OPERATIONAL HIGHLIGHTS

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1 OVERVIEW In 2Q11, service revenue overcame industry low seasonality with stronger than expected voice revenue and fast growing nonvoice revenue. Benign market competition and positive consumer sentiment led to strong voice revenue growth, 8.2% YoY and 0.6% QoQ. During the past three years, Q2 compared to Q1 voice revenue decreased between 0.7% and 1.7%, claimed as a seasonality effect. Prepaid voice revenue continued to grow due to regional market growth and more successful price plans while postpaid voice revenue was stable. Subscriber quality was enhanced by streamlined acquisition policy, focusing on customer retention rather than acquisition. Non-voice revenue, contributed 19.6% to service revenue, grew 29% YoY and continued to grow due to higher smartphone sales, social-networks popularity and strong internet demand. Because of the growing popularity in smart devices, sales revenue increased substantially 79% YoY, resulting in 17% YoY total revenue growth. In 1H11, service revenue, excluding IC, grew 11% primarily from voice services, followed by non-voice services. As a result, AIS has been revised service revenue target, excluding IC, up to high single-digit growth and expects full year sales revenue to grow 50%. Rational competition is expected in rising data market. In 2H11, 3G services are expected to be launched by various mobile operators. However, we believe the data pricing competition would be rational and the fair usage policy tends to be applied. On the other sides, operators are likely to focus on 3G coverage expansion and quality of services. By launching 3G service on 900MHz, AIS emphasizes 2011 revised guidance is available on page 6 our commitments to deliver Quality DNAs philosophy. AIS customers can experience seamless connection through integrated quality network which includes 3G, EDGE+ and WiFi. The higher speed and capacity of 3G technology allow us to enhance the richer contents and various applications e.g. AIS Bookstore, AIS Music Store, AIS App Store. As demand for mobile internet enlarges, we expect the mobile data revenue continuing to be a key driver of revenue after its significant growth of 64% YoY in 1H11. 1H11 EBITDA increased 11% from strong revenue growth offset by higher cash OPEX from 3G-900MHz preparation. The cost efficiency was still maintained. Excluding extra item, percentage of cash OPEX to service revenue, excluding IC, was 18.4% and remained the same to 1H10. Consolidated EBITDA margin decreased due to larger contribution from sales which have lower margin than services. However,excluding extra item, service EBITDA margin improved from 49.1% in 1H10 to 49.7% in 1H11. For FY11, we remained EBITDA margin guidance at 45%. In 2H11, positive momentum is expected to continue. Service revenue is expected to grow from prepaid voice service and nonvoice service, especially after 3G-900MHz network and new applications launched. Smart device popularity has continued to drive sales revenue. EBITDA figure will grow but margin is expected to decrease due to the low margin handset sales, data capacity expansion and marketing campaigns, all related to the 3G-900MHz. CAPEX guidance remains at Bt10bn and expected to ramp up in 2H11. OPERATIONAL HIGHLIGHTS Prepaid In 2Q11, prepaid subscribers increased to 29.3mn, an increase of 8.6% YoY and 1.7% QoQ, representing 495k net addition from 1Q11. The increased subscribers largely came from regional markets and internet SIM. The prepaid ARPU was Bt200, representing an increase of 5.3% YoY but a decrease of 1.5% QoQ. The YoY increase was due to higher usages and non-voice growth while QoQ ARPU improved from a normal decrease of 3%-6% during the past three years. The prepaid MOU was 299 minutes, representing an increase of 9.5% YoY but a slight decrease of 0.7% QoQ. The YoY increase was due to tariff plans encouraging higher usage. Prepaid RPM was Bt0.65, representing a decrease of 3.8% YoY and a slight decline of 0.4% QoQ. The YoY decrease was due to the buffet-styled tariff plans, stimulating usage during off-peak hours. Prepaid churn was 4.7% compared to 4.7% in 2Q10 and 4.4% in 1Q11. Details of operational data are presented in page 7 Postpaid Postpaid subscribers slightly increased from 3.10mn in 1Q11 to 3.14mn in 2Q11, an increase of 5.6% YoY and 1.3% QoQ. The net addition was 39k, compared to 51k last quarter. Though lower net addition, the postpaid ARPU was Bt617, an increase of 2% YoY and 0.2% QoQ, due to strong non-voice demand and increased quality subscribers. The postpaid MOU was 529 minutes, an increase of 4.1% YoY and 0.6% QoQ. Both increments were due to the buffet tariff plans. As a result, postpaid RPM was stable at 1.24 but dropped from 1.27 in 2Q10. The YoY decrease was due to the buffet tariff plans as well. Postpaid churn was 1.7%, stable to 1.6% in 1Q11 but improved from 2.2% in 2Q10 due to increased quality subscribers. SIGNIFICANT EVENTS Impairment loss from DPC goodwill of Bt386m recognized in 2Q11 - In 2Q11, the AIS Group recorded in the income statement for the period a Bt386m impairment loss of goodwill on DPC, a subsidiary operating mobile service on GSM 1800MHz. Such item is not tax deductible, unrecoverable and is non-cash expense. The effect on the AIS Group s consolidated financial statements ending 30 June 2011 as following: Recognized impairment loss on DPC goodwill of Bt386mn on the income statement, by discounting expected future cash flow method and compared with its carrying value of Bt1,156mn. Outstanding DPC goodwill booked under intangible asset as of 30 June 2011 was Bt770mn. Advanced Info Service Investor Relations Tel investor@ais.co.th Page 1 of 8

2 FINANCIAL RESULT. Table 1 Revenue (Bt million) / (% to total service revenue excluded IC) Voice revenue 16, % 17, % 17, % 8.2% 0.6% Postpaid (voice) 4, % 4, % 4, % 0.5% 1.2% Prepaid (voice) 11, % 13, % 13, % 11.0% 0.4% Non-voice revenue 3, % 4, % 4, % 28.8% 4.0% International roaming % % % 25.3% -11.8% Others (IDD, other fees) % 1, % 1, % 17.3% -6.9% Total service revenue excl. IC 21, % 23, % 23, % 12.5% 0.5% Table 2 Sales Sales revenue 1, % 3, % 3, % 79.3% -3.7% Cost of sales 1, % 3, % 3, % 91.1% -1.8% Net sales % % % 21.5% -16.0% Sales Margin (%) 17.0% 13.2% 11.5% Table 3 Interconnection Interconnection revenue 3, % 3, % 3, % 11.9% -0.7% Interconnection cost 3, % 3, % 3, % 8.8% 0.4% Net interconnection 8 0.0% % % % -27.0% Table 4 Cost of services ex IC and sales Network amortization 4, % 4, % 4, % -6.8% -1.0% Base station rental & utility % % % 11.9% 9.8% Maintenance % % % -2.9% 10.6% Other cost of services % % % 166.3% 5.2% Total cost of services ex IC 6, % 6, % 6, % 5.5% 1.7% Revenue sharing expense 5, % 5, % 5, % 12.0% 1.6% Table 5 SG&A Marketing expense % % % 1.1% 23.7% General administrative & staff cost 1, % 1, % 1, % 10.1% -1.1% Bad debt provision % % % -20.8% 7.7% Depreciation % % % -6.6% -3.4% Total SG&A 2, % 2, % 2, % 5.3% 4.3% % Bad debt to postpaid revenue 3.2% 2.2% 2.3% Table 6 EBITDA Operating Profit 7, % 9, % 9, % 22.2% -3.1% Depreciation of PPE % % % -11.5% -14.1% Amortization 4, % 3, % 3, % -5.8% 1.5% (Gain)/Loss on disposal of PPE % 0 0.0% % 46.8% N/A Management Benefit % % % 16.2% 50.3% Other financial cost % % % -19.8% 33.1% EBITDA 12, % 14, % 13, % 11.3% -2.5% Table 7 Financial cost Total financial cost % % % 0.9% 2.9% Advanced Info Service Investor Relations Tel investor@ais.co.th Page 2 of 8

3 Revenue Service revenue excluding IC was Bt23,910mn, an increase of 12.5% YoY and 0.5% QoQ. The increase was due to the growth in both voice and non-voice services. Voice-data cannibalization was not evident as voice usage continued to grow, especially in prepaid and regional markets. International roaming revenue recovered YoY (after the political unrest in 2Q10) but was pressured by discounting from foreign operators and low seasonality in QoQ. The IDD service grew YoY due to successful marketing campaigns but decreased QoQ due to seasonality. Voice revenue was Bt17,567mn in 2Q11 which represents an increase of 8.2% YoY and 0.6% QoQ. The YoY growth was due to a stable economic climate, positive consumer sentiment and mild competition. The QoQ growth, overcoming Q1-Q2 seasonal effects, was due to growth from both prepaid and postpaid segments. Prepaid voice revenue stood at Bt13,181mn, which grew considerably by 11% YoY and 0.4% QoQ due to a strong net addition from increased quality prepaid subscribers, regional market growth and more successful price plans. Postpaid voice revenue was Bt4,386mn, which rose slightly 0.5% YoY and 1.2% QoQ due to the increase of quality subscribers. In 1H11, voice revenue jumped considerably by 7.5% YoY, largely from a 10% YoY increase in prepaid voice and stable postpaid voice revenues. The strong growth of voice service was driven by higher usage of calling minutes while data usage is also gaining momentum. Non-voice revenue was Bt4,694mn, representing an increase of 29% YoY and 4% QoQ. Both increases were mainly driven by mobile data which significantly grew 71% YoY and 18% QoQ. Smartphone and aircard adoption coupled with social networking trend continued to drive demand for mobile internet. The demand also expanded to lower end users as feature phones were replaced by more affordable smartphones. Apart from metropolitan area, smartphone and aircard users continued to increase their usage in regional areas due to limited coverage of fixed-line internet. In 1H11, non-voice posted a strogn growth at 27% YoY, representing 19.3% to service revenue, excluding IC, compared to 16.8% last year. Non-messaging service contributed 13.5% to service revenue, excluding IC, from 10.7% in 1H10. The revenue streams were mainly driven by mobile data which posted 64% YoY, driven by both strong usage and data subscriber growth. Data subscribers reached 7.7m, an increase of 38% YoY whereas usage per subscriber grew significantly by 89% YoY. For full year, AIS expects non-voice revenue to grow 25-30%. International roaming was Bt633mn and increased 25% YoY but decreased 12% QoQ. In 2Q11, tourist arrivals jumped noticeably 52% YoY after the politcal unrest last year. QoQ, the drop in IR revenue was due to low tourist season. In 1H11, roaming revenue grew 14% YoY driven by healthy global economy. Moving into 2H11, while tourist arrivals are expected to improve YoY, price pressure remains prevalent as well as the availability of substitute products e.g. VOIP, chat, and use of local prepaid SIM when roaming. However, international data roaming usage is expected to increase as AIS promotes more attractive data roaming packages. Other service revenues, mainly comprised of international call, was Bt1,017mn, representing an increase of 17% YoY but a decrease of 6.9% QoQ. The YoY growth was from rising subscriber for international call services due to successful marketing campaign in early QoQ, revenues dropped because of seasonality impacts for international call services. In 1H11, other service revenue expanded 10% YoY. Sales revenue stood at Bt3,429m, rose considerably 79% YoY, but dropped 3.7% QoQ. The YoY increase was underpinned by strong demand for smartphone i.e. BlackBerry, iphone4, Andriod based phones and aircards as well as higher penetration of low-end device market. In particular, customer demand for both high-end and low-end devices continued to rise not only in Bangkok but also the upcontry market. Although unit of sales continued to grow QoQ, the revenue was offset by lower price of low-end handset from stock clearing activities coupled with declining price of BlackBerry handset. In 1H11, sales revenue rose by 86% from rising consumer trend in using smartphones and aircards. Sales margin in 2Q11 declined to 11.5% from 17% in 2Q10, and 13.2% in previous quarter due to lower margin of BlackBerry and stock clearing. In 1H11, sales margin fell to 12.4% from 16.7% last year mainly due to the change of RIM s BlackBerry distribution policy in 2H10. Net IC receipts was Bt112mn, a significant rise compared to Bt8mn in 2Q10 but declined from Bt153m in 1Q11. YoY, the substantial growth was due to recording the interim rate of IC between AIS and HUTCH-CAT at Bt0.50 per mintute since 3Q10. However, QoQ, the downtrend of net IC receipts was a result of lower net IC receipts from HUTCH-CAT. Also, outgoing traffic increased while incoming traffic declined as a result of popular all network promotion. For 1H11, Net IC receipts stood at Bt265mn, increased from Bt66mn last year due to IC receipt from Hutch-CAT. Cost of Service and Sales Revenue sharing expense was Bt5,888mn, an increase of 12% YoY and 1.6% QoQ, in line with service revenue growth. AIS revenue share is 30% on postpaid and 20% on prepaid while revenue share for DPC will rise from 25% to 30% in September this year. We expect this to have minimal impact. Network amortization was Bt4,314mn, a decrease of 6.8% YoY and 1% QoQ. Though AIS continues to invest in data network throughout this year, the fully amortized portion of previous assets remains larger than amortization of new assets. For FY11, network amortization is likely to decline by 5%. Base rental and utility cost stood at Bt759mn, an increase of 12% YoY and 9.8% QoQ which resulted from higher electricity cost and HSPA upgrade. In 2Q11, number of cell sites reached 16.2k, comparing to 15.9k in 1Q11 and 15.5k in 2Q10. In 1H11, base rental and utility cost grew 5.8% YoY. Maintenance expense was Bt358mn, representing a decrease of 2.9% YoY but an increase of 10.6% QoQ. The YoY decrease was due to network supplier negotiation on service fee. The QoQ increase was due to planned preventive maintenance. In 1H11, maintenance expense increased to Bt681mn from Bt675mn due to preventive maintenance programs. Other cost of services were Bt922mn, an increase of 166% YoY and 5.2% QoQ. YoY, the considerable increase was caused by a one-time reversal related to network of Bt360mn in 2Q10. Excluding one-time reversal item, other service costs grew 31% YoY resulted from call center and network cost related to 3G preparation as well as rising regulatory fee from higher international call revenue. The 5.2% QoQ increase was due to network cost for 3G preparation. For 1H11, excluding one-time reversal item, other cost of services grew 18% YoY according to 3G preparation cost and increased regulatory fee. Advanced Info Service Investor Relations Tel investor@ais.co.th Page 3 of 8

4 Expense Marketing expense was Bt630mn, an increase of 1.1% YoY and 24% QoQ. The QoQ increase was related to seasonal activities. For 1H11, marketing spending was 1.8% of total revenue compared to 1.7% in 1H10. For full year, AIS expects to spend in a range of 2.5-3% of total revenue. General administrative and staff expenses were Bt1,808mn, representing an increase of 10% YoY but a decrease of 1.1% QoQ. The YoY increase was due to higher staff cost, office maintenance and handset provision. The QoQ decrease was due to lower staff cost and lower handset provision offset by higher office IT maintenance expenses. Bad debt provision was Bt142mn, representing a decrease of 21% YoY but an increase of 7.7% QoQ. The YoY decrease was due to a healthy increase in quality postpaid subscribers and further positive improvement in consumer sentiment. The QoQ increase was due to higher usage and subscribers base. The ratio of bad debt expense to postpaid revenue was 2.3%, improving from 3.2% in 2Q10, and stable compared to 2.2% in 1Q11. In 1H11, bad debt provision decreased 19% YoY due to quality of subscribers and continuing positive consumer sentiment. Foreign exchange gained Bt11mn compared to Bt10mn loss in 2Q10 and Bt18mn gain in 1Q11. AIS manages to minimize its exposure to the foreign exchange by using financial instruments such as forward contracts. Finance cost was Bt444mn, a slight increase of 0.9% YoY and 2.9% QoQ while debt level declined. For 1H11, the finance cost was Bt875mn and stable -0.2% YoY due to the lower debt level. Goodwill impairment was Bt386mn. After impairment of DPC goodwill in 2Q11, the remaining DPC goodwill on balance sheet is Bt770mn. The DPC goodwill is subjected to an impairment test at the end of each reporting period. The DPC impairment was due to the shorter remaining time of the BTO contract of DPC. Profit EBITDA was Bt13,975mn, representing an increase of 11.3% YoY but a reduction of 2.5% QoQ. The YoY growth resulted from healthy revenue growth, partially offset by one-time network related item, higher staff cost and electricity cost. QoQ, EBITDA fell due to higher marketing spending, electricity cost and administrave expenses. In 1H11, EBITDA was Bt28,311, an increase of 11.3% YoY due to strong revenue growth offset by higher cash OPEX. EBITDA margin was 44.9% compared to 47.3% in 2Q10, resulted from lower sales margin and larger sales contribution, as well as one-time network related item. QoQ, EBITDA margin decreased from 46% in 1Q11 mainly due to higher marketing spending and lower handset sales margin. In 1H11, EBITDA margin fell to 45.5% from 47.5% last year due to dilution from handset business margin and one-time network related item. Excluding handset business and onetime extra item in 2Q10, EBITDA margin from service business was 49.7% improved from 49.1% in 1H10. For FY11, EBITDA margin target remains at 45% Other operating income, which mainly came from interest income, was Bt215mn and increased 54% YoY and 40% QoQ. The interest income increased due to a higher cash level and higher interest rate. Net income was Bt6,116mn and increased 26% YoY due to the strong revenue growth and lower amortization expenses offset by higher cash OPEX. Net Income dropped 2.4% QoQ due to lower sales margin, higher network OPEX and marketing expenses. Excluding the DPC goodwill impairment, normalized net profit was Bt6,502mn and rose 25% YoY but dropped 2.3% QoQ. In 1H11, normalized net income increased 24% YoY from strong revenue growth and stable cost of services offset by higher SG&A expenses. Table 8 - Consolidated (Bt million) Where Net income 4,870 6,269 6, % -2.4% Add:Impairment of DPC goodwill Impairment loss Normalized net income 5,220 6,654 6, % -2.3% FINANCIAL POSITION Total Asset was Bt103,431mn and decreased from Bt107,985mn in 1Q11 largely due to the network amortization and the Bt11,666mn cash dividend payment in 2Q11. The fixed asset was Bt49,168mn and decreased from Bt51,957mn in 1Q11 as new CAPEX was smaller than network amortization. Cash was Bt27,925mn and dropped from Bt29,930mn in 1Q11 because the Company paid the cash dividend but compensated by Bt25,989mn cash generated from operation. Liquidity in term of current ratio improved from 0.83 in 1Q11 to 1.02 in 2Q11 because the cash level increased and dividend payable items was paid in 2Q11. Inventories was Bt1,162mn and decreased from Bt1,264mn in 1Q11 mainly due to handset stock clearance. Inventory turnover was 2.5, a slight decrease from 2.8 in 1Q11 but an improvement from 1.8 in 2Q10 due to smartphone popularity. Interest bearing debt was Bt34,954mn, declining from the level at the end of 1Q11 due to the repayment of Bt247 during 2Q11. Average cost of debt stayed at 4.8%. In 2H11, a debenture, amounted Bt4bn, will mature in 3Q11 and a syndicated loan, amounted Bt9,731mn, will mature in 4Q11. Equities was Bt42,150mn and rose from Bt35,931mn in 1Q11 due to higher retained earnings. Unappropriated retained earnings increased from Bt9,693bn in 1Q11 to Bt15,810bn in 2Q11. Capital structures remained healthy. Net debt to equity was 0.17 and net debt to EBITDA was The gearing ratio decreased from 1Q11 due to the higher cash level. In 1H11, return on equity (ROE) stood at 67% and improved from 31% in 1H10 due to the higher net income and thinner retained earnings after the capital management in 1H10. Advanced Info Service Investor Relations Tel investor@ais.co.th Page 4 of 8

5 Table 9 Financial Position (Bt Million) / (% to total asset) 1Q11 2Q11 Cash 29, % 27, % ST investment % % Trade receivable 6, % 6, % Inventories 1, % 1, % Others 4, % 4, % Current Asset 41, % 40, % Networks and PPE 51, % 49, % Goodwill 1, % % Intangible asset 2, % 2, % Defer tax asset 9, % 9, % Others % % Total Assets 107, % 103, % Trade accounts payable 2, % 2, % CP of LT loans 15, % 16, % Accrued R/S expense 5, % 7, % Others 26, % 13, % Current Liabilities 50, % 39, % Total interest-bearing debt 35, % 34, % Total Liabilities 72, % 61, % Table 10 Key Financial Ratio 2Q10 1Q11 2Q11 Debt ratio Net debt to equity Net debt to EBITDA Total liabilities to equity Current ratio Interest coverage DSCR ROE (%) 31.2% 69.0% 66.6% Table 11 Debt Repayment Schedule (Bt Million) Debenture Long term loan 1Q Q Q11 4,000-4Q11-9, , , ,500 2, Unappropriated retained earning 9, % 15, % Total Equity 35, % 42, % CASH FLOW Free cash flow (EBITDA-CAPEX) was Bt26,294mn and increased 12.6% YoY for 1H11. The growth was underpinned by the strong revenue growth and low CAPEX. 1H11 CAPEX was Bt2.0bn and below 1H10 CAPEX by 3.7%. However, CAPEX will climb up to the Bt10bn full year guidance as the Company plans to enhance data capacity through upgrade the network to HSPA and EDGE+ technologies. Table 12 Source and use of fund : 1H11 (Bt. Million) Source of Fund Use of Fund Operating CF before change in working capital 28,827 CAPEX & Fixed assets 2,017 Interest received 245 Finance cost paid 854 Sale of property and equipment 9 Change in working capital 2,837 Share capital and share premium 189 Payment of finance lease 11 Net change in current investment 3,600 Debt repayment 243 Dividend payment 11,666 Cash increase 15,240 Total 32,869 Total 32,869 Advanced Info Service Investor Relations Tel investor@ais.co.th Page 5 of 8

6 FY2011 MANAGEMENT OUTLOOK & STRATEGY (REVISED) FY2011 Revised Guidance Service revenue excluding IC High single-digit (revised up from 4%) Data revenue 25-30% YoY (maintained) EBITDA margin 45% (maintained) Capex Bt10bn cash capex (maintained) Service revenue growth, excluding IC, guidance was revised to high single-digit due to a stronger than expected first half financial result. In 1H11, service revenue grew 11% and significantly outperformed previous guidance of 4% growth. This was due to a substantial increase in voice revenue (rather than remaining constant as previously predicted) while nonvoice revenue grew in line with 25-30% growth guidance. The new growth figure was underpinned by growing voice revenues, largely from the prepaid segment growth in regional markets and successful price plans, while non-voice revenue growth remained solid at 25-30%. Handset business continued to be a key tool in shaping the data market. Full year sales revenue is expected to grow by 50% but with lower margins as more affordable smartphones continue to be launched in 2H11. Data revenue continues to achieve a strong growth at 25-30% in FY11. With limited access of fixed-line internet, mobile data momentum will be encouraged through more affordable smart devices, expansion of lower-end data users, and social networks. In 2H11, mobile operators are expected to deliver experience of 3G services to their customers. A shoot up data speed of 3G, richer content and various applications would enhance customer to spend more time on mobile internet. AIS continued to focus on growing data market by implementing Quality DNAs, quality in all dimensions of services including device, network, application, and services. More smart devices will be delivered to customers in all segments with exclusive packages from AIS. Apart from quality network, AIS also provides seamless connection with 3G, EDGE+, and WiFi. Various type of applications will be developed, in cooperation with strategic partners, to suit the customers lifestyle while support multi-operating systems such as ios, Blackberry, Android. Also, quality of service will be ensured by mobile internet consultant to help smart devices users together with 24hrs call center and service centers nationwide. The EBITDA margin target was 45% compared to 46.8% last year. The decline caused by dilution effect and larger sales contribution as well as spending related to 3G-900MHz. A rising smartphone and aircard adoption resulted in higher proportion of revenue from handset business. This will cause lower consolidated EBITDA magin as handset business generates lower margin than mobile service. In addition, sales margin has been on a declining trend due to higher competition in handset market. By launching 3G in-band coupled with high season of marketing activities in Q4, marketing spending tends to accelerate in 2H and will reach the expected range of 2.5% to 3% of total revenue. Net Interconnection revenue is revised up in a range of Bt m due to recording IC agreement with HUTCH. However, the company does not expect the net IC gain to be sustainable. CAPEX guidance remains at Bt10bn. In 1H11, AIS spent Bt2bn for network capacity expansion and technology upgrade such as 3G-900 MHz and EDGE+. The capex is expected to ramp up in 2H11 to meet the full year guidance of Bt10bn. AIS launched the 3G-900MHz service as an interim solution in July 2011 to cater data demand and enhance network capacity in Bangkok and other seven key provinces. In other areas, AIS has continued to deploy EDGE+ and expects to cover nationwide by year end. With these investments, AIS network expects to support the strong data demand both in metropolitan and provincial areas until 2.1GHz license released. Network amortization is expected to decrease by 5% because some assets were fully amortized. Company aims to pay dividend at least 100% of net profit. Historically, the company has been paying over 100% during the past four years. The company also aims to pay dividend twice a year, an interim dividend distributed from the first half operating results, and annual dividend distributed from the second half operating results. Such dividend payment may not exceed the retained earnings in the Company Financial Statement. The special dividend paid during 2010 was due to the excess level of cash which preserved for 3G licenses on 2.1GHz auction. For 2011, the company continued to maintain flexibility to preserve long-term growth potential. Disclaimer Some statements made in this material are forward-looking statements with the relevant assumptions, which are subject to various risks and uncertainties. These include statements with respect to our corporate plans, strategies and beliefs and other statements that are not historical facts. These statements can be identified by the use of forward-looking terminology such as may, will, expect, anticipate, intend, estimate, continue plan or other similar words. The statements are based on our management s assumptions and beliefs in light of the information currently available to us. These assumptions involve risks and uncertainties which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Please note that the company and executives/staff do not control and cannot guarantee the relevance, timeliness, or accuracy of these statements. Advanced Info Service Investor Relations Tel investor@ais.co.th Page 6 of 8

7 OPERATIONAL DATA Subscribers 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 GSM Advance 2,672,200 2,755,600 2,835,800 2,878,500 2,898,800 2,928,100 2,976,500 3,027,500 3,056,200 GSM ,300 79,000 78,900 78,300 78,400 76,400 76,100 76,100 86,500 Postpaid 2,750,500 2,834,600 2,914,700 2,956,800 2,977,200 3,004,500 3,052,600 3,103,600 3,142,700 Prepaid 25,151,500 25,447,700 25,858,200 26,552,400 27,030,500 27,497,600 28,148,100 28,847,700 29,342,300 Total subscribers 27,902,000 28,282,300 28,772,900 29,509,200 30,007,700 30,502,100 31,200,700 31,951,300 32,485,000 Net additions Postpaid 87,300 84,100 80,100 42,100 20,400 27,300 48,100 51,000 39,100 Prepaid 232, , , , , , , , ,600 Total net additions 320, , , , , , , , ,700 Churn rate (%) Postpaid 2.0% 2.2% 2.2% 2.3% 2.2% 2.1% 1.8% 1.6% 1.7% Prepaid 4.9% 5.0% 5.2% 4.7% 4.7% 4.3% 4.4% 4.4% 4.7% Blended 4.7% 4.8% 4.9% 4.4% 4.5% 4.1% 4.2% 4.1% 4.4% Subscriber market share Postpaid 41% 42% 42% 43% 43% 43% 43% 43% N/A Prepaid 44% 44% 44% 44% 44% 44% 44% 44% N/A Total 44% 44% 44% 44% 44% 44% 44% 44% N/A ARPU excl. IC (Bt) GSM Advance GSM Postpaid Prepaid Blended ARPU incl. net IC (Bt) GSM Advance GSM Postpaid Prepaid Blended MOU (minutes: billable outgoing only) GSM Advance GSM Postpaid Prepaid Blended Traffic % outgoing to total minute 48% 48% 49% 48% 47% 49% 49% N/A N/A % on-net to total outgoing minute 78% 79% 79% 80% 80% 82% 82% N/A N/A Advanced Info Service Investor Relations Tel investor@ais.co.th Page 7 of 8

8 ARPU DEFINITION In accordance with international practice, we have adjusted ARPU disclosure to better reflect all revenues generated from the mobile network. We believe the new definition should provide a more transparent representation of our reported service revenues and maintain the conservative approach of recognizing revenue on a net basis. The revenue items included in the calculation of ARPU figures are based on consolidated revenue, according to the Thai accounting standard. The ARPU definition is outlined accordingly. ARPU exclude IC ARPU include IC Definition Consolidated service revenue excludes international call revenues from AIN and interconnection revenues divided by an average of subscribers at the beginning and ending period. = Service revenue - AIN revenue - Gross IC revenue (beg.sub + end.sub) / 2 Consolidated service revenue excludes international call revenues from AIN divided by average of subscribers at the beginning and ending period. = Service revenue - AIN revenue - Gross IC revenue + Net IC revenue (beg.sub + end.sub) / 2 Revenue composition Voice Value-added service (call management, SMS, MMS, data) International roaming International call via CAT, TOT Others Net interconnection revenue International call via AIN (AIS subsidiary) All categories are net of third-party sharing and commission Voice Value-added service (call management, SMS, MMS, data) International roaming International call via CAT, TOT Others Net interconnection revenue International call via AIN (AIS subsidiary) All categories are net of third-party sharing and commission From 1Q08 onward, disclosure of ARPU is based on new definition (net all-in) only. Disclosure of ARPU net voice + value-added service is discontinued GLOSSARY OF TERMS AND DEFINITIONS Operational data Subscriber Postpaid churn Prepaid churn Net additions ARPU excl. IC ARPU incl. IC MOU Churn rate Voice International roaming IDD Non-voice (data) Financial data EBITDA margin Interest Coverage DSCR Net Debt / EBITDA Net Debt / Equity Interest-bearing Debt to Equity Total Liabilities to Equity Debt Ratio Free cash flow to EV Free cash flow (FCF) Network OPEX Cash OPEX ROE (%) Number of registered SIM at ending period whose status is not defined as churn Subscribers whose payment status is overdue more than 45 days from due date Subscribers who do not make a refill within 37 days after validity expires Change of number of subscribers and ending period from the beginning period Consolidated service revenue excludes international call revenues from AIN divided by average of subscribers at the beginning and ending period. It includes voice revenue, value-added services, international roaming, international calls and other revenues such as national roaming, broadband and transmission Including net interconnection (IC revenue IC cost) Number of billed outgoing minutes generated from voice calls, including international call usage and SMS divided by the number of average subscribers Number of subscriber disconnections in the period divided by the sum of gross new subscribers in the period and the subscribers at the beginning period Any domestic and international voice usage generated by postpaid, prepaid and corporate subscribers Inbound roaming revenue only (revenue generated by foreign roamers using the AIS network). International call (IDD) and other telecommunication services under subsidiaries. Includes all non-voice services e.g. SMS, MMS, GPRS, ring-back tone, infotainment and data transmission; excluding call management services e.g. call forward, conference call, call divert Operating profit before depreciation, amortization, and allowance for impairment as a percentage to total revenue Operating profit for the period divided by Interest expenses for the period Debt service coverage ratio calculated from EBITDA after tax divided by repayment of short-term and current portion of longterm borrowing, debentures and interest paid for the period Short-tem and long-term interest-bearing debts minus cash divided by EBITDA Short-tem and long-term interest-bearing debts minus cash divided by total shareholder s equity at ending period Short-tem and long-term interest-bearing debts divided by total shareholder s equity at ending period Total liabilities at ending period divided by total shareholder s equity at ending period Total liabilities at ending period divided by total assets at ending period (EBITDA capex tax) / (market capitalization + book value of net debt) Up to 2009 FCF = Operating Cash Flow after Working Capital CAPEX; From 2010 onward, FCF = EBITDA CAPEX Cost of services excluding amortization & depreciation & IC Network OPEX + SG&A excluding amortization & depreciation Return to Equity: Annuallized net income divided by average equity Advanced Info Service Investor Relations Tel investor@ais.co.th Page 8 of 8