CMB_1990 — Page 22

REPORT OF THE AUDITORS TO THE MEMBERS OF CHINA MOTOR BUS COMPANY, LIMITED

We have audited the accounts set out on pages 9 to 21 in accordance with approved Auditing Standards.

In our opinion, the accounts of the company and of the group give a true and fair view of the state of affairs at 30th June, 1990 and of the profit and changes in financial position for the year ended on that date and have been properly prepared in accordance with the Companies Ordinance.

Hong Kong, 17th October, 1990

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KPMG Peat Marwick Certified Public Accountants