F.—l

Ordinary Telegrams. Press Telegrams. Government Telegrams. Number. £ s. d. Number. £ s. d. Number. £ s. d. 1885 ... 1,363,124 80,320 11 1 170,282 7,597 10 10 240,867 24,860 9 0 1884 ... 1,257,818 72,414 5 2 175,640 8,212 10 2 220,847 20,855 19 7 T f 105,306 7,906 511 . ... ... 20,020 4,004 9 5 increase ... | B . 37pc _ 10-91 p.c. ... ... 9-06 p.c. 19-19 p.c. „ ( ... ... 5,358 614 19 4 Decrease'"l ... ... 3-05 p.c. 7-47 p.c. The gross cash revenue for the financial year, inclusive of telephone-exchange receipts, private wire rents, &c, amounted to £101,979 10s. The expenditure during the same period (exclusive of £29,452 Is. 3d. for construction, &c, charged to loan) was £99,297 14s. Id. The receipts, therefore, were £2,681 15s. lid. more than the ordinary expenditure. Taking into account the value of Government telegrams, viz., £24,860 95., and fees amounting to £890 6s. collected on money-order telegrams but not paid over by the postal branch, the actual value of the services by telegraph for the year will be found to have been £127,730 ss. This leaves an apparent profit of £28,432 10s. lid. on the year's operations, an amount equal to 4-99 per cent, on the capital cost. 36,912 urgent telegrams, of the value of £4,365 45., were dealt with, which, compared with previous year's figures, shows a falling off of 6,881 messages, and of £1,177 12s. in the receipts. The decrease was no doubt the result of the business degression which existed in parts of the colony. But while there was this decrease in the urgent telegrams, there was, on the other hand, an exceptionally large increase of delayed messages, no less than 265,422 having been transmitted, compared with 201,769 the previous year and 168,141 in 1883, the increases being 63,653 and 33,628 telegrams respectively. The advantages of the delayed system have been further extended since the Ist January last, by arranging that this class of message shall be sent over the wires at any time of the day whenever the ordinary telegraph work will admit of this being done. The messages are at once posted for delivery by post offices either through private boxes, over the counter, or by letter-carrier. Already this has had a marked effect on the extended use made of the delayed system by the public. Previously, the practice was not to post delayed telegrams until late at night, in order to prevent their delivery until next morning. Government telegrams increased in number by 20,020, and £4,004 9s. sd. in value, compared with a decrease of 930 telegrams and £699 19s. 7d. in value the previous year. The average number of telegrams sent for every 100 letters posted was 10-78 compared with 10-32 in 1884. Comparing the number of telegrams forwarded to every 100 letters posted from offices within the under-mentioned districts in 1885 and 1884, the following are the results : — 1885. 1884. 1885. 1884. Auckland ... :.. 9-69 8-92 New Plymouth ... 17-40 16-09 Christchurch ... ... 6'73 6-46 Wellington ... ... 16-32 14-93 Dunedin ... ... 8-02 7-57 Westport ... ... 30-34 24-97 Nelson ... ... 13-16 17-92 17,806 money-order telegrams for £62,202 7s. were transmitted, the commission on which amounted to £1,036 14s. and the fees to £890 6s. The number of orders increased by 1,310, but decieased in amount by £3,038 14s. 7d. compared with the former year's business. The number and the value of money-order telegrams forwarded from offices within the several postal districts will be found in Table No. 27. Telegraph offices were opened at Templeton, Culverden, Little Eiver (Christchurch District); Te Aute (Napier); Waotu (Auckland). Waikaia (Dunedin District) is now worked by Morse instrument in the place of a telephone. The following telegraph offices were closed: Hurunui, Springston (Christchurch District). Telephone offices were established at Bombay, Howick, Kawhia, Omapere, Waitangi (Auckland District) , Tairua (Thames); Newtown, Pahautanui (reopened) ; Pahiatua (Wellington) ; Glentunnel (Christchurch) ; White Cliffs (Timaru) ; Anderson's Bay, Heriot, Lovell's Flat, Mornington, Eoslyn, Woodhaugh (Dunedin) ; Orepuki (Invercargill); Danevirk (Napier) ; Makaraka (Gisborne) ; East Takaka, Farewell Spit, Ferntown, Motueka Wharf, Sherry Eiver, The Lake (Nelson) ; Fern Flat (Westport); Totara Flat (Greymouth). The telephone office at South Malvern has been closed. 134 offices are connected by telephone, an increase of 24 offices. The number of offices, both telegraph and telephone, open at the end of the year, was 375, against 350 in 1884. Telegraph forms of a new pattern, and printed on stout paper, will be issued on the Ist July, a change which no doubt will be appreciated by the public. The number of miles of line maintained was 4,463, an increase of 199 miles. The average cost for maintenance per mile was £4 15s. 9d., as against £4 18s. 4d. for the former year. The number of miles of wire increased from 10,474 to 10,931, which, with 2,820 miles of duplex wire, give 13,751 miles of available wire accommodation. The expenditure out of loan for telegraph extension, &c, was £29,452 Is. 3d. The total sum expended up to the 31st December last, on telegraph lines, cables, &c, amounted to £571,893 Bs. 9d. The business of the telephone exchanges is rapidly extending. Exchanges have been established at Napier, Wanganui, and Timaru. There are now ten telephone exchanges, and one branch exchange.

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