Audit Committee of TTW Public Company Limited was appointed by Board of Directors. This committee comprises 3 independent
directors who are the experts and have experiences in various areas, such as Mr. Techapit Sangsingkeo serving as the Chairman
and Mr. Phairuch Mekarmporn and Mr. Somnuk Chaidejsuriya as the members. The Manager of Internal Audit Division has been
assigned to take function as the secretary of this committee.
Audit Committee has performed duties independently within the scope of duties and responsibilities to accomplish the missions
as assigned by Board of Directors, which is consistent with to the regulations set by Stock Exchange of Thailand, which also include
the provision of suggestions on any related issues. The Audit Committee held 5 meetings in 2016 attended by the executive
management, internal auditors, and TTW auditor; the contents of which are summarized below.
Verification of Financial Reports
This is to ensure that the accounting system and financial reports were correct and creditable, the disclosure of information
in financial statements was sufficient, the engagement in related party transactions with subsidiary companies and affiliated
companies was reported; and that the company had operated its business in accordance with regular business conditions
and the criteria set by the Stock Exchange of Thailand for the benefits of investors.
The Audit Committee shared a same comment with the auditor that quarterly financial statements and annual financial states
of the year 2016 were accurate on the part of significant contents in accordance with generally acceptable accounting
Verification of Internal Audit
The Committee carried this out against the scope of duties, responsibilities and independency of Internal Audit Division and
came to conclusion that TTW had adopted sufficient, appropriate and efficient internal control systems in line with
The Audit Committee reviewed and endorsed the scope of internal audit plan for 2016 and reviewed the report of internal
audit results by asking the Internal Audit Division to submit the reports directly to Audit Committee on a quarterly basis, and
found that the internal control systems of the operational process and that of significant functions were appropriate for the
current operation. The Committee also provided additional suggestions that might be useful for the operation; monitored
and regulated the management and administrative divisions to adapt and improve as recommended by internal auditors.
With regard to the compliance with Securities and Exchange Act, the regulations of Stock Exchange of Thailand, and/or any
applicable laws, the Committee did not find any significant deficiencies.
Review Related Party Transactions
1. The Audit Committee reviewed related party transaction regarding the acquisition of TTW property from entering into a
purchase and sale agreement for a piece of land with Mahasiri Siam Company Limited to accommodate the expansion
of tap water manufacturing plants in the future. In this regard, TTW Public Company Limited received approval from the
Board of Directors Meeting No. 1/2016 for entering into the purchase and sale agreement for a piece of land with
Mahasiri Siam Company Limited for using in the disposal management of wastes and residues from tap water manufacturing
process; and for the construction of additional tap water storage tanks in the future. The Audit Committee found that the
price of the land purchased and sold through this agreement was appropriate.
2. The Audit Committee reviewed related party transaction regarding the acquisition of TTW asset from contracting
Ch. Karnchang Public Company Limited to renovate and upgrade a booster pump station to become a water distribution
station, and to do some tasks required by the conditions set in the permission document from the government agencies.
In this regard, TTW Public Company Limited received approval from the Board of Directors Meeting No. 4/2016 for
implementing such project. The Audit Committee found that this transaction was reasonable and had been engaged into
for the maximum benefits of the company.
Considering the Selection and Appointment of Auditor, Proposing Audit Fee
The Audit Committee considered the selection and appointment of auditor and proposed audit fee for presenting to the Board
of Directors based on creditability, competency in providing service and recommendation in accordance with accounting
standards, and ability in endorsing financial statements in time.
In 2016, the Audit Committee considered to appoint Mrs. Poonnart Paicharoen, authorized auditor No. 5238 and/or Miss Sumalee
Rivarabandit, authorized auditor No. 3970 and/or Miss Manee Rattanabunnakij, authorized auditor No. 5313 of EY Office Co., Ltd.,
as the auditor of the company for the year 2016. This auditor had creditable qualifications and could perform duties in accordance
with the standards of accounting and auditing profession. The audit fee was proposed as not exceeding 1,300,000 Baht. Board of
Directors has considered and approved this for presenting further in shareholders meeting for approval.
(Mr. Techapit Sangsingkeo)
Chairman of the Audit Committee