5. Property used in business activities

5.1 Core assets of NSM

+-----------------------+-------------+--------------+----------------+
| Type of assets        | Type of     | Net book     | Net book value |
|                       |  possession | value as at  | as at          |
|                       |             | 31/12/2004   | 31/12/2003     |
|                       |             |              |                |
|                       |             | (Million     | (Million Baht) |
|                       |             | Baht)        |                |
+-----------------------+-------------+--------------+----------------+
| Land *                | Owner       | 569.00       | 569.00         |
+-----------------------+-------------+--------------+----------------+
| Building *            | Owner       | 3,259.69     | 3,535.18       |
+-----------------------+-------------+--------------+----------------+
| Plant and machinery * | Owner       | 11,485.99    | 11,725.77      |
+-----------------------+-------------+--------------+----------------+
| Furniture and fixture | Owner       | 7.70         | 8.85           |
+-----------------------+-------------+--------------+----------------+
| Office equipment      | Owner       | 21.56        | 4.55           |
+-----------------------+-------------+--------------+----------------+
| Vehicles              | Owner       | 0.48         | 0.01           |
+-----------------------+-------------+--------------+----------------+
| Construction in       | Owner       | 9,100.14     | 8,841.59       |
| progress *            |             |              |                |
+-----------------------+-------------+--------------+----------------+
| Total                 |             | 24,444.56    | 24,684.95      |
+-----------------------+-------------+--------------+----------------+

  Note: *The Company’s land, buildings, machinery and equipment and
  construction in progress pertaining to core facilities are
  collaterized for MRA debt amounting to US$ 200 million.

5.2 Intangible Assets

+-------------------------------+------------------+------------------+
| Type of assets                | Net book value   |   Net book value |
|                               | as at 31/12/04   |   as at 31/12/03 |
|                               |                  |                  |
|                               | (Million Baht)   |   (Million Baht) |
+-------------------------------+------------------+------------------+
| Computer software             | 19.46            | 29.14            |
+-------------------------------+------------------+------------------+
| License*                      | 126.68           | 128.31           |
+-------------------------------+------------------+------------------+
| Deferred charges              | 0.55             | 0.55             |
+-------------------------------+------------------+------------------+
| Total                         | 146.69           | 158.00           |
+-------------------------------+------------------+------------------+

  Note*: The Company was granted a license from Inco Ltd. On 23 January
  1996 to use know-how and trade secrets regarding design, construction
  and DRI plant including DRI production process. In addition, the
  Company was granted a license to use Consteel Process technique which
  has developed by Intersteel Technology Inc.

5.3 Investment Policy

  Presently, the Company has no capital investment policy. If there is
  in the future, the Company will adhere to the business plan and does
  not intend to invest in business not relevant to production and
  distribution of thin-slab steel.