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As I believe a mistaken impression prevails that Latin was on this account added to the curriculum, I will take this opportunity of ventilating the purpose with which it was introduced. BACON and MILTON, the fathers of English Prose Composition, teem with Latinisms, nor are these entirely absent from the modern standard of ADDISON. It is only quite recently that English composition has becoine a separate study in England. Formerly a good classical education was supposed sufficient to enable an English author to write correctly in his mother tongue. It is therefore reasonable to suppose that a foreigner must be assisted in the acquisition of English rules of composition by the study of that language, on which its choicest models are framed. In Latin the observance of concord and regimen is rendered conspicuous by inflection, the intelligent translation therefore of a simple Latin author should explain the reason of many English rules. Moreover immense assistance in understand- ing and distinguishing the meanings of English words, and often in spelling them, is manifestly afford- ed by even a restricted Latin vocabulary. In the First Class, Latin, Chemistry, Drawing, Book- keeping, Mensuration, and Trigonometry will for the future be optional, and not included in class subjects.

9. In India it has been found necessary to prepare special school text-books for English education. The demand in Hongkong is too slight to offer much encouragement to a similar enterprise, but the want makes itself felt. As an effort in this direction I published a few years ago a School Arithmetic specially intended to explain difficulties to our boys. Much could be done in the way of explaining eccentricities of English Idiom and Spelling, to say nothing of the urgent need of a cheap text-book of the Geography of the Chinese Empire. Something too is needed to supplement the School Committee's series of books in Chinese, which provide practice for Translation into English. The late Mr. FALCONER edited a very useful book, but the very classical Chinese can only be adequately translated into very classical English. I have therefore just recently compiled a collection of cuttings from Chinese news- papers, which will, it is to be hoped, familiarise the boys with everyday ideas and expressions.

10. In the confined area of the old Central School nothing could be done to provide the boys with the necessary opportunity for developing their physique. Simple gymnastic appliances will shortly be erected in the covered play ground; if properly availed of, this should counteract the cramped attitudes generally associated with study.

11. The fees have been raised in Class I to $36 per annum and in Classes II and III to $24, as the Upper School derives the chief benefit from the heavy expense of the salaries of English Masters, and of costly school material. Chinese parents should reflect that they have now a good English education brought to their doors, and that their sons can pass an examination held in England without the outlay attendant upon sending them thither for five or six years. It is much to be desired that parents, who can afford it, as many of them well can, should not take their sons away immediately upon their pro- motion to the First Class, but allow them to stay a year or two at the top of the School to really complete their education more thoroughly.

The six new

12. The staff consists of twenty-nine in all; viz.: nine English Masters (four of whom are gra- duates), ten Chinese Assistants, three Pupil Teachers and three Monitors; and in Chinese School four Chinese Graduates, (Sau Tsoi). This is an increase of ten masters on the staff formerly at the Central School. Four new English Masters arrived in April and May last, Messrs. BARLOW, M.A., BOOTH, HASELDEN, B.A., and BOARDS; of these, three were extra, and one was to supply the vacancy caused by the appointment of Mr. MAY to be second master on the death of Mr. FALCONER. Chinese Assistants were provided by six Pupil Teachers articled three years ago, and who during the last five months have given evidence of their ability to discharge their duties very satisfactorily. With the exception of Translation from Chinese in the two head classes the Head Master no longer takes a position on the teaching staff; his time being fully occupied in organisation and supervision, fortnightly inspections of each class, half-yearly and annual examinations with other multifarious duties. It is noteworthy that of the staff of eighteen, English and Chinese, I found on my arrival eight years ago, only two remain. As only two have been removed by death it is inanifest that the remainder are those who have left in search of higher salaries elsewhere, some on promotion in the Colonial Service.

13. A normal class and a special Examination Paper on Education and School Discipline for Pupil Teachers and Monitors are a new feature this year. Mr. BOARDS, who has been in charge of these junior assistants in front of the Preparatory Class, is on the whole able to give me only a moderate Report though he speaks highly of one or two Pupil Teachers. I trust that next year some marked improvement will be observed.

14. With the necessarily increased staff for 21 classes, instead of 12, it could only reasonably be expected that the expenses would be increased, but it is satisfactory to observe that the average expense of each scholar calculated on the average daily attendance is lower than it has been for years. When it is remembered that for three months the expense of three extra English Masters was borne by the smaller number of boys at the Central School, it may reasonably be supposed that this figure will not be exceeded next year. An average cost of $25 may be called £3 18s. per head, which sounds a large sum, but is far exceeded by our namesake in Australia where the cost per head is £4 15s.