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.

Due to the world economic slump caused by the sub-prime debacle in
America and the higher inflation led to the slow down of overall
country's economy in 2007, which has also been exacerbated by the higher
petroleum prices and instability of domestic politic that led to the
significant decrease in purchasing power. Both domestic and
international factors resulted in the negative effects in broader
picture of the country as a whole which inevitably included books
business - our main business.

However, the Company still maintains its fundamental strength in
business by being the largest bookstore chains with highest number of
branches spread all over the country, and also remain the top sales. The
company can grow in commensurate with the growth of overall books
business and can support the opening of more new branches in shopping
malls and in many forms of modern trade stores to pave way for the
future growth. Thus, the Company should not be affected much, while
still expanded continuously in the direction of relatively low business
risk. This also renders the Company a solid financial status with
appropriate liquidity to create proper value and benefit to shareholder
at the satiable level. The main operations in 2007 were as follow:

-   The company's total revenue of the year rose by THB 3,949.59 million
    or growth 6.01% from the same period last year. The sales revenue
    accounted for THB 3,898.25 million, or up 5.91%.

-   The net profit of the year 2007 was THB 183.80 million, or a
    decrease of 12.14% from the same period last year, which in
    exception of the effect from the change of tax rate increase from
    25% to 30%, the Company's profit will be reduced to 4.96%, which was
    the result of substantial expense that came from the largest number
    of stores opening up happening last year alone, ever since we have
    been in this bookstore business. All branches cannot readily create
    sufficient income to sustain the sudden rise of expense, while the
    sales of older stores decreased slightly.

-   For the year 2007, the company has opened more 52 new branches.
    Total bookstores branches now becomes 268 branches and selling point
    now become 91 selling points.

    In 2007, the Company has reduced the registered capital to comply
    with the board of direction decision during the meeting 4/2007 dated
    September 19, 2007, which approved the reduction of capital through
    writing-off of treasury stock for share of 19.78 million shares,
    resulted in the remaining balance of share 328.35 shares. The
    Company has registered for the reduction of Capital on October 24,
    2007.

The Board of Directors considered and approved the dividend payment for
2007, with the operating performance at the rate of THB 0.56 per share,
totaling 181,323,419.30. However, the Company has already paid some
interim dividend of the first three quarter at THB 0.30 per share,
totaling THB 97,103,925.50, and additional dividend of this period will
be THB 0.26 per share, for 323,921,130 shares which were the latest
registered shares, dated on January 22, 2008 that led to overall payment
of THB 84,219,493.80, with the setting date of payment to be on May 28,
2008 and closing date for the Company's share registration to be on May
15, 2008, at 12:00 a.m.

As the company emphasizes the continuous effort in the development of
good corporate governance, this effort has finally shown its result in
2007 as follow:

-   The company received the “Board of The Year for Distinctive
    Practices” award, 2006/2007 from Thai Institute of Director or IOD
    co-operated with The Stock Exchange of Thailand, Board of Trade of
    Thailand, Federation of Thai Industries, The Thai Bankers’
    Association, Thai Listed Companies Association, and Federation of
    Thai Capital Market Organizations. The awards were granted to19
    companies for 2006/2007 (14 companies with distinctive practices
    award and 5 companies for Exemplary Practices award) from more than
    400 listed companies. SE-ED was one of the two middle market capital
    Market Cap (less than 5,000 million Baht) companies that took home
    the award this year. Others were large market capital companies,
    most of them have been in the energy and banking business sector.

-   The company was rated as “Excellent” with over 100 scored in the
    2007th valuation in the Annual General Meeting (AGM) of the
    shareholders by the Securities and Exchange Commission in cooperate
    with the Listed Companies Association and the Thai Investors
    Association to increase awareness of stockholder’s rights and good
    corporate governance principles. Additionally, the company has been
    1 in 19 good example company of 460 listed company.

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