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OVERVIEW OF INTEGRATED REPORTING Lombok, 16 April 2014

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CORPORATE REPORTING JOURNEY

• Financial Information • Backward looking • Short term focus • Compliance with regulations and Standards to inform investors • IFRS, PSAK • Mandatory for publicly listed companies

Financial Reports

Sustainability Reports

• Non financial information • Backward and forward looking • Long term focus • Voluntary and mandatory

• Financial and non financial information • Backward and forward looking • Short, medium, long term • International Integrated Report Council ( IIRC )

Integrated Report

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Fundamental concepts, to explain how organization interact with external

environment and capital to create value over the short, medium and long

term.

INTEGRATED REPORTING

Content Elements, eight content elements are fundamentally linked to

each other and are not mutually exclusive

Guiding Principles, seven principle underpin the preparation of an

integrated report, informing the content of the report and how

information is presented

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PT GARUDA INDONESIA - ANNUAL REPORT ...(1)

1 Strategic focus & future orientation • Clear vision & mission • Strategy Map with Seven Drivers • Quantum Leap : 2011 IPO, 2012 Global Alliance, 2013 Network Expansion, 2014 Service Excellence, 2015 Five

Star Skytrax • Commitment to save earth ( Green Aviation, Green Company, CSR, support WWF , Halon Bank , etc) • New fleet, better technology, better fuel efficiency

• Factors affecting our financial condition & result of operation , including general economic condition, revenue management, jet fuel price, fleet expansion, modernization & simplification, aircraft utilization, interest rate & currency exposure, seasonality, goverment regulations, critical accounting policies.

2 Connectivity of Information

• Report shows insight into the nature and quality of the organization such as : operational, aviation safety, risk management , CSR, GCG, Efficiencies, Environmental Program,

3 Stakeholder relationships

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PT GARUDA INDONESIA - ANNUAL REPORT ... (2)

5 Conciseness

• The report has concise and clear manner, Report reflect the use of quick reading options, graphs, illustrations, and general flow of the company’s story ( strategy, risk & opportunities, KPIs ) and Apps for Tablet

• The report has shown all material matters, both positive and negative, in a balanced way .

6 Reliability and Completeness

• Reporting policies are followed consistently • Comparability, not shown yet compare using benchmark data, such as industry or regional benchmark,

presenting information.

7 Consistency and Comparability

• Report shows information about matters that substantively affect the organization’s ability to create value over the short, medium and long term, such as : fleet number, HR Development, Funding, GCG, Comply to OJK’s regulation

4 Materiality

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GA is committed to fuel conservation program as one strategy to reduce carbon emissions. Emission per-hour produced by B737-800 is 8.3% less than B737-300

FUEL CONSERVATION PROGRAM

REFORESTATION

ENVIRONMENTAL PROGRAM

Save shark – Save Indonesia Experience

Turtle Breeding Program in support of sea turtle conservation in Indonesia

MARINE CONSERVATION PROGRAM

Bali Beach Clean Up

HALON BANK INDONESIA

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Indonesia Green Company Awards 2013

Aksi Untuk Bumi Awards 2013 Indonesia Green Awards 2013

Indonesia Sustainable Awards 2013

ACHIEVEMENT

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• Continue to care on the environment for the company to survive in the long term

• Maintain a legitimate company from the stakeholder’s view

• Improve reporting with reference to IIRC 1

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WHAT’S NEXT

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