CO129-611-1 Hong Kong Electric & China Light & Power Company Ltd. 1-12-1945 - 2-5-1947 — Page 31

C.O. 54224

Mr. Kenrick

31

18

My observations cannot carry any weight as such matters are for actuaries rather than Engineers, but it does seem to me that War Office objection to paying rent is worthy of consideration.

The market value of the Hong Kong Electric shares has always been high but on the other hand the Capital of the Company has been kept low as they charged so much capital expenditure to Revenue or at least they did in my time.

The market value of the China Light and Power shares was always doubtfull, they were played up and down by the local share market to such an extent, that in my time questions were raised at Council meetings concerning this matter, again I can only say what happened when I was there.

Could the agreement be made more "agreeable" if clause 7 was amended to include "any rents paid by the Government to the Company's

"

Here

(L.H. King)

2nd May, 1946.