BANGKOK, 3 March 2022: Thai Airways International and its subsidiaries
reduced operating losses by 44% or THB15,712 million to declare a loss of
THB19,702 million, according to its operational performance results for the
year ended 31 December 2021. The result excluded one-time transactions.

When one-time transactions are taken into account, THAI and
its subsidiaries reported a net profit totalling THB81,525 million. It
consisted of profits following the Rehabilitation Plan, such as profit from
debt restructuring, sale of unused properties and organisational restructuring.
Consequently, THAI and its subsidiaries reported a THB55,113 million net profit
for the year ending 31 December 2021.

The total revenue was THB23,747 million, lower than last
year by THB24,684 million or 51%, mainly due to a decline in both passenger and
cargo revenue recorded at THB24,599 million baht or 59.9% and a decrease of
THB1,545 million from other services.

However, THAI reports an increase in other incomes of
THB1,460 million due to revenue from offsets for maintenance and refurbishment
of engines.

Total expenses amounted to THB43,449 million, which was
THB40,396 million or 48.2% lower than the previous year, mainly due to variable
operating expenses and cost reduction programme implemented under the airline’s
rehabilitation plan and business reorganisation. However, this was insufficient
to offset decreasing revenue.

As of 31 December 2021, the total assets of THAI and its
subsidiaries were THB161,219 million, which decreased by THB48,078 million or
23% compared to the figure as of 31 December 2020. The total liabilities were
THB232,470 million, a decrease of THB105,492 million or 31.2% from 31 December
2020. Shareholders’ equity amounted to -THB71,251 million, which is a negative
decrease of THB57,414 million compared to the figure as of 31 December 2020,
due to THAI and its subsidiaries’ net profit in 2021.

THAI is seeking a THB25 billion loan from financial
institutions for the implementation of its rehabilitation plan in 2022. The
loan contract signing should occur this month, March 2022.