SABANCI HOLDING SABANCI HOLDING

ANNUAL INFORMATION SHARING MEETINGANNUAL INFORMATION SHARING MEETING

2525thth of February, 2010 of February, 2010

2

• Economic Outlook

• Sabancı Holding 2009 Review

•2010 & Future

• Financial Results

AgendaAgenda

3

Global Economy Went Through a Difficult Period in 2009

• Global economy shrank for the first time since WW2 Recession in developed and non-Asia Pacific emerging economies Slower growth in Asia Pacific emerging economies Speed of manufacturing shift in some industries accelerated

• After 4 consecutive quarters of negative growth, global economy is back in a growth trend

• Growth projections for 2010 and 2011 are being revised upwards

• However, structural problems, especially at developed economies, bear risks for sustainable growth in economic activity

Increasing budget deficits High unemployment rates High household and corporate debt

4

Global economy, growing around 3.3% annualy since 1980, shrank for the first time since WW2

Source: IMF World Economic Outlook Database (January 2010)

-2%

0%

2%

4%

6%

8%

1980

1981

1982

1983

1984

1985

1986

1987

1988

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

Global average (2009)

GDP % Real growth

-0.8%

Global Economy Annual Growth Rate – IMF Expectations (%, 1980-2009E)

Average growth since 1980 : 3.3%

0.3%0.3%

-2.2%-2.2%

-4.4%-4.4%

-3.4%-3.4%

‘08 3Q

‘08 3Q

‘09 1Q

‘09 1Q

‘09 3Q

‘09 3Q

-4.6%-4.6%

‘09 2Q

‘09 2Q

Global Economic Activity Has Shown Signs of Growth in Last Quarter of 2009

Global Economic Growth for the Last 6 Quarters (%)

Global EconomyGlobal Economy

‘08 3Q

‘08 3Q

‘08 4Q

‘08 4Q

‘09 1Q

‘09 1Q

2.6%2.6%

-2.4%-2.4%

-1.4%-1.4%

‘09 3Q

‘09 3Q

‘09 4Q

‘09 4Q

‘09 2Q

‘09 2Q

-0.2%-0.2%

-2.7%-2.7%

1.3%1.3%

Developed EconomiesDeveloped Economies

-0.7%-0.7%

‘09 4Q

‘09 4Q

Developing EconomiesDeveloping Economies

‘08 3Q

‘08 3Q

‘08 4Q

‘08 4Q

‘09 1Q

‘09 1Q

‘09 2Q

‘09 2Q

‘09 3Q

‘09 3Q

‘09 4Q

‘09 4Q

6.5%6.5%

3.3%3.3%

1.7%1.7%

0.4%0.4%1.0%1.0%

4.3%4.3%

5

‘08 4Q

‘08 4Q

Growth driven by Asia Pacific countries

Growth driven by Asia Pacific countries

Source: IMF World Economic Outlook Database (January 2010)

Global Crisis AcceleratedThe Speed of Manufacturing Shift In Some

Industries Example: Automotive

• Shift to emerging economies in automotive production accelerated in the last four years, partly due to the global crisis

−Increasing demand in developed economies

−Lower cost base• During this period Turkey

increased its share in global automotive production from 0.5% to 2%

• Automotive production in developed nations decreased by 35-40 in 2009

• Decrease in developing nations has been lower

• Shift to emerging economies in automotive production accelerated in the last four years, partly due to the global crisis

−Increasing demand in developed economies

−Lower cost base• During this period Turkey

increased its share in global automotive production from 0.5% to 2%

• Automotive production in developed nations decreased by 35-40 in 2009

• Decrease in developing nations has been lower

6Source: OICA

Share of developed economies and emerging economies in global automotive

production

82%70%

55%

18%30%

45%

1995 2005 2009B

%

Developing economies

Developed economies

In the Mid Run Developing Economies Expected To Continue To Drive Global Economic Activity

2,1% 2,4%

2010E 2011E

6,0% 6,4%

2010B 2011B

Developed Economies Growth Expectations

Developing Economies Growth Expectations

GDP % Real Growth

GDP % Real Growth

7

Pre-crisis 10 year average growth:2.7%

Pre-crisis 10 year average growth:5.8%

Source: IMF World Economic Outlook Database (January 2010)

However, Structural Problems, Especially At Developed Economies, Bear Risks For Sustainable

Growth

4,4

7,8

5,5

4,0

4,9

6,9

5,1

3,8

7,2

8,0

6,5

4,0

10,09,6

8,0

5,5

USA Euro Zone UK Japan

Unemployment Rate (%)2006200720082009 3Q

Source: US Federal Reserve, Eurostat, Japan Central Bank, IMF World Economic Outlook Database (January 2010) 8

5,0

7,3

5,9 5,9

3,5

2,73,4

2,7

0,5

12,7 12,5

11,611,2 11,0

9,3

8,3

5,7

3,4

GRE Ire UK USA SPA POR FRA ITA GER

Budget Deficits / GDP Ratio (%)

20082009E

9

Turkish Economy Also Affected by the Global Economic Crisis

• Turkish economy, affected by the global downturn, has experienced negative growth for four consecutive quarters

• Stimulus packages and manufacturer campaigns announced during the second quarter led to a improvement in the economic activity

• Growth will vary by industry

• Similar to other economies, increasing budget deficits and high unemployment risks are barriers against sustainable growth

10

Turkish Economy Shrank by 8.4% in the First 3 Quarters of 2009

-15%

-12%

-9%

-6%

-3%

0%

3%

6%

9%

12%

15%

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

GDP % Real growth

Turkish Economy Growth Rates (%, 2000 – 2009 first 9 months)

20006.8%

2001-5.7%

20026.2%

20035.3%

20049.4%

20058.4%

20066.9%

20074.7%

20080.9%

2009 9 month

s-8.4%

Source : TUİK

Stimulus packages and manufacturer campaigns announced during the second quarter led to a

improvement in the economic activity

Source : CNBC, TÜRKBESD11

20

40

60

80

100

1202007 average:

97.12008 average:

66.22009 average:

87.5

Tax decrease and campaigns

CNBC “Consumer Confidence Index” Evolution(2007 – 2009)

Index

1,1

1,4

2,5

0,8

1,5

2,3

January-March March-June June-November

Million units

White Goods Sales (2008-2009)

Tax decrease and campaigns

-%25

%10

-%520082009

Post Crisis Recovery Will be Faster for Some Industries

203216

232

198 193

2008 209E 2010E 2011E 2012E

7,48,1

9,0

6,98,0

2008 2009E 2010E 2011E 2012E

174188

200

161 161

2008 2009E 2010E 2011E 2012E

Electricity Consumption

Twh

Electronics Retailing

Billion TL

Food Retailing(1)

Billion TL6%

Annual growth

9%Annual growth

8%Annual growth

(1): Including both organized and unorganized retailingSource: TEİAŞ, Teknosa, Planet Retail, Sabancı Analysis 12

For Other Industries Despite Growth, Reaching to Pre-crisis Levels Will Take Time

8,09,0 9,0

8,0

9,5

2008 2009B 2010B 2011B 2012B

Local Cement Consumption

Billion TL

4%

Annual growth

Source : TÇMB, Sabancı analysis

15,5 16,015

14-14.5

16,1

2008 2009B 2010B 2011B 2012B

Local Tire Sales

Million units

~4+

Annual growth

13

High Budget Deficits and Unemployment Rates Are Key Issues That Need to Resolve for Sustainable

Growth in the Economy

2009 budget target 2009 Actual budget deficit

10.4 Billion TL

52.2 Billion TL

2008 June 2009 November

9.4%

13.1%

Budget Deficit (Billion TL) Unemployment Rate (%)

Source: Ministry of Finance, TUİK14

15

Expectations for Turkish Economy in 2010

Source: Sabancı Holding

2009t2009

Real Economic Growth,% -6,0

CPI,% year end 6,53

USD/YTL, year end 1,506

EUR/USD parity 1,434

Budget Deficit/GNP,% -5,6

Gov. Bond Interest Rate, year end,%

9.0

Current Account Def./GNP,% -2,3

2010t

3,8

7,5

1,58

1,35

-5.0

11,0

-3,7

16

• Economic Outlook

• Sabancı Holding 2009 Review

•2010 & Future

• Financial Results

AgendaAgenda

17

In 2009, Our Companies Focused on Their Core Businesses and Effectively Managed Capital to

Deliver Cash Generating Profits

• Focused mandatory investments to sustain our core businesses

• Effectively managed working capital

• Reduced financial loans

• Closely monitored SG&A expenses

• Generated maximum cash from our operations

2009 Priorities

18

To Support Our Companies, We Continued To Create Synergy From Management Platforms

•Continued Group wide 6 sigma projects. We generated 20

million TL of income from these projects.

•In order to provide a medium for sharing information and

experience among employees and to enhance internal

sharing culture, a functional networking project named

“bilsebilse” was initiated.

•Information sharing and learning meetings were held

throughout the holding company regarding effective

management and execution during times of crisis.

19

“Sabancı Altın Yaka” Awards, Initiated For Recognizing and Sharing of Best Practices Among

Group Companies, Were Given Last Year

• The first “Sabancı Altın Yaka” award ceremony took place in 2009, with the purpose of sharing best practices within Group companies boosting Holding’s development and sustainability.

• Awards were given in 6 categories

Contribution to Success

Working Capital Management

Excellence

Individual Performance Management

Lean 6 Sigma

Innovation

Categories Recipients

20

Sabancı Holding Continued To Focus on Sectors With High Potential

Finance

Energy

Retail

Cement

Tire Reinforceme

nt / Automotive

66%

96%

34%

4%

2004 2009

326M$ 1,573M$

Share of 5 SBUs In Total InvestmentsSabancı Holding Strategic Business Units

Total investment for 5SBUs

21

Review of 2009 - ISector 2009 Highlights

Bank

•Akbank continued its healthy growth without compromising from its risk management and asset quality

Capital adequacy ratio of 20.6%, one of the highest among global banks(1)

Net loss provision of 3.9%, significantly below sector average(1)

Energy

•BEDAŞ operations with 3 million customers taken over in January 2009.

•Signed turn key solution for Çanakkale Wind Farm with 30MW capacity •Total portfolio capacity increased to 3.200MW (455MW of installed capacity and 2.745MW of licensed projects

Sigorta

•Aksigorta reorganized its management team and organizational structure in order to be more profitable and competitive. Sabancı Holding bought Aksigorta subsidiaries to focus management on the performance of the company’s core insurance business

•Avivasa continued to be the market leader in the pension funds market with 22% market share in terms of AuM

1: As of September 2009

22

Cement

•Although the Turkish cement demand decreased substantially with 30% idle capacity in the industry, Sabancı Group cement companies increased their exports by 50% exporting 4.5 million tons of clinker and cement while maintaining their market leader position

•Both of our companies continued their investments along the value chain

Sector 2009 Highlights

Review of 2009 - II

Retail

•Teknosa market leader in customer awareness and trust grew its market share by 4% in a shrinking market. The company reached 244 stores by the end of the year.

•CarrefourSA achieved its biggest sales area growth by opening 4 hypermarkets and 54 supermarkets, reaching 360,000m2 of sales area.

1: Enterprise value shown as sum of equity value and debt. Does not show closing adjustments

Tire / Tire reinforcement / Automotive

•Temsa completed its product range by entering the public transportation segment with its “Avenue” model, designed by Temsa R&D

•Sale of our shares in Toyotasa to ALJ Lubnatsi completed. (143M USD)(1)

23

• Economic Outlook

• Sabancı Holding 2009 Review

•2010 & Future

• Financial Results

AgendaAgenda

24

Carbon Economy And Environmental Sustainability Will Be A Necessity In The Future

Global CO2 emission forecasts from energy production

Gt

Reference Scenario (4-6oC increase in global climate)

450 ppm1

scenario (2oC increase in global climate)

Carbon economy and sustainability

will reshape individuals daily

habits, and countries’ and

companies’ focus on sectors and management

processes.

(1): PPM= “Parts per million”, an indicator that shows CO2 level in atmosphere; In the base scenario, this number is expected to reach 1,000 by 2030 Source: International Energy Agency “World Energy Outlook 2010”

25

In the Future, We Will Seek The Sustainability of The Environment & The Society To Create Value For

All Of Our Stakeholders

Environment

EconomySociety

Sustainable Development Cycle

Sustainable

Development

• We are evaluating sustainable

new business opportunities that

will create value for all of our

stakeholders and the

environment

– Renewable Energy Resources

o Hydroelectric

o Wind

– Waste Management

o Solid

o Liquid

In Addition to Electricity Production, We Are Seeking Other Opportunities Within Wind Value

Chain

Existinginstalledcapacity

Licensedbut unbuilt

capacity

Additionalcapacity

expected tobe licensed

Totalexpectedadditional

new turbinecapacity

777

~2,500

~11,500-12,500

~9,000-10,000

Significant increase in Turkish wind power installed capacity is expected within next 10

years

~1,000

10,000-11,000

MW Million $

Growth to ~10 times the current value is possible in wind turbine market resulting from increase in

capacity.

26Source: EPDK, TÜREB, Sabancı Holding analyses

We are investigating strategic opportunities in Turkey and regional markets

In line with EU Alignment Process, Proper Disposal Of Solid Waste Will Require Significant Investment

27

Unprocessed disposing

•Conrolled landfill

•Uncontrolled landfill

•Dumping to sea, river, lake

Processed disposing

•Recycling

•Inceneration

•Compositng

Waste disposal ratios by country

•70% of the waste in Turkey is disposed without any form of processing•EU member states by 2020 need to achieve 50% re-use and recycling of waste materials from households 70% from non hazardous construction and demolition waste

•We are seeking opportunities within solid waste management area to ensure the sustainability of the environment

Note: Sold or donated waste in Turkey are assumed to be processedSource: The Boston Consulting Group, TUİK

%

28

GROUP and the Group Companies Work Together

INSTITUTIONAL ENVIRONMENT PLATFORM: Sabancı Group CEO (The President), Human Resources Group President, Strategy & Business Development Group President, Institutional Investor Relations Director, SA Environment Group Head

ENVIRONMENT GROUP: Sabancı Group, 13 companies, 34 members, 5 subgroups

(Waste Management, Air Quality , Water Management, Chemicals, Industrial Pollution)

• Pre-screening: Pro-active participation in EU conformity process

• Current Inventory: Assessment of each companies’ current situation

• Projects: Clean production applications, waste management practices

ENVIRONMENT PORTAL Online tracking of our environmental performance for each of our Group companies by using “Global Reporting Initiatives” protocols

We Are Also Giving High Priority to Institutional Environmental Issues

29

• Economic Outlook

• Sabancı Holding 2009 Review

•2010 & Future

• Financial Results

AgendaAgenda

In 2010, Our Companies Will Be Back On Track For Profitable Growth

We expect the uncertainty in the economy in 2010 to be comparatively lower than the previous year

30

Focus on mandatory

investments

Cash generation priority

Optimize working capital

management

Monitor SG&A expenses

31

In 2010 Consolidated Net Revenues is planned to Grow by %6

Kons satış

2008 2009 2010B

20

21

19

(Billion TL)

%2

%6

32

2008 2009 2010B

In 2010, Consolidated Operational Income is Expected to Reach 4.0 Billion TL

3.94.0

2.7

(Billion TL)

%47

%3

33

In 2010 Planned Exports Amount to $1.1 Billion

1.10.9

1.1

1.4

0.8

1.2

2008 2009 2010B

İHRACATİTHALAT

(Billion $)

34

In 2010 Planned Investment Amount $1.6 Billion

2008 2009 2010B

1.1

1.6

0.8

(Billion $)

%40

%46

35

Our Total Assets Reached 105 Billion TL by the End of 2009

Toplam

2007 2008 2009

101105

79

(Billion TL)

%28

%4

36

In 2010 The Number Of The Personnel Will Be Around 58,000

2008 2009 2010B

50,900

55,200

58,000

%8

%5

In 2010, We will Continue to Create Value for All of

Our Stakeholders

Thank Thank YouYou