THE PREPARATION FOR YEAR 2000 COMPLIANCE

Translation The Preparation for Year 2000 Compliance Siam Makro Public Company Limited Siam Makro Public Company Limited, the operator of cash and carry business selling food and non-food products and having its Head Office located at 3498 2nd Floor, Lardprao Road, Klongchan, Bangkapi, Bangkok 10240, Tel. 375-7000 Fax 375-2927, would like to report the preparation for year 2000 compliance. The Preparation for Year 2000 Compliance 1. Actions Taken As at 31 December 1999, the company and its subsidiaries have completed the preparation for year 2000 compliance together with the replacement and upgrades of all major computer systems as following:- Company Computer System Status Siam Makro Public Co., Ltd. 1. Financial & Accounting System Completed the system replacement, upgrade and year 2000 compliance test. 2. Business Operating System Completed the system replacement, upgrade and year 2000 compliance test. 3. Other Systems Completed the system replacement, upgrade and year 2000 compliance test. Makro Office Centre Co., Ltd. 1. Financial & Accounting System Completed the system upgrade and year 2000 compliance test. 2. Business Operating System Completed the system replacement, upgrade and year 2000 compliance test. 3. Other Systems Completed the system replacement, upgrade and year 2000 compliance test. Makro Auto Care Co., Ltd. 1. Financial & Accounting System Completed the system upgrade and year 2000 compliance test. 2. Business Operating System Completed the system replacement, upgrade and year 2000 compliance test. 3. Other Systems Completed the system replacement, upgrade and year 2000 compliance test. 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 subsidiaries have been examining their readiness for year 2000 compliance. In addition, the company and its subsidiaries have completed the contingency plan to protect and prepare for any problem which may occur. 2. Expenses Budget As at 31 December 1999 the company and its subsidiaries expenditure related to year 2000 problem resolution have been recorded and as a result of resolving this issue the Company incurred expense of Baht 10 million. 3. Management Comments The year 2000 compliance plan has been prepared and completed as scheduled, and the Company and its subsidiaries have not found anything, which may cause a business disruption. The Company and its subsidiaries have passed the transition period from 1999 to 2000 without significant impact from the year 2000 problem. 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 directly and indirectly by any problems or errors related to year 2000 problem. Acknowledgement We have reviewed this document and agree that all details and information disclosed here are correct, complete, truthful and does not contain any misleading information which may cause any damage or loss to the shareholders. To authenticate that this is the document we have reviewed, we have authorised Mrs. Suchada Ithijarukul to sign on every pages of the document. Name Position Signature Mr. Arsa Sarasin Chairman ............................................ Mr. Arnold Maria Leo Tobac Vice Chairman ............................................ Mr. Jacob Cornelio Adriano de Jonge Director ............................................ Mr. Prasert Jarupanich Director ............................................ Mrs. Suchada Ithijarukul Director ............................................ Attorney-in-fact Mrs. Suchada Ithijarukul Director ............................................ 2