5 Assets of the company

  5.1 Summary of operating assets of the company and its subsidiaries

  As at 31^(st) December 2005, the assets of Laguna Resorts & Hotels
  Public Company Limited and its subsidiary companies that are used in
  its business operations are as follows:

  LAND, BUILDINGS AND MACHINERY

 Baht : Million

+-----------------+------+------+------+------+------+------+------+
| Type of assets  | T    | La   | La   | La   | La   | Thai | TWR- |
|                 | otal | guna | guna | guna | guna | Wah  | Hold |
|                 |      | Res  | Gr   |      | B    | P    | ings |
|                 |      | orts | ande | Ba   | each | laza | Lim  |
|                 |      | &    | Lim  | nyan | Club | Lim  | ited |
|                 |      | Ho   | ited | Tree | Lim  | ited | &    |
|                 |      | tels | &    | Lim  | ited | &    | subs |
|                 |      | Pu   | subs | ited | &    | subs | idia |
|                 |      | blic | idia | &    | su   | idia | ries |
|                 |      | Com  | ries | subs | bsid | ries | ,and |
|                 |      | pany |      | idia | iary |      | O    |
|                 |      | Lim  |      | ries |      |      | ther |
|                 |      | ited |      |      |      |      |      |
+-----------------+------+------+------+------+------+------+------+
| H               | 8,55 | 1,03 | 1,69 | 1,48 | 1,36 | 2,97 | -    |
| otel properties | 4.01 | 2.73 | 7.05 | 6.71 | 3.38 | 4.14 |      |
+-----------------+------+------+------+------+------+------+------+
| Land and land   | 3,95 | 32   | 2,86 | -    | 27   | 32   | 17   |
| improvement     | 6.40 | 7.85 | 3.10 |      | 1.78 | 3.46 | 0.21 |
+-----------------+------+------+------+------+------+------+------+
| Land awaiting   | 63   | -    | 6    | -    | -    | -    | 57   |
| development     | 9.39 |      | 5.46 |      |      |      | 3.93 |
+-----------------+------+------+------+------+------+------+------+
| Buildings and   | 16   | 10   | 2    | -    | -    | -    | 3    |
| staff           | 3.36 | 7.83 | 4.61 |      |      |      | 0.92 |
| dormitories     |      |      |      |      |      |      |      |
+-----------------+------+------+------+------+------+------+------+
| Furniture,      | 32   | 4    | 6    | 4.31 | -    | 3.88 | 21   |
| fixtures and    | 4.82 | 0.74 | 3.82 |      |      |      | 2.07 |
| equipment       |      |      |      |      |      |      |      |
+-----------------+------+------+------+------+------+------+------+
| Golf course     | 28   | -    | 28   | -    | -    | -    | -    |
|                 | 3.17 |      | 3.17 |      |      |      |      |
+-----------------+------+------+------+------+------+------+------+
| Motor vehicles  | 9    | 7.90 | 2    | 1    | 1.53 | 2.03 | 4    |
|                 | 2.43 |      | 0.61 | 7.46 |      |      | 2.90 |
+-----------------+------+------+------+------+------+------+------+
| Construction in | 90   | 4    | 11   | 69   | 0.49 | 4    | -    |
| process         | 0.30 | 4.57 | 6.05 | 0.53 |      | 8.66 |      |
+-----------------+------+------+------+------+------+------+------+
| Total property  | 1    | 1,56 | 5,13 | 2,19 | 1,63 | 3,35 | 1,03 |
| and equipment   | 4,91 | 1.62 | 3.87 | 9.01 | 7.18 | 2.17 | 0.03 |
| at cost and     | 3.88 |      |      |      |      |      |      |
| revaluation     |      |      |      |      |      |      |      |
+-----------------+------+------+------+------+------+------+------+
| Less :          | (4   | (771 | (1   | (506 | (778 | (1   | (189 |
| Accumulated     | ,789 | .28) | ,379 | .00) | .87) | ,163 | .78) |
| depreciation    | .13) |      | .80) |      |      | .40) |      |
+-----------------+------+------+------+------+------+------+------+
| Property and    | 1    | 79   | 3,75 | 1,69 | 85   | 2,18 | 84   |
| equipment       | 0,12 | 0.34 | 4.07 | 3.01 | 8.31 | 8.77 | 0.25 |
|                 | 4.75 |      |      |      |      |      |      |
+-----------------+------+------+------+------+------+------+------+
| Property and    | 1    | 79   | 3,75 | 1,69 | 85   | 2,18 | 84   |
| equipment, net  | 0,12 | 0.34 | 4.07 | 3.01 | 8.31 | 8.77 | 0.25 |
| book value      | 4.75 |      |      |      |      |      |      |
+-----------------+------+------+------+------+------+------+------+

  Laguna Resorts & Hotels Public Co., Ltd.

As at 31^(st) December 2005, the assets consisted of Laguna Resorts &
Hotels Public Co., Limited land at Sunsai, Chiang Mai of 372-1-40 Rai
and land at Bangtao Bay, Phuket of 51-2-94.1 Rai which is the site of
the Dusit Laguna Resort (consisting of buildings, furniture, fixtures
and equipment), Canal Village and Wedding Chapel. The following area is
under mortgage with the bank:

-   51-2-94.1 Rai mortgaged with Siam Commercial Bank Public Co., Ltd.

  The net book value of the assets of the Company amounted to Baht
  790.34 million as at 31^(st) December 2005.

  The value of the land at Sunsai, Chiang Mai and the land and buildings
  of the Dusit Laguna Resort as appraised by Simon Lim & Partner Ltd. on
  1^(st) November 2004 was Baht 658.14 million. This appraisal valuation
  has been included in the company financial statements for the year
  ended 31^(st) December 2005.

Subsidiary Companies

  Laguna Grande Limited and its subsidiary companies

  As at 31^(st) December 2005, the assets consisted of 1,643-1-39.9 Rai
  of land owned by Laguna Grande Limited and its subsidiary companies at
  Bangtao Bay, Phuket, which is the site of the Sheraton Grande Laguna
  Phuket Hotel (consisting of buildings, furniture, fixtures and
  equipment and condominiums), the Laguna Phuket Golf Club and land
  awaiting future development. Some areas are under mortgage with banks
  as follows:

-   382-2-26.6 Rai mortgaged with Siam Commercial Bank Public Co., Ltd.;

-   94-3-97.1 Rai mortgaged with Kasikorn Bank Public Co., Ltd.;

-   49-3-44.6 Rai mortgaged with Bangkok Bank Public Co., Ltd.

  The net book value of the assets owned by Laguna Grande Limited and
  its subsidiary companies amounted to Baht 3,754.07 million as at
  31^(st) December 2005.

  The value of the buildings of the Sheraton Grande Laguna Phuket, land
  of the Laguna Phuket Golf Club and land awaiting development appraised
  by Simon Lim & Partner Ltd. on 1^(st) November 2004 was Baht 3,720.40
  million. This appraisal valuation has been included in the company
  financial statements for the year ended 31^(st) December 2005.

Laguna Banyan Tree Limited and its subsidiary companies

  As at 31^(st) December 2005, the assets of the company comprise the
  Banyan Tree Phuket Resort located at Bangtao Bay, Phuket which
  consists of buildings, furniture, fixtures and equipment and Lijiang
  Banyan Tree Hotel located in Lijiang, China which consists of land and
  buildings in the course construction.

The net book value of the assets owned by Laguna Banyan Tree Limited and
its subsidiary companies amounted to Baht 1,693.01 million, as at
31^(st) December 2005.

The appraisal value of the buildings of the Banyan Tree Phuket as
assessed by Simon Lim & Partner Co., Ltd. on 1^(st) November 2004 was
Baht 923.17 million. This appraisal excluded the Lijiang Banyan Tree
Hotel (net book value at 31 December 2005: Baht 342.40 million) and PT
AVC Indonesia (net book value at 31 December 2005: Baht 0.21 million).
The above appraisal value has been shown in the company financial
statements for the year ended 31^(st) December 2005.

  Laguna Beach Club Limited and its subsidiary company

As at 31^(st) December 2005, the assets of the company comprise the
Laguna Beach Resort located at Bangtao Bay, Phuket which consists of
buildings, furniture, fixtures and equipment. The land on which the
hotel is situated belongs to Laguna (1) Co., Ltd., which is 100% owned
by Laguna Beach Club Ltd.

The net book value of the assets owned by Laguna Beach Club Limited and
its subsidiary company amounted to Baht 858.31 million as at 31^(st)
December 2005.

The value of the land and buildings of the Laguna Beach Resort appraised
by Simon Lim & Partner Co., Ltd. on 1^(st) November 2004 was Baht 887.24
Million. The above appraisal value has been shown in the company
financial statements for the year ended 31^(st) December 2005.

  Thai Wah Plaza Limited and its subsidiary company

  As at 31^(st) December 2005, the assets of the company comprise land
  at Bangkok of 2-1-92 Rai, office for rent at Thai Wah Tower building
  and Thai Wah Tower 2 building and the Banyan Tree Bangkok located at
  Bangkok which consists of buildings, furniture, fixtures and
  equipment. The following area is under mortgage with the bank:

-   2-1-92 Rai mortgaged with Siam Commercial Bank Public Co., Ltd.

The net book value of the assets owned by Thai Wah Plaza Limited and its
subsidiary company amounted to Baht 2,188.77 million as at 31^(st)
December 2005.

The value of the land and buildings of the Thai Wah Plaza Limited
appraised by Knight Frank Chartered (Thailand) Co., Ltd. on 28^(th)
November 2003 was Baht 2,161.33 Million. The above appraisal value has
been shown in the company financial statements for the year ended
31^(st) December 2005.

TWR Holdings Limited and its subsidiary companies, and other subsidiary
companies

As at 31^(st) December 2005, the assets of the company and its
subsidiary companies, and other subsidiary companies, consists of land,
land awaiting for development, buildings and equipment. The following
area is under mortgage of the bank:

-   44-3-4.1 Rai being mortgaged with Siam Commercial Bank Public Co.,
    Ltd.

These assets have a net book value of Baht 840.25 million as at 31^(st)
December 2005. The land which is the site of the resort and property
development in Chiang Rai and Mae Hong Sorn belong to the subsidiary
companies of TWR-Holdings Limited of Phuket Resort Development Co.,
Ltd., Pai Samart Development Co., Ltd., Mae Chan Property Co., Ltd. and
Thalang Development Co., Ltd.

The valuations as performed by Simon Lim & Partner Ltd. on 1^(st)
November 2004 are included as Attachment 4.

INVESTMENTS

The interests of Laguna Resorts & Hotels Public Co.,Ltd. (both direct
and indirect) in its investments in subsidiary, associate and other
companies as at 31 December 2005 are summarised below.

+--------------+--------+-----+------+----+------+------+-------+---+
| Company name | Type   | P   | Pe   | Ye | Inve | In   | Sh    | N |
|              | of     | aid | rcen | ar | stme | vest | areho | o |
|              | bu     | -up | tage | in | nt - | ment | lders | t |
|              | siness | sh  |      | ve | cost | –    | which | e |
|              |        | are | of   | st | me   | eq   | hold  |   |
|              |        | c   |      | ed | thod | uity | more  |   |
|              |        | api | hol  |    |      | me   | than  |   |
|              |        | tal | ding |    | (Mil | thod | 10 %  |   |
|              |        |     |      |    | lion | (Mil |       |   |
|              |        | (M  | (%)  |    | B    | lion |       |   |
|              |        | ill |      |    | aht) | B    |       |   |
|              |        | ion |      |    |      | aht) |       |   |
|              |        |     |      |    |      |      |       |   |
|              |        | Ba  |      |    |      |      |       |   |
|              |        | ht) |      |    |      |      |       |   |
+--------------+--------+-----+------+----+------+------+-------+---+
| Subsidiaries |        |     |      |    |      |      |       |   |
+--------------+--------+-----+------+----+------+------+-------+---+
| TWR-         | Inve   | 1,  | 10   | 19 | 1,25 | 1,17 |       |   |
| Holdings     | stment | 250 | 0.00 | 93 | 0.00 | 2.90 |       |   |
| Limited      | h      | .00 |      |    |      |      |       |   |
|              | olding |     |      |    |      |      |       |   |
+--------------+--------+-----+------+----+------+------+-------+---+
| Laguna       | Time   | 330 | 10   | 19 | 33   | 61   |       |   |
| Holiday Club | share  | .00 | 0.00 | 94 | 0.00 | 4.81 |       |   |
| Limited      | bu     |     |      |    |      |      |       |   |
|              | siness |     |      |    |      |      |       |   |
+--------------+--------+-----+------+----+------+------+-------+---+
| Laguna       | Ope    | 1,  | 10   | 19 | 91   | 2,49 |       |   |
| Grande       | rating | 000 | 0.00 | 93 | 4.45 | 3.01 |       |   |
| Limited      | a golf | .00 |      |    |      |      |       |   |
|              | club   |     |      |    |      |      |       |   |
|              | and    |     |      |    |      |      |       |   |
|              | pr     |     |      |    |      |      |       |   |
|              | operty |     |      |    |      |      |       |   |
|              | devel  |     |      |    |      |      |       |   |
|              | opment |     |      |    |      |      |       |   |
+--------------+--------+-----+------+----+------+------+-------+---+
| Laguna       | P      | 90  | 8    | 19 | 2    | 2    |   LRH | ( |
| Service      | rovide | .50 | 6.45 | 91 | 2.35 | 9.75 |   =   | 3 |
| Company      | uti    |     |      |    |      |      |       | ) |
| Limited      | lities |     |      |    |      |      | 24.7% |   |
|              | and    |     |      |    |      |      |       |   |
|              | other  |     |      |    |      |      |   BGL |   |
|              | se     |     |      |    |      |      |   =   |   |
|              | rvices |     |      |    |      |      |       |   |
|              | to     |     |      |    |      |      |  31.1 |   |
|              | hotels |     |      |    |      |      |   %   |   |
|              | of the |     |      |    |      |      |       |   |
|              | C      |     |      |    |      |      |   LBC |   |
|              | ompany |     |      |    |      |      |   =   |   |
|              | and    |     |      |    |      |      |       |   |
|              | subsid |     |      |    |      |      |  27.1 |   |
|              | iaries |     |      |    |      |      |   %   |   |
|              |        |     |      |    |      |      |       |   |
|              |        |     |      |    |      |      |       |   |
|              |        |     |      |    |      |      |  LBTL |   |
|              |        |     |      |    |      |      |   =   |   |
|              |        |     |      |    |      |      |       |   |
|              |        |     |      |    |      |      |  17.1 |   |
|              |        |     |      |    |      |      |   %   |   |
+--------------+--------+-----+------+----+------+------+-------+---+
| Banyan Tree  | Sales  | 7   | 5    | 19 | 3.95 | 5    | BTHL  |   |
| Gallery      | of     | .75 | 1.00 | 94 |      | 3.18 | = 49% |   |
| (Thailand)   | merch  |     |      |    |      |      |       |   |
| Limited      | andise |     |      |    |      |      |       |   |
+--------------+--------+-----+------+----+------+------+-------+---+
| Wenco-Thai   | D      | 1   | 10   | 19 | 0.51 | 1.69 |       |   |
| Limited      | ormant | .00 | 0.00 | 93 |      |      |       |   |
+--------------+--------+-----+------+----+------+------+-------+---+
| Banyan Tree  | Sales  | S$0 | 5    | 19 | 3.95 | 2    | BTHL  | ( |
| Gallery      | of     | .43 | 1.00 | 94 |      | 8.80 | = 49% | 7 |
| (Singapore)  | merch  |     |      |    |      |      |       | ) |
| Pte Ltd      | andise |     |      |    |      |      |       |   |
+--------------+--------+-----+------+----+------+------+-------+---+
| Laguna (3)   | Pr     | 0   | 10   | 20 | 4    | 14   |       |   |
| Limited      | operty | .10 | 0.00 | 01 | 6.42 | 4.39 |       |   |
|              |        |     |      |    |      |      |       |   |
|              | Devel  |     |      |    |      |      |       |   |
|              | opment |     |      |    |      |      |       |   |
+--------------+--------+-----+------+----+------+------+-------+---+
| Cheer Golden | Inve   | HK$ | 10   | 20 | -    | (8   |       | ( |
| Limited      | stment | -   | 0.00 | 02 |      | .43) |       | 7 |
|              | h      |     |      |    |      |      |       | ) |
|              | olding |     |      |    |      |      |       |   |
+--------------+--------+-----+------+----+------+------+-------+---+

+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Company name | Type  | P   | P   | Ye | Inv | I   | Shareh | N |
|              | of    | aid | erc | ar | est | nve | olders | o |
|              | bus   | -up | ent | In | men | stm | which  | t |
|              | iness | sh  | age | ve | t - | ent | hold   | e |
|              |       | are | of  | st | c   | –   | more   |   |
|              |       | c   |     | ed | ost | equ | than   |   |
|              |       | api | h   |    | met | ity | 10 %   |   |
|              |       | tal | old |    | hod | met |        |   |
|              |       | (M  | ing |    |     | hod |        |   |
|              |       | ill |     |    | (M  | (M  |        |   |
|              |       | ion | (%) |    | ill | ill |        |   |
|              |       | Ba  |     |    | ion | ion |        |   |
|              |       | ht) |     |    | Ba  | Ba  |        |   |
|              |       |     |     |    | ht) | ht) |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Subsidiaries |       |     |     |    |     |     |        |   |
| held through |       |     |     |    |     |     |        |   |
| TWR-Holdings |       |     |     |    |     |     |        |   |
| Ltd.         |       |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Pai Samart   | Pro   | 28  | 100 | 19 | -   | (   |        |   |
| Development  | perty | .40 | .00 | 90 |     | 39. |        |   |
| Company      | d     |     |     |    |     | 04) |        |   |
| Limited      | evelo |     |     |    |     |     |        |   |
|              | pment |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Mae Chan     | Pro   | 232 | 100 | 19 | -   | (3  |        |   |
| Property     | perty | .30 | .00 | 90 |     | 57. |        |   |
| Company      | d     |     |     |    |     | 38) |        |   |
| Limited      | evelo |     |     |    |     |     |        |   |
|              | pment |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Phuket       | Pro   | 41  | 100 | 19 | -   | 191 |        |   |
| Resort       | perty | .40 | .00 | 96 |     | .87 |        |   |
| Development  | d     |     |     |    |     |     |        |   |
| Limited      | evelo |     |     |    |     |     |        |   |
|              | pment |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Laguna       | Hotel | 500 | 100 | 19 | 835 | 546 |        | ( |
| Banyan Tree  | opera | .00 | .00 | 92 | .14 | .69 |        | 4 |
| Limited      | tions |     |     |    |     |     |        | ) |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Laguna Beach | Hotel | 200 | 60  | 19 | 85  | 387 | PR(T)  | ( |
| Club Limited | opera | .00 | .00 | 93 | .00 | .25 | = 40%  | 1 |
|              | tions |     |     |    |     |     |        | ) |
|              |       |     |     |    |     |     |        | , |
|              |       |     |     |    |     |     |        | ( |
|              |       |     |     |    |     |     |        | 4 |
|              |       |     |     |    |     |     |        | ) |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Laguna (1)   | Pro   | 15  | 60  | 19 | -   | 107 | PR(T)  | ( |
| Limited      | perty | .00 | .00 | 93 |     | .87 | = 40%  | 1 |
|              | d     |     |     |    |     |     |        | ) |
|              | evelo |     |     |    |     |     |        | , |
|              | pment |     |     |    |     |     |        | ( |
|              |       |     |     |    |     |     |        | 4 |
|              |       |     |     |    |     |     |        | ) |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| PT AVC       | Time  | U   | 100 | 20 | -   | (2. |        | ( |
| Indonesia    | share | S$0 | .00 | 02 |     | 18) |        | 7 |
|              | bus   | .70 |     |    |     |     |        | ) |
|              | iness |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Talang       | Pro   | 251 | 50  | 20 | -   | 3   | SB (3) |   |
| Development  | perty | .00 | .00 | 02 |     | .23 | = 50%  |   |
| Company      | d     |     |     |    |     |     |        |   |
| Limited      | evelo |     |     |    |     |     |        |   |
|              | pment |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Lijiang      | Hotel | U   | 70  | 20 | -   | (1. | BTHL = | ( |
| Banyan Tree  | opera | S$1 | .00 | 03 |     | 00) | 30%    | 7 |
| Hotel Co.,   | tions | 0.9 |     |    |     |     |        | ) |
| Ltd.         |       |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Twin Waters  | Pro   | 214 | 100 | 20 | -   | 290 |        |   |
| Development  | perty | .37 | .00 | 03 |     | .44 |        |   |
| Company      | d     |     |     |    |     |     |        |   |
| Limited      | evelo |     |     |    |     |     |        |   |
|              | pment |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Thai Wah     | Hotel | 1,  | 100 | 20 | -   | (1  |        |   |
| Plaza        | opera | 500 | .00 | 05 |     | 18. |        |   |
| Limited      | tions | .00 |     |    |     | 53) |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Thai Wah     | O     | 455 | 100 | 20 | -   | (2. |        |   |
| Tower        | ffice | .00 | .00 | 05 |     | 80) |        |   |
| Company      | r     |     |     |    |     |     |        |   |
| Limited      | ental |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Thai Wah     | O     | 21  | 100 | 20 | -   | 1   |        |   |
| Tower (2)    | ffice | .00 | .00 | 05 |     | .54 |        |   |
| Company      | r     |     |     |    |     |     |        |   |
| Limited      | ental |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Laguna       | Has   | 5   | 49  | 20 | -   | (0. |        | ( |
| Excursions   | not   | .00 | .00 | 05 |     | 04) |        | 2 |
| Limited      | yet   |     |     |    |     |     |        | ) |
|              | ope   |     |     |    |     |     |        |   |
|              | rated |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Subsidiaries |       |     |     |    |     |     |        |   |
| held through |       |     |     |    |     |     |        |   |
| Laguna       |       |     |     |    |     |     |        |   |
| Grande Ltd.  |       |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Bangtao (1)  | Pro   | 20  | 100 | 19 | -   | 71  |        |   |
| Limited      | perty | .93 | .00 | 90 |     | .39 |        |   |
|              | d     |     |     |    |     |     |        |   |
|              | evelo |     |     |    |     |     |        |   |
|              | pment |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Bangtao (2)  | Pro   | 19  | 100 | 19 | -   | 99  |        |   |
| Limited      | perty | .10 | .00 | 90 |     | .91 |        |   |
|              | d     |     |     |    |     |     |        |   |
|              | evelo |     |     |    |     |     |        |   |
|              | pment |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Bangtao (3)  | Pro   | 7   | 100 | 19 | -   | 45  |        |   |
| Limited      | perty | .75 | .00 | 90 |     | .72 |        |   |
|              | d     |     |     |    |     |     |        |   |
|              | evelo |     |     |    |     |     |        |   |
|              | pment |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Bangtao (4)  | Pro   | 14  | 100 | 19 | -   | 152 |        |   |
| Limited      | perty | .55 | .00 | 90 |     | .03 |        |   |
|              | d     |     |     |    |     |     |        |   |
|              | evelo |     |     |    |     |     |        |   |
|              | pment |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Bangtao      | Pro   | 80  | 100 | 19 | -   | 1,  |        |   |
| Development  | perty | .00 | .00 | 90 |     | 097 |        |   |
| Limited      | d     |     |     |    |     | .89 |        |   |
|              | evelo |     |     |    |     |     |        |   |
|              | pment |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Laguna       | Has   | 1   | 100 | 20 | -   | (0. |        |   |
| Central      | not   | .00 | .00 | 01 |     | 11) |        |   |
| Limited      | yet   |     |     |    |     |     |        |   |
|              | ope   |     |     |    |     |     |        |   |
|              | rated |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Bangtao      | Hotel | 1,  | 100 | 20 | -   | 699 |        |   |
| Grande       | Opera | 546 | .00 | 01 |     | .80 |        |   |
| Limited      | tions | .00 |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
|              |       |     |     |    | 3,  | 7,  |        |   |
|              |       |     |     |    | 491 | 704 |        |   |
|              |       |     |     |    | .77 | .64 |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+

+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Company name | Type  | P   | P   | Ye | Inv | I   | Shareh | N |
|              | of    | aid | erc | ar | est | nve | olders | o |
|              | bus   | -up | ent | In | men | stm | which  | t |
|              | iness | sh  | age | ve | t - | ent | hold   | e |
|              |       | are | of  | st | c   | –   | more   |   |
|              |       | c   |     | ed | ost | equ | than   |   |
|              |       | api | h   |    | met | ity | 10 %   |   |
|              |       | tal | old |    | hod | met |        |   |
|              |       | (M  | ing |    |     | hod |        |   |
|              |       | ill |     |    | (M  | (M  |        |   |
|              |       | ion | (%) |    | ill | ill |        |   |
|              |       | Ba  |     |    | ion | ion |        |   |
|              |       | ht) |     |    | Ba  | Ba  |        |   |
|              |       |     |     |    | ht) | ht) |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Associates   |       |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Ownrep       | Do    | S$  | 50  | 19 | 18  | -   |   TRL  | ( |
| Project      | rmant | 2   | .00 | 91 | .11 |     |   =    | 6 |
| Services Pte |       | .00 |     |    |     |     |   50%  | ) |
| Ltd.         |       |     |     |    |     |     |        | ( |
|              |       |     |     |    |     |     |        | 7 |
|              |       |     |     |    |     |     |        | ) |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
|              |       |     |     |    | 18  | -   |        |   |
|              |       |     |     |    | .11 |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Other        |       |     |     |    |     |     |        |   |
| investments  |       |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Tropical     | Inves | US$ | 19  | 19 | -   | -   |   TWC  | ( |
| Resorts      | tment | 50  | .80 | 90 |     |     |   =    | 5 |
| Limited      | ho    | .50 |     |    |     |     |        | ) |
|              | lding |     |     |    |     |     |  19.8% | ( |
|              |       |     |     |    |     |     |        | 7 |
|              |       |     |     |    |     |     |   JAIC | ) |
|              |       |     |     |    |     |     |   =    |   |
|              |       |     |     |    |     |     |        |   |
|              |       |     |     |    |     |     |  18.8% |   |
|              |       |     |     |    |     |     |        |   |
|              |       |     |     |    |     |     |        |   |
|              |       |     |     |    |     |     |  Kilby |   |
|              |       |     |     |    |     |     |   =    |   |
|              |       |     |     |    |     |     |   30%  |   |
|              |       |     |     |    |     |     |        |   |
|              |       |     |     |    |     |     |   CFC  |   |
|              |       |     |     |    |     |     |   =    |   |
|              |       |     |     |    |     |     |   11.6 |   |
|              |       |     |     |    |     |     |   %    |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Thai Wah     | C     | 785 | 16  | 19 | 21  | -   |        | ( |
| Public       | ommod | .36 | .26 | 88 | .97 |     |        | 4 |
| Company      | ities |     |     |    |     |     |        | ) |
| Limited      |       |     |     |    |     |     |        | ( |
|              |       |     |     |    |     |     |        | 8 |
|              |       |     |     |    |     |     |        | ) |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| TRL          | Inves | U   | 19  | 20 | 188 | -   |   GSI  | ( |
| Investment   | tment | S$0 | .80 | 03 | .43 |     |   =    | 6 |
| Ltd.         | ho    | .01 |     |    |     |     |        | ) |
|              | lding |     |     |    |     |     |  19.8% | ( |
|              |       |     |     |    |     |     |   CFC  | 7 |
|              |       |     |     |    |     |     |   =    | ) |
|              |       |     |     |    |     |     |        |   |
|              |       |     |     |    |     |     |  11.6% |   |
|              |       |     |     |    |     |     |        |   |
|              |       |     |     |    |     |     |   CI = |   |
|              |       |     |     |    |     |     |        |   |
|              |       |     |     |    |     |     |  48.8% |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
| Hua Hin      | Opera | 10  | 10  | 20 | -   | -   |        |   |
| Beach        | tions | .00 | .00 | 03 |     |     | Ms.Jar |   |
| Resorts      | susp  |     |     |    |     |     | asspim |   |
| Company      | ended |     |     |    |     |     |        |   |
| Limited      |       |     |     |    |     |     |  Lipta |   |
|              |       |     |     |    |     |     | punlop |   |
|              |       |     |     |    |     |     |   =    |   |
|              |       |     |     |    |     |     |   85%  |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
|              |       |     |     |    | 210 | -   |        |   |
|              |       |     |     |    | .40 |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
|              |       |     |     |    |     |     |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+
|              |       |     |     |    | 3,  | 7,  |        |   |
|              |       |     |     |    | 720 | 704 |        |   |
|              |       |     |     |    | .28 | .64 |        |   |
+--------------+-------+-----+-----+----+-----+-----+--------+---+

  Remarks:

  1. The company has recognised its effective interest in this
  subsidiary at 50% in accordance with the profit sharing percentage in
  the Articles of Association.

  2. The company has recognised its effective interest in this
  subsidiary at 100% in accordance with the profit sharing percentage in
  the Articles of Association.

  3. Both direct and indirect shareholding in Laguna Services Co., Ltd.

  4. Both direct and indirect shareholding by LRH and TWRH.

  5. Indirect shareholding through TWRH and LBTL.

  6. Indirect shareholding through TWRH.

  7. Paid-up share capital of investment in foreign companies are
  presented in foreign currencies in million Singapore, Hong Kong or
  United States dollars.

  8. Market value of investment in TWC as at date trading was suspended
  on 14^(th) November 2005 was Baht 1.72 per share.

  Abbreviations

  ------ ------------------------------ ------- ----------------------------
  BGL    = Bangtao Grande Ltd.          Kilby   = Kilby Associates Ltd.

  BTHL   = Banyan Tree Holdings Pte     PR(T)   = Pacific Resort (Thailand)
         Ltd.                                   Co., Ltd.

  CFC    = Chang Fung Co., Ltd.         SB (3)  = Sangchan Business (3)
                                                Co.,Ltd.

  JAIC   = Japan Asia Investments Corp. TRL     = Tropical Resorts Ltd.
         Fund                                   

  LBC    = Laguna Beach Club Ltd.       TWC     = Thai Wah Public Co., Ltd.

  LBTL   = Laguna Banyan Tree Ltd.      TWRH    = TWR – Holdings Limited.

  LRH    = Laguna Resorts & Hotels      WCE     = Wah Chang Engineering
         Public Co., Ltd.                       Corp. Ltd.

  GSI    = Gold Sand Investments Ltd.   CI      = Chang Fung Investments
                                                Ltd.

                                                
  ------ ------------------------------ ------- ----------------------------

 

NET ASSET VALUE

+----------------------------------------+--------------+--------------+
|                                        | Million Baht | Value per    |
|                                        |              | share        |
|                                        |              |              |
|                                        |              | (Baht)       |
+----------------------------------------+--------------+--------------+
| Assets                                 | 10,729.70    |              |
+----------------------------------------+--------------+--------------+
| Add : Revaluation of hotel properties  | 1,888.36     |              |
| and land                               |              |              |
+----------------------------------------+--------------+--------------+
| Total assets                           | 12,618.06    | 149.02       |
+----------------------------------------+--------------+--------------+
| Less : Total liabilities               | (5,028.95)   | (59.39)      |
+----------------------------------------+--------------+--------------+
| Net Assets                             | 7,589.11     | 89.63        |
+----------------------------------------+--------------+--------------+
| Less : Commitments which may occur     | -            | -            |
+----------------------------------------+--------------+--------------+
| Net Asset Value                        | 7,589.11     | 89.63        |
+----------------------------------------+--------------+--------------+

  Remark: The company and the subsidiaries company do not have any
  contingent liabilities relating to the execution of any guarantee or
  mortgage to any party which is not either the company or its
  subsidiary companies.

2.  Developing of real estate summary

+--------+-----------+----+----+----+------+-----------+-----+-----+
| P      | Company   | P  | T  | Ou | Area | Land      | Ex  | In  |
| roject |           | ro | ot | ts |      | owner     | pec | ves |
|        |           | je | al | ta | (Rai |           | ted | t-m |
|        |           | ct | U  | n- | -Nga |           | Per | ent |
|        |           |    | ni | di | n-Sq |           | iod | Va  |
|        |           | Ty | ts | ng | .w.) |           | to  | lue |
|        |           | pe |    | U  |      |           | Se  |     |
|        |           |    |    | ni |      |           | ll/ | (M  |
|        |           |    |    | ts |      |           |     | ill |
|        |           |    |    |    |      |           | D   | ion |
|        |           |    |    |    |      |           | eve |     |
|        |           |    |    |    |      |           | lop | Ba  |
|        |           |    |    |    |      |           |     | ht) |
+--------+-----------+----+----+----+------+-----------+-----+-----+
| Island | Laguna    | C  | 52 | -  | 4-1  | Laguna    | -   | 184 |
| Villas | Grande    | on |    |    | -4.5 | Grande    |     |     |
|        | Limited   | do |    |    |      | Limited   |     |     |
|        |           | mi |    |    |      |           |     |     |
|        |           | ni |    |    |      |           |     |     |
|        |           | um |    |    |      |           |     |     |
+--------+-----------+----+----+----+------+-----------+-----+-----+
| The    | Laguna    | C  | 95 | -  | 9-0  | Laguna    | -   | 242 |
| All    | Grande    | on |    |    | -2.9 | Grande    |     |     |
| amanda | Limited   | do |    |    |      | Limited   |     |     |
| 1      |           | mi |    |    |      |           |     |     |
|        |           | ni |    |    |      |           |     |     |
|        |           | um |    |    |      |           |     |     |
+--------+-----------+----+----+----+------+-----------+-----+-----+
| The    | Laguna    | C  | 1  | -  | 1    | Laguna    | -   | 493 |
| All    | Grande    | on | 41 |    | 2-1- | Grande    |     |     |
| amanda | Limited   | do |    |    | 59.7 | Limited   |     |     |
| 2&3    |           | mi |    |    |      |           |     |     |
|        |           | ni |    |    |      |           |     |     |
|        |           | um |    |    |      |           |     |     |
+--------+-----------+----+----+----+------+-----------+-----+-----+
| Laguna | Laguna    | La | 54 | -  | 6    | Laguna    | -   | 66  |
|        | Grande    | nd |    |    | 7-2- | Grande    |     |     |
| Homes  | Limited   |    |    |    | 63.9 | Limited   |     |     |
+--------+-----------+----+----+----+------+-----------+-----+-----+
| Laguna | Laguna    | La | 18 | -  | 7-3- | Twin      | -   | 146 |
| Tow    | Grande    | nd |    |    | 87.9 | Waters    |     |     |
| nhomes | Limited   | &  |    |    |      | De        |     |     |
| 1      |           | h  |    |    |      | velopment |     |     |
|        |           | ou |    |    |      | Company   |     |     |
|        |           | se |    |    |      | Limited   |     |     |
+--------+-----------+----+----+----+------+-----------+-----+-----+
| Laguna | Laguna    | La | 24 | -  | 12   | Laguna    | -   | 233 |
| Tow    | Holiday   | nd |    |    | -0-5 | Holiday   |     |     |
| nhomes | Club      | &  |    |    | 1.39 | Club      |     |     |
| 2      | Limited   | h  |    |    |      | Limited   |     |     |
|        |           | ou |    |    |      |           |     |     |
|        |           | se |    |    |      |           |     |     |
+--------+-----------+----+----+----+------+-----------+-----+-----+
| Laguna | Thai Wah  | La | 16 | 5  | 8-0- | Thai Wah  | 1   | 148 |
| Tow    | Plaza     | nd |    |    | 87.8 | Plaza     | y   |     |
| nhomes | Limited   | &  |    |    |      | Limited   | ear |     |
| 3 A    |           | h  |    |    |      |           |     |     |
|        |           | ou |    |    |      |           |     |     |
|        |           | se |    |    |      |           |     |     |
+--------+-----------+----+----+----+------+-----------+-----+-----+
| Laguna | Laguna    | La | 20 | -  | 1    | Laguna    | -   | 192 |
| Resi   | Grande    | nd |    |    | 8-0- | Grande    |     |     |
| dences | Limited   | &  |    |    | 59.0 | Ltd.      |     |     |
| 1      |           | h  |    |    |      |           |     |     |
|        |           | ou |    |    |      |           |     |     |
|        |           | se |    |    |      |           |     |     |
+--------+-----------+----+----+----+------+-----------+-----+-----+
| Laguna | Twin      | La | 19 | -  | 2    | Twin      | -   | 193 |
| Resi   | Waters    | nd |    |    | 1-0- | Waters    |     |     |
| dences | De        | &  |    |    | 58.8 | De        |     |     |
| 2      | velopment | h  |    |    |      | velopment |     |     |
|        | Company   | ou |    |    |      | Co., Ltd. |     |     |
|        | Limited   | se |    |    |      |           |     |     |
+--------+-----------+----+----+----+------+-----------+-----+-----+
| Laguna | Thai Wah  | La | 12 | 12 | 17-0 | Thai Wah  | 1   | 158 |
| Resi   | Plaza     | nd |    |    | -5.2 | Plaza     | y   |     |
| dences | Limited   | &  |    |    |      | Limited   | ear |     |
| 3      |           | h  |    |    |      |           |     |     |
|        |           | ou |    |    |      |           |     |     |
|        |           | se |    |    |      |           |     |     |
+--------+-----------+----+----+----+------+-----------+-----+-----+
| Banyan | Laguna    | V  | 12 | -  | 2    | Bangtao   | -   | 114 |
| Tree 2 | Banyan    | il |    |    | -2-1 | De        |     |     |
| B      | Tree      | la |    |    | 5.54 | velopment |     |     |
| edroom | Limited   |    |    |    |      | Limited   |     |     |
| Villas |           |    |    |    |      |           |     |     |
| Phase  |           |    |    |    |      |           |     |     |
| 1      |           |    |    |    |      |           |     |     |
+--------+-----------+----+----+----+------+-----------+-----+-----+
| Banyan | Laguna    | V  | 14 | 3  | 3-0  | Bangtao   | 1   | 210 |
| Tree 2 | Banyan    | il |    |    | -7.5 | De        | y   |     |
| B      | Tree      | la |    |    |      | velopment | ear |     |
| edroom | Limited   |    |    |    |      | Limited   |     |     |
| Villas |           |    |    |    |      |           |     |     |
| Phase  |           |    |    |    |      |           |     |     |
| 2      |           |    |    |    |      |           |     |     |
+--------+-----------+----+----+----+------+-----------+-----+-----+

Island Villas are located at 10 Moo 4 Srisoontorn Road, Cherngtalay
District, Amphur Talang, Phuket Province.

  The Allamanda 1 is located at 29 Moo 4 Srisoontorn Road, Cherngtalay
  District, Amphur Talang, Phuket Province.

The Allamanda 2&3 is located at 29 Moo 4 Srisoontorn Road, Cherngtalay
District, Amphur Talang, Phuket Province.

Laguna Homes are located at Moo 4 Srisoontorn Road, Cherngtalay
District, Amphur Talang, Phuket Province.

The Laguna Townhomes projects are located at Moo 4 Srisoontorn Road,
Cherngtalay District, Amphur Talang, Phuket Province.

The Laguna Residences projects are located at Moo 4 Srisoontorn Road,
Cherngtalay District, Amphur Talang, Phuket Province.

Banyan Tree - 2 Bedroom Villas are located at 33 Moo 4, Srisoontorn
Road, Cherngtalay District, Amphur Talang, Phuket Province.

[TABLE]

  ----------------------------- ------------- ------------- -------------
  Project                       Income                      
                                recognised                  
                                (Million                    
                                Baht)                       

                                2005          2004          2003

  The Allamanda 2&3             70            -             6

  Laguna Homes                  -             -             7

  Laguna Townhomes 1            3             125           111

  Laguna Townhomes 2            158           220           -

  Laguna Townhomes 3A           16            -             -

  Laguna Residences 1           -             85            249

  Laguna Residences 2           10            403           -

  Banyan Tree - 2 Bedroom       313           -             -
  Villas Phase 2                                            
  ----------------------------- ------------- ------------- -------------

  ----------------------------- ------------- ---------- ---------- ----------
  Project                       Total cash                          
                                received                            
                                (Million                            
                                Baht)                               

                                Collections   Advance    Total      % of sold
                                              from                  value
                                              customer              

  Island Villas                 353           -          353        100%

  The Allamanda 1               411           -          411        99%

  The Allamanda 2&3             695           -          695        94%

  Laguna Homes                  206           -          206        100%

  Laguna Townhomes 1            225           -          225        94%

  Laguna Townhomes 2            167           -          167        44%

  Laguna Townhomes 3 A          16            47         63         21%

  Laguna Residences 1           376           -          376        96%

  Laguna Residences 2           348           -          348        82%

  Laguna Residences 3           -             -          -          -

  Banyan Tree - 2 Bedroom       198           -          198        100%
  Villas Phase 1                                                    

  Banyan Tree - 2 Bedroom       281           -          281        81%
  Villas Phase 2                                                    
  ----------------------------- ------------- ---------- ---------- ----------

Details of receivables due in each project as at 31^(st) December 2005
is as follows:

[TABLE]

Details of overdue receivables as at 31^(st) December, 2005

  --------------- ------- --------- --------- --------- --------- --------- --------- --------- ----------- ---------
  Project         Undue             Total               Overdue             Overdue             Overdue>6   
                                    overdue             1-3                 3-6                 months      
                                                        months              months                          

                  No.     Million   No.       Million   No.       Million   No.       Million   No.         Million
                          Baht                Baht                Baht                Baht                  Baht

  The Allamanda 1 3       3         -         -         -         -         -         -         -           -

  The Allamanda   8       23        4         1         -         -         -         -         4           1
  2&3                                                                                                       

  Laguna          1       3         -         -         -         -         -         -         -           -
  Townhomes 1                                                                                               

  Laguna          24      26        -         -         -         -         -         -         -           -
  Townhomes 2                                                                                               

  Laguna          -       -         1         14        1         1         1         1         1           12
  Residences 1                                                                                              

  Laguna          -       -         2         4         2         4         -         -         -           -
  Residences 2                                                                                              

  Banyan Tree - 2 1       1         -         -         -         -         -         -         -           -
  Bedroom Villas                                                                                            
  Phase 1                                                                                                   

  Banyan Tree - 2 -       -         2         8         2         8         -         -         -           -
  Bedroom Villas                                                                                            
  Phase 2                                                                                                   
  --------------- ------- --------- --------- --------- --------- --------- --------- --------- ----------- ---------

Property Under Construction as at 31^(st) December 2005

-   There are 16 Laguna Townhomes Phase 3A under construction as at 31
    December 2005 and are budgeted to cost Baht 148 million. Costs
    incurred at 31 December 2005 are Baht 33 million.

There are 4 Laguna Residences Phase 3 under construction as at 31 December 2005 and are budgeted to cost Baht 61 million. Costs incurred at 31^(st) December 2005 are Baht 8 million.

Property Projects Suspended

Laguna Home Chiangrai Phase 1 was suspended in 1997 due to the poor
property market. If market conditions improve the project will be
re-started.

5.3 Intangible assets

Goodwill

On 8 March 2005, the TWR-Holdings Limited acquired 100 percent of the
shares of Thai Wah Plaza Ltd. Goodwill on consolidation of Baht 35.43
million which represents the excess of the purchase price over the fair
value is regarded as an asset in the balance sheet and is amortised on
straight-line basis over 20 years.

On 8 January 2002, the company acquired 49 percent of the shares of
Laguna Banyan Tree Ltd. Goodwill on consolidation of Baht 501 million
which represents the excess of the purchase price over the fair value is
regarded as an asset in the balance sheet and is amortised on
straight-line basis over 20 years.

5.4 Investment / management policy of the company and its subsidiary
companies

The current intention of management in regard to investment policy in
the company and its subsidiary companies is to pursue any investment
opportunities within Laguna Phuket that provides the shareholders with a
sufficient return on investment. Such opportunities are summarised in
section 6 below.