D.—2.

Renewals, Depreciation, and Equalization Accounts. During the year the sum of £236,724 was charged against revenue for renewals, and the amount expended from this fund was £171,875 for electric equipment, overhead lines, and track renewals. The credit balance at 31st March, 1932, in the Renewals Fund was £474,506. During the year the sum of £452,060 was charged against revenue on account of depreciationNo amounts will now be accumulated in the fund, as the depreciation is repaid to the Treasury four-weekly. The position in regard to the undermentioned equalization funds is as follows : —

REVENUE. The income in respect of railway operation under the main headings, and the percentage under each heading to total income, compared with the previous two years, are as follow : —

The earnings from passenger traffic for the year have decreased by 24-69 per cent, as compared with the previous year, while the earnings from goods traffic have decreased by 10-42 per cent. The operating earnings per average mile open and per train-mile are as follow : — Per Average Per Mile open. Train-mile. £ £ 1932 .. .. .. 1,746 136-63 1931 .. .. . • • 2,053 144-26 1930 .. .. .. ..2,274 149-21 The railway operating receipts for the last three years (exclusive of subsidiary services) from the North and South Island Main Lines and Branches shown separately are as follow : —

VIII

Credit Balance j , Exnenditure I Credlt Balance brought forward ' ,S » ' ! at 31st March, from 1931. 1931-32. 1931-3.. . 1932 £ | £ £ £ Slips, Floods, and. Accidents Fund .. .. 48,856 21,671 6,690 63,837 Workers'compensation .. .. .. 12,230 34,857 28,811 18,276 Insurance 43,349 14,254 3,736 53,867 104,435 70,782 39,2-37 135,980 *

Per Cent, of i Per Cent, of j Per Cent, of 1932. j Operating 1931. Operating ; 1930. Operating Revenue. I Revenue, j Revenue. - l_ I ! ! £ £ Passengers, ordinary .. 1,138,940 19-68 1,531,376 22-58 1,733,512 23*19 Season tickets .. .. 200,649 3-47 247,349 3-64 262,415 3-51 Parcels, luggage, and mails 316,245 5-46 359,277 5-30 386,792 5-18 Goods.. .. ' 4,019,600 69-43 4,487,357 66-18 4,904,324 65-62 Labour, demurrage, &c. .. 113,531 1-96 156,029 2-30 186,950 2-50 5,788,965 100-00 6,781,388 100-00 7,473,993 100-00

North Island Main Line and Branches. South Island Main Line and Branches. 1932. 1931. 1930. 1932. 1931. I 1930. I 11 £ £ £ ! £ £ £ Passengers, ordinary .. 724,694 985,510 1,110,392 403,922 530,796 602,190 Season tickets .. ' .. 131,941 166,107 174,781 65,108 77,327 83,430 Parcels, luggage, and mails 213,532 231,546 249,955 ! 96,591 119,577 128,359 Goods " .. .. 2,307,518 2,505,212 2,685,577 i 1,593,100 1,818,372 2,026,066 Labour, demurrage, &c. 65,464 79,160 91,493! 41,897 66,835 80,263 3,443,149 3,967,535 j 4,312,198 j 2,200,618 2,612,907 2,920,308