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in the examination for Art-class Teachers Certificates three finished works were accepted by the examiners ; one finished work was also accepted for the Art Masters Certificate. The usual local examinations were'held at the end of the year, and all the students submitted work for examination. An exhibition of students' work was held during February. The exhibits were appreciated by the public. The Press gave several favourable reports on the advancement of the work of the school as a whole. A bronze medal and eleven free scholarships were awarded on the year's work to students of the day and evening classes, also some twenty-four scholarships to pupils of the State schools. Instruction was given in drawing and painting from life, still life, antique, and landscape. A special feature was made of costume-study on the living model, and figure-composition. A series of anatomy lectures were given during the year. Six classes per week were held for design, and many really excellent examples were executed. A booklet entitled " Maori Fairy Tales" was illustrated by students, and several commissions for posters and designs for advertising purposes were given by various local firms to the school for students to design. A start has also been made in pottery-painting, and several examples of under-glaze work were executed during the year. Several etchings were also executed on the school's new printing-press. A large feature of the work of this department was the preparation of designs for the crafts classes, such as cartoons for stained glass, working designs for wood and stone carving, repousse work, enamelling, embroidery, lace, gesso, leather work, &c. The work of the crafts classes comprised carrying out in material the working designs made in the design department. Examples of Limoges and cloisonne enamelling, jewellery, and general art metal-work were executed. Excellent specimens of wood-carving, repouss6, gesso, and leaded-light work were made during the year by the students. Classes for these crafts were held in the morning, afternoon, and evening. This is the first year that really serious work has been done in the important department of modelling. Several advanced students gave all their time to figure-modelling this year, with a result that many really fine examples of bas-relief and work in the round have resulted. The general trade modelling classes have done good work throughout the year, and I hope to see the subject of modelling-design taken up seriously another year. Steady progress has been made in the architectural department. The course embraces five evenings per week, and several students took the full course. It was decided to grant a bronze medal for the best set of works in several subjects this year, and as a result some very excellent sheets were submitted at the end of the session. Good work has been done in signwriting and decorating, especially in stencilled decoration and three-tone painting and poster work. The work in cabinetmaking has chiefly been directed to drawing and design. Some excellent furniture studies in colour were executed by students of this department in the applied-design classes. Classes for teachers and pupil-teachers were held on Saturday mornings as well as in the evenings for elementary drawing, design, brushwork, blackboard drawing, modelling, and elementary still-life work. The accommodation of the school was severely taxed on Saturday mornings. A large room for blackboard work is urgently needed. Special classes for Training College students were held for blackboard, freehand, and model drawing, and useful work was done by the students in this section. The Arts and Crafts Guild was continued on the same lines as those of former years, with the exception that, in addition to the monthly lectures, a monthly members' working-night was commenced. A subject was set, and the members illustrated the subject in various mediums. This addition proved very successful, and many excellent compositions were the result. The Guild's membership numbers upwards of two hundred, many of whom are ex-students of the school. No resignations from the staff have been received during the year. The staff now numbers fourteen, all of whom worked loyally in the interests of the school. In conclusion, I have to thank the Board, firstly, for instituting two scholarships, value £25 each, one for pure art and one for applied art, which I am sure will be keenly competed for during the next year, and which will, perhaps, form a stepping-stone to a New Zealand Government Travelling Art Scholarship, which is urgently needed if our art students in the Dominion are to keep pace with those in Australia, where such scholarships have been available for many years past, and have been the means of gaining for Australia a name for producing artists and sculptors of the first rank ; secondly, for granting me leave of absence to visit the art schools of Europe during the coming year, and also for the grant to purchase specimens of the best students' works in the schools I visit. R. Herdman Smith, F.S.A.M., &c. Statement of Receipts and Expenditure for the Year ending 31st December, 1908. Receipts. £ s. d. Expenditure. £ s. d. Balance at lst January, 1908 .. .. 312 12 9 Salaries .. .. .. .. 1,584 3 4 Students'fees .. .. .. .. 671 6 0 Contribution towards expenses of Registrar's Government capitation for technical instruc- office.. .. .. .. .. 80 0 0 tion .. .. .. .. .. 1,034 11 6 Insurance .. .. .. .. 13 2 8 Government grant for material .. .. 44 18 6 Gas .. .. .. .. .. 76 18 0 Government grant forfurniture, fittings, and Repairs .. .. .. .. 8 3 6 apparatus .. .. .. .. 37 11 7 Advertising .. .. .. 26 5 0 Governmeet capitation for free places .. 189 6 1 Printing, stationery, &c. .. .. .. 39 1 1 Grant from Museum. Library, and School of Fuel .. .. .. .. .. 13 6 7 Technical Science Endowment .. .. 450 0 0 General expenses .. .. .. 23 8 4 Interest .. .. .. .. 13 6 11 Apparatus .. .. .. .. 45 9 4 Special prizes .. .. .. .. 2 11 0 Books for school library .. .. .. 40 15 6 Telephone subscription .. .. ... 700 Official postage-stamps .. .. .. 310 0 Subsidy to life classes (models) .. .. 60 0 0 | New casts .. .. .. .. 68 12 3 1 Grant to still-life clasß, &o. .. * .. 20 17 1 Prizes .. .. .. .. .. 11 18 6 Fencing (share of oost) .. .. 15 5 0 Balance .. .. .. .. 618 8 2 £2,756 4 4 £2,756 4 4

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