3. Business Description Overview

Previous significant profile and developments as follows :

+------+-----------------------------------------------------+---------+
| 2002 | -   The Company was established as a Public Company | July 12 |
|      |     Limited named “Millennium Steel Public Company  |         |
|      |     Limited” (MS).                                  | N       |
|      |                                                     | ovember |
|      | -   Successfully merged the Company business among  | 29      |
|      |     NTS, SISC and SCSC, last two of which were      |         |
|      |     subsidiaries of Cementhai Holding Company       | D       |
|      |     Limited (CHC).                                  | ecember |
|      |                                                     | 18      |
|      | -   The Stock Exchange of Thailand (SET) approved   |         |
|      |     the Company securities as listing securities    |         |
|      |     and started trading under the sector of         |         |
|      |     “REHABCO” (Rehabilitation Plan).                |         |
+------+-----------------------------------------------------+---------+
| 2004 | -   The SET authorized the Company securities to    | May 18  |
|      |     resume trading at the sector of “CONMAT”        |         |
|      |     (Construction and Furnishing Material).         |         |
+------+-----------------------------------------------------+---------+
| 2005 | -   CHC agreed to sell all MS shares pursuant to    | D       |
|      |     the Blinding Offer of Tata Steel.               | ecember |
|      |                                                     | 15      |
+------+-----------------------------------------------------+---------+
| 2006 | -   Tata Steel Groups submitted their voluntary     | Feb     |
|      |     tender offer to all Company’s shareholders.     | ruary24 |
|      |                                                     |         |
|      | -   The Company major shareholders changed from     | April4  |
|      |     “CHC” to “Tata Steel Group”.                    |         |
|      |                                                     | Dec     |
|      | -   The Company name changed from “Millennium Steel | ember14 |
|      |     Public Company Limited” to “Tata Steel          |         |
|      |     (Thailand) Public Company Limited”.             | D       |
|      |                                                     | ecember |
|      | -   The SET announced the change in stock symbol    | 19      |
|      |     trading from “MS” to “TSTH”.                    |         |
+------+-----------------------------------------------------+---------+
| 2007 | -   The Company paid the annual dividend payment    | May 15  |
|      |     for the year 2006 to all preferred shareholders |         |
|      |     and ordinary shareholders at the rate of Baht   |         |
|      |     0.03 per share (38% of its net profit).         |         |
+------+-----------------------------------------------------+---------+
| 2008 | -   The Company paid the annual dividend payment    | August  |
|      |     for the year 2007-2008 to all preferred         | 20      |
|      |     shareholders and ordinary shareholders at the   |         |
|      |     rate of Baht 0.076 per share (20% of its net    |         |
|      |     profit).                                        |         |
+------+-----------------------------------------------------+---------+
| 2009 | -   The Mini Blast Furnace which is steel           |         |
|      |     production project using iron ore as raw        |         |
|      |     material was completed. This project is         |         |
|      |     considered the first of its kind in Thailand    |         |
|      |     and Southeast Asia.                             |         |
+------+-----------------------------------------------------+---------+
| 2011 | -   The SET announced to regroup the Company        | January |
|      |     securities to be under the sector of “STEEL”    | 4       |
+------+-----------------------------------------------------+---------+

Business Description of the Company and its subsidiaries

The Company operates its business as a Holding Company with shareholding
in 3 subsidiaries namely the NTS, SISC and SCSC. The 3 subsidiaries are
producers of rebars, wire rods and small sections steel.

The Company’s operation is undertaken as a group with the Company as the
top policy maker and the 3 subsidiaries would be responsible for
carrying out the operation according to the prescribed policy of the
Company with regard to marketing, production plans, raw materials
sourcing, finance, human resources management and other aspects of
administration.

The Company’s major shareholder is the Tata Steel Global Holdings Pte.
Ltd. (“TSGH”), which is wholly owned by Tata Steel Limited (“TSL”),
which operates its business as an investment company with head office in
Singapore. TSL is a registered company incorporated under Indian Laws
and is one of India’s largest and comprehensive steel producers in terms
of production capacity. The products include Hot rolled coil, Cold
rolled coil, Sheet, Rebar, Wire rod etc. The target customers of TSL are
mainly in India, whereas the Company’s target customers are
approximately 90% domestic while exports are of different types of
products. Though TSL is in the same steel industry as the Company, but
its product lines are much more diversified and cater to different group
of customers. TSL has an aim to support its affiliate in business
operation which would help strengthen Company’s potentiality without
creating any conflict of interest.

Policy on division of operation between companies within the group

The Company has a policy to allocate production capacity of each
subsidiary for maximum production effectiveness with the aim to maintain
the cost of production at the lowest level. The production capacity of
each product is allocated as follows :

1) NTS would produce rebar and wire rods.

2) SISC would mainly produce high value products such as high carbon
wire rods, special wire rods and small sections.

3) SCSC would produce rebar.

Moreover, the Company concerned about the adjustment of productivity
allocation to suit the situation for maximum benefit of the Company
Groups such as market and industry conditions, including effective use
of the machinery.

Shareholding Structure

[]

+------------------------+---------------+-----------+-----------------+
| Subsidiary             | Paid up       | Business  | Product         |
|                        | Capital       | Type      |                 |
|                        |               |           |                 |
|                        | (Million      |           |                 |
|                        | Baht)         |           |                 |
|                        |               |           |                 |
|                        | As at         |           |                 |
|                        |               |           |                 |
|                        | March 31,     |           |                 |
|                        | 2012          |           |                 |
+------------------------+---------------+-----------+-----------------+
| N.T.S. Steel Group     | 3,253.40      | Ma        | Rebars and wire |
| Plc. (“NTS”)           |               | nufacture | rods            |
|                        |               | steel     |                 |
+------------------------+---------------+-----------+-----------------+
| The Siam Iron and      | 120.00        | Ma        | Wire rods and   |
| Steel (2001) Co., Ltd. |               | nufacture | small sections  |
| (“SISC”)               |               | steel     |                 |
+------------------------+---------------+-----------+-----------------+
| The Siam Construction  | 1,750.00      | Ma        | Rebars          |
| Steel Co.,Ltd.         |               | nufacture |                 |
| (“SCSC”)               |               | steel     |                 |
+------------------------+---------------+-----------+-----------------+

Structure of Revenue

The proportions of the Company’s revenue from the sales by product
lines, as produced by subsidiaries, are as follows:

[TABLE]