ttb 56-1 One Report 2021 (EN)

1.3 Shareholding Structure of the Bank 1.3.1 Business Consolidation Policy TMBThanachart segregates the business activities of its group companies in accordance with the Bank of Thailand’s consolidated supervision regulation, which calls for a bank’s setting up of a financial business group. The financial business group consists of companies divided into two categories, based on the Bank’s ownership portion and type of business, as follows: 1. Solo consolidation is defined as a company which operates as a credit or the business like credit which has the specific law regulated institution and the Bank holds at least 75% of its issued and paid-up share capital and its management is under the Bank’s supervision. 2. Non-consolidation comprising companies engaging in the financial business and businesses supporting the Bank’s operations, as follows: • Financial business group is defined as a company which operates financial business and the Bank holds at least 50% of its issued and paid-up share capital which such business has the specific law regulated such as security business, life insurance business, non-life insurance business, credit card business, personal loan under regulated, retail lending, and asset management business. • Supporting business group is defined into 2 types: (1) Operating company which engages in function tasks that are normal banking operation or tasks that are directly support the operations of the Bank, provide service to the company in the same financial business group, or in accordance with Bank of Thailand Notification re: Permission of Commercial Bank in provide service to the financial business group or regulator (insourcing). However, if the support function is the company that doing in IT Infrastructure then such company can provide service to public. In addition, the support function such as cash delivery is permitted to provide its service to the other cash delivery operator during the crisis situation as per their Business Continuity Plan: (BCP). (2) Fintech business that provide the supporting business or support the financial information for the customers in requesting the lending from the financial institutions. The supporting company is the company that the Bank holds at least 50% of its issued and paid-up share capital. 85 Form 56-1 One Report 2021

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