Report of the Corporate Governance Committee

(Mr. Yothin Anavil)

Chairman of Corporate Governance Committee

Business operations in accordance with good corporate governance principles Code of conduct is one of the important policies and missions of the company. Which the Board of Directors, executives and all employees have always given great importance and adherence. This is to ensure that operations are in accordance with the aforementioned policies. Therefore, the Board of Directors appoints and assigns the Corporate Governance Committee to be responsible for supervising, monitoring and supporting the operation of the company in accordance with the corporate governance policy and practice, and business ethics.

The Corporate Governance Committee believes that the good corporate governance policy, ethics and business ethics Along with sustainable development, considering the participation in the development of the economy, society and environment of the country is one of the important factors that will result in the Company. To ensure to be the leading company with stable and sustainable growth and create confidence among shareholders and investors. In addition, the company is also aware of corruption which is an obstacle to social development. At present, the Company is a member of the collective action coalition against corruption in Thailand as part of its business practice in accordance with good corporate governance principles and received a certificate from the project since October 18, 2019.

For its operation in 2020, the Company received awards and rankings for compliance with good corporate governance and sustainability both locally and internationally as follows:

  • The Company was announced for the third consecutive year of corporate governance assessment of listed companies listed on the Stock Exchange of Thailand as "Excellent" (5 stars), which was assessed by the Institute of Directors Association. Thailand (IOD)
  • The company has been assessed for quality by the Thai Investors Association. In assessing the quality of the arrangement of the 2020 Annual General Meeting of Shareholders, the score was rated "very good" or 98%.
  • The company received the Thailand Corporate Excellence Awards 2020 from Her Majesty the King. Department of Her Royal Highness Princess Maha Chakri Sirindhorn Siam Boromrajakumari in the field of financial management excellence.
  • The company has been ranked in the list of Thailand Sustainability Investment (THSI) index by the Stock Exchange of Thailand for the second consecutive year due to sustainable business operation. Also, strive to be a responsible microfinance loan provider to all stakeholders and set an example for entrepreneurs. In the same industry in corporate governance Including the awareness of impacts and developing a comprehensive environmental, social and corporate governance (ESG) strategy to achieve sustainable development.
  • The Company was rated “A” for the second consecutive year in the ESG MSCI Index on the environmental, social and corporate governance performance in the Consumer Finance sector by MSCI. The Company was selected to be a member and ranked in the FTSE4Good Index Series Sustainability Index in the FTSE4Good Emerging Index category from the FTSE Russell, with a score of 3.5 out of 5 or 1.4 times the industry average. The Company was selected as a member of the FTSE Thailand USD Net Tax Index by FTSE Russell with profitable operating results and accurate and transparent tax management with the best interests of the country
  • The company has released information on environmental impact. Also, received an assessment of climate change management (Climate Change) at the D level, up from the D-level from the previous year from the CDP.

In addition, the Corporate Governance Committee has reviewed and follow up on the performance according to the plan Good corporate governance, social, community and environmental responsibility programs. This is to be in accordance with the good corporate governance principles for listed companies (CG Code) directed by the Securities and Exchange Commission, corporate governance policy and the Company's ethics manual at least once a year.

The company also adheres to a clear approach to participation in social responsibility. By allowing executives and employees at all levels in the organization to jointly take concrete actions as follows:

  • Follow up, support and encourage employees of all levels to adhere to and strictly abide by the principles of good corporate governance. Including instilling all employees to be aware of anti-corruption in all its forms.
  • Support and encourage the company to organize corporate social responsibility activities. By constructing a child center building annually Which will circulate according to the area of the branch. The project started in 2012 onwards, details are as follows:
    2012 : The first child center building was built at Khiri Rat Subdistrict Administrative Organization, Phop Phra District, Tak
    2013 : The second child center building was built at Nakham Subdistrict, Muang District, Loei
    2014 : Built the third child center building at Pa Klang Subdistrict, Pua District, Nan.
    2015 : Built the fourth child center building for Ban Makham Aen School and the fifth for Wat Rang Sane Nakornchan School at Tha Koi Sub-district, Suan Phueng District, Ratchaburi Province.
    2016 : Built the sixth child center building for the child center. "Land reform house Thai Samakkhi Subdistrict "and after 7 to" Ban Sub Sai Thong School Wang Nam Khiao Subdistrict, Wang Nam Khiao District, Nakhon Ratchasima.
    2017 : Built the 8th Children's Center Building for Ban Dong Noi School, Niyomchai Sub-district, Sa-San District District, Lopburi Province, and the 9th building for Ban Klong Samui School. Pong Nam Ron Subdistrict, Mueang District, Kamphaeng Phet Province.
    2018 : Built the 10th child center building for Ban Kong Wa Child Development Center, Pong Thung Subdistrict, Doi Tao District, Chiang Mai Province, after the 11th was given to the Child Development Center, Sri Banpot Kindergarten, Khao Ya Sub-district, Si Banphot District, Phatthalung Province and the 12th one was given to Ban Nong Phak Waen Child Development Center, Thaprat Sub-district, Ta Phraya District, Chiang Mai Province. Sa Kaeo.
    2019 : The 13th Child Center Building was built for the Child Development Center at Ban Row Wittayakarn School. Phra Nakhon Si Ayutthaya Province, the 14th was given to the Ban Nong Wa Child Development Center, Khon Kaen Province, the 15th was given to the Ban Nong Kung Child Development Center, Surin Province and the 16th after the Child Development Center, Bang Ngon Subdistrict Surat Thani Province.
    2020 : Construct the 17th Child Center Building for Baan Yod Huay Kaew Child Development Center, Mae Lay Subdistrict Mae Wong District, Nakhon Sawan Province, after the 18th was given to the Ban Bo Dok Sorn Child Development Center, Phra Song Sub-district, Na Kae District, Nakhon Phanom Province, the 19th building was given to the Ban Rai Pa Child Development Center, Huai Khai Subdistrict. Thong Pha Phum District, Kanchanaburi Province and after the 20th was given to Ban Phu Noi Child Development Center. Sam Roi Yot Subdistrict, Sam Roi Yot District, Prachuap Khiri Khan Province
  • Blood donation to the Thai Red Cross Society The company continuously organizes good deeds activities. Under the name of the project "Thailand joined hands to donate blood", a long-running activity There were employees participating in this activity to accept and support by joining together to donate blood at hospitals and the provincial Red Cross Society together across the country. In 2020, there were 7,121 employees donating blood (300 cc each). This is 2,492,350 CC, which has a higher blood donation amount than 796 people in the previous year.

In summary, the Nomination and Remuneration Committee has performed the above duties according to their roles. Including, responsibilities assigned by the Board of Directors. According to the opinion in 2020 acknowledge that the Company's directors and various sub-committees are knowledgeable, competent, and considering remuneration which is disclosed in the annual report. They are suitable for duties and responsibilities In line with economic conditions, and the overall performance of the company.