CLARIFICATION ON ACTIONS TAKEN OF CROSS-RELATED TRANSACTION

TP-MT/027/45 (FC021/45) February 19th, 2002. Subject: Clarification on actions taken under the regulation of cross-related transaction Attention: Managing Director, SET Re : Letter from SET no. KorTor 32/2002 dated February 5th, 2002. Referring to SET's letter no. KorTor 32/2002 dated February 5th, 2002 which had requested THIP to clarify the reason why not taking actions demanding Sunflower Co.,Ltd. to repay the loan on time. THIP would like to inform that THIP didn't intend to avoid taking actions under the said regulation. We always follow the rule strictly especially on matter of following up loan repayment from Sunflower Co.,Ltd. as agreed, which had undertaken actions as followings : 1. THIP had received full loan interest from Sunflower Co.,Ltd. amounting 838,493.15 baht on January 28th, 2002 and January 30th, 2002. In addition, the working team appointed by Board of the meeting on January 18th, 2002, had followed up and demanded Sunflower Co.,Ltd. to repay loan principal of 23.0 million baht, and also had analyzed and requested for additional loan collateral on January 30th, 2002. Sunflower Co.,Ltd. later had proposed the collateral with the appraisal value report, which is undertaking the verification steps before mortgaging registration. 2. In the meantime, THIP is seeking a Financial Advisor to give advice and justification about the transaction for shareholders to consider on the extraordinary shareholders' meeting no. 2/2002 to be held on April 5th, 2002. 3. The time frame for the extraordinary shareholders' meeting has been attached herewith. Please be informed accordingly. Very truly yours, (Mr. Viroon Paolinjong) Director Time frame for the extraordinary shareholders' meeting no. 2/2002 to be held on April 5th, 2002. 1. Send invitation letter for Board of Directors' meeting Mon. Feb.25 2. Board of Directors' meeting Mon. March 4 3. Submit brief information to SET Mon. March 4 4. Newspaper advertising Tue. March 5 5. Close shareholder registrar book for the right of - shareholders to vote in the meeting Mon. March 18 6. Prepare invitation letter for the meeting Wed. March 6 - 24 7. Newspaper advertising the invitation letter for the meeting Fri. March 22 - 24 8. Distribute the invitation letter and brief information - to shareholder Mon. March 25 9. Extraordinary shareholders' meeting no. 2/2002 Fri. April 5, 2002