VINYTHAI PUBLIC COMPANY LIMITED REPORT AND FINANCIAL STATEMENTS 31st DECEMBER, 1998 AND 1997 Report of Independent Auditor To The Board of Directors and Shareholders of Vinythai Public Company Limited I have audited the balance sheets of Vinythai Public Company Limited as at 31st December, 1998 and 1997, the related statements of earnings, changes in shareholders equity, retained earnings and cash flows for the years then ended. These financial statements are the responsibility of the Companys management as to their correctness and completeness of the presentation. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Vinythai Public Company Limited as at 31st December, 1998 and 1997, the results of its operations, changes in shareholders equity and cash flows for the years then ended in conformity with generally accepted accounting principles. Narong Puntawong Certified Public Accountant (Thailand) No. 3315 BANGKOK : 5th February, 1999. VINYTHAI PUBLIC COMPANY LIMITED BALANCE SHEETS As at 31st December Note 1998 1997 BAHT BAHT ASSETS CURRENT ASSETS Cash in hand and at banks 3 78,436,228 608,418,994 Accounts receivable - trade General 881,437,824 1,003,604,692 Related parties 5 108,009,707 285,520,012 Less : Allowance for doubtful accounts (35,000,000) (10,100,000) Accounts receivable - trade, net 4 954,447,531 1,279,024,704 Amounts due from related parties 5 590,974 139,653 Inventories - net 6 550,471,582 660,309,402 Other current assets Prepayment 27,518,327 30,721,220 Others 48,174,384 32,527,818 75,692,711 63,249,038 TOTAL CURRENT ASSETS 1,659,639,026 2,611,141,791 INVESTMENTS Deposit with financial institution 7 20,419,652 20,419,652 Related parties 8 651,972,140 608,065,140 672,391,792 628,484,792 PROPERTY, PLANT AND EQUIPMENT - net 9 9,712,053,262 10,035,883,877 OTHER ASSETS Pre-operating expenses - net 10 708,378,805 736,854,007 Deferred share flotation expenses - net 55,197,236 58,647,063 Others 10,285,666 25,185,913 773,861,707 820,686,983 TOTAL ASSETS 12,817,945,787 14,096,197,443 The accompanying notes are an integral part of the financial statements. VINYTHAI PUBLIC COMPANY LIMITED BALANCE SHEETS (Continued) As at 31st December Note 1998 1997 BAHT BAHT LIABILITIES AND SHAREHOLDERS' EQUITY CURRENT LIABILITIES Accounts payable - trade General 116,390,826 121,471,493 Related parties 5 140,230,783 223,290,162 256,621,609 344,761,655 Current portion of long-term loans 11 873,090,075 1,205,854,754 Amounts due to related parties 5 250,235,951 173,263,288 Other current liabilities Accrued interest expenses 252,537,930 355,164,727 Accrued expenses 54,000,528 52,940,962 Others 147,375,976 43,897,035 453,914,434 452,002,724 TOTAL CURRENT LIABILITIES 1,833,862,069 2,175,882,421 LONG-TERM LOANS - net of current portion 11 7,533,792,602 11,033,551,538 LONG-TERM LOANS FROM RELATED PARTIES 12 960,503,410 810,473,850 OTHER LIABILITIES Accrued interest expenses - related parties 5 103,121,987 38,876,781 Others 21 28,465,795 20,848,710 131,587,782 59,725,491 TOTAL LIABILITIES 10,459,745,863 14,079,633,300 SHAREHOLDERS' EQUITY Share capital 13 6,022,971,990 6,022,971,990 Share premium 1,125,000,000 1,125,000,000 Deficit (4,789,772,066) (7,131,407,847) TOTAL SHAREHOLDERS' EQUITY 2,358,199,924 16,564,143 TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY 12,817,945,787 14,096,197,443 0 0 0 0 The accompanying notes are an integral part of the financial statements. DIRECTORS VINYTHAI PUBLIC COMPANY LIMITED STATEMENTS OF EARNINGS For the year ended 31st December Note 1998 1997 BAHT BAHT REVENUES Sales 4,799,122,977 4,796,710,022 Interest income 22,217,603 9,597,142 Other income 1,325,812 2,277,679 TOTAL REVENUES 4,822,666,392 4,808,584,843 EXPENSES Cost of sales 3,301,712,374 3,108,478,402 Selling and administrative expenses 678,851,643 591,115,072 Interest expenses and bank loan fees 1,073,514,595 947,186,573 Exchange gains 14 (2,576,888,001) (60,973,176) Directors' remuneration 16 3,840,000 3,808,000 TOTAL EXPENSES 2,481,030,611 4,589,614,871 EARNINGS BEFORE EXTRAORDINARY ITEM 2,341,635,781 218,969,972 EXTRAORDINARY ITEM :- Exchange loss from the adoption of managed float system 15 - (5,610,350,884) NET EARNINGS (LOSS) FOR THE YEAR 2,341,635,781 (5,391,380,912) EARNINGS PER SHARE Earnings before extraordinary item 3.89 0.36 Extraordinary item - (9.31) Net earnings (loss) 3.89 (8.95) The accompanying notes are an integral part of the financial statements. VINYTHAI PUBLIC COMPANY LIMITED STATEMENTS OF RETAINED EARNINGS For the year ended 31st December 1998 1997 BAHT BAHT DEFICIT BALANCE - beginning of year (7,131,407,847) (1,740,026,935) NET EARNINGS (LOSS) FOR THE YEAR 2,341,635,781 (5,391,380,912) BALANCE - end of year (4,789,772,066) (7,131,407,847) The accompanying notes are an integral part of the financial statements. VINYTHAI PUBLIC COMPANY LIMITED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY For the year ended 31st December 1998 1997 BAHT BAHT ORDINARY SHARE Balance - beginning of year 6,022,971,990 6,022,971,990 Increase during the year - - Decrease during the year - - Balance - end of year 6,022,971,990 6,022,971,990 SHARE PREMIUM Balance - beginning of year 1,125,000,000 1,125,000,000 Increase during the year - - Decrease during the year - - Balance - end of year 1,125,000,000 1,125,000,000 DEFICIT Balance - beginning of year (7,131,407,847) (1,740,026,935) Increase during the year - (5,391,380,912) Decrease during the year 2,341,635,781 - Balance - end of year (4,789,772,066) (7,131,407,847) TOTAL SHAREHOLDERS' EQUITY 2,358,199,924 16,564,143 The accompanying notes are an integral part of the financial statements. VINYTHAI PUBLIC COMPANY LIMITED STATEMENTS OF CASH FLOWS For the year ended 31st December 1998 1997 BAHT BAHT Cash flows from (used in) operating activities Net earnings (loss) 2,341,635,781 (5,391,380,912) Adjustments to reconcile net earnings (loss) to net cash provided by (paid from) operating activities :- Depreciation 361,695,334 363,620,355 Amortisation of pre-operating expenses 31,925,029 31,925,029 Written-off other assets - deferred project expenses 14,984,629 - Unrealized (gains) losses from outstanding loans (2,528,795,120) 5,516,111,100 Realized (gains) losses from loan repayment (90,595,146) 72,970,760 Increase in allowance for doubtful accounts 24,900,000 10,100,000 Increase in provision for obsolete inventories 20,000,000 - (Gains) losses on disposal of fixed assets 323,634 (1,134,799) 176,074,141 602,211,533 Decrease (increase) in operating assets :- Accounts receivable - trade 299,677,173 (522,453,389) Amounts due from related companies (451,321) 5,080,006 Inventories 89,837,820 (36,172,806) Other current assets (12,443,673) 943,618 Increase (decrease) in operating liabilities :- Accounts payable - trade (88,140,046) 103,512,778 Amounts due to related companies 76,972,663 103,581,901 Other current liabilities 1,911,709 (10,960,759) Other liabilities 71,862,292 43,570,021 Net cash flows from operating activities 615,300,758 289,312,903 The accompanying notes are an integral part of the financial statements. VINYTHAI PUBLIC COMPANY LIMITED STATEMENTS OF CASH FLOWS (Continued) For the year ended 31st December Note 1998 1997 BAHT BAHT Cash flow from (used in) investing activities Decrease in deposit with maturity of more than 3 months - 49,580,348 Increase in investment in other company (43,907,000) - Acquisition of fixed asset - net (38,307,407) (48,738,036) Proceeds from sales of fixed assets 119,054 1,138,710 (Increase) decrease in other assets (84,382) 3,258,967 Net cash flows from (used in) investing activities (82,179,735) 5,239,989 Cash flows from (used in) financing activities Decrease in bank overdrafts - (4,667,980) Cash received from loans from related companies 331,991,644 648,839,160 Cash received (paid) for long-term loans - net (1,395,095,433) (360,276,012) Net cash flows from (used in) financing activities (1,063,103,789) 283,895,168 Net increase (decrease) in cash and cash equivalents (529,982,766) 578,448,060 Cash and cash equivalents at beginning of year 608,418,994 29,970,934 Cash and cash equivalents at end of year 17 78,436,228 608,418,994 0 0 Supplemental cash flows information :- Cash paid during the year for Interest paid 1,008,759,659 734,361,528 Corporate income tax - - The accompanying notes are an integral part of the financial statements. VINYTHAI PUBLIC COMPANY LIMITED NOTES TO FINANCIAL STATEMENTS NOTE 1 - GENERAL INFORMATION Although Thailands economic crisis, which began in 1997, has eased to a certain extent in the current year, its remaining adverse effects are expected to continue to impact on business environment. Nevertheless, the financial statements under report have been prepared on the going concern basis, assuming that the realisation of assets and settlement of liabilities and obligations will occur in the ordinary course of business of the Company, without significant disruption being anticipated. NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 2.1 Sales Sales are the invoiced value, excluding value added tax, of goods supplied and delivered, after deducting discounts and allowances. 2.2 Allowance for doubtful accounts Allowance for doubtful accounts is provided for the estimated collection losses that may be incurred in collection of receivables. The allowance is based on collection experience and a review of the status of receivables outstanding at the balance sheet date. 2.3 Inventories Inventories are valued at the lower of cost (weighted average method) and net realisable value. 2.4 Investments Investment in associated company is stated using the equity method. Investment in other company is stated at cost. Provision for loss from investment will be set up if the decline in value is of a permanent nature. 2.5 Depreciation Depreciation of fixed assets is calculated by reference to their costs on a straight-line method over their estimated useful lives as follows :- Building and improvement - 5, 30, 50 years Leasehold improvement - 50 years Machinery and equipment - 30 years Furniture, fixtures and equipment - 5, 10, 30 years Vehicles - 5, 10 years No depreciation is provided for land and machinery under installation. 2.6 Amortisation Pre-operating expenses for project Phase I and Phase II are amortised over the periods of 30 years commencing 1st August, 1992 and 1st July, 1996 respectively. Deferred flotation expenses are amortised over the period of 20 years commencing 1st January, 1995. 2.7 Foreign currencies Exchange rates adopted :- Foreign currency transactions during the year - at the rates ruling on the transaction dates. Assets and liabilities in foreign currency outstanding on the balance sheet date - at the rates ruling on the balance sheet date Exchange gains and losses are included in determining earnings. 2.8 Earnings per share Earnings (loss) per share is calculated by dividing net earnings (loss) by the number of ordinary shares outstanding at the balance sheet date. NOTE 3 - CASH IN HAND AND AT BANKS According to the conditions stipulated in the long-term loan agreement, as of 31st December, 1998, the Company has placed cash at banks of approximately Baht 77 million (1997 : Baht 606 million) with banks as security against bank loans. However, the Company is able to withdraw these deposits to use for its regular operating expenses. Balances as of 31st December, 1998 included foreign currency deposits of approximately US$ 1.0 million, equivalent to Baht 35 million (1997 : US$ 3.9 million, equivalent to Baht 184 million). NOTE 4 - ACCOUNTS RECEIVABLE - TRADE As at 31st December, 1998, aging of the outstanding balance of accounts receivable were as follows :- Accounts Receivable General Related Parties Total Thousand Baht Thousand Baht Thousand Baht current debts 720,458 106,560 827,018 past due debt less than 3 months 110,573 345 110,918 3 6 months 12,531 1,104 13,635 6 12 months 9,046 - 9,046 more than 12 months 28,830 - 28,830 Total 881,438 108,009 989,447 Less : Allowance for doubtful accounts (35,000) Accounts receivable trade, net 954,447 NOTE 5 - RELATED PARTY TRANSACTIONS During the year, the Company had significant business transactions with its associated and related companies (related by way of holding interest, common shareholders and/or common directors). These transactions were in the ordinary course of business of the Company and in accordance with prices and rates stipulated in the relevant agreements with those companies. Significant transactions with those related companies are summarised below. For the year ended 31st December 1998 1997 Million Baht Million Baht Transactions with associated company : Purchase of raw materials 194 154 Transactions with related companies : Sales of finished products 722 879 Purchases of raw materials and finished products 1,371 1,505 Royalty expenses 97 100 Interest expenses 75 39 Freight expenses - 42 Commission expenses 9 14 EDP services 7 - Those amounts have been included in determination earnings except most part of EDP services have been capitalised. The outstanding balances are shown separately in the balance sheets. NOTE 6 - INVENTORIES 1998 1997 BAHT BAHT Finished goods 165,882,070 173,724,485 Spare parts 275,142,674 270,218,086 Raw materials 116,621,863 193,757,465 Goods in transit - 5,948,412 Work in process 4,802,532 6,561,208 Packing materials 8,022,443 10,099,746 Total 570,471,582 660,309,402 Less : Provision for obsolete inventories (20,000,000) - Inventories - net 550,471,582 660,309,402 NOTE 7 - INVESTMENT - DEPOSIT WITH FINANCIAL INSTITUTION This represents the promissory note of a finance company redeemable in 2002, carrying market interest rate (as at 31st December, 1998, the market rate was 6.875 percent per annum). According to the conditions stipulated in the long-term loan agreement, the Company has placed this promissory note as security against bank loans. NOTE 8 - INVESTMENTS - RELATED PARTIES Percentage of the Companys interest As at 31st December 1998 1997 1998 1997 Percent Percent Baht Baht Investment in associated company Pimai Salt Company Limited 20.4 20.4 203,221,440 203,221,440 Investment in related company Thai Olefins Company Limited 5.29 5.29 448,750,700 404,843,700 651,972,140 608,065,140 According to the latest financial statements, as provided by the management of Pimai Salt Company Limited (supplier of raw material - salt), the accumulated share of profit from investment in this company amounted to approximately Baht 0.01 million. Since the share of profit is insignificant, the Company considers that under the equity method, the investment is equal to the acquisition cost. According to the latest financial statements, as provided by the management of Thai Olefins Company Limited (supplier of raw material - ethylene), the networth of this company attributable to the Companys interest was lower than the acquisition cost of Baht 65.6 million. The Company has not set up provision for loss from investment since the Company's management believes that the decline in value is not of a permanent nature. NOTE 9 - PROPERTY, PLANT AND EQUIPMENT 1998 1997 BAHT BAHT Land 2,909,414 2,909,414 Building and improvement 1,106,970,167 1,106,696,414 Leasehold improvement 622,073,963 622,024,907 Machinery and equipment 9,111,091,755 9,096,510,089 Furniture, fixtures and equipment 342,769,084 333,387,270 Vehicles 12,866,708 13,050,861 Machinery under installation 27,527,214 14,748,805 Total 11,226,208,305 11,189,327,760 Less : Accumulated depreciation (1,514,155,043) (1,153,443,883) Net book value 9,712,053,262 10,035,883,877 Depreciation for the year has been charged to the following :- 1998 1997 BAHT BAHT Cost of sales and inventories 347,676,014 347,142,255 Selling and administrative expenses 14,019,320 16,478,100 Total 361,695,334 363,620,355 According to the conditions stipulated in the long-term loan agreements, the Company has mortgaged its land, office building, factory buildings, machinery and equipment with banks as security against certain credit facilities. NOTE 10 - PRE-OPERATING EXPENSES 1998 1997 BAHT BAHT Pre-operating expenses - Phase I 572,087,995 572,087,995 - Phase II 282,168,081 282,168,081 Less : Accumulated amortisation (145,877,271) (117,402,069) Pre-operating expenses - net 708,378,805 736,854,007 Amortisation for the year 28,475,202 28,475,202 NOTE 11 - LONG-TERM LOANS These represent loans from local and overseas banks that provided financing facilities of US$ 289 million and Baht 685 million. These loans are repayable in the years 1996 to 2006. As of 31st December, 1998, there were outstanding long-term loans of US$ 220 million and Baht 290 million (1997 : US$ 244.5 million and Baht 610 million). The loans denominated in US$ currency are subject to a mix of fixed and floating interest rates. During 1998 these interest rate have been charged ranging from 6 - 10 percent per annum. Thai Baht loans are subject to interest at rates of average MOR plus 0.25 - 0.5 percent per annum. In order to minimize exchange rate risk from the foreign currency loans, the Company has entered into various forward exchange contracts. As at 31st December, 1998 there were outstanding forward contracts to purchase US$ 9 million against Baht at rates ranging from Baht 36.226 to Baht 40.29 per US$ 1. This foreign currency is to be used for repayment of part of the loan and interests due in February 1999. Under the loan agreement, the Company undertakes to comply with certain conditions, including maintenance of a current ratio of at least 1.2:1. Parts of the loans have been guaranteed by local banks. In addition, the loans have been secured by the mortgage/pledge of the Companys fixed assets, bank saving accounts and promissory notes. NOTE 12 - LONG-TERM LOANS FROM RELATED PARTIES These represent subordinated loans denominated in US$ and Thai Baht currencies from two major shareholders of the Company. As of 31st December, 1998, there were outstanding long-term loans of US$ 20.8 million and Baht 192.7 million (1997 : US$ 13.7 million and Baht 157.8 million). Included in the above-mentioned US$ 20.8 million loan was the amount of US$ 6.08 million drawn under the Sponsors Post Completion Support Agreement, under which, in order to assist the Company to meet its payment obligations in respect of Senior Debts, the two major shareholders agreed to make available to the Company subordinated loan of US$ 50 millions until February 2004. The available amount as at 31st December, 1998 was US$ 43.92 million. These loans were subject to interest at rates of LIBOR plus 1 - 3.5 percent per annum for US dollar loans and at the rates of MLR plus 0.25 - 1 percent per annum for Thai Baht loans. NOTE 13 - SHARE CAPITAL 1998 1997 Registered Number of shares (shares) 602,450,000 602,450,000 Par value per share (Baht) 10 10 Amount (Baht) 6,024,500,000 6,024,500,000 Issued and fully paid Number of shares (shares) 602,297,199 602,297,199 Par value per share (Baht) 10 10 Amount (Baht) 6,022,971,990 6,022,971,990 NOTE 14 - EXCHANGE GAINS 1998 1997 Baht Million Baht Million Realised gains (losses) 41.1 (6.7) Unrealised gains 2,535.7 67.6 Total exchange gains 2,576.8 60.9 As of 31st December, 1998 the bank selling rate for US$ 1 was equal to Baht 36.89. NOTE 15 - EXCHANGE LOSS FROM THE ADOPTION OF MANAGED FLOAT SYSTEM Following the Governments 2nd July, 1997 announcement of Thailands change to a Managed Float exchange rate system, the value of the Thai Baht decreased significantly in comparison with other foreign currencies. The exchange gains/losses, resulting from the above change were presented as an extraordinary item in the 1997 earnings statement. NOTE 16 - DIRECTORS REMUNERATION Directors remuneration represents the benefits paid to the Company directors in accordance with Section 90 of the Public Limited Companies Act, exclusive of salaries and related benefits payable to the managing director who is one of the executive directors. NOTE 17 - STATEMENTS OF CASH FLOWS For the purposes of the statements of cash flows, cash and cash equivalents include cash in hand and at banks and deposit with financial institution with an original maturity of 3 months or less. NOTE 18 - FINANCIAL INFORMATION BY SEGMENT The Companys operations comprise the manufacturing and distribution of PVC and related by-products for both domestic and export markets. In 1998, the export sales represented approximately 35.4 percent (1997 : 16.6 percent) of total sales.The Companys operations involve a single industry segment and are carried out from a single geographic area in Thailand. NOTE 19 - PROMOTIONAL PRIVILEGES The Company was granted the tax privileges under the Investment Promotion Act B.E. 2520 approved by the Board of Investment for manufacture and distribution of PVC and VCM on 15th June, 1988. Subject to certain imposed conditions, the privileges include exemption of corporate income tax on net profit for a period of seven years commencing as from 1st August, 1992 (the date of earning operating income). Profits derived thereafter from the promoted activity shall be subject to income tax at a reduced rate of fifty percent of the normal tax rate for another five years after the expiration of corporate income tax exemption period. NOTE 20 - INCOME TAX ON EXCHANGE GAINS/LOSSES ARISING FROM FLOATING OF THE THAI BAHT For financial reporting purposes, the Company credited/charged all exchange gains/losses arising from the floating of the Thai Baht to the 1997 earnings statement. However, for income tax reporting purposes, such exchange gains/losses have been deferred and amortised in proportion to the amount of debts due in accordance with Recital 2 of the Revenue Departments Notification No. 72/2540. NOTE 21 - PROVISION FOR LONG-TERM EMPLOYMENT BENEFIT Starting from 1st January, 1994, the Company has provided a long-term employment fund scheme for its employees who have been in the plan for five years or more of continuous service. Under the scheme, an employee is entitled to receive upon retirement or resignation, a sum computed in accordance with his length of service. The outstanding balances of provision for long-term employment benefit as at 31st December, 1998 was approximately Baht 28.4 million (1997 : Baht 20.8 million) which is included in Other liabilities - others in the balance sheets. NOTE 22 - LEASE AND RENTAL COMMITMENTS As at 31st December, 1998, the Company had the following outstanding lease and rental commitments:- a) Lease commitments in respect of land for its plant for a period of 30 years as from 15th June, 1989 to 14th June, 2019 amounting to approximately Baht 155 million. Rental fees are Baht 6.9 million per annum as from 15th June, 1989 to 14th June, 1999 and Baht 7.59 million per annum as from 15th June, 1999 to 14th June, 2019. b) Commitments in respect of motor vehicle operating leases amounting to approximately Baht 11.3 million which are repayable within the year 2003. c) Other lease and rental commitments payable in the future are as follows :- 1998 1997 Million Baht Million Baht Payable within 1 year 82.3 81.7 Payable between 2 - 5 years 129.6 177.2 211.9 258.9 NOTE 23 - OTHER COMMITMENTS As at 31st December, 1998, the Company had the following other outstanding commitments:- a) The Company has entered into a license and on-going knowhow agreements with an overseas related company. The fees are payable by the Company on the basis and at the rate stipulated in the relevant agreements. b) The Company has entered into an agreement to purchase raw materials from a related local company. The Company agrees to purchase raw materials at the quantity and price stipulated in the agreement. The price is referenced to the US market price. c) The Company has entered into an agreement with an associated company to purchase raw materials produced by this associated company at the quantity and at the price stipulated in the relevant joint venture agreement. NOTE 24 - BANK GUARANTEES AND AVAL As at 31st December, 1998, there were outstanding bank guarantees and aval as follows :- a) Bank guarantees of Baht 197 million (1997 : Baht 250 million) issued by banks on behalf of the Company in the normal course of business of the Company. b) A bank aval for export credit facilities of US$ 100.8 million (1997 : US$ 115.2 million) was issued by local banks on behalf of the Company under the conditions stipulated in the relevant long-term loan agreement. NOTE 25 - YEAR 2000 COMPLIANCE (UNAUDITED) The Company has been implementing the testing, modification and upgrading of the computer hardware and software used in its operation (ie : for the production process, sales and accounting systems) to cope with the Year 2000 problem. The project is expected to be completed within the third quarter of 1999. The total cost to implement the action plans for year 2000 compliance is estimated at Baht 41 million. Despite its efforts, the Company may nevertheless, face unexpected problems during the remediation process, or it may be that some other companies with which the Company has business dealings may not be able to complete their remediation programs in due time. However, the Company believes that such inability would not have a material adverse effect on the Companys operating results. NOTE 26 - PRESENTATION The presentation of the financial statements has been made in compliance with the Ministerial Regulation No. 7 (1996) as empowered under the Public Limited Companies Act B.E. 2535. NOTE 27 - APPROVAL OF FINANCIAL STATEMENTS These financial statements have been approved by the Companys directors.