Ref: Announcement dated 17.05.2013

We have previously announced that our Incorporation has invited the Hava-İs Union to sign the 24th Collective Bargaining Agreement by May 22, 2013 and in the event that the 24th Collective Bargaining Agreement was not signed by that date, our Incorporation would grant a pay increase to all employees. Since it is understood that the intention of the Union is not to sign the 24th Collective Bargaining Agreement by reconciling, our Incorporation has decided on the following:

• All working conditions, social and employee rights of all of our staff  and all the rules and limits relating to the flight planning of  cockpit and cabin crew based on the 23rd Collective Bargaining Agreement will remain the same.
• Wage increase of 5% for the first half of 2013, %3 for the second half of 2013 (year end cumulative: 8.1%)
• Wage increase of 3% for the first half of 2014, %3 for the second half of 2014 (year end cumulative: 6.1%)

In case the CPI exceeds these ratios, the difference with the CPI will be reflected to the wages.

With this decision taken, Collective Bargaining Agreement and  all the happenings in this context are no longer on Turkish Airlines’ agenda.