Respectfully: Dong Nam Limited Liability Company

To respond the official dispatch No. 07/CV/DN/05 dated January 22, 2005, of your Company to ask about execution of the annual leave regulation, the Department of Occupational safety, the Ministry of Labor – Invalids and Social Affairs has opinion as follows:

1. Based on provisions in Article 74, Article 75 and Article 76 of the Labor Code, for employees with full 12 working months (not necessary to calculate from 01/01 till 31/12 under solar calendar) at a enterprise or for a employer, they are entitled to enjoy annual leave. The employers must ensure this right (meaning that number of leave days) for employees. Providing for leave schedule (meaning time of leave) is the right of the employers, but they must consult opinion of the Executive Board of Trade Union at grassroots and must notify advance for all people in enterprise.

2. If an employer has arranged the schedule for annual leave but the employees have requested and voluntarily gone for work on these leave days, the employer only must pay whole wage for those working days.

3. In case where an employer have failed to arrange the schedule for annual leave, or have had schedule for leave and notified the employees, but then mobilized the employees to go for work on these days and the employees agreed, apart from 100% wage which the employees are paid for time of leave and enjoyed whole wage according to Article 73, Article 74, Article 75 and Article 78 of the Labor Code, the employer must additionally pay 200% of wage to the employees for the days of going for work as mentioned above.

The Department of Occupational safety, under the Ministry of Labor – Invalids and Social Affairs, notifies your Company for information and guiding implementation in accordance with provisions of law.