Tuesday 2nd April 1912
Messrs. The Reid Newfoundland Co., St. John’s, Newfoundland
Nos. 898 & 906 Ships
Notwithstanding the mention of contract prices made in the formal
Agreements for the construction of these steamers, we beg to confirm
that we have agreed with you that we shall refund to you the saving (if
any) between (a) the actual combined cost of the two steamers plus
Establishment Charges plus fixed sums of £4,700 (for No. 898) and £3,500
(for No. 906) for profit to us, and (b) the combined contract prices of
£52,000 and £39,000 = £91,000.
You have received from us schedules dated 28th February 1912 for Hull
and Machinery respectively showing the items which are charged direct to
the ships costs, the fixed percentages upon the costs which we debit for
Establishment Charges (Ship & Machinery), and the items which compose
these “Establishment Charges”.
It is desirable that the arrangement described in this letter be a
private one, known only to our principal officials.
We beg that you will confirm the foregoing to us in a separate
Kindly substitute this letter for that we wrote to you on the 28th
February, which kindly cancel and return to us.
For Swan, Hunter, & Wigham Richardson Ltd.
(Sgd) J. Denham Christie, Director.
P.S. Please return to us the 4 original Forms of Contract which are
now to be cancelled.
Source: The Rooms, Provincial Archives