SET Announcements

(Translation) No. CK-07-0000-PO-L-0073 March 14, 2007 Re: Additional Clarification on Development of Pathum Thani Water Co., Ltd. Attn. President The Stock Exchange of Thailand Reference is made to the fact that the Board of Directors of CH. Karnchang Public Company Limited resolved to grant approval for Pathum Thani Water Co., Ltd. ("PTW") to restructure, the Company hereby informs that the development of PTW as follows: PTW has restructured itself by increasing the registered capital and used the money from such capital increase, totaling Baht 1,650,000,000.00 (One Billion Six Hundred Fifty Million Baht Only), as follows: - To repay the obligation in full under the Sponsors Support Agreement to the shareholders in respect of the principal of Baht 934,000,000 (Nine Hundred Thirty Four Million Baht Only), including interest of Baht 423,382,707.88 (Four Hundred Twenty Three Million Three Hundred Eighty Two Thousand Seven Hundred Seven Baht Eighty Eight Satang), totaling Baht 1,357,382,707.88 (One Billion Three Hundred Fifty Seven Million Three Hundred Eighty Two Thousand Seven Hundred Seven Baht Eighty Eight Satang), whereby CH. Karnchang Public Company Limited, in the capacity as a shareholder proportionately providing such loan under the Sponsors Support Agreement, has received such repayment representing the principal of Baht 516,815,857.21 (Five Hundred Sixteen Million Eight Hundred Fifteen Thousand Eight Hundred Fifty Seven Baht Twenty One Satang), including interest of Baht 231,947,736.37 (Two Hundred Thirty One Million Nine Hundred Forty Seven Thousand Seven Hundred Thirty Six Baht Thirty Seven Satang), totaling Baht 748,763,593.58 (Seven Hundred Forty Eight Million Seven Hundred Sixty Three Thousand Five Hundred Ninety Three Baht Fifty Eight Satang) on January 25, 2007; - To pay for shares in BJT Water Co., Ltd., whereby PTW has made such share payment of Baht 305,000,000.00 (Three Hundred Five Million Baht Only) to the existing shareholder on January 26, 2007. PTW has used its operating funds to pay the termination fee of the Operation and Maintenance Agreement ("O&M") with Pathum Thani Operations Co., Ltd. ("OPCO") which requires payment of compensation for termination of the Agreement in the amount of Baht 385,000,000.00 (Three Hundred Eighty Five Million Baht Only) which shall be made by quarterly installments and the amount to be paid, together with interest, shall depend on PTW's cash flow. Any late payment thereof shall be subject to interest payable to OPCO at the rate not exceeding the interest rate of the lending banks but not lower than the interest rate under the Sponsors Support Agreement. Such payment shall be made in full by April 30, 2008. PTW has made the first installment of the said termination fee, in the amount of Baht 125,000,000.00 (One Hundred Twenty Five Million Baht Only) to OPCO on January 26, 2007. Please be informed accordingly. Very truly yours, - Signature - (Mr. Anukool Tuntimas) Executive Vice President Human Resource and General Administration ?? ?? ?? ??