16. About 3,100 sleepers were renewed in the Main Line. Of these, 807 were of reinforced concrete and the remainder Australian hardwoods. During the year 1,165 reinforced concrete sleepers were cast.

17. In July Messrs. Butterfield & Swire terminated their lease for the 1,800 sq. feet of spare railway land occupied by them for coal storage, and new leases were entered into with the Hong Kong and Kowloon Wharf & Godown Co. for several areas to be used as timber yards.

18. Owing to the very heavy demands made on the Locomotive Department by the Traffic Department and the increased weight of most of the through trains, it was somewhat difficult to lay up the locomotives for a general overhaul. Only No. 4 and No. 2 were given a general overhaul and repairs were begun on No. 8 towards the end of the year. The above remarks also apply to the overhaul of the Carriage and Goods-stock. This situation was, however, considerably relieved as to Coaching stock by the completion, late in the year, of seven new Coaches, three first class, and four third class.

19. The Boilers of Nos. 1, 2 and 4 Locomotives showed signs of excessive wear, and cracks appeared in the copper plates round the fire hole doors. These were welded but the working pressure of the boilers had to be reduced from 180 to 150, thus making these Locomotives less powerful than formerly. Two new boilers have been ordered from England for these Locomotives.

20. The 2'0" gauge Fanling Branch Locomotives have been through the shops for heavy general overhaul, but the two which were in use during construction are almost worn out and cannot be kept running much longer.

21. The Motor Coaches ordered in 1921 were erected and the first trial trips were run in January. It took considerable time to train the Chinese Drivers, and it was not until June that the Motor Coaches were put into the regular service. Since then they have run about 11,000 miles. Except at the commencement of the running in public service, when a considerable amount of pioneer work had to be done, they have kept excellent time and have given complete satisfaction. One of the Motor Coaches was very badly damaged in a collision at Fanling Station in July; this was due to the wrong setting of the points. Fortunately none of the passengers were injured but the whole of the front end of the Motor Coach was broken, engine radiator and fans smashed, leading bogie bent and twisted, engine crank case broken and various other breakages. These repairs were carried out at the Railway Workshops, it being necessary to practically rebuild the coach. The cost of running the Motor Coaches is considerably less than the running of a locomotive on the work which they have been put to.

22. Nine Carriages have been given a general overhaul, varnished, and where necessary the floors covered with Decolite. Carriages Nos. 20 and 21 which were seriously damaged by white ants were almost entirely rebuilt. The 2'0" gauge Carriages have

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