At its meeting on 16.03.2016, our Company’s Board of Directors resolved that;
Within the scope of the Turkish Commercial Code and Capital Market Legislation;
Top management will be authorised to obtain the necessary approvals for the amendment of the Company’s Articles of Association.
Pursuant to the statements of Mr. Turan Erdoğan, the Chairman of the Executive Board, which appeared in the press today; our 100% owned subsidiary, Vestel CIS Ltd, which is engaged in the production and sale of white goods and TVs in Russia, has ceased its production activities gradually throughout 2015 due to adverse market conditions while it continues with its sales activities. At this point, no Board decision has been taken for the closure of the plant while the evaluations regarding the utilisation of the factory and its equipment are still underway. Considering that Vestel CIS Ltd has contributed less than 2% to our consolidated revenues in 2014, the termination of the production activities in Russia does not have a material impact on our operations.
SAHA Kurumsal Yönetim ve Kredi Derecelendirme Hizmetleri A.Ş. (SAHA), which is authorised to carry out ratings in Turkey in accordance with the Capital Markets Board’s (CMB) Corporate Governance Principles, revised up the Corporate Governance Rating of our Company from 9.12 (91.24%) to 9.36 (93.60%) as of February 22, 2016.
Our Corporate Governance Rating has been determined as a result of the evaluation made under four main sections (Shareholders, Public Disclosure and Transparency, Stakeholders, Board of Directors) in accordance with the CMB's Corporate Governance Principles.
The sub-sections of our Corporate Governance Rating are as follows:
| Sub-Sections | Weights (%) | Rating (%) |
|---|---|---|
| Shareholders | 25 | 94.89 |
| Public Disclosure and Transparency | 25 | 97.10 |
| Stakeholders | 15 | 91.15 |
| Board of Directors | 35 | 91.23 |
| Total | 100 | 93.60 |
The afore-mentioned report is available on our Company's website www.vestelinvestorrelations.com.
Vestel Elektronik reported TL9,250 mn (US$3,401 mn) of consolidated revenues and a net profit of TL59.6 mn (US$21.9 mn) in 2015.
Click here for FY15 CMB financials.
Mr. Özer Ekmekçiler, Executive Committee Member of Vestel Group of Companies, who joined Vestel Group in March 2000 and was appointed as the Executive Committee Member in 2005, has left his position due to retirement as of February 15,2016. Respectfully announced to the public.
Our wholly-owned indirect subsidiary Vestel Iberia SL started to sell Movistar branded connected TVs to Telefonica Espana S.A. ("Telefonica") on the basis of confirmed orders within the scope of the planned Project, however, the negotiations between the parties regarding an agreement have not yet been finalised. Further developments will be shared with the public.
The Board of Directors decided to update the Company’s Public Disclosure Policy in line with the amendments in the Capital Market Legislation. The updated Public Disclosure Policy is posted on the Company’s website at www.vestelyatirimciiliskileri.com.
Our wholly-owned indirect subsidiary Vestel Iberia SL are in talks with Telefonica de Espana S.A. ("Telefonica") to produce Movistar branded connected TVs and within this scope preliminary samples have been delivered, while the negotiations between the parties have not been finalised. In case of an agreement, Vestel-produced TVs will be offered to customers along with high speed network services within the scope of the Telefonica’s campaign in Spain. Sample TVs will be launched on December 14, 2015 (today).
Vestel Elektronik launched its third generation smart phones, Venus V3, on November 17. At the press meeting, Mr. Turan Erdoğan, Chairman of the Executive Board of Vestel Elektronik Sanayi ve Ticaret AŞ, disclosed the targets of reaching 3 million units of domestic sales and 1 million units of export sales until the end of 2017. Because of the delay in the launch of the new models, Vestel’s 2015 smart phone sales are expected to fall short of the nearly 1 million units of sales target for the year, which was shared with the public through the material event disclosure dated January 28, 2015.
For the financing of our R&D and product development activities towards reinforcing our position in the market and in parallel with our long-term borrowing strategy, we signed a EUR50 mn loan agreement with a term of 5 years with the European Bank for Reconstruction and Development (EBRD) on November 5, 2015. The loan has a 2 year grace period and bears a 6-month interest rate of Euribor+3.2%.