The Kowloon-Canton Railway Corporation (九廣鐵路公司), frequently abbreviated to KCRC, is wholly owned by the Hong Kong Special Administrative Region government and based in Hong Kong. It is a public corporation concerned with the task of operating and developing railway services within and to/from Hong Kong, and property development along its railway network in Hong Kong. The current chairman of the board is Michael Tien, who tendered his resignation on March 12, 2006 due to the lack of support from the KCRC management.
The KCRC expanded its operations in 1984, accepting the government's invidation to build and operate the Light Rail network in the New Territories, which came into service in September of 1988. The KCRC started to develop and lease property around the same time. The first joint-venture property development, Pierhead Garden, was completed in 1988. Today, profits generated from property and commercial services are used to fund railway service improvement projects and other strategic initiatives.
The KCR is currently constructing a spur line running from Sheung Shui to Lok Ma Chau to create a second border crossing.
The West Rail, opened on December 20 2003, has been criticised by passengers for its relatively high fares, inconvenient station locations, and failure to connect to the heart of the urban area. As a result the number of passengers that use the West Rail has been less than expected, causing problems for the KCRC.
At the end of 2004, two extensions were commissioned: the extension of the East Rail from the Hung Hom terminus to Tsim Sha Tsui East was opened on October 24, 2004; and the Ma On Shan extension, which will link Ma On Shan with the East Rail at Tai Wai was opened on December 23, 2004. These have so far proved less popular than expected, and the KCRC has offered special monthly tickets to encourage more passengers to use the new services.
In addition the company jointly operates intercity services to and from Guangzhou and other cities in mainland China.
On March 10 2006, with the signed support of all 5 operations directors and 19 managers, the Acting Chief Executive Officer Samuel Lai Man Hay wrote to the Managing Board. Lai complained the Chairman of the Board, Michael Tien's leadership style. Around 80% of the staff has signed for support to Lai.
March 11 2006, Michael Tien met the Chief Executive of Hong Kong, Donald Tsang. In the afternoon of March 12 2006, Tien announced his resignation, while the effective date has to be determined by Tsang.
After further negotiation, Tien withdrew his resignation and Lai resigned. James Blake, the former Secretary for Works and a civil engineer, succeeded Lai as Chief Executive Officer at age 71.
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