S&P : Annual Report 2008

Page 1

063

Contents

Financial Highlight

064

Message from the Chairman

067

Nature of Business

068

Audit Committee’s Report

072

Board of Director’s Report

073

Report of the Independent Certified Public Accountants

073

Financial Statements

074

Connected Transactions

093

Economic Situation and Competition

094

Major Events

094

Analysis of Operating Performance and Financial Status

095

Risk Factors

097

Shareholder Structure

098

S&P Group Structure

098

S&P Subsidiaries and affiliates

099

Management Structure

0100

Corporate Governance

0113

General Corporate Information and Other References

0119

064

Financial Highlight

2008

2007

2006

2005

2004

4,378,166 4,437,342

4,013,841 4,076,775

3,727,256 3,799,995

3,361,307 3,415,112

2,994,692 3,043,805

Income Statement (Unit : Thousand Baht) Sales and services income Total income *URVV 3URĂ€W 1HW 3URĂ€W

%DODQFH VKHHW DQG FDVKĂ RZ (Unit : Thousand Baht) Current assets Current Liabilities

1,212,736 554,272

1,100,004 554,852

1,001,717 504,988

777,585 509,960

586,254 444,396

Fixed assets Total assets Total Liabilities

1,021,325 2,521,823 555,931

1,137,998 2,517,514 556,829

1,090,448 2,398,461 507,309

1,022,587 2,084,535 511,853

884,830 1,748,889 444,396

Shareholders’ equity Paid-up capital

1,965,891 523,431

1,960,685 523,431

1,891,153 502,303

1,572,682 434,769

1,304,493 374,271

Retained earnings 1HW RSHUDWLQJ FDVKĂ RZ

647,258

652,310

652,423

604,269

551,398

Financial ratio (%) Liqiudity (Times)

2.2

2.0

2.0

1.5

1.3

3URĂ€WDELOLW\ UDWLR *URVV SURĂ€W 0DUJLQ (on sales and service income) 1HW SURĂ€W PDUJLQ Return on equity

42.5% 11.5%

42.3% 9.4%

43.1% 13.1%

42.5% 14.2%

42.0% 14.5%

2SHUDWLQJ HIÀFLHQF\ Return on assets 5HWXUQ RQ À[HG DVVHWV

8.9%

7.4%

10.1%

10.6%

10.9%

0.28

0.28

0.27

0.33

Debt to equity ratio (Times) *URZWK UDWH 6DOHV DQG VHUYLFH LQFRPH JURZWK *URVV SURĂ€W JURZWK 7RWDO LQFRPH JURZWK 1HW SURĂ€W JURZWK

0.34

Per share data (Baht) Book value per share

18.78

18.73

18.82

18.09

17.43

Earnings per share

2.15

1.75

2.58

2.68

2.53

Dividend per share Dividend payout ratio (%)

2.15 100%

1.50 86%

2.00 86%

2.10 87%

2.00 81%

5

5

5

5

5

104,686

105,000

105,000

105,000

105,000

(unit : Thousand shares) Weighted average shares

104,686

104,686

100,461

86,954

74,854

(unit : Thousand shares)

104,686

103,633

87,825

75,941

72,304

Share capital Par value (Baht per share) Registered share (unit : Thousand shares) Paid-up share

065

5HYHQXH EUHDNGRZQ E\ 'LVWULEXWLRQ &KDQQHO

Oversea restaurant 15.2%

5HYHQXH %UHDNGRZQ E\ 3URGXFW

Frozen food 8.5%

Others 0.1%

Other products 2.6% Bakery 43.6%

Oversea restaurant 15.2%

Frozen food and bakery trading 9.0%

Domestic restaurant and bakery shop 75.7%

Domestic food and beverage 30.1%

Total Income

1HW 3URĂ€W

Million Baht

Million Baht

Year

Year

2SHUDWLQJ &DVK )ORZ

'LYLGHQG SHU VKDUH

Million Baht

Baht/share 473 416

482

421

326

Year

Year

066

Organization Chart

%RDUG RI 'LUHFWRUV

Audit Commitee

Exec. Management Commitee

President

Management Team

Executive Vice President

Corporate Support

&RUSRUDWH 6WUDWHJ\

Manufacturing

'RPHVWLF 2SHUDWLRQ

Finance and Accounting

Operation : S&P Operation : Speciality

Human Resources

Bakery

Domestic

Food

International

Research & Development

Trade

IT and system support

*OREDO DQG 'RPHVWLF Ventures

Product and Marketing

Business Development Company Secretariat

%RDUG RI 'LUHFWRUV

Management Team

1. Mrs. Patara Sila-On

Chairman

1. Mr. Pravesvudhi Raiva

President

2. Lt. Varakorn Raiva

Vice Chairman

2. Mrs. Kessuda Raiva

3. Mr. Pravesvudhi Raiva

President

4. Mr. Kachorndej Raiva

Director

President for S& P Global Co.,Ltd. Executive Vice President for S&P Syndicate Plc.

5. Mr. Pote Videtyontrakich

Director

3. Mr. Vitoon Sila-On

Executive Director Senior Vice President – Domestic Operations

4. Mrs. Chandnibha Suriyong

Senior Vice President Operations S&P Global Co.,Ltd.

0U :LOOLDP (OOZRRG +HLQHFNH

'LUHFWRU

7. Mrs. Pratana Mongkolkul

Director

8. Mr. Vitoon Sila-On

Director

9. Ms. Cattleya Saengsastra

Independent Director Chairman of the Audit Committee

10. Ms. Sophavadee Uttamobol

0UV 3DFKDUHH :LVXWKLZDQ

9LFH 3UHVLGHQW IRU Operations Department

Independent Director Audit Committee

6. Mr. Somyos Songkrod

11. Mr. Dusit Nontanakorn

Independent Director Audit Committee

Senior Vice PresidentManufacturing

7. Mr. Somjit Kititeerakul

12. Mrs. Kessuda Raiva

Director Company Secretary

Vice President for Bakery

8. Mr. Chongchana Chantamas

Vice President for Food Operations

9. Mrs. Phailin Nimityongsakul

Vice President for Research and Development

10. Mrs. Rungthong Ramon Oms

0U 3DNRUQ 7LHZFKDURHQ 12. Mrs. Wanphen Thongsri

Senior Vice President Corporate Strategy Vice President for Accounting and Finance 9LFH 3UHVLGHQW 7UDGH Vice PresidentProcurement

067

Message from the Chairman <HDU LV DQRWKHU \HDU RI WKH &RPSDQ\·V VXFFHVV IROORZLQJ LWV \HDUV RI UHVWDXUDQW RSHUDWLRQ DQG LWV JURZWK UDWH LV VDWLVIDFWRU\ DPLGVW WKH ZRUOG HFRQRPLF FULVLV ZKLFK KDV UHVXOWHG LQ D VORZGRZQ LQ WKH RYHUDOO HFRQRP\ DQG D GHFUHDVH LQ FRQVXPHUV· VSHQGLQJ +RZHYHU WKH &RPSDQ\ FDQ PDLQWDLQ LWV LQFRPH JURZWK UDWH DW SHUFHQW ZLWK D WRWDO LQFRPH RI PLOOLRQ %DKW The Company has added 43 S&P restaurants and bakery shops, focusing on provincial branches in all FRXQWU\ UHJLRQV VR WKDW WKH\ FDQ UHDFK ZLGHU WDUJHW JURXSV DQG RIIHU PRUH FRQYHQLHQFH WR FRQVXPHUV ,Q DGGLWLRQ D IUDQFKLVHG EUDQFK XQGHU WKH EUDQG QDPH ´7KDL 3DWLRµ ZDV RSHQHG LQ WKH 3KLOLSSLQHV in last December and received good response from customers. The Number 1344 Delivery service has JURZQ XS FRQWLQXRXVO\ DIWHU WKH LQWURGXFWLRQ RI D -R\ &DUG ZKLFK RIIHUV GLVFRXQWV DQG SULYLOHJHV including cumulative points to be exchanged for gift vouchers. The Company has also organized various promotional activities to offer many specialties to its customers, such as, the quarterly Top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and it has received a very good response. Therefore, an expansion has been made to include other W\SHV RI IRRG WKDW LV JHUPLQDWHG EURZQ ULFH VXVKL JHUPLQDWHG EURZQ ULFH GULQNV DQG JHUPLQDWHG EURZQ ULFH VDQGZLFKHV DV D UHVSRQVH WR WKH FRQVXPHUV· QHHGV The Company has attached importance to the maintenance and development of the level of quality and safety standards of its foods continuously at all of its restaurants and factories. In 2008, the &RPSDQ\ REWDLQHG TXDOLW\ FHUWLÀFDWLRQ XQGHU WKH &RGH[ *RRG 0DQXIDFWXULQJ 3UDFWLFH *03 VWDQGDUG IRU SRLQWV RI VDOH QDPHO\ /DW 3KUDR 7KRQJORU %DQJ 3KOL .P 6XNKXPZLW DQG 0DERRQNURQJ Shop branches, from the Thai Industrial Standards Institute, Ministry of Industry. In addition, the &RPSDQ\·V IDFWRULHV KDV PDLQWDLQHG DQG GHYHORSHG WKH VFRSH RI TXDOLW\ VWDQGDUG FHUWLÀFDWLRQ WR DQ international level, that is, food safety (Codex Food Hygiene), including Good Manufacturing Practice *03 DQG +D]DUG $QDO\VLV DQG &ULWLFDO &RQWURO 3RLQW +$&&3 FHUWLÀFDWLRQ LVVXHG E\ WKH SXEOLF sector comprising the Food and Drug Administration, Ministry of Public Health, the Department of Agriculture and the Department of Fisheries, Ministry of Agriculture and Cooperatives; a testing standard under ISO/IEC 17025 : 2005 from the Bureau of Laboratory Quality Standards (BLQS), Department of Medical Sciences, Ministry of Public Health; food quality and safety management standards under ISO 9001 : 2000 – Quality Management System and ISO 22000 : 2005 – Food Safety Management System, including British Retail Consortium (BRC) and International Food Safety (IFS) for the group of foods produced for export. The Company attaches importance to society and the environment. It has helped campaign for global ZDUPLQJ UHGXFWLRQ E\ SURFHVVLQJ XVHG RLO IURP UHVWDXUDQWV LQWR ELRGLHVHO IRU XVH RQ WUDQVSRUW FDUV ZLWKLQ WKH IDFWRULHV RUJDQL]HG DQ 6 3 6XPPHU &DPS DFWLYLW\ WR JURZ JROGHQ WHDN WUHHV DW WKH Ancient City, and provided products and funds as relief and support to charitable organizations, LQVWLWXWHV DV ZHOO DV VWXGHQWV LQ QHHG FRQVWDQWO\ ,Q DGGLWLRQ LW KDV DFFRUGHG HGXFDWLRQDO RSSRUWXQLWLHV E\ DZDUGLQJ VFKRODUVKLSV DQG RSHQLQJ DQ 6 3 OHDUQLQJ FHQWHU IRU D YRFDWLRQDO FRXUVH RI FRPPHUFH LQ WKH ÀHOG RI UHWDLO EXVLQHVV DQG D FRXUVH RI GRPHVWLF VFLHQFH LQ WKH ÀHOG RI IRRG DQG QXWULWLRQ IRU HPSOR\HHV DQG WKLUG SHUVRQV IUHH RI FKDUJH DQG WKH &RPSDQ\ DOVR JLYHV WKHP DOORZDQFHV WKURXJKRXW WKH FRXUVHV DQG RQ KDYLQJ JUDGXDWHG WKH\ ZLOO EH DSSRLQWHG DV HPSOR\HHV RI WKH &RPSDQ\ immediately. Moreover, the Company has opened a meditation course at Ban Raiva, Amphoe Sri Racha, &KDQJZDW &KRQ %XUL IRU HPSOR\HHV DQG WKLUG SHUVRQV VR WKDW WKH\ KDYH ZLVGRP DQG FRQVFLRXVQHVV DQG GHYHORS WKHPVHOYHV WR EH JRRG SHRSOH ZKR FDQ OLYH KDSSLO\ LQ VRFLHW\ 7KH VXFFHVV RYHU WKH SDVW \HDUV LQFOXGLQJ YDULRXV DZDUGV WKDW KDYH EHHQ ZRQ VHUYHV DV D VLJQ RI FRQÀUPDWLRQ RI FRQVXPHUV· FRQÀGHQFH DQG UHFRJQLWLRQ WRZDUGV 6 3 $OO WKHVH WKLQJV KDYH UHVXOWHG IURP WKH FRRSHUDWLRQ DQG FR ZRUNLQJ RI DOO H[HFXWLYHV HPSOR\HHV VXSSOLHUV VKDUHKROGHUV DQG VXSSRUWHUV 2Q EHKDOI RI WKH %RDUG RI 'LUHFWRUV , ZRXOG OLNH WR WKDQN DOO RI WKHP IRU WKHLU FRQWULEXWLRQ WR WKH JURZWK DQG SURVSHULW\ RI WKH EXVLQHVV RI WKH &RPSDQ\ ZKLFK LV UHDG\ WR PRYH ÀUPO\ WR LWV WK \HDU DQG VXEVHTXHQW \HDUV DQG IRU WKHLU GHWHUPLQDWLRQ WR GHYHORS WKH RUJDQL]DWLRQ for its betterment.

Patara Sila-On Chairman

068

Nature of Business Company Background & Milestones

S&P Syndicate Public Company Limited was established in 1973 as S&P Co.,Ltd., selling food, ice FUHDP DQG VQDFNV DW LWV ÀUVW RXWOHW RQ 6XNKXPYLW 6RL LQ %DQJNRN ,W VRRQ HYROYHG LQWR D ÁRXULVKLQJ bakery business, creating highly popular made-to-order cakes and cakes with cartoon designs. Gaining KXJH SRSXODULW\ ZLWK FRQVXPHUV WKH FRPSDQ\ RSHQHG PRUH EUDQFKHV LQ VHYHUDO SULPH ORFDWLRQV WKURXJKRXW %DQJNRN ,Q 6 3 EHFDPH D SXEOLF FRPSDQ\ DQG FKDQJHG LWV QDPH WR 6 3 6\QGLFDWH 3XEOLF &R /WG 6 3 *URXS FRQWLQXHG LWV LQYHVWPHQWV DQG H[SDQVLRQ LQ ERWK UHVWDXUDQW DQG IRRG EXVLQHVVHV XQGHU WKH ´6 3µ EUDQG 7KH &RPSDQ\ JUHDWO\ OHYHUDJHG LWV EUDQG SRSXODULW\ WKURXJK 6 3 5HVWDXUDQWV DQG 6 3 %DNHU\ 6KRSV ZKLFK ZHUH ÁH[LEO\ FXVWRPL]HG IRU WKHLU WDUJHW FXVWRPHUV 6LQFH LWV LQFHSWLRQ WKH *URXS KDV VXFFHVVIXOO\ LQWURGXFHG QHZ EUDQGV WR PDUNHW SODFHV 3DWDUD )LQH 7KDL &XLVLQH 3DWLR %OXHFXS Vanilla, Simply Thai and Golden Dragon Mooncakes. 7KH &RPSDQ\·V ÀUVW RYHUVHDV 7KDL UHVWDXUDQW GHEXWHG LQ /RQGRQ LQ XQGHU WKH EUDQG ´3DWDUDµ )LQH 7KDL &XLVLQH 5LGLQJ WKH ZDYH RI ULVLQJ DSSHWLWH IRU 7KDL FXLVLQH DEURDG 6 3 *URXS KDV FRQWLQXRXVO\ H[SDQGHG LWV UHVWDXUDQW EUDQFKHV DQG SUHVHQWO\ RSHUDWHV WZHQW\ UHVWDXUDQWV DQG KDV IUDQFKLVH LQ ÀYH GLIIHUHQW FRXQWULHV XQGHU WKH EUDQGV ´3DWDUDµ ´3DWLRµ ´7KDLµ ´6LDP .LWFKHQµ DQG ´%DQJNRN -DPµ ,Q DGGLWLRQ WR LWV FRUH EXVLQHVVHV LQ UHVWDXUDQWV DQG EDNHU\ SURGXFWV 6 3 *URXS KDV LQWHJUDWHG LQWR VDXVDJHV IUR]HQ SUHSDUHG PHDO DQG FDWHULQJ PDUNHWV $OWKRXJK VXFK PDUNHW FXUUHQWO\ DSSHDUV to be small, the Group has foreseen a great potential in the near future and has consistently LQYHVWHG LQ 5 ' WR GHYHORS TXDOLW\ SURGXFWV IRU FRQVXPHUV 7KH &RPSDQ\ XQGHUSLQV LWV VWUHQJWKV LQ KLJK TXDOLW\ WDVWHIXOQHVV DQG YDULHWLHV RI PHDO FKRLFHV &XUUHQWO\ 6 3 *URXS LV RQH RI WKH OHDGHUV LQ RXWVLGH FDWHULQJ XQGHU WKH ´&DWHUPDQµ EUDQG RIIHULQJ KRPH DQG RIÀFH GHOLYHU\ RI EDNHU\ SURGXFWV DQG FRPSOHWH PHDOV XQGHU LWV GHOLYHU\ KRWOLQH 'XH WR WKH UDSLG EXVLQHVV H[SDQVLRQ LQ ERWK IRRG DQG EDNHU\ VHJPHQWV WKH &RPSDQ\ FRQVWUXFWHG LWV ÀUVW EDNHU\ IDFWRU\ RQ 6XNKXPYLW 6RL DQG EXLOW PRUH IDFLOLWLHV ODWHU LQ &KLHQJPDL 3KXNHW DQG RQ %DQJQD 7UDG 5RDG ,Q DGGLWWLRQ WKH &RPSDQ\ DOVR FRQVWUXFWHG D IRRG SURGXFWLRQ IDFWRU\ SURGXFLQJ IUR]HQ IRRG DQG VDXVDJHV LQ /DGNUDEDQJ ,QGXVWULDO (VWDWH :LWK IXOO\ LQWHJUDWHG RSHUDWLRQV UDQJLQJ IURP SURGXFWLRQ SDFNDJLQJ UHWDLOLQJ WR GHOLYHU\ 6 3 *URXS VWDQGV RXW DV RQH RI WKH FRXQWU\·V ÁDJVKLS OHDGHUV LQ UHVWDXUDQW DQG EDNHU\ EXVLQHVVHV 7KH Group has always been dedicated to a strong tradition of care to share the best to its customers. 7KURXJK LWV \HDUV RI KLVWRU\ WKH &RPSDQ\ KDV ORQJ EHHQ FRPPLWWHG WR ZHOO VHOHFWHG LQJUHGLHQWV EURXJKW LQWR WKH ÀQHVW SURGXFWLRQ WR FUHDWH KLJK TXDOLW\ SURGXFWV DQG VHUYLFHV IRU FXVWRPHUV

Overview of S&P Group and its subsidiaries S&P Syndicate Public Co.,Ltd. and its group companies operate restaurants, bakery shops, and coffee GULQN FRUQHUV 7KH *URXS LV DOVR D SURGXFHU RI VDXVDJHV IUR]HQ SUHSDUHG PHDO DQG EDNHU\ SURGXFWV XQGHU WKH EUDQG ´6 3µ 7KH FRPSDQ\·V ZLGH UDQJH RI EXVLQHVVHV FDQ EH FDWHJRUL]HG LQWR IRXU PDMRU VHJPHQWV GRPHVWLF UHVWDXUDQWV DQG EDNHU\ VKRSV LQWHUQDWLRQDO UHVWDXUDQWV SURGXFWLRQ DQG GLVWULEXWLRQ RI SURGXFWV XQGHU ´6 3µ DQG RWKHU EUDQGV DQG RWKHU VHUYLFHV 1. Domestic restaurants and bakery shops $V RI 'HFHPEHU 6 3 RSHUDWHG WRWDO UHVWDXUDQWV DQG EDNHU\ VKRSV QDWLRQZLGH WRWDO RXWOHWV IRU 6 3 DQG LWV DIÀOLDWHV 6 3 RXWOHWV KDYH EHHQ D PDMRU GLVWULEXWLRQ FKDQQHO GULYLQJ D PDMRU SRUWLRQ RI WKH &RPSDQ\·V UHYHQXHV 7KH *URXS SRVLWLRQV HDFK EUDQG GLIIHUHQWO\ WR UHDFK RXW WR DOO SRWHQWLDO FXVWRPHUV 6 3 UHVWDXUDQWV DQG EDNHU\ RXWOHWV FDSWXUH D YDULHW\ UDQJH RI FXVWRPHUV ZKLOH RWKHU EUDQGV DUH GLVWLQFWLYHO\ GHVLJQHG IRU PRUH VSHFLÀF FOLHQWV

Operator

6 3 %DNHU\ RXWOHWV 6 3 5HVWDXUDQWV 9DQLOOD *URXS 3DWLR Patara Grand Seaside

6 3 6 3 6 3 6 3 S&P S&P

% owned by S&P

# of Branches

Total S&P 3L]]D 3DWLR IRUPHUO\ NQRZQ DV 3L]]DQRWWL +DDJHQ 'D]V &DIp 7RWDO 6 3 DQG DIÀOLDWHV

1 1 294

6 3L]]DQRWWL +' 'LVWULEXWRUV

1RWH 7KH &RPSDQ\·V %OXH &XS &RIIHH FRXQWHUV DUH ORFDWHG LQ 6 3 UHVWDXUDQW DQG EDNHU\ VKRSV

S&P Restaurant & Bakery : Simply Delicious 5HVWDXUDQWV IRU PLGGOH WR XSSHU FODVV FRQVXPHUV IDPLOLHV WHHQDJHUV DQG ZRUNLQJ FODVVHV 6 3 5HVWDXUDQWV SURYLGH D YDULHW\ RI SURGXFWV LQFOXGLQJ IRRGV LFH FUHDP FRIIHH DQG EDNHU\ IRU ERWK GLQH LQ DQG WDNH DZD\ DV ZHOO DV KRPH GHOLYHU\ &RQYHQLHQWO\ JXHVWV LQ 6 3 UHVWDXUDQWV PD\ SXUFKDVH DQG WDNH KRPH RWKHU SURGXFWV VXFK DV IUR]HQ IRRGV FRRNLHV DQG 7KDL GHVVHUWV DV D VLPSO\ GHOLFLRXV DOWHUQDWLYH S&P Bakery Shop & Corner : Fresh Baked Everyday %DNHU\ VKRSV VLWXDWHG LQ KLJK WUDIÀF FRPPXQLWLHV L H VXSHUPDUNHWV GHSDUWPHQW VWRUHV RU RIÀFH EXLOGLQJV HWF 7KH RXWOHWV SURYLGH FRQYHQLHQFH WR FRQVXPHUV ZKR DUH VKRSSLQJ IRU EHYHUDJHV FRIIHH EDNHU\ FDNHV FRRNLHV VDQGZLFKHV EUHDG DQG RWKHU UHDG\ PHDO SURGXFWV 6 3 %DNHU\ VKRSV DUH ORFDWHG PDLQO\ LQ SULPH DUHDV LQ %DQJNRN LWV YLFLQLW\ DQG RWKHU PDMRU FLWLHV QDWLRQZLGH Vanilla Group 9DQLOOD *URXS LV D PRGHUQL]HG HPHUJLQJ EUDQG RI UHVWDXUDQWV DQG FRIIHH VKRSV 7KH EUDQG LV QHDWO\ GHVLJQHG WR UHDFK RXW WR D WUHQG\ FXVWRPHU EDVH VXFK DV WHHQDJHUV DQG H[HFXWLYHV ZLWK ÀQH WDVWH DQG LGHQWLW\ 5HVWDXUDQWV DQG FRIIHH VKRSV XQGHU WKH 9DQLOOD *URXS SURYLGH IRRG DQG VHUYLFHV LQ WKHLU RZQ XQLTXH HQYLURQPHQW (1)

Vanilla Industry : Tea, Cake, D.I.Y bakery, and Cooking Workshop Modern restaurants designed for the young, trendy generation, with a harmonious blend of PRGHUQ DQG FODVVLF VW\OHV ,Q DGGLWLRQ WR VHUYLQJ VSDJKHWWL VRXS VDODG SDVWU\ DQG FDNH the restaurants offer a culinary course to interested customers who may like to cook at home.

(2)

Vanilla Restaurant : Breakfast, Lunch, Afternoon Tea, and Dinner 5HVWDXUDQWV ZLWK DQ ´(QJOLVK 3XE¾ DWPRVSKHUH GHFRUDWHG LQ D 9LQWDJH PRGHUQ VW\OH :LWK XQLTXH IHDWXUHV 9DQLOOD UHVWDXUDQWV DUH DQ LGHDO SODFH IRU HYHU\ PHDO GXULQJ D GD\ 7KH UHVWDXUDQW VHUYHV WRS YDULHWLHV RI (XURSHDQ FODVVLF GLVKHV DQG IUHVK EDNHU\

Vanilla Brasserie : &DIH SDWLVVHULH 6DORQ GH WKH &UHSHULH &KRFRODWLHU &RQĂ€VHULH 7KH Ă€QHVW DOO URXQG LQWHUSUHWHU RI WKH ´)UHQFK &DIpÂľ VW\OH 9DQLOOD %UDVVHULH LV GHVLJQHG WR VHUYH SDWURQV ZLWK D PRGHUQ OLIHVW\OH LQ 3DUDJRQ 6KRSSLQJ 0DOO 7KH PHQX LV ZHOO WKRXJKW RXW LQFOXGLQJ FUHSH VDODG VDQGZLFK FKRFRODWH DQG ´)UHQFK VW\OHÂľ GHVVHUWV WRJHWKHU ZLWK VRXYHQLU JLIWV (4)

Vanilla CafÊ : Japanese Style Cafe ,WDOLDQ -DSDQHVH UHVWDXUDQWV ZLWK ´5HWUR¾ GHFRUDWLRQ LQ -DSDQHVH VLPSOH VW\OH 7KH &DIp VHUYHV D YDULHW\ RI -DSDQHVH GHVVHUWV DQG RIIHUV SULYDF\ LQ HDFK FRUQHU ZLWK DQ DW KRPH DPELDQFH 9DQLOOD &DIp LV D QHZ DQG VXFFHVVIXO FKRLFH GHOLYHULQJ SROLVKHG SHUIRUPDQFH WR upper-class customers.

(5)

Royal Vanilla : Tearoom-Dimsum Simulate the atmosphere of old Chinese restaurants, decorated with simple furniture in the &KLQHVH VW\OH 5R\DO 9DQLOOD VHUYHV GLP VXP DQG &KLQHVH IRRGV LQ ´9DQLOOD¾ VW\OH

Sauce : $rt literature cookbook 0RGHUQ ERRNVWRUH GHFRUDWHG LQ WKH ´/RIWÂľ VW\OH WKDW GLVWULEXWHV DUW OLWHUDWXUH DQG cookbooks. Patio : Joy of eating +RPH VW\OH FRRNLQJ LQ D FR]\ EXW VW\OLVK VHWWLQJ 7KH PHQX UHĂ HFWV D SOHDVDQW EOHQG RI 7KDL DQG LQWHUQDWLRQDO FXLVLQHV LQ D WUHQG\ VHWWLQJ 3DWLR RIIHUV JXHVWV D ZDUP IDPLO\ H[SHULHQFH IRU HYHU\ PHDO GXULQJ D GD\ Patara : Fine Thai Cuisine (OHJDQW 7KDL FXLVLQH DQG VRSKLVWLFDWHG FRQWHPSRUDU\ 7KDL GpFRU 3DWDUD LV D IDEXORXV GHVWLQDWLRQ restaurant for business dining or special gathering. Grand Seaside : Great Food‌Good View 7KDL VHDIRRG UHVWDXUDQW RQ /DP )DUQ 3RLQW ² 6ULUDFKD RQO\ RQH DQG D KDOI KRXU IURP %DQJNRN :KROO\ UHQRYDWHG LQ D EXQJDORZ VW\OH FLUFD WKH 5DPD 9 SHULRG *UDQG 6HDVLGH VHUYHV GHOLFLRXV 7KDL FRQWHPSRUDU\ VHDIRRG LQ D UHOD[HG DPELHQFH Pizzanotti : Thin Crust Italian Pizza for Delivery $ MRLQW YHQWXUH ZLWK =DQRWWL RQH RI WKH EHVW ,WDOLDQ UHVWDXUDQWV LQ 7KDLODQG &XUUHQWO\ WKH MRLQW YHQWXUH RSHUDWHV HLJKW RXWOHWV ZLWK GHOLYHU\ VHUYLFHV Haagen Dazs Cafe : Super Premium Ice Cream $ MRLQW YHQWXUH ZLWK *HQHUDO 0LOOV ,QWHUQDWLRQDO +ROGLQJV //& +DDJHQ 'D]V VHOHFWV RQO\ WKH SXUHVW DQG Ă€QHVW DOO QDWXUDO LQJUHGLHQWV WR FUHDWH VXSHU SUHPLXP LFH FUHDP +DDJHQ 'D]V GHOLYHUV WKH XOWLPDWH WDVWH H[SHULHQFH LQ WKH ZRUOG RI LQGXOJHQFH DW +lDJHQ 'D]V &DIp QDWLRQZLGH DQG RYHU UHWDLO RXWOHWV LQFOXGLQJ OHDGLQJ KRWHOV UHVWDXUDQWV K\SHUPDUNHWV DQG VXSHUPDUNHWV

069

070

Bluecup Coffee & Tea : Making Coffee Fun $ SUHPLXP VSHFLDOW\ FRIIHH FRXQWHU ORFDWHG LQ RYHU 6 3 RXWOHWV %OXHFXS RIIHUV D FRPSUHKHQVLYH UDQJH RI KRW DQG LFHG FRIIHHV DQG WHD SUHSDUHG E\ ZHOO WUDLQHG EDULVWDV %OXHFXS ZDV DZDUGHG WKH 7KDLODQG %DULVWD &KDPSLRQVKLS IRU WZR FRQVHFXWLYH \HDUV LQ DQG 2. International Restaurants 1RW RQO\ LV 6 3 *URXS VXFFHVVIXO LQ WKH GRPHVWLF PDUNHW EXW DOVR ÁRXULVKHV RQ WKH LQWHUQDWLRQDO OHYHO 7KH *URXS SURXGO\ SRVLWLRQV LWVHOI DV D UHSUHVHQWDWLYH RI 7KDL FXOWXUH RYHUVHD HVSHFLDOO\ LQ DQ DVSHFW RI DXWKHQWLF 7KDL IRRG 7KH &RPSDQ\ KDV H[SDQGHG RYHUVHDV ZLWK LWV RZQ EUDQFKHV DQG WKURXJK MRLQW YHQWXUHV ZLWK ORFDO LQYHVWRUV DEURDG 3UHVHQWO\ WKH *URXS RSHUDWHV WZHQW\ UHVWDXUDQWV DQG KDV IUDQFKLVH LQ ÀYH GLIIHUHQW FRXQWULHV

England

Switzerland

Singapore

Taiwan

The Philippines

3DWDUD 7+$, 3DWLR 6LDP .LWFKHQ %DQJNRN -DP

7RWDO

Total

* operated by a franchisee Patara : Fine Thai Cuisine 7KH ´JHPVµ RI ÀQH 7KDL GLQLQJ VHW LQ ULFK ZDUP FRQWHPSRUDU\ 7KDL DPELDQFH 3DWDUD PHQX IHDWXUHV DXWKHQWLF GLVKHV ZLWK PRGHUQ H[TXLVLWH SUHVHQWDWLRQ 7KH FRQFHSW LV ZHOO UHFHLYHG LQ (XURSH DQG $VLD % LQ 8QLWHG .LQJGRP LQ 6ZLW]HUODQG DQG LQ 6LQJDSRUH THAI : Contemporary Cuisine 7KH VLPSO\ FDOOHG 7+$, LV D WUHQG\ UHVWDXUDQW GHVLJQHG ZLWK D VOHHN GpFRU FUHDWHG E\ UHQRZQHG 3DULV LQWHULRU GHVLJQHU 0DUF +HUWULFK IHDWXULQJ H[RWLF FRFNWDLOV H[FHOOHQW ZLQHV IURP (XURSH &KLOH RU 1HZ =HDODQG DQG D FRQWHPSRUDU\ DSSURDFK RI FXLVLQH 7+$, LV ZKHUH WKH EHVW RI (DVW PHHWV :HVW IRU WKH SOHDVXUH RI LWV JXHVWV :H DOVR H[SDQG RXU UHVWDXUDQW WR VHUYH WDNHDZD\ customers. % LQ 6ZLW]HUODQG Patio : Joy of eating ,QWHUQDWLRQDOO\ LQVSLULQJ FRQWHPSRUDU\ 7KDL FXLVLQH 3DWLR DWWUDFWV \RXQJ $VLDQV ZLWK LWV UHOD[LQJ DWPRVSKHUH DQG PRGHUQ GpFRU LQ D VW\OLVK VHWWLQJ 7KDL ,WDOLDQ ,QVSLUHG RIIHUV D KDUPRQLRXV EOHQG EHWZHHQ 7KDL DQG ,WDOLDQ FXLVLQH 6 3 *URXS SODQV WR IXUWKHU H[SDQG WKH FRQFHSW WR RWKHU $VLDQ cities. % 4 in Taiwan and 1 franchise in Philippines Siam Kitchen : Authentic Thai Restaurant &DVXDO 7KDL GLQLQJ LQ VXEXUE VKRSSLQJ PDOOV 6LDP .LWFKHQ RIIHUV DIIRUGDEOH 7KDL GLVKHV IRU YDOXH FRQFHUQHG FXVWRPHUV 7KH UHVWDXUDQWV DUH PRGHUQO\ GHFRUDWHG EXW FRQFHDO VXEWOH 7KDL WRXFKHV $OO 6LDP .LWFKHQ LQ 6LQJDSRUH DUH +DODO FHUWLÀHG HQDEOLQJ WKHP WR DWWUDFW D ODUJH 0XVOLP community. % LQ 6LQJDSRUH Bangkok Jam : Thai and Pan-Asian cuisine 7KH ODWHVW SOHDVDQW GLQLQJ VFHQH LQ 6LQJDSRUH 7KH FRQFHSW LV PRGHOHG IRU PRGHUQ 7KDL VHUYLQJ FRQWHPSRUDU\ 7KDL DQG 3DQ $VLDQ FXLVLQH ZLWK D KLQW RI -DSDQHVH LQÁXHQFH LQ D UHOD[LQJ HQYLURQPHQW for young generations.

% 1 in Singapore

3URGXFWV DQG VHUYLFHV XQGHU EUDQG ´6 3µ DQG RWKHUV EUDQGV Bakery Products S&P Cake and Bakery Products : We’re the leader /RQJ D ÁDJVKLS OHDGHU LQ WKH PDUNHW 6 3 *URXS KDV EHHQ FRPPLWWHG WR GHOLYHULQJ KLJK TXDOLW\ SURGXFWV DQG VHUYLFHV DV ZHOO DV WR LQQRYDWLQJ QHZ SURGXFWV WR LWV FXVWRPHUV 7KH &RPSDQ\ KDV KHOG GHDU WKH YDOXH RI KHDOWK K\JLHQH DQG QDWXUDO JRRGQHVV 2XU FDNH DQG EDNHU\ SURGXFWV DUH EHDXWLIXOO\ SUHVHQWHG LQ GLVWLQFWLYH PRGHUQL]HG SDFNDJLQJ PDNLQJ LW LUUHVLVWDEOH WR consumers.

Delio : Cookies for discerning consumers ,QWURGXFHG DV DQ DOWHUQDWLYH IRU FRQVXPHUV 'HOLR SUHPLXP EXW DIIRUGDEOH FRRNLHV DUH DYDLODEOH at S&P outlets, hypermarkets and supermarkets.

Moon Cake : Drink tea, taste our Moon Cake, feel the moonlight S&P Group has long been a leader in the Moon Cake market. S&P and Golden Dragon Moon Cakes not RQO\ DUH GHOLFLRXV DQG FKDUPLQJ EXW DOVR SRVVHVV FXOWXUDO DQG DUWLVWLF GHVLJQV 2XU 0RRQ &DNHV DUH RIIHUHG LQ YDULRXV IDYRUV LQ GHOLFDWH SDFNDJHV VXLWDEOH DV SDVVLRQ JLIWV GXULQJ WKH KRVSLWDEOH IHVWLYDO LQ WKH PLG DXWXPQ SimplyThai : Thai sweet delicacies $ YDULHW\ RI ERWK WUDGLWLRQDO DQG FRQWHPSRUDU\ 7KDL VZHHWV LQ LUUHVLVWLEOH SDFNDJHV 6LPSO\7KDL RIIHUV VRPH LQGLJHQRXV DQG UDUHO\ IRXQG 7KDL GHVVHUWV DV ZHOO DV D UHĂ€QHG EOHQG RI 7KDL DQG ZHVWHUQ Ă DYRUV Food Products Frozen Food (Quick Meal) : Delicious, every time, everyplace $V D SLRQHHU LQ WKH IUR]HQ SUHSDUHG IRRG LQGXVWU\ 6 3 *URXS KDV FRQVLVWHQWO\ VRXJKW WR LQYHVW LQ 5 ' DQG LQQRYDWH QHZ SURGXFWV WR EHWWHU PHHW FXVWRPHUV¡ GHPDQGV 8QOLNH LWV ULYDOV 6 3 IUR]HQ IRRG LPSUHVVLYHO\ SRVVHVV D VXEWOH Ă DYRU RI UHVWDXUDQW FRRNHG GLVKHV 2IIHULQJ QRW RQO\ LPSUHVVLYH YDULHWLHV 4XLFN 0HDO LV DOVR FDUHIXOO\ FRRNHG WR HQVXUH WDVWLQHVV DQG KHDOWKLQHVV /HW 4XLFN Meal make your meals great dishes. ,Q DGGLWLRQ ZH DOVR RIIHU VDODG GUHVVLQJ IUR]HQ VRXS DQG RWKHU SURGXFWV XQGHU WKH EUDQG ´3DWLRÂľ S&P Sausage : /RYH LW DW Ă€UVW WDVWH 9DULRXV W\SHV RI VDXVDJHV KDPV DQG EDFRQV WR PHHW GLYHUVH GHPDQGV RI PLGGOH WR XSSHU FODVV customers. S&P Sausages are distributed through modern trade channels nationwide. With our H[FOXVLYH IRUPXOD ZH VHOHFW WKH Ă€QHVW TXDOLW\ RI PHDW DQG GHOLFDWHO\ SURGXFH LW XQGHU KLJK VWDQGDUGV WR HQVXUH H[FHOOHQW TXDOLW\ SURGXFWV :H DUH DOVR D FRQWUDFW SURGXFHU IRU RWKHU brands. Jelio : Jelly for everyone in family 6HHNLQJ WR LQQRYDWH D QHZ SURGXFW OLQH ZH RIIHU FDUDJHQDQ MHOO\ LQ WKH IRUPV RI ERWK UHDG\ WR HDW IUXLW MHOO\ LQ FXSV DQG UHDG\ WR GULQN IUXLW MXLFH LQ ERWWOHV Royallee )RRG DGGLWLYH SURGXFWV DZDUGHG ZLWK WKH &HUWLĂ€HG ,QWHUQDWLRQDO 4XDOLW\ 6WDQGDUGV 2XU SURGXFWV include yeast, food coloring, custard powder, icing sugar, etc.

4. Other Services Delivery : 1344 Delivery 6 3 *URXS SURYLGHV KRPH DQG RIĂ€FH GHOLYHU\ VHUYLFHV IRU LWV SURGXFWV WKURXJK ´KRWOLQHÂľ :H GHOLYHU \RX QRW RQO\ IRRG DQG VHUYLFHV EXW DOVR YDOXH DQG FRQYHQLHQFH Caterman : Leave the details to us ,GHDO FDWHULQJ VHUYLFH IRU DQ\ IXQFWLRQV RU VSHFLDO HYHQWV 2XU DUUDQJHPHQWV DUH FRPSOHWHO\ SURIHVVLRQDO DQG RYHUVHHQ E\ D WHDP RI VSHFLDOLVWV 7KH FDWHULQJ PHQX LQFOXGLQJ 7KDL DQG LQWHUQDWLRQDO FXLVLQH LV FRQVWDQWO\ UHYLVHG ZLWK QHZ VHOHFWLRQV WR RIIHU FOLHQWV PRUH YDULHWLHV Foodhouse Catering : Institutional Catering $ MRLQW YHQWXUH ZLWK 3&6 3URSHUW\ &DUH 6HUYLFHV 7KDLODQG /WG )RRGKRXVH SURYLGHV FDWHULQJ VROXWLRQ WR YDULRXV LQVWLWXWLRQV VXFK DV VFKRRO KRVSLWDO IDFWRU\ ZLWK SDUWLFXODU HPSKDVLV RQ food hygiene.

071

072

AUDIT COMMITTEE’S REPORT

7KH $XGLW &RPPLWWHH FRPSULVHV LQGHSHQGHQW GLUHFWRUV ZKR DUH 0LVV &DWWOH\D 6DHQJVDVWUD DV WKH $XGLW &RPPLWWHH &KDLUPDQ DQG 0U 'XVLW 1RQWDQDNRUQ DQG 0LVV 6RSKDYDGHH 8WWDPRERO DV $XGLW &RPPLWWHH PHPEHUV (DFK RI WKHP LV QRW DQ H[HFXWLYH RIÀFHU RU HPSOR\HH RI WKH &RPSDQ\ 7KH 0DQDJHU RI WKH 2SHUDWLRQDO 6\VWHP 6XSSRUW DQG ,QVSHFWLRQ 'HSDUWPHQW LV WKH $XGLW &RPPLWWHH 6HFUHWDU\ 7KH $XGLW &RPPLWWHH KDV EHHQ DSSRLQWHG E\ WKH %RDUG RI 'LUHFWRUV WR SHUIRUP WKH GXWLHV IRU WKH H[DPLQDWLRQ RI LQIRUPDWLRQ UHODWLQJ WR ÀQDQFLDO UHSRUWV LQWHUQDO DXGLWV DQG DXGLWV SHUIRUPHG E\ FHUWLÀ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ÀQDQFLDO UHSRUWV DQG VWDWHPHQWV DQG WKH LQVSHFWLRQ RI WKH LQWHUQDO FRQWURO V\VWHP 7KH &RPPLWWHH PHW ZLWK WKH H[WHUQDO DXGLWRU WKH ,QWHUQDO $XGLW 'HSDUWPHQW WKH 'HSXW\ 9LFH 3UHVLGHQW IRU $FFRXQWLQJ DQG &RUSRUDWH 3ODQ WKH /DZ 2IÀFH 0DQDJHU DQG WKH 0DQDJHPHQW FRQFHUQHG WR HQVXUH WKDW WKH &RPSDQ\·V ÀQDQFLDO UHSRUWV DQG VWDWHPHQWV KDG EHHQ SUHSDUHG LQ FRQIRUPLW\ ZLWK DFFRXQWLQJ VWDQGDUGV DFFHSWHG DQG WKDW LQIRUPDWLRQ KDG EHHQ FRUUHFWO\ DQG VXIÀFLHQWO\ GLVFORVHG DQG WR PDNH LPSURYHPHQWV LQ RUGHU WKDW WKH LQWHUQDO FRQWURO V\VWHP EHFDPH PRUH HIÀFLHQW WKDW WKHUH ZRXOG EH D V\VWHP IRU WKH PDQDJHPHQW RI ULVNV DQG RWKHU IDFWRUV WKDW PLJKW SURGXFH VLJQLÀFDQW HIIHFWV RQ WKH EXVLQHVV RSHUDWLRQV RI WKH &RPSDQ\ WKDW SHUWLQHQW ODZV ZHUH FRPSOLHG ZLWK WKDW SULQFLSOHV RI JRRG FRUSRUDWH JRYHUQDQFH ZHUH REVHUYHG DQG WKDW GLVFXVVLRQV ZHUH PDGH DQG RSLQLRQV H[FKDQJHG UHJDUGLQJ DXGLW UHVXOWV TXDOLW\ DVVHVVPHQWV RQ YDULRXV DVSHFWV DQG WKH VXIÀFLHQF\ RI WKH LQWHUQDO FRQWURO V\VWHP 7R WKLV WKH $XGLW &RPPLWWHH HQGHDYRUHG WR HQFRXUDJH DQG SXVK WKH &RPSDQ\ WR FRPSO\ ZLWK WKH JRRG SUDFWLFHV RI D OLVWHG FRPSDQ\ ,WV GXWLHV SHUIRUPHG DUH LQ VXPPDU\ DV IROORZV Approval of the 2008 Annual and Quarterly Financial Statements of the Company and the Consolidated )LQDQFLDO 6WDWHPHQWV 9HULÀHG DQG $XGLWHG E\ WKH $XGLWRU ² 7KH $XGLW &RPPLWWHH DVNHG TXHVWLRQV DQG DFNQRZOHGJHG H[SODQDWLRQV IURP WKH 0DQDJHPHQW UHJDUGLQJ WKH DFFXUDF\ DQG FRPSOHWHQHVV RI WKH ÀQDQFLDO VWDWHPHQWV DQG WKH VXIÀFLHQF\ RI WKH GLVFORVXUH RI LQIRUPDWLRQ WR HQVXUH WKDW WKH &RPSDQ\ KDG complied with generally accepted accounting standards and that information had been disclosed in WKH ÀQDQFLDO VWDWHPHQWV VXIÀFLHQWO\ DQG LQ WLPH DQG WKH DXGLWRU ZDV LQYLWHG WR EH SUHVHQW DW DOO PHHWLQJV DW ZKLFK WKH DQQXDO DQG TXDUWHUO\ ÀQDQFLDO VWDWHPHQWV ZHUH FRQVLGHUHG :KHUHXSRQ WKH DXGLWRU ZDV DVNHG DERXW WKH FRUUHFWQHVV DQG FRPSOHWHQHVV RI WKH ÀQDQFLDO VWDWHPHQWV DQG WKH VXIÀFLHQF\ RI WKH GLVFORVXUH RI LQIRUPDWLRQ RU HYHQWV DIWHU WKH GDWH HQWHUHG LQ WKH ÀQDQFLDO VWDWHPHQWV RU DFFRXQW DGMXVWLQJ HQWULHV SURGXFLQJ VLJQLÀFDQW HIIHFWV RQ WKH ÀQDQFLDO VWDWHPHQWV DQG WKH DXGLWRU·V recommendation on the internal control system was considered and a guideline for solution was SURSRVHG WR WKH %RDUG RI 'LUHFWRUV 7KH $XGLW &RPPLWWHH·V RSLQLRQ ZDV FRQVLVWHQW ZLWK WKH DXGLWRU·V WKH &RPSDQ\ KDG D SURSHU VXIÀFLHQW XS WR GDWH DQG UHOLDEOH SURFHVV IRU WKH SUHSDUDWLRQ DQG GLVFORVXUH RI LQIRUPDWLRQ LQ WKH ÀQDQFLDO VWDWHPHQWV DQG WKH\ FDQ EH UHDVRQDEO\ WUXVWHG LQ HVVHQFH in conformity with generally accepted accounting standards. Examination of Risk Management ² 7KH $XGLW &RPPLWWHH H[DPLQHG LQIRUPDWLRQ RQ RSHUDWLRQ DQG WKH LQWHUQDO FRQWURO V\VWHP DJDLQVW WKH ,QWHUQDO $XGLW 'HSDUWPHQW ZKLFK LV DQ LQGHSHQGHQW XQLW DQG UHSRUWV DXGLW UHVXOWV GLUHFWO\ WR WKH $XGLW &RPPLWWHH 7KH ,QWHUQDO $XGLW 'HSDUWPHQW H[DPLQHG EXVLQHVV ULVNV DQG GHIHFWV LQ WKH LQWHUQDO FRQWURO RI WKH &RPSDQ\ E\ PHDQV RI D TXDUWHUO\ LQVSHFWLRQ of the accounting and performance processes of the Company and by following up the result after the LQWHUQDO DXGLW SURFHVV ,Q DGGLWLRQ WKH $XGLW &RPPLWWHH PDGH UHFRPPHQGDWLRQV RQ VLJQLÀFDQW SODQV IRU RSHUDWLRQ DQG ULVN PDQDJHPHQW WR WKH ,QWHUQDO $XGLW 'HSDUWPHQW VR WKDW WKH\ ZRXOG VHUYH DV D guideline for laying down audit plans. Examination of Internal Control Assessment ² 7KH $XGLW &RPPLWWHH LQ DVVRFLDWLRQ ZLWK WKH ,QWHUQDO $XGLW 'HSDUWPHQW PDGH D TXDUWHUO\ H[DPLQDWLRQ DQG UHYLHZ RI WKH LQWHUQDO FRQWURO V\VWHP VR DV WR EH DVVXUHG WKDW WKH &RPSDQ\ KDV DQ LQWHUQDO FRQWURO V\VWHP VXIÀFLHQW IRU WKH FRQGXFW RI LWV EXVLQHVV DQG WKDW WKH REMHFWLYH RI WKH LQWHUQDO FRQWURO ZRXOG EH DFKLHYHG LQ WHUPV RI HIIHFWLYHQHVV DQG HIÀFLHQF\ RI WKH FRQGXFW RI EXVLQHVV DQG WKH XVH RI UHVRXUFHV ,Q DGGLWLRQ WKH $XGLW &RPPLWWHH DOVR PDGH UHFRPPHQGDWLRQV RQ DXGLW SODQQLQJ VR WKDW LW ZRXOG FRYHU LPSRUWDQW EXVLQHVV V\VWHPV RI WKH &RPSDQ\ VXFK DV LQYHQWRU\ DFFRXQWLQJ DQG ÀQDQFH DV ZHOO DV VDOHV V\VWHPV HWF $FFRUGLQJ WR WKH UHVXOW RI WKH H[DPLQDWLRQ LQ QR PDWHULDO ZHDN SRLQWV RU GHIHFWV ZHUH IRXQG Examination of Interrelated Transactions and Compliance with the Law 7KH $XGLW &RPPLWWHH H[DPLQHG interrelated transactions and compliance with the law so as to be assured that the Company had followed an ordinary course of business and that transactions that had occurred were necessary and UHDVRQDEOH IRU WKH PD[LPXP EHQHÀW RI WKH &RPSDQ\ DQG IRU FRPSOLDQFH ZLWK WKH ODZ UXOH DQG UHTXLUHPHQWV RI WKH 6WRFN ([FKDQJH DQG ODZV UHODWLQJ WR WKH FRQGXFW RI EXVLQHVV HVSHFLDOO\ WKH GLVFORVXUH RI FRQQHFWHG WUDQVDFWLRQV DQG WKH DFTXLVLWLRQ DQG GLVSRVDO RI VLJQLÀFDQW DVVHWV RI WKH &RPSDQ\ DQG LWV VXEGLDULHV WKH $XGLW &RPPLWWHH LV RI WKH RSLQLRQ WKDW WKH &RPSDQ\ KDV FRPSOLHG DSSURSULDWHO\ ZLWK WKH SHUWLQHQW ODZV DQG UHTXLUHPHQWV Proposal for the Auditor Appointment ² 7KH $XGLW &RPPLWWHH KDYLQJ WDNHQ LQWR FRQVLGHUDWLRQ WKH LQGHSHQGHQFH SHUIRUPDQFH DQG VHUYLFHV RI WKH DXGLWRU LQFOXGLQJ WKH DSSURSULDWHQHVV RI LWV UHPXQHUDWLRQ GHHPHG WKDW WKH DXGLWRU KDG JLYHQ RSLQLRQV DQG UHFRPPHQGDWLRQV EHQHÀFLDO WR WKH SUHSDUDWLRQ RI WKH ÀQDQFLDO UHSRUWV DQG WKH LQWHUQDO FRQWURO ,W ZDV GHHPHG H[SHGLHQW WR SURSRVH YLD WKH %RDUG RI 'LUHFWRUV WKDW WKH PHHWLQJ RI VKDUHKROGHUV DSSRLQW 'HORLWWH 7RXFKH 7RKPDWVX -DL\RV Co., Ltd. be reappointed as the auditor. 7KH $XGLW &RPPLWWHH SHUIRUPHG LWV GXWLHV LQGHSHQGHQWO\ RI WKH %RDUG RI 'LUHFWRUV DQG WKH 0DQDJHPHQW ,W DWWDFKHG FRQWLQXRXV LPSRUWDQFH WR WKH LQWHUQDO FRQWURO DQG ULVN PDQDJHPHQW LQ RUGHU WKDW WKH &RPSDQ\ ZRXOG KDYH JRRG FRUSRUDWH JRYHUQDQFH LQWHUQDO FRQWURO VXIÀFLHQW DQG DSSURSULDWH IRU WKH EXVLQHVV ,W DOVR UHSRUWHG WKH UHVXOWV RI LWV PHHWLQJV DQG WKH SHUIRUPDQFH RI LWV GXWLHV WR WKH %RDUG RI 'LUHFWRUV UHJXODUO\

Cattleya Saengsastra &KDLUPDQ $XGLW &RPPLWWHH )HEUXDU\

REPORT ON THE BOARD OF DIRECTORS’ RESPONSIBILITY FOR THE PREPARATION OF FINANCIAL STATEMENTS

7KH ÀQDQFLDO VWDWHPHQWV RI 6 3 6\QGLFDWH 3XEOLF &RPSDQ\ /LPLWHG DQG LWV VXEVLGLDULHV ZKLFK KDYH EHHQ FRPELQHG LQWR D FRQVROLGDWHG ÀQDQFLDO VWDWHPHQW KDYH EHHQ SUHSDUHG LQ FRQIRUPLW\ ZLWK JHQHUDOO\ DFFHSWHG DFFRXQWLQJ SULQFLSOHV XQGHU WKH $FFRXQWLQJ $FW % ( $ ' ZKLFK LQFOXGH DFFRXQWLQJ VWDQGDUGV LVVXHG XQGHU WKH $FFRXQWLQJ 3URIHVVLRQ $FW % ( $ ' DQG XQGHU WKH VWLSXODWLRQV RI WKH 6HFXULWLHV DQG ([FKDQJH &RPPLVVLRQ JRYHUQLQJ WKH SUHSDUDWLRQ DQG SUHVHQWDWLRQ RI ÀQDQFLDO UHSRUWV VXEMHFW WR WKH 6HFXULWLHV DQG ([FKDQJH $FW % ( $ ' DV ZHOO DV ZLWK WKH 1RWLÀFDWLRQ RI WKH 'HSDUWPHQW RI %XVLQHVV 'HYHORSPHQW UH ´SUHVFULSWLRQ RI EULHI HQWULHV WKDW PXVW EH FRQWDLQHG LQ ÀQDQFLDO VWDWHPHQWVµ % ( $ ' GDWHG -DQXDU\ 7KH %RDUG RI 'LUHFWRUV LV UHVSRQVLEOH IRU WKH ÀQDQFLDO UHSRUWV SUHSDUHG RI 6 3 6\QGLFDWH 3XEOLF &RPSDQ\ /LPLWHG DQG LWV VXEVLGLDULHV VR WKDW LW LV UHDVRQDEO\ DVVXUHG WKDW WKH UHSRUWV KDYH UHÁHFWHG WKH ÀQDQFLDO VWDQGLQJ LQFRPH DQG H[SHQVHV DQG FDVK ÁRZV WKDW DUH UHDO DQG UHDVRQDEOH 7R WKLV FRUUHFW FRPSOHWH DQG VXIÀFLHQW DFFRXQWLQJ LQIRUPDWLRQ KDV EHHQ UHFRUGHG IRU WKH SXUSRVH RI PDLQWDLQLQJ PDWHULDO DVVHWV DQG WUDQVDFWLRQV DQG LQ WKH SUHSDUDWLRQ RI WKH ÀQDQFLDO UHSRUWV DSSURSULDWH accounting policies which are constantly applied and conform to generally accepted accounting VWDQGDUGV KDYH EHHQ FRQVLGHUHG DQG VHOHFWHG IRU XVH DQG VLJQLÀFDQW LQIRUPDWLRQ KDV DOVR EHHQ VXIÀFLHQWO\ GLVFORVHG LQ WKH QRWHV WR WKH ÀQDQFLDO VWDWHPHQWV RI 6 3 6\QGLFDWH 3XEOLF &RPSDQ\ /LPLWHG DQG LWV VXEVLGLDULHV RQ ZKLFK WKH DXGLWRU KDV H[SUHVVHG RSLQLRQV LQ WKH $XGLWRU·V 5HSRUW

3DWDUD 6LOD 2Q &KDLUPDQ %RDUG RI 'LUHFWRUV

3UDYHVYXGKL 5DLYD 3UHVLGHQW

REPORT OF THE INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS TO THE SHAREHOLDERS AND THE BOARD OF DIRECTORS S&P SYNDICATE PUBLIC COMPANY LIMITED

:H KDYH DXGLWHG WKH FRQVROLGDWHG EDODQFH VKHHWV RI 6 3 6\QGLFDWH 3XEOLF &RPSDQ\ /LPLWHG DQG LWV subsidiaries and the separate balance sheets of S&P Syndicate Public Company Limited as at December DQG DQG WKH UHODWHG FRQVROLGDWHG DQG WKH VHSDUDWH VWDWHPHQWV RI LQFRPH FKDQJHV LQ VKDUHKROGHUV· HTXLW\ DQG FDVK ÁRZV IRU WKH \HDUV WKHQ HQGHG 7KHVH ÀQDQFLDO VWDWHPHQWV DUH WKH responsibility of the Company’s management as to their correctness and completeness of the presentation. 2XU UHVSRQVLELOLW\ LV WR H[SUHVV DQ RSLQLRQ RQ WKHVH ÀQDQFLDO VWDWHPHQWV EDVHG RQ RXU DXGLWV We conducted our audits in accordance with generally accepted auditing standards. Those standards UHTXLUH WKDW ZH SODQ DQG SHUIRUP WKH DXGLW WR REWDLQ UHDVRQDEOH DVVXUDQFH DV WR ZKHWKHU WKH ÀQDQFLDO VWDWHPHQWV DUH IUHH RI PDWHULDO PLVVWDWHPHQW $Q DXGLW LQFOXGHV H[DPLQLQJ RQ D WHVW EDVLV HYLGHQFH VXSSRUWLQJ WKH DPRXQWV DQG GLVFORVXUHV LQ WKH ÀQDQFLDO VWDWHPHQWV $Q DXGLW DOVR LQFOXGHV DVVHVVLQJ WKH DFFRXQWLQJ SULQFLSOHV XVHG DQG VLJQLÀFDQW HVWLPDWHV PDGH E\ PDQDJHPHQW DV ZHOO DV HYDOXDWLQJ WKH RYHUDOO ÀQDQFLDO VWDWHPHQW SUHVHQWDWLRQ :H EHOLHYH WKDW RXU DXGLWV SURYLGH D UHDVRQDEOH EDVLV IRU our opinion. ,Q RXU RSLQLRQ WKH DIRUHPHQWLRQHG FRQVROLGDWHG DQG WKH VHSDUDWH ÀQDQFLDO VWDWHPHQWV SUHVHQW IDLUO\ LQ DOO PDWHULDO UHVSHFWV WKH ÀQDQFLDO SRVLWLRQ RI 6 3 6\QGLFDWH 3XEOLF &RPSDQ\ /LPLWHG DQG LWV VXEVLGLDULHV DQG RI 6 3 6\QGLFDWH 3XEOLF &RPSDQ\ /LPLWHG DV DW 'HFHPEHU DQG DQG WKH UHVXOWV RI LWV RSHUDWLRQV DQG LWV FDVK ÁRZV IRU WKH \HDUV WKHQ HQGHG LQ FRQIRUPLW\ ZLWK JHQHUDOO\ accepted accounting principles.

%$1*.2. )HEUXDU\

Permsak Wongpatcharapakorn &HUWLÀHG 3XEOLF $FFRXQWDQW 7KDLODQG

5HJLVWUDWLRQ 1R '(/2,77( 728&+( 72+0$768 -$,<26 $8',7 &2 /7'

073

074

S&P SYNDICATE PUBLIC COMPANY LIMITED AND SUBSIDIARIES BALANCE SHEETS $6 $7 '(&(0%(5 $1' Baht Notes ASSETS CURRENT ASSETS &DVK DQG FDVK HTXLYDOHQWV &XUUHQW LQYHVWPHQWV 7UDGH DFFRXQWV UHFHLYDEOH - QHW Short-term loans to related parties - QHW ,QYHQWRULHV 2WKHU FXUUHQW DVVHWV 7RWDO &XUUHQW $VVHWV NON-CURRENT ASSETS ,QYHVWPHQWV LQ VXEVLGLDULHV FRPSDQLHV ,QYHVWPHQWV LQ DVVRFLDWHG FRPSDQLHV 3URSHUW\ SODQW DQG HTXLSPHQW - QHW ,QWDQJLEOH DVVHWV - QHW 2WKHU QRQ FXUUHQW DVVHWV

Consolidated Financial Statements

Separate Financial Statements

7RWDO 1RQ FXUUHQW $VVHWV

727$/ $66(76

LIABILITIES AND SHAREHOLDERS’ EQUITY &855(17 /,$%,/,7,(6 %DQN RYHUGUDIW DQG VKRUW WHUP ORDQV IURP ÀQDQFLDO LQVWLWXWLRQV 7UDGH DFFRXQWV SD\DEOH Short-term loans from related companies - QHW $FFUXHG LQFRPH WD[ $FFUXHG H[SHQVHV 5HYHQXH GHSDUWPHQW SD\DEOH 2WKHU FXUUHQW OLDELOLWLHV

7RWDO &XUUHQW /LDELOLWLHV

121 &855(17 /,$%,/,7,(6 2WKHU QRQ FXUUHQW OLDELOLWLHV

7RWDO 1RQ FXUUHQW /LDELOLWLHV

727$/ /,$%,/,7,(6

/,$%,/,7,(6 $1' 6+$5(+2/'(56· (48,7< 6+$5(+2/'(56· (48,7< 6KDUH FDSLWDO $XWKRUL]HG VKDUH FDSLWDO FRPPRQ VKDUHV %DKW HDFK $XWKRUL]HG VKDUH FDSLWDO FRPPRQ VKDUHV %DKW HDFK ,VVXHG DQG SDLG XS VKDUH FDSLWDO FRPPRQ VKDUHV %DKW HDFK IXOO\ SDLG 3UHPLXP RQ FRPPRQ VKDUHV ([FKDQJH GLIIHUHQFHV RQ WUDQVODWLRQ RI WKH ÀQDQFLDO VWDWHPHQWV RI IRUHLJQ VXEVLGLDULHV 8QUHDOL]HG JDLQ RQ UHYDOXDWLRQ RI LQYHVWPHQWV 5HWDLQHG HDUQLQJV $SSURSULDWHG /HJDO UHVHUYH

8QDSSURSULDWHG (TXLW\ DWWULEXWDEOH WR VKDUHKROGHUV RI SDUHQW FRPSDQ\

0LQRULW\ LQWHUHVWV

7RWDO 6KDUHKROGHUV· (TXLW\ TOTAL LIABILITIES AND 6+$5(+2/'(56· (48,7<

1RWHV WR WKH ÀQDQFLDO VWDWHPHQWV IRUP DQ LQWHJUDO SDUW RI WKHVH VWDWHPHQWV

075

S&P SYNDICATE PUBLIC COMPANY LIMITED AND SUBSIDIARIES STATEMENTS OF INCOME )25 7+( <($56 (1'(' '(&(0%(5 $1'

Baht Notes

Consolidated Financial Statements

Separate Financial Statements

6DOHV DQG VHUYLFH LQFRPHV &RVW RI VDOHV DQG VHUYLFHV

*URVV SURÀW 'LYLGHQG LQFRPH 2WKHU LQFRPH

3URÀW EHIRUH H[SHQVHV

6HOOLQJ H[SHQVHV $GPLQLVWUDWLYH H[SHQVHV 0DQDJHPHQW EHQHÀW H[SHQVHV

7RWDO H[SHQVHV 3URÀW EHIRUH ÀQDQFH FRVWV DQG LQFRPH WD[ H[SHQVHV )LQDQFH FRVWV 6KDUH RI SURÀWV RI DVVRFLDWHG FRPSDQLHV

1(7 352),7

ATTRIBUTABLE TO : 6KDUHKROGHUV RI WKH SDUHQW FRPSDQ\ 0LQRULW\ LQWHUHVWV

3URÀW EHIRUH LQFRPH WD[ H[SHQVHV ,QFRPH WD[ H[SHQVHV

%$6,& ($51,1*6 3(5 6+$5( WEIGHTED AVERAGE NUMBER 2) 25',1$5< 6+$5(6

%$+7 6+$5(6

1RWHV WR WKH ÀQDQFLDO VWDWHPHQWV IRUP DQ LQWHJUDO SDUW RI WKHVH VWDWHPHQWV

%(*,11,1* %$/$1&(6 $6 $7 -$18$5< 1HZ FRPPRQ VKDUHV LVVXHG DQG SUHPLXP ([FKDQJH GLIIHUHQFHV RQ WUDQVODWLRQ RI WKH ÀQDQFLDO VWDWHPHQWV RI IRUHLJQ VXEVLGLDULHV 8QUHDOL]HG JDLQ RQ UHYDOXDWLRQ RI LQYHVWPHQWV 1HW SURÀW /HJDO UHVHUYH 'LYLGHQG SDLG

(1',1* %$/$1&(6 $6 $7 '(&(0%(5

%(*,11,1* %$/$1&(6 $6 $7 -$18$5< ([FKDQJH GLIIHUHQFHV RQ WUDQVODWLRQ RI WKH ÀQDQFLDO VWDWHPHQWV RI IRUHLJQ VXEVLGLDULHV 8QUHDOL]HG ORVV RQ UHYDOXDWLRQ RI LQYHVWPHQWV 1HW SURÀW /HJDO UHVHUYH 'LYLGHQG SDLG

(1',1* %$/$1&(6 $6 $7 '(&(0%(5

1RWHV WR WKH ÀQDQFLDO VWDWHPHQWV IRUP DQ LQWHJUDO SDUW RI WKHVH VWDWHPHQWV

Issued and paid-up VKDUH FDSLWDO

Notes

Exchange differences on translation of the ÀQDQFLDO VWDWHPHQWV of foreign subsidiaries

Premium on common shares

Unrealized (loss) gain on UHYDOXDWLRQ of investments

Retained earnings Appropriated Unappropriated IRU OHJDO UHVHUYH

S&P SYNDICATE PUBLIC COMPANY LIMITED AND SUBSIDIARIES STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY )25 7+( <($56 (1'(' '(&(0%(5 $1' CONSOLIDATED

Total Shareholders’ HTXLW\ of the parent company

Minority interests

Baht

Total

076

(1',1* %$/$1&(6 $6 $7 '(&(0%(5

%(*,11,1* %$/$1&(6 $6 $7 -$18$5< 8QUHDOL]HG ORVV RQ UHYDOXDWLRQ RI LQYHVWPHQWV 1HW SURÀW /HJDO UHVHUYH 'LYLGHQG SDLG

(1',1* %$/$1&(6 $6 $7 '(&(0%(5

Issued and paid-up share capital

1RWHV WR WKH ÀQDQFLDO VWDWHPHQWV IRUP DQ LQWHJUDO SDUW RI WKHVH VWDWHPHQWV

%(*,11,1* %$/$1&(6 $6 $7 -$18$5< 1HZ FRPPRQ VKDUHV LVVXHG DQG SUHPLXP 8QUHDOL]HG JDLQ RQ UHYDOXDWLRQ RI LQYHVWPHQWV 1HW SURÀW /HJDO UHVHUYH 'LYLGHQG SDLG

Notes

Premium on common shares

Retained earnings Appropriated Unappropriated for legal reserve

Unrealized (loss) gain on revaluation of investments

S&P SYNDICATE PUBLIC COMPANY LIMITED AND SUBSIDIARIES STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY )25 7+( <($56 (1'(' '(&(0%(5 $1' SEPARATE FINANCIAL STATEMENTS

Baht

Total

077

078

S&P SYNDICATE PUBLIC COMPANY LIMITED AND SUBSIDIARIES STATEMENTS OF CASH FLOWS )25 7+( <($56 (1'(' '(&(0%(5 $1' Baht Consolidated Financial Statements

&$6+ )/2:6 )520 23(5$7,1* $&7,9,7,(6 3URÀW EHIRUH LQFRPH WD[ H[SHQVHV $GMXVWPHQWV 6KDUH RI SURÀWV RI DVVRFLDWHG FRPSDQLHV 8QUHDOL]HG JDLQ IURP FXUUHQW LQYHVWPHQW 6KDUH RI SURÀWV IURP GLVVROXWLRQ RI D VXEVLGLDU\ 'HSUHFLDWLRQ DQG DPRUWL]DWLRQ H[SHQVHV /RVV IURP À[HG DVVHWV ZULWWHQ RII *DLQ IURP VDOHV RI À[HG DVVHWV 'LYLGHQG LQFRPH IURP FXUUHQW LQYHVWPHQWV 'LYLGHQG LQFRPH IURP LQYHVWPHQWV LQ VXEVLGLDULHV 'LYLGHQG LQFRPH IURP DVVRFLDWHG FRPSDQLHV /RVV RQ LPSDLUPHQW RI LQYHVWPHQW LQ D VXEVLGLDU\ *DLQ RQ GLVSRVDO FXUUHQW LQYHVWPHQWV )LQDQFH FRVWV

,QFUHDVH 'HFUHDVH LQ WUDGH DFFRXQWV UHFHLYDEOH ,QFUHDVH LQ LQYHQWRULHV 'HFUHDVH ,QFUHDVH LQ RWKHU FXUUHQW DVVHWV ,QFUHDVH LQ RWKHU QRQ FXUUHQW DVVHWV 'HFUHDVH ,QFUHDVH LQ WUDGH DFFRXQWV SD\DEOH ,QFUHDVH 'HFUHDVH LQ DFFUXHG H[SHQVHV ,QFUHDVH LQ RWKHU FXUUHQW OLDELOLWLHV 'HFUHDVH LQ RWKHU QRQ FXUUHQW OLDELOLWLHV ,QWHUHVW SDLG ,QFRPH WD[ SDLG 1HW &DVK 3URYLGHG E\ 2SHUDWLQJ $FWLYLWLHV

Separate Financial Statements

CASH FLOWS FROM INVESTING ACTIVITIES &DVK SD\PHQWV IRU DFTXLVLWLRQ RI FXUUHQW LQYHVWPHQWV

&DVK UHFHLYHG IURP SURFHHG RI FXUUHQW LQYHVWPHQWV 'HFUHDVH ,QFUHDVH LQ VKRUW WHUP ORDQV to related companies &DVK UHFHLYHG IURP GLVVROXWLRQ RI D VXEVLGLDU\ &DVK SD\PHQW IRU DFTXLVLWLRQ RI D VXEVLGLDU\ 'HFUHDVH LQ ORQJ WHUP ORDQV 'LYLGHQG UHFHLYHG IURP FXUUHQW LQYHVWPHQWV 'LYLGHQG UHFHLYHG IURP D VXEVLGLDU\ 'LYLGHQG UHFHLYHG IURP DVVRFLDWHG FRPSDQLHV &DVK SD\PHQWV IRU SXUFKDVHV RI À[HG DVVHWV

&DVK UHFHLYHG IURP VDOH RI À[HG DVVHWV &DVK SD\PHQWV IRU SXUFKDVHV RI LQWDQJLEOH DVVHWV

1HW &DVK 8VHG LQ ,QYHVWLQJ $FWLYLWLHV CASH FLOWS FROM FINANCING ACTIVITIES 'HFUHDVH ,QFUHDVH LQ EDQN RYHUGUDIWV DQG VKRUW WHUP ORDQV IURP ÀQDQFLDO LQVWLWXWLRQV ,QFUHDVH 'HFUHDVH LQ VKRUW WHUP ORDQV IURP UHODWHG SDUWLHV &DVK UHFHLYHG IURP FDSLWDO LQFUHDVH 'LYLGHQG SDLG 1HW &DVK 8VHG LQ )LQDQFLQJ $FWLYLWLHV ([FKDQJH GLIIHUHQFHV RQ WUDQVODWLRQ RI WKH ÀQDQFLDO VWDWHPHQWV RI IRUHLJQ VXEVLGLDULHV

1(7 '(&5($6( ,1 &$6+ $1' &$6+ (48,9$/(176 &$6+ $1' &$6+ (48,9$/(176 $7 7+( %(*,11,1* 2) 7+( <($5

&$6+ $1' &$6+ (48,9$/(176 $7 7+( (1' 2) 7+( <($5

1RWHV WR WKH ÀQDQFLDO VWDWHPHQWV IRUP DQ LQWHJUDO SDUW RI WKHVH VWDWHPHQWV

079

S&P SYNDICATE PUBLIC COMPANY LIMITED AND SUBSIDIARIES NOTES TO FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2008 AND 2007

1. GENERAL INFORMATION On October 14, 1973, S&P Syndicate Public Company Limited was incorporated under the Civil and Commercial Code of Thailand. Subsequently in May 1989, the Stock Exchange of Thailand registered the Company’s common shares as a listed security and the Company was transformed to Public Company /LPLWHG RQ $SULO 7KH ORFDWLRQ RI LWV KHDG RIÀFH LV DW 6XNKXPYLW 7KRQJORU Sukhumvit Road, Klongtonnua, Vadhana, Bangkok 10110. S&P Syndicate Public Company Limited is the parent company within the group of companies. The core business is the operation of a nationwide and international chain of restaurants and bakery VKRSV WKH SURGXFWLRQ RI EDNHU\ IUR]HQ IRRGV DQG RWKHU IRRG SURGXFWV DQG IRRG VHUYLFH UHODWHG business such as outside catering.

2. BASIS OF FINANCIAL STATEMENT PREPARATION AND PRINCIPLES OF CONSOLIDATION %DVLV RI ÀQDQFLDO VWDWHPHQW SUHSDUDWLRQ

7KH &RPSDQ\ PDLQWDLQV LWV DFFRXQWLQJ UHFRUGV LQ 7KDL %DKW DQG SUHSDUHV LWV VWDWXWRU\ ÀQDQFLDO statements in Thai language in conformity with accounting standards and practices generally accepted in Thailand.

7KH ÀQDQFLDO VWDWHPHQWV RI WKH &RPSDQ\ IRU WKH HQGHG 'HFHPEHU DUH SUHSDUHG LQ FRPSOLDQFH ZLWK WKH 1RWLÀFDWLRQ RI WKH 'HSDUWPHQW RI %XVLQHVV 'HYHORSPHQW UHJDUGLQJ ´7KH %ULHI 3DUWLFXODUV LQ WKH )LQDQFLDO 6WDWHPHQWV % ( µ GDWHG -DQXDU\ ZKLFK LV HIIHFWLYH IRU ÀQDQFLDO SHULRGV EHJLQQLQJ RQ RU DIWHU -DQXDU\ RQZDUGV 7KH &RPSDQ\ HDUO\ DGRSWHG VXFK 1RWLÀFDWLRQ LQ DGYDQFH RI LWV HIIHFWLYH GDWH 7KH ÀQDQFLDO VWDWHPHQWV SUHVHQWDWLRQ KDV EHHQ UHFODVVLÀHG DFFRUGLQJO\ ,Q DGGLWLRQ WKH &RPSDQ\ ÀQDQFLDO VWDWHPHQWV KDYH EHHQ SUHSDUHG LQ DFFRUGDQFH ZLWK WKH 5HJXODWLRQ RI 7KH 6WRFN ([FKDQJH RI 7KDLODQG 6(7 GDWH -DQXDU\ UHJDUGLQJ WKH SUHSDUDWLRQ DQG VXEPLVVLRQ RI ÀQDQFLDO VWDWHPHQWV DQG UHSRUWV IRU WKH ÀQDQFLDO SRVLWLRQ DQG UHVXOWV RI RSHUDWLRQV RI WKH OLVWHG FRPSDQLHV % ( Accounting standards announced but not effective

7KH )HGHUDWLRQ RI $FFRXQWLQJ 3URIHVVLRQV KDV LVVXHG 1RWLÀFDWLRQ RI )HGHUDWLRQ RI $FFRXQWLQJ 3URIHVVLRQV 1R GDWHG 1RYHPEHU UHJDUGLQJ WKH IROORZLQJ DFFRXQWLQJ VWDQGDUGV that were announced in the Royal Gazette, but were not in effect in 2008 :

7$6 5HYLVHG 7$6 5HYLVHG

,PSDLUPHQW RI $VVHWV 1RQ FXUUHQW $VVHWV +HOG IRU 6DOH DQG 'LVFRQWLQXHG 2SHUDWLRQV

These accounting standards will supersede previously issued accounting standards when they become effective. The Company has assessed the impact of these accounting standards, when WKH\ DUH HIIHFWLYH IRU ÀQDQFLDO SHULRGV EHJLQQLQJ RQ RU DIWHU -DQXDU\ DQG GRHV QRW H[SHFW WKHP WR KDYH D PDWHULDO HIIHFW RQ WKH &RPSDQ\·V ÀQDQFLDO VWDWHPHQWV

7KH ÀQDQFLDO VWDWHPHQWV KDYH EHHQ SUHSDUHG XQGHU WKH KLVWRULFDO FRVW FRQYHQWLRQ H[FHSW DV disclosed in the accounting policies below.

)RU WKH FRQYHQLHQFH RI UHDGHUV DQ (QJOLVK WUDQVODWLRQ RI WKH ÀQDQFLDO VWDWHPHQWV KDV EHHQ SUHSDUHG IURP WKH 7KDL ODQJXDJH VWDWXWRU\ ÀQDQFLDO VWDWHPHQWV ZKLFK DUH LVVXHG IRU GRPHVWLF ÀQDQFLDO UHSRUWLQJ SXUSRVHV

2.2

Principles of consolidation 7KH FRQVROLGDWHG ÀQDQFLDO VWDWHPHQWV IRU WKH \HDUV HQGHG 'HFHPEHU LQFOXGH WKH ÀQDQFLDO VWDWHPHQWV RI 6 3 6\QGLFDWH 3XEOLF &RPSDQ\ /LPLWHG ´WKH &RPSDQ\µ DQG LWV VXEVLGLDULHV LQ ZKLFK WKH &RPSDQ\ KDV FRQWURO RU LQYHVWHG RYHU RI WKHLU YRWLQJ ULJKWV 7KHVH VXEVLGLDULHV are detailed as follows: Business type

Country of registration

Subsidiaries 6 3 *OREDO &R /WG +ROGLQJ &RPSDQ\ 6HULZDW )RRGV &R /WG &HDVHG RSHUDWLRQ 6 3 $VVHWV &R /WG 2IÀFH UHQWDO 6 3L]=DQRWWL 7KDLODQG /LPLWHG 5HVWDXUDQW

7KDLODQG 7KDLODQG 7KDLODQG 7KDLODQG

Percentage of holdings as at December 31, 2008 2007

2Q 'HFHPEHU WKH ([WUDRUGLQDU\ 6KDUHKROGHUV· 0HHWLQJ RI 6HULZDW )RRGV &R /WG a subsidiary, has a resolution to dissolve the company and registered the dissolution with the Registrar of Partnerships and Companies of the Ministry of Commerce in February 2008.

080

$GGLWLRQDOO\ WKH FRQVROLGDWHG ÀQDQFLDO VWDWHPHQWV LQFOXGH WKH UHVXOWV IURP WKH ÀQDQFLDO statements of overseas subsidiary companies, in which S&P Global Company Limited has a shareholding, as the Company has been given authority to provide technical assistance to, and management of Thai food restaurants owned by these companies under agreement as follows: Business type

Held by S&P Global Company Limited 6 3 5HVWDXUDQW &R /WG 3DWDUD *HQHYD 6$ 7KHPH )RRGV 3WH /LPLWHG 6. &DWHULQJ 3WH /LPLWHG 3DWDUD 7DLZDQ &RPSDQ\ /LPLWHG 3DWLR ,QWHUQDWLRQDO /LPLWHG

Country of registration

5HVWDXUDQW 5HVWDXUDQW 5HVWDXUDQW 5HVWDXUDQW 5HVWDXUDQW 5HVWDXUDQW

Percentage of holdings as at December 31, 2008 2007

(QJODQG 6ZLW]HUODQG 6LQJDSRUH 6LQJDSRUH 7DLZDQ 7DLZDQ

Held by Theme Foods (Pte) Limited, Singapore 6LDP .LWFKHQ 6GQ %KG &HDVHG RSHUDWLRQ 0DOD\VLD

,Q WKH FRPSDQ\ KDV FHDVHG LWV RSHUDWLRQ DQG LWV DVVHWV KDG EHHQ WUDQVIHUUHG WR 3DWLR ,QWHUQDWLRQDO /LPLWHG ,Q WKH FRPSDQ\ KDV FHDVHG LWV RSHUDWLRQ LQ 0DOD\VLD DQG LV LQ SURFHVV RI dissolution.

6LJQLÀFDQW LQWHUFRPSDQ\ WUDQVDFWLRQV EHWZHHQ WKH &RPSDQ\ DQG LWV VXEVLGLDULHV KDYH EHHQ HOLPLQDWHG IURP WKH FRQVROLGDWHG ÀQDQFLDO VWDWHPHQWV 7KH FRQVROLGDWHG ÀQDQFLDO VWDWHPHQWV IRU WKH \HDUV HQGHG 'HFHPEHU DQG GLG QRW LQFOXGH WKH ÀQDQFLDO VWDWHPHQWV RI 6LDP .LWFKHQ 6GQ %KG VXEVLGLDU\ FRPSDQ\ UHJLVWHUHG LQ 0DOD\VLD ZKLFK VKDUH RQH KHOG E\ 7KHPH )RRGV 3WH /LPLWHG GXH WR WKH DPRXQW LV LPPDWHULDO $V DW 'HFHPEHU 2008 and 2007, the carrying value of such investment is nil. $VVHWV LQYHVWPHQWV UHFRUGHG E\ WKH HTXLW\ PHWKRG DV DW 'HFHPEHU DQG UHYHQXHV DQG WKH VKDUH RI SURÀWV IURP LQYHVWPHQWV UHFRUGHG E\ WKH HTXLW\ PHWKRG LQ DVVRFLDWHG FRPSDQLHV IRU WKH \HDUV HQGHG 'HFHPEHU DQG DFFRXQWHG IRU DV WKH SHUFHQWDJH RI WRWDO DVVHWV QHW DVVHWV WRWDO DVVHWV QHW RI WRWDO OLDELOLWLHV WRWDO UHYHQXHV DQG QHW SURÀW UHVSHFWLYHO\ LQ WKH FRQVROLGDWHG ÀQDQFLDO VWDWHPHQWV DUH VXPPDUL]HG EHORZ Company’s name

$VVHWV DV percentage RI WRWDO assets as at

December 31, 2008 2007

CONSOLIDATED FINANCIAL STATEMENTS ,QYHVWPHQWV 5HYHQXHV DV 6KDUH RI SURÀW recorded by the percentage of as percentage HTXLW\ PHWKRG DV WRWDO UHYHQXHV RI QHW SURÀW percentage of for the years for the years net assets as at ended ended December 31, December 31, December 31, 2008 2007 2008 2007 2008 2007

Held by S&P Syndicate Public Company Limited Subsidiaries : 6 3 *OREDO &R /WG DQG VXEVLGLDULHV 3URSRUWLRQ RI HDFK VXEVLGLDU\ DQG associated companies of S&P global &R /WG DUH SUHVHQWHG EHORZ

6HULZDW )RRGV &R /WG 6 3 $VVHWV &R /WG 6 3L]=DQRWWL 7KDLODQG /LPLWHG Associates : +' 'LVWULEXWRUV 7KDLODQG &R /WG )RRG +RXVH &DWHULQJ 6HUYLFH &R /WG Held by S&P Global Company Limited Subsidiaries : 6 3 5HVWDXUDQW &R /WG 3DWDUD *HQHYD 6$ 7KHPH )RRGV 3WH /LPLWHG 6. &DWHULQJ 3WH /LPLWHG 3DWDUD 7DLZDQ &R /WG 3DWLR ,QWHUQDWLRQDO &R /WG Associates : 3DWDUD 'HYHORSPHQWV 6$

,QIRUPDWLRQ ZKLFK ZDV SURYLGHG E\ WKH PDQDJHPHQW ZDV QRW DXGLWHG RU UHYLHZHG E\ DQ DXGLWRU )RRGKRXVH &DWHULQJ 6HUYLFHV &R /WG KDV EHHQ UHJLVWHUHG ZLWK WKH 5HJLVWUDU RI 3DUWQHUVKLSV DQG &RPSDQLHV RI WKH 0LQLVWU\ RI &RPPHUFH RQ 0DUFK ,W RSHUDWHV FDWHULQJ LQ 7KDLODQG 7KH &RPSDQ\ GRHV QRW KDYH WKH SRZHU WR JRYHUQ VXFK FRPSDQ\ DQG KDV QRW LQFOXGHG LW LQ WKH FRQVROLGDWHG ÀQDQFLDO VWDWHPHQWV

3. SIGNIFICANT ACCOUNTING POLICIES 7KH VLJQLÀFDQW DFFRXQWLQJ SROLFLHV DUH VXPPDUL]HG DV EHORZ 3.1

Cash and cash equivalents Cash and cash equivalents consist of cash in hand, deposits at bank and all types of deposits DW ÀQDQFLDO LQVWLWXWLRQ ZLWK PDWXULW\ WHUP QRW RYHU PRQWKV ZKLFK H[FOXGLQJ GHSRVLW DW bank used as collateral.

3.2

Current investments &XUUHQW LQYHVWPHQWV FRQVLVW RI LQYHVWPHQW LQ WUDGLQJ VHFXULWLHV DYDLODEOH IRU VDOH VHFXULWLHV WLPH GHSRVLWV ZLWK PDWXULW\ WHUP RYHU PRQWKV XS WR PRQWKV DQG KHOG WR PDWXULW\ GHEW security due within 12 months and without obligation.

,QYHVWPHQW LQ WUDGLQJ VHFXULWLHV DUH FDUULHG DW IDLU YDOXH 5HDOL]HG JDLQV DQG ORVVHV IURP the sales of trading securities and unrealized gain and loss on the changes in fair value are recognized in statements of income.

,QYHVWPHQWV LQ DYDLODEOH IRU VDOH VHFXULWLHV DUH FDUULHG DW IDLU YDOXH GLIIHUHQFHV EHWZHHQ ERRN YDOXH DQG IDLU YDOXH RI DYDLODEOH IRU VDOH VHFXULWLHV DUH UHFRUGHG DV XQUHDOL]HG JDLQ ORVV RQ UHYDOXDWLRQ RI LQYHVWPHQWV XQGHU VKDUHKROGHUV· HTXLW\

+HOG WR PDWXULW\ GHEW VHFXULWLHV DUH FDUULHG DW WKH DPRUWL]HG FRVW QHW RI YDOXDWLRQ DOORZDQFHV IRU LPSDLUPHQW LI DQ\

3.3

Inventories ,QYHQWRULHV RI WKH &RPSDQ\ DQG LWV VXEVLGLDULHV DUH FDUULHG DW WKH ORZHU RI FRVW RU QHW realizable value. The cost of inventories of the Company and its three subsidiaries are stated using the weighted average cost method and of the other three subsidiaries are stated XVLQJ WKH ÀUVW LQ ÀUVW RXW PHWKRG

3.4

Investments in subsidiary and associated companies ,QYHVWPHQWV LQ VXEVLGLDU\ DQG DVVRFLDWHG FRPSDQLHV DUH SUHVHQWHG E\ WKH FRVW PHWKRG LQ WKH VHSDUDWH ÀQDQFLDO VWDWHPHQWV

,Q WKH FDVH ZKHUH LPSDLUPHQW RI LQYHVWPHQW LV GHHPHG WR KDYH RFFXUUHG WKH ORVV ZLOO EH charged to the statement of income.

,QYHVWPHQW LQ DVVRFLDWHG FRPSDQLHV DUH SUHVHQWHG E\ WKH HTXLW\ PHWKRG LQ WKH FRQVROLGDWHG ÀQDQFLDO VWDWHPHQWV

3.5

Property plant and equipment Land of the Company is stated at cost. Plant and equipment of the Company and its subsidiaries are stated at cost, net of accumulated depreciation. Plant and equipment depreciation of the Company and domestic subsidiary companies are computed E\ WKH VWUDLJKW OLQH PHWKRG RYHU WKH HVWLPDWHG XVHIXO OLYHV RI WKH DVVHWV DV IROORZV

Building and improvements Factory building 0DFKLQHU\ DQG HTXLSPHQW 2IÀFH IXUQLWXUH DQG HTXLSPHQW 9HKLFOHV

20 years 20 years 8 years \HDUV \HDUV

(TXLSPHQW GHSUHFLDWLRQ RI RYHUVHDV VXEVLGLDU\ FRPSDQLHV LV FRPSXWHG E\ WKH VWUDLJKW OLQH and the diminishing balance methods over the estimated useful lives of the assets of 4 years.

3.6

Intangible assets ,QWDQJLEOH DVVHWV FRQVLVW RI a. Computer software development costs are stated at cost, net of accumulated amortization. Computer software development costs amortization are being amortized to expenses, within ÀYH \HDUV b. Leaseholds of the Company are stated at cost, net of accumulated amortization. Leaseholds DPRUWL]DWLRQ RI WKH &RPSDQ\ LV EHLQJ DPRUWL]HG XVLQJ WKH VWUDLJKW OLQH PHWKRG RYHU WKH OHDVH SHULRGV /RQJ WHUP OHDVHKROG DPRUWL]DWLRQ RI DQ RYHUVHDV VXEVLGLDU\ FRPSDQ\ LV EHLQJ DPRUWL]HG DW RI FRVW XVLQJ WKH VWUDLJKW OLQH PHWKRG 6KRUW WHUP OHDVHKROG amortization is being amortized over the lease period.

3.7

Lease Operating lease Lease in which substantially all the risks and rewards of ownership of assets remain with the lessor is accounted for as operating lease. Rentals applicable to such operating leases are charged to the statement of income over the lease term. Financial lease Lease in which substantially all the risks and rewards of ownership other than legal title DUH WUDQVIHUUHG WR WKH &RPSDQ\ LV DFFRXQWHG IRU DV ÀQDQFH OHDVH $W LQFHSWLRQ WKH IDLU value of the leased assets is recorded together with the obligation. The leased assets are GHSUHFLDWHG XVLQJ WKH VWUDLJKW OLQH PHWKRG RYHU WKHLU HVWLPDWHG XVHIXO OLYHV ,QWHUHVW RU ÀQDQFLDO FKDUJH DQG GHSUHFLDWLRQ DUH UHFRJQL]HG DV H[SHQVHV LQ WKH VWDWHPHQW RI LQFRPH

081

082

3.8

Provident fund The contribution paid by the Company for the employees is recognized as an expense when the transactions occurred.

3.9

Foreign currency accounts Transactions in foreign currencies occurring during the year are converted into Baht at the rates prevailing on the transaction date. Monetary assets and liabilities in foreign currencies at the end of the year are translated into Baht at the rates prevailing on that date as determined by the Bank of Thailand. Gains or losses on translation are included in the statement of income.

7KH WUDQVODWLRQ RI IRUHLJQ ÀQDQFLDO VWDWHPHQWV IRU WKH SXUSRVH RI SUHSDULQJ WKH FRQVROLGDWHG ÀQDQFLDO VWDWHPHQWV LV GHWHUPLQHG XVLQJ WKH IROORZLQJ UDWHV a. b. c.

Assets and liabilities are converted at the rate prevailing at the end of year. Shareholders’ equity is converted at the rates prevailing on the transaction dates. Revenues and expenses are converted at the average rate for the year.

*DLQ ORVV RQ WUDQVODWLRQ RI IRUHLJQ Ă€QDQFLDO VWDWHPHQWV LV VKRZQ XQGHU VKDUHKROGHUV¡ equity.

,QWHUFRPSDQ\ WUDQVDFWLRQV DUH FRQYHUWHG DW WKH UDWHV SUHYDLOLQJ RQ WKH GDWH RI WUDQVDFWLRQ and, upon elimination, at the rates prevailing on the consolidation date.

3.10 Recognition of revenues and expenses 5HYHQXH IURP WKH VDOHV RI JRRGV DUH UHFRJQLVHG DV VDOHV ZKHQ WKH VLJQLĂ€FDQW ULVNV DQG UHZDUGV of ownership have been transferred to the buyer. Other revenues and expenses are recognized on the accrual basis. 3.11 Income tax ,QFRPH WD[ RI WKH &RPSDQ\ DQG GRPHVWLF VXEVLGLDU\ FRPSDQLHV LV EDVHG RQ WKH WD[DEOH SURĂ€W and recorded as expense for the year.

,QFRPH WD[ RI WKH RYHUVHDV VXEVLGLDU\ FRPSDQLHV LV UHFRJQL]HG LQ DFFRUGDQFH ZLWK WKH EXVLQHVV practice of the countries where the business was performed.

3.12 Earnings per share %DVLF HDUQLQJV SHU VKDUH DUH FRPSXWHG E\ GLYLGLQJ QHW SURÀW IRU WKH \HDU E\ WKH ZHLJKWHG average number of ordinary shares outstanding during the year. 6LJQLÀFDQW MXGJPHQWV LQ DSSO\LQJ DFFRXQWLQJ SROLFLHV DQG NH\ VRXUFHV RI HVWLPDWLRQ uncertainty 7KH SUHSDUDWLRQ RI ÀQDQFLDO VWDWHPHQWV LQ FRQIRUPLW\ ZLWK JHQHUDOO\ DFFHSWHG DFFRXQWLQJ principles also requires the Company’s management to exercise judgments in order to determine the accounting policies, estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the ÀQDQFLDO VWDWHPHQWV DQG WKH UHSRUWHG DPRXQWV RI UHYHQXH DQG H[SHQVH GXULQJ WKH UHSRUWLQJ period. Although these estimates are based on management’s reasonable consideration of current events, actual results may differ from these estimates. Accounting estimates are as follows: 3.13.1

Allowance for doubtful accounts Allowance for doubtful accounts is provided at the estimated collecting loses on receivable. Such estimated based on the Company’s collection experience and a review of the current status of each receivable.

3UHPLVHV DQG HTXLSPHQW DQG GHĂ€QLWH XVHIXO OLIH LQWDQJLEOH DVVHWV The estimated useful lives and depreciation method of premises and equipment and DPRUWL]DWLRQ RI GHĂ€QLWH XVHIXO OLIH LQWDQJLEOH DVVHWV VKDOO EH UHYLHZHG RQ SXUFKDVLQJ GDWH RI VXFK DVVHWV ,Q FDVH WKH FDUU\LQJ YDOXH RI EXLOGLQJ LPSURYHPHQW DQG HTXLSPHQW DQG GHĂ€QLWH XVHIXO OLIH LQWDQJLEOH DVVHWV EHFRPHV LPSDLUHG WKH &RPSDQ\ ZRXOG establish an allowance for impairment in the statement of income.

)DLU YDOXH RI ÀQDQFLDO LQVWUXPHQWV )RU WKH IDLU YDOXH RI ÀQDQFLDO LQVWUXPHQW GLVFORVXUHV FRQVLGHUDEOH MXGJHPHQW LV necessarily required in estimation of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amount that could be realized in a current market exchange.

7KH XVH RI GLIIHUHQW PDUNHW DVVXPSWLRQV DQG RU HVWLPDWLRQ PHWKRGRORJLHV PD\ KDYH D material effect on the estimated fair value.

083

4. SUPPLEMENTAL DISCLOSURE OF CASH INFORMATION 1RQ FDVK WUDQVDFWLRQV DUH DV IROORZV Consolidated Financial Statements 2008 2007 Baht Baht

Liabilities incurred from acquisition of À[HG DVVHWV DV DW -DQXDU\ Add 3XUFKDVHV RI À[HG DVVHWV Less &DVK SD\PHQWV Exchange differences on transition RI WKH ÀQDQFLDO VWDWHPHQWV RI IRUHLJQ VXEVLGLDULHV Liabilities incurred from acquisition of À[HG DVVHWV DV DW 'HFHPEHU

4.2

Amounts of unutilized loan facilities are as follows:

Separate Financial Statements 2008 2007 Baht Baht

In Million Baht 2008 2007

In Million Pound Sterling 2008 2007

In Million US Dollars 2008 2007

6KRUW WHUP ORDQV %DQN RYHUGUDIWV /HWWHUV RI JXDUDQWHH )25(; &UHGLW OLPLW

7RWDO

5. CURRENT INVESTMENTS &XUUHQW LQYHVWPHQWV DV DW 'HFHPEHU FRQVLVW RI Thousand Baht Consolidated Financial Statements 2008 2007

Separate Financial Statements 2008 2007

7LPH GHSRVLWV 7UDGLQJ VHFXULWLHV )L[HG LQFRPH RSHQ HQGHG )XQGV $YDLODEOH IRU VDOHV VHFXULWLHV 0XWXDO )XQGV *RYHUQPHQW %RQGV

7RWDO &XUUHQW LQYHVWPHQWV

6. TRADE ACCOUNTS RECEIVABLE - NET $V DW 'HFHPEHU WKH &RPSDQ\ DQG LWV VXEVLGLDULHV KDG RXWVWDQGLQJ EDODQFHV RI WUDGH DFFRXQWV UHFHLYDEOH LQFOXGLQJ WUDGH DFFRXQWV UHFHLYDEOH UHODWHG SDUWLHV DJHG E\ WKH QXPEHU RI PRQWKV as follows: Thousand Baht Consolidated Financial Statements 2008 2007

Separate Financial Statements 2008 2007

7RWDO Less $OORZDQFH IRU GRXEWIXO DFFRXQWV

7UDGH $FFRXQWV 5HFHLYDEOH 1HW

&XUUHQW Overdue PRQWKV RU OHVV 2YHU PRQWKV XS WR PRQWKV 2YHU PRQWKV XS WR PRQWKV 2YHU PRQWKV

084

7. INVENTORIES ,QYHQWRULHV DV DW 'HFHPEHU FRQVLVW RI Thousand Baht Consolidated Financial Statements 2008 2007

Separate Financial Statements 2008 2007

78,799

43,748

78,799

43,748

Finished goods :RUN LQ SURFHVV 5DZ PDWHULDOV 3DFNDJLQJ PDWHULDOV 6SDUH SDUWV DQG VXSSOLHV *RRGV LQ WUDQVLW 7RWDO ,QYHQWRULHV

8. INVESTMENTS IN SUBSIDIARIES AND ASSOCIATED COMPANIES ,QYHVWPHQWV UHFRUGHG E\ WKH HTXLW\ PHWKRG LQ WKH FRQVROLGDWHG ÀQDQFLDO VWDWHPHQWV RI WKH &RPSDQ\ DQG LWV VXEVLGLDULHV DV DW 'HFHPEHU DQG FRQVLVW RI In Thousand Baht Type of business

Relationship

Paid-up capital

Shareholding held by S&P Syndicate Public Co., Ltd. Associates +' 'LVWULEXWRUV $JHQF\ &R VKDUHKROGHUV 7KDLODQG &R /WG IRU IRRG DQG GLVWULEXWLRQ FR PDQDJHPHQW WHDP Foodhouse Catering 6HUYLFH &R /WG &DWHULQJ µ

Shareholding held by S&P Global Co., Ltd. Subsidiary 6LDP .LWFKHQ 6GQ &HDVHG Bhd. Co., Ltd operation Associates 3DWDUD 'HYHORSPHQW 5HVWDXUDQW SA Co., Ltd

% Share holding

At cost method

At equity method

Dividend

2008

2007

2008

2007

2008

2007

µ

µ

Total Total investments

2008

2007

3,815

3,815

7,552

6,313

57,810

52,813

54,305

53,805

,QYHVWPHQWV UHFRUGHG E\ WKH FRVW PHWKRG LQ WKH VHSDUDWH ÀQDQFLDO VWDWHPHQWV DV DW 'HFHPEHU 2008 and 2007 consists of: In Thousand Baht Type of business

Relationship

Paid-up capital

% Share holding

At cost

Dividend

2008

2007

2008

2007

2008

2007

2008

2007

Shareholding held by S&P Syndicate Public Co., Ltd.

Subsidiaries : 6 3 *OREDO &R /WG +ROGLQJ FRPSDQ\ &R VKDUHKROGHUV DQG FR PDQDJHPHQW WHDP 6HULZDW )RRGV &R /WG 'LVVROXWLRQ µ 6 3 $VVHWV &R /WG 2IÀFH UHQWDO µ 6 3L]=DQRWWL 7KDLODQG /LPLWHG 5HVWDXUDQW µ Less Provision for impairment RI LQYHVWPHQW Total investments in subsidiaries

Associates : +' 'LVWULEXWRUV 7KDLODQG &R /WG )RRG +RXVH &DWHULQJ Service Co., Ltd.

$JHQF\ IRU IRRG GLVWULEXWLRQ &DWHULQJ

Total investments in associated companies

µ µ

2,000 7,000 42,999 49,998

53,995

48,998

2Q 'HFHPEHU WKH ([WUDRUGLQDU\ 6KDUHKROGHUV· 0HHWLQJ RI 6HULZDW )RRGV &R /WG D VXEVLGLDU\ KDG a resolution to dissolve the Company and registered the dissolution with the Registrar of Partnerships and Companies of the Ministry of Commerce in February 2008 and on February 27, 2008, the Company received Baht DIWHU GLVVROXWLRQ IRU UHWXUQ RI FDSLWDO

2Q $XJXVW WKH %RDUG RI 'LUHFWRUV· 0HHWLQJ RI WKH &RPSDQ\ KDV D UHVROXWLRQ WR H[FKDQJH SUHIHUHQFH VKDUHV RI +' 'LVWULEXWRUV 7KDLODQG &RPSDQ\ /LPLWHG ZKLFK KDV RQH YRWH IRU HDFK VKDUHV DQG DUH HQWLWOHG WR UHFHLYH D À[HG GLYLGHQG DW WKH UDWH RI RI LWV YDOXH EHLQJ SDLG XS EHIRUH FRPPRQ VKDUHV ZLWK WKH preference shares of such company, held by third party, which have one vote for each share and are entitled WR UHFHLYH D À[HG GLYLGHQG DW WKH UDWH RI RI LWV YDOXH EHLQJ SDLG XS EHIRUH FRPPRQ VKDUHV :LWK WKLV exchange, the Company considered no change in value of such investment as the Company still has the same voting right and is entitled to receive the same amount of dividend when dividends are declared.

085

9. PROPERTY, PLANT AND EQUIPMENT - NET 3URSHUW\ SODQW DQG HTXLSPHQW QHW DV DW 'HFHPEHU DQG FRQVLVW RI Thousand Baht &RQVROLGDWHG )LQDQFLDO 6WDWHPHQWV

%DODQFHV DV DW December 31, 2007

$GGLWLRQV

'LVSRVDOV

7UDQVIHUV $GMXVWPHQWV 5HFODVVLÀFDWLRQ IURP WKH translation of foreign ÀQDQFLDO

%DODQFHV DV DW December 31, 2008

statements Cost : /DQG %XLOGLQJV DQG LPSURYHPHQWV )DFWRU\ EXLOGLQJV 0DFKLQHU\ DQG HTXLSPHQW 2IÀFH IXUQLWXUH DQG HTXLSPHQW 9HKLFOHV &RQVWUXFWLRQ LQ SURJUHVV

7RWDO FRVW

Accumulated depreciation : %XLOGLQJV DQG LPSURYHPHQWV )DFWRU\ EXLOGLQJV 0DFKLQHU\ DQG HTXLSPHQW 2IÀFH IXUQLWXUH DQG HTXLSPHQW 9HKLFOHV

7RWDO DFFXPXODWHG GHSUHFLDWLRQ

Property plant and equipment-net

1,137,998

1,021,325

'HSUHFLDWLRQ IRU WKH \HDUV HQGHG 'HFHPEHU 2008

240,938

Thousand Baht Separated Financial Statements

Balances DV DW December 31,

Additions

Disposals

Transfers/ 5HFODVVLÀFDWLRQ

2007 Cost : /DQG %XLOGLQJV DQG LPSURYHPHQWV )DFWRU\ EXLOGLQJV 0DFKLQHU\ DQG HTXLSPHQW 2IÀFH IXUQLWXUH DQG HTXLSPHQW 9HKLFOHV &RQVWUXFWLRQ LQ SURJUHVV

7RWDO FRVW

Accumulated depreciation : %XLOGLQJV DQG LPSURYHPHQWV )DFWRU\ EXLOGLQJV 0DFKLQHU\ DQG HTXLSPHQW 2IÀFH IXUQLWXUH DQG HTXLSPHQW 9HKLFOHV

7RWDO DFFXPXODWHG GHSUHFLDWLRQ

Property, plant and equipment-net 'HSUHFLDWLRQ IRU WKH \HDUV HQGHG 'HFHPEHU 2007

Balances DV DW December 31, 2008

1,002,032

928,114

217,270

$V DW 'HFHPEHU DQG WKH FRVW YDOXH EHIRUH DFFXPXODWHG GHSUHFLDWLRQ RI SODQW DQG equipment which was fully depreciated but still in use of the Company and its subsidiaries, DPRXQWHG WR %DKW PLOOLRQ DQG %DKW PLOOLRQ UHVSHFWLYHO\

086

10. INTANGIBLE ASSETS - NET ,QWDQJLEOH DVVHWV QHW DV DW 'HFHPEHU FRQVLVW RI Thousand Baht Consolidated Financial Statements As at December 31, 2008

Software development costs

Cost : (QGLQJ EDODQFHV DV DW 'HFHPEHU ,QFUHDVH Exchange differences on translation of the ÀQDQFLDO VWDWHPHQWV RI IRUHLJQ VXEVLGLDULHV

(QGLQJ EDODQFHV DV DW 'HFHPEHU

Accumulated Amortization : (QGLQJ EDODQFHV DV DW 'HFHPEHU :ULWWHQ RII Exchange differences on translation of the ÀQDQFLDO VWDWHPHQWV RI IRUHLJQ VXEVLGLDULHV

(QGLQJ EDODQFHV DV DW 'HFHPEHU

Leasehold

Goodwill Goodwill Negative goodwill

Total Goodwill

Total

Thousand Baht

As at December 31, 2007

Software development costs

Cost : (QGLQJ EDODQFHV DV DW 'HFHPEHU ,QFUHDVH 'HFUHDVH 5HFODVVLÀFDWLRQ Exchange differences on translation of the ÀQDQFLDO VWDWHPHQWV RI IRUHLJQ VXEVLGLDULHV

(QGLQJ EDODQFHV DV DW 'HFHPEHU

Accumulated Amortization : (QGLQJ EDODQFHV DV DW 'HFHPEHU :ULWWHQ RII 'HFUHDVH 5HFODVVLÀFDWLRQ Exchange differences on translation of the ÀQDQFLDO VWDWHPHQWV RI IRUHLJQ VXEVLGLDULHV

(QGLQJ EDODQFHV DV DW 'HFHPEHU

Leasehold

Goodwill Goodwill Negative goodwill

Total Goodwill

Total

1HW %RRN 9DOXH $V DW 'HFHPEHU

$V DW 'HFHPEHU

Thousand Baht Separate Financial Statements As at December 31, 2008

Software development costs

Leasehold

Total

Cost : (QGLQJ EDODQFHV DV DW 'HFHPEHU ,QFUHDVH 'HFUHDVH

(QGLQJ EDODQFHV DV DW 'HFHPEHU

Accumulated Amortization : (QGLQJ EDODQFHV DV DW 'HFHPEHU :ULWWHQ RII 'HFUHDVH

(QGLQJ EDODQFHV DV DW 'HFHPEHU

Thousand Baht Software development costs

As at December 31, 2007

Leasehold

Total

Cost : (QGLQJ EDODQFHV DV DW 'HFHPEHU ,QFUHDVH 'HFUHDVH

(QGLQJ EDODQFHV DV DW 'HFHPEHU

Accumulated Amortization : (QGLQJ EDODQFHV DV DW 'HFHPEHU :ULWWHQ RII 'HFUHDVH

(QGLQJ EDODQFHV DV DW 'HFHPEHU

1HW %RRN 9DOXH $V DW 'HFHPEHU

$V DW 'HFHPEHU

11. OTHER non-current assets 2WKHU QRQ FXUUHQW DVVHWV DV DW 'HFHPEHU FRQVLVW RI Thousand Baht Consolidated Financial Statements 2008 2007

Separate Financial Statements 2008 2007

/RQJ WHUP GHSRVLWV 7LPH GHSRVLWV XVHG DV FROODWHUDO VHH 1RWH Other

183

370

181

389

7RWDO

12. WARRANTS TO PURCHASE COMMON SHARES

'XULQJ WKH XQLWV RI ZDUUDQW WR SXUFKDVH FRPPRQ VKDUHV ZHUH H[HUFLVHG DW %DKW HDFK WRWDOLQJ %DKW WKH &RPSDQ\ LVVXHG VKDUHV IRU WKH FDSLWDO LQFUHDVHV intended for such warrant exercise. The Company registered such capital increases with the Ministry of Commerce on April 18, 2007.

$V DW 'HFHPEHU WKH EDODQFH RI XQH[HUFLVHG ZDUUDQWV ZDV XQLWV ZKLFK H[HUFLVH ULJKW KDV H[SLUHG RQ $SULO WKH ODVW PDWXULW\ GDWH 2Q $SULO WKH &RPSDQ\·V Ordinary Shareholders’ Meeting approved the registration for the decrease of the registered VKDUH FDSLWDO LVVXHG IRU ZDUUDQWV H[HUFLVLQJ RI XQLWV DW %DKW SHU VKDUH 7KH &RPSDQ\ registered such registered share capital decrease with the Ministry of Commerce on May 14, 2008. $V DW 'HFHPEHU WKH &RPSDQ\ KDV DXWKRUL]HG VKDUH FDSLWDO VKDUHV DW %DKW HDFK WRWDOLQJ %DKW

13. TRANSACTIONS WITH RELATED COMPANIES The Company has transactions with its subsidiaries, associated and other related companies. Certain portions of the Company’s assets, liabilities, sales, other income, costs of sales and selling and administrative expenses represent transactions occurred with its subsidiaries, associated and other related companies. These parties are related through common shareholders DQG RU GLUHFWRUVKLSV 7KRVH WUDQVDFWLRQV ZLWK VXEVLGLDULHV DVVRFLDWHG DQG RWKHU UHODWHG FRPSDQLHV DV LQFOXGHG LQ WKH ÀQDQFLDO VWDWHPHQWV DUH GHWHUPLQHG DW WKH SULFHV LQ OLQH ZLWK WKRVH RFFXU in the normal course of business based on the market price in general or the price as stipulated LQ WKH DJUHHPHQW LI QR PDUNHW SULFH H[LVWV 7KH VLJQLÀFDQW EDODQFHV RI DVVHWV OLDELOLWLHV DQG other transactions occurred with those parties are shown as follows:

7UDQVDFWLRQV ZLWK UHODWHG FRPSDQLHV IRU WKH \HDUV HQGHG 'HFHPEHU DQG DUH DV follows:

087

088

Thousand Baht Consolidated Financial Statements 2008 2007 Subsidiaries : 5HYHQXHV IURP VDOHV 5HQWDO LQFRPH IURP EXLOGLQJV DQG HTXLSPHQW 2WKHU LQFRPH 3XUFKDVHV RI JRRGV VHUYLFHV 'LYLGHQG UHFHLYHG Associates : 5HYHQXHV IURP VDOHV Rental income from buildings and equipment 2WKHU LQFRPH 6KDUH RI SURÀWV IURP LQYHVWPHQWV UHFRUGHG E\ WKH HTXLW\ PHWKRG 3XUFKDVHV RI JRRGV VHUYLFHV 'LYLGHQG UHFHLYHG Other Related Companies : 5HYHQXHV IURP VDOHV Rental income from buildings and equipment 'LUHFWRUV· UHPXQHUDWLRQ

Separate Financial Statements 2008 2007

983

444

983

444

2,712

2,712

2,712

2,712

6HOOLQJ SULFHV RI JRRGV DQG SXUFKDVLQJ SULFHV RI JRRGV VHUYLFHV DUH GHWHUPLQHG E\ PDUNHW price.

%DODQFHV ZLWK UHODWHG FRPSDQLHV DV DW 'HFHPEHU DQG DUH DV IROORZV Thousand Baht Consolidated Financial Statements 2008 2007 Trade Accounts Receivable ,QFOXGHG LQ WKH WUDGH DFFRXQWV UHFHLYDEOH

6XEVLGLDULHV $VVRFLDWHV 2WKHU UHODWHG FRPSDQLHV

Separate Financial Statements 2008 2007

3,008

4,284

3,008

4,284

Subsidiaries : 6 3 *OREDO &R /WG 1R LQWHUHVW

Associates : +' 'LVWULEXWRUV 7KDLODQG &R /WG 1R LQWHUHVW

7RWDO

7RWDO Short-term Loans to Related Companies Cash advances LQWHUHVW UDWH SHU DQQXP

Subsidiaries : 6 3 *OREDO &R /WG 1R LQWHUHVW 6 3L]=DQRWWL 7KDLODQG /LPLWHG 1R LQWHUHVW Associates : +' 'LVWULEXWRUV 7KDLODQG &R /WG 1R LQWHUHVW Related company : 2WKHU FRPSDQ\ 1R LQWHUHVW 7RWDO Investments in subsidiaries and associated companies 6XEVLGLDULHV $VVRFLDWHV 7RWDO Trade Accounts Payable ,QFOXGHG LQ WUDGH DFFRXQWV SD\DEOH

6XEVLGLDULHV Associates 7RWDO Short-term loans from Related Companies Cash advances LQWHUHVW UDWH SHU DQQXP

0RYHPHQWV RI VKRUW WHUP ORDQV WR UHODWHG FRPSDQLHV LQ WKH FRQVROLGDWHG ÀQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU In Thousand Baht Associates

Other related companies

Total

%DODQFHV DV DW 'HFHPEHU ,QFUHDVH GXULQJ WKH \HDU 'HFUHDVH GXULQJ WKH \HDU

%DODQFHV DV DW 'HFHPEHU

)RU WKH \HDU HQGHG 'HFHPEHU In Thousand Baht Subsidiaries

%DODQFHV DV DW 'HFHPEHU ,QFUHDVH GXULQJ WKH \HDU 'HFUHDVH GXULQJ WKH \HDU %DODQFHV DV DW 'HFHPEHU

Associates

Other related companies

Total

0RYHPHQWV RI VKRUW WHUP ORDQV WR UHODWHG FRPSDQLHV LQ WKH VHSDUDWH ÀQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU In Thousand Baht Subsidiaries

Associates

%DODQFHV DV DW 'HFHPEHU ,QFUHDVH GXULQJ WKH \HDU 'HFUHDVH GXULQJ WKH \HDU

Total

%DODQFHV DV DW 'HFHPEHU

)RU WKH \HDU HQGHG 'HFHPEHU In Thousand Baht Subsidiaries

Associates

Total

%DODQFHV DV DW 'HFHPEHU ,QFUHDVH GXULQJ WKH \HDU 'HFUHDVH GXULQJ WKH \HDU

%DODQFHV DV DW 'HFHPEHU

0RYHPHQWV RI VKRUW WHUP ORDQV IURP UHODWHG FRPSDQLHV LQ WKH FRQVROLGDWHG ÀQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU In Thousand Baht Associates

Total

%DODQFHV DV DW 'HFHPEHU ,QFUHDVH GXULQJ WKH \HDU 'HFUHDVH GXULQJ WKH \HDU

%DODQFHV DV DW 'HFHPEHU

)RU WKH \HDU HQGHG 'HFHPEHU In Thousand Baht Associates

Total

%DODQFHV DV DW 'HFHPEHU ,QFUHDVH GXULQJ WKH \HDU 'HFUHDVH GXULQJ WKH \HDU

%DODQFHV DV DW 'HFHPEHU

089

090

0RYHPHQWV RI VKRUW WHUP ORDQV IURP UHODWHG FRPSDQLHV LQ WKH VHSDUDWH ÀQDQFLDO VWDWHPHQWV )RU WKH \HDU HQGHG 'HFHPEHU In Thousand Baht Subsidiaries

Associates

Total

%DODQFHV DV DW 'HFHPEHU ,QFUHDVH GXULQJ WKH \HDU 'HFUHDVH GXULQJ WKH \HDU

%DODQFHV DV DW 'HFHPEHU

)RU WKH \HDU HQGHG 'HFHPEHU In Thousand Baht Subsidiaries

Associates

Total

%DODQFHV DV DW 'HFHPEHU ,QFUHDVH GXULQJ WKH \HDU 'HFUHDVH GXULQJ WKH \HDU

%DODQFHV DV DW 'HFHPEHU

14. LEGAL RESERVE The legal reserve is an amount to be provided as a reserve fund as prescribed by law. The Company KDV WR DOORFDWH QRW OHVV WKDQ ÀYH SHUFHQW RI LWV DQQXDO SURÀWV OHVV WKH DFFXPXODWHG ORVVHV EURXJKW IRUZDUG LI DQ\ WR WKH UHVHUYH IXQG XQWLO WKLV IXQG DWWDLQV DQ DPRXQW QRW OHVV WKDQ ten percent of the registered capital. The legal reserve may not be used for dividend payment.

15. NET INCOME OR EXPENSES BY NATURE FOR THE YEARS

1HW LQFRPH RU H[SHQVHV E\ QDWXUH IRU WKH \HDUV HQGHG 'HFHPEHU DQG KDV EHHQ DUULYHG DW DIWHU FKDUJLQJ RI WKH IROORZLQJ VLJQLÀFDQW LWHPV In Thousand Baht Consolidated ÀQDQFLDO VWDWHPHQWV 2008 2007

&KDQJHV LQ LQYHQWRULHV RI ÀQLVKHG JRRGV DQG ZRUN LQ SURFHVV GHFUHDVH LQFUHDVH 5DZ PDWHULDOV DQG FRQVXPDEOHV XVHG 'HSUHFLDWLRQ DQG DPRUWL]DWLRQ (PSOR\HHV FRVWV

Separate ÀQDQFLDO VWDWHPHQWV 2008 2007

16. APPROPRIATION OF EARNINGS AND DIVIDEND

2Q $XJXVW WKH &RPSDQ\·V %RDUG RI 'LUHFWRUV· 0HHWLQJ SDVVHG D UHVROXWLRQ WR SD\ LQWHULP GLYLGHQG WR VKDUHKROGHUV RI VKDUHV DW %DKW SHU VKDUH WRWDOLQJ %DKW PLOOLRQ approximately. The Company paid such dividend on September 12, 2008. On April 30, 2008, the Company’s Ordinary Shareholders’ Meeting unanimously approved a dividend SD\PHQW IRU VKDUHV DW %DKW SHU VKDUH WRWDOLQJ %DKW PLOOLRQ DSSUR[LPDWHO\ 7KH SD\PHQW ZDV SDLG RQ 0D\ ,Q DGGLWLRQ WKH PHHWLQJ DOVR DSSURYHG WKH DSSURSULDWLRQ of legal reserve amounting to Baht 2.11 million approximately.

2Q $XJXVW WKH &RPSDQ\·V %RDUG RI 'LUHFWRUV· 0HHWLQJ SDVVHG D UHVROXWLRQ WR SD\ LQWHULP GLYLGHQG WR VKDUHKROGHUV RI VKDUHV DW %DKW SHU VKDUH WRWDOLQJ %DKW PLOOLRQ approximately. The Company paid such dividend on September 14, 2007. On April 19, 2007, the Company’s Ordinary Shareholders’ Meeting unanimously approved a dividend SD\PHQW IRU VKDUHV DW %DKW SHU VKDUH WRWDOLQJ %DKW PLOOLRQ DSSUR[LPDWHO\ 7KH SD\PHQW ZDV SDLG RQ 0D\ ,Q DGGLWLRQ WKH PHHWLQJ DOVR DSSURYHG WKH DSSURSULDWLRQ RI OHJDO UHVHUYH DPRXQWLQJ WR %DKW PLOOLRQ DSSUR[LPDWHO\

17. PROVIDENT FUND

7KH &RPSDQ\ HVWDEOLVKHG WKH SURYLGHQW IXQG LQ FRPSOLDQFH ZLWK WKH 3URYLGHQW )XQG $FW % ( The fund receives voluntary contributions from employees. Under the fund’s regulations, the PHPEHUV FRQWULEXWH RI WKHLU PRQWKO\ HDUQLQJV WR WKH IXQG ZKLOH WKH &RPSDQ\ FRQWULEXWHV RI VXFK HDUQLQJV 0HPEHUV DUH HQWLWOHG WR WKHLU ZKROH FRQWULEXWLRQV SOXV QHW EHQHÀW WKHUHRQ DQG WKH &RPSDQ\·V FRQWULEXWLRQV SOXV EHQHÀWV WKHUHRQ DW WKH UDWHV GHSHQGLQJ RQ WKHLU SHULRG RI service as prescribed by the regulations of the fund.

)RU WKH \HDUV HQGHG 'HFHPEHU DQG WKH &RPSDQ\·V FRQWULEXWLRQ DQG VXEVLGLDULHV· contributions to provident fund which were recorded as expenses in the consolidated statements RI LQFRPH ZHUH %DKW PLOOLRQ DQG %DKW PLOOLRQ UHVSHFWLYHO\

)RU WKH \HDUV HQGHG 'HFHPEHU DQG WKH &RPSDQ\·V FRQWULEXWLRQV WR WKH SURYLGHQW fund which were recorded as expenses in the separate statements of income were Baht 9.43 million and Baht 8.94 million, respectively.

18. CAPITAL MANAGEMENT The primary objectives of the Company’s and its subsidiaries’ capital management are to maintain their abilities to continue as a going concern and to maintain an appropriate capital structure.

7KH &RPSDQ\ GRHV QRW DSSO\ DQ\ SDUWLFXODU ÀQDQFLDO UDWLR WR PRQLWRU LWV FDSLWDO ZKLOVW PDQDJHV LWV FDSLWDO WR EH VXIÀFLHQW IRU LWV ZRUNLQJ FDSLWDO E\ IRU LQVWDQFH LVVXLQJ QHZ VKDUH RU adjusting the amount of dividend paid to shareholders, according to the prevailing situations.

19. DISCLOSURE OF FINANCIAL INSTRUMENTS

7KH &RPSDQ\ SUHVHQWV DQG GLVFORVHV ÀQDQFLDO LQVWUXPHQWV DV IROORZV

19.1 Accounting Policies 'HWDLOV RI VLJQLÀFDQW DFFRXQWLQJ SROLFLHV DUH GLVFORVHG LQ 1RWH 19.2

Credit Risk Credit risk refers to the risk that counterparty will default on its trading terms and conditions resulting in collection to the Company and subsidiaries. Concentrations of credit risk are limited since the Company and subsidiaries have adopted the policy of GHDOLQJ ZLWK FUHGLWZRUWK\ FRXQWHUSDUW\ DV D PHDQ RI PLWLJDWLQJ WKH ULVN RI ÀQDQFLDO ORVVHV from defaults.

,Q FDVH RI UHFRJQL]HG ÀQDQFLDO DVVHWV LQ WKH EDODQFH VKHHW WKH FDUU\LQJ DPRXQWV RI WKH assets recorded in the balance sheet represent the Company’s maximum exposure to credit risk.

,QWHUHVW 5DWH 5LVN ,QWHUHVW UDWH ULVN DULVHV IURP WKH SRWHQWLDO IRU D FKDQJH LQ LQWHUHVW UDWH WR KDYH DQ adverse effect on the Company in the current reporting period and in future years. The Company does not expect to incur material incremental effect on its interest expenses EHFDXVH ORDQ RI WKH &RPSDQ\ DQG VXEVLGLDULHV LV LQVLJQLÀFDQW DPRXQW 19.4

Foreign Exchange Risk Foreign exchange risk arises from the potential for a change in foreign exchange rate to have an adverse effect on the Company and subsidiaries in the current reporting period and in future years. The Company does not expect to incur material incremental effect on LWV ÀQDQFLDO DVVHWV RU OLDELOLWLHV LQ IRUHLJQ FXUUHQF\ DV WKH PDMRULW\ RI LWV EXVLQHVVHV DUH HQJDJHG LQ 7KDL %DKW +RZHYHU WKH FKDQJH LQ IRUHLJQ H[FKDQJH UDWH PD\ KDV PDWHULDO HIIHFW RQ ÀQDQFLDO DVVHWV DQG OLDELOLWLHV RI WKH RYHUVHDV VXEVLGLDULHV 7KH &RPSDQ\ DQG LWV VXEVLGLDULHV GR QRW XVH DQ\ ÀQDQFLDO LQVWUXPHQWV WR PDQDJH WKH VXFK ULVN

(VWLPDWHG )DLU 9DOXH RI )LQDQFLDO ,QVWUXPHQWV &DVK DQG FDVK HTXLYDOHQWV FXUUHQW LQYHVWPHQWV WUDGH DFFRXQWV UHFHLYDEOH VKRUW WHUP ORDQV WR UHODWHG SDUWLHV EDQN RYHUGUDIW DQG VKRUW WHUP ORDQV IURP ÀQDQFLDO LQVWLWXWLRQV WUDGH DFFRXQWV SD\DEOH DFFUXHG H[SHQVHV DQG VKRUW WHUP ORDQV IURP UHODWHG SDUWLHV WKH carrying values approximate their fair values due to the relatively short period to maturity.

,QYHVWPHQWV LQ UHODWHG FRPSDQLHV IDLU YDOXH IRU LQYHVWPHQWV DUH DV GLVFORVHG LQ QRWH

20. SEGMENT INFORMATION The Company and its subsidiaries have been engaged in the food and bakery business. All business DFWLYLWLHV RI WKH &RPSDQ\ DQG LWV VXEVLGLDULHV VKDOO EH FODVVLÀHG E\ VHJPHQWV EDVHG RQ UHYHQXHV DQG UHVXOWV RI RSHUDWLRQV IRU HDFK RI \HDUV HQGHG 'HFHPEHU DQG IRU WKH &RPSDQ\ and its subsidiaries as follows:

)RU WKH \HDU HQGHG 'HFHPEHU Thousand Baht

&ODVVLÀHG E\ *HRJUDSKLFDO $UHDV 7RWDO UHYHQXHV 1HW SURÀW EHIRUH PLQRULW\ LQWHUHVW $VVHWV DV DW 'HFHPEHU

/RFDO

2YHUVHDV

7RWDO

091

092

)RU WKH \HDU HQGHG 'HFHPEHU Thousand Baht

&ODVVLÀHG E\ *HRJUDSKLFDO $UHDV

/RFDO

7RWDO UHYHQXHV 1HW SURÀW EHIRUH PLQRULW\ LQWHUHVW $VVHWV DV DW 'HFHPEHU

2YHUVHDV

7RWDO

21. ASSETS USED AS COLLATERAL

$V DW 'HFHPEHU DQG FDVK DW EDQNV RI WKH &RPSDQ\ LQ WKH DSSUR[LPDWH DPRXQW RI Baht 1.94 million was used as collateral against letters of guarantee from a bank for electricity XVDJH VHH 1RWH

22. OBLIGATIONS AND LETTER OF GUARANTEE

$V DW 'HFHPEHU DQG WKH &RPSDQ\ DQG LWV VXEVLGLDULHV KDG REOLJDWLRQV DQG OHWWHU of guarantee liabilities as follows:

D &RPPLWPHQWV WR SD\ UHQWDO XQGHU ORQJ WHUP OHDVH FRQWUDFWV DQG KLUH SXUFKDVH FRQWUDFWV DV follows:

Currencies

%UDQFK UHQWDO H[SHQVHV

Within 1 Year 2008 2007

2-5 Years 2008 2007

0LOOLRQ %DKW Million Pound 6WHUOLQJ

/HDVH DQG KLUH SXUFKDVH YHKLFOH H[SHQVHV 0LOOLRQ %DKW /HDVH DQG KLUH SXUFKDVH FRPSXWHU HTXLSPHQW H[SHQVHV 0LOOLRQ %DKW

Over 5 Years 2008 2007

Total 2008

2007

E $V DW 'HFHPEHU DQG WKH &RPSDQ\ KDG RXWVWDQGLQJ FDSLWDO FRPPLWPHQWV UHODWLQJ to hire and purchase of materials for the construction of a new factory and branches in the DPRXQW RI %DKW PLOOLRQ DQG %DKW PLOOLRQ UHVSHFWLYHO\

F $V DW 'HFHPEHU DQG WKH &RPSDQ\ KDG D OHWWHU RI JXDUDQWHH LVVXHG E\ WKH FRPPHUFLDO EDQNV IRU HOHFWULFLW\ XVDJH DPRXQWLQJ WR %DKW PLOOLRQ DQG %DKW PLOOLRQ UHVSHFWLYHO\ VHH 1RWH

23. RECLASSIFICATION

&HUWDLQ DFFRXQWV KDYH EHHQ UHFODVVLÀHG LQ WKH FRQVROLGDWHG DQG WKH VHSDUDWH ÀQDQFLDO VWDWHPHQWV IRU WKH \HDU HQGHG 'HFHPEHU WR FRQIRUP WR WKH UHFODVVLÀFDWLRQ XVHG LQ WKH FRQVROLGDWHG DQG WKH VHSDUDWH ÀQDQFLDO VWDWHPHQWV IRU WKH \HDU HQGHG 'HFHPEHU DV IROORZV

7LPH GHSRVLWV ZLWK PDWXULW\ WHUP QRW RYHU PRQWKV RI WKH &RPSDQ\ DPRXQWLQJ WR %DKW PLOOLRQ DQG %DKW PLOOLRQ UHVSHFWLYHO\ ZKLFK ZHUH SUHYLRXVO\ LQFOXGHG DV SDUW RI FXUUHQW LQYHVWPHQW KDV EHHQ UHFODVVLÀHG WR EH LQFOXGHG LQ FDVK DQG FDVK HTXLYDOHQWV

5HYHQXH 'HSDUWPHQW SD\DEOH RI WKH &RPSDQ\ DPRXQWLQJ WR %DKW PLOOLRQ DQG %DKW million, respectively, which were previously included in other current liabilities were UHFODVVLÀHG WR EH VHSDUDWHO\ SUHVHQWHG XQGHU 5HYHQXH 'HSDUWPHQW 3D\DEOH

24. INCOME TAX

$FFRUGLQJ WR WKH 5R\DO 'HFUHH 1R % ( LVVXHG XQGHU WKH 5HYHQXH &RGH UHJDUGLQJ WKH corporate income tax rate deduction effective on August 7, 2008, the corporate income tax for OLVWHG FRPSDQLHV LQ WKH 6WRFN ([FKDQJH RI 7KDLODQG KDV EHHQ UHGXFHG IURP WR RI QHW SURÀW which does not exceed Baht 300 million. This will remain in effect for three consecutive DFFRXQWLQJ SHULRGV EHJLQQLQJ RQ RU DIWHU -DQXDU\

25. APPROVAL OF THE FINANCIAL STATEMENTS

7KHVH ÀQDQFLDO VWDWHPHQWV KDYH EHHQ DSSURYHG IRU LVVXH E\ WKH DXWKRUL]HG GLUHFWRU RI WKH &RPSDQ\ on February 11, 2009.

093

Connected Transactions Value of transactions (1) Revenues Related parties 6 3 *OREDO &R /WG Revenue of goods 'LYLGHQG UHFHLYHG 6 3L]=DQRWWL 7KDLODQG &R /WG 5HQWDO RI SUHPLVHV DQG HTXLSPHQW 5HYHQXH RI JRRGV +' 'LVWULEXWRUV 7KDLODQG &R /WG Revenue from services 5HYHQXH RI JRRGV 'LYLGHQG UHFHLYHG )RRG +RXVH &DWHULQJ 6HUYLFH &R /WG 0LQRU ,QWHUQDWLRQDO 3XEOLF &RPSDQ\ /LPLWHG ¶V VXEVLGLDULHV 7KH 0LQRU )RRG *URXS 3XEOLF &RPSDQ\ /LPLWHG 7KH 0LQRU )RRG *URXS 3XEOLF &RPSDQ\ /LPLWHG ¶V VXEVLGLDULHV 0LQRU '4 /LPLWHG 0LQRU 'DLU\ /LPLWHG 6ZHQVHQ·V 7KDL /LPLWHG (2) Purchase of goods and services Related parties 6 3 $VVHW &R /WG 6 3L]=DQRWWL 7KDLODQG &R /WG +' 'LVWULEXWRUV 7KDLODQG &R /WG S.R. Estate Co., Ltd. 7KH &RPSDQ\·V 'LUHFWRUV

Nature of transaction 5HQWDO RI SUHPLVHV DQG HTXLSPHQW

5HYHQXH RI JRRGV

2007 0.37 0.88

2008 0.32 0.82

5HYHQXH RI JRRGV

5HYHQXH RI JRRGV 5HYHQXH RI JRRGV 5HYHQXH RI JRRGV

2007 0.43

2008 0.43

Nature of transaction 2007 3XUFKDVH RI JRRGV UHQWDO RI SUHPLVHV 3XUFKDVH RI JRRGV

2008

5HYHQXH IURP VHUYLFHV 5HQWDO RI SUHPLVHV DQG HTXLSPHQW

Nature of transactions 5HQWDO RI SUHPLVHV DQG VHUYLFHV 3XUFKDVH RI JRRGV 3XUFKDVH RI JRRGV DQG VHUYLFHV Rental of premises 5HQWDO RI RIÀFHV DQG VWRUDJH

Outstanding transactions (1) Accounts receivable Related parties +' 'LVWULEXWRUV 7KDLODQG &R /WG 6 3L]=DQRWWL 7KDLODQG &R /WG )RRG +RXVH &DWHULQJ 6HUYLFH &R /WG 0LQRU ,QWHUQDWLRQDO 3XEOLF &RPSDQ\ /LPLWHG ¶V VXEVLGLDULHV The Minor Food Group Public Company Limited 7KH 0LQRU )RRG *URXS 3XEOLF &RPSDQ\ /LPLWHG ¶V VXEVLGLDULHV 0LQRU '4 /LPLWHG 0LQRU 'DLU\ /LPLWHG 6ZHQVHQ·V 7KDL /LPLWHG (2) Accounts payable Related parties S&P Asset Co.,Ltd. 6 3L]=DQRWWL 7KDLODQG &R /WG +' 'LVWULEXWRUV 7KDLODQG &R /WG

Purchase of goods

4.33

7.29

3XUFKDVH RI JRRGV 3XUFKDVH RI JRRGV 3XUFKDVH RI JRRGV

2007 0.09

2008 0.09

Nature of transaction Rental of premises and equipment 3XUFKDVH RI JRRGV 3XUFKDVH RI JRRGV

094

Economic Situation and Competition

Rising GDP and an increasingly hectic lifestyle lead to a tendency for consumers to dine out and a rapidly growing restaurant business. Kasikorn Research Center estimated that the market size of the restaurant business in 2008 was Bt100bn1, representing an 8% growth since last year. Although the market LV VL]HDEOH WKH ZRUOG HFRQRPLF VORZGRZQ LQ DQG KDV LQWHQVLĂ€HG FRPSHWLWLRQ 7KH SUHVHQW recession has made consumers become more frugal and cautious when purchasing merchandizes. Although the competition has risen, the Group impressively recorded Bt1.32bn in domestic sales of food and beverages in 2008, representing 9% y-o-y growth that was higher than the industry average. One of major factors contributing to the Group’s success is the additional nine branches opened in the year. Other factors include the Company’s good management and its commitments to delivering SUHPLXP SURGXFWV DQG VHUYLFHV 7KH *URXS KDV DOZD\V FDUHIXOO\ VHOHFWHG LQJUHGLHQWV PDQXIDFWXUHG them with care, and consistently developed products and services to match the ever-changing demands RI FXVWRPHUV 7KH &RPSDQ\ KDV DOVR H[SDQGHG LQWR RWKHU EXVLQHVVHV LQFOXGLQJ FDWHULQJ DQG GHOLYHU\ services. /LNH WKH UHVWDXUDQW EXVLQHVV WKH EDNHU\ PDUNHW IDFHV D VHYHUH FRPSHWLWLRQ 7KDL VRFLHW\ KDV increasingly accepted bakery products, especially cakes and cookies; resulting in a high growth potential. However, the intensity of the competition is just as high since new players can easily enter into the business from both domestic and international levels. Kasikorn Research Center estimated WKH PDUNHW VL]H RI EDNHU\ SURGXFWV DW DSSUR[LPDWHO\ %W EQ H[SDQGLQJ E\ LQ FRPSDUHG ZLWK RYHU WKH SDVW IHZ \HDUV 7KH &RPSDQ\ KDV SRVWHG D KLJKHU JURZWK WKDQ WKH LQGXVWU\ DYHUDJH /DVW year, the group opened 34 new bakery outlets and made Bt1.9bn in bakery sales, recording a 12% yo-y growth. One of S&P Group’s competitive advantages in bakery products lies in their distinctive SDFNDJHV PDNLQJ SURGXFWV WHPSWLQJ WR FRQVXPHUV 7KH *URXS LV D OHDGHU LQ EDNHU\ SURGXFWV DV ZHOO DV LQ 7KDL VZHHWV DQG GHVVHUWV 7KH &RPSDQ\ KDV DUUDQJHG VSHFLDO HYHQWV WR SURPRWH SRSXODULW\ RI WUDGLWLRQDO 7KDL GHVVHUWV DPRQJ FRQVXPHUV LQGLUHFWO\ XSKROGLQJ WKH *URXS¡V LPDJH 7KH 6 3 UHSXWDWLRQ LV EXLOW RQ WKH IUHVKQHVV TXDOLW\ QXWULWLRQ SDFNDJHV DQG LQQRYDWLRQ 7KH Company has long earned trusts and royalties among consumers because “At S&P, we care to share the bestâ€?.

Major event in the year 2008 % 'HYHORSLQJ WKH ´9RFDWLRQDO &HUWLĂ€FDWLRQ RI +RPH (FRQRPLF )RRG DQG 1XWULWLRQ 3URJUDPÂľ XQGHU 6 3 6\QGLFDWH 3XEOLF &RPSDQ\ /LPLWHG /HDUQLQJ &HQWHU RI 9RFDWLRQDO FHUWLĂ€FDWH FXUULFXOXP 7KLV OHDUQLQJ FHQWHU ZDV RSHQHG LQ WKH \HDU ZLWK WKH ´9RFDWLRQDO &HUWLĂ€FDWLRQ RI 5HWDLO %XVLQHVV 0DQDJHPHQWÂľ DV WKH Ă€UVW SURJUDP ,WV REMHFWLYH LV WR HQKDQFH WKH DFDGHPLF RSSRUWXQLW\ DQG GHYHORS WKH TXDOLW\ WR RXU HPSOR\HHV DQG RXWVLGH SHRSOH ZLWKRXW DQ\ FKDUJHV 7KLV FHQWHU SURYLGHV QRW RQO\ OHDUQLQJ IURP UHDO H[SHULHQFHV EXW DOVR SURYLGHV WKH MRE DIWHU JUDGXDWLRQ % 7UDLQLQJ WDOHQWHG DQG FDSDEOH VWDII IRU MRLQLQJ WKH FRPSHWLWLRQ FDOOHG ´7KDLODQG &RIIHH 7HD )HVWLYDO Âľ 2XU VWDIIV KDYH ZRQ WKH WURSK\ RI KRQRU WLWOHG ´7KDLODQG %DULVWD &KDPSLRQVKLS Âľ ´7KDLODQG /DWWH $UW &KDPSLRQVKLS Âľ DQG ´1DWLRQDO 7KDLODQG %DULVWD &KDPSLRQVKLS Âľ IURP +5+ 3ULQFHVV 6RDPVDYDOL 3KUDYDUDUDMDWLQXGGDPDWX 7KH ZLQQHU ZRXOG EH WKH UHSUHVHQWDWLYH RI 7KDLODQG WR HQWHU LQWR WKH $VLDQ OHYHO FRPSHWLWLRQ QDPHO\ ´$VLDQ %DULVWD &KDPSLRQVKLS Âľ DW Singapore, and World level competition at Denmark. % 2Q 2FWREHU D IRUHLJQ SUHVV DJHQF\ UHSRUWHG WKH Ă€QGLQJV RI PHODPLQH FRQWDPLQDWLRQ LQ 6 3 PLON FRRNLHV SURGXFWV H[SRUWHG WR 6ZLW]HUODQG 7KH FRPSDQ\ KDG PRQLWRUHG WKLV SUREOHP FORVHO\ and has awareness of consumers’ safety as a top priority. We stopped producing and distributing PLON FRRNLHV DQG FRRNLHV ZLWK PLON DV LWV LQJUHGLHQWV ZLWKLQ RQH GD\ DQG FRRSHUDWHG ZLWK WKH )RRG DQG 'UXJ $GPLQLVWUDWLRQV )'$ LQ H[DPLQLQJ RI WKHVH SURGXFWV DQG UDZ PDWHULDO $IWHU DOO LWHPV VHQW IRU LQVSHFWLRQ KDG EHHQ FHUWLĂ€HG E\ ,4$ /DERUDWRU\ &R /WG DQG )'$ ZH WKHQ VWDUWHG producing and distributing those products again on October 22, 2008. % 1XPHURXV DZDUGV DQG FHUWLĂ€FDWHV REWDLQHG GXULQJ WKH \HDU y )RRG SURGXFWLRQ OLQH 2EWDLQHG FHUWLĂ€FDWH RQ 4XDOLW\ 6WDQGDUG 6\VWHP &RGH[ *RRG 0DQXIDFWXULQJ 3UDFWLFH *03 DQG +D]DUG $QDO\VLV DQG &ULWLFDO &RQWURO 3RLQW +$&&3 IRU HYHU\ IRRG SURGXFWV JURXS IURP )RRG DQG 'UXJ $GPLQLVWUDWLRQ 0LQLVWU\ RI 3XEOLF +HDOWK DQG 'HSDUWPHQW RI $JULFXOWXUH 0LQLVWU\ RI $JULFXOWXUHDQG &RRSHUDWLYHV y %DNHU\ SURGXFWLRQ OLQH 2EWDLQHG WKH FHUWLĂ€FDWH ´,62 ,(& Âľ RQ WKH $FFUHGLWHG /DERUDWRU\ IURP WKH %XUHDX RI /DERUDWRU\ 4XDOLW\ 6WDQGDUGV DQG ,62 )RRG 6DIHW\ 0DQDJHPHQW V\VWHP IURP /OR\G¡V 5HJLVWHU ,QWHUQDWLRQDO 7KDLODQG /WG DQG 8.$6 7KH 8QLWHG .LQJGRP $FFUHGLWDWLRQ 6HUYLFH y 2EWDLQHG WKH SODTXH IURP 'HSDUWPHQW RI 6NLOO 'HYHORSPHQW 0LQLVWU\ RI /DERU DV HPSOR\HUV ZKR FRPSOLHG ZLWK 6NLOO 'HYHORSPHQW 3URPRWLRQ $FW % ( y ´3DWDUDÂľ RXU 7KDL UHVWDXUDQW ORFDWHG LQ /RQGRQ ZRQ WKH ´7RS 7KDL 5HVWDXUDQW LQ /RQGRQ Âľ DZDUG IURP ´=$*$7 6XUYH\Âľ IRU WKH WKLUG WLPH

095

Analysis of Operating Performance and Financial Status

Summary of operating results for the year 2008 compared to the year 2007

&RQGXFWLQJ EXVLQHVV GXULQJ WKH \HDU ZDV LQ WKH PLGVW RI GLIĂ€FXOWLHV DQG FKDOOHQJLQJ DV DQ impact of low domestic spending, sluggish economy, political uncertainty, and oil price volatility. 7KHUHIRUH WKH *URXS KDV UHYLHZHG WKH VWUDWHJLHV DQG ZRUN SODQ WKURXJKRXW WKH \HDU WR FRSH ZLWK WKLV FKDQJLQJ HQYLURQPHQW DQG NHSW D FORVH ZDWFK RQ LW &RQVHTXHQWO\ WRWDO UHYHQXH LQFUHDVHG E\ WR %DKW PLOOLRQ ZKLFK FRQVLVWHG RI VDOHV DQG VHUYLFHV UHYHQXH DPRXQWLQJ WR %DKW million and other revenue of Baht 59 million. While sales and services revenue increased by 9.1%, WKH *URXS DFKLHYHG %DKW PLOOLRQ QHW SURĂ€WV LQFUHDVHG E\ %DKW PLOOLRQ RU Sales and services revenue 6DOHV DQG VHUYLFHV UHYHQXH LQFUHDVHG IURP %DKW PLOOLRQ WR %DKW PLOOLRQ RU LQFUHDVHG E\ 9.1%. Revenue breakdown by distribution channel (Unit : million Baht) 2008

Distribution channel Amount

2007 %

Amount

Increase (decrease) %

Amount

%

'RPHVWLF UHVWDXUDQW DQG EDNHU\ VKRS )UR]HQ IRRG DQG EDNHU\ WUDGLQJ EXVLQHVV 2YHUVHD UHVWDXUDQW Others*

4

0.1

3

0.1

1

33.3

7RWDO

* Rental revenue

Domestic restaurant and bakery shop ,Q WKH \HDU UHYHQXH IURP GRPHVWLF UHVWDXUDQW DQG EDNHU\ VKRS DFFRXQWHG IRU RI WRWDO 6DOHV DQG VHUYLFHV UHYHQXH LQFUHDVHG E\ RU %DKW PLOOLRQ 7KLV UHVXOWHG IURP VDOHV JURZWK RI H[LVWLQJ RXWOHWV DQG QHZ RXWOHWV RSHQHG 7KLV \HDU WKH *URXS RSHQHG QHZ RXWOHWV RI ZKLFK DUH UHVWDXUDQWV DQG DUH EDNHU\ VKRSV 7KHVH QHZ RXWOHWV FRPSULVHG RI RXWOHWV LQ %DQJNRN DQG RXWOHWV LQ WKH PDMRU SURYLQFHV ZKLFK ZHUH KLJK SRWHQWLDO LQ WUDIĂ€F DQG PDUNHW 7KH DGYDQWDJHV RI VHWWLQJ XS RXWOHWV LQ XSFRXQWU\ DUH ORZHU UHQWDO DQG ODERU FRVW 7KH *URXS KDG DOVR FORVHG VRPH QRQ SURĂ€W RXWOHWV LQ WKLV \HDU 7KH FRQWLQXRXV PDUNHWLQJ DFWLYLWLHV DUH HPSOR\HG HVSHFLDOO\ WR VWUHQJWKHQ ´6 3 %UDQGÂľ LQ RUGHU WR V\PEROL]H WKH IUHVK DQG KLJK TXDOLW\ RI SURGXFWV ZLWK WKH FRQFHSW of “Care to Share the Bestâ€?.

Frozen food and bakery trading business &RPPHQFLQJ RQ WKH \HDU WKH ´6 3 %UDQG¾ DQG ´4XLFN 0HDO %UDQG¾ KDV EHHQ GLVWULEXWHG WKURXJK DOO /RWXV ([SUHVV FRQYHQLHQW VWRUHV 'XH WR FRQWLQXRXV H[SDQVLRQ RI DOO 0RGHUQ 7UDGH EUDQFKHV WKH SURGXFWV DUH QRZ SODFHG WKURXJK RXW WKH FRXQWU\ )XUWKHU DGYHUWLVHPHQW DQG SURPRWLRQ DOVR ERRVWHG XS WKH VDOHV RI WKHVH SURGXFWV IRU %DKW PLOOLRQ RU IURP ODVW \HDU Oversea restaurant 7KH JOREDO HFRQRPLF UHFHVVLRQ DQG WKH FORVH GRZQ RI RQH UHVWDXUDQW LQ 6LQJDSRUH FDXVHG GHFUHDVHV LQ WKLV VDOHV UHYHQXH )XUWKHUPRUH WKH DSSUHFLDWLRQ RI 7KDL %DKW DJDLQVW VRPH IRUHLJQ FXUUHQFLHV KDV DQ LPSDFW RQ WUDQVODWLRQ RI VDOHV UHYHQXH LQ WKRVH FXUUHQFLHV WR 7KDL %DKW $FFRUGLQJO\ WRWDO sales revenue from oversea restaurant declined by Baht 29 million or 4.2% in this year. Revenue breakdown by product type (Unit : million Baht)

Product %DNHU\ Domestic food and beverage 2YHUVHD UHVWDXUDQW )RRG 3URGXFWV 2WKHU SURGXFWV Total

2008 Amount 1,322 4,378

2007 % 30.1 100.0

Amount 1,209 4,014

% 30.1 100.0

Increase (decrease) Amount % 113

9.3

364

9.1

3URGXFHG E\ FRPSDQ\ ZKLFK DUH 4XLFN 0HDO VDXVDJHV -HOO\ DQG GU\ PL[ *** Consisted of outsourcing, consignment, other miscellaneous products and rental income.

096

,Q WKH \HDU %DNHU\ SURGXFWV DFFRXQWHG IRU RI WRWDO 6DOHV DQG VHUYLFH UHYHQXH ZKHUHDV the Domestic food and beverage sales portion was 30.1%. Regardless of the economic condition, the FRPSDQ\ FRXOG GULYH WKH %DNHU\ VDOHV XS E\ DQG 'RPHVWLF IRRG DQG EHYHUDJH VDOHV XS E\ 7KLV UHVXOWHG IURP RXU RXWOHW H[SDQVLRQ DQG SURGXFW LPSURYHPHQW VXFK DV FDNH LFH FUHDP VDXVDJH bun and fresh baked products. We also introduced more set of choices for customers and focused on WKH KHDOWK\ IRRG VXFK DV JHUPLQDWHG EURZQ ULFH *$%$ ULFH ZKLFK ZDV YHU\ SRSXODU DPRQJ customers.

Cost of sales and services ,Q WKH \HDU 7KH *URXS ZDV DEOH WR PDLQWDLQ WKH FRVW RI VDOHV DQG VHUYLFH DW GHVSLWH UHFRUGV KLJK RI 7KDLODQG LQĂ DWLRQ UDWH RQ IUHVK IRRG DW 1 7KLV DURVH IURP WKH HIĂ€FLHQW FRVW PDQDJHPHQW and a close watch on the changes of raw material price. Accordingly, the procurement could be made EHIRUH WKH PRYLQJ XS SULFH ,Q DGGLWLRQ WKH PRGHUQ RSHUDWLRQ PDQDJHPHQW FRXOG UHGXFH WKH ORVV UDWH GXULQJ WKH SURGXFWLRQ DQG DW VDOHV SRLQW )XUWKHUPRUH WKH LPSURYHPHQW DQG YDULHW\ RI YDOXH DGGHG SURGXFWV DV ZHOO DV WKH JRRG PDLQWHQDQFH RI PDFKLQHU\ DOVR ERRVWHG XS WKH JURVV SURĂ€W PDUJLQ Expenses ,Q WKH \HDU WKH VHOOLQJ H[SHQVHV ZKLFK DFFRXQWHG IRU RI VDOHV DQG VHUYLFHV LQFRPH increased by 0.3% from previous year according to an assortment of marketing campaign, including %UDQG %XLOGLQJ 7KH DGYHUWLVHPHQWV ZHUH PDGH WKURXJK VHYHUDO PHGLDV VXFK DV UDGLR 79 LQ %76 VN\ WUDLQ DQG %76 VWDWLRQ HWF Net income 7KH JURZWK LQ VDOHV DQG VHUYLFH UHYHQXH LQ WKH \HDU FRPELQHG ZLWK WKH HIĂ€FLHQW FRVW DQG LQYHQWRU\ PDQDJHPHQW YDULRXV VDOHV SURPRWLRQV DQG WKH GHFUHDVH RI FRUSRUDWH WD[ UDWH IURP LQ WKH SUHYLRXV year to 25% are the major factors that boost-up the net income from Baht 181 million in the year WR %DKW PLOOLRQ WKLV \HDU RU LQFUHDVHG E\ %DKW PLOOLRQ &RQVHTXHQWO\ QHW LQFRPH WR total revenue grew up from 4.5% to 5.1%.

2SHUDWLQJ HIÀFLHQF\ ,Q WKH \HDU UHWXUQ RQ À[HG DVVHWV UDWLR KDV VXEVWDQWLDOO\ LQFUHDVHG IURP LQ SUHYLRXV year to 20.9% due to growth in net income.

%DODQFH VKHHW DQG &DVKà RZ VWDWHPHQW IRU WKH \HDU At the end of year 2008, the Company’s total assets stood at Baht 2,522 million, slightly changes FRPSDUHG ZLWK WKH HQG RI 7KH FXUUHQW DVVHWV DQG QRQ FXUUHQW DVVHWV DFFRXQWHG IRU DQG of total assets respectively while current liabilities portion are only 22%. Accordingly, the Group UHSRUWHG KLJK OLTXLGLW\ DW WLPHV GXH WR LWV UDSLG DVVHWV WXUQRYHU IURP FDVK VDOHV ,Q WHUP RI OLDELOLWLHV QR VXEVWDQWLDO FKDQJHV IURP WKH SUHYLRXV \HDU DQG WKH GHEW WR HTXLW\ UDWLR ZDV SRVWHG at strong level of 0.28 times. ,Q WHUP RI FDVKà RZ WKH FDVK DQG FDVK HTXLYDOHQW EDODQFH DV RI -DQXDU\ ZDV %DKW PLOOLRQ 'XULQJ WKH \HDU LWV RSHUDWLQJ FDVKà RZ LQFUHDVHG E\ %DKW PLOOLRQ PDLQO\ IURP LQFRPH EHIRUH FRUSRUDWH WD[ RI %DKW PLOOLRQ LQFUHDVH LQ QRQ FDVK H[SHQVHV ZKLFK ZHUH GHSUHFLDWLRQ DQG DPRUWL]DWLRQ RI %DKW PLOOLRQ DQG SD\PHQW RI WKH FRUSRUDWH LQFRPH WD[ DPRXQWLQJ WR %DKW PLOOLRQ 7KH &DVKà RZ IURP LQYHVWLQJ DQG ÀQDQFLQJ DFWLYLWLHV GHFUHDVHG E\ %DKW PLOOLRQ DQG %DKW PLOOLRQ UHVSHFWLYHO\ PDLQO\ GHULYHG IURP FXUUHQW LQYHVWPHQW LQ JRYHUQPHQW ERQGV DQG LQYHVWPHQW JUDGH ERQGV DPRXQWLQJ WR %DKW PLOOLRQ LQYHVWPHQW LQ À[HG DVVHWV IRU RXWOHWV H[SDQVLRQ RI %DKW PLOOLRQ DQG GLYLGHQG SD\PHQW RI PLOOLRQ $IWHU FRPELQLQJ WKRVH FDVKà RZ ZLWK WKH H[FKDQJH ORVV RQ WUDQVODWLRQ RI ÀQDQFLDO VWDWHPHQW RI IRUHLJQ VXEVLGLDULHV WRWDOLQJ %DKW PLOOLRQ WKH QHW FDVKà RZ IRU WKH \HDU GHFUHDVHG E\ %DKW PLOOLRQ $V D UHVXOW WKH FDVK DQG FDVK HTXLYDOHQW EDODQFH DV RI 'HFHPEHU ZDV %DKW PLOOLRQ Dividend 7KH FRPSDQ\ ZDV DSSURYHG WR SD\ GLYLGHQG IRU WKH RSHUDWLQJ SHUIRUPDQFH RI WKH \HDU DW %DKW SHU VKDUH ZKLFK ZDV HTXLYDOHQW WR LWV HDUQLQJ SHU VKDUH $FFRUGLQJO\ GLYLGHQG SD\RXW UDWLR ZDV GXH WR LWV H[FHVV FDVKà RZ 'XULQJ WKH SDVW \HDUV WKH GLYLGHQG SD\RXW UDWLRV ZHUH LQ WKH UDQJH RI

Dividend payment policy 7KH &RPSDQ\ ZLOO GHFODUH GLYLGHQGV HYHU\ \HDU DW WKH UDWH RI DSSUR[LPDWHO\ SHUFHQW RI WKH QHW SURĂ€W DIWHU WD[ DFFRUGLQJ WR WKH FRQVROLGDWHG Ă€QDQFLDO VWDWHPHQWV SURYLGHG WKDW WKH DPRXQW WR EH GHFODUHG VKDOO QRW H[FHHG WKH UHWDLQ HDUQLQJV LQ WKH &RPSDQ\¡V Ă€QDQFLDO VWDWHPHQWV DQG LQ FDVH WKH &RPSDQ\¡V Ă€QDQFLDO VWDWHPHQWV KDV UHWDLQHG ORVV QR GLYLGHQGV ZLOO EH GHFODUHG )RU WKLV SXUSRVH the Company will take such action as prescribed by the public limited companies law and take into FRQVLGHUDWLRQ LWV OLTXLGLW\ ZKHUHE\ WKH &RPSDQ\ ZLOO EH DEOH WR SD\ GLYLGHQGV ZLWKRXW SURGXFLQJ VLJQLĂ€FDQW HIIHFWV RQ LWV EXVLQHVV 7KH GLYLGHQG SD\PHQW SROLF\ RI WKH &RPSDQ\¡V VXEVLGLDULHV OLNHZLVH WDNHV LQWR FRQVLGHUDWLRQ WKH economic outlook and business operating performance.

———————————————————— 1 %XUHDX RI 7UDGH DQG (FRQRPLF LQGLFHV 0LQLVWU\ RI &RPPHUFH

Risk Factors Like other businesses, the Company is unavoidably bound with risks that emerge internally and H[WHUQDOO\ 6 3 *URXS LV GHWHUPLQHG WR HIĂ€FLHQWO\ PDQDJH WKH LQWHUQDO ULVNV ZKLOH SUXGHQWO\ GDPSHQLQJ WKH LPSDFWV RI WKH H[WHUQDO XQFRQWUROODEOH IDFWRUV Risk associated with Economic Factors 7KH 8QLWHG 6WDWHV¡ UHFHVVLRQ KDV LQWHQVHO\ DIIHFWHG FRQVXPHUV DOO RYHU WKH ZRUOG LQFOXGLQJ 7KDLODQG 7KH HFRQRPLF VORZGRZQ KDV VXEVWDQWLDOO\ GHWHULRUDWHG FRQVXPHUV¡ SXUFKDVLQJ SRZHU +RZHYHU IRRG DQG beverage are basic necessities of life, and as a result, S&P Group has been impacted far less than RWKHU EXVLQHVVHV 'XULQJ WKH WRXJK WLPH ODVW \HDU WKH &RPSDQ\ LPSUHVVLYHO\ UHFRUGHG %DKW PLOOLRQ LQ VDOHV UHYHQXHV UHSUHVHQWLQJ \ R \ JURZWK 7KH *URXS KDV QRW RQO\ PDLQWDLQHG LWV H[LVWLQJ PDUNHWV EXW DOVR VXFFHVVIXOO\ H[SDQGHG FXVWRPHU EDVHV 7KH &RPSDQ\ RIIHUV YDULHWLHV RI QHZ TXDOLW\ SURGXFWV VSHFLDOL]HV FDWHULQJ VHUYLFHV VWUHQJWKHQV EUDQG UR\DOWLHV DQG LQGXFHV FRQVXPHUV with promotional campaigns. S&P Group anticipates the situation will improve after the government’s stimulus packages take fully effects, leading to higher consumer spending in 2009.

Risk associated with restaurant branch expansion 7KH &RPSDQ\¡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Ă€F FRPPXQLWLHV ZLWK HDV\ DFFHVV DQG D VSHQGLQJ environment such as department stores and discount stores. 7KH *URXS¡V JURZWK SRWHQWLDO LV SRVVLEO\ UHWDUGHG E\ EUDQFK GLVFORVXUHV E\ WKH *URXS LWVHOI DQG H[SLUDWLRQ RU WHUPLQDWLRQ RI UHQWDO FRQWUDFWV E\ ODQGORUGV 1HYHUWKHOHVV WKH &RPSDQ\ KDV VLJQLĂ€FDQWO\ diminished the risks through its long-lasting reputation amongst consumers and widespread acceptance RI LWV SURGXFWV 8S WR SUHVHQW 6 3 *URXS KDV VXFFHVVIXOO\ REWDLQHG SUHPLVH ZLWK DWWUDFWLYH UHQWDO contracts and conditions.

Risk on production cost 7KH YRODWLOLW\ RI RLO SULFH UHVXOWHG LQ RXU UDZ PDWHULDO FRVW H[SHQVHV DQG RSHUDWLQJ UHVXOWV According to high competition in restaurant and bakery business, rapid price adjustment could have DQ LPSDFW RQ VDOHV YROXPH &RQVHTXHQWO\ WKH FRPSDQ\ FRSHG ZLWK WKH ULVN E\ DSSO\LQJ WKH LQYHQWRU\ PDQDJHPHQW SURGXFWLRQ SODQQLQJ DQG VFKHGXOLQJ IRU FRVW HIĂ€FLHQF\ )XUWKHUPRUH WKH FRPSDQ\ KDG FORVHO\ PRQLWRUHG WKH UDZ PDWHULDO SULFH DQG SUHSDUHG IRU WKH IRUZDUG SXUFKDVH FRQWUDFW ,Q DGGLWLRQ WKH ORVV UDWH LQ SURGXFWLRQ DQG VDOHV FRXOG EH KDQGOHG HIĂ€FLHQWO\ 0RUHRYHU YDULRXV DFWLRQV KDYH EHHQ DSSOLHG VXFK DV FKDQJLQJ WKH SURGXFW PL[ LQWURGXFLQJ PRUH YDOXH DGGHG SURGXFW DV ZHOO DV LPSURYLQJ PDUNHWLQJ DQG SURPRWLRQ SODQ 7KH FRPSDQ\ DOVR IRFXVHG RQ EDNHU\ RXWOHWV H[SDQVLRQ DFFRUGLQJ to lower selling and administrative cost than operating restaurant.

Risk on volatility of foreign exchange rate 7KH FRPSDQ\ FXUUHQWO\ KDV 7KDL UHVWDXUDQWV LQ FRXQWULHV DQG FRXOG JHQHUDWH VDOHV UHYHQXH GHQRPLQDWHG LQ IRUHLJQ FXUUHQFLHV 7KRVH RYHUVHD UHVWDXUDQWV DUH ORFDWHG LQ 6LQJDSRUH RXWOHWV (QJODQG RXWOHWV 7DLZDQ RXWOHWV 6ZLW]HUODQG RXWOHWV DQG 3KLOLSSLQH IUDQFKLVH RXWOHW 7KH à XFWXDWLRQ RI WKRVH IRUHLJQ FXUUHQFLHV DJDLQVW 7KDL %DKW WKHUHIRUH KDV DQ LPSDFW RQ VDOHV UHYHQXH DPRXQW ZKHQ WUDQVODWLQJ LQWR 7KDL %DKW ,Q WKH \HDU LW UHSRUWHG VDOHV UHYHQXH IURP RYHUVHD UHVWDXUDQWV ZKLFK ZHUH GHQRPLQDWHG LQ IRUHLJQ FXUUHQFLHV HTXLYDOHQW WR %DKW PLOOLRQ RU RI WRWDO UHYHQXH 7KH VDOHV GHFUHDVHG E\ %DKW PLOOLRQ RU IURP SUHYLRXV \HDU PDLQO\ UHVXOWHG IURP WKH GHSUHFLDWLRQ RI 3RXQG 6WHUOLQJ DJDLQVW 7KDL %DKW DSSUR[LPDWHO\ IURP HQG RI WKH \HDU However, in the economic view, the overseas operations were under natural hedge as its income and H[SHQVH DUH LQ WKH VDPH FXUUHQF\ ,Q DGGLWLRQ WKRVH IRUHLJQ FXUUHQFLHV ZRXOG EH HPSOR\HG IRU IXUWKHU investment and, therefore, remained in those countries without conversion. Accordingly, the foreign H[FKDQJH H[SRVXUHV DUH UHODWLYHO\ OLPLWHG DQG KDYH QRW EHHQ KHGJHG 1HYHUWKHOHVV VKRXOG WKH H[SRVXUH LQGXFH PDWHULDO LPSDFW RQ WKH UHYHQXH WKH ÀQDQFLDO LQVWUXPHQWV PD\ EH FRQVLGHUHG WR DSSO\ Risk associated with Political Uncertainty 7KH SROLWLFDO XQUHVW WKDW KDG WDNHQ SODFH LQ DQG HDUO\ LQFOXGH SROLWLFDO GHPRQVWUDWLRQV and dispersion of demonstrators by the government, airport seizure by government protestors, and the dissolving of political parties within the government coalitions. All of these uncertainties FDXVHG SHRSOH WR EHFRPH IUXJDO PRUH FDXWLRXV DQG VHOHFWLYH LQ VSHQGLQJ )RUWXQDWHO\ WKH XQFHUWDLQWLHV VXEVLGHG DIWHU FRDOLWLRQ SDUWLHV VZLWFKHG VLGHV DQG IRUPHG D QHZ JRYHUQPHQW LQ ODWH 7KH QHZ JRYHUQPHQW KDV JUHDWO\ VWDELOL]HG WKH SROLWLFDO VLWXDWLRQ DQG UHLQVWDOOHG SXEOLF FRQÀGHQFH Looking into the future, S&P Group anticipates intensifying competition and more demanding consumers. 1HYHUWKHOHVV WKH *URXS VWURQJO\ SHUFHLYHV WKHP WR EH D JUHDW RSSRUWXQLW\ DV WKH &RPSDQ\ KDV ORQJ been trusted by consumers and established itself as a leader of the food and beverage industry.

097

098

Shareholder Structure

7KH &RPSDQ\·V VHFXULWLHV FRPSULVH RUGLQDU\ VKDUHV $V RI 'HFHPEHU WKH &RPSDQ\·V UHJLVWHUHG FDSLWDO LV %DKW GLYLGHG LQWR RUGLQDU\ VKDUHV RI SDU YDOXH RI %DKW HDFK 7KH FDOOHG XS FDSLWDO DPRXQWV WR %DKW GLYLGHG LQWR RUGLQDU\ VKDUHV RI SDU value of 5 Baht each. ,Q WKH SUHYLRXV \HDU WKH &RPSDQ\ REWDLQHG DSSURYDO IURP WKH PHHWLQJ RI VKDUHKROGHUV DQG UHGXFHG LWV UHJLVWHUHG FDSLWDO E\ FXWWLQJ RII RUGLQDU\ VKDUHV RI SDU YDOXH RI %DKW HDFK DPRXQWLQJ WR %DKW UHVHUYHG IRU WKH H[HUFLVH RI WKH ULJKWV XQGHU WKH ZDUUDQWV DQG UHPDLQLQJ DIWHU WKH ODVW H[HUFLVH RI WKH ULJKWV RQ $SULO 7KH ÀUVW PDMRULW\ VKDUHKROGHUV ZKRVH QDPHV DSSHDUHG LQ WKH UHJLVWHU RI VKDUHKROGHUV DV RI )HEUXDU\ DUH DV IROORZV

Group of Shareholders

Number of Shares

7KH 6LOD 2Q DQG 5DLYD *URXSV 0LQRU ,QWHUQDWLRQDO 3XEOLF &RPSDQ\ /LPLWHG 7KDLODQG (TXLW\ )XQG &UHGLW 6XLVVH 6HFXULWLHV (XURSH /LPLWHG 0UV 6XSDSDQ 3LFKDLURQDURQJVRQJNUDP 0U 6RPSRQJ &KRONDGHHGDPURQJNXO 0U $U\XWK &KDUQVHWKLNXO 0UV 3DULQ\D .KDQFKDURHQVXN 0U 1LWL 2VDWKDQXNUXD 0U 3KLWKDN 3KLVHWKVLWK

Percent

S&P Group Structure

S&P Syndicate Public Co., Ltd.

80.00%

S&P Global Co., Ltd.

99.93% S&P Asset Co., Ltd )RUPHUO\ 6 3 0LQRU )RRGV &R /WG

S&P Restaurants Limited

3DWDUD *HQHYD 6$

50.00%

50.00%

7KHPH )RRGV 37(

Siam Kitchen Causeway 3RLQW 37(

50.00%

3DWDUD 7DLZDQ &R /WG

3DWLR ,QWHUQDWLRQDO Co., Ltd

45.00% 7KDL 'HYHORSPHQW /WG

HD Distributors 7KDLODQG &R /WG

50.00%

S&P Pizzanotti 7KDLODQG /WG

)RRG KRXVH &DWHULQJ Services Co., Ltd.

099

6 3·V VXEVLGLDULHV DQG DIÀOLDWHV

No. of common shares (shares) Names / Location

Type of business

Total Shares

No. of shares held by S&P group

% Holding (%)

S&P Syndicate Public Company Limited 457-457/6 Sukhumvit 55, Klongtannua, Vadhana, Bangkok Tel : +66 (0) 2185 1313 Fax : +66 (0) 2185 1274

Operate restaurant branches and bakery outlets, produce cake, bread, bakery products, Thai desserts, frozen foods and bakery, provide delivery and catering services, invest and manage the restaurant in overseas

S&P Global Company Limited 457 Sukhumvit 55, Klongtannua, Vadhana, Bangkok Tel : +66 (0) 2185 1313 Fax : +66 (0) 2185 1274

Operate Thai restaurants in overseas, currently with 7 subsidiaries as follows

500,000

400,000

80.00%

S&P Restaurant Company Limited Room 12, The Darlington Hyde Park, 111-117 Sussex Gardens, London W2 2RU Tel : (44)-207-706-7178 Fax : (44)-207-706-7178

Operate Thai restaurants under “Patara” brand in England, currently with 4 branches

100,000

96,000

96.00%

Patara (Geneva) SA No.94, Rue des Eaux-Vives 1207, Geneva Switzerland Tel : (4122) 735-0517 Fax : (4122) 735-0538

Operate Thai restaurants under “Patara” brand in Geneva, currently with 1 branch

200

124

62.00%

Theme Foods Pte. 211 Henderson Road #05-03 Singapore 159552 Tel : (65) 6411-4990 Fax : (65) 6411-4991

Operate Thai restaurants under “Patara” brand in Singapore, currently with 2 branches

600,000

300,000

50.00%

SK Catering Pte. 211 Henderson Road #05-03 Singapore 159552 Tel : (65) 6411-4990 Fax : (65) 6411-4991

Operate Thai restaurants in Singapore under Siam Kitchen brand, currently with 7 branches, and under “Bangkok Jam” brand, currently with 1 branch

300,000

150,000

50.00%

Patara Taiwan Company Limited 12 Alley 247, Sec.1 Tua Hua S. Road, Taipei, Taiwan

Operate Thai restaurants under “Patara” brand in Taiwan, cease its operation since October 2007

1,500,000

750,000

50.00%

Patio International Company Limited 7F-3 No.28 Jen-Ai Road, Sec.3, Taipei Taiwan Tel : (8862) 2721-5998 Fax : (8862) 2721-6008

Operate Thai restaurants under “Patio” brand in Taiwan, currently with 4 branches

12,000,000

7,200,000

60.00%

Thai Development Ltd. No.94, Rue des Eaux-Vives 1207, Geneva Switzerland Tel : (4122) 735-0517 Fax : (4122) 735-0538

Operate Thai restaurants under “THAI” brand in Geneva, currently with 1 branch

200

90

45.00%

S&P Asset Company Limited 1/2 Soi Attakravi1, Sukhumvit 26 Rd, Klongtan Klongtoei, Bangkok Tel : +66 (0) 2185-1313 Fax : +66 (0) 2185-1290

Conduct real estate development business by renting spaces to restaurants

10,000

9,993

99.93%

HD Distributors (Thailand) Company Limited 65 Buliding 42 Tower 23 Flr., Room 2301 Soi Sukhumvit 42 (Klouinumthai) Sukhumvit Rd, Prakanong Klongtoei, Bangkok Tel : +66 (0) 2713-6211-8 Fax : +66 (0) 2713-6219

Sole importer and distributor of Haagen-Dazs ice cream

20,000

95,996

47.00%

S&P Pizzanotti (Thailand) Limited 457-457/6 Sukhumvit 55, Klongtannua, Vadhana, Bangkok Tel : +66 (0) 2185 1313 Fax : +66 (0) 2185 1274

Operate pizza delivery and Italian food restaurant

200,000

100,000

50.00%

Foodhouse Catering Services Company Limited 234 Soi Sukhuvit 101 (Punnavithi), Sukhumvit Rd., Bangchak, Prakanong, Bangkok Tel : +66 (0) 2741-8800 Fax : +66 (0) 2741-8260

Provide catering solution to various institution such as school, hospital, factory, etc.

10,000

4,997

49.97%

0100

Management Structure

The managerial structure of the Company comprises 3 boards or committees, that is, the Board of Directors, the Audit Committee and the Executive Board. However, the Company has not yet acted with respect to the appointment of a Recruitment Committee and a Remuneration Fixing Committee. Details and the scope of powers and duties of these directors are as follows:

Board of Directors At present, the Board of Directors comprises 12 members.

Names / Position

Total Attendances / Meeting (BoD/AGM)

Directors

Total Attendances / Meeting

Audit Committee

Total (Baht)

1. Mrs. Patara Sila-On / Chairman of the Board of Directors

5/5

200,000

-

-

200,000

2. Lt. Varakorn Raiva / Vice Chairman of the Board of Directors

5/5

200,000

-

-

200,000

3. Mr. Pravesvudhi Raiva / President

5/5

200,000

-

-

200,000

4. Mr. Kachorndej Raiva / Director

5/5

200,000

-

-

200,000

5. Mr. Pote Videtyontrakich / Director

4/5

190,000

-

-

190,000

6. Mr. William Ellwood Heinecke / Director

3/5

180,000

-

-

180,000

7. Mrs. Pratana Mongkolkul / Director

5/5

200,000

-

-

200,000

8. Mr. Vitoon Sila-On / Director

5/5

200,000

-

9. Ms. Cattleya Saengsastra / Independent Director and Chairman of the Audit Committee

5/5

200,000

4/4

40,000

240,000

10. Ms. Sophavadee Uttamobol / Independent Director and Audit Committee

5/5

200,000

4/4

40,000

240,000

11. Mr. Dusit Nontanakorn / Independent Director and Audit Committee

5/5

200,000

3/4

30,000

230,000

12. Mrs. Kessuda Raiva / Director and Company Secretary

5/5

200,000

-

Total (Baht)

2,370,000

-

-

110,000

200,000

200,000

2,480,000

Audit Committee The Board of Directors resolved to appoint an Audit Committee pursuant to the resolution of the Board of Directors Meeting, No. 2/2008, held on May 13, 2008. The Audit Committee comprises: 1. 2. 3.

Ms. Cattleya Saengsastra Ms. Sophavadee Uttamobol Mr. Dusit Nontanakorn

Chairman of the Audit Committee Audit Committee Audit Committee

Executive Committee As of 2008, the Executive Committee has 6 members as follows. 1. 2. 3. 4. 5. 6.

Lt. Varakorn Raiva Mrs. Patara Sila-On Mr. Kachorndej Raiva Mr. Pravesvudhi Raiva Mrs. Kessuda Raiva Mr. Vitoon Sila-On

Chairman of the Executive Committee Executive Committee Director Executive Committee Director Executive Committee Director Executive Committee Director Executive Committee Director

Management Team As of 31 December 2008, the Company had 12 senior management members as follows. 1. Mr. Pravesvudhi Raiva 2. Mrs. Kessuda Raiva 3. Mr. Vitoon Sila-On 4. Mrs. Chandnibha Suriyong 5. 6. 7. 8.

Mrs. Pacharee Wisuthiwan Mr. Somyos Songkrod Mr. Somjit Kititeerakul Mr. Chongchana Chantamas

President President for S& P Global Co.,Ltd. Executive Vice President for S&P Syndicate Plc. Executive Director Senior Vice President – Domestic Operations Senior Vice President Operations S&P Global Co.,Ltd. Vice President for Operations Department Senior Vice President-Manufacturing Vice President for Bakery Vice President for Food Operations

9. Mrs. Phailin Nimityongsakul 10. Mrs. Rungthong Ramon Oms 11. Mr. Pakorn Tiewcharoen 12. Mrs. Wanphen Thongsri

Vice President for Research and Development Senior Vice President Corporate Strategy Vice President for Accounting and Finance Vice President-Trade Vice President-Procurement

Scope of Powers and Duties Scope of Powers and Duties of the Board of Directors 1. To manage the Company in accordance with the law, objectives, Articles of Association and resolutions of meetings of shareholders; 7R IRUPXODWH SROLFLHV DQG WUHQGV IRU RSHUDWLRQ Ă€QDQFLDO PDQDJHPHQW DQG DFWLRQ SODQV RI WKH &RPSDQ\ DQG WR PRQLWRU FRPSOLDQFH ZLWK WKH SROLFLHV VSHFLĂ€HG 7R GHWHUPLQH FRXUVHV IRU WKH PDQDJHPHQW RI EXVLQHVV ULVNV Ă€QDQFLDO UHSRUWV DQG DXGLW DQG WR VHH WR LW WKDW HIĂ€FLHQW DQG HIIHFWLYH V\VWHPV RI LQWHUQDO FRQWURO DQG LQWHUQDO DXGLW DUH PDGH available; 7R FRQWURO DQG VXSHUYLVH WKH 0DQDJHPHQW IRU WKH HIĂ€FLHQW DQG HIIHFWLYH LPSOHPHQWDWLRQ RI WKH SROLFLHV VSHFLĂ€HG DQG WR DVVLJQ DQG DSSRLQW VRPH GLUHFWRUV DV H[HFXWLYH GLUHFWRUV WR WDNH RQH or more actions; 5. To designate 2 directors, who are not independent directors and Audit Committee members, as directors authorized to sign their names to bind the Company; 6. To hold a Board meeting at least once in every 3 months. 7KH &RPSDQ\ KDV GHĂ€QHG WKH LQGHSHQGHQFH RI DQ ´LQGHSHQGHQW GLUHFWRUÂľ LQ DFFRUGDQFH ZLWK WKH FULWHULD RI WKH 2IĂ€FH RI WKH 6HFXULWLHV DQG ([FKDQJH &RPPLVVLRQ DQG WKH 6WRFN ([FKDQJH RI 7KDLODQG DV follows:

'HĂ€QLWLRQ RI ´,QGHSHQGHQW 'LUHFWRUÂľ $Q LQGHSHQGHQW GLUHFWRU PHDQV D IXOO\ TXDOLĂ€HG DQG LQGHSHQGHQW LQGLYLGXDO DV VSHFLĂ€HG E\ WKH 2IĂ€FH of the Securities and Exchange Commission and the Stock Exchange of Thailand, that is: +ROGLQJ VKDUHV UHSUHVHQWLQJ SHUFHQW PD[ RI WKH SDLG XS FDSLWDO RI WKH &RPSDQ\ LWV DIĂ€OLDWHG associated or related companies; - Being a director who does not participate in the management; not being a servant, employee or advisor receiving a regular salary or a professional service provider who has received a service IHH RI PRUH WKDQ WZR PLOOLRQ %DKW D \HDU IURP WKH &RPSDQ\ DQ DIĂ€OLDWHG DVVRFLDWHG RU UHODWHG FRPSDQ\ RU D OHJDO HQWLW\ WKDW PD\ KDYH FRQĂ LFWV RYHU WKH SDVW SHULRG RI DW OHDVW \HDUV %HLQJ D GLUHFWRU ZLWKRXW HLWKHU GLUHFW RU LQGLUHFW EHQHĂ€WV RU LQWHUHVWV LQ WHUPV RI ERWK Ă€QDQFH DQG PDQDJHPHQW LQ WKH &RPSDQ\ LWV DIĂ€OLDWHG DVVRFLDWHG RU UHODWHG FRPSDQLHV RU OHJDO HQWLWLHV WKDW PD\ KDYH FRQĂ LFWV - Being a director who is not related to or is not a close relative of an executive or majority shareholder; - Being a director who is not appointed as agent to protect interests of directors of the Company, majority shareholders, or shareholders related to the majority shareholders In addition, the independent director must be able to comment or report freely in accordance with the mission entrusted, without taking into consideration any interests concerning her/his property RU GXW\ RU SRVLWLRQ DQG PXVW QRW EH LQĂ XHQFHG E\ DQ\ SHUVRQ RU JURXS RI SHUVRQV QRU FRPSHOOHG E\ any situation that would render her/him unable to express an opinion as she/he should do.

The Audit Committee’s scope of authority and duties 7R PDNH D UHYLHZ WR VHH WR LW WKDW WKH &RPSDQ\ KDV FRUUHFW DQG VXIÀFLHQW ÀQDQFLDO UHSRUWLQJ (2) To make a review to see to it that the Company has suitable and effective systems of internal control and internal audit; and to consider the independence of the internal audit unit; as well as to give approval of the appointment, transfer, or terminate the employment of the chief of internal audit unit or any other working unit responsible for the internal audit; (3) To make a review to see to it that the Company complies with the securities and exchange law, the Stock Exchange’s requirements and the laws pertinent to the Company’s business; (4) To consider, select, or nominate independent individuals so that they perforn their duty as the Company’s auditor; and to propose their remuneration; as well as to meet with the auditors at least once a year without the presence of the Management;

0101

0102

7R FRQVLGHU FRQQHFWHG WUDQVDFWLRQV RU WUDQVDFWLRQV WKDW PD\ KDYH FRQà LFWV RI LQWHUHVWV LQ accordance with the law and the Stock Exchange’s requirements, so as to be assured that those WUDQVDFWLRQV DUH UHDVRQDEOH DQG PRVW EHQHÀFLDO WR WKH &RPSDQ\ (6) To prepare a report of the Audit Committee, which report must be signed by the Audit Committee Chairman and disclosed in an annual report of the Company; (7) To perform any other acts and things as assigned by the Board of Directors, with the Audit Committee’s approval

The Executive Board’s scope of authority and duties 1. The Executive Board is designated with the authority to operate in accordance with the Board of Directors’ policies, which in turn defer to Laws, the conditions, rules and regulations of the &RPSDQ\ ZLWK WKH H[FHSWLRQ RI LVVXHV ZKLFK WKH /DZ VSHFLÀHV DV UHTXLULQJ WKH DXWKRULVDWLRQ RI Shareholder Meetings. 2. The Executive Board has the right to formulate, propose and determine business directive policies and strategies to the Board of Directors. 3. The Board may prepare business plans; specify management powers; authorise budgets for the annual business activities, including annual expenditure budgets; and generally conduct activities in line with the business plans and strategies to complement the policies and directives presented to the Board of Directors. 4. Approval of transactions which may result in obligations to the Company require the authorisation of the Executive Board, together with the signatures of authorised Director signatories as stated in the Company Articles. 5. Conduct business relating to the general management of the Company, with the exception of related WUDQVDFWLRQV DQG WKH DFTXLVLWLRQ GLYHVWLWXUH RI VLJQLÀFDQW SXEOLF OLVWHG FRPSDQ\ DVVHWV ZKLFK are to be conducted in accordance with the regulations of the Stock Exchange of Thailand. 6. The Executive Board may be assigned other duties on an individual basis by the Board of Directors. The provision of the aforementioned authorities to the Executive Board precludes any Executive Board PHPEHUV LQFOXGLQJ RWKHU SDUWLHV ZKR PD\ KDYH D SRWHQWLDO EHQHÀW RU FRQà LFW RI LQWHUHVW LQ WKH Company and its subsidiaries, from exercising their voting rights in such issues. Moreover, the Executive Board Meetings do not allow the President to conduct related transactions, but limit’s the scope of authority to normal business activities.

Additional information relating to the directors and executives The Company’s directors and executives has never had any record of offenses committed against the law during the past 10 years concerning: $GMXGLFDWLRQ E\ WKH &RXUW ZKHUHE\ WKH\ KDYH FRPPLWWHG RIIHQFHV H[FHSW RIIHQVHV UHODWLQJ WR WUDIÀF discipline or petty offenses; 2. Adjudication by the Court whereby they shall become bankrupt or be placed in receivership; 3. Their management or control of companies or partnerships that have become bankrupt or be placed in receivership by the Court’s order

Recruitment of Directors and Executives $ SHUVRQ WR EH DSSRLQWHG WR WKH RIĂ€FH RI GLUHFWRU DQG H[HFXWLYH RI WKH &RPSDQ\ PXVW EH IXOO\ TXDOLĂ€HG according to the public limited companies law and the law governing securities and the Stock Exchange.

Appointment and Removal of Board Members 7KH VHOHFWLRQ RI SHUVRQV WR WKH RIÀFH RI GLUHFWRU RI WKH &RPSDQ\ GRHV QRW JR WKURXJK WKH 5HFUXLWPHQW Committee’s process because the Company has not yet had a Recruitment Committee. However, the Board RI 'LUHFWRUV ZLOO FRQVLGHU DQG VHOHFW LQGLYLGXDOV KDYLQJ TXDOLÀFDWLRQV NQRZOHGJH DELOLW\ DQG H[SHULHQFH UHJDUGLQJ UHOHYDQW ZRUNV LQ WKH LQWHUHVWV RI HIÀFLHQW RSHUDWLRQ RI WKH &RPSDQ\ DQG KDYLQJ VXFK TXDOLÀFDWLRQV DV UHTXLUHG E\ WKH SHUWLQHQW ODZ DQG QRWLÀFDWLRQV RI WKH 6HFXULWLHV DQG ([FKDQJH Commission. 1. Directors of the Company are elected by a meeting of shareholders and there will be at least 5 directors and at least 3 independent directors. Not less than one half of the directors must be residents of Thailand. 2. Members of the Board of Directors will be elected by a meeting of shareholders in accordance with the following criteria and procedures: (1)

A shareholder has one vote per share;

(2)

Each shareholder must exercise her/his whole votes to elect one candidate or more as director(s) but her/his votes may not be distributed howsoever to elect the candidate(s);

(3)

The candidates receiving the highest votes in respective sequence equal to the number of directors which should be elected at such time will be elected directors. In the event the next elected candidates receive equal votes and their number exceeds the number of directors which should be elected at such time, the chairman will have a casting vote.

3. At every annual ordinary meeting, one-third of the directors, or, if their number is not a multiple RI WKUHH WKHQ WKH QXPEHU QHDUHVW WR RQH WKLUG PXVW UHWLUH IURP RIĂ€FH 7KH GLUHFWRUV ZKR KDYH EHHQ ORQJHVW LQ RIĂ€FH PXVW UHWLUH $ GLUHFWRU UHWLUHG E\ URWDWLRQ LV HOLJLEOH IRU UH HOHFWLRQ $ GLUHFWRU WR UHVLJQ IURP RIĂ€FH EHIRUH KHU KLV UHWLUHPHQW E\ URWDWLRQ PXVW WHQGHU D OHWWHU RI resignation to the Company, and her/his resignation will be effective from the date on which the letter of resignation is delivered to the Company. ,I WKH RIĂ€FH RI D GLUHFWRU LV YDFDWHG RWKHUZLVH WKDQ E\ URWDWLRQ WKH %RDUG RI 'LUHFWRUV ZLOO HOHFW D QHZ GLUHFWRU WR UHSODFH WKH GLUHFWRU ZKRVH RIĂ€FH LV YDFDWHG DQG WKH UHSODFHPHQW ZLOO UHWDLQ WKH RIĂ€FH RI GLUHFWRU RQO\ IRU WKH UHPDLQLQJ WHQXUH RI KHU KLV SUHGHFHVVRU $ GLUHFWRU ZLOO EH UHWLUHG IURP RIĂ€FH EHIRUH WKH WLPH RI KHU KLV UHWLUHPHQW E\ URWDWLRQ RQO\ E\ resolution of a meeting of shareholders, and not less than three-fourths of the votes of the shareholders present and entitled to vote and having shares in aggregate not less than one half of the number of shares held by the shareholders present and entitled to vote will be required.

Appointment of Audit Committee Members 7KH %RDUG RI 'LUHFWRUV ZLOO FRQVLGHU DQG VHOHFW LQGLYLGXDOV KDYLQJ TXDOLÀFDWLRQV NQRZOHGJH DELOLW\ and experience regarding relevant works that would be helpful to the systems of corporate governance and internal control in order that they would meet the standards and follow the correct course. The FDQGLGDWHV VHOHFWHG PXVW KDYH VXFK TXDOLÀFDWLRQV DV UHTXLUHG E\ WKH SHUWLQHQW ODZ DQG QRWLÀFDWLRQV of the Securities and Exchange Commission. $W OHDVW $XGLW &RPPLWWHH PHPEHUV PXVW EH DSSRLQWHG IURP WKH %RDUG PHPEHUV ZKRVH TXDOLÀFDWLRQV FRQIRUP WR WKH UHTXLUHPHQWV RI WKH 2IÀFH RI WKH 6HFXULWLHV DQG ([FKDQJH &RPPLVVLRQ $W OHDVW PHPEHU RI WKH $XGLW &RPPLWWHH PXVW KDYH ÀQDQFLDO DQG DFFRXQWLQJ NQRZOHGJH DQG H[SHULHQFH VXIÀFLHQW IRU WKH SHUIRUPDQFH RI KHU KLV GXW\ WR YHULI\ WKH UHOLDELOLW\ RI ÀQDQFLDO VWDWHPHQWV 7KH WHUP RI RIÀFH RI WKH $XGLW &RPPLWWHH ODVWV IRU \HDUV HDFK FRXQWLQJ IURP WKH GDWH RI LWV DSSRLQWPHQW WKH $XGLW &RPPLWWHH PHPEHUV ZKRVH WHUP RI RIÀFH KDV H[SLUHG DUH HOLJLEOH IRU reappointment. 3. The number of the Audit Committee members must be maintained at not lower than 3. If they are reduced to lower than this number, (an) additional member(s) must be appointed to complete the QXPEHU VSHFLÀHG ZLWKLQ PRQWKV IURP WKH GDWH RI WKH UHGXFWLRQ 7KH QHZ PHPEHU V RI WKH $XGLW &RPPLWWHH ZLOO UHWDLQ WKH RIÀFH RQO\ IRU WKH UHPDLQLQJ WHQXUH RI KHU KLV WKHLU SUHGHFHVVRU V 4. The Board of Directors must elect 1 member of the Audit Committee to perform her/his duty as the &KDLUPDQ RI WKH $XGLW &RPPLWWHH DQG PXVW HOHFW D SHUVRQ ZLWK VXFK TXDOLÀFDWLRQV DV DSSURYHG E\ the Audit Committee to perform her/his duty as the Secretary to the Audit Committee. $ SHUVRQ WR EH DSSRLQWHG WR WKH RIÀFH RI $XGLW &RPPLWWHH PHPEHU PXVW KDYH WKH IROORZLQJ TXDOLÀFDWLRQV +ROGLQJ VKDUHV UHSUHVHQWLQJ SHUFHQW PD[ RI WKH SDLG XS FDSLWDO RI WKH &RPSDQ\ LWV DIÀOLDWHG associated or related companies, provided shares held by related parties are included; %HLQJ D GLUHFWRU ZKR GRHV QRW SDUWLFLSDWH LQ WKH PDQDJHPHQW RI WKH &RPSDQ\ LWV DIÀOLDWHG associated or related companies, or majority shareholders of the Company; and not being a VHUYDQW HPSOR\HH RU DGYLVRU UHFHLYLQJ D UHJXODU VDODU\ IURP WKH &RPSDQ\ DQ DIÀOLDWHG associated or related company, or a majority shareholder of the Company; %HLQJ D GLUHFWRU ZLWKRXW HLWKHU GLUHFW RU LQGLUHFW EHQHÀWV RU LQWHUHVWV LQ WHUPV RI ERWK ÀQDQFH DQG PDQDJHPHQW LQ WKH &RPSDQ\ LWV DIÀOLDWHG RU DVVRFLDWHG FRPSDQLHV RU PDMRULW\ shareholders of the Company; and not having had or interests of that nature during a period of 1 year before being appointed as member of the Audit Committee unless the Board of 'LUHFWRUV LV DIWHU FDUHIXO FRQVLGHUDWLRQ WKRVH SUHYLRXV EHQHÀWV RU LQWHUHVWV ZLOO QRW affect the performance of the duty and the giving of free opinions by the Audit Committee member; (4)

Being a director who is not related to or is not a close relative of an executive or majority shareholder of the Company;

(5)

Being a director who is not appointed as agent to protect interests of directors of the Company, majority shareholders, or shareholders related to the majority of the Company;

(6)

Being a director who is able to perform her/his duty and comment or report freely on the result of the performance of her/his duty as entrusted by the Board of Directors, without being under the control of a majority shareholder of the Company, including related parties or close relatives of that person;

(7)

Being a director with appropriate knowledge, ability and skills

0103

0104

Company Secretary The Board of Directors appointed a Company Secretary clearly at the Board of Directors Meeting, No. 3/2008, at which Mrs. Kessuda Raiva, who has knowledge and ability to perform her duty and comment or report on results to the Board of Directors for the purpose of compliance with principles of good corporate governance including the public limited companies law, the law governing securities and the Stock Exchange and other pertinent laws, was assigned to continue to serve as the Company Secretary with the duty to take the following actions: 7R SUHSDUH DQG ÀOH GRFXPHQWDWLRQ WKDW LV UHJLVWHUV RI GLUHFWRUV QRWLFHV IRU %RDUG PHHWLQJV minutes of Board meetings and annual reports of the Company, including quarterly and yearly ÀQDQFLDO VWDWHPHQWV (2) To keep a record of interests reported by directors and executives; (3) To make advice on laws and rules of which the Board of Directors must be aware for the purpose of discharging its duties and responsibilities; (4) To oversee activities of the Board of Directors

Remuneration for Executives The Company has formulated a policy on fair and reasonable remuneration for the directors, taking into consideration its suitability for and consistency with the directors’ responsibilities, the &RPSDQ\¡V Ă€QDQFLDO VWDQGLQJ DQG D FRPSDULVRQ ZLWK RWKHU FRPSDQLHV LQ WKH VDPH JURXS RI EXVLQHVV DW WKH VDPH OHYHO 7KH UHPXQHUDWLRQ LV Ă€[HG DV JUDWXLWLHV DQG PHHWLQJ DOORZDQFHV ,Q DGGLWLRQ GLUHFWRUV assigned to serve as members of the Audit Committee will receive more remuneration and meeting allowances according to their responsibilities that have increased. The Company seeks approval for the directors’ remuneration from the meeting of shareholders every year. (1) Remuneration for Board Members The Annual Ordinary Meeting of Shareholders, No. 1/2008, held on April 30, 2008, resolved to approve the directors’ remuneration divided into the following:

7KH GLUHFWRUV¡ JUDWXLWLHV IRU HTXDO WR WKRVH RI DUH EDVHG VLJQLĂ€FDQWO\ RQ WKH &RPSDQ\¡V RSHUDWLRQ UHVXOWV DQG QHW SURĂ€W DQG SDLG DW WKH UDWH RI %DKW IRU HDFK director. The remuneration for 12 directors amounts to 1,800,000 Baht or 1 percent of the QHW SURĂ€W DQG ZLOO EH SD\DEOH DFFRUGLQJ WR WKH WHUP RI RIĂ€FH RI WKH GLUHFWRUV

7KH PHHWLQJ DOORZDQFH HTXDO WR WKDW RI LV À[HG IRU RQO\ WKH %RDUG RI 'LUHFWRUV DQG the Audit Committee at the rate of 10,000 Baht for each director at each time of presence at the meeting. In summary, in 2008, the remuneration received by the directors in comparison with that of 2007 is as follows:

Remuneration

2008 Number (Directors)

Total Gratuities Meeting Allowances Total

12 12

2007 Amount (Baht)

Number (Directors)

Amount (Baht)

1,800,000 680,000

12 12

1,800,000 710,000

2,480,000

2,510,000

Please refer to the heading “Board of Directors� for the remuneration received by the directors in their capacity as directors of the Company, that is, gratuities and meeting allowances, which are separated and indicated for each individual director. (2) Remuneration for Executives

7KH &RPSDQ\ KDV Ă€[HG WKH H[HFXWLYHV¡ UHPXQHUDWLRQ LQ DFFRUGDQFH ZLWK WKH SROLF\ DQG FULWHULD ZKHUHE\ VXLWDELOLW\ IRU DQG FRQVLVWHQF\ ZLWK WKH Ă€QDQFLDO VWDQGLQJ DQG WKH &RPSDQ\¡V RSHUDWLRQ UHVXOWV DQG QHW SURĂ€W DUH WDNHQ LQWR FRQVLGHUDWLRQ 7R WKLV WKH 3UHVLGHQW DQG RWKHU H[HFXWLYHV ZLOO MRLQWO\ Ă€[ LQGLFDWRUV DQG LQGLFHV DQG PDNH D \HDUO\ HYDOXDWLRQ RI SHUIRUPDQFH VR DV WR Ă€[ UHPXQHUDWLRQ WKDW UHĂ HFWV WKH DFWXDO SHUIRUPDQFH DQG EXLOGV DQ LQFHQWLYH IRU PRUH HIĂ€FLHQW DQG effective performance continuously. In summary, in 2008, the remuneration received by the executives in comparison with that of 2007 is as follows:

Remuneration

2008 Number (Directors)

Salaries Bonuses, Special Rewards & Travel Expenses Total

12 12

2007 Amount (Baht)

Number (Directors)

17,880,756 2,269,866

9 9

20,150,622

Amount (Baht) 12,610,615 2,268,916 14,879,531

Notwithstanding, the remuneration of some executives who are directors and receive remuneration in their capacity as members of the Board of Directors, with such details as indicated in the heading “Board of Directorsâ€?, is not included in the calculation of the remuneration referred to above. (3) Other Remuneration In addition to the salaries, bonuses and special monetary rewards, the Company has made available YDULRXV NLQGV RI ZHOIDUH DV EHĂ€W WKH &RPSDQ\¡V EXVLQHVV VXFK DV FRQWULEXWLRQV WR WKH 3URYLGHQW Fund, travel expenses, medical fees, which are in accordance with the Company’s rules of welfare.

0105

58

Mr. Pravesvudhi Raiva President

Mr. Kachorndej Raiva Executive Committee Director

59

61

Lt. Varakorn Raiva Vice Chairman of the Board of Directors Chairman of the Executive Committee

67

(years)

Age

Mrs. Patara Sila-On Chairman of the Board of Directors Executive Committee Director

Name - surname / position

BBA

MMP MMM

BBA

BBA

MA

BBA

Academic qualifications

Accounting Chulalongkorn University Bangkok, Thailand 'LUHFWRU &HUWLÀFDWLRQ 3URJUDP '&3 Thai Institute of Directors Association

Political Science University of Indiana, USA Chulalongkorn University Training Program - Modern Management Program - Modern Marketing Management Director Accreditation Program &HUWLÀFDWH '$3 7KDL ,QVWLWXWH RI Directors Association

Economics University of Indiana, USA Chulalongkorn University, Bangkok, Thailand

Doctor in Letters (Honorary) Pine Manor College, Massachusetts, USA Business Administration Boston University, USA

Details of all Directors and Executives

1.49

5.83

1.43

Second brother

Third brother

First brother

Eldest sister

Executives

(percent) 5.95

between

Family relations

stake

Equity

2006 – present / Executive Committee Director President

2006-present / President 2003-2005 / Executive Vice President

Past 5 years / Vice Chairman of the Board of Directors

Past 5 years / Chairman of the Board of Directors

Period / position

S&P Syndicate Public Co., Ltd.

S&P Syndicate Public Co., Ltd.

S&P Syndicate Public Co., Ltd.

S&P Syndicate Public Co., Ltd.

Company

Previous 5-year experience

0106

Mr. Pote Videtyontrakich Director

Mrs.Kessuda Raiva Director and Company Secretary Executive Vice President President for S&P Golbal Co.,Ltd.

Name - surname / position

56

55

(years)

Age

BBA

MBA

BBA

MBA

Business Administration, Harvard University, USA Economics, Yale University, USA 'LUHFWRU &HUWLĂ€FDWLRQ 3URJUDP '&3 The Role of Chairman (RCM) Thai Institute of Directors Association

Economics, North Eastern University, Boston, USA Business Administration, Finance and Banking Assumption University (ABAC) Bangkok, Thailand Director Accreditation Program &HUWLĂ€FDWH '$3 7KDL ,QVWLWXWH RI Directors Association

Academic qualifications

-

- None -

Spouse of Mr. Pravesvudhi Raiva

Executives

(percent) 6.05

between

Family relations

stake

Equity

2006 – Present / Director 2008– Present/ Director ² 3UHVHQW Director 2006 – Present/ Director 2006 – Present/ Director 2005 – Present/ Director 2002 – Present/ Director 2002 – Present/ Managing Director 1999 – Present/ Director

Past 5 years / Director and Company Secretary

Period / position

Vinythai Plc.

Private Equity (Thailand) Co., Ltd.

Trinity Watthana Plc.

Easy Buy Plc.

Kantana Group Plc.

Ticon Industrial Connection Plc.

LASTA Multi Media Joint Stock Company, Vietnam 3URIHVVLRQDO 6HUYLFHV ,QF 3KLOOLSSLQHV

S&P Syndicate Public Co., Ltd.

S&P Syndicate Public Co., Ltd.

Company

Previous 5-year experience

0107

45

60

(years)

Age

Mrs. Pratana Mongkolkul Director

Mr. William Ellwood Heinecke Director

Name - surname / position

MBA

Master of Business Administration, Thammasart University Directors Accreditation Program (DAP), Thai Institute of Directors Association 'LUHFWRUV &HUWLÀFDWLRQ 3URJUDP '&3 Thai Institute of Directors Association &KLHI )LQDQFLDO 2IÀFHU &HUWLÀFDWH 3URJUDP 7KH ,QVWLWXWH RI &HUWLÀHG Accounting and Auditors of Thailand Capital Market Academy Leader Program 6/2008, Capital Market Academy

Honorable Doctoral Degree of Business Administration in Management, Yonok College, Lampang, Thailand 'LUHFWRU &HUWLÀFDWH 3URJUDP '&3 Thai Institute of Directors Association

Academic qualifications

-

- None -

- None -

Executives

(percent) -

between

Family relations

stake

Equity

'LUHFWRU Audit Committee

2007 - Present / Director 1998-Present/ CFO and Director

CEO and Chairman Director

2007-Present/ Director 1979-Present/ &KDLUPDQ

Period / position

Minor International Plc’s subsidiaries Minor Corporation Plc. And Director of 6XEVLGLDULHV The Minor Food Group Plc. $QG 'LUHFWRU RI 6XEVLGLDULHV 5DMDGDPUL +RWHO 3OF Thoresen Thai Agencies Plc.

S&P Syndicate Public Co., Ltd.

Minor International Plc and 'LUHFWRU RI 6XEVLGLDULHV The Minor Food Group Plc. And Director of Subsidiaries Minor Corporation Plc. And Director of Subsidiaries Rajadamri Hotel Plc. Sermsuk Plc. Everest Worldwide Ltd., Hongkong

S&P Syndicate Public Co., Ltd.

Company

Previous 5-year experience

0108

49

Ms. Sophavadee Uttamobol Independent Director Audit Committee Director

61

Ms. Cattleya Saengsastra Independent Director Chairman of the Audit Committee

41

(years)

Age

Mr. Vitoon Sila-On Director Senior Vice President-Domestic Operations

Name - surname / position

Kenan-Flagler Business School University of North Carolina Chapel Hill, NC, USA Boston University Boston, MA 02215, USA Directors Accreditation Program (DAP) Thai Institute of Directors Association

BBA

MBA

Business Administration Chulalongkorn University, Bangkok, Thailand Bachelor of Law Thammasat University, Bangkok, Thailand Director Accreditation Program &HUWLÀFDWH '$3

Audit Committee 3URJUDP &HUWLÀFDWH $&3

Thai Institute of Directors Association

Accounting (Hons.) Chulalongkorn University Bangkok, Thailand Training Thammasat University Program Management Development Program - JJ Kellogg North Western University

BBA

BBA

MBA

Academic qualifications

-

0.011

- None -

- None -

Son of Mrs. Patara Sila-On

Executives

(percent) 0.07

between

Family relations

stake

Equity

Past 5 years / Independent Director Audit Committee Director

Past 5 years / Independent Director Chairman of the Audit committee Director

2007 – Present/ Director 2008 - Present/ Senior Vice PresidentDomestic Operations 2006 – 2008/ Vice President Business Development and Restaurant Marketing 2002-2006/ Deputy Vice President Business Development

Period / position

S&P Syndicate Public Co., Ltd. Bumrungrad Hospital Plc.

Dynasty Ceramic Plc.

S&P Syndicate Public Co., Ltd.

S&P Syndicate Public Co., Ltd.

Company

Previous 5-year experience

0109

58

Mrs. Chandnibha Suriyong Senior Vice President Operations S&P Global Co., Ltd.

62

(years)

Age

Mr. Dusit Nonthanakorn Independent Director Audit Committee Director

Name - surname / position

MBA

BBA

MBA

Communication Arts, University of Wisconsin – Madison, Wisconsin, U.S.A Food Service Management & Operations, University of Wisconsin - Madison, U.S.A.

Engineering Sciences, Construction Engineering, Ohio State University Business Administration University of California, Los Angeles The Role of Chairman (RCM) 'LUHFWRU &HUWLÀFDWLRQ 3URJUDP '&3 Audit Committee 3URJUDP &HUWLÀFDWH $&3 Thai Institute of Directors Association

Academic qualifications

0.02

- None -

- None -

Executives

(percent) -

between

Family relations

stake

Equity

2008 – Present / Senior Vice President Operations Past 5 years / Vice President Operations S&P Global Co., Ltd.

1999-2005 / President

9LFH &KDLUPDQ Advisor

Present/ Independent Director Audit Committee Director Chairman, Independent Director and Audit Committee ,QGHSHQGHQW 'LUHFWRU Independent Director DQG $XGLW &RPPLWWHH Director Director

Period / position

S&P Global Co., Ltd.

Loxley Plc. Regional Container Lines Plc. The University of the Thai Chamber of Commerce Foundation for Industrial Development Thailand Management Association Thai Institute of Directors 2IÀFH RI ,QVXUDQFH FRPPLVVLRQ The Chamber of Commerce The Siam Cement Plc. CPB Equity Co.,Ltd. Cementhai Distribution

.UXQJ 7KDL %DQN 3OF Siam Future Development Plc. &URZQ 6HDO 3OF

124 Communications Plc.

S&P Syndicate Public Co., Ltd.

Company

Previous 5-year experience

0110

57

62

47

44

Mr. Somyos Songkrod Senior Vice President-Manufacturing

Mr. Somjit Kititeerakul Vice President for Bakery

Mr. Chongchana Chantamas Vice President for Food Operations

(years)

Age

Mrs. Patcharee Visuttiwan Vice President for Operations Department

Name - surname / position

BBA

BBA

BBA

Bachalor of Science (Food Science and Technology), Kasetsart University

Bachelor of Science (Biotechnology), Kasetsart University

Bachelor of Science in Electrical Engineering Feati University, Manila, Philippines

Commerce Diploma, Chao Phraya Commercial College

Academic qualifications

-

-

-

- None -

- None -

- None -

- None -

Executives

(percent) 0.025

between

Family relations

stake

Equity

2007 – present / Vice President for Food Operations Past 5 years / Deputy Vice President

2007-present / Vice President for Bakery Past 5 years / Deputy Vice President Bakery

2551-Present / Senior Vice PresidentManufacturing 2001-2007 / Production Department Manager 1999-2001 / Vice President-Production & Technical

2007 - Present / Vice President for Operations Department Past 5 years / Deputy Vice President Operations

Period / position

S&P Syndicate Public Co., Ltd.

S&P Syndicate Public Co., Ltd.

Siam Mariwasa Toto, Inc., Philippines

Siam Sanitary Ware Industry Co.,Ltd.

S&P Syndicate Public Co., Ltd.

S&P Syndicate Public Co., Ltd.

Company

Previous 5-year experience

0111

38

49

Mr. Pakorn Tiewcharoen Vice President-Trade

Mrs. Wanphen Thongsri Vice President-Procurement

38

Mrs. Rungthong Ramon Oms Senior Vice President Corporate Strategy Vice President for Accounting and Finance Bangkok, Thailand

60

(years)

Age

Mrs. Phailin Nimityongsakul Vice President for Research and Development

Name - surname / position

BBA

MBA

BBA

MBA

BBA

MBA

BSC MSC

Business Administration Hartford University, USA Accounting &KXODORQJNRUQ 8QLYHUVLW\

Business Administration SASIN-Kellogg Program Business Administration Assunption University

Business Administration University of North Carolina Chapel Hill, NC, USA Finance and Banking Thammasat University,

Nutrition London University, England Food Science & Technology, Reading University, England

Academic qualifications

-

-

-

- None -

- None -

- none -

- None -

Executives

(percent) 0.004

between

Family relations

stake

Equity

1997-2003 / Vice President Finance and MIS

2008-Present / Vice President-Procurement 2005 / &KLIH )LQDQFH RIÀFHU 2004 / Manager Director

2008-Present / Vice President-Trade 2000-2007 / Marketing and International Business Manager

2551-Present / Senior Vice President Corporate Strategy Vice President for Accounting and Finance 1997-2002 / Senior Advisor 1996 / Finance

2003 – present / Vice President for Research and Development 2003-2007 / Vice President for Food Operations 2001-2003 / Vice President and Legal Department

Period / position

Retail Information System Co.,Ltd. (RIS) Part of “Central Retail Corporation Co.,Ltd Central Department Store

Asian Institute of Technology

S&P Syndicate Public Co., Ltd.

Siam Cement Group of companies (SCG)

S&P Syndicate Public Co., Ltd.

Citibank Thailand

McKinsey & Company (Thailand) Co.,Ltd.

S&P Syndicate Public Co., Ltd.

Uniliver Bestfood Co., Ltd

S&P Syndicate Public Co., Ltd.

Company

Previous 5-year experience

0112

Corporate Governance

The Board of Directors has complied with good practices for directors of a listed company by adopting WKH SULQFLSOHV RI JRRG FRUSRUDWH JRYHUQDQFH DQG UXOHV RI SUDFWLFH RI WKH 2IÀFH RI WKH 6HFXULWLHV and Exchange Commission and the Stock Exchange of Thailand as guidelines and has appointed an Audit Committee to assist in supervising its internal control system and to ensure that the principles of good corporate governance have been observed, with such details as set out as follows:

(1) Rights of Shareholders

7KH %RDUG RI 'LUHFWRUV KDV IRUPXODWHG D FRUSRUDWH JRYHUQDQFH SROLF\ IRU D ORQJ WHUP EHQHÀW RI its shareholders within the frame of stipulations of law and business ethics and attached importance to the rights of shareholders. The Company is determined and intends to grant to all of its shareholders equal rights as follows: 1.

Such basic rights as the shareholders should be entitled to in terms of voting, receipt of dividends, transactions or transfers of shares, presence at shareholders’ meetings, and HTXDO UHFHLSW RI VXIÀFLHQW LQIRUPDWLRQ LQ D IRUP EHÀWWLQJ FRQVLGHUDWLRQ DQG DW DQ DSSURSULDWH time;

2.

The right to elect and remove a director as well as to appoint an auditor;

3.

The right to be entitled to a dividend allotment;

4.

The right to be aware of the Board’s resolutions concerning details of a meeting and the agenda of a meeting of shareholders in advance of the date of the meeting through information disclosed on the Company’s website;

5.

The right to receive an invitation to a meeting of shareholders and information on the place, time and agenda of the meeting, the criteria and procedure for attendance, and the points for consideration with facts, reasons and the Board’s opinion clearly presented in each item on the agenda; to this, the Company will send an invitation to the meeting of shareholders not less than 14 days before the date of the meeting and will publish the invitation in at least one daily newspaper for 3 consecutive days before the date of the meeting, and the Company will arrange for the time and place that are most convenient for the shareholders to be present at the meeting;

6.

The Company accords an opportunity for its shareholders to propose a meeting agenda in advance and to send questions in advance for the meeting of shareholders through the Company’s website;

7.

The Company encourages all of its directors to attend meetings of shareholders continuously and regularly every year. In particular, the Audit Committee Chairman and the President are present at every meeting of shareholders.

(2) Equal Treatment towards Shareholders The Company has been aware of and attached importance to fair and equal treatment towards its shareholders. To this, it has formulated a policy to oversee and protect the shareholders’ rights and to encourage all the shareholders to obtain fair and equal rights as shareholders. In addition, the policy on treatment towards shareholders must be in accordance with the Company’s principles of good corporate governance and must be consistent with the practices under the UXOHV DQG UHJXODWLRQV RI WKH 2IÀFH RI WKH 6HFXULWLHV DQG ([FKDQJH &RPPLVVLRQ DQG WKH 6WRFN Exchange of Thailand and with other pertinent laws. Details of the Company’s main policy formulated to see to it that the shareholders obtains equal, fair and equitable rights are as follows: 1.

To encourage and allow all groups of shareholders, especially minority shareholders, to have a chance to participate in recruiting and electing directors to protect the equal rights of all parties by publishing the information for acknowledgement by the shareholders on the Company’s website;

2.

To encourage and allow a shareholder, who is not able to be present at a meeting, to have a chance to grant proxy:

3.

2.1

In the event the shareholder is not able to be present at the meeting of shareholders, the Company offers 3 forms of proxy so that the shareholder will have a chance to select RQH WKDW EHÀWV WKH QHHGV IRU KHU KLV XVH $OO WKH SUR[\ IRUPV DUH GHWHUPLQHG E\ WKH Department of Business Development, Ministry of Commerce.

2.2

The grantor can grant proxy to an independent director, who will perform the duty in accordance with the grantor’s intention. The Company has enclosed details of the independent directors with the proxy forms continuously and regularly every year.

Equality during Meeting of Shareholders 3.1

Before the commencement of a meeting, the chairman will inform the shareholders clearly of the rules to be applied at the meeting and of the steps of voting on the resolution of each agenda item.

0113

0114

3.2

The Board Chairman, who will attend and preside at every meeting of shareholders, accords an opportunity for the shareholders to ask questions and gives answers or explanations on the points relevant to the meeting agenda or the Company at all times.

3.3

The Company accords an opportunity for the shareholders to resolve to elect each individual director.

$W D PHHWLQJ RI VKDUHKROGHUV WKH DJHQGD DV QRWLĂ€HG LQ WKH LQYLWDWLRQ WR WKH PHHWLQJ must be implemented. The Company has no policy to increase the meeting agenda or change the order of the agenda items unless such change or increase is reasonable and lawful in every respect. 3.5

For transparency and accountability, at a meeting of shareholders the Company will use ballots for all agenda items, and for more rapidity and accuracy the Company has used a computer system for registration and for the passing of resolutions of shareholders.

4. After a meeting of shareholders, the Company will prepare minutes of the meeting according to its agenda together with resolutions of the meetings and the number of votes agreeing, GLVDJUHHLQJ RU DEVWDLQLQJ IURP YRWLQJ LQFOXGLQJ VLJQLĂ€FDQW GHWDLOV UHTXLUHG IRU FRQVLGHUDWLRQ to completion within 14 days counting from the date of the meeting, and will also publish them for acknowledgement by the shareholders via the Stock Exchange of Thailand and the Company’s website in order that the shareholders can make examinations. 5. Policy and Measure for Care of Internal Information – The Company has a policy and procedure IRU RYHUVHHLQJ LWV GLUHFWRUV DQG H[HFXWLYHV UHJDUGLQJ WKH XVH IRU WKHLU RZQ EHQHĂ€W RI LQWHUQDO information which has not yet been disclosed to the general public, including securities WUDQVDFWLRQV HVSHFLDOO\ GXULQJ PRQWK EHIRUH WKH Ă€QDQFLDO VWDWHPHQWV DUH PDGH SXEOLF 7R WKLV directors and excutives in various departments are required to understand the duty to report on the holding of securities in the Company by themselves, their spouses and children who have QRW \HW EHFRPH RI DJH $OO FKDQJHV LQ WKH KROGLQJ RI VHFXULWLHV PXVW DW DOO WLPH EH QRWLĂ€HG DQG VHFXULWLHV KROGLQJ UHSRUWV VXEPLWWHG YLD WKH &RPSDQ\ 6HFUHWDU\¡V RIĂ€FH EHIRUH WKH\ DUH IRUZDUGHG WR WKH 2IĂ€FH RI WKH 6HFXULWLHV DQG ([FKDQJH &RPPLVVLRQ At the 2008 Ordinary Meeting of Shareholders, the Company granted all such rights and equalities as mentioned in 1 and 2 above to its shareholders and also prepared an invitation in both Thai and English for foreign shareholders, and for the 2008 Ordinary Meeting the Company will take steps to grant these rights and equalities to its shareholders. (3) Roles of Stakeholders The Company attaches importance to the rights of all groups of stakeholders by complying with WKH UXOHV DQG UHJXODWLRQV RI WKH 6WRFN ([FKDQJH RI 7KDLODQG DQG WKH 2IĂ€FH RI WKH 6HFXULWLHV DQG Exchange Commission, as well as with other laws relating to the protection of rights of these stakeholders so that they will be well cared for. -

Shareholders

The Company is always well aware that it will conduct its business with transparency. It is determined to make its business prosper and yield good returns to the shareholders continuously in a long term.

-

Customers

The Company is determined to develop the quality and standards of its products and will pay attention to friendly services for its customers to their maximum satisfaction and will also make available a working unit or personnel performing the duty to accept customers’ complaints so as to take action for the customers as soon as possible and the customers’ secrets will be kept.

-

Suppliers

The Company will treat its suppliers fairly and equally, taking mutual EHQHĂ€WV LQWR FRQVLGHUDWLRQ

-

Creditors

The Company will treat its creditors fairly by complying strictly with the terms and conditions of the agreements and with the financial commitments.

-

Competitors

The Company will behave in accordance with international rules of competition and will treat its competitors fairly, avoid dishonest methods, and will not destroy the reputation of its competitors.

-

Employees

The Company holds that an employee is a valuable resource and must be WUHDWHG IDLUO\ LQ WHUPV RI RSSRUWXQLW\ EHQHĂ€W LQ UHWXUQ DQG SRWHQWLDO development and must be assured of her/ his life quality and safety of work as well as suitable welfare.

-

Society and

The Company is determined to conduct economically and Environment socially EHQHĂ€FLDO EXVLQHVV DQG DWWDFKHV LPSRUWDQFH WR HQYLURQPHQWDO FDUH DQG preservation. To this, the Company has a unit performing the duty to take care and charge of society and to promote organizational cultures and evoke awareness in all individuals in the organization so that they take care of, develop and promote the environment and stakeholders in line with the sustainable growth of the Company.

A stakeholder can ask for details, make complaints or notify clues of an offense committed UHJDUGLQJ ÀQDQFLDO UHSRUWV LQWHUQDO FRQWURO V\VWHPV RU EXVLQHVV HWKLFV RI WKH &RPSDQ\ E\ PHDQV of the email address secretary@snpfood.com or audit@snpfood.com or at telephone no. 0-2185-1313, DW WKH &RPSDQ\ 6HFUHWDU\ 'HSDUWPHQW RU WKH ,QWHUQDO $XGLW 2IÀFH ZKLFK ZLOO FRQVLGHU WKH PDWWHUV before forwarding them to the Audit Committee and the working units concerned for further action. 7KH FRPSODLQWV DQG FOXHV VR QRWLÀHG ZLOO EH SURWHFWHG DQG NHSW FRQÀGHQWLDO DQG VWHSV ZLOO EH WDNHQ WR ÀQG ZD\V WR PDNH WR FRUUHFWLRQV RU LPSURYHPHQWV (4) Disclosure of Information and Transparency 1.

Relationship with Investors 7KH %RDUG RI 'LUHFWRUV DWWDFKHV LPSRUWDQFH DQG LV DZDUH WKDW GLVFORVXUHV RI ERWK ÀQDQFLDO DQG QRQ ÀQDQFLDO LQIRUPDWLRQ RI WKH &RPSDQ\ ZLOO DOO DIIHFW WKH GHFLVLRQ SURFHVVHV RI investors and stakeholders of the Company. The Board of Directors is therefore aware of the necessity for disclosure of complete, true, reliable, regular and updated information. To GLVFORVH WKLV LQIRUPDWLRQ WKH %RDUG RI 'LUHFWRUV KDV DVVLJQHG D ÀQDQFH DQG DFFRXQWLQJ support unit to communicate with institute investors, shareholders, analysts and the public sector concerned. Investors can ask information about the Company at telephone no. 0-21851313 or on the website www.snpfood.com or via the email address kessuda@snpfood.com.

2.

Principles of Corporate Governance The Company attaches importance to good corporate governance, which is important to the sustainable growth of the Company in a long term. It encourages the directors, Audit Committee members and employees concerned to perform their ethical duties under the Company’s missions faithfully, honestly and fairly and to treat the Company and all groups of stakeholders, the general public, society and customers in accordance with ethical practices. To this, the Company communicates regularly with its customers and monitors compliance with these courses constantly and also determines disciplinary action.

,Q DGGLWLRQ WKH &RPSDQ\ SD\V VWULFW DWWHQWLRQ WR WUDQVDFWLRQV WKDW PD\ KDYH FRQĂ LFWV RI interests, implements the requirements of the Securities and Exchange Commission and the Stock Exchange of Thailand, and stipulates that changes in the holding of securities be reported to Board meetings at all times, with such details as set out in the heading “Supervision of Use of Internal Informationâ€?.

3.

Remuneration for Directors and Executives 7KH GLUHFWRUV¡ UHPXQHUDWLRQ LV LQ DFFRUGDQFH ZLWK D SULQFLSOH DQG SROLF\ VSHFLĂ€HG E\ WKH Board of Directors, and it is connected with the Company’s operation results. Refer to the heading “Remuneration for Executivesâ€?. Approval for the directors’ remuneration is sought from the meeting of shareholders at all times.

(5) Board’s Responsibilities 1.

Board Structure The Board of Directors attaches importance to good corporate governance, business virtue and transparency. For this purpose, the Board of Directors has appointed an independent $XGLW &RPPLWWHH FRPSULVLQJ LQGHSHQGHQW GLUHFWRUV ZKRVH WHUP RI RIĂ€FH LV \HDUV HDFK and 1 secretary. Their names are as follows: (1) (2) (3) (4)

Miss Cattleya Saengsastra Mr. Dusit Nontanakorn Miss Sophavadee Uttamobol Mrs. Kessiri Kukiattinan

Chairman, Audit Committee Member, Audit Committee Member, Audit Committee Secretary, Audit Committee

7KH SXUSRVH LV WR EH LQ FKDUJH RI WKH TXDOLW\ RI Ă€QDQFLDO UHSRUWV DQG LQWHUQDO FRQWURO systems. In 2008, four (4) Audit Committee meetings were held and reports were submitted to the Board of Directors. For the Audit Committee’s opinions, please refer to details in the heading “Internal Controlâ€?.

2.

Counter-balancing by Non-executive Directors There are 12 members of the Board of Directors, which comprises : - 6 executive directors - 3 other directors - 3 independent directors, equal to one-fourth of the whole Board

3.

Combination or Separation of Positions - The Board Chairman is the representative of the group of majority shareholders, who, in 2008, hold in aggregate 36.27 percent of the shares. - The Board Chairman is not the same person as the Vice President, but both are the representatives of the same group of majority shareholders. - The Board of Directors comprises 3 independent directors and 3 non-executive directors, who will lead to management counterbalancing and cross-examination.

0115

0116

4.

Roles, Duties and Responsibilities of Board of Directors •

Leadership and Visions All members of the Board of Directors possess leadership, have wide visions and are free to make a decision. In addition, the Board of Directors participates in formulating or approving of visions, strategies, targets and budgets of the Company and supervises WKH 0DQDJHPHQW VR WKDW LW FRQGXFW EXVLQHVV DIIDLUV HIĂ€FLHQWO\ DQG LQGHSHQGHQWO\ IRU DQ increase in the economic values and a sustainable growth of the business.

•

Separation of Roles, Duties and Responsibilities between the Board of Directors and the Management The duties of the Board of Directors and the Management are clearly separated for management counterbalancing and cross-examination. The Board of Directors will consider and approve of policies in their overall pictures, such as, visions, missions and corporate governance policies, whereas the Management will have the duty to manage the Company and lay down plans and strategies in accordance with the policies formulated by the Board of Directors. Details of the roles, duties and responsibilities of the Board of Directors and the Management are indicated in the heading “Directorial Structure�.

‡

3ROLF\ RQ &RQĂ LFWV RI ,QWHUHVWV 7R SUHYHQW D FRQĂ LFW RI LQWHUHVWV WKH &RPSDQ\ KDV IRUPXODWHG D SROLF\ FOHDUO\ IRU WKH VXSHUYLVLRQ RI WUDQVDFWLRQV WKDW PD\ OHDG WR FRQĂ LFWV RI LQWHUHVWV 7R WKLV VWHSV RI DSSURYDO IRU FRQQHFWHG WUDQVDFWLRQV EHWZHHQ FRPSDQLHV RU SHUVRQV WKDW PD\ KDYH FRQĂ LFWV DUH VSHFLĂ€HG LQ ZULWLQJ ,Q WKH HYHQW D GLUHFWRU KDV DQ LQWHUHVW LQ DQ\ LWHP RQ WKH agenda, that director will have no right to vote on that item. In addition, policies and procedures for supervising executives and parties concerned have been formulated in order that they do not use internal information of the Company for a personal EHQHĂ€W

•

Internal Control and Audit Systems 7KH &RPSDQ\ KDYLQJ DWWDFKHG LPSRUWDQFH WR DQ HIÀFLHQW LQWHUQDO FRQWURO V\VWHP KDV VSHFLÀHG WKH RSHUDWLRQDO GXWLHV DQG SRZHUV RI LWV H[HFXWLYHV DQG RSHUDWRUV FOHDUO\ LQ writing. Use of properties of the Company is controlled and supervised so that they EULQJ DERXW EHQHÀWV DQG WKH GXWLHV RI RSHUDWRUV PRQLWRULDO SHUVRQQHO DQG HYDOXDWRUV are separated for appropriate counterbalancing and cross-examination. In addition, WKHUH LV LQWHUQDO FRQWURO UHJDUGLQJ WKH ÀQDQFLDO V\VWHP DQG WKH &RPSDQ\ KDV PDGH DYDLODEOH D V\VWHP RI ÀQDQFLDO UHSRUWLQJ WR H[HFXWLYHV DFFRUGLQJ WR OLQH RI FRPPDQG The Internal Audit Department perform its duty to make examinations to ensure that the PDLQ EXVLQHVV DQG VLJQLÀFDQW ÀQDQFLDO DFWLYLWLHV RI WKH &RPSDQ\ KDYH EHHQ FRQGXFWHG LQ DFFRUGDQFH ZLWK JXLGHOLQHV IRUPXODWHG DQG ZLWK HIÀFLHQF\ DV ZHOO DV WR H[DPLQH FRPSOLDQFH with the laws and requirements pertinent to the Company. And in order that the internal audit unit is independent and able to perform the duty of cross-examination and counterbalancing fully, the Board of Directors requires that the Internal Audit Department report the audit results directly to the Audit Committee and that those results also be evaluated by the Audit Committee.

•

Risk Management System A risk may occur at any time in the course of business, whether it results from internal or external factors. The Company has discerned and attached importance to effects that may be produced on the Company by those risks. To this, the Internal Audit Department has been assigned to evaluated the risks and all working units of the Company will specify risk factors that may result from their operations, whether those risks involve EXVLQHVV RSHUDWLRQ SURGXFWLRQ PDQDJHPHQW DQG DGPLQLVWUDWLRQ RU ÀQDQFH LQ RUGHU WKDW the Internal Audit Department in association with the working units specifying the risks may analyze the information and look for a way or measure to prevent or mitigate the damage resulting from those risks. Moreover, the Internal Audit Department and working units in charge must jointly monitor and evaluate the risks at intervals.

•

Meetings of Directors The Board of Directors holds a regular meeting at least in every quarter. And in order that directors are able to be present at a Board meeting, the Secretarial Department VSHFLÀHV D VFKHGXOH RI %RDUG PHHWLQJV LQ DGYDQFH HYHU\ \HDU DQG LQIRUPV DOO WKH GLUHFWRUV of this schedule at all times before the Board meetings. The Secretarial Department will send an invitation together with supporting documents at least 7 days in advance RI WKH PHHWLQJ VR WKDW WKH %RDUG RI 'LUHFWRUV PD\ FRQVLGHU LW DQG KDYH VXIÀFLHQW WLPH to study information before attending the meeting. In 2008, the Board of Directors held 4 meetings in total. The Board Chairman attended all the Board meetings, and during the meetings the chairman gave a chance and allocated time for directors to ask the 0DQDJHPHQW DQG IRU FDUHIXO DSSURSULDWH DQG VXIÀFLHQW FRQVLGHUDWLRQ RI LQIRUPDWLRQ DQG UHFRUGV RI WKH PHHWLQJV ZHUH NHSW LQ ZULWLQJ DQG PLQXWHV RI WKH PHHWLQJV FHUWLÀHG E\ WKH %RDUG RI 'LUHFWRUV ZHUH ÀOHG DQG PDGH UHDG\ IRU H[DPLQDWLRQ E\ WKH GLUHFWRUV and parties concerned.

•

Reporting by Board of Directors 7KH %RDUG RI 'LUHFWRUV LV UHVSRQVLEOH IRU FRQVROLGDWHG ÀQDQFLDO VWDWHPHQWV RI WKH &RPSDQ\ DQG LWV VXEVLGLDULHV DQG IRU ÀQDQFLDO LQIRUPDWLRQ DSSHDULQJ LQ DQQXDO UHSRUWV 7KH ÀQDQFLDO VWDWHPHQWV KDYH EHHQ SUHSDUHG LQ FRQIRUPLW\ ZLWK DFFRXQWLQJ VWDQGDUGV generally accepted in Thailand. Appropriate and constantly applied accounting policies are selected for use and careful discretion is exercised and optimum estimations applied IRU WKH SUHSDUDWLRQ WKHUHRI 0RUHRYHU VLJQLÀFDQW LQIRUPDWLRQ LV VXIÀFLHQWO\ GLVFORVHG LQ WKH QRWHV WR ÀQDQFLDO VWDWHPHQWV )RU GHWDLOV SOHDVH UHIHU WR WKH 5HSRUW RQ WKH Board’s Responsibility for the Preparation of Financial Reports.

7KH %RDUG RI 'LUHFWRUV KDV FDXVHG WR EH PDLQWDLQHG DQ HIĂ€FLHQW LQWHUQDO FRQWURO V\VWHP so as to reasonably ensure that records of accounting information are correct, complete DQG VXIĂ€FLHQW DQG WR GLVFORVH ZHDN SRLQWV IRU WKH SXUSRVH RI SUHYHQWLQJ GLVKRQHVW DFWV RU VLJQLĂ€FDQWO\ LUUHJXODU WUDQVDFWLRQV

•

Evaluation of Board’s Performance The Board of Directors, at the Meeting, No. 1/2009, held on February 24, 2009, resolved to approve the Board’s self-assessment form used for the evaluation of the performance of the duties of the Board of Directors en bloc for 2008 under the subjects of assessment FRQFHUQLQJ WKH %RDUG¡V VWUXFWXUH DQG TXDOLĂ€FDWLRQV WKH %RDUG¡V UROHV GXWLHV DQG responsibilities; Board meetings; the performance of duties of the Board of Directors; relationship with the Management; and self-development of directors and development of executives. Results of the evaluation is intended to be used for the improvement of the performance of duties by the Board of Directors. In the overall picture of the Board of Directors, most of the actions were deemed to be well taken or executed.

•

Development of Directors and Executives •

Development of Directors’ and Executives’ Knowledge – The Company promotes and offers convenience for directors’ and executives’ training and knowledge development relating to corporate governance. In 2009, the Company started to hold an orientation ceremony for new directors whenever a new director is appointed. To this, an overall picture will be presented regarding the Company’s business and relevant information; the names of the Company’s directors and managerial structure; legal documentation and handbooks; rules and regulations of working units concerned; the directors’ roles, powers, duties and responsibilities; corporate governance guidelines; FHUWLĂ€FDWHV 0HPRUDQGXP DQG $UWLFOHV RI $VVRFLDWLRQ WKH &RPSDQ\¡V UXOHV YLVLRQV targets, and information on the conduct of business and activities of the Company. Directors are also caused to visit businesses and attend meetings related to the setting of visions and business plans in association with high-ranking executives of the Company.

•

Work Succession Plan - The Company has prepared some personnel as replacements for high-ranking executives who are about to attain retirement age. At the same time, a guideline has been formulated for the development and enhancement of the potential of executives who would succeed to the positions.

Internal Control 7KH &RPSDQ\ KDV PDGH DYDLODEOH D V\VWHP RI FRQWLQXRXV DVVHVVPHQW DQG YHULÀFDWLRQ RI LWV LQWHUQDO control and internal audit to ensure that legal requirements, objectives, regulations and resolutions of meetings of shareholders of the Company are complied with in accordance with principles of good corporate governance. The internal control system is divided into 4 parts according to responsibility as follows: 1. Audit Committee – The Audit Committee will be in charge of the internal control system of the &RPSDQ\ E\ YHULI\LQJ DQG DVVHVVLQJ WKH VXIÀFLHQF\ RI WKH SHUIRUPDQFH E\ WKH LQWHUQDO DXGLW XQLW It must discuss and exchange opinions and submit an internal audit report to the Board of Directors regularly at least in each quarter. If the Audit Committee has recommendations or has found some material defects, it will report them to the Board of Directors so that improvements or corrections ZLOO EH PDGH 7KH $XGLW &RPPLWWHH KDV YHULÀHG WKH LQWHUQDO FRQWURO V\VWHP FRQFHUQLQJ YDULRXV DVSHFWV RI VXIÀFLHQF\ DQG DSSURSULDWHQHVV DQG IRXQG QR PDWHULDO SUREOHPV RU GHIHFWV DQG WKLV ZDV consistent with the opinion of the Company’s auditor. 2. Risk Management - It will be the duty of the Management to control and supervise risks that may result from the conduct of business of the Company and from the performance of works. These risks ZLOO FRYHU PDQDJHPHQW ÀQDQFH EXVLQHVV RSHUDWLRQ RSHUDWLRQDO DIIDLUV PDQDJHPHQW DQG administration, safety of goods and the environment. This success has resulted through a data SURFHVVLQJ V\VWHP ZKLFK KDV EHHQ HIÀFLHQWO\ DQG HIIHFWLYHO\ VHW 7R WKLV DOHUW VLJQDOV DQG RWKHU factors that may affect the conduct of business of the Company will be taken into consideration. 3. Control of the Management’s Performance – Duties and powers of executives and operators have been designated in writing. The duties of operators, supervisors and evaluators are clearly separated for appropriate counterbalancing and examination. Transactions of the Management or parties concerned are also included. The control and designation of duties is a measure that will help SUHYHQW GLVKRQHVW DFWV DJDLQVW SURSHUW\ RI WKH &RPSDQ\ VLJQLÀFDQWO\ IRU WKH RYHUDOO EHQHÀW RI the Company. ,Q DGGLWLRQ WKH &RPSDQ\ KDV VSHFLÀHG LWV PLVVLRQV DQG REMHFWLYHV LQ ZULWLQJ DQG FRPPXQLFDWHG them to all personnel for understanding so that their works will be achieved in accordance with the objectives. Plans for action, allocation of resources, budgets and workforces have also been clearly laid down, and work processes have been determined and performance are followed up in RUGHU WKDW WKH SHUVRQQHO ZRUN HIÀFLHQWO\ DQG HIIHFWLYHO\ DQG FRPSO\ ZLWK WKH UXOHV UHJXODWLRQV DQG VWDQGDUGV VSHFLÀHG ,QIRUPDWLRQ 6\VWHP 7KH &RPSDQ\ KDV DQ LQIRUPDWLRQ V\VWHP UHODWHG WR SHUIRUPDQFH ÀQDQFLDO reporting, and implementation of and compliance with policies and practices used for the control and conduct of activities of the Company. Moreover, information obtained from the outside is communicated by the Company to executives and users within the Company via a system which helps WKH LQIRUPDWLRQ UHFLSLHQWV WR SHUIRUP WKH GXWLHV XQGHU WKHLU UHVSRQVLELOLWLHV HIÀFLHQWO\ DQG effectively and which ensures that internal and external communications will enable the Company to achieve its targets and objectives.

0117

0118

Employees Development Policy The Company will focus on the building of work incentives by using the organization’s core value together with the Happy 8 (Organization’s Happiness) Principle of the Thai Health Promotion Foundation to bring about a team working atmosphere, good attitudes towards the organization, morale and willpower for work, so as to prepare for the economic condition at present and in the future. To support the continuous expansion of the business, the Company aspires to develop the knowledge and ability of its personnel at all levels continuously and prepares to build personnel with such SRWHQWLDO DV GHPDQGHG E\ WKH EXVLQHVV E\ H[SDQGLQJ WKH Ă€HOGV RI WKH 6 3 /HDUQLQJ &HQWHU DW YRFDWLRQDO FHUWLĂ€FDWH OHYHO WR UHWDLO DQG IRRGV DQG QXWULWLRQ In addition, the systems of welfare and remuneration have been improved so that they are able to compete on the labor market and serve as an incentive for employees according to knowledge and DELOLW\ IRU DQ LQFUHDVH LQ WKHLU ZRUN HIĂ€FLHQF\ Policy on Development and Improvement of Human Resource Management and Development System In order that the organization is developed into an organization of excellence in 2008, the human UHVRXUFH PDQDJHPHQW DQG GHYHORSPHQW V\VWHP KDV EHHQ GHYHORSHG DQG LPSURYHG IRU PRUH HIĂ€FLHQF\ ZLWK an objective of developing and maximizing the potential of the human resource, making the organization achieve its business objectives, encouraging the employees to maximize their knowledge and ability, and according them opportunities for growth in their careers in line with the organization’s success, as set out as follows: 1. Policy to promote the “humanâ€? quality according to the organization’s core value, that is, PATARA PASSION ACTION TEAM WORK AMBITION RESPONSIBILITY ACHIEVEMENT

Love to work. Set out to work. Work as a team. Be determined to move to excellence. Do right things; be responsible for the organization, society and customers. Obtain success in working

2. Focus on the building of an organization of happiness by adopting the Happy 8 principles of the Thai Health Promotion Foundation (THPF) as a guideline for holding activities in accordance with the Happy 8, that is, Happy Body, Happy Heart, Happy Society, Happy Relax, Happy Brain, Happy Soul, Happy Money, Happy Family.

Policy on Social and Environmental Care The Board of Directors is aware of the importance of social and environmental care in line with the business expansion of the Company. To this, there is a unit that will be in charge of social and environmental care in 2008. The Company has conducted social and environmental activities as follows: Public Relations Working Group – The Company has organized social activities, such as, donating stuffs, products and money to agencies and organizations in need of help; organizing a charity concert to give the income to foundations; organizing a children’s creative drawing and painting activity to award scholarships to students, as an alternative for the children to dare to think and express themselves in a proper way; organizing an juvenile golf tournament so that juveniles would practise to become national sportsmen in the future; and organizing an S&P Jak-ka-jee Happy Bakery activity to make advice on how to prepare cakes, demonstrate the dressing of cake toppings and allow primary school grade 3 students to dress cake toppings with jam by using their creativity and imagination, etc. Quality Working Group – The quality of products and services of the bakery and food production lines KDV EHHQ GHYHORSHG DQG ,62 %5& +$&&3 *03 ,62 DQG ,62 FHUWLĂ€FDWHV KDYH EHHQ UHFHLYHG 7KH UHVWDXUDQWV DQG EDNHU\ VKRSV KDYH UHFHLYHG *03 FHUWLĂ€FDWHV DQG &OHDQ )RRG *RRG Taste tags and have become standard restaurants for Thailand’s tourism. Moreover, new healthy products have been developed by including germinated brown rice products in both Thai and Japanese menus so that customers have more alternatives and that society is encouraged to pay more attention to health. For social projects, the Company has launched a “learning centerâ€? project in its establishment to allow students graduating from 3rd year high school to have a place of study and basic continuing education in accordance with the educational policy of the public sector, by providing vocational OHDUQLQJ LQ WKH Ă€HOGV RI UHWDLO DQG IRRG DQG QXWULWLRQ DQG WKLV SURMHFW KDV DOVR DOORZHG VWXGHQWV to have income during their study. Moreover, a meditation training course has been provided for employees and third parties at Ban Raiva, Amphoe Si Racha, Changwat Chon Buri so that they would have wisdom and consciousness and become good people who could live happily in society. In addition, the Company has attached importance to the environment by campaigning for global warming reduction, processing used oil from restaurants into biodiesel for use in trucks within the factory, and organizing an S&P Summer Camp activity at the Ancient City, Samut Prakan Province. Awareness has been evoked in a group of juveniles aged 7-14 years, who have jointly grown 70 golden teak trees. Moreover, a sales promotion activity has been organized by preparing clothed bags, S&P Joy Cards, for customers to replace plastic bags. In addition, clothed bags for cakes have been distributed to primary school grade 3 students in the S&P Jak-ka-jee Happy Bakery 2008 Project.

General Corporate Information and Other References

Company name

S&P Syndicate Public Company Limited

Primary business

Restaurant and bakery shop chain operator; producer of cakes, breads, baked goods, Thai desserts prepared frozen foods and bakery products; provider of home delivery and outside catering services; investor and operator of Thai restaurants abroad.

Registered capital

523,431,365 Baht (Five hundred twenty-three million four hundred WKLUW\ RQH WKUHH KXQGUHG VL[W\ ÀYH%DKW

Issued and paid-up capital

523,431,365 Baht (Five hundred twenty-three million four hundred WKLUW\ RQH WKUHH KXQGUHG VL[W\ ÀYH%DKW FRPSULVLQJ ordinary shares with a par value of 5 Baht per share.

+HDG 2IĂ€FH

457-457/6 Sukhumvit 55 (Soi Thonglor), Sukhumvit Road, Klongtannua, Vadhana, Bangkok 10110

Registration No.

0107537001170 (From No. Bo. Mo.Cho. 364)

Telephone

0-2185-1313

Facsimile

0-2185-1274

Website

www.sandp.co.th www.snpfood.com

Registrar

Thailand Securities Depository Centre CAPITAL MARKET ACADEMY BUILDING 2/7 Moo 4, (North Park Project) Vibhavadi-Rangsit Road Tung Song Hong, Laksi, Bangkok 10210 Thailand Telephone 0-2596-9000 Facsimile 0-2832-4994-6

Corporate auditors

Deloitte Touche Tohmatsu Jaiyos Co., Ltd. Rajanakarn Building, 25th. Floor 183 South Sathon Road, Yannawa, Sathon, Bangkok 10120 Telephone 0-2676-5700 Facsimile 0-2676-5757

Legal counsel

'U 6XYDUQ 9DODLVDWKLHQ /DZ 2IĂ€FH 68 Soi 8, Sukhumvit Road, Klongtoey, Bangkok 10110 Telephone 0-2253-3427 Facsimile 0-2653-1135

The detail of subsidiaries and associated companies in which of the Company made investments, in the form of shareholding of 10% or more of the total number of shares issued. (see details under WKH VHFWLRQ ´6 3 6XEVLGLDULHV DQG RIĂ€OLDWLVÂľ

0119

Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.