Ref. L-FA/AGM/08/027  

 

2nd April 2008

 

 

To:                   Shareholders

Subject:            Invitation to the Annual General Meeting of Shareholders No. 75

Attachments:    1. Copy of the Minutes of Annual General Meeting of Shareholders No. 74

                        2. Annual Report 2007 including financial statements and auditor’s report

                        3. Attachment to Agenda 5.1

                        4. Proxy and procedures and conditions for the registration of attendance at the Annual General Meeting of Shareholders No. 75

                        5. Location Map

                        6. Articles of Association Re: Shareholders Meeting

 

The Board of Directors of Christiani & Nielsen (Thai) Public Company Limited has resolved and hereby given notice that the Annual General Meeting of Shareholders No. 75 will be held on 10 April 2008 at 9.30 a.m. at No. 451 La Salle Road (Sukhumvit 105) Bangna, Bangna, Bangkok 10260.  The Agenda is as follows:

 

Agenda 1              To certify the Minutes of the Annual General Meeting of Shareholders No. 74

Fact and Reason:   The attachment is a copy of the Minutes of the Annual General Meeting No. 74 held on 23 April 2007, which was submitted to the Stock Exchange of Thailand within 14 days and was disclosed on the Company's Website. (Attachment no. 1)

Board’s Opinion:     The Minutes of the Annual General Meeting No. 74 held on 23 April 2007 should be approved.

 

Agenda 2              To acknowledge the Annual Report of the Board of Directors for the year 2007

Fact and Reason:   The Board of Director’s report and the operating results for the year 2007 are presented in the Annual Report for the year 2007, which is made in compliance with the Rules and Regulations of the Securities and Exchange Commission Thailand and of the Stock Exchange of Thailand. (Attachment no. 2)

Board’s Opinion:     The Annual Report of the Board of Directors for the year 2007 should be presented to the shareholders for acknowledgement.

 

Agenda 3              To consider and approve the Balance Sheet, Profit and Loss Statements and Auditor's Report for the fiscal period ended 31 December 2007.

Fact and Reason:   The Company's financial statements were made in conformity with generally accepted accounting principles and have been audited by the certified public accountant Thailand.

Board’s Opinion:     The Balance Sheet, Profit and Loss Statements and Auditor's Report for the fiscal period ended 31 December 2007 should be approved.

 

 

 

 

 

 

 

 

 

 

 

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Agenda 4              To consider and approve the appropriation of dividend payment and legal reserve for the year 2007.

Fact and Reason:   The Company has a policy to pay dividend when the Company has profit and sufficient cash flow unless there are any other crucial circumstances; the dividend payment shall not impact the Company's operation significantly. According to the Company's financial statements as of 31 December 2007, the Company's net profit for the year 2007 was 77,653,316 Baht, and the Unappropriated Retained Earnings was 531,611,973 Baht.  With the better operating results, sufficient cash flow, and in accordance with the Company's dividend-payment, the Board of Directors has resolved that the Company pays the dividend payment at the rate of 51.66 percent of the net profit per share, equal to 0.10 Baht (Ten Satang) per share, totaling 40,116,289 Baht.   The Board of Directors also resolved to allocate 3,882,666 Baht to legal reserve fully as indicated in the Company's Articles of Association.  The comparisons of dividend payment in the previous years are shown the following table.

         Description                    

Year 2007

Year 2006

Year 2005

 

1. Net profit (million Baht)

77.653

51.547

136.172

2. Number of shares (million shares)

401.162

401.162

401.162

3. Dividend payment (Baht/share)

0.10

0.05

0.10

4. Total amount of dividend payment

40.116

20.058

40.116

5.  Percentage of dividend payment

51.66

38.91

29.46

 

Board’s Opinion:     The Shareholders should approve the dividend payment of 0.10 Baht (Ten Satang) per share and the closing of Company’s shareholders book for the right to receive dividend payment on 25 April 2008.  The dividend payment is scheduled to be paid on 9 May 2008.  To approve the allocation of 3,882,666 Baht to legal reserve, thereby the cumulative legal reserve shall be Baht 28,694,856 Baht.

 

Agenda 5              To consider and approve the appointment of directors to replace the directors who retired by rotation and approve the remuneration for directors.

 

      5.1                   To consider and approve the appointment of Directors to replace the Directors who retired by rotation.

Fact and Reason:   According to the Article 16 of Company's Articles of Association, at every annual general meeting, one-third of the directors shall be retired.  The director who has held office longest shall be retired.  If the number of directors cannot be divided into three parts, the number of directors closest to one-third shall be retired.  The retired directors may be re-elected. The directors who will be retired by rotation are (1)  Mr. Supattanapong Punmeechaow,  (2) Mr. Pree Buranasiri and (3) Mr. Danuch Yontararak.  (Attachment No. 3)

Board’s Opinion:     The Company doesn't have a nomination committee for selecting the directors, the Board of Directors then consider that the nomination of the retired directors shall be proposed by the shareholders at the Annual General Meeting No. 75 with the persons who are the most suitable and of benefit to the Company.  

 

 

 

 

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      5.2                   To consider and approve the remuneration for Directors and Audit Committee

Fact and Reason:   According to the Public Limited Companies Act B.E. 2535 Section 90, listed companies are not allowed to pay their directors any money or other kinds of asset except the remuneration stated in the Company's Articles of Association.  If the Company's Articles of Association did not specify, the remuneration shall be approved by no less than two-third of the votes of the shareholders presented at the shareholders meeting.   In previous years the shareholders meeting approved the remuneration for Directors and Audit Committee as follows.

Baht/Month/Person

    Position

Year 2007

Year 2006

Payment for

1. Chairman of the Board 

40,000

40,000

Director Fee

2. Chairman of Audit Committee

60,000

60,000

Director Fee

3. Audit Committee

50,000

50,000

Director Fee

4. Director

20,000

20,000

Director Fee

 

Board’s Opinion:     The Board of Directors recommends that the remuneration for Directors and Audit Committee be the same rate as of the year 2007.

                                                                                                                       

Agenda 6              To consider and approve the appointment of auditor for the year 2008 and determine the remuneration of the auditor

Fact and Reason:   According to the Public Limited Companies Act B.E. 2535 Section 120, a Company's auditor and their remuneration shall be approved by the shareholders meeting, and according to the regulations of the Securities and Exchange Commission (SEC), the Company’s auditor shall be changed at least once every 5 years. Mrs. Saifon Inkaew, Certified Public Account No. 4434 of Ernst and Young Office Limited, who have been appointed as the Company’s auditors for 5 years (year 2003-2007) is due to be change in conformity with the SEC’s regulation. 

Board’s Opinion:     In conformity with the Public Limited Companies Act B.E. 2535, and the regulations of the Securities and Exchange Commission (SEC), the Audit Committee recommended to the Board of Directors three auditors selected by their past performance, independent and remuneration. The Board of Directors has considered the appointment of Ms. Kamontip Lertwitworatep, Certified Public Account No. 4377 or Mr. Narong Puntawong, Certified Public Accountant No. 3315 or Ms. Siraporn Ouaanunkun, Certified Public Accountant No. 3844 of Ernst and Young Office Limited as the Company’s auditor for the year 2008 at an annual fee of Baht 2,060,000.00 excluding any other expenses which are due to be paid.  The following are the summary of the auditor's remuneration comparing with the previous years.

 

 

Year 2008

(Proposed Fees)

Year 2007

Year 2006

Audit Fee

1,220,000

1,150,000

1,050,000

Review Fee

840,000

750,000

720,000

Non Audit Fee

            -

           - 

180,000

            Total

2,060,000

1,900,000

1,950,000

 

                             The three proposed auditors for the year 2008 are not directors, employees or staff, do not hold any position in the Company and also have no relationship or any related matter with the Company, subsidiaries, management or major shareholders including their relatives.

 

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Agenda 7              Other business (if any)

 

All shareholders are cordially invited to attend the Meeting on the date and at the time and place as mentioned above.  The closing date of the share register for the right to attend the Meeting will be 12.00 hours on 20 March 2008 until the completion of the Meeting.

 

If you wish to appoint a person to attend and vote at the Meeting on your behalf, please complete and duly execute the enclosed proxy (affixed with the 20 Baht duty stamp).  The duly completed and executed proxy must be deposited with the Chairman of the Meeting or the person designated by him before the Meeting commences.

 

Yours sincerely,

Christiani & Nielsen (Thai) Public Company Limited

 

 

 

(Mr. Danuch Yontararak)

Director and Company Secretary