SET Announcements

August 16, 1999 Manager The Stock Exchange of Thailand Dear sir: According to the performance of Noble Development Public Company Limited and its subsidiaries for the six months period ended June 30,1999 reported net loss Bt134.41m decreased more than 20% from the same period of the previous year which reported net loss Bt62.93m. The company would like to clarify that the increase of the net loss mainly due to 1. Regarding the accounting standard about capitalization of the borrowing cost, the company recorded 1999 loan interest amount of Bt97.67m as interest expenses in profit and loss, which ever been recorded as part of development cost in balance sheet. Interest expenses was significantly increased in statements of income and deficit. 2. Revenue from sales was decreased 30% comparing to 1998. Since the company had to cancel the previous year's sale contract whose customers could not made the transfer of ownership. The company's gross profit margin obviously increased from 17% gross loss to 16% gross profit. The company's selling price is adjusted to reflect the real market. However, increasing selling price did not effect to sales,the company's sales for six months period ended 1999 increased 37% compared to the same period of the previous year. 3. In 1998, the company recorded gain on exchange rate amount Bt50.60m,but the company has non baht currency loan in 1999 account. Sincerely, Sitti Leelakasamelerk Director