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run on one set of poles, strong timber has been provided, and the foundations have been concreted. Siemens compound wire is in use throughout the city, and on account of the number of wires on the poles within the town, this material, from its light manufacture, proves of great advantage. This section is now in good working order. Wellington to Napier. During the year, this section has been carefully examined. Between Wellington and Hutt, and Napier and Waitangi, the white Prussian insulators have been substituted for Varley's brown stoneware insulators. Insulation is considerably improved thereby. Between Waipawa and Waipukurau, the line has been shifted to avoid some long river spans. The poles are now fixed on the railway bridges, the spans are all short, and the line is consequently strengthened. Napier to Tauranga. This section has, during the past year, been closely examined, but it has not been found that any repairs are pressingly required. From Hairini Turret, near Tauranga, to Maketu, and between Napier and Petane, the Varley insulator has been replaced by the white Prussian one, and it makes the insulation of these sections perfect. Auckland Lines. No alterations or repairs calling for any special remarks have been found necessary during the year. The track between Hastings and Coromandel has been cleared and made passable for linemen when out on inspection. The short poles at railway crossings have been removed and longer ones inserted. Near the City of Auckland, a few minor alterations have been made to meet the requirements of railway works and roads in course of construction. Between Grahamstown and Hastings, a portion of the line running along the sea beach has been removed to higher and safer ground. At Hamilton, several poles have been removed owing to alterations in the township; and at the same time the crossing at the Waikato River was improved. Between Hamilton and Newcastle all angle poles have been doubled. Slight alterations have been made at Onehunga, rendered necessary by the building of railway sheds, &c, and alterations to the Post and Telegraph Office. The wires over the Tokatea Range have been removed to a more sheltered position. The swamps between Mercer and Pukorokoro have been thoroughly fascined. Cook Strait Cable. Until the 13th December last, the insulation tests of the cable continued to be very satisfactory. On the 14th December, communication with Blenheim was interrupted on all three cable wires. By tests which were taken from both ends, the break was placed at a point between 13 and 14 miles from LyelPs Bay. By loop tests subsequently taken from Lyell's Bay, by joining two of the wires on the Lyell's Bay end of cable, which was, when recovered, placed on board the steamer " Egmont," the break proved to be 13j knots from LyelFs Bay. The " Luna" was placed at the disposal of the department to effect the necessary repairs, and the picking-up machinery and spare cable were placed on board of her. Considerable time was occupied in this and in effecting other necessary works to make the vessel equal to the task before her. Everything being ready, the steamer started on the morning of the Bth January, to grapple for the broken ends. After 20 days' grappling, the cable was successfully joined on the 28th January, 43 days after breaking. During the interruption, a daily telegraph mail service between Wellington and Blenheim was established, so that the serious inconvenience which might otherwise have arisen was not experienced to any very great extent. The insulation tests taken since the repair of the cable have not, of course, proved so satisfactory as previous to the break. It will be seen that the possibility of an interruption to the present cable was pointed out in the report of last year, and that the obtaining of a second cable was suggested. This suggestion has now been acted on, the order for a cable containing one conductor having been sent to the Agent-General some few months since. Tenders for the manufacture have been accepted; and the cable is expected to arrive in the colony during September. Attached to this report will be found a chart showing the point where the break in the present cable occurred, and the route laid down for the new cable; plans of the arrangement of the circuits throughout the colony; and a map of New Zealand snowing the various lines of telegraph. SCHEDULE OF TABLES. Table A. —Cash Revenue and Expenditure, Signals Department. „ B. —Number of Telegrams sent for every 100 Letters. „ C.—Number of Telegraph Money Orders issued. „ D. —Value of Government Telegrams. „ E.—Comparative Quurterly Return, years ending June 1874 and 1875. „ F.—Annual Comparative Progress of the Department. ■ „ G. —Cost of Maintenance of Lines. „ H.—lnsulation Tests, Cook Strait Cable. „ I. —Total Cost of Lines. „ X.—Debtor and Creditor Statement.