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 Selecting vendors as business partners together in the long run and sourcing new suppliers continuously to prevent the risk of raw materials shortages from current major vendors  Developing production by using materials effectively and alternative materials to replace in order to cope with shortages or price fluctuations 2. Risk on the Liabilities for Damages Arising from Unsafe Products Act B.E. 2551 (2008) The Liabilities for Damages Arising from Unsafe Products Act B.E. 2551 (2008) (the Product Liability Law) specifies that the entrepreneur is responsible for such damages arising from unsafe products. Nowadays consumers are increasingly interested in a product safety, as well as greater knowledge and understanding. However, the Company has never had any significant dispute from aforesaid issue because of having good relationship with its customers. Risk Management  Diversifying risk by purchasing insurance coverage in order to transfer the risk for damages arising from unsafe products  Spreading risk to respective owners for products which the Company is distributor  Continuous developing product and building strong relationships with customers and suppliers, as well as communicating to create understanding and awareness on the quality of products to employees, including opening channels prompted for any problems and complaints 3. Risk on High Cost of Natural Catastrophe Insurance Including Floods According to the worst flooding of Thailand in 2011, the insurance company will raise the premium of natural catastrophe insurance including floods in 2012 caused from the reinsurers raise premiums for such disaster coverage. In addition, the insurers may amend renewal’s conditions, limit liability or increase the first deductible amount. Risk Management  Diversifying risk by purchasing natural catastrophe insurance including floods which covered all risky areas adequately and appropriately in order to transfer the risk for damages arising from floods  Setting up the flood prevention and emergency plan to protect all risky areas, closely monitor and prepare the evacuation plan in case of high water level of flooding


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