Y2K REPORT FOR THE QUARTER ENDED AS OF MARCH 31, 1999

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 #2/1999 as of May 17th, 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 for all computer systems is 100% complete. All embedded systems are 80% complete and compliant systems have been gradually delivered. As of the report date, the company has spent 1,346,025 Baht on the renovation / replacement program. It is estimated that renovation / replacement for all embedded systems will be completed no later than the third 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 forward 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. Acceptance tests on Year 2000 Trigger Dates are in progress for all computer systems, and certifications have been gradually accepted from various vendors for the compliant systems. Embedded systems are also being validated, tested, and certified as soon as they are renovated. The target completion date for all systems is August 31st, 1999. 1.4.1 ELCID Software Trigger Date Simulation Test ELCID software LIVE test on selected Year 2000 trigger date was conducted successfully with SET on March 27th, 1999. The Second trigger date LIVE test with SET will be conducted on the 27th of May, 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 and continue thereafter until the year 2001. 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.