THE TRAMWAYS ACCOUNT.

Dominion, Volume 5, Issue 1346, 25 January 1912, Page 4

THE TRAMWAYS ACCOUNT.

A SATISFACTORY RETURN. In yesterday's Dominion an interim report of the tramways manager to tho Power Stations and Tramways Committee was published, showing that tlio net profit on the working of the tramways and sale of power for the period between A|iril 1 and December S was 2s. 6d. It was pointed out yesterday that though this statement waß substantially correct it might lead to a wrong impression. Tb,> amount mentioned was the net profit after providing .£13,077 9s. 3d, for interest, .£3312 4s. 6d. for sinking fund, and .£9502 lGs. for depreciation. There was really no cause for alarm at the apparently small amount of profit, as the heaviest traffic occurred between December 1 and March • 31. This was proved by quoting last year's figures. For the eight months from April 1, 1910, the net profit only amounted to .£421 Is. 7d., yet the profit at the end of the financial rear was ,£0123 Us. 9d.

"The position is this," said Mr. Petersen (electric department accountant), "wo just about hold our own in the winter, and make our ' profit in the summer. This is exactly the reverse to the electric lighting account which makes its profit during the winter months, and at times actually shows a slight loss in some of the summer months." Many new works have been done during the eight months under review, such as (he construction of cars, alteration ot Ira-cars to combination-cars, construction of loop lines, and sections of duplications. This work absorbed the sum of .£2954 7s. Id., which sum is met out of the money earmarked for depreciation.