XN000022-1990-02-07 — Page 19

18

WEDNESDAY, FEBRUARY 7, 1990

ACCORDING

CMB'S FINANCIAL

REVENUE

WOULD YEARS

TO UNCHANGED, OPERATING OPERATING COSTS IN ALL THREE

SUFFICIENT

FORECAST,

IF FARES

BE

1991-92,

NOT ENDING

REMAIN COVER THE

то ᏞᎬᎢ ALONE

PERMITTED RETURN PROVIDED UNDER THE PROFIT CONTROL SCHEME.

FOR 1989-90, A SHORTFALL OF ABOUT $18 MILLION IS FORECAST, MAINLY TO A SUBSTANTIAL INCREASE IN PENSION LIABILITY WHICH CANNOT FULLY MET EVEN AFTER THE EXISTING BALANCE IN THE DEVELOPMENT FUND, $54 MILLION, IS COMPLETELY DRAWN DOWN.

DUE

BE

OF

FARE INCREASES CMB NEEDS THE PENSION LIABILITY IN 1989-90, SERVICES IN 1990-91.

TO

AND

TO

TOP UP MAINTAIN

THE

AND

SHORTFALL IMPROVE

IN

ITS

FORECAST BECAUSE OF THE ON HONG KONG TO REDUCING BUS IN THE SERVICES

A LOW RATE OF RIDERSHIP INCREASE IS

IN PUBLIC TRANSPORT TRIPS LIMITED SCOPE FOR GROWTH

CONTRIBUTES WHICH ROAD CONGESTION ISLAND;

ΤΟ

MODES AIR-CONDITIONED PRODUCTIVITY; SHIFT OF PASSENGERS

RESIDENTIAL COACH MORE SUMMER; AND LOSS OF PASSENGERS TO WHICH ARE EXPECTED TO BE INTRODUCED IN SOUTHERN DISTRICT.

ON THE OTHER HAND, CMB'S TOTAL OPERATING COSTS ARE EXPECTED

THE STAFF'S NEW TO COVER PROVISIONS ARE REQUIRED RISE AS EXTRA PENSION SCHEME.

ΤΟ

REQUIRED HOWEVER, THE TAC EMPHASISED THAT THE EXTRA PROVISIONS

SEPARATE FUND AND FOR THE STAFF PENSION SCHEME WOULD BE PLACED IN A NOT IN THE COMPANY'S GENERAL REVENUE.

SIMILARLY THE INTEREST ACCRUED BY THIS FUND WOULD BACK TO THE FUND TO HELP MEET FUTURE PENSION COMMITMENTS.

BE PLOUGHED

THE FEASIBILITY OF MAINTAINING THE TAC HAD LOOKED INTO

PURPOSES, SAVING FOR COST AT THE

LEVEL SERVICES

1989-90

IMPROVEMENT CONSIDERED IT NOT ADVISABLE AS MANY OF THE SERVICE BEING PLANNED WERE NEEDED TO CATER FOR ONGOING HOUSING DEVELOPMENTS.

CMB

BUT

ITEMS

TO STUDY THE KMB IN 1987 TO 1988 THE TAC FORMED A SUB-GROUP

ΤΟ FIVE YEARLY DEVELOPMENT PLAN. ALTHOUGH THERE WAS NO RECOMMENDATION

WERE STRONG THERE CONTROL, OF OF

SCHEMES THE CHANGE THE RECOMMENDATIONS, INTER ALIA, TO:

TERMS

MAXIMISE ON THE UTILISATION OF THE ASSETS AND KMB;

RESOURCES OF

GROWTH

*

STRENGTHEN TRANSPORT DEPARTMENT'S MONITORING ROLE ON

DEPOT PROVISION AND VEHICLE OF ASSETS OF KMB IN TERMS OF DEPLOYMENT.

DEVELOPMENT OF KMB WAS OPERATION WAS OF PARAMOUNT

SUCH THAT COST

THE SUB-GROUP FELT THAT THE SCALE OF

ITS IN EFFECTIVENESS

IMPORTANCE.

/ON DECEMBER