F.—l

XIX

Telephone Exchanges. There are 14 central exchanges and 10 sub-exchanges, a total of 24. The following table gives the number of subscribers or connections for 1894-95 and 1893-94 respectively: — -rj, , No. of Subscribers or Connections: Jixcnange. Mar 31> Mar _ gl> wgi _ Auckland 811 736 Blenheim 58 57 Christchurch 814 735 Dunedin .. .. 819 788 Balclutha .. 19 15 Milton 14 13 Port Chalmers 16 17 Greymouth 65 60 Invercargill .. 205 176 Bluff 20 19 Gore 49 48 Mataura 9 9 Eiversdale 13 10 Winton .. .. 9 6 Woodlands 7 6 Napier 249 222 Nelson 61 60 Oamaru 84 80 Palmerston North 79 75 Thames 74 83 Timaru 70 65 Wanganui .. 107 91 Wellington 963 872 Hutt ..1 1 Total 4,616 4,244 The total increase in number was therefore 372, and the rate of increase 8-76 per cent. The connections may be classified as follows Paying, 4,202, free, 258, bureaux, 156 total, 4,616. The telephone-exchange receipts during the financial year amounted to £21,552 12s. 10d., as compared with £21,771 4s. 4d. the previous year Had the free connections been paid for the receipts would have amounted to £23,213 4s. 4d. Particulars of the working of the exchanges are given in Table No. 21. The working-expenses, interest on capital cost, and allowance for depreciation for the year amounted to £26,041 Is. 9d. The total expenditure in connection with the telephone-exchange system to 31st March, 1895, was £116,845 10s. 4d. The following works have been carried out during the year in the several districts : — Auckland District. Construction. During the year eight telephone offices were opened namely Birkenhead, Leigh, Ohiwa, Ohinemutu, Opononi, Eamarama, Tokatoka, and Tokatoka Wharf, which involved the erection of six miles of new poles and ten miles of wire. Of the poles about half are double iron poles. A saving has been effected by converting the office at Kamo from Morse to telephone. The works in hand are the running of a wire to Cape Maria Van Dieman from Awanui (the route is in course of survey and alignment), and extending the line from Hamilton to Morrinsville. The first-named work will be 60 and the other 18 miles in length. Maintenance. The southern boundary of the district has been extended as far as Taupo and the East Cape. 712 miles of poles have been examined and cleared, 10 miles of poles and 9 miles of wire have been entirely renewed, and three miles of line dismantled. The lines are in good working order, with the exception of some of the older wires to the north of Auckland, where (probably from the abnormally moist atmosphere) corrosion is very rapid. From this cause a considerable length of wire will require renewing almost immediately The section between Thames and Katikati, in view of its early abandonment, has been merely kept open , no expenditure incurred except what has been necessary to keep the line upstanding. The direct wire between Auckland and Thames has been duplexed. There are now 1,508 miles of poles, carrying 3,189 miles of wire, in this district. Telephone Exchanges. The Auckland and Thames exchanges are in a satisfactory condition. There are indications of greater business activity, and it may be expected that there will be a large increase of subscribers during the coming year