TNAG-1949-FCO40-2777-Future-of-Hong-Kong-First-Pacific-Bank-Limited-1989 — Page 20

(a)

(b)

(c)

(a)

(e)

the balance sheets and profit and loss accounts

the

the

all

of First Pacific Bank and Far East Bank for accounting period of each company in which appointed day falls shall be prepared in respects as if the undertaking had vested in First Pacific Bank pursuant to section 5 on the first day of such accounting periods;

every existing reserve of Far East Bank, including the special non-distributable reserve created pursuant to section 4(1)(b), shall be transferred to and for all purposes be and become a reserve of First Pacific Bank;

the amount, description and character of every reserve of First Pacific Bank which shall come into being pursuant to paragraph (b) shall be the same in all respects as

those of the corresponding existing reserve immediately before such appointed day, and all enactments and rules of law shall apply to or in respect of every such reserve of First Pacific Bank in the same manner in all respects as they applied to or in respect of the corresponding existing reserve immediately before the appointed day;

all property comprising interests in land and buildings forming part of the undertaking shall, for the purposes of preparing the balance sheet of First Pacific Bank, be deemed to have been acquired by First Pacific Bank at value equal to the independent valuation of such property as at 31/March 1989 obtained by Far East Bank; and

any retained profits of Far East Bank as at the first day of such accounting periods shall be distributable by First Pacific Bank.

an existing

(2) Every reference in subsection (1) to reserve shall include a reference to any reserve or similar provision, irrespective of its name or designation (and whether the amount thereof be positive or negative in nature) and, without prejudice to the generality of the foregoing, every such reference shall include a reference to any sums standing to the credit (or debit) of any profit and loss account.

(3) Without prejudice to the generality of subsection (1) any profits or losses of Far East Bank earned or incurred after the beginning of the financial year of Far East Bank in which the appointed day shall occur, shall, on and from the

the appointed day, and by virtue of

by virtue of this Ordinance, be treated for all purposes as profits oI, as the case may be, losses, of First Pacific Bank.

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