Report of Operating Performance

THIP-SET/040/2548 August 10th, 2005 Subject : Filing of Verified Financial Statements for the 2nd Quarter of 2005 and 2004 and Report on Comparative Operating Performance Between the 2nd Quarter Attention : Director and Manager, SET Enclosures :Verified Financial Statements and the Report of C.P.A. for the 2nd Quarter of 2004 - 2005,2 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 2nd Quarter of 2005 as compared with the same Quarter in 2004 as following : The company's net profit in the 2nd Quarter of 2005 was 51.02 million baht which had increased 1.13 million baht or 4.415% at the same period in 2004. 1.At the end of 2004 the Company recorded 40 million baht as allowance for doubtful account. On May 20, 2005 this record had been released by transferring a piece of land as the repayment of debt at 40 million baht value, referring to the resolution of Ordinary General Meeting of Shareholders No. 1/2005 on April 25, 2005, for such reason generated an increasing in revenue and net profit also. 2.A revenue from sales in the 2nd Quarter of 2005 was 186.35 million baht comparing to the same period in 2004 was 172.83 million baht therefore there was an increasing at 13.52 million baht or 7.82%. This generated 11.02 million baht as operating profit. Please be informed accordingly. Very truly yours, (Mrs.Pojanard Phanaskhao)(Mr. Phietoon Trivijitkasem) Authorized Director