INTEGRATED QUALITY POLICY

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2 INTEGRATED QUALITY POLICY Page Nr: 1/6 PAPILLON HOTELS adopts a quality- oriented management philosophy integrated with effective responses to the expectations of our guests, our employees and our stakeholders, as well as the laws; as a principle, we make those effective responses permanent. As PAPILLON HOTELS, we aim to create a common consciousness and understanding - important elements in achieving sustainability - while establishing the infrastructure of sustainable development in tourism and the conservation of the natural environment, plants and animals in our sustainable tourism projects and implementations. As we are aware of our environmental impact, we strive to take the necessary preventative actions. As PAPILLON HOTELS, our priority targets are the adoption, establishment, implementation and continual improvement of the ISO Environmental Management System, an essential component of the Integrated Management Systems that we implement within our organization. As PAPILLON HOTELS, we are committed to being an environmentally friendly institution with a sense of social responsibility. We achieve these objectives by preventing pollution, ensuring sustainability in the realization and presentation of our products and services, and complying with international and national legal requirements and legislation, as well as internal and external customer requirements. We: determine and control our effect on the environment; are prepared for risks associated with pollution and emergency cases (fire, explosion, flood, earthquake, leakage, etc.), and comply with environmental legal regulations; strive to minimize our waste, prevent pollution, use energy efficiently, and reduce the negative effects of our activities on the environment; constantly improve our environmental performance through activities such as waste separation and waste reduction, and efficient use of natural resources; monitor the waste cycle through the recycling / disposal stage; protect the Caretta Caretta Sea Turtles, an endangered species that spawns on our coasts; train our employees to effectively and safely manage potential hazardous chemical spills; encourage our employees and guests to be environmentally conscious, and raise the awareness of our employees through trainings on the environment and efficient energy use; use energy and water conservation systems in our hotels; encourage and raise awareness among our suppliers and stakeholders on green economy and energy efficiency activities. The following activities have been carried out in line with our Environmental Management System commitments, and our primary goals and objectives:

3 INTEGRATED QUALITY POLICY Page Nr: 2/6 1. Certification * PAPILLON HOTELS received the ISO Environmental Management System certificate as of 2014 in order to contribute to the protection of the environment, efficient use of natural resources, and leaving a healthy environment for the next generations. * In 2014, the Papillon Zeugma Relaxury Hotel was granted the "Green Stars Environment Award", granted within the scope of the "Environment- Friendly Accommodation Facilities" project started by the Ministry of Culture and Tourism. * The "Travelife Award", which recognizes the steps we have taken to ensure and support sustainability, has been bestowed upon the Papillon Ayscha Hotel since * The Papillon Ayscha Hotel was recognized with the TUI Environmental Champion award in 2014, 2015 and * The Papillon Zeugma Relaxury Hotel was recognized with the TUROFED White Star award in 2013, 2014 and Reporting As of 2014, our environmental, social and economic performance evaluations are reported to our employees, our customers, our business partners and other stakeholders with our Sustainability Report. 3. Energy Management PAPILLON HOTELS consistently strives to: choose energy- saving electronic products. ensure long- term improvement by using automation management and monitoring resources. educate all employees regarding energy conservation. Energy Conservation PAPILLON HOTELS commits to consistently carrying out the following activities to save energy in each hotel: - Facilities are designed to utilize daylight and thus reduce energy consumption. - Automatic systems that disable heating / cooling devices when balcony doors are opened are present in all rooms. - External lighting systems are controlled by timers. - Electronic key cards are used in all our rooms. - Energy- efficient or LED lighting is used in the place of incandescent light bulbs that contain mercury, thus saving energy in all rooms and public areas, reducing hazardous wastes. - Motion sensors are integrated with lighting systems in most of the staff areas and in all common guest areas.

4 INTEGRATED QUALITY POLICY Page Nr: 3/6 - Replacing older, less efficient devices with energy- efficient models is prioritized in order to reduce energy consumption. In addition, equipment and system changes are taking place within the scope of transitioning to environmentally friendly technologies. In this context, our older- model dishwashers, with high water and electricity consumption, have been replaced by Class A devices. - Energy- efficient mini- bar fridges are used in our rooms. - TVs with low standby consumption are used in our rooms. - Solar panels are used to pre- heat water channelled to boilers, and to acquire hot water. - We use refrigerant air curtains in the cooler rooms and entrances to areas (terraces, gardens, etc.) with access to the refrigerant system common areas. - All electrical equipment is maintained and cleaned regularly to minimize potential energy loss. - Convection ovens are preferred over traditional ovens. 4. Water Management PAPILLON HOTELS uses water- saving equipment in order to reduce general water consumption without compromising health, hygiene and guest satisfaction. Staff are educated on this issue, and an informative Environmental Card on water savings is placed in guest rooms. General Water Saving - Water flow is limited by aerators fitted to the armatures in all rooms and common areas. Aerator controls are regularly performed, and equipment renewed when necessary. - The water flow speed of sink taps is set to not exceed 5 litress, and the water flow speed of showers is set to exceed 10 litress, in all rooms and common areas. The application is monitored by regular measurements and corrected when a high flow rate is detected. - Saving and/or dual siphon systems are used in guest and staff toilets. Thus, water consumption for each use does not exceed 6 litres. There is also a sticker in the toilets with information on water conservation. - Taps with photocells, and urinals with sensors are used in toilets in common areas. - Taps with photocells are used in kitchen washbasins. - Bathtubs were replaced by shower stalls in facility renovations. - Garden irrigation is performed via dripping and sprinkler systems. An automatic irrigation system is used at the Ayscha and Zeugma Hotels, and scheduled to maximize water savings. - We inform our guests regarding second- day towel use via the Environment Card, and request their support. - Our employees are trained regarding water use issues, and required to report any leakages. Document Nr: ÇİSG F01

5 INTEGRATED QUALITY POLICY Page Nr: 4/6 - We have a wastewater plan ensuring that all wastewater from our facilities is treated and safely discharged without affecting the environment. Wastewater is connected to the sewer system in accordance with the discharge regulations. - We use organic fertilizers in our gardens, and protect the moisture and PH balance in the soil. - The kitchen and F&B staff use washtubs when washing fruits and vegetables. Hot Water Solar panels are used to provide hot water in the PAPILLON HOTELS. 5. Waste Management PAPILLON HOTELS performs activities to reduce solid waste production, and to encourage guests to participate in the recycling program. - We place sufficient numbers of waste sorting containers in guest, kitchen, service and office areas to ensure that glass, paper, metal and plastic packaging are separated from organic wastes. We work with the relevant companies to follow up on the recycling process. - Waste is reduced by using beverage units rather than disposable metal containers, plastic bottles, etc. - Packaging waste is reduced by purchasing breakfast products in bulk, where appropriate. - Consumption of single- use water bottles is reduced by placing a water dispenser in personnel areas. - Correspondence and announcements are performed via whenever possible to reduce paper consumption. We perform institutional data storage, document sharing and announcements via our online PAPILLON HOTELS Corporate Portal. Departments provide internal communication through corporate shared folders on the Corporate Portal; this Portal can be accessed at by staff in any location via a user ID. - To reduce our paper consumption and improve our business performance, the PAPILLON HOTELS Application Portal is supported and activated across the company, including material requests, procurement, human resources, sales & marketing, guest relations (online survey and complaint management systems), front office, cost and inventory control, accounting - financing and security management. - In 2013, we established the Hazardous Waste Procedure to ensure that the disposal of hazardous wastes formed in our facilities is conducted without harming the environment. We collect these materials under appropriate conditions in our hazardous waste chambers, and then label and transfer them to licensed firms for proper disposal or evaluation. - We maintain oil separating and collecting reservoirs in our facilities to prevent waste oil from reaching the sewage system. Waste oil and lumps accumulated in oil holders are collected weekly for disposal by a licensed waste oil collection company. INTEGRATED QUALITY POLICY

6 Page Nr: 5/6 Waste oils produced through frying are collected in a waste oil tank and delivered to a licensed company for disposal. This company also provides periodic trainings to our employees regarding proper disposal of such waste oil. 6. Chemical Use PAPILLON HOTELS uses as much as possible only those chemicals approved by the United Nations Food and Agriculture Organization. We work with related companies to safely dispose of chemicals, and we follow up on those procedures. We prioritize the certification, labelling and suitable packaging of all chemicals that we use in line with the Material Safety Data Sheet (MSDS) for each item. Employees who use chemicals undergo trainings in safe use of chemicals provided by the Purchasing Department; these trainings include MSDS information for each chemical, proper amounts and procedures, personal protective equipment requirements, and preventative measures per the "Intervention Instruction In Cases Of Hazardous Chemical Waste, Leaks, Etc.". Preventative measures have been taken in our chemical warehouses against situations such as leaks, spills, etc. that may harm the environment. The storage of each chemical is conducted according to its type and the manufacturer s storage instructions and regulations. We use sealing pans on all chemical storage shelves in our chemical warehouses. We control the usage quantities of the chemicals we utilize, and provide staff trainings to prevent unnecessary or improper chemical use. We prefer concentrate products as much as possible. 7. Wildlife Conservation Seawater cleanliness is a priority for our organization in the context of both nature conservation and sustainable tourism. All three of our hotels are recognized with the Blue Flag Award. Each year we host or support a range of international activities to raise awareness regarding the cleanliness of our beaches. We regularly clean those areas at our own facilities. We prefer endemic plant species at our facilities, and introduce those species to guests. There are 15 endemic species with regional significance cultivated at our facilities. We conduct activities to promote the preservation of the Caretta Caretta Sea Turtles, an endangered species that spawn on our coasts. We provide annual trainings for employees on the Caretta protection measures. We place information boards on the Carettas at our beaches to inform guests. We also provide cat shelters at our hotels. We take care of our small animal friends and conduct veterinary checks for them. We record the vaccinations and sterilizations of our cats with vaccination cards. We provide animal adoption advertisements for new- born kittens, and provide them with homes. INTEGRATED QUALITY POLICY

7 Page Nr: 6/6 8. Staff Environmental Education & Training Employees are provided with environmental trainings in line with the annual training program. Topics include reducing consumption of natural resources, reducing and properly sorting wastes, hazardous wastes process and procedures, chemical consumption, nature conservation, fire prevention and so on. VISION As PAPILLON HOTELS, our top priorities include realizing projects that will provide a positive contribution to the protection of the regional environment and cultural heritage as much as possible, and controlling our environmental impacts. Each year we identify and review the administrative and departmental goals directed towards reducing and managing our environmental impacts in order to prevent pollution; we ensure sustainability by consistently improving our environmental performance in the PAPILLON HOTELS. Our administrative goals are: * To expand trainings for raising environmental awareness. * To continue efforts to reduce packaging and organic waste quantities. * To carry out tree planting activities that help reduce environmental impacts generated by carbon emissions. * To clean the area together with our employees. * To encourage commitment among our guests and employees to environmental efforts. * To issue the Sustainability Report.