Friday, December 23th 2005

DOGUS GROUP AND GENERAL ELECTRIC CONSUMER FINANCE CLOSED THE TRANSACTION FORMING EQUAL PARTNERSHIP IN GARANTI BANK

On December 23rd, 2005, Doğuş Group and General Electric Consumer Finance (GECF) closed the transaction forming equal partnership in Garanti Bank.  Under the terms of the transaction, GECF acquired half of Garanti Bank’s ordinary shares held by Doğuş Group - a 25.5% stake for a cash consideration of $1.556 billion. In addition, GE has purchased 49.2% of Garanti Bank’s founders’ shares for a cash consideration of $250 million totaling the consideration paid by GE to $1.805 million.

As part of the partnership agreement, Doğuş Group purchased certain non-banking subsidiaries of Garanti Bank (consisting of Voyager, Sititur, Lasas, Doğuş Hava and Doğuş Turizm) for a total purchase price of YTL522.6 million.
Of that consideration, YTL 281 million was paid at closing by Doğuş Group to Garanti while half of the remaining
YTL 241.6 million will be payable in two equal installments, on the 12th and 24th month after the closing.

Per new ownership structure, the board currently consists of equal number of directors appointed from Doğuş Group and GECF chaired by Mr. Ferit Şahenk - Chairman/CEO of the Doğuş Group.  In addition,  Mr. Ergun Özen continues its position as President and CEO of Garanti Bank.

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