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accordingly planned moderately priced " package tours " which are being offered to the New Zealand public as an encouragement to take their holidays when they will enjoy them much better than when crushes are experienced. There is great need for holiday periods to be spread or staggered in order that the peak seasons may be relieved. MAINTENANCE AND DEVELOPMENT OF HOTELS, RESORTS, AND RESERVES UNDER THE DEPARTMENT'S CONTROL (i) HOTELS, ETC. Notwithstanding the many difficulties associated with labour and materials, the Department was able to provide improved facilities at various accommodation establishments. These improvements included the renovation and extension of existing plant and buildings. The more outstanding developments were the reconditioning of the Chateau Tongariro, which was brought up to de luxe hotel standards, and the renovating and refurnishing of Hotel Wairakei, which was reopened as a first-class house on 14th April this year. Arrears of maintenance are being overtaken gradually at other hotels, but at some resorts there is much to be done before the planned standard is reached. Both guests and staff at most of the departmental hotels now enjoy better accommodation facilities and amenities. Further work of this type is in hand or scheduled for early action. An example is the Franz Josef Glacier Hotel, where attention is being given to almost complete renovation and to refurnishing, additional bedroom accommodation, and staff quarters. The work of equipping hotels with 16 mm. cinematograph projectors and topical film programmes for the entertainment of guests and staff was completed during the year. There is much to be done in the Fiordland area. Enlarged staff quarters and guest recreational facilities are expected to be ready at the Milford Sound Hotel by the beginning of the next tourist season. The resiting and rebuilding of Pompolona Huts, together with other improvements on the Milford Track, are also contemplated. Cas3ade Creek Camp, in the Eglinton Valley, has been provided with a new dining-sitting room, and hot and cold showers have been installed at this establishment. (a) Waitomo Caves (Hotel Waitomoj The Manager reports that 31,800 persons visited the Waitomo Caves during the year, as compared with 20,159 in 1947-48. There was a noticeable increase in visitors from overseas, the majority being from Australia, and a fair number also came from the United Kingdom and the United States of America. This resort was particularly well patronized by New Zealand residents, and, in addition to individual visitors and week-end excursionists, 75 conducted parties inspected the caves. Development work at Waitomo Caves included a renewal and expansion of the hotel water-supply system and complete overhaul, of electrical equipment. Fluorescent lighting installed in the caves now enhances the natural beauty of this world-famous resort. During recent years more and more New Zealanders are selecting Waitomo Caves Hotel as a very comfortable and restful place for an extended holiday. (b) Lake Waikaremoana (Lake House) The annual report from Lake House discloses that 2,500 guests were accommodated during the year and that many hundreds of casual visitors made use of the adjoining camping-ground, The volume of visitors to this resort was affected adversely by flood

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