ROUTE CHARGES

NATIONAL COST BASES

The DHMi has continued to follow cost containment measures and has successfully been able to keep the cost-bases stable for the last 5 years. The DHMi has used its resources very effectively and efficiently, and has ensured the provision of air navigation services of high quality.

With a view to extending airspace capacity, new R&D studies are continuously being conducted. One of the major projects resulting from these studies is called SMART (Systematic Modernisation of ATM resources in Turkey), which is aimed at increasing the quality and productivity of the DHMi's air navigation services. Initial investments of this Project, made in 2006, have increased the 2006 Actual Cost Base by 10% compared to the 2005 Actual figures.

The actual cost base figure for 2006 has been established as 1.8% lower than the estimated 2006 cost base figure (which was 180,832,335 Euros) bringing the total amount to 177,510,562 Euro. The number of Service Units has increased by 4% between 2006F and 2006A, whereas the national cost base has decreased by 1.8%.

While staff and operational expenditures have been calculated as 69,615 KE and 55,651 KE, depreciation and interest costs have been determined as 26,062 KE and 26,182 KE respectively. The total cost base has been established as 177,511 KE.

The DHMi has applied expected operating lives for the calculation of the 2006 actual figures. Depending on the economical stability in recent years, the interest rate has again been kept at the level of 8%.

SERVICE UNITS

The increase in service units since 2004 is a positive indicator to show user preference of Turkish Airspace. This trend has increased in 2006.

NATIONAL UNIT RATE

“High quality services & lowest unit rate: Turkish Airspace”

In the last half decade, a stability of decreasing Unit Rates has successfully been implemented, and this situation is clearly shown by the rapid increase of user demand for Turkish Airspace and its hinterlands.

The performance of the DHMi compared to the performance objectives established in the framework of its business targets has been a huge success.

FORWARD LOOKING INFORMATION

Forward-looking information relating to the 2007-2012 period has been provided in the table given below.