OFFERING MEMORANDUM CONFIDENTIAL - Coca Cola İçecek

UNAUDITED PRO FORMA CONSOLIDATED FINANCIAL INFORMATION ...................................................................................... 30MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.............................. 32BUSINESS.................................................................................................................................................................................... 56MANAGEMENT............................................................................................................................................................................ 95PRINCIPAL SHAREHOLDERS AND RELATED PARTY TRANSACTIONS ......................................................................................... 101DESCRIPTION OF THE SHARE CAPITAL....................................................................................................................................... 110THE TURKISH SECURITIES MARKET........................................................................................................................................... 119FOREIGN INVESTMENT AND EXCHANGE CONTROLS.................................................................................................................. 124TAXATION................................................................................................................................................................................... 125PLAN OF DISTRIBUTION.............................................................................................................................................................. 133TRANSFER RESTRICTIONS .......................................................................................................................................................... 136INDEPENDENT AUDITORS ........................................................................................................................................................... 138LEGAL MATTERS........................................................................................................................................................................ 138INDEX TO FINANCIAL STATEMENTS ........................................................................................................................................... F-1ANNEX A: SUMMARY OF CERTAIN SIGNIFICANT DIFFERENCES BETWEEN U.S. GAAP AND IFRS ......................................... A-1OFFERING MEMORANDUM SUMMARYThis summary highlights certain aspects of our business and the offering and may not contain all of the informationthat is important to you. You should read the entire offering memorandum, including the consolidated financial statements andrelated notes, before making any decision to invest in the Class C Shares.In this offering memorandum, unless the context otherwise requires, the terms "we," "us," "our" and other similarterms refer to the consolidated business of CCI and its subsidiaries. You should carefully consider the information set forthunder the headings "Risk Factors" and "Forward-Looking Statements."OverviewWe are a leading bottler and distributor of carbonated soft drinks ("CSDs") and noncarbonated beverages ("NCBs")with operations in Southern Eurasia (which we define as Turkey, the Caucasus and Central Asia) and the Middle East. Ourbusiness consists of producing, selling and distributing alcohol-free beverages, primarily brands of The Coca-Cola Company, inTurkey, Kazakhstan, Azerbaijan, Jordan and Kyrgyzstan. We also have a 28.9% interest in the Coca-Cola bottler inTurkmenistan. Coca-Cola is one of the world's most recognized trademarks and is the leading brand in the world. (Source:Interbrand 2005).We expanded our bottling operations beyond Turkey with the acquisition of an 87.63% interest in Efes Invest and theacquisition of a 90.0% interest in CC Jordan in the fourth quarter of 2005. In addition, as a result of the acquisition of EfesInvest, we are party to a joint venture that has the exclusive distribution rights for brands of The Coca-Cola Company in Iraq andhas the option to become the sole Coca-Cola bottler in Iraq. See "Business—History and Recent Developments."We offer a wide range of beverages, including CSDs as well as an expanding selection of NCBs (a category thatincludes juices, waters, sports drinks, energy drinks, iced tea and iced coffee) in selected markets. The core brands that we sell inall of our markets are Coca-Cola, Coca-Cola light, Fanta and Sprite. We also distribute beer in Kazakhstan and Kyrgyzstanpursuant to an agreement with a subsidiary of Anadolu Efes and based on a written consent by The Coca-Cola Company.Although CSDs continue to represent a high proportion of our sales volume, our NCB sales have grown as we continue toexpand our offering. In 2003, 2004 and 2005, CSDs represented 84.2%, 85.1% and 85.2%, respectively, NCBs represented15.0%, 14.2% and 14.0%, respectively, and beer represented 0.8%, 0.7% and 0.8%, respectively, of our total unit case salesvolume on a pro forma basis.We believe that we have established an international reputation as a world-class bottler, through our advanced use ofinformation technology, high-quality production facilities, pioneering e-learning initiatives and innovative asset refurbishmentefforts. All five of our plants in Turkey, as well as four of our plants in Kazakhstan, Azerbaijan, Kyrgyzstan and Jordan, wereamong only 220 of approximately 1,100 bottling facilities within the Coca-Cola system worldwide to have secured The Coca-Cola Company's own quality approval as of December 31, 2005.We believe that The Coca-Cola Company attaches substantial importance to its presence in Southern Eurasia and theMiddle East because of the significant growth opportunities in these markets. In 2005, Turkey alone was the fourth largest