Filing of Verified Financial Statement for Q1 of 2004

TP-MT/059/04 (FC025/04) May 17th, 2004 Subject : Filing of Verified Financial Statements for the 1st Quarter of 2004 and 2003 and Report on Comparative Operating Performance Between the 1st Quarter Attention : Director and Manager, SET Enclosures : Verified Financial Statements and the Report of C.P.A. for the 1st Quarter of 2003 - 2004, 2 copies (1 Thai and 1 English versions) Referring to SET regulations concerning Criteria, Conditions and Methods of Preparation, Filing, and Reporting on Financial Status and Business Performance of Listed Companies dated May 19, 1993 requiring the company's clarification on causes contributing to changes over 20 percent of business performances from the previous operating period accordingly, Thantawan Industry Public Co., Ltd. (THIP) would like to indicate the major causes for significant changes of business performances in the 1st Quarter of 2004 as compared with the same Quarter in 2003 as following : The company's net profit had decreased from Baht 0.11 million in the 1st Quarter of 2003 to Net loss Baht 4.77 million of the same period in 2004, or changes over 20 percent following causes : 1.1 The stronger value of U.S Dollar to Thai Baht had made exchange rate strengthened to Baht 39.05 to the Dollar in 2004 from Baht 42.60 to the Dollar in 2003 or average at Baht 3.55 to the dollar. 1.2 The Purchasing cost of raw material in the 1st Quarter of 2004 was USD790-850/ton, comparing to the same period in 2003 which was at USD590-730/ton or increasing 16-34%. Due to the effect of rising fuel price and raw material which always rise suddenly meanwhile our selling price can not be increased accordingly by a limitation of market mechanism. Please be informed accordingly. Very truly yours, (Mrs.Pojanard Phanaskhao)(Mr. Phietoon Trivijitkasem) Authorized Director