PANAMA RAIL ROAD COMPANY. | 35 Approximately 10,000 acres have had the first clearing, and it is expected that during the next dry season about 13,000 acres will be cleared and planted in green grass. Our inability to get sufficient grass seed somewhat delayed the work last year, but this has been provided for at this time. Cattle: An epidemic of anthrax caused a considerable loss, but it is — e __ believed that this matter 1s now under control and that there will be little further trouble in this regard. During the last year, we obtained oattle from Costa Rica, Republic of Panama, Honduras and Colombia. ‘These cattle were obtained-in the open market. by our cattle buyer, Mr. W. B. Brown. As soon, however, as suffi- cient cattle men in neighboring countries had become interested in our requirements, formal bids were opened, and for the current fiscal year we are obtaining cattle in Colombia at $41.25 per head, delivered on board ship in Colombia. As these cattle are to weigh not less than 900 pounds, this gives a very favorable price for the ensuing year. The seagoing suction dredge ‘“‘Caribbean’’, which had been retired by — - the Dredging Division, and which ship the Dredging Division did not desire to sell, as it was thought she might be needed again at the entrances of the Canal after a few years, was converted into a cattle carrying ship by closmg =~ over the upper decks, building cattle pens and run-ways, etc. It was found that by slaughtering our own beef we can furnish the employees this Colombian beef at a considerable decrease over the price — which we would have to pay for similar beef in the United States. It is not the present intention to raise cattle on the pastures, but to procure young or thin cattle and fatten them. During the year the commissaries, the depot and manufacturing plants. continued under the direction of Mr. B. L. Jacobson, who resigned June 30, 1916. The work of developing pastures in the New Culebra, Miraflores ad Empire tracts has been under charge of Captain F. H. Smith, while similar work at the Atlantic end was under Mr. B. L. Jacobson, Mr. W. B- Brown — had charge of cattle buying. ‘The plantations were operated with Mr. Otis W. ‘Barrett aS expert 3 adviser and Mr. B. C. Poole as business manager. ~ os -_ Respectively submitted, Wn. R. Grove, Chief Quartermaster.