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ARMY] 40), and some manufactures of paper, glass, matches, turpentine, white lead, hats, gloves, candles, &c. About 100 factories are established in the neighbourhood of Athens and Peiraeus. The wine industry (10 factories) is of considerable importance, and the manufacture of cognac has latterly made great progress; there are 10 large and numerous small cognac distilleries. Ship-building is carried on actively at all the ports on the mainland and islands; about 200 ships, mostly of low tonnage, are launched annually.

Public Works.—The important drainage-works at Lake Copais were taken over by an English company in 1890. The lake covered an area of 58,080 acres, the greater part of which is now rendered fit for cultivation. The drainage works consist of a canal, 28 kilometres in length, and a tunnel of 600 metres descending through the mountain to a lower lake, which is connected by a second tunnel with the sea. The reclaimed land is highly fertile. The area under crops amounted in 1906 to 27,414 acres, of which 20,744 were let to tenants and the remainder farmed by the company. The uncultivated portion affords excellent grazing. The canal through the Isthmus of Corinth was opened to navigation in November 1893. The total cost of the works, which were begun by a company in 1882, was 70,000,000 francs. The narrowness of the canal, which is only 24.60 metres broad at the surface, and the strength of the current which passes through it, seriously detract from its utility. The high charges imposed on foreign vessels have proved almost prohibitive. There are reduced rates for ships sailing in Greek waters. Up to the 31st of July 1906, 37,214 vessels, with a tonnage of 4,971,922, had passed through the canal. The receipts up to that date were 3,207,835 drachmae (mainly from Greek ships) and 415,976 francs (mainly from foreign ships). In 1905, 2930 vessels (2735 Greek) passed through, the receipts being 281,935 drachmae and 34,142 francs. The total liabilities of the company in 1906 were about 40,000,000 fr. The canal would be more frequented by foreign shipping if the harbours at its entrances were improved, and its sides, which are of masonry, lined with beams; efforts are being made to raise funds for these purposes. The widening of the Euripus Channel at Chalcis to the extent of 21.56 metres was accomplished in 1894. The operations involved the destruction of the picturesque Venetian tower which guarded the strait. A canal was completed in 1903 rendering navigable the shallow channel between Leucas (Santa Maura) and the mainland (breadth 15 metres, depth 5 metres). Large careening docks were undertaken in 1909 at Peiraeus at an estimated cost of 4,750,000 drachmae.

Communications.—Internal communication by roads is improving, though much remains to be done, especially as regards the quality of the roads. A considerable impetus was given to road-making under the Trikoupis administration. In 1878 there were only 555 m. of roads; in 1898 there were 2398 m.; in 1906, 3275 m. Electric trams have been introduced at Patras. Railways were open to traffic in 1900 for a length of 598 m.; in 1906 for a length of 867 m. The circuit of the Morea railways (462 m.) was completed in 1902; from Diakophto, on the north coast, a cogwheel railway, finished in 1894, ascends to Kalavryta. A very important undertaking is the completion of a line from Peiraeus to the frontier, the contract for which was signed in 1900 between the Greek government and the Eastern Railway Extension Syndicate (subsequently converted into the Société des Chemins de Fer helléniques). A line Connecting Peiraeus with Larissa was begun in 1890, but in 1894 the English company which had undertaken the contract went into liquidation. Under the contract of 1900 the line was drawn through Demerli, in the south of Thessaly, to Larissa, a distance of 217 m., and continued through the vale of Tempe to the Turkish frontier (about 246 m. in all). Branch lines have been constructed to Lamia and Chalcis. The establishment of a connexion with the continental railway system, by a junction with the line from Belgrade to Salonica, would be of immense advantage to Greece, and the Peiraeus would become an important place of embarkation for Egypt, India and the Far East.

In 1905 the number of post offices was 640. Of these 320 were also telegraph and 89 telephone stations, with 664 clerks; the remaining post offices possess no special staff, but are served by persons who also pursue other occupations. The number of postmen and other employees was 889. During the year there passed through the post 6,897,899 ordinary letters for the interior, 2,980,958 for foreign destinations, 2,788,477 from abroad; 540,411 registered letters or parcels for the interior, 309,907 for foreign countries, and 300,150 from abroad; 880,673 post-cards for the interior, 504,785 from abroad, and 187,975 sent abroad; 100,680 samples; 7,068,125 printed papers for the interior, 5,278,405 to or from foreign countries. Telegraph lines in 1905 extended over 4222 m. with 6836 m. of wires; 841,913 inland telegrams, 221,188 service telegrams and 129,036 telegrams to foreign destinations were despatched, and 169,519 received from abroad. Receipts amounted to 4,589,601 drachmae (postal service 2,744,212, telegraph and telephone services 1,845,389 drachmae) and expenditure to 3,954,742 drachmae.

The Greek army has recently been in a state of transition. Its condition has never been satisfactory, partly owing to the absence of systematic effort in the work of organization, partly owing to the pernicious influence of political parties, and in times of national emergency it has never been in a condition of readiness. The experience of the war of 1897 proved the need of far-reaching administrative changes and disciplinary reforms. A scheme of complete reorganization was subsequently elaborated under the auspices of the crown prince Constantine, the commander-in-chief, and received the assent of the Chamber in June 1904. During the war of 1897 about 65,000 infantry, 1000 cavalry, and 24 batteries were put into the field, and after great efforts another 15,000 men were mobilized. Under the new scheme it is proposed to maintain on a peace footing 1887 officers, 25,140 non-commissioned officers and men, and 4059 horses and mules; in time of war the active army will consist of at least 120,000 men and the territorial army of at least 60,000 men. The heavy expenditure entailed by the project has been an obstacle to its immediate realization. In order to meet this expenditure a special fund has been instituted in addition to the ordinary military budget, and certain revenues have been assigned to it amounting to about 5,500,000 drachmae annually. In 1906, however, it was decided to suspend partially for five years the operation of the law of 1904 and to devote