Basic HTML Version
Türkiye Vakıflar Bankası Türk Anonim Ortaklığı
Unconsolidated Financial Report as at and
For the Year Ended 31 December 2013
(Currency: Thousands of TurkIsh Lıra (“TL”))
(Convenience Translation of Financial Statements and Related Disclosures and Footnotes Originally Issued in Turkish, See Section 3 Note I)
Credit risk is defined and managed for all cash and non-cash agreements and transactions, which carry counterparty risk. Loans with renegotiated
terms are followed in accordance with Bank’s credit risk management and follow-up principles. The financial position and trading operations of related
customers are continuously analyzed and principal and interest payments, scheduled in renegotiation agreement, are strictly controlled by related
departments. In the framework of Bank’s risk management concept, long term commitments are accepted more risky than short term commitments.
Besides, risk limits defined for long term commitments and collaterals that should be taken against long term commitments are handled in a wider
range compared to short term commitments.
Indemnified non-cash loans are regarded as the same risk weight with the loans that are pastdue and unpaid.
Banking operations and lending activities carried in foreign countries are not exposed to material credit risks, due to related countries’ financial
conditions, customers and their operations.
The Bank classifies its past due and impaired receivables as shown below in accordance with the “Regulation on Procedures and Principles for
Determination of Qualifications of Loans and Other Receivables and Provisions to be Set Aside”.
• for which recovery of principal and interest or both delays from their terms or due dates are more than ninety days but not more than one hundred
eighty days are classified as “Group Three- Loans and Other Receivables With Limited Recovery”,
• for which recovery of principal and interest or both delays from their terms or due dates are more than one hundred and eighty days but not more
one year are classified as “Group Four- Loans and Other Receivables With Suspicious Recovery”,
• for which recovery of principal and interest or both delays from their terms or due dates are more than one year are classified as “Group Five - Loans
and Other Receivables Having the Nature of Loss”,
Regardless of the guarantees and pledges received, the Bank provides 20% provision for the Loans and Other Receivables classified in Group Three,
and 100% provision for the Loans and Other Receivables classified in Group Four and Group Five. The provision amount is recognized in profit and loss
statement of the period.
The Bank’s largest 100 cash loan customers compose 19.74% of the total cash loan portfolio (31 December 2012: 19.23%).
The Bank’s largest 100 non-cash loan customers compose 60.92% of the total non-cash loan portfolio (31 December 2012: 59.34%).
The Bank’s largest 100 cash loan customers compose 12.60% of total assets of the Bank and the Bank’s largest 100 non-cash loan customers compose
11.73% of total off-balance sheet items (31 December 2012: 12.48% and 12.47%).
The Bank’s largest 200 cash loan customers compose 25.43% of the total cash loan portfolio (31 December 2012: 24.69%).
The Bank’s largest 200 non-cash loan customers compose 71.10% of the total non-cash loan portfolio (31 December 2012: 69.80%).
The Bank’s largest 200 cash loan customers compose 16.23% of total assets of the Bank and the Bank’s largest 200 non-cash loan customers compose
13.69% of total off-balance sheet items (31 December 2012: 16.02% ve 14.67%).
The general provision for credit risk amounts to TL 1,190,739 (31 December 2012: TL 956,059).
130