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available for use by any one accompanying the holder of the ticket, and are not limited as to period of availability. The value of this class of ticket to any one requiring to make frequent journeys, although not sufficient to warrant the cost of an ordinary season ticket, and to the wives and families of those living in the suburbs, for use in their weekly shopping trips to town, will be apparent, while the reduction on the ordinary fare is sufficiently liberal to make them decidedly attractive. Family tickets (second class) are issued on a basis designed to enable parents accompanied by their children to travel at extremely reasonable cost. Parents and members of their family to any number— but not exceeding sixteen years of age —may travel on these tickets at a total cost of three adult tickets. Cases have been observed where a man, wife, and six or more children have taken advantage of this concession, and it will be obvious that it provides a cumulative concession which becomes effective where more than two children are accompanying their parents, and increases in amount with the number of children under sixteen years of age. In the " Parcels " section a new feature in the prepayment of freight on parcels by means of stamps was inaugurated, and has been found to be a convenience by many business firms dealing with mail orders or extensive parcels business. In the " Goods " section various alterations were made and anomalies adjusted, but the principal work was caused by the necessity for numerous special rates in localities where road competition was developing. Generally speaking, these rates have attained the object for which they were granted, and in every case the circumstances were first fully investigated by the Commercial Branch. REFRESHMENT BRANCH. During the year the total number of rooms controlled by the Branch increased to twenty-six, the Tooms at Patea, Clinton, Gore, Putaruru, and Ohakune being taken over by the Department. The volume of business shows a satisfactory increase, the gross earnings amounting to £133,658, being £28,861 in excess of the preceding year. The staff of the Branch increased in number from 274 to 368. During the year the expansion of business necessitated a number of improvements in accommodation, the principal items being— New bakehouse at Oamaru. Additional staff accommodation and enlargement of bakehouse at Frankton Junction. Additions and improvements to rooms at Frankton Junction, Patea, and Clinton. The completion of these works afforded considerable relief, and the improved facilities have enabled us to render more efficient service. The operations of the Branch in connection with the purchasing of foodstuffs and groceries for other Government Departments under the authority of the Stores Control Board have been maintained. The organization of the Branch was placed at the disposal of the Consul-General for the United States of. America during the visit of the warships of the United States Navy to New Zealand in August, 1925, and assistance was rendered in the standardizing of tender forms and the letting of contracts for various items of foodstuffs. The Consul-General conveyed to the Secretary of the Stores Control Board his appreciation of the services rendered in this connection. The system of hiring cushions to passengers on the Auckland-Wellington Main Trunk express trains was inaugurated in April, 1925. Passengers travelling by these trains are enabled to hire cushions at a nominal charge of Is. each. The facility proved a decided success from the outset and has speedily increased in popularity. The total number of cushions hired to the 31st March was 38,519. There is no doubt that the travelling public greatly appreciates the Department's efforts to add to their comfort on the long night journeys. No effort will be spared to maintain and improve the high standard of service that has been rendered in the past, and, as opportunity offers, other refreshment-rooms at present conducted by lessees will be taken over by the Department. STAFF EDUCATION. In addition to the classes provided for the instruction of newly appointed cadets in telegraphy and elementary railway work, consideration has been given to the matter of providing all members of the staff with opportunities to qualify themselves for the higher positions in the Service. With this object a central training and correspondence school has been opened in Wellington. The course of study prescribed for members in the Traffic Branch has been completed, and judging by the number of intending students its success is assured. This course comprised a series of fifty-three lessons, and aims to inculcate a thorough knowledge of the practical requirements of railway-operating as it affects an officer in the Traffic Branch intermediate tests being made by periodical examinations. The object the Board has in view is to afford all members of the Department the opportunity to qualify themselves for higher positions, and when the Training School is in full operation it will be open to every member to take up a course of study which will fit him for advancement in the particular branch of the Service which he selects. A reference library is being established which will place at the disposal of the staff the best and most modern publications on transportation and cognate subjects. The Board hopes at a later date to establish a Railwaypnstitute with branches at the principal centres, where facilities will be provided for self-improvement by way of libraries and a wide range of educational classes, and in which accommodation will be available for recreation and for social gatherings of the staff.

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