ÇELEBİ AR19-270720 (1)

16 Çelebi Ground Handling Inc. 2019 Annual Report Communication With the aim of creating participative management and a secure working place for employees and to meet the requirements, personnel are informed of the Company’s financial status, wages, career opportunities, training programs, health policies through meetings held and every opportunity is taken to send such messages. The suggestions, complaints, opinions and comments received from employees serves as a starting point for the required work. Occupational Safety Our Company has a management system that provides a secure and healthy work place for its employees and which uses risk evaluation to determine the risks and dangers employees may face, and which takes precautions, develops activities to reduce these dangers and risks in line with the requirements set out in labor law. The system’s OHS performance is continuously tracked where OHS aims are put into practice with management programs. Furthermore, our 30 stations and the Head Office hold the OHSAS 18001 certification. Social Activities & Internal Communication The Çelebi anniversary and seniority ceremonies, which are held at the Head Office and all our stations in honor of employees completing 5 years of service - and for each 5 years of subsequent service - continued to be organized at the Head Office and our stations in the fourth quarter of 2019. II - FINANCIAL RIGHTS PROVIDED TO THE MEMBERS OF THE GOVERNING BODY AND SENIOR MANAGEMENT At the annual general meeting of the Company held on 19 April 2019, shareholders approved the payment of a monthly honorarium of TL 7,500 to the independent members of the Company’s board and also voted not to pay any other honoraria to board members who are elected to represent Class A and Class B shareholders. Payments were made to the Company’s independent directors in 2019 pursuant to this resolution. No member of the Board of Directors has any outstanding obligations towards the Company that were carried forward from 2018. No member of the Board of Directors was given a loan or paid an advance by the Company in 2019. No member of the Company management has any outstanding obligations towards the Company that were carried forward from 2018. In 2019 the company gave its managers a total of TL 180,000 as advances. As of 31 December 2019, the Company was owed TL 180,000 in salary advances by its managers. There are no loans made by the Company to its Board members or managers whose terms have been extended or otherwise improved; no sums have been lent to them as personal loans through third parties; neither have they been granted any form of surety such as guarantees etc. on their behalf. III - THE COMPANY’S ACTIVITIES AND MATERIAL DEVELOPMENTS IN ACTIVITIES 6. THE RELEVANT SECTOR, 2019 ACTIVITIES AND PERFORMANCE Civil Aviation Industry In the world… Slower yet stable growth in 2019 The International Air Transport Association released the full-year global passenger traffic results for 2019, which show that demand (revenue passenger kilometers or RPK) increased by 4.2% as compared with 2018 full year. 2019 results demonstrate a slowdown when compared to the 7.3% growth attained in 2018 and marks the first year that the passenger demand remained below the long-term trend of 5.5% per annum since the global financial crisis of 2008. The capacity for 2019 went up by 3.4% and the load factor was up by 0.7 points to reach a record level of 82.6%. The previous highest rate was 81.9% in 2018. RPKs in December 2019 were up by 4.5% on a year-over-year basis. Registered in November, this 3.3% growth was driven mainly by the strong demand in North America. BOARD OF DIRECTORS - 2019 ANNUAL REPORT