Attached 3

24 Related party transactions

  Individuals or enterprises that directly, or indirectly through one or
  more intermediaries, control, or are controlled by, or are under
  common control with, the Company, including holding companies,
  subsidiaries and fellow subsidiaries are related parties of the
  Company. Associates and individuals owning, directly or indirectly, an
  interest in the voting power of the Company that gives them
  significant influence over the Company, key management personnel,
  including directors and officers of the Company and close members of
  the family of these individuals and companies with these individuals
  also constitute related parties.

  In considering each possible related party relationship, attention is
  directed to the substance of the relationship, and not merely the
  legal form.

  The Company had the significant transactions with its major
  shareholder, Stanley Electric Company Limited Group, incorporated in
  Japan which holds 29.95% interest in the Company’s share capital. The
  Company also had significant transactions with a group of individual
  shareholders who are members of the Company’s management who hold
  29.08% interest in the Company’s share capital. Stanley Electric Group
  comprise of Stanley Electric Company Limited and related companies.

  Purchases from related parties are specific materials or materials
  which are manufactured on a large scale at one source for cost saving
  benefits. Sales to related parties mainly represent export sales, and
  selling price is determined based on manufacturing cost plus a certain
  margin. A royalty fee is charged at 3% of sales less materials cost
  imported from a related party in accordance with the agreement. A
  design and development fee and other fees are charged in the normal
  course of business and are presented as other payable - related
  parties.

  The following significant transactions were carried out with related
  parties:

+--------------------------------------------------+---------+---------+
|   For the years ended 31 March                   | 2010    | 2009    |
+--------------------------------------------------+---------+---------+
|                                                  | Baht    | Baht    |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Sales                                          |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 446,    | 593,    |
|                                                  | 537,244 | 568,858 |
+--------------------------------------------------+---------+---------+
|   Companies related by way of the                |         |         |
+--------------------------------------------------+---------+---------+
|   Company’s management and directors             |         |         |
+--------------------------------------------------+---------+---------+
|   as shareholders, or by way of common directors | 199,    | 233,    |
|                                                  | 073,817 | 234,759 |
+--------------------------------------------------+---------+---------+
|   Associates                                     | 128,    | 127,    |
|                                                  | 581,610 | 934,745 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|                                                  | 774,    | 954,    |
|                                                  | 192,671 | 738,362 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Technical assistance income (other income)     |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 180,500 | 824,966 |
+--------------------------------------------------+---------+---------+
|   Associates                                     | 76,864  | 121,980 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|                                                  | 257,364 | 946,946 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Royalty income (other income)                  |         |         |
+--------------------------------------------------+---------+---------+
|   Associates                                     | 172,651 | 396,564 |
+--------------------------------------------------+---------+---------+

24 Related party transactions (continued)

  The following significant transactions were carried out with related
  parties: (continued)

+--------------------------------------------------+---------+---------+
|   For the years ended 31 March                   | 2010    | 2009    |
+--------------------------------------------------+---------+---------+
|                                                  | Baht    | Baht    |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Dividend income                                |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 45,     | 111,    |
|                                                  | 242,924 | 221,295 |
+--------------------------------------------------+---------+---------+
|   Companies related by way of the                |         |         |
+--------------------------------------------------+---------+---------+
|   Company’s management and directors             |         |         |
+--------------------------------------------------+---------+---------+
|   as shareholders, or by way of common directors | 1,      | 2,      |
|                                                  | 261,324 | 201,982 |
+--------------------------------------------------+---------+---------+
|   Associates                                     | 30,     | 28,     |
|                                                  | 149,177 | 339,769 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|                                                  | 76,     | 141,    |
|                                                  | 653,425 | 763,046 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Other incomes                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 1,      | 877,923 |
|                                                  | 437,656 |         |
+--------------------------------------------------+---------+---------+
|   Companies related by way of the                |         |         |
+--------------------------------------------------+---------+---------+
|   Company’s management and directors             |         |         |
+--------------------------------------------------+---------+---------+
|   as shareholders, or by way of common directors | -       | 306,643 |
+--------------------------------------------------+---------+---------+
|   Associates                                     | 42,069  | 6,874   |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|                                                  | 1,      | 1,      |
|                                                  | 479,725 | 191,440 |
+--------------------------------------------------+---------+---------+

+--------------------------------------------------+---------+---------+
|   Purchases of goods and services                |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 525,    | 594,    |
|                                                  | 105,389 | 708,550 |
+--------------------------------------------------+---------+---------+
|   Companies related by way of the                |         |         |
+--------------------------------------------------+---------+---------+
|   Company’s management and directors             |         |         |
+--------------------------------------------------+---------+---------+
|   as shareholders, or by way of common directors | 228,    | 247,    |
|                                                  | 010,840 | 145,325 |
+--------------------------------------------------+---------+---------+
|   Associates                                     | 13,     | 14,     |
|                                                  | 366,692 | 525,446 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|                                                  | 766,    | 856,    |
|                                                  | 482,921 | 379,321 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Royalty fees                                   |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 187,    | 214,    |
|                                                  | 952,769 | 185,279 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Design and development fee                     |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 46,     | 26,     |
|                                                  | 228,513 | 228,641 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Technical fee                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 4,      | 22,     |
|                                                  | 230,606 | 268,115 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Training fee                                   |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 19,     | 23,     |
|                                                  | 694,820 | 112,632 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Commission                                     |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 2,      | 1,      |
|                                                  | 163,960 | 354,115 |
+--------------------------------------------------+---------+---------+

24 Related party transactions (continued)

  The amounts due to and from related parties are mainly denominated in
  foreign currencies and relate to purchases and sales transactions. The
  outstanding balances as at 31 March 2010 and 2009 are as follows:

+--------------------------------------------------+---------+---------+
|                                                  | 2010    | 2009    |
+--------------------------------------------------+---------+---------+
|                                                  | Baht    | Baht    |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Trade accounts receivable - related parties    |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 42,     | 30,     |
|                                                  | 019,809 | 392,439 |
+--------------------------------------------------+---------+---------+
|   Companies related by way of the Company’s      |         |         |
|   management                                     |         |         |
+--------------------------------------------------+---------+---------+
|   and directors as shareholders, or by way of    | 29,     | 30,     |
|   common directors                               | 143,954 | 553,812 |
+--------------------------------------------------+---------+---------+
|   Associates                                     | 19,     | 17,     |
|                                                  | 420,963 | 116,161 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|                                                  | 90,     | 78,     |
|                                                  | 584,726 | 062,412 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Trade accounts payable - related parties       |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 123,    | 69,     |
|                                                  | 320,896 | 422,653 |
+--------------------------------------------------+---------+---------+
|   Companies related by way of the Company’s      |         |         |
|   management                                     |         |         |
+--------------------------------------------------+---------+---------+
|   and directors as shareholders, or by way of    | 15,     | 8,      |
|   common directors                               | 333,640 | 194,656 |
+--------------------------------------------------+---------+---------+
|   Associates                                     | 2,      | 1,      |
|                                                  | 978,838 | 617,912 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|                                                  | 141,    | 79,     |
|                                                  | 633,374 | 235,221 |
+--------------------------------------------------+---------+---------+
|                                                  |         |         |
+--------------------------------------------------+---------+---------+
|   Other payables - related parties               |         |         |
+--------------------------------------------------+---------+---------+
|   Stanley Electric Group companies               | 109,    | 87,     |
|                                                  | 726,795 | 524,655 |
+--------------------------------------------------+---------+---------+

25 Significant commitments

  a) Bank guarantees

  As at 31 March 2010, the Company has bank guarantees with respect to
  electricity supply from bankers of Baht 20 million (2009 : Baht 20
  million).

  b) Capital commitments

  As at 31 March 2010, the Company has capital commitments of Baht 65
  million (2009 : Baht 53 million).

26 Post balance sheet event

  At the Board of Directors’ meeting held on 21 May 2010, the Board of
  Directors approved to propose the dividends payment in respect of the
  operating results for the year ended 31 March 2010 for a total
  76,625,000 shares of Baht 5 per share totaling Baht 383.13 million to
  the Annual General Shareholders’ meeting held on 2 July 2010.