REPORT OF THE AUDITORS

KPMG Peat Marwick

TO THE BOARD OF DIRECTORS OF

THE KOWLOON MOTOR BUS COMPANY (1933) LIMITED

(Incorporated in Hong Kong with limited liability)

We have reviewed the Scheme of Control Statement for the year ended 31 December 1995 and its related

Notes on pages 61 to 64 for which the Directors are solely responsible.

In our opinion, the Statement has been properly prepared from the books and records of the Company

and in accordance with the terms as set out in the Public Bus Services Ordinance.

KPMG Peat Marwick

Certified Public Accountants

Hong Kong, 11 April 1996

CHK) (WCr

3 8888 06719836 0

65

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