ONSOLIDATED FINANCIAL STATEMENTS FOR QUARTER 3/1999

Interest expenses (10) Directors' remuneration - Income tax (55) Net income 106 Property, plant and equipment, Net book value as at 30 September 1998 8,656 Other assets 4,691 Total assets at 30 September 1998 13,347 The consolidation (Restated) for the nine-month period ended 30 September 1998 Wholesale Land and Retail Service Rental Elimination Total Business Business Business (Million Baht) (Million Baht) (Million Baht) (Million Baht) (Million Baht) Sales and service income - Unaffiliated customers 22,467 590 - - 23,057 - Intercompany - 1 205 (206) - 22,467 591 205 (206) 23,057 Gross profit 1,847 108 - - 1,955 Other income 575 Selling and administrative expenses (1,899) Interest expenses (28) Directors' remuneration (1) Income tax (197) Net income 405 Property, plant and equipment, Net book value as at 30 September 1998 5,479 387 2,790 - 8,656 Other assets 4,691 Total assets at 30 September 1998 13,347 The company and its subsidiary companies operate 3 major businesses as follows : - Cash and carry trade center of food and non food products and retail business of office supplies. - Automotive service centers and gas stations. - Land investment and property leasing. Sales to unaffiliated customers, subsidiary and affiliated companies are presented at market price. Property, plant and equipment of each business are for its own operations. Other assets mainly comprise cash in hand and at banks, inventories, amounts due from affiliated companies, deposits and other assets. Unaudited Reviewed Siam Makro Public Company Limited Page 28 Notes to the consolidated financial statements and financial statements 30 September 1999 continued Year 2000 issues 17. Siam Makro Public Company Limited and its subsidiary companies commenced their plan to replace and upgrade all major computer systems at the end of 1997. This aims to increase the efficiency and ability to cope with business growth. The company and its subsidiary companies expect that such upgrades should comply for year 2000 as the new equipment and applications are year 2000 compliant, as certified by the vendors under certain conditions. As at 30 September 1999, the replacement, upgrades and year 2000 compliance test of all major computer systems have been completed. The replacement of computer system and year 2000 compliance test in a subsidiary are taking place as planned and expected to be completed in 1999. In respect of other companies, with which the company and its subsidiaries are doing business, in order to ensure year 2000 compliance. The company and its subsidiary companies have been examining their readiness for year 2000 compliance. In addition, the company and its subsidiary companies have completed the contingency plan to protect and prepare for any problems which may occur. The budget for total direct expenditure of the year 2000 problem resolution in the company and its subsidiary companies, is estimated at Baht 17 million. As at 30 September 1999, the company and its subsidiary companies have recorded the total expenses of Baht 6.6 million. In recognition of the year 2000 problem, the company and its subsidiary companies have made a substantial effort to protect and minimize any potential risk. However, the company and its subsidiary companies do not certify or guarantee that they will not be impacted by the year 2000 problem or any errors caused by other factors as the results of the year 2000. Comparative figures 18. As a result of reclassifications of certain items in the financial statements for the third quarter and nine-month period ended 30 September 1999, the comparative figures have been amended accordingly. In particular, the comparative figures were adjusted or extended to take into account the requirements of the following new Thai Accounting Standards, which the group implemented in 1999 : Thai Accounting Standard no. 36 : Impairment of assets Thai Accounting Standard no. 39 : Net Profit or Loss for the Period, Fundamental Errors and Changes in Accounting Policy Auditor's report page 1.