SET Announcements

Ref: CK-00-0000-AFD-L-146 March 1, 2000 Attention: President The Stock Exchange of Thailand Subject:Declaration of the operating result of the year ended December 31, 1999, compared with the year ended December 31, 1998. The operating result of CH. Karnchang Public Company Limited, Subsidiaries and Joint Ventures for the year ended December 31, 1999 presented increased loss 1,470%, respectively, compared with the previous period due to the following factors: 1) Since the Joint Venture BBCD which CH. Karnchang Plc. has 35% of profit sharing constructed Bangna-Chonburi Expressway adjusted increasing construction cost as schedule delay. The cause of delay came from the employer (Expressway Rapid Transit Authority) could not submit right of way to the joint venture on scheduled. Then, the construction work had delayed for 11 months and had increased actual costs. The joint venture BBCD has sent letter to claim the employer for a compensation. Presently, the claim is in the process of consideration which we expect to receive the reasonable compensation. 2) Loss from adjustment of asset value according to International Accounting Standard No. 36 "Impairment of Assets". 3) The allowance for doubtful account for the receivable of joint venture BBCD which is over 1 year period. This receivable was the construction supplies to Joint Venture BBCD during the construction period. The Company expects to receive this payment after Joint Venture BBCD receives the compensation from the employer (Expressway Rapid Transit Authority). For your consideration. Sincerely yours, (Mr. Plew Trivisvavet)(Mr. Narong Sangsuriya) Directors