O N E R E P O R T 2 0 2 2 OVERVIEW BUSINESS OVERVIEW AND PERFORMANCE CORPORATE GOVERNANCE FINANCIAL INFORMATION SUSTAINABLE BUSINESS DEVELOPMENT 32 Thai AirAsia exercises marketing plans throughout the year and regularly presents promotional fares, usually organising 3-4 major yearly promotions with further discounts on its already low fares such as the Baht zero ticket per trip for advance booking. In addition, marketing campaigns also educate passengers about new destinations or new attractions both domestic and international to where we have direct flights. As a result, our brand has been commanding the number one domestic market share among Thai carriers and consecutively awarded the World Best Low-Cost Carrier by Skytrax for 13 years. 6. CUSTOMER HAPPINESS Thai AirAsia is committed to delivering high-quality customer service by providing its guests with a safe, low fare, valuable, reliable and friendly service. Thai AirAsia is delighted to listen to all comments, feedback and customer complaints. For any assistance, they can contact Thai AirAsia directly on the main page website www.airasia.com or via airasia Super App. We have provided various channels of reach for our customer convenience through just-in-time service support. We have continuously improved our technology by introducing the Chatbot that supports fast and accurate information retrieval 24 hours daily and Live Chat Agent to help the customer if Chatbot cannot solve passenger’s problems. Staff are selected through a rigorous recruitment process to provide excellent customer service, followed by extensive and ongoing training and performance management activities. The airline has specific budgets for training for each customer service personnel every year to ensure staff are fully prepared to assist passengers effectively and efficiently. PRODUCTS OR SERVICES PROCUREMENT 1. THAI AIRASIA’S FLEET As of 31 December 2022, Thai AirAsia has an Airbus A320 family of 54 aircraft. Thai AirAsia has entered into the aircraft’s operating leases in total of 50 aircraft, 8 aircraft of which were leased from AAM, a subsidiary of AAB, and 42 aircraft of which were leased from third-party lessors. Meanwhile, one of the leased aircraft was under a financial lease agreement with financial institutions, and three of the aircraft belong to Thai AirAsia. By the end of 2022, one aircraft of the fleet was in the deregistration process due to the expiry lease agreement. In 2023, Thai AirAsia has no plan to deliver new aircraft and expects to reduce its fleet due to the mentioned retirement, bringing its total fleet to 53 by the end of the year. Airbus A320 family has a proven track record of reliability in short-haul, high-frequency operations with an appropriate number of passengers per flight. Thai AirAsia’s Airbus A320 family fleet comprised 41 of Airbus A320, 11 of Airbus A320neo (New Engine Option), and two of Airbus A321neo, with an average fleet age of 8.84 years. In 2022, the aircraft utilisation rate was at 9.6 hours per day. Thai AirAsia analyses aircraft procurement needs independently from the other members of Capital A. However, AAB consolidates the respective requirements of each member of Capital A and places a consolidated order with Airbus, the aircraft manufacturer. Group procurement enables us to benefit from bulk discounts off the official list price of such aircraft. As at 31 December 2022, Thai AirAsia received 5 certificates of promotion privileges for nine aircraft from the Board of Investment (BOI), with the privileges including (a) an exemption from payment of import duty on machinery approved by the Board of Investment; (b) an exemption from payment of income tax on net profit from promoted operations for a period of five years from the date on which income is deemed to be first derived from such operations, subject to a maximum exemption of Baht 1,351.4 million, as the case may be for the first projects and amounting to Baht 1,391.0 million for the second project and in a range of Baht 1,387.4 million to Baht 1,531.7 million for the third to fifth project; (c) an allowance of a five-year carry forward period for losses for tax purposes from promoted operations from the expiry of the five-year period; and (d) an exemption from income tax on dividends paid to shareholders from the profit of promoted operations during the corporate tax exemption period. Thai AirAsia shall comply with various terms and conditions set by the BOI in order to have such privileges. Aircraft Aircraft Aircraft
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