F.—l

II

Briefly, the Department has undertaken a vastly increased business, at greatly reduced rates, and yet succeeds in keeping the expenditure at practically the same ratio to the income as was the case when each article handled or telegram sent produced from 50 to 100 per cent, more revenue. I have the honour to be, My Lord, Your most obedient servant, .). G. Ward, His Excellency the Governor, Wellington. Postmaster-General.

REVIEW. Revenue and Expenditure. The revenue and expenditure of the Department for the financial year 1907-8 are shown in the following table : —

The total revenue exceeded that of 1906-7 by £76,389, and the expenditure by £89,903. The money-order business still shows a relatively small rate of increase. The issues numbered 441,487 for £1,773,590 17s. Id., and 337,791 for £1,523,907 17s. 4d. were paid. The increase in the number of orders issued as compared with last year was 2,467, entirely due to orders issued for payment within the Dominion. New Zealand postal-note business continues to increase. During the past year 1,092,631 postal notes for £347,300 were sold, being an increase of 8-84 per cent, in number and 10-45 in amount as compared with the preceding year. The number of.British postal orders sold increased from 31,698 for £16,229 15s. 6d. to 36,600 valued at £19,564 125., and 12,238 orders for £8,533 19s. were paid, as against 9,461 for £6,426 4s. paid during the previous year. The number of parcels insured during the year was 1,689, valued at £19,960 19s. lid., upon which premiums amounting to £56 Bs. 2d. were rcct ived. The increase in the amount standing to the credit of Savings-Bank depositors has been considerable. The deposits (£9,351,663 19s. 7d.) exceeded the withdrawals (£8,125,123) by £1,226,540 19s. 7d. To this there has been added £343,424 7s. 2d. as interest, making a total increase of £1,569,965 6s. 9d., and bringing the whole amount of savings up to £11,523,230 17s. 9d., an amount which equals £11 12s. lid. per head of the population. The number of old-age pension payments was 158,782, as compared with 152,502 in the previous year, an increase of 6,280, or 4-12 per cent. The total amount of the payments was £325,220 13s. 2d., as against £314,204 15s. 9d. piid out in the preceding year, an increase of £11,015 17s. sd. The total number of telegrams forwarded was 7,042,923, an increase of 646,591, or 10-11 per cent., as compared with the business of the previous year. The amount expended on telegraph extension was £155,491, but there are liabilities amounting to £103,550 on account of works for which the authority of Parliament was granted too late for the necessary expenditure to be brought within the financial year. On the 31st March, 1908, there were 9,656 miles of telegraph-line and 29,344 miles of wire. The length of submarine cables within the Dominion was 352 knots. The number of telephone-exchange connections still continues to increase rapidly. It has now reached 23,981, with a revenue of £116,852 13s. lOd.

Item. Postal. Telegraph. Total. Receipts. Stamps for postage Money-order and postal-note commission Money-order commission received from foreign offices Private box and bag fees .. "*.. Miscellaneous receipts Paid telegrams Telephone exchanges £ s. d. 441,776 3 6J 24,439 15 0" 639 12 0 10,494 11 3 1,038 6 6 £ s. d. £ a. d. 441,776 3 6} 24,439 15 0 039 12 0 10,494 11 3 5,510 14 9 222,925 18 5 116,852 13 10 4,472 8 3 222,925 18 5 116,852 13 10 ■• Balance of expenditure over revenue (Telegraph) 478,388 8 3* 344,251 0 6 13,330 0 9 822,639 8 9J Totals 478,388 8 3J 357,581 1 3 822,639 8 9J Expenditure. Salaries (classified officers) Salaries (country Postmasters and telephonists, and contributions to Railway officers) Conveyance of mails by sea Conveyance of inland mails .. Conveyance of mails by railway Money-order commission credited to foreign offices Maintenance of telegraph-lines Miscellaneous £ s. d. 134,453 0 0 19,800 0 0 40,512 11 8 62,364 12 5 45,658 19 2 1,888 14 4 £ s. d. 236,419 4 8 28,071 0 0 £ s. d. 370,872 4 8 47,871 0 0 40,512 11 8 62,364 12 5 45,658 19 2 1,888 14 4 45,866 10 5 93,990 3 6 46,765 17 4 45,866 10 5 47,224 0 2 Balance of revenue over expenditure (Postal) .. „ „ (whole Department) 851,443 14 11 126,944 13 4J 357,581 1 3 709,024 16 2 113,614*12 7J Totals 478,388 8 3j! 357,581 1 3 822,639 8 9J