Panjawattana Plastic Public Company Limited

- 51 -PANJAWATTANA PLASTIC PUBLIC COMPANY LIMITED AND ITS SUBSIDIARIESNOTES TO FINANCIAL STATEMENTS (CONT.)DECEMBER 31, 2012 AND 201132. FUND MANAGEMENTThe objective of company’ significant fund management is to provide appropriate financial structuresand maintain the ability to continuously operate.33. COMMITMENTS AND CONTINGENT LIABILITIESAs at December 31, 2012, the Company had commitments and contingent liabilities as follows:33.1 The Company granted a local bank to issue a letter of guarantee for electricity consumptionin factory in the amount of Baht 11.51 million.33.2 The Company granted the main bank lender to issue a letter of guarantee for its sale contractwith the contractor in the amount of Baht 75.32 million.33.3 On July 19, 2012, the Company had entered into a factory and branch office constructioncontract with a local company in the contract value of Baht 51.99 million. As at December31, 2012, the Company had paid wages that conform with the terms of the contract amountof Baht 25.15 million. The Company has outstanding obligation under the contract of Baht26.84 million (exclude vat).33.4 The company and its subsidiary had obligation that was agreed to acquire machinery andequipment in the amount of Baht 25.23 million.34. APPROVAL OF FINANCIAL STATEMENTSThese financial statements have been approved by the Company’s directors on February 20, 2013.124