SET Announcements

Ref: CK-10-000-AFD(AC)-L-0089 August 16, 2010 Subject: Declaration of the Operating Result of Second Quarter Ended June 30, 2010 Compared with the Second Quarter June 30,2009 Attention: President The Stock Exchange of Thailand The operating result in the second quarter period of CH. Karnchang Public Company Limited, Subsidiaries and jointly controlled entities for the three months period and six months ended June 30, 2010 yields an increase in profit by 185.4% and a decrease in profit by 212.5% respectively, compared with the operating result from the same fiscal year 2009 due to the following factors: 1. The company's profit from revenue from forgiveness of accrued interest for three-month period in 2010 increased by Baht 144.2 million because the company has paid back for the loan from bank of which receiving debt transferred from BBCD Joint Venture prior time scheduled that enables the bank to waive accrued interest to the company accordingly. 2. The revenue from construction decreased during the six-month period because a subsidiary reviewed the estimated construction project costs for a hydroelectric power plant projects in Laos in order to ensure they reflected actual costs and the value of the remaining construction works since the construction works are mostly completed.As a result, the subsidiary increased its estimated construction project costs by a total of approximately Baht 1,070 million, equivalent to 4.7 percent of the project value as per the contracts. As a result of the adjustment of the estimates, the profit of the subsidiary's project was decreased by Baht 930 million. At the same time, the recognized profit has come from the large project which has been in construction since the end of 2009 such as the construction works of the Mass Transit System Project (Purple Line) (1) Bang Yai to Rat Burana, Bang Yai to Bang Sue Section, Contract 1: Elevated Structures that still not be much progress as has been during the first process of the project. Hence, kindly please be informed accordingly. Sincerely Yours, (Mr.Prasert Marittanaporn) (Mr. Anukool Tuntimas) Directors