Y2K REPORT FOR 4TH QUARTER-1998

Y2K Compliance Program Progress Report to SET Dusit Thani Public Co., Ltd. operates the hotel business and has full hotel management contracts. The Head Office is located on 946 Rama IV Road, Silom, Bangrak, Bangkok, the telephone number is 636-3600, and the facsimile number is 636-3630. The Companys Y2K compliance program report # 1/1999 as of March 2nd, 1999 is as follows: Introduction This document is a progress & status report of the Y2K Compliance Program and a follow-up on the reports submitted earlier to SET. It details the companys progress for resolving the Y2K computer problems. 1. Y2K Compliance Program Status 1.1 Inventory Assessment Inventory assessment for all properties have been completed according to the scheduled date of Sept 30th, 1998. 1.2 Cost Assessment The overall cost assessments revealed the final cost to be less than 5% of the shareholder equity value. The final figure in Baht was assessed at 5,146,881 Baht; however, the company is confident that the actual cost will probably be lower than the budgeted cost assessment. The cost assessments were presented to the Y2K Management committee and the company Board of Directors, which had accepted the proposed renovation plan. 1.3 Renovation/Replacement Renovation/Replacement plan has been completed and is now being implemented. As of the report date, renovation/replacement program is 75% completed and 1,346,025 Baht has been spent on the renovation/replacement program. It is estimated that all renovation/replacement will be completed by the first part of 1999. 1.3.1 ELCID Software Program Dusit Thani Public Company has installed ELCID Version 4.3 at the company Headquarters office and began forwarding electronic information to the SET via dial-up modem communication link. 1.4 Simulation and Test Simulation and test are being conducted on the component level. The over all system acceptance test will be performed once renovation/replacement are complete in early 1999. This task will be completed by the end of the second quarter of 1999. 1.5 Emergency and Contingency Planning Emergency Plan has been established and Failure Recovery Procedures are being implemented. Emergency drills will be conducted starting the second quarter of 1999. 2. Business Continuity There has been no further evidences since the last report that business will be disrupted by Y2K related problems. 3. Company Executive Report The current status of the Y2K compliance program is at the end of the renovation/replacement phase. Acceptance test and emergency plan will be accomplished during the second and third quarter of 1999. Presently the company has spent 1,346,025 Baht on the Y2K compliance program. From observation, it is evident that shareholders equity will not be affected by the Y2K problems. Furthermore, all system components will be Y2K readied in according to the planned schedule with emergency plans intact.