VKF_FRAE_2018_uyg11

144 Part III: Financial Highlights and Assessment of Risk Management Notes Audited Current Period December 31, 2018 A. CASH FLOWS FROM BANKING OPERATIONS 1.1 Operating profit before changes in operating assets and liabilities 5,889,154 1.1.1 Interests received 28,510,420 1.1.2 Interests paid (22,157,979) 1.1.3 Dividends received 61,419 1.1.4 Fee and commissions received 3,320,133 1.1.5 Other income 78,954 1.1.6 Collections from previously written-off loans and other receivables 3,372,562 1.1.7 Cash payments to personnel and service suppliers (2,515,514) 1.1.8 Taxes paid (1,135,686) 1.1.9 Other (3,645,155) 1.2 Changes in operating assets and liabilities 213,473 1.2.1 Net (Increase) Decrease in Financial Assets at Fair Value through Profit or Loss (70,898) 1.2.2 Net (increase) decrease in due from banks (3,412,616) 1.2.3 Net (increase) decrease in loans (38,614,794) 1.2.4 Net (increase) decrease in other assets (966,221) 1.2.5 Net increase (decrease) in bank deposits (2,727,333) 1.2.6 Net increase (decrease) in other deposits 25,619,294 1.2.7 Net increase (decrease) in financial liabilities at fair value through profit or loss - 1.2.8 Net increase (decrease) in funds borrowed 12,883,988 1.2.9 Net increase (decrease) in matured payables - 1.2.10 Net increase (decrease) in other liabilities 7,502,053 I. Net cash flow provided from banking operations 6,102,627 B. CASH FLOWS FROM INVESTING ACTIVITIES II. Net cash provided from investing activities (15,591,207) 2.1 Cash paid for the purchase of associates, subsidiaries and joint ventures (20,443) 2.2 Cash obtained from the sale of associates, subsidiaries and joint ventures 886 2.3 Cash paid for the purchase of tangible and intangible asset (2,853,607) 2.4 Cash obtained from the sale of tangible and intangible asset 1,781,202 2.5 Cash paid for the purchase of financial assets at fair value through other comprehensive income (8,652,622) 2.6 Cash obtained from the sale of financial assets at fair value through other comprehensive income 4,457,266 2.7 Cash paid for the purchase of financial assets at amortized cost (11,162,210) 2.8 Cash obtained from sale of financial assets at amortized cost 841,350 2.9 Other 16,971 C. CASH FLOWS FROM FINANCING ACTIVITIES III. Net cash flow from financing activities 9,652,395 3.1 Cash obtained from funds borrowed and securities issued 21,450,192 3.2 Cash outflow from funds borrowed and securities issued (11,672,797) 3.3 Equity instruments issued - 3.4 Dividends paid (125,000) 3.5 Payments for finance lease liabilities - 3.6 Other - IV. Effect of change in foreign exchange rate on cash and cash equivalents 13,365 V. Net increase/decrease in cash and cash equivalents 177,180 VI. Cash and cash equivalents at beginning of the period 19,294,961 VII. Cash and cash equivalents at end of the period 19,472,141 Note: The prior period financial statements and related disclosures are not restated as permitted by TFRS 9 transition rules. Since, 2017 and 2018 financial statements are prepared on different principles, 2017 financial statements are presented separately. CONVENIENCE TRANSLATION OF PUBLICLY ANNOUNCED UNCONSOLIDATED FINANCIAL STATEMENTS ORIGINALLY ISSUED IN TURKISH, SEE NOTE I. OF SECTION THREE TÜRKİYE VAKIFLAR BANKASI TÜRK ANONİM ORTAKLIĞI AND ITS FINANCIAL SUBSIDIARIES UNCONSOLIDATED STATEMENT OF CASH FLOW FOR THE YEAR ENDED DECEMBER 31, 2018 (Amounts expressed in thousands of Turkish Lira (“TL”) unless otherwise stated.) The accompanying explanations and notes form an integral part of these financial statements.