CLARIFY ON INVESTMENT OF WATER TREATMENT CONSTRUCTION

No. EGCO 310/65 Date: February 8, 1999 Attn: The President of the Stock Exchange of Thailand Subject: Clarification on the investment of the water treatment construction According to the news in Krungthep Turakij dated February 8, 1999 stated that Electricity Generating Public Company Limited (EGCOMP) is bidding for the construction of water treatment of Provincial Water Authority (PWA) at Lampang office, Lampang. The total project cost is about Baht 800 million. The successful bidder will get the concession of Build-Operate-Transfer (BOT) with 25 year long-term contract. EGCOMP would like to clarify that EVA Consortium which comprised EGCOMP, Vivendi Public Company Limited and Aquathai Company Limited proposed the bidding for concession of producing the service water to supply to PWA at Lampang on January 29,1999. This project is under privatization scheme of PWA in order to reduce investment burden of public sector. PWA has already approved for the consortium's qualification. Currently, PWA is evaluating the technical proposal. Sincerely yours, Worawit Khamkanist Managing Director