85 / 276
83
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 UNCONSOLIDATED FINANCIAL STATEMENTS
AT 31 DECEMBER 2015
(AMOUNTS EXPRESSED IN THOUSANDS OF TURKISH LIRA (“TL”) UNLESS OTHERWISE STATED. )
XVIII. ADDITIONAL INFORMATION ON BORROWINGS
Except for financial liabilities that are classified as held for trading derivatives which carried at fair values, all other
financial liabilities are initially recognized at cost including transaction costs and re-measured at amortized cost using the
effective interest rate method.
The Bank did not issue any stocks convertible into bonds.
The Bank does not have borrowing instruments issued by itself.
XIX. INFORMATION ON SHARE ISSUANCES
The Bank has not issued any share in the year.
XX. INFORMATION ON BILLS OF EXCHANGES AND ACCEPTANCES
Acceptances are realized simultaneously with the payment dates of the clients and they are presented as commitments
in off-balance sheet accounts.
There are no acceptances presented as liabilities against any assets.
XXI. INFORMATION ON GOVERNMENT INCENTIVES
There are no government incentives utilized by the Bank.
XXII. INFORMATION ON SEGMENT REPORTING
Operating segment is the unit that operates in only one product or service of the Bank or the group of products or
services which are related each other and differs from other units from the point of risk and profit. Operating segments
are presented in the footnote X of Fourth Section.
XXIII. OTHER DISCLOSURES
Profit reserves and profit distribution
Retained earnings other than legal reserves are available for distribution, subject to legal reserve requirement referred to
below.
The legal reserves are comprised of first and second reserves, in accordance with the Turkish Commercial Code (“TCC”).
The first legal reserve is appropriated out of the profits at the rate of 5% until the total reserve reaches a maximum
of 20% of the Bank’s paid in capital. The second legal reserve is appropriated at the rate of 10% of all distributions in
excess of the 5% of the Company’s share capital; however holding companies are not subject to this application. First
and second legal reserves can only be used to compensate accumulated losses and cannot be used for profit distribution
unless they exceed 50% of paid-in capital.
Related parties
In accompanying financial statements, shareholders, key management personnel and board members together with
their families and companies controlled by or affiliated by them associated and jointly controlled entities are considered
as Related Parties in compliance with “TAS 24 - Related Party Disclosures”. Related parties are presented VII footnote of
Fifth Section.
Cash and cash equivalents
In the cash flows statements “Cash” refers to cash in vault, cash in transit, bank cheques purchased and demand
deposits in banks including Central Bank of Turkey; “Cash equivalent” refers to money market placements and time
deposits at banks which has original maturity less than three months.