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A comparison of the results obtained on the various services is as follows : — 1935. 1934. Variation. £ £ £ Napier-Hastings .. .. Profit 1,158 Profit 551 + 607 Wellington - Hutt Valley .. ~ 3,760 „ 1,519 +2,241 Oamaru-Tokarahi .. .. „ 25 „ 42 — 17 Dunedin - Port Chalmers .. „ 588 „ 299 + 289 Waipahi-Edievale .. .. ~ 51 Loss 43 + 94 Wellington-Wanganui* „ 90 .. +90 Total .. .. .. Profit 5,672 Profit 2,368 +3,304 * The Wellington-Wanganui service was commenced on Ist September, 1934. It is satisfactory to note that a profit has been secured from the operation of each of the Department's services. This has been due to the benefit received from the improved business conditions, the good weather experienced over the holiday seasons, and the attention given to service operation. These results have been secured after adequate provision has been made for a high standard of maintenance to ensure the running of the various fleets in the best possible condition. The total fleet comprises forty-nine buses and ten service cars, the latter being used to maintain the WellingtonWanganui service, for which new vehicles had to be purchased in order to bring the equipment up to the Department's standard requirements. Five new de luxe buses (21-seaters) have been provided to meet the demands of special " contract work." These conform to the modern trend towards streamlining, and special provision has been made in the seating to ensure every comfort on long-distance trips. The chasses were purchased in England and the bodies were built to the Department's design in its own workshops. These buses have proved very popular, especially on the new Eglinton Valley service, a round trip of some 500 miles. The results of operating the various services are shown below: — Napier-Hastings . 1935. 1934. Variation. Per £ £ £ Cent. Revenue .. .. 16,559 16,736 —177 1-06 Expenditure .. .. 15,401 16,185 —784 4-84 Net revenue .. 1,158 551 +607 110-16 Passenger journeys .. 481,691 481,194 +497 0-10 The patronage afforded this service showed little variation taken over the whole year, but during the latter portion the revenue showed a satisfactory increase. The total cost per mile decreased by 0-52 d. Hutt Valley. 1935. 1934. Variation. Per £ £ £ Cent. Revenue .. .. 59,489 55,519 + 3,970 7-15 Expenditure .. 55,729 54,000 + 1,729 3-20 Net revenue .. 3,760 1,519 + 2,241 147-53 Passenger journeys .. 2,264,257 2,083,935 +180,322 8-65 This service shows a substantial improvement in revenue, there being an increase of 7-15 per cent., while the expenditure increased by only 3-20 per cent. During the summer months a service was inaugurated between Lower Hutt and Eastbourne, running on Sundays and public holidays. The results have been satisfactory, and a better traffic is expected to develop next season. Wellington-Wanganui. 1935. £ Revenue .. .. .. .. .. .. 5,438 Expenditure .. .. .. .. 5,348 Net revenue .. .. .. .. 90 Passenger journeys .. .. .. .. .. 6,229 Revenue was 6-99 d. per mile and expenditure 6-87 d. This service was taken over from S.O.S. Motors, Ltd., and commenced running as a departmental service on Ist September, 1934. The fleet taken over was in such condition that heavy expenditure was incurred in putting it into satisfactory condition. During the year two special trips were run with overseas tourists round the North Island, and the. service provided occasioned favourable comment. It is expected that this class of traffic will increase.

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