Page 181 - A&T BANK ANNUAL REPORT 2012

179 178 A&T BANK 2012 ANNUAL REPORT •
ARAP TÜRK BANKASI ANONİM ŞİRKETİ
CONSOLIDATED FINANCIAL REPORT
AS OF 31 DECEMBER 2012
(Currency: Thousands of Turkish Lira (“TL”) unless otherwise stated)
Convenience Translation of Consolidated Financial
Report Originally Issued in Turkish
See Note on I. in Section Three
The distribution of the cash and non cash loans of the Parent Bank according to credit ratings is as follows
31 December 2012 31 December 2011
Very good firm 50.82% 52.90%
Good firm 27.01% 27.38%
Satisfactory firm 11.73% 12.09%
Average firm 9.03% 5.48%
Weak firm -- 0.87%
Very weak firm -- -
Liquidation 0.94% 1.02%
Follow up 0.03% -
Not rated 0.44% 0.26%
Total loans 100% 100%
(*)The rating distribution above does not include retail loans and loans granted to banks.
Accounting applications, the definition of non-performing and impaired elements
Determining the Nature of Loans and Other Receivables and Allocation Regulation on Procedures and Principles Regarding
Provisions under Article 4, Third, Fourth and Fifth classified in groups of all receivables, accrued interest and similar charges
interest on the principal amount owed whether or not additional or refinance, regardless of whether or not the non-performing
loans are considered impaired.
Although there are probable repayment, interest due to various reasons justify the collection of principal or interest payments,
more than thirty days from the maturity date or dates to be paid late, but without the condition of the third group delay time
required for classification as non-performing receivables are defined.
Value adjustments and provisions methods and approaches
Classification of the elements described above, and taking into account the Bank’s loans and other receivables, from the date of
the third group of at least twenty percent (20%), from the date of the fourth group of at least fifty percent (50%), from the date
of the fifth Group One hundred percent (% 100) by a special provision.
In addition to the specific provisions of qualified cash loans of the Bank’s standard one percent of the total (1%), and letters of
credit, guarantees and sureties and other non-cash loans the two thousandth of the total (0.2%) percent and two percent of the
total cash loans under close monitoring (2%), and letters of credit, guarantees and sureties and other four thousandths of the
total non-cash loans (0.4%) rate the overall provision.
The subsidiary of the Parent Bank that operates in financial leasing sector provide at least 20% provision for the leasing
receivables if both or one of the principal or interest are overdue by 90 days, provide at least 50% provision for overdue by 180
days, provide 100% provision for overdue by 365 days.