The daily morning journal and courier., 1903-08-05
AGREEMENT WITH CUNARDS

TERMS PUBLISHED IN BRITISH 1 PARLIAMENTARY PAPER.
 All the company's ships 10 be at tho
 Disposal of ,he Government in Time or War-OG rs and Engineers and
 Not Less Than nalf Inc Crews Mnst Belong to Royal Naval Ressrve-The
 Government Subsidies.
 London. Aug. 1.-The agreement be-
 tween the admiralty, the board of trade, the postmaster general and the Cunard Steamship company, dated July 30. is Issued in parliamentary paper this
 evening. Accompanying the agreement l is the draft of trust deed, securing
 the debenture stock on which the gov
 ernment's advance of s1S,OOOooO for
 huiliing the two new steamships is
 made.
 The new mail carrying agreement
 substitutes for payments by weight,
 fixed annual payment of $340, 900 during
 the life of the contract, which is for
 twenty years, dating from the first
 sailing of the second of the two new
 steamships. It provides that the mails
 shall be carried more speedily than at present. The company will be bound to utilize the best steamships for the mali service and the agreement stipu-
 lates for deductions from the subsidy
 in the event of it failing to carry out
 the terms of the contract. All the
 company's steamships between Liver l pool, New York, Boston, the Mediter-
 ranean ports and Havre, including the new steamships which will have speed
 of 24 to 25 knots, will be at the dis lposal of the admiralty for hire or pur- l chase in the event of war. The yes sels must be maintained under the British flag and managed without any I undue increase in freight charges or l undue preference against British sub | JSSto. iAC 1lIuotSi0, fOlltScI0, anu. cIl- gineers of all the vessels must always
 be British subjects and the same con-
 dition applies to at least three-fourths Iof the crew. ' l On the Campania, Umbria and Lu-
 cania until the new vessels have been completed and thereafter Oh the new I vessels, all the certified officers, other
 than the engineers, and not less than l half the crews must belong to the royal
 naval reserve.
 I The company is not allowed to sell
 any vessels whose speed is F knots and
 upwards without the consent of the government. which will indicate the plans for the new vessels with view
 to their conversion into armed cruisers.
 The company must maintain the gun
 mountings, etc., ready for use. f..= l For these concessions the government
 agrees to subsidize the new vessels at 900 per year each. The loan of
 $13, ,000,0oO which will bear interest at
 2 3-4 per cent. and is to be repaid in twenty annual instalments, will rank as
 the first charge on the whole Cunard fleet and will be secured by the deben- l lures. The agreement provides for a reduction in the subsidy for the new steamships in the case of their failure to attain minimum speed of 23 1-2 ! knots.
 The trustees for the debenture hold-
 CTS are Sir Francis Hopwood, on be- half of the government; Lord Inver- | clyde, for the Cunard company and
 Lord Revelstoke, who has been elected | by his colleagues. The company must issue to the governments nominees
 such voting power as will precent the passing of any special resolution by the shareholders in violation of the con- tract
 The revised articles of the Cunard
 company, which are included in the parliamentary paper, contain the pro- visions previously cabled, stringentIy excluding foreigners from holding shares in the company directly or in trust.
 London, Aug. At is stated in the I Hobbies tonight that the government agreement with the Morgan shipping combine is completed and preserves the previously existing British interests for ladmiralty and postoff1ce purposes in the British vessels acquired by the combine.
 It is understood that the agreement will be tabled iii the House of Commons at | an early date and may be debated sim ultaneously with the Cunard agree