12. The streamlined railcar was completed in September at a cost of approximately $3,000; it was called the "Taipo Belle" and was placed on the local service on October 1st, when it ran as a railcar on Saturdays and Sundays, and as a first-class carriage for the remainder of the time. The car has evoked appreciative comments and response from the public, ascribable principally to its providing luxury travel for passengers at no extra cost and, in a lesser degree, to its high speed when run under its own power. In addition to the considerable publicity value of the amenity, golfing traffic to Sheung Shui appears to have received a much-needed stimulus, earnings from this latter source during the last quarter of the year amounting to 62.17% of the aggregate earnings for the first nine months.
13. The experiment of using the remaining coach between Sheung Shui and Taipo Market was tried out during the months of July and August, but failed due to lack of support. Arrangements were then made to convert the coach into a sister car to the "Taipo Belle", to enable it to be used either as a comfortable and fast transportation medium for tourist and other parties, or as a first-class lounge car.
14. The rebuilding of these two units will increase first-class carrying capacity, and so render possible the obtainment of a more economic distribution of seats in the rest of the stock. In furtherance of this object, work was well in hand at the end of the year on the conversion of one second-class coach into a second-third composite car, and projected on the conversion of one first-class coach into a first-second composite car.
15. Traffic features of the year were the growth of through passenger traffic, and the decline of all other traffics. Terminal and sectional through passenger receipts exceeded 1935 earnings by 16.81% and 6.95%, respectively.
16. The number of passengers conveyed between Kowloon and Canton, the two terminals, reached the record figure of 1,438,490, exceeding the previous maximum obtained last year by 136,451 or 10.48%.
17. The density of passenger traffic attained a new high level of 2,366,567 passenger miles per mile of line. This was obtained with a saving in train mileage of 7.82%.
18. Payments in respect of the three "C" class locomotives purchased by the Hong Kong Government on behalf of the Kwangtung Provincial Government were completed by the end of April, and the locomotives were operated by the Chinese Section on the express service with effect from May 1st.