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years of age, the intellectual average and standard of attainments of most of the pupils admitted under the Act was not high; and, although their general conduct and diligence throughout the year has been for the most part satisfactory, very few will in all probability continue their secondary studies further than the two-years course. The higher qualification— i.e., certificate of proficiency—that will in the future be required will no doubt effect the desired improvement in this respect. The increase in numbers caused considerable difficulty in providing accommodation, and though, owing to the height and ample ventilation of the class-rooms, there has been no overcrowding that could in any way be injurious to health, yet every available foot of floor-space has been fully occupied, and even then it has been very difficult to arrange for the various classes in the limited number of class-rooms available. Small classes have had to work in the teachers' sitting-rooms, and the lunch-room has been used almost continuously as a class-room, a purpose for which it is by no means fitted, either in respect of furniture or arrangements for lighting, &c. It lias been practically impossible to assemble the whole school in any one room, and the provisions for the practical-science classes have been quite inadequate for the larger classes that now have to be taught at one time. There is urgent need of increased accommodation as soon as possible. The chief event of the year was the unveiling of the memorial tablet erected by the members of the Old Girls' Association in memory of the late Mrs. Macmillan Brown. The tablet, which is of beaten copper, has been placed in the entrance-hall, and was unveiled on the 14th April by Sir John Hall, K.C.M.G., a member of the Board of Governors at the time of the first opening of the school. The same afternoon Mr. Charles Lewis, M.H.R., Chairman of the Board of Governors, unveiled the School Honours Board. This has been erected by subscription from present and past pupils to commemorate the completion of the first twenty-five years of the school's history. As it was found necessary to increase the staff, an assistant mistress was appointed. In addition to the free-place scholars already mentioned, six girls held Senior Entrance Scholarships, four school exhibitions, four free places granted by the Board of Governors, and fourteen Board of Education Scholarships under old regulations; the total number receiving education without expense to their parents being thus seventy-four. As no candidates qualified for Junior Entrance Scholarships, these were not awarded, and it was decided later on in the year to abolish these scholarships, as the free places available more than supply the need for them. In their stead the Senior Entrance Scholarships School Exhibitions have been increased in number and value, and provision has been made for granting a boarding-allowance to country candidates. In the December University examinations, five candidates sat for the Junior University Scholarship Examination; one gained a Junior University Scholarship, and those taking second and fifth places respectively on the Credit List were awarded the two Gammack Scholarships. Another pupil matriculated in the Credit List, and eleven others passed the Matriculation Examination. In the examination for Board of Education Senior Scholarships, one pupil headed the list, and another gained a scholarship. Three passed the Junior Civil Service Examinations held in January, and four others that held in December, one taking fifth place. Three ex-pupils have received the degree of 8.A., and one was awarded an exhibition in French at Canterbury College. The pupils of the lowest form in the school, which was very small in numbers and was taught as a lower department, were examined by one of the Inspectors of the Board of Education in December, and were all passed up. 2. General Statement of Accounts for the Year ended 31st December, 1904.

Receipts. £ s. d. Balance at beginning of year .. .. 164 11 11 Government Capitation— For free places .. .. .. 311 13 4 For manual and technical instruction .. 33 11 8 Current income from reserves .. .. 227 4 5 Interest on moneys invested, &c. .. .. 231 811 School fees (including extra fees for gymnastic class, £5) .. .. ..1,170 10 0 Ditto, preparatory sohool .. .. 74 0 6 Proceeds from oooking-class .. .. 20 8 0 £2,233 8 9

Expenditure. £ s. d. Office salary .. .. .. .. 60 0 0 Teachers salaries— Main school .. .. .. .. 1,545 15 6 Preparatory school .. .. .. 73 0 0 Grant in aid to boarding-house .. .. 50 0 0 Examiners' fees .. .. 33 14 9 Expenses of examinations .. .. 8 14 6 Scholarships .. .. .. 177 0 0 Prizes .. .. .. .. .. 18 0 3 Printing, stationery, advertising, and books 78 10 2 Cleaning, fuel, light, &c... .. .. 18 12 3 Furniture, &c. .. .. .. .. 26 18 0 Fenoing, repairs, &o. .. .. .. 11 13 3 Insurance .. .. .. .. 10 17 9 Inspecting reserves .. .. .. 7 13 Expenses of oooking-olass .. .. 16 12 10 Sundries .. .. .. .. 10 9 8 Balance at end of year .. .. .. 86 8 7 £2,233 8 9

Charles Lewis, Chairman. A. Cracroft Wilson, Registrar. Examined and found correct. —J. K. Warburton, Controller and Auditor-General. 3. Work of the Highest and Lowest Classes. Highest. — Work to Junior University Scholarship standard. Latin — Livy, Hannibal's First Campaign; Horace, Odes, Book III.; Virgil, iEneid, Book I.; Cicero, De Amicitia; Bradley's Latin Prose Composition; Kennedy's Revised Latin Primer; miscellaneous proses and sight translations. English—Chaucer's Prologue; Shakespeare, Coriolanus; English Essays