1991 — Page 10

REPORT OF THE DIRECTORS

The directors have pleasure in submitting their report and audited accounts for the year ended 31 December 1991.

Frincipal activities

The principal activities of the group are ferry operations and related business, trading and services, property investment and travel business. The turnover and contribution to operating profit of the principal activities of the group are as follows: -

Ferry operations

and related business

Trading and services

Property investment

Travel and others

Net interest income

TURNOVER

OPERATING PROFIT

1991

HK$ million

1990

HK$ million

1991

HK$ million

1990

HK$ million

461.1

413.0

50.4

25.6

259.1

251.2

14.2

14.6

78.6

73.2

67.4

64.5

92.1

92.2

7.6

3.0

13.0

11.3

890.9

829.6

152.6

119.0

No geographical analysis is shown as less than 10% of the group's turnover and profit is derived from activities outside Hong Kong.

Subsidiaries

Details of the subsidiary companies at 31 December 1991 are set out in note 11 on the accounts.

Financial results and dividends

The results of the group for the year ended 31 December 1991 and the state of affairs of the company and of the group at that date are set out in the accounts on pages 12 to 26.

An interim divdend of 8 cents per share was paid on 8 October 1991. The directors now recommend a final dividend of 26 cents per share to shareholders on record on 16 April 1992.

Donations

The group's charitable donations paid during the year amounted to HK$250,000 (1990 HK$30,000).

Fixed assets

Movements in fixed assets during the year are set out in notes 9 and 10 on the accounts.

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