TNAG-1648-FCO40-2295-Financial-insurance-and-investment-companies-in-Hong-Kong-In-1987 — Page 21

CHIMA INVESTMENT COMPANY

ASSUMPTIONS FOR OPERATING FORECASTS

Financial Year Ending

Funds Available for Investment

New Investments Hade

Average Cash Return on Project Investnenta:

First Year of Investment

Second Year of Investment

JUN. 11 '87 11:02 IMF WASH DC RAPICOM6300 477-7491

-14-

1987

1988

1983

1998

1991

1992

1993

1994

1995

1996

1997

20,250 8,000

20,250 8.DON

20.250 8.000

20,250 20.250 20.250 20.250 20.250 20.250 20,250 8,000 8,000 8,000 8,000 6,000 8.000 8,000

0.00%

10.00%

Third Year and Thereafter

20.00%

Avg. Return on Liquid Funda

7.00%

Avg. Rate on External Borrowinge

10.00%

Avg. Liquid Funde åvailable

Avg. Short Term Borrowings

16,263

16.269

8,464

2.320 1,079

Carried Interest to Actual Invert.

50.00%

* Non-Perforsing Investments

5.00%

X Actual Losses on Investwants

5.00%

I Recovery of Book Value on Sale

100.00%

D

ก

0

5.169 10.787 15.622 19.620 22.763 20,236 36,364

CHINA INVESTMENT COMPANY

Projected Statements of Income & Expenses FY ending December 31

·INCOME

Income from Project Investment

Income from Carried Interests

income from S.T.Investments

1967

1988

1989

1990

1991

1992

1993

1994

1995

1996

1997

Realized Capital Gains (Losses)

less: Allowance for Hon-Performing kasets

TOTAL REVENUES

.......

400

200

2,000 3,600 5,200 6.800 1,000 1,800 2,600

102

8.400 10,000 3.400 4,200 5,000

11.600 13.200

1.800

(30)

1,139 1,153

(150) (270) 3,012

6.130

(390) 7.410

(510) (630) (750) 9.690 11,970 14.250

(870) {990) 16.530 16,810

EXPENSES

Salarios

1.50%

Administrative & Other Ixpens65 Interest on Long Term Debt

0.75%

0.00%

Interest on External Borrowings Front-End Faem Paid

10.00%

2.00%

TOTAL EXPENSES

------

NET PROFIT BEFORE TAX

Taxes

NET PROFIT AFTER TAX

Dividends

* Salaries & Admin. to Total Rever uos

* Net Profit to Total Revenues

304

30T

335

420

540

152

153

167

210

270

660 330

780 390

900 1.020 1,140 450

510

570

108

516

1.079

1.562 1.963

2.276

2.824

405

0

861

460

610

278

702

2.402

0.00%

0

278

7C2

1.146 1,689 2.552 3.133 3.626

3,984 5,521 7,138 6.837 10.624

0 2.402 3.904 5.521 7.138 8,837 10.624

3.636

4,354 5.346

12.176 13,464

0

0

40.05% 39.61% 16.67% 12.26% 10.93% 10.223 9.77% 24.39% 60.39% 79.75% 77.65% 74.51% 73.66% 73.83X

74.55%

12.176 12.176

9.47% 9.26% 73.66%

13.

454 13.464

9.09% pi

71.58%

Page 2 of 3

Annex 1

P.022