VKF_FRAE_2017

227 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.) Loans to associates and subsidiaries Current Period Prior Period Direct Loans Provided to the Subsidiaries and Associates 144,551 294,757 Indirect Loans Provided to the Subsidiaries and Associates - - Total 144,551 294,757 Specific provisions for loans Current Period Prior Period Loans and Receivables with Limited Collectability 150,730 384,497 Loans and Receivables with Doubtful Collectability 419,518 551,246 Uncollectible Loans and Receivables 6,028,571 4,384,377 Total 6,598,819 5,320,120 Information on non-performing loans (Net) Information on non-performing loans and other receivables restructured or rescheduled Group III Group IV Group V Loans and receivables with limited collectability Loans and receivables with doubtful collectability Uncollectible loans and receivables Current period 80,662 118,684 135,790 (Gross amounts before the specific reserves) Loans and other receivables which are restructured - - - Rescheduled loans and other receivables 80,662 118,684 135,790 Prior period 137,005 176,551 78,606 (Gross amounts before the specific reserves) - - - Loans and other receivables which are restructured - - - Rescheduled loans and other receivables 137,005 176,551 78,606 Movements in non-performing loan groups Group III Group IV Group V Loans and receivables with limited collectability Loans and receivables with doubtful collectability Uncollectible loans and receivables Balance at the beginning of the period 927,110 1,102,016 4,384,377 Additions (+) 2,836,423 137,362 215,721 Transfers from other categories of loans under follow-up (+) - 2,510,046 2,225,124 Transfers to other categories of loans under follow-up (-) (*) 2,674,478 2,552,971 119,519 Collections (-) 335,405 340,468 677,132 Write-offs (-) - - - Corporate and commercial loans - - - Retail loans - - - Credit cards - - - Other - - - Balance at the end of the period 753,650 855,985 6,028,571 Specific provision (-) (**) 150,730 419,518 6,028,571 Net balance 602,920 436,467 - (*) Loans that are transferred from restructured loans to non-performing loans and from non-performing loans to restructured loans are presented in the Transfers from and to other categories of loans under follow-up lines. (**) After taking the colleterals of the loans amounting TL 32,026, that are classified in group IV, as from December 31, 2017 into account, the bank had recorded provision over the remaining amount. Uncollectible loans and receivables are collected by liquidation of collaterals and legal follow-up.