2

Liao

HSBC comes to the rescue. This is not because we are a

Government bank. It is because we want Hong Kong to remain prosperous and stable. We have to do certain

things to achieve that.

From our point of view confidence is important. Mr 4hao

of Bank of China understands that depositors must have

confidence in the bank. We spend time and money retaining confidence in the banking system. This sometimes confuses

our image.

General Motors once said, "What is good for General Motors is good for the United States". I like to say it the

other way round, "What is good for Hong Kong is good for

Wayfoong".

Recently there has been lack of confidence in the Hong Kong Dollar and when it started to decline last week, the

banks agreed with the Hong Kong Government to put up

interest rates. The banks have tried to defend the dollar

but there has been further pressure this week. We have

been unable to determine the cause but if weakness

continues the banks may put the rates up again.

We have been involved with China for many years, we

welcome the opportunity to contribute to the Four Modernisations programme. We have provided finance, helped put together joint ventures and introduced foreign partners and hope to be able to continue to do so.

We have heard some of

Many thanks for your kind remarks. what you say from other sources. I am glad to hear that what is good for Hong Kong is good for Wayfoong and I am glad to hear you are supporting our modernisation

programme.

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