SET Announcements

Tor.26/1998 August 28, 1998 RE : Report on the preparation for the year 2000 problems Dear President The Stock Exchange of Thailand Report on the preparation for the year 2000 problems Loxley Public Company Limited ("Company") is in a commercial sector. The head quarter is located at 102 Soonthornkosa Road, KlongToey, Bangkok, Tel.240-3000, Fax.240-3243. The Company would like to report on its preparation for the year 2000 problems ("Y2K") No. 1 as at July 31, 1998. The preparation for the year 2000 problems 1.1 Analysis and forecast impact The Company has assigned the Information Systems Department ("ISD")under supervision of Ms.Nalinee Bijaisoradat, Vice President, to tackle the problems. ISD team has test all operated systems, applications, and data base to identify the Y2K supporting. If the systems do not support the Y2K, it will have to be replaced or converted. For the main systems such as accounting system, customers database, and sale, ISD has started its process since last year (4Q/1997). In addition, the replacement and conversion of the systems has been implementing and has more than 80% completed. 1.2 Impact on businesses The systems that may cause impact on the Company is that systems' calculation error; for example assets depreciation, provident funds, overtime salary, etc, The calculation error is related to the figure that involve "date." The impact that may occur would cause the delay in business processes or default calculation. Moreover, an external factor such as the telephone system and electrical system problems may have an effect on the Company as well. 1.3 Planning The Company has implemented strategy to tackle the Y2K problems. For the hardware and computers assessment, ISD team are working on the inventory and impact assessment. The team has completed for more than 70% of the process and its divided into 2 stages as following: Stage 1 : Upgrade system software by December 1998 (expected) Stage 2 : Reconfigure BIOS for PCs. The implementation for this stage will be started in 2Q of 1999 and it would take about 3 months to complete. The steps of reconfiguration and upgrade for database, application programs, and other assessments are mainly integrating from the original structure under UNIX environment. The basic cost for the transaction is estimated at Bt1.0 million. 1.4 Implementation The next step after reconfiguring the program is to upgrade computer accessories. This process will begin in 4Q/1998 1.5 Comment from management The Company's preparation is 80% completed. The completion of Y2K's is expected to be on 2Q/1998. LOXLEY PUBLIC COMPANY LIMITED CERTIFICATE OF INFORMATION ACCURACY "I have examined the document contents and information contained in this report. I hereby certify that such contents and information are true and correct and are not misleading nor missing any material information required to be reported which may cause damage to the holder or purchaser of the securities In addition, evidence that all documents are documents certified by myself, I have authorized Mr.Pichai Mooputtarak to sign on all pages of this report. Without Mr. Pichai Mooputtarak's signature duly signed on the document such document will not be deemed to be certified." Name Position Signature 1. Mr.Pairote Lamsam Chairman ........... 2. Mr.Sukit Wanglee Vice Chairman ........... 3. Mr.Dhongchai Lamsam President ........... 4. Dr.Wichian Watanakun Director ........... 5. Dr.Harit Sutabutr Director ........... 6. Mr.Supachai Wanglee Director ........... 7. Mr.Charoon Chinalai Director ........... 8. Mr.Suebtrakul Soonthornthum Director ........... 9. Mr.Suchin Suwannacheep Director ........... 10.Mr.Pujapong Phisanbut Director ........... 11.Mr.Poomchai Lamsam Director ........... 12.Mr.Vasant Chatikavanij Director ........... 13.Mr.Suchin Baholyodhin Director ........... 14.Mr.Viroj Nualkhair Director ........... 15.Mrs.Rujiraporn Wanglee Director ........... Undersigned 1.Mr.Pichai Mooputtarak