[Translation] Ref. PDI. B.02.22/99 2 March 1999 To : President The Stock Exchange of Thailand Re. : Clarification on the company's performance results in 1998 Enclosed are a copy each of PDI's audited financial statements and consolidated financial statements for the year ended 31 December 1998 in both Thai and English version. From the statements of profit and loss, the Company's 1998 sales revenue increased from that of 1997 by Bt1,147m or 31%. The earning before depreciation, interest expenses, exchange gain, and abnormal and/or extraordinary items amounted to Bt1,040.51m. And the earning before exchange gain and abnormal and/or extraordinary items totalled Bt361.54m, equal to 7.53% of total sales, representing a slight decrease from the previous year which was equal to 8.91%, due to higher interest expenses and lowered other income. However, after taking into account abnormal items (- i. e. provisions on loans, loan guarantee and write-down of total assets of Padaeng Poongsan Metals Co., Ltd.; and provisions on write-down of deferred expenditure in respect of other subsidiaries) and exchange gain, the company had incurred a net loss of Bt303.10m or a loss of Bt314.50m in the consolidated statement of profit and loss, against a Bt2,218.40m net loss in 1997. The much improved performance was attributed to increases in production by 7% and sales volume by 23% from those of 1997. In fact, despite a decline in the LME price for zinc by an average of US$ 295 per metric ton from the previous year to be US$ 1,023 per metric ton, the weakening baht currency of an averaged Bt42 per US$ 1.00 resulted in the increased sales value quoted in US dollar. Please be informed accordingly. Yours truly, - Signature - (Brett T. Lambert) President and CEO