Notice of the 20 Annual Ordinary General Meeting of Shareholders TO

A.3) Mr. Voravit Rojrapitada, Director and Company Secretary clarifiedthat the Company has put up a large amount of loss reserve on the severe flooding andaccording to the interpretation of the Revenue Department any loss reserve amountwhich is not finally concluded with the insured cannot be considered as payment andcannot be deducted as expense. As the flood occurred towards the end of the year, mostof the loss reserves are estimates and not final which amount are treated as income andtaxed. However those 2011 outstanding loss reserve when finalized and paid in thefollowing year it will be deducted as expense.Q.4.) Acting Sub Lt. Pijit Eiamsopana, a shareholder who attended themeeting, asked what is the difference between “investment income” and “profit frominvestments”A.4) Mr. Chai Sophonpanich, the Chairman and Chief Executive Officer(CEO) clarified that “investment income” means income from interest and dividendswhereas “Profit from investments” means a income from securities transaction bothlisted and non listed in the Stock Exchange of Thailand.Q.5.) Mr. Worapoj Kittikajornassawachote, a proxy holder, asked aboutthe effect on (a) investment in Thai Reinsurance Public Company Limited and (b) manylocal insurance companies have more foreign shareholders.A.5) Mr. Chai Sophonpanich, the Chairman and Chief Executive Officer(CEO) clarified that the Company has invested many stocks mostly listed in The StockExchange of Thailand and the valuation of stocks is based on the market mechanism andtrends.Regarding the investment in Thai Reinsurance Public Company Limited(THRE), although the capital fund of THRE has decreased significantly, THRE hasalready increased the capital successfully at a subscription price of 3 baht (par value 1baht). At present the stock price of THRE is around 4 baht. We studied the financialcondition of THRE and are of the opinion that THRE has the capability to continueoperating its business and if within the next 4 to 5 years there is no severe naturaldisaster THRE will be able to return to normal operation profit and our Company willbenefit from this investment.On the aspect of more foreign investors in Thai insurance companies, it hasno direct effect to our Company. There are already some local insurance companies havejoint venture with foreign partners such as the Navakij Insurance Public CompanyLimited joined with the Falcon Insurance in preparation of the opening of the ASEANEconomic Community (AEC). We already have strategies to be more competitive in thefuture changes.Page 16