REPORTS ON USE OF PROCEEDS FROM OFFERING OF CAPITAL IN

Siam Makro Plc. (MAKRO) said it was resolved on August 15, 1996 at the extraordinary shareholders' meeting no. 1/1996 to allocate the unalloted 19,825,700 units of capital increased shares, offering 4,137,700 units to Makro Holding N.V. and 15,688,000 units to general public at the price of Bt102 apiece, as previously reported. The company reported that the proceeds from the share offering were as below: Proceeds from the share offering Bt2,022 million Net proceeds after share offering expenses Bt1,965 million MAKRO reported on outlay of the proceeds from the share offering, as at December 31, 1996, as follows: Projects (In Million Baht) Uses According to Actual Uses Prospectus 1. Project to expand branches of Makro Trade Center 1,670 771 2. Project to expand branches of Makro Auto Care 280 213 3. Project to expand branches of Makro Office Center 190 63 Total 2,140 1,047 Total amount spent on the projects Bt1,047 million Balance for invesment in the projects early in 1997 Bt918 million