| (a) | Directories Lanka (Pvt) Limited instituted action against 
                  SLT claiming a sum of Rs. 164 million as damages, in relation 
                  to alleged breach of contract in publishing directories. | 
               
                | (b) | Employees and third parties have filed action against SLT 
                  claiming damages. In the opinion of the Directors none of these 
                  actions are likely to result a material liability to the Company. |