Zorlu Holding And Vestel Electronics

Zorlu

Holding & The Vision Of The Company

Mehmet Zorlu, established their Group\'s
first company in the early 1950s, he laid the ground rules for the Zorlu

Group\'s subsequent growth: integrity, perseverance’ and unconditional commitment
to quality. Integrity is the Group\'s cornerstone value and they expect
it to govern every aspect of their business. Hard work and perseverance
are essential for the day-to-day success of their enterprises as they are
for the undertaking) of a new venture. Quality is the key to customer loyalty,
on which the long-term prosperity a f all ventures depends. With these
ground rules, the Zorlu Group has sought to develop solid and profitable
businesses that contribute to the welfare of the Group; its customers,
business partners and employees; as well as the larger community. Until
the early 1990s, they focused their investments in home textiles, an activity
the Zorlu family has been involved with for several generations and in
which they have a particular expertise. In 1994, they saw the opportunity
to employ their strong capital and human resources in the consumer electronics
sector, through the acquisition of the Vestel electronics Group. This was
followed, in 1996 and 1997, by investments in the fast- growing energy
and financial services sectors.

Between 1990 and 1997, they tripled the
number of their operations, increasing their total assets to just under

US$ 1 billion, excluding the assets of five of their six subsidiaries incorporated
abroad. They invested in state-of the-art spinning, weaving and textile
technology that has made them the world’s largest; vertically-integrated
polyester curtain producer and will propel them to the forefront of the
international home textile industry in the years to come. They acquired
the Vestel Group of consumer electronics companies, pushed its balance
sheet from an undeserved red into the black, and set it on course to become
a leading contender in the international consumer electronics markets.

They established a bank, a leasing company and o factoring firm and they
penetrated the power generation and electricity distribution sectors with
the construction of two plants and a; competitive bid for o state- owned,
plant slated for privatization.

The Zorlu Group\'s rapid growth since 1990
reflects the vast range of opportunities that have emerged from the unique
juncture of Turkey\'s Customs Union with the European

Today, their operations include 32 companies
in Turkey, France, Germany, Holland and South Africa in the textile, consumer
electronics, finance, energy and tourism sectors. In 1997, their key operations
achieved net sales of almost US$ 750 million and after tax profits of just
under US$ 80 million.

That the Zorlu Group was able to choose
its projects well and bring these to successful fruition during a period
of significant economic and political uncertainty is a reflection of their
strategic corporate vision, their sound business principles and their strong
management capability.

Mehmet Zorlu, a textile manufacturer with
a vision of Turkey’s textile potential long before their country had made
its mark on international markets, founded the Zorlu Group of companies
in the early l950s. At an early date, Mehmet Zorlu endowed the Group with
o rare combination of values honesty, dedication to quality, commitment
to long-term goals and the courage to take calculated risks that reward
hard work. Today; these values are the foundation o f their corporate culture
and constitute the basis for their key business principles unconditional
customer satisfaction and mutually beneficial partnerships.

The Zorlu Group is committed to constantly
improving the quality and enhancing the range of its products and services.

That is why they have sought to expand their product range in the consumer
goods categories where they are active and to ensure, through ceaseless
research and development, that their products best reflect the demands
of their consumers and the latest technological developments. Likewise,
they are committed to developing strong and long-term relationships with
their customers, their employees, their suppliers and their shareholders.

Their aim is to provide their customers with high quality products and
services, to exact specifications and on competitive terms, and they expect
their suppliers to do the same for us. They also expect their human
resources to be the very best in their areas of expertise, so they have
set an unlimited budget for training to help them achieve this performance.

First-class human resources are essential if they are to achieve the strong
financial results that their shareholders deserve and which their recent
performance confirms they can attain.

They are proud of their achievements over
the last decade, but they are not prepared to rest with these. (Zorlu

Holding Company Profile)

The Goal Of The Zorlu Group

To strengthen their global reach, from
the Far East to the American