The profit margins generated by this division have come
under pressure because of increased competition. As a
result, the profit contribution for the first half of the
year was below the comparable period in 1987.
Telecommunications
This relatively new division continues to expand its
operations, and it now occupies a leading position in the
fields of cellular mobile telephones and paging, both of
which are showing good results.
Finance and Investment
Both the Group's 62% held Cavendish International Holdings
and, Cavendish's 34.3% held associated company, Hongkong
Electric Holdings produced better than budgeted results for
the first half of the year. The profit generated by Husky
Oil of Canada (43% owned through a 50:50 company of the
Group and Cavendish International Holdings) was less than
budgeted as a result of lower oil prices. Husky recently
announced that subject to the approval of minority
shareholders, it will acquire Canterra Energy Ltd. This
will bring to Husky Oil top quality Western Canadian light
oil and gas reserves and a leading position in the sulphur
(Page 6 of 9)
RCV
FROM HUTCHISON WHAMPOR
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