Clarification of change for investment in subsidiary

A/C 0230/2007 14 May 2007 To: Director and Manager The Stock Exchange of Thailand Subject: Clarification of the effect of the change in accounting for investment in subsidiary for the second quarter ended 31 March 2007 During accounting period 2006, the company invested in a subsidiary amounting to Baht 10 million. The company accounted for its investment using the cost method in compliance with the notification from FAP No. 26/2549 dated 11 October 2006 "TAS 44 - Consolidated Financial Statements and Accounting for Investments in Subsidiaries. The FAP announcement requires a parent company which has investments in a subsidiary company, an entity under joint control, or an associate company, which is not classified as a "held for sale" investment, to record the investment in accordance with either the cost method or with the recognition and measurement basis for financial instruments. This adjustment caused the net income on the separate financial statement to differ from that reported in the consolidated financial statement. The company had net income of Baht 66.30 million for the three-month period ended March 31, 2007, according to the consolidated financial statement. However, the separate financial statement over the same period showed a net income of Baht 66.38 million. Now, the subsidiary company has not yet started operation. For your kind attention. Yours sincerely, (Mr. Krirkchai Siribhakdi) President