239, 31, 21           0, 49, 156        170, 161, 154        137, 213, 241         136, 186,113        168, 109, 177      ...
DisclaimerThese materials are strictly confidential and may not be copied, published, distributed or transmitted to any ot...
Disclaimer (cont’d)These materials contain forward-looking statements based on the currently held beliefs and assumptions ...
Offering summary                                                                                           Current shareho...
Big Lot summary                 239, 31, 21                                                  Post-IPO shareholding structu...
Company overview                   5
Introduction to our business          239, 31, 21Company overview                                                         ...
Our history and key milestones       239, 31, 21        0, 49, 156                                                        ...
Our fleetFleet expansion 31, 21 time             239, over                                                                ...
Performance summary of TAAKey operational and financial summary                     239, 31, 21Key operating statistics of...
Key investment highlights       239, 31, 21 1    One 156 the largest and fastest growing aviation markets in the world    ...
1   One of the largest and fastest growing aviation    markets in the world    Second biggest 31, 21 market in Southeast A...
2   Leading low cost carrier in Thailand                                                    Route network       Most comp...
3   Successful track record of growth driven by route    expansion, fleet growth and growing passenger volume    ASKs and ...
4   Established competitive cost structure and well    positioned to expand margins    Non-fuel costs are 21              ...
4   Established competitive cost structure and well    positioned to expand margins (cont’d)    Competitive base fares…   ...
5   Strong partnership with AirAsia Group                       239, 31, 21                        0, 49, 156             ...
6   Capital structure provides future financing    flexibility    Strong EBITDAR growth…                239, 31, 21       ...
7   Experienced management team with a proven    track record                         239, 31, 21                         ...
Financial highlights                       19
Income statement summary of TAARevenue                 239, 31, 21                                    EBITDAR(THBm)       ...
Cost structure analysis of TAACommon sized income statement                                                               ...
Balance sheet summary of TAATotal assets            239, 31, 21                               Cash and cash equivalents(TH...
Thank you            23
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AAV roadshow

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AAV roadshow

  1. 1. 239, 31, 21 0, 49, 156 170, 161, 154 137, 213, 241 136, 186,113 168, 109, 177 246, 176, 101 204, 176, 76Company PresentationCONFIDENTIAL 0
  2. 2. DisclaimerThese materials are strictly confidential and may not be copied, published, distributed or transmitted to any other person. These materials are incomplete withoutreference to, and should be viewed solely in conjunction with, the oral briefing provided by Asia Aviation Public Company Limited (the "Company").These materials do not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any securities, 239, 31, 21nor shall part, or all, of these materials or their distribution form the basis of, or be relied on in connection with, any contract or investment decision orcommitment in relation to any securities whatsoever. 0, 49, 156This presentation is 161, 154 use at the presentation to potential investors and is taking place in anticipation of the possible initial public offering of the shares of 170, solely forthe Company (the “Offering”). This presentation does not constitute an invitation to participate in the underwriting syndicate or management group of theproposed offering. No part of this presentation, nor the fact of its presentation, should form the basis of, or be relied on in connection with, any offer, contract, 137, 213, 241commitment or investment decision whatsoever and it does not constitute a recommendation regarding the securities of the Company. 136, 186,113These materials are strictly confidential and must not be reproduced, disclosed or distributed, in whole or in part, to third parties. No action has been or will betaken in any jurisdiction 177 168, 109, outside Thailand that would permit a public offer of securities or the possession, circulation or distribution of this presentation or anyother material relating to the Company or the proposed offering in any jurisdiction where action for the purpose is required. The distribution of this presentationmay be restricted by law in certain jurisdictions and persons in whose possession this presentation comes should inform themselves about, and observe any 246, 176, 101such restrictions. Any failure to comply with these restrictions may constitute a violation of the laws of any such jurisdictions. 204, 176, 76This presentation may not be taken, published, transmitted or distributed, directly or indirectly, in or into the United States, Canada, Japan or the PeoplesRepublic of China. This presentation is not an offer of securities for sale into the United States, Canada, Japan, the Peoples Republic of China, or in anyjurisdiction in, or to any person to whom, it is unlawful to make such an offer under applicable laws.Securities may not be offered or sold in the United States unless they are registered or exempt from registration or in a transaction not subject to, the registrationrequirements under the United States Securities Act of 1933 (the “Securities Act”). Any public offering of securities to be made in the United States would bemade by means of a prospectus that could be obtained from the Company or the selling shareholders and that would contain detailed information about theCompany and management, as well as financial statements. The Company has not registered and does not intend to register any part of the offering under theSecurities Act or the securities law of any state in the United States or to conduct a public offering of any securities in the United States.This presentation is dated the day it is given. Neither the delivery of this presentation nor any further discussions of the Company with any of the recipients shall,under any circumstances, create any implication that there has been no change in the affairs of the Company since such date. The third party information andstatistical data in this presentation have been obtained from sources the Company believes to be reliable but in no way are warranted by the Company or theselling shareholders as to accuracy or completeness. This presentation may not contain all material information concerning the Company and the information setforth in these materials is subject to change without notice and may only be finalized at the time of the Offering in an offering memorandum and any supplementthereto to be published in respect of the Offering. Any decision to participate in the Offering must be made solely on the basis of information contained in thatoffering memorandum and supplement (if any), which information may be different from that found in this presentation. Neither CIMB Securities (Thailand) Co.,Ltd., CIMB Bank (L) Limited, Credit Suisse (Singapore) Limited, or Thanachart Securities Public Company Limited (together, the “Underwriters”) nor theCompany or the selling shareholders is under any obligation to update or keep current the information contained herein. No reliance may be placed for anypurposes whatsoever on the information set forth in these materials or on its completeness or on any other material discussed at this presentation. The contentsof these materials have not been verified by the Underwriters. Accordingly, none of the Underwriters, their respective directors, officers or affiliates makes anyrepresentation or warranty, express or implied, regarding, or assumes any responsibility or liability for, the accuracy or completeness of, or any errors oromissions in, any information contained in this presentation, and nothing in this presentation is, or shall be relied upon as, a promise or representation by any ofthem. None of the Company, the selling shareholders or the Underwriters or any of their respective members, directors, officers, employees or affiliates or anyother person accepts any liability (in negligence, or otherwise) whatsoever for any loss howsoever arising from any use of this presentation or its contents orotherwise arising in connection therewith.
  3. 3. Disclaimer (cont’d)These materials contain forward-looking statements based on the currently held beliefs and assumptions of the management of the Company, which areexpressed in good faith and, in their opinion, reasonable. Forward-looking statements involve known and unknown risks, uncertainties and other factors, some of 239, Company’s control which may cause the actual results, financial condition, performance, or achievements of the Company or industrywhich are beyond the31, 21results, to differ materially from the results, financial condition, performance or achievements expressed or implied by such forward-looking statements. Giventhese risks, uncertainties and other factors, recipients of this document are cautioned not to place undue reliance on these forward-looking statements. These 0, 49, 156forward-looking statements speak only as at the date of this presentation, and none of the Company, the selling shareholders or any of their respective agents,employees or advisors intends or has any duty or obligation to update or revise these forward-looking statements to reflect new information, future events or 170, 161, 154developments or otherwise. 137, 213, 241None of the Company, the selling shareholders and the Underwriters makes any representation, warranty or prediction that the results anticipated by suchforward-looking 136, 186,113 will be achieved, and such forward-looking statements represent, in each case, only one of many possible scenarios and should not statementsbe viewed as the most likely or standard scenario. 168, 109, 177This presentation should not be treated as advice relating to legal, taxation, financial, accounting or investment matters. By attending this presentation youacknowledge that you will be solely responsible for your own assessment of the market and the market position of the Company and that you will conduct your 246, 176, 101own analysis and be solely responsible for forming your own view of the potential future performance of the business of the Company. 204, 176, 76By attending this presentation, you agree to keep this presentation and the information herein confidential and to not remove this document, or any materialsprovided in connection herewith, from the conference room where such documents are provided without express consent from the Company or the Underwriters.You agree further not to photograph, copy or otherwise reproduce these materials during the presentation or while in the conference room.Participants shall return this presentation and all other materials provided in connection herewith to the Company at the completion of the presentation.
  4. 4. Offering summary Current shareholding structure Issuer •239, Asia Aviation Public Company Limited (“AAV”) 31, 21 0, 49, 156 Vendors • Thai AirAsia management team (1) AirAsia Berhad Management 170, 161, 154 100% 100% • Thailand 137, 213, 241 initial public offering Offering • International institutional placement under Reg S AirAsia Asia Aviation structure • 1,212.5 million shares 136, 186,113 Investment (Listco) • 25% of enlarged share capital 168, 109, 177 49% 51% Primary / • Primary: 246, 176, 101 ~15.5% of enlarged capital Thai AirAsia (Opco) secondary • Secondary: ~9.5% of enlarged capital 204, 176, 76 • Primary: to fund subscription for rights issue of Thai AirAsia (“TAA”), of which US$47m will Post-IPO shareholding structure Use of be used by TAA for aircraft procurement from 2012 proceeds(1) to 2014 and the remainder for general corporate AirAsia Berhad Management Public purposes • Secondary: to repay existing financial obligations 100% 60% 40% AirAsia Asia Aviation Listing • Stock Exchange of Thailand (SET) Investment (Listco) venue 45% 55% • Minimum 180 days post listing for Issuer and Thai AirAsia Vendors (Opco) • SET Lock-Up: 55% of the enlarged capital cannot be sold for one year from first trading day Listco Lock up − Up to 25% of locked-up shares can be sold after the period of the first six months  Primary proceeds raised by AAV in IPO to partially fund rights − The remaining 75% of locked-up shares can issue to increase stake in TAA to 55% be sold after 12 monthsNote: (1) Comprises Mr. Tassapon Bijleveld, Mr. Pornanan Gerdprasert, Mr. Tanapat Ngamplang, Mr. Preechaya Rasametanin, M. L. Bovornovadep Devakula and Mr. Santisuk Klongchaiya. 3
  5. 5. Big Lot summary 239, 31, 21 Post-IPO shareholding structure • To unlock the pledged shares with Credit Suisse asRationale 0, 49, 156 the loan repayment from “Management part of Buyout” (MBO) took place 5 years ago AirAsia Berhad Management Public 170, 161, 154 100% [60]% [40]% 137, 213, 241 AirAsia Asia Aviation Investment (Listco) Price • 136, 186,113 Baht 3.70 per share (same as IPO price) 45% 55% 168, 109, 177 Thai AirAsia 246, 176, 101 (Opco) 204, 176, 76 ListcoBig Lot Transaction Thai Management Mil. Shares % 1 Mr. Tassapon Bijleveld 400.1 8.2% 2 Mr. Pornanan Gerdprasert 72.8 1.5% 3 Mr. Tanapat Ngamplang 72.8 1.5% 4 Mr. Preechaya Rasametanin 72.8 1.5% 5 M. L. Bovornovadep Devakula 72.8 1.5% 6 Mr. Santisuk Klongchaiya 36.4 0.8% Total 727.5 15% 4
  6. 6. Company overview 5
  7. 7. Introduction to our business 239, 31, 21Company overview Route network Leading low cost49, 156 (“LCC”) in Thailand 0, carrier − 63.8% of 170, 161, 154 total LCC domestic and international passengers New Delhi CHINA carried of AOT airports − 12.7% of 137, 213, 241 Guangzhou total passengers carried at AOT airports Shenzhen INDIA Kolkata Hong Kong TAA operates 24 Airbus A320 as of Feb 2012 aircraft from three 136, 186,113 MYANMAR VIETNAM Macau Hanoi hubs in Thailand (Bangkok, Phuket, Chiang Mai), with plans to Chiang Chiang Mai Rai LAOS open new hubs 109, 177 and Udon Thani in 2013 and 2014 168, in Hatyai respectively Yangon Udon 246, 176, 101 Thani − 11 domestic destinations and 14 international destinations in Ubon eight countries176, 76 204, currently Bangkok THAILAND Ratchathani − Only airline in Thailand with a hub outside Bangkok, enabling it CAMBODIA Phnom Penh to operate domestic flights that by-pass Bangkok Surat Thani Krabi Ho Chi Minh Low cost business model is built on these key characteristics City Nakhon Si Phuket Thammarat − Point to point operations within 4 hours Hatyai − Modern single aircraft type fleet Narathiwat Penang − High aircraft utilisation MALAYSIA Kuala Lumpur − Extensive route network Singapore − Low cost internet ticket sales from Bangkok Strong strategic partnership with AirAsia Berhad (“AAB”), who will own 45% of TAA through AirAsia Investment after the planned from Chiang Mai offering − 68 destinations in 15 countries within the AAB, TAA and PT from Phuket INDONESIA Indonesia AirAsia (“IAA”) network Bali − Benefits from the AirAsia Group’s bargaining power, cross- selling opportunities, and brand equity Source: Company information. Thai AirAsia provides high frequency air transportation services through an extensive route network 6
  8. 8. Our history and key milestones 239, 31, 21 0, 49, 156 Operates 24 aircraft to 170, 161, 154 reach 14 international 137, 213, 241 and 11 domestic 136, 186,113 destinations 168, 109, 177 Revamped 246, 176, 101 entire fleet to Airbus A320 204, 176, 76 aircraft Received first Moved Airbus A320 2012 Began Bangkok hub aircraft services from to Bangkok to 2011 Suvarnabhumi Phuket, International Chiang Mai, Airport 2010 Launched Singapore and third hub in Macau 2009 Chiang Mai 2007 and Chiang Mai – Singapore 2004 Launched route Launched the Phuket – second hub Bali route in Phuket Commenced flights to Shenzhen 7
  9. 9. Our fleetFleet expansion 31, 21 time 239, over Homogenous A320 fleet 60 0, 49, 156  24 aircraft as of February 2012 (including one spare) − All aircraft are leased from AirAsia Mauritius, with terms 170, 161, 154 between nine and 12 years 50 137, 213, 241  One of the youngest, with an average age of 2 years 4 months as of 31 Dec 2011 136, 186,113  Advantages of homogenous A320 fleet 40 − Proven track record and reliability in short haul, high frequency 168, 109, 177 operations 246, 176, 101 − Able to fit 180 seats (vs. 148 seats for B737-300) − Reduced costs for spare parts and type-rating training 30 204, 176, 76 − Simplified route planning and increased flexibility for flight 48 43 scheduling arrangements 20 38  In the future, TAA plans to: 33 − Increase current fleet to 48 aircraft by FY2016E by procuring 3 12 27 8 aircraft through AAB 22 10 19 − Increase aircraft utilisation to more than 12 block hours per day 12 12 (currently 11.5 block hours per day for the year ended 31 Dec 9 8 8 2011) 6 - 2004 2005 2006 2007 2008 2009 2010 2011 2012E 2013E 2014E 2015E 2016E Boeing AirbusSource: Company information. Uniform fleet of A320 aircraft helps minimize costs and maximize flight scheduling flexibility 8
  10. 10. Performance summary of TAAKey operational and financial summary 239, 31, 21Key operating statistics of TAA FY2009A FY2010A FY2011A 0, 49, 156Passengers carried (millions) 5.0 5.7 6.9ASK (millions) 161, 154 170, 6,511 7,605 9,199RPK (millions) 4,921 5,923 7,389 137, 213, 241Load factor 76% 78% 80%Average fare 136, 186,113 (THB) 1,520 1,791 1,849RASK (THB) 168, 109, 177 1.43 1.59 1.76CASK (THB) 1.51 1.39 1.58CASK ex-fuel (THB) 101 246, 176, 0.99 0.87 0.89Number of aircraft at 76 204, 176, period end 20 19 22Ancillary services revenue per passenger (THB) 179 296 383Financial summary of TAA (in THBm) FY2009A FY2010A FY2011ARevenues 9,281.2 12,098.7 16,157.6EBITDAR 1,674.2 4,577.9 5,003.0EBITDA (38.2) 2,377.3 2,275.3Operating profit (loss) (170.1) 2,254.1 2,203.7Net income (loss) (170.5) 2,011.0 2,020.1YoY revenue growth n.a. 30.4% 33.5%EBITDAR margin 18.0% 37.8% 31.0%EBITDA margin n.a. 19.6% 14.1%Net income margin n.a. 16.6% 12.5%Source: Company information.  Financials of TAA are currently proportionately consolidated into accounts on a historical basis. Post IPO AAV will fully consolidate TAA in financials Expansion of Thai AirAsia’s operations over the last three years has translated into profitability over the last two years 9
  11. 11. Key investment highlights 239, 31, 21 1 One 156 the largest and fastest growing aviation markets in the world 0, 49, of 170, 161, 154 137, 213, 241 2 Leading low cost carrier in Thailand 136, 186,113 168, 109, 177 3 Successful track record of growth 246, 176, 101 204, 176, 76 4 Established competitive cost structure and well positioned to expand margins 5 Strong partnership with AirAsia Group 6 Capital structure provides future financing flexibility 7 4 Experienced management team with a proven track record 10
  12. 12. 1 One of the largest and fastest growing aviation markets in the world Second biggest 31, 21 market in Southeast Asia 239, airline Passenger growth rates within Southeast Asia (revenue paying passenger-km in billions) (RPKs CAGR from 1985 to 2010) 0, 49, 156 87.7 14.7% 170, 161, 154 57.2 51.6 137, 213, 241 47.0 6.9% 6.2% 5.8% 5.4% 5.3% 28.1 4.6% 4.1% 136, 186,113 21.1 18.0 2.8% 3.0 168, 109, 177 Malaysia Thailand Singapore Indonesia Laos Philippines Cambodia Vietnam Middle China South Europe Oceania Southeast America Northeast America Asia East South North Asia Asia 246, 176, 101 204, 176, 76 Source: SAP Group, 2010 ICAO annual report. Source: SAP Group, The Boeing Company. Third highest GDP per capita in Southeast Asia Supported by Thai tourism industry (US$) (number of international tourist arrivals in millions) H1N1 outbreak and invasion by red mob 43,117 of East Asia Summit 30.0 Closure of Bird flu Suvarnabhumi 8,423 25.0 SARS Airport Tsunami 4,992 20.0 15.9 3,015 13.8 14.5 14.5 14.1 2,007 15.0 11.7 11.5 1,174 984 814 8.6 9.5 10.1 10.8 10.0 10.0 7.8 Malaysia Thailand Singapore Indonesia Laos Philippines Cambodia Vietnam 5.0 0.0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Source: ICAO 2010 annual report, SAP Group. Source: SAP Group. TAA provides investors with direct exposure to the large and rapidly growing Thai aviation market 11
  13. 13. 2 Leading low cost carrier in Thailand Route network  Most comprehensive network among 239, 31, 21 LCCs in Thailand. As at 31 Dec 11, TAA operated49, 156 0, in: New Delhi CHINA 170, 161, 154 − 11 domestic destinations Guangzhou Shenzhen INDIA Kolkata Hong Kong 137, 213, 241 MYANMAR Macau − 14 international destinations Chiang Chiang VIETNAM Hanoi 136, 186,113 Mai Rai LAOS − Three hubs 168, 109, 177 Yangon Udon Thani  Leading market share(1) in Thailand Ubon 246, 176, 101 Ratchathani THAILAND Bangkok − LCCs: 204, 176, 76 CAMBODIA 63.8% of total domestic and Surat Phnom Penh Thani international passengers at AOT Krabi Ho Chi Minh City airports Nakhon Si Phuket Thammarat Hatyai − All airlines: Narathiwat 12.7% of total domestic and Penang MALAYSIA international passengers at AOT Kuala Lumpur airports Singapore from Bangkok  Only LCC with regular domestic and international operations originating from Suvarnabhumi Airport(2) from Chiang Mai  Only LCC in Thailand with hubs outside from Phuket INDONESIA Bangkok, which enables it to operate Bali Source: Company information. flights which bypass Bangkok (1) According to SAP industry report. For the year ended 30 Sep 2010. (2) During the floods in Thailand in November, NOK Air temporarily moved its base of operations to Suvarnabhumi Airport. TAA’s comprehensive route network has allowed it to capture a sizeable portion of Thailand’s aviation market 12
  14. 14. 3 Successful track record of growth driven by route expansion, fleet growth and growing passenger volume ASKs and aircraft 21 239, 31, RPKs and load factors 0, 49, 156 15,000 15.6 18.0 19.4 25.3 80% 78% 13,000 170, 161, 154 13,000 76% 80% 18.9% p.a. 20.3 11,000 11,000 22.5% p.a. 75% 137, 213, 241 9,199 15.3 9,000 7,389 9,000 7,605 7,000 5,923 70% 6,511 186,113 136, 10.3 4,921 7,000 5,000 65% 5.3 5,000 3,000 168, 109, 177 3,000 0.3 1,000 60% FY2009A 176, 101 246, FY2010A FY2011A FY2009A FY2010A FY2011A ASKs (m) 204, 176, 76 Ave. no. of operating aircraft RPKs (m) Load factor Source: Company information. Source: Company information. Passengers Passenger revenue and average fares (millions) 17.5% p.a. 25,000 1,791 1,849 2,000 6.9 8.0 8.0 1,520 7.0 7.0 5.7 20,000 31.0% p.a. 1,500 6.0 5.0 6.0 5.0 2.9 5.0 15,000 13,008 1,000 2.4 10,260 4.0 2.1 4.0 3.0 3.0 10,000 7,582 500 2.0 3.3 4.0 2.0 1.0 2.9 1.0 5,000 0 0.0 0.0 0 (500) FY2009A FY2010A FY2011A FY2009A FY2010A FY2011A Domestic International Revenue (THBm) Average fare (THB) Source: Company information. Source: Company information. Solid fundamentals underpin revenue growth for TAA 13
  15. 15. 4 Established competitive cost structure and well positioned to expand margins Non-fuel costs are 21 239, 31, controlled EBITDAR margin (THB) 0, 49, 156 2.00 37.8% 170, 161, 154 31.0% 1.51 1.58 1.39 18.0% 137, 213, 241 1.00 4,578 5,003 0.99 136, 186,113 0.89 0.87 1,674 168, 109, 177 0.00 FY2009A 176, 101 246, FY2010A FY2011A FY2009A FY2010A FY2011A 204, 176,CASK 76 CASK ex-fuel EBITDAR (THBm) EBITDAR margin Source: Company information. Source: Company information. Competitive CASKs compared to regional LCC peers (US cents) 7.04 6.35 5.53 4.84 4.35 3.69 Jetstar SpiceJet Tiger Airways Cebu Pacific Thai AirAsia AirAsia Berhad Source: SAP Group industry report, for the latest financial year ending as at 30 Sep 2011. TAA has demonstrated an ability to control its costs and keep its costs in line with its peers… 14
  16. 16. 4 Established competitive cost structure and well positioned to expand margins (cont’d) Competitive base fares… 239, 31, 21 …drive passenger volumes… (THB) (in millions) 0, 49, 156 17.5% p.a. 10.3% p.a. 6.9 8.0 8.0 170, 161, 154 7.0 7.0 5.7 1,849 6.0 5.0 6.0 137, 213, 241 1,791 5.0 2.9 5.0 2.4 4.0 2.1 4.0 1,520136, 186,113 3.0 3.0 2.0 3.3 4.0 2.0 2.9 168, 109, 177 1.0 1.0 0.0 0.0 FY2009A 176, 101 246, FY2010A FY2011A FY2009A FY2010A FY2011A 204, 176, 76 Domestic International Source: Company information. Source: Company information. …and ancillary services revenue Ancillary services as a % of revenue 6,000 383 500 296 400 5,000 179 300 16.3% 200 13.9% 4,000 71.5% p.a. 100 3,000 2,627 0 9.6% 2,000 1,687 (100) (200) 893 (300) 1,000 (400) 0 (500) FY2009A FY2010A FY2011A FY2009A FY2010A FY2011A Ancillary income (THBm) Ancillary income per pax (THB) Source: Company information. Source: Company information. … and ability to generate higher ancillary income from passengers, which allows TAA to expand margins further as ancillary services require minimal costs 15
  17. 17. 5 Strong partnership with AirAsia Group 239, 31, 21 0, 49, 156 Centre for Asia Pacific Aviation (CAPA) 170, 161, 154 Airline Of The Year 137, 213, 241 (2009) Malaysia Business 136, 186,113 TTG Travel Awards 2009 Leadership Masterclass Best Asian Low-Cost Carrier Global CEO of the Year 168, 109, 177 246, 176, 101 204, 176, 76 Skytrax Worlds Best Low Cost Airline (2009,2010, 2011) One of the most recognized brands in aviation with Access to cost synergies and feeder network representation on various global sporting platforms  Access to AirAsia Group feeder network which allows customers to connect to 68 cities in 15 countries (within AAB, TAA and IAA networks)  Ability to share in bulk purchase opportunities, such as the recent 200 Airbus A320 NEO aircraft deal valued at US$18.2 bn, which was the largest aircraft order in Airbus history Sponsor of F1 Sponsor of EPL team Sponsor of English Team Catherham Queens Park Rangers Referees in the EPL TAA’s partnership with the AirAsia Group gives it access to unique, profitable opportunities, allowing it to capture market share, and attract new passengers 16
  18. 18. 6 Capital structure provides future financing flexibility Strong EBITDAR growth… 239, 31, 21 … coupled with slower aircraft rental expense growth (THBm) 0, 49, 156 (THBm) 72.9% p.a. 170, 161, 154 26.2% p.a. 5,003 4,578 137, 213, 241 2,728 136, 186,113 2,201 1,674 1,712 168, 109, 177 246, 176, 101 FY2009A FY2010A FY2011A FY2009A FY2010A FY2011A 204, 176, 76 …low total debt… … and finance costs (1) (THBm) (THBm) 2 ,0 0 0 1 ,8 0 0 1 ,6 0 0 1 ,4 0 0 1 ,2 0 0 1 ,0 0 0 800 513 600 400 203 243 184 200 4 0.4 0 FY2009A FY2010A FY2011A FY2009A FY2010A FY2011A Source: Company information. Note: (1) Includes interest on loans, overdrafts and finance lease payments. We believe Thai AirAsia’s strong EBITDAR growth, coupled with manageable leverage, will provide strong cash flows and enable the Company to take advantage of growth opportunities, effectively compete and provide itself financial protection against any temporary deterioration in business conditions 17
  19. 19. 7 Experienced management team with a proven track record 239, 31, 21 Tassapon Bijleveld Pornanan Gerdprasert Tanapat Ngamplang 0,Chief Executive 49, 156 Officer Chief Financial Officer Director of Operations 170, 161, 154 137, 213, 241  Joined in 2003 136, 186,113  Joined in 2004  Joined in 2003  Previously the Director of Flight Operation for  Previously was Managing Director of Warner  Previously the Finance and Accounting Director Phuket Airline Co. Ltd 168, 109, 177 Music (Thailand) Ltd. of Teleinfo Media Co Ltd  Holds a Bachelor of Science Degree from  Holds a Bachelor 176, 101 246, of Business Administration  Holds a Bachelor of Accounting, a Higher Royal Thai Air Force Academy degree from Assumption University and a Diploma in Auditing and a Master of Accounting  Holds a Bachelor of Arts degree from Master of Marketing degree from Thammasat 204, 176, 76 from Thammasat University Sukhothai Tammathirat Open University University  Holds a Master of Business Administration degree from Kirk University Preechaya Rasametanin Santisuk Klongchaiya ML Bovornovadep Director of Engineering Director of Commercial Devakula Director of Business Development  Joined in 2004  Joined in 2007  Joined in 2004  Previously the Product Support Manager of  Previously the General Manager of Warner  Previously the Manager of Advance Info Aviation Products for Goodyear Thailand PCL Music (Thailand) and Marketing Manager of Services, Plc and Secretary to the Chairman of Reebok Wongpaitoon Footwear Plc the Board of Directors of Shin Corp and  Holds a Bachelor of Science degree, majoring Secretary to the Minister of Foreign Affairs in mechanical engineering, from the Royal Thai  Holds a Bachelor of Business Administration Air Force Academy degree from Assumption University  Holds a Bachelor of Science degree from State University of New York  Holds a Master of Science degree from Thammasat University Majority of senior management has been with Thai AirAsia since inception 18
  20. 20. Financial highlights 19
  21. 21. Income statement summary of TAARevenue 239, 31, 21 EBITDAR(THBm) (THBm) 0, 49, 156 37.8% 31.0% 170, 161, 154 31.9% p.a. 16,158 18.0% 72.9% p.a. 137, 213, 241 12,099 4,578 5,003 9,281 136, 186,113 1,674 168, 109, 177 FY2009A 176, 101 246, FY2010A FY2011A FY2009A FY2010A FY2011A 204, 176, 76 EBITDAR EBITDAR marginEBITDA Net profit(THBm) (THBm) 19.6% 14.1% 16.6% 12.5% (1.8%) (0.4%) 2,377 2,275 2,011 2,020 (38) (171) FY2009A FY2010A FY2011A FY2009A FY2010A FY2011A EBITDA EBITDA margin Net profit Net profit marginSource: Company filings. 20
  22. 22. Cost structure analysis of TAACommon sized income statement FY2009A FY2010A FY2011A 239, 31, 21 (1)Passenger revenues 81.7% 84.8% 80.5%Ancillary services 0, 49, 156 (2) revenues 9.6% 13.9% 16.3% (3)Other revenues 8.7% 1.3% 3.2% 170, 161, 154Revenues 100.0% 100.0% 100.0% 137, 213, 241Operating costs excluding fuel costs, aircraft rental, depreciation & amortization (44.9%) (30.6%) (28.4%)Fuel costs (35.9%) (32.8%) (39.6%) 136, 186,113Aircraft rental (18.5%) (18.2%) (16.9%)Depreciation &168, 109, 177 amorization (1.1%) (0.8%) (0.2%)Gross profit 246, 176, 101 (0.4%) 17.6% 14.9%Net gain on exchange rates 1.4% 2.9% 1.0%Other income 204, 176, 76 2.3% 3.0% 2.8%Profit before expenses 3.4% 23.6% 18.6%Selling and admin expenses excluding depreciation & amortization (4.6%) (4.5%) (4.5%)Depreciation & amortization (0.3%) (0.3%) (0.2%)Management remunerations (0.3%) (0.2%) (0.3%)Profit before finance costs and income tax (1.8%) 18.6% 13.6%Finance costs (0.0%) (2.0%) (1.1%)Profit before income tax (1.8%) 16.6% 12.5%Income tax – – –Net profit (1.8%) 16.6% 12.5%MarginsEBITDAR 18.0% 37.8% 31.0%EBITDA (0.4%) 19.6% 14.1%EBIT (1.8%) 18.6% 13.6%Net profit (1.8%) 16.6% 12.5%Note: (1) Net of refunds, and excludes value-added taxes and airport taxes. (2) Comprises revenues relating to baggage handling fees, excess baggage fees, seat selection fees, in-flight sales of meals and beverages, convenience fees, freight, in-flight sales of merchandise and cancellation and documentation fees. (3) Total revenues less passenger revenues and ancillary services revenues. 21
  23. 23. Balance sheet summary of TAATotal assets 239, 31, 21 Cash and cash equivalents(THBm) (THBm) 0, 49, 156 170, 161, 154 1,360 4,867 137, 213, 241 3,790 654 2,067 186,113 136, 508 168, 109, 177 FY2009A 176, 101 246, FY2010A FY2011A FY2009A FY2010A FY2011A 204, 176, 76Total debt(1) Total equity(THBm) (THBm) 513 (546) (2,503) 203 4 (4,514) FY2009A FY2010A FY2011A FY2009A FY2010A FY2011ASource: Company filings.Note: (1) Total debt includes finance leases. 22
  24. 24. Thank you 23

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