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GOVERMENT HOUSE HONG KONG.
THU 17 SEP 92 11:09.
PG.05
-2-
The main features of the new proposals are:
1. The land granted to the MTRC up to 1997 in connection with the Airport Railway will be additional to Hong Kong's normal land disposal
programme;
2.
Land
premia
which is to be
will be invested
estimated at about $40bn,
paid by the MTRC before 1997,
as additional paid-up equity
in the AA and MTRC. We have suggested it might
be split as follows:
a) a $25bn increase, from $16.6bn to
$41.6bn.
in Government
equity in the AA;
paid up
b) a $15bn increase, from $3.7bn to $18.7bn, in Government paid up equity
in the MTRC;
3.
Cancellation of callable equity totalling
$21bn for the AA and the MTRC;
4.
Reduction in total borrowings by the AA
and the MTRC by at least $40bn;
5.
two
A reduction of the order of $10bn in the
interest
corporations '
1
combined
and
financing charges.