Clarification of Water Supply System project

ST. 010/2009/0046 November 3rd, 2009 Subject: Clarification of the news - the Construction of Water Supply System project according to the water shortage solving plans of Nakorn Ratchasima Municipal Attention: The President The Stock Exchange of Thailand According to the newspaper stated about the Nakorn Ratchasima Administrative Court's order to precribe provisional remedial measures before delivery of judgment in case number (red) 287/2552 between Mr. Teerapol Rattanaprayoon and the others totaling 91 people as the plaintiff and Nakorn Ratchasima Municipal and Royal Irrigation Department as the defendant. The Court's order instructing Nakorn Ratchasima Municipal to temporary suspend the construction of Water Supply System project according to the water shortage solving plans until the Court delivered other judgment or order. Sino-Thai Engineering and Construction Public Company Limited, ("the company") and Aquathai Company Limited corporate as the name of. S.A. Joint Venture - contractor for Water Supply System project of Nakorn Ratchasima Municipal - project owner. The company would like to clarify that contract value is totaling to 2,859.81 million Baht (exclude VAT) which is for the company portion amounted to 2,183.75 million Baht (exclude VAT). Furthermore, on October 21st, 2009, Nakorn Ratchasima Administrative Court declared its judgment on temporary suspending the construction of water supply system project to S.A. Joint Venture while the project has been already processed approximately 70% and the company has received the installment payments upon completion of each installment of work in a period as stated in the contract. Therefore, there will not be any significance matter affected to the company business. Nakorn Ratchasima Municipal has been already sent the appeal to the Supreme Administrative Court since October 27th, 2009 in case they will revise any amendment of the said order. It is therefore informed for your acknowledgement and dissemination to the public and other investors. Yours sincerely Mr. Woraphant Chontong SEVP. Financial and Administration Division Company Secretary Office Mr.Chaiyaporn Imcharoenkul (Company Secretary) Tel.0 2610 4900 ext 274 Fax.0 2259 4427