-Translation- AIS 0253/2003 August 20, 2003 Subject: Notification of the adjustment to exercise price and exercise ratio of ESOP Warrants Grant I & II To: President The Stock Exchange of Thailand According to the Board of Directors' Meeting of Advanced Info Service Public Company Limited (the "Company") No. 4/2003 held on August 7, 2003 passed a resolution to approve the dividend payment for the first half of year 2003 to shareholders at the rate of two Baht per share, totaling of Baht 5,869 million. Upon the resolution, the Company has announced to distribute the dividends in excess of 50% of the net profit after income tax. This has affected on exercise price and exercise ratio of warrants to purchase the Company's ordinary shares, which were offered to directors, employees, and advisors of the Company (ESOP) Grant I & II, as stated in Clause 2.6 (v) of the Prospectus offering the ESOP Program of the Company. The ESOP warrant holders shall not be decreased their rights. The adjustment to exercise price and exercise ratio of ESOP Warrants Grant I & II were shown as follow; ESOP Grant I Before adjustment After adjustment Exercise price 48 Baht per share 47.733 Baht /share Exercise ratio 1 : 1 1 : 1.00559 Number of shares to be allotted 14,000,000 shares 14,078,260 shares ESOP Grant II Before adjustment After adjustment Exercise price 43.38 Baht per share 43.139 Baht /share Exercise ratio 1 : 1 1 : 1.00559 Number of shares to be allotted 8,467,200 shares 8,514,531 shares Number of additional shares to be allotted after adjustment of exercise price and exercise ratio of ESOP Grant I & II Total 125,591 shares The new exercise price and new exercise ratio shall be effective immediately on the first day of XD sign posting or on August 19, 2003 onwards. ESOP warrant holders of Grant I who will intend to exercise their warrants will be adjusted the new exercise price and new exercise ratio in August 2003 onwards. As a result, provided that, the Company currently has sufficiently reserved shares for the exercise of ESOP warrants. The Company, therefore, will allot the additional shares to reserve for the new exercise ratio of ESOP Grant I & II in the next shareholders' meeting. Please be informed accordingly. Yours sincerely, -Signed- Mr. Somprasong Boonyachai Director Advanced Info Service Public Company Limited