C.—2.

Strongman Colliery.—The gross output for the year was 43,836 tons. A comparative statement for the two years is shown hereunder : —

Note.—The difference between the gross and the net output is the allowance for mine consumption and waste. In addition to the above, 1,399 tons of coal was purchased for resale, of which 897 tons was purchased from co-operative parties on the West Coast. The disposal, inclusive of stock on hand at the beginning of the year, was as follows : Supplied to —Depots, 55,695 tons ; railways, 45,055 tons ; other Government Departments, 9,466 tons ; shipping, 5,822 tons ; gasworks, 84,595 tons ; other consumers, 9,724 tons : total, 210,357 tons. The total sales of State coal from the Liverpool Mine for the year amounted to 147,138 tons, value £187,940* as compared with 131,437 tons, value £165,243 for the previous year—an increase of 18,345 tons, with an increase in value of £22,697. The average price realized by the mine on the total sales for the year was £l ss. 6-5 d.,* an increase of 4-Bd. on the previous year's average. The total sales of State coal from the James Mine for the year amounted to 22,653 tons, value £32,382,* as compared with 35,554 tons, value £49,579,* for the previous year—a decrease of 12,901 tons, with a decrease in value of £17,197. The average price realized by the mine on the total sales for the year was £1 Bs. 7-ld.* per ton, an increase of 8-sd. on the previous year's average. The total sales of State coal from the Strongman Mine for the year amounted to 40,566 tons, value £60,172.* The average price realized by the mine on the total sales for the year was £1 9s. 7-9 d. The sales of coal, &c., through the medium of the depots totalled 150,657 tons, value £253,913,* as against 122,335 tons, value £209,267,* for the previous year. ITEMS FROM ANNUAL ACCOUNTS AND BALANCE-SHEET. The following details extracted from the audited accounts will enable honourable members to appraise the financial position of the Department's trading venture : — £ The payments for interest totalled . . .. .. 5,280 The cost of sea carriage of coal amounted to .. .. 58,453 The cost of railway haulage amounted to . . .. .. 32,706 The total wages paid for coal-winning were.. .. .. 129,031 The cost of management and office salaries (Head Office and mines) totalled .. .. .. .. .. 3,618 The gross capital expenditure on the whole undertaking to the 31st March, 1940, was .. .. .. .. 888,632 The total depreciation written off to 31st March, 1940 (equal to 63-96 per cent, of the gross capital expenditure) amounted to 568,386 The amount written off for depreciation for the year was .. 9,987 The present book value of permanent or fixed assets is .. 320,246 The loan capital as at 31st March, 1940, stood at .. .. 167,953 The net profits of the State Coal-mines Account from inception to 31st March, 1940, after charging the special depreciation of Colliery Development Accounts and after crediting interest on Sinking Fund investments, were .. .. .. 248,261 The net profit for the year ended 31st March, 1940, was .. 14,840 The Sinking Fund as at 31st March, 1940, was in credit .. 5,502 The amount taken out of the Sinking Fund during the year and applied in reduction of loan capital was .. .. 11,765 General Reserve as at 31st March, 1940, stood at .. .. 233,419 The amount at credit of Profit and Loss as at 31st March, 1940, was .. . . .. . . .. . . 9,340 The cash in hand and in the Public Account as at 31st March, 1940, was (last year £7,625) .. .. .. .. 18,775

* These values include sales made c.i.f. and f.o.b. as well as f.o.r.

5

Output, in Tons, 1939-40. Output, in Tons, 1938-39. Mine. . . Gross. Not. Gross. Net. Liverpool .. .. 152,189 146,074 137,533 131,807 James .. .. 24,755 23.709 42,649 41,434 Strongman .. .. 43,836 42,247