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the United Kingdom from 6d. to 2^d. per half-ounce, and also to a decrease in the postages from the London Post Office in aid of the San Francisco and Direct mail-services under the altered arrangements for the twelve months' renewal from November-December last. The recoveries in respect of these services, instead of being treated as revenue, are now credited to the vote for conveyance of mails by sea. The- expenditure was £153,205 10s. Bd., compared with £172,998 for the former year, a decrease of £14,792 9s. 4d. The expenditure was therefore £65,336 18s. lid. less than the revenue. It should, however, be explained that the expenditure for 1889-90 was of an abnormal amount, caused by the payment in that year of a liability of £13,573 of the previous year for conveyance of mails by sea. The estimated value of the free correspondence was £67,473 17s. Id. The revenue, as already stated, was £223,542 9s. 7d., and the estimated value of the free correspondence £67,473 17s. Id., a total of £291,016 6s. Bd., which, after deducting the expenditure— £158,205 10s. Bd.—leaves a credit balance of £132,810 16s. on the Post Office transactions for the year. The credit balance in 1889-90 was £131,018 Is. lid. The fees collected for the registration of births, deaths, and marriages amounted to £1,365 4s. 6d. The sum of £3,501 15s. was collected in respect of certificates issued in connection with the inspection of machinery. Fees collected under the Live-stock Acts amounted to £11,095 Bs. The fees received for game licenses amounted to £1,272. The property-tax paid through post-offices was £232,031 7s. 4d. 22,977 payments were received. For other departments of the Government service the Post Office was used for paying 15,918 vouchers for miscellaneous expenditure. The amount paid was £36,256 2s. Id. The gratuities paid for the carriage of mails by unsubsidised vessels amounted to £6,556 14s. 7d. 3,800 private boxes were let, which, with the fees on 315 private bags, brought in £4,328 19s. 4d. The letter-carrier's delivery at Greymouth was extended to Cobden. Second daily deliveries in Palmerston Street, Westport.. and at Petone were established. The Nelson delivery was extended to the city boundary, in the direction of Waimea Road and Brook Street. Eight receiving-boxes were established —1 at Cobden, lat Milton, lat Roslyn, 2at Napier, 1 at Wanganui, and 2 at Dunedin. The total number of pillar, wall, and lamp-post receivers at the close of the year was 306. 7,613,194 letters, 324,911 post-cards, 774,832 books and circulars, and 1,972,147 newspapers were delivered by letter-carriers. Thirty-six post-offices were established, 3 reopened, and 18 closed during the year, as under : — Opened. Athenree, Thames. Mangaone, Wellington. Ratanui, Dunedin. Coal Island, Invercargill. Mangatainoka, Wellington. Red Hill, Auckland. Cryer's Landing, Thames. Mawheraiti, Greymouth. Spring Hills, Invercargill. Grovetown (reopened), Blenheim. Miller's Flat, Dunedin. Tariki Road, New Plymouth. Harben (reopened), Westport. Ngawha, Auckland. Tawhai, Greymouth. Hermitage, Timaru. Oaonui, New Plymouth. Te Anau, Invercargill. Inangahua Landing, Westport. Ohinewai, Auckland. Te Matuku, Auckland. Kaimata, Greymouth. Orari Swamp, Timaru. Tokomaru, Wellington. Kanohi, Auckland. Otaio (reopened), Timaru. Victoria, Napier. Kapuni, Wanganui. Pemberton, Wellington. Waiongona, New Plymouth. Kuaotunu, Auckland. Pleckville, Wellington. Waipatiki, Napier. Mahi, Wanganui. Puhipuhi, Auckland. Western Springs, Auckland. Mangahao, Wellington. Punakiterc, Auckland. Winchmore, Christchurch. Closed. Big Dam, Hokitika. Gorge, Wellington. i Otaio, Timaru. Big Omaha, Auckland. Inangahua Landing, Westport. Owen Reefs, Nelson. Blue Cliffs, Timaru. Kennedy's Bay, Auckland. Point Curtis, Auckland. Bulmer, Timaru. Mangatera, Napier. Poroaterao, Auckland. Cobden, Greymouth. Matawhero, Gisborne. Quartzville, Thames. Dalefield, Wellington. Okehu, Wanganui. Rotoiti, Thames. The total number of post-offices open at the close of the year was 1,185. The number of post-offices in the colony compared with its population was in the proportion of 1 post-office to every 528 of the inhabitants. The proportion in the United Kingdom for 1889 was 1 to 2,071; in the United States, Ito 1,001; in Canada, Ito 628 ; in Victoria, Ito 695; in New South Wales, 1 to 899 ; and in Queensland, 1 to 1,070. The designations of the post-offices formerly known as Arawata, Okoroire, Wairaki, Lucas Creek, and Tokomaru have been changed to Jackson's Bay, Oxford North, Eastern Bush, Albury, and Tokomaru Bay respectively. Government Insurance agencies were opened at the post-offices at Cullensville, Denniston, Pembroke, Hunterville, and Pigeon Bay—a total of 215 post-offices at which Government Insurance business was transacted. Twenty newspapers were registered for transmission by post, and 3 newspapers ceased to publish during the year. The total number of registered newspapers at the close of the year was 222. Thirty-five magazines and trade catalogues were also registered for transmission by post. The total number on the register at the end of the year was 372. The reduction of the letter-rate to the United Kingdom from 6d. to 2fd. per half-ounce came into force on the Ist January last. There has not been sufficient time to ascertain the general effect of the reduction, either on the postage receipts or on the increase of letters; but of the number of letters despatched to the United Kingdom for the five months ended the 31st May last the

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