VKF_FRAE_2017

211 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 EXPLANATIONS AND NOTES RELATED TO THE UNCONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2017 (Amounts expressed in thousands of Turkish Lira (“TL”) unless otherwise stated.) Credit risk exposure and credit risk mitigation effects Current Period Exposures before credit conversion factor and CRM Exposures post-credit conversion factor and CRM RWA and RWA density Risk classes On-balance sheet amount Off-balance sheet amount On-balance sheet amount Off-balance sheet amount RWA RWA density 1 Exposures to central governments or central banks 82,907,438 1,395,677 85,877,681 802,646 5,046,770 5.82% 2 Exposures to regional governments or local authorities 6,667,600 518,181 6,667,600 241,940 3,416,740 49.45% 3 Exposures to public sector entities 301,190 311,734 301,190 137,108 424,900 96.94% 4 Exposures to multilateral development banks - 1,583 - 1,583 - 0.00% 5 Exposures to international organizations - - - - - 0.00% 6 Exposures to institutions and banks 6,234,863 2,067,023 6,234,862 1,302,306 3,338,108 44.29% 7 Exposures to corporates 66,095,260 65,127,912 63,125,018 23,100,224 84,870,828 98.43% 8 Retail exposures 46,810,704 24,689,970 46,810,704 3,212,915 37,286,782 74.54% 9 Exposures secured by residential property 22,850,866 931,214 22,850,866 420,940 8,145,132 35.00% 10 Exposures secured by commercial real estate 23,816,613 2,279,165 23,816,613 1,301,591 15,449,818 61.51% 11 Past-due loans 1,039,387 - 1,039,387 - 1,039,387 100.00% 12 Higher-risk categories by the Agency Board 212,032 15,305 212,032 8,635 331,000 150.00% 13 Exposures in the form of covered bonds - - - - - 0.00% 14 Exposures to institutions and corporates with a short-term credit assessment - - - - - 0.00% 15 Exposures in the form of units or shares in collective investment undertakings 263 - 263 - 263 100.00% 16 Other receivables 8,395,667 - 8,395,667 - 6,103,990 72.70% 17 Investments in equities 2,606,386 - 2,606,386 - 2,606,385 100.00% 18 Total 267,938,269 97,337,764 267,938,269 30,529,888 168,060,103 56.31% Prior Period Exposures before credit conversion factor and CRM Exposures post-credit conversion factor and CRM RWA and RWA density Risk classes On-balance sheet amount Off-balance sheet amount On-balance sheet amount Off-balance sheet amount RWA RWA density 1 Exposures to central governments or central banks 50,736,755 492,584 53,157,599 241,211 13,513,323 25.31% 2 Exposures to regional governments or local authorities 4,596,673 344,708 4,596,673 156,470 2,345,713 49.35% 3 Exposures to public sector entities 625,954 1,373,402 625,954 667,205 1,288,571 99.65% 4 Exposures to multilateral development banks 5 - 5 - - - 5 Exposures to international organizations - - - - - - 6 Exposures to institutions and banks 3,333,183 1,748,404 3,333,184 989,208 1,814,921 41.99% 7 Exposures to corporates 55,502,287 49,396,629 53,081,444 16,492,054 67,858,666 97.54% 8 Retail exposures 42,983,144 20,892,607 42,983,144 2,703,720 34,063,507 74.56% 9 Exposures secured by residential property 20,926,182 703,497 20,926,182 288,457 7,425,124 35.00% 10 Exposures secured by commercial real estate 22,075,082 1,401,642 22,075,082 657,040 14,085,290 61.96% 11 Past-due loans 1,093,383 - 1,093,383 - 1,093,383 100.00% 12 Higher-risk categories by the Agency Board 288,697 - 288,697 - 516,154 178.79% 13 Exposures in the form of covered bonds - - - - - - 14 Exposures to institutions and corporates with a short-term credit assessment - - - - - - 15 Exposures in the form of units or shares in collective investment undertakings - - - - - - 16 Other receivables 6,149,265 - 6,149,265 - 4,157,923 67.62% 17 Investments in equities 2,124,212 - 2,124,212 - 2,124,210 100.00% 18 Total 210,434,822 76,353,473 210,434,824 22,195,365 150,286,785 64.60%