291
PART III: FINANCIAL HIGHLIGHTS AND RISK MANAGEMENT
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.)
Uncollectible loans and other receivables are collected through liquidation of collaterals and legal follow-up.
Information on non-performing loans and other receivables in foreign currencies
Group III
Group IV
Group V
Loans and
receivables
with limited
collectability
Loans and
receivables
with doubtful
collectability
Uncollectible
loans and
receivables
Current Period
Balance at the end of the period
24,405
88,660
380,742
Specific provision (-)
5,902
44,296
340,558
Net balance on balance sheet
18,503
44,364
40,184
Prior Period
Balance at the end of the period
23,332
3,507
360,219
Specific provision (-)
4,296
3,026
331,347
Net balance on balance sheet
19,036
481
28,872
Non-performing loans due to foreign currency denominated loans provided by the Parent Bank or domestic financial subsidiaries are followed in TL
accounts, while non-performing loans provided by subsidiaries in abroad are followed in foreign currency accounts.
Explanation on Write-off Policy
The Group writes off a loan balance (and any related allowances for impairment losses) when it is concluded that those loans are uncollectible. This
conclusion is given after considering information such as the occurrence of significant changes in the borrower / issuer’s financial position such that the
borrower / issuer can no longer pay the obligation, or that proceeds from collateral will not be sufficient to pay back the entire exposure. For smaller
balance standardized loans, charge off decisions generally are based on a product specific past due status.
The gross and net amounts of non-performing loans according to user groups
Group III
Group IV
Group V
Loans and
receivables
with limited
collectability
Loans and
receivables
with doubtful
collectability
Uncollectible
loans and
receivables
Current Period (Net)
401,090
396,387
111,457
Consumer and Commercial Loans (Gross)
494,639
775,650
3,773,247
Specific Provision (-)
98,686
383,862
3,661,790
Consumer and Commercial Loans (Net)
395,953
391,788
111,457
Banks (Gross)
-
-
7,517
Specific Provision (-)
-
-
7,517
Banks (Net)
-
-
-
Other Loans and Receivables (Gross)
6,421
9,198
71,441
Specific Provision (-)
1,284
4,599
71,441
Other Loans and Receivables (Net)
5,137
4,599
-
