4.  Nature of Business by business category

  The company is engaged in the manufacture of computer monitors, LCD-TV
  and printed board assemblies for monitor.

1.  Company, its Subsidiary and Associated Companies’ Nature of Business

  The Company manufactures, sells and service computer monitors with its
  manufacturing operation in Thailand where computer monitor are
  produced and sold under its customers’ brand names (OEM customers).
  The Companies’ sales transactions are generated through an associated
  company in Hong Kong and after sales services are provided through
  associated companies. The structure was greatly signified in 2003 and
  many associated companies were closed down or put into liquidation, as
  set out below.

  Before 2000, the Company also assembled Printed Circuit Boards for
  computer monitors manufactured by its associated company, Capetronic
  (Kaohsiung) Corporation (“CKC”). However, the Company stopped
  producing Printed Circuit Board in the third quarter of 1999 as per
  management’s decision to transfer computer monitor production from
  Taiwan to Thailand and Capetronic (Kaohsiung) Corporation ceased its
  operation by the end of 1999.

The Company’s investment structure

+----------------------------+-------------+--------+-----------------+
| Name of Company            | Place of    | Inve   | Investment      |
|                            | r           | stment | proportion by   |
|                            | egistration | prop   | Capetronic      |
|                            |             | ortion | Computer        |
|                            |             |        | Products        |
|                            |             |        | Holdings        |
|                            |             |        | Limited         |
|                            |             |        |                 |
|                            |             |        | or              |
|                            |             |        |                 |
|                            |             |        | Capetronic      |
|                            |             |        | Computer        |
|                            |             |        | Peripherals     |
|                            |             |        | Holdings        |
|                            |             |        | Limited         |
+----------------------------+-------------+--------+-----------------+
| Capetronic (Thailand)      | Thailand    | 100%   | -               |
| Limited                    |             |        |                 |
+----------------------------+-------------+--------+-----------------+
| Capetronic Computer        | British     | 50%    | -               |
| Products Holdings Ltd.     | Virgin      |        |                 |
|                            | Island      |        |                 |
+----------------------------+-------------+--------+-----------------+
| Capetronic Computer        | Bahamas     | 50%    | -               |
| Peripheral Holdings Ltd.   |             |        |                 |
+----------------------------+-------------+--------+-----------------+
| Capetronic (Kaohsiung)     | Taiwan      | -      | 97.3% in common |
| Corporation.               |             |        | stock           |
|                            |             |        |                 |
|                            |             |        | 100% in         |
|                            |             |        | preferred stock |
+----------------------------+-------------+--------+-----------------+
| Capetronic Computer USA    | Bermuda     | -      | 100%            |
| (HK) Ltd.                  |             |        |                 |
+----------------------------+-------------+--------+-----------------+
| Capetronic China (Panyu)   | Hong Kong   | -      | 100%            |
| Ltd.                       |             |        |                 |
+----------------------------+-------------+--------+-----------------+
| Capetronic (UK) Ltd.       | U.K.        | -      | 100%            |
+----------------------------+-------------+--------+-----------------+
| Capetronic Computer Inc.   | USA         | -      | 100%            |
+----------------------------+-------------+--------+-----------------+
| Capetronic Computer Sales  | Hong Kong   | -      | 100%            |
| Ltd.                       |             |        |                 |
+----------------------------+-------------+--------+-----------------+
| Capetronic Computer        | British     | -      | 100%            |
| International Ltd.         | Virgin      |        |                 |
|                            | Island      |        |                 |
+----------------------------+-------------+--------+-----------------+
| Capetronic International   | Hong Kong   | -      | 100%            |
| Export Ltd.                |             |        |                 |
+----------------------------+-------------+--------+-----------------+
| Capetronic Management      | Hong Kong   | -      | 100%            |
| Services Ltd.              |             |        |                 |
+----------------------------+-------------+--------+-----------------+
| Capetronic Computer USA    | British     | -      | 100%            |
| (HK) Limited               | Virgin      |        |                 |
|                            | Island      |        |                 |
+----------------------------+-------------+--------+-----------------+
| Capetronic Multimedia      | Singapore   | -      | 100%            |
| Development Pte Ltd.       |             |        |                 |
+----------------------------+-------------+--------+-----------------+
| Capetronic USA             | USA         | -      | 100% through    |
| Manufacturing Inc.         |             |        | Capetronic      |
|                            |             |        | Computer Inc.   |
+----------------------------+-------------+--------+-----------------+
| Capetronic Computer USA    | USA         | -      | 100% through    |
| (HK) Inc                   |             |        | Capetronic      |
|                            |             |        | Computer Inc.   |
+----------------------------+-------------+--------+-----------------+
| Teletech Sales Ltd.        | Thailand    | 20%    | -               |
+----------------------------+-------------+--------+-----------------+

  The Company’s investment structure classified by nature of business:

Manufacturing

Name of Company Nature of business

1. Capetronic International (Thailand) Plc. Manufacturer of Computer
Monitors /LCD-TV (Thailand)

 Sales

Name of Company Nature of business

 1. Capetronic Computer USA (HK) Ltd. (BVI) Sale of computer monitors, contact customers for Cape Group, located in Hong Kong.

 2. Capetronic Computer Sales Ltd. Sale of computer monitors, contact customers for Cape Group, located in Hong Kong.

 3. Capetronic Computer International Ltd. Sale of computer monitors, contact customers for Cape Group, located in Hong Kong.

4. Teletech Sales Ltd. Sale of televisions.

Services

Name of Company Nature of business

1. Capetronic (UK) Ltd. Provides after sales services in Europe, located in U.K.

2. Capetronic USA Manufacturing Inc. Provides after sales services in the USA, located in USA

3. Capetronic Multimedia Development Pte Ltd Research and Development

Investment 

Name of Company Nature of business

1. Capetronic Computer Products Holdings Ltd Holding Company

2. Capetronic Computer Peripherals Holdings Holding Company

Ltd

3. Capetronic Computer Inc. Holding Company

 Management 

Name of Company Nature of business

1. Capetronic International Export Ltd. Provision of management services

2. Capetronic Management Services Ltd Provision of management services

 Dormant Under Liquidation 

Name of Company Nature of business

  ----------------------------------- -----------------------------------
  1.Caeptronic Computer Products      Liquidation completed
  Holdings Limited                    

  2. Capetronic (UK) Limited          Cease operations/in liquidation

  3. Capetronic Computer              Liquidation completed
  International Limited               

  4. Capetronic Computer Sales        Cease operations
  Limited                             

  5. Capetronic Management Services   Liquidation completed
  Limited                             

  6. Capetronic USA Manufacturing     Cease operations/in liquidation
  Limited                             

  7. Capetronic International Export  Liquidation completed
  Limited                             

  8. Capetronic China (Panyu) Limited Liquidation completed

  9. Capetronic Computer Inc.         Liquidation completed

  10.Capetronic Computer USA HK       Liquidation completed
  Limited – Bermuda                   

  11.Capetronic (Kaohsiung)           Liquidation completed
  Corporation                         

  12.Capetronic Computer USA (HK)     Liquidation completed
  Inc.                                

  13. Capetronic computer USA (HK)    Cease Operations /In Liquidation
  Limited – BVI                       

  14.Capetronic (Thailand) Ltd.       Cease operations upon the transfer
                                      of its computer monitor production
                                      to Capetronic International
                                      (Thailand) PLC. Its original
                                      objective was the manufacture of
                                      computer monitors during the
                                      initial phase of operations.
  ----------------------------------- -----------------------------------

 Structure of the Company, its Subsidiary and Associated Companies as of 31^(st) December 2003

2.  Structure of Revenues

(Unit : Million Baht)

+----------+---------+------+------+-----+------+-----+-------+----+
| PRODUCT  | COMPANY | % OF | 2003 |     | 2002 |     | 2001  |    |
+----------+---------+------+------+-----+------+-----+-------+----+
|          |         | HOL  | REVE | %   | REVE | %   | REV   | %  |
|          |         | DING | NUES |     | NUES |     | ENUES |    |
+----------+---------+------+------+-----+------+-----+-------+----+
|          |         |      |      |     |      |     |       |    |
+----------+---------+------+------+-----+------+-----+-------+----+
| COMPUTER | CTL -   | 100  | -    | -   | -    | -   | -     | -  |
|          | export  |      |      |     |      |     |       |    |
| MONITO   |         | -    | -    | -   | -    | -   | -     | -  |
| R/LCD-TV | - local |      |      |     |      |     |       |    |
+----------+---------+------+------+-----+------+-----+-------+----+
|          | CITL -  | -    | 78   | 98  | 130  | 82  | 5,405 | 99 |
|          | export  |      |      |     |      |     |       |    |
|          |         | -    | 2    | 2   | 29   | 18  | 25    | 1  |
|          | - local |      |      |     |      |     |       |    |
+----------+---------+------+------+-----+------+-----+-------+----+
|          |         |      |      |     |      |     |       |    |
+----------+---------+------+------+-----+------+-----+-------+----+
| PRINTED  | CTL -   | 100  | -    | -   | -    | -   | -     | -  |
| CIRCUIT  | export  |      |      |     |      |     |       |    |
|          |         | -    | -    | -   | -    | -   | -     | -  |
| BOARD    | - local |      |      |     |      |     |       |    |
| AS       |         |      |      |     |      |     |       |    |
| SEMBLIES |         |      |      |     |      |     |       |    |
+----------+---------+------+------+-----+------+-----+-------+----+
|          | CITL -  | -    | -    | -   | -    | -   | -     | -  |
|          | export  |      |      |     |      |     |       |    |
|          |         | -    | -    |     | -    |     |       |    |
|          | - local |      |      |     |      |     |       |    |
+----------+---------+------+------+-----+------+-----+-------+----+
|          | Total - |      | 78   | 98  | 130  | 82  | 5,405 | 99 |
|          | export  |      |      |     |      |     |       |    |
|          |         |      | 2    | 2   | 29   | 18  | 25    | 1  |
|          | Total - |      |      |     |      |     |       |    |
|          | local   |      |      |     |      |     |       |    |
+----------+---------+------+------+-----+------+-----+-------+----+
|          | Grand   |      | 80   | 100 | 159  | 100 | 5,430 | 1  |
|          | total   |      |      |     |      |     |       | 00 |
+----------+---------+------+------+-----+------+-----+-------+----+

  Remark : CTL = Capetronic (Thailand) Limited

  CITL = Capetronic International (Thailand) Public Company Limited