20 NOVEMBER 2008

   / Media Relations / Media News

TÜRK TRAKTÖR AND NEW HOLLAND TRAKMAK JOIN FORCES

Türk Traktör and Newholland Trakmak, two companies operating under Koç Group’s Defence Industry and Other Automotive segment, will soon start operating under the same roof. New Holland Trakmak will merge into Türk Traktör while the ownership level of Case New Holland in Türk Traktör will remain unchanged.

Koç Group’s CEO and Chairman of the Board of Directors of Türk Traktör Dr. Bülent Bulgurlu made a statement explaining that Türk Traktör will continue its operations with the same pace to reach its profitable and fast growth targets. He underlined the fact that Türk Traktör and New Holland have sealed a significant and strategic union of forces with this merger.

Bulgurlu stated that Koç Group aims at becoming a global conglomerate in line with its strategic objectives and Türk Traktör - Case New Holland (CNH) partnership, together with Case IH and New Holland brands, will fully suit the Group’s principles adopted to reach its new strategic plan targets. Bülent Bulgurlu suggested that Türk Traktör’s contribution to the Turkish agriculture and economy has continued at an increasing pace since the day it was established. He added that with revenues of € 300 million, exports of € 110 million and 1000 personnel; Türk Traktör operates as a manufacturing and research center, producing globally for leading international brands such as New Holland and Case IH. Bulgurlu also stated that this situation is well exemplified by the fact that the company aims at bringing its 6% share in the global tractor production market up to 10%, moving up on the EU tractor producers ladder from a ranking of ‘top five’ to ‘top three’, while also positioning itself within the first ten global producers, all within the next five years.

Türk Traktör’s production volume has reached 500,000 units, representing 43% of Turkey’s total tractor production and 46% of exports. The company continues to act as a design and production center for New Holland’s TD series and Case IH’s JX series tractors which are being exported to 93 countries.

A summary of New Holland Trakmak’s financials are presented below:

Trakmak (YTL)                  

      Sep-07    

Net Sales

332,596,145

Net operating profit

11,142,435

EBITDA

11,847,448

Net profit

8,326,502

Equity

34,287,305

Net fin. Debt

100,656,538

Total Trade Receivables

210,354,702

Total Trade Payables

174,263,657

Inventory

88,122,152

    

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