Minister O’Brien to the Secretary of State
Copenhagen, October 20, 1905.
Sir: Referring to my No. 31 of yesterday. I have heretofore hesitated to betray too much curiosity in respect to Water Island in the St. Thomas harbor.
The publication in the Chicago Tribune sent you in my No. 31 of yesterday seemed to make important more detailed information.
[Page 550]I have just come from an interview with Admiral Richelieu, president of the West India Company, a corporation owning four steamers in the service between here and St. Thomas, and other ports in the West Indies and Gulf of Mexico.
I asked him if there was any community of interest or ownership between the West India Company and the Hamburg American Line. He replied that there was none.
That when the West India Company began its service two or three years ago the Hamburg Line reduced its rates with the intention of driving the West India Company out of business.
Finding that this could not be accomplished the two companies made an arrangement in respect to freight and passenger rates, but that otherwise they are wholly independent of each other.
I then inquired as to the ownership of Water Island and was informed that it was purchased from private hands, and that it is now owned by the West India Company.
He then informed me that in time the intention was to develop this island for storage and perhaps dock purposes, and that it provided a really better harbor than St. Thomas proper. That there was between seven and eight fathoms of water directly up to the island and that it was well protected from storm and sea.
I then inquired whether the business of his company was so successful as to justify the continuance and he replied that while no great amount of money had yet been made, yet he thought it was more than paying its way at this time; that the business was constantly increasing, and that without doubt his company would continue in the service.
As the Hamburg American Company has a large fleet (more than forty ships I believe) already in the West India trade, it would have no use for the ships of the West India Company, and it may be fairly assumed that for the time being the latter company will continue its operations and its present ownership.
Of course there is no assurance as to the future and a purchase of the stock of the West India Company would carry with it I assume, the island in question.
I have [etc.]