ountry in the last fiscal
year exceeded 1,000,000,000.

The registry system is reported to be in excellent condition, having
been remodeled during the past four years with good results. The amount
of registration fees collected during the last fiscal year was
$712,882.20, an increase over the fiscal year ending June 30, 1877, of
$345,443.40.

The entire number of letters and packages registered during the year was
8,338,919, of which only 2,061 were lost or destroyed in transit.

The operations of the money-order system are multiplying yearly under
the impulse of immigration, of the rapid development of the newer States
and Territories, and the consequent demand for additional means of
intercommunication and exchange.

During the past year 338 additional money-order offices have been
established, making a total of 5,499 in operation at the date of this
report.

During the year the domestic money orders aggregated in value
$105,075,769.35

A modification of the system is suggested, reducing the fees for money
orders not exceeding $5 from 10 cents to 5 cents and making the maximum
limit $100 in place of $50.

Legislation for the disposition of unclaimed money orders in the
possession of the Post-Office Department is recommended, in view of the
fact that their total value now exceeds $1,000,000.

The attention of Congress is again invited to the subject of
establishing a system of savings depositories in connection with the
Post-Office Department.

The statistics of mail transportation show that during the past year
railroad routes have been increased in length 6,249 miles and in cost
$1,114,382, while steamboat routes have been decreased in length 2,182
miles and in cost $134,054. The so-called star routes have been
decreased in length 3,949 miles and in cost $364,144.

Nearly all of the more expensive routes have been superseded by railroad
service. The cost of the star service must therefore rapidly decrease in
the Western States and Territories.

The Postmaster-General, however, calls attention to the constantly
increasing cost of the railway mail service as a serious difficulty in
the way of making the Department self-sustaining.

Our postal intercourse with foreign countries has kept pace with the
growth of the domestic service. Within the past year several countries
and colonies have declared their adhesion to the Postal Union. It now
includes all those which have an organized postal service except