The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1916-12-19
MAIS0N line WILL
MAKE M|L[|ONSON
SUGAR. CONTRACTS
NJ a u 49, 4 srfN9S
American-Hawaiian Steamship
Company Expects To Lose
100000 BY Arrangement
LOCAL SOURCES DECLINE
TO CONFIRM COAST RUM0RS
Matson Boats Will Garry Thirty
Thousand Tons During De-
cember and January

Reports from the mainland that the
American. Hawaiian Steamship Com
pany has assigned to the Matson Navi
CATION Company tho contract for trans
poIta'ion Of Hawaiian raw sugar ship
nents to market for the year 1917 have
been received in Honolulu, but lack de.
inite confirmation from local sources.
The Matson vessels will carry to San
Francisco all sugar shipped from the
Islands to the refinerics during the
balance Of December and during Jan.
nary. This much was learned yester-
\ lay, but is the only fact definitely
established in connection with attempts
20 verify the reports that are emanat-
.ng from san Francisco of the deal
between the two shipping companies.
Previously II was expected that the
first American. Hawaiian vessel would
Dad n sugar cargo here about the first
If January. Under the present plan as
announced from local ofriees IL will be
he carly part of February before one
If the American Hawaiian feet leaves
Honolulu loaded with raw sugar.
Nay Buy Minnesota
Another angle of the reported trans
er Of the sugar carrying contract to
be Matson company il the rumor, Of
intense interest to local commercial in
ercsts, that Captain Matson is nego-
iating for the purchase or charter Of
he giant Hill liner Minnesota, The
/ minnesota, now in San Francisco bay,
8 the largest freight vessel afoat.
One very positive account of the re-
ported deal between the American Ha-
Vuiian and the Matson companies for
Iandling Hawaiian sugars appeared in
he San Francisco CaIl of December Z.
/ It is This account that declares that
captain Matson is endeavoring to
ecure the use Of the Minnesota in or.
er to carry out the contract that the
american Hawaiian Company has with
ocal sugar factors. 1t is pointed ont
hat the Minnesota will provide the ad.
idonal tonnage necessary for the Mat.
on company TO carry the sugar ship
nents from the Islands and the regular
| freight business as well. .~Nt.
Report Contract Made .,.
The Call's account, though Quoting
o authority for its statements, de-
lares in definite terms that the ar
hngement hus been made for the Mat
/ ION company to take over the Amer.
H can, Hawaiian's contract. The account
ssumes that the handling of Hawaiian
ugar cargoes by the Matson Company
would continue the present arrange.
/ uent of tTanssbipment of the supar AZ
/ an Francisco for transportation by
overland rail routes to New York and
Philadelphia refneries.
The Call report of the deal follows:
Resigning itself to twomillion.
IOllar loss, the American Hawaiian
steamship Company has contracted
\ With the Matson Navigation Company
1 handle the American Ha waiian line =
"ntracts for carrying sugar from Ha,
vii to New York. ~
"While the contract will turn
100000 into the Golfers of the Maj.
ON company, it will be a heavy loss
or the other line. The American.
Hawaiian Steamship Company is under
ontract to carry the sugar at nine dol.
ars ton. The Matson line will he
aid seventeen dollars a ton.
Ieavy Loss For Line
" According to shipping men, the loss
viii be absorbed in heavy profits made
" the American Ha waiian Stenmsbin
company in the sale of vessels and II,
var charters now netting big returns.
Most of the company vessels -
the Atlantic trade. This left innf.
lcient tonnage to fulfil the Hawaiian
| 'ontracts.
/ Eneh year the American Hawaiian
# sugar.
"To carry out its new contract the
IL,
aage, and Captain Matson is negotiat.
ng for the use Of the steamer Mime.
'ota, the largest freighter afioat. >,
| A. M. NOVEL;, manager of the Sugar
FACTORS Company, when asked of the
reported assignment of the contract.
stated yesterday that no such news
aad been received here. Mr.. Novel;
SAID that the Matson company would
axe all shipments of raw sugar from
the Islands in its vessels during De.
'ember and January. This arrange
ment, he said, was all that had beon
made by the American Hawaiian Com.
pany with the. Matson company as Far
is adyices received by the Sugar Fac.
tors Company were concerned.
Means $4,000 Tons
| lhls wall mean that the Matson com.
pany will take out about thirty tboa.
SAND tons of sugar during the two
months, fourteen thousand in Decem.
Der and sixteen thousand in Januarv
'eGording to Mr.. Novel; 5 estimates.
The hrst American Hawaiian steamer
or the year is due TO load here ahont
the latter part of January Mr.. NOVEL;
r. H. Petrie of Castle and Cooke.
local agents of the Matson line, also
lacked confirmation of the San Fran,
cisco reports. So
| Mr. Petrie stated that the only ar.
rahgement between the two companies
was the one by which the Matson YES.