162 İşbank
Annual Report 2015
Page:
SECTION I
General Information about the Parent Bank
I.
Explanations on the Establishment Date and Initial Status of the Parent Bank, and History Including the Changes in the Former Status
163
II.
Explanations on the Capital Structure, Shareholders who Directly or Indirectly, Solely or Jointly Undertake the Management and Control of the Parent Bank, any
Changes in the Period, and Information on the Parent Bank’s Risk Group
163
III.
Explanations on the Chairman’s, Directors’, Auditors’, Chief Executive Officer’s and Deputy Chief Executives’ Shares, if any, and the Areas of their Responsibility at the Bank
163
IV.
Information on the Parent Bank’s Qualified Shareholders
163
V.
Summary Information on the Parent Bank’s Functions and Business Lines
163
VI.
Differences between the Communiqué on Preparation of Consolidated Financial Statements of Banks and Turkish Accounting Standards and Explanation about the
Institutions Subject to Line-By-Line Method or Proportional Consolidation and Institutions which are Deducted from Equity or not Included in These Three Methods
164
VII.
Existing or Potential, Actual or Legal Obstacles on the Transfer of Shareholders’ Equity Between the Parent Bank and its Subsidiaries or the Reimbursement of Liabilities
165
VIII.
Written Policies on Assessment of Ensuring Compliance on Market Discipline, Disclosure Obligations, Frequency and Accuracy of the Related Disclosures
165
SECTION II
Consolidated Financial Statements
I.
Consolidated Balance Sheet (Statement of Financial Position) – Assets
166
II.
Consolidated Balance Sheet (Statement of Financial Position) – Liabilities and Equity
167
III.
Consolidated Off-Balance Sheet Items
168
IV.
Consolidated Income Statement
170
V.
Consolidated Statement of Income and Expense Items Accounted under Shareholders’ Equity
171
VI.
Consolidated Statement of Changes in the Shareholders’ Equity
172
VII.
Consolidated Statement of Cash Flows
174
VIII.
Consolidated Statement of Profit Distribution Table
175
SECTION III
Explanations on Accounting Policies
I.
Basis of Presentation
176
II.
Strategy for Use of Financial Instruments and on Foreign Currency Transactions
176
III.
Information on the Consolidated Companies
177
IV.
Forward, Option Contracts and Derivative Transactions
178
V.
Interest Income and Expenses
178
VI.
Fees and Commission Income and Expenses
178
VII.
Financial Assets
178
VIII.
Impairment of Financial Assets
179
IX.
Offsetting Financial Instruments
180
X.
Sale and Repurchase Agreements and Securities Lending Transactions
180
XI.
Non-current Assets Held for Sale and Discontinued Operations and Related Liabilities
180
XII.
Goodwill and Other Intangible Assets
180
XIII.
Tangible Assets
180
XIV.
Investment Property
181
XV.
Leasing Transactions
181
XVI.
Insurance Technical Income and Expense
181
XVII.
Insurance Technical Reserves
181
XVIII.
Provisions and Contingent Liabilities
182
XIX.
Contingent Assets
182
XX.
Liabilities Regarding Employee Benefits
182
XXI.
Taxation
183
XXII.
Borrowings
184
XXIII.
Equity Shares and Issuance of Equity Shares
184
XXIV.
Bank Acceptances and Bills of Guarantee
184
XXV.
Government Incentives
184
XXVI.
Segment Reporting
184
XXVII.
Other Disclosures
184
SECTION IV
Information on the Financial Position and Risk Management of the Group
I.
Explanations on Consolidated Capital Adequacy Ratio
185
II.
Explanations on Consolidated Credit Risk
190
III.
Explanations on Consolidated Market Risk
197
IV.
Explanations on Consolidated Operational Risk
198
V.
Explanations on Consolidated Currency Risk
199
VI.
Explanations on Consolidated Interest Rate Risk
200
VII.
Explanations on Equity Shares Risk Arising from Banking Book
203
VIII.
Explanations on Liquidity Risk Management and Liquidity Coverage Ratio
204
IX.
Explanations on Securitization Positions
209
X.
Explanations on Credit Risk Mitigation Techniques
209
XI.
Explanations on Risk Management Objectives and Policies
210
XII.
Explanations on Leverage Ratio
211
XIII.
Explanations on Other Price Risks
211
XIV.
Explanations on the Presentation of Assets and Liabilities at Fair Value
212
XV.
Explanations on Transactions Carried out on Behalf of Third Parties and Fiduciary Transactions
213
XVI.
Explanations on Consolidated Business Segmentation
213
SECTION V
Disclosures and Footnotes on the Consolidated Financial Statements
I.
Disclosures and Footnotes on Consolidated Assets
216
II.
Disclosures and Footnotes on Consolidated Liabilities
229
III.
Disclosures and Footnotes on Consolidated Off-Balance Sheet Items
235
IV.
Disclosures and Footnotes on Consolidated Income Statement
237
V.
Disclosures and Footnotes on Consolidated Statement of Changes in the Shareholders’ Equity
241
VI.
Disclosures and Footnotes on Consolidated Statement of Cash Flows
241
VII.
Disclosures and Footnotes on the Group’s Risk Group
242
VIII.
Disclosures on the Group’s Domestic, Foreign, Off-Shore Branches or Participations and Representative Offices
243
IX.
Subsequent Events
245
SECTION VI
Other Explanations
I.
Explanation on the Group’s Credit Ratings
246
II.
Explanation on Special Purpose Audit and Public Audit
247
SECTION VII
Explanations on the Independent Auditors’ Report
I.
Explanations on the Independent Auditors’ Report
247
II.
Explanations and Footnotes of the Independent Auditors
247
