The Company has completed the operational safety audits conducted by the International Air Transport Association (IATA), or known as the IATA Operational Safety Audit (IOSA). The audits comprise the operational and functional areas of the airline including but not limited to organizational and management systems, flight operations, operational control and flight dispatch, aircraft engineering and maintenance, cabin operations, ground handling operations, cargo operations, safety and security management. The Company also asserts to continuously improve the quality of its internal control system, risk management, and strives to comply with the regulations.

The Board of Commissioners establishes the Audit Committee in compliance with the principles of good corporate governance and relevant laws and regulations. The Audit Committee is accountable to the Board of Commissioners. The Audit Committee's responsibilities encompass aiding the Board of Commissioners in conducting internal oversight and auditing, while providing independent opinions on subjects of importance to the Board of Commissioners.

Legal Basis

The establishment of the Company's Audit Committee is stipulated in the Decree of the Board of Commissioners No. AAID/Sk-Dk /4-2018/001 and No. AAID/Sk-Dk/4-2018/002 dated 30 April 2018 and is in accordance with:

1. Financial Services Authority Regulation No. 55/ POJK.04/2015 dated 23 December 2015 concerning the Establishment and Guidelines for the Work Implementation of Audit Committee.
2. Indonesia Stock Exchange Regulation No. I-A.
3. The Company’s Articles of Association.

• Board of Commissioners Decree No. AAID/SK-DK/11-2022/007 dated 17 November 2022
• Board of Commissioners Decree No. AAID/SK-DK/03-2023/003 dated 13 March 2023
• Board of Commissioners Decree No. AAID/SK-DK/06-2023/005 dated 26 June 2023

Audit Commitee Charter

The Company's Audit Committee has a committee charter which was approved by the Board of Commissioners on 1 October 2018 which contains the work guidelines for the Audit Committee including the duties and responsibilities as well as the implementation of committee meetings.

• Audit Committee Charter

Audit Commitee Profile

The Audit Committee consists of one Head and two members. Details of the Audit Committee member profile is as follows:

Audit Committee Independence

In accordance with the Audit Committee Charter and POJK No. 55/POjk.04/2015 dated 23 December 2015, the Audit Committee acts independently in carrying out its duties and responsibilities. All members of the Company's Audit Committee have fulfilled the independence requirements, which are set forth in a Personal Statement documented by the Corporate Secretary.

Duties and Responsibilities

• Review the financial information that will be issued by the Company or Public Company to the public and/or authorities, including financial statements, projections and other reports related to the Company's financial information;
• Review the compliance with laws and regulations related to the Company's activities;
• Provide an independent opinion in the event of a difference of opinion between management and the Accountant for the services provided;
• Provide recommendations to the Board of Commissioners regarding the appointment of an Accountant based on independence, scope of assignment, and costs;
• Review the audit conducted by internal auditor and supervise the implementation of follow-up actions by the Board of Directors on the findings of the internal auditors;
• Review the risk management activities carried out by the Board of Directors, if the Company or Public Company does not have a risk monitoring function under the Board of Commissioners;
• Review complaints related to the Company's accounting and financial reporting processes;
• Review and provide advice to the Board of Commissioners regarding the potential conflict of interest of the Company or Public Company; and
• Maintain the confidentiality of the Company's documents, data and information.

Audit Committee Activities In 2023

Realization of the implementation of the Audit committee work program in 2023 is as follows:

1. The Audit Committee has reviewed the Company’s 2023 financial statements, including quarterly and annual statements. The Audit Committee has also discussed several issues requiring the attention from the Board of Directors.
2. The Audit Committee noted that the Company has carried out its activities in accordance with the prevailing laws and regulations.
3. The Company as a public company, in carrying out its activities has maintained the accountability, transparency and professionalism principles as important elements in Good Corporate Governance practices.
4. During 2023, the Audit Committee has held 8 (eight) meetings with 100% attendance of its members.
5. The Audit Committee did not participate in any trainings or seminars during 2023.

Audit Committee Meeting

The Audit Committee Meeting Policy refers to the Company’s Audit Committee Charter, as follows:

1. The Audit Committee meeting is held at least once in 3 (three) months;
2. The Audit Committee meeting can only be held if it can be attended by more than half (1/2) of the members;
3. The resolutions of the Audit Committee Meeting are made based on deliberation to reach consensus;
4. Every Audit Committee Meeting is stated in the Minutes of Meeting including any dissenting opinions and is signed by all members of the Audit Committee present and submitted to the Board of Commissioners.

In 2023, the Audit Committee held 8 (eight) meetings with 100% attendance rate of its members with the following description.

Meeting Agenda

Audit Committee Trainings And Seminars

The Audit Committee has not participated in any trainings/seminars/workshop throughout 2023.