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The following table shows the districts from which the new entries were recruited : —

3. The following table shows the numbers discharged or dismissed after final entry during the period of this report:—

4. The health and discipline of the ships' companies have been excellent.

111. The Naval Base. The progress reported in my last report has been maintained, and further improvements on a considerable scale have been effected by Commander N. Clover, R.N., since he took over the duties of Naval Officer in Charge, Devonport, on 17th July, 1928. 2. The organization of the whole of the Base Victualling and Clothing Stores is now complete, and is most efficient. The Gun-mounting Store, owing to congestion, will not be efficient until the enlargements for which provision h&s been made in the 1929-30 estimates have been completed. The Inflammable Store has been condemned, as the ironwork is rusty and unserviceable. It is essential that a new store be built as soon as possible. The Boat-shed has proved its great value to the Service during the past year, enabling the boats to be kept in a much better state of repair than formerly, and at a reduced cost. The condition of the men's portion of the Dockyard lavatories leaves very much to be desired, and it is essential that new naval lavatories shall be built without delay. The system of lighting of all the Base Establishments has been altered, with a result that a real and considerable saving of money has been effected. The question of provision of adequate electric power to ships when lying at Sheerlegs Jetty has become one of some importance. 3. The organization of Takapuna Magazine has been greatly improved, and the whole administration reflects great credit on the Armament Supply Officer, Lieutenant H. A. Haynes, B.N. (retired). The new laboratory is now well under construction, and will, it is anticipated, be ready for the test of explosives due in June. The courtesy of the Defence Department in allowing this building to be erected on Defence Department ground is very much appreciated. With regard to new buildings required to comply with Admiralty recommendations, designs and estimates are being prepared. 4. In order to prepare for the advent of two B class cruisers to replace the present D class, proposals have been put forward for a committee to be set up to negotiate and report on the extension of the dock, replacement of obsolete workshop machinery, the berthing of H.M. ships, and responsibility for the upkeep of dock and surroundings, &c., with a view to proceeding with the work entailed.

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-Regimental District.! Seamen. Stokers. Artisans, &c. Total. Auckland 18 5 1 24 Paeroa .. 7 .. .. 7 Whangarei .. 4 .. .. 4 Hamilton 9 2 1 12 Wellington .. 3 .. .. 3 Palmerston North 4 .. . . 4 Napier .. . . 2 .. . . 2 New Plymouth . . 4 . . . . 4 Nelson .... 1 1 . . 2 Christchurch .. 3 .. . . 3 Dunedin .. 3 . . .. 3 Invercargill Totals .. ! 58 8 2 68

! I ( Cause. Seamen. Stokers. ! Others. | Total. , 1 v HBHHH # , .IInaa Ujj MC8ffggh|s&E| I Services no longer required, or as punishment.. 2 1 .. 1 3 Unsuitable .. .. .. .. 4 1 1 6 Desertion .. .. .. .. 4 j 2 .. \ 6 Invalided .. . . .. .. 2 1 .. 3 Purchase .. .. .. .. j ■ ■ 5 | 2 .. | 7 Death . . .. . . . . ; j 1 .. 1 Totals .. .. .. .. 17 ! 8 1 j 26 I I