The business risk profile of Turkish airline Turk Hava Yollari (THY) reflects its market position at Istanbul Ataturk airport, Istanbul's beneficial geographic position as a transfer hub, and the company's strong track record of growth over the past three years. The business risk is partly constrained by the volatility of the airline industry, THY's exposure to currency movements, and potential emerging competitive challenges. Our view of THY's financial risk profile takes into account planned capital expenditures that could weaken its financial ratios in 2015 and 2016 from historical levels. The rating on THY also reflects our view that the Turkish government has a moderately high likelihood of offering extraordinary support to THY because of the strong link between THY and
