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FINANCIAL INFORMATION
CONVENIENCE TRANSLATION OF PUBLICLY ANNOUNCED UNCONSOLIDATED FINANCIAL STATEMENTS ORIGINALLY ISSUED IN TURKISH, SEE NOTE I OF SECTION THREE
ARAP TÜRK BANKASI ANONİM ŞİRKETİ
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
AT 31 DECEMBER 2015
(AMOUNTS EXPRESSED IN THOUSANDS OF TURKISH LIRA (“TL”) UNLESS OTHERWISE STATED. )
The expected effects of the fluctuations of market interest rates on the Parent Bank’s financial position and cash
flows, the expectations for interest income, and the limits the board of directors has established on daily interest rates
The Board of Directors has determined limits for the amount exposed to market risk/ shareholders’ equity, to be
maximum 45% for the early warning limit, 50% for limit maximum, and maximum 55% for limit exception in order to
follow interest rate risk, exchange rate risk and equity price risk.
The precautions taken for the interest rate risk the Parent Bank was exposed to during the current year and their
expected effects on net income and shareholders’ equity in the future periods
Although the increase in interest rates has a limited negative effect on the Parent Bank’s financial position, the Parent
Bank’s Equity structure is able to confront the negative effects of possible fluctuations in the interest rates.
Information related to interest rate sensitivity of assets, liabilities and off-balance sheet items (based on re-pricing dates)
Current Period
Up to
1 Month
1-3
Months
3-12
Months
1-5
Years
5 Years
and Over
Non-
Interest
Bearing
Total
Assets
Cash (cash in vault, foreign currencies,
cash in transit, cheques purchased) and
balances with the Central Bank of Turkey
341,933
-
-
-
-
516,222 858,155
Banks
925,008 307,219
-
-
-
15,680 1,247,907
Financial assets at fair value through
Profit or Loss
14,580
25,567
9,335 158,860
-
-
208,342
Interbank Money Market Placements
-
-
-
-
-
-
-
Financial assets available-for-sale
-
-
-
-
-
1,388
1,388
Loans
804,298 425,213 114,455
554
-
13,383 1,357,903
Investment securities held-to-maturity
1,038 139,634
22,314 104,433
14,139
-
281,558
Other assets
1
18,758
19,314
69,178 140,526
-
46,727 294,503
Total assets
2,105,615 916,947 215,282 404,373
14,139 593,400 4,249,756
Liabilities
Bank deposits
1,490,139 593,292 755,156
-
-
- 2,838,587
Other deposits
21,323
22,802
35,612
-
-
429,307 509,044
Money market borrowings
3,493
-
-
-
-
-
3,493
Miscellaneous payables
-
-
-
-
-
4,763
4,763
Marketable securities issued
-
-
-
-
-
-
-
Funds Borrowed From Other Fin. Ins.
36,849
96,478
59,496
17,762
-
-
210,585
Other liabilities
2
753
-
-
-
-
682,531 683,284
Total liabilities
1,552,557 712,572 850,264
17,762
- 1,116,601 4,249,756
Long Position in the Balance Sheet
553,058 204,375
-
386,611
14,139
- 1,158,183
Short Position in the Balance Sheet
-
- (634,982)
-
- (523,201) (1,158,183)
Long Position in the Off-balance Sheet
43,614
-
-
-
-
-
43,614
Short Position in the Off-balance Sheet
(44,641)
-
-
-
-
-
(44,641)
Total Position
552,031 204,375 (634,982)
386,611
14,139 (523,201)
(1,027)
1
Other Assets: The amount of TL 46,727 in the Non-Interest Bearing column includes; Tangible Assets amounting TL 23,555, Intangible Assets
amounting to TL 2,986, Deferred Tax Assets amounting to TL 2,940, Assets Held for Sale amounting to TL 9, Miscellaneous Receivables amounting
to TL 5,446 and Other Assets amounting to TL 11,791.
2
Other Liabilities: The amount of TL 682,531 in the Non-Interest Bearing Column includes; Shareholders Equity amounting to TL 613,535, Provisions
amounting to TL 40,988, Tax, Duty and Premium Payable amounting to TL 14,058 and Other Foreign Resources amounting to TL 13,950.