F.—7

10

ADVERTISING IN TELEPHONE DIRECTORIES. New Zealand is unique in another direction in connection with its telephone business, inasmuch as it does not accept advertisements for publishing in its telephone directories. Every country in Europe and America —indeed, I may say, every country in the world other than New Zealand—accepts advertisements, and in all cases the advertisements more than pay for the cost of production of the directories. The telephone directory everywhere is considered the best advertising medium there is, especially when a classification of trades and businesses advertising in the directory is appended. The cost of printing the various New Zealand telephone directories and exchange lists in 1920 was £7,936 Is. 6d. The whole of this amount would be recouped if we accepted advertisements. The advertisements, if properly arranged, do not at all interfere with the primary purpose for which a directory is issued, nor cause any inconvenience. On my travels abroad I made a point of collecting telephone directories, all of which show the extent which advertisers use them as an advertisingmedium. I was also supplied by the British Post Office, and several telephone companies in the United States of America, with particulars describing the various conditions and rates under which advertisements are accepted. The Department certainly should accept advertisements for printing in its telephone directories, and. thus get into line with other administrations adopting this businesslike method of paying for the cost of producing and distributing telephone directories. TELEPHONE RATES. The following are schedules showing the rates charged for telephone service in several European countries and in North America, together with the existing New Zealand rates. Beitish Telephone Rates. Ground-rent plus a local-message fee for every outgoing message as under : —

Local-message Fees. —Local messages, London and Provinces, each. Subsidiary Services. Annual Rental. £ s. d. Two-party lines (for subscribers beyond one mile from the nearest exchange) .. (each) 6 0 0 Rural party (farmers') lines : — When three or more subscribers per route-mile of circuit .. .. .. (each) 4 0 0 When less than three but not less than two subscribers per route-mile of circuit ,, 4 10 0 Toll Rates (i.e., Calls not covered by the Local-message Fee). Pee. Three minutes conversation (or part thereof) — s. d. Over 5 miles and not exceeding 1\ miles .. .. .. .. 0 \\ » 1\ » 10 „ 0 3 „ 10 „ 121 „ 0 4* „ 124 » 16 „ ..0 6 „ 15 „ 20 „ 0 71 „ 20 „ 25 .. .. .. .. ..0 9 „ 25 „ 35 .. .. .. .. ..10 „ 35 „ 50 .. .. .. .. ..16 „ 50 „ 75 .. .. ' .. ..20 „ 75 „ 100 .. .. .. .. ..2 6 For each additional 50 miles .. .. .. .. .. .. ..10 In addition to the above fees a special charge of Is. per message is made for calls between Gieat Britain and Ireland. The minimum charge for a call to or from the Isle of Wight is 6d.

London. Birmingham, Glasgow, Liverpool, and Manchester. Provinces. Exclusive line Auxiliary line Private branch exchanges — First line Additional lines (each) Extensions (each) £ s. d. 8 10 0 7 10 0 8 10 0 7 10 0 2 5 0 £ s. d. 8 0 0 7 0 0 8 0 0 7 0 0 2 5 0 £ s. 7 10 6 10 7 10 6 10 2 5 d. 0 0 0 0 0