Notes on the Accounts

19. STAFF RETIREMENT FUND

Balance at 1 January

Provision made during the year

Balance at 31 December

1994

1993

HK$'000

HK$'000

283,300

157,300

192,000

126,000

475,300

283,300

The above fund represents the provision for the improvement of the retirement benefits to employees.

20. UNDERTAKINGS FOR CHARGE OF PROPERTIES

The title deeds of certain of the Company's properties, with a net book value of HK$141,819,000 at 31 December 1994 (1993 HK$142,606,000), have been deposited with certain banks together with agreements of undertaking to execute a legal mortgage in an event of default of the Company's obligations under the respective loan agreements.

At 31 December 1994, the Company's liabilities covered by the above agreements of undertaking amounted to HK$152,857,000 (1993 - HK$188,571,000).

21. COMMITMENTS

a.

At 31 December, the Company had commitments under operating leases to make payments in the next year as follows:

Land and buildings

1994

HK$'000

1993

HK$'000

Leases expiring:

19

203

Within 1 year

After 1 year but within 5 years

670

222

689

425

The Kowloon Motor Bus Company (1933) Limited

59

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