VKF_FRAE_2018_uyg11

330 Part III: Financial Highlights and Assessment of Risk Management Audited Current Period December 31, 2018 Notes TL FC Total A. OFF-BALANCE SHEET COMMITMENTS AND CONTINGENCIES (I+II+III) 96,501,074 145,967,734 242,468,808 I. GUARANTEES AND SURETIES V-III-2-4 37,626,296 28,402,701 66,028,997 1.1. Letters of guarantee 36,896,905 15,055,991 51,952,896 1.1.1. Guarantees subject to State Tender Law 3,807,039 5,902,336 9,709,375 1.1.2. Guarantees given for foreign trade operations 1,314,771 - 1,314,771 1.1.3. Other letters of guarantee 31,775,095 9,153,655 40,928,750 1.2. Bank acceptances 24,005 2,948,104 2,972,109 1.2.1. Import letter of acceptance - 586,987 586,987 1.2.2. Other bank acceptances 24,005 2,361,117 2,385,122 1.3. Letters of credit 51,010 10,148,777 10,199,787 1.3.1. Documentary letters of credit 51,010 10,148,777 10,199,787 1.3.2. Other letters of credit - - - 1.4. Guaranteed pre-financings - 4,199 4,199 1.5. Endorsements - - - 1.5.1. Endorsements to the Central Bank of the Republic of Turkey - - - 1.5.2. Other endorsements - - - 1.6. Marketable securities underwriting commitments - - - 1.7. Factoring related guarantees 243,674 127,759 371,433 1.8. Other guarantees 58,309 38,904 97,213 1.9. Other sureties 352,393 78,967 431,360 II. COMMITMENTS 38,193,153 27,237,668 65,430,821 2.1. Irrevocable commitments V-III-1 33,843,142 2,634,285 36,477,427 2.1.1. Asset purchase commitments V-III-1 1,501,627 2,252,627 3,754,254 2.1.2. Deposit purchase and sales commitments - - - 2.1.3. Share capital commitments to associates and subsidiaries 2,250 - 2,250 2.1.4. Loan granting commitments V-III-1 14,103,024 2,325 14,105,349 2.1.5. Securities issuance brokerage commitments - 2,325 2,325 2.1.6. Commitments for reserve deposit requirements - - - 2.1.7. Commitments for cheque payments V-III-1 1,979,217 - 1,979,217 2.1.8. Tax and fund obligations on export commitments - - - 2.1.9. Commitments for credit card limits V-III-1 13,549,649 - 13,549,649 2.1.10. Commitments for credit card and banking operations promotions 571,282 - 571,282 2.1.11. Receivables from “short” sale commitments on securities - - - 2.1.12. Payables from “short” sale commitments on securities - - - 2.1.13. Other irrevocable commitments 2,136,093 377,008 2,513,101 2.2. Revocable commitments 4,350,011 24,603,383 28,953,394 2.2.1. Revocable loan granting commitments 4,350,011 24,603,383 28,953,394 2.2.2. Other revocable commitments - - - III. DERIVATIVE FINANCIAL INSTRUMENTS 20,681,625 90,327,365 111,008,990 3.1. Derivative financial instruments held for risk management - - - 3.1.1. Fair value hedges - - - 3.1.2. Cash flow hedges - - - 3.1.3. Net foreign investment hedges - - - 3.2. Trading derivatives 20,681,625 90,327,365 111,008,990 3.2.1. Forward foreign currency purchases/sales 1,201,285 1,543,434 2,744,719 3.2.1.1. Forward foreign currency purchases 602,318 771,805 1,374,123 3.2.2.2. Forward foreign currency sales 598,967 771,629 1,370,596 3.2.2. Currency and interest rate swaps 13,620,376 74,478,250 88,098,626 3.2.2.1. Currency swaps-purchases 2,515,004 20,334,407 22,849,411 3.2.2.2. Currency swaps-sales 7,805,372 10,611,535 18,416,907 3.2.2.3. Interest rate swaps-purchases 1,650,000 21,766,154 23,416,154 3.2.2.4. Interest rate swaps-sales 1,650,000 21,766,154 23,416,154 3.2.3. Currency, interest rate and security options 697,904 1,784,623 2,482,527 3.2.3.1 Currency call options 349,778 865,498 1,215,276 3.2.3.2 Currency put options 348,126 919,125 1,267,251 3.2.3.3 Interest rate call options - - - 3.2.3.4 Interest rate put options - - - 3.2.3.5 Security call options - - - 3.2.3.6 Security put options - - - 3.2.4. Currency futures - - - 3.2.4.1. Currency futures-purchases - - - 3.2.4.2. Currency futures-sales - - - 3.2.5. Interest rate futures - - - 3.2.5.1. Interest rate futures-purchases - - - 3.2.5.2. Interest rate futures-sales - - - 3.2.6. Other 5,162,060 12,521,058 17,683,118 B. CUSTODY AND PLEDGED ITEMS (IV+V+VI) 1,560,609,530 1,221,238,103 2,781,847,633 IV. ITEMS HELD IN CUSTODY 54,906,337 7,564,236 62,470,573 4.1. Customers’ securities held 1,907,458 - 1,907,458 4.2. Investment securities held in custody 37,070,534 395,353 37,465,887 4.3. Checks received for collection 9,579,919 1,224,880 10,804,799 4.4. Commercial notes received for collection 4,883,607 1,301,631 6,185,238 4.5. Other assets received for collection 2,152 211 2,363 4.6. Assets received through public offering - - - 4.7. Other items under custody 114,532 3,066,202 3,180,734 4.8. Custodians 1,348,135 1,575,959 2,924,094 V. PLEDGED ITEMS 428,113,720 204,235,157 632,348,877 5.1. Securities 355,159 9,824 364,983 5.2. Guarantee notes 684,888 1,135,681 1,820,569 5.3. Commodities 32,405,583 1,711,768 34,117,351 5.4. Warranties - - - 5.5. Real estates 341,011,234 163,744,146 504,755,380 5.6. Other pledged items 52,811,517 37,364,638 90,176,155 5.7. Pledged items-depository 845,339 269,100 1,114,439 VI. CONFIRMED BILLS OF EXCHANGE AND SURETIES 1,077,589,473 1,009,438,710 2,087,028,183 TOTAL OFF-BALANCE SHEET ITEMS (A+B) 1,657,110,604 1,367,205,837 3,024,316,441 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 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 OFF-BALANCE SHEET AS AT 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 consolidated financial statements.