VAKIFBANK
2015 ANNUAL REPORT
234
CONVENIENCE TRANSLATION OF PUBLICLY ANNOUNCED CONSOLIDATED FINANCIAL STATEMENTS ORIGINALLY ISSUED IN TURKISH, SEE IN NOTE I. OF SECTION THREE
TÜRKİYE VAKIFLAR BANKASI TÜRK ANONİM ORTAKLIĞI AND
ITS FINANCIAL SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS AS AT AND
FOR THE YEAR ENDED 31 DECEMBER 2015
(Amounts expressed in thousands of Turkish Lira (“TL”) unless otherwise stated.)
Information on foreign currency transactions
Foreign currency transactions are recorded in TL which is the functional currency of the Parent Bank. Monetary assets and liabilities denominated in
foreign currencies at the balance sheet, are translated into Turkish Lira by using the foreign exchange rates effective at the balance sheet date. Non-
monetary foreign currency items which are recorded at fair value are valued at historical foreign exchange rates. Foreign exchange gain/loss amounts
due to conversion of monetary items or collection or payments foreign currency denominated transactions are recognized in income statement.
Foreign exchange differences resulting from amortized costs of foreign currency denominated available-for-sale financial assets are recognized in
the statement of income whilst foreign exchange differences resulting from unrealized gains and losses are presented in “Valuation differences of
marketable securities” under equity.
If the net investments in associates and subsidiaries operating in foreign countries are measured at cost, they are reported as translated into TL by
using the foreign exchange rate at the date of transaction. If related associates and subsidiaries are measured at fair value, net foreign operations are
reported as translated into TL by the rates prevailing at the date of the determination of the fair value.
III. INFORMATION ON ASSOCIATES THAT ARE CONSOLIDATED AND SUBSIDIARIES THAT ARE ACCOUNTED ACCORDING TO EQUITY METHOD
Consolidated subsidiaries
As at and for the year ended 31 December 2015, the financial statements of T. Vakıflar Bankası T.A.O, Vakıfbank International AG, Vakıf Finansal
Kiralama A.Ş., Güneş Sigorta A.Ş., Vakıf Emeklilik A.Ş., Vakıf Faktoring A.Ş., Vakıf Yatırım Menkul Değerler A.Ş., Vakıf Portföy Yönetimi A.Ş., Vakıf
Gayrimenkul Yatırım Ortaklığı A.Ş. and Vakıf Menkul Kıymet Yatırım Ortaklığı A.Ş. have been included in the consolidated financial statements of the
Group.
Vakıfbank International AG
, was established in 1999 to operate in the banking sector in foreign countries, in line with the Bank’s globalization policy. Its
head office is in Vienna.
Vakıf Finansal Kiralama A.Ş.
, was established in 1988 to enter into finance lease operations and related transactions and contracts. Its head office is in
Istanbul.
Güneş Sigorta A.Ş.
was established under the leadership of the Bank and Toprak Mahsulleri Ofisi (TMO) in 1957. The Company has been operating in
nearly all non-life insurance branches like fire, accident, transportation, engineering, agriculture, health, forensic protection, and loan insurance. Its head
office is in Istanbul.
Vakıf Emeklilik A.Ş.
was established under the name Güneş Hayat Sigorta A.Ş. in 1991. In 2003 the Company has taken conversion permission from
Treasury and started to operate in private pension system. Its head office is in Istanbul.
Vakıf Faktoring A.Ş
. was established in 1998 to perform factoring transactions and any kind of financing transactions. Factoring, the main operation of
the Company, is a financing method that includes the trade receivables of production, distribution and service companies to be sold to intermediary
institutions. Its head office is in Istanbul.
Vakıf Yatırım Menkul Değerler A.Ş.
was established in 1996 to provide service to investors through making capital market transactions, issuance of
capital market tools, commitment of repurchase and sales, and purchase (repo) and sales (reverse repo) of marketable securities, operating as a
member of stock exchange, investment consultancy, and portfolio management. Its head office is in Istanbul.
Vakıf Portföy Yönetimi A.Ş
. operates in investment fund management, portfolio management and pension fund management. Its head office is in
Istanbul.
Vakıf Gayrimenkul Yatırım Ortaklığı A.Ş.
was established as the first real estate investment partnership in finance sector under the adjudication of
Capital Markets Law in 1996. The Company’s main operation is in line with the scope in the Capital Markets Board’s regulations relating to real estate
investment trusts like, real estates, capital market tools based on real estates, real estate projects and investment on capital market tools. Its head
office is in Istanbul.
Vakıf Menkul Kıymet Yatırım Ortaklığı A.Ş.
was established in 1991 in Istanbul. The main operation of the Company is to invest on a portfolio including
marketable debt securities, equity securities without having managerial power in the partnerships whose securities have been acquired; and gold and
other precious metals traded in national and international stock exchange markets or active markets other than stock exchange markets, in accordance
with the principles and regulations promulgated by Capital Markets Board. Its head office is in Istanbul.
