EXPLAIN CAUSE OF MISTAKE IN AUDITOR'S REPORT VIA ELCID

(Translation) Date: May 2, 2000 Re: Explain cause of mistake in Auditor's report via Elcid To: President, Stock Exchange of Thailand Encl: 1. Consolidated and company financial statements of Singer Thailand Public Company Limited for year ended 31st December 1999 2. Corrections in Auditor's report for the Company's annual report In order to always provide accurate information about the company to the public on Elcid, we wish to submit an accompanying new disk in replacement of the one sent to you on 31st March 2000 as it contains consolidated and company financial statements of Singer Thailand for the year ended 31st December 1999 and corrections in the Auditor's report to replace the respective page already presented in the 1999 annual report of the company and corresponding data on Elcid program. Such change of the Auditor's report is necessary because previous report was prepared by our former auditor and had to be revised in order to comply with the generally accepted auditing standards and certified by the company's new auditor Mr. Sunton Dentam who replaced Mr. Suchart Luonsurasawat of the same audit firm. As you may notice, both previous and new Auditor's report are equal in substance and the financial information presented herein and then does not differ substantially. We hope that the public and the shareholders would understand why the company has to replace the existing Auditor's report both in the annual report and on Elcid. Previous Audit Report I have audited the accompanying consolidated and company balance sheets of Singer Thailand Public Company Limited as at 31 December 1999 and 1998 and the related consolidated and company statements of income, of changes in shareholders' equity, of retained earnings and of cash flows for the year ended 31 December 1999. These financial statements are the responsibility of the company's management. My responsibility is to express an opinion on these financial statements based on my audits. I conducted my audits in accordance with generally accepted auditing standards in Thailand. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. I believe that my audits provide a reasonable basis for my opinion. In my opinion, the aforementioned consolidated and company financial statements present fairly, in all material respects, the financial position of Singer Thailand Public Company Limited as at 31 December 1999 and 1998 and the results of it operations, changes in shares' equity and its cash flows for the year ended 31 December 1999, in accordance with generally accepted accounting principles in Thailand. The consolidated and company statements of income, of changes in shareholders' equity, of retained earnings and of cash flows for the year ended 31 December 1998 of Singer Thailand Public Company Limited, presented for comparative purposes, were prepared by the company's management as discussed in Note 31 to the consolidated and company financial statements and are unaudited. I draw attention to Note 29 to the consolidated and company financial statements which is marked "unaudited". Information regarding the Year 2000 issue as presented in this note has not been subjected to auditing procedures, and accordingly, I express no opinion on it. Correction in Audit report I have audited the accompanying consolidated and company balance sheets of Singer Thailand Public Company Limited as at 31 December 1999, the related consolidated and company statements of income, of changes in shareholders' equity, of retained earnings and of cash flows for the year then ended. These financial statements are the responsibility of the company's management. My responsibility is to express an opinion on these financial statements based on my audits. The consolidated and company balance sheets of Singer Thailand Public Company Limited as at 31 December 1998, presented herewith for comparative purpose, were audited by another auditor from the same firm as myself whose report dated 29 January 1999 expressed an unqualified opinion on those statements. The consolidated and company statements of income, changes in shareholders' equity, retained earnings and cash flows for the year ended 31 December 1998 of Singer Thailand Public Company Limited, presented for comparative purposes, were prepared by the company's management as discussed in Note 31 to the consolidated and company financial statements and are unaudited. I conducted my audit in accordance with generally accepted auditing standards in Thailand. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. I believe that my audit provides a reasonable basis for my opinion. In my opinion, the consolidated and company financial statements referred to above present fairly, in all material respects, the consolidated and company financial position of Singer Thailand Public Company Limited as at 31 December 1999, the consolidated and company results of operations, and cash flows for the year then ended in accordance with generally accepted accounting principles in Thailand. I draw attention to Note 29 to the consolidated and company financial statements which is marked "unaudited". Information regarding the Year 2000 issue as presented in this note has not been subjected to auditing procedures, and accordingly, I express no opinion on it. Best regards,