IntroductionEastern Water Resources Development

and Management PLC.16 October 2008

ContentsContents

Company Overview

Business Overview

Operation Highlights

Financial Highlights

Future Investments

Company Highlights

1992 :The Cabinet assigned PWA to establish East Water Company with initial• 1992 :The Cabinet assigned PWA to establish East Water Company with initialregistration of THB 10 million

• 1997 :The East Water listed on the Stock Exchange of Thailand (SET) with theregistered capital of THB 1,000 millionregistered capital of THB 1,000 million

• 1999 :The first water company obtained the quality management – ISO 9000,:Issuance of THB 2,500-million Long-term Debenture

• 2000 :Achieving operating tap water in using Reverse Osmosis (RO)2000 :Achieving operating tap water in using Reverse Osmosis (RO)• 2004 :Issuance of 20-million-share Rights Offering and 7.5-million-share Public

Offering ,:Increased the registered capital to THB 1,665 million:Increased the registered capital to THB 1,665 million

• 2005 :Par split from 10 Baht/Share to 1 Baht/Share,:7-Yr-term Loan of THB 2,000 million for new pipeline project

• 2006 :Obtained the environmental management - ISO 14001 : 20042006 :Obtained the environmental management ISO 14001 : 2004• 2008 :TRIS Affirmed A+ Credit Rating with Stable outlook in January

:Selling 24-million-share reduce entirely holding proportion in EHP:The resolution of adjusting the raw water tariff structure in 2008-2012 for every:The resolution of adjusting the raw water tariff structure in 2008-2012 for everyareas by gradually effective from May 2008

3

Shareholding StructureOriginal (1992)

IPO (1997)

PWA

100%

PWA

44%

Public 51%

IEAT5%

Registered capital THB 10 MillionRegistered capital THB 1,000 Million

PWA40 20%

Institutions18 86%

Retail Investors

7.53%Retail Investors & 40.20%18.86%Institutions 26.39%

IEAT

Utilico 10.12%Paid-up Capital = THB ~1,663.72 Million

As of 8 Aug 2008

IEAT4.57%

EGCOMP18.72%

Note: *PWA : Provincial Waterworks Authority, a state enterprise responsible for waterworks outside BKKy, p p

*IEAT : Industrial Estate Authority of Thailand, a state enterprise responsible for establishment industrial estates

*EGCOMP : a public company limited, produce and supply electricity in Thailand

*Utilico : Utilico Emerging Markets Limited, an investment company from UK

4

ContentsContents

Company Overview

Business Overview

Operation Highlights

Financial Highlights

Future Investments

Operation Framework

AgriculturesRID ReservoirsRID Reservoirs Agricultures

60%

RID ReservoirsRID Reservoirs40%

Industrial Estates53% Raw

Water 96%

Treated Water 4%4%

Other Factories12%

Waterworks35%

12%

* Raw Water Loss Rate: 0.99% as of Q3/086

Serviced Areas

• Due to the higher pace of industrial g pgrowth, the Company operates majorly in three provinces : Rayong, Chonburi and Chachoengsao

E t W t ’ i li t k i

III• East Water’s pipelines network ranging from diameter 500 – 1500 mm. and 324 km. in length linking as the water grid line in Eastern Seaboard

NongKho

BangPra

PrasaeBangkok

KlongYaiNongPlaLaiII

-

I DokKrai

7

East Water Group Structure

East Water

Tap Water Related Business

Universal Utilities : 100%* THB 510 million

Water Trades and Services : 100%*THB 5 million

Water Trades and Services : 100%*THB 5 million

Universal Utilities : 100%* THB 510 million

Water Trades and Services : 100%*THB 5 million

Water Trades and Services : 100%*THB 5 million

Water Trades and Services : 100%*THB 5 million

Water Trades and Services : 100%*THB 5 million

Water Trades and Services : 100%*THB 5 million

Universal Utilities : 100%* THB 510 million

Water Trades and Services : 100%*THB 5 million

Water Trades and Services : 100%*THB 5 million

Bangpakong Water Supply

Chachoengsao Water Supply

Nakornsawan Water Supply

Bangpakong Water Supply

Chachoengsao Water Supply

Nakornsawan Water Supply

Bangpakong Water Supply Co.,Ltd.

Chachoengsao Water Supply Co.,Ltd.

Nakornsawan Water Supply Co Ltd

Contract to service drinking vending machine

Transform to water engineering servicesNakornsawan Water Supply

Rayong Waterworks

Operations & Maintenance Surin, Ratchaburi –SamutSongkhram

Nakornsawan Water Supply

Rayong Waterworks

Operations & Maintenance

Nakornsawan Water Supply Co.,Ltd.

Rayong Waterworks

Operation & Maintenance

Non Revenue Water

East Water Sattahip, Borwin Waterworks

Provincial Water works Authority 2 project,Metropolitan Water works Authority 1 project

Operations & Maintenance

Non Revenue Water

East Water

Non Revenue Water

East Water

EGCOM TARA : 15%* THB 345 million

8

Koh Sichang, Lan, Samui Waterworks

ContentsContents

Company Overview

Business Overview

Operation Highlights

Financial Highlights

Future Investments

Bangpakong River

Reserve Pool 2 Mcm.

ChacheongsaoIV

ชลบรุี

Reserve Pool 7.5 Mcm.Siam Water Resource 10 Mcm.

NongKhoBangPra

KlongYaiPrasae

Puakdang-BorwinII

ChonburiIII

D kK i

KlongYaiNongPlaLai

DokKrai

Existing Pipe NetworkConstructing Pipe Network

RayongI

ระยอง

Source of Raw Water, Pipelines Network and Service Areas Source of Raw Water, Pipelines Network and Service Areas 10

NetworkService Area

Classification of Raw water sold out

P ti f t ld i h i Proportion of raw water sold to end userProportion of raw water sold in each service areas

32%

4% Rarong

56%

32%Puakdang-Borwin

8% Chonburi

Chacheongsao

12

13

79%

53%

76%

31%

28%

69%

31%

14

Forecasted Water Demand in Service AreasForecasted Water Demand in Service Areas

Service Areas Forecasted Water Demand(mcm.)2008 2009 2010 2011 2012 2017

1.Rayong 130.1 140.1 156.6 168.0 177.3 232.6

2.Puakdang-Borwin 18.3 20.7 21.8 24.8 26.4 35.7

3.Chonburi 73.1 77.6 86.9 97.5 104.3 146.5

Rayong + Chonburi Areas 221.5 238.4 265.3 290.3 308.0 414.8

4.Chacoengsao 8.5 9.2 9.5 9.7 11.4 25.5

All Service Areas 230.0 247.67.6%

274.811%

300.09.1%

319.46.4%

440.3

2008-2012 : Water Demand Growth approx. 8.6% per year2013-2017 : Water Demand Growth approx 6 4% per year

*Source : Water Demand & Supply Forecast for 5 years (latest revise in Q4/2008)

2013-2017 : Water Demand Growth approx. 6.4% per year

15

Major Customer of East Water

P i E i ti C t P t C tProvince Existing Customer Prospect CustomerRayong Heavy Industry

General IndustrySCC ChemicalDOW Chemical

Cy

Petro ChemicalNatural GasPower PlantSteel Plant

PTTCHPower PlantDomestic Consumption

Steel PlantAuto Accessory

Chonburi General IndustryElectricityDomestic Consumption

General IndustryDomestic Consumption(Tourist)

Chacheongsao Automotive Assemble PlantDomestic Consumption

General IndustryPower Plant

16

600

Raw water Demand vs Supply in Chonburi&Rayong25512008 10 yr : 2017

500

550

600

yr)

463 1 mcmKlong Pra Ong Chao Chaiyanuchit 70 mcm

Klong Wang ta nod 70 mcm

350

400

450

d (m

cm/y

393.1 mcm

463.1 mcm

Bangpakong Ri er 50 mcm

Prasae Reservoir 80 mcm

250

300

350

r Dem

and 323.1 mcm

243.1 mcmRayong River 21.4 mcm

Bangpakong River 50 mcm

150

200

aw W

ater

DK+NPL+NK 171.7 mcm193.1 mcm

-

50

100 Ra

Raw Water Demand

2534

2535

2536

2537

2538

2539

2540

2541

2542

2543

2544

2545

2546

2547

2548

2549

2550

2551

2552

2553

2554

2555

2556

2557

2558

2559

2560

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

17

Long Plan of Raw Water Resource Supply

1. Water resourcesdevelopment by RID

1.1 Pipeline linkage fromKlong Phra-ong-chao toBangpra project : 70 mcm.

1 2 Pipeline linkage from1.2 Pipeline linkage fromKlong Wang-ta-node toPrasae project :70 mcm.

Existing Pipe NetworkConstructing Pipe Network18

Long Plan of Raw Water Resource Supply

2. Water resourcesdevelopment by EW

2.1 Private Water Puddle : 60-80 mcm.

2.2 Off-stream Reservoir : 30 mcm.

2.3 Sea Water Reverse Osmosis : 100k-300k/day ( 36-100 mcm./year)

Existing Pipe NetworkConstructing Pipe Network19

Depending Portion of Source of Raw Water

(89 mcm )(89 mcm.)

(252 mcm.) (232 mcm.)

(172 mcm.)

EW : Bangpakong River, Rayong River, Reserve Pool, Private Water Puddle, Siam Water Resource, Off-stream Reservoir, RO

RID : Dokkrai, Nongplalai, Nongkho, Prasae Reservior 20

ContentsContents

C O iCompany Overview

Business Overview

Operation Highlights

Financial Highlights

Future Investments

Projected Tariff Structure in 2008-2012

Unit: Baht/m3

Type of CustomersNew Tariff In 2008*

Expected Tariff

In 2009

Expected Tariff

In 2010

Expected Tariff

In 2011

Expected Tariff

In 2012In 2009 In 2010 In 2011 In 2012

1. PWA &Government & Domestic Consumption

8.5** 9.25 10.00 10.50 11.00

2. IEAT and existing user 8.5** 9.25 10.00 10.50 11.00

3. Private Industrial Estate 9.5 10.25 11.00 11.50 12.00

4 General&Other Factory 10 5 11 25 12 00 12 50 13 004. General&Other Factory 10.5 11.25 12.00 12.50 13.00

22* Gradually increasing the tariff from May 2008 classified and negotiated by type of customers** 7 Baht/m3 during May- Dec 2008 for the 7 sales contract of PWA(6) and IEAT(1) in chonburi according to the resolution of EGM2/2008

Raw Water Costs Breakdown

Year on Year COGS of Raw Water ComparisonCOGS & Revenue of Raw Water Comparison

18%12%17%12% Raw Water

1 256 941,344.05

1,404.10

1,603.24

1,328.0618%

5%

31%

12%

4%

30%

Labour

Electricity9M/2007

1,106.781,256.94

on B

aht

34%37%

30%

Depreciation

Milli

o

Others

9M/20082003 2004 2005 2006 2007 9M/2008

38% 37% 38%38%38% 39%

COGS Rev

23

East Water Group Source of Revenue

2 500 Pi

Million Baht

8%

2,3652,374

2,000

2,500 Pipes

Drinking Water1 350 5%

9%5%

5%

2,0311,803 1%

8%

19%12% 20%

13%

3%

5%1%

1,781

1,000

1,500

Services Income

1,350

8%10%

1%

8%

5%

8% 13%

5% 15%5%

22%

500 Tap Water68%83% 65% 57% 65% 71%

-

2003 2004 2005 2006 2007 9M/2008Raw Water

24

Sustainable Raw Water Volume and Sale Growth

Million Cubic Meter Million Baht

250

190199

2111800

2000

1 404

1,603

230 1,760

200157

178

190

174

1400

1600

1,106

1,1061,344

1,404

1,328150

174

800

1000

12001,328

50

100

400

600

800

0

50

0

200

400

2003 2004 2005 2006 2007 9M/08 2003 2004 2005 2006 2007 9M/08

25

Continuous Tap Water Volume and Sale Growth

90

Million Cubic Meter

700

Million Baht

61.4870

80 75.60

600

700

472

566

39 4550

60

400

500

317 431

20 68

31.18

39.45 51.30

30

40300

400

221

317 431

13.53

20.68

20

30

200 123159

0

10

2003 2004 2005 2006 2007 9M/080

100

2003 2004 2005 2006 2007 9M/08

26

2003 2004 2005 2006 2007 9M/08

Consolidated EBIT & EBITDA

EBIT EBITDA

1200

1024

1048 10391107

951800

900 817 827 783754

730

800

1000812

600

700656

600400

500

400

200

300

400

200100

200

02003 2004 2005 2006 2007 9M/08

02003 2004 2005 2006 2007 9M/08

27

Net Profits Performance

Consolidated Net Income Separated Net Income

Million Baht

Separated Net Income

Million Baht

9M/20089M/2008

28

Non-Revenue Water(Loss-Rate) in Tap Water Pipe

29

Financial Structure of East Water

Consolidated D/E RatioSeparated D/E Ratio

30

Dividend Policy

Baht/Share*

0.350.33

0.45

0.38 0.37

0 310.23 0.28

0.31

57%61%57% 56% 66% 68% 81%55%

57% 55%61%

* Adjusting figure for comparison purpose of par split from 10 to 1 Baht/share since May 200531

Source of FundsSource of Loan Amount

(MB)Outsta-nding

Tenor (years)

Ratey1-y3

Ratey4-y5

Ratey6-y7

Long-Term Loan from KTB- Tranche A 1500 1163 7 6* MLR-1.50 MLR-0.75

- Tranche B- Tranche C( Semi Annual)

5001500

2471500

77

MLR-1.50*4.8

MLR-1.50MLR-1.75

MLR-0.75MLR-1.50

( Semi-Annual)

Source of Loan Amount (MB)

Outsta-nding

Tenor (years)

Ratey1

Ratey2-y4

Ratey5-y7

Long-Term Loan from KBANKKBANK- Tranche A(Undrawdown)

1000 - 7 MLR-2.0 MLR-1.75 MLR-1.50

* Re-interest rate as 4.5% from July 2007 until Oct 2010 for KTB Long-Term Loan tranche A-B32

ContentsContents

C O iCompany Overview

Business Overview

Operation Highlights

Financial Highlights

Future Investments

Future Projects

Waterworks Projects

•Existing Contract Expansion

Raw Water Projects

1.Expansion and Enhancement Existing Contract Expansion•Rayong Project•IWP Projects/ Waste Water Projects•Expand to Regional / SE Asia

• Prasae-Klongyai• Nongplalai-Dokkrai-Mabtapud• Nongkor-Laemchabang Expand to Regional / SE Asia• Nongplalai-Nongkor

2. Alternative ProjectOff St R i

Special Projects• Off-Stream Reservoir• Sea Water Reverse Osmosis• Reserve Pool Linkage

•Mini Hydro Turbine Generator Project•Solar Energy ProjectAlternati e Energ Project

3.Other Project• Phuket-Phang-nga-Krabi• Upper-Southern Thailand

•Alternative Energy Project•Expand to Regional / SE Asia

• Upper-Southern Thailand

34

34

Indicative East water Group’s Capital Expenditure

Projects TotalMB

2009MB

2010MB

2011MB

2012MB

2013MB

Raw Water Projects(Existing Cap. Enhancement)

3,000 880 1,190 790 - 140

Raw Water Projects 3,350 390 1,030 730 750 450Raw Water Projects(Alternative Projects)**

3,350 390 1,030 730 750 450

Tap Water Projects 595 250 106 224 15 *

Total Capital Expenditure 3,595 1,130 1,296 1,014 15 140p p , , , ,

35 ** Alternative Project is not calculated in the CAPEX as it is a raw water replacement project which will be updated in the future

Thank YouThank YouThank YouThank Youwww.eastwater.comwww.eastwater.com