RAILWAY FINANCE

New Zealand Herald, Volume LXXVII, Issue 23780, 7 October 1940, Page 9

RAILWAY FINANCE

EETUENS FOE 24 WEEKS MARKED IMPROVEMENT NET REVENUE £419,351 BETTER —i [BY TEI.EGRAPH PRESS ASSOCIATION'] CHRISTCHTJRCH, Sunday Reviewing the approximate returns of railway revenue and expenditure, the Minister of Railways, the Hon. D. G. Sullivan, stated to-day that the position was satisfactory. "During the four weeks ended September 14." said the Minister, "there was a substantial increase in passenger traffic, due largely to the transport of troops, and traffic in coal, manure, lime and general commodities also showed a considerable expansion. "While the net result of all operations for the sixth four-weekly period of last year was a deficit of £<Bl4, operations for the relative period of this vear have produced n surplus 'if £'6-1.424, gross revenue being £//■{,698, against expenditure of £709,274. 'J here is good reason for congratulation in the fact that this total of expenditure was only £607 in excess of the expenditure incurred during the corresponding four-weekly period of 1939. "An examination of the accounts from April 1 to September 14 (24 weeks) provides an opportunity for a fuller appreciation of the improved state of the railway finances," continued Mr. Sullivan. "Gross revenue was approximately £4.885,552. compared with £4,.'106.401 received during the first 24 weeks of last year, an increase of £579.151. Expenditure was £4.296.63.1 this year, exceeding last year's figures b.v £150,800. Net revenue from all operations of the department for 24 weeks of the current year was therefore approximately £588,919, compared with £169.568 for the corresponding period of 19.39. an increase of £419,351. "There will be additional charges, however, for the balance of the financial year to meet increased costs arising from the inevitable increase in cost of imported raw materials, while further provision will require to be made for the cost of living allowance granted to the lower-paid employees of the. Public Service, including employees of the Railway Department."