CMB_1985 — Page 17

2.

2.

3.

Any difference between the annual permitted return and the adjusted profit after taxation is to be transferred to or from a development fund.

The followings are to be deducted from the permitted return:-

(i)

a charge of 8% per annum on the average balance of the development fund, which is to be added to the development fund, and

(ii)

interest up to a maximum of 8% per annum on borrowed capital.

4.

The operation of the scheme commenced on 1st September, 1975 and is subject to review by Government every two years.

Turnover

Turnover comprises fares and other income from the operation of franchised public buses by the company.

3.

Profit before Taxation

Profit before taxation is arrived at after charging:--

The group

The company

1985

1984

1985

1984

$000's

$000's

$000's

$000's

Interest on loans wholly repayable

within 5 years

3,276

5,148

3.276

5.148

Less: Amount capitalised

318

318

3,276

4.830

3,276

4.830

Auditors' remuneration

current year

296

252

290

245

prior year

21

70

20

70

Depreciation

32,276

32.030

32,179

31.931

Provision for employees' retirement

gratuities

5,575

4.889

5,575

4.889

Provision for insurance

9,008

10.926

9,008

10.926

Provision for major repairs to

motor buses

6,635

5,213

6,635

5.213

and after crediting:-

Income from quoted investments

21

25

Dividend from subsidiary

1,393

1.393

4.

Directors' Remuneration

Directors' remuneration disclosed pursuant to section 161 of the Companies Ordinance is as follows:-

1985

$000's

1984

$000's

Fees

50

50

Bonus at 5% of net profit in accordance with article 155 Other emoluments

3.608

2.520

1.983

1.709

5,641

4.279

URBAN COUNCIL PUBLIC LIBRARIES REFERENCE LIBRARY