Subcommittee Report

Risk Management Committee comprises independent director and directors of the Company who have expertise as well as comprehension in business operation and risk management. Currently, there are 3 risk management directors, namely:

1. Dr. Satian Pooprasert Independent Director
2. Mr. Veerawat Ongvisith Director
3. Ms. Chonticha Chitrarporn Independent Director

The scope of operation of Risk Management Committee was determined in accordance with Charter of Risk Management Committee. In 2022 Risk Management Committee held a total of 4 meetings participated by all directors, which constituted a quorum. Essence of their performance could be summarized as follows.

1. Supervising and monitoring at 2 levels of risk management as follows
   • Strategic risk management
   • Operational risk management
   Determination to appoint risk management working group at strategic and operational levels to enable thorough operation in accordance with international standards by clear steps of operation mechanism and consistent with to be the same direction refer to the company policies and the Enterprise Risk Management.
2. Key Risk Monitoring in accordance with the current situations that affected to the company by the scope thereof covers:
   
   
   • Strategic Risk
     In 2022 still be a year of recovery from the COVID-19 pandemic and tend to return to be normal. The company has accelerated the production and promote Thai film industry to meet the demand of various customer groups. Along with accelerating revenue expansion from the concession (out cinema) business for distributing to other channels such as Delivery, Merchandising and Modern Trade, In addition to the above the company still attaches great importance to recruiting business partners to be the joint venture company for risk reduction and increase the variety of customer groups that come in for service. However the company continues to implement the expense and cost control measure in all dimensions to maintain financial liquidity and cash flow.
     
     
   • Operational Risk
     The company continues to focus on executives and employees for risk awareness by propose the policies, guidelines or measures to manage operational risks as a level that can be systematically controlled and audited, also attend to the safety and availability of facilities, training employees to can cope with the emergency situations for efficiently operate in terms of business and safety for employees, customers and stakeholders.
     
     
   • Financial Risk
     The company has taken strict measures especially reserved fund management, investment, reorganization, including resource utilization planning to be proper for the company’s liquidity and the expense control in all dimensions on continuous basis.
     
     
   • Compliance Risk
     Since the Personal Data Protection Act B.E. 2562 (PDPA) has been officially enforced. The company has communicated to employees and related parties for strict implementation to maintain personal data rights of customers and employees, emphasis on the code of conduct, in addition to operate business license to be completely comply with the laws, policies and orders of government agencies.
     
     
   • IT Risk
     In the age of digital disruption which be another important risk factor as cyber risk. The company has set measures to reduce the risk that may occur in the part of IT. Therefore, has conducted training to educate employees about IT policy and Cyber security, Upgrading network equipments and server, Penetration test and setting up Security Office Center (SOC) to prevent system interruption that may be caused by internal factors or external attacks.
     
     
   • Corruption Risk
     All forms of corruption harm to the development which also affect to the sustainable growth. The company has announced the intention and has been certified as Private Sector Collective Action against Corruption (CAC), as well as focus on employee training to realize the importance of being a transparent organization without all forms of corruption that leading to development for sustainable growth.
     Moreover, risk mitigation measure was implemented, in both forms of preventive action and corrective action, with proper coverage to enable various measures to be enhanced efficiently on continuous basis.
3. Consider risk assessment on both sides, i.e. likelihood and impact of each risk to identify the risk level, with proper principles and adequate supporting information for risk assessment, which would reflect facts of key risks emphasized and monitored by the company, to ensure proper and most efficient management.
4. Consider risk management operation in accordance with international mechanism and standard, starting from current risk monitoring and identification of new risks, risk assessment, determination of risk management measure and monitoring for risk reporting, by compiling risk information in the form of risk registration including preparation of risk management handbook at operational level requiring determination of work plan and clear operational steps which could be readily implemented.

In view of the foregoing operations of the Company on risk management, the Company was confident that it could fully achieve all established targets of business operation to maintain and create optimal benefits to all shareholders and stakeholders of all groups.