RAILWAYS SHOW DEFICIT

Southland Times, Issue 25642, 9 April 1945, Page 2

RAILWAYS SHOW DEFICIT

ACCOUNTS FOR FOUR WEEKS Loss of ground to the extent of £474,230 is shown by the railway working account for the four weeks ended March 3, compared with the corresponding period of 1944. The accounts for the period released in Wellington last week revealed a working loss of £365,126, compared with a profit of £109,104 for the same month of last year. The gross revenue for the four weeks to March 3 was £1,199,124, compared with £1,095,704 a year ago, and expenses were £1,564,250, against £986,600 previously. Thus a rise of £103,420 in total revenue has been accompanied by an increase of £578,250 in expenses. The operating account for the North Island shows a deficit of £173,384 and that for the South Island one of £187,136. There is an additional loss of £6553 on the Nelson and Picton lines. Miscellaneous services alone recorded a profit, net earnings for the period amounting to £1947. With four weeks remaining to complete the railway year, the net earnings for the 48 weeks elapsed were £1,097,657, a reduction of £1,791,427. Revenue for the period April 1, 1944, to March 3 was £13,146,905, compared with £14,110,188 in the previous corresponding 48-week period, and expenditure £12,049,248, against £11,221,104. Under the decision of the Railways Industrial Tribunal announced in February a general increase in salaries and wages was granted to railway employees. The new rates were retrospective to June 30, 1944, and in the same month the department announced its intention to make retrospective payments under the new salary and wages schedule on March 1.