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Financial Information and Risk Management
Türkiye İş Bankası A.Ş.
Notes to the Consolidated Financial Statements
for the Year Ended 31 December 2015
m.6.
Information regarding the shares of the company acquired; Parent bank and group companies did not acquired their own share.
m.7. Previous periods’ indicators related to income, profitability and liquidity, and the estimated effects of forecasts, which are to be made by taking into consideration the
uncertainties of these indicators, on the Group’s equity:
The Parent Bank’s and the Group companies’ balance sheets are managed in a prudent way to ensure that the effect of risks
arising from interest rates, exchange rates and loans is at the lowest level.
m.8.
Privileges Granted to Shares:
Turkish Commercial Law and related registration are kept conditionally;
Group (A) shares each with a nominal value of 1 Kurus have the privileges of;
• receiving 20 times the number of shares in the distribution of bonus shares issued from conversion of extraordinary and revaluation reserves generated in accordance with the
relevant laws (Article 18 of the Articles of Incorporation),
• exercising the preference rights as 20 times (Article 19 of the Articles of Incorporation), and
Despite having a lower nominal value, Group (B) shares, each with a nominal value of 1 Kurus, have the same rights with the Group (C) shares having a nominal value of 4 Kurus each.
Furthermore, Group (A) and (B) shares, each with a nominal value of 1 Kurus are granted privileges in distribution of profits pursuant to Article 58 of the Articles of Incorporation.
m.9. Information on marketable securities value increase fund:
Current Period
Prior Period
TL
FC
TL
FC
Associates, Subsidiaries and Jointly Controlled Entities
2,219,941
2,493,159
Valuation Difference
2,219,941
2,493,159
Foreign Exchange Differences
Financial Assets Available for Sale
(1,028,141)
44,411
614,123
331,840
Valuation Difference
(1,285,837)
65,595
773,208
326,983
Deferred Tax Effect on Valuation
256,652
(21,184)
(159,085)
4,857
Foreign Exchange Differences
1,044
Total
1,191,800
44,411
3,107,282
331,840
n. Explanations on Non-controlling Interest:
Current Period
Prior Period
Paid-in Capital
2,298,561
2,178,829
Share Premium
5,405
5,405
Marketable Securities Revaluation Reserve
245,383
283,476
Tangible Assets Revaluation Reserve
327,990
Bonus Shares Obtained from Associates, Subsidiaries and Jointly Controlled Entities (Joint Ventures)
1,179
1,179
Other Reserves
(1,389)
(126)
Legal Reserves
248,676
222,904
Statutory Reserves
49,792
47,837
Extraordinary Reserves
299,832
316,281
Other Profit Reserves
(3,834)
(1,704)
Prior Years’ Profit / Loss
617,621
490,184
Current Year Profit/ Loss
(1)
471,968
541,319
Period Ending Balance
4,561,184
4,085,584
(1)
Difference between effective and direct shareholding rate was TL 63,037 in the current period (31 December 2014: TL 44,621).
III. DISCLOSURES AND FOOTNOTES ON CONSOLIDATED OFF-BALANCE SHEET ITEMS
a. Explanations to Liabilities Related to Off-Balance Sheet Items:
a.1. Types and amounts of irrevocable loan commitments:
Commitment for customer credit card limits amounts to TL 21,219,999 and commitment to pay for cheque leaves amounts to TL 5,654,056. The amount of commitment for the
forward purchase of assets is TL 1,635,723 and for the forward sale of assets is TL 1,636,567.
a.2. The structure and amount of probable losses and commitments resulting from off-balance sheet items, including those below:
As at 31 December 2015, the Group’s provisions for indemnified non-cash loans balance is TL 81,143 (31 December 2014: TL 66,882) which is allocated for the non-cash loans of
companies whose loans are followed under “Non-performing Loans” accounts. Commitments are shown in the table of “off-balance sheet items”.
a.3. Guarantees, bank acceptances, collaterals that qualify as financial guarantees, and non-cash loans including other letters of credit:
Current Period
Prior Period
Bank Acceptances
955,580
1,229,731
Letters of Credit
10,906,494
7,763,406
Other Guarantees
1,208,583
1,020,610
Total
13,070,657
10,013,747
