OPERATING RESULTS

TP-MT/016/46 (FC025/46) 3 March 2003. Subject : 1. Filing Audited Financial Statements for the year 2002 2. Disclosure of Comparative Business Performance Between 2002 and 2001 Attention : Director and Manager SET Enclosure : Audited Financial Statements and Report of CPA for year ended 2002, 2 copies (one in Thai, and another one in English) Referring to SET's regulation on Criteria, Conditions and Methods of Preparation and Filing the Financial Statements and Reporting on Financial Status and Business Performance of Listed Companies dated 19 May 1993 which required the company to clarify causes resulting in changes of business performance more than 20% from the same period of previous year. Thantawan Industry Public Co.,Ltd. (THIP) would like to clarify the major causes resulting in changing of business performance in 2002 from 2001 as followings : - In 2002, total revenues of THIP was Bt.696.44 million, had decreased Bt.60.22 million or 7.96% due to the decline in Export Income which had decreased from Bt.666.10 million in 2001 to Bt.594.47 million of the same period in 2002, amounting Bt.71.63 million or 10.75%. Because of stronger value of U.S Dollar to Thai Baht had made exchange rate strengthened to Bt.42.80 to the Dollar in 2002 from Bt.44.63 to the Dollar in 2001. Besides the stronger value of U.S Dollar to Thai Baht, there was also high competition in the world market, some customers didn't care much on quality of products, had bought from other suppliers at cheaper price. With these reasons had resulted to the declining of net profit in 2002 amounting Bt.10.51 million from 2001 or 25.81%. Please be informed accordingly. Very truly yours, (Mr.Phietoon Trivijitkasem) (Mr.Huang Kuan-Chiun) Authorized Director