REPORT ON THE PREPARATION TO COPE WITH Y2K 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 Dec 1998. Problem Solving for the Current Company's Business Operation : The overall progress is 91 % completed, which can be described as follow 1. Back Office System - Hardware&Operating system : Ready for year 2000 - Application Modification : The modification is completed. - Testing : The progress on testing is 90% 2. General Office Work - Hardware :Outstanding activity is time setting at year 2000 - In-House developed program : Modification and testing are completed - Software Package : Verification and test are completed 3. Network Systems - Ready for year 2000 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 we are in the testing phase. We believe that the plan still can be achieved with in 2nd quarter,1999. 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 ............................