VKF_FRAE_2017

PART III: FINANCIAL HIGHLIGHTS AND RISK MANAGEMENT 144 VakıfBank Annual Report 2017 CONVENIENCE TRANSLATION OF PUBLICLY ANNOUNCED UNCONSOLIDATED FINANCIAL STATEMENTS ORIGINALLY ISSUEDIN TURKISH, SEE NOTE I. OF SECTION THREE TÜRKİYE VAKIFLAR BANKASI TÜRK ANONİM ORTAKLIĞI UNCONSOLIDATED STATEMENT OF PROFIT AND LOSS ITEMS ACCOUNTED UNDER SHAREHOLDERS’ EQUITY FOR THE YEAR ENDED DECEMBER 31, 2017 (Amounts expressed in thousands of Turkish Lira (“TL”) unless otherwise stated.) GAINS AND LOSSES RECOGNIZED IN EQUITY Audited Current Period January 1, 2017- December 31, 2017 Audited Prior Period January 1, 2016- December 31, 2016 I. VALUATION DIFFERRENCES OF AVAILABLE FOR SALE FINANCIAL ASSETS RECOGNIZED IN VALUATION DIFFERENCES OF MARKETABEL SECURITIES 72,826 (238,688) II. REVALUATION SURPLUS ON TANGIBLE ASSETS (6,588) (2,017) III. REVALUATION SURPLUS ON INTANGIBLE ASSETS - - IV. CURRENCY TRANSLATION DIFFERENCES - - V. GAINS/(LOSSES) FROM CASH FLOW HEDGES (Effective Portion of Fair Value Changes) - - VI. GAINS/(LOSSES) FROM NET FOREIGN INVESTMENT HEDGES (Effective portion) - - VII. EFFECTS OF CHANGES IN ACCOUNTING POLICIES AND ERRORS - - VIII. OTHER GAINS AND LOSSES RECOGNIZED IN EQUITY IN ACCORDANCE WITH TAS 385,802 60,089 IX. DEFERRED TAXES DUE TO VALUATION DIFFERENCES (36,316) 48,737 X. NET GAINS/LOSSES RECOGNIZED DIRECTLY IN EQUITY (I+II+…+IX) 415,724 (131,879) XI. CURRENT PERIOD’S PROFIT/(LOSS) 3,723,383 2,703,042 11.1 Change in fair value of securities (transfers to the statement of income) (34,072) (5,861) 11.2 Gains/Losses recognized in the statement of income due to reclassification of cash flow hedges - - 11.3 Gains/Losses recognized in the statement of income due to reclassification of net foreign investment hedges - - 11.4 Others 3,757,455 2,708,903 XII. TOTAL GAINS AND LOSSES RECOGNIZED DURING THE PERIOD (X+XI) 4,139,107 2,571,163 The accompanying explanations and notes form an integral part of these financial statements.