The local expenditure in Borneo is chiefly for salaries of the officials, the armed Constabulary and for Gaols and Public Works, the annual "rental" payable to the Sultans of Brunai and Sulu and others, the subsidizing of steamers, Medical Services, Printing, Stationery, Prospecting, Experimental Gardens and Harbour and Postal Services. The designations of the principal officials employed by the Company in Borneo have been given on a previous page; the salaries allowed them, as a rule, can scarcely be called too liberal, and unfortunately the Court of Directors does not at present feel that it is justified in sanctioning any pension scheme. Those of my readers who are conversant with the working of Public Offices will recognize that this decision of the Directors deprives the service of one great incentive to hard and continuous work and of a powerful factor in the maintenance of an effective discipline, and it speaks volumes for the quality of the officials, whose services the Company has been so fortunate as to secure without this attraction, that it is served as faithfully, energetically and zealously as any Government in the world. It I may be allowed to say so here, I can never adequately express my sense of the valuable assistance and support I received from the officers, with scarcely any exception, during my six years' tenure of the appointment of Governor. An excellent spirit pervades the service and, when the occasions have arisen, there have never been wanting officers ready to risk their lives in performing their duties, without hope of rewards or distinctions, Victoria Crosses or medals. The figures below speak for the advance which the country is making, not very rapidly, perhaps the shareholders may think, but certainly, though slowly, surely and steadily:-- Revenue in 1883, $51,654, with the addition of Land Sales, $25,449, a total of $77,103. Revenue in 1887, $142,687, with the addition of Land Sales, $14,505, a total of $157,192. Expenditure in 1883, including expenditure on Capital Account, $391,547. Expenditure in 1887, including expenditure on Capital Account, $209,862. For reasons already mentioned, the revenue for 1888 is expected to considerably exceed that of any previous year, while the expenditure will probably not be more and may be less than that of 1887.[27] The expenses of the London office average, I believe, about £3,000 a year.