No. AI 050/2553

                                                                                        February 24, 2010

Subject: Clarification of Operating Results for Year 2009

To : President

The Stock Exchange of Thailand

Asian Insulators Public Company Limited (AI) would like to clarify for the year ended December 31, 2009 operating results based on the consolidated financial statement. The Net Profit for year 2009 was 105.55 million Baht, while in year 2008 the net profit was 134.02 million Baht. Decreasing of 28.47 million Baht or 21.25 % was come from the main reasons as follows:

Operating results (Consolidated) :

• The Company realized 299.01 million Baht for revenue from selling Porcelain Insulators and component which was decreased by 49.12% or 288.63 million Baht compared to the revenue of year 2008 which was 587.64 million Baht. The main reason was the decrease in demands of Porcelain Insulators. While the cost of goods sold was 159.03 million Baht, decreased by 46.02% or 135.56 million Baht. Gross profit was 139.98 million Baht.

• The Company realized 293.43 million Baht for revenue from selling of raw materials in year 2009, decreased 32.53 million Baht or 9.98% compared to revenue of year 2008. While the cost of goods sold was 238.25 million Baht, decreased by 12.61% or 34.39 million Baht.

• The Company realized 45.38 million Baht for revenue from selling of aluminum scrap in year 2009, increased 36.22 million Baht or 395.13% compared to the revenue of year 2008. While the cost of goods sold in year 2009 was 43.03 million Baht, increased by 371.49% or 33.90 million Baht.

• The Company realized 517.00 million Baht for revenue from the Construction of Transmission Line and Substation in year 2009, was increased 351.19 million Baht or 211.80% by compared to the revenue of year 2008. While the cost of construction in year 2009 was 479.70 million Baht, increased by 204.56% or 322.19 million Baht.

• The Company realized the revenue for 71.63 million Baht from freight charter services in year 2009, was increased 4.98 million Baht or 7.47 from year 2008. While the cost of vessel operating in year 2009 was 70.78 million Baht, increased by 0.74% or 0.52 million Baht.

• The Company realized the revenue for 1,062.01 million Baht from selling vegetable oil, and it’s by products in year 2009, was decreased 138.91 million Baht or 11.57% from the revenue of year 2008 which was 1,200.92 million Baht. While the cost of goods sold was 1,036.87 million Baht, was decreased 229.67 million Baht or 18.13%. Gross profit was 25.14 million Baht. Moreover, the Company realized 42.30 million Baht from the revenue of selling Biodiesel (B100) and the gross profit was 24.02 million Baht.

• The Company realized the revenue for 24.58 million Baht from selling ice cube for fishing industry and ports services in year 2009, was increased 0.51 million Baht or 2.12% from the revenue of year 2008. While the cost of goods sold was 20.10 million Baht, was increased 0.76 million Baht or 3.90%.

• The revenue of Ports and Terminals business in Chumporn and Samut Sakorn Province was 2.31 million Baht. While the cost of service was 9.79 million Baht. Ports and Terminals service were completed of construction, commissioning and in services since August 2009.

• Selling & administration expenses was 137.71 million Baht, decreased 8.34% or 12.53 million Baht in year 2009 compared to the year 2008, the decrease were from subsidiary companies’ expenses.

Balance Sheet (Consolidated) :

• Total assets as December 31, 2009 was 2,736.08 million Baht which was increased by 274.47 million Baht or 11.15% compared to the year 2008 from the following reasons.

  • Increasing of Property, plant, vessel and equipment 288.31 million Baht for Ports and Terminals in Chumporn and Samut Sakorn Province.

  • Decreasing of Advance payment to subcontractors 66.28 million Baht due to project success recognized.

  • Increasing of Construction contracts in progress 34.51 million Baht due to increasing of project progress.

• Total liabilities as December 31, 2009 was 1,304.33 million Baht which was increased by 172.39 million Baht or 15.23% compared to the year 2008 from the following reasons.

  • Increasing of loans from financial institutions 318.72 million Baht due to Ports and Terminals Construction.

  • Increasing of Trade accounts payable 108.70 million Baht which was come from operating.

  • Decreasing of Accrued Dividend 250 million Baht which was announced for year 2008 dividend payment.

• Total Shareholders' Equity as December 31, 2009 was 1,431.75 million Baht which was increased by 102.08 million Baht or 7.68%. The main reasons were the increasing of retained earning.

Liquidity (Consolidated) :

• Liquidity ratio for the year ended 2009 was 1.27 times which decreased by 0.11 times compared to the liquidity ratio at the year ended 2008, which was 1.38 times. Mainly came from Current liabilities increasing 69.69 million Baht in Short-term loans from financial institutions and Trade account payable. And Current assets decreasing 13.63 million Baht in Advance payment to subcontractors and Trade account receivable.

• Debt to equity ratio was 0.91 time which was increased by 0.06 time compared to the year ended 2008 which was 0.85 time.

Please be informed accordingly.

Yours sincerely,

(Thanit Thareratanavibool)

Chief Executive Officer