Distinguished Shareholders,

In 2024, it is expected that global growth will slow down slightly due to the delayed effects of monetary tightening. It is expected that the Central Banks will stop raising interest rates, and the second half of the year will see a series of interest rate cuts. Difficulties in accessing financing and the rise in financing costs will continue until the interest rate cuts begin. In 2024, the developments stemming from geopolitical risks should also be expected to have a positive or negative impact on global economic activity.

In a year marked by global uncertainty and volatility, our country was struck by an earthquake at the beginning of the year, causing significant emotional and material damage. The earthquake hit a very large area of land and population. The aftereffects are still there, but national solidarity rapidly began to counteract the effects. The Turkish economy has recovered quickly. The annual real growth was 4.5%.

The second significant event that impacted the Turkish economy was the drastic shift in economic policies that followed the general elections. The expansionary monetary policies were abandoned and replaced with a tighter monetary policy. The Turkish Central Bank increased its policy rate from 8.5% to 45%. Despite policy changes, inflation ended the year at 64.8%, close to the previous year's level. We anticipate that inflation will remain high in 2024. Unless there is a policy change, inflation will begin to decrease in the second half of the year due to base effects. We anticipate that 2024 will be a difficult year in terms of financing availability. We expect financing opportunities to become more favorable towards the end of the year, depending on developments abroad and the success of the implemented policy.

Thanks to its strong asset and cash position, 2023 was a successful year for our Company. Rental income from our assets has increased as the economy grew, particularly in the tourism sector. We expect the growth in the tourism sector to continue in the coming years. In this background, we continued our large-scale renovation and modernization investment in our tourism facility in Bodrum, which we included in our portfolio in accordance with our long-term objectives. Once the investment is completed and operational, we expect this facility to be an important and regular source of income. The value of the assets in our portfolio increased in real terms, which in turn strengthened our asset base.

As always, we will look for favorable opportunities to strengthen our asset portfolio and make the best use of our assets in 2024.

We are happy to have successfully completed 2023 and would like to thank all of our employees who contributed to this process through their creative and selfless work, as well as our valued shareholders who have supported us in our endeavors. With these feelings and thoughts, we greet you all with respect and love and wish you a healthy and peaceful year.

Board of Directors