F.—B

6

advisable to secure beforehand the co-operation of the cable administrations throughout the world. For this purpose the Postmaster-General discussed the proposals with the British and American cable companies, and after obtaining their approval of them, entered into negotiations with foreign Governments. As a result, such a measure of general agreement has been reached that there is every prospect that within the next few months it will be possible for messages in plain language to be sent at half the existing rates of charge, subject only to the condition that the transmission of them must await, for a period not exceeding twenty-four hours, an interval during which the cable is not in use for traffic at the ordinary rates. It is hoped that the concession will confer an appreciable boon upon the general public who may desire to communicate with friends at a distance, without incurring on the one side the great expense of a cable message at full rates, or on the other the long delay involved by use of the post. 15. The following statement shows the progress of the international traffic since the opening of the cable :- —

Number of Messages and Words dealt with. — International.

* Cable opened for international traffic, Bth December, 1902. f English cricket team in Australia. { Sydney office opened. § American fleet visit to Australasian waters. || Reduced Press rate and new Canadian service.

In addition to the above, a very considerable intercolonial traffic is carried between Australia, New Zealand, and the Fijis, keeping the southern sections of the cable fully occupied during business hours. I have, &c, H. W. Primrose, Chairman. The Secretary, His Majesty's Treasury, Whitehall, S.W.

Pacific Cable Board (1 Edward VIIc. 31). —Account for the Period ended 31st March, 1911. I. —Statement showing the Sum issued out of the Consolidated Fund and the Expenditure.

II. —Statement showing the Sums borrowed and the Securities created.

Mossi k gos. Wi irds. Year. t Ordinary. Government. Press. Total. Ordinary. I GovernI ment. Press. Total. 1902-3 1903-4 1904-5 1905-6 1906-7 1907-8 1908-9 1909-10 1910-11 18,494 64,595 67,677 77,331 93,533 98,964 98,186 109,384 117,770 915 3,128 3,018 3,109 3,983 4,292 4,617 4,841 6,413} 35 890 387 259 302 1,918 1,009^ 1,438 4,971 19,444 68,613 71,082 80,699 97,818 105,174 103,812 115,663 129,154 202,313 744,034 781,028| 834,778j 1,010,1331 l,041,433| 1,012,998! 1,109,639' 1,215,306 24,210 83,116 71,575 74,763 101,307 105,519 116,847 120,415 166,812 1,831 f37,819 19,110 13,225| 17,222i t84,940| §95,2031 11126,081 467,495 228,354 864,969 871,713 922,766 ! J1,128,662 1,231,892 1,225,048 1,356,135 1,849,613

Year in which issued. Amount. Amount. Sum issued (out of an authorized issue of £2,000,000) Sum issued (out of an authorized issue of £2,000,000) 1901-2 1902-3 £ s. d. 1,060,935 0 0 939,065 0 0 £ s. d. Expenditure in the period ended ■ 1,999,127 1 10 31st March, 1910 Expenditure in the period ended | Or. 1,551 6 9 31st March, 1911 -— . — 1,997,575 15 1 Balance in hand .. .. 2,424 4 11 2,000,000 0 0 ! | 2,000,000 0 0

Amount. Money jorrowed. Securities created. £ s. d. um issued as above 2,000,000 0 0 In the period ending 31st March, 1902 In the year to 31st March, 1903 ■ £ s. d. 784,600 0 0 : Annuity of £77,544 18s. First payment, 1st December, 1903. Last payment, 1st December, 1952. 1,215,400 0 0 2,000,000 0 0 2,000,000 0 0