CMB_1993 — Page 25

Notes on The Accounts (Continued)

19. CONTINGENCY RESERVES

Group and

company

1993

1992

$000's

$000's

Major repairs to motor buses

At 1st July

Payments during year

Provision for the year

At 30th June

Insurance

At 1st July

Payments during year Provision for the year

At 30th June

7,000

6,500

(6,450)

(6,876)

5,950

7,376

6,500

7,000

153,000

134,300

(5,510)

(4,171)

48,010

22,871

195,500 153,000

202,000

160,000

20. CONTINGENT LIABILITIES

At 30th June, 1993 there were potential contingent liabilities in respect of third party claims in connection with the operation of franchised motor buses amounting to approximately $111 million (1992: $98 million) for which a full provision of $111 million (1992: $82 million) has been included in contingency reserves. In the opinion of the directors, the amounts provided are sufficient to cover any liabilities which may subsequently arise in respect of these claims.

21. OPERATING LEASE COMMITMENTS

At 30th June, 1993, the group and the company had commitments under operating leases for land and buildings to make payments in the next year as follows:-

Leases expiring:

Within 1 year

After 1 but within 5 years

year

Group and company

1993

1992

$000's

$000's

1,079

1,513

3,248

3,445

4,327

4,958

22

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Notes on The Accounts (Continued)