$1b Recovery Plan

• The Financial Framework considers aircraft leases as part of Net Debt - - Aircraft leases are initially recognised in Net Debt at fair value Principal portions of rentals are treated as debt reduction. Purchase of aircraft leases are treated as refinancing Commencing (or returning) aircraft leases are treated as capital acquisitions / borrowings (or capital disposals / repayments) AASB 16 Leases was adopted at 1 July 2019 and applied retrospectively. Under AASB 16, leases are recognised on the balance sheet and measured as the present value of future lease payments. This differs to the fair value at recognition approach under the Financial Framework The adoption of AASB 16 did not change the Financial Framework that guides the Group's capital decisions Net Debt movement under the Financial Framework $M Opening Net Debt FY22 FY21 (5,890) [4,734) Net cash from operating activities 2,670 (386) Less: Net lease principal repayments under AASB 16 (363) (417) Add: Principal portion of aircraft lease rentals 158 210 Funds From Operations 2,465 (593) ― Net cash from investing activities (240) (722) Addition of leased aircraft (153) Return of leased aircraft 25 29 Lease adjustment for Freighter conversion (30) Net Capital Expenditure (398) (693) Dividend paid to shareholders Payments for share buy-back I Shareholder Distributions Payment for treasury shares Net equity raise funds FX revaluations and other fair value movements Closing Net Debt [2] 58 (112) 72 [3,937) (5,890) I |20

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