LOSS ON RAILWAYS.

New Zealand Herald, Volume LXVI, Issue 20365, 20 September 1929, Page 14

LOSS ON RAILWAYS.

SECOND MONTH WITH DEFICIT

HEAVY WORKING EXPENSES.

DECLINE OF £70,000 THIS YEAR.

[BY TELEGRAPH. —OWN OORRESPONDKNT. ]

WELLINGTON. Thursday,

A loss on operation is again shown by the Railway Department's working account for tho four months ended August 17. Tho net result for tho month was that working expenses exceeded earnings by £4148,' whereas in the corresponding period of last year thoro was a working profit of £34,032. The gross earnings woro £571,787, which is £19,979 more than last year, but working expenses increased by £58,159 to £575,935.

Earnings by the North Island railways amounted to £297,608, an increase of £4413, but working' expenses, £294,396, show an increase of £23,422. In the South Island operating revenue was £216,912 and expenses £242,648. The incroase of £7534 in the former was more than offset by the growth of £31,165 in expenses.

Net miscellaneous revonue was £18,376. which is £4459 more than last year.

Following is a summary of tho net revenue for the five periods of tho current fiuancial year:— r V

North South Other Island. Island. Services. Totals. April 27.. £45,254 £41,985 £20,1126 £107,305 May 25 ... 55.03:3 49,007 10.447 121,710 June 22 .. 19,312 U.BBS 21.3P9 52,599 July 20 ..' 503 *31.283 22,141 *8,579 August 17 3.212 *25.730 18,370 *4.143

Totals ... £123,973 £-16,522 £98,-189 £263,931 •Excess of working expenses.

The working profits for the 20 weeks aro £69,929 lower than the corresponding total last year and £85,071 loss than in 1927. Tho former reduction comprises a decline of £57,151, equivalent to 31.5 per cont., in the net revonue of the North Island railways, and of £17,654 (27.5 per cent.) in. that of the South Island railways. Miscellaneous services have produced £4876 more net revenue.