NOTIFICATION OF THE NET PROFIT FOR JUNE 30, 1999

August 16, 1999 Subject:Notification of the net profit for the quarter ended June 30, 1999, which is more than 20% below the net profit of the same period last year To: Directors and Manager of the Stock Exchange of Thailand The consolidated financial statement for the quarter ended June 30, 1999 shows that Dusit Thani Public Co., Ltd. generated the net profit of Baht 162.21 million, comparing to the net profit of Baht 522.25 million for the same period last year. The reasons are as follows: Extraordinary items 1. On March 31, 1998, the Company recorded the net profit of Baht 375.77 million from the disposal of its investment in Dusit Sindhorn Co., Ltd. The selling price was Baht 1,110 million while the book value was Baht 734.23 million. Dusit Sindhorn Co., Ltd. was one of the associated companies of Dusit Thani Public Co., Ltd. in which it held 49.99 % stakes. Moreover, in May 1998, the Company also recorded the net profit of Baht 92.4 million from the disposal of its investment in Dusit Thani Delaware, the owner of The Melrose Hotel. 2. Net foreign exchange gain has decreased by Baht 32.24 million due to the lack of forward buying for some of the off shore loans. 3. The Company has entered into a forward buying contract with the bank to prevent its foreign exchange risk since late 1997, and in 1998 repaid part of its loan. Furthermore, certain amount of its off-shore loan was converted into local currency which resulted in a decrease in forward buying expense by Baht 65.21 million. 4. Net interest expense decreased by Bath 31.24 million as a result of loan repayment and off shore loan conversion into local currency. Operational items In general, the performance of the Company has improved or was in line with last year except at two hotels where the results were below. 1. The net profit of The Dusit Thani has decreased by Baht 21 million because of the negative impact of MRTA project in front of the hotel, which caused heavy traffic and air pollution resulting in a drop in numbers of both local and foreign guests. 2. The net profit of Dusit Nikko Manila has decreased by Baht 29 million. Because of the fierce competition among the five stars hotels in Philippines this year which caused all hotels to charge lower the room rates. Furthermore, room selling for local business had changed from US currency to Philippines Peso, which pushed up the hotels occupancy while also decreasing the average rate. Equity in undistributed net loss of subsidiary and associated companies has decreased by Baht 92.38 million because of the disposal of its stakes in Dusit Sindhorn Co.,Ltd. since March 31, 1998. Therefore, in 1999 the Company will not have to record the loss into its consolidate financial statement. Sincerely yours. Khunying Chanut Piyaoui Chairperson and Managing Director