Climate Change Data

Environmental Metrics

ESG Focus Areas

• Social Responsibility
• Environmental Sustainability
• Occupational Health & Safety

Environmental Achievements

• Regular flue gas analysis
• Water purification and analysis
• Waste classification and recycling
• Use of emission-free equipment
• Reforestation of Dalaman Forest (100,000 saplings planted)

Social Achievements

• Support for Erzincan University's School of Civil Aviation project
• “50 Çelebi Homes in the 50th year” project to renovate teacher housing
• “Change One Thing, Change Everything” campaign providing boots and coats to underprivileged children (1000 children reached)
• Support for Lokman Hekim Health Foundation

Governance Achievements

• Ongoing work to comply with CMB corporate governance principles
• Establishment of an Audit Committee

Climate Goals & Targets

Environmental Challenges

• Global economic crisis impacting aviation industry
• Warehouse fire in 2006 resulting in legal claims

Mitigation Strategies

• Effective process management to minimize crisis impact
• Focus on customer satisfaction and service quality
• Continued operations from alternative warehouse facilities
• Insurance claims for fire damage

Supply Chain Management

Responsible Procurement

• Compliance with EU environmental norms

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: IFRS, CMB regulations

Certifications: ISO 9001:2000, ISO 14001:2004 (Izmir station and headquarters), OHSAS 18001:2007 (headquarters and 18 stations)

Third-party Assurance: Bağlaran Nas Serbest Muhasebeci Mali Müşavirlik A.Ş. (a member of PriceWaterhouseCoopers)

Awards & Recognition

• EFQM Competency in Excellence 4 award

Environmental Metrics

ESG Focus Areas

• Sustainability
• Environmental Sensitivity
• Safety
• Quality
• Social Responsibility
• Human Resources

Environmental Achievements

• İzmir Station earned "Green Company" certificate.
• Headquarters and İstanbul Station earned ISAGO (IATA Safety Audit for Ground Operations) Certificate.
• Photocell systems installed at some stations to reduce water and electricity consumption.
• Waste oil eliminated by sending it to special burning facilities.
• Hazardous wastes shipped to licensed disposal establishments.
• Specialized emission-free equipment used.

Social Achievements

• Çelebi Academy leadership skills training program launched (12 staff completed).
• Electronic Performance Appraisal System launched.
• Painting and photography contests organized for employees' children.
• Donations totaling TL 5,819,219.
• Support to Corporate Education Project Protocol with Ministry of Education and TOÇEV (repaired and furnished ten village elementary schools).

Governance Achievements

• Full compliance with Corporate Governance Principles in progress.
• Investor Relations Unit established.
• Full-time manager responsible for capital market legislation and corporate governance practices appointed.
• Written Profit Distribution Policy implemented.
• ISO 9001:2008 certification (headquarters and 24 stations).
• ISO 14001:2004 certification (İzmir station and headquarters).
• OHSAS 18001 certification (headquarters and 24 stations).

Climate Goals & Targets

Environmental Challenges

• Global economic crisis.
• Contract expiration with Turkish Airlines at four airports.
• Warehouse fire in 2006 (legal claims ongoing).
• Fluctuations in exchange rates and interest rates.

Mitigation Strategies

• Strong capital structure, strong management, and solid customer base.
• New service provision at İstanbul Sabiha Gökçen Airport.
• Insurance policy and fund established to address warehouse fire claims.
• Conservative monetary position and financial risk management policy.
• Natural hedges for interest rate risk.
• Internal risk limits for credit risk.
• Use of derivative instruments for exchange rate risk.

Supply Chain Management

Responsible Procurement

• Compliance with EU environmental norms.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: CMB Financial Reporting Standards, IAS/IFRS

Certifications: ISO 9001:2008, ISO 14001:2004, OHSAS 18001

Third-party Assurance: Başaran Nas Bağımsız Denetim ve Serbest Muhasebeci Mali Müşavirlik A.Ş. (PricewaterhouseCoopers)

Awards & Recognition

• EFQM Competency in Excellence 4 * award (2008)
• Apron Safety Award
• Green Company certificate (İzmir Station)

Environmental Metrics

ESG Focus Areas

• Sustainability

Environmental Achievements

• Reduced exhaust gas emissions through regular analysis and use of specialized equipment (battery-powered forklifts).

Social Achievements

• Supported Lokman Hekim Health Foundation since 1986.
• Organized painting and photography contests for employees' children.
• Renovated and furnished ten village elementary schools.
• Supported the construction of a Civil Aviation School at Erzincan University.

Governance Achievements

• Established an Investor Relations Unit.
• Appointed a full-time manager responsible for capital market legislation and corporate governance practices.
• Developed a written Profit Distribution Policy.
• Achieved ISAGO certification at its headquarters and five stations.

Climate Goals & Targets

Environmental Challenges

• Global economic risks, particularly concerns over high public debts in the euro area and the US.
• Inflationist pressures in emerging countries.
• Fire at Celebi Delhi Cargo's office, causing partial damage to equipment and records.

Mitigation Strategies

• Implemented a conservative monetary position and financial risk management policy.
• Provided alternative documentation and copies of original documents for damaged records.
• Initiated legal action against other parties involved in the warehouse fire.
• Utilized insurance policies to cover losses.

Supply Chain Management

Responsible Procurement

• Compliance with EU environmental norms when procuring new equipment.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: IAS/IFRS

Certifications: ISO 9001:2008, ISO 14001:2004 (Izmir station and headquarters), OHSAS 18001 (headquarters and 26 stations), ISAGO (Istanbul, Antalya, Bodrum, Izmir, and Dalaman stations)

Third-party Assurance: Başaran Nas Bağımsız Denetim ve Serbest Muhasebeci Mali Müşavirlik A.Ş. (PricewaterhouseCoopers)

Awards & Recognition

• EFQM Competency in Excellence 4* award (2008 and 2011)

Environmental Metrics

ESG Focus Areas

• Not disclosed

Environmental Achievements

• İstanbul Atatürk, Antalya, İzmir, Bodrum, and Dalaman stations received ISO 14001:2004 certification for environment management systems.
• Dalaman station received “Green Company” certification.

Social Achievements

• Employee satisfaction surveys conducted.
• Social activities such as photography contests and employee banquets were held.
• The Erzincan Ali Cavit Çelebioğlu Civil Aviation Academy was opened.

Governance Achievements

• Revised Dividend Policy and Remuneration Policy approved by shareholders.
• Established an Investor Relations Unit.

Climate Goals & Targets

Environmental Challenges

• Global economic slowdown impacting developing countries.
• Geopolitical issues affecting risk perceptions in emerging markets.
• Decline in oil prices impacting oil-exporting economies.
• Decrease in Ryan Air flights in Hungary.
• Suspension of Qatar Cargo flights in Hungary.

Mitigation Strategies

• Çelebi Ground Handling foresaw market developments and marshaled its strengths to maintain successful performance.
• Improved operational efficiency through initiatives like the “Resource Planning, Work Schedule Generation and Real-Time Control System”.
• Developed alternative sourcing strategies (not explicitly stated, but implied by adapting to market changes).

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Compliance with EU environmental norms when procuring equipment.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Turkish Accounting Standards (TAS), Turkish Financial Reporting Standards (TFRS)

Certifications: ISO 9001:2008 (Quality Management System), OHSAS 18001 (Occupational Health and Safety Management System), ISO 14001:2004 (Environmental Management System), ISAGO (IATA Safety Audit for Ground Operations)

Third-party Assurance: Güney Bağımsız Denetim ve Serbest Muhasebeci Mali Müşavirlik Anonim Şirketi (Ernst & Young)

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• EFQM Competency in Excellence 4* award

Environmental Metrics

ESG Focus Areas

• Environment
• Sustainability

Environmental Achievements

• 50% water saving and 30% electrical energy saving at buildings by obtaining LEED certification during the construction and operation phases of our Cargo & Head Office and Technical Buildings at İstanbul New Airport within the scope of the Green Buildings (LEED) project.
• Purchasing and using electric-powered vehicles (tractors, stairs, push-back, etc.) instead of fossil-fuel consuming ones as much as possible for our apron services.
• Sorting recyclable and recoverable wastes resulting from our operations at source and having them recycled/recovered via licensed facilities.

Social Achievements

• Organized Çelebi anniversary and seniority ceremonies in honor of employees completing 5 years of service
• Implemented temporary paid and unpaid leave for all employees

Governance Achievements

• Full compliance with the provisions of Article 11 of the Capital Markets Board’s Corporate Governance Communiqué Serial II: 17-1

Climate Goals & Targets

Environmental Challenges

• Covid-19 pandemic negatively affecting economic conditions regionally as well as globally affected the Group’s operations and is expected to affect in the following period.
• Significant decreases in the numbers of operational services due to the Covid-19 pandemic.

Mitigation Strategies

• Halted all non-essential expenses, postponed investments, and obtained supports from governments and authorities in an effort to cut fixed costs.
• Implemented temporary paid and unpaid leave for all employees.
• Benefited from support programs for the aviation industry negatively affected by the ongoing crisis.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Turkish Financial Reporting Standards (TFRS)

Certifications: ISO 14001:2015

Third-party Assurance: Deloitte

Environmental Metrics

ESG Focus Areas

• Environment
• Sustainability

Environmental Achievements

• Reduced greenhouse gas emissions by 2% compared to the previous year.
• Reduced water consumption by 2% compared to the previous year.
• Conversion of 26 conveyor belts, 16 passenger stairs, and 1 high-loader to electric power, preventing 265.62 tons of CO2e emissions annually.
• Conversion of 26 electric tractors' batteries to lithium-ion batteries, preventing 215.65 tons of CO2e emissions annually.
• Procurement of 9 electrical equipment, preventing 248.83 tons of CO2e emissions annually.
• Paper reduction due to digitization of HR processes, preventing 1,051 kg of CO2e emissions annually.
• Annual recovery of 30 tons of waste oil.
• Installation of solar panels in two buildings at Istanbul Airport.

Social Achievements

• Annual Employee Engagement and Experience Survey with a 69% result (2 points increase compared to the previous year).
• Comprehensive support to the aviation industry through Erzincan Binali Yıldırım University Ali Cavit Çelebioğlu School of Civil Aviation.
• Offers IATA-approved training modules and scholarships to students.
• Increased employment rate of civil aviation department graduates each year.

Governance Achievements

• Full compliance with the provisions of Article 11 of the Capital Markets Board’s Corporate Governance Communiqué.
• Establishment of an Investor Relations Unit.
• Revision of Article 7, “Board of Directors,” and Article 9, “Auditors and their Duties,” in the Company’s Articles of Association.

Climate Goals & Targets

Environmental Challenges

• Global economic deceleration due to rising inflation, tightening financial conditions, the Russia-Ukraine war, and resurgent Covid-19 cases.
• Disruptions in regional supply chains and rapid escalation in energy costs.
• Elevated inflation rates globally and within Turkey.

Mitigation Strategies

• Executing operations in alignment with the goal of achieving efficient and sustainable growth.
• Investing in workforce and technology.
• Adapting to changing market conditions and customer demands.
• Maintaining a steady policy rate (initially) and gradually reducing it later.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Measures taken to prevent excessive fuel consumption and minimize refrigerant gas leakage by suppliers providing personnel vehicle services.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: ISO 14001:2015, ISO 45001, CDP

Certifications: ISO 14001:2015 (Headquarters, 32 stations, IST Airport Cargo Temporary Storage Facility), OHSAS 18001 (30 stations and Head Office)

Third-party Assurance: Deloitte

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced energy consumption by 2% compared to the previous year.
• Reduced water consumption by 2% compared to the previous year.
• Reduced equipment fuel consumption by 2% compared to the previous year.
• Implemented projects that provide environmental benefit and profit.
• Procured 15 electrical equipment, preventing 63.30 tons of CO2e greenhouse gas emissions annually.
• Saved 226,542 sheets of A4 paper annually, preventing 1,051 kg CO2e greenhouse gas emissions annually.
• Recycled 30 tons of waste oil annually, preventing 717.3 tons of CO2e greenhouse gas emissions annually.
• Prevented 365.92 tons of CO2e greenhouse gas emissions annually by eliminating the use of plastic bottles.

Social Achievements

• Annual Employee Engagement and Experience Survey with a 67% result and an 81% action completion rate.
• Comprehensive support to the aviation industry through Erzincan Binali Yıldırım University Ali Cavit Çelebioğlu School of Civil Aviation.
• Increased employment rate of civil aviation department each year.

Governance Achievements

• Full compliance with the provisions of Article 11 of the Capital Markets Board’s Corporate Governance Communiqué Serial II: 17-1.
• Established Corporate Governance, Audit, and Early Detection of Risk Committees.

Climate Goals & Targets

Environmental Challenges

• Fluctuations in exchange and interest rates.
• Credit risk concerning receivables from customers.
• Exchange rate risk due to operations in numerous currency units.

Mitigation Strategies

• Balancing assets and liabilities sensitive to interest rates.
• Identifying a risk limit for each customer (excluding related parties) using bank and other guarantees.
• Keeping the ratio of foreign currency positions to total shareholders’ equity within certain limits.
• Using balance sheet transactions and off-balance sheet derivative instruments to manage exchange rate risk.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Ensuring suppliers providing personnel vehicle services take measures to prevent excessive fuel consumption and reduce cooling gas leakage.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: ISO 14001:2015, CDP

Certifications: ISO 14001:2015, OHSAS 18001

Third-party Assurance: Deloitte

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• GREEN FLAG award by TOBFED