VKF_FRAE_2017

282 VakıfBank Annual Report 2017 PART III: FINANCIAL HIGHLIGHTS AND RISK MANAGEMENT Audited Notes Paid in Capital Capital Reserves from Inflation Adjustments to Paid in Capital Share Premium Share Cancellation Profits Legal Reserves Status Reserves Extraordinary Reserves Other Profit Reserves Current Year’s Net Profit/ (Loss) Prior Period’s Net Profit/ (Loss) Valuation Differences of the Marketable Securities Revaluation Surplus on Tangible, Intangible Assets and Investment Property Bonus Shares of Associates, Subsidiaries and Joint Ventures Hedging Reserves Revaluation Surp. On Assets Held for Sale and Assets of Discount. Op.s. Shareholders’ Equity before Minority Shares Non- controlling Interest Total Shareholders’ Equity Current Period – December 31, 2017 I. Balances at the beginning of the period 2,500,000 - 727,780 - 1,436,787 6,337 10,156,575 606,809 - 2,775,944 (131,169) 997,197 3,683 - - 19,079,943 527,529 19,607,472 Changes during the period II. Mergers - - - - - - - - - - - - - - - - - - III. Valuation differences of the marketable securities V-V-1 - - - - - - - - - - 64,587 - - - - 64,587 - 64,587 IV. Hedging reserves - - - - - - - - - - - - - - - - - - 4.1 Cash flow hedges V-V-2 - - - - - - - - - - - - - - - - - - 4.2 Net investment hedges - - - - - - - - - - - - - - - - - - V. Revaluation surplus on tangible assets - - - - - - - - - - - (873) - - - (873) 7,065 6,192 VI. Revaluation surplus on intangible assets - - - - - - - - - - - - - - - - - - VII. Bonus shares of associates, subsidiaries and joint-ventures - - - - - - - - - - - - 230 - - 230 - 230 VIII. Translation differences V-V-3 - - - - - - - (27,252) - - - - - - - (27,252) - (27,252) IX. Changes resulted from disposal of the assets - - - - - - - - - - - - - - - - - - X. Changes resulted from reclassifications of the assets - - - - - - - - - - - - - - - - - - XI. Effect of change in equities of associates on the Group’s equity - - - - - - - - - (37,096) 3,456 1,188 - - - (32,452) - (32,452) XII. Capital increase - - - - - - - - - - - - - - - - - - 12.1 Cash - - - - - - - - - - - - - - - - - - 12.2 Internal sources - - - - - - - - - - - - - - - - - - XIII. Share issuance - - - - - - - - - - - - - - - - - - XIV. Share cancellation profits - - - - - - - - - - - - - - - - - - XV. Capital reserves from inflation adjustments to paid-in capital - - - - - - - - - - - - - - - - - - XVI. Other - - (3,511) - (584) - (1,128) 98,648 - (37,192) - - - - - 56,233 59,172 115,405 XVII. Current period’s net profit/loss - - - - - - - - 3,932,432 - - - - - - 3,932,432 84,914 4,017,346 XVIII. Profit distribution - - - - 273,652 - 2,282,692 20,048 -(2,752,822) - 49,444 - - - (126,986) (1,577) (128,563) 18.1 Dividends - - - - - - - - - (120,000) - - - - - (120,000) (8,563) (128,563) 18.2 Transferred to reserves - - - - 273,652 - 2,282,692 20,048 - (2,632,822) - 49,444 - - - (6,986) 6,986 - 18.3 Other - - - - - - - - - - - - - - - - - - Balances at the end of the period 2,500,000 - 724,269 - 1,709,855 6,337 12,438,139 698,253 3,932,432 (51,166) (63,126) 1,046,956 3,913 - - 22,945,862 677,103 23,622,965 The accompanying explanations and notes form an integral part of these consolidated financial statements. 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 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED DECEMBER 31, 2017 (Amounts expressed in thousands of Turkish Lira (“TL”) unless otherwise stated.)