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?kWk\hk CANAL COMPANY

CANAL ZONE GOVERNMENT

ANNUAL REPORT

FISCAL YEAR ENDED JUNE 30. 1958
Digitized by the Internet Archive

in 2009 with funding from

University of Florida, George A. Smathers Libraries

http://www.archive.org/details/annualreportpana1958pana
PANAMA CANAL COMPANY

Balboa Heights, Canal Zone OFFICE OF THE PRESIDENT

January 5, 1959.

TO THE STOCKHOLDER OF THE PANAMA CANAL COMPANY!

The year just ended broke all records for number of ships

transiting the Panama Canal and tolls collections. A total

of 9,466 oceangoing vessels were transported from ocean to ocean. These ships sailed under the flags of some 36 different

nations of the world.

This record level of traffic was handled with a minimum

of delays to our customers. This accomplishment is es- pecially significant in view of the fact that the periodic

overhaul of the Pacific locks was performed during this

period.

Work was started on the canal improvements which were

developed and approved in connection with the Short Range

Panama Canal Improvements Study of 1957. These improvements are designed to increase the capacity of the

canal to handle the anticipated volume of traffic for the

next decade.

The Board of Directors, through a committee consisting

of three members, continues the studies of longer range

canal requirements. Several elements of these studies,

notably the future traffic projections, have been completed.

Down through the years the Panama Canal has kept

pace with world shipping requirements. It is the intention

of your Board of Directors to keep well ahead of future

demands on the canal by timely recommendations for

needed improvements.

By order of the Board of^Directors.

W. E. Potter,

President.

^CTiien't^

PANAMA CANAL COMPANY

INTRODUCTION

Pagt

The Canal—A Brief Description 1 Organization 1 Tolls Rates 2

Board of Directors and General Officers 3

Comparative Tabulation of Highlights of Operation 3

Summary—Panama Canal Company Operations ... 4

Canal traffic 4

Financial results 6

CHAPTER I—REVIEW OF CANAL TRAFFIC

Oceangoing Traffic 7

Other Traffic 9

Commercial Traffic Highlights 9

Principal Trade Routes 10

Nationality of Vessels 14

Cargo Statistics 16

Transit Averages 17

Data in Statistical Chapter 17

CHAPTER II—THE WATERWAY

Transiting of Ships 18

Locks Operation 20

Water Supply 21

Maintenance of Canal Channel 22

Replacement of Locks Towing Locomotives .... 22

Canal Improvement Program 23

Marine Traffic Control 23

Closing of Gas Manufacturing Facility 23

Ferry Service 24

CHAPTER III—SUPPORTING OPERATIONS

Employee Services 25

Supply and Community Service Bureau 25

Supply Division 25

Procurement Division 26

Community Services Division 27
CONTENTS

CHAPTER III—SUPPORTING OPERATIONS—Continued

Page

Transportation and Utility Services 28

Railroad operations 28

Motor transportation 29

Steamship operations 29

Electrical power system 30

'Communications system 30

Water system 31

Printing plant 31

Vessel repairs 32

Harbor terminals operation 32

Principal Engineering and Construction Projects . 33

Bridge, Balboa, C.Z 33

S^xty cycle power conversion program 34

Phase I of increased dependable capacity of the

locks 34

Miscellaneous and other projects 35

Operations, and capital construction by contract . . 35

CHAPTER IV—ADMINISTRATION

Major Organizational Changes 37

Major Personnel Changes 37

Force Employed and Rates of Pay 38

Employees Paid at U.S. Rates 39

Turnover in force 39

Recruiting 39

Wages 39

Employees Paid at Canal Zone Wage Rates ... 40

Wages 40

Cash relief for disabled employees 40

Repatriations 40

Separations , 40

Incentive Awards 41

Safety Program 41

Legislation 43

CHAPTER V—FINANCIAL REPORT AND STATISTICAL DATA

FINANCIAL STATEMENTS AND RELATED SUPPLEMENTARY

REPORTS

Narrative Statement 44

Source and application of funds 44

Financial operating results 45- Net direct investment of the U.S. Government 45- Retained revenue 45
CONTENTS

CHAPTER V—FINANCIAL REPORT AND STATISTICAL DATA—

Continued

Financial Tables

Page

Table 1.—Statement of financial condition 46

Notes pertaining to financial statements . . 48

Table 2,—Statement of equity of U.S. Government .... 50

Table 3.—Statement of revenue and expenses 51

Table 4. —Statement of revenue and operating expenses,

Canal operation 52

Table 5. —Statement of revenue and operating expenses,

Supporting services 53

Table 6. —Administrative and other general expenses ... 54

Table 7. —Inventories 55

Table 8. —Changes in fixed assets and related allowances for

depreciation and economic valuation 56

Table 9. —Comparative statement of financial condition . . 62

Table 10. —Comparative statement of revenue and expenses . 63

Table 1 1

. —Statement of changes in equity of the U.S. Government 63

Shipping Statistics

Table 12. —Ocean traffic through Panama Canal, fiscal years

1948-58 64

Table 13.—Traflic by months, fiscal years 1957 and 1958 . . 65

Table 14. —Canal traflic by nationality of vessels 66

Table 15.—Classification of canal traffic by type of vessel . . 67

Table 16.—Laden and ballast traffic by nationality of vessel

.

69

Table 17.—Frequency of transits of vessels through Panama

Canal 70

Table 18. —Segregation of transits by registered gross ton- nage 72

Table 19.—Principal commodities shipped through canal . . 73

Table 20.—Origin and destination of cargo through the Panama Canal from Atlantic to Pacific segregated

by countries in principal trade areas 75

Table 21.—Origin and destination of cargo through the Panama Canal from Pacific to Atlantic segregated by

countries in principal trade areas 78

Table 22.—Cargo shipments by trade routes—Atlantic to Pacific 81

Table 23.—Cargo shipments by trade routes—Pacific to Atlantic 84

Table 24.—Important commodity shipments over principal

trade routes—Atlantic to Pacific 88

Table 25.—Important commodity shipments over principal

trade routes—Pacific to Atlantic 98

Table 26.—Small vessels transiting canal 109
CONTENTS

CHAPTER V—FINANCIAL REPORT AND STATISTICAL DATA—

Continued

Other Statistics

Page

Table 27.—Water supply and expenditures 110

Table 28.—Dredging operations 110

Table 29.—Electric power generated Ill

Table 30.—Number of full-time employees paid at U.S. rates , 111

Table 31.—Number of full-time employees paid at Canal

Zone wage rates 113
CONTENTS

CANAL ZONE GOVERNMENT

Page

Letter of Transmittal 115

Introduction 117

Canal Zone Government , 117

Organizational changes 117

Major personnel changes 117

CHAPTER I—PUBLIC HEALTH

Sanitation 119

Preventive medicine 120

School health 120

Quarantine 121

Veterinary activities 121

Hospitals and clinics 122

CHAPTER II—PUBLIC EDUCATION

General description 124

Enrollments 124,

Special education 125

Plant 125

Library-Museum 125

CHAPTER III—PUBLIC ORDER AND PROTECTION

Police activities 127

Court activities 128

Pardon board 129

Fire protection 129

Civil defense 129

CHAPTER IV—POSTS, CUSTOMS, AND IMMIGRATION

Postal system 131

Customs, immigration, and shipping commissioner services 132,

Visas 132

CHAPTER V—LICENSES, INSURANCE, AND ESTATES

Licenses 133

Insurance 133

Administration of estates 134

Foreign corporations 134

CHAPTER VI—MUNICIPAL IMPROVEMENTS

Roads, streets, and sidewalks 135

Maintenance of quarters, hospitals, and public buildings . 135

Sewer system 135
CONTENTS

CHAPTER VII—FINANCIAL REPORT AND STATISTICAL DATA

Financial Statements and Related Supplementary Reports Page

Narrative Statement . 136

Invested capital 136

Capital additions 137

Financial results 137

Table 1.—Statement of financial condition 138

Table 2.—Statement of changes in equity of U.S. Government 140^ Table 3.—Statement of operations 141

Table 4.—Changes in fixed assets and related allowances for depreciation and economic valuation 142

Statistical Data 144

Personnel data 144

Area of the Canal Zone 145

Illustrations

Chart—Panama Canal tolls . 5

Chart—Oceangoing transits 8

Photograph—SS Santa Mercedes making 200,000th commercial

transit of canal faces page 10

Chart—Trafiic moving over principal trade routes 13

Chart—Nationality of transiting vessels 15- Photograph—^The Vanda, of Honduran Registry, completed

50 transits during fiscal year 1958 faces page 11 Photograph—Tanker SS Guljking in transit at Pedro Miguel

Locks faces page 20^ Photograph—Repairing Culvert Failure in East Chamber,

Pedro Miguel Locks faces page 21

Photograph—Suction dredge Mandinga placed in operation

November 1957 faces page 22^ Photograph—Architectm-al rendering of bridge to span canal

channel at Pacific entrance faces page 23

Chart—Panama Canal Company organization .... faces page 38^ Photograph—Hon. George H. Roderick presenting "Award of

Honor" to Governor Potter faces page 42

Chart—Canal Zone Government organization .... faces page 144
^7^lmxdu€itiOTl

THE CANAL

The Panama Canal is a lock-type canal that connects the Atlantic

and the Pacific Oceans tlirough the Isthmus of Panama, traversing a

•distance of approximately 51 miles from deep water to deep water. In the dredged channel, the canal has a minimum width of 300 feet and

a minimum depth of 42 feet. The greatest part of the canal channel

is at the level of Gatun Lake, the surface of which is normally 85 feet above sea level. In transiting the canal a ship is raised in three steps

from sea level to the level of Gatun Lake, and subsequently lowered

in three steps to sea level at the other side of the isthmus. The six steps or flights of locks are in duplicate, to enable simultaneous lockage of two ships transiting in the same direction or of ships passing in

opposite directions.

The past fiscal year marked the completion of 44 years of successful

operation of the canal. The canal was opened on August 15, 1914,

and has served world commerce \vithout major interruption since

fiscal year 1916, when the last canal-closing slide occurred in GaiUard

Cut at the Continental Divide. A total of 274,529 vessels of all types

have made the canal transit, of which 206,734 were oceangoing commercial vessels plying the various channels of world trade. The

service provided by the canal has, moreover, been of incalculable value

to the United States and her allies in time of war, ORGANIZATION

The Panama Canal Company Act, which created the Panama Canal

Company and defined its basic purposes, organization, rights, powers,

and obligations, constitutes article 3 of chapter 12 of Title 2, Canal

Zone Code, consists of sections 245 to 258 of Title 2, Canal Zone Code,

and was enacted by the act of June 29, 1948 (62 Stat. 1076), as amended by the act of September 26, 1950 (64 Stat. 1041). This act became effective on July 1, 1951, pursuant to the provisions of Executive Order 10263 of June 29, 1951. In its capacity as owner of the

Company, the U.S. Government is represented by the Secretary of

the Army, referred to as "Stockholder," in his individual capacity as the personal representative of the President of the United States for

such purpose. The Company operates under the management of a Board of Directors appointed by the Stockholder. The Company is charged with the maintenance and operation of the Panama Canal

and the conduct of the business-type operations incident to such

maintenance and incident to the civil government of the Canal Zone.

The Company and the Canal Zone Government, the independent

agency of the United States charged with the civil government of the

Canal Zone, are closely interrelated in mission, organization, and operations. The combined function of these agencies is the administration of the Panama Canal enterprise as a whole. The Governor of the

Oanal Zone, who is charged with the administration of the Canal Zone

1
2 INTRODUCTION

Government, under the supervision of the Secretary of the Army, is ex officio a director and President of the Company.

The Panama Canal Company is expected (a) to recover all costs of

operation and maintenance of its facilities, including depreciation ; (b) to pay interest to the Treasury on the net direct investment of the

Government in the Company; and (c) to reimburse the Treasury for

(1) the annuity payments to the Republic of Panama under the con- vention of 1903 as modified by the treaty of 1936 between the two

governments, and (2) the net costs of operation of the Canal Zone

Government, including depreciation on fixed assets. The interest rate for the fiscal year 1958, as set by the Secretary of the Treasury, was 2.482 percent. The Board of Directors is required to appraise, at least annually, the Company's working capital requirements, to- gether with reasonable foreseeable requirements for authorized plant

replacement and expansion, and to pay into the Treasury as a repayment of capital the amount of any funds in excess of such requirements.

All funds other than working balances are carried with the U.S.

Treasury.

The activities of the Company are classified under two major headings, namely: (a) the canal and (b) supporting operations. Category

(a) embraces those functions directly related to the waterway and

the transiting of ships and to services to shipping, including mainte- nance of the canal channel, maintenance and operation of the locks,

meteorology and hydrographic services, and a ferry service across the

canal at Balboa. The supporting operations include vessel repairs,

and harbor terminal operations, a railroad across the isthmus, a steamship line operating between New York and the Canal Zone, motor

transportation facilities, storehouses, an electric power system, a communications system, and service activities that are essential to employees' needs including the operation of quarters, retail stores, and

service centers. TOLLS RATES

The rates of canal tolls remained unchanged during the year. These

rates are as follows

:

(a) On merchant vessels, Army and Navy transports, tankers, hospital ships, supply ships, and yachts, when carrying passengers or

cargo: 90 cents per net vessel-ton of 100 cubic feet of actual earning

capacity—that is, the net tonnage determined in accordance with the

Rules for the Measurement of Vessels for the Panama Canal

;

(6) On such vessels in ballast, without passengers or cargo : 72 cents per net vessel-ton

;

(c) On other floating craft : 50 cents per ton of displacement.

Tolls charges for the canal remain substantially at the level established in 1912 in anticipation of the completion of the construction of

the canal.
PANAMA CANAL COMPANY 3 BOARD OF DIRECTORS AND GENERAL OFFICERS OF THE PANAMA

CANAL COMPANY AS OF JUNE 30, 1958

Board of Directors

Hon. WiLBER M. Brucker, Secretary of the Army, Stockholder

Hon. George H. Roderick, As- Howard C. Petersen.

sistant Secretary of the Army, Maj. Gen. William E. Potter,

Chairman of the Board. USA.

John H. Blaffer. Charles S. Reed.

Robert P. Burroughs. Ogden R. Reid.

Ralph H. Cake. Maj. Gen. Julian L. Schley,

Maj. Gen. Glen E. Edgerton, USA (Ret.).

USA (Ret.). Ralph A. Tudor.

John W. Martyn

General Officers

George H. Roderick, Chairman oj the Board.

Maj. Gen. William E. Potter, USA, President.

Col. Hugh M. Arnold, USA, Vice President.

Philip L. Steers, Jr., Comptroller.

William M. Whitman, Secretary.

COMPARATIVE TABULATIONS OF HIGHLIGHTS OF OPERATIONS

Fiscal year

' 7958

' 7m * Net income $2, 826, 381 $3, 821, 456

Number of oceangoing transits: Commercial 9,187 8,579

U.S. Government 279 269

Total 9,466 8,848

Tolls earnings (including small vessels)

:

Commercial 41, 843, 525 38, 513, 404

U.S. Government 990,481 1,140,116

Total 42,834,006 39,653,520

Total cargo transiting (long tons) 48, 934, 829 50, 649, 835

Lockages:

Gatun 8,548 8,053

Pedro Miguel 8,815 8,260

Miraflores 8,655 8,244

Terminals operations (tons of cargo handled, transferred, and stevedored at piers) 1, 833, 087 2, 049, 605

Oil handling (number of barrels pumped) 16, 410, 902 16, 948, 273

Maintenance of channel (cubic yards dredged) 5, 156, 700 5, 010, 600

Number of full-time company employees (as of June 30)

:

U.S. rate 2,755 2,697

Canal Zone rate 8,391 8,154

Total Company employees. _ 11,146 10,851
4 INTRODUCTION

SUMMARY

Panama Canal Company Operations

Canal traffic. —Commercial transits and tolls reached an alltime

high record in 1958. For the seventh consecutive year tolls paid on

such vessels exceeded previous records. Total oceangoing transits in

fiscal year 1958 advanced to 9,466, and tolls revenues from oceangoing

ships to $42,768,015, gains of 7 percent and 8 percent, respectively, over the previous year. This record level of traffic was handled with a minimum of delay to shipping customers. The accomplishment is especially noteworthy

in view of the fact that the periodic overhaul of the Pacific Locks,

comprising two out of the three sets of locks, was performed during

the fiscal year period.

Cargo moving through the canal totaled 48,916,119 long tons, the

second highest tonnage in the history of the canal, and only 3 percent

below the alltime high established in 1957.

Commercial traffic comprised 94 percent of the combined commercial/Government total in 1958. Oceangoing commercial transits

of 9,187 exceeded by 7 percent the record of 8,579 established in 1957;

commercial tolls collected amounted to $41,795,905, a gain of 8.7 percent, while commercial cargo totaled 48,124,809 long tons, 3 per- cent under the previous year. Of the total cargo transiting in commercial bottoms during the

year, 23,580,878 long tons moved from the Atlantic to the Pacific, a decrease of 7 percent under the tonnage moving in that direction in 1957. The Pacific-to-Atlantic volume totaled 25,354,239 long tons, a gain of about 5 percent over 1957.

The grand total of transits for the year by all classes and sizes of tolls-paying vessels was 10,553.

During the month of March 1957, oceangoing traffic through the

canal established a record high total of 840 transits, the highest month

in the history of the canal. In October 1957, the second highest

total, 836 transits, were recorded. Further records established in

fiscal year 1958 included total tolls revenues of $42,834,006, while

cargo movements totaling 48,934,829 long tons were the second

highest in the canal's history.

One of the significant features contributing to the increase of

commercial traffic during the year was the abnormal rise in the number

of vessels transiting in ballast. An appreciable increase was noted as early as the close of the first quarter, in the number of tankers, cargo

vessels, and ore carriers transiting without cargo. The increase in ballast tonnage of tankers is due principally to the heavy movements

of Venezuelan and West Indies mineral oils through the canal to the

Pacific, with tankers returning empty. The newly built bulk carriers

of large capacity have stimulated movements of oil and ores, and

usually go one direction in ballast. Most of the ballast tonnage is normally attributable to general cargo vessels and consists of fruit ships returning empty to the banana ports of Central and South

America; however, an increasing number of dry-cargo vessels moved

through the canal with empty holds during the past year. This

situation is indicative of reduced cargo movements, low charter

rates, or a combination of both of these factors.
PANAMA CANAL COMPANY
6 INTRODUCTION

Financial review

It is again a pleasure to report that the Panama Canal Company has

finished another year without cost to the American taxpayer, thus

completing 7 successive years of operation without loss since its re- organization on July 1, 1951.

As to dollar volume of traffic, fiscal year 1958 was the best in the

history of the Panama Canal. Gross tolls amounted to a record $42.8

million.

Revenues exceeded expenses by $2.7 million for the year, after

provision for (1) payments to the U.S. Government of $20 million

covering interest, net cost of the Canal Zone Government, and

annuity payments to the Republic of Panama; and (2) retroactive

costs of approximately $1 million for various wage increases granted

toward the close of the year or during the first quarter of fiscal year

1959. Expenses do not reflect depreciation charges against certain

assets (historically classified as nondepreciable), such as the excavation of the canal channel and other similar items valued at $282.1

million.

We are pleased to report that the Company's financial statements

for fiscal year 1957 have been certified by the Comptroller General of

the United States. This certification was made possible as a result of

approval by the Director of the Bureau of the Budget of the valuation

of certain assets included in the U.S. Government's net direct investment in the Company, final disposition of a major lawsuit involving

toll rates, and the satisfactory results of an independent audit made

by the General Accounting Office. Financial statements and comments appear in chapters 5 and 7, respectively.
€t',th^of^ 1

REVIEW OF CANAL TRAFFIC

OCEANGOING TRAFFIC i Another significant story in Panama Canal traffic records became

apparent as early as March 195S. At the close of the fiscal year

the number of oceangoing transits, the net tonnage of vessels, and

the receipts for tolls from vessels transiting the canal exceeded those

in any preceding year in the history of the canal operations. This

marked the seventh consecutive year that new records have been

established for commercial traffic using the waterway.

The number of commercial ships transiting the canal averaged 25.2

per day, and for the first time such transits exceeded the 9,000 mark

for a single year, recording a total of 9,187 transits for this fiscal period. A grand total of 9,466 oceangoing vessels made the passage

during the year; of these, 9,187 were of strictly commercial types,

and the other 279 were U.S. Government owned or controlled vessels. Flags of 36 nations were flown over the commercial ships transiting,

for which the Panama Canal Company received $41,795,905 in tolls for services rendered; in addition, $972,109 was received in tolls credits from the U.S Government vessels. The $42,834,000 paid

and credited in tolls during the year marked the first time in the

history of the waterway that such income has exceeded the $40

million total. This is an increase of 8 percent above the previous

year's figures. U.S. owned or controlled vessels that transited during

the year were at their lowest level since 1940. This was the first year since 1940 that income from this classification of ships fell below

$1 million.

Commercial cargo tonnage passing through the canal failed by

1,577,391 long tons of equaling the record established during the

previous year. However, the 48,125,000 long tons of commercial

cargo transiting did establish the second highest tonnage in -the history of the canal. The Pacific-to-Atlantic flow of cargo regained

its first-place position and established a new record with 25,281,508

long tons of cargo. On the other liand, the Atlantic-to-Pacific

movements of cargo were 10 percent below the volume that moved

in this direction during the previous year. This decline is attributed

to a sharp reduction in shipments to Japan which were down b}^ some

2,240,000 long tons from the previous fiscal year. Scrap metal shipments to Japan were 965,000 long tons lower than in the previous

year, accounting for a large part of this decline.

The declining movement of cargo to Japan contributed significantly

to the fact that the volume of U.S. exports that passed through the

waterway was some 2,777,000 long tons short of the volume which

transited the canal during the previous r2-month period. Some

17,867,000 long tons of cargo transiting the canal this fiscal year

originated in the United States, and import tonnage to the United

1 Vessels of 300 tons and over (Panama Canal measurement) for vessels rated on net tonnage, or of 500

tons, displacement and over for vessels rated on displacement tonnage (naval vessels, dredges, etc.).
REVIEW OF CANAL TRAFFIC o

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PANAMA CANAL COMPANY »

States which passed through the canal during the year established a new high of some 18,690,000 long tons, a gain of 13 percent above

the previous year. The increasing size of commercial ships using the Panama Canal is bringing increasingly larger tolls per transit. In fiscal year 1952,

the average amount collected per transit was $4,127; during fiscal year 1958, this per transit average increased to $4,549. The growth

in larger ships is probably best illustrated by the fact that since 1955

ships transiting the canal in a single year with beams of 86 feet or greater have increased from 13 such ships to a total of 109 for the

year just concluded. Clear-cut transits have increased from 696 in

1955 to 1,087 in 1958, or 56 percent. This type of transit is of significant importance because of its effect on the capacity of the canal.

The average oceangoing commercial vessel transiting was slightly

larger than in previous j^ears, averaging 5,221 Panama Canal net

vessel tons in compai'ison with the 5,088 average in 1957.

A tabulation of the four principal features of traffic for the fiscal years 1958, 1957, and 1956 is shown below:

Fiscal year

1958 1967 1956 Number of oceangoing transits 9,466 8,848 8,476

Net tonnage (Panama Canal measurement) 49,110,351 45,018,760 42,685,742

Cargo (long tons of 2,240 pounds) . _ 48, 916, 119 50, 624, 373 46, 269, 163

Tolls and tolls credits $42,768,015 $39,561,595 $37,369,533

OTHER TRAFFIC

In addition to the oceangoing vessels, 1,087 smaU craft of less than

300 net tons, Panama Canal measurement (or under 500 displacement

tons on vessels assessed on displacement tonnage), transited the canal

during fiscal year 1958. Transits of these small vessels have but slight

effect on workloads and tolls revenue volume, and are generally ex- cluded from analysis of canal operations. Also excluded from the

preceding table are statistics on 55 vessels exempted from tolls charges,

including vessels owned, operated, or chartered by the Government of

the Repubhc of Panama, war vessels of the Republic of Colombia, and

vessels transiting the canal solely for repairs at the Panama Canal

shops. Further details on this traflac will be foimd in table 26, chapter

V, page 109.

COMIVIERCIAL TRAFFIC HIGHLIGHTS

In October 1957, the Grace liner Santa Mercedes, made the

200,000th commercial transit of the waterway, less than 8 years after

the SS Nevadan of the American Hawaiian Line became the

150,000th customer, April 26, 1951. It was on October 10, 1938, that

the Steel Export, operated by the Isthmian Steamship Line, made the

100,000th transit of the canal.

495687—69-
10 REVIEW OF CANAL TRAFFIC

PRINCIPAL TRADE ROUTES

Approximately 79 percent of the commercial traffic served by the

Panama Canal in fiscal year 1958 moved over eight main routes of

trade. The table below shows the net vessel tonnage (Panama Canal

measurement) moving over these routes in fiscal year 1958 and 1957,

with the percentage change between the 2 years.

Fiscal year

1968 1957 Percent in-

(.In thousands of Panama crease or Trade route Canal net ions) (decrease) East coast United States/Canada and Asia 9, 282 9, 232 0. 5 East coast United States and west coast South

America 8,421 6,739 25.0

Europe and west coast United States/Canada 5,386 4,685 15.0 Europe and west coast South America 4,566 4,040 13.0 United States intercoastal 3,675 3,282 12.0 Europe and Oceania 3,014 3,698 (18.5) East coast United States and west coast Central .America/Me\ico 1,815 1,383 31.2

West coast United States and east coast South

America 1,769 1,140 55.2 Another 9,996 9,429 6.0

Total 47,924 43,628 9.8

An increase of 9.8 percent is shown in the volume of net vessel ton- nage transiting the canal this fiscal year over the previous year, with

the highest volume change in shipments occurring again in the east coast United States and west coast of South America trade. All the major routes ranking in position 1 to 8 maintained their status in the lineup of principal trade routes served by the canal. The

east coast United States and west coast South America area, which

retained its second position in importance among the routes, shows the

highest percentage gains in both net tonnage and cargo movements.

Some gains were reflected on each of the other trade routes with the

exception of the route between Europe and Oceania, on which net tonnage declined by 684,000 net tons, or 18.5 percent. The greatest net tonnage gains recorded were in the tonnages between the east coast United States and west coast of South America, up 1,682,000 tons, or 25 percent, and between Europe and west coast United States/Canada,

which increased by 701,000 tons, or 15 percent.

A brief discussion of shipping engaged in these trade routes is given

in the following paragraphs:

East coast United States I Canada-Asia.—Traffic in these two important areas retained first-place position for the seventh consecutive

year among the various trade routes served by the canal. The volume

of net tonnage used on this route, Panama Canal measurement, established a new high, however, tlie volume of cargo moving between the

two areas was 18 percent below the previous year, yet accounted for some 42 percent of all the Pacific-bound cargo. Again, Pacific-bound

traffic accounted for the majority of the net tonnage, forming 67

percent of a total of 9,282,000 net tons. Substantial losses were sus- tained in cargo shipments in the east-to-west movement, principally in

rice, ammonium compounds, iron and steel manufactures, scrap and

various other meti.ls, and phosphates. The decrease in scrap iron shipments alone accounted for some 980,000 long tons. On the other hand,

noticeable increases in this direction were made in exports of corn, up
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PANAMA CANAL COMPANY U

190,000 long tons, soybeans increased by 121,000 long tons, with

wheat beginning a substantial movement for the first time since 1955.

In the other movement, west to east, a decrease of some 282,000

long tons was experienced under the 1957 period, with losses in shipments of chrome ore and sugar predominating and accounting for 232,000 tons, or 82 percent of the total tonnage lost. East coast United States-west coast South America.—For the seventh

consecutive year this trade route continued its spectacular rise in all phases of shipping, and held its second-ranking position in importance

to the Panama Canal. The net tonnage moving over this route in- creased by a significant rise of 1,682,000 net vessel tons, a 25-percent

increase over the volume moving during the preceding year. This is the most impressive gain among the various trade routes. It is over

this lane that the large quantitites of essential raw materials such as the various ores flow to the industrial areas of the United States. Usually, the volume of net tonnage totals approximately the same in each direction, but during this fiscal year west-to-east movements

exceeded east-to-west by 590,000 tons. Eighty-four percent of the

cargo tonnage moved west to east during this fiscal year, an increase

of 24 percent, despite the existing business recession in progress in

the United States. Shipments of iron ore, up by 1,313,000 long tons from the previous year, showed the most significant commodity in- crease, amounting to 33 percent. Slight increases over last fiscal year were noted in shipments of bananas, coffee, and sugar. Europe and west coast United States/Canada.—This major route continued to rank third in importance for the seventh consecutive year, accounting for a total of 5,386,000 net vessel tons and showing a gain

of 15 percent over last fiscal year. Movements of cargo in this trade

are predominantly eastbound and this year's movement in that direction formed 85 percent of the total cargo exchanged by the two regions.

Total cargo moving in the trade, amounting to 6,015,000 long tons,

showed a slight gain of less than 1 percent. Two commodity groups

lumber and barley—made up 31 percent of the 5,126,000 long tons of

cargo shipped eastward, showing gains of 41 percent and 56 percent,

respectively, over such shipments last year. Wheat, for years one

of the most important commodities shipped in appreciable quantities

in the trade, sustained a decided decrease of 552,000 long tons this period, or 23 percent under last year's total of 2,394,000 long tons. Europe and west coast of South America.—Net vessel tonnage in this route, the fourth -ranking one, was up by slightly more than 500,000

net tons. This is a gain of 13 percent over the preceding fiscal year, when a 10-percent increase was registered in the net tonnage utilized over the route. Coupled with this continued gain in net tonnage

volume, of course, is the phenomenal increase in vessels being employed to transport the increasing volume of goods exchanged between the two areas. Although the volurae of goods exchanged between the areas this

fiscal year continued to rise, a total of 3,694,000 long tons being

recorded in comparison with 3,590,000 tons last year, the 1958 period

shows the slightest increase in tons of cargo since 1954 when only

2,025,000 tons was exchanged in the trade. As in past years, the

movement of cargo was predominantly west to east which this year

accounted for 79 percent of the total cargo moved over the route.
12 REVIEW OF CANAL TRAFFIC

Despite the business recession in progress, which is being felt especially

in world commerce, raw materials obtained from the west coast of

South America for European industries continued to show increases.

Again, as in fiscal year 1956, a very slight decrease in cargo shipments

is recorded in the east to west direction, down by 2 percent over 1957

figures.

The most important percentage increase in commodity shipments

over the route occurred in bananas, up by 73,000 long tons, or an

increase of 37 percent. Shipments of nitrate of soda ranked second

in importance of increases with 502,000 long tons, or a rise of 35 per- cent in comparison with 373,000 long tons in 1957. Iron ore moving

from western South America to European ports again showed a slight

gain over last year, utilizing 1,064,000 long tons to compare with the

1,009,000 tons in 1957.

Western Germany continued to be the principal recipient of east- ward-bound cargo, receiving 964,070 long tons, a gain of 35 percent over last year. The Netherlands ranked in second place, receiving

650,974 long tons, while Great Britain was third with 438,773 tons. Belgium and Germany were again the principal suppliers of westwardbound cargo, with Belgium exporting some 205,000 long tons and

Germany 185,000 tons. A 69-percent increase in the number of vessels operating in these

trade areas is shown within the past 5 fiscal years. From a total of

562 in 1954 to a total of 949 in 1958, there was a total of 387 ships

added in the trade with the largest single addition of 114 craft occurring in fiscal year 1958. This is an increase of 39 percent in vessels over the fiscal year 1957.

United States intercoastal.—Retaining its position of fifth place in

importance in canal commerce is the trade between the Atlantic and

Pacific coasts of the United States. During the period of 1958 overall increases were experienced in all phases of shipping over this route which recorded more vessels plying in the trade, more net vessel tons and cargo tonnage, as well as more tolls collected than was the case

in fiscal year 1957. Net vessel tonnage in fiscal year 1958 totaled

3,675,000 tons, an increase of 393,000 tons over last year. The

unusually heavy volume of residual oils moving from California during the last quarter of the fiscal year was primarily responsible for the

increase, a total of 470,000 net tons moving in 50 tankers during the

3-month period. Total net vessel tonnage in the tanker class in this

route amounted to 980,808 tons, up 64 percent over the total of 597,982

tons last year. The remaining net tonnage of 2,694,000 tons consisted of dry cargo type vessels. Despite the heavy increase in oil shipments of some 279,000 long

tons, and a substantial increase of 174,000 tons of unclassified chemicals during the period, only a slight overall gain of 90,000 tons was

recorded in cargo movements. Such gains in oils and chemicals were

offset by heavy losses in shipments of iron and steel products, a pre- dominant east-to-west trade, down 29 percent from the 1957 fiscal period. Lumber, moving in the opposite direction, contributed a

decrease of 97,000 long tons in cargo, a decline of 7 percent from the

period last year.
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Europe and Oceania.—Reflecting a trend to return to a somewhat more normal status, consistent with commerce prior to the closure of

the Suez Canal, this route is the only one out of the eight major trade

routes showing an overall decrease. Statisticalwise, 95 fewer vessels,

684,000 fewer net vessel tons, 757,000 fewer long tons of cargo, and

$609,289 less in tolls were derived from these areas during fiscal year

1958 in comparison with the 1957 period. Sustained losses of 20

percent occurred in ships using the route, some 19 percent occurred

in net vessel tons, and a 26 percent reduction was felt in total cargo

moving over the lane.

Principally a west-to-east movement, this route saw a decline of

760,000 long tons of cargo from the 1957 period, down 39 percent,

while a very minute gain in tonnage was shown in the opposite direction for the period. The cargo losses occurred among the most usual

commodities shipped to European ports, consisting of copra, dairy

and meat refrigerated products, phosphates, sugar, and wool.

East coast United States and west coast Central America/Mexico.—

Traffic routed between these two areas in fiscal year 1958 recorded a

percentage increase of 31 percent in volume of net vessel tonnage.

This was the second highest percentage gain in net tonnage during

the fiscal period. Holding its position as seventh ranking in importance, the trade accounted for 1,815,000 net vessel tons, or a gain of

432,000 tons over the 1,383,000 tons recorded in this trade in 1957.

Net vessel and cargo tonnages represented in this route, as in past

years, consist mainly of bananas from Costa Rica and Panama to the

eastern seaboard. The volume of cargo tonnage in the west-to-east movement alone accounted for 73 percent of the total cargo tonnage

gain made during the fiscal year and can be attributed almost solely to the recovery made in the banana trade. Recovering from a disas- trous year in 1957, this commodity reached the high peak of 337,000

long tons exported, the highest tonnage attained since fiscal year 1953

when 350,000 long tons were recorded. Manganese ore, the only

other commodity shipped in appreciable quantities in the movement,

was down slightly but accounted for 102,000 long tons out of the

total of 495,000 tons of cargo. West coast United States and east coast South America.—A newcomer

to the list of important trade routes of the Panama Canal just 2 years

ago, this route topped all others in gains in net vessel tonnage among

the eight major routes. An increased net tonnage of 629,000 was

experienced, registering the year-high increase of 55 percent over

fiscal year 1957. Increased oil tanker movements alone accounted

for 238,000 net vessel tons of this total gain with an increase of 22

tankers plying in the trade. Shipments of crude oil from Venezuela

to the west coast of the United States increased from 1,235,000 long

tons in 1957 to a high peak of 1,614,000 long tons in 1958, a rise of 31

percent. Of the 1,949,000 long tons of cargo passing over the route

in 1958, 88 percent was recorded in the east-to-west movement.

NATIONALITY OF VESSELS

Vessels of 36 nationalities comprised the oceangoing commercial

traffic in fiscal year 1958, 2 less than in the previous year. Transits

of U.S. registry, numbering 2,023, with an aggregate net vessel

tonnage, Panama Canal measurement, of 11,672,797 tons ranked
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first among the nations participating in canal traffic, as they have in ahnost every year since the opening of the canal in 1914. Traffic of

British registry, contributing 1,203 transits registering 7,454,501 net

vessel tons, has traditionally ranked second in canal traffic and this position was retained in fiscal year 1958.

Some 2,378 different commercial vessels made 9,187 transits for an

average oif 3.82 transits per vessel. The number of transits made by

such vessels varied from 1 to 50. The greatest number of transits

made this year by a single vessel was accomplished by the Honduranregistered Vanda, with 50 trips through the channel, transporting

bananas from Ecuadoran ports to Florida.

During this year, not only an increase of 104 American-flag transits was recorded over last year's total of 1,919 but an increase of 657,825

net vessel tons, is noted, which accounted for an increase of $549,022

in tolls collected from U.S. -registered vessels. Vessels under U.S.

registry paid 24.6 percent of the total tolls collected and accounted

for 22 percent of the total transits made. On the other hand, a loss of 106 British-registered transits was sustained this fiscal year, with a resultant loss in Panama Canal net tonnage of 673,068 tons, and

$641,696 in tolls revenues from British vessels. However, Britishflag transits continued to hold second place in importance, paying 16

percent of the tolls collected while making 13 percent of the total

transits. Next in importance, and replacing Norway as a tolls- paying customer, is Liberia who accounted for 11 percent of the total

tolls with 9.8 percent of the total transits. Of the 10 top-ranking nationalities contributing 85 percent of the

transits, 89.3 percent of the Panama Canal net tonnage, and 89.4

percent of the tolls, the United States led with 24.4 percent of the

total net tonnage; British, 15.6 percent; Liberian, 11.8 percent;

Norwegian, 10.1 percent; Japanese, 8.2 percent; German, 7.0 percent;

Panamanian, 4.2 percent; Danish, 3.4 percent; Italian, 2.4 percent;

and the Netherlands, 2.2 percent.

The most striking increase from tlie previous year, as measured by

net vessel tonnage, was made in traffic of vessels flying the Liberian

flag. Vessels flpng the flag of this nation have steadily climbed

from sixth place in importance tonnagewise during the past 4 years, increasing from 1,040,175 net vessel tons in 1954 to 5,633,036 tons

in 1958, a gain of 442 percent.

CARGO STATISTICS

Although the combined movement of cargo in both directions this

fiscal year fell short of last year's record by 1,577,391 long tons, or a

decrease of 3.2 percent, a second-place alltime high record was set with

a total of 48,124,809 long tons of cargo. A substantial gain of 1,009,151 long tons was shown in the Pacificto-Atlantic flow of cargo over the record established last fiscal year. As a result of this gain, movements in this direction again returned to the leading position, a place it had held each year since the opening

of the waterway until 1957 when it was replaced by the Atlantic-toPacific movement. The 25,281,508 long tons of cargo moving in the

Pacific-to-Atlantic area this fiscal year established a new record by

slightly more than 1 million tons over the 24,272,357 tons moving in
PANAMA CANAL COMPANY 17 that direction last iBscal year. The Atlantic-to-Pacific movement

returned to second-place position by sustaining a loss of 2,586,542

long tons this year, down 10.17 percent from the record high figure of

25,429,843 tons in 1957.

Of the 12 commodity groups which have consistently accounted for

approximately 75 percent of the volume of cargo passing through the

canal, 6 showed increases and the remaining 6 registered declines this

period. The six groups registering declines were: other ores and

metals, manufactures of iron and steel, wheat, sugar, canned and

refrigerated food products, and phosphates.

Average Tonnage, Tolls, and Tons of Cargo per Transiting Vessel

The average measurement of tonnage, tolls, and tons of cargo per

oceangoing commercial vessel during fiscal years 1958 and 1957 are shown in the following tabulations

:

Fiscalyear Average per vessel 1968 1957 Panama Canal net measured tonnage 5,217 5,095

Tolls $4, 549 $4,481

Tolls per Panama Canal net ton $0. 871 $0. 879

Tods of cargo per laden transit 6, 378 6, 779

Tolls per ton of cargo (laden only) $0. 753 $0. 700

DATA IN STATISTICAL CHAPTER

Further particulars of traffic through the canal are presented in

chapter V of this report in the form of tables and charts.
^nahle^ 11

THE WATERWAY

The efficient and dependable operation of the Panama Canal is of

vital concern not only to maritime interests throughout the world but

also to a host of others whose livelihood and general welfare are dependent to some degree upon an even flow of world commerce. The process of getting the ships through the canal and the perform- ance of certain auxiliary or supporting functions are grouped under

the classification of "The Waterway," for purposes of this report,

and are the primary missions of the Marine Bureau and the Engineering and Construction Bureau. These two Bureaus must provide

for the transiting of ships, operation of the locks, maintenance of the

canal channel, meteorology and hydrographic work, and ferry service across the canal at Balboa.

TRANSITING OF SHIPS

Traffic control The dispatch of ships into the canal and their movement through

the waterway are closely controlled by the Navigation Division of the

Marine Bureau. Dispatches are regulated from each terminal so that

all ships that arrive each 24-hour period normally clear the waterway

prior to closing time. The following is a summary of the typical

operating program in effect at the end of the fiscal year: From Cristobal Harbor, the Atlantic entrance, the first ship begins its southbound transit at 6 a.m., the last at about 4 p.m. From Balboa

anchorage, Pacific entrance, the first ship starts northbound at 5:30

a.m., the last at 3:30 p.m.

Certain vessels such as tankers, ore earners, and those carrying

hazardous cargoes are selectively dispatched so that they will not

meet or pass any other vessel in Gaillard Cut and are not normally

permitted to proceed unless they can clear the cut and the locks

during the daylight hours. Such ships are called "daylight clear- cuts." Since 1951 there has been a significant trend developing in the

number of clear-cut and daylight clear-cut transits. Of most importance, because it affects the capacity of the canal, are the increases in

large size vessels. From 1955 through fiscal year 1958, vessels of 79-

foot beam and above have increased by over 500 percent. The

number of vessels of this size transiting in 1958 exceeded the number

handled during 1957 by more than 25 percent.

Harbor work

Five tugs were in service throughout the year—three at the Atlantic

terminal and two at the Pacific terminus. The tugs operated a total of 12,784 revenue-hours in the servicing and assisting of ships, in comparison with the 12,803 revenue-hours in fiscal year 1957.

18
PANAMA CANAL COMPANY 19 Towing and salvage

The Company's salvage tug, U.S. Taboga, was engaged in four off- shore jobs of salvaging and towing for private interests during the

fiscal year 1958 and was used for servicing outlying aids to navigation

off the Pacific coast of Panama and in the Caribbean.

Accidents to shipping

During fiscal year 1958 the Board of Local Inspectors was called

upon to investigate 32 marine accidents in Canal Zone waters and to

fix the blame and responsibility for same. Of these 32 accidents, 19

occurred during transit, the balance occurred in the terminal ports.

This compares with 20 investigations in the previous fiscal year. The Panama Canal Company was found responsible for damages

incurred in 17 accidents, with joint responsibility fixed in 3. A reserve

in the amount of $459,555 has been set up to cover claims which

might arise as a result of the Company's liability. This compares

with five accidents of Company responsibility and a reserve of $22,000

in 1957. The remaining 15 accidents were determined to have been

caused by fault of the vessel or other causes for which the Company

assumed no responsibility.

The most serious marine accident which occurred during the year was the collision on October 10, 1957, in San Pablo Reach between

the MS Rangitane southbound, and the SS Hawaiian Tourist, northbound. Responsibility for the accident was placed on the Panama

Canal Company. Estimated liability of the Company for damage

to both vessels was $250,000.

There were 558 transits per accident during 1958 as compared to 534 in 1957, and 262 in 1956.

Admeasurement and hoarding party operations

A total of 602 new oceangoing-type vessels were measured and, in

addition, 206 ships with structural changes were remeasured. This

compares with 514 new ships, 235 with structm-al changes in the pre- vious year. The function of the boarding party consists of all phases of routine

boarding, which includes admeasurement of vessels for tolls assess- ment; inspection to insure compliance with customs, immigi'ation,

quarantine, and navigation regulations; and the performance of

Deputy Shipping Commissioner duties for seamen aboard the U.S.-

flag vessels. There were 10,750 ships boarded and inspected during

the year as compared with 9,392 in 1957 and 8,523 in fiscal year 1956,

respectively.

Aids to navigation

On October 6, 1957, the former Aids to Navigation Section of the

Marine Bureau was transferred to and became a unit of the Dredging

Division, Engineering and Construction Bureau. The complete

integration of the two units was effected by October 31, 1957. Consolidation of these activities will result in a net reduction of operating

expenses in the amount of $143,200 in fiscal year 1959.

As of June 30, 1958, there were 870 navigational aids maintained

by the Dredging Division in the canal proper and the approaches

thereto, the terminal harbors, and the adjacent coastal areas. Classified according to the character of the illuminant used, these were as
20 THE WATERWAY

follows: acetylene gas operated, 123; electrically operated, 370; and

unlighted, 377. Outlying navigational aids were visited for the

purpose of inspection and servicing, and all aids were maintained in good operating condition throughout the year. Signal stations

Effective December 1, 1957, the U.S. Navy transferred the Flamenco'

Island Signal Station, located in the outer Pacific harbor waters, to the Panama Canal Company for operation and maintenance. Curtailment of funds and personnel in the Department of the Navy made

necessary this change in organizational management.

LOCKS OPERATION

In traversing the lock-type canal, ships are raised in three steps

to a fresh-water lake 85 feet above sea level. The Locks Division of the Marine Bureau is primarily concerned with the operation and

maintenance of the three sets of locks, their related installations and!

facilities, including the periodic overhaul of underwater parts.

Gatun Locks near the Atlantic entrance to the Canal forms one

continuous flight of three steps which raise and lower the ships 85

feet above sea level. The three flights at the Pacific entrance are divided between Pedro Miguel Locks with one flight and Mu'aflores

Locks with two flights. Each of the twin chambers in each flight of

locks has a length of 1,000 feet, a width of 110 feet, and a depth of

70 feet. Since the flights are in duplicate, ships may pass in opposite

directions simultaneously.

The duration of a lockage depends on many factors, including the

size of the ship, its handling characteristics, and whether the vessel is locked separately or in tandem. This latter procedure is used to save- overall time and water. The normal lockage intervals are 40, 60,. and 80 minutes at Pedro Miguel, Miraflores, and Gatun Locks,,

respectively.

The number of large vessels passing through the locks in fiscal year- 1958 was greater than ever before. Ten-locomotive lockages increased

by 13.5 percent over the previous year; eight-locomotive lockages

increased 6.1 percent. Total lockages showed an increase of approximately 6 percent over the previous fiscal year. Lockages—vessels handled

The number of lockages and vessels handled (including Panama

Canal equipment) is shown in the following tables for the fiscal years

1958 and 1957:

Fiscal year Gatun Locks: i^^s 1957 Number of lockages 8,548 8,053

Number of ships 10,882 10,348

Pedro Miguel Locks: Number of lockages 8,815 8,260'

Number of ships , 11,713 11, 19S^ Miraflores Locks: Number of lockages 8, 665 8, 244 Number of ships 11,358 11,105,
Tanker SS "Gulfking" in Transit at Pedro Miguel Locks.

SPANAMA CANAL COMPANY 21 Locks overhaul

The 5-year overhaul of the Pacific locks was accomplished, except

for rising stem valves in the Pedro Miguel center wall, which will be

completed in July 1958. Preparatory work was begun early in fiscal year 1958, and overhaul work proper began at Miraflores on January 4,

1958, and remained in progress during the balance of the fiscal year.

All underwater parts were inspected, repaired, cleaned, and painted

as required. Ten miter gate leaves were unhinged for replacement

of bearings and bearing plates. Eighteen old rising stem valves at Miraflores were replaced with new valves. Work in the Miraflores

center culvert was done with both chambers in service and the culvert

isolated by use of lateral culvert plugs.

On June 7, the unwatered east chamber of the Pedro Miguel Locks

revealed a failure of one of the culverts and the adjacent floor areas on

either side amounting to a total of about 1 ,000 square yards of concrete. It was determined that the upheaval of the concrete had

occurred during the first filling of the chamber following the overhaul.

Cleanup and repair work was completed on June 24, and consisted

of repouring the top half of the lateral culvert that was ruptured;

repairing and sealing lealcs in several other lateral culverts which

showed signs of weakness; and the pouring of about 1,000 square

yards of new floor slab. WATER SUPPLY

The supply of water necessary for the operation of the Panama

Canal in transiting of ships, the generation of electric power, and for

municipal use is derived from several tributary streams that flow into

Madden and Gatun Lakes which serve as storage and flood control

reservoirs of a drainage basin comprising 1,289 square miles. All

inflow from Madden Lake, whether drawn for hydroelectric power

or spilled for lake control, flows into Gatun Lake and together with

the runoff from the area below Madden Dam is used for lockages,

power generation, and municipal purposes, or may be spilled to control the operating level of Gatun Lake.

Total runoff from Gatun and Madden Lake drainage basin for the

fiscal year 1958 was 19 percent below normal and amounted to 3,870,552 acre-feet. Of this total, 41 percent was derived from the

basin above Madden Dam.

Runoff for the period, January-April, from the Gatun Lake Basin

amounted to 616,621 acre-feet, which was 31 percent above the

45-year average. From the area above Madden Dam, which consti- tutes the greatest source of hydroelectric power, the total runoff

amounted to 354,775 acre-feet, which was 28 percent above the 45-

year average for that area. After deduction of evaporation losses from both lakes of 488,129

acre-feet, the remaining net yield or runoff amounted to 3,382,323,

which was combined with 313,934 acre-feet from lake storage and

used to furnish 1,462,925 acre-feet for Gatun Lake lockages (using

169 acre-feet per lockage of which there was an average of 23.8 per

day). Out of this net yield also, 1,459,344 acre-feet were used to generate 84,025,200 kilowatt-hours at Gatun hydroelectric plant. In addition, leakage and miscellaneous losses of 19,651 acre-feet were
22 THE WATERWAY

sustained during the period and of the remaining net yield municipal

requirements took 35,652 acre-feet, gain in storage of 313,934 acrefeet, and the spilling of 90,817 acre-feet at Gatun spillway for lake

regulation during the rainy season. Madden hydroelectric plant

used 1,160,528 acre-feet to generate 125,249,100 kilowatt-hours of

electricity.

For further details on water supply and expenditures, see table

27, chapter V, page 110. MAINTENANCE OF CANAL CHANNEL

The Dredging Division is charged with the maintenance of the canal

channels from the Pacific entrance at Balboa to the Cristobal breakwater in the Atlantic. This division is also responsible for the operation and maintenance of all other navigable channels, harbors, and

anchorages; the extermination of impedimental plants in the canal

and its tributaries; and the maintenance of the Atlantic breakwater.

This maintenance of the canal channel, its terminal harbors, the

adjacent navigable waterways of the Panama Canal, and special

improvement projects was accomplished during the year with a 28-

inch suction dredge, a 13}^-cubic-yard dipper dredge, and a 10-inch

suction dredge which was placed in operation in November 1957 to be used in drainage correction work in the Tellers Island area, in

lieu of higher cost excavation by land machines.

Dredging operations are divided into three major areas; the Atlantic, a Central, and a Pacific district. The canal channel is maintained at the following predetermined controlling depths: For the Atlantic

district, from deep water in the Atlantic to Gatun Locks, is 42 feet below mean low water; that for the Central district, from Gatun Looks

to Pedro Miguel Locks, 42 feet below minimum lake level of 82 feet; and that for the Pacific district, from Pedro Miguel Locks to Miraflores Locks, 42 feet below Miraflores Lake elevation of 53 feet; from

Miraflores Locks to deep water in the Pacific, 42.4 feet below mean low

water springs.

A total of 5,156,700 cubic yards of earth and rock was removed

from the harbors and waterways in 1958, an increase of 2.9 percent over the 5,010,600 cubic yards in the previous fiscal year.

Slide incidence in Gaillard Cut was again below normal, with only

42,300 cubic yards of material being removed, bringing the total material removal since June 30, 1913, to 52,929,550 cubic yards. The

Culebra Slide West continues to be the most active, and numerous

small bank breaks occurred but with movements of minor consequence.

A summary of dredging operations for the fiscal year 1958 will be

found in table 28, chapter V, page 110. REPLACEMENT OF LOCKS TOWING LOCOMOTIVES

In January 1958 the two test locomotives which had arrived in December 1957, and which were placed on the north center wall of Gatun Locks, were demonstrated to the Board of Directors of the

Company and to the Governor of the Canal Zone. The machines

proved to be nonoperative and were not acceptable. Further tests were suspended pending corrective measures to bring them up to measuraWe standards of the specifications. Corrective work was

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PANAMA CANAL COMPANY 23 begun in May. Preliminary tests were again performed in June and

indicated that the major repairs were satisfactory although the

machines had not yet been able to demonstrate their ability to handle

ships. A project operating schedule, prepared on the basis that no

major difficulty or serious delaying accident will occur, was scheduled

to begin on July 1, 1958. The towing devices are to be tested through

transits with two barges lashed together, small vessels, and oceangoing

ships.

CANAL IMPROVEMENT PROGRAM

The canal improvement, short range program, developed in 1957 was approved during 1958 for accomplishment. At year's end, dry

excavation had been completed and blasting was in progress on the

widening of Bend 1868 (Paraiso Curve). A contract was in progress

for lighting of the locks and Gaillard Cut on an experimental basis

only; preliminary geological data was being obtained with preparation

of plans and specifications under way on widening the Paraiso-Cucaraclia Reach; and the projects of widening Bend 1660 and the Paraiso

Mooring Station have been deferred until 1961.

In the Canal Improvement, Long-Kange, Special Studies Program,

general engineering studies, editorship and coordination of a report

are nearing completion under the direction of the Vice President who

is Chairman of the Working Committee for the Ad Hoc Committee.

It includes updating and revision of 1947 cost estimates for Third

Lock and Sea Level canals, a study of the vulnerability of various

types of canals in this location, and an analysis of new construction

metliods and equipment as related to new canal plants.

MARINE TRAFFIC CONTROL

During the fiscal year the Panama Canal Company contracted with an engineering firm for a study of the present methods and equipment

for marine traffic control in tlie Panama Canal and for recommendations for improvements of a marine traffic control system.

A preliminary oral report was presented to Company representatives

and the final report was scheduled for submission to the Company

early in fiscal year 1959. This report recommended the installation

of an extensive electronic marine traffic control system. The proposed system would be an integrated, or coordinated method of continuously providing and utilizing more complete, accurate, and up-tothe-moment information for scheduling and controlling the movement

of vessels in the canal.

CLOSING OF GAS MANUFACTURING FACILITY

For the past several years the possibility of closing the Industrial

Division's gas manufacturing facility has been considered. At the

close of the fiscal period a plan had been approved for its closing, and

negotiations for a contract with a firm in the Republic of Panama to furnish oxygen, hydrogen, and acetylene were underway.

It was decided that the Storehouse Branch will handle the trans- portation of the gas cylinders to and from the plant in Panama and

will have the responsibility for storing, issuing, and receiving cylinders
24 THE WATERWAY

and the maintenance and repair of cylinders. No sales will be made

to any military or commercial unit in the Canal Zone.

The Industrial Division gas plant will be converted to 60-cycle and

mothballed. The plant will be reactivated should the local source

of subject gases fail at any time in the future to meet contractual

obligations for supply of the gases to the Company. (On July 9, 1958, a contract was signed between the Panama Canal Company and the

Panamanian supplier, to become effective August 1, 1958.)

The new cost of the three gases to the consuming agency will be approximately the same as presently charged by the Industrial Division.

Savings will accrue through the following items: Plant additions

and replacements, rising rate of U.S. rate salaries coupled with effects of the single wage plan in the Canal Zone, community services to Panama Canal Company employees; and the intangible cost of maintaining an extremely hazardous gas manufacturing facility in a heavily

populated industrial area and in the vicinity of a heavily populated

residential area, FERRY SERVICE

The Thatcher Ferry service operates across the canal near the

Pacific entrance of the canal. It is operated as a public service and

no charge is made for its use. Service is maintained by retaining

three diesel ferryboats on a daily schedule, with two ferries being in

simultaneous service. A third ferryboat is kept in reserve to relieve

the two regular ferries during periods of overhaul and to carry tourists

and special parties in the canal as required. Statistical data on the

ferry service for the past 2 fiscal years are given below

:

Fiscal year

1968 1957 Single trips made 22,945 27,144

Total vehicles carried 512, 878 606, 648

Total passengers carried 3, 663, 587 4, 281, 474

During the year some 7,716 tourists, special parties, and 3,568

schoolchildren were passengers on ferry trips through Gaillard Cut,

partial canal transits, and excursions on Gatun Lake.
athie")^ IIJL

SUPPORTING OPERATIONS

It is doubtful if there is any other Federal organization in the

world that embraces the variety of distinct, but closely interrelated

activities that are found in the Canal Zone. In support of the mainte- nance and operation of the waterway and incident to the civil government of the Canal Zone, the Company conducts many auxiliary

operations that are essential to the accomplishment of its basic mission.

These include rail, ocean, and highway transportation; pubhc-utilitytype services; the operation of retail stores and housing for employees;

and a wide variety of engineering, supply, and service functions.

These services are also made available to other Federal agencies in

the Canal Zone and, to a limited extent, to the Republic of Panama.

EMPLOYEE SERVICES

Supply and Community Service Bureau

Under the program of regrouping facihties, the integration of the

Service Center, Commissary, and Storehouse Divisions was formally

effected July 1, 1957. The Supply Division has two branches—^^the Storehouse Branch and the Sales and Service Branch, which comprises

all activities formerly operated by the Commissary and Service Center

Divisions. Its principal objectives and rcsponsibihties cons'st of: procurement of supphes and materials, storage and sales thereof;

scrap processing; and operation of theaters, restaurants, and bowling

alleys.

The Community Services Division has the responsibility of housing

management and attendant operations; care of public buildings and

grounds; operations pertaining to collection of garbage and trash;

street-cleaning facilities and cemetery maintenance.

In addition, in November 1957, the responsibility for direction of

the Procurement Division was transferred from the New York Office

to the Director of this Bureau.

SUPPLY DIVISION

Sales and Service Branch

Service center operations

The service centers provide certain essential sales and recreational

facilities for the employees of the Company/Government organization,

their dependents and guests, as well as others authorized or entitled

to receive Canal Zone privileges. These facilities include cafeterias,

soda fountains, guest accommodations; recreational activities such as

tlieaters, bowling alleys, and merchandise sections. In addition,

rental space is conveniently furnished for the use of the various

licensee shops, which include barber, beaut}^, shoe, tailor, and dressmaking establishments, public libraries, and union organizations.

25 495687—59 3
26 SUPPORTING OPERATIONS

Implementation of the 1955 treaty commitments and deactivation

of two communities resulted in the closing of several retail units and

the initiation of several new ones. Revenues increased slightly, a

total of $23,285 in gross income being shown over the 1957 fiscal figure.

Retail stores, warehousing, manufacturing, and allied operations

The retail stores, warehouses, manufacturing plants, and related

operations provide food supplies, clothing, general household, and

other essentials to U.S.-citizen employees and their families in the

Canal Zone and in the Republic of Panama, to noncitizen employees

residing in the Canal Zone, and the members of the Armed Forces. In addition to retail stores in the Canal Zone, the operation of gasoline

service stations, warehouse facilities, a bakery, coffee-roasting facilities a dairy, and a laundry were maintained throughout the year.

Retail stores and related operations

During fiscal year 1958, an intensified program of realignment of

operations consistent with the policy of offering merchandise and

services at the lowest possible prices to support good business practices was continued. Loss in retail store sales as a result of implementation

of treaty commitments was slightly less than anticipated and in- ventories were increased beyond originally planned levels. A drop

of 22 percent from the previous year was sustained in retail sales,

services, and issues. Revenues for fiscal year 1958 were some

$4,920,138 under fiscal year 1957 volume.

Storehouse Branch

The organizational units of this branch include administrative,

stock management, warehousing, scrap, and salvage operations;

excess disposal; and office furniture and equipment pools.

During the year excess stocks held in this branch of the division were brought down from a value of $700,712 to $57,673.

A continued program of regrouping facilities and rewarehousing

stocks so as to promote efficiency in the warehousing activity and to reduce operating and depreciation expenses to a minimum was vigorously pursued throughout the fiscal period.

Scrap operations were curtailed this fiscal year due to the business

recession in the United States which caused a drop in the market

price of scrap. Improved scrap-processing operations were initiated

that resulted in an appreciable decrease in operating costs. Methods of operation in office equipment and furniture pools were

studied throughout the fiscal period, resulting in improvements in several areas. Unserviceable pool items retired reached a total of

767 in comparison with 1,061 in 1957; acquisitions of new equipment

for the fiscal year period totaled 906 in comparison with 352 for

fiscal year 1957.

PROCUREMENT DIVISION

This division, comprised of three commodity branches and one

administrative branch, is charged with the responsibility of providing

procurement services to the ^Supply and Community Service Bureau.

The division is also responsible for the forwarding, expediting, and

correlating of shipments to the isthmus in compliance with required
PANAMA CANAL COMPANY '

delivery dates. Food items, supplies, materials, and equipment are purchased for use of the Company in the Canal Zone, in its New York

operations, or for resale to its employees. This division continued

its haison service between the Engineering and Construction Bureau

and States contractors on all open contracts. During the fiscal year 1958, the division made 22,752 awards for purchases valued at $14,183,125, in comparison with 20,003 awards for purchases valued at $14,771,658 in fiscal year period 1957.

Although the dollar value of the purchasing workload decreased in

1958, line items handled and vendors solicited increased by 10 percent

and 19 percent, respectively, as a result of expansion of merchandise

lines and the purchasing of smaller quantities more frequently in order

to hold inventories as low as possible. By taking advantage of the

various economic opportunities offered in procurement of goods

throughout the year, a total of $149,296 in savings was effected by

the division.

COMMUNITY SERVICES DIVISION

Housing Branch

The Panama Canal Company operates living quarters for all U.S.-

citizen employees and, to a limited extent, for non-U.S. -citizen

employees.

No new housing construction was begun during the year. However,

effective January 14, 1958, sixty-nine 4-family apartment buildings,

comprising 124 3-bedroom apartments and 152 2-bedroom apartments,

and four 1-family buildings located in the Coco Solo area were added

as U.S.-citizen housing when the Department of the Navy released

them to the Company. The demolition program was accelerated

during the year to accomplish the evacuation of a total of 16 U.S.-

citizen quarters buildings and apartments, and a total of 521 non-U.S.- citizen quarters buildings, apartments, and bachelor rooms. A reduced operating margin this fiscal year over last year reflects increased maintenance requirements on all residential housing and is attributed mainly to increases in Canal Zone rates and U.S. Wage

Board labor rates. Revenues for U.S.-citizen housing were slightly under those for

fiscal period 1957. The financial results of the non-U.S. -citizen

housing show a substantial improvement over fiscal year 1957 as a

result of a rental increase made effective in January 1957. The

operating deficit was reduced to $17,270.

U.S.-citizen quarters

As of June 30, 1958, there were 2,460 family units in operation for

citizen employees and their families. These excluded 8 apartments

held in a standby status and 313 substandard units that were in the

process of demolition or transfer to the Republic of Panama. With

the exception of three occupants, the complete evacuation of New

Cristobal has been accomplished

Non-U.S -citizen quarters

As of June 30, 1958, there were 1,854 family units in operation for non-U.S. -citizen personnel and their families. In addition, 88 family

apartments were in the process of demolition or transfer. During late calendar year 1957, seven 12-family buildings at Pedro Miguel were
28 SUPPORTING OPERATIONS

reactivated for use as the final demolition program of La Boca was

accomplished. There were 228 fewer non-U.S. -citizen families occu- pying quarters on June 30, 1958, than on June 30, 1957.

Other activities The Housing Branch of the Community Services Division is also responsible for the administration, care, and maintenance of the

Company/Government buildings. Care of grounds, collection and

disposal of trash and garbage; cleaning of streets within townsites in

the Canal Zone; landscape activities; and operation and maintenance

of Summit Park and the Canal Zone cemeteries are administered by

the Grounds Maintenance Branch.

There was no change of consequence in the workload of the Company

and Government building subprogram. The increase in depreciation

expense includes the reinstatement of plant previously offset by

economic valuation allowance, and the provision of special reserves

to offset the net book value of 16 Company buildings licensed to various religious, civic, welfare, and commercial groups.

Canal Zone rate wage increases and upwardly revised truck rental

rates, effective July 1, 1957, account for the two major areas of

increased operating expenses of the care of grounds. The addition

of 200 acres of housing areas in Coco Solo and Pedro Miguel added to the workload of both branches; however, the phaseout of the towns

of La Boca and New Cristobal offset this increase.

Added depreciation costs on new replacement machines and Canal

Zone rate wage increases account for the increased operating expenses

of the Garbage Collection and Disposal Unit. The closing margin

approximates $29,333 as compared to the budgeted figure of $17,300.

This difference is due to the failure of anticipated reductions in the

volume of service furnished to the military.

The street cleaning, Summit Park, and cemeteries operations all continued at the approximate levels of the 1957 operating figures.

TRANSPORTATION AND UTILITY SERVICES

Railroad operations

The Panama Railroad comprises 48 miles of main-line single track

across the isthmus between the terminal cities of Panama and Colon.

In addition, it furnishes industrial switching service to the most

important Company/Government and Armed Forces warehouses and

installations, as well as to some industrial facilities in the Republic of

Panama. It also maintains appurtenant freight and passenger

stations, railroad yards, and locomotive and car repair shops. It serves all Federal Government agencies on the isthmus and is a common carrier serving commercial interests in the Canal Zone and

the Republic of Panama.

Passenger and freight workloads of the division showed increases of

33 K percent and 18 percent, respectively, during the fiscal year over

the previous year's figures. The increase in passengers carried pro- duced a 22 percent increase in income, while the increase in freight tons hauled accounted for a 15 percent increase in income. Due to an overall workload increase with the exception of a reduced workload on the docks and piers which produced a reduction in switching
PANAMA CANAL COMPANY 29

locomotive service income, and the reduction in force, the operating

deficit was reduced by 51 percent.

Comparative workload and income statistics are shown in the

table below:

Fiscal year

1968 1967 Passengers carried 540, 641 405, 406

Revenue freight tons carried 129, 121 109, 720

Passenger service income $433, 165 $353, 743

Freight service income $731, 953 $637, 689

Switching and locomotive service income $64, 104 $75, 933 Net operating deficit $124, 830 $252, 071 Motor transportation

The Motor Transportation Division operates two fully equipped

repair shops, one at each canal terminal, and small repair facilities located in the Cristobal and Balboa pier areas; motor pools from three

central garages; and a tire retreading plant at the Ancon garage. The

division also maintains the motor vehicle fleet and various other tj^pes

of power-driven equipment used by the Panama Canal Company/

Canal Zone Government for construction, materials handling, fire- fighting, grounds maintenance, and related motorized equipment

owned by various units of the Company/Government. In addition,

it also provides miscellaneous repair services to other U.S. Governinent

agencies, employees, and others authorized to utilize such services. It supervises the operation of public bus transportation systems operating on both sides of the isthmus under franchise or concession, and

performs annual inspections of commercial and privately owned motor

vehicles as required by Canal Zone trafiic regulations.

Various Company/Government projects and other factors contributed to the overall increased demand for motor transportation services

which resulted in a workload that was greater than that anticipated

and budgeted for the year. The decrease shown in repair shop services furnished to units of the

Company/Government and others eligible to use such services is due

primarily to reduced credits from setting up only 52 new vehicles in

the year as compared to 123 new vehicles in the previous fiscal year.

Approximately 42 percent of the repair shops' workload was utilized

in repair and maintenance of the division's motor fleet. Significant

workload indices for the fiscal year as compared with the previous year

are given below (reduction in transisthmian hauling is result of Company/Government units using railroad to fuUest practical extent):

Fiscal year

1968 1967 Vehicles in service 535 535

Vehicle mileage 5, 757, 000 5, 488, 000

Transisthmian freight hauled (tons) 14, 662 19, 791 Number of line handlers carried (transisthmian) 53, 682 65, 175 Repair shop services furnished others $394,872 $419, 048

Operating margin (or deficit) $28,318 ($2,513)

Steamship operations

The Panama Canal Company operates the Panama Line which provides a regular freight and passenger service between New York and

the Canal Zone, via Port-au-Prince, Haiti. The steamship line is an

important adjunct to the operation and maintenance of the Panama
80 SUPPORTING OPERATIONS

Canal, furnishing ocean transportation for the large quantity of goods

required by the Panama Canal Company/Canal Zone Government,

and supplying passenger transportation for employees and their families between the Canal Zone and the United States. Commercial

passengers and freight are accepted on a space-available basis. This is the first year m which the two remaining vessels, the SS

Ancon and the SS Cristobal, operated under the new schedule which

provided for 41 round-trip voyages annually. During the last 6

months of the fiscal year the business recession, affecting shipping

throughout the world, was experienced also by the Panama Line. In

spite of an initial 6 months' profit, the operating loss of the line at

year's end rose to $111,041, primarily because of lower freight traffic. In addition, and contributing also to this loss, was the political unrest

in Haiti, and a planned rehabihtation program initiated during the

year to improve the mechanical and structural condition as well as the

appearance of the two vessels as rapidly as the financial situation

allows.

Shown below is the statistical comparison of the fiscal years 1958

and 1957:

Fiscal year Workload 19S8 1957 Number of completed voyages 41 45 Tons of freight carried 167, 951 199, 915 Average number of tons per voyage 4,096 4,442

Number of passengers carried 9,528 10,739

Average number of passengers per voyage 232 238

Operating margin (or deficit) ($111,041) $64,724

Electrical power system

The Panama Canal Company provides all electric power used in

the Canal Zone. It operates and maintains hydroelectric and diesel generating stations, substations, transmission lines, and appurtenances. Two hydroelectric generating plants, one at Gatun and the

other at Madden Dam, provide the normal power needs of the Canal

Zone. Three major diesel standby plants are maintained to supplement the hydroelectric plants when water supply is inadequate.

The combined generated output of the power system for fiscal vear

1958 was 250,177,080 kilowatt-hom-s, a decrease of 4,798,020 kilowatthours, or 18.8 percent less than 1957. A total of 222,640,477 was

delivered to customers as compared with 229,108,926 for the preceding

year. Due to the prolonged dry season, diesel generation for water

conservation was the heaviest on record. The total diesel power

generated, 41,004,380 kilowatt-hours for the year, was 89.2 percent

greater than the previous heavy record in 1949.

Further particulars on electric power generated will be found in

table 29, chapter V, page 111. Communications system

The communications system consists of two main exchanges located

in Balboa and Cristobal, with small exchanges at Pedro Miguel,

Gamboa, Gatun, and Coco Solo, with their respective distribution

systems connected by two transisthmian trunk cables. The system

is independent of, but interconnected with, the Army and Navy

systems in the Zone, and with the systems in the cities of Panama and

Colon.
PANAMA CANAL COMPANY 31 At the end of the fiscal year 1958, there were 7,670 telephones in

service, as compared with 7,543 telephones in service at the end of the

preceding fiscal year, an increase of 127,

Water system

The Water Branch continued to supply all the filtered water requirements of the Canal Zone, including that requu-ed for shipping, Armed

Forces installations, the cities of Colon and Panama, and suburban

Panama in the Republic of Panama.

The system consists of two principal units, one serving the Pacific

side of the isthmus, and the other the Atlantic area. The Pacific

unit takes its water supply from the Chagres River near Gamboa,

from which point the raw water is pumped to a filtration and treat- ment plant at Miraflores. The Atlantic side unit receives its water

from Gatun Lake, from which water flows by gravity to a filtration and treatment plant at Mount Hope. Each unit has its own pumping

stations, reservoirs, mains, and distribution piping. Two laboratories

are maintained as adjuncts of the water system to perform the neces- sary tests to assure the production and distribution of safe, potable

water. In addition to work performed in connection with water

purification, the laboratories render various chemical, physical, and

bacteriological tests for other Company/Government units and outside

agencies. They also handle the chemical inspections for explosive

and asphyxiating gases on burning or damaged ships.

The total annual production of water for this fiscal period is 1.1 percent lower than in fiscal year 1957. The increased use by Panama

and suburban Panama was more than offset by the reduced use by

the Armed Forces and a reduction in water consumption by the city

of Colon.

The table below shows for the fiscal year 1958 and 1957 the con- sumption of filtered water for municipal purposes and for sales to

vessels

:

Fiscal year 1958 Fiscal year 1957 (Thousands of cubic feet) Canal Zone (including Armed Forces) 562, 997 605, 030

City of Panama (including suburbs) 737, 838 707, 464

City of Colon 175,014 179,551

Sales to vessels 22,054 23,345

Total 1,497,903 1,515,390

Printing plant

The printing plant performs the general printing and bookbinding

services that are required b}' the Panama Canal Company/Canal

Zone Government and other U.S. Government agencies operating on

the isthmus. Authorized under regulations of the Joint Congressional

Committee on Printing, it supplies letterpress and offset printing,

provides addressograph and bookbinding services, and other miscellaneous printing services.

While the workload of the printing plant decreased slightly (1 percent) in the number of print impressions registered, the number of

production units increased by 1,812,846 in fiscal year 1958 in comparison with last fiscal 3''ear, an overall gain of 20 percent, in plant

production. During the 3'ear, five positions were abolished in the

plant as a result of improved operating procedm'es and methods.

Total revenues and credits for the fiscal year amounted to $351,683,
S2 SUPPORTING OPERATIONS

with total expenditures of $351,806, resulting in a net operating

loss of $123.00.

Vessel repairs

The Industrial Division of the Marine Bureau provides repair

facilities for commercial and Government shipping in the Canal Zone.

Its operations are centralized in Mount Hope at the Atlantic terminal

of the canal, and consist of a shipyard, drydock, shops, and related

operations. A large drydock at Balboa, on the Pacific side, is maintained in a state of readiness for emergency use only as are other

repair facilities. A total of 1,063 vessels, 65 feet or over, were repaired during the

year, accounting for 1,763 ship-days. There were 43 vessels of this class drydocked during the year. Normally, the Company's own floating equipment provides the

largest single source of work for the division through its routine dr}^-

docking and overhaul. During fiscal year 1958 Compan\' sources provided the principal workload and bacldog throughout the entire year, and accounted for 49 percent of total revenues earned and 61

percent of the productive force. Actual workload in the division

dechned during the latter part of the year mainly because of cancellation of scheduled Navy work due to redeployment of these locally

based naval craft to other areas. Harbor terminals operation

The Company's terminal facilities consist of wharves and piers,

with about 3 miles of berthing space, and other appurtenances

necessary for handling, transferring, and stevedoring of cargo landed

at the Atlantic and Pacific terminals of the canal either for ultimate

destination in the Canal Zone or the Republic of Panama, or for

transshipment to points beyond the isthmus. Facilities also include a tank farm at each terminal for storage of petroleum products, fuel handling plants for the transfer of petroleum products to storage

facilities and for the delivery of bunker fuel to vessels at terminal piers.

Cargoes handled include imports for the Canal Zone and the Republic of Panama, outgoing isthmian cargo, and the transshipment

of cargoes to various world ports. A total tonnage decline of 11 per- cent during 1958 from the previous year's total is shown in the combined cargo stevedored between ships and shore at the two canal

terminals, transferred between ships, or otherwise moved over the

piers. Among the primary factors accounting for this loss were the

direct shipments of coffee and raw cotton from west coast Central

American ports to Europe and Japan, the curtailment of Armed

Forces shipments, continued reduction in the Company's commissary sales, and decreases in scrap and banana exports. Improved

cargo-handling techniques were introduced during the year to increase

productivity on the piers.

In compliance with the 1955 treaty, pier No. 3, located in Colon

Harbor, was transferred to the Republic of Panama on November 7, 1957. This pier is a small pier, 160 feet long and 60 feet wide, located

in the port of Colon adjacent to Cristobal Harbor. It is used by small

vessels in coastal trade with Panama. While under the jurisdiction

of the Panama Canal Company, the use of this pier was restricted to vessels whose length did not exceed 125 feet.
PANAMA CANAL COMPANY 33 Comparative combined cargo movements in tons of cargo steve- dored and financial results thereof are as follows:

Fiscal year Im ' Tm ' Combined cargo movements between ships and piers. _ 940, 527 1, 050, 165 On the pier 892,560 999,440

Total (revenue tons) 1,833,087 2,049,605 Income $4, 191, 109 $4, 528, 316

Expenses $3, 823, 724 $3, 737, 436

Net income $367,385 $790,880

The marine bimkering operations which is the other prime function

of the Terminals Division is concerned primarily with the pumping

and inward handling of petroleum products from tankers to storage

tanks, both Company and privately owned, and the outward handling

of such products from storage tanks to vessels or to tank farm loading

platforms for local consumption.

The increase in receipts in view of an overall decrease in the workload was in a large measure due to the discontinuation of the practice

of loaning products among local od companies. The decrease in

overall workload is due primarily to reduced bunkers to vessels,

reflecting in part the depressed state of shipping, and to the return

to regular trade routes and bunkering at other ports of shipping that was diverted to the Panama Canal during the Suez Canal closure. The following comparative workload data is furnished for fiscal years 1958 and 1957:

Fiscal year Workload

' Im

' ^957

' Combined receipts (Cristobal and Balboa) 8. 686, 386 8, 589, 190 Combined issues (Cristobal and Balboa) 7, 724, 516 8, 359, 083

Total barrels of products moved 16,410,902 16,948,273

Tankers discharging (Cristobal and Balboa) 127 120

Vessels bunkering 2,823 3,061

PRINCIPAL ENGINEERING AND CONSTRUCTION PROJECTS

Bridge, Balboa, C.Z.

Construction of a high-level bridge spanning the canal channel on

the Pacific side of the isthmus is scheduled to begin during the coming

fiscal year. The completion of this bridge will fulfill treaty commitments made between the United States of America and the Republic

of Panama.

During November 1957, a contract was awarded to an engineering

company to make preliminary studies and estimates. A five-man

Board of Consultants was appointed for the purpose of evaluating

designs and to provide general engineering consulting services. This

board consists of: Ralph A. Tudor, Panama Canal Company Board

member; Roland P. Davis, Dean Emeritus of the University of West

Virginia; F. C. Turner, Deputy Commissioner and Chief Engineer

of the Bureau of Public Roads; Edward B. Burwell, Jr., retired Chief

Geologist of the Office of the Chief of Engineers; and Aymar Embury

II, bridge architect of New York.

On April 10, 1958, the preliminary engineering report was presented
34 SUPPORTING OPERATIONS

to the Panama Canal Company and the Board of Consultants. A

three-span, arch-truss-type bridge was selected as the most feasible

from the standpoint of design, cost, and ease of construction, and a

contract for the full design of the bridge was awarded. A considerable

amount of preliminary work remains to be done, much of which will hinge on the selection of the ahgnment of the bridge and its approaches

which were still under study at the close of the fiscal year. This bridge will permit uninterrupted highway traffic movement

across the canal. Its overall length will be shghtly over 2 miles

from the ends of the highway approaches on the east and west sides. The main span crossing the canal will be 1,128 feet long and will have

a minimum clearance of 201 feet above the canal at mean high tide. The bridge will connect with Thatcher Highway on the west, while

the east side approach will provide vehicular outlets directly to the

Canal Zone and Panama City street systems at the Canal ZoneRepublic of Panama boundary limits. Under a schedule for the bridge project submitted by the engineering

firm, preparation of the design plans and specifications can begin in

July 1958. It is anticipated that a contract for the substructure work

will be let by July 1, 1959, and the contract for the superstructure

shortly thereafter. Contracts for the approaches are scheduled for award in December 1958 and February 1959. The project is scheduled for completion by December of 1962.

Sixty-cycle 'power conversion program

Eighteen major contracts were in progress during fiscal year 1958.

Included in these were five closely related replacement projects which

are being coordinated with the power conversion project. The five related project contracts total $3,477,400 and the 13 conversion project contracts total $7,030,800. The remaining major projects in the

power conversion program are: System voltage correction, $381,500;

conversion of unit No. 6, Gatun hydroelectric station, $230,000. The

contract for the conversion of Gatun, Pedro Miguel, and Miraflores

Locks amounts to $2,005,000. This contract is included in the total

for the five related contracts. Conversion of all 25-cycle consumer equipment in the Atlantic area to 60-cycle operation was virtually completed. In the Central

area, consisting of Gamboa, Santa Cruz, Summit, and Paraiso, con- sumer equipment was completed except for the Gamboa pump station

and substation transformers. Conversion of the Pacific area com- menced and proceeded energetically on or ahead of schedule.

Again the principal impediment to fieldwork was the constantly

recurring delay in receipt of materials ordered from U.S. manufacturers

or suppliers.

Phase I oj increased dependable capacity of the locks A 60-foot extension to the south end of the overhaul shed at Miraflores Locks was started and will be completed in fiscal year 1959. It

is required for storage of additional overhaul equipment involved in

Phase I. All openings from side and center culvert laterals in the chamber

floors at Pedro Miguel and Miraflores Locks were reshaped to fit
PANAMA CANAL COMPANY 35 the lateral culvert plugs. Extensive cracks and open construction

joints in culvert laterals were found at Pedro Miguel. All those

between floor slab and culvert riser were closed with cement mortar.

There remain to be sealed a great many open construction joints and

cracks in laterals and risers in both lanes of Pedro Miguel Locks.

This must be done to seal off leakage to a point where use of the

lateral culvert plugs will be practical.

A sluice gate was installed in the center culvert drain at Pedro

Miguel to facilitate its control. Two elevator shafts, one in each

level, were constructed at Miraflores, and one shaft at Pedro Miguel

Locks for direct access to the center culvert. A well for the culvert

dewatering pump was constructed at the south end of the center

culvert at Miraflores and a similar well was constructed at the south

end of Pedro Miguel.

Miscellaneous and other projects

Other major engineering and construction projects initiated or concluded during the year included the remodeling of the Governor's

residence; construction of executive quarters for the Lieutenant

Governor; modernization of the Administration Building and installation of air conditioning, Balboa Heights, and modernization of the

Terminals Building in Cristobal; remodeling of the former Ancon

Commissary to provide office space; alterations to Balboa Heights

Post Office; rehabilitation of Coco Solo housing project; reconstruction

of the air-conditioning system in the Civil Affairs Building; designs

for retail store and gas station at Coco Solo, Civil Defense Control

Center, and the Pacific side passenger and freight terminals; site development studies for a new housing development, studies and

designs for improvements to quarters; rewuing of Administration

Building, Cristobal, and replacement of electrical distribution system,

Cristobal piers; replacement of raw water pumps and appurtenances

at the Gamboa pump station; replacement of pumping and electrical

systems for locks caisson No. 1 ; replacement of streets at Old Cristobal

and Margarita; and remodeling of BOQ for an elementary school at Coco Solo.

Operations, and capital construction by contract Nearing the fiscal year's end, contracts in force reached a peak

of $4,200,000 in March and April, and finished the year with $3,800,000.

This was a 280 percent increase over the $1,500,000 at the beginning

of the year. Forty-one Company/Government operations contracts were awarded during fiscal year 1958 having a total value of $693,000.

Forty-seven contracts for capital construction were awarded for a

total of $3,414,000 and the earnings amounted to $980,000.

Boyd-Roosevelt highway maintenance

Regular maintenance and emergency work was accomplished on

the 45.81 miles of this highway located within the Republic of Panama.

Emergency work consisted of the removal of road-blocking slides and replacement of failed culverts.
S6 SUPPORTING OPERATIONS

Sosa Hill quarry

The quarry continued at a higher level of production than for the

previous fiscal year.

Unit Quarry and crushing cubic yard... Concrete mixing plant do

Asphalt mixing plant ton

Daily

capacity
w/iafite/y^ IV

ADMINISTRATION

MAJOR ORGANIZATIONAL CHANGES

During the past fiscal year a number of organizational changes were made in an effort to improve efficiency within the operations and to provide better service to all concerned.

Effective July 1, 1957, a Tabulating Section was established in the

General Ledger and Processing Branch of the Accounting Division,

to replace the Machine Tabulating Section of the Administrative

Branch.

Effective July 1, 1957, the general accounting functions of the

Supply Division were transferred to the Supply Accounting Section

in the Office of the Comptroller.

Effective July 14, 1957, Plant Accounting Branch and Plant

Evaluation and Transfer Staff, were merged into one organizational

unit, the Plant Accounting Branch.

Effective October 1, 1957, the Commissary Division, Hotels Washington and Tivoli, Service Center Division, and Division of Store- houses were consolidated into the Supply Division of the Supply and

Community Service Bureau. This division now consists of the

Commissary Branch, Service Center and Hotel Section, Motion

Picture Unit, and Storehouse Branch. The Housing and Grounds

Division was subdivided into Grounds Branch and Housing Branch.

Effective October 6, 1957, the Aids to Navigation Section of the

Marine Bureau was consolidated with the Dredging Division of the

Engineering and Construction Bureau.

On November 3, 1957, the responsibility for direction of the Procurement Division was transferred from the New York office to the

Supply and Community Services Bureau, Canal Zone.

Effective November 7, 1957, the Hotel Washington was turned

over to the Republic of Panama. Also transferred on this date to the Republic of Panama was pier No. 3, of the Terminals Division

operation, Atlantic side. On December 1, 1957, the U.S. Navy turned over the Flamenco

Island signal station to the Marine Bureau, Port Captain, Balboa,

for operation and maintenance.

Control of the Company/Government's capital obligations and

expenditures was transferred from the Comptroller's office to the

Engineering and Construction Director.

MAJOR PERSONNEL CHANGES

Col. Hugh M. Arnold (USA) (CE) was reassigned to Lieutenant

Governor-Vice President, effective July 10, 1957, vice Colonel Herman

W. Scluill, Jr. (USA), relieved from duty July 9, 1957.

Col. John D. McElheny (USA), Lieutenant Governor-Vice President-designate, arrived in the Canal Zone preparatory to assuming

duties upon departure of Col. Hugh M. Arnold, July 12, 1958.

37
38 ADMINISTRATION

Capt. Peter Grosz, Jr. (USA), was detailed from the JJ.C ' ^.my as Military Assistant to the Governor, effective July 12, 1957, vice

Major David H. Smith (USA), relieved from duty July 26, 1957.

Lt. Col. Robert D. Brown, Jr. (USA) (CE), was detailed from th-, U.S. Army, effective August 3, 1957, as Engineering and Construction

Director, vice Colonel Hugh M. Arnold (USA) (CE), reassigned.

Mr. Lester A. Ferguson, General Manager, New York Operations, was reassigned to the position of Supply and Employee Service

Director, effective October 29, 1957, vice Mr. Wilson H. Crook,

deceased.

Mr. John J. Barton was transferred May 29, 1958, from the Procurement Division, to General Manager, Supply Division, Supply

and Community Service Bureau.

Capt. James A. Flenniken (USN), was appointed Port Captain,

Balboa, May 18, 1958, vice Captain Anthony C. Roessler (USN),

relieved from duty with the Panama Canal Company May 8, 1958.

Mr. Edward N. Stokes, Superintendent, Railroad Division, was

separated by reduction in force, effective July 31, 1957.

ORGANIZATION CHART

A chart of the Panama Canal organization as of June 30, 1958, is included with this report.

FORCE EMPLOYED AND RATES OF PAY

The full-time force employed by the Panama Canal Company as

of June 30, 1958, totaled 10,844, an increase of 310, or 2.94 percent, over the number employed on June 30, 1957. The increase consisted

principally of temporary employees who were employed for locks

overhaul.

The highly diversified activities of the enterprise include a large

number of different functions, and almost every employment category

will be found in the organization. For many years only citizens of

the United States were eligible for employment in executive, supervisory, professional, subprofessional, and clerical positions. During

the past several years, however, properly qualified citizens of the

Republic of Panama have been eligible for appointment to these

positions in which special education, training, or other high qualifications are a requisite. The rates of pay for such positions, normally

referred to as ''U.S.-rate positions," are based on rates for similar

positions in the Federal service in the United States plus, normally, a 25 percent tropical differential allowed in the case of U.S. citizens. All positions for which the predominant area of recruitment is the

Panama labor market constitute a second category, the Canal Zone

wage group. The rates of pay within this group are based generally

upon locally prevailing rates of pay. At the present time, most of

these positions are those occupied by nonskilled or semiskilled workers,

helpers, laborers, etc. However, the number of skilled positions in

this group is increasing due to the increased utilization of non-U.S. citizens in all positions for which suitably qualified local applicants can be obtained. Most of these positions are filled by persons

indigenous to the areas adjacent to the canal, although a scattering

of nationals of other countries is included.
PANAMA CANAL COMPANY

PRESIDENT

OF THE UNITED STATES

STOCKHOLDER

HON WILBER M BRUCKER - SEC'Y (

GENERAL OFFICERS

STOCKHOLDER I

BOARD OF DIRECTORS |

COMPTROLLER

RESPONSIBILITIES AS SET FORTH UNDER ARTICLE T

SECTION 5. PANAMA CANAL

COMPANY BYLAWS

VICE PRESIDENT

RESPONSIBILITIES AS SET FORTH UNDER ARTICLE Y

SECTION 4, PANAMA CANAL COMPANY BYLAWSSTAFF

EXECUTIVE PLANNING STAFF

LONG RANGE PLANNING

CAPITAL BUDGET MANAGEMENT STUDIES MANPOWER CONTROL

CANAL TRAFFIC STATISTICS ECONOMIC STUDIES ANNUAL AND MONTHLY REPORTS

PERSONNEL

BUREAU

EMPLOYMENT AND EMPLOYEE

UTILIZATION TRAINING PROGRAMS

WAGE AND CLASSIFICATION

OFFICE OF GENERAL COUNSEL

GENERAL COUNSEL

OPERATIONS

C„.,RM.N0FBO.«

PANAMA CANAL COMPANY 3» The full-time force of the Company for employees paid at U.S.

rates on the isthmus numbered 2,463 on June 30, 1958, as compared

with 2,389 on June 30, 1957, an increase of 74, or 3.10 percent. The

full-time force of those paid at Canal Zone rates numbered 8,381 as

of June 30, 1958, in comparison with 8,145 on June 30, 1957, an

increase of 236, or 2.90 percent. In addition to employees in the

Canal Zone there were 381 U.S. citizen employees in the New York

office and 1 U.S. citizen and 10 non-U.S. citizens employed in Haiti on June 30, 1958, as compared with 380 in the New York office and

1 U.S. citizen and 9 non-U.S. citizens in the Haiti office on June 30,

1957, an increase of 2. The number of employees by function will be found in tables 30

and 31, chapter V, pages 111 and 113. EMPLOYEES PAID AT U.S. RATES ^ Turnover injorce

Three hundred and eighty-four full-time employees for whom

replacements were required terminated during fiscal year 1958, as compared with 345 in fiscal year 1957. There were 85 emplo3rments

in addition to the 384 terminated employees who were replaced.

The net turnover rate (based on replacements on total terminations) was 10.9 psrcent as compared with 9.8 percent in fiscal year 1957.

Voluntary terminations for the year totaled 222, a rate of 6.3 percent,

in comparison with 217, a rate of 6.2 percent in the previous year. Involuntary terminations for fiscal year 1958 totaled 162, a rate of

4.6 percent, in comparison with 188, or a rate of 5.3 percent in fiscal year 1957.

Recruiting

Of the 469 full-time additions to the isthmian U.S. -rate force

during fiscal year 1958, 81, or about 17 percent, were recruited from

the United States, and 388, or about 83 percent, were recruited

locally. The addition of these 469 employees represents an accession

rate of approximately 13.3 percent.

At the close of fiscal year 1958, there were 45 U.S. requisitions

pending, covering 58 U.S. -citizen positions.

Wages

On June 20, 1958, Public Law 85-426 granted a 10 percent increase

in wages for Classification Act employees, retroactive to January 12,

1958. On May 27, 1958, Public Law 85-426 granted a sunilar

increase for postal employees, retroactive to January 11, 1958,

Wages of a number of other U.S.-rate groups, including craft, supervisory, floating equipment, power branch, railroad, printing plant,

and miscellaneous, were adjusted upward during the fiscal year. The total annual cost involved was $2,024,392. The cost for fiscal year 1958 amounted to $893,261.

1 statistics la this section cover both Panaaia Canal Company and Canal Zone Qovemment employees.
40 ADMINISTRATION

EMPLOYEES PAID AT CANAL ZONE WAGE RATES'

Wages

No changes were reflected in the Canal Zone wage rate schedule

during the fiscal year. Automatic and administrative pay increases

at a total cost of approximately $153,608 per annum were given to 2,954 employees during fiscal year 1958. Annual increases were

given to approximately 100 schoolteachers in July 1957.

Cash relieffor disabled employees

The Cash Relief Act of July 8, 1937, as amended, affords a noncontributory, unfunded sj^^stem for the payment of gratuities to employees of the Panama Canal Company and the Canal Zone

Government who are disabled through age or disease. This act provides for a maximum monthly benefit of $1.50 multiplied by the

number of years of service, not to exceed a total of $45.

During fiscal year 1958, monthly payments averaged $167,857

($155,700 for the' Company and $11,500 for the Government). The

average monthly payment per case was $37.81 for the Company and

$38.78 for the Government, with a combined average of $37.88.

New applications totaled 339, of which 295 were approved for

payment, as compared with 162 received and 89 approved for payment in fiscal year 1957. l"he increase in applications is the result of a policy of deferment begun in 1957 for all of those employees reaching

62 years of age pending passage of legislation to bring non-U.S. citizens under coverage of the Civil Service Retirement Act. This

legislation was not passed during the first session and consequently

those persons deferred in fiscal year 1957, as well as those employees

who became disabled or who reached age 62, were considered for disability relief in fiscal year 1958.

Removals from the disability relief rolls due to death or subsequent

reemployment totaled 255 for the Company and 19 for the Government. The number of disability relief beneficiaries as of June 30,

1958, totaled 4,456 (4,154 for the Company and 302 for the Government).

Repatriations

During fiscal year 1958, $1,304 was expended for the repatriation

and rehabilitation of four former non-U.S. -citizen employees and

their eight dependents. The number who can qualify under present

regulations is extremely small and this function is now of little consequence.

Separations

Separations of Canal Zone rate employees were for the most part

involuntary. Of the 1,202 separations in fiscal year 1958, 7 were due

to reductions in force, 279 were transfers to the disability relief rolls or deaths, 734 were terminations of temporary employees and dis- charges; 182 were resignations.

8 statistics in this section cover both Panama Canal Company and Canal Zone Government employees.
PANAMA CANAL COMPANY 41 INCENTIVE AWARDS'

During the fiscal year 1958 the Company/Government organization

continued its program designed to stimulate beneficial suggestions

and meritorious performance of employees throughout both agencies.

Emphasis was placed on the quality of suggestions rather than on

the quantity of contributions. This year 378 contributions were

received in comparison with 503 in fiscal year 1957. Twenty-two

honorary award recommendations and 49 suggestions were approved

for cash awards totaling $3,235. Tangible savings resulting from

the adoption of the suggestions are estimated at $51,824 per year, the

highest estimate in the history of the program begun in 1956.

SAFETY PROGRAM

The safety program of the Panama Canal Company and the Canal

Zone Government is designed to develop and improve the program

of accident prevention, including the coordination of occupational

health, sanitation, and fire-prevention activities, and by reducing

disabling injuries, reduce the frequency rate, severity, and cost of

accidents. These functions and responsibilities are further emphasized

by the Federal Employees' Compensation Act, which in part authorizes

and directs the heads of the various departments and agencies to develop, support, and foster organized safety promotion.

The Company/Government accident prevention program made

gains in important areas during fiscal year 1958 over the previous

3-year average even though the year's activities included a hazardous

locks overhaul and the Panama Line operations were, for the first time, included in the Company's safety records. The most notable

single gain among the various bureaus and the New York operations was that of tlie Transportation and Terminals Bureau which less- ened its disabling injury rate by a total of 50 percent during the

past 3 fiscal years despite the fact that a large part of its operations

include high accident-risk stevedoring work. This Bureau's steve- doring frequency rate for the calendar period 1955-57 was 9.27 as compared to the 46.50 average reported by the National Safety

Council, for the entire stevedoring industry in the United States

during the same period. In addition, the Marine Bureau and the

Engineering and Construction Bureau made marked improvements

in reducing disabling injuries to their personnel over the same period.

During the fiscal period, the safety program successfully strove to

foster more active supervisor and employee participation in the

program and a greater sense of responsibility on the part of these two

groups for its success. The collective welfare was highlighted in terms

of relief from painful injuries wliile obtaining tangible employment

and other benefits from immediate and long-range economy of operation through the reduction of wasteful accidents. Stress was placed

upon the importance of joint employee, supervisor, and management teamwork in accident prevention, which resulted in more closely

knit efforts on the part of management officials and employees, and

consequently- in safer, improved equipment, conditions, and work

« statistics In this section cover both Panama Canal Company and Canal Zone Government employees. 495687—59 1
42 ADMINISTRATION

practices. The results of this approach and its reception by supervisors and employees have been such that increased reduction in accidents is anticipated for fiscal year 1959. It is believed that the

groundwork has been provided for long-range improvement in acci- dent prevention in all areas of the Company/Government.

Two fatalities occurred during the period and 127 disabling injuries were sustained, resulting in considerably increased compensation costs and arbitrary lost-time charges. However, this is the second lowest

number of disabling injuries recorded in a single year since 1941, or

since the opening of the canal for that matter. The fatality rate this year is equivalent to 1 accidental death for every 6,775 employees, as compared to the national average of 1 death for every 4,348 workers

employed, as reported for calendar year 1956 by the National Safety

Council. There were three injuries causing permanent partial dis- ability as compared to four last year, and there was one permanent

total disability case this fiscal year. This year's disabling injury frequency rate of 4.64 represents a 39-

percent increase over last year's rate of 3.35. However, this was the

third time in the history of the organization's accident prevention

program that the frequency rate was lower than the most recently

published national average of 6.27, which was a new low experienced

by all industry during the calendar year 1957, as reported by the

National Safety Council. This year's severity rate of 787 represents an increase of 395 percent over the 1957 rate of 159. This rate repre- sents the time charges in days per million man-hours of exposure.

Disabling injuries increased by 44 percent this fiscal year in comparison with only 88 sustained during 1957.

As a result of the safety achievements earned throughout the period,

the National Safety Council presented its highest award, the Award

of Honor for calendar year 1957 to the Company/Government and

to the Transportation and Terminals Bureau. This award is earned on the basis of "outstanding improvement" in both disabling injury

frequency and severity over "par" rates prescribed by the Council

to rule out chance fluctuations.

The Governor-President Annual Safety Trophy, awarded each

calendar year to the bureau achieving the highest percentage improvement in disabling injury frequency rate over its own previous

3-year average, was awarded to the Transportation and Terminals

Bureau for their 64-percent improvement in 1957.

Safety Statistics

Fiscal year Im ' Jm

Employee-hours of exposure 27, 342,000 26, 251, 000

Disabling injuries 127 88

Injuries causing permanent partial disability 3 4

Injuries causing permanent total disability 1 Frequency rate ' 4.64 3.35

Severity rate 2 787 159 Number of fatalities 2 Days charged 21,516 4,163

1 Disabling injuries per million employee-hours of exposure.

2 Severity rate is the time charged in days, per million employee-hours of exposure.
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PANAMA CANAL COMPANY 43 LEGISLATION

During fiscal year 1958, Congress enacted six laws, briefly discussed

below, which apply to or affect the canal enterprise (in addition to appropriation acts and various general acts which contain provisions

applicable to these agencies or to the Canal Zone).

The act of August 30, 1957 (Public Law 85-223, 85th Cong.; 71

Stat. 509), authorized the conveyance of various lands and improvements to the Republic of Panama in fulfillment of the 1955 treaty

and accompanying memorandum of understandings.

The act of August 30, 1957 (Public Law 85-231, 85th Cong.; 71

Stat. 514), amends the Fair Labor Standards Act of 1938, as amended,

to clarify its application in the Canal Zone and certain other overseas

areas. The act of February 20, 1958 (Public Law 85-331, 85th Cong.; 71

Stat. 16), amends section 216(b) of the Merchant Marine Act, 1936, as amended, to provide for appointments of cadets from the District

of Columbia, Guam, American Samoa, Virgin Islands, and the Canal

Zone. The effect of this act, so far as the canal enterprise is concerned, is to include the Governor of the Canal Zone among officials authorized to nominate candidates for annual competitive examinations for the Academy, and provide for the allocation of two vacancies

each year to the Canal Zone.

The act of March 17, 1958 (Public Law 85-346, 85th Cong.; 72

Stat. 37), amends the Canal Zone Code to provide for the transfer

to the Canal Zone postal revenues of the amounts of money orders

issued by the Canal Zone postal service and remaining unpaid after

20 years from date of issuance.

The act of May 19, 1958, amends section 831 of title 5 of the Canal

Zone Code so as to make it a felony to injure or destroy communication

facilities in the Canal Zone.

The act of June 18, 1958 (Public Law 85-460, 85th Cong.; 72

Stat. 200), amends the definition of the term "State" in the Veterans'

Readjustment Assistance Act and the War Orphans' Educational

Assistance Act to clarify the question of whether the benefits of those

acts may be afforded to persons pursuing a program of education or

training in the Canal Zone.
ahle^ V

FINANCIAL REPORT AND

STATISTICAL DATA

FINANCIAL STATEMENTS AND RELATED SUPPLEMENTARY

REPORTS FOR THE YEAR ENDED JUNE 30, 1958

The financial statements of the Panama Canal Company appearing^

in tables 1 through 11, with the accompanying notes, fairly present

the financial position of the Company at June 30, 1958, and the financial results of its operations for the fiscal year then ended. Tables 9

through 11 were previously published on October 10, 1958, as an

oflicial release to the press and were included in the Annual Report of

Board of Directors to Stockholder.

All statements have been examined by the Internal Audit Staft" of

the Company, and are subject to audit by the General Accounting

Office. Audit reports of the General Accounting Office are directed to the Congress and are prmted as congressional documents.

Supplementary information concerning funds, operating results,

payments to the U.S. Treasury, net direct investment of the U.s!

Government, and retained revenue is presented in the tabulations and

comments which follow:

Source and application oj funds

The following is a condensed statement of funds provided and

applied during the year ended June 30, 1958:

Funds Provided: Income from operations (table 3) $2 656 382 Add back nonfund transactions: ' ' »

» Provision for depreciation $.5, 262, 336

Provision for locks overhaul ], 040, 800

Amortization of slide hazard 200^ 000

Miscellaneous 50261 '- 6, 553. 397

Total funds from current operations 9, 209, 779

Currently realized proceeds from sale of SS Panama 1,' 069 500^ Excess of market over book value of Canal Zone Government ' ' properties transferred to Republic of Panama under 1955

treaty__ 372,540

Decrease m accounts receivable 640 368

Decrease in inventories 23' 343

Increase in current liabilities 145' 164 Appropriation for Panama Canal bridge IIII 75o| 000' Total funds provided 12 210 694

44
PANAMA CANAL COMPANY 45 Funds Applied:

Acquisition of fixed assets $7, 738, 274

Less net plant salvage 310, 408

$7, 427, 866

Cost of overhaul of caual locks 2, 796, 548

Increase in cash 1, 791, 211

Increase in other current assets 8, 014

Panama Canal bridge expenditures 187, 055

Total funds applied 12, 210, 694

Financial operating results Since its reorganization on July 1 , 1951 , the Panama Canal Company

has completed 7 years of operation without cost to the American

taxpayer. Net revenue for the fiscal year ended June 30, 1958, after

provision for payment to the U.S. Treasury of $8.8 million interest on the U.S. Government's direct investment, and $10.7 million cover- ing net cost of the Canal Zone Government, was $2.66 million as compared with net revenue of $3.82 million for the preceding year. As to dollar volume of traffic, fiscal year 1958 was the best in the

history of the Panama Canal. Tolls and tolls credits reached an all- time high of $42.8 million, as compared with the previous highs of

$39.7 million for the preceding year and $37.5 million in 1953. The

decline in net revenue was caused by a sharp rise in operating expenses,

primarily due to wage increases, which more than offset the increase

in tolls. Net direct investment oj ike U.S. Government

Certain properties, having an appraised market value of $4.8 million, were transferred to the Republic of Panama to fulfill treaty obligations.

Additional properties, having an appraised market value of $14.7

million, will be so transferred during subsequent years. Public Law

85-223, approved August 30, 1957, provides for a reduction in the

interest-bearing investment of the U.S. Government for the economic

loss based on market value of such properties transferred and on net

capital loss of certain properties which have become excess due to the Treaty.

Retained revenue As provided hj section 246 of title 2 of the Canal Zone Code, as amended, the Company's retained revenue consists of all net revenue from operations of the Company and its predecessor, the Panama

Railroad Company (New York), from and after 1904 plus the undistributed net revenue prior to 1904. All capital repayments made to the U.S. Government by both corporations are treated by law as re- payments of the Government's direct investment in the Company and

serve thereby to reduce the interest-bearing portion of the Government's equity. The amounts thus applied to date are shown in Table 2, Comparative Statement of Equity of U.S. Government.

Retained revenue, exclusive of a $10 million emergency fund held by

the U.S. Treasury, increased from $85,564,383 at June 30, 1957, to $88,548,430 at June 30, 1958. The composition of retained revenue

is detailed in Table 2, Comparative Statement of Equity of U.S.

Government.
4S FINANCIAL REPORT AND STATISTICAL DATA

Table 1.—Statement of Financial Condition, June 30, 1958

Assets Current Assets: Fund balances with U.S. Treasury and cash: Fund balances: Checking account $26,862,697

Allocation from U.S. Government agencies 8,905

$26, 871, 602

Cash in commercial banks, on hand and

transit 3, 892, 555

$30, 764, 157 Notes receivable 1, 069, 500 Accounts receivable: Canal Zone Government $1, 387, 436

Other U.S. Government agencies 513, 374

Others 1, 438, 172

3, 338, 982

Inventories, principally at average cost

(table 7)

:

Materials and supplies, less allowance of $1,047,906 for excess, obsolete, and in- active stocks $4, 491, 880

Merchandise held for sale 3, 412, 911

7, 904, 791 Other current assets 201, 339

Total current assets 43, 278, 769 Long-Term Notes Receivable 2, 139, 000

Fixed Assets (note 1 and table 8;

:

Cost $598, Oil, 736

Less depreciation and valuation allowances-- 185, 562, 286

Panama Canal Bridge:

Fund balance with U.S. Treasury $590, 382

Construction work in progress 159, 618

412, 449, 4.50

750, 000

Deferred Charges and Other Assets 4, 044, 907

462, 662, 126
PANAMA CANAL COMPANY 47

Table 1.—Statement of Financial Condition, June 30, 1958—Continued

Liabilities and equity

Current Liabilities: Accounts payable:

U.S. Government agencies $1, 355, 164 Others 2,349,927

Due U.S. Treasury: Net cost of Canal Zone Government $1, 644, 310

Interest on net direct investment 710, 994

Annuity payment to Republic of Panama 35, 833

Accrued liabilities: Salaries and wages $1, 794, 103 Employee's accrued leave , 6, 606, 940

Damages to vessels 463, 833

Others 432, 230

$3, 705, 091

2, 391, 137

9, 297, 106 Customers' deposits and advances (includes

Army funds of $8,905j 345, 149 Other current liabilities ^ 315, 030

Total current liabilities 16, 053, 513 Reserves:

Periodic overhaul of canal locks $1, 448, 531 Noncapital costs of power conversion 4, 000, 000

Equity of U.S. Government (note 2 and table 2j

:

Net direct investment, interest-bearing $351, 861, 652

Retained revenue, noninterest- bearing $98,548,430

Less fund on deposit with

U.S. Treasury, available on loan basis without in- terest 10,000,000

5, 448, 531

88, 548, 430

Panama Canal bridge 750, 000

441, 160, 082

462, 662, 126

The accompanying "Notes Pertaining to Financial Statements" are an integral

part of this statement.
48 FINANCIAL REPORT AND STATISTICAL DATA

NOTES TO FINANCIAL STATEMENTS, JUNE 30, 1958

1. Fixed assets .—Fixed assets generally are stated at cost, or if acquired from another Government agency at original cost to such

agency. Valuation allowances have been established in accordance

with sections 246 and 412 of title 2 of the Canal Zone Code (1) to offset the cost of defense facilities and suspended construction projects

principally the partial construction of a third set of locks abandoned

in the early part of World War II—-totaling $89.4 million and interest

during original construction aggregating about $50.9 million; and (2) to reduce to usable value the cost of those fixed assets transferred to the Company from The Panama Canal (agency) at July 1, 1951. Depreciation or amortization allowances have not been provided on

certain assets—land titles, treaty rights, and excavations of channels,

harbors, basins, and other works—costing about $281 million based on

historical practice and a construing of the Canal Zone Code as not

requiring the depreciation or amortization of such costs. Depreciation allowances on all other fixed assets are accumulated on a straightline group basis; losses or gains on retirements generally are charged

or credited to the accumulated allowances.

2. Equity of the U.S. Government.—The equity of the U.S. Government in the Company consists of the net direct investment, established

in accordance with section 246 of title 2 of the Canal Zone Code, and

the retained revenues. The Company is required to pay interest to the U.S. Treasury on the net direct investment at a rate established

by the Secretary of the Treasury. The rates for 1958 and 1957 were,

respectively, 2.482 and 2.485 percent.

An emergency fund of $10 million is available in the U.S. Treasury

from which the Company may borrow funds for authorized purposes on an interest-free basis for limited periods. The fund was established by the predecessor Company in June 1948 out of retained rev- enues pursuant to section 254 of title 2 of the Canal Zone Code.

Public Law 85-223, authorizing the transfer of properties to the

Republic of Panama pursuant to the 1955 treaty, provided for a re- duction in the net direct investment of the U.S. Government of the

market value of the properties —aggregating about $14.7 million—and

of any capital losses sustained in the relocation or disposal of facilities resulting from the treaty. The net direct investment was reduced

$4.8 million during fiscal year 1958 representing the market values of

the properties transferred to Panama during the year.
PANAMA CANAL COMPANY 49 Public Law 753, 84th Congress, directed the Company to construct,

maintain, and operate a high-level bridge across the canal at Balboa;

the costs of construction and of maintenance and operation to be

treated as extraordinary costs incurred through a directive based on

national policy and not related to the operations of the Company. An

appropriation of $750,000 for planning and engineering studies was made in fiscal year 1958. An additional appropriation of $19,250,000

for construction of the bridge became available on July 1, 1958.

3. Contingent and other liabilities. —The Company has outstanding,

at all times, contingent and continuing liabilities in indeterminable

amounts arising principally from monthly relief benefits payable to retired alien employees; benefits payable under provisions of the

Federal Employees Compensation Act; commitments for construction

work, supplies, and services; and pending suits and claims.

The relief payments to be made to retired alien employees in fiscal year 1959 are estimated at $1.9 million. Commitments under un- completed construction contracts and unfilled purchase orders

amounted to about $8.5 million at June 30, 1958. The maximum lia- bility which would result from outstanding claims and lawsuits is esti- mated to be about $3 million.

Public Law 85-550, approved July 25, 1958, bringing non-U.S.-

citizen employees under the civil service retirement s^^stem resulted

in a payment to the U.S. Civil Service Commission of about $4.9

million for retroactive costs to June 30, 1958. These costs will be

recorded as an adjustment of retained income.

The Company held at June 30, 1958, negotiable U.S. Government

securities in the face amount of $770,000, deposited by customers to guarantee payment of tolls and other charges and, on behalf of the

Canal Zone Government, securities in the face amount of $391,500

to guarantee payment of possible judgments rendered against insur- ance companies operating in the Canal Zone.
so FINANCIAL REPORT AND STATISTICAL DATA

Table 2.—Statement of Equity of U.S. Government, June 30, 1958

Net Direct Investment:

Capital stock in Panama Railroad Company $7,000,000

Valuation of net assets transferred from The Panama Canal

(agency) 402, 176, 883

Gross direct investment 409, 176, 883

Less dividends and other charges deductible from direct in- vestment:

Capital repayments to U.S. Treasury:

Prior to June 30, 1951 23,994,905

Subsequent to June 30, 1951 15, 000, 000

Appraised value of properties conveyed to the Republic

of Panama without reimbursement:

Dec. 16, 1943 11,759,956 Nov. 7, 1957 4, 820, 000

Property transfers, other U.S. Government agencies, net 1, 740, 370

Total deductions 57, 315, 231 Net direct investment 351, 861, 652

Retained Revenue:

Retained revenue at July 1, 1951 71, 136, 026 Net revenue subsequent to July 1, 1951 22, 812, 635 Extraordinary (charges) and credits to retained revenue: Net gain on sale of SS Panama 4, 272, 104

Excess of market over book value of properties transferred to Republic of Panama under 1955 treaty: Panama Canal Company properties 3, 955, 125 Canal Zone Government properties 372, 540

Provision for noncapital power conversion costs (4, 000, 000)

98, 548, 430

Less fund held by U.S. Treasury 10, 000, 000

Retained revenue 88, 548, 430

Panama Canal Bridge 750, 000

Equity OF United States Government. 441, 160,082

The accompanying "Notes Pertaining to Financial Statements" are an integral part of this statement.
PANAMA CANAL COMPANY SI Table 3.—Statement of Revenue and Expenses, Year Ended

June 30, 1958

Supporting Canal strme

operations operaticns Revenue: Total {table 4) (tabled) Canal tolls $41,843,525 $41,843,525

Credit for tolls on U.S. Govern- ment vessels 990,481 990,481

Sales of commodities 17,706,260 $17,706,260

Sales of services 19,970,846 3,694,093 16,276,753

Rental of quarters 2,599,497 2,599,497

Total revenue 83,110,609 46,528,099 36,582,510

Operating Expenses:

Direct expenses and interdivi- sional sales and services 56, 592, 645 19, 029, 933 37, 562, 712 Cost of commodities sold 13,361,199 13,361,199

Depreciation 5,140,134 2,030,610 3,109,524

Total operating expenses 75, 093, 978 21, 060, 543 54, 033, 435

Less interdivisional sales and

services 20, 871, 875 1, 332, 584 19, 539, 291 Net operating expenses 54, 222, 103 19, 727, 959 34, 494, 144 Operating Income 28, 888, 506 26, 800, 140 2, 088, 366

General Corporate Expenses:

Net cost of Canal Zone Govern- ment (table 3, Canal Zone Government financial state- ments) 10, 737, 194

Interest on net direct invest ment of the U.S. Government. 8, 778, 560

Administrative and other ex- penses (includes $122,202 depreciation) (table 6) Total general corporate ex- penses Net Revenue

The accompanying "Notes Pertaining to Financial Statements" are an integral part of this statement.

6,
52 FINANCIAL REPORT AND STATISTICAL DATA

Table 4.—Statement of Revenue and Operating Expenses, Canal Operations, Year Ended June 30, 1958

Revenue:

Canal tolls $41,843,52,5 Credit for tolls on U.S. Government vessels 990,481 Harbor pilotage, tug, launch, and other services 3,694,09^ Total revenue 46,528,09*

Direct expense and inter- divisional

sales and Depreci- Operatino Expenses: services ation Navigation services and control $6, 391, 727 $261, 070 Locks operation and maintenance 5, 717,016 1, 224, 798 Provision for periodic overhaul of locks 1,040,800 Dredging of channel and harbors 2,972,002 356,517 Amortization of cost of removing slide hazard 200,000 Meteorology and hydrography 383,188 8,724 Operation and maintenance of dams, reservoirs, and

spillways 81,710 115,573 Operation and maintenance of ferry across canal. . _ 522, 062 52, 297 Annuity to Republic of Panama (repayment to U.S. Treasury) 430,000 Damage to vessels 355,658 Other operating expenses 935,770 11,631 Total operating expenses 19,029,933 == 2,030,610 === $21,060,543 Less interdivisional sales and services 1,332,584 Net operating expenses-. - 19,727,959 Operating Income (table 3) 26,800,140
PANAMA CANAL COMPANY 53

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54 FINANCIAL REPORT AND STATISTICAL DATA

Table 6.—Administrative and Other General Expenses, Year Ended

June 30, 1958

Administrative Expenses Under Statutory Limitation:

Comptroller's office and staff $1, 901, 919

Personnel Bureau 526, 648

President's office and staff 507, 727

Administrative Branch 318, 262

Office of the Secretary 67, 624

Provision for General Accounting Office audit services 97, 329

Board of Directors' expenses 15, 846

Consultants and advisers 7, 734

Branch accounting offices 263, 898

Office of Marine Director 98, 851

Office of Engineering and Construction Director 118, 494

Office of Supply and Employee Service Director 71, 612

Office of Transportation and Terminals Director 47, 232

General and special engineering services 158, 404

Apprentice program 67, 810

Public services 76, 211 Maintenance of Company buildings 147, 024

Duplicating unit 72, 130

Alien cash relief 1, 867, 919

Employees' States travel 673, 806

Recruiting and repatriation ^ 200, 485

Death and disability compensation 88, 669

Provision for retroactive pay adjustment 146, 041 Leave liability variation 85, 365

Contribution to Federal employees' government life insurance.- 59, 232

Other miscellaneous expense 31, 833

Depreciation 99, 639

Total 7,817,744

Other General Expenses Not Under Statutory Limitation:

Branch Accounting Office 70, 715

Inventory reserve expense 170, 000

Noncapital losses resulting from treaty implementation 467, 427

Provision for retroactive pay adjustment 247, 986 Leave liability variation ' 70, 758

Other miscellaneous expenses (113, 306)

Depreciation 22, 563

Total 936, 143

Total administrative and other general expenses 8, 753, 887 Less Revenues and Other Credits: Revenues , 287, 835

Administrative expenses assessed to Canal Zone Government 750, 000

Distribution of alien cash relief 966, 554

Other transfers of costs 33, 128

Total revenues and other credits 2, 037, 517

Net Administrative and Other General Expenses (table 3) 6, 716, 370
PANAMA CANAL COMPANY SS Table 7.—Inventories, June 30, 1958

Materials and Supplies:

Storehouse Branch:

General materials and supplies $3, 793, 239

Petroleum products 167, 190 Scrap 213,237

In transit to isthmus 306, 329

4, 479, 995

Other divisions' stock: Dredging Division 99, 471 Commissary Branch 86, 570

Locks Division 104, 259

Railroad Division 186, 589

Construction and maintenance activities 162, 158 Water system 57, 557 Steamship line 67, 443

Industrial Division 36, 003

Terminals Division 96, 817

Motor Transportation Division 58, 992

Printing plants 3, 012

Electric power system 45, 937

1, 004, 808

Manufacturing and repair work in progress: Industrial Division 54, 755 Other units 228

54, 983

5, 539, 786

Less allowance for losses 1, 047, 906

Total materials and supplies 4, 491, 880

Merchandise Held for Sale:

Commissary Branch:

In warehouses and in stores 2, 648, 775

In transit to isthmus 590, 536

3,239,311

Service centers 162, 488

Tivoli Guest House 6, 798

Steamship line 4, 314

Total merchandise held for sale 3, 412, 911 Total Inventories (table 1) 7, 904, 791
FINANCIAL REPORT AND STATISTICAL DATA

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PANAMA CANAL COMPANY 57

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62 FINANCIAL REPORT AND STATISTICAL DATA

Table 9.—Comparative Statement of Financial Condition, June 30, 1958,

and June 30, 1957

Assets CURKENT Assets: June so, 1958 JuneS0,W67

Fund balances with U.S. Treasury and cash. _ $31, 354, 539 $29, 563, 328

Notes receivable 1,069,500 1,069,500 Accounts receivable 3,311,545 3,951,913

Inventories.. 7,904,791 7,928,134

Other 201,339 193,325

Total current assets 43,841,714 42,706,200

Long-Term Notes Receivable 2,139,000 3,208,500

Fixed Assets 598,198,791 595,959,366

Less allowances for depreciation 185, 562, 286 184, 459, 939 Fixed assets, net 412, 636, 505 411, 499, 427 Deferred Charges and Other Assets 4,044,907 4,148,849

462, 662, 126 461, 562, 976

Liabilities and equity Current Liabilities: Due U.S. Treasury 2,391,137 3,675,069

Other accounts payable 3,705,091 3,559,064

Accrued liabilities 9,297,106 8,061,388

Other 660,179 612,828

Total current liabilities 16,053,513 15,908,349

Periodic overhaul of canal locks 1, 448, 531 3, 204, 278

Noncapital power conversion costs 4, 000, 000

Total reserves 5,448,531 3,204,278

Equity of U.S. Government:

Net direct investment 351, 861, 652 356, 885, 966

Retained revenue 88, 548, 430 85, 564, 383

Panama Canal bridge 750, 000

Total equity 441,160,082 442,450,349

462, 662, 126 461, 562, 976
PANAMA CANAL COMPANY 63 Table 10.—Comparative Statement of Revenue and Expenses, Fiscal Years Ended June 30, 1958 and 1957

Fiscal year ended June SO Revenue: ^958 1967 Tolls from commercial vessels $41, 843, 525 $38, 513, 404

Tolls credits from U.S. Government vessels.. 990, 481 1, 140, 116 Other services to shipping 10, 054, 108 11, 120, 978

Sales of goods and services 30, 222, 495 35, 830, 557 83,110,609 86,605,055

Operating Expenses and Deductions:

Payroll and related costs 38,399,717 37,511,021

Material and other 3,498,469 3,233,909

Cost of goods sold 13,347,951 17,262,958

Depreciation 5,262,336 5,342,265

Reimbursement of annuity payments to Republic of Panama 430,000 430,000

Net cost of Canal Zone Government 10, 737, 194 10, 135, 514

Interest paid to U.S. Treasury. . . 8, 778, 560 8. 867, 932

80, 454, 227 82, 783, 599

Net Revenue 2,656,382 3,821,456

Table 11.—Statement of Changes in Equity of the U.S. Government,

Fiscal Year Ended June 30, 1958

Panama

Net direct investment Retained revenue Canal bridge Equity AT July 1, 1957 $356,885,966 $85,564,383

Add:

Net revenue for the year 2,656,382

Excess of market over book

value of properties transferred to Republic of Pan- ama under 1955 treaty: Panama Canal Company

properties 3,955,125

Canal Zone Government

properties 372, 540

Appropriation for preliminary

plans of Panama Canal

bridge $750,000

356, 885, 966 92, 548, 430 750, 000

Deduct:

Market value of company

properties transferred to Republic of Panama under

1955 treaty 4,820,000

Provision for noncapital power

conversion costs 4, 000, 000

Property transfers, other U.S. Government agencies, net_. 204,314

5, 024, 314 4, 000, 000

Equity AT June 30, 1958..- 351,861,652 88,548,430 750,000
64 FINANCIAL REPORT AND STATISTICAL DATA

Table 12.—Ocean Traffic Through Panama Canal, Fiscal Years 1948

Through 1958

Traffic assessed tolls Traffic assessed tolls on displacement

Total traffic on net tonnage basis tonnage basis Number Number Panama Number Displace

of Tons of of Canal net of ment

transits Tolls cargo transits tonnage transits tonnage Commercial ocean traffic 1948 4,678 $19,956,593 24,117.788 4,664 22,902,064 14 58,398

1949 - 4,793 20,541,230 25,305,158 4,771 23,473,236 22 110.584 1950 5,448 24.430,206 28,872,293 5,439 28,013,236 9 12,807

1951 5,593 23,906.082 30,073,022 5,572 27,180,425 21 54,639

19.52 6,524 26,922,532 33.610,509 6,500 30,674,302 24 107,732

1953 7,410 31,917,515 36,095,349 7,392 36,678,636 18 77,638

1954 7,784 33,247,864 39.095,067 7,758 38,027,812 26 130,810

1955 7,997 33.849,477 40,646,301 7,953 38,567.769 44 136, 9t7

1956 8,209 36,153,842 45,119,042 8,157 41,202,961 52 126,233

1957 8,579 38,444,128 49,702,200 8,540 43,628,210 39 155,056 1958 9,187 41,795,905 48,124,809 9,162 47,924,345 25 78,691 Government ocean traffic 1948 _. 508 1,755,134 1,520,569 305 1,551,293 203 857,077

1949 658 2,405,619 2,217,495 440 2,397,903 218 688,311 1950 443 1,918,785 1,429,283 355 2,095,270 88 281,542

1951 693 2,764,747 1,165,986 559 3,056,354 134 633,799

1952 774 3,383,900 3,237,311 659 3,665,302 115 521,625

1953 1,064 5,526,038 5,049,922 986 6,146,333 78 562,186

1954 800 3,862,015 2,708,380 699 4,254,839 101 670, .We

1955 296 1,190,367 838,305 227 1,184,135 69 341,199 1956 266 1,215,883 1,150,121 219 1,286,841 47 226,813

1957 269 1,117,467 922,173 199 1,086,564 70 392,671

1958 279 972,110 791,310 224 1,020,267 55 219,938

Total ocean traffic 1948 5,186 21,711,727 25,638,3,'i7 4,969 24,453,357 217 915,475

1949 5,451 22,946,749 27,522,653 5,211 25.871,139 240 798,895

1950 5.891 26,348,991 30,301,576 5,794 30,108,506 97 294,349

1951 6,286 26,670.829 31,239,008 6,131 39,236.779 155 688.438

1952 7,298 30.316,432 36,847,820 7,159 34,339,604 139 629.357

1953 8,474 37,443,553 41,145,271 8,378 42,824,969 96 639,824

1954 8,584 37,109,879 41,803,447 8,457 42,282,651 127 701,316

1955 8,293 35,039,844 41,484,606 8,180 39,751,904 113 478,186

1956 8,475 37,369,725 46,269,163 8,376 42,489,802 99 353.046

1957 8,848 39,561,595 50.624,373 8,739 44,714,774 109 547,726

1958 9,466 42,768,015 48,916,119 9,386 48,944,612 80 298,629 Note.—Tolls were not assessed apainst U.S. Government traffic prior to fiscal year 1952. Tolls indicated

for such trafflc for fiscal years 1948 through 1951 are statistical figures which show tolls value for this traffic at the prescribed rates.
PANAMA CANAL COMPANY €5 Table 13.—Traffic by Months, Fiscal Years 1957 and 1958

Number of Panawa Canal net

transits tonnage Tons of cargo ToUs

'1957- 68~ 1956-57 ' 1957-58 ' 1956-57' ' 1957-68 1 956-57

~

' 1957-68 1956-67

' July 788 669 4,223,721 3,478,317 4,441,267 3,871,143 $3,668,461 $3,053,909 August 812 653 4,129,989 3,274,098 4,334,306 3,576,284 3,598,726 2,888.019 September . . 771 646 4,042,303 3,259,743 3,934,700 3,558,799 3.503,564 2,861,467 October 813 699 4,236,814 3,510,842 4,304,833 3.877.761 3.679,870 3,083,296 November 779 654 4,056,520 3,258,887 3,994,320 3,743,298 3,522,149 2,876,098 December-- .. 774 751 4,038,677 3,879,894 4,057,864 4,607,944 3.520,572 3.419,669 January . 744 701 3,872,180 3,567,745 3,735,448 4,252,657 3,376,306 3,161,163 February 700 673 3,541,049 3,412,139 3,420,104 3,896,981 3,103,608 3,032,647 March 810 808 4,150.335 4,085,860 4,055,216 4,812.784 3,627,699 3,602,541 AprU 734 767 3,837,402 3,899,870 3,863,386 4,397,018 3,363,321 3.429,625 IM^y 752 783 4,022,827 4,038.927 4,072.316 4,585,965 3,526,528 3,S.'=,1.340 June" 710 775 3,772,528 3,961,888 3,911.049 4,521.566 3,305,101 3,484,354 Total 9,187 8,579 47,924,345 43,628,210 48,124,809 49,702,200 41,795,905 38,444,128 Average per month 766 715 3,993,695 3,635,684 4,010,401 4,141,850 3,482,992 3,203,677 Note.—The above includes only commercial vessels of 300 tons and over, Panama Canal measurement,

or of 500 displacement tons and over on vessels paying tolls on displacement tonnage basis.
66 FINANCIAL REPORT AND STATISTICAL DATA

Table 14.—Canal Traffic ^ by Nationality of Vessels

Measured tonnage

Nationality Argentine

Belgian

Brazilian

British Chilean Chinese Colombian

Costa Rican Cuban

Danish Dominican Republic Ecuadoran

Finnish French German

Greek Honduran

Irish Italian Japanese.- Korean (South) Liberian Mexican

Netherlands Nicaraguan

Norwegian Panamanian

Peruvian

Philippines Spanish

Soviet (U.S.S.R.) Swedish

Switzerland United States Venezuelan
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PANAMA CANAL COMPANY 69 Table 16.—Laden and Ballast Traffic by Nationality of Vessels, Fiscal Year 1958

Laden Ballast

Nationality Argentine

Belgian

BraaiJiaD..

British- Chilean

Chinese Colombian

Costa Rican... Danish Dominican RepubUc... Ecuadoran

Finnish... French .-. German

Greek Honduran

Irish Italian Japanese Korean (South) Liberian Mexican

Netherlands Nicaraguan.

Norwegian Panamanian ..- Peruvian

Philippines Spanish

Soviet (U.S.S.R.) Swedish

Switzerland- United States Venezuela

Total:

Fiscal year 1958. Fiscal year 1957. Fiscal year 1956.

Number

of transits

12

Panama

Canal net tonnage

5,341 6,979

1,052

78

53 2228

297

6, 745. 143 420,352

232, 058

663,450

27, 893

1, 390, 127 36

29

83

65697

156

1 169 659

1 637

1 16080

726 306

4823

22

3

1773

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1

107, 399

119, 859

522,394

2, 715, 282

532, 814

351,004 5,994

1, 019, 875

3, 784, 369 2,648

3, 818, 373

6,985

852, 119

198, 733

3, 733. 819

1, 256, 964

150. 117 130,580

102. 848

15, 198 927,600

18, 675

10. 414, 095 4,420

Tolls $4,807

6,281

Number

of transits

6, 070, 629

378, 317

208, 852

597, 105

25, 104 1,251,114

Panama

Canal net tonnage

96, 659

107, 873

470, 155

2, 443, 754

479, 533

315, 904 5,395

917, 887

3, 405, 932 2,383

3, 436, 536 6,286

766, 907

178, 860

3, 360, 437

1, 131. 268

135, 105

117, 522

92, 563

13, 678

834, 840

16, 807

9, 372, 685 3,978

7,546 40,283,507 36.255,156

7,332 ^,634,942 34,771,448

6,904 35,692,184 32,122,966

2

2

144

59

12

1

1 18119

12222

34

1 260

264

1

6,979

1,060

709, 358

70, 624

13, 357

16, 266 225,400

838 5,886

5,455

5,195

655, 163

97, 274

236, 916

119, 897

144, 672

5,340

1, 814, 663

78, 168

97, 267

1, 258, 702 4,420

ToUs

$5,025

763 510,738

50,849 9,617

11,712

162, 288

603 4,238 3,928

3,740

471, 717

70, 037

170, 580

86, 326

104,164 3.845

1, 306, 557 42
70 FINANCIAL REPORT AND STATISTICAL DATA

Table 17.—Frequency of Transits ' of

[Number of vessels making

Nationality
PANAMA CANAL COMPANY 71 Vessels Through Panama Canal

indicated number of transits] Total n 23 24 25 26 27 28 29 SO 31 32 33 Si 36 36 SS 39 iO 4I i$ 43 45 48 49 50 52 54 *'^«'P» ------------------ - 1 --.----..---- - - . 2 ------------------- 2

- - 1 1 ------- 1 -------.-..... . 480 ----------- ----- 16 --------------------- 16 -------..-------------..... 23 -------...-.-.--..-........ 6 --------------------- - 1 -.----.-_..---..--..--..... 79 --.---_-.--_-.-..--.--..... 1 ---.-.--------.-.--....... 6 ..----_....-..-_-.-.-...... 10 -----.---..---..-.---...... 26

1 1 1 - 2 1 .-_.-._. 1 --.-....... . 154 -----...----.---.-.---.._.. 55 --..-..... 1 ----.-.--.... 1 . . 31 ------_-_-_---.---.--....- 1 ---------..----------- 65 ..---.----.---..-----...-.. 222 ..---------._--.---.---.-.- 2

- . - 1 - . - 1 - ... 1 ---_--..-...- . 285 -...-.--.-._---.-----..--.- 1 ----- ...-.-.--.----..- 72 -----.----......--------.-. 6

1 --....... 1 --.--------..-. - 247

1 - 2 - ... 1 . 1 ......... 2 ...... . 103

14 ..------..-.........-...... 518 ........-----.---.......... 3 ---.-...-- - . 55 ..--.-.............._...... 3 2 1 2 2 1 ... 1 . 1 1 .--.-._---.--- . 365 ------....---.---.......... 2 526431.211321.1... .2.. ..1.. 2,378 61.221112. 12. 121.. 1.... 1.1. 2,444 73542. 1.11. .33. 11. ..1 1 2,150

Total
72 FINANCIAL REPORT AND STATISTICAL DATA

- -. ^ , - , , -cD-^OaiOCCCOOSO u^coooc^coccc<lc^oo5ooc^cOTf*oiO^*'<**^>^ooocnou^t^^^^c^I:^^-•^050i--^lococo

to T-i Tt< t>. 00 1^ to CO lo o CO lo t^ '^ CD CO lo t^ t* tp r- cc t> c^ CO uo Tj* CO CO ic ic »o OS r^ 00 1*

lONOOOO^OOCO^'^COQOcDCOCCiOOO^r^fQOCOC^'' < GO <*< ^ c^ c^ c^ r-. C^C000<NiO03C003C^(NOaiCr>iO-^":).-HOOr^05^'«»'CD--iCDO0lC0»OcDC^

oo cO'^coc^c^w»JOoocscooOTr'r^iocococ^t^oot^kOcoiccO'^-<j<c^-rj*(Ncocm"-

Oi t* -^^ 0000 coco TJH W5 C .-^J^t^COcOt^t^uOOOOt^C^cD^TjicDcOcDcDiC

IC05C0.—iCOU3C005CSPOO>C«5i-HC^CDcOOOOt— OiOCOOiOO'-t'iOOCOr^iOC^'-H v c^csr^coc^ooioc^ocsosooooO(M'-<'-'^-^oo--'r^ooor-oooa)coc^oo

CSi cOt^COTft(MOOO^t^COcOt^^l:^t^OOC<IOO'^iOC^COior^GO'-i-<jHiM(;DI>.(N<-i 00

lA
PANAMA CANAL COMPANY n

Table 19.—Principal Commodities Shipped Through Canal

[Thousands of long tons] Commodity Fiscal year 1968 1967 1966 1956 Atlantic to Pacific

Petroleum and products ' 5, 964 5, 242 5, 310 4, 306

Coal and coke 3,849 3,805 2,996 3,274

Iron and steel manufactures 1,922 2,835 2,131 1,792

Phosphates 1,257 1.523 1,257 1^043 Soybeans 814 698 746 568

Sugar 654 896 787 520

Ores, various 561 612 317 187

Metal, scrap 532 1,497 498 23

Chemicals, unclassified 482 316 271 233

Cotton, raw . 354 402 212 226 Paper and paper products 353 463 433 377

Metals, various 341 751 122 113 Corn 338 81 175 170

Sulfur 336 370 469 463

Machinery 334 342 301 285

Wheat 307 267 218 216

Automobiles and parts 283 304 260 268

Ammonium compounds 247 322 464 295

Flour, wheat 185 188 90 68

Fertilizers, unclassified 182 176 187 191 Canned food products 179 193 170 190

Tinplate 166 295 244 213

Asphalt 166 122 119 105 Cement 158 226 289 300

Liquors and wines 103 94 90 90

Potash 97 248 112 40

Glass and glassware 89 81 94 67

Electrical apparatus 83 77 83 75 Rice 81 273 164 28

Groceries, miscellaneous 76 58 53 59

Textiles 71 80 78 90

Agricultural implements 71 69 73 84

Asbestos 68 72 59 59

Coffee 67 71 80 34 Soda and sodium compounds 65 120 70 60

Salt 65 52 50 104

Slag 61 52 68 66 Woodpulp 58 69 70 64 Rubber, manufactures 53 51 44 26

Resin 51 56 46 42

Vegetable oils 46 53 37 35 Tobacco and manufactures 45 49 57 49

Railroad materials 42 127 100 61 Creosote 33 39 34 35

Pharmaceutical products 33 30 33 34

Grains, other and unclassified 32 47 53 115 Lumber 31 29 24 36 Wax. paraffin 30 29 44 34 Carbon black 27 35 26 27

Paints and varnishes 27 27 29 29 (Uav 26 37 38 27

Floor coverings 25 22 29 30

Food in refrigeration 2 25 14 19 14 Bricks and tile 22 34 32 30

Confectionery 20 16 19 20 Soap and soap products 20 14 16 12 Tallow 16 21 34 28

All others 1,220 1,358 1,362 1,389

Total, Atlantic to Pacific 22.843 25,430 21,286 18,419

• Excludes asphalt.

3 Excludes fresh fruit. 495687—59 6
74 FINANCIAL REPORT AND STATISTICAL DATA

Table 19.—Principal Commodities Shipped Through Canal—Continued

[Thousands of long tons] Commodity Fiscl year

Jyod mT

Pacific to Atlantic

1956

Ores, various 7, 560

Lumber 3, 323 Wheat 1, 986 Canned food products 1, 286 Bananas 1, 082

Sugar 1, 068

Nitrate of soda 1, 046

Metals, various 902 Petroleum and products i 746

Barley 711 Food in refrigeration ^ 630

Coffee 308

Woodpulp 281

Cotton, raw 260

Fruit, fresh (excluding bananas) 233

Oilseeds (including oilseed cake and meal) _ 225 Wool 224 Copra 211 Chemicals, unclassified 164

Fruit, dried 163

Iron and steel manufactures 153 Borax 148 Paper and paper products 130 Rice 126

Oils, vegetable 119 Rubber, crude 108

Metal, scrap 107 Whale oil 94

Fertilizers, unclassified 93

Beans, edible 91

Grains, other and unclassified 82 Phosphates 81

Seeds, except oilseeds 73

Textiles 70

Porcelainware 69

Coal 69 Wines 68 Molasses 59

Flour, wheat 57 Oats 53

Skins and hides 52 Machinery 45 Tallow 44

Peas, dry 42

Groceries, miscellaneous 36

Vegetables, dry 33 Cocoa and cacao beans 28 Rubber manufactures 26 Hemp, unmanufactured 20

All others 697

Total, Pacific to Atlantic 25, 282

* Excludes asphalt.

* Excludes fresh fruit.

6,401

900

2, 688

1, 311 870

1, 446

867

935 752 444

800

289 237

262

213

173 315 302

132

163

172

15996

119

134

118

817456

88

16 11159

85

69

1 40

57

81

115748

5759

29

2727

526 810

5, 137

3, 549

1,478

1,301 936

1, 425

1, 167 742

1,875

1,083

618

315

142 290

216

156 234

258

110

171 288

157

91 102

106

10440

48

4588

39

10835

8155 "'"62

27

10228

48

4149

24

22

28

22

720

763

4,087

3, 747

1,387

1,221

939

1,281

1,271 789

1,981

387

551 280

349

236

160

193 218

245

105 156 222

15089

93 202

122

10343

22

10237

1525650

46

1 6567

66

64

4754

3344

36

2430

217 605

24, 272 23, 833 22, 227
PANAMA CANAL COMPANY 75

u
76 FINANCIAL REPORT AND STATISTICAL DATA

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PANAMA CANAL COMPANY 77

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78 FINANCIAL REPORT AND STATISTICAL DATA

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PANAMA CANAL COMPANY 79

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FINANCIAL REPORT AND STATISTICAL DATA

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81 PANAMA CANAL COMPANY

Table 22.—Cargo Shipments by Trade Routes—Atlantic to Pacific

[Thousands of long tons] Fiscal year East Coast United States to— ^^^^ West coast United States 1, »«« West coast Canada t^v " "• i oo West coast Central America/Mexico- - - i»vi West coast South America 1,372 1,465 1,295 1,091

Ohile '^52 607 453 NA

Siombia::::::::::::: 241 m 307 na

Ecuador ^^ ^^ ,% g^

oSs::::::::::::::::::-- 14 24 28 na

Hawaiian Islands _ Oceania

170
S2 FINANCIAL REPORT AND STATISTICAL DATA

Table 22.—Cargo Shipments by Trade Routes—^Atlantic to Pacific

Con.

(Thousands of long tons]

Fiscal year East Coast Central America/ Mexico

TO

West coast Central America/ Mexico West coast United States

1968 1957 2 210 Oceania. 48 56

Australia New Zealand. 37

11 3719 Asia Other territories. Total. 56 68 East Coast South America to—

West coast United States West coast Canada

West coast Central America/Mexico.

West coast South America

Chile ColombiaEcuador. _ Peru

Oceania.

Australia. Others

1,711

4 132 948

484

277

29

158

113 113

Asia. 242 Japan.

.

Others. 219

23

1,340

5 120 774

583

46 "III

212

201

11 233

233

Balboa, C.Z. 80 70

Cristobal, Canal Zone to—

West coast Central America/ Mexico

West coast South America

Other territories Total W^EST Indies to—

West coast United States West coast Canada

West coast Central America/ Mexico West coast South America

1956 4104343

58

1,304

5 86 800

58170

3 14690

148 148

24

Total 3,230 2,754 2,457

Chile ColombiaEcuador..

Peru

Others

1955 112

NA

NA

18

233

278 463

NA

NA

NA

NA

HI

NA

NA

151 NA

NA

27

1,065

13

4
PANAMA CANAL COMPANY SS Table 22.—Cargo -Shipments by Trade Routes—Atlantic to Pacific—Con .

[Thousands of long tons]

West Indies to—

Balboa, C.Z_.-

Oceania.

19S8338

299

Australia

British OceaniaNew Zealand

Others

Asia.Indochina.

Japan

U.S.S.R-.

Others

18 536

22

15 Antarctica (whaling grounds) Total Europe to—

West coast United States West coast Canada

West coast Central America/ Mexico.

West coast South America

632

257

303

762

Chile
84 FINANCIAL REPORT AND STATISTICAL DATA

Table 22.—Cargo Shipments by Trade Routes—Atlantic to Pacific—Con.

[Thousands of long tons] Fiscal year Africa to ^^^* '^^'^ ^^^^ ^^^^ West coast United States 62 74 71 37

West coast Canada 2 2 3 4 West coast South America 16 2 32 33 Oceania 4 1 Asia 11 5 Total 91 87 106 75

Total cargo—Atlantic to Pacific 22,843 25,430 21,286 18,419

NA—Not available. Table 23.—Cargo Shipments by Trade Routes—Pacific to Atlantic

[Thousands of long tons] Fiscal year West Coast United States To— ^958 1957 1956 1955

East coast United States 2,770 2,480 3,956 3,505

East coast Canada 17 23 73 64

East coast Central America/Mexico 10 10 1 East coast South America 238 260 120 198

Brazil 113 142 21 NA

Colombia 14 13 16 NA

Venezuela 98 64 65 NA

Others 13 41 18 NA

Cristobal, C.Z 37 10 18 36 West Indies 388 428 328 711

British West Indies 17 10 13 NA

Cuba 99 83 113 NA

Netherland West Indies. ___ 71 121 4 NA

Puerto Rico 188 207 191 NA

Others.. 13 7 7 NA

Europe 1,535 2,175 2,099 1,456

British Isles 229 284 291 NA

Belgium 201 248 465 NA

Denmark 47 11 17 NA

France. 112 567 97 NA

Italy 108 140 60 NA

Irish Republic 18 36 13 NA

Netherlands 337 281 560 NA

Norway. 30 28 35 NA

Poland 17 NA

Sweden 53 49 42 NA

West Germany.. 243 230 196 NA

Others 140 301 323 NA

Asia _. 28 30 58 2

Israel 19 29 NA

Others 9 30 29 NA
PANAMA CANAL COMPANY

Table 23.—Cargo Shipments by Trade Routes

[Thousands of long tons]

West Coast United States To—

AfricaPortuguese East Africa Union of South Africa Others Total West Coast Canada To—

-

East coast United States East coast Canada

East coast South America

Venezuela

Others West Indies

British West Indies Puerto Rico

Others Europe

British Isles Belgium

France

Italy

Netherlands

Norway

U.S.S.R West Germany

Others

Asia

AfricaPortuguese East Africa Union of South Africa Others

Other territories Total West Coast Central America/Mexico

ToEast coast United States East coast Central America/Mexico

East coast South America

Cristobal, C.Z West Indies

-Pacific to Atlantic—Con.
86 FINANCIAL REPORT AND STATISTICAL DATA

Table 23.—Cargo Shipments by Trade Routes—Pacific to Atlantic—Con.

[Thj^bsands of long tons] Fiscal year West Coast Central America/Mexico • To— 1958 1957 1956 1955

Europe 165 165 243 143

British Isles 20 10 19 NA

Netherlands 26 16 35 NA

West Germany 92 99 122 NA

Others 27 40 67 NA

Other territories 6 Total 716 620 701 600

West Coast South America To

East coast United States 7, 292 5, 888 4, 897 4, 878

East coast Canada 1 1 10 9 East coast South America 60 97 68 55 Colombia 17 16 16 NA

Venezuela 41 14 21 NA

Others 2 67 31 NA

Cristobal, C.Z 7 41 12 9

West Indies 33 52 44 35

Cuba 23 19 22 NA

Others 10 33 22 NA

Europe 2,932 2,810 2,396 1,823

British Isles 439 450 428 NA

Belgium 201 262 248 NA

Denmark 27 36 47 NA

France 195 81 116 NA

Italy 78 104 109 NA

Netherlands 652 641 290 NA

Spain and Portugal 205 177 194 NA

Sweden 64 67 71 NA

West Germany 964 833 716 NA

Others 107 159 177 NA

Asia 68 10 141 20

Egypt 50 100 NA

Others 18 10 41 NA

Africa 10 3 83 Other territories 12 4 5 Total 10,405 8,913 7,576 6,912

Balboa, C.Z. To—

Cristobal, C.Z . 1 West Indies 3 2 Europe 3 7 10 3

Other territories 2 2 1 2

Total 8 12 11 5
PANAMA CANAL COMPANY

Table 23.—Cargo Shipments by Trade Routes—Pacific to

[Thousands of long tons]

Atlantic—Con.

Fiscal year Hawaiian Islands To— ^^^^ ^^^^

East coast United States 455 540

East coast Canada 9 Europe 52 51

British Isles 13 10 West GernaaDVu 17 11 Others 22 30 Other territories 1 1

Total 517 592

Oceania To

East coast United States - 351 329 East coast Canada 164 136 West Indies 33 38

British West Indies 31 36

Others 2 2 Europe 1,208 1,968

British Isles 1,028 1,533

Belgium 13 39 France 85 154 Netherlands 11 25 West Germany 21 58

Others 50 159 Other territories 3 2 Total 1,759 2,473

Asia ToEast coast United States 1, 832 2, 086

East coast Canada 28 East coaet South America 151 193 Argentine 19 33

Brazil 34 52 Colombia 43 52 Venezuela 47 45

Others 8 11

Cristobal, C.Z 29 30 West Indies 35 65 Europe 60 179

British Isles 28 86

Others 32 93

Africa 4 34

Total 2,111 2,615

ly66

653

1
88 FINANCIAL REPORT AND STATISTICAL DATA

Table 23.—Cargo Shipments by Trade Routes—Pacific to Atlantic—Con.

[Thousands of long tons]

-—

~

Fiscal year Antarctica (Whaling Grounds) To— 1958

East coast United States 8 Europe 74

Total 82 Total cargo—Pacific to Atlantic.

NA—Not available.

1957

34
PANAMA CANAL COMPANY 89 Table 24.—Important Commodity Shipments Over Principal Trade

Routes—Atlantic to Pacific—Continued

[Thousands of long tons] East Coast United States to West Coast , «-^ _

Central America/Mexico: ^^58 1957 1956 1965

Ammoniuin compounds 2 5 1 1 Chemicals, unclassified 15 14 20 22 Corn 37 72 7

Fertilizers, miscellaneous and unclassi- fied... 12 13 10 7

Iron and steel manufactures 13 19 10 9 Lime 5 9 10 13 Petroleum and products:

Gasoline 4 5 5 1 Lubricating oil 4 3 5 3 Other and unclassified 2 11 1 Wheat.. 29 13 4 2

All other and unclassified 60 54 67 71 Total 183 146 204 137 East Coast United States to West Coast

South America:

Agricultural implements 18 19 20 20

Ammonium compounds 32 17 13 9 Asphalt 12 6 34 24 Automobiles and parts 46 64 58 73 Barley 4 12 Bricks and tile 7 11 15 12 Canned food products 24 21 34 31 Chemicals, unclassified 34 28 29 28

Coal 164 214 159 168

Corn 38 9 3 1 Cotton, raw. 10 17 5 6

Electrical equipment 8 9 11 9

Fertilizers, miscellaneous and unclassified 3 9 7 13 Flour... 56 48 44 37

Grains, unclassified 6 10 8 7

Iron and steel manufactures 141 157 124 96

Lumber

Machinery 69

2 79

8 7313

54

Oilseeds and products 2 7 9 5 Paper and paper products 20 24 26 22 Petroleum and products:

Fuel-diesel oil 21 Gasoline 65 72 64 44

Lubricating oil 60 55 64 45 Other and unclassified 3 3 5 5 Phosphates 27 16 13 4

Pulpwood 17 4 9 7

Railroad materials 4 34 1 Rice 38 1 12 3 Rubber, manufactured 8 7 10 7 Soda and sodium compounds 18 9 11 4 Soyabeans 7 Tallow 7 6 13 10 Tinplate 15 17 22 14 Vegetable oils, miscellaneous 8 32 10 9 Wax, paraffin 17 16 22 22 Wheat 190 254 178 92

All other and unclassified 178 163 189 206

Total 1,372 1,465 1,295 1,091

495687—59-
90 FINANCIAL REPORT AND STATISTICAL DATA

Table 24.—Important Commodity Shipments Over Principal Trade

Routes—Atlantic to Pacific—Continued

[Thousands of long tons] _ ^ ^^ „ TT Fiscal year East Coast United States to Hawaiian , -—

_

. Islands: 1958 1957 1956 1955

Automobiles and parts 4 4 5 8

Chemicals, unclassified 5 6 4 5

Fertilizers, miscellaneous and unclassified 2 5 10 7 Iron and steel manufactures 30 37 28 33 Machinery 5 5 3 6 Paper and paper products 11 11 13 14 Phosphate 5 17 3 1 Soyabeans 7 5 4 3 Tinplate 39 57 81 46

All other and unclassified 62 79 63 87

Total 170 226 214 210

East Coast United States to Oceania:

Agricultural implements 22 17 29 27 Automobiles and parts 12 17 26 26 Carbon black 10 11 13 16

Chemicals, unclassified 8 9 8

' 7 Clay 7 6 8 6 Coke 71 23 28

Cotton, raw 18 19 11 12 Iron and steel manufactures 20 17 33 36 Machinery 23 21 23 26 Petroleum and products:

Fuel-diesel oil 1 6 22 3 Gasohne 7 29 36 74

Lubricating oil 111 104 119 120 Other and unclassified 3 7 7 10 Potash 11 13 19 7 Rosin 10 11 12 9 Rubber, manufactured 19 13 10 2

Sulfur 190 171 260 296

Tinplate 6 22 18 39 Tobacco and manufactures 21 20 21 22

All other and unclassified 72 60 53 50

Total 571 644 751 816

East Coast United States to Asia:

Agricultural implements 5 6 4 3 Ammonium compounds 87 194 346 182 Asphalt 28 7 15 9 Automobiles and parts 31 41 34 34

Barley 1 37

Bricks and tile 4 8 3 5 Canned food products 81 86 50 58

Carbon black 13 20 11 9 Clay 7 15 11 5 Chemicals, unclassified 63 54 31 23

Coal and coke 3,676 3,514 2,802 3,030

Corn 239 49 95 156

Cotton, raw 306 341 178 186

Electrical equipment 7 9 15 7

Fertilizers, miscellaneous and unclassified 14 42 37 33

Flour 119 129 38 20

Grains, miscellaneous and unclassified. 6 15 29 87

Groceries, unclassified 19 16 8 5
PANAMA CANAL COMPANY n

Table 24.—Important Commodity Shipments Over Principal Trade

Routes—Atlantic to Pacific

Continued

[Thousands of long tons]

East Coast United States to Asia—Con.

Iron and steel manufactures

Lumber

Machinery

Metal, scrap

Metals, various

Oilseeds Paints Paper and paper products

Petroleum and products:

Fuel-diesel oil Gasoline

Lubricating oil Other and unclassified Pulpwood

Phosphates

Potash

Railroad materials Rice

Rosin

Rubber, manufactured

Soda and sodium compounds

Soybeans

Sugar

Sulfur Tallow

Textiles Tinplate

Tobacco and manufactures

Wheat

AH other and unclassified Total __ -_ .-- East Coast United States to Balboa,

C.Z. (No single outstanding commodity

in this trade route.) East Coast Canada to West Coast

United States:

Ores, various

All other and unclassified Total East Coast Canada to West Coast

Canada:

Chemicals, unclassified Iron and steel manufactures

Ore, bauxite

All other and unclassified Total East Coast Canada to West Coast South

America:

Wheat

All other and unclassified Total
92 FINANCIAL REPORT AND STATISTICAL DATA
PANAMA CANAL COMPANY 93 Table 24.—Important Commodity Shipments Over Principal

Routes—Atlantic to Pacific—Continued

[Tbousands ol long tons]

Trade

East Coast South America to Coast Central America/ Mexico

Asphalt

Cement

Petroleum and products:

Crude oil Fuel-diesel oil --
94 FINANCIAL REPORT AND STATISTICAL DATA

Table 24.—Important Commodity Shipments Over Principal Trade

Routes—Atlantic to Pacific—Continued

[Thousands of long tons] East Coast South America to C Z

•
95 PANAMA CANAL COMPANY

Table 24.—Important Commodity Shipments Over Principal Trade

Routes—Atlantic to Pacific—Continued

[Thousands of long tons] West Indies to Balboa, C.Z.; Petroleum and products:

Fuel-diesel oil Gasoline Kerosene

Lubricating oil Other and unclassified.

All other and unclassified-

_
96 FINANCIAL REPORT AND STATISTICAL DATA

Table 24.—Important Commodity Shipments Over Principal Trade

Routes—Atlantic to Pacific—Continued

[Thousands of long tons]

Europe to West Coast Canada:

Asphalt

Automobiles and parts

Chemicals, unclassified Clay

Creosote

Glass and glassware

Iron and steel manufactures

Liquors and wines

Machinery

Metal, copper

All other and unclassified Total . Europe to West Coast Central America/Mexico:

Ammonium compounds

Canned food products

Cement

Chemicals, unclassified

Fertilizers, miscellaneous and unclassified Iron and steel manufactures

Paper and paper products

Phosphates

All other and unclassified Total __ Europe to West Coast South America:

Agricultural implements

Ammonium compounds

Automobiles and parts

Canned food products

Cement

Chemicals, unclassified

Electrical equipment

Fertilizers, miscellaneous and unclassified Glass and glassware

Grains, unclassified Groceries, unclassified Iron and steel manufactures

Machinery

Metal, iron

Oils, vegetable

Paper and paper products

Phosphates

Potash

Railroad materials Soda and sodium compounds

Textiles Wax, paraffin

Woodpulp

All other and unclassified Total
PANAMA CANAL COMPANY 97 Table 24.—Important Commodity Shipments Over Principal Trade

Routes—Atlantic to Pacific—Continued

[Thousands of long tons] Fiscal year Europe to Hawaiian Islands:

Ammonium compounds

Fertilizers, miscellaneous and unclassified All other and unclassified

1958 1957

11

1 Total. Europe to Oceania:

Agricultural implements

Asphalt

Ammonium compounds

- Automobiles and parts

Cement

Chemicals, unclassified Coke

Electrical equipment

Fertilizers, miscellaneous and unclassified Floor coverings Glass and glassware

Iron and steel manufactures

Liquors and wines

IVl achinery

Metal, iron Paper and paper products

Petroleum and products:

Fuel-diesel oil Gasoline

Lubricating oil Other and unclassified Potash

Railroad materials

Salt Slag

Soda and sodium compounds

Textiles Tinplate

Vegetable oils Woodpulp

All other and unclassified Total

12

14

16

35330

43

Europe to Asia: Ammonium compounds

Chemicals, unclassified Iron and steel manufactures. Machinery

Metal, iron Metal, scrap Phosphates

Potash

Soda

Sugar

All other and unclassified

13

6

716 229

20

50

838

16

222

330

42

8

18

27

5

6 272

997

10

1

11

1956

11

1 12

13
98 FINANCIAL REPORT AND STATISTICAL DATA

Table 24.—Important Commodity Shipments Over Principal Trade

Routes—Atlantic to Pacific—-Continued

Thousands of long tons] Fiscal year Asia to West Coast United States: ^958 1957 1956 1955

Ores, copper -. 21 51 20 Petroleum and products: Crude oil 75 26 133 111

All other and unclassified 8 5 7 5 Total 104 82 160 116 Africa to West Coast United States:

Asbestos 8 8 6 5

Coffee 14 12 10 4

Ore, chrome 30 49 39 16

All other and unclassified 10 5 16 12 Total 62 74 71 37 Africa to West Coast South America:

Cotton, raw 1 Phosphates 16 2 32 32

Total- 16 2 32 33

Table 25.—important Commodity Shipments Over Principal Trade

Routes—Pacific to Atlantic

[Thousands of long tons] Fiscal year West Coast United States to East

Coast United States: 1958 1957 1956 1956 Beans 10 9 8 15 Borax 4 4 3 4 Canned food products 481 479 540 534

Chemicals, unclassified 125 79 61 54

Fruit, dried 58 56 62 72

Groceries, unclassified 7 3 3 8

Iron and steel manufactures 3 12 14 8 Lumber 1,285 1,382 1,610 1,387

IVIachinery 2 7 4 9

IVletals: Lead 5 4 17 19 Other and unclassified 13 7 3 4

Ores:Magnesite 10 11 10 5 Other and unclassified 1 1 15 2 Paper and paper products 48 47 39 37 Petroleum and products:

Crude oil 79 _ 47 79

Fuel-diesel oil 201 18 1,138 858

Gasoline 19 11 6 7 Lubricating oil 61 55 57 79 Other and unclassified 99 106 121 66

Rice 11 9 5 7

Seeds, except oilseeds 12 9 10 12 Vegetable oils 12 1 13 Wines 59 33 50 52

Woodpulp 96 72 62 84

Wool 2 4 3 4

All other and unclassified 67 62 67 86

Total 2,770 2,480 3,956 3,505
PANAMA CANAL COMPANY 99 Table 25.- -Important Commodity Shipments Over Principal Trade

Routes—Pacific to Atlantic

Continued

[Thousands of long tons ] West Coast United States to East

Coast Canada:

Canned food products

Lumber

Petroleum and products: Fuel-diesel

oil All other and unclassified Total West Coast United States to East

Coast South America:

Borax Canned food products

Chemicals, unclassified Iron and steel manufactures

Lumber

Machinery

Paper and paper products

Peas, dry

Petroleum and products: Lubricating

oil Soda and sodium compounds

Wheat

Woodpulp

All other and unclassified Total West Coast United States to Cristobal,

C.Z.: Petroleum and products: Fuel-diesel

oil All other and unclassified Total

1968

West Coast United States to

Indies:

Beans, edible Canned food products

Flour

Iron and steel manufactures

Lumber

Paper and paper products

Petroleum and products:

Fuel-diesel oil Gasoline Kerosene

Other and unclassified Rice

Vegetables, dry

Wheat

All other and unclassified

West

Total.

17

238

23

1437

37

91

73

161468

4

86

1151 388

Fiscal year 1957

17

3

23

260

10

10

59

35

24

1 94

536 428

1956

10

656

1 73

120

18

680

8

639 328

1955

52

364

2
100 FINANCIAL REPORT AND STATISTICAL DATA

Table 25.—Important Commodity Shipments Over Principal Trade

Routes—Pacific to Atlantic—Continued

[Thousands of long tons] Fiscal year West Coast United States to Europe: i555 1957 1956 1956

Barlev 309 66 911 146

Beans, edible 3 13 3 18 Borax 139 145 147 139 Canned food products 139 117 111 73

Chemicals, unclassified 9 10 6 10 Corn 1 108 22

Cotton, raw 103 116 71 118

Flour 16 19 14 16

Fruit, dried 78 83 84 59

Fruit, fresh 147 126 147 93

Grains, unclassified 11 2 15 10 Honey 5 4 4 6

Infusorial earth 15 16 7 Iron and steel manufactures 16 4 7 1 Lumber 101 125 109 95 Machinery 8 3 6 5 Metals:

Chopper 26 27 47 49

Other and unclassified 13 7 6 6 Metal, scrap 80 29 3 81 Oats 27 7 23 3

Oilseeds 1 8 27 82

Ores, various 10 12 22 12

Peas, dry 15 22 1 24 Petroleum and products: Fuel-diesel

oil 28 107 107

Seeds, except oilseeds 14 15 10 15 Skins and hides 8 6 3 6 Tallow 4 11 6 4

Vegetable oils 1 9 1 93 Wheat 54 946 62 41 Woodpulp 62 34 28 55

All other and unclassified 102 85 89 89

Total 1,535 2,175 2,099 1,456

West Coast United States to Asia:

Barley 19 28

Wheat 29 25

All other and unclassified 9 15 2

Total 28 30 58 2 West Coast United States to Africa:

Iron and steel manufactures 3 3 8.1

Lumber 48 27 60 135 Paper and paper products 9 3 7 8

Wheat 8 40 1 All other and unclassified 16 23 31 36

Total 84 96 107 180
PANAMA CANAL COMPANY un

Table 25.—Important Commodity Shipments Over Principal Trade

Routes—Pacific to Atlantic—Continued

[Thousands of long tonsl West Coast Canada to East Coast

United States: Lumber

Paper and paper products

Woodpulp

All other and unclassified

Fiscal year 1958

459

915

1957

297

1956

392

Total. West Coast Canada to East Coast

Canada:

Canned food products

Lumber

Petroleum and products: Gasoline

All other and unclassified Total

483 305

12 "2

14

Total. 110 73 West Coast Canada to Europe:

Asbestos

Barley

Canned food products

Flour

Fruit, fresh Grains, unclassified Lumber

Metals

:

Aluminum

Lead

Zinc Other and unclassified..

.

Oats

Oilseeds Ores:Iron Magnesite

Other and unclassified..

_

Paper and paper products

Wheat

Woodpulp

All other and unclassified

400

1 1160

476

85

Total 3,591 2,736 2,009

1955

461

11

114 477

4

1377

1 95

West Coast Canada to East Coast
iin FINANCIAL REPORT AND STATISTICAL DATA

Table 25.—Important Commodity Shipments Over Principal Trade

Routes—Pacific to Atlantic—Continued

[Thousands of long tons]

West Coast Canada to Asia: Wheat

All other and unclassified Total West Coast Canada to Africa:

Lumber

Machinery

Wheat

All other and unclassified Total West Coast Central America/Mexico

TO East Coast United States: Bananas

Coffee Lumber

Ores:Iron ^ Manganese

Sugar

All other and unclassified Total West Coast Central America/Mexico to East Coast Central America/Mexico:

Wheat

All other and unclassified Total -- West Coast Central America/Mexico to East Coast South America. (No single

outstanding commodity in this trade

route.) West Coast Central America/Mexico to

Cristobal, C.Z.: Coffee Cotton, raw Lumber

Oilseeds

All other and unclassified Total West Coast Central America/ Mexico

TO West Indies:

Beans, edible Peas, dry

All other and unclassified Total
PANAMA CANAL COMPANY 103 Table 25.—Important Commodity Shipments Over Principal Trade

Routes—Pacific to Atlantic—Continued

[Thousands of long tons] West Coast Centrajl, America/Mexico
104 FINANCIAL REPORT AND STATISTICAL DATA
PANAMA CANAL COMPANY 105 Table 25.- Intportant Commodity Shipments Over PrincipaB Trade

Routes—Pacific to Atlantic—Continued

[Thousands of long tons] West Coast South America to Europe—

Continued

Peas, dry

Petroleum and products:

Crude oil Fuei-diesel oil Rice

Sugar

Sulfur Vegetables, dry

W'ities Wool

All other and unclassified Total

West Coast South America to Asia:

Petroleum and products: Fuel-diesel

oil Nitrate of soda

Sugar

Total

1958

124

1 62

13

24 124

58

1068

Fiscal year

1.95 1956

11

1010 Balboa, C.Z., to West Indies. (No single

outstanding commodity in this trade

route.) Balboa, C.Z., to Europe. (No single out- standing commodity in this trade route.) Hawaiian Islands to East Coast United

States: Canned fruit -_._ 311 294

Metal, scrap 4 5 Molasses 16 Sugar 112 226

All other and unclassified 12 15 Total 455 540

Hawaiian Islands to Canada: Canned

fruit 9 Hawaiian Islands to Europe:

Canned fruit 37 36

All other and unclassified 15 15 Total 52 51 Oceania to East Coast United States: Dairy products, refrigerated 10 9 Meats, refrigerated 43 8

Metals:

Iron 2 Lead 65 83 Other and unclassified 3 10 Ores:Chrome 67 34 Manganese 28 11 Zinc

Other and unclassified 55 45

15 110

16

141

19

1955

239
106 FINANCIAL REPORT AND STATISTICAL DATA

Table 25.—Important Commodity Shipments Over Principal

Routes—Pacific to Atlantic—Continued

[Thousands of long tons] Fiscal year Oceania to East Coast United States—

Continued

Sand

Skins and hides Wool

All other and unclassified Total

Oceania to East Coast Canada:

Fruit, dried Meats, refrigerated

Sugar

Wool

All other and unclassified Total Oceania to West Indies:

Canned food products

Flour Meats, refrigerated

All other and unclassified Total Oceania to Europe:

Barley

Canned food products

Copra

Dairy products, refrigerated

Fruit, fresh Meats, refrigerated Metals: Lead

Zinc

Other and unclassified Metal, scrap

Ores:Chrome

Zinc

Other and unclassified Peas, dry

Phosphates

Seeds, except oilseeds Skins and hides Sugar

Tallow

Vegetable oil, coconut Wheat

Wool

All other and unclassified Total 1, 208

Trade

1958
PANAMA CANAL COMPANY 107 Table 25.—Important Commodity Shipments Over Principal Trade

Routes—Pacific to Atlantic—Continued

[Thousands of long tons] Fiscal year Asia TO East Coast United States: ^958 1957 1956 1955

Canned food products 70 94 72 50

Chemicals, unclassified 6 5 5 8 Copra 41 69 82 89

Fibers, miscellaneous and unclassified. 5 6 5 3

Fish, refrigerated 7 7 6 5

Groceries, unclassified 9 10 6 8 Hemp, unmanufactured 19 23 20 16 Iron and steel manufactures 39 19 46 41 Lumber 118 118 137 85 Machinery 12 8 12 9 Metal, scrap 1 Metals, various 18 20 13 9 Molasses — 16 Ores

:

Chrome 305 417 512 325

Iron __ 2 12 33 23 Manganese 48 43 49 27 Tin 6 3 9 7 Other and unclassified 10 3 7 4 Porcelainware 60 55 48 40

Rubber, crude 106 115 102 120 Sugar 577 697 791 714

Textiles 49 35 51 33 Vegetable oils: Coconut 71 84 68 63 Other and unclassified 3 2 2 2

All other and unclassified 251 241 205 181

Total. 1,832 2,086 2,281 1,879

Asia to East Coast South America:

Chemicals, unclassified 4 3 2 6 Copra 76 75 75 75

Iron and steel manufactures 53 55 158 134 Machinery 6 4 3 4

Metal, iron 17 7 Tinplate 8 15 6

All other and unclassified 4 41 45 21 Total 151 193 306 247 Asia to Cristobal, Canal Zone.

single outstanding commodity in trade route.) Asia to West Indies:

Iron and steel manufactures
108 FINANCIAL REPORT AND STATISTICAL DATA

Table 25.—Important Commodity Shipments Over Principal Trade

Routes—Pacific to Atlantic—Continued

[Thousands of long tons]
PANAMA CANAL COMPANY 109 Table 26.—Small Vessels ^ Transiting Canal

Fiscal year 1958

. — Fiscal Commercial (tolls paying) : Atlantic Pacific to year Number of transits: io Pacific Atlantic Total 1957

Assessed on net tonnage 418 332 750 899

Assessed on displacement ton- nage 9 Total transits. 418 332 750 908

Panama Canal net tonnage 30,405 28,509 58,914 83,475

Displacement tonnage 3,135

Tolls $23,379 $24,240 $47,619 $69,4(58

Cargo (long tons) 6,503 12,207 18,710 25,295

Government (tolls credit)

:

Number of transits: Assessed on net tonnage 86 124 210 222

Assessed on displacement ton- nage. 61 66 127 159

Total transits 147 190 337 381 Panama Canal net tonnage 7,116 8,815 15,931 19,992

Displacement tonnage 5,718 4,597 10,315 10,926

Tolls $8,916 $9,456 $18,372 $22,649

Cargo (long tons) 167 Combined commercial/Government:

Number of transits: Assessed on net tonnage 504 456 960 1, 121 Assessed on displacement ton- nage _ 61 66 127 168

Total transits 565 522 1,087 1,289

Panama Canal net tonnage. -. 37,521 37,324 74,845 103,467

Displacement tonnage 5,718 4,597 10,315 14,061

Tolls collected or credited $32,295 $33,696 $65,991 $92,117

Cargo (long tons) 6,503 12,207 18,710 25,462

* Includes vessels under 300 net tons, Panama Canal measurement (or under

500 displacement tons for vessels assessed on displacement tonnage). This

traffic is not included in any of the summaries of oceangoing traffic.
UQ FINANCIAL REPORT AND STATISTICAL DATA

Table 27.—Water Supply and Expenditures

Percent of expenditures

Fiscal year fiscal year 1958 1957 1958 1957

Madden and Gatun LakeWater Supply: {Acre-feet) Total runoff Madden Lake basin.... 1,602,546 1,802,136

Evaporation from Madden Lake 48,828 51,194 . Available for Madden Lake uses.. 1,553,718 1,750,942

Total runoff, Gatun Lake (area below

Madden) 2,267,906 2,781,198

Subtotal 3,821,624 4,532,140

Evaporation from Gatun Lake 439,301 456,818

Available for Gatun Lake uses .... 3, 382, 323 4, 075, 322

Madden Lake Water Expenditures:

Madden hydroelectric power 1,166,528 1,357,966 83 65 Madden spillway discharge 127,709 736,869 17 35

Total Madden Lake expenditures. 1, 294, 237 2, 094, 835 100 100 Madden Lake volume 459,435 214,509

Gain or loss in storage +244,926 —343,893

Gatun Lake Water Expenditures:

Gatun hydroelectric power 1,459,344 1,215,725 49 26 Gatun and Pedro Miguel lockages.- 1,462,925 1,384,895 49 29 Municipal and other uses 55, 303 55, 440 1 1

Subtotal, Gatun uses 2,977,572 2,656,060 99 56 Gatun spillway discharge 90,817 2,082,553 1 44

Total Gatun Lake expenditures... 3, 068, 389 4, 738, 613 100 100 Net annual runoff, Gatun Lake basin 3, 382, 323 4, 075, 322

Gatun Lake volume 3,975,459 3,906,451

Gain or loss in storage +69,008 -319,398 _ Table 28.—Dredging Operations

Cubic yards Location Earth Rock Total Canal Prism Dredging: ^WW

Atlantic entrance maintenance 599,400 153,300 752,700

Gatun Lake maintenance 997, 000 30, 000 1, 027, 000

Gaillard Cut maintenance 73,600 89,100 162,700

Pacific entrance maintenance 89,200 75,500 164,700

Total, Canal prism 1, 759, 200 347, 900 2, 107, 100 Auxiliary and Construction Dredging:

Cristobal outer harbor, west anchorage.. 2,781,200 2,781,200

Project No. 14 (bend 1868), Gaillard Cut. 14,500 253,900 268,400

East diversion, Mindi River 84, 000 84, 000

Total, auxiliary and construction 2, 879, 700 253, 900 3, 133, 600

Grand total: Fiscal year 1958.... 4,638,900 601,800 5,240,700

Fiscal year 1957 4,707,100 303,500 5,010,600
PANAMA CANAL COMPANY Ul

Table 29.—Electric Power Generated

Fiscal year 1968 1957

Gross power generated: {Kilowatt-Hours)

Gatun hydro station 84,021,200 71,371,900

Madden hydro station 125, 151, 500 163, 860, 500

Diesel stations 41,004,380 19,742,700

Total generated 250,177,080 254,975,100

Consumed in station service 3, 440, 674 2,971,379

Net generator output 246,736,406 252,003,721

Distributed to consumers 222, 640, 477 229, 108, 926

System losses: Kilowatt-hours 27, 536, 603 25, 866, 174

Percent 11-1 10.1 Peak load (kilowatts) 44, 100 43, 600 Date - Dec. 3,1957 Sept. 7,1956

System load factor (percent) 64. 8 66. 8

Table 30.—Number of Full-Time Employees Paid at U.S. Rates

As of—

June

Administration and General:

President's office Office of the secretary

Comptroller's office and staff Administrative Branch

Personnel Bureau

Subtotal, administration and general

Operating Organizations:

Canal and allied Maritime operations:

Marine Director Locks

Locks overhaul Navigation

Ferry service Vessel repairs

Dredging

Meteorology and hydrography

Harbor terminals Marine bunkering

Hotel Washington

Subtotal, canal and allied maritime operations

June SO,
112 FINANCIAL REPORT AND STATISTICAL DATA

Table 30.—Number of Full-Time Employees Paid at U.S. Rates

Continued

As of—

Operating Organizations:—Continued June 30, June 30, Supporting operations: 1968 1957

Printing plant 11 9 Duplicating unit 2 Engineering and Construction Director 13 11 Power conversion project 16 10 Engineer and design services 95 88

Contract and inspection 17 19

Electrical work 124 124 Power system 65 65 Communications system 39 37 Maintenance work 120 121 Water system 53 51 Supply and Community Services Director 7 Supply and Employee Services Director 5 Supply Division, General Manager 31 Procurement, United States 34

Retail stores 75 95

Service centers 21 26

Storehouses 18 27 Employee housing 16 17 Grounds branch 13 Grounds maintenance 13 Public buildings 1 Buildings 1 Tivoli Guest House 3 3 Transportation and Terminals Director 4 4

Freight agent, Panama 4 5 Railroad

:

Maintenance 33 31 Transportation 34 38 Motor transportation 62 61 General Manager, New York Operations 42 40

Procurement, United States 35 Steamship line 300 300

Subtotal, supporting operations 1,251 1,238

Total Panama Canal Company (Canal

Zone) 2,373 2,316

Total Panama Canal Company (United

States) 382 381 Grand total Panama Canal Company 2, 755 2, 697
PANAMA CANAL COMPANY 113 Table 31.—Number of Full-Time Employees Paid at Canal Zone Wage

Rates ^g ,,f_ June 3 Administration and General:

Pre?:ident's office Office of secretary

Comptroller's office and staff Administrative Branch

Personnel Bureau

Subtotal, administration and general

Operating Organizations:

Canal and allied maritime operations:

Marine Director Locks

Locks overhaul Navigation

Ferry service Vessel repairs

Dredging

Meteorology and hydrography

Harbor terminals Marine bunkering

Hotel Washington

Subtotal, canal and allied maritime operations Supporting Operations:

Printing plant

Duplicating unit Engineering and Construction Director

Power conversion project

Engineering and designs services Contract and inspection

Electrical work

Power system

Communications system

Maintenance work

Water system

Supply and Community Services Director

Supply and Employee Services Director Supply Division, General Manager

Procurement, United States

Retail stores Service centers Storehouses Employee housing

Grounds Branch

Grounds maintenance

Public buildings

Buildings

Tivoli Guest House

June SO,
Hi FINANCIAL REPORT AND STATISTICAL DATA

Table 31.—Number of Full-Time Employees Paid at Canal Zone Wage

Rates—Continued

As of—

June t Operating Organizations—Continued

Transportation and Terminals Director

Freight agent, Panama

Railroad: Maintenan ce Transportation

Motor transportation

Steamship line Subtotal, supporting operations Total Panama Canal Company (Canal Zone)

Total Panama Canal Company (United-

_

States) Grand total Panama Canal Company 8, 391 8, 154

June SO, 1968
CANAL ZONE GOVERNJ^IENT

Balboa Heights, C.Z. OFFICE OF THE GOVERNOR

January 6, 1959

The Honorable The Secretary'of'the Army,

Washington, D.C.

My Dear Mr. Secretary: I have^the honor to submit

the seventh annual report of the Governor of the Canal

Zone reviewing the fiscal year ended June 30, 1958.

Very respectfully,

W. E. Potter,

Governor.

us

^7^{}y^ocluciiiic'n

CANAL ZONE GOVERNMENT

The Canal Zone Government is an independent agency of tha

executive brancli of the Government, directly under tlie President of

the United States, but by the delegation [of responsibility] the Secretary of the Army represents the President in the supervision of Canal

Zone Government affairs. Administrative and executive authority is vested in a Governor who is also ex officio President of the Panama

Canal Company. The Governor is appointed by the President of the

United States with the approval of the Senate.

The Canal Zone Government includes the usual functions of government and public health, including civil affairs, schools, libraries,

postal service, magistrates' courts, police and fire protection, hospitals

and other health services, and highways and sewers. The Panama Canal Company, with which the Canal Zone Government is closely interrelated in purposes, organization, and operations,

provides administrative, accounting, and personnel management and

other services to the Canal Zone Government on a reimbursable basis. ORGANIZATIONAL CHANGES

There were no major organizational changes during the year;

however, effective July 1,1957, the Land License Unit and License

Section were merged into one organizational unit, the License Section.

MAJOR PERSONNEL CHANGES

Maj. Bruno Eisen (USA) (MC) was reassigned to Superintendent,

Coco Solo Hospital, effective August 1, 1957, vice Dr. John M.

Wilkerson, retired effective July 30, 1957.

Col. Joseph R. Vivas (USA) (MC) was detailed from the U.S. Army

as Chief, Medical Service, Gorgas Hospital, effective August 6, 1957,

vice Col. Edward A. Cleve (USA) (MC), relieved from duty.

Maj. Benjamin A. Darden was promoted to Chief, Police Division,

effective October 1, 1957, vice Maj. Roger W. Griffith, retired effective

September 30, 1957.

Capt. Gaddis Wall was promoted to District Police Commander,

effective December 29, 1S57, vice Maj. Benjamin A. Darden, promoted

to Chief, Police Division, effective October 1, 1957.

Lt. Col. Harvey E. Meagher (USA) (MC) was detailed from the

U.S. Army January 31, 1958, and assigned to Assistant to Health

Director, to replace Lt. Col. David C. Burke (USA) (MC), relieved

from duty with the Canal Zone Government, effective February 14,

1958.

Col. Norman H. Wiley (USA), Director, Gorgas Hospital, was re- lieved from duty with the Canal Zone Government on June 1, 1958.

Mr. Edward I. P. Tatelman, Magistrate, Cristobal, retired June 30,

1958.

Mr. William E. Jones, Fire Chief (Battalion Commander), retired on June 30, 1958.

U7

miJvte'}^^ V

PUBLIC HEALTH

SANITATION

The Division of Sanitation conducts all phases of environmental

sanitation in the Canal Zone, including disease, insect vector, and

rat control; malaria control measures; maintenance of sanitary

drainage systems, and other sanitary control measures necessary

to the welfare of inhabitants living in the Canal Zone.

During this fiscal year the foremost and continuing sanitation

problem was the alarming increase in malarial mosquitoes. The

resurgence of malaria early in the fiscal year necessitated the development and implementation of intensive countermeasures within the

Canal Zone. By the end of June 1958, considerable improvement

and progress had been made in the control of Anopheles alhimanus

and the other pest types of mosquitoes. Approximately 135 miles of

drainage ditches have been restored or improved on the Atlantic side. Previously neglected breeding foci of mosquitoes have been discovered

and drainage and other controls have been instituted.

From an all time low rate of 0.8 per 1,000 employees in 1956, the

malaria incidence increased to 1.5 in fiscal year 1957, and at this

fiscal year's end the rate among employees, including recurrent cases, had reached a high of 9.1 per thousand. As in the past years, the

greatest number of cases of malaria occurred among employees living

in rural or suburban areas of the Republic of Panama, outside Canal

Zone Government jurisdiction. The rate among these employees is much higher than that of employees living within sanitated areas. As the percentage of employees living in the Republic increases, the

malaria rate will be influenced by the efi'ectiveness of control measures

conducted in the Republic of Panama.

A realistic appraisal indicates no real prospects of eradicating

malaria in the Canal Zone until virtual eradication has been achieved

in Panama. Mosquito control will always remain a contmuing

project, and malaria eradication in Panama does not include mosquito control. Therefore, there is a continual infiltration of mosquitoes from Panama as well as from outlying Canal Zone mosquitoproducing areas. Recent detailed discussion of the Canal Zone's

malaria and mosquito control programs with leading international

malariologists and entomologists mdicates that the Health Bureau

program is sound, and by comparison, very comprehensive and

effective. The rodent population has been controlled at a practicable low

level. In addition to the continually maintained poison bait stations,

ail manholes were baited during the dry season, the most effective

period for this phase of extermination. Following the rat-poisoning

program, all manholes were sprayed with dieldrin as a roach and dryseason mosquito control measure. U9
120 PUBLIC HEALTH

Ship inspections and other procedures in support of maritime

quarantine continued at a high frequency. No unusual incidents

occurred in this activity during the year. PREVENTIVE MEDICINE

The Preventive Medicine Section is responsible for matters per- taining to public health, such as control of communicable disease

and industrial health problems, infant and child health, and physical

standards. The occurrence of a worldwide epidemic of influenza

due to the Asian variant of type A influenza virus began to aff'ect the Canal Zone at the beginning of the fiscal period. The number of cases of upper respiratory infections increased rapidly for several

months during which time it was estimated that 30 percent of the

population was afflicted. Other than an unusual increase in cases of

measles and the respiratory infections referred to, there were no further

unusual incidences of communicable diseases and no quarantinable

diseases occurring on the Canal Zone, or imported to the isthmus

during the year. One of the most active preventive medicine programs for the past

several years has been the annual chest X-ray survey of all Canal Zone

employees and residents. This year the tuberculosis survey of all employees and residents was accomplished with a total of 12,346

X-rays being taken in comparison with 9,072 in fiscal year 1957.

There was 238 X-rays reported as suspicious which included 188

previously known cases. The remaining 120 patients were studied

further to determine correct diagnosis. During the year there were 76 new cases of tuberculosis diagnosed, of which 38 were resi- dents of the Republic of Panama, 31 were Canal Zone residents, and

7 were transients.

The poliomyelitis vaccination program continued to expand

throughout the year. A total of 15,805 injections was administered

to children and adults. There were no cases of poliomyelitis occurring on the Canal Zone during the entire year. SCHOOL HEALTH

The School Health Section, composed of the school physician

assisted by two nurses and two part-time clerical assistants, expanded

its activities during the year to include varied allied services in addition to the routine work performed by the group. Physical examinations of students totaling 4,083 were performed in comparison with

3,112 last fiscal year. Visual screening was conducted for 10,361

students, of whom 9,191 were found to have normal vision. The

dental survey was modified during the year to include all pupils

in the second, fourth, and eighth grades in both the U.S. and Latin

American school systems. A total of 2,954 pupils were examined,

2,004 in the U.S. schools and 950 in the Latin American schools,

revealing that approximately 47 percent and 30 percent of the pupils,

respectively, had no dental cavities. As an adjunct to the overall

mission of this division during the year, the Health Section initiated an immunization service among schoolchildren, teachers, and others.

The section administered a total of 4,274 injections. It is planned
CANAL ZONE GOVERNMENT 121

to expand this service during the coming year to include tetanus^

pertussis, and diphtheria, as well as poliomyelitis and smallpox

vaccines.

QUAEXANTINE

Technical supervision and services relating to quarantine matters

are the responsibility of this section. Quarantine boarding activities

continued as a function of the consolidated boarding party under the

administrative direction of the Marine Bureau. During the year, the

assignment of a physician as Chief of the Quarantine Section to supervise the training and instruction of boarding officers in quarantine

matters resulted in an appreciable improvement in this section.

Free or provisional pratique was granted to 8,421 ships during the

year in comparison with 5,534 last period. In addition, 455,047

passengers and crew members were processed for quarantine purposes, an increase of 84,567 examinations over last fiscal period. There were

4,132 persons aboard ships vaccinated, and 8,084 passengers and

crew members were detained aboard ship for quarantine reasons. Two hundred and thirty-five remand notices were sent to next port

of call on vessels for lack of various quarantinable qualifications, or

for arrival from plague suspect ports.

USPHS AGENCY

The Division of Preventive Medicine and Quarantine maintains

liaison with the U.S. Public Health Service and is responsible for the

administration and supervision of the program providing for medical

care of American seamen treated in Canal Zone medical facilities as

beneficiaries of the U.S. Public Health Service. Under this program

medical care was provided for 3,131 seamen, and consisted of 2,877

outpatient visits and 2,596 inpatient hospital-days. During the year

a change in policy of the U.S. Public Health Service, permitting

local seamen on vessels that do not touch continental U.S. ports to obtain elective care and treatment for chronic illnesses, was initiated. This change accounted for substantial increases in all operational

and fiscal phases of this service. This group was previously restricted

to emergency care and treatment for acute illnesses as are transient seamen. VETERINARY ACTIVITIES

This activity is responsible for all veterinary matters relating to food and animal disease control in the Canal Zone. The program is designed to protect the Canal Zone customer against foodborne

diseases and subsistence of inferior quality. Inspections of approved

food-processmg establishments in the Republic of Panama and the

Canal Zone totaled 1,228 for the year and included fish and shrimp

packing plants, abattoirs, butter, ice cream and cheese manufacturing

establishments; beverage bottling, sausage, and milk pasteurizing

plants; confectioneries, wholesale markets, farms, meat-packaging

units, cold storage depots, and many others.

Ante mortem and post mortem examinations were performed on

3,904 animals slaughtered for food in Panama's abattoir. In addition to the locally slaughtered beef, the veterinarj'^ unit controlled

495687—59 9
*** PUBLIC HEALTH

and inspected 138,005 pounds of other beef, 150,037 pounds of lamb,

183,492 pounds of pork, and 1,038,832 pounds of poultry imported

for consumption in the Canal Zone. All dairy herds supplying milk

to Canal Zone communities were tuberculin tested during the year. The usual animal disease control activities were carried on during

the fiscal period, with rigid controls being exercised over the importation of animals into the Canal Zone, and through the Canal

Zone into the Republic of Panama.

As a result of the consolidation of Army and Canal Zone Government animal care activities within the Corozal Animal Hospital that

•operates in conjunction with the animal quarantine station, an in- creased workload resulted this fiscal year in all phases of the operation.

Statistical data relating to animals and confinement-days involved

in cOttiparison with fiscal year 1957, are given below:

Fiscal year Percent

y s increase Number of animals admitted: ^^^^ ^^^7 workload

Hospital Section 1,501 1,14(3 31.0

Quarantine Section 629 497 26:0

Outpatient clinics 6,439 5,088 26.0

Total animal admissions 8,569 6,731 27.0

Animal confinement-days:

Imported and local quarantined animals at Corozal and Cristobal units 16,810 16,235 3.5

Others confined in Hospital Section 6, 649 6, 046 10.

. Total animal confinement-days 23,459 22,281 5.3

HOSPITALS AND CLINICS

The number of adult patients and patient-days in Canal Zone

Government hospitals for the fiscal years 1958 and 1957 was as

follows:

Fiscal year Percent

r

'- > o/ actual Number of adult patients hospitalized: ^^^^ ^^^^ change

Gorgas Hospital 9,223 8,695 6.1 Coco Solo Hospital 3,681 3,490 5.5 Average length of adult patient stay:

Gorgas Hospital 11.6 11.4 1.8 Coco Solo Hospital 9.3 10.0 (7.0) Adult patient-days:

Gorgas Hospital 99,207 95,820 3.5

Coco Solo Hospital 35,244 34,210 3.0

Corozal Neuropsychiatric and Domiciliary

Hospital 90,535 95,896 (5.6) Palo Seco Leprosarium 43,356 42,964 .9

The death rate from all causes declined from 4.13 per 1,000 population in calendar year 1956 to 3.63 in calendar year 1957. The principal causes of death were arteriosclerotic and degenerative heart diseases.

The live birth rate for the Canal Zone decreased slightly in the calendar

year 1957, dropping to a rate of 27.95 per 1,000 population m comparison with the 30.20 rate per 1,000 in calendar year 1956.
CANAL ZONE GOVERNMENT 123 HIGHLIGHTS

On November 17, 1957, Gorgas Hospital celebrated the 75th anniversary of its founding and the establishment of hospital and

medical faciUties in the Panama Canal organization. The diamond

jubilee was also marked by the issuance of a 3-cent commemorative

stamp by the Canal Zone postal service.
ctihie'}(^ 11

PUBLIC EDIJCATIOX

GENERAL DESCRIPTION

The public school system for U.S. -citizen children includes 10

kindergartens; 11 elementary schools with grades 1 through 6; 2 junior

high schools, grades 7 and 8 ; 2 senior high schools, grades 9 through 12 ; and a junior college, grades 13 and 14. Public schools for Latin American children include 3 kindergartens;

4 elementary schools with grades 1 through 6; 4 junior high schools,

grades 7 through 9; and 2 high schools, grades 10 through 12. In addition to its regular educational program the schools maintain

and operate swimming pools, gymnasiums, playgi^ounds, and other

facilities for child and youth development.

Other educational services performed included adult evening classes and after-school driver-training classes conducted at Balboa and

Cristobal. In addition, the observatory at Miraflores was operated

during the dry season. The Latin American schools completed the third year in which

instruction in all grades was conducted in Spanish. Considerable

progress was made in upgrading the educational qualifications of

secondary school staffs, in improving faculty proficiency in the use

of the Spanish language, and improving the quality and quantity of

textbooks. Thirty-eight Canal Zone teachers attended evening classes at the University of Panama, and 78 teachers and principals enrolled

in the summer session there.ENROLLMENTS

Total day school enrollments increased 3.1 percent over the previous

year. The U.S.-citizen school enrollments registered increases in all sections except in the Junior College, grades 13 and 14. An overall

increase of 4.6 percent is shown in comparison with 0.9 percent last year. Latin American enrollments were up very slightly, showing a

decided decline in kindergartens, 41.1 percent, and a decline of 2.3 percent in grades 1 through 6. Grades 7 through 12 registered

nominal increases of only 0.6 percent.

Enrollment of nonresident, U.S. -citizen tuition students increased

from 289 to 333, Panamanian citizens dropped from 237 to 187, and

other nationalities dropped from 41 to 30, leaving a total of 550 as compared with 567 last year. There are no tuition students enrolled

in the Latin American schools.

As of Oct. 15—

1957 1956

U.S.-citizen schools 7, 179 6, 862

Latin American schools 4,028 4,003

Total 11,207 10,865

124
CANAL ZONE GOVERNMENT 125 SPECIAL EDUCATION

Special education services for exceptional children were inaugurated

this year in the Canal Zone schools. A follow-up study of the survey

of handicapped children, initiated in the previous fiscal year, was

begun in August 1957. In addition, a speech survey of all second

and fourth grade pupils was conducted in the U.S. elementary schools.

Of the children examined, 9.74 percent needed speech correction. A

school ps3^chologist was added to the special education staff in

January 1958.

A speech correction program was begun in September 1957, and

studies and recommendations were made preparatory to the establishment of classes for educable mentally handicapped children. Another

important phase of the special education program was inaugurated in

February 1958 when a special class for physically handicapped children was started in temporary quarters at Gorgas Hospital. Eight

teachers from the U.S. schools and slx from the Latin American

schools were sent to the United States for training in the teaching of

exceptional children. With the beginning of the school year in

September 1958, considerable expansion is planned for the special

education program.

PLANT

Several major plant changes were either completed or underway

at the end of the fiscal year. They are: additional dressing room

facilities at the Balboa gymnasium, the replacement of Ancon ele- mentary school playshed, construction and alteration of classrooms

for handicapped children at Santa Cruz and Balboa; and the construction of Reserve Officers' Training Corps and activities building at Balboa High School. The Cristobal elementary school, located in

the Republic of Panama, was closed in June and classes will reopen

at Coco Solo in September. Transfer of the Cristobal school facilities will be made to the Republic of Panama in accordance with the provisions of the Remon-Eisenhower treaty,

LIBRARY-MUSEUM

The library, founded in August 1914, soon will enter its 45th year

of continuous service to canal officials and employees. The Canal

Zone Museum was created during the latter part of 1950 as an adjunct

to the library.

Circulation of library materials increased more than 7 percent during

the past fiscal year, and there has been an increase of 21 percent in

circulation since 1951 . A total of 254,046 books, periodicals (including

official periodicals), and documents were circulated during the year

in comparison with a total of 236,128 last year. Coordination of library services with the schools was further

implemented during the year. Additions were made to the Spanish

book stocks in the Latin American branches of the library. These

branches continue to attract school and community interest.
lae PUBLIC EDUCATION

During the past year, and as a result of the interest and cooperation

of local persons and staff members of the Library of Congress and of

the New York Library for the Blind, a library service for the blind was initiated. A procedure has been established for the use of a

special-purpose record player and talking-book loan privileges through

the Canal Zone Library for those in need of the service and also for

the Schools Division special education program.
(zhte"}^ 111

PUBLIC ORDER AND PROTECTION

POLICE ACTIVITIES

During the fiscal year decisive steps were taken to raise the professional standard of the Canal Zone police. There were no significant

changes in the police organization or plant, and the authorized force

continued at about the same level as last year. Near the close of the

fiscal year arrangements were made for the designation of available

male personnel in the customs and postal divisions as auxiliary policemen to supplement the regular pohce force in the event of severe emergency.

The major activities of the division include highway and townsite

patrols by radio cars and motorcycles, launch patrols of lakes and

harbors, foot patrols of the jungles, detective investigations, investigations of traffic accidents, and issuing of warning notices. In addition, police personnel locate persons in the Canal Zone who are wanted

in Panama for criminal offenses, examine persons for motor vehicle

driver's licenses, photograph and fingerprint arrested persons, impound animals and motor vehicles, investigate deaths, operate the

penitentiary and the prison for women and minors, and provide

special police protection when necessary.

In addition to the usual mservice trainmg programs which were

stepped up, more rigid employment, promotion, and job-assignment

policies were instituted. A "Code of Ethics and Canons of Police

Ethics," promulgated by a committee appointed by the International

Association of Chiefs of Police, was adopted and widely distributed

dming the year. Comparative statistics tabulated below indicate that arrests and

workload in general in the indicated phases declined. The most significant change occurred in the number of arrests made, there being

443 fewer offenses in comparison with last year. The most decided

increase in any phase is that in the number of warning tickets issued, an increase of 856 being shown over the comparable number last year. Sixty-two nationalities were represented among those arrested. As

usual, nonresidents, mostly Panamanians, were responsible for the

bulk of the offenses committed.

Police activity highlights of the year consisted of active participation

in the civil defense. Canal Zone-wide alert Opal 1958, with the manning

of traffic control points throughout the zone pursuant to the master

plan.

127
128 PUBLIC ORDER AND PROTECTION

Cooperative international relations with Panama continued in a normal trend except during May 1958 when untoward incidents oc- curred M^liich required special handling.

Fiscal year

Classification of arrests 1968 1957 Male 4,238 4,480

Female _._ 328 529

Total 4,566 5,009

Arrests made with warrants 204 268

Arrests made without warrants 4,362 4,741

Total. 4,566 5,009

Residents of Canal Zone 1,215 1,417

Residents of Panama 3,116 3,390

Transients 235 202

Total 4,566 5,009

Charges for misdemeanors 4,623 5,097

Charges for felonies 298 267

Total offenses. __ 4,921 5,364

Offenses reported to FBI 1,180 1,093

Motor patrols made (in miles) 863,473 842,000

Traffic accidents investigated 445 506

Warning tickets issued 4,352 3,496

Deaths investigated by Coroner 78 82 Daily average prisoners in jail 41 37 Daily average convicts in penitentiary 110 101 COURT ACTIVITIES

The judicial functions of the Canal Zone Government are per- formed by the Magistrates' Courts. The two courts, each presided over by a magistrate, are in session throughout the year in the Canal

Zone, and handle cases for the subdivisions of Balboa and Cristobal.

The number of cases handled in the Cristobal court totaled, 1,079, a

decrease of 329 from the 1,408 handled in fiscal year 1957. The number

of cases handled in the Balboa court decreased slightly, a total of 3,475

compared with 3,488 cases handled in 1957.

A summary of activities at the Magistrates' Courts, Cristobal and

Balboa, during fiscal year 1958, in comparison with figures for fiscal year 1957, is shown below:

Cristobal Balboa Total

Gases handled: ^^5S 1957 1958 1957 1968 1957 Criminal 1,027 1,404 3,440 3,470 4,467 4,874 CivU 52 4 35 18 87 22 Total 1,079 1,408 3,475 3,488 4,554 4,896 Disposition of criminal cases: Conviction 919 1,250 3,097 3,156 4,016 4,406 Acquittal 35 43 90 121 125 164 Dismissal 26 71 132 93 158 164 Held for District Court 47 40 121 100 168 140 Total 1,027 1,404 3,440 3,470 4,467 4,874 Convictions in wliich execution of sentence was suspended and defendants placed on

probation 78 98 216 293 294 391 Rearrested for violating terms of probation 6 3 19 27 25 30 Fines imposed $10,822 $15,295 $28,129 $30,250 $38,951 $45,545
CANAL ZONE GOVERNMENT 129 PARDON BOARD

The Pardon Board, consisting of 5 members appointed by the

Governor, acts in an advisory capacity in consideration of requests

submitted by prisoners for executive clemency. The board considered

48 appUcations for executive clemency during the year, all of which

were for commutation of penitentiary and jail sentences to the portion

already served. The Governor granted clemency in six of the cases. The board also considered and submitted recommendations on three

applications for revocation of orders deporting persons following

service of sentences of imprisonment. None of these applications were granted by the Governor.

FIRE PROTECTION

Under the consolidation of all Federal Government structural fire- fighting facilities in the Canal Zone, the Canal Zone Government Fire

Division is responsible for all fire protection and fire prevention and

for certain lifesaving and rescue operations in the civilian communities of the Canal Zone and on ships in Canal waters; for structural

firefighting on military reservations and for fighting brush fires and

fires at outlying military sites on the Canal Zone. With the closing

of the fire station at Madden Wye on June 28, 1958, there remained

in operation 14 stations, 8 on the Pacific side and 6 on the Atlantic

side. At the close of fiscal year 1958 there remained 5 volunteer

fire companies, each consisting of 10 men. At the request of Panamanian officials on January 16, 1958, the

Canal Zone Fire Division cooperated in the control and extinguishing

of a major fire which occurred in the San Miguel section of Panama

Statistics on firefighting operations follow:

Fiscal year 1958 Fiscal year 1957

Number Property Number Property

of fires loss of fires loss Panama Canal Company 265 $2,994 378 $2,557

Canal Zone Government 8 239 8 123 Armed Forces 260 23,851 314 168,859

Private (including ships) 62 44,715 68 271,682

Total _ 595 $71,799 768 $443,221

Fiscal year Fiscal year 1958 1957

Calls for emergency aid 111 96

Value of property involved in fires $16, 749, 018 $24, 067, 026

CIVIL DEFENSE

During the year a new Civil Defense and Disaster Relief Plan, establishing civil defense responsibilities within the present normal operating organization of the Company/Government, was approved.

Two national alert exercises were held during the fiscal year—in July 1957 and May 1958. In the 1957 exercise over 500 Company/

Government employees took part in the activities on each side of the

isthmus, together with 100 members of the volunteer corps. The

three control points were mobilized and the technical problems
130 PUBLIC ORDER AND PROTECTION

presented by the exercise were resolved. In the May 6, 1958, activities, Opal 58, a preparedness exercise was held in the Canal Zone;

this is the first activity under the new Civil Defense and Disaster

Rehef Plan.

Plans for the main control center to be located in the Administration

Building at Balboa Heights were approved and invitations for bids on its construction were advertised in June 1958. During the year this

unit was successful in obtaining funds and supplies from the Federal

Civil Defense Administration (FCDA) ; however, such assistance was

discontinued effective July 1, 1958, as a result of a Bureau of the

Budget ruling. The survival plan study approved by the Governor

and the Federal Civil Defense Administration was eliminated as a

result of this decision of the Bureau of the Budget.

During the fiscal year 1958 the civil defense unit participated in two

emergency operations occurring in the Republic of Panama. As a

result of the disastrous fire in the San Miguel area, Panama, on

January 16, 1958, this unit was called upon to handle liaison between

Panamanian officials and the Canal Zone agencies and organizations,

and aided in the collection of necessities for the destitute.

Again, on May 19, 1958, the Civil Defense Welfare Service of the

unit was called upon to provide emergency food and shelter for Canal

Zone employees residing in Panama who could not reach their homes

as a result of the rioting and civil disturbance that caused a state of

siege in Panama.
POSTS, CUSTOMS, AND IMMIGRATION

POSTAL SYSTEM

The postal system made substantial changes in public service and

internal operations during the year. Principal changes in service to the public included the discontinu- ance of postal units at Coco Solo and Fort Davis in November and

December 1957 as a result of the deactivation of the Naval Station,

Coco Solo, and the post of Fort Davis. All activities previously

performed at the Coco Solo unit were transferred to the main post

office at Cristobal. Effective February 24, 1958, a branch of the

Cristobal post office was established at Fort Gulick, C.Z., to serve Headquarters Atlantic Area, U.S. Army Caribbean, the military

Latin American School for Ground Forces, military personnel sta- tioned in the Atlantic area, and civilian personnel residing at Fort

Gulick.

In August 1957, the mail-handling subunit at Tocumen Airport was

closed and the an* carriers took over the transportation of incoming

and outgoing mails between the airport and the mail handling unit,

Balboa. This arrangement permits use of all available flights and

reduced the cost of truck transportation of air mails.

A 3-cent postage stamp commemorating the 75th anniversary of the

opening of Gorgas Hospital was issued on November 17, 1958.

Operations for the past 2 fiscal years are summarized in the following table

:

Fiscal year Receipts: • —7- ' —ZZ

Sale of postage stamps, stamped paper, box rents, ^^^° ^'^"' and permit handling $607,177 $642,384

Interest on investments of postal savings 167,000 166,057

Money order fees collected 44,759 40,754

Other receipts 10,321 9,400

Total receipts 829,257 858,595

Statistics relative to the physical volume of the operations of the

Canal Zone Postal System for the past 2 fiscal years are covered in

the following table:

Fiscal year

Registered, certified, and insured articles handled: 1958 1957

Number sent 89,955 96,816

Number received 111,013 129,404

Dispatches of surface mail handled: Number sent 2,034 2,062

Number received 2,999 2,972

Dispatches of airmail handled: Number sent 11,398 11,665

Number received 18,267 18,200

131
132 POSTS, CUSTOMS, AND IMMIGRATION

CUSTOMS, IMMIGRATION, AND SHIPPING COMMISSIONER

SERVICES

There were no significant changes in plant or functions in the

Customs Division throughout the year. The tabulation shown

below indicates decreases in all functions noted except in the number

of passengers disembarking from vessels, and the number of U.S. seamen discharged or signed on. The average daily census of immigration cases and the number of detention-days at the Corozal

station decreased from 13.7 persons in 1957 to 11.1 persons daily in

1958. Contraband irregularities, resulting from purchases in the

Canal Zone by unauthorized persons, excessive purchases, and tres- passing in retail stores, were again substantially reduced as a result

of the effects of certain treaty provisions.

The following is a statistical summary of the more important items

handled by the customs and immigration operation during the fiscal year 1958, together with comparative figures for fiscal year 1957:

Fiscal year 1958 1957

Vessels entered from sea 10, 677 11, 299

Passengers disembarked, vessels 15,510 14,004

Passengers disembarked, aircraft 14,258 14,324

U.S. seamen discharged or signed on 1, 234 1, 185 Other seamen discharged or signed on 4,178 4,451

Number of detention-days, immigration station 4,033 4,984

Contraband irregularities investigated 321 634 VISAS

During fiscal year 1958, 462 visas were issued by the executive

secretary to alien residents of the Canal Zone traveling to the United

States. Of these, 4 were quota immigrant visas, 285 were nonquota

immigrant visas, and 173 nonimmigrant visas. Fees collected for

visas amounted to $7,233.
LICENSES, INSURANCE, AND ESTATES

LICENSES

On July 1, 1957, the operations of the License Section and the Land

License Unit of the Civil Affairs Bureau were consolidated. The

activities of the new License Section are under the supervision of the

former chief of the Land License Unit.

The mission of the section is to issue, administer, and effect collec- tion of the appropriate fees for vehicular, land, and miscellaneous

licenses and permits assigned to the section in conformity with all existing laws, treaties, regulations, policies, and tariffs. Principal

types of licenses handled during the fiscal year 1958 as compared

with the corresponding figures for fiscal year 1957 are shown below:

Fiscal year 1958 1957

Vehicle licenses 13, 303 13, 310

Motor vehicle operators' licenses and permits 13, 986 17, 419

Vehicle registrations transferred 2, 936 3, 231 Dog licenses 2,055 1,965

Land licenses in force at year's end 740 775 Annual revenue $187, 818 $192, 748

INSURANCE

The license fee for insurance companies doing business in the Canal

Zone is $10 per year, with a tax of 1}^ percent on premiums collected. At the end of the fiscal year, 32 companies were licensed to write

insurance in the Canal Zone. Life insurance companies reported that, as of December 31, 1956, 4,309 policies were in force. During calendar 3'ear 1957 a total of 366 policies were issued, while 722 were canceled, leaving a total of 3,953 with an aggregate value of $17,329,045

in force as of December 31, 1957. Premiums collected on life insur- ance during calendar year 1957 totaled $440,963. Claims settled

during the year amounted to $19,750.

During calendar year 1957, premiums received by miscellaneous

insurance companies included accident, automobile, liability, fire, suretv, fidelity, etc., but excluding life insurance, amounted to $842,328. Losses paid during the year totaled $281,388. The tax

of 1/2 percent on premiums paid by all classes of insurance companies

amounted to $19,238 in comparison with $18,270 the previous

fiscal year.

133
:134 LICENSES, INSURANCE, AND ESTATES

ADMINISTRATION OF ESTATES

Tliis fiscal year the number of estates settled by the Public Administrator again decreased as a result of Public Law 347, 83d Congress,

which simplified the method of payment of moneys due deceased

Government employees. Comparative statistics are shown below:

Fiscal year 1968 " 1967

Number of estates settled 15 20

Assets handled $4, 126 $21, 846

Commissions None $792

FOREIGN CORPORATIONS

The licensing of foreign corporations to do business in the Canal

Zone is shown below. Insurance companies, steamship lines and

agencies, contractors, and other corporations are included in this group.

Fiscal year mS 1957

Foreign corporations licensed 172 148

Licenses and filing fees collected $1, 720 $1, 480
W^v/lt€/}f^ VI

MUNICIPAL IMPROVEMENTS

ROADS, STREETS, AND SIDEWALKS

Construction and maintenance forces of the Panama Canal Company provided services during the year on regular maintenance of

roads, streets, and sidewalks, and the maintenance of the BoydRoosevelt Trans-Isthmian Highway. A combined length of 118.94

miles of streets and highways was maintained within the Canal Zone,

and 45.81 additional miles composing the Boyd-Roosevelt Highway.

In addition to the planned repairs on the highway, heavy slides had

to be corrected during the year. MAINTENANCE OF QUARTERS, HOSPITALS, AND

PUBLIC BUILDINGS

Routine and special maintenance of all Company/Government

owned quarters, hospitals, public buildings, steamplants, and all refrigeration equipment was accomplished throughout the year. SEWER SYSTEM

Panama Canal Company forces performed regular sewer maintenance during the year on 176.58 miles of sanitary sewers and storm

drains, consisting of cleaning and flushing lines, removing obstructions, replacement of defective piping, and the maintenance of six sewer pumps, comminutor, and treatment plant.

135
twfvte/if^ Vll

FINANCIAL REPORT AND

STATISTICAL DATA

FINANCIAL STATEMENTS AND RELATED SUPPLEMENTARY

REPORTS FOR THE YEAR ENDED JUNE 30, 1958

Presented herewith are the financial statements of the Canal Zone

Government for the year ended June 30, 1958. These statements,

which appear on tables 1 through 4, fairly present the financial condition of the agency at June 30, 1958, and the financial results of its operation for the fiscal year then ended. The accompanying state- ments have been examined by the internal audit staff of the Panama

Canal Company and are subject to audit by the General Accounting Office. Activities of the agency are financed by congressional appropriation. Operating appropriations are available for obligations only in the year for which tlie appropriations are made. Capital appropriations are available until expended. The agency's operating accounts

are kept on an accrued cost basis, including depreciation of fixed

assets, in accordance with generally accepted accounting principles,

while the status of appropriated funds is determined on an obligations

incurred basis in accordance Avith Government requirements.

The agency's revenues arise from charges to individuals and other

Government agencies using certain of its services. All revenues thus

received are turned into the U.S. Treasury as miscellaneous receipts.

The excess of total accrued costs, including depreciation, over revenues

is payable to the U.S. Treasury by, and treated as an expense of, the

Panama Canal Company in accordance with the requirements of

section 246 of title 2 of the Canal Zone Code, as amended. All operating and capital appropriations expended by the Canal Zone Government are thus eventually repaid to the U.S. Treasury.

The agency also operates a postal savings and international money

order system for the convenience of Canal Zone residents. Funds

from this source are invested in U.S. Government securities at rates

of interest that cover the 2-percent interest paid to depositors and

expenses of the service.

Invested capital

Invested capital consists of fixed assets and inventories of material

and supplies less allowances for depreciation and obsolescence of

fixed assets, and less the potential liability for employees' accrued

leave, which under the law is not an obligation against appropriated

funds until paid.

During the year, properties with an appraised market value of

$994,500 were transferred from Canal Zone Government to the

Republic of Panama, in accordance with terms of the 1955 treaty

between the United States and the Republic of Panama. The excess

136
CANAL ZONE GOVERNMENT 137

of market over book value, in the amount of $372,540, was transferred to retained revenue of the Panama Canal Company and

applied as a reduction of amounts due the U.S. Treasury under

statutory obligations of section 246 of title 2 of the Canal Zone Code.

Table 2 shows the status of this fund and appropriated funds at the beginning and end of the year, and summarizes the changes which

occurred during the j^ear.

Capital additions

Capital additions for the year amounted to $838,177. Total depreciation for the year exceeded plant additions by $157,768. Further

details appear on table 4. Financial results The net cost of operating Canal Zone Government amounted to $10,737,194 for the fiscal year ended June 30, 1958, as compared to $10,135,514 for the preceding fiscal year 1957. The principal factor

causing this net increase in costs between the 2 years was the pay

increase granted in July of fiscal year 1959, retroactive to January

1958. This retroactive expense is reflected in the accounts as of

June 30, 1958. As in the preceding year, net costs, as indicated above, were absorbed as expense of the Panama Canal Company. Further

details are set out in table 3 of the accompanying financial statements.

495687—59 10
338 FINANCIAL REPORT AND STATISTICAL DATA

Table 1.—Statement of Financial Condition, June 30, 1953

Assets Current Assets: Fund balances with U.S. Treasury and cash: Fund balances in U.S. Treasury checking account $4, 917, 713 Cash on hand and in transit 124, 582

$5, 042, 295

U.S. Treasury bonds and notes at cost (postal

savings and money order funds). (Par value,

$6,250,000 ; market value, $5,967,800) 6, 249, 688 Accounts receivable: U.S. Government agencies 452, 065

Others 194, 283 Accrued interest receivable on postal fund

investments 22, 940

669, 288

Inventory of hospital supplies _ 137,382

Other current assets 9,134

Total current assets 12, 107, 787

Fixed Assets (table 4)

:

Cost 44,847,909

Less depreciation and valuation allowances 15, 174, 505

29, 673, 404

41, 781, 191

Note,—The Canal Zone Government has outstanding commitments in the amount of $908,000 under uncompleted construction contracts and unbilled purchase orders, and an estimated liability of about $147,000 for relief payments

to be made to retired ahen employees in fiscal year 1959.
CANAL ZONE GOVERNMENT 139

Table 1.—Statement off Financial Condition, June 30, 1958—Continued

Liabilities and Equity

Current Liabilities: Accounts payable:

Panama Canal Company $1,387,436 Revenues and other recoveries due U.S. Treasury 1,130,952

Other U.S. Government agencies 298, 797

$2, 817, 185

Postal money orders payable 375, 356

Less advance deposits with U.S. Post Office Department 178,247 — 197, 109

Postal savings deposited:

Savings certificates outstanding 5, 713, 285 Accrued interest pavable 258, 879

5, 972, 164 Accrued liabilities: Salaries and wages 725,910

Others 146,851

872, 761 Other current liabilities — 48, 018

Total current liabilities 9,907,237

Employees' Accrued Annual, Leave (unfunded) _ _ 1,763,899

Equity of U.S. Government (table 2)

:

Operating funds 108, 549

Capital funds 1,954,619

Invested capital 28, 046, 887 —— ^ 30,110,055

41, 781, 191
140 FINANCIAL REPORT AND STATISTICAlL DATA

TABLE 2.—statement of Changes in Equity of U.S. Government, Year

Ended June 30, 1958

operating Capital Invested EQUITY AT June 30, 1957: ^"^"^ /""'^ f^"^^ '^"P^"*' Unobligated funds $1,598,755 $1,598,755 Obligated funds 253,182 $52,252 200,930 Invested capital: Fixed assets, net 30,328,054 --.- $30,328,054 Inventories .- 125,511 125,511 Unfunded liability for employees' accrued leave (1,626,179) (1,626,179) Balance at June 30, 1957 30,679,323 52,252 1,799,685 28,827,386 Increases in Equity:

Appropriations by the Congress 17,468,500 16,468,500 1,000.000 Excess of market over book value of properties transferred to Republic of Panama, Nov. 7, 1957, under

1955treaty - - 372,540 372,540 Transfers from other U.S. Government agencies, net: Various municipal facilities transferred from the Panama Canal Company --- - 155,199 156.199

17,996,239 16,468,500 1,000,000 527,739 Decreases IN Equity: Net cost of Canal Zone Government (table 3)

:

Accrued funded operating expenses -. 16,344,233 16,344,233 Depreciation for the year 995,945 995,945 Increase in liability for employees' accrued leave. 137,720 137,720 Plant adjustments, net 6,037 6,037

17,483,935 16,344,233 -.. 1,139,702 Recovery of costs 6,746.741 6,746,741 Total net cost for year.... 10,737,194 9,597,492 1,139,702

Recovery of costs coverable into U.S. Treasury. 6.746.741 6,746,741 Transfers to other U.S. Government agencies,

net: Water jiue, Palo Seco Leprosarium, transferred to the Panama Canal Company 28,696 28,696 Market value of properties transferred to Republic of Panama, Nov. 7, 1957, under 1955 treaty 994,500 994,500 Unobligated operating funds withdrawn by U.S. Treasury 56,100 56,100 Adjustment of plant salvage coverable Into U.S. Treasury 2,276 2.276

7,828,313 6,802,841 1,025,472

18,565,507 16,400,333 2,165,174 Transfers Between Funds:

Capital expenditures - (821,508) 321.508 Removal costs on plant retirements .-- (23,558) 23.558 Increase in inventories. (11,870) 11,870

(11,870) (845,066) 856,936 Net increase or decrease... (569,268) 56,297 154,934 (780,499) Equity at June 30, 1958: Unobligated funds 1,155,327 1,155,327 Obligated funds. 907,841 108,549 799,292 Invested capital: Fixed assets, net 29,673,404 29,673,404 Inventories 137,382 137,382 Unfunded liability for employees' accrued leave (1,763,899) (1,763,899) Balance at June 30, 1958 30,110,055 108,549 1,954,619 28,046,887
CANAL ZONE GOVERNMENT 141 Table 3.—Statement of Operations, Year Ended June 30, 1958

Accrued operating expenses

Recoveries Civil Functions: Customs and immigration . . . $26, 342 Postal service 837,751 Police protection 10,130 Fire protection 655, 959

Judicial system 40,336 Education 1, 732,245 Public areas and facilities . Library 3, 155 Internal security ..- Other civil affairs: Office of Civil Affairs Director Civil defense Motor vehicle licenses and other fees 109, 868

Funded

costs

$416, 875

1, 055, 378

1, 545, 509

992, 373

65, 371

3, 184, 641

716, 384

101, 643

103, 982

51, 331

19, 480

33, 757

Accrued

depreciation

Other nonfund

charges and

credits Total

Health and Sanitation:

Hospitals and clinics: Gorgas Hospital and

clinics 2,191,269 Coco Solo Hospital and

clinics Corozal Mental Hospital. Palo Seco Leprosarium... Other public health services: Office of Health Director. Sanitation Garbage collection Preventive medicine and

quarantine

Veterinarian services Cemeteries, operation and

maintenance

679, 279

34, 916

138, 861 818

2,938 39,600

18, 486 Total health and sani- tation 3,106.167 General Expenses:

Office of the Governor

General and administrative expense Recovery from Armed Forces: Portion of general and ad- ministrative expenses—consolidation of flrefighting facilities Net increase in employees'

accrued leave Recruitment and repatriation Employees' home leave

travel Goverimient buildings and

sites Alien cash relief: Expenses

Distribution at normal

rates to operating activities Furniture pool operations: Expenses

Distributed to operating

activities Canal Zone Government con- tribution to Federal employees' group life insurance fund Death and disability compensation

Retroactive and other compensation adjustments

Miscellaneous charges and

credits..

3, 561, 091

1, 256, 987

494, 121

133, 424

113, 848

321, 376

119,000

89, 351

66, 861

44. 197

6. 200, 256

60,311

750, 000

90,125

125, 254

9,409

82, 450

246, 701

156, 173

137, 975

(134, 339) 34,685

(44, 661)

21,934

18, 095

516,636

11,283

$131 $417,006

5,461 1,060,839 28,569 1,574,078 26,806 $128 1,019,307 1,139 66,510 146,756 3,331,397

595,547 1,311,931 — 101,643

103,982

37

753

51, 368 20,233

33, 950

Net cost of

operations borne by Panama

Canal Company

$390, 664

223, 088

1, 563, 948

363, 348

26, 174

1. 599, 152 1,311,931

98, 488

103, 982

51, 368

20,233

(75, 918) Total civil functions ... 3, 415, 786 8, 286, 724 805, 392 128 9, 092, 244 5, 676. 458

79,768 153 3, 641, 012 1, 449, 743 47,646 1,304,633

11, 296 6,902

2,982

1,707

1,165

151, 466

.505, 417

140, 326

113, 848

324, 358

119,000

89, 351 68,568

45, 362

625, 354

470, 501 1,465 113,030

324, 358

119, 000

86, 413 28,968

26, 876

153 6. 351, 875 3, 245, 708

137, 720

23,240

9,186

6,661 5,655

60,311
142 FINANCIAL REPORT AND STATISTICAL DATA

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CANAL ZONE GOVERNMENT 143
144 FINANCIAL REPORT AND STATISTICAL DATA

STATISTICAL DATA

Personnel data

The U.S.-rate force of the Canal Zone Government numbered 1,143 as of June 30, 1958, in comparison with 1,141 on June 30, 1957. The

non-U.S. -citizen force numbered 1,203 as of June 30, 1958, as compared with 1,168 on June 30, 1957. The increase in non-U.S.-citizen

employees occurred in the Sanitation Division and was necessary to handle the intensified malaria control campaign.

The number of full-time employees of the Canal Zone Government

organization paid at U.S. and Canal Zone rates are shown in the

following table

:

Number of Full-time Employees Paid at United States Rates

As of June SO—

Canal Zone Government 1958 1957

Governor's office and staff 18 18 Magistrates' Courts 5 6 CivU Affairs Director 7 8 Postal Division 95 94 Customs Division 49 48

Fire Division 55 56

Police Division 186 183

Libraries 9 8

Licenses 6 6

Schools 288 278

Health Director 9 9 Quarantine and preventive medicine 9 8

Hospitals and clinics 398 412

Sanitation 9 7 Total Canal Zone Government 1, 143 1, 141 Number of Full-time Employees Paid at Canal Zone Wage Rates

As of June 30—

Canal Zone Government 1958 1957

Magistrates' Courts 2 1 Civil Affairs Director: Customs Division 12 13 Fire Division 141 147

Police Division 39 39

Libraries 5 4

Licenses 1 1 Schools 247 230

Health Director: Quarantine and preventive medicine 6 6 Hospitals and clinics 626 639

Sanitation... 124 88

Total Canal Zone Government i-., 1, 203 1, 168
CANAL ZONE GOVERNMENT

PRESIDENT OF UNITED STATES

MILITARY ASSISTANT

TO GOVERNOR

MILITARY ASSISTANT

lAISON BETWEEN THE PANAMA CANAL

COMPANY- CANAL ZONE GOVERNMENT

AND THE ARMED FORCES

AIDE-DE-CAMP TO THE GOVERNOR AND

PROTOCOL OFFICER FOR THE PANAMA

CANAL COMPANY- CANAL ZONE GOVERN- MENT

STAFF ADVISOR TO GOVERNOR ON

MATTERS PERTAINING TO THE MILITARY PROTECTION OF THE CANAL ZONE,

CIVIL AFFAIRS BUREAU

DIRECTOR

SCHOOLS

POLICE AND FIRE PROTECTION

POSTAL SERVICE

LIBRARIES CUSTOMS SERVICE

SHIPPING COMMISIONCP

ADMINISTRATION OF ESIATES

LICENSING

IMMIGRATION SERVICE

CIVIL DEFENSE

SECRETARY OF ARMY

OFFICE OF GOVERNOR

LIEUTENANT GOVERNOR

INTERNAL SECURITY

OFFICE

ADVISOR TO THE GOVERNOR-PRESIDENT

AND HIS STAFF ON ALL INTELLIGENCE AND SECURITY MATTERS

SUPERVISES AND CONDUCTS THE

AUTHORIZED SECURITY PROGRAM

FOR THE COMPANY-GOVERNMENT

HEALTH BUREAU

DIRECTOR

PREVENTIVE MEDICINE HOSPITALIZATION MEDICAL AND DENTAL CLINICS

CITY HEALTH OFFICES AND OUT-PATIENT

CLINICS SANITARY ENGINEERING AND

ENGINEERING QUARANTINE

EXECUTIVE SECRETARY

DIPLOMATIC RELATIONS REGULATIONS AND POLICIES COMMISSARY AND AUTHORITY CARDS

LICENSES FOR INSURANCE COMPANIES AND FOREIGN CORPORATIONS

CUSTODIAN OF SEAL OF CANAL ZONE GOVERNMENT

MAGISTRATES COURTS

MAGISTRATE, BALBOA

MAGISTRATE. CRISTOBAL

CRIMINAL ACTIONS

(LIMITED ORIGINAL JURISDICTION AND PRELIMINARY HEARINGS)

CIVIL ACTIONS ($500 OR LESS)

CANAL ZONE GOVERNMENT 145 Area of Canal Zone

The total area of the Canal Zone as of June 30, 1958, with areas segregated for various purposes, is shown in the table below:

Land area Square miles Air Force, Army, and Navy reservations (inclusive of licenses and letters of permission)

:

Air Force—! 14. 06 Army 114 70 Navy 18. 68

Total 147.44

Canal Zone townsites and areas outside of townsites in active use 11. 78

Miscellaneous assigned land areas: Barro Colorado Island 5. 71 Madden Forest Preserve (excluding Madden Road) 5. 38

Cattle pastures 2. 50 Commercial licenses (agricultural leases and garden plots) _ 2. 67

Total 16.26 Swamps 15. 14 Remaining usable land (largely mountain or jungles) 181. 70

Total land area of the Canal Zone 372. 32

Water area Square miles Fresh water 186. 07 Tidewater (Atlantic and Pacific within 3-mile limit) 89. 45

Total water area of the Canal Zone 275. 52

Total area of the Canal Zone 647.84

D. t. COVERNHENT PRINTINS OFriCEi Itll

For sale by the Superintendent or Documents, U.S. Government Prmting,Office Washington 26, D.C. - Price $1




UNIVERSITY OF FLORIDA lllililil*

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