1. TURKEY COUNTRY REPORT

2. CONTENT  INDICATORS OF RETAIL  MACROECONOMIC INDICATORS of TURKEY  EXPORT AND FOREIGN TRADE in TURKEY  TAX RATES in TURKEY  MACROECONOMIC INDICATORS of RETAIL  SHOPPING CENTERS SECTOR IN TURKEY  AMPD RETAIL INDEX by NIELSEN  DEMOGRAPHIC INDICATORS of TURKEY  DEMOGRAPHIC INDICATORS FOR RETAIL  INCOME DISTRIBUTION OF THE POPULATION  INCOME DISTRIBUTION & FMCG EXPENDITURE INDICATORS OF RETAIL

3.  TOTAL TURNOVER IN 2010: $171 BILLION; 75 BILLION IN ORGANIZED RETAIL  SALES AREAS HAVE REACHED 23 MILLION SQUARE METER  1,8 MILLION EMPLOYEES IN TOTAL IN 2010, 520.000 EMPLOYEES IN ORGANIZED RETAIL  NUMBER 7 RETAIL SECTOR IN EUROPE,  NUMBER 10 RETAIL SECTOR IN THE WORLD  NUMBER 5 IN FOOD SPENDING,  NUMBER 8 IN NON-FOOD SPENDING IN EUROPE Sources:TCSCR, Cushman& WakefIeld and DeloItte Reports. INDICATORS OF RETAIL

4. MACROECONOMIC INDICATORS of TURKEY 20062007200820092010 GDP (BILLION USD) 526 648 742616735 GDP PER CAPITA (USD) 7.586 9.240 10.4388.55910.079 GDP PER CAPITA (USD -PPP) 11.588 13.023 13.99812.40015.392 ANNUAL GROWTH RATE 6,9 4,70,7-4.88,9 Source: TURKSTAT

5.  EXPECTED 5.6% GROWTH BETWEEN 2005–2050;  2005-2008: 13% REAL GROWTH in GDP  :-4,8% REAL GROWTH in 2009, 8,9% in 2010  By 2017: EXPECTED TO HAVE THIRD HIGHEST GROWTH RATE AFTER CHINA AND INDIA (OECD)  SERVICES SECTOR ACCOUNT FOR 60% OF TOTAL ECONOMY  RETAIL TRADE CONSTITUTES 20-22% OF TOTAL GDP AND ORGANIZED RETAIL REPRESENTS 9-10% OF TOTAL GDP.  RETAIL SECTOR EMPLOYMENT CONSTITUTES %8-10 OF TOTAL EMPLOYMENT IN TURKEY WHEREAS SHARE OF ORGANIZED RETAILING IS 2,1%.  2015 TARGET IN ORGANIZED RETAIL EMPLOYMENT IS 900.000 PEOPLE MACROECONOMIC INDICATORS of TURKEY

6. 2010 OUTCOMES AND FORECASTS FOR 2011  GDP GROWTH RATE: GDP PER CAPITA (PPP ADJUSTED): 20108,9 % 201015.392 USD 20114,5 % 201116.126 USD 20125 % 20135,5 %  UNEMPLOYMENT RATE: 2010 11,9% 201111,0 %  ANNUAL CPI GROWTH RATE: 20107,5 % 20115,3 % 20125,0 % 20134,9 % MACROECONOMIC INDICATORS of TURKEY

7. FOREIGN DIRECT INVESTMENT: 1.2 % OF GNP in 2009  $7,84 BILLION NET TOTAL FOREIGN DIRECT INVESTMENT in 2009  TOTAL FDI IN 2004-2009: 81,2 BILLION USD 200520062007200820092010 Net Total FDI (Million USD) 10.03120.18522.04718.2697.8495.884 Annual Growth Rate (%)260%101%9%-17%-57%-18% Wholesale and Retail Trade (Million USD) 68 1.166 165 2.084404276 Turkey is one of the largest sources of FDI in Central and Eastern Europe and the CIS; more than $1.5 billion invested in these countries MACROECONOMIC INDICATORS of TURKEY

8. EXPORTS & FOREIGN TRADE in TURKEY  MANUFACTURING INDUSTRY CONSISTS %93,4 OF TOTAL EXPORTS OF TURKEY  1 ST IN CEMENT EXPORT IN THE WORLD  2 ND IN JEWELRY EXPORT IN THE WORLD  2 ND LARGEST GLASS PRODUCER IN THE WORLD  TRADE WITH EU: TURKEY is EU’s 7 th TRADE PARTNER  TURKEY IS EUROPE’S: 1 ST MAKER OF TV, DVD PLAYER, BUSES 2 ND BIGGEST COMMERCIAL VEHICAL AND CEMENT MANUFACTURER 3 RD BIGGEST PRODUCER OF STEEL AND CERAMIC TILES  TURKEY IS:  EU’s 2 ND LARGEST TEXTILES SUPPLIER  EU’S 3 RD LARGEST MOTOR VEHICLE SUPPLIER

9. TURKEY IS A NET EXPORTER OF FOOD PRODUCTS AND BEVERAGES  TURKEY'S AGRICULTURAL PRODUCTION IS EQUIVALENT TO 40% AND 20% OF EU-25 PRODUCTION OF FRUITS AND VEGETABLES RESPECTIVELY.  TURKEY HAS AN AGRICULTURAL AREA EQUIVALENT OF 23% OF THE EU-25  TURKEY HOSTS 75% OF ALL PLANT SPECIES IN EUROPE EXPORTS & FOREIGN TRADE in TURKEY

10. VALUE-ADDED TAX (VAT) 1% VAT FOR:  Grain (wheat, oat, rye), dry fruit 8% VAT FOR:  Meat (red meat, chicken, fısh), dairy and animal products  Vegetables, fruits, coffee, tea, cacao, cereal, seeds, flour  Vegetable oil, animal fat, butter  Pastry, soft drinks, liquor  Accessories (bag, shoes) and textiles  Electronics, furniture, real estate 18% VAT FOR: Other goods and services TAX RATES IN TURKEY

11. PRIVATE CONSUMPTION TAX (PCT) 6.7% PCT FOR:  White goods, cameras, DVDs 20% PCT FOR:  Cosmetics and beauty products, products made of crystal and pearl, ceramic kitchen goods 275,6% PCT FOR:  Wine, sprinkled wine, liquor wıth less than 18% alcohol, liquor with more than 22% alcohol, fermented liquor, vodka, rakı TAX RATES IN TURKEY

12. 2010 OUTCOMES AND FORECASTS FOR 2011  SHOPPING CENTERS: NUMBER & GLA 20092365,7 MILLION M2 20102636,5 MILLION M2 2011318 (EXPECTED)8,1 MILLION M2 2013350 (EXPECTED)  ORGANIZED RETAIL REVENUE:TOTAL RETAIL REVENUE: 200972 BILLION USD148 BILLION USD 201075 BILLION USD (4% GROWTH)171 BILLION USD  ORGANIZED RETAIL EMPLOYMENT:TOTAL RETAIL EMPLOYMENT: 2009450.0001.81 MILLION 2010520.000 (15% GROWTH)1.83 MILLION (EXPECTED) 2011600.000 (16% GROWTH)1.85 MILLION (EXPECTED)  ORGANIZED RETAIL STORES: 2009 ON AVERAGE, 13 NEW STORES EVERY DAY (40.000 SALES POINTS) 2010 ON AVERAGE, 20 NEW STORES EVERY DAY (48.000 SALES POINTS) MACROECONOMIC INDICATORS of RETAIL

13. 2010 OUTCOMES AND FORECASTS FOR 2011  ORGANIZED FOOD RETAIL REVENUE: 2009 31 BILLION USD 2010 32 BILLION USD (2% GROWTH)  ORGANIZED NON-FOOD RETAIL REVENUE : 2009 41 BILLION USD 2010 43 BILLION USD (8% GROWTH)  ORGANIZED FOOD RETAIL EMPLOYMENT: 200953.000 201060.000 (10% GROWTH)  ORGANIZED NON-FOOD RETAIL EMPLOYMENT 2009397.000 2010460.000 (16% GROWTH) MACROECONOMIC INDICATORS of RETAIL

14. SHOPPING CENTERS SECTOR IN TURKEY Source: JLL

15. SHOPPING CENTERS SECTOR IN TURKEY

17. Source: JLL

18. SHOPPING CENTERS SECTOR IN TURKEY

19. AMPD RETAIL INDEX by NIELSEN REVENUES: 48 BILLION USD in 2006 10 % GROWTH in 2007, 7% GROWTH in 2008, 8% GROWTH in 2009 REACHING 75 BILLION USD in 2010 EMPLOYMENT: 300 000 EMPLOYEES in 2006 24 % GROWTH in 2007, 10% GROWTH in 2008, 10% GROWTH in 2009 REACHING 520,000 EMPLOYEES in 2010 TOTAL SALES AREA: 12 MILLION SQUAREMETERS in 2006 25 % GROWTH in 2007, 19% GROWTH in 2008; %14 GROWTH in 2009 REACHING 23 MILLION SQUAREMETERS in 2010

20. ORGANIZED FOOD RETAIL in 2010  REVENUE: 2% ANNUAL GROWTH  EMPLOYMENT: 10% ANNUAL GROWTH  SALES AREA: 14% ANNUAL GROWTH  STORES: 25% ANNUAL GROWTH AMPD RETAIL INDEX by NIELSEN

21. ORGANIZED NON-FOOD RETAIL in 2010  REVENUE: 8% ANNUAL GROWTH  EMPLOYMENT: 17% ANNUAL GROWTH  SALES AREA: 15% ANNUAL GROWTH  STORES: 11% ANNUAL GROWTH AMPD RETAIL INDEX by NIELSEN

22. ORGANIZED APPAREL RETAIL in 2010  REVENUE: 13% ANNUAL GROWTH  EMPLOYMENT: 28% ANNUAL GROWTH  SALES AREA: 19% ANNUAL GROWTH  STORES: 14% ANNUAL GROWTH AMPD RETAIL INDEX by NIELSEN

23.  YOUNG AND HIGH POPULATION  73 MILLION POPULATION  15-64 YEARS 67%  0-14 YEARS26%  0-25 YEARS44%  AVERAGE AGE:28,5  SECOND LARGEST POPULATION in EUROPE  YOUNGEST POPULATION in EUROPE  WITH 24,7 MILLION PEOPLE IN LABOUR FORCE, 4 TH LARGEST LABOUR MARKET IN EUROPE  EVERY YEAR: 730.000 GRADUATES FROM HIGH SCHOOLS, 450.000 GRADUATES FROM 143 UNIVERSITIES DEMOGRAPHIC INDICATORS of TURKEY Source: TurkStat

24. 60% OF THE SHOPPING CENTER VISITORS ARE BELOW 30 YEARS OF AGE. SHOPPERS INDEX: SHOPPER INDEX REFLECTS THE FREQUENCY OF THE ACT OF SHOPPING FROM ANY OF SELECTED CATEGORY OF GOODS (APPAREL, FMSCG, TEXTILE, RESTAURANT, ELECTRONICS ETC.)  AVERAGE SHOPPER INDEX FOR TURKEY :34 SHOPPER INDEX FOR 15-24 YEARS: 38  AVERAGE SPENDING: 41 TL AGE GROUP 25-34: 53 TL DEMOGRAPHIC INDICATORS FOR RETAIL Source: IPSOS- KMG

25. 2008  Total private consumption expenditure : 534 Billion USD Graph: 2008 annual disposable average income by deciles (USD) INCOME DISTRIBUTION OF THE POPULATION Source: TurkStat

26. INCOME DISTRIBUTION & FMCG EXPENDITURE Source: Nielsen

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