1988 — Page 43

STATEMENT OF CHANGES IN FINANCIAL POSITION

FOR THE YEAR ENDED 31ST DECEMBER, 1988

1988 HK$'000

1987 HK$'000

Source of Funds

Profit before taxation

244,611

268,335

Adjustment for items not involving the movement of funds:

Depreciation

190,895

159,560

Profit on disposal of fixed assets

(3,005)

(3,237)

Provision for staff retirement fund

43,950

45,529

Contingency reserve

insurance

53,103

14,744

284,943

216,596

Funds generated from operations

529,554

484,931

Funds from other sources:

Proceeds on disposal of fixed assets, less expenses

3,365

4,170

Increase in long term liabilities

141,506

Decrease in deposits paid in respect of buses on order

3,200

Decrease in buses under construction

85,058

88,423

148.876

617,977

633,807

Application of Funds

Dividends paid

165,492

164,685

Tax paid

21,337

3,478

Staff retirement benefits paid

48,222

53,026

Additions to fixed assets

291,318

427,252

Increase in buses under construction

65,671

Expenses on issue of shares

654

561

Increase in deposits paid in respect of buses on order

5,580

Decrease in long term liabilities

129,055

661,658

714,673

(43,681)

(80,866)

Increase/(Decrease) in Working Capital

Spare parts and stores

(22,474)

24,942

Accounts receivable, deposits and prepayments

13,939

3,155

Accounts payable

3,494

(39,058)

Insurance claims payable

2,754

(11,285)

Movements in net liquid funds:

Deposits, cash at banks and in hand.

(51,120)

(6,470)

Bank loans and overdrafts

(7,647)

(5,960)

Other borrowings

17,373

(46,190)

(43,681)

(80,866)

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