Management s Discussion and Analysis on the Company s Operating Results based on the Financial Statements for the three-month and six-month periods ended June 30, 2006 Overview of the Company and its Subsidiary Result of Operations Unit : Million Baht (Reviewed) April-June 06 April-June 05 %Change Total Revenues 1,134 893 27 TV revenues 732 561 30 Radio Revenues 208 146 42 Total Expenses 608 491 24 Net Profit 394 294 34 EPS 0.57 0.43 34 Unit : Million Baht (Reviewed) Jan-June 06 Jan-June 05 %Change Total Revenues 2,080 1,706 22 TV revenues 1,312 1,088 21 Radio Revenues 385 251 53 Total Expenses 1,132 968 17 Net Profit 710 546 30 EPS 1.03 0.79 30 The 27% increase in total revenues were mainly a result of the increase in both television revenues and radio revenues. 1. Television -the Company was able to increase its own advertising airtime space and its revenues from the regular programs and seasonal programs such as the programs involving World Football Cup, The singing contest-The Star. Furthermore, the revenues from projects have contributed as the additional sources of revenues such as Education Fund for Undergraduate Program, Election Promotion Program of the Election Commission of Thailand, Thai Culture Project, 10-days safe drive during Songkarn day and the Southern Crisis Rehabilitation Project. 2. Radio -The increase in radio revenues came mainly from the continuing increase in popularity, especially on FM 95, FM 97.5. Specifically, there were activities such as Concert- The Seed Show,SEED Campus and Lrookthung Mahanakorn On Tour.And also the radio program on TV, for example, the Seed on TV program. The cost of production increased in proportion to the increase in the self-produced programs to 24% in Q2-2006. Specifically, the increase cost came from the special Live Programs and also the events and activities to promote the TV and radio shows. The example of special Live Programs are such as special programs involving World Football Cup, The preparation for the 60 Anniversary Celebrations of His Majesty s Accession to the Throne and the preparation for the Election day. And also the activities and events by SEED and Metropolis FM 107 and Modernnine Cartoon Tour and Robot Contest 2006 are such activities for the promotion TV and radio shows. As a result, the Net Profit increased 34% or Baht 394 million. And the EPS is Baht 0.57 per share.