NO DISTRIBUTION
38
RR BTC HONG KONG
GR90
CONFIDENTIAL
FM E C G D 06112OZ NOV 78
TO ROUTINE BTC HONG KONG
HICK 173/1.
RECOM
INDEX
Nola
ECGD 14x129.
AKYED TRED.
TELEGRAM NO EXCED 47 OF 6 NOVEMBER
FOR RANSON (ECGD) FROM SMITH PD3.
MASS TRANSIT/METRO CAMMELL.
مكم
IT OCCURS TO ME THAT METRO CAMMELL MAY NOT BE AWARE OF EFFECT OF CAPITALISATION OF PRECOMM INTEREST UPON THEIR CONTRACT PRICE. INCREASE IN PREMIUM RATE FOR INTEREST WILL ADD SIGNIFICANTLY TO TOTAL PREMIUM PAYABLE BY MTRC AND THEREFORE TO TOTAL CONTRACT PRICE WHICH WE UNDERSTAND IS ALREADY HIGH. YOU MAY FEEL HOWEVER THAT METRO CAMMELL SHOULD BE AWARE OF THIS.
2. PLEASE CABLE IF CALCULATIONS ON EFFECT OF CAPITALISATION ARE REQUIRED. IN ABSENCE OF ANY DRAWING SCHEDULE THIS CAN ONLY BE A COCKSHY.
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