TTA is a 106-year-old growth company. What drives results through business cycles is a strong ability to perform and change with the environment. We expect to see changes in many industries. For example, a prolonged downturn in construction and housing affects shipping, industrial production, and other associated businesses. An extended period of reduced leverage is expected in most businesses, which slows down investment growth and consumer spending.

TTA intends to build on what we know, own, and manage. We want to own a balanced portfolio of businesses across the Transport, Energy, and Infrastructure Groups. While we invested in businesses with good long-term growth prospects, our business portfolio changed by selling Thai P&I Services International Ltd., which is a local correspondent for protection and indemnity clubs, for Baht 10.40 million in July 2009 and selling the assets of Asia Coating Services Ltd., which provided industrial coating services.

TTA wants to redeploy capital to enable long-term growth. We constantly review the viability and expected profitability of various businesses and invest in those areas that offer the best opportunity for future growth and returns. For businesses that do not meet our long-term return targets or are considered to be nonstrategic, we could either reduce or divest them over the next few years. We target our long-term returns on capital to be at least 15% annually.

Our top priority for capital allocation must be safety and sound risk management. The economic turbulence has led us to shift into a recession management mode. Early in this crisis, the Company responded quickly and instituted considerable risk management improvements. These included prioritising key risks, placing owners in charge of these risks, and monitoring them on a regular basis. TTA will continue to be managed with the disciplines of adequate capital, solid earnings, and conservative funding throughout this period.

Our vision and strategy borrow our key strengths from the past and make them relevant to a new era of global business:

Build Relationships. TTA has many ventures and partnerships that help us grow and diversify risk on a global basis. We aim to accelerate growth by expanding our product lines, serving new clients, and creating strong associations with like-minded partners.

Leverage Strengths. TTA’s core processes focus on growth, performance management, and leadership development. We compare performance on common metrics of return on capital, and productivity as measured by revenue per employee.

In addition, we invested more than Baht 138.47 million in 2009 in our people, leadership development, and management control systems. TTA values our team and remains committed to developing them further. In 2009, TTA completed a five-year human resources road map to ensure that we have capable talent to execute our business strategy. Among other things, we redesigned job grades and salary structures for the new organisation and modified short-term and medium-term incentive plans for 2010 onwards.