11. Financial Status and Operation Performance

1) Financial Statements

A. Report of the Independent Auditor

-Miss Nongram Laoha-areedilok, C.P.A.(Thailand) No.4334 or

Miss Chamaporn Lodloytuk, C.P.A.(Thailand) No. 9211

-Opinion in the Auditor’s report of the past three years

is unconditional

-Important accounting policies

Basic for Consolidated Financial Statements and Separate Financial
Statements Preparation

The consolidated and the Separate Financial Statements have been
prepared in accordance with Thai Generally Accepted Accounting
Principles under the Accounting Act, B.E.2543, being those Thai
Accounting Standards issued under the Accounting Profession Act,
B.E.2547 and the financial reporting requirements of the Securities and
Exchange Commission under the Securities and Exchange Act, B.E.2535.

The preparation of Financial Statements in conformity with Thai
Generally Accepted Accounting Principles requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities, the disclosure of contingent assets and liabilities at the
date of the Financial Statements and the amounts of revenues and
expenses in the reported periods. Although these estimates are based on
management’s best knowledge of current events and actions, actual
results may differ from those estimates.

The Financial Statements have been prepared under the historical cost
convention except as disclosed in the accounting policies.

The consolidated Financial Statements include the Financial Statements
of Chiangmai Frozen Foods Public Company Limited and Subsidiary,
Agrifood Processing Company Limited, with the holding of 100% of
authorized share.

The significant transactions between the Company and its subsidiary have
been eliminated in the consolidated Financial Statements.

“The Company” represents “Chiangmai Frozen Foods Public Company
Limited,” while “The Group” represents “Chiangmai Frozen Foods Public
Company Limited” and its subsidiary which is “Agrifood Processing
Company Limited”.

Cash and Cash Equivalents

Cash and Cash equivalents consist of cash in hand, cash at banks and all
highly liquid investments with an original maturity of three months or
less and not subject to withdrawal restrictions.

Deposits at financial institutions that are restricted in use are
presented as “Fixed deposits pledged as collateral” as part of
non-current assets in the Statements of Financial Position.

Accounts Receivable

Accounts receivable are carried at original invoice amount less
allowance for doubtful accounts.

Allowance for Doubtful Accounts

The Group provide allowance for doubtful accounts equal to the estimated
losses that may be incurred in the collection of receivables and
receivables-planters. The estimated losses are based on the collection
experiences and the review of the current status of the existing
receivables Bad debts are written off during the year in which they are
identified.

Inventories

Inventories are stated at the lower of cost or net realizable value.
Cost is determined by the weighted average method. The cost of purchase
comprises both the purchase price and costs directly attributable to the
acquisition of the inventory, such as import duties and transportation
charges, less all attributable discounts, allowances or rebates. The
cost of finished goods and work in progress comprises raw materials,
direct labour, other direct costs and related production overheads, the
latter being allocated on the basis of normal operating activities. Net
realizable value is the estimate of the selling price in the ordinary
course of business, less the costs of completion and selling expenses.

At the end of year, the Company considers the physical of finished goods
in the estimation of adequately allowance for obsolete.

Investments in Subsidiary

Subsidiary, which is those entities in which the Group has an interest
of more than one half of the voting rights or otherwise has power to
exercise control over the operations are consolidated. Subsidiary is
consolidated from the date on which control is transferred to the Group
and are no longer consolidated from the date that control ceases. All
intercompany transactions, balances and unrealized gains on transactions
between group companies are eliminated; unrealized losses are also
eliminated unless cost cannot be recovered. Where necessary, accounting
policies of subsidiary has been changed to ensure consistency with the
policies adopted by the Group.

Investment in subsidiary is reported by using the cost method of
accounting in the separate Financial Statements.

Property, Plant and Equipment

Property, plant and equipment are initially recorded at cost. All assets
except for land are stated at historical cost less accumulated
depreciation.

Depreciation of plant and equipment are calculated on the straight line
method over their estimated useful lives are as follows:

No. of Years

Buildings 20 years

Machineries and equipment 5-10 years

Vehicles 5 years

Office equipment and fixtures 5 years

When assets are sold or retired, the Group will eliminated their costs
and accumulated depreciation from the accounts and any gain or loss
resulting from their disposal is included in the Statements of Income.

Building-in-progress and machinery under installation are stated at
cost. These assets are not depreciated until such time as the relevant
assets are completed and ready for their intended operational use.

Intangible asset and amortization

Intangible asset is computer software which is stated at historical cost
and amortized using the straight line method over its useful life (3-5
years).

Finance Leases

Leases of assets where the Group have substantially been transferred all
the risks and rewards of ownership are classified as finance leases.
Finance leases are recognized as assets and liabilities at the inception
of the lease at the lower of the fair value of the leased property or
the present value of the minimum lease payments. Each lease payment is
allocated between the liability and finance charges so as to achieve a
constant rate on the finance balance outstanding. The interest element
of the finance cost is charged to the income statement over the lease
period. The lease payment amount net of finance charges is recorded as
the reduction of the outstanding liability. The depreciable assets
acquired under finance leases are depreciated over the useful life of
the assets.

Impairment of Assets

The Group reviewed the impairment of assets whenever events or charges
in circumstances indicate that the recoverable amount of assets is below
the carrying amount (the higher of an assets selling price or value in
use). The review is made for individual assets or the cash generating
unit.

In case that the carrying value of an asset exceeds its recoverable
amount, the Group recognize the impairment losses in the Statements of
Income. The reversal of impairment losses recognized in prior years is
recorded as other income when there is an indication that the impairment
losses recognized for the assets no longer exits or are decreased.

Foreign currency transactions

Foreign currency transactions are translated into Thai Baht using the
exchange rates prevailing at the date of the transaction. Monetary
assets and liabilities denominated in foreign currency are translated to
Thai Baht at the exchange rate prevailing at the statements of financial
position date. Gains and losses resulting from the settlement of foreign
currency transactions and from the transaction of monetary assets and
liabilities denominated in foreign currencies, are recognized in the
statement of income.

Provisions

Provisions are recognized when the Group have a present legal or
constructive obligation as a result of past events, it is probable that
an outflow of resources will be required to settle the obligation, and a
reliable estimate of the amount can be made. Where the Company and
subsidiary expect a provision to be reimbursed, the reimbursement is
recognized as a separate asset but only when the reimbursement is
virtually certain.

Revenue recognition

The Group recognized sales as income when goods are delivered and the
risks and rewards are transferred to customers.

Interest income is recognized on a time proportion basis that reflects
the effective yield on the asset.

Basic earnings per share

Basic earnings per share is calculated by dividing the net income by
weighted average number of paid-up common shares during the years.

Financial instruments

Financial assets carried on the statements of financial position include
cash and cash equivalents, fixed deposit, trade accounts receivable,
loan to and other accounts receivable. Financial liabilities carried on
the statements of financial posittion include trade accounts payable,
accrued income tax and accrued expenses. The particular recognition
methods adopted are disclosed in the individual policy statements
associated with each item.

Related parties

Enterprises and individuals that directly, or indirectly through one or
more intermediaries, control, or are controlled by, or are under common
control with, the Company, including holding companies, subsidiary and
fellow subsidiary are related parties of the Company. Associates and
individuals owning, directly or indirectly, an interest in the voting
power of the Company that gives them significant influence over the
enterprise, key management personnel, including directors and officers
of the Company and close members of the family of these individuals and
companies associated with these individuals also constitute related
parties.

In considering each possible related party relationship, attention is
directed to the substance of the relationship, and not merely the legal
form.

B. Summary of Financial Statements

Statements of Financial Position

(Unit: Thousand baht)

+------------------------+--------+-----+--------+-----+--------+-----+
| ASSETS                 | Se     |     |        |     |        |     |
|                        | parate |     |        |     |        |     |
|                        | Fin    |     |        |     |        |     |
|                        | ancial |     |        |     |        |     |
|                        | Stat   |     |        |     |        |     |
|                        | ements |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
|                        | 2011   | %   | 2010   | %   | 2009   | %   |
+------------------------+--------+-----+--------+-----+--------+-----+
| Current Assets         | 2      | 1   | 1      | 1   | 2      | 1   |
|                        | 42,783 | 9.3 | 59,539 | 1.9 | 42,470 | 8.8 |
| Cash and cash          |        |     |        |     |        |     |
| equivalents            |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Short-term investments | 1      | 1   | 3      | 2   | 50,000 | 3.9 |
|                        | 50,000 | 2.0 | 00,000 | 2.3 |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Trade accounts         | 18,973 | 1.5 | 21,679 | 1.6 | 15,626 | 1.2 |
| receivable             |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| -Related companies     |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| -Other companies-net   | 35,684 | 2.8 | 36,832 | 2.8 | 29,210 | 2.3 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Loan to related        | -      | -   | -      | -   | 24,500 | 1.9 |
| company                |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Inventories-net        | 3      | 2   | 3      | 2   | 4      | 3   |
|                        | 36,257 | 6.8 | 09,958 | 3.0 | 01,603 | 1.1 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Other current assets   | 28,822 | 2.3 | 36,184 | 2.7 | 26,672 | 2.1 |
|                        |        |     |        |     |        |     |
| -Accounts receivable-  |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| planters-net           |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| -Value added tax       | 1,702  | 0.2 | 1,611  | 0.1 | 1,624  | 0.1 |
| receivable             |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| -Others                | 4,108  | 0.3 | 1,809  | 0.1 | 1,189  | 0.1 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Total Current Assets   | 8      | 6   | 8      | 6   | 7      | 6   |
|                        | 18,329 | 5.2 | 67,612 | 4.5 | 92,894 | 1.5 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Investments in         | 23,354 | 1.9 | 23,354 | 1.7 | 23,354 | 1.8 |
| subsidiary             |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Property, plant and    | 4      | 3   | 4      | 3   | 4      | 3   |
|                        | 06,033 | 2.3 | 48,218 | 3.4 | 69,463 | 6.4 |
| equipment-net          |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Computer software-net  | 2,977  | 0.2 | 2,799  | 0.2 | 182    | -   |
+------------------------+--------+-----+--------+-----+--------+-----+
| Other non-current      | 5,053  | 0.4 | 3,204  | 0.2 | 3,472  | 0.3 |
| assets                 |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| TOTAL ASSETS           | 1,2    | 10  | 1,3    | 10  | 1,2    | 10  |
|                        | 55,746 | 0.0 | 45,187 | 0.0 | 89,365 | 0.0 |
+------------------------+--------+-----+--------+-----+--------+-----+

(Unit: Thousand baht)

+------------------------+--------+-----+--------+-----+--------+-----+
| LIABILITIES AND        | Se     |     |        |     |        |     |
| SHAREHOLDERS’ EQUITY   | parate |     |        |     |        |     |
|                        | Fin    |     |        |     |        |     |
|                        | ancial |     |        |     |        |     |
|                        | Stat   |     |        |     |        |     |
|                        | ements |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
|                        | 2011   | %   | 2010   | %   | 2009   | %   |
+------------------------+--------+-----+--------+-----+--------+-----+
| Current Liabilities    | 35,556 | 2.9 | 37,844 | 2.8 | 47,924 | 3.8 |
|                        |        |     |        |     |        |     |
| Trade accounts payable |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Accrued income tax     | 3,896  | 0.3 | 1,376  | 0.1 | -      | -   |
+------------------------+--------+-----+--------+-----+--------+-----+
| Accrued expenses       | 33,533 | 2.7 | 42,633 | 3.2 | 45,138 | 3.5 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Payable from           | 382    | -   | 2,240  | 0.1 | 718    | -   |
| acquisition            |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| of assets              |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Other current          | 1,441  | 0.1 | 2,373  | 0.2 | 1,303  | 0.1 |
| liabilities            |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Total Current          | 74,808 | 6.0 | 86,466 | 6.4 | 95,083 | 7.4 |
| Liabilities            |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Employee benefit       | 24,899 | 2.0 | -      | -   | -      | -   |
| obligations            |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Total Liabilities      | 99,707 | 8.0 | 86,466 | 6.4 | 95,083 | 7.4 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Shareholders’ Equity   | 3      | 3   | 3      | 2   | 3      | 2   |
|                        | 81,146 | 0.3 | 81,146 | 8.3 | 81,146 | 9.6 |
| Share capital - Baht 1 |        |     |        |     |        |     |
| par value              |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| Authorized shares      |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| 381,146,251 common     |        |     |        |     |        |     |
| shares                 |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| in 2009, 2010 and 2011 |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| Issued and paid-up     |        |     |        |     |        |     |
| Shares                 |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| 381,146,251 in 2009,   |        |     |        |     |        |     |
| 2010                   |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| and 2011               |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Premium on share       | 68,000 | 5.4 | 68,000 | 5.1 | 68,000 | 5.3 |
| capital                |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Retained earnings      | 38,115 | 3.0 | 38,115 | 2.8 | 38,115 | 3.0 |
|                        |        |     |        |     |        |     |
| -Appropriated for      |        |     |        |     |        |     |
| legal                  |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| reserve                |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| -Un appropriated       | 6      | 5   | 7      | 5   | 7      | 5   |
|                        | 68,778 | 3.3 | 71,460 | 7.4 | 07,021 | 4.7 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Total Shareholders’    | 1,1    | 9   | 1,2    | 9   | 1,1    | 9   |
| Equity                 | 56,039 | 2.0 | 58,721 | 3.6 | 94,282 | 2.6 |
+------------------------+--------+-----+--------+-----+--------+-----+
| TOTAL LIABILITIES AND  | 1,2    | 10  | 1,3    | 10  | 1,2    | 10  |
| SHAREHOLDERS’ EQUITY   | 55,746 | 0.0 | 45,187 | 0.0 | 89,365 | 0.0 |
+------------------------+--------+-----+--------+-----+--------+-----+

Statements of Financial Position

(Unit: Thousand baht)

+------------------------+--------+-----+--------+-----+--------+-----+
| ASSETS                 | Consol |     |        |     |        |     |
|                        | idated |     |        |     |        |     |
|                        | Fin    |     |        |     |        |     |
|                        | ancial |     |        |     |        |     |
|                        | Stat   |     |        |     |        |     |
|                        | ements |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
|                        | 2011   | %   | 2010   | %   | 2009   | %   |
+------------------------+--------+-----+--------+-----+--------+-----+
| Current Assets         | 2      | 2   | 1      | 1   | 2      | 2   |
|                        | 61,772 | 0.6 | 80,544 | 3.3 | 67,998 | 0.5 |
| Cash and cash          |        |     |        |     |        |     |
| equivalents            |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Short-term investments | 1      | 1   | 3      | 2   | 50,000 | 3.8 |
|                        | 55,600 | 2.2 | 05,563 | 2.5 |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Trade accounts         | 5,256  | 0.4 | 8,393  | 0.6 | 8,047  | 0.6 |
| receivable             |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| -Related companies     |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| -Other companies-net   | 49,787 | 3.9 | 44,526 | 3.3 | 36,214 | 2.8 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Loan to related        | -      | -   | -      | -   | 24,500 | 1.9 |
| company                |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Inventories-net        | 3      | 2   | 3      | 2   | 4      | 3   |
|                        | 36,258 | 6.4 | 09,959 | 2.8 | 01,603 | 0.8 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Other current assets   | 28,822 | 2.3 | 36,184 | 2.7 | 26,672 | 2.0 |
|                        |        |     |        |     |        |     |
| -Accounts receivable-  |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| planters-net           |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| -Value added tax       | 1,753  | 0.1 | 1,634  | 0.1 | 1,639  | 0.1 |
| receivable             |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| -Others                | 4,310  | 0.3 | 1,822  | 0.1 | 1,205  | 0.1 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Total Current Assets   | 8      | 6   | 8      | 6   | 8      | 6   |
|                        | 43,558 | 6.2 | 88,625 | 5.4 | 17,878 | 2.6 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Fixed deposit pledged  | 14,672 | 1.2 | 14,492 | 1.1 | 14,417 | 1.1 |
| as                     |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| collateral             |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Property, plant and    | 4      | 3   | 4      | 3   | 4      | 3   |
|                        | 07,199 | 2.0 | 49,709 | 3.1 | 69,532 | 6.0 |
| equipment-net          |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Computer software-net  | 2,977  | 0.2 | 2,799  | 0.2 | 182    | -   |
+------------------------+--------+-----+--------+-----+--------+-----+
| Other non-current      | 5,054  | 0.4 | 3,205  | 0.2 | 3,473  | 0.3 |
| assets                 |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| TOTAL ASSETS           | 1,2    | 10  | 1,3    | 10  | 1,3    | 10  |
|                        | 73,460 | 0.0 | 58,830 | 0.0 | 05,482 | 0.0 |
+------------------------+--------+-----+--------+-----+--------+-----+

(Unit: Thousand baht)

+------------------------+--------+-----+--------+-----+--------+-----+
| LIABILITIES AND        | Consol |     |        |     |        |     |
| SHAREHOLDERS’ EQUITY   | idated |     |        |     |        |     |
|                        | Fin    |     |        |     |        |     |
|                        | ancial |     |        |     |        |     |
|                        | Stat   |     |        |     |        |     |
|                        | ements |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
|                        | 2011   | %   | 2010   | %   | 2009   | %   |
+------------------------+--------+-----+--------+-----+--------+-----+
| Current Liabilities    | 35,556 | 2.8 | 37,844 | 2.8 | 47,924 | 3.8 |
|                        |        |     |        |     |        |     |
| Trade accounts payable |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Accrued income tax     | 4,802  | 0.4 | 1,376  | 0.1 | 750    | -   |
+------------------------+--------+-----+--------+-----+--------+-----+
| Accrued expenses       | 34,641 | 2.7 | 43,987 | 3.2 | 46,692 | 3.6 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Payable from           | 382    | -   | 2,241  | 0.2 | 718    | -   |
| acquisition            |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| of assets              |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Others                 | 1,566  | 0.1 | 2,412  | 0.2 | 1,331  | 0.1 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Total Current          | 76,947 | 6.0 | 87,860 | 6.5 | 97,415 | 7.5 |
| Liabilities            |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Employee benefit       | 26,241 | 2.1 | -      | -   | -      | -   |
| obligations            |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Total Liabilities      | 1      | 8.1 | 87,860 | 6.5 | 97,415 | 7.5 |
|                        | 03,188 |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Shareholders’ Equity   | 3      | 2   | 3      | 2   | 3      | 2   |
|                        | 81,146 | 9.9 | 81,146 | 8.0 | 81,146 | 9.2 |
| Share capital - Baht 1 |        |     |        |     |        |     |
| par value              |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| Authorized shares      |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| 381,146,251 common     |        |     |        |     |        |     |
| shares                 |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| in 2009, 2010 and 2011 |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| Issued and paid-up     |        |     |        |     |        |     |
| Shares                 |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| 381,146,251 in 2009,   |        |     |        |     |        |     |
| 2010                   |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| and 2011               |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Premium on share       | 68,000 | 5.4 | 68,000 | 5.0 | 68,000 | 5.2 |
| capital                |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| Retained earnings      | 38,115 | 3.0 | 38,115 | 2.8 | 38,115 | 2.9 |
|                        |        |     |        |     |        |     |
| -Appropriated for      |        |     |        |     |        |     |
| legal                  |        |     |        |     |        |     |
|                        |        |     |        |     |        |     |
| reserve                |        |     |        |     |        |     |
+------------------------+--------+-----+--------+-----+--------+-----+
| -Un appropriated       | 6      | 5   | 7      | 5   | 7      | 5   |
|                        | 83,011 | 3.6 | 83,709 | 7.7 | 20,806 | 5.2 |
+------------------------+--------+-----+--------+-----+--------+-----+
| Total Shareholders’    | 1,1    | 9   | 1,2    | 9   | 1,2    | 9   |
| Equity                 | 70,272 | 1.9 | 70,970 | 3.5 | 08,067 | 2.5 |
+------------------------+--------+-----+--------+-----+--------+-----+
| TOTAL LIABILITIES AND  | 1,2    | 10  | 1,3    | 10  | 1,3    | 10  |
| SHAREHOLDERS’ EQUITY   | 73,460 | 0.0 | 58,830 | 0.0 | 05,482 | 0.0 |
+------------------------+--------+-----+--------+-----+--------+-----+

Statements of Comprehensive Income

(Unit: Thousand baht)

+-----------------------+---------+-----+--------+-----+-------+-----+
| Particular            | S       |     |        |     |       |     |
|                       | eparate |     |        |     |       |     |
|                       | Fi      |     |        |     |       |     |
|                       | nancial |     |        |     |       |     |
|                       | Sta     |     |        |     |       |     |
|                       | tements |     |        |     |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
|                       | 2011    | %   | 2010   | %   | 2009  | %   |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Revenues from sales   | 1,      | 10  | 1,3    | 10  | 1,29  | 10  |
|                       | 267,970 | 0.0 | 49,072 | 0.0 | 4,066 | 0.0 |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Cost of sales         | (1,0    | (82 | (1,02  | (76 | (912  | (70 |
|                       | 48,132) | .7) | 7,217) | .1) | ,366) | .5) |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Gross profit          | 219,838 | 1   | 3      | 2   | 38    | 2   |
|                       |         | 7.3 | 21,855 | 3.9 | 1,700 | 9.5 |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Gain on exchange rate | 11,133  | 0.9 | 29,645 | 2.2 | 3,606 | 0.3 |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Other income          | 11,793  | 0.9 | 9,796  | 0.7 | 8,936 | 0.7 |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Profit before         | 242,764 | 1   | 3      | 2   | 39    | 3   |
| expenses              |         | 9.1 | 61,296 | 6.8 | 4,242 | 0.5 |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Selling expenses      | (1      | (8  | (11    | (8  | (101  | (7  |
|                       | 03,576) | .2) | 0,965) | .2) | ,339) | .8) |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Administrative        | (       | (4  | (5     | (3  | (48   | (3  |
| expenses              | 54,572) | .3) | 0,173) | .8) | ,241) | .8) |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Managements’          | (       | (2  | (3     | (2  | (37   | (2  |
| remuneration          | 28,062) | .2) | 8,991) | .9) | ,608) | .9) |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Profit before income  | 56,554  | 4.4 | 1      | 1   | 20    | 1   |
| tax                   |         |     | 61,167 | 1.9 | 7,054 | 6.0 |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Income tax            | (4,012) | (0  | (      | (0  | -     | -   |
|                       |         | .3) | 1,443) | .1) |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Total comprehensive   | 52,542  | 4.1 | 1      | 1   | 20    | 1   |
|                       |         |     | 59,724 | 1.8 | 7,054 | 6.0 |
| income for the year   |         |     |        |     |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Earnings per share    | 0.14    |     | 0.42   |     | 0.54  |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Net profit            | 52,542  |     | 1      |     | 20    |     |
| attributable to:      |         |     | 59,724 |     | 7,054 |     |
|                       |         |     |        |     |       |     |
| Equity holders of the |         |     |        |     |       |     |
| parent                |         |     |        |     |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Un-appropriated       | 771,460 |     | 7      |     | 73    |     |
|                       |         |     | 07,021 |     | 7,314 |     |
| retained earnings     |         |     |        |     |       |     |
|                       |         |     |        |     |       |     |
| Beginning balance     |         |     |        |     |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Appropriated for      | (1      |     | (9     |     | (199  |     |
|                       | 33,399) |     | 5,285) |     | ,233) |     |
| -Dividend paid        |         |     |        |     |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| -Stock Dividend       | -       |     | -      |     | (34   |     |
|                       |         |     |        |     | ,649) |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Employee benefit      | (       |     | -      |     | -     |     |
| obligations           | 21,825) |     |        |     |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| -Legal reserve        | -       |     | -      |     | (3    |     |
|                       |         |     |        |     | ,465) |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Ending balance        | 668,778 |     | 7      |     | 70    |     |
|                       |         |     | 71,460 |     | 7,021 |     |
+-----------------------+---------+-----+--------+-----+-------+-----+

Statements of Comprehensive Income

(Unit: Thousand baht)

+-----------------------+---------+-----+--------+-----+-------+-----+
| Particular            | Conso   |     |        |     |       |     |
|                       | lidated |     |        |     |       |     |
|                       | Fi      |     |        |     |       |     |
|                       | nancial |     |        |     |       |     |
|                       | Sta     |     |        |     |       |     |
|                       | tements |     |        |     |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
|                       | 2011    | %   | 2010   | %   | 2009  | %   |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Revenues from sales   | 1,      | 10  | 1,3    | 10  | 1,32  | 10  |
|                       | 293,386 | 0.0 | 67,578 | 0.0 | 1,455 | 0.0 |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Cost of sales         | (1,0    | (81 | (1,02  | (75 | (913  | (69 |
|                       | 49,127) | .1) | 8,859) | .2) | ,393) | .1) |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Gross profit          | 244,259 | 1   | 3      | 2   | 40    | 3   |
|                       |         | 8.9 | 38,719 | 4.8 | 8,062 | 0.9 |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Gain on exchange rate | 12,782  | 1.0 | 33,429 | 2.4 | 6,221 | 0.5 |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Other income          | 11,604  | 0.9 | 9,867  | 0.7 | 8,571 | 0.6 |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Profit before         | 268,645 | 2   | 3      | 2   | 42    | 3   |
| expenses              |         | 0.8 | 82,015 | 7.9 | 2,854 | 2.0 |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Selling expenses      | (1      | (9  | (12    | (9  | (119  | (9  |
|                       | 20,368) | .3) | 8,365) | .4) | ,022) | .0) |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Administrative        | (       | (4  | (5     | (3  | (50   | (3  |
| expenses              | 57,268) | .4) | 2,675) | .8) | ,608) | .8) |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Managements’          | (       | (2  | (4     | (3  | (40   | (3  |
| remuneration          | 30,291) | .4) | 1,344) | .0) | ,126) | .1) |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Profit before income  | 60,718  | 4.7 | 1      | 1   | 21    | 1   |
| tax                   |         |     | 59,631 | 1.7 | 3,098 | 6.1 |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Income tax            | (4,922) | (0  | (      | (0  | (1    | (0  |
|                       |         | .4) | 1,443) | .1) | ,931) | .1) |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Total comprehensive   | 55,796  | 4.3 | 1      | 1   | 21    | 1   |
|                       |         |     | 58,188 | 1.6 | 1,167 | 6.0 |
| income for the year   |         |     |        |     |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Earnings per share    | 0.15    |     | 0.42   |     | 0.55  |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Net profit            | 55,796  |     | 1      |     | 21    |     |
| attributable to:      |         |     | 58,188 |     | 1,167 |     |
|                       |         |     |        |     |       |     |
| Equity holders of the |         |     |        |     |       |     |
| parent                |         |     |        |     |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Un-appropriated       | 783,709 |     | 7      |     | 74    |     |
|                       |         |     | 20,806 |     | 6,986 |     |
| retained earnings     |         |     |        |     |       |     |
|                       |         |     |        |     |       |     |
| Beginning balance     |         |     |        |     |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Appropriated for      | (1      |     | (9     |     | (199  |     |
|                       | 33,399) |     | 5,285) |     | ,233) |     |
| -Dividend paid        |         |     |        |     |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| -Stock Dividend       | -       |     | -      |     | (34   |     |
|                       |         |     |        |     | ,649) |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Employee benefit      | (       |     | -      |     | -     |     |
| obligations           | 23,095) |     |        |     |       |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| -Legal reserve        | -       |     | -      |     | (3    |     |
|                       |         |     |        |     | ,465) |     |
+-----------------------+---------+-----+--------+-----+-------+-----+
| Ending balance        | 683,011 |     | 7      |     | 72    |     |
|                       |         |     | 83,709 |     | 0,806 |     |
+-----------------------+---------+-----+--------+-----+-------+-----+

STATEMENTS OF CASH FLOWS

(Unit: Thousand baht)

+-------------------------------------------+-------+-------+--------+
| Particular                                | Sep   |       |        |
|                                           | arate |       |        |
|                                           | F/S.  |       |        |
+-------------------------------------------+-------+-------+--------+
|                                           | 2011  | 2010  | 2009   |
+-------------------------------------------+-------+-------+--------+
| Cash flows from operating activities:     | 5     | 16    | 2      |
|                                           | 6,554 | 1,167 | 07,054 |
| Profit before income tax                  |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Adjustments to reconcile net profit to    | (469) | (44)  | (118)  |
| net cash                                  |       |       |        |
|                                           |       |       |        |
| provided by operating activities          |       |       |        |
|                                           |       |       |        |
| Unrealized gain on exchange rate          |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Reversal of doubtful accounts             | 320   | (7)   | (14)   |
+-------------------------------------------+-------+-------+--------+
| Reversal of loss on diminution of         | 4,700 | (583) | (491)  |
| inventories                               |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Loss(gain) on disposal of equipment and   | (62)  | (665) | 294    |
| written off                               |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Depreciation                              | 6     | 6     | 68,565 |
|                                           | 6,604 | 8,140 |        |
+-------------------------------------------+-------+-------+--------+
| Amortization of computer software         | -     | 182   | 338    |
+-------------------------------------------+-------+-------+--------+
| Provisions for employee benefit           | 3,074 | -     | -      |
| obligations                               |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Profit from operating activities before   | 13    | 22    | 2      |
| change                                    | 0,721 | 8,190 | 75,628 |
|                                           |       |       |        |
| in operational assets and liabilities     |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Decrease (increase) in operational assets | 4,383 | (13   | 42,807 |
|                                           |       | ,648) |        |
| Trade accounts receivables                |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Inventories                               | (31   | 9     | (4     |
|                                           | ,000) | 2,227 | 7,926) |
+-------------------------------------------+-------+-------+--------+
| Accounts receivable-planters              | 7,043 | (9    | (91)   |
|                                           |       | ,506) |        |
+-------------------------------------------+-------+-------+--------+
| Value added tax receivable                | (91)  | 13    | (415)  |
+-------------------------------------------+-------+-------+--------+
| Other current assets                      | (2    | (619) | 3,124  |
|                                           | ,299) |       |        |
+-------------------------------------------+-------+-------+--------+
| Other non-current assets                  | (1    | 268   | (      |
|                                           | ,849) |       | 2,241) |
+-------------------------------------------+-------+-------+--------+
| Increase (decrease) in operational        | (2    | (10   | 15,477 |
| liabilities                               | ,288) | ,080) |        |
|                                           |       |       |        |
| Trade accounts payable                    |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Accrued expenses                          | (9    | (2    | 8,525  |
|                                           | ,261) | ,582) |        |
+-------------------------------------------+-------+-------+--------+
| Other current liabilities                 | (932) | 1,070 | (232)  |
+-------------------------------------------+-------+-------+--------+
| Cash received from operation              | 9     | 28    | 2      |
|                                           | 4,427 | 5,333 | 94,656 |
+-------------------------------------------+-------+-------+--------+
| Income tax paid                           | (1    | (67)  | (70)   |
|                                           | ,492) |       |        |
+-------------------------------------------+-------+-------+--------+
| Net cash provided by operating activities | 9     | 28    | 2      |
|                                           | 2,935 | 5,266 | 94,586 |
+-------------------------------------------+-------+-------+--------+
| Cash flows from Investing Activities      | 15    | (250  | 90,000 |
|                                           | 0,000 | ,000) |        |
| Decrease (increase) in short-term         |       |       |        |
| investments                               |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Cash receipt from loan to related company | -     | 2     | -      |
|                                           |       | 4,500 |        |
+-------------------------------------------+-------+-------+--------+
| Proceeds from disposal of vehicle and     | 68    | 674   | 456    |
| equipment                                 |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Cash paid for acquisition of plant and    | (26   | (47   | (3     |
| equipment                                 | ,284) | ,772) | 3,828) |
+-------------------------------------------+-------+-------+--------+
| Cash paid for acquisition of computer     | (178) | (408) | -      |
| software                                  |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Net cash provided by (use in) Investing   | 12    | (273  | 56,628 |
| Activities                                | 3,606 | ,006) |        |
+-------------------------------------------+-------+-------+--------+
| Cash flows from financial activities      | (133  | (95   | (19    |
|                                           | ,297) | ,192) | 9,233) |
| Cash paid for dividends                   |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Net cash used in financing activities     | (133  | (95   | (19    |
|                                           | ,297) | ,192) | 9,233) |
+-------------------------------------------+-------+-------+--------+
| Net increase (decrease) in cash and       | 8     | (82   | 1      |
|                                           | 3,244 | ,932) | 51,981 |
| cash equivalents                          |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Cash and cash equivalents, Beginning of   | 15    | 24    | 90,490 |
| year                                      | 9,539 | 2,471 |        |
+-------------------------------------------+-------+-------+--------+
| Cash and cash equivalents, End of year    | 24    | 15    | 2      |
|                                           | 2,783 | 9,539 | 42,471 |
+-------------------------------------------+-------+-------+--------+
| Supplement disclosure of cash flows       | (24   | (46   | (3     |
| information                               | ,425) | ,104) | 3,326) |
|                                           |       |       |        |
| 1.Property, Plant and Equipment:-         | (1    | 1,523 | (502)  |
|                                           | ,859) |       |        |
| Acquisition of plant and equipment        |       | (44   | (3     |
|                                           | (26   | ,581) | 3,828) |
| during the year                           | ,284) |       |        |
|                                           |       |       |        |
| Increase (decrease) in payable from       |       |       |        |
|                                           |       |       |        |
| acquisition of assets                     |       |       |        |
|                                           |       |       |        |
| Cash paid for acquisition of plant and    |       |       |        |
|                                           |       |       |        |
| equipment                                 |       |       |        |
+-------------------------------------------+-------+-------+--------+
| 2.Cash paid for Dividends                 | (133  | (95   | (19    |
|                                           | ,399) | ,285) | 9,232) |
| Dividends paid                            |       |       |        |
|                                           | 102   | 93    | 311    |
| Increase in accrued dividends             |       |       |        |
|                                           | (133  | (95   | (19    |
| Cash paid for dividends                   | ,297) | ,192) | 8,921) |
+-------------------------------------------+-------+-------+--------+

STATEMENTS OF CASH FLOWS

(Unit: Thousand baht)

+-------------------------------------------+-------+-------+--------+
| Particular                                | Co    |       |        |
|                                           | nsoli |       |        |
|                                           | dated |       |        |
|                                           | F/S.  |       |        |
+-------------------------------------------+-------+-------+--------+
|                                           | 2011  | 2010  | 2009   |
+-------------------------------------------+-------+-------+--------+
| Cash flows from operating activities:     | 6     | 15    | 2      |
|                                           | 0,719 | 9,631 | 13,098 |
| Profit before income tax                  |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Adjustments to reconcile net profit to    | (631) | (35)  | (128)  |
| net cash                                  |       |       |        |
|                                           |       |       |        |
| provided by operating activities          |       |       |        |
|                                           |       |       |        |
| Unrealized gain on exchange rate          |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Reversal of doubtful accounts             | 320   | (7)   | (14)   |
+-------------------------------------------+-------+-------+--------+
| Reversal of loss on diminution of         | 4,700 | (583) | (491)  |
| inventories                               |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Loss(gain) on disposal of equipment and   | (62)  | (1    | 294    |
| written off                               |       | ,180) |        |
+-------------------------------------------+-------+-------+--------+
| Depreciation                              | 6     | 6     | 68,780 |
|                                           | 6,978 | 8,497 |        |
+-------------------------------------------+-------+-------+--------+
| Amortization of computer software         | -     | 182   | 338    |
+-------------------------------------------+-------+-------+--------+
| Amortization of withholding tax           | -     | 2     | -      |
+-------------------------------------------+-------+-------+--------+
| Provisions for employee benefit           | 3,146 | -     | -      |
| obligations                               |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Profit from operating activities before   | 13    | 22    | 2      |
| change in Operational assets and          | 5,170 | 6,507 | 81,877 |
| liabilities                               |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Decrease (increase) in operational assets | (1    | (8    | 39,654 |
|                                           | ,428) | ,640) |        |
| Trade accounts receivables                |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Inventories                               | (31   | 9     | (4     |
|                                           | ,000) | 2,227 | 7,925) |
+-------------------------------------------+-------+-------+--------+
| Accounts receivable-planters              | 7,043 | (9    | (91)   |
|                                           |       | ,506) |        |
+-------------------------------------------+-------+-------+--------+
| Value added tax receivable                | (120) | 5     | (168)  |
+-------------------------------------------+-------+-------+--------+
| Other current assets                      | (2    | (617) | 3,178  |
|                                           | ,488) |       |        |
+-------------------------------------------+-------+-------+--------+
| Other non-current assets                  | (1    | 268   | (      |
|                                           | ,849) |       | 2,241) |
+-------------------------------------------+-------+-------+--------+
| Increase (decrease) in operational        | (2    | (10   | 15,305 |
| liabilities                               | ,288) | ,079) |        |
|                                           |       |       |        |
| Trade accounts payable                    |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Accrued expenses                          | (9    | (2    | 8,623  |
|                                           | ,514) | ,781) |        |
+-------------------------------------------+-------+-------+--------+
| Other current liabilities                 | (845) | 1,081 | (301)  |
+-------------------------------------------+-------+-------+--------+
| Cash received from operation              | 9     | 28    | 2      |
|                                           | 2,681 | 8,465 | 97,911 |
+-------------------------------------------+-------+-------+--------+
| Income tax paid                           | (1    | (818) | (      |
|                                           | ,497) |       | 2,035) |
+-------------------------------------------+-------+-------+--------+
| Net cash provided by operating activities | 9     | 28    | 2      |
|                                           | 1,184 | 7,647 | 95,876 |
+-------------------------------------------+-------+-------+--------+
| Cash flows from Investing Activities      | 14    | (255  | 90,000 |
|                                           | 9,963 | ,563) |        |
| Decrease (increase) in short-term         |       |       |        |
| investments                               |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Increase in fixed deposits pledged as     | (180) | (75)  | (177)  |
| collateral                                |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Cash receipt from loan to related company | -     | 2     | -      |
|                                           |       | 4,500 |        |
+-------------------------------------------+-------+-------+--------+
| Proceeds from disposal of vehicle and     | 68    | 1,188 | 456    |
| equipment                                 |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Cash paid for acquisition of plant and    | (26   | (49   | (3     |
| equipment                                 | ,332) | ,551) | 3,879) |
+-------------------------------------------+-------+-------+--------+
| Cash paid for acquisition of computer     | (178) | (408) | -      |
| software                                  |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Net cash provided by (used in) Investing  | 12    | (279  | 56,400 |
| Activities                                | 3,341 | ,909) |        |
+-------------------------------------------+-------+-------+--------+
| Cash flows from financing activities      | (133  | (95   | (19    |
|                                           | ,297) | ,192) | 8,921) |
| Cash paid for dividends                   |       |       |        |
+-------------------------------------------+-------+-------+--------+
| Net cash used in financing activities     | (133  | (95   | (19    |
|                                           | ,297) | ,192) | 8,921) |
+-------------------------------------------+-------+-------+--------+
| Net increase (decrease) in cash and cash  | 8     | (87   | 1      |
| equivalents                               | 1,228 | ,454) | 53,355 |
+-------------------------------------------+-------+-------+--------+
| Cash and cash equivalents, Beginning of   | 18    | 26    | 1      |
| year                                      | 0,544 | 7,998 | 14,643 |
+-------------------------------------------+-------+-------+--------+
| Cash and cash equivalents, End of year    | 26    | 18    | 2      |
|                                           | 1,772 | 0,544 | 67,998 |
+-------------------------------------------+-------+-------+--------+
| Supplement disclosure of cash flows       | (24   | (47   | (3     |
| information                               | ,473) | ,883) | 3,377) |
|                                           |       |       |        |
| 1.Property, Plant and Equipment           | (1    | 1,523 | (502)  |
|                                           | ,859) |       |        |
| Acquisition of plant and equipment        |       | (46   | (3     |
|                                           | (26   | ,360) | 3,879) |
| during the year                           | ,332) |       |        |
|                                           |       |       |        |
| Increase (decrease) in payable from       |       |       |        |
|                                           |       |       |        |
| acquisition of assets                     |       |       |        |
|                                           |       |       |        |
| Cash paid for acquisition of plant and    |       |       |        |
|                                           |       |       |        |
| equipment                                 |       |       |        |
+-------------------------------------------+-------+-------+--------+
| 2.Cash paid for dividends                 | (133  | (95   | (19    |
|                                           | ,399) | ,285) | 9,232) |
| Dividends paid                            |       |       |        |
|                                           | 102   | 93    | 311    |
| Increase in accrued dividends             |       |       |        |
|                                           | (133  | (95   | (19    |
| Cash paid for dividends                   | ,297) | ,192) | 8,921) |
+-------------------------------------------+-------+-------+--------+

C. FINANCIAL RATIOS

+--------------------------------------+-------+------+------+-------+
| Particular                           | Sep   |      |      |       |
|                                      | arate |      |      |       |
|                                      | F/S.  |      |      |       |
+--------------------------------------+-------+------+------+-------+
|                                      | Unit  | 2011 | 2010 | 2009  |
+--------------------------------------+-------+------+------+-------+
| Liquidity Ratios                     | Time  | 10.9 | 10.0 | 8.3   |
|                                      |       |      |      |       |
| Current ratio                        |       |      |      |       |
+--------------------------------------+-------+------+------+-------+
| Quick ratio                          | Time  | 6.0  | 6.0  | 3.8   |
+--------------------------------------+-------+------+------+-------+
| Cash flow ratio                      | Time  | 1.2  | 3.1  | 3.5   |
+--------------------------------------+-------+------+------+-------+
| Account receivable turnover          | Time  | 22.4 | 26.1 | 19.6  |
+--------------------------------------+-------+------+------+-------+
| Debt collection period               | Days  | 16   | 14   | 18    |
+--------------------------------------+-------+------+------+-------+
| Inventory turnover                   | Time  | 3.2  | 2.9  | 2.4   |
+--------------------------------------+-------+------+------+-------+
| Good distribution ratio period       | Days  | 113  | 124  | 150   |
+--------------------------------------+-------+------+------+-------+
| Account payable turnover             | Time  | 28.6 | 23.2 | 22.1  |
+--------------------------------------+-------+------+------+-------+
| Debt payment period                  | Days  | 13   | 16   | 16    |
+--------------------------------------+-------+------+------+-------+
| Cash cycle                           | Days  | 116  | 122  | 152   |
+--------------------------------------+-------+------+------+-------+
| Profitability Ratios                 | %     | 17.3 | 23.9 | 29.5  |
|                                      |       |      |      |       |
| Gross profit margin                  |       |      |      |       |
+--------------------------------------+-------+------+------+-------+
| Operation profit margin              | %     | 2.7  | 9.0  | 15.0  |
+--------------------------------------+-------+------+------+-------+
| Cash ratio against making profit     | %     | 2    | 2    | 151.5 |
|                                      |       | 76.4 | 34.4 |       |
+--------------------------------------+-------+------+------+-------+
| Net profit margin                    | %     | 4.1  | 11.8 | 16.0  |
+--------------------------------------+-------+------+------+-------+
| Return on equity                     | %     | 4.5  | 12.7 | 17.3  |
+--------------------------------------+-------+------+------+-------+
| Efficiency Ratios                    | %     | 4.2  | 11.9 | 16.1  |
|                                      |       |      |      |       |
| Return on total assets               |       |      |      |       |
+--------------------------------------+-------+------+------+-------+
| Return on fixed assets               | %     | 27.9 | 49.7 | 56.5  |
+--------------------------------------+-------+------+------+-------+
| Total assets turnover                | Time  | 1.0  | 1.1  | 1.0   |
+--------------------------------------+-------+------+------+-------+
| Financial Policy Ratios              | Time  | 0.1  | 0.1  | 0.1   |
|                                      |       |      |      |       |
| Ratio debt against equity part       |       |      |      |       |
+--------------------------------------+-------+------+------+-------+
| Ability ratio in paying burden       | Time  | 1.2  | 1.6  | 1.3   |
+--------------------------------------+-------+------+------+-------+
| Dividends paid rate                  | %     | 1    | 83.5 | 92.0  |
|                                      |       | 01.6 |      |       |
+--------------------------------------+-------+------+------+-------+

+--------------------------------------+-------+------+------+-------+
| Particular                           | Co    |      |      |       |
|                                      | nsoli |      |      |       |
|                                      | dated |      |      |       |
|                                      | F/S.  |      |      |       |
+--------------------------------------+-------+------+------+-------+
|                                      | Unit  | 2011 | 2010 | 2009  |
+--------------------------------------+-------+------+------+-------+
| Liquidity Ratios                     | Time  | 11.0 | 10.1 | 8.4   |
|                                      |       |      |      |       |
| Current ratio                        |       |      |      |       |
+--------------------------------------+-------+------+------+-------+
| Quick ratio                          | Time  | 6.1  | 6.1  | 4.0   |
+--------------------------------------+-------+------+------+-------+
| Cash flow ratio                      | Time  | 1.1  | 3.1  | 3.5   |
+--------------------------------------+-------+------+------+-------+
| Account receivable turnover          | Time  | 24.0 | 28.1 | 20.6  |
+--------------------------------------+-------+------+------+-------+
| Debt collection period               | Days  | 15   | 13   | 17    |
+--------------------------------------+-------+------+------+-------+
| Inventory turnover                   | Time  | 3.2  | 2.9  | 2.4   |
+--------------------------------------+-------+------+------+-------+
| Good distribution ratio period       | Days  | 113  | 124  | 150   |
+--------------------------------------+-------+------+------+-------+
| Account payable turnover             | Time  | 28.6 | 23.2 | 22.1  |
+--------------------------------------+-------+------+------+-------+
| Debt payment period                  | Days  | 13   | 16   | 16    |
+--------------------------------------+-------+------+------+-------+
| Cash cycle                           | Days  | 115  | 121  | 151   |
+--------------------------------------+-------+------+------+-------+
| Profitability Ratios                 | %     | 18.9 | 24.8 | 30.9  |
|                                      |       |      |      |       |
| Gross profit margin                  |       |      |      |       |
+--------------------------------------+-------+------+------+-------+
| Operation profit margin              | %     | 2.8  | 8.5  | 15.0  |
+--------------------------------------+-------+------+------+-------+
| Cash ratio against making profit     | %     | 2    | 2    | 149.4 |
|                                      |       | 51.0 | 47.3 |       |
+--------------------------------------+-------+------+------+-------+
| Net profit margin                    | %     | 4.3  | 11.6 | 16.0  |
+--------------------------------------+-------+------+------+-------+
| Return on equity                     | %     | 4.8  | 12.5 | 17.5  |
+--------------------------------------+-------+------+------+-------+
| Efficiency Ratios                    | %     | 4.4  | 11.6 | 16.2  |
|                                      |       |      |      |       |
| Return on total assets               |       |      |      |       |
+--------------------------------------+-------+------+------+-------+
| Return on fixed assets               | %     | 28.7 | 49.3 | 57.4  |
+--------------------------------------+-------+------+------+-------+
| Total assets turnover                | Time  | 1.0  | 1.1  | 1.0   |
+--------------------------------------+-------+------+------+-------+
| Financial Policy Ratios              | Time  | 0.1  | 0.1  | 0.1   |
|                                      |       |      |      |       |
| Ratio debt against equity part       |       |      |      |       |
+--------------------------------------+-------+------+------+-------+
| Ability ratio in paying burden       | Time  | 1.1  | 1.6  | 1.3   |
+--------------------------------------+-------+------+------+-------+
| Dividends paid rate                  | %     | 95.6 | 84.3 | 90.3  |
+--------------------------------------+-------+------+------+-------+

2) Explanation and analysis financial situation

and operation result:

a) Practical result in business proceeding

In the year 2011, the company had sale volume amount 25,700 metric tons,
decreased from last year amount 800 metric tons or 3.0% and lower than
sale plan that put down at 1,300 metric tons or 4.8%.

b) Operation result

The Company obtained net profit-consolidated in 2011 amount 55.8 million
baht, decreased from 2010 amount 102.4 million baht or 64.7% with
following details:

(Unit: Million baht)

+------------------------------------------------------------+---------+
| Sales                                                      | (49.1)  |
|                                                            |         |
| Sale decreased from decreased of average exchange rate     |         |
+------------------------------------------------------------+---------+
| Sale increased from increased of average sales price       | 15.3    |
+------------------------------------------------------------+---------+
| Sale decreased from decreased of sale volume               | (47.3)  |
+------------------------------------------------------------+---------+
| Total Sales decreased                                      | (81.1)  |
+------------------------------------------------------------+---------+
| Cost of sales increased                                    | 20.9    |
+------------------------------------------------------------+---------+
| Gross profit decreased                                     | (102.0) |
+------------------------------------------------------------+---------+
| Gain on exchange rate decreased                            | (18.5)  |
+------------------------------------------------------------+---------+
| Other income increased                                     | 2.0     |
+------------------------------------------------------------+---------+
| Profit before expenses decreased                           | (118.5) |
+------------------------------------------------------------+---------+
| Selling expenses decreased                                 | (7.4)   |
+------------------------------------------------------------+---------+
| Administrative expenses increased                          | 4.4     |
+------------------------------------------------------------+---------+
| Managements’ remuneration decreased                        | (10.9)  |
+------------------------------------------------------------+---------+
| Income tax increased                                       | 2.6     |
+------------------------------------------------------------+---------+
| Total Expenses decreased                                   | (11.3)  |
+------------------------------------------------------------+---------+
| Net Profit Decreased - Separate                            | (107.2) |
+------------------------------------------------------------+---------+
| Net Profit from Subsidiary (Agrifood) increased            | 4.8     |
+------------------------------------------------------------+---------+
| Net Profit Decreased - Consolidated                        | (102.4) |
+------------------------------------------------------------+---------+

c) Financial situation

At December 31, 2011, the company had the assets amount 1,256 million
baht, decreased from last year 89 million baht by having decreased of
cash, deposit and short term investment amount 67 million baht, account
receivable-trade decreased amount 4 million baht, inventories increased
amount 26 million baht, net fixed assets decreased amount 42 million
baht and other assets decreased amount 2 million baht.

The ratio of liquidity of the company is at level 11.0 and ratio of
quick liquidity is at level 6.0 which is very good whereas the company
has ratio of debt against shareholders equity at level 0.09:1 only.

The Company has its expense for investment in fixed assets amount 26
million baht by using from financial source that derived from the
company operation.

For subsidiary company, in 2011, Agrifood Processing Co., Ltd., had the
total assets amount 55.8 million baht, total liabilities amount 18.2
million baht and shareholders’ equity amount 37.6 million baht.

d) Factor and main influence that may affect on

operation or financial situation in future

In the year 2012, the company believes that it would exportable approx.
27,000 metric tons and expects that the operation result would
neighboring with the year 2011.