want of which has been much felt for some time past, and which is becoming more perceptible as the growing trade of the colony is developed. It is desired to establish a weekly line of steamers between Otago and the pincipal Northern Ports, to put on a stoamer between Dunedin and the West Coast Ports of the Middle Island, and also to provide for the efficient conduct of the trade to and from the several smaller ports on the coast of Otago an* 1 Canterbury. For these purposes the fol- lowing new vessels will be required :r-r Three first-class steamers for the trade between Dunedin and Manukau, to be built in Europe, and capable of carrying from 400 to 500 tons of cargo, fitted with compound engines and the latest improvement?, and with superior passenger accommoda- tion, snited to the requirements of the present day. These steamers will be of such class and speed as will ensure 6very facility to shippers of goods, and convenience to the travelling public. t. One boat of smaller capacity and' light draft of water, especially adapted to # .4 ? the trade to the West Coast of the * *,' Middle Island. With a view to commencing operations without delay, it has been arranged to take over, on the Ist of January next, the steamers Maori, Beautiful Star, and Samson, belonging to the Harbor Steam Company's fleet, and also their new steamer, just builfcSon the Clyde specially for the Timaru and Lyttelton trade, and which is expected to arrive iv the colony early in February. These vessels will at once create a revenue for the company, and, it is believed, will be sufficient to carry or. the trade of the ports on the coasts of Otago and Canterbury. Mr James Mills, who has so successfully conducted the business of the Harber Company from its commencement, will contiuue to act as Manager of this Com pony. It is estimated that, to carry out these proposals, a of £150,000 will be re- quired, and to provide for this it is proposed to call up £4 per share, making a total of £100,000, and to borrow the remaining £50,000 on debentures bearing a low rate of interest. This arrangement will enable larger dividends to be declared on the paid up capital. 