İŞBANK ANNUAL REPORT 2014

ACTIVITIES

İŞBANK

ANNUAL REPORT 2014

In 2014, İşbank achieved a housing loan growth rate above

the sector average.

Auto loans for more than 10 thousand

clients

İşbank’s retail auto loan portfolio stood

at TL 952 million at end-2014. İşbank

extended retail auto loans to more than

10 thousand customers in 2014. At the end

of 2014, the Bank’s market share in the

retail auto loans was 15.2%

(*)

To maintain market share in retail auto

loans, the Bank continued to pursue close

collaborations with automotive brands

in the sector and conducted promotional

campaigns with major automotive

companies in Turkey.

15.4%growth inhousing loans,

supportedwithpromotional campaigns

and products designed tomeet customer

needs

By year’s end 2014, the sector’s total

housing loan portfolio increased 13.5%, to

TL 114.9

(*)

billion. During the same period,

İşbank’s housing loan portfolio rose by

15.4% and amounted to TL 13.6 billion.

İşbank was the first bank to sign an

agreement with the Ministry of the

Environment and Urban Planning to finance

the needs of property-owners under the

Urban Transformation Project.

The Bank carried out on-site advertising

and promotional activities in the

cities experiencing intensive urban

transformation for the announcement

of the loan products, which were put

into service by the Bank for first time in

the sector to provide funding support to

citizens who will be in need of financing

under the Urban Transformation Project.

İşbank continues to lead the urban

transformation loan products market

with a share of 46%. The Bank extended

approximately TL 92 million in loans of this

type in 2014, more than any other bank in

the sector.

At end-of-year 2014, the Bank had

evaluated 280 unfinished housing projects;

and it decided to take a part in 156 of these

projects. Thereby, İşbank increased the

number of contracted ongoing, unfinished

housing development projects to 399.

In addition, product development efforts

to extend housing loans to non-resident

customers were completed during the year.

Process Improvement & Development

In 2014, as a result of improvements made

in retail lending processes, workloads of

branches and operational risks were reduced

and customer satisfaction was improved.

Additionally, the Bank completed the project

implemented to improve retail loan pricing

processes. As a result of this initiative, while

customers are subject to scoring according

to their assets in the Bank and past payment

history, retail loan pricing demands can be

answered automatically in line with the

Bank’s market share and profit target for

each loan type.

Increase in market share of card payment

systems

İşbank is a leading participant in the Turkish

card payment systems market with:

6,529,331 credit cards issued,

TL 61.3 billion in transaction volume and

13.3%market share based on revenue.

In 2014, the Bank increased market share in

three main indicators: number of credit cards,

transaction volume and member merchant

volume.

About 310 thousand Maximummember

merchants

İşbank serves its credit cardholders through

more than 310 thousand active Maximum

member merchants.

Throughout 2014, the Bank held a number

of periodic, sector-specific and member-

merchant specific promotional campaigns

to provide Maximum Card users with

advantages, such as additional installments,

deferring installments, earning extra

“MaxiPuan” (loyalty points) and gift products.

The Bank administered a number of

promotional campaigns that offered these

advantages, as well as seasonal, sector-

based and company-based campaigns. Aimed

at different segments in various sectors, the

intensive campaigns offered cardholders

preferential shopping options. In addition, the

positive impact of brand sharing cooperation

helped increase the popularity of İşbank

cards among Maximummember merchants.

Further enriching the broad range of

services

İşbank delivers tailored solutions to

customers with diverse expectations

including:

Maximum Card;

Maximiles, a program offering travel

miles;

MercedesCard, based on the travel miles

program and offered to customers who

own a Mercedes vehicle;

Maximum TEMA Card for environmentally

aware customers;

MaxiPara Card, a prepaid card product.

İşbank focused on increasing product

diversity in 2014.

İşbank offers effective solutions that

facilitate the lives of customers having

different needs and expectations through:

Complimentary “Müzekart (Museum

Card)” feature, only available for İşbank

credit cards among all major credit cards,

valid for one month in all museums and

historical sites administered under the

Ministry of Culture and Tourism;

Designed for customers who do not

want to pay credit card fees, “Maximum

Aidatsız Kredi Kartı (Maximum Fee-

free Credit Card)” and “İş’te Üniversiteli

Aidatsız Kredi Kartı (Fee-free Credit Card

for University Students)” were offered

to meet specific customer preferences

in 2014;

Intermediation of cash withdrawal and

account balance inquiry transactions of

Chinese origin UnionPay cards in addition

to Visa, MasterCard and American

Express cards;

(*)

Market shares are calculated using monthly sector data published by the Banking Regulation and Supervision Agency. Interest

accruals and rediscounts are not taken into account. Participation banks are excluded.