Strong business position (with 19.7 million subscribers at March 31, 2004) in the dynamic Turkish cellular telephony market; and Solid operating performance, in part reflecting Turkcell's historical ability to raise tariffs in line with the devaluation of the Turkish lira while limiting the decrease in minutes of cellular use among its subscriber base. Exposure to foreign-currency-denominated debt ($600 million gross at Dec. 31, 2003), although this has decreased; Sizeable legal risk due to litigation with various public administrative bodies and competitors, amongst others; Exposure to regulatory uncertainty and increasing competitive pressures; and Exposure to volatile macroeconomic environments, principally in Turkey but also in Ukraine and Iran. The ratings on Turkcell Iletisim Hizmetleri A.S., the leading Turkish mobile telecommunications company, reflect
