Ws have before us an interesting pamphlet, in the shape of the thirty-first Annual Report of the Peninsular and Oriental Steam Navigation Company.
usual in the documents issued by that Company, the report is a model of clearness, so far as the directors thought it to enter into detail. The Present active fleet of the Company Consists of no less than forty-one vessels, of which our old friend the Aden, of the int now lying in the river, 812 tons register, is the smallest, and the Pekin, of 3,777 tons, the largest. Twenty-two of these vessels are over two thousand tons register, and no Jess than seven of three thousand and upwards. Besides this, another ship of the largest class is probably by this time actively employed, and four more of nearly equal size are on the stocks. The total tonnage of the steam fleet including these five is no leas than 102,703 or an average of over 2,200 tons per ship. The capital sunk in this truly ficent fleet is three anda half millions sterling; 60 that the Company is really one of those undertakings, the success of which becomes of almost national importance. Looking at the report from a shareholder's point of view, the operations of the year, though not so profitable as they might have been, are fairly successful and re-fleet credit on the management. Eight new vessels of the largest class have been added to the fleet in order to meet the altered condition of trade with the Far East; and four more, as we explain, are in process of construction. The General Reserve Fund, notwithstanding heavy strains on it occasioned by the Joss of the Rangoon, and the sales of the Azoff and other steamers in China, shows but slight diminution; while the annual premium of 5 per cent on the "estimated value of the floating property continues to be paid into this account without difficulty, and seems to amply cover all risk, including the unusually heavy one of depreciation owing, not to the unseaworthiness of the Company's ships, bat to changes in constractionnecessary marder to keep pace with the times. Six per cent paid out of the earnings of the association and another one per cent from the acoumulated reserve fund, give a fair re~ turh'to shareholders of seven per cent, a rate not likely, with the present competition, to be largely exceeded. This competition has however badan inciting effect on the management of the Comby 225,000, but this is more than com-4 it has reduced the year's income irisated by a reduction in expenditure th £250,000. It is much to the credit of noe Company that this reduction has of t resulted in any loss to the efficiency as the service, but that its vessels are. anwell found and as well manned as at any previous period, and continue to perform their passages with at least as much regularity as formerly. The directors however, acknowledge that they have not as yet effected all the reforms that are desirable; and this acknowledgement, differing as it does from the former style adopted, is the strongest feature in the report.. The willingness to effect reforms may, ina Cmopany-situated: as the P. & O., with sufficiency of capital and no heavy outstanding liabilities, be almost taken as equivalent to its actual accom-pushment; and though we have in Chinamany causes of complaint against the old Company, we are all will. ing when we can to lend it a helping hand. We must confess that we are still unable to discover the difficalt ties which prevent the P. & O: steamers from making regular use of the Suez Canal and running their large steamers through from end to end. Why a subsidiary line for the mails, and such passengers as wish to avail themselves of it, should not be started from Alexandria to Brindisi, while the large steamers went on direct to Southampton, is more than we can fathom. Were such a course adopted, the P. & 0, would be the favourite line for shippers to and from China; as it is, we do not care to ship ordinary cargo, on account. of the damage done in transhipment, and the frequent delays owing to vessels not being ready to discharge in time for the connecting steamer. The same cause interferes with a large class of passengers who would desire the comfort only to be enjoyed by going the entire voyage in one ship. The effect of the present system is seen in the fact that, while passengers for short distances have increased in number since the reduction in the passage money, the through passengers remain stationary or decrease in number. We can safely promise the directors that, if they will "hasten the period when, by adopting the use of the Canal, they may compete for the cargo business on more equal terms," they will not find the China merchants unwilling to give them a helping hand.
Text read from the printed page and cleaned; old type leaves the occasional error.