10. INTERNAL CONTROL

  The Company values the internal control and internal audit system, and
  has set up an internal audit unit, which reports directly to the Audit
  Committee.

  The internal audit work can be divided into 5 main types as follows:

-   Financial auditing

-   Operational auditing

-   Compliance auditing

-   Management auditing

-   Information system auditing

  The internal auditor has the responsibility to report the audit
  results, findings, suggestions and solutions in written document, as
  well as to follow up to ensure the compliance with rules, regulations
  and suggestions which have been acknowledged or accepted by Board of
  Directors, Audit Committee, or management.

  The Audit Committee held 6 meetings in 2007 as follows:

1.  Meeting No. 1 on 7 February 2007

2.  Meeting No. 2 on 26 February 2007

3.  Meeting No. 3 on 8 May 2007

4.  Meeting No. 4 on 7 August 2007

5.  Meeting No. 5 on 9 November 2007

6.  Meeting No. 6 on 20 December 2007

  All audit committee members attended all the meetings.

Report of the Audit Committee

  To the Shareholders of Bumrungrad Hospital Public Company Limited

  The Audit Committee was established by a board resolution. The
  Committee comprises of three independent directors of the Company,
  namely, Miss Sophavadee Uttamobol, Chairperson, Mr. Boonpakorn
  Chokwathana, and Mr. Soradis Vinyaratn, Audit Committee Members. The
  duties and responsibilities of the Committee are mainly to ensure that
  financial reports of the Company comply with accounting standards with
  sufficient and accurate information disclosure; to ensure that the
  Company’s internal control system including risk assessment and
  activities control its risks are appropriate and effective; to ensure
  that the Company complies with the regulations and other relevant
  laws, and to review any possible conflict of interest in the
  transaction between the Company and related parties.

  The Audit Committee had six meetings in year 2007 to perform the
  duties assigned. The Committee:

  1. Reviewed the Company and subsidiaries’ financial statements prior
  to submission to the Board of Directors. After due considerations with
  the external auditors and the management, it is the opinion of the
  Committee that the financial statements were prepared in accordance
  with accounting standards with sufficient and accurate disclosure of
  material information.

  2. Considered and recommended an appointment of Miss Sumalee
  Reewarabandith, from Ernst and Young Co., Ltd., as external auditor
  and the yearly audit fee to the Board of Directors for proposing to
  the Shareholders’ Meeting.

  3. Approved yearly budget of the Internal Audit function, reviewed
  annual internal audit plan and its processes, which are part of the
  Company’s administrative policy, and agreed to establish a written
  procedure for internal audit work to comply with working criteria in
  accordance with international standard.

  4. Considered transactions with connected parties and the disclosure
  of information concerning the transactions with connected parties and
  transactions for acquisition or disposition of assets.

  5. Reviewed and acknowledge the reports from the Company’s internal
  auditors and provided suggestions to the Board of Directors and
  management in relation to good corporate governance and internal
  control. The Committee also focused on the holding of the annual
  general meeting appropriately in accordance with the guidelines given
  by the Stock Exchange of Thailand, the compliance with regulations,
  procedures, and rules as prescribed by the laws as well as the
  adequate effectiveness of risk assessment and risk prevention
  activities of each Division and of the organization. The Committee is
  of the opinion that the internal control systems are adequate and
  appropriate to prevent risks from operation of the business pursuant
  to the Company’s policies and strategies.

  The Audit Committee has performed its assigned duties with care and at
  its fullest ability for the benefit of the Company’s stakeholders.

  Miss Sophavadee Uttamobol

  Chairperson of Audit Committee

  26 February 2008