Today, 16 November 2012 – Thai Airways International Public Company Limited (THAI) held its Board of Directors Meeting, chaired by Mr. Ampon Kittiampon, THAI’s Chairman of the Board of Directors, with the following results.

1. Operating Results for October 2012

The THAI Board of Directors acknowledged the Company’s good operating performance for October 2012, with an increase in passengers carried from 1.58 million in September 2012 to 1.71 million in October 2012 or an increase of 8.2% and an increase from the same period last year of 11.0 percent. Revenue Passenger–Kilometer (RPK) was 9.2 percent higher than the same month last year. Available Seat–Kilometer (ASK) decreased 2.5 percent, which resulted in a cabin factor at an average of 73.5 percent that was higher when compared to the same month last year of 65.7 percent. THAI’s cabin factor on regional routes rose from 66.1 percent to 74.4 percent, cabin factor on intercontinental routes rose from 65.2 percent to 72.6 percent, cabin factor on domestic routes rose from 71.9 percent to 74.3 percent. THAI Smile’s cabin factor was 81.6 percent, with cabin factor on international routes at 82.0 percent and cabin factor on domestic routes at 81.4 percent.

Cargo and commercial mail operations reported Revenue Freight Ton-Kilometer (RFTK) that was close to that achieved last year, freight production was 1.1 percent lower than last year, and freight load factor was at an average of 57.1 percent, which was higher than the same month last year that was 56.3 percent.

2. Establishing Strategic Positioning for THAI, THAI Smile, and Nok Air

THAI’s Board of Directors approved of establishing strategic positioning for THAI, THAI Smile, and Nok Air as follows:

- THAI is a premium full service carrier operating long-haul flights with wide-body aircraft, with its operational base at Suvarnabhumi Airport

- THAI Smile is as a regional airline operating short-haul flights with narrow-body aircraft that provides service to passengers with connecting flights on THAI, with its main operational base at Suvarnabhumi Airport. THAI Smile aims to be leading ASEAN carrier. THAI’s Board of Directors agreed in principle to establish THAI Smile as a subsidiary company.

- Nok Air is a regional low-cost carrier operating point-to-point flights with narrow-body aircraft or smaller aircraft, with its operational base at Don Mueang Airport. THAI’s Board of Directors agreed to increase amount of the shares held in Nok Air Company Limited and for Nok Air to be registered on the Stock Exchange of Thailand in order for it to have sufficient capital to acquire more aircraft for network expansion and to boost competitiveness.