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and 9 August of the year. The first interest payment will be on 9 February 2000. The debenture will be redeemed in full at par maturity date with last interest payment. The regulation for maintaining financial ratio during the term of debenture. 1. To maintain not more than Baht 850 million in aggregate of loans, guarantee in subsidiaries, affiliated and related companies and investment in cost method. 2. To maintain debt to equity ratio shall not exceed 0.9 times. 3. To maintain interest coverage ratio shall not under 4 times. 4. Not to create any pledge or mortgage or make any obligations over assets of the company throughout the life of debenture. 10. Commitments and Contingencies As at March 31, 2000 the company has the following commitments. - The company has entered into 11 trademark contracts with respective owners concerning the manufacturing and distribution of garments and leather products under their trademarks. Both parties have mutual obligations to fulfil under these contracts. The trademark fees are 0.3-7.5%. - The unused amount of letter of credit for importing raw materials totalled Baht 97.94 million. - There are contingent obligations guarantees issued to guarantee customs duties at Baht 7.32 million. - The company has signed a 15-year land lease to build a warehouse for raw materials in Chong Nonthri, Yannawa, Bangkok, starting on March 30, 1992 until November 29, 2007. The company paid Baht 300,000.00 for the transfer of leasehold rights plus monthly lease fees. 11. Related Party Transactions 11.1 Related transactions of the Company and its subsidiaries are as follows. (Unit : Baht 1,000) Consolidated The company only Accounts receivable and post-date check 126,225 130,014 Accounts payable 7,347 11,045 Loan receivable 84,000 140,000 Accrued expenses 4,959 5,126 Other liabilities 2 2 Accrued income 34,223 34,837 Sales income 159,908 163,609 Other income 3,090 5,087 Purchase of goods and raw materials 8,562 18,469 Profit from disposal of fixed assets 50 53 Other expenses 5,676 7,207 11.2 The company has been authorized by the 26th shareholders' ordinary general meeting on April 24, 2000 to : 11.2.1 Provide loans to related companies to the amount of Baht 250 million. As at the quarter end, total loans to 2 related companies amount to Baht 140.0 million. 11.2.2 Provide guarantees to banks and other financial institutions for related companies' liabilities is not more than Baht 250.0 million. On the year ending date, the company has a total of Baht 126.49 million and US$ 96,200 and Yen 16.84 million contingent liabilities from various guarantees to 10 related companies. 12. Segment Information For the quarter 1 (Unit : Baht 1,000) 2000 1999 Bangkok Kabinburi Lamphun Total Bangkok Kabinburi Lamphun Total Revenues 269,317 43,030 54,190 366,537 196,592 48,506 41,732 286,830 Loss from impairment of assets 1,058 - - 1,058 - - - - Operating profit 30,366 7,975 19,739 58,079 7,049 13,308 12,701 33,058 Profit before realization from profit (loss) sharing of the susidiaries and Associated companies 20,963 7,975 19,739 48,676 7,049 13,308 12,701 33,058 Profit (loss) shareing of the subsidiares and associated (1,716) - - (1,716) (3,612) - - (3,612) Net profit 19,247 7,975 19,738 46,960 3,437 13,308 12,701 29,446 Property, plant and Equipment, net 376,524 370,981 Other assets 29,442 25,845 Total assets 1,470,229 1,208,657 Note The company has changed the classification for source of revenue to be source of production. The company re-arranged the data of the 12 months period as of December 31, 1998 for comparing thedata of the 12 months period as of December 31, 1999. 13. Promotional Privileges The company was granted privileges from the BOI according to the Investment Promotion Act B.E. 2520 (1977) Type of promoted business Type 3.1 Type 3.6 Type 3.6 Date of receiving promoted certificate Dec. 23, 1993 Aug. 31, 1994 Apr. 11, 1995 Date of receiving revenue Nov. 10, 1994 Feb. 14, 1995 Jun. 14, 1996 Promotional privilege 1. Tax exempt since the first date of receiving revenue. 8 years 8 years 8 years 2. Tax exempt for dividends as mentioned in article 1. 8 years 8 years 8 years 3. The deduction of 50% of normal corporate tax since The expiry date of promotional period. 5 years 5 years 5 years 4. The double amount of expenses for public utility. 10 years 10 years 10 years Beside the privilege, the company has to practice along the BOI regulation. 14. Business transaction with the related company The company has 54 domestic and export customers which are separated according to the age of accounts receivable. (Unit : Baht 1,000) Consolidated The company only As of Mar. 31, 2000 As of Mar. 31, 2000 Within credit term 172,847 174,043 Over due 1 - 3 months 2,777 2,777 Over due 3 - 6 months 3,092 3,092 Over due 6 12 months 192 192 Over due more than 12 months 4,461 4,461 Total 183,369 184,565 The company recorded Baht 3.48 million of allowance for doubtful account. The company did not record any allowance for doubtful account over dued amount Baht 1.17 million. The debtor is the related company which has continuous business transaction with us. 15. Presentation The quarterly financial statements as of March 31, 1999 had been re-arranged the categories in accordance with the quarterly financial statement as of March 31, 2000. According to the regulation of "SET" number Kor Jor 18/1999 dated September 2, 1999 the company had changed the categories of financial statement comparison which concerning the preparation of quarterly financial statements of the listed companies in accordance with "Thai accounting standards" chapter 41st Interim Financial Reporting.