver Our steamers now lie at San Francisco for about three weeks, so that they would have ample time to extend their journey in that direction. We therefore now offer to extend the main line from. San Francisco to Vancouver, returning thence via San Francisco, Honolulu, and Apia for an additional subsidy of £10,000 per annum from your Government, or we are prepared to extend to Vancouver each alternate month, if this should be considered sufficient for trade purposes in the meantime, for a subsidy of £5,000 per annum from your Government. I trust you will see your way to take this offer into your favourable consideration. I have, &c, The Hon. E. J Seddon, Wellington. James Mills.

No. 51 The Managing Dibectob, Union Steam Ship Company, to the Hon. the Peemiee. Union Steam Ship Company of New Zealand (Limited), Dunedin, Deae Sib,— 25th April, 1895. Beferring to my letter of the 2nd instant, on the subject of the proposal to extend our present service to San Francisco from that port to Vancouver, I may mention that, as the Govern3—F 6.