VKF_FRAE_2018_uyg11

VakıfBank Annual Report 2018 469 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 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2018 (Amounts expressed in thousands of Turkish Lira (“TL”) unless otherwise stated.) Net investments in finance lease receivables Current Period - December 31, 2018 Gross finance lease receivables 3,204,284 Unearned income on finance lease receivables (-) 422,682 Terminated lease contracts (-) - Net finance lease receivables 2,781,602 Prior Period - December 31, 2017 Gross finance lease receivables 2,177,763 Unearned income on finance lease receivables (-) 297,563 Terminated lease contracts (-) - Net finance lease receivables 1,880,200 Information on finance lease agreements Sum of the minimum lease payments including interest and principal amounts are stated under the “finance lease receivables” as gross. The difference between the total of rent payments and the cost of the related fixed assets is reflected to the “unearned income” account. If the lease payments are made, the lease principal amount is deducted from the “finance lease receivables” as the interest component of the payment is reflected to interest income on the consolidated statement of income. 11. Information on hedging purpose derivatives Positive differences on derivative financial instruments held for risk management purposes None.