2.  Business Operation

According to the business restructuring of The Siam Cement Group, in
2003, the Company added and lessened some investments as summarized
herewith: sold investment in Siam NGK Technocera Co., Ltd., and part of
investment in Thai Tokai Carbon Product Co., Ltd.; sold investments and
stock warrants in Millennium Steel Pcl. Regarding to the additional
investment, the Paper and Packaging Business purchased Phoenix Pulp and
Paper Pcl., United Pulp and Paper Co., Inc., Philippines (UPPC), and
Thai Cane Paper Pcl. The Petrochemicals Business, formed a joint venture
with Mitsui Chemicals in Thai PET Resin Co., Ltd. to produce
Polyethylene Terephthalic (PET), raw material for PET bottles. The
Building Products Business joined with Lafarge Roofing to set up Lafarge
Siam Roofing Co., Ltd., to produce clay roof tiles.

In 2004, the company added and lessened some investments as summarized
herewith:

-   The Paper and Packaging Business increased investment stakes in
    Phoenix Pulp and Paper Pcl. and Thai Cane Paper Pc. to 98.68% and
    57.59%, respectively.

-   The Siam Cement Pcl. increased investment stakes in The Siam Pulp
    and Paper Pcl. and Thai Plastic and Chemicals Pcl. to 98.13% and
    39.61%, respectively.

-   Sold some investment in The Siam Kubota Industry Co., Ltd., The
    Millennium Steel Pcl. And The Aeromatics (Thailand) Pcl.

Since The Siam Cement Pcl. has become a holding company, aiming for a
transparent management, efficient resource management, strong long-term
business strategy and good governance, it has organized its structure as
follows:

-   Five Strategic Business Units, comprising Petrochemical, Paper and
    Packaging, Cement, Building Products and Distribution.

-   Two Holding Companies, consisting of, Cementhai Holding Co., Ltd.
    and Cementhai Property (2001) PCL.

  Attribute of each business unit is summarized hereunder:

Petrochemicals Business

A holding company called “Cementhai Chemicals Co., Ltd.” looks after The
Petrochemicals Business of The Siam Cement Group. The Business is an
integrated producer of both upstream products (Olefins) and downstream
products (Polyolefins).

+---------------------+------------------------------------------------+
| Key Information     |                                                |
+---------------------+------------------------------------------------+
| Capacity            | 1.1 Million tons per year (Polyolefins) ( 35%  |
|                     | of Total Domestic’s Capacity)                  |
+---------------------+------------------------------------------------+
| Main Products       | Olefins, and Polyolefins.                      |
+---------------------+------------------------------------------------+
| Strengths           | -   High competitive advantage in upstream     |
|                     |     products.                                  |
|                     |                                                |
|                     | -   Low olefins/ polyolefins production costs. |
+---------------------+------------------------------------------------+
| Major Business      | -   Emphasize polyolefins product portfolio    |
| Policy              |     with high competitive advantage.           |
|                     |                                                |
|                     | -   Become a regional leader for olefins/      |
|                     |     polyolefins.                               |
+---------------------+------------------------------------------------+
| Business            | -   Seek business opportunities in local and   |
| Development Policy  |     foreign industries, especially in olefins/ |
|                     |     polyolefins.                               |
+---------------------+------------------------------------------------+

Paper and Packaging Business

The Siam Pulp and Paper Public Company Limited was established in 1980
by The Siam Cement Co., Ltd. (at that time) and Siam Kraft Co., Ltd., to
produce and sell pulp. Its original capital was Baht 100 million under
the name of The Siam Pulp and Paper Co., Ltd. In 1994, it was converted
into a public company under the current name with a capital of Baht
1,400 million. Its capital is now Baht 1,536 million and was delisted
from the Stock Exchange of Thailand.

The Siam Pulp and Paper Public Company Limited and subsidiaries are the
country only integrated producers of high quality pulp, paper, and
containers. Their chief businesses are Pulp, Printing and Writing Paper,
Packaging Paper, and Containers.

+---------------------+------------------------------------------------+
| Key Information     |                                                |
+=====================+================================================+
| Capacity            | Packaging paper 1,410,000 Tons per year        |
|                     |                                                |
|                     | (52% of Total Domestic’s Capacity)             |
|                     |                                                |
|                     | Pulp 643,000 Tons per year                     |
|                     |                                                |
|                     | (58% of Total Domestic’s Capacity)             |
|                     |                                                |
|                     | Printing and writing paper 340,000 Tons per    |
|                     | year                                           |
|                     |                                                |
|                     | (32% of Total Domestic’s Capacity)             |
+---------------------+------------------------------------------------+
| Main Products       | Kraft paper, corrugated paper boxes, pulp and  |
|                     | printing & writing paper.                      |
+---------------------+------------------------------------------------+
| Strengths           | -   Only integrated producer of pulp, paper,   |
|                     |     and containers in Thailand.                |
|                     |                                                |
|                     | -   World-class quality.                       |
|                     |                                                |
|                     | -   Continuously create innovative production  |
|                     |     and services.                              |
|                     |                                                |
|                     | -   Strong domestic channel of distribution    |
|                     |     and marketing system. Exports throughout   |
|                     |     the world available.                       |
|                     |                                                |
|                     | -   Efficient production cost control.         |
|                     |                                                |
|                     | -   Total Quality Management – TQM.            |
+---------------------+------------------------------------------------+
| Major Business      | -   Maintain domestic market leadership.       |
| Policy              |                                                |
|                     | -   Go to regional leadership for pulp and     |
|                     |     paper.                                     |
|                     |                                                |
|                     | -   Sustainable grow for a valuable return to  |
|                     |     shareholders and stakeholders              |
|                     |                                                |
|                     | -   Conserve environment.                      |
+---------------------+------------------------------------------------+
| Business            | -   Seek opportunities in expanding its        |
| Development Policy  |     business by purchasing, merging with pulp  |
|                     |     and paper producer both domestic and       |
|                     |     overseas.                                  |
|                     |                                                |
|                     | -   Improve existing machine to get higher     |
|                     |     efficiency.                                |
|                     |                                                |
|                     | -   Develop knowledge, skill and experience    |
|                     |     for all level of employee to maintain      |
|                     |     competitive advantage to achieve a         |
|                     |     regional leader.                           |
+---------------------+------------------------------------------------+

Cement Business 

The Siam Cement Industry Co., Ltd., founded on November 11, 1998, upon
the transfer of all cement related assets from The Siam Cement Pcl., who
is a 100% shareholder. The Business produces 5 main items of cement
products including grey cement, ready-mixed concrete products, dry
mortar, white cement and refractory. It also provides plant and
machinery installation and maintenance service, instrument metrological
service, and energy conservation consultation.

+---------------------+------------------------------------------------+
| Key Information     |                                                |
+=====================+================================================+
| Capacity            | 23 Million tons per year (42% of domestic’s    |
|                     | capacity)                                      |
+---------------------+------------------------------------------------+
| Main Products       | Grey cement, ready-mixed concrete, dry mortar, |
|                     | white cement, fireclay bricks, and special     |
|                     | refractory.                                    |
+---------------------+------------------------------------------------+
| Brand               | -   Cement: Elephant, Tiger Brands and Tiger   |
|                     |     Plus                                       |
|                     |                                                |
|                     | -   Ready-mixed concrete: CPAC Brand           |
+---------------------+------------------------------------------------+
| Major Business      | -   Step up as a regional leader.              |
| Policy              |                                                |
|                     | -   Maintain price level and market stability. |
|                     |     Enhance its domestic market leadership.    |
|                     |                                                |
|                     | -   Continuously conserve natural resources    |
|                     |     and environment as well as join creative   |
|                     |     activity with local community and social   |
|                     |     development program.                       |
+---------------------+------------------------------------------------+
| Business            | -   Continuously develop and improve product   |
| Development Policy  |     quality.                                   |
|                     |                                                |
|                     | -   Continuously reduce costs and expenses,    |
|                     |     especially energy costs and raw material   |
|                     |     costs, with fuel and raw material          |
|                     |     substitutes.                               |
|                     |                                                |
|                     | -   Develop knowledge, skills, and competency  |
|                     |     for every employee with assorted method.   |
|                     |                                                |
|                     | -   Bring innovative idea to develop product   |
|                     |     and working process.                       |
+---------------------+------------------------------------------------+

Building Products Business

The Cementhai Building Products Co., Ltd. was established to concentrate
in the production of building and related products of the Group. The
Company employs modern production technology and quality control along
with its experts, enabling the Business to become market leaders for
both domestic market and ASEAN countries.

+--------------------+-------------------------------------------------+
| Key Information    |                                                 |
+====================+=================================================+
| Capacity           |   Fibre-cement roof tile 102 Million Sq. M. per |
|                    |   year (48% of domestic ’s capacity)            |
|                    |                                                 |
|                    |   Concrete roof tile 16 Million Sq. M. per year |
|                    |   (51% of domestic ’s capacity)                 |
|                    |                                                 |
|                    |   Ceramic tile 53 Million Sq. M. per year (35%  |
|                    |   of domestic’s capacity)                       |
|                    |                                                 |
|                    | Concrete products 1.6 Million Sq. M. per year   |
+--------------------+-------------------------------------------------+
| Main Products      | -   Roofing products: fibre-cement roof tile,   |
|                    |     concrete roof tile, and ceramic roof tile.  |
|                    |                                                 |
|                    | -   Ceramic floor and wall tile.                |
|                    |                                                 |
|                    | -   Concrete blocks, concrete floor tiles, and  |
|                    |     precast concrete slabs.                     |
+--------------------+-------------------------------------------------+
| Brand              | -   Roofing products: Elephant, Tiger, CPAC     |
|                    |     Monier, and Excella.                        |
|                    |                                                 |
|                    | -   Ceramic floor and wall tiles: COTTO, SOSUCO |
|                    |     and SGI.                                    |
|                    |                                                 |
|                    | -   Concrete blocks, concrete floor tiles, and  |
|                    |     precast concrete slabs: CPAC                |
+--------------------+-------------------------------------------------+
| Strengths          | -   Market leader with consistent product       |
|                    |     development.                                |
|                    |                                                 |
|                    | -   Low production costs.                       |
|                    |                                                 |
|                    | -   Good distribution network: exclusive dealer |
|                    |     network.                                    |
+--------------------+-------------------------------------------------+
| Major Business     | -   Maintain market leadership by developing    |
| Policy             |     products and services that highest respond  |
|                    |     to customer needs.                          |
|                    |                                                 |
|                    | -   Extend exports, especially ceramic tiles.   |
|                    |                                                 |
|                    | -   Continuously develop organization and       |
|                    |     employees.                                  |
+--------------------+-------------------------------------------------+
| Business           | -   Develop innovative idea in developing a     |
| Development Policy |     product, production and working process.    |
|                    |                                                 |
|                    | -   Build growth by adding related new products |
|                    |     and services.                               |
|                    |                                                 |
|                    | -   Enhance a strong leadership of building     |
|                    |     products in ASEAN by expanding production   |
|                    |     bases to Vietnam, Laos, and Cambodia.       |
|                    |                                                 |
|                    | -   Encourage new product usage and develop new |
|                    |     market for ceramic tiles and concrete       |
|                    |     paving blocks.                              |
+--------------------+-------------------------------------------------+

Distribution Business 

Cementhai Distribution Co., Ltd. was established in accordance to the
Group’s restructuring plan in 1998 as a holding company for local and
overseas trading, selling and distribution, for building products and
home mart products. Core companies are:

-   Cementhai Sales and Marketing Co., Ltd.: Local selling.

-   Cementhai Logistics Co., Ltd.: Distribution, including logistics and
    domestic warehouse management.

-   SCT Co., Ltd.: International trading.

-   Cementhai Retail Co., Ltd.: Retailing of home mart products via
    Cementhai Home Mart network.

In addition, The Company indirectly invests in 2 jetty companies, i.e.
Thai Prosperity Terminal Co., Ltd. and Rayong Bulk Terminal Co., Ltd.

The Distribution Business has attained high turnover in the country,
valuing Baht 68,558 million, Baht 56,551 million and Baht 52,191 million
in 2004, 2003 and 2002 respectively. Over 50,000 product items from the
Group and external companies are presented. Non-group products will be
added to increase the assortment in the future.

Vision

The Company has a strong determination to provide distribution and
trading service to particularly respond to customer needs and
satisfaction in construction and home improvement in ASEAN.

+---------------------+------------------------------------------------+
| Key Information     |                                                |
+=====================+================================================+
| Main Products       | Group products and external products.          |
|                     | Cementhai Home Mart.                           |
+---------------------+------------------------------------------------+
| Strengths           | Distribution network throughou                 |
|                     | t the country to serve every customer segment. |
|                     |                                                |
|                     | -   Modern, accurate, and fast transportation  |
|                     |     network and warehouse management.          |
|                     |                                                |
|                     | -   Fourteen foreign branches all over the     |
|                     |     world.                                     |
|                     |                                                |
|                     | -   Well-accepted products.                    |
+---------------------+------------------------------------------------+
| Major Business      | -   Enhance stronger existing business whereas |
| Policy              |     creating continuous growth for new         |
|                     |     potential business.                        |
+---------------------+------------------------------------------------+
| Business            | -   Enhance logistics business and efficiently |
| Development Policy  |     increase the distribution system for both  |
|                     |     domestic and overseas.                     |
|                     |                                                |
|                     | -   Develop both domestic and overseas         |
|                     |     channels of distribution.                  |
|                     |                                                |
|                     | -   Improve key fundamentals in distribution   |
|                     |     business.                                  |
|                     |                                                |
|                     | -   IT development                             |
|                     |                                                |
|                     | -   Organization development                   |
|                     |                                                |
|                     | -   Effective management system                |
|                     |                                                |
|                     | -   Synergy and benchmarking                   |
+---------------------+------------------------------------------------+

Cementhai Holding

Cementhai Holding Co., Ltd. oversees investments in non-core businesses,
fair-returned businesses, and the businesses that the Group is reducing
its role, mainly some joint ventures, i.e. tire and automotive parts,
electrical components, agricultural machines, and steel. Business policy
consists of cost and expense control, new product, new overseas market,
and product development to respond to customer needs. The ultimate
objective is to develop operational capability and achieve highest
operating performance and cash generation.

Cementhai Property

Cementhai Property (2001) Co., Ltd., formerly named Siam Tyre Co., Ltd.,
was founded as a private company on October 9, 1962 and became a public
company on February 7, 1994. On December 13, 2001, its name was altered
to Cementhai Property (2001) Public Company Limited to act as a holding
company to manage the Group industrial estate.

Cementhai Property Business is determined to add highest value to all
stakeholders by being a solution provider for industrial estate
customers, being a property and office building manager, as well as
finding opportunity to maximize highest value in the future.

Revenue Structure for 2004

+--------------------+--------+--------+----------+---------+----------+
|                    |        |        |          |         | Million  |
|                    |        |        |          |         | Baht     |
+====================+========+========+==========+=========+==========+
|                    | Net    | Other  | Total    | Sales   | Equity   |
|                    | sales  |        |          |         | in       |
|                    |        | Re     | Revenues | Pro     | As       |
|                    |        | venues |          | portion | sociated |
|                    |        |        |          | (%)     | Co       |
|                    |        |        |          |         | mpanies* |
+--------------------+--------+--------+----------+---------+----------+
| Petrochemicals     | 75,185 | 486    | 75,671   | 31.34   | 5,594    |
| Business           |        |        |          |         |          |
+--------------------+--------+--------+----------+---------+----------+
| Paper and          | 38,265 | 165    | 38,430   | 15.91   | 43       |
| Packaging Business |        |        |          |         |          |
+--------------------+--------+--------+----------+---------+----------+
| Cement Business    | 36,658 | 366    | 37,024   | 15.33   | -        |
+--------------------+--------+--------+----------+---------+----------+
| Building Products  | 20,542 | 183    | 20,725   | 8.58    | 289      |
| Business           |        |        |          |         |          |
+--------------------+--------+--------+----------+---------+----------+
| Distribution       | 68,558 | 365    | 68,923   | 28.54   | (72)     |
| Business           |        |        |          |         |          |
+--------------------+--------+--------+----------+---------+----------+
| Cementhai Holding  | -      | 180    | 180      | 0.07    | 3,969    |
+--------------------+--------+--------+----------+---------+----------+
| Cementhai Property | 417    | 110    | 527      | 0.22    | (1)      |
+--------------------+--------+--------+----------+---------+----------+
| Total              | 2      | 1,855  | 241,480  | 100.00  | 9,822    |
|                    | 39,625 |        |          |         |          |
+--------------------+--------+--------+----------+---------+----------+
| Total per          | 1      | 2,170  | 194,565  |         | 9,808    |
| Consolidated       | 92,395 |        |          |         |          |
| Financial          |        |        |          |         |          |
| Statements**       |        |        |          |         |          |
+--------------------+--------+--------+----------+---------+----------+
|                    |        |        |          |         |          |
+--------------------+--------+--------+----------+---------+----------+

  Notes: Financial figures classified according to business type before
  inter-group adjustments.

  * Profit (Loss) from associated companies is on equity method.

  ** Figures shown on consolidations basis after adjustments, e.g. sales
  among Cement, Building Products, and Distribution Businesses were
  adjusted.

  The Siam Cement Public Company Limited Investment in Subsidiaries,
  Associates,

and Other Companies of Which Their Operations Are Significant.

  -------------------------------------------------------------------------------------------
                                                   Location      Principal        Total
                                                                                  Indirect
  ------ ---------------- ------------------------ ------------- ---------------- -----------
                          Company Name             (Head Office) Business         Holding (%)

         Petrochemicals                                                            
         Business                                                                 

         Subsidiaries                                                              

  1.     Cementhai                                 Bangkok       Holding company  100
         Chemicals                                                                
         Co.,Ltd.                                                                 

  2.     Rayong Olefins                            Bangkok       Raw materials    63
         Co.,Ltd.                                                for              

                                                                 plastic resins   

  3.     Thai                                      Rayong        Plastic resins   100
         Polyethylene                                                             
         Co.,Ltd.                                                                 

  4.     Thai                                      Rayong        Plastic resins   100
         Polyethylene                                                             
         (1993) Co.,Ltd.                                                          

  5.     Thai                                      Rayong        Plastic resins   100
         Polypropylene                                                            
         Co.,Ltd.                                                                 

  6.     Thai                                      Rayong        Plastic resins   100
         Polypropylene                                                            
         (1994) Co.,Ltd.                                                          

  7.     CCC Chemical                              Bangkok       Trading          100
         Commerce                                                                 
         Co.,Ltd.                                                                 

  8.     Map Ta Phut Tank                          Bangkok       Warehouse and    81
         Terminal                                                                 
         Co.,Ltd.                                                                 

                                                                 transportation   
                                                                 service          

  9.     Rayong Pipeline                           Bangkok       Right of way,    91
         Co.,Ltd.                                                                 

                                                                 and usage        

         Associated and                                                            
         Other Companies                                                          

  10.    Siam Mitsui PTA                           Bangkok       PTA              50
         Co.,Ltd.                                                                 

  11.    Siam Polystirene                          Bangkok       Plastic resins   50
         Co.,Ltd.                                                                 

  12.    Pacific Plastics                          Bangkok       Plastic resins   48
         (Thailand) Ltd.                                                          

  13.    Siam Synthetic                            Bangkok       Synthetic latex  50
         Latex Co.,Ltd.                                                           

  14.    Siam Styrene                              Bangkok       Raw materials    50
         Monomer Co.,Ltd.                                        for              

                                                                 polystyrene      

  15.    Siam                                      Bangkok       Plastic resins   50
         Polyethylene                                                             
         Co.,Ltd.                                                                 

  16.    Grand Siam                                Bangkok       Plastic resins   46
         Composites                                                               
         Co.,Ltd.                                                                 

  17.    Thai MFC                                  Bangkok       Melamine         45
         Co.,Ltd.                                                                 

  18.    Thai MMA                                  Bangkok       Raw materials    46
         Co.,Ltd.                                                for              

                                                                 coating resins   

  19.    Thai Plastic and                          Bangkok       Plastic resins   40
         Chemicals Public                                                         
         Company Limited                                                          

  20.    National                                  Bangkok       Raw materials    26
         Petrochemical                                           for              
         Public Company                                                           
         Limited                                                                  

                                                                  plastic resins  

  21.    Thai Pet Resin                            Bangkok       Raw materials    20
         Co.,Ltd.                                                for              

                                                                  pet bottles     

  22.    Bangkok                                   Bangkok       Raw materials    18
         Synthetic                                               for              
         Co.,Ltd.                                                                 

                                                                 plastic resins   

  23.    Thai Olefins                              Bangkok       Raw materials    8
         Public Company                                          for              
         Limited                                                                  

                                                                 plastic resins   

  24.    The Aromatics                             Bangkok       Raw materials    8
         (Thailand)                                              for              
         Public Company                                                           
         Limited                                                                  

                                                                 plastic resins   

         Paper and                                                                 
         Packaging                                                                
         Business                                                                 

         Subsidiaries                                                              

  25.    The Siam Pulp                             Bangkok       Holding Company  98
         and Paper Public                                        and              
         Company Limited                                                          

                                                                 Bleached pulp    

  26.    Siam Cellulose                            Bangkok       Bleached pulp    98
         Co.,Ltd.                                                                 

  27.    Thai Paper                                Bangkok       Printing and     99
         Co.,Ltd.                                                writing paper    

  28.    Thai Union Paper                          Samut Prakarn Printing and     99
         Public Company                                          writing paper    
         Limited                                                                  

  29.    Thai Union Paper                          Bangkok       Gypsum Board     98
         Industry                                                Paper            
         Co.,Ltd.                                                                 

  30.    Siam Kraft                                Bangkok       Kraft paper      100
         Industry                                                                 
         Co.,Ltd.                                                                 

  31.    Thai Kraft Paper                          Bangkok       Kraft paper      99
         Industry                                                                 
         Co.,Ltd.                                                                 

  32.    Thai Containers                           Pathum Thani  Corrugated boxes 69
         Ltd.                                                                     

  33.    Thai Containers                           Samut Prakarn Corrugated boxes 69
         Industry                                                                 
         Co.,Ltd.                                                                 

  34.    Thai Containers                           Ratburi       Corrugated boxes 69
         Ratchaburi                                                               
         (1989) Co.,Ltd.                                                          

  35.    Thai Containers                           Songkhla      Corrugated boxes 69
         Songkhla (1994)                                                          
         Co.,Ltd.                                                                 

  36.    Thai Containers                           Chon Buri     Corrugated boxes 69
         Chonburi (1995)                                                          
         Co.,Ltd.                                                                 

  37.    City Pack                                 Saraburi      Corrugated boxes 69
         Co.,Ltd.                                                                 

  38.    Nippon Hi-Pack                            Bangkok       Corrugated boxes 51
         (Thailand)                                                               
         Co.,Ltd.                                                                 

  39.    Thai Containers                           Pathum Thani  Corrugated boxes 69
         V&S Co.,Ltd.                                                             

  40.    Phoenix Pulp and                          Bangkok       Bleached pulp    97
         Paper Public                                                             
         Company Limited                                                          

  41.    United Pulp and                           Philippines   Kraft paper      97
         Paper Co., Inc.                                                          

  42.    Thai Cane Paper                           Bangkok       Kraft papaer     57
         Public Company                                                           
         Limited                                                                  

                                                                                  

         Associated and                                                            
         Other Companies                                                          

  43.    Siam Toppan                               Samut Prakarn Offset-printed   48
         Packaging                                                                
         Co.,Ltd.                                                                 

                                                                 cartons          

  44.    Thai British                              Samut Prakarn Securities       48
         Security                                                document         
         Printing Public                                                          
         Company Limited                                                          

                                                                                  

         Cement Business                                                           

         Subsidiaries                                                              

  45.    Siam Cement                               Bangkok       Holding company  100
         Industry                                                                 
         Co.,Ltd.                                                                 

  46.    The Siam Cement                           Saraburi      Cement           100
         (Kaeng Khoi)                                                             
         Co.,Ltd.                                                                 

  47.    The Siam Cement                           Saraburi      Cement           100
         (Ta Luang)                                                               
         Co.,Ltd.                                                                 

  48.    The Siam Cement                           Nakorn Sri    Cement           100
         (Thung Song)                              Thamaraj                       
         Co.,Ltd.                                                                 

  49.    The Siam Cement                           Lampang       Cement           100
         (Lampang)                                                                
         Co.,Ltd.                                                                 

  50.    The Concrete                              Bangkok       Ready-mixed      100
         Products and                                            concrete         
         Aggregate                                                                
         Co.,Ltd.                                                                 

  51.    Siam Mortar                               Saraburi      Dry mortar       100
         Co.,Ltd.                                                                 

  52.    The Siam White                            Saraburi      Cement           100
         Cement Co.,Ltd.                                                          

  53.    The Siam                                  Bangkok       Refractory       100
         Refractory                                                               
         Industry                                                                 
         Co.,Ltd.                                                                 

  54.    SCI Plant                                 Saraburi      Technical        100
         Service Co.,Ltd.                                        Services and     

                                                                 Plant            
                                                                 installation     

  55.    Siam Research                             Bangkok       Research and     100
         and Development                                         Development      
         Co.,Ltd.                                                                 

                                                                                  

         Associated and                                                            
         Other Companies                                                          

  56.    Aalborg Siam                              Singapore     Cement Trading   50
         White Cement Pte                                                         
         Ltd.                                                                     

  57.    Asia Cement                               Bangkok       Cement           10
         Public Company                                                           
         Limited                                                                  

  58.    Holcim                                    Bangladesh    Cement           10
         (Bangladesh)                                                             
         Co.,Ltd.                                                                 

                                                                                  

         Building                                                                  
         Products                                                                 
         Business                                                                 

         Subsidiaries                                                              

  59.    Cementhai                                 Bangkok       Holding company  100
         Building                                                                 
         Products                                                                 
         Co.,Ltd.                                                                 

  60.    The Siam                                  Bangkok       Natural-fibre    100
         Fibre-Cement                                            roofing          
         Co.,Ltd.                                                                 

                                                                 sheets            

  61.    The Fibre-Cement                          Lampang       Natural-fibre    100
         Products                                                roofing          
         (Lampang)                                                                
         Co.,Ltd.                                                                 

                                                                 sheets            

  62.    Tip Fibre-Cement                          Bangkok       Natural-fibre    100
         Co.,Ltd.                                                roofing          

                                                                 sheets            

  63.    The CPAC Roof                             Bangkok       Concrete roof    75
         Tile Co.,Ltd.                                           tiles            

  64.    Thai Ceramic                              Bangkok       Ceramic roof     75
         Roof Tile                                               tiles            
         Co.,Ltd.                                                                 

  65.    The Siam CPAC                             Bangkok       Concrete paving  100
         Block Co.,Ltd.                                          blocks           

  66.    The CPAC Block                            Bangkok       Concrete paving  100
         Industry                                                blocks           
         Co.,Ltd.                                                                 

  67.    Saraburirat                               Bangkok       Concrete floor   83
         Co.,Ltd.                                                tiles            

  68.    The CPAC                                  Bangkok       Ready-to-use     100
         Concrete                                                                 
         Products                                                                 
         Co.,Ltd.                                                                 

                                                                 concrete          
                                                                 products         

  69.    Cementhai Gypsum                          Bangkok       Holding company  100
         Co.,Ltd.                                                                 

  70.    Siam Fiberglass                           Saraburi      Glass wools      100
         Co.,Ltd.                                                                 

  71.    PT. Siam-Indo                             Indonesia     Gypsum boards    50
         Gypsum Industry                                                          
         (Indonesia)                                                              

  72.    PT. Siam-Indo                             Indonesia     Natural-fibre    50
         Concrete                                                roofing          
         Products                                                                 
         (Indonesia)                                                              

                                                                 sheets            

  73.    CPAC Monier                               Cambodia      Concrete roof    75
         (Cambodia)                                              tiles            
         Co.,Ltd.                                                                 

  74.    CPAC Monier                               Philippines   Concrete roof    50
         Philippines,                                            tiles            
         Inc.                                                                     

  75.    CPAC Concrete                             Cambodia      Solid Plank      100
         Products                                                                 
         (Cambodia)                                                               
         Co.,Ltd.                                                                 

  76.    Cementhai                                 Bangkok       Holding company  100
         Ceramics                                                                 
         Co.,Ltd.                                                                 

  77.    Thai Ceramic                              Bangkok       Ceramic tiles    100
         Co.,Ltd.                                                                 

  78.    The Siam Ceramic                          Saraburi      Ceramic tiles    100
         Group Indsutries                                                         
         Co.,Ltd.                                                                 

  79.    PT. Surya Siam                            Indonesia     Ceramic tiles    66
         Keramik                                                                  

                                                                                  

         Associated and                                                            
         Other Companies                                                          

  80.    The Siam Gypsum                           Bangkok       Gypsum boards    29
         Industry                                                                 
         Co.,Ltd.                                                                 

  81.    The Siam Gypsum                           Saraburi      Gypsum boards    29
         Industry                                                                 
         (Saraburi)                                                               
         Co.,Ltd.                                                                 

  82.    The Siam Gypsum                           Songkhla      Gypsum boards    29
         Industry                                                                 
         (Songkhla)                                                               
         Co.,Ltd.                                                                 

  83.    The Siam                                  Saraburi      Moulding plaster 40
         Moulding Plaster                                                         
         Co.,Ltd.                                                                 

  84.    Lafarge Siam                              Bangkok       Clay roof tiles  25
         Roofing Co.,Ltd.                                                         

  85.    CPAC Monier                               Loas          Concrete roof    38
         (Laos) Co.,Ltd.                                         tiles            

  86     PT M Class                                Indonesia     Clay roof tiles  28
         Industry                                                                 

  87.    Sosuco Ceramic                            Bangkok       Ceramic tiles    45
         Co.,Ltd.                                                                 

  88.    Siam Sanitary                             Bangkok       Sanitary ware    36
         Ware Industry                                                            
         (Nongkae)                                                                
         Co.,Ltd.                                                                 

  89.    Siam Sanitary                             Bangkok       Sanitary ware    36
         Ware Industry                                                            
         Co.,Ltd.                                                                 

  90.    The Siam                                  Bangkok       Sanitary ware    45
         Sanitary                                                fittings         
         Fittings                                                                 
         Co.,Ltd.                                                                 

  91.    Mariwasa                                  Philippines   Ceramic tiles    46
         Manufacturing,                                                           
         Inc.                                                                     

                                                                                  

         Distribution                                                              
         Business                                                                 

         Subsidiaries                                                              

  92.    Cementhai                                 Bangkok       Holding company  100
         Distribution                                                             
         Co.,Ltd.                                                                 

  93.    SCT Co.,Ltd.                              Bangkok       International    100
                                                                 trading          

  94.    Cementhai Sales                           Bangkok       Trading          100
         and Marketing                                                            
         Co.,Ltd.                                                                 

  95.    Cementhai                                 Bangkok       Transportation   100
         Logistics                                               service          
         Co.,Ltd.                                                                 

  96.    Cementhai SCT                             The United    International    100
         (U.S.A.) Inc.                             States        trading          

  97.    Cementhai SCT                             Singapore     International    100
         (Singapore) Pte                                         trading          
         Ltd.                                                                     

  98.    Cementhai SCT                             Cambodia      International    75
         (Cambodia)                                              trading          
         Co.,Ltd.                                                                 

  99.    Siam Cement                               Myanmar       International    60
         Myanmar Trading                                         trading          
         Co.,Ltd.                                                                 

         Associated and                                                            
         Other Companies                                                          

  100.   Thai Prosperity                           Samut Prakarn Ports            50
         Terminal                                                                 
         Co.,Ltd.                                                                 

  101.   Rayong Bulk                               Bangkok       Ports            38
         Terminal                                                                 
         Co.,Ltd.                                                                 

                                                                                  

         Cementhai                                                                 
         Holding                                                                  

         Subsidiaries                                                              

  102.   Cementhai                                 Bangkok       Holding company  100
         Holding Co.,Ltd.                                                         

         Associated and                                                            
         Other Companies                                                          

  103.   Thai CRT                                  Chon Buri     TV tubes         48
         Co.,Ltd.                                                                 

                                                                                  

  104.   CRT Display                               Rayong        TV tubes         48
         Technology                                                               
         Co.,Ltd.                                                                 

  105.   Thai Electron                             Rayong        Electron guns in 48
         Gun Co.,Ltd.                                                             

                                                                 picture tubes     

  106.   Siam Yamato                               Bangkok       Structural steel 45
         Steel Co.,Ltd.                                                           

  107.   The Millennium                            Bangkok       Holding company  40
         Steel Public                                                             
         Company Limited                                                          

  108.   The Siam Iron                             Bangkok       Construction     40
         and Steel (2001)                                        steel            
         Co.,Ltd.                                                                 

  109.   The Siam                                  Rayong        Construction     40
         Construction                                            steel            
         Steel Co.,Ltd.                                                           

  110.   NTS Steel Group                           Bangkok       Construction     40
         Public Company                                          steel            
         Limited                                                                  

  111.   The Siam Kubota                           Pathum Thani  Agricultural     40
         Industry                                                diesel engines   
         Co.,Ltd.                                                                 

  112.   Siam Tyre Phra                            Samut Prakarn Automotive tires 40
         Pradaeng                                                                 
         Co.,Ltd.                                                                 

  113.   Siam Tyre                                 Saraburi      Truck tires      40
         Industry                                                                 
         Co.,Ltd.                                                                 

  114.   Michelin Siam                             Chon Buri     Automotive tires 40
         Co.,Ltd.                                                                 

  115.   Michelin Siam                             Bangkok       Automotive tires 40
         Marketing and                                                            
         Sales Co.,Ltd.                                                           

  116.   The Siam Steel                            Rayong        Tire bead wires  40
         Cord Co.,Ltd.                                                            

                                                                 and steel tire    
                                                                 cords            

  117.   Siam Lemmerz                              Saraburi      Alloy wheels     30
         Co.,Ltd.                                                                 

  118.   The Nawaloha                              Saraburi      Cast iron        30
         Industry                                                                 
         Co.,Ltd.                                                                 

  119.   Siam AT Industry                          Chon Buri     Automotive parts 30
         Co.,Ltd.                                                                 

  120.   AisinTakaoka                              Chon Buri     Cast iron        30
         Foundry                                                                  
         Bangpakong                                                               
         Co.,Ltd.                                                                 

  121.   Thai Engineering                          Pathum Thani  Automotive parts 30
         Products                                                                 
         Co.,Ltd.                                                                 

  122.   The Siam                                  Bangkok       Construction     29
         Industrial Wire                                         steel            
         Co.,Ltd.                                                                 

  123.   Siam Furukawa                             Saraburi      Automotive and   29
         Co.,Ltd.                                                                 

                                                                 motorcycle        
                                                                 batteries        

  124.   Siam Asahi                                Chon Buri     TV glass bulbs   27
         Technoglass                                             for              
         Co.,Ltd.                                                                 

                                                                 color picture    
                                                                 tubes            

  125.   The Siam                                  Saraburi      Cast iron        25
         Nawaloha Foundry                                                         
         Co.,Ltd.                                                                 

  126.   Musashi Auto                              Pathum Thani  Motorcycle spare 21
         Parts Co.,Ltd.                                          parts            

  127.   The Deves                                 Bangkok       Insurance        21
         Insurance Public                                                         
         Company Limited                                                          

  128.   The Siam United                           Rayong        Cold-rolled      20
         Steel (1995)                                            steel            
         Co.,Ltd.                                                                 

  129.   Toyota Motor                              Samut Prakarn Automotives      10
         Thailand                                                                 
         Co.,Ltd.                                                                 

  130.   Thai Tokai                                Bangkok       Carbon black     7
         Carbon Product                                                           
         Co.,Ltd.                                                                 

  131.   Siam Toyota                               Chon Buri     Automotive       4
         Manufacturing                                           engines and      
         Co.,Ltd.                                                                 

                                                                                  

         Cementhai                                                                 
         Property                                                                 

         Subsidiaries                                                              

  132.   Cementhai                                 Bangkok       Holding company  100
         Property (2001)                                                          
         Public Company                                                           
         Limited                                                                  

  133.   Rayong                                    Bangkok       Industrial sites 100
         Industrial Land                                                          
         Co.,Ltd.                                                                 

  134.   SIL Industrial                            Bangkok       Industrial sites 100
         Land Co.,Ltd.                                                            

  135.   Property Value                            Bangkok       Industrial sites 100
         Plus Co.,Ltd.                                           and              

                                                                  Space rental     
                                                                 service          

                                                                                  

         Note:            Shareholding as at                                      
                          December 31, 2004.                                      

                                                                                  
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