XN000022-1992-03-05 — Page 9

THURSDAY, MARCH 5, 1992

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IS

NO, THE PROGRESSIVE ASPECT THAT YOU PAY MORE IF YOU'RE BETTER-OFF, AND BETTER-OFF IS LOOSELY EQUATED WITH THE VALUE OF THE FLAT. I MEAN THAT IS THE MEANING OF PROGRESSIVE.

QUESTION:

ALTHOUGH YOU AGREE THAT THE

SAVINGS HAVE NEVER BEEN PASSED ALONG TO THE TENANTS?

I'M SAYING THAT IS A DEFECT OF

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THAT PARTICULAR TAX, YES.

QUESTION:

IT?

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BUT YOU HAVE NO PLAN TO REMEDY

I DON'T, BUT IT WOULD BE VERY

NICE IF I COULD, AND I WILL LOOK AT YOUR IDEA, THANK YOU.

QUESTION:

MR MACLEOD, THERE IS A GENERAL FEAR IN THE COMMUNITY THAT A REVENUE DIP COULD BE RELATED TO SOME UNFORESEEN BLOW-OUT IN THE CONSTRUCTION COSTS OF THE AIRPORT. COULD YOU ASSURE US AT THIS STAGE THAT YOU DO NOT THINK THAT ANY OF THE RESERVES WOULD NEED TO BE TRANSFERRED DURING THIS PERIOD

THESE MAMMOTH RESERVES IN SOME PEOPLE'S VIEW TRANSFERRED DURING THIS PERIOD, TO EXPENDITURE FOR THE AIRPORT?

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NO. I MEAN IT ISN'T THE WAY IT WORKS. I MEAN I THINK WE ARE IN DANGER OF THIS ENDLESS PERUSAL OF THE AIRPORT PROJECTS, OF TRYING TO GET ASSURANCES WHICH NO ONE IN THE WORLD CAN DELIVER FOR A LARGE PROJECT. YOU KNOW, NO ONE IN THE PRIVATE SECTOR CAN DO IT EITHER. NO ARCHITECT OR ENGINEER CAN SAY TO YOU, AT THE DRAWING STAGE, THAT THEY KNOW FOR A HUNDRED PERCENT FACT THAT THE COST OF THAT BUILDING WILL NOT GO UP ONE DOLLAR OVER THE FIGURE WHICH HAS BEEN APPROVED, I MEAN IT IS AN ENTIRELY UNREALISTIC PURSUIT OF CERTAINTY, IT'S NOT ATTAINABLE AND I'M NOT ABOUT TO PRETEND THAT IT IS. HAVING SAID THAT, WE HAVE DONE OUR VERY BEST ΤΟ DO REALISTIC FORECASTS, IN THAT AREA AS IN ANY OTHER. LIKE ANY PRUDENT PERSON WE BUILD-IN A CERTAIN AMOUNT OF CONTINGENCY AND WE HAVE CERTAIN CUSHIONS AVAILABLE. WHETHER IT IS FOR THAT EVENTUALITY, WHETHER IT'S FOR GROWTH OF THE ECONOMY BEING LESS THAN FORECAST, WHETHER IT'S FOR SOME FORM OF REVENUE PRODUCING LESS - YOU KNOW THERE ARE ANY NUMBER OF THINGS WHICH MIGHT HAPPEN. BUT I AM NOT ABOUT TO SAY THAT NOT A SINGLE FURTHER DOLLAR OF THE RESERVES WILL BE USED FOR THAT PURPOSE, I MEAN IT IS BEYOND ANYONE'S ABILITY TO DO THAT.

QUESTION:

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UNIT

WILL YOU FOR ARE THERE ANY PERHAPS IN SINGAPORE

WHEN WILL THE EFFICIENCY BE SET UP, AND WHAT ITS PRECISE REMIT GOING TO BE? EXAMPLE GIVE IT TARGETS FOR SAVINGS TO MAKE, AND OVERSEAS MODELS OF SIMILAR AGENCIES ABROAD THAT YOU MIGHT MODEL IT ON HERE?

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I THINK WHAT WE ARE PLANNING TO DO IS, FAIRLY SOON TO BE ABLE TO ANNOUNCE WHO WILL HEAD IT, AND IN THAT CONTEXT PROBABLY ELABORATE ON WHAT IT WILL DO. BUT I KNOW THAT QUITE APART FROM DRAWING ON OUR OWN EXPERIENCE, WE CERTAINLY HAD IN MIND SOME OF THE UK EXPERIENCE.

/QUESTION