7

C.—2

Losses on coal sold to miners, concessions in the form of special railway facilities, and of allowances for railway fares to miners and workmen amounted to £5,458, and this sum was allowed for in arriving at the net profit for the year. Tree-planting—State Coal Areas. As advised in my last Statement, the question of obtaining supplies of suitable timber for use at the State collieries is a most important one, and in order that requirements may be assured in future an area of about 84 acres has been planted at Waikokowai. An area of about 45 acres has also been planted on the State Colliery Reserve at Dunollie, and arrangements have also been made for the planting, this year, of an additional 50 acres adjoining that already planted. In addition, arrangements have also been made to plant up the blanks in the areas at Waikokowai planted in 1923 and 1924. The trees planted at Waikokowai consisted mainly of Finns radiata and Eucalyptus. Five different varieties of trees were, however, planted at Dunollie —viz., Oregon pine, Eucalyptus viminalis, E. Macarthuri, E. eugenioides, E. Gunnii. Unfortunately, during the recent summer the trees on an area of approximately 3| acres in the Dunollie Plantation were destroyed by fire, but how it originated was never ascertained. Items prom Balance-sheet. The following items taken from the balance-sheet, which has been audited, will prove of interest as indicating the more important items of expenditure, and for reference in respect to the position of Capital Account, reserve funds, and other accounts shown therein. £ The amount written off for depreciation for the year was . . . . 38,390 The payments for interest totalled . . . . . . . . 9,252 The payments for sea carriage of coal amounted to . . . . 59,727 The cost of railway haulage amounted to . . - . 28,497 The total wages paid for coal-winning were . . . . . . 79, 684 The amount paid for management and office salaries (Head Office and mines) totalled .. .. . . . . . . 3, 908 The gross capital expenditure on the whole undertaking to the 31, st March last was . . . . . . . . . . .. 578,411 The total depreciation written off to date (equal to 58 per cent, on the gross capital expenditure) amounts to . . . . . . 335,824 The debenture and loan capital stands at . . . . . . 227, 601 The net profits of the State Coal-mines Account from inception to the 31st March, 1925 . . .. .. . . . . . . 106,017 The net profit for the year ended 31st March, 1925, was . . 821 The sinking fund is in credit . . . . . . . . 41,669 General reserve stands at .. ~ .. . . . . 67,360 The amount at credit of Profit and Loss is . . . . . . 821 The cash in hand and in the Public Account at the 31st March last was (last year £17,389) . . , . . . . . 12,888 The present net book value of permanent or fixed assets is .. 242,587 TABLES AND REPORTS. The usual statistical tables and departmental reports are appended.