REPORT ON THE PREPARATION TO COPE WITH YK PROBLEM

Report on the preparation to cope with Y2K Problem. We, Sino-Thai Engineering & Construction Public Company Limited, having business as general construction with registered office at 29th-30th floor, Sino Thai Tower, Sukhumvit 21, Asoke, Bangkok 10110 Tel : (02) 260-1321-32 Fax : (02) 260-1339, wish to provide the second report on the company's preparation to cope with Y2K Problem as of 30 Sep 1998. Problem Solving for the Current Company's Business Operation : 1. Back Office System - Hardware&Operating system : Additional harddisk are installed, operating system and development tool (LANSA) are upgraded. - Application Modification : The modification is about 70% completed. Almost major impacts due to date calculation have been solved. The remaining problem is date sorting in the reports - Testing : The progress on testing is 50% 2. General Office Work - Hardware : Training of how to set the date of PC at year2000 is completed. - In-House developed program : The modification of program is completed in which 80% was tested. - Software Package : Verification and test are 90 % completed 3. Network Systems - The remedy and test is completed Analysis Report and Executive Summary. According to our plan, we are still on plan without any major obstruction or problem. In general, almost major impacts from Y2K to our computer system have been solved and the testing is in the process. The progress up to this quarter is 71% completed. The company believe that the plan still can be achieved with in 2nd quarter of 1999 and also believe that there will be no significant impact from Y2k problem to the business Upon the review on the content of this report, the company hereby read, examine and verify the content and the information contained herein being true. It is understandable that no misinterpreted content and information are conducted, nor any significant information is missing from to report and harmful to all shareholders. To verify the correct copy of the whole document, the company hereby appoint ..Dr.Udomsak Chakreyavanich..to be our representative to have his initial / signature on each page of the report. If any pages are found without the initial / signature of ..Dr.Udomsak Chakreyavanich.., the company will not be bound to any content of such information. No . Name Position Signature 1 Mrs.Tassanee Charnvirakul Chairman of the Board 2 Mr.Anutin Charnvirakul Director 3 Dr.Udomsak Chakreyavanich Director 4 Mr.Vallop Rungkijvorasathien Director 5 Mr.Masthawin Charnvirakul Director Name Position Signature Authorized representative Dr.Udomsak Chekreyavanich Director ............................