Clarification of the news regarding the acquisition plan of A340-600 aircraft

Reference is made to today’s news in the press regarding the Ministry of Finance’s request for Thai Airways International Public Company Limited (“THAI") to make clarification on its plan to purchase new aircraft from AIRBUS model A340-600.

THAI would like to clarify that, THAI has ordered 5 A340-600 aircraft from AIRBUS. AIRBUS has granted THAI concession to be used toward cost reduction at an equal amount for each aircraft, whereby THAI will receive the concession at the time of the aircraft deliveries. However, it was specified that the concession granted for introducing the aircraft type into THAI’s fleet, “A340-600 Special Introductory Credit”, for first and second A340-600 aircraft will be effective upon delivery of the first A340-600 aircraft.

Therefore, the loan portion of the first A340-600 aircraft was reduced by the concession for both aircraft while the second A340-600 aircraft was not. Thus, the loan portion of the second A340-600 is higher that the first one.