CLARIFICATION ON THE RESOLUTION OF BOD'S MEETING

TP-MT/108/45 (FC085/45) August 13th, 2002. Subject: Clarification on the resolution of BOD's meeting and - updating on money lending to parent company transaction Attention: Managing Director, SET Re : Minute of BOD's meeting no. 5/2002 dated August 9th, 2002. Referring to the minute of Board of Directors' meeting no. 5/2002 on August 9th, 2002 on agenda no. 4.1 on money lending to parent company, the Board of Directors had suggested for reporting the said transaction to SET. Therefore, THIP would like to clarify the details as follow : Referring to the extraordinary shareholders' meeting no.1/2002 on February 25th, 2002 on agenda 2, THIP had followed the resolution strictly about the way to manage the maximum benefit for cash surplus and financial efficiency as well, and the resolution was approved upon the following conditions : - The Board of Directors has the right to consider and approve the best way to manage for the maximum benefit when THIP has had lots of idle cash on hand. - The Board of Directors has to consider that the idle cash on hand should not affect the normal business use, which meant adequate cash reserves had been met. - Consideration of the time duration, which means for short-term lending only. In this regard, the Board of Directors considered that the said transaction had been considered and approved by the extraordinary meeting, and thus applicable for the next similar case. In addition, THIP would like to inform about the repayment of 2 Promissory Notes issued by Sunflower Co.,Ltd., parent company, during 2nd quarter in 2002, total amount of Baht 19.0 million as follows : No. dated maturity date amount int.rate repayment date amount 1 26/4/02 25/6/02 Bt.9 million 10% annum 25/6/02 Bt.9 million 2 28/5/02 27/6/02 Bt.10 million 10% annum 27/6/02 Bt.10 million These loans had been repaid in full amount including interest earned. Therefore the Board of Directors suggested THIP to inform the said transaction to SET and investors as recommended by the Auditor and Audit Committee. Please be informed accordingly. Very truly yours, (Mr.Huang Kuan-Chiun)(Mr.Phietoon Trivijitkasem) Director Director