ANNUAL SHAREHOLDER'S MEETING 2016-2017
On 20/04/2017, Vietjet organized the Annual General Shareholders' meeting 2016 - 2017 at Saigon Opera House, Vietnam. The meeting reviewed the new age carrier's business performance in 2016 and achievements during last five years of operation. Also in this event, Vietjet planned the airlines' development plan in 2017 and next five years from 2017 to 2022.
8h15: Flag salutation & national anthem singing
After the drum and laser performance, flag salute ceremony took place at the Saigon Opera House. The Board of Directors and all staff of Vietjet warmly welcome the presence of representatives of state management agencies, partners, shareholders and investors.
8h40: Shareholders check in, voting the chairing panel
Head of Inspection Committee reported that the shareholders check in process was done with 95.03% of shareholders attendance.
Operating the meeting, nominating chairing panel and secretary panel were headed by Ms. Nguyen Thanh Ha, Chairwoman of the Board
The election and vote counting team was led by Vice President To Viet Thang, with other two members and one shareholder observing the vote count.
The chairing panel, secretary panel election and vote counting team were approved with a 100% voting rate.
8h55: Opening the Meeting
Chairwoman Nguyen Thanh Ha announced the opening of the meeting with the message "Promoting tourism development and local economic growth".
9h00: Voting for the meeting’s agenda
The President & CEO Nguyen Thi Phuong Thao delivered the working regulations and meeting’s agenda. The meeting’s working agenda was approved with 100% of shareholders’ voting recorded.
9h05: Report on 2016 business performance and business plan for 2017 and coming 5 years plan.
Mr. Luu Duc Khanh, Member of the Board of Directors, Managing Director reported on business performance in 2016; business plan 2017 and Five-year plan (2017-2022). According to report, Vietjet successfully implemented as a “New-Age carrier” model, gaining an impressive business result in 2016.
In 2016, the airline carried out 84,455 safe flights, On-time-performance (OTP) rate stood at 83.57%, and technical reliability rate stood at 99.57%, being listed in the top airlines that operated A320/A312 family in the region.
Flight Operational, ground operational and engineering safety indicators were competitive within the group of highly reliable airlines in the region. Turnover in 2016 reached 27,499 billion dong, after tax profit reached 2,496 billion dong, up 38.6 percent and 113.2 percent respectively compared to 2015, exceeding 3 percent and 9 percent respectively over the target. Earnings per share reached 9,586 dong. Last year, Vietjet operated 41 aircraft including 30 A320 and 11 A321 aircraft, transporting 14.05 million passengers, a 50.9% increase compared to 2015, leading the domestic market.
In 2017, the first year of the five-year plan (2017 - 2022), Vietjet develops its initiatives on sustainable development program including investment on local human resources, environment protection, and corporate social responsibility, national tourism development strategy to foster local economic development and aviation culture and aviation civilization among passengers.
Vietjet is committed to operating the airline with high safety and reliability, continually innovating to improve service quality and performance efficiency. The Company will be managed in accordance with intenationally recognized standards. The airline’s financial statements will be also in accordance with Vietnamese Accounting Standards (VAS) and International Financial Reporting Standards (IFRS).
9h35: The Board of Directors Report was delivered by the Chairwoman Nguyen Thanh Ha.
The Board of Directors’s report on five-year business results post-inception included revenue, fleet, passengers carried, flight network, etc. Vietjet has made important contributions to the aviation industry in Vietnam, popularizing air travel, bringing Vietnam's brand to the world and companying the national development of tourism and economy.
“Vietjet is ready to conquer new heights. I am confident that there is a good future in the air and Vietjet is making every effort to bring it closer", said Chairwoman Nguyen Thanh Ha.
9h50: Reports by Executive committee and Auditing Company
Ms Tran Duong Ngoc Thao, head of Inspection committee, reported on supervision and monitoring results in 2016 and announced 2017 business plan. Mr. Ha Vu dinh, KPMG representative announced Vietjet’s independent auditing report. Vietjet managed listed company in accordance with international standards (ISA), Vietnamese accounting standards (VAS) and International Financial Reporting Standards (IFRS).
10h05: Board of Director’s Proposals
The Board of Directors presented the meeting’s proposals, including: proposal to approve the report of the Board of Directors, Board of Management, the Inspection Committee and audited financial statements for 2016, the proposal to authorize the Board of Directors to select the auditing company in 2017, proposal for the budget allocation for BOD and Inspection Committee operations in 2017, proposal on profit allocation in 2016, proposal on amendment and supplement to the Charter of the Company, proposal on ESOP issuance plan and increase of foreign shareholders ownership cap.
The Election and Vote Counting Panel conducted procedures for electing the Board of Directors and the Inspection Committee for the 2017-2022 term.
10h18: Meeting’s Discussion and Voting
The meeting worked on the voting regulations and vote box check. All shareholders voted. The candidates for the Board of Directors were: Mrs. Nguyen Thi Phuong Thao, Mr. Nguyen Thanh Hung, Mrs. Nguyen Thanh Ha, Chu Viet Cuong, Mr. Luu Duc Khanh and Mr. Dinh Viet Phuong. The candidates for the Inspection Committee were: Ms. Tran Duong Ngoc Thao, Ms. Doan Thu Huong and Mr. Pham Van Dau.
11h00: Ms Nguyen Thi Phuong Thao chaired discussion session at the meeting hall
The Board of Directors noted on all shareholders’ comments and publicly answered all shareholders’ questions. The issues that the Company did not have enough time to respond at the meeting were recorded by the secretariat to respond directly to the shareholders.
The Board of Directors is committed to operate the airline with top priorities on safety and reliability, continue to innovate to improve service quality and operation efficiency, manage the listed company in accordance with international standards, continue to lead domestic aviation market and expand operation to international routes.
The Meeting voted and approved seven important sections: Audited Financial Statement for 2016, Profit allocation plan for 2016, Authorizing Board of Directors to select auditors in 2017, ESOP issuance plan, amendments to the Charter of the Company, the total budget for activities of the Board of Directors and the Inspection Committee in 2017; and the room increase for foreign investors ownership cap.
The meeting agreed upon the profit allocation plan with an average of 118.71%. Vietjet expected to pay 10% dividend by cash on 10/5/2017. In addition, the company would also pay a share dividend of 40% to shareholders. The time limit for closing the list would be decided by the Board of Directors after approval of the capital increase plan of SSC.
11h35: The Announcement of BOD and the Inspection Commitee (2017-2022) and The AGM's Resolution
Mr. To Viet Thang - Head of the Election and Vote Counting Panel announced the result of counting votes for the BOD and the Inspection Committee for the 2017-2022 term, worked on the meeting’s Resolutions. New BOD candidates elected for the new term were: Mrs. Nguyen Thi Phuong Thao, Mr. Nguyen Thanh Hung, Mr. Nguyen Thanh Ha, Mr. Chu Viet Cuong, Mr, Luu Duc Khanh and Mr. Dinh Viet Phuong. The Inspection Committee included Ms. Tran Duong Ngoc Thao, Ms. Doan Thu Huong and Mr. Pham Van Dau. The Board of Directors and Inspection committee officially presented.
Mr. Dao Van Chuong, Deputy General Director of Civil Aviation Authority of Vietnam said:
“Vietjet has achieved a lot of success. The Civil Aviation Authority of Vietnam, Ministry of Transport highly appreciated and praised Vietjet for creating a new trend of quality, dynamic and developed aviation industry, becoming a prominent phenomenon of aviation in Vietnam, as well as in the region. Besides, the company contributed to the restructuring of the transport sector, gave people the opportunity to enjoy more benefits and accessed modern transportation.
At the meeting today, we have listened and appreciated Vietjet's development strategy in 2017 and the 5-year plan 2017-2022. With this sustainable development strategy, Vietjet will certainly successfully implement the Resolutions of the Annual General Shareholders’ Meeting, as well as always lead the development of advanced and safe aviation services at the low-cost level for society. Congratulations and I hope Vietjet will become the people’s airline”.
In particular, Mr. Chuong emphasized: "The Civil Aviation Authority of Vietnam always support and encourage the development of the airlines, in order to build modern aviation industry regionally and globally. There is no exclusive flight of an airline, we do not interfere with the management of enterprises in general and Vietjet in particular. Regarding the state management of aviation investment, there is no restricted area, all are, and will be socialized and treated fairly".
Mr. Le Nhi Nang, Director - Head of the Southern Representative Office of the State Security Commission of Vietnam, said:
“VietJet shares were well accepted by investors, within just one and a half months, the value has risen to about 40% of the initial price, the number of 80 investors from the beginning has increased to 2500 shareholders, stock prices rose very well.
Attending the meeting today, I am also very impressed with the high participation rate, over 95%, that showed the interest of the shareholders with the company. The organization of the meeting is very professional, demonstrate the seriousness, caring and respect to all shareholders of the company. I strongly recommend the company to promote this tradition for the next events.”
Ms. Nguyen Thi Phuong Thao delivered corresponding remarks and expressed her thanks to all shareholders, investors for having confidence in the development of Vietjet. The Board of Directors and the Board of Managements together with all employees of Vietjet are committed to deliver great efforts and confidence to overcome coming difficulties, successfully achieve the targets, to build Vietjet as a strong brand, to affirm leading position on Domestic market and further develop the international market.
On the meeting, the company officially developed a sustainable development program including investment in enhancing internal human resources, environment protection, carrying out community responsibilities, linking with the national tourism development strategy, promoting economic development.
Vietjet’s GeneralAnnual Shareholders Meeting successfully wrapped up.