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L.P.N. Development Public Company Limited Opportunity Day @ SET March 20, 2006

L.P.N. Development Public Company Limited Opportunity Day @ SET March 20, 2006. Presentation Outline. Market Analysis Corporate Direction Corporate Strategy Our Projects Financial Highlights. Market Analysis 2005 Residential Condominium. High-end Market Slow Down

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L.P.N. Development Public Company Limited Opportunity Day @ SET March 20, 2006

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  1. L.P.N. Development Public Company LimitedOpportunity Day @ SETMarch 20, 2006

  2. Presentation Outline • Market Analysis • Corporate Direction • Corporate Strategy • Our Projects • Financial Highlights

  3. Market Analysis 2005 Residential Condominium • High-end Market Slow Down • Purchasing Power Decrease • Oil Prices and Inflation • Increase in Housing Loan Rates • Strong Demand • High Demand for Condominiums in Medium-end Segment • New Comers in Medium-end Market • Higher Costs • Oil Price Effects to Construction Cost • Increase in Interest Rates

  4. Housing RegistrationBangkok and Vicinity Source : Real Estate Information Center , R&D L.P.N.

  5. Condominium Registration 2005And Corporate Market Share 70,000 60,000 300% 50,000 40,000 200% 30,000 20,000 100% 10,000 Unit 0 0% -10,000 -20,000 -100% 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006F - - 732 848 - - 1,074 470 - 325 470 1,993 1,758 1,229 2,946 4,355 LPN 22,740 26,196 32,584 25,732 42,524 63,132 44,906 20,576 7,639 5,393 3,651 4,098 5,248 5,656 7,256 10,960 Others 8.05% 24.47% 58.30% 26.29% 102.05% 199.97% 118.47% 0.00% -63.70% -72.83% -80.42% -71.06% -66.71% -67.29% -51.53% -27.23% Growth Approx. 20,000 Units of New Condominium Demand p.a. Source : Land Department

  6. Demand Strong Demand in Medium-end Segment Decrease in Purchasing Power Supply Increase in Medium-end Segment Develop near to Mass Transit Competition Higher in the Middle Segment More New Comers Cost Higher Construction Material Prices Regulation New City Planning New Code for EIA Financial Increase in Interest Rate Loan Approvals Strictly by Banks Market Analysis 2006 Residential Condominium

  7. Corporate Direction 2006

  8. Corporate Opportunities • Higher Oil Prices • Business Opportunity for LPN But Entry Barrier to New Comers • Mass Transit Expansion Projects • Penetrate New Locations • Population and Life Style Trends • Decreasing Household Size • Higher Education of the People • Changing of Life Styles by the People • New City Planning

  9. Corporate Strengths • Positive Brand Image • Strong Reliable Alliances • Product Design • Cost Management • In-house Information • Experience • Financial Creditability

  10. Corporate Threats • New Comers to Market Segment • Interest Rate Changes • New Unknown Regulations • Increase in Construction Material Prices • Social Rights Awareness • Uncertain Political Situations

  11. Corporate Strategy

  12. Vision 2005-2007 “To Maintain Market Leadership While Enhancing Performance by Developing Total Solutions ResidentialCondominiums To Promote Excellent QualityCommunities”

  13. Strategic Model Competitive Strategy FOCUS Target Groups: Middle Income New Family Differentiation L.P.N. DESIGN Building Management Cost Leadership Economies of Speed & Scale Collaboration Alliances Speed Serviced Mind Initiative & Creativity Cost Awareness Corporate 6 Core Competencies

  14. Corporate StrategyCost Leadership Strategy 500,000 5,000 Cons. Area (sq.m.) No. of Unit 400,000 4,000 3,652 3,217 300,000 3,000 1,964 265,557 200,000 2,000 1,516 210,739 100,000 1,000 101,555 98,895 0 0 2002 2003 2004 2005 Project Development Period Sales Period Construction Period Handover Period Economy of Scale Economy of Speed Project Completed within 1 year

  15. Growth MatrixIntensive Growth

  16. Growth StrategyMarket Development

  17. Our Projects

  18. Completed Projects in 2005

  19. On-Going Projects in 2005

  20. 1 of 5 On-Going Projects in 2006Lumpini Center Nawamin 3 Blocks of 8 Storey Residential Condominium Location : Happy Land 1 Rd. Type : Low Rise Project Value : 390 MB No. of Units : 442 Launching : 1Q, 05 Sales Status : 100% Realized : 1Q, 06

  21. 1 of 5 On-Going Projects in 2006Lumpini Center Nawamin 3 Blocks of 8 Storey Residential Condominium Locate on Happy 1 Rd.

  22. 2 of 5 On-Going Projects in 2006Lumpini Ville Sukhumvit 77 3 Towers of 23 Storey Residential Condominium Location : Sukhumvit 77 Rd. Type : Medium Rise Project Value : 1,550 MB No. of Units : 987 Launching : 4Q, 04 Sales Status : 100% Realized : 2Q-3Q, 06

  23. 2 of 5 On-Going Projects in 2006Lumpini Ville Sukhumvit 77 3 Towers of 23 Storey Residential Condominium Locate on Sukhumvit 77 Rd.

  24. 2 of 5 On-Going Projects in 2006Lumpini Ville Sukhumvit 77 3 Towers of 23 Storey Residential Condominium Locate on Sukhumvit 77 Rd.

  25. 3 of 5 On-Going Projects in 2006Lumpini Place Pinklao 1 Tower of 22 Storey Residential Condominium Location : Pinklao Rd. Type : Medium Rise Project Value : 1,110 MB No. of Units : 580 Launching : 1Q, 05 Sales Status : 100% Realized : 2Q-3Q, 06

  26. 3 of 5 On-Going Projects in 2006Lumpini Place Pinklao 1 Towers of 23 Storey Residential Condominium Locate on Pinklao Rd.

  27. 4 of 5 On-Going Projects in 2006Lumpini Ville Cultural Center 9 Blocks of 8 Storey Residential Condominium Location : Meng-Jai Intersection Type : Low Rise Project Value : 1,950 MB No. of Units : 1,324 Launching : 1Q, 05 Sales Status : 91% Realized : 3Q-4Q, 06

  28. 4 of 5 On-Going Projects in 2006Lumpini Ville Cultural Center 9 Blocks of 8 Storey Residential Condominium Locate on Meng-Jai Intersection

  29. 4 of 5 On-Going Projects in 2006Lumpini Ville Cultural Center 9 Blocks of 8 Storey Residential Condominium Locate on Meng-Jai Intersection

  30. 4 of 5 On-Going Projects in 2006Lumpini Ville Cultural Center 9 Blocks of 8 Storey Residential Condominium Locate on Meng-Jai Intersection

  31. 5 of 5 On-Going Projects in 2006Lumpini Place Narathiwas-Chaopraya 3 Towers of 29 Storey Residential Condominium Location : Rama III Rd. Type : Medium Rise Project Value : 3,560 MB No. of Units : 1,306 Launching : 2Q, 05 Sales Status : 65% Realized : 2Q-3Q, 07

  32. New Projects Launched in 2006

  33. 1 of 5 New Projects Launched in 2006Lumpini Place Phahon-Saphankwai 2 Towers of 29 Storey Residential Condominium Location : Pradipat Rd. Type : Medium Rise Project Value : 2,200 MB No. of Units : 1,093 Launching : 1Q, 06 Sales Status : 71% Realized : 3Q-4Q, 07

  34. 1 of 5 New Projects Launched in 2006Lumpini Place Phahon-Saphankwai Activity Start8.00 am. First Queue 8.15am. Last Queue16.00 pm. Event Period8Hr.

  35. 2 of 5 New Projects Launched in 2006Lumpini Place Ratchada-Thapra

  36. Financial Highlights

  37. Financial Highlights 10,000 37% Sales Volume (MB) Unit Sold 8,100.0 8,000 35.46% 7,169.0 36% 35.09% 6,000 5,800 4,245.0 34% 4,000 2,942.0 4,231 3,076 33% 2,000 1,970 31.22% 0 31% 2003 2004 2005 2006F 2003 2004 2005 Gross Profit on Sales Sales Performance

  38. Financial Highlights 9,000 1.00 8,000 0.81 0.90 7,500 0.90 6,500 6,000 0.80 5,000 4,500 3,346 3,000 0.60 2,309 1,750 1,500 0.51 0 0.40 2003 2004 2005 2006F 2003 2004 2005 2006F 2007F 2008F Realized Income from Sales (MB) Gearing Ratio (Times)

  39. Projected Revenues from Sales

  40. Projected Revenues from Sales

  41. Impact from Interest Rate 2.00% 7,500 1.86% 1.80% 6,992 7,000 6,847 6,725 1.60% 6,673 1.57% 6,412 6,500 6,230 1.40% 6,151 6,104 5,856 6,000 1.26% 1.20% 5,641 5,603 5,561 5,500 1.00% Present Case I (1%) Case II (2%) 2005 2006F 2006F* 5,000 Bank A Bank B Bank C Bank D Corporate Cost of Funds Slight Impact to Project Cost Impact to Housing Loan Line 1,000,000 Baht, Period 25 Years Case I : 1% Up, Pay more 559 Baht/Month or Increasing at 9.86% Case II : 2% Up, Pay more 1,144 Baht/Month or Increasing at 20.19%

  42. Summary LPN-W1 No. of Shares Allotment by Exercised Warrant 132.89 Shares • The Last Warrant Exercised Date : Oct 3, 2005 • Paid-up Capital : 1,475.70 MB • Registered Capital : 1,486.71 MB • Dividend Pay-Out • 2003 (50.94% Pay-Out) : 0.25 Baht • 2004 (58.23% Pay-Out) : 0.20 Baht • 2005 (55.18% Pay-Out) : 0.22 Baht* *Pending for Approval

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