Shareholders

They've put their faith in the Company, invested in it, followed its progress and supported it through the years. Our shareholders have nurtured us towards making SLT an extremely successful institution. In reciprocation we have a duty to return maximum value on their investments in a sustainable manner, whilst maintaining a high degree of responsibility and ethics.

We are therefore justifiably proud that the prestigious house of Dun and Bradstreet, in rating the Top 100 Companies of Sri Lanka 2003, rated SLT Sri Lanka's No.1 Company in terms of networth. As has been reported elsewhere in this Report, the Lanka Monthly Digest, in choosing its Top 50 Listed Companies, placed SLT in the No.1 position, in its first ever entry to the ranks of listed companies.

SLT is one of the largest companies in terms of market capitalisation in a sum of Rs. 28 billion. The Company's share reached a high of Rs. 29.00 before stabilising at Rs. 15.50 as at 31.12.2004.

Earnings per share declined from a high of Rs.1.64 in 2003 to Rs. 0.72 for the year under review due to extraordinary items that are shown in the accounts.

In the Shareholders' Interests
The Company's dialogue with its shareholder/investor community is vested with its Investor Relations Division. There are a number of forums available to this community, to gain insight into the performance of the Company.

The Investor Relations page on the Company's website contains a whole host of up to date information on share prices and a facility to register for e-mail alerts providing free daily updates on SLT's share price performance on the Colombo bourse. In addition visitors to the site can also view the Company's Financial Reports in PDF and HTML formats, as well as access the special quarterly newsletter "Investor" in PDF format, detailing the Company's share price performance as well as other key financial and business indicators. A hard copy version is made available to all shareholders.

The Investor Relations Division successfully co-ordinated the Company's responsibilities in the highly successful US $100 million International Bond Issue and also spearheaded the Company's input towards gaining high ratings from Fitch and Standard & Poor's. SLT was the first company to go in for an international bond and the first Sri Lankan company to receive an international rating (B+ from both Fitch and Standard & Poor's), which will no doubt pave the way for other companies to source funds in similar vein. Benefits also accrue to Sri Lanka through the enhanced inflow of funds.

SLT met the investor community for the second occasion in Colombo in 2004. The objective of this meeting was to place before investors the production and financial status of the Company over the year 2003 and introduce its business plans for 2004.