Conformed Copy - C2091 - North China Earthquake Reconstruction Project - Amendment

Page 1 June 24. 1991 Mr. Luo Qing Director, World Bank Department Ministry of Finance Beijing, People's Republic of China Re: Cr.No. 2091-CHA (North China Earthquake Reconstruction Project) Use of Savings Dear Mr. Luo: We refer to the Development Credit Agreement (North China Earthquake Reconstruction Project) between the People's Republic of China (the Borrower) and the International Development Association (the Association) dated March 2, 1990. We also refer to the Ministry of Finance's: (i) letter of December 17, 1990 requesting the Association to allow the Borrower to use savings of about SDR 6.5 million under the Project, for expanding the scope of the Project; and (ii) telex of May 15, 1991, requesting increasing the amount of the Credit allocated to equipment under Category (7) of Schedule 1 to the Development Credit Agreement. We are pleased to inform you that the Association, after due consideration, has agreed to your requests. Accordingly, (i) Part A and Part B of the Project, in Schedule 2 to the Development Credit Agreement, are amended as in the Attachment to this Letter; and (ii) the amount allocated to Category (7) will now read "1,750,000, and to Category (9) "130,000". All the provisions of the Development Credit Agreement, as amended by this Letter, remain the same. Please confirm your agreement with the foregoing amendment by signing and dating the confirmation form on the enclosed copy of this letter and returning it to us for our files. A copy of this letter is enclosed for your files, and another copy is being sent to each of Shanxi and Hebei Provinces for information. Yours sincerely, By /s/ Shahid Javed Burki Director China and Mongolia Department Asia Region CONFIRMED: PEOPLE'S REPUBLIC OF CHINA By /s/ Authorized Representative ATTACHMENT Part A: Shanxi Provision of civil works, construction materials and goods for reconstruction works in about 180 villages in Yanbei Prefecture (including about 8 villages to be relocated), including, (i) reconstruction of about 26,000 collapsed dwelling rooms, and rehabilitation, repair and reinforcement of about 35,000 other rooms; (ii) Page 2 reconstruction of about 1200 public facility rooms (village class rooms, health centers, village store houses and other public buildings) and repair and reinforcement of about 2,800 other rooms; (iii) re-establishment and repair of critical village infrastructure of power lines and water supply; and (iv) repair of damaged buildings of about 17 Rural enterprises. Part B: Hebei Provision of civil works, construction materials and goods for reconstruction works in about 80 villages in Yangyuan County, including, (i) reconstruction of about 2700 dwelling rooms, and rehabilitation, repair and reinforcement of about 27,000 other rooms; (ii) reconstruction of about 750 public facility rooms village class rooms and health centers) and repair and reinforcement of about 600 other rooms; (iii) repair of about 45 villages' water supply and irrigation works; and (iv) repair of two seriously damaged industrial and commercial enterprises.