F.—l.

Hon. Sir E. Heaton Rhodes, K.C.V.0., K.8.E., Chairman ; Mr. Richard Wallwork, A.R.C.A., Christchurch; Mr. Johannes C. Andersen, F.N.Z.lnst,, Wellington, and Mr. G. McNamara, Secretary of the Department), fourteen designs representative of New Zealand scenery and life were adopted as suitable. Except m the case of the design accepted for the 6d. stamp, New Zealand competitors were successful in each case. Particulars of the accepted designs and the names of the successful designers are given at page 14 of this report. Arrangements are now proceeding for the production of the new series of stamps in England by the photogravure process. Two new series of stamps, one for the Cook Islands and one for Niue, were issued during the year. These two series are intended to replace the four series of postage-stamps for the Cook and other Islands which have been in use for a number of years. The development of air-mails made it necessary for New Zealand to issue at short notice during the year a series of three air-mail stamps, to which a fourth denomination was later added. Competitive designs have been invited for a new series, and the designs received are now being considered. Two denominations of "Charity" stamps of new design instead of the usual single denomination were placed on sale for a limited period covering the Christmas season. Notwithstanding the difficult conditions obtaining, the appeal resulted in a sum of about £640 being made available to the Minister of Health for distribution. DIVISION OF AUCKLAND AND WELLINGTON METROPOLITAN AREAS INTO POSTAL DISTRICTS. To assist in the quick and accurate sorting of correspondence, arrangements have been completed for the division of the Auckland and Wellington metropolitan areas into postal districts. When the new system is operating the Department will be enabled to proceed further with the system of commencing deliveries at suburban offices, thus effecting a saving in expenditure, without impairing the efficiency of the service. FACILITIES AT COUNTRY CENTRES FOR EFFECTING SAVINGS-BANK WITHDRAWALS. With a full appreciation of the convenience that is afforded by its being possible without notice to effect withdrawals from Savings-bank accounts, arrangements were made during the year for Savings-bank ledger offices to be established at Waimate, Marton, Tauranga, and Pukekohe. When the circumstances warrant it, additional country post-offices will be constituted ledger offices. BROADCASTING SERVICE. Control of the broadcasting service was assumed on the Ist January by the New Zealand Broadcasting Board, set up under the provisions of the Broadcasting Act of 1931. Following arbitration, the purchase price fixed to be paid by the Minister of Telegraphs for the stations, plant, &c, of the outgoing company was £58,646 6s. 2d. In accordance with the Broadcasting Act, the Board has been required to take over the assets; and the amount has been advanced by the Department to the Board by way of loan, repayable in quarterly instalments over a period of ten years at interest of 5 per cent. That the broadcasting service is appreciated by the community is evidenced by the fact that listeners continue to increase at a most satisfactory rate. On the 31st March, 1932, the number of licensed listeners was 74,980, an increase of 12,000 on the number licensed twelve months before. INTERNATIONAL TELEGRAPH AND RADIO-TELEGRAPH CONFERENCE. Government have appointed Mr. M. B. Esson (formerly Second Assistant Secretary of the Department) to represent New Zealand at the International Conference on Telegraph and Radio-telegraph questions, which is to commence

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