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D.—2

Traffic. Mr. A. Grant, Acting Chief Traffic Manager, reports as follows : — Hurunui-Bluff Section. The total revenue on this section (including Lake Wakatipu steam service) was £1,095,922, as against £1,006,855 last year, an increase of £89,067. The passenger traffic shows the very satisfactory increase of 310,062 passengers and 3,675 season tickets, the receipts being £34,377 more than last year. Parcels and other coaching traffic also largely increased, the receipts being £11,863 in excess of last year. In goods traffic sheep and pigs decreased by 58,088 head, and wool 12,021 tons ; all other classes show increases. The revenue from goods and live-stock traffic increased by £41,809. The total revenue from the Canterbury District was £493,128, an increase of £53,030 over last year. The passenger business shows an increase of 168,806 passengers and 1,319 season tickets. Parcels and coaching traffic shows a large increase—184,354 parcels were carried, being an increase of 11,227 over the previous year. In goods traffic there was a falling-off in sheep, pigs, wool, and frozen meat ; increases in cattle, chaff, timber, grain, merchandise, coal, and other minerals. The Dunedin District contributed £357,860, as against £340,069, an increase of £17,791. The passenger traffic shows the large increase of 104,055 passengers and 1,745 season tickets. Parcels and coaching traffic also largely increased, 11,878 more parcels being carried. In goods traffic there were decreases under the following heads: Sheep, pigs, wool, firewood, frozen meat, and frozen rabbits ; increases in cattle, chaff, grain, merchandise, coal, and other minerals. Invercargill District shows a substantial increase in the passenger traffic, the increases being 37,200 passengers and 611 season tickets. In goods traffic the result is not so satisfactory. The net increase from all sources was £1,354. Lake Wakatipu Service. This service has been conducted with punctuality, and the arrangements generally have given satisfaction to the public. The passenger business in connection with the week-end excursions fell off considerably this year, the figures being 1,040 passengers for £570, as against 2,038 passengers for £1,002 last year. Other excursion bookings to Kingston and Queenstown (not including school excursions) increased by 613 passengers and £414, thus the net results are practically the same as last season. The total number of passengers carried was 23,085, the receipts therefrom being £3,289; goods tonnage 8,080, receipts £3,231 : total revenue, £6,996. Picton Section. Passenger traffic shows an increase of 7,978 passengers and £913 revenue. Goods traffic shows substantial increases in grain, merchandise, and coal; a decrease of 7,905 sheep ; and a slight falling-off in chaff and firewood. The revenue-increase from goods traffic is £1,051, and from all sources £2,176. Nelson Section. Increases are shown under all headings, excepting chaff and wool. The passenger business increased by 9,400 passengers and £611 revenue. The principal increases in the goods traffic are 1,152 tons firewood, 638 tons timber, 594 tons grain, 348 tons merchandise, and 5,683 tons coal. Revenue-increase from goods traffic, £1,490 ; from all sources, £2,307. Westport Section. Passenger traffic shows an increase of 9,717 passengers and £757 revenue. Goods traffic shows increases under all headings, excepting chaff and firewood, which have slightly decreased. The coal traffic shows the large increase of 37,236 tons; timber, 960 tons; merchandise, 323 tons; minerals, 452 tons. The revenue-increase from goods traffic is £5,716 ; from all sources, £6,518. Westland Section. Passenger traffic increased by 38,634 passengers and £2,509 revenue. Goods traffic shows substantial increases under all headings, excepting coal. There is a decrease of 12,627 tons of coal, due to the failing output from the Brunner Mine. Increases are shown as follows : Chaff, 2,058 tons ; firewood, 416 tons ; timber, 13,672 tons; grain, 794 tons; merchandise, 386 tons ; minerals, 1,819 tons. Revenue-increase from goods traffic, £4,523; from all sources, £7,775. Plymouth Section. The total revenue on this section was £578,799, as against £522,302 last year, an increase of £56,497. The passenger business shows the very large increase of 329,566 passengers and 7,316 season tickets, with a revenue-increase of £27,265,

2—D. 2.