Soon after the Atlantic Ocean began to be regularly navigated by steam-vessels, the importance of a better means of intercommunication with the West Indies led to the formation of the Royal Mail Steam Packet Company, which entered into a contract with the Board of Admiralty in March 1841 for the conveyance of the mails between England, the West Indies, and the Gulf of Mexico. This company commenced operations on a much more comprehensive and grander scale than either the Cunard Company or the Peninsular and Oriental. Fourteen large steam-ships were at once ordered to be built for the service; they were to be substantial and efficient in all respects, and of such strength as would enable them to carry guns of the largest calibre then in use on board Her Majesty’s war-steamers, with engines of not less than 400 collective horse-power. [Sidenote: Conditions of mail contract.] [Sidenote: Large Subsidy.] When complete, the conditions of the contract required one of these vessels to be ready to take the mails on board, twice in each calendar month, and to proceed, _viâ_ Corunna and Madeira, to the island of Barbadoes and, after staying there not more than six hours, thence, _viâ_ St. Vincent, to the island of Grenada, where the stoppage was limited to twelve hours, and thence, again, to the islands in succession of Santa Cruz and St. Thomas, Nicola Mole in Haiti, Santiago de Cuba, and Port Royal, in Jamaica. After a stay not exceeding twenty-four hours at Port Royal, the steamer was to proceed to Savannah-la-Mer, in the same island, thence to Havannah, and, on her return thence, to call again at Savannah-la-Mer, thence to Port Royal, and, thence, to Santiago de Cuba, Nicola Mole, and Samana, in the island of Haiti, delivering mails at each place, “care being taken that the said steam-vessel shall always arrive at Samana aforesaid (after performing the said voyage from Barbadoes under ordinary circumstances of wind and weather) on the twenty-second day after the arrival from England of the mails at Barbadoes;” and, after delivering and receiving the mails at Samana, “the steam-vessel shall make the best of her way back from Samana to such port in the British Channel as the said Commissioners of the Admiralty shall from time to time direct.” The scheme, also, embraced other places in the West Indies, the Spanish Main, and the United States, for which mails were to be carried. In consideration of the services thus to be performed, the company was to receive at the rate of 240,000_l._ per annum, in quarterly payments; the contract to commence on the 1st of December, 1841, or at an earlier day if possible, and to continue in force for ten years, subject to twelve months’ notice on either side for its termination. [Sidenote: Heavy loss during the first year of their operations.]