5. OPERATING ASSETS OF THE COMPANY AND ITS SUBSIDIARIES

5.  Property, Plant and Equipment

  Objective: For business operations of the Company and its subsidiaries
  as at December 31, 2008

  []

  The Company and its subsidiaries are the owner of all assets, a
  portion of subsidiaries’ construction thereon and machinery as
  discussed above is mortgaged as collateral for long-term loans from
  financial institution amounted to Baht 232 million.

5.  The Company and its company carry on the business of real property

  -N/A –

5.  Intangible asset

  The Company and its subsidiaries have trademarks and concessions for
  shale and limestone mining (for cement industry) in Kaengkhoi,
  Saraburi, limestone mining (for construction industry) in Uthong,
  Suphanburi, and for Gypsum mining in Nongbue, Nakornsawan and plant
  license for aggregates operation in Uthong, Suphanburi.

5.4 The Policy on investment in Subsidiary and Associated Companies

  The Company’s business operation policy is to emphasize on its core
  business, i.e. cement manufacturing and distribution. Formation any
  associated company or investment in any subsidiary will be made only
  when it is in line with this policy. Generally, the Company’s equity
  interest in a subsidiary is 100%, except in the case of a joint
  venture company which would depend on the agreement with the joint
  venture partner(s). With respect to the management, the Company would
  normally have its representatives in the Board of Directors of the
  subsidiary and associated company.

  The Company’s equity interest and control in the existing subsidiary
  and associated companies are as follows:

  ------------------------------------------------------------------------------
  Company                        Relation / %   Number of        Participation
                                 of             Directors        in policy
                                 shareholding   representing the setting
                                                Company/Total of 
                                                Directors        
  ------------------------------ -------------- ---------------- ---------------
  Siam City Concrete Company     Subsidiary /   4/5              Yes
  Limited                        99.99                           

  Conwood Company Limited        Subsidiary /   5/5              Yes
                                 99.99                           

  Eagle Cement Holdings Company  Subsidiary /   4/4              Yes
  Limited                        99.99                           

  Lanna Resources Public Company Associated /   2/13             Yes
  Limited                        44.99                           

  Khmer Cement Industry Company  Subsidiary /   2/3              Yes
  Limited*                       75.00                           
  ------------------------------------------------------------------------------

Remark: * According to the joint venture agreement, Khmer Cement
Industry Company Limited (herein after called “KCI”) was incorporated
under the law of Cambodia. KCI commenced its operation on 1 April 2005.
However, at the time of its incorporation and until 31 December 2008,
the registered capital was equivalent to USD 405,000. The capital will
be increased from time to time when the business of the company
requires. The Company holds 75 percent interest of equal to USD 303,750.