Clarification of STEC's FS. Q2/2007

Ref. No.: A/C ST.0674/2007 August 8, 2007 Subject : Clarification of STEC' s financial statement ended 30 June 2007. To : President of the Stock Exchange of Thailand Dear Sirs, We, Sino-Thai Engineering & Construction Public Company Limited, would like to provide the clarification on quarterly financial statement ended 30 June 2007 which shows net(loss) profit in the amount of Baht 130.85 million for the three month period and Baht 161.89 million for the six month period comparing to the same period of the previous year at Baht (1,856.66) million and Baht (1,805.25) million respectively due to the following reasons: nd 1. For the 2 Quarter of 2007 the increasing of company's net profit caused by not only increasing of revenue but also increasing of percentage of gross profit margin of the projects. 2. The company gains on sales of long-term investment's increased amount Baht 26.69 million from the same period of the previous year. Please kindly be informed. Yours sincerely, ___________________________ (Mr. Woraphant Chontong) Director