government took three. Of the boats' share the divers get in some cases two thirds. As soon as the division is made, those belonging to the boat are quickly traded or sold to the numerous small speculators which abound in the camp. Six evenings in the week the government auctions off the catch in lots of one thousand. While each day's catch is being counted the average run is carefully watched by experts who judge by the size, weight and general appearance of the oysters as to the probable yield of pearls. Opinions so formed are usually quite correct and bidding at the auctions are based on them to a great extent. The principal buyers are from Madras, Bombay, and other cities on the Coromandel and Malabar coasts of India, though local speculators buy many. The catch runs about one million per day. In 1903 forty-four million oysters were taken, but they realized much less than the catch of 1904, when the number was not quite twenty-six and three-quarter millions, though it netted the government $350,000; 1905, however, will be the record year as it is claimed the profits will reach the large sum of $830,000. These figures represent the government's share only. The price realized at these sales varies not only with the season but from day-to-day. Ten to fourteen dollars per thousand is a fair average, though there are days when as much as twenty-four dollars is realized. Prices have ranged from $7.50 to $40.00 per thousand in one season. The net proceeds go to the revenue of Ceylon. This has been the system under which the Ceylon fisheries were managed until lately. For some reason unknown to the public, the government, after a season of unequalled profit in 1905, leased the fisheries to a company, the Pearl Fishers of Ceylon (Limited), for a period of twenty years from January 1, 1906. The company is to pay the government $103,333 per annum and is to expend annually upon the improvement of the fishery not less than $16,666, or more than $50,000, at the discretion of the government. The expenses of supervision and protection by the government must also be borne by the company. As a result of the first fishery (1906), the company after setting aside $49,628 for depreciations and reserve and carrying forward $77,382, show a profit of $256,960 which affords dividends of 36 cents on ordinary shares and 18 cents on deferred shares, a remarkably good beginning. The government revenue from the fishery of 1905 was $801,882 after the expenses, $73,510 were deducted; over $111,000 more than the profit of 1904 which was the most successful up to that time. The inspector of pearl-banks anticipated a good fishery in 1906 but was of the opinion that after a small fishery in 1907 and probably 1908 the banks would fail for some years as they have done in the past.