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equitable basis, as, due to the number of requests, it will not be possible to satisfy all applicants. Sale prices for equipment procured under Reparations Agreement will be arrived at by valuation based on current market values. 8. Future Activities Although, there are still substantial surpluses to dispose of and there is still considerable revenue to accrue from the final accounting and realization of buildings, it is anticipated that the revenue for the next and succeeding years will be considerably less than for the current year, such items as (a) weapons and ammunition, (b) textiles, (c) M.T. vehicles, (d) ships, and (e) foodstuffs having been considerably reduced in volume. The Board's activities in the South Island are now reaching the stage where it is anticipated that the Dunedin and Blenheim offices should be closed down within the next two or three months and the Christchurch office about the end of the year. In the near future it will be necessary for the Board to make more strenuous efforts to explore new markets for slow-moving lines and substitute alternative uses for much of the materials. 9. Proceeds of Realization The total cash receipts for the year ended 31st March, 1947, amounted to £11,071,365, as compared with the two previous years, 31st March, 1945, £3,478,643, and 31st March, 1946, £11,269,753 ; total to March, 1947, £25,819,761. The analysis by commodity groups is as follows :

3

Commodity Groups. To 31st March, 1946. For Period 1st April, 1946, to 31st March, 1947. Total to 31st March, 1947. £ £ £ Aircraft and spares 2,748 52,336 55,084 Ammunition 4,381,970 58,730 4,440,700 Artillery and small-arms 780,776 222,090 1,002,866 Buildings and land 1,511,691 1,091,164 2,602,855 Building-materials 324,132 332,681 656,813 Camp and kitchen equipment 67,093 56,580 123,673 Chemicals and paints 9,547 88,134 97,681 Cordage, tents, and canvas 44,059 79,336 123,395 Drugs 76,146 47,879 124,025 Electrical and radio equipment . . 244,028 1,105,071 1,349,099 Foodstuffs 292,644 3,586,046 3,878,690 Furniture and office equipment . . 144,867 191,293 336,160 Machinery 302,369 856,198 1,158,567 Metals 182,840 346,254 529,094 M.T. vehicles and parts 4,117,654 1,401,518 5,519,172 Petroleum products 10,911 203,815 214,726 Photo equipment; musical instruments . 1,018 5,108 6,126 Plant, heating and lighting 45,297 27,749 73,046 Rent and hire charges 44,600 50,256 . 94,856 Ships 92,811 199,076 291,887 Tanks and other armoured vehicles 15,981 330,000 345,981 Textiles, hessian, fabrics, and clothing 1,867,438 461,397 2,328,835 Tools, &c. 32,460 39,031 71,491 Miscellaneous 155,316 149,433 340,749 On account United Kingdom Government 90,190 90,190 Totals 14,748,396 11,071,365 25,819,761