nurol

Last year was a period in which effects of the measures taken by developed countries towards eradicating the impacts of the global crisis began to emerge. The current debt crisis and budget deficits of the European Countries took hold of Euro Zone as well as entire Europe. Despite the incentive packages introduced, US economy yet to get out of the effects of the crisis due to the saturation in retail markets. Latest developments and uncertainty in the Middle East and African Countries continue to affect the world markets in a negative way.

Thanks to the successful policies exhibited by Turkey in order to manage the crisis and these developments, Turkey gained a more strategic importance in terms of economical and regional matters. As of the second half of 2010 in the fiscal markets, the economy entered into the process of recovery with the emergence of promising macroeconomic indicators. From this perspective, Turkey, in the future, will be accepted as a rising power such as Brazil, India and China.

Although specialists expect no big changes in 2011, an election year for the country, post - election developments will affect the markets. Expected growth, as of the third quarter of the year, will go a little beyond 5% by the end of the year if everything goes well. Despite the increases in food prices in recent years, inflation continues to decline and it is expected to remain between 5% and 6% by the end of the year. Current account deficit continues to be a significant matter and the measures regulating price stability should be urgently taken.

Turkey, in a short and medium term, will become a country attracting new investments faster from the point of foreigners. Nevertheless, with the increase of the players in the market, the fact that there will be low profit margin and a more competitive year will be lived should be taken into consideration. Opportunities arising from the global competition should be benefited and risks should be managed successfully because coming term will be more important than ever.

We, as Nurol Group of Companies, give priority to topics such as protection of our quality, focusing on productive tasks and controlling our costs effectively. We also attach great importance to achieve our vision by protecting our values, investing on human resources and sustaining our capital structure strong as usual. While leaving behind the first decade of the 21st century, we continue to achieve successful projects in our country and many countries around the world with our rooted corporate culture of half a century experienced staff, renewed technical infrastructure and machinery park. Today, we are active in over 20 countries with more than 40 establishments, subsidiaries and project partnerships in several sectors ranging from constructing and contracting to machinery manufacturing, from defence industry to finance, from trading and energy to service sector under the roof of Nurol Holding. As a result of our activities in 2010, the group’s total assets reached at TRY 2,3 billion and the consolidated turnover reached at TRY 966 million.

While we, as Nurol Group of Companies, focus our attention mainly on construction, investment projects and industry field, we also make a point of emerging sectors such as energy and high technology. We also take strategic decisions in respect of aforementioned fields. Our commitment to enter into new markets and sectors will continue in the future just like in the past with the local and foreign partners in line with our aim of sustainable growth.

Performance improvement to meet the changing and evolving requirements of the market will be provided in the new term with the synergy generated in the management of companies. We hope that productivity will increase in coming period with renewal in corporate governance processes.

When we look at the other countries, we see that the conditions of the crisis experienced in last term necessitate more careful approaches in Arab and North African countries of which have oil revenues and economic structures are relatively away from liberalism. Regions like Saudi Arabia and Sub - Saharan Africa are the locations that we, as Turkish contractors, are familiar with in terms of culture and history. Moreover, Nurol has been functioning in the region for almost 30 years.

Disinvestment in the UAE and Dubai, as a result of the economic crisis, affected Nurol as well as the other contractors functioning in the region in a very negative way. More importantly, it is obvious that the ongoing war in Libya cause trouble for many Turkish contractors including Nurol. In the face of all these developments, we protect our goals to continue our activities in the countries in the region such as UAE and Saudi Arabia. We, as Nurol, know the processes of the countries, so we hope to reach our regional business volume of $2 billion, the amount we got before the crisis.