1951-1952 — Page 12

20. The various financial and statistical tables may be seen at the end of the report.

21. With reference to the Operating Account (Statement 2) it will be noted that the total operating expenditure amounted to $4,659,784.46 whilst revenue totalled $5,509,916.32, leaving a nett revenue balance of $850,131.86. Although, as recorded elsewhere in this report, train services were cut during 1951/52, operating expenses were higher than in the previous year. This was caused by (a), the rise in fuel costs, (b), the consolidation of salaries and wages resulting in increased labour costs and (c), the accident at Yaumati in December 1951 which neces- sitated repairs to rolling stock and track costing $153,000.

22. Turning to Capital Expenditure (Statement 1) a sum of $2,538,940.36 was spent during the year under review, the major portion of this expenditure being incurred for new goods wagons. Investment Assets after allowing for a decrease of $66,028.43, being the cost of rolling stock and plant sold by auction, and the transfer of one 40-ton goods wagon to the Chinese Section to replace one of their wagons damaged in the Yaumati accident, now total $36,070,356.20. An indication of the serious drop in revenue is the fact that nett operating revenue to Capital Expenditure for the past year was only 2.36% as against 18.22% in 1950/51.

23. With regard to the Income Account (Statement 3) it will be noted that provision has been made for interest on Government Investments, i.e., on Rehabilitation Loan and Special Expenditure $599,248.28 plus Amortization of Rehabilitation Loan $776,000.00 $1,375,248.28; whilst on the

credit side, the total of the nett revenue balance and interest on Depreciation Reserves is $892,649.75 leaving a debit balance of $482,598.53. This amount has been transferred to the Profit and Loss account which records a loss for the year of $530,180.23.

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