2.  The Nature of Business

    1.  The Company Background

  Group Lease Public Company Limited was established on May 6, 1986 with
  registered capital Baht 1 million by Luaengrungsi family, and started
  up business in the hire purchase motor cars in Bangkok, boundary and
  upcountry. During year end 1989 to beginning 1990 Mr. Khanchai Boonpan
  and Mr. Anurak Inthraphuvasak purchased the entity old shareholders,
  and invited Mr. Samart Chiradamrong, who has experience in hire
  purchase business for a long time, run business continuously in the
  position of Managing Director. The company increase capital from Baht
  1 million to Baht 10 million, to Baht 20 million, to Baht 40 million,
  and to Baht 100 million in 1988, 1989, 1990, and 1993 respectively.

  In 1990, the hire purchase motorcycles continue rapid growth. The
  company has completed personnel, capacity, experience, and skill in
  the business for more than 10 years. The company started up to expand
  hire purchase motorcycles and slowed down hire purchase motor cars.
  And expanded business to hire purchase truck, macho and printing
  press, meanwhile expanded business to Financial Lease, Factoring
  Contracts, Assets Financing and Personal Loan.

  Since 2004, the core business of the company is hire purchase
  motorcycles. In 2005, the market share of hire purchase motorcycles is
  about 6.43% ranking at one of the big fifth in Bangkok and boundary,
  and about 21% ranking at one of the big third in Ayudhya province.

2.  Overview of the Company’s Business

  In 2005, the hire purchase new motorcycle is the main business of the
  company. The motorcycle price for financing is about Baht 35,200 each,
  with the well known brand such as Honda, Yamaha, Suzuki and Kawasaki.
  The highest financing price of motorcycles is no more than Baht 64,000
  each. Due to unsuccessfully in Personal Loan and Assets Financing
  service, the company ceased that serviced for new clients.

  Beside service in hire purchase motorcycles, the company offers other
  service after sales. Such as, service of yearly taxation and insurance
  to add more channel of the company’s revenues, and to protect assets
  from loss.

3.  Structure of The Company’s Revenues

  Baht 1:1000

+----------------------------+------+-----+------+-----+------+-----+
| The Company’s Revenues     | 2005 |     | 2004 |     | 2003 |     |
+----------------------------+------+-----+------+-----+------+-----+
|                            | Baht | P   | Baht | P   | Baht | P   |
|                            |      | erc |      | erc |      | erc |
|                            |      | ent |      | ent |      | ent |
+----------------------------+------+-----+------+-----+------+-----+
| Hire Pu                    | 336  | 84  | 235  | 84  | 214  | 82  |
| rchase and Asset Financing | ,332 | .60 | ,322 | .37 | ,030 | .11 |
+----------------------------+------+-----+------+-----+------+-----+
| Financial Lease            | -    | -   | 26   | 0   | 247  | 0   |
|                            |      |     |      | .01 |      | .09 |
+----------------------------+------+-----+------+-----+------+-----+
| Factoring Contracts        | -    | -   | -    | -   | 10   | 0   |
|                            |      |     |      |     |      | .00 |
+----------------------------+------+-----+------+-----+------+-----+
| Personal Loan              | 44   | 0   | 2    | 0   | 6    | 2   |
|                            |      | .01 | ,157 | .77 | ,819 | .62 |
+----------------------------+------+-----+------+-----+------+-----+
| Others Income              | 61   | 15  | 41   | 14  | 39   | 15  |
|                            | ,187 | .39 | ,425 | .85 | ,548 | .17 |
+----------------------------+------+-----+------+-----+------+-----+
| Total                      | 397  | 100 | 278  | 100 | 260  | 100 |
|                            | ,563 | .00 | ,930 | .00 | ,654 | .00 |
+----------------------------+------+-----+------+-----+------+-----+

4.  Business Goal

  The Company’s ultimate goal for next 3 years is to expand business in
  hire purchase motorcycles in Bangkok, boundary and upcountry with
  average growth rate about 10 percentage per year.