H—3s

PERSONNEL The number of persons employed by the Corporation has been reduced from 1,112 at 31st March, 1949, to 993 at 31st March, 1950. This total includes staff employed in the operation of the Pacific regional services and in the administration of the transient passenger establishment at Nadi Airfield, Fiji. The reduction in the number employed is due partly to the initial steps in the closingdown of Hobsonville maintenance base consequent upon the projected relinquishment ot the Sunderland (Auckland-Fiji) service to Tasman Empire Airways, Ltd., and partly to general consolidation following upon an intensive programme of development. The average ton mileage created per employee now represents 9,000, as compared with 6,736 in the previous year. FLEET At 31st March, 1950, the aircraft of the Corporation consisted of— DC-3 passenger liners .. .. 7 DC-3 freighters .. .. .. 6 Lockheed Lodestar .. .. .. 11 Lockheed Electra .. .. .. 1(2 retired pending disposal). DH-Dominie .. .. .. .. 5 DH-Rapide .. .. .. .. 1 DH-Fox Moth .. .. 3 34 Two Lockheed Electra aircraft have been retired from service and the third Electra is also shortly to be withdrawn, and these are available for disposal. In addition to the aircraft enumerated, the Corporation has also operated on behalf of the Government two Sunderland flying-boats between Auckland and Fiji, with an occasional trip to the Chatham Islands. There were no aircraft accidents during the year involving personal injury, but the Board regrets to report that one DH-Dominie aircraft, ZK-ALC, was destroyed by fire while on the ground at Rotorua on 14th January, 1950, as the result of a grass fire ignited by the aircraft engines. As the Corporation has now completed its first term of three years, it is fitting to recapitulate in some detail what has been accomplished in that period. The nationalization of certain undertakings in the Dominion, including commercial air transport, has naturally focused a good deal of public attention on the Corporation's activities and the financial results of its operations, particularly in view of the recent general election and change of Government. In presenting the following aspects of commercial aviation as undertaken by the Corporation, the Board wishes to make it clear that it is not concerned in any controversy as to which particular policy should be followed. The Board feels, however, that it should outline the policy under which it has been required to operate since it assumed control of the Corporation's services, and also what has been accomplished in giving effect thereto. That policy was clearly expressed in the title to the New Zealand National Airways Act, 1945, which reads An Act to make provision for the incorporation of the New Zealand National Airways Corporation for the purpose of Establishing and Operating National Air Transport Services to meet the Needs of the People of New Zealand and for the Purpose of Fostering and Encouraging the use of Air Transportation within New Zealand and between New Zealand and other Countries ; and to make Provision for other Matters incidental thereto.

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