D.—2

XXXII

A Photographic Division has been added to the branch during the year. By this means many effective photographs, which are invaluable for use in the preparation of publications, have been secured, and suitable photographs of railway subjects are made available for publication in newspapers, &c, both in the Dominion and overseas. Supplies of scenic views are also available for exhibition in hotels, &c, in pursuance of the Department's general publicity policy. This Division has been established at little expense by incorporating the blue-printing and photostatic units of the Maintenance and Locomotive Branches. During the year under review 31,313 blue prints and 2,472 photostats were completed by this division. Special work of this nature was also done for the Forestry Department, Valuation Department, and Marine Department. THE NEW ZEALAND RAILWAYS MAGAZINE. I regard the Department's official monthly Magazine as an enterprise of the very greatest importance. Its establishment is right in line with modern business development. Every business concern in any way approximate to our railways in the size of its business and the extent of its ramifications has its "house organ," while among railways the principle of a magazine has met with practically universal adoption. It is one of the few means by which the railway authority may become articulate to its staff and public, and it is certainly the most attractive and effective means of so doing. After over four years of publication, I can say definitely that this journal performs a great and many-sided service for the Department—a service which is being energetically maintained. As an educational journal dealing authentically and in detail with the current problems of railway economics on the one hand, and with the varied national interests of New Zealand on the other, its high standard and general appeal is freely and generously acknowledged alike by the members of the Railway service and by the press and public of the Dominion and overseas. As a medium for the establishment of contact between the management and the staff, and between the Department and its clients, the Magazine, in promoting an atmosphere of mutual understanding and good will, is performing a service the importance of which, directly and indirectly, it would be difficult to overstate. Both as a constructive factor in railway-management and as a medium for profitable Dominion publicity, the Magazine has a well-established place amongst the important community services rendered by the railways to the people of New Zealand. The present monthly circulation of the Magazine is approximately 25,000 copies. Of this total, about two-thirds is distributed free to members in the various branches of the service, the remaining copies being circulated amongst the principal newspapers, business-houses, hotels, boardinghouses, and public libraries in the Dominion. The overseas distribution of the Magazine is substantia], copies being sent to the High Commissioner's Office in London for distribution, and to selected addresses in Europe, Canada, the United States of America, South Africa, and- Australia. Thus is being disseminated each month a carefully compiled and connected review of railway and other activities in New Zealand —a review which has a publicity value of national importance. Much interest is evoked throughout the service in the Magazine's special articles on the day-by-day developments of railway transportation in New Zealand and in the countries of the Old W T orld. These articles, in which the contributors (drawn largely from the ranks of our service) strive to present, in simple and straight-forward language, their assiduously garnered knowledge of the respective subjects, serves admirably towards the general enlightenment of the members of our Railway service. The experiment was recently tried of placing the Magazine for sale on the various railway bookstalls throughout New Zealand. Though it may be premature to forecast the possible revenue returns to be derived in this way, the reception already accorded the Magazine by the rail-travelling public has been most encouraging. The experiment indicates the existence of a ready and growing market for the Magazine outside the service. The revenue from advertisements shows a gratifying increase over the figures for last year. Approximately £1,000 was the net revenue received from advertisers for space in the Magazine, and indications point to a further expansion in this direction. During the coming year I expect to effect substantial economy in connection with the production of the Magazine. I think the free circulation may be somewhat curtailed without material disadvantage. By strict attention also to possible economies in other directions and to the extension of revenue-producing advertising-matter I aim to reduce the cost of the Magazine to the Department to the lowest possible amount. PUBLIC RELATIONS. During the year I have pursued the policy I indicated in my last annual report of giving close attention to the public-relations side of our business. I have moved about the system as freely as circumstances permitted, with the desire of making the utmost possible personal contact with our customers, the public generally, and with the staff. I have been very much gratified by the number of invitations that have been extended to me by various organizations, business men, and others, to address them. I have endeavoured to meet every invitation, but I regret that the necessities of business prevented my acceding to all of them. I am hopeful, however, of addressing during the coming year the bodies whom I have not yet been able to meet. I have received most valuable assistance on the occasions on which I have been privileged to address these gatherings, and I have had many helpful suggestions and much constructive criticism. This latter I have particularly welcomed, as I feel that criticism that is constructive in its nature — especially when it is ultimately found to be well founded —is not only helpful, but very pleasing. It has been my constant endeavour to treat every piece of such criticism with the respect that was due to it, and the opportunities that have often thus developed for free and frank discussion with those who are directing their thoughts towards the railway problem have brought a large understanding of the public point of view to me and, I sincerely trust, some understanding of the railway position to those with whom I have held discussions.