The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1895-09-13
new pacific STEAMERS,
The Oceanic Company Plan
ming Great improvements
in Its Service.
FOR A GOVERNMENT SUBSIDY.
The Company Preparing to Cope
With Its Steadily increasing
Ocean Rivals.

The Oceanic Steamship Company has,
with the exception of some relatively
minor details, COMPLETED plans which in
volve the construction of new, larger and
faster steamers to take the place OF the
Mariposa, Alameda and Monowai, now
running between San Francisco and Sgd
ney, Australia, touching at Honolulu and
Auckland.
The company has long recognized that
the development of its business and the
attractions of its route deserve facilities
superior to those now in use, and this con-
clusion is in no small measure emphasized
by the inroads made in the company's
business by the steamship lines running
from northern Pacific Coast points.
The Oceanic Company has, as a part OF
its new improvement of the service COM
pleted arrangements for asking the next
Congress to grant the company mail
subsidy. The company now receives
subsidy from the Colonial Government OF
New Zealand, under contract that
runs from year to year. From the
United States Government the company
receives compensation according to the
amount OF postage on the mall carried.
The company could take advantage OF the
statutory contract of 81 ton per mile, but
it declines to do so, because the compare
lively small increase it would thus receive
would not compensate it for the results in
cident to such contract under various
provisions of the statute; as, Tor example,
the sailing date would, in greater or less
degree, be under the control of the Post
Office Department. Under certain con-
tingencles sailing dates may be delayed by
~. l. A+f al
sites, for a week. Whatever advantages
attend these privileges the Government
loses under its present contract with the
company.
The New Zealand Government has for
mum Der of wears planned to the United
States Government that that colony was
bearing the greater part OF the burden IN
the maintenance of mail carriage and Is
enjoying less benefit. 1t has been, from
year to year, renewing its subsidy because
the Oceanic Company occupied the short
est route. The Oceanic Company's inter-
ests are harm onious with and supported
by the Union Steamship Company that
operates various Colonial lines.
A few months ago the Oceanic and the
Union companies jointly made direct
offer to the Hon. ]. G. Ward, Treasurer of
for England on official business, which. in
part, involves a substantial mailage guar
antee for period of seven years. That Of
fer is now under consideration. Coinci-
dent with this offer, and supported in no
small measure by the complaints of the
New Zealand Government already referred
to, the petition to the next Congress for
subsidy will be presented.
The development of the trans-Pacific
carrying facilities from Northern Pacific
Coast points, Vancouver, B. c., Puget
Sound points and Portland, Or, has taken
away substantial portion of the trade
that with the exception of sailing vessels,
was exclusively handled by the Oceanic
Company. Not only has this competition
actually increased, but the prospects OF
further increase are foreshadowed by the
investigations now being made by Presi-
dent J. J. Hill of the Great Northern Rail-
way. The demands of the Oceanic Com
pany's business, in the face of actual and
prospective competition, require more i'm
proved and faster steamers.
1t is possible, too, that the company will
enter into the Northern Pacific Coast
trade. 1t has not been definitely deter
mined whether the line will be extended
to northern points or whether, should it
be decided to do SO, the extension will
start from San Francisco or from Homo
lulu. In the latter event, should Portland
be made touching point, the newly es-
tablished steamer line of the Oregon Rail-
way and Navigation Company Will be Its
rival. as well as the Canadian Pacific line.
Ii from San Francisco, the new line will
have lively competitor in the Pacific
Coast Steamship Company.
John d. Spreckels of the Oceanic Com
pany, confirming the above outline of the
situation and the company's plans to
CALL reporter, said:
"While we have arranged to ask Con-
gress for a subsidy, not only in the inter-
ests of our Government, but also as sub
stantial recognition of our proposed i'm
provement of the service, cannot, of
course, say that our request will be
granted. Certainly the situation deserves
such a recognition"
Twill the new steamers DE put on
whether the Government grants subsidy
or not2' was asked.
''Of course the company must take care
of its business" said Mr.. Spreckels, "and
is able to do what the business requires;
but as to the time, in the absence of sub
sidy from our Government and consider
ing the great outlay involved in the con-
struction of new steamers, the new arrange
ment would be FASTENED by our Govern
ment extending the aid we will ask for,
aid which, by Implication, the New Zea-
land Government says we should have.