EMC PUBLIC COMPANY LIMITED AND ITS SUBSIDIARY COMPANIES
NOTES TO FINANCIAL STATEMENTS
AS AT 31 DECEMBER 2002 AND 2001
1.	GENERAL INFORMATION
	EMC Public Company Limited (the Company) was incorporated as a public limited 
company under Thai laws.  The Company operates its business in Thailand and its 
principal activity is the provision of services under long-term service agreements and 
construction agreements.  The Companys registered office is located at 22nd Floor, Rasa 
Tower, 555 Phaholyothin Road, Chatuchak, Bangkok.
	During 2001, the Company opened a branch office in Cambodia to operate in Cambodia.  
No revenue has yet been recognised from the operations of the branch.  
2.	GOING CONCERN PROBLEM AND PRESENTATION OF FINANCIAL 
STATEMENTS
	The Company and its subsidiaries have consistently incurred significant losses from their 
operations and had current liabilities significantly in excess of current assets.  Furthermore, 
the Company and its subsidiaries had significant amounts of loans and related interest 
which were due for repayment but have not been repaid. The Company and its subsidiaries 
have recorded accrued interest expenses at the rates in the loan agreements or other related 
documents. 
	On 1 December 1999, the Company put its name down to carry out debt restructuring in 
accordance with the regulations of the office of the Corporate Debt Restructuring Advisory 
Committee.  The Company was classified as a group 3 (Khor Por Nor 3) candidate for debt 
restructuring, to be carried out in line with the procedures specified by the Bank of 
Thailand.   On 27 January 2000, three of the Companys subsidiaries lodged requests to 
restructure their debt together with that of the Company.

	On 26 June 2000, the financial institution creditors resolved to accept the debt restructuring 
plan of the group companies of EMC Public Company Limited and jointly signed a term 
sheet for the debt restructuring of the group.  The group companies petition to the Central 
Bankruptcy Court to rehabilitate the business of the group companies was accepted by the 
court during the third quarter of 2000 and the court issued an order for such rehabilitation, 
appointing EMC Power Company Limited as the rehabilitation planner. Subsequently, 
during the year 2001, the Company and its subsidiaries rehabilitation plans were approved 
by the Central Bankruptcy Court.  The Company and its subsidiaries are currently in the 
process of implementing these plans.  However, the Company and its subsidiaries have not 
recorded the differences between the balances of debts per their accounts and per the 
rehabilitation plans as the amounts of debt payables under the rehabilitation plans may 
change by order of the official receiver, which is still pending, and cannot be determined at 
this stage.
	The rehabilitation plans of the Company and its subsidiaries consist of a capital reduction 
and increase, a debt to equity swap and extension of the repayment period, as discussed in 
Note 5.
	In view of the foregoing, the Company and its subsidiaries abilities to continue their 
businesses as going concerns depends upon the success of their restructuring in accordance 
with their rehabilitation plans, the abilities of the Company and its subsidiaries to 
implement the plans, and the recovery of Thai economy.  Nevertheless, the accompanying 
financial statements have been prepared under the going concern basis, assuming that the 
realisation of assets and settlement of liabilities and obligations will occur in the ordinary 
course of businesses of the Company and its subsidiaries, without any expectation of 
significant disruption to the ongoing activities.
3.	BASIS OF CONSOLIDATION
3.1	These consolidated financial statements include the financial statements for the years 
ended 31 December 2002 and 2001 of the Company, its subsidiaries and its jointly 
controlled joint ventures as summarised below :-




Percentage owned

Percentage owned
by the Company's
Company name
by the Company
subsidiary company

2002
2001
2002
2001
Subsidiary companies :




Sahakarn Wisavakorn Company Limited
46
51


BIP Engineering & Construction Company Limited
51
54


Hydrotek Company Limited
73
98


EMC Power Company Limited
100
100


The Joint Venture of Hydrotek and Sahakarn (Held by Hydrotek 




   Company Limited and Sahakarn Wisavakorn Company Limited)


100
100
Joint Venture (proportionate consolidation) :




The Joint Venture of Hydrotek Company Limited and




 Viriyasoontorn Engineering Limited Part Consortium


50
50
Hydrotek - Salcon Joint Venture


48
-
Hydrotekseri Joint Venture


100
-
	The consolidated financial statements for the year ended 31 December 2002 have 
included the financial statements of Sahakarn Wisavakorn Company Limited which 
the Company is held 46 percent because the Company still has control over that 
company by the planner.
3.2	The outstanding balances and transactions between the Company, subsidiary 
companies and joint ventures, the Companys investments in the subsidiary 
companies, the shareholders' equity of the subsidiary companies and the venturers 
equity of the joint ventures have been eliminated from the consolidated financial 
statements.
3.3	The Company included the joint ventures financial statements under the 
proportionate consolidation method.
4.	SIGNIFICANT ACCOUNTING POLICIES
	The financial statements have been prepared in accordance with accounting standards 
pronounced by the Institute of Certified Accountants and Auditors of Thailand which are 
effective under Accounting Act B.E. 2543.

	Significant accounting policies adopted by the Company, its subsidiaries and its joint 
ventures are summarised below.
	4.1	Revenue recognition
	a)	Service income
		Revenues from service and construction contracts are recognised on the basis 
of percentage of completion.  Allowance for foreseeable losses on projects will 
be made in the accounts as soon as the possibility of loss is ascertained.
		The recognised revenues, which have not yet been due as per contracts, have 
been presented under the caption of "Unbilled receivable" in the balance 
sheets.
	b)	Sales 
		Revenues from sales represent the invoiced value, excluding value added tax, 
of goods sold and delivered.
	c)	Interest income
		Interest is recognised as income on a time proportion basis.
	4.2	Cost of service
		Cost of service provided under service and construction contracts is recognised on an 
accrual basis.
		Recognised costs of services which are not yet due as per the contracts have been 
shown under the caption of Unbilled payable - cost of construction in the balance 
sheets.
	4.3	Trade accounts receivable and allowance for doubtful accounts
		Trade accounts receivable are stated at the net realisable value.  Allowance for the 
estimated losses that may incur in doubtful accounts is provided for collection of 
receivables. The allowance is based on collection experience and current status of 
receivables outstanding at the balance sheet date.

	4.4	Inventories
		Inventories are valued at the lower of cost (first-in first-out method) and net 
realisable value.
	4.5	Investments accounted for under equity method
		Investments in subsidiary companies and the Joint Ventures (as shown in the 
financial statements of the Company) and investments in associated companies are 
stated under the equity method of accounting.  Under this method, the investment is 
recorded at cost with the excess of cost over the attributable net assets at the date of 
acquisition being amortised over a period of five years.  For each subsequent year the 
investment is adjusted to incorporate the Company's proportionate share of the 
operating results in the subsidiary companies, joint ventures and associated 
companies.
		Losses from investments in excess of cost have been shown under the caption of 
Provision for loss from investments accounted for under equity method in the 
balance sheets.
		Weighted average method is used for computation of cost of investments.
	4.6	Other long-term investments
		Long-term investments in non-marketable equity securities, which the Company and 
its subsidiaries hold as other investments, are valued at cost.
		For other investments, the Company and its subsidiaries recognise loss on 
impairment of securities in the earnings statement when the carrying amount exceeds 
the recoverable value.
	4.7	Property, plant and equipment/depreciation
		Land is stated at cost less allowance for impairment of assets.  Plant and equipment 
are stated at cost less accumulated depreciation and allowance for impairment of 
assets.  Depreciation of plant and equipment is calculated by reference to their costs 
on a straight-line basis over following estimated useful lives :-


  Building 
- 5 - 10 years
Tools, machinery and equipment
- the period of lease and 5 - 10 years
Furniture, fixture, equipment and office equipment
- 5 years
Motor vehicles
- 5 years
		Depreciation on devalued assets is calculated on the straight-line method, based on 
the reappraised value of plant and equipment and its remaining useful life.  
Depreciation is included in determining earnings.
	4.8	Foreign currencies
		Foreign currency transactions during the year are translated into Baht at the rates 
ruling on the transaction dates.  Assets and liabilities in foreign currency outstanding 
on the balance sheet date are translated into Baht at the rates ruling on the balance 
sheet date.
		Exchange gains and losses are included in determining earnings.
	4.9	Cash and cash equivalents
		Cash and cash equivalents include of cash in hand and at financial institution with an 
original maturity of 3 months or less and not subject to restriction.
	4.10	Use of accounting estimates
Preparation of financial statements in conformity with generally accepted accounting 
principles requires management to make estimates for certain accounting transactions, 
and affecting amounts reported in the accompanying financial statements and notes 
related thereto.  Subsequent actual results may differ from these estimates.
	4.11	Gain from debt restructurings
		The Company and its subsidiaries adopt an accounting policy related to troubled debt 
restructuring whereby in case that debts are settled through an issuance of the 
Company and its subsidiaries shares to its creditors, the excess of the extinguished 
debt over the fair value of the shares is recognised as at extraordinary gain in the 
earnings statements.
		When the debt restructuring involves a waiver of debts, a portion of the waived debts 
that exceeds the aggregate amount of interest expenses to be incurred over the term 
of the new agreement is recognised as an extraordinary gain in the earnings 
statements.

	4.12	Basic earnings per share
		Basic earnings per share is calculated by dividing net earnings for the year by the 
weighted average number of ordinary shares held by outside parties in issue during 
the year.
		Diluted earnings per share is calculated by dividing net earnings for the year by total 
sum of weighted average number of ordinary shares outstanding during the year plus 
the weighted average number of ordinary shares to be issued for conversion of all 
dilutive potential ordinary shares into ordinary shares.  The calculation assumes that 
the conversion tooks place either at the beginning of the year or on the date the 
potential ordinary shares were issued.
	4.13	Financial instrument
		The Company and its subsidiaries do not hold or issue derivative instruments for 
speculative or trading purposes.
		Financial instruments carried in the balance sheets consist of cash and cash 
equivalents, trade accounts and notes receivable, unbilled receivables and accounts 
receivable - retention.  An accounting policy used for each accounting transaction 
has been separately shown under related caption.
5.	REHABILITATION PLANS
	Under the rehabilitation plans of the Company and its subsidiaries, the planner has 5 years 
to implement the plans from the date they were approved by the court.
	The Company only :
	On 15 May 2001, the Central Bankruptcy Court approved the rehabilitation plan of                   
the Company. The rehabilitation plan can be summarised  as follows :-
	1.	Recapitalization of the Company is to proceed in accordance with.
		-	In order to reduce its accumulated deficit, the Company was to reduce its 
registered share capital by Baht 225,000,000, or 22.5 million shares. As a 
consequence           the Companys registered and paid-up share capital would 
decrease from Baht 300,000,000 to Baht 75,000,000, or 7.5 million shares with 
a par value of Baht 10 each. (The Company registered the change on 25 July 
2001, with the resulting reduction in accumulated deficit recorded in 2001).

		-	Increase registered capital to support the swap of debt to equity and the 
conversion of the convertible debentures issued to creditors, through the issue 
of 60,295,431 new shares with a par value of Baht 10 each (registered on 26 
July 2001).
		-	Increase paid-up capital by swapping debt to equity within 120 days of the date 
on which the court approves the plan, with the Company to issue 36,680,654 
new shares with a par value of Baht 10 each.  As a result, the paid-up capital of 
the Company would be Baht 441,806,540, or 44,180,654 shares with a par 
value of Baht 10 each. (The increase of its paid-up capital was registered on 20 
September 2001.)
		-		During 2002, the Company increased its share capital for two times by issuing a 
total         of 14,847,162 shares with a par value of Baht 10 each to its credits in 
accordance with the rehabilitation plan.  As a result, the Companys paid-up 
capital is Baht 590,278,160, or 59,027,816 shares with a par value of Baht 10 
each. (The increase of its paid-up capital was registered on 20 February 2002 
and 10 May 2002.)
		-	Subsequently, on 6 January 2003, the Company additionally increases its 
capital by issuing a total of 251,161 shares with a par value of Baht 10 each.  
As a result, the Companys paid-up capital is Baht 592,789,770, or 59,278,977 
shares with a par value of Baht 10 each and the increase of its paid-up capital 
was registered on the same date.
	2.	The issue of 50,000 convertible debentures with a par value of Baht 1,000 each, or a 
total of Baht 50 million, within 120 days of the date court approves the plan, with the 
Company issuing these convertible debentures to the financial institution creditors 
which intend to provide new credit facilities to the Company under the conditions 
stipulated in the rehabilitation plan.  (The transaction was recorded in 2001, as 
discussed in Note 18 to the financial statements.)
	3.	The extension of the period for repayment of debt of approximately Baht 17.3 
million,       to be repaid in installments within 4 years as from the date the court 
accepted the plan, with interest charged at a rate stipulated in the plan.
	4.	The extension of the period for repayment of debt of approximately Baht 231.3 
million,     to be repaid in installments within 9 years as from the date the court 
accepted the plan, with interest charged at a rate stipulated in the plan.

	Subsidiaries :
	Hydrotek Company Limited :
	On 30 March 2001, the Central Bankruptcy Court approved the rehabilitation plan of 
Hydrotek Company Limited, a subsidiary.  The essence of the debt restructuring under the 
rehabilitation plan can be summarised as follows :-
	1.	Recapitalization of the subsidiary is to proceed in accordance with.
		-	Reduction of the number of shares, shares value and capital, to reduce the 
deficit.  The subsidiary was to reduce its registered share capital by Baht 
150,000,000 or 1.5 million shares.  As a consequence, the subsidiarys 
registered and paid-up share capital would decrease from Baht 200,000,000 to 
Baht 50,000,000, or 5 million shares with a par value of Baht 10 each.  (The 
subsidiary registered this on 29 May 2001, and the resulting reduction in 
accumulated deficit was recorded in 2001.)
		-	Increase registered capital to support the swap of debt to equity.  The subsidiary 
issued 15,029,794 new shares with a par value of Baht 10 each. (The subsidiary 
registered this on 29 May 2001.)
		-	Increase paid-up capital by swapping debt to equity. During 2001, the 
subsidiary issued the shares in a total of Baht 938,730.  As a result, the paid-up 
capital of the subsidiary would be Baht 50,938,730, or 5,093,873 shares with a 
par value of Baht 10 each.
		-	During 2002, the subsidiary additional swapped debt to equity by Baht 
119,299,100.  As a result, the paid-up capital of the subsidiary would be Baht 
170,237,830, or 17,023,783 shares with a par value of Baht 10 each.
		-	Increase registered capital to support the swap of debt to equity.  The subsidiary 
issued a total of 9,188,226 new shares with a par value of Baht 10 each.  As a 
result, the registered capital of the subsidiary would be Baht 292,180,200, or 
29,218,020 shares with a par value of Baht 10 each. (The subsidiary registered 
this on                   27 December 2002.)
		-	Subsequently, the Company swapped debt to equity by total of Baht 
91,882,260.   As a result, the subsidiarys paid-up capital is Baht 262,120,090, 
or 26,212,009 shares with a par value of Baht 10 each.
	2.	The extension of the period for repayment of debt of approximately Baht 53.6 
million,      to be repaid in installments within 4 years from the date the court 
accepted the plan, without interest charge.
	3.	The extension of the period for repayment of debt of approximately Baht 90.6 
million,       to be repaid in installments within 9 years from the date the court 
accepted the plan, with interest charged at a rate stipulated in the plan.
	Sahakarn Wisavakorn Company Limited :
	On 2 May 2001, the Central Bankruptcy Court approved the rehabilitation plan of Sahakarn 
Wisavakorn Company Limited, a subsidiary.  The essence of the debt restructuring under 
the rehabilitation plan can be summarised as follows :-
	1.	Recapitalization of the subsidiary in accordance with the following steps.
		-	Reduction of the number of shares, share value and capital, to reduce the 
deficit.  The subsidiary was to reduce the par value of its shares from Baht 
1,000 to Baht 10 each, in order to leave registered capital of Baht 50,000,000, 
or 5,000,000 shares with a par value of Baht 10 each. (This was registered on 
28 June 2002, with the resulting reduction in accumulated deficit recorded in 
2001.)
		-	Increase registered capital to support the swap of debt to equity.  The subsidiary 
registered the issue of 35,297,952 new shares with a par value of Baht 10 each. 
(The increase of its capital was registered on 28 June 2001.)
		-	Increase paid-up capital by swapping debt to equity.  During 2001, the 
subsidiary issued the shares in a total of Baht 275,346,780.  As a result, the 
paid-up capital of the subsidiary would be Baht 325,346,780, or 32,534,678 
shares with a par value of Baht 10 each.
		-	During 2002, the subsidiary additionally swapped debt to equity by Baht 
38,533,710.  As a result, the paid-up capital of the subsidiary would be Baht 
363,880,490, or 36,388,049 shares with a par value of Baht 10 each.
	2.	The extension of the period for repayment of debt of approximately Baht 31.6 
million,      to be repaid in installments within 4 years from the date the court 
accepted the plan, without interest charge.
	3.	The extension of the period for repayment of debt of approximately Baht 51.4 
million,      to be repaid in installments within 9 years from the date the court 
accepted the plan, with interest charged at a rate stipulated in the plan.
	BIP Engineering & Construction Company Limited :
	On 9 May 2001, the Central Bankruptcy Court approved the rehabilitation plan of BIP 
Engineering & Construction Company Limited, a subsidiary.  The essence of the debt 
restructuring under the rehabilitation plan can be summarised as follows :-
	1.	Recapitalization of the subsidiary in accordance with the following steps.
		-	Reduction of share value and capital reduction in order to reduce the balance            
of accumulated deficit.  The subsidiary was to reduce the par value of its shares 
from Baht 100 each to Baht 10 each, and leaving registered share capital of 
Baht 31,250,000, or 3,125,000 shares with a par value of Baht 10 each. (This 
was registered on 8 October 2001, with the reduction in the accumulated deficit 
recorded in 2001.)
		-	Increase registered capital to support the swap of debt to equity.  The subsidiary 
registered the issue of 6,335,122 new shares with a par value of Baht 10 each. 
(The increase of its capital was registered on 8 October 2001).
		-	Increase paid-up capital by swapping debt to equity.  During 2001, the 
subsidiary issued the shares in a total of Baht 29,974,140.  As a result, the paid-
up capital of the subsidiary would be Baht 61,224,140, or 6,122,414 shares with 
a par value of Baht 10 each.
		-	During 2002, the subsidiary additionally swapped of debt to equity by Baht 
4,118,670. As a result, the paid-up capital of the subsidiary would be Baht 
65,342,810, or 6,534,281 shares with a par value of Baht 10 each.
	2.	The extension of the period for repayment of debt of approximately Baht 8.9 million, 
to be repaid in installments within 5 years as from the date the court accepted the 
plan, without interest charged.
	3.	The extension of the period for repayment of debt of approximately Baht 21.0 
million,      to be repaid in installments within 9 years as from the date the court 
accepted the plan, with interest charged at the rate stipulated in the plan.
6.	TRADE ACCOUNTS AND NOTES RECEIVABLE, UNBILLED RECEIVABLES 
AND ACCOUNTS RECEIVABLE - RETENTION
	The aging of the outstanding balances is as follows :-
(Unit : Baht)

CONSOLIDATED
THE COMPANY ONLY

2002
2001
2002
2001
Age of debts




Trade accounts and notes receivable




Less than 3 months
37,803,347
13,650,964
19,568,789
11,557,186
3 - 6 months
-
33,705
-
33,705
More than 12 months
250,444,864
253,019,092
69,271,763
71,249,262
Total trade accounts and notes receivable
288,248,211
266,703,761
88,840,552
82,840,153
Less : Allowance for doubtful debts
(243,952,012)
(243,839,142)
(67,905,481)
(67,792,612)
Trade accounts and notes receivable - net
44,296,199
22,864,619
20,935,071
15,047,541
Unbilled receivables




Less than 3 months
51,010,781
40,823,628
26,096,595
21,216,893
More than 12 months
95,579,103
95,736,809
82,024,634
82,024,634
Total unbilled receivables
146,589,884
136,560,437
108,121,229
103,241,527
Less : Allowance for doubtful debts
(95,810,046)
(95,543,778)
(82,024,634)
(82,024,634)
Unbilled receivables - net
50,779,838
41,016,659
26,096,595
21,216,893
Accounts receivable - retention




Less than 3 months
25,139,566
5,395,574
16,582,204
4,767,229
6 - 12 months
-
935,920
-
935,920
More than 12 months
9,955,019
14,302,987
2,072,646
6,420,615
Total accounts receivable - retention
35,094,585
20,634,481
18,654,850
12,123,764
Less: Allowance for doubtful debts
(9,296,849)
(8,805,400)
(2,017,420)
(1,525,971)
Accounts receivable - retention - net
25,797,736
11,829,081
16,637,430
10,597,793
7.	RELATED PARTY TRANSACTIONS
	During the years, the Company has significant business transactions with subsidiaries, 
associated companies, joint ventures and related companies (related by way of shareholding 
or common shareholders or common directors).  Such transactions are summarised below :-

 (Unit : Million Baht)

CONSOLIDATED
THE COMPANY ONLY


2002
2001
2002
2001
Pricing policy
Transactions with subsidiary companies





  (has been eliminated from the 





  consolidated financial statements)





     Administrative income
-
-
7.9
2.1
Stated in the agreement
     Interest income
-
-
-
6.0
Market rate
     Interest expenses
-
-
-
1.5
Market rate
     Other expenses
-
-
-
2.7
Stated in the agreement
Transactions with related companies





     Sales and service revenues
88.4
40.5
75.9
40.5
Stated in the agreement
     Interest expenses
8.4
12.3
8.4
12.3
Market rate
     Other expenses
0.6
0.6
0.6
0.6
Stated in the agreement
	The outstanding balances of the above transactions are separately shown in the balance 
sheets under the following captions :-
	(Unit : Million Baht)


CONSOLIDATED
THE COMPANY 
ONLY
Interest charge policy

Relationship
2002
2001
2002
2001
2002
2001






Percent per annum
Related companies







Bangkok Bank Public Company Limited
Shareholder






     -  Cash at bank

9.2
14.0
5.5
14.0
-
-
     -  Trade account and note receivable

5.1
-
5.1
-
-
-
     -  Unbilled receivable

7.7
13.7
7.7
13.7
-
-
     -  Account receivable - retention

7.1
0.7
5.1
0.7
-
-
     -  Receivable from transfer right of claim

19.2
3.3
7.1
2.8
-
-
     -  Short-term loan from financial institution

18.4
21.9
18.4
21.9
7.5
7.5%
     -  Liabilities under rehabilitation plans

167.6
175.2
167.0
175.2
4%
4%
     -  Convertible debentures

50.0
50.0
50.0
50.0
See note 
18
See note 
18
Bank Thai Public Company Limited
Shareholder






     -  Liabilities under rehabilitation plans

0.8
56.6
0.8
56.6
4%
4%
Ploy Asset Management Company Limited
Shareholder






 -  Liabilities under rehabilitation plans

11.8
11.8
5.8
5.8
4%
4%
Asia Credit Public Company Limited
Related though 






 -  Liabilities under rehabilitation plans
shareholder
0.8
0.8
0.8
0.8
4%
4%
Trade account receivable - subsidiary company







 (has been eliminated from the consolidated







    financial statements)







 Sahakarn Wisavakorn Company Limited
Subsidiary company
-
-
6.6
-
-
-

	(Unit : Million Baht)


CONSOLIDATED
THE COMPANY 
ONLY
Interest charge policy

Relationship
2002
2001
2002
2001
2002
2001






Percent per annum
Loans and advances to subsidiary companies







 (has been eliminated from the consolidated







    financial statements)







   Sahakarn Wisavakorn Company Limited
Subsidiary company
-
-
-
7.4
-
-
   Hydrotek Company Limited
Subsidiary company
-
-
-
3.1
-
-


-
-
-
10.5


Short-term loans and advance from subsidiary companies






 (has been eliminated from the consolidated







    financial statements)







         Sahakarn Wisavakorn Company Limited
Subsidiary company
-
-
0.7
-
-
-
         BIP Engineering & Construction Company 
Limited
Subsidiary company
-
-
-
2.7
-
-
         EMC Power Company Limited
Subsidiary company
-
-
2.4
2.4
-
-


-
-
3.1
5.1


Advances and loans from directors







 Advance

-
1.1
-
-
-
-
 Loans







  Khun Komol Wongpornpenpap

0.5
-
0.5
-
-
-
  Khun Rampai Sertanan

3.1
2.4
-
-
18%
18%
  Khun Samai Leesakul

8.5
1.1
-
-
-
-
  Khun Pichai Klongpitak

1.5
-
-
-
-
-


13.6
3.5
0.5
-




13.6
4.6
0.5
-


	The movements of short-term loans to/from related companies during the year 2002 were as 
follows :-
(Unit : Million Baht)
CONSOLIDATED

1 January 2002
Additional loan
Repayment
31 December 
2002
Short-term loan and accrued interest from related company



     Bangkok Bank Public Co., Ltd.
21.9
230.6
(234.9)
17.6
Loans from directors



     Khun Komol Wongpornpenpap
-
0.5
-
0.5
     Khun Rampai Sertanan
2.4
0.7
-
3.1
     Khun Samai Leesakul
1.1
9.7
(2.3)
8.5
     Khun Pichai Klongpitak
-
1.5
-
1.5

3.5
12.4
(2.3)
13.6

 (Unit : Million Baht)
THE COMPANY ONLY

1 January 2002
Additional loan
Repayment
31 December 
2002
Short-term loan and accrued interest from related company



     Bangkok Bank Public Co., Ltd.
21.9
230.6
(234.9)
17.6
Loans from directors



     Khun Komol Wongpornpenpap
-
0.5
-
0.5
	As discussed in Note 5, the Central Bankruptcy Court approved the rehabilitation plans of 
Sahakarn Wisavakorn Co., Ltd., Hydrotek Co., Ltd. and BIP Engineering & Construction 
Co., Ltd. under which the Company is one of their creditors.  As a result, the outstanding 
balances of short-term loans to related parties on the date on which the court accepted the 
petition for rehabilitation have been allocated as a part of the total debts under the 
subsidiary companies rehabilitation plans.  All allocated debt is to be converted to ordinary 
shares within 120 days of the date the court approved the plan, the Company received an 
allocation of shares at Baht 10 each. During 2001, 2 subsidiaries have already issued new 
ordinary shares to swap debt to equity while the other subsidiary is in the process of issuing 
new shares to support a debt to equity.     As at 31 December 2001, the Company has 
therefore had to reclassify the outstanding balances of its debts, with loans to related parties 
now transferred to Receivables under rehabilitation plan - related parties.  However, 
during 2002 the subsidiary companies have already issued new shares to swap debt to 
equity to the Company.
	Details of Receivable under rehabilitation plans - related parties as at 31 December 2001 
are as follows :-
(Unit : Thousand Baht)


2001
Subsidiary companies :


     Hydrotek Co., Ltd.

49,615
     Sahakarn Wisavakorn Co., Ltd.

293


49,908

8.	INVENTORIES
(Unit : Baht)
    
CONSOLIDATED
THE COMPANY ONLY

2002
2001
2002
2001
Inventories
11,412,558
20,322,785
1,355,178
10,265,405
Less : Allowance for stock 
obsolescence
(10,057,380)
(10,057,380)
-
-
Inventories - net
1,355,178
10,265,405
1,355,178
10,265,405
9.	PLEDGED DEPOSITS AT FINANCIAL INSTITUTIONS
	The Company and its subsidiaries have placed deposits at financial institution to secure 
credit facilities and bank guarantee facilities issued by the financial institution on behalf of 
the Company and its subsidiaries.
10.	INVESTMENTS ACCOUNTED FOR UNDER EQUITY METHOD
	Investments in related parties are stated under the equity method.  These represent 
investments in ordinary shares in the following related parties :-
	(Unit : Thousand Baht)
CONSOLIDATED






Investment





Percentage of


Equity method
Company's name
Business Type
Relationship
Paid-up capital
shareholding
Cost method
Net investment



2002
2001
2002
2001
2002
2001
2002
2001





%
%




Hydrotek Idreco
Construction of 
Associated
800
800
51
51
408
408
408
408
  Consortium
water and waste 
company









water treatment 










systems









EMC-SECCO Joint
Working on the
Associated
-
2,000
50
50
-
1,000
-
61
  Venture
Bangkok 
company









Elevated Road 










& Train project






 

 







408
1,408
408
469

(Unit : Thousand Baht)
THE COMPANY ONLY





Investment









Equity method

Business 
Relation-

Percentage of


Share of loss over
Company's name
Type
ship
Paid-up capital
shareholding
Cost method
Net investment
cost of investment



2002
2001
2002
2001
2002
2001
2002
2001
2002
2001





%
%






BIP Engineering & 
General
Subsidiar
y
65,343
61,224
51
54
64,337
64,337
-
-
(42,880)
(39,615)
  Construction Company
construction
company










   Limited












Sahakarn Wisavakorn
Infrastructure 
Subsidiar
y
363,880
325,347
46
51
215,418
215,418
-
-
(51,262)
(83,672)
   Company Limited
construction
company










Hydrotek Company 
Environmental 
Subsidiar
y
262,120
50,939
73
98
241,416
99,999
-
-
(58,057)
(268,771)
   Limited
engineering
company










EMC Power Company
Suppliers of 
electrical
Subsidiar
y
2,500
2,500
100
100
2,500
2,500
2,381
2,392
-
-
   Limited
and steam energy
company











and purified 
water 












provider











EMC-SECCO 
Working on the
Associate
d
-
2,000
-
50
-
1,000
-
61
-
-
   Joint Venture
Bangkok 
Elevated
company











Road & Train












project





 
 

 

 







523,671
383,254
2,381
2,453
(152,199
)
(392,058)
	No share of profit or loss from investment in Hydrotek Idreco Consortium was adjusted 
during the year due to the immateriality of the amount.
	EMC-SECCO Joint Venture was deregistered in March 1998 and is already liquidated 
during the current year.
	In the past, the Company recorded an allowance for losses from investments in the 
subsidiaries as a liability in the financial statements, since those subsidiaries had capital 
deficits in their shareholders equity. Subsequently, those subsidiaries increased their 
capital through the conversion of debt to equity with their creditors, as stipulated in the 
rehabilitation plan, and as a result total shareholders equity in those subsidiaries increased.  
The Company therefore reversed the allowance for loss from its investments in the 
subsidiaries to income in the earnings statement of the current year. 

11.	OTHER LONG-TERM INVESTMENTS
	Investments in other companies are stated at cost and consist of investments in ordinary 
shares of the following companies :-
(Unit : Baht)
    
CONSOLIDATED
THE COMPANY ONLY

2002
2001
2002
2001
Wave Development Company Limited
19,500,000
19,500,000
19,500,000
19,500,000
Thai Medical Center Public 




   Company Limited
5,000,100
5,000,100
5,000,100
5,000,100
P.D. Marketing & Manufacturer




   Company Limited
1,500,000
1,500,000
1,500,000
1,500,000
The Bangkok Club Company Limited
1,000,000
1,000,000
1,000,000
1,000,000
Amata (Vietnam) Company Limited
3,018,000
3,018,000
-
-
TC Amata Company Limited
639,360
639,360
-
-
Thai Worldwide Contractors




     Company Limited
100,000
100,000
-
-
The joint venture of Decon Engineering




   Company Limited
10,000
10,000
-
-
Total
30,767,460
30,767,460
27,000,100
27,000,100
Less : Allowance for impairment




             of investments
(17,323,371)
(17,232,066)
(16,684,011)
(16,684,011)
Total other long-term investments - net
13,444,089
13,535,394
10,316,089
10,316,089
	On 3 February 1997, the Company purchases 150,000 ordinary shares of Wave 
Development Company Limited at Baht 130 each (par value of Baht 100 each) totalling 
Baht 19.5 million, and made an initial payment of Baht 10 million.  The rest is to be paid 
on demand.

12.	PROPERTY, PLANT AND EQUIPMENT
(Unit : Baht)

CONSOLIDATED




Furniture,






fixture,





Tools,
equipment 
and





machinery and
office
Motor


Land
Building
equipment
equipment
vehicles
Total
Cost :






   31 December 2001
14,091,316
20,536,799
114,922,771
57,941,950
11,569,567
219,062,403
   Acquisition
-
-
322,759
963,646
255,150
1,541,555
   Disposals
-
-
(10,973,350)
(24,250)
(493,631)
(11,491,231)
   Transferred machinery
-
-
(20,499,960)
-
-
(20,499,960)
   31 December 2002
14,091,316
20,536,799
83,772,220
58,881,346
11,331,086
188,612,767
Accumulated depreciation :






   31 December 2001
-
5,970,757
99,159,883
54,422,348
10,414,673
169,967,661
   Depreciation for the year
-
1,674,150
4,921,075
1,581,293
522,937
8,699,455
   Depreciation for disposals
-
-
(24,953,951)
(11,493)
(239,878)
(25,205,322)
   31 December 2002
-
7,644,907
79,127,007
55,992,148
10,697,732
153,461,794
Allowance for loss on impairment :






   31 December 2001
1,481,000
843,975
6,399,740
-
-
8,724,715
   Decrease
-
-
(3,551,401)
-
-
(3,551,401)
   31 December 2002
1,481,000
843,975
2,848,339
-
-
5,173,314
Net book value 






   31 December  2002
12,610,316
12,047,917
1,796,874
2,889,198
633,354
29,977,659
   31 December  2001
12,610,316
13,722,068
9,363,148
3,519,602
1,154,894
40,370,027
Depreciation for the year






   2002





8,699,455
   2001





17,016,285
	Baht 400,485 (2001 : Baht 1,964,585) of the depreciation in the 2002 consolidated account 
has been charged to cost of sales and services, while the remaining part of Baht 8,298,970 
(2001 : Baht 15,051,700) has been charged to administrative expenses.

(Unit : Baht)

THE COMPANY ONLY




Furniture,






fixtures,





Tools,
equipment 
and





machinery 
and
office
Motor


Land
Building
Equipment
equipment
vehicles
Total
Cost :






   31 December 2001
9,501,000
5,499,000
4,301,941
33,427,650
6,587,834
59,317,425
   Acquisition
-
-
101,909
194,845
-
296,754
   Disposals
-
-
(7,990)
-
-
(7,990)
   31 December 2002
9,501,000
5,499,000
4,395,860
33,622,495
6,587,834
59,606,189
Accumulated depreciation :






   31 December 2001
-
1,505,688
3,558,884
31,122,386
5,610,302
41,797,260
   Depreciation for the year
-
222,475
338,509
680,253
374,347
1,615,584
   Depreciation for disposals
-
-
(1,059)
-
-
(1,059)
   31 December 2002
-
1,728,163
3,896,334
31,802,639
5,984,649
43,411,785
Allowance for loss on impairment :






   31 December 2001
1,481,000
843,975
-
-
-
2,324,975
   31 December 2002
1,481,000
843,975
-
-
-
2,324,975
Net book value 






   31 December  2002
8,020,000
2,926,862
499,526
1,819,856
603,185
13,869,429
   31 December  2001
8,020,000
3,149,337
743,057
2,305,264
977,532
15,195,190
Depreciation for the year






   2002





1,615,584
   2001





3,124,851
	Baht 404,217 of the depreciation in the 2002 accounts of the Company (2001 : Baht 
404,217) has been charged to cost of sales and services, while the remaining part of Baht 
1,277,074  (2001 : Baht 2,720,634) has been charged to administrative expenses.
	Assets of a subsidiary amounting to Baht 0.8 million represents a building purchased from 
a related company.  The ownership of the building has not been transferred to that 
subsidiary.
During 1999 both the Company and a subsidiary had appraisals conducted.  The land and 
building of the Company was valued by an independent appraiser, while the machinery of 
the subsidiary was appraised at net realisable value.  The appraised values of the 
Companys land and building, and of the subsidiarys machinery were, respectively, Baht 
2.3 million and Baht 8.6 million lower than their book values. Both the Company and the 
subsidiary have included the loss on impairment of assets in determining earnings for the 
year 1999.
	Some motor vehicles and machinery of the Company and its subsidiaries are being 
purchased under hire purchase contracts.
	The Company and a subsidiary company have mortgaged certain plots of land and some 
machinery with banks to secure credit facilities obtained from those banks.  
13.	OTHER ASSETS - OTHER
	The outstanding balance as of 31 December 2002, included land amounting to Baht 1.6 
million (2001 : Baht 1.6 million) of which ownership was transferred to the Company in 
repayment of     a long outstanding debt.
14.	SHORT-TERM LOANS FROM FINANCIAL INSTITUTIONS
	The short-term loans from local financial institution have been secured by the transfer of 
the rights over collections from the debtors of the Company and its subsidiaries, the 
guarantees of the directors of the Company and its subsidiaries and the land of a third-party 
individual.
	In 2001, the Company opened a bank guarantee facility of Baht 150 million with a related 
financial institution.  This is secured by the directors of the Company.  As at 31 December 
2002, the Company disbursed the credit facilities of Baht 102 million which included in 
Note 25.1.
15.	LIABILITIES UNDER REHABILITATION PLANS
	Under the Company and its subsidiaries businesses rehabilitation plans, the Company and 
its subsidiaries have restructured their debts, as described in Note 5.  This has meant that 
the Company and its subsidiaries have had to reclassify their outstanding liabilities and 
most of these liabilities have now been transferred to Liabilities under rehabilitation 
plans.  These are summarised below :-

(Unit : Baht)

CONSOLIDATED
THE COMPANY ONLY

2002
2001
2002
2001
Liabilities under rehabilitation plans




1. Secured debt to financial institution - to be




 repaid in installments within 4 years, with interest




 charged at MLR per annum.
12,500,000
15,000,000
12,500,000
15,000,000
2. Unsecured debt to financial institutions - to be 




 repaid in installments within 9 years, with interest




 charged at 4% per annum for the first 3 years,




 MLR-2% per annum for the next 1 year and




 MLR% per annum for the rest of period.
208,428,570
218,871,320
168,682,322
174,725,922
3. Debt to trade creditors - to be repaid in




 installments within 4-5 years from the date the




 court accepted the plan.  No interest is charged




 on these debts.
26,620,565
46,770,882
2,342,173
2,264,035
4. Debt to be converted to equity and others
44,632,535
250,981,564
2,511,610
56,589,369
Total liabilities under rehabilitation plans
292,181,670
531,623,766
186,036,105
248,579,326
Less : Current portion of liabilities under rehabilitation




    plans
(78,320,070)
(278,611,572)
(22,738,097)
(69,315,509)
Liabilities under rehabilitation plans




   - net of current portion
213,861,600
253,012,194
163,298,008
179,263,817
	During 2001, the Company and its subsidiaries recorded outstanding interest of Baht 38.9 
million in the consolidated financial statements (Baht 21.8 million for the Company only), 
which is the interest accrued on liabilities under the rehabilitation plans from the date that 
the Company and its subsidiaries submitted the plans to the Central Bankruptcy Court to the 
date the Court approved the plans, because these plans do not stipulate whether the amount 
of interest during this period is to be forgiven or paid.  During 2002, the Central Bankruptcy 
Court determined that the Company and its subsidiaries did not have to pay the above 
interest.  Therefore, the Company and its subsidiaries have reversed the full amount to 
income during the current year.

	On the date of debt restructuring, under the conditions stipulated in the Companys 
rehabilitation plan, the Company chose to transfer Baht 39.4 million of its payment 
obligations to a financial institution in accordance with the planned debt restructuring to its 
subsidiary.  The Company is to reverse its liabilities to the financial institution when the 
subsidiary repays these obligations, recording the subsidiary as Amount due to related 
company.  During 2002 the subsidiary repaid debt amounting to Baht 0.7 million on behalf 
of the Company, and the Company has recorded the subsidiary in the financial statements 
under Short-term loan and advance from subsidiary company and the Company is to 
repay by issuing ordinary shares to settle with the subsidiary rather than paying cash, which 
is in accordance with the stipulations of the rehabilitation plan.  To date, the Company has 
not yet issued such shares to settle with the subsidiary.
	However, during 2002 one subsidiary was unable to comply with the conditions stipulated 
in the rehabilitation plan.  The subsidiary has negotiated with its creditors to reduce the 
interest rate from 4 percent per annum to 0.5 percent per annum for 2 years and is currently 
in the process of submitting the matter for consideration by the Central Bankruptcy Court.
16.	SHORT-TERM LOAN FROM OTHER PARTY
	As at 31 December 2002, a subsidiary company has obtained short-term loan of Baht 10 
million from other party for business operation.  The loan is subject to interest at the rate of 
12 percent per annum.
17.	OTHER NON-CURRENT LIABILITIES
	The balance as at 31 December 2002 and 2001 represent debts for which the creditors did 
not submit claims under the rehabilitation plans.  The Company and its subsidiaries has 
therefore recorded these amounts in Other non-current liabilities accounts because there 
is uncertainty as to the success of rehabilitation plan and the rights of these creditors.

18.	CONVERTIBLE DEBENTURES
	Under the Companys business rehabilitation plan as discussed in Note 5, on 19 October 
2001, the Company issued Baht 50 million of 10-year, unsecured convertible debentures 
(50,000 convertible debentures at Baht 1,000 each), to repay a bank creditor.  The maturity 
date of these convertible debentures is 19 October 2011 and they bear interest at a rate of 
1% for the first 4 years, and 2% per annum for the rest of 6 years period.  One debenture is 
convertible to 100 ordinary shares at a conversion price of Baht 1,000 per unit, and the 
debentures are exercisable on 30 June and 30 December of every year.  The conversion 
right can exercised for the first time on 30 June 2002.  As at 31 December 2002, the 
convertibles holder has not use the conversion right.
	According to the Thai Accounting Standard # 48 Financial Instruments : Disclosure and 
Presentation which became operative for the financial statements covering the period 
beginning on or after 1 January 2001, an issuer of convertible debentures is required to 
classify their liability and equity components and separately present them in the financial 
statements.  The Company has therefore separated such components, determining the 
liability component by discounting the stream of future payments of principal and interest 
by the MLR rate of that bank for similar liabilities that do not have an associated equity 
component.  The carrying amount of the equity component is determined by deducting the 
liability component from total value of the convertible debentures.  The difference between 
the above liability component and the par value of the convertible debentures is amortized 
over the life of the debentures.
19.	SHARES OF THE COMPANY HELD BY SUBSIDIARY COMPANY
	The shares of the Company held by a subsidiary company as at 31 December 2002 and 
2001, were received from the Company during the allocation of shares, as the subsidiary is 
listed as one of the Companys creditors under the rehabilitation plan.

20.	GAIN ON DEBT RESTRUCTURING
	During 2002 the Company and its subsidiaries restructured their debts, as discussed in Note 
5.  Under the terms of the rehabilitation plans the outstanding balances of certain accounts 
payable decreased in accordance with the judgment of court and the Company and its 
subsidiaries have already recorded these liabilities in accordance with the amount they 
expect to pay.  The Company and its subsidiaries have therefore compared the book value 
of the debts with the amount payable in the future under the new conditions per the 
rehabilitation plan and have recorded the reduction in their liabilities, amounting to Baht 
9.6 million (The Company only Baht 0.2 million) as a gain on debt restructuring.
21.	GAIN ON WRITE DOWN OF DEBT BY TRADE CREDITORS
	During 2002, the Company and its subsidiaries were exempted a portion of debts by trade 
creditors.  The Company and its subsidiaries have recorded the gain on this exemption as an 
extraordinary item in their earnings statements.  The transactions have no related income 
tax effect since the Company and its subsidiaries has tax losses brought forward in excess 
of the current years net earnings.
22.	CORPORATE INCOME TAX
	After adjusting earnings for accounting purposes for expenses and revenues which are not 
deductible in the tax computation, there is no income tax payable for the year ended 31 
December 2002 and 2001 of the Company and its subsidiaries since the tax loss brought 
forward from previous year is in excess of the net earnings for the current year.
	Corporation in come tax presented in consolidated financial statements was the joint 
venture income tax which has been calculated on the net earnings of subsidiary company 
after adding back certain expenses which are disallowable for the computation purposes.
23.	EMPLOYEES AND RELATED COSTS

CONSOLIDATED
THE COMPANY ONLY

2002
2001
2002
2001
Number of employees at the end of year
184
145
119
88
Employee cost (Thousand Baht)
42,102
44,083
25,900
27,125


24.	RECONCILIATION OF DILUTED EARNINGS PER SHARE

For the year ended 31 December 2002

Consolidated
The Company Only


Weighted 
average
Earnings

Weighted 
average
Earnings

Net earnings
number of 
shares
per shares
Net earnings
number of 
shares
per shares

(Thousand Baht)
(Million shares)
(Baht)
(Thousand Baht)
(Million shares)
(Baht)
Basic earnings per share






     Net earnings before 
extraordinary






        items
87,381
51.2
1.71
97,064
51.2
1.90
     Extraordinary items
9,869
51.2
0.19
186
51.2
-
     Net earnings
97,250
51.2
1.90
97,250
51.2
1.90
Effect of dilute potential






     ordinary shares






     Convertible debenture 






        50,000 units
2,420
5.0

2,420
5.0

Diluted earnings per share






     Net earnings for the year of






        ordinary shareholders assuming






        the conversion of dilutive






        potential ordinary shares
99,670
56.2
1.77
99,670
56.2
1.77

For the year ended 31 December 2001

Consolidated
The Company Only


Weighted 
average
Earnings

Weighted 
average
Earnings

Net earnings
number of 
shares
per shares
Net earnings
number of 
shares
per shares

(Thousand Baht)
(Million shares)
(Baht)
(Thousand Baht)
(Million shares)
(Baht)














Basic earnings per share
79,960
29.2
2.74
79,960
29.2
2.74
     Net earnings for the year






        of ordinary shareholders






Effect of dilute potential






     ordinary shares






     Convertible debenture 
101
1.0

101
1.0

        50,000 units






Diluted earnings per share






     Net earnings for the year of






        ordinary shareholders assuming






        the conversion of dilutive






        potential ordinary shares
80,061
30.2
2.65
80,061
30.2
2.65
25.	LETTERS OF GUARANTEES
	25.1	As at 31 December 2002, there were outstanding bank guarantees of approximately 
Baht 290 million (The Company Only : Baht 101 million) issued by banks and 
financial institutions on behalf of the Company and its subsidiaries in respect of 
certain performance bonds as required in the normal course of business.
	25.2	As at 31 December 2002, the Company has issued letter of guarantee of Baht 33 
million (2001 : Baht 32 million) to secure bank guarantee facilities to its subsidiary 
companies.
	25.3	As at 31 December 2002, a subsidiary company has issued letter of guarantee of Baht 
350 million to financial institution to secure credit facilities granted by that bank to a 
related joint venture.
	25.4	As at 31 December 2002, a bank issued a letter of guarantee of credit to the Company 
in amount of Baht 2 million (2001 : Baht 1,035 million).
26.	COMMITMENTS
	26.1	As at 31 December 2002, the Company and its subsidiary companies have 
outstanding commitments of approximately Baht 1.9 million (2001 : Baht 0.7 million) 
in respect of lease and service agreements for the lease of office building space, 
equipment and services.
	26.2	As at 31 December 2002 and 2001, under the rehabilitation plan the Company and its 
subsidiary companies have outstanding commitments to pay management fees of 
Baht 0.3 million and Baht 0.7 million per month to a related company, for a period of 
5 years.  However, on 21 March 2002, the Company has submitted a letter to the 
Central Bankruptcy Court to cancellation of payment for the 2 year ending 31 
December 2003.
	26.3	As at 31 December 2002, the Company and its subsidiary companies have 
outstanding commitments to cash monitor advisory and security agent under the 
business rehabilitation plan.  The total fee was approximately Baht 780,000 (2001 : 
Baht 780,000) until the rehabilitation plan was completed or cancelled by others 
condition stipulated in the agreement.


27.	LITIGATION
	As at 31 December 2001, the Company and its subsidiaries were claimed from customer to 
pay the debts totalling Baht 52 million.  Part of the cases have been finalised during 2001 
which the Company and its subsidiaries recorded amount of claims and compensation in 
their accounts.  The rest cases have written off temporary because the Company and its 
subsidiaries have entered into the rehabilitation process.  The Company and its subsidiaries 
informed that their lawsuits are handled internally by the Company officers and by outside 
law firm.  Information related to the legal cases is therefore based on the information 
provided by the Company and its subsidiaries.
28.	CONTINGENT LIABILITIES
	As discussed in Note 2, the Company and its subsidiary companies have not recorded the 
difference between the balances of debts per their accounts and per the rehabilitation plans 
as the amounts of debt payables under the rehabilitation plans may change on the order of 
the official receiver, which is still pending and cannot be determined at this stage.
29.	STATEMENTS OF CASH FLOWS
	Cash and cash equivalents as reflected in the statements of cash flows consist of the 
following :-
(Unit : Baht)

CONSOLIDATED
THE COMPANY ONLY

2002
2001
2002
2001
Cash and cash at banks
33,048,243
19,352,545
7,159,428
9,251,843
Current investments
1,675,234
15,948,408
338,197
13,840,874
Total
34,723,477
35,300,953
7,497,625
23,092,717
Less : Cash at banks and current investments with original




maturities of over 3 months or pledged
(2,024,542)
(16,458,513)
(566,696)
(11,292,724)
Cash and cash equivalents
32,698,935
18,842,440
6,930,929
11,799,993


	During the current year the Company and its subsidiaries have restructured debt in 
accordance with the rehabilitation plan as a result of which parts of the balance of their 
debts, both to financial institutions and to trade creditors, has been reclassified to 
Liabilities under debt restructuring plans and other parts have been converted to equity in 
their businesses.  Actual cash inflows or outflows of the financial institution creditor, trade 
creditor, and other related accounts during the current year are directly affected by such 
transactions.  As there are a great number of creditors and transactions involved, and it is 
very time consuming to identify reasons in each case, the Company and its subsidiaries 
have not yet been able to identify total actual cash inflows or outflows for the year for the 
purpose of preparing correct and complete statements of cash flows.
30.	FINANCIAL INFORMATION BY SEGMENT
	The Company and its subsidiaries operations involve the single business segment of 
rendering service under construction contracts, and are carried on in the single geographic 
area in Thailand.  As a result, all of the revenues, operating losses and assets as reflected in 
the financial statements pertain to the aforementioned single business segment and 
geographic area.
31.	FINANCIAL INSTRUMENTS
	31.1	Interest rate risk
		The interest rate risk is the risk that future movements in market interest rates will 
affect the results of the Company and its subsidiaries operations and its cash flows.  
		The Company and its subsidiaries exposure to interest rate risk related primarily to 
its deposits with banks, short-term loans from financial institutions.  The Company 
and its subsidiaries do not use derivative financial instruments to hedge such risk (the 
detail of loans are set out in Notes 15 and 16).
	31.2	Foreign currency risk
		The Company and its subsidiaries exposure to foreign currency risk because no 
significant trading transactions are denominated in foreign currencies.

	31.3	Credit risk
		The Company and its subsidiaries are exposed to credit risk primarily with respect to 
trade accounts since the majority of sales and services are supplied to a limited 
number of customers.  However, due to the Company and its subsidiaries prudent 
credit policy.  The loss mainly occured is the effect of the countrys economic crisis.
31.4	Fair value
	Fair value is defined as the amount at which the instrument could be exchanged in a 
current transaction between knowledgeable willing parties in an arms length 
transaction.  Fair values are obtained from quoted market prices, discounted cash 
flow models or net asset value as appropriate.
	The following methods and assumptions are used to estimate the fair value of each 
class of financial instruments.
	Cash and cash equivalents, current investments, trade accounts and notes receivable - 
the carrying values approximate their fair values due to the relatively short-term 
maturity of these financial instruments.
	Trade accounts payable - the carrying amounts of these financial liabilities 
approximate their fair values due to the relatively short-term maturity of these 
financial instruments.
	Liabilities under rehabilitation plans and convertible debentures - the management 
believes that the carrying value of such financial liabilities exceeds their fair value 
because some of them are free of interest and some carry interest at rates lower than 
market rate.  Their fair value has therefore not been determined. 
32.	PRESENTATION
	The presentation of the financial statements has been made in compliance with the 
Notification of the Commercial Registration Department dated 14 September 2001, issued 
under the Accounting Act B.E. 2543.
	Certain amounts in 2001 financial statements have been reclassified to conform the 
classification of the current year which has no effect to net earning or shareholders equity 
previously reported.

33.	APPROVAL OF FINANCIAL STATEMENTS
	These financial statements have been approved by the management of rehabilitation plan of 
the Company.
