Section 1

Executive Summary

SE-EDUCATION Public Co., Ltd. operates in the business of book and
magazine publishing that helps develop the knowledge and capability for
Thais, in the direction that is beneficial for the country’s
development. The Company distributes books both from its own publishing
division and also from other publishers. Moreover, the Company also
operates its own bookstores ‘SE-ED Book Center’ and network bookstores
which consists of bookstores like ‘Book Variety’ and several university
bookstores located in Bangkok and other provinces. SE-ED Book Center is
currently ranked number one in terms of nation-wide book sales. Retail
bookstore business is accounted for 82% of overall Company’s revenue.

In the year 2008, the company has been affected by the country’s
economic slowdown, by the consequences of unavoidable world’s economic
crisis originated in United States of America, and the competition among
rival retailing businesses.

In addition, the Company confronted with the increasing political
turbulence within the country which became violent in the fourth quarter
of the year, resulting from the closure of Suvarnabhumi International
Airport and Donmueng International Airport. This affected the investors’
confidence as well as many industrial sectors, causing the reduction of
purchasing power of consumers and severely affected the overall picture
of retailing businesses, as can be noticed from in the unusual decline
of sales volumes in the month of December.

However, with the readiness and immunity protection to cope with such
situation, the Company was able to maintain a consistent performance and
maintain its growth rate.

The company felt firmly confident that book business has a great
potential to grow into the future. It continuously opened new branches
of its bookstore both in shopping malls and in various forms of modern
trade businesses, of which branches increased in number in order to
support the business’s future growth as well. Therefore, in the year
2008 sales increased from the effect of opening 52 new bookstore
branches in the year 2007 and the 49 new branches in this year including
the increasing of sales from distribution wholesales business unit at
the satisfactory growth rate.

Operating performance for 2008 was as follow:

-   The Company’s total revenue of the year 2008 is worth THB 4,423.00
    million or increased from the same period of the previous year by
    11.99%. Of which, the revenue from sales is accounted for THB
    4,370.00 million, or increased by 12.10%.

-   The Company’s net profit of the year 2008 is worth THB 194.63
    million, an increase from the same period of the previous year by
    5.89%.

-   In 2008, the Company opened 49 new branches of SE-ED Book Center,
    with the total 303 stores branches, and 37 points of sales in
    operation, as of December 31, 2008.

The Board of Directors resolved, approved, and agreed to submit to the
Annual General Shareholder’s Meeting to consider the dividend payment
for the operating performance of the year 2008 at THB 0.59 per share,
for the total amount of 323,921,130 shares from net profit after
corporate tax as shown on the financial statement, in which the equity
method has been used. The Company has already paid some interim dividend
for by each quarter at THB 0.10 per share, for the total of three
quarters as of THB 0.30 per share. Thus, the additional dividend of this
period will be THB 0.29 per share, for the total amount of 323,921,130
shares due to the Company’s continuous gain in profitability and high
liquidity. The names of shareholders listed for the right to receive the
dividend is scheduled to be announced on May 15, 2009 and, by the
section 225 in Securities and Exchange Act, the names of shareholders
will be compiled by closing the shareholders register book on May 18,
2009. The payment of dividend will be made on May 28, 2009.

As the company has continuously focused on the importance of developing
Good Corporate Governance, the result was in 2008 as follow:

-   The Company was rate as “excellence” (5 stars) award for Corporate
    Governance Report of Thai Listed Companies 2008, organized by Thai
    Institute of Directors shared with other 22 companies amongst 448
    listed companies. SE-ED was the only 1 of the 6 companies in the
    group of medium-cap and small-cap size companies, while others were
    in SET 100 group.

-   The Company was rate as Best Shareholder Treatment Awards 2008 (an
    award for excellence listed company for excellence in shareholders
    treatment), organized by The Thailand Securities Depository Co.,
    Ltd. (TSD) corporate with Stock Exchange of Thailand, Thai Investors
    Association, Thai Listed Companies Association and Thai Investor
    Relations Club. There were 6 companies who received this award,
    where SE-ED was the only firm who was not listed in the SET100. In
    addition, and 4 of them were listed in SET 50 and 1 in the SET 100
    (not listed in SET 50).

-   1 of 3 companies outside the listed firms of SET as finalists to
    compete in IR Excellence Awards 2008 (an award for excellence listed
    company for Investment Relation), organized by Stock Exchange of
    Thailand and financial and banking magazine as part of SET Awards
    2008.

-   Selected as 1 of 10 finalists to compete for the award Corporate
    Social Responsibilities Awards 2008, considered as a part of SET
    Awards 2008, organized by Stock Exchange of Thailand and financial
    and banking magazine. SE-ED was only 1 out of 10 companies who is
    not listed in the list of SET 100, to be nominated as finalists. For
    the remaining 9 companies, there were 8 companies listed in SET 50,
    and one companies listed in SET 100 (which are not listed as SET 50
    companies).

-   The company was rated as “Excellence” in the 2007 and 2008 valuation
    in the Annual General Meeting (AGM) of the shareholders by the
    Securities and Exchange Commission in cooperation with the Listed
    Companies Association and the Thai Investors Association. The
    company has been in the group of over 100 points (normal full grade
    was 100 points with special bonus not more than 10 points to be
    total of 110 points) which has been praised as good example from
    SEC. The objective of this appraisal program was to bring forth the
    increase awareness of stockholders’ rights and proper understanding
    for the principles of good corporate governance.

    In 2008 achieved 107.50 points (from total score of 110 with bonus
    points included) as 1 of 74 companies being praised as good
    corporate example from SEC out of overall 486 firms.

    In 2007 achieved 103.75 points (from total score of 110 with bonus
    points included) appraised as 1 in 19 companies who was cited as
    good corporate example from SEC out of overall of 460 firms.

  With the excellence appraisal, it reflects the organizing of meeting
  in accordance with the corporate good governance, transparent, and
  yielded a healthy number of questions and answers session for all
  shareholders and clarified all issues.

(Investors should study the detail information in the part II before
deciding to purchase the shares)