Indorama Polymers “IRP”

Q1, 2006 Analyst Meeting

15 May 2006

The Stock Exchange of Thailand

DISCLAIMER: This presentation does not constitute an invitation to underwrite, subscribe for, or otherwise acquire or dispose of any IRP Shares. Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser. For the convenience of the interested investors the management is presenting the financial data in US Dollar also. However, the translation method does not confirm with GAAP and is based on the method developed by the management which will be followed consistently in future.

AgendaAgenda

Fundamentals

Q1, 2006 Financial Update

Projects in Progress

Focus: Lithuania

Outlook

Guiding PhilosophyGuiding Philosophy

VISION

To be one of the leading global producer with key

focus on people and processes thus making INDORAMA one of the most admired companies in the world

MISSION

Continuously upgrade quality of products and services

through people involvement and world class

processes to attain customer delight thus becoming a

preferred supplier and institutionalise people learning

as a key factor for business growth

1

Major ShareholdersMajor Shareholders

2

Major Sharholders Country Shares Percent

1 Beacon Global Limited Mauritius 537,198,080 38.9%2 Indorama Holdings Limited BVI 365,999,970 26.5%3 Indorama Synthetics (India) Limited India 90,480,000 6.5%4 DEG Germany 68,519,790 5.0%5 Somers (U.K.) Ltd. British 62,706,300 4.5%6 Credit Agricole Investor Services Bank Luxembourg Luxemburg 23,500,000 1.7%7 Thai NVDR Ltd. Thai 22,477,200 1.6%8 Citibank Nominees Singapore PTE Ltd-Citibank LDN RE Fund 202 Singaporean 18,997,600 1.4%9 Government Saving Bank Thailand 18,400,000 1.3%

10 Bangkok Bank Pcl. Thailand 15,000,000 1.1%11 PICTET & CIE Switzerland 13,142,400 1.0%12 Mr. Kamlesh Chandumal Daswani India 11,560,000 0.8%13 Ayudhaya Equity Fund Thailand 10,596,800 0.8%14 Mrs. Wilai Panwongkloam Thailand 8,723,100 0.6%15 Raffles Nominees (PTE) Ltd. Singapore 8,541,900 0.6%

1,267,301,240 91.7%Note: As on March 29, 2006, book closure for annual general meeting of shareholders

APL Group, the main promoters holdings are held Beacon Globaland Indorama Holding

IRP, total issued and paid-up capital Baht 1,382 million

Group StructureGroup Structure

^Indorama Polymers Public Company Limited “IRP”

PET Polymers: 126,000 tpa

51% 99.9% 100%

^ Expanded capacity in December, 2006. Now 90,000 tpa ^^ Expanded capacity in December, 2006. Now 116,000 tpa^^^Lithuania plant commissioning expected in Mid-2006

3

* Joint venture with Serm Suk Pcl which holds 40%and DEG holds 9%

*Petform (Thailand) Limited“PTF”

Preforms, Bottles and Closures

Asia Pet (Thailand) Limited“APT”

Amorphous PET Polymers: 110,000 tpa

^^StarPet Inc., USA“SPT”

PET Polymers: 200,000 tpa

^^^UAB Orion Global Pet, Lithuania “OPT”

PET Polymers: 198,000 tpa

20% 60% 20%

Production ProcessProduction Process

PTA

MEG

IPA

CP Plant SSP Plant

Bottle Blowing

Closures

Asia PetAsia Pet PetformPetformIRPIRP

StarPet / Orion Global PetStarPet / Orion Global Pet

AmorphousPET

PET Polymers

*0.84

*0.35

*0.02

*Tons of Input for 1 ton of PET polymers

4

Preforms

IRP Capacity 4% of Global Demand in 2007IRP Capacity 4% of Global Demand in 2007

IRP Capacity (Tons)

90,000 90,000126,000

80,000116,000

200,000-

-

198,000

-

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

500,000

550,000

600,000

2003 2005 2007P

To

ns

Asia North America Europe

21%

154%170,000

206,000

524,000

5

Demand Growth: New ApplicationsDemand Growth: New Applications

Carbonated Soft Drinks

Ketchup and Sauces Liquor / Wine BEERMilk

Iced Tea Energy Drinks Juices

Lubricating OilPaints FoodToiletries & Cosmetics

Water

6

PET: Demand Growth and Per CapitaPET: Demand Growth and Per Capita

World PET Demand

1,0002,0003,0004,0005,0006,0007,0008,0009,000

10,00011,00012,00013,00014,000

19

95

19

96

19

97

19

98

19

99

20

00

20

01

20

02

20

03

20

04

20

05

20

06

P

'00

0 t

py

Demand growing by 1 million tons per annum

World per capita consumption is 1.7 kilos per annum

Higher per capita consumption in North America (8 kilos) and West

Europe (5 kilos), still growing at 7-8% per annum

Global demand of 12.3 million tons, growing at 8-10% p.a.

Source: Tecnon

Per Capita PET Consumption

012345678

NorthAmerica

East Asia EastEurope

CIS/Russia MiddleEast

South EastAsia

Kg

pe

r p

ers

on

Global

7

PET Polymers demand growth in all regions PET Polymers demand growth in all regions

Source: Tecnon

Regional Demand for PET Polymers

2,833 3,079 3,335 3,592

3,6283,918

4,2254,508

3,535

3,807

4,084

4,3611,420

1,527

1,637

1,747

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

11,000

12,000

13,000

14,000

15,000

2005E 2006P 2007P 2008P

'000

To

ns

Asia North America Europe ROW

8

11,416

12,331

13,281

14,208

PET: Demand distributionPET: Demand distribution

Source: Tecnon

• CSD demand growth of 6-7%• Water demand growth of 10-12%• Others include beverages and food• Sheet include food and non-food• Beer, developing stage, high growth potential

Marketshare of Global Packaging Materials in 2005

Plastics39%

Paper & Boards

29%

Metal19%

Glass8%

Others5%

Consumption Pattern in PET 2006P

CSD37%

Water26%

Beer2%

Sheet6%

Others29%

Source: PIRA International

• Convenience is the key to growth of packaging materials• Consumers prefer usability or occasion specific packaging• Priority for product safety and functionality

9

Cans Vs PET, New EquationsCans Vs PET, New Equations

During past four years, Aluminum prices increased from 1400 to 2400 $/ton or by 71% while PET prices increased from 830 to 1,150 $/ton or by 38%

Aluminum prices are high due to energy costs and tight demand supply

In 2007,US Aluminum price will further increase when new contracts are negotiated

360 ml bottles replacing Cans

CSD Costs US c/Lit

0

5

10

15

20

25

30

PE

T 2

Lit

PE

T 6

00 m

l

PE

T 5

00 m

l 6p

k

PE

T 3

60 m

l 8p

k

Al C

an 3

60 m

l6

pk

Al C

an 3

60 m

l12

pk

Al c

an 3

60 m

l24

pk

US

ce

nt/

Lit

.

Container Closure, Label

Sec Packing Filling

Source: Industry Data

10

Industry AttractivenessIndustry Attractiveness

Global demand 12.3 million tons projected for 2006 and growth at 8-10% per

annum

New applications fuelling high growth rates, 2-3 times global GDP growth,

i.e. energy drinks, flavored water, iced tea and others

Market movements in packaging reflect preferred packaging material

PET preferred over glass, PVC and other polymers

Better properties than other packaging materials

Consumers prefer convenience of PET for purity, light weight and

resealable

Beverage producers prefer PET for being cost effective

11

Source: Industry prices

PET prices move in tandem with raw materialsPET prices move in tandem with raw materials

12

PET Chain Margin Distribution

0

100

200

300

400

500

600

700

800

900

1000

1100

1200

1300

2000

2001

2002

2003

2004

2005

2006

Pri

ces,

$/m

t

5

15

25

35

45

55

65

75

85

95

Cru

de,

$/b

bl

PET

C2/MEG

PTA

pX

Naphtha

Crude

Histrorical, Wide PET spreads on lower RM costs

Narrow PET spreads on rising RM costs

Crude impact marginal on PET spreadsCrude impact marginal on PET spreads

Crude price increase absorbed in petrochemical chain

Petrochemical prices increased

Petrochemical spreads were higher on tight supply, low investments

Post-SE Asian crisis in 1997-98

Additional supply in year 2005-6 result in decline in spreads

PET prices move in line with raw material prices

Able to pass rising costs in past 2 years

Historically, PET spreads widen on lower raw material costs

Reversing petrochemical cycle will be beneficial (refer slide 12)

13

Global Capacity & Demand ('000 Tons)

0

500010000

15000

20000

2500030000

35000

40000

4500050000

55000

2004 2005 2006E 2007E 2008E

Demand Capacity

North America Capacity & Demand ('000 Tons)

0

1000

2000

3000

4000

5000

6000

7000

2004 2005 2006E 2007E 2008E

Demand Capacity

Source: CMAI

Global Additions of Capacity & Demand ('000 Tons)

0

1000

2000

3000

4000

5000

6000

2004 2005 2006E 2007E 2008E

Demand Increase Capacity Addition

PTA: Capacity additions outstrip demand increasePTA: Capacity additions outstrip demand increase

14

Asia Capacity & Demand ('000 Tons)

0

5000

10000

15000

20000

25000

30000

35000

40000

2004 2005 2006E 2007E 2008E

Demand Capacity

Note: Asia includes Middle East

MEG: Surplus AvailabilityMEG: Surplus Availability

Global Capacity & Demand ('000 Tons)

0

5000

10000

15000

20000

25000

2004 2005 2006E 2007E 2008E

Demand Capacity

North America Capacity & Demand ('000 Tons)

0

1000

2000

3000

4000

5000

6000

2004 2005 2006E 2007E 2008E

Demand Supply

Source: CMAI

Global Additions of Capacity & Demand ('000 Tons)

0

500

1000

1500

2000

2500

2004 2005 2006E 2007E 2008E

Demand Increase Capacity Addition

15

Asia Capacity & Demand ('000 Tons)

0

2000

4000

6000

8000

10000

12000

14000

16000

2004 2005 2006E 2007E 2008E

Demand Supply

Note: Asia includes Middle East

AgendaAgenda

Fundamentals

Q1, 2006 Financial Update

Projects in Progress

Focus: Lithuania

Outlook

Surge: Profits 30% YoYSurge: Profits 30% YoY

16

(in US$)

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

Q1' 04 Q2' 04 Q3' 04 Q4' 04 Q1' 05 Q2' 05 Q3' 05 Q4'05 Q1' 06

US

$ '0

00

-

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

5,000

5,500

6,000

6,500

US

$

Revenue Normalized Net Profit

Financial Performance: ConsolidatedFinancial Performance: Consolidated

17

Q1, 2006 Q1, 2005 Q1, 2005 Q1, 200650,127 48,452 Production Quantity (Tons) 48,452 50,127

2,706,756 2,852,391 Total Revenue ('000) 73,867 68,834

289,425 272,546 EBITDA ('000) 6,471 7,659

218,912 147,613 Net Profit ('000) 4,122 5,450 48% Growth 32%

202,940 165,910 Normalized Net profit ('000) 4,202 5,450 22% Growth 30%

4,049 3,782 Normalized Net Profit per Ton 87 109 7% Growth 25%

5,774 5,625 EBITDA per Ton 134 153 3% Growth 14%

* Total Revenue for Q1, 2005 includes trading sales of 7,081 tons or Baht 393 million

Consolidated (Baht) Consolidated (US$)

(’000)

Note: Average Exchange Rate 38.62 39.32

Higher sales in premium marketsHigher sales in premium markets

Note: Sales quantities are indicated by %

Geographical Sales Q1, 2005

ROW

Europe

Thailand Region

North America

Geographical Sales Q1, 2006

ROW

Europe

Thailand Region

North America

47%

8%18%

27% 19%

66%9%

6%

Sales Realisation by Region

36,000

38,000

40,000

42,000

44,000

46,000

48,000

50,000

52,000

54,000

56,000

North America Thailand Europe ROW

Bah

t p

er t

on

100

120

140

160

180

200

220

240

260

Ble

nd

ed S

pre

ad, $

/mt

B/t

$/mt

Spread - $229/ton

Sales Realisation by Region

36,000

38,000

40,000

42,000

44,000

46,000

48,000

50,000

52,000

54,000

56,000

North America Thailand Europe ROW

Bah

t p

er t

on

100

120

140

160

180

200

220

240

260

Ble

nd

ed S

pre

ad, $

/mt

B/t

$/mt

Spread - $232/ton

18

Surge: Profits 26% YoYSurge: Profits 26% YoY

19

(in Baht)

-

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

Q1' 05 Q2' 05 Q3' 05 Q4'05 Q1' 06

Ba

ht'

00

0

-

30,000

60,000

90,000

120,000

150,000

180,000

210,000

240,000

270,000

300,000

Ba

ht'

00

0

Revenue Normalized Net Profit

Post-IPO, Higher Returns to ShareholdersPost-IPO, Higher Returns to Shareholders

1.12

1.48

0.80

1.00

1.20

1.40

1.60

*Q1 2005 Q1 2006

Annualized EPS (cents)

32%

*Q1 2005 and Q1, 2006 based on post-IPO issued and paid-up capital of Baht 1,382,197,870

In UScents

0.43

0.64

0.00

0.10

0.20

0.30

0.40

0.50

0.60

0.70

*Q1 2005 Q1 2006

Annualized EPS (Baht)

In Baht

49%

20

19.50%18.70%

20.10%

23.42%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

18.0%

20.0%

22.0%

24.0%

26.0%

28.0%

2005 31-Mar-06

Return on Capital Employed (excl. OPT)

Return on Equity

Key ratiosKey ratios

1.29

1.19

0.67

0.75

0.40

0.50

0.60

0.70

0.80

0.90

1.00

1.10

1.20

1.30

1.40

2005 31-Mar-06

Current ratio Net Debt-Equity ratio

(in Baht)

Lower leverage

21

On higher base of capital employed and equity

Financial PositionFinancial Position

Includes Baht 1,693 million (Euro 35.8 million) debt of Orion Global Pet

22

(Baht’ 000)Balance Sheet as on 31-Dec-05 31-Mar-06Total Current Assets 3,549,648 3,449,688 Total Assets 10,114,561 10,255,880 Total Current Liabilities 2,765,726 2,897,819 Total Liabilities 5,845,996 5,824,175 Net Interest bearing Debt 3,182,373 2,959,049 Issued and paid-up Capital 1,382,198 1,382,198 Total Shareholders Equity 4,268,565 4,431,705

Current Ratio 1.28 1.19 Total Liabilities to Equity 1.37 1.31 Net Debt to Equity 0.75 0.67 Book Value per Share 3.09 3.21

Cash flowCash flow

23

(Baht’ 000)2005 Q1' 2006

Net Profit 771,738 218,922 Cashflow before change in working capital 1,127,085 291,246 Change in working capital (105,274) 300,141 Free cashflow before capex 1,021,811 591,387 Capex (2,599,769) (497,164) Free cashflow after capex (1,577,958) 94,223

Proceeds from capital increase 1,151,865 - Repayment of loans (1,441,533) (230,758) Additional loans 1,806,391 342,651 Others (15,411) (4,498) Cashflow from financing 1,501,311 107,395

Net Cashflow (76,647) 201,618 Cash beginning 385,035 308,389 Cash closing 308,389 510,007

Key Ratios: Comparison Key Ratios: Comparison

24

Q1, 2006 2005 Particulars 2005 Q1, 2006(Baht) (Baht) (USD) (USD)

12.0% 17.0% Return on Capital Employed 16.7% 12.1%18.7% 19.5% Return on Capital Employed (excl. OPT) 19.1% 18.8%20.1% 23.4% Return on Equity 24.5% 18.6%9.1% 9.5% Return on Assets 9.3% 8.0%1.06 1.37 Assets Turnover (Times) 1.16 1.06

1.19 1.29 Current Ratio 1.28 1.190.80 0.85 Quick Ratio 0.85 0.801.31 1.36 Total Liabilities - Equity 1.31 1.340.78 0.82 Debt - Equity 0.78 0.790.67 0.75 Net Debt-Equity 0.72 0.687.42 6.44 Interest Coverage 6.46 8.06

AgendaAgenda

Fundamentals

Q1, 2006 Financial Update

Projects in Progress

Focus: Lithuania

Outlook

Petform, ThailandPetform, Thailand

Preforms & Closures Expansion and Bottling Project

Preform 4th machine and Closure 3rd machine installed and started

commercial production in Q1, 2006

In April, 2006, Bottle blowing project completed and started commercial

production

Capital expenditure of Baht 248 m. upto end of Q1, 2006 balance around Baht

70 million to be capitalized in Q2, 2006

Loan draw down of Baht 260 m. upto Q1, 2006 (Sanctioned Baht 260 m.)

Interest during construction period to be capitalized and charged to P&L from

Q1, 2006

25

Orion Global Pet, LithuaniaOrion Global Pet, Lithuania

PET Polymers Greenfield Project

Ongoing work at site, installation of plant & equipment, storage facility and

utilities

Capital expenditure of Euro 66.8 m. upto end of Q1, 2006

Loan draw down of Euro 35.8 m. upto end of Q1, 2006 (Sanctioned Euro 57.5

m.)

Interest during construction period to be capitalized and charged to P&L from

Q3, 2006

Commissioning in Mid-2006

30

StarPet Inc., USAStarPet Inc., USA

PET Polymers Expansion Project

Site work and railway siding work in progress

Plant and equipment supply agreements signed

First lot of plant and equipment to arrive in May, 2006 at site

Capital expenditure of around US$ 4 m. upto end of Q1, 2006

Loan draw down US$ 1.2 m. upto end of 2005 (Sanctioned US$ 31 million)

Interest during construction period to be capitalized and charged to P&L from

Q1, 2007

Start-up of commercial operations in January, 2007

36

Indorama Polymers, ThailandIndorama Polymers, Thailand

PET Polymers Expansion Project

Increase capacity of PET Polymers by 36,000 tpa at existing site

Supply agreements signed with plant & equipment suppliers

Proposed capital expenditure of US$ 5 million

Financing with US$ 4 million long term loans and balance from internal cash

Interest during construction period to be capitalized and charged to P&L from

Q1, 2007

Start-up of commercial operations in January, 2007

39

AgendaAgenda

Fundamentals

Q1, 2006 Financial Update

Projects in Progress

Focus: Lithuania

Outlook

Strategically located in the gateway of EU and CIS Strategically located in the gateway of EU and CIS

Lithuania

Lithuania, EU member and recognized as the prime transport center in the region linking the EU with the East, CIS & Russia

40

Growing economy attracting FDI Growing economy attracting FDI

Source: Lithuanian Department of Statistics, www.std.lt

41

Klaipeda: Free economic zone and transport hub Klaipeda: Free economic zone and transport hub

Orion Global PetPlant Location

Klaipeda, a transport and logistics hub with a developed infrastructure

42

Port of Klaipeda - the biggest container port in Baltic States and open for investments

• Klaipeda, a free economic zone with developed infrastructure and tax benefits

• Klaipeda is a big transport hub connecting sea, land and rail routes from East to

West

• Port of Klaipeda has been designated the EU's regional priority port,

linked to all major ports in EU

an ice free port

capacity of more than 30 million tons per year

Source: Klaipeda State Seaport, www.portofklaipeda.lt

43

Europe Continues to be a Net Importer Europe Continues to be a Net Importer

(1,500)(1,250)(1,000)

(750)(500)(250)

-250500750

1,0001,2501,5001,7502,0002,2502,5002,7503,0003,2503,5003,7504,0004,2504,5004,750

2003 2004 2005E 2006P 2007P 2008P

'00

0 T

on

s

-20%

-10%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Production Demand Utilization Net Trade

Demand outstrips supply, imports to continue but domestic producers atadvantage over imports

Source: Tecnon

44

Demand outstrips Supply…Room to grow Demand outstrips Supply…Room to grow PET producers in Europe market:

• IRP capacity represents 6.3% of the capacity• Total demand around 3.5 million tons and demand growth of 7-8% per annum equivalent to around 250,000 tons per annum

S. No. Producer Plant Locations 2006(Country) (Tons)

1 Advansa UK 165,000 2 CEP Tergal France 75,000 Uneconomic size

3 Elana Poland 129,000 4 Equipolymers Italy and Germany 450,000 350,000 tons in land locked location

5 Indorama Lithuania 198,000 6 Invista Germany 270,000 Land locked location and

majority quantity is DMT based

7 M&G Italy 300,000 8 Neo Group Lithuania 154,000 Capex cost US$ 731 per ton

9 Novapet Spain 240,000 10 Selenis Portugal, Italy, Greece, Spain 525,000 High acquisition cost US$ 670/ton

for 175,000 tons capacity

11 SK Euroechem Poland 120,000 12 Voridian Spain, UK, Netherlands 480,000 13 Wellman Netherlands 60,000 Uneconomic size

Total 3,166,000

45

Key highlights Key highlights

• Economies of scale, OPT will have the largest single line plant in Europe

• Low capex cost, around US$ 485 per ton compared to peers

• Low Conversion cost, comparable to Asia of around US$ 80 per ton considering low cost base, a developing economy, and required manpower around 110 persons

• Availability of key raw materials, PTA & MEG, available in Europe and suppliers in Asia and USA have manufacturing facility in Europe

• Demand exceeds supply, marketing will be concentrated in the markets of Greater Europe including CIS & Russia which are supply deficit regions. OPT will substitute imports and capture growing demand through sales to:

Global Convertors, customers of the Group in Asia and USA

Global Brand Beverages, customers of the Group in Asia and USA

Regional Convertors

46

AgendaAgenda

Fundamentals

Q1, 2006 Financial Update

Projects in Progress

Focus: Lithuania

Outlook

Spread * Quantity = ProfitsSpread * Quantity = ProfitsCommitted volume growth upto year 2007...Committed volume growth upto year 2007...

IRP Group PET Polymers Effective Capacity (tpa)

0

100,000

200,000

300,000

400,000

500,000

600,000

2004 2005 2006 2007

Europe

USA

Asia

Preforms & Closures Capacity (Million pieces)

100200300400500600700800900

1,0001,1001,200

2004 2005 2006

Bottles

Closures

Preforms

PET Polymers:

• Current PET capacity 206,000 tons

• 2007 PET capacity 524,000 tons

Completed:• Forward integration into bottles for 150m. pieces• Capacity increase in preforms by 42% and closures 50% • Expansion in line with growth plans of customers

Growth

154%

More

than

1 Billi

on pieces

47

OutlookOutlook

• PET Polymers demand growth at 8-10%, replacing aluminium and

glass as cost effective and convenience of use

• Asian operating rates to improve with limited new capacity additions

• Raw materials in a long market, increasing supply, and larger volume

purchase to leverage favorable prices

…IRP, Prepared and Enthusiastic

Raw material prices are rising and we expect to pass rising costs to our customers

48

IRP PositioningIRP Positioning

7th largest global PET producer with end-2006 capacity at

524,000 tons

Only PET producer with production facility in Asia, Europe and

North America enabling to capture demand growth in all markets

Regional presence provides ability to service large global

customers at low logistics cost

Large volume purchase of raw materials enable higher volume

discounts thereby increasing spread

High capacity utilization resulting in lower conversion costs

New plants of economic size at lower capex

49