Page 193 - A&T BANK ANNUAL REPORT 2012

191 190 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 necessary documentation for the loans, as provided for in the legislation are audited and credit limits at the discretion
of the Bank’s Credit Evaluation Committee and Executive Management and updated in line with economic conditions. The
Bank has sufficient collateral for the loans and other receivables. Credit studied the vast majority of companies guarantees
the majority of the leading companies in Turkey due to the “firm’s signature and / or the surety” is. In addition, real estate
mortgages, bank counter-guarantee, cash blockage, financial securities and real customer checks / securities as collateral
taken. Guarantees received, market conditions and other conditions of guarantee are in parallel banks.
Determination of Loans and Other Receivables to be Reserved for and Allocation of Reserves in accordance with Article 4 of
the Regulation on the Procedures and Principles, Third, Fourth and Fifth classified in groups of all receivables, accrued interest
and similar charges interest on the principal amount owed, or whether or not additional regardless of whether or not to
refinance the non-performing loans are considered impaired.
Although a high probability of repayment for various reasons, 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 delay time required for classification of the
third group is defined as non-performing receivables.
Classifications described above, and taking into account the elements of 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%) percent of the
face from the date of the fifth group (100%), by special provision.
The Bank, in addition to specific provisions, standard qualities one percent of the total cash loans (1%) and letters of credit,
guarantees and sureties two thousand and other non-cash loans (0.2%) percent, two per cent 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.
Regulation on Measurement and Assessment of Capital Adequacy of Banks reverse the trend described in Annex-2 amounts
of risk policies related to risk.
The Parent Bank do not use an internal model and calculate the probability of default. In this context, risk is not calculated in
the opposite tendency.
Assessing the amount of collateral required to provide to the credit rating of the bank in the event of decrease.
The Bank’s management, corporate credit risk ratings and credit worthiness of all the companies customer rating system
established with the purpose of detection and identification. “Customer Rating” process, a variety of pre-set customer credit
worthiness “qualitative” (the company’s market position, competitiveness, customer and supplier portfolio, certificates and
documents issued by independent organizations, organizational structure, such as relations with other financial institutions)
and “financial” (current ratio, liquidity ratio, profitability and debt), the factors to be analyzed according to the process.
Obtained as a result of qualitative and financial factor scores obtained by weighting the overall rating score, loans are given to
companies: “Very Good Company (rating score: 100%-85%), Good Company (rating score: 84.99%-70%) , Satisfactory Company
(rating score: 69.99%-60%), Medium Company (rating score: 59.99%-50%), Weak Company (rating score: 49.99%-40%) and
Very Low Company (rating score is: 39.99%-0%) are classified as .
Decline in the credit rating of the bank’s assessment of the amount of collateral required to provide in the event of: Loan
package in the context of collateral examining the “CEC” the status of the firm in question must take account of other bank
guarantee. “Requested Loan Limits” should try to ensure that the customer’s recommended maximum guarantees.