D.—2.

Dunedin Goods Services. 1939. 1938. Variation. £ £ £ Per Cent. Revenue .. .. .. 6,996 2,029 +4,967 244-80 Expenditure .. .. 6,886 1,948 + 4,938 253-49 Net revenue .. .. £110 £81 + £29 35-80 Mileage .. .. .. 119,470 32,471 +86,999 267-93 Tonnage .. .. .. 3,855 1,359 +2,496 183-66 This service comprises the following licenses : —

Prior to the taking-over of the additional services in March, 1939, these goods services were run in conjunction with the Dunedin road passenger services. Revenue at 14-05 d. per mile slightly exceeded the expenditure, which was 13-83 d. per mile. With the inclusion of the new services a big increase in mileage resulted. A better indication of the value of this service to the Department will be obtained after a longer period of working. MISCELLANEOUS REVENUE (NON-OPERATING). The revenue under this heading comprises miscellaneous non-operating revenue such as land and siding rentals, commission, deed fees, advertising rights, interest on investments, and internal interest charges. The total revenue this year was £369,330, as compared with £350,333 last year, an increase of £18,997. An increase in internal interest charges due to the expansion of subsidiary services was the primary cause of the variation. RAIL-CAR SERVICES. Rail-car services on two routes were in operation throughout the year, viz. : — Route. Commenced running. Christchurch - Greymouth - Hokitika .. .. .. sth August, 1936. Wellington - Wairarapa - Palmerston North .. .. 17th September, 1936. The following statement shows the results of the operation of these services for the year 1938-39 as compared with 1937-38 :— 1938-39. 1937-38. Variation. Revenue — £ £ £ Passenger .. .. .. 28,070 25,983 + 2,087 Parcels, mails, and newspapers .. 2,843 3,123 — 280 £30,913 £29,106 + £1,807 Expenditure.. .. .. .. £27,437 £26,043 +£1,394 Net revenue .. .. .. £3,476 £3,063 + £413 Mileage .. .. .. .. 393,129 362,991 + 30,138 Details of the operation of the two services are shown hereunder : — Christchurch - Greymouth - Hokitika. The revenue for the year amounted to £10,569, as compared with £9,192 for last year, an increase of £1,377. Expenditure decreased from £6,272 to £5,030, a decrease of £1,242. The revenue and expenditure per mile for 1939 were 17-45 d. and 8-30 d. respectively, as compared with 20-14 d. and 13-74 d. per mile for last year. This service is maintained primarily for the purpose of conveying newspapers from Christchurch to the West Coast of the South Island, accommodation for passengers being limited to nineteen persons in each of the two small Diesel units operating the service.

XXIX

Service taken over. Route. Date taken over. O'Fees South Road Service .. Dunedin - Clinton - Tahakopa .. .. "Ion,, c , , , . Dunedin-Balclutha .. .. .. / 20th September, 1936. Riseley's Ltd. .. .. Dunedin-Invercargill .. .. .. 21st March, 1938. Oamaru-Dunedin Freight Ser- Oamaru-Dunedin .. .. .. 12th December, 1938. vice Miller and Robertson .. Dunedin-Queenstown .. .. .. 6th March, 1939. G. F. J. Dorward .. .. Dunedin-Oamaru .. .. .. 18th March, 1939. A. D. Thomas .. .. Dunedin-Invercargill .. .. .. 18th March, 1939. Foote and Co., Ltd. .. Dunedin-Invercargill .. .. .. 1st April, 1939. J. Maxwell .. .. Dunedin - Roxburgh - Shingle Creek .. 15th April, 1939.