Operating Results

TP-MT/079/46 (FC067/46) August 14th, 2003 Subject: Filing of Verified Financial Statements for the 2nd Quarter of 2003 and 2002 and Report on Comparative Operating - Performance Between the 2nd Quarter Attention: Director and Manager SET Enclosure : Verified Financial Statements and the Report of C.P.A. for the 2nd Quarter of 2003 - 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 for significant changes of business performances in the 2nd Quarter of 2003 as compared with the same Quarter in 2002 as followings: The company's net profit in 2nd quarter had decreased from Baht 7.75 million to Baht 5.88 million or 24.13% from the same period in 2002, due to the stronger value of U.S Dollar to Thai Baht had made exchange rate strengthened to Baht 42.05 to the Dollar in 2003 from Baht 42.90 to the Dollar in 2002. And also the increasing price of raw material by average at USD 570-620 per ton in 2002 to USD 680-795 per ton in the same period in 2003, or increasing 25-30% due to the effect of rising fuel price. Please be informed accordingly. Very truly yours, (Mr.Phietoon Trivijitkasem)(Mrs.Pojanard Phanaskhao) Director Director