COPY

CC.

BINNIE, DEACON & COURLEY

CHARTERED CIVIL ENGINEERS ARTILLERY HOUSE,

ARTILLERY ROW,

WESTMINSTER, S.W.1.

The Crown Agents for the Colonies,

4 Millbank

25th January 1940.

Sirs,

S.W. 1.

Hong Kong Water.

Tai Lam Chung Valley Scheme.

8/E 254/17

1.

2.

Since writing to you on the 3rd January last, we have

seen Mr. Henderson and from our discussion it is evident that the

cost of the scheme will exceed what we had envisaged when setting

out the fees in Paragraphs 4 and 5 of the above-mentioned letter.

In these circumstances, and to make provision for the

greater expenditure which the work will involve, we think it

would not be unreasonable to reduce the percentage basis of the

fee set out in Paragraph 4 of our letter of the 3rd January

to read:--

On the first £250,000

On the second £250,000

34%

£8750

On the third £250,000

21%

76250

Un the fourth £250,000

11%

4375-

42250.1

11%

43125-

For all in excess of £1,000,000

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