AirAsia X

(The abbreviations used throughout this announcement shall have the same meaning as defined in the announcement dated 6 October 2020 in relation to the Proposed Debt Restructuring and Proposed Corporate Restructuring (“Initial Announcement”), unless stated otherwise or defined herein.)

In the Initial Announcement, AAX announced that it proposes to undertake, amongst others, a proposed reduction of 90% of the issued share capital of AAX pursuant to Section 116 of the Companies Act, 2016.

After further deliberations by the Board on the financial condition of the Company, AAX proposes to revise the proposed reduction of 90% of the issued share capital of AAX pursuant to Section 116 of the Companies Act, 2016 to 99.9% of the issued share capital of AAX (“Proposed Share Capital Reduction”).

Arising therefrom, the Proposed Share Capital Reduction will entail a reduction of the issued share capital of the Company of approximately RM1,532.51 million (from RM1,534.04 million to RM1.53 million). The credit arising from the Proposed Share Capital Reduction of RM1,532.51 million will be used to offset the accumulated losses of AAX.

Save for the above and consequential changes arising therefrom, there is no other material change to the Proposed Share Capital Reduction.

The Proposed Share Consolidation (which shall be undertaken after the Proposed Share Capital Reduction) shall remain unchanged, i.e. a consolidation of every 10 existing AAX Shares into 1 AAX Share.

This announcement is dated 14 December 2020.