INTRODUCTION
ACTIVITIES
CORPORATE GOVERNANCE
FINANCIAL INFORMATION AND RISK MANAGEMENT
151
TÜRKİYE İŞ BANKASI A.Ş.
Notes to the Unconsolidated Financial Statements for the Year Ended
31 December 2012
İŞBANK
ANNUAL REPORT 2012
Board of Directors and the Audit Committee are responsible for following the Bank’s capital is used optimally; for this purpose, checking the
status against risk limits and providing the necessary actions are taken.
Asset and Liability Management Committee is responsible for managing the Asset and Liability risk within the framework of operating
principles that are involved in the risk appetite and risk limits are set by the Board of Directors in accordance with the policy statement.
Measurement of the Asset and Liability Management’s risk, reporting of the measurement results and monitoring the compliance with risk
limits are the responsibility of the Risk Management Department. The course of the risk taken is examined through different scenarios. The
measurement results are tested in terms of reliability and integrity. Information related to asset-liability management risk is reported to the
Board of Directors by the Department of Risk Management through the Risk Committee and the Audit Committee.
Asset and liability management processes and compliance with the provisions of the policy are controlled and audited by the internal audit
system. The execution of the audit, reporting the audit results, action plans for the elimination of errors and gaps identified as a result of
inspections regarding the fulfillment of the principles, are determined by the Board of Directors.
Operational Risk
Operational risk is defined as “the probability of loss due to the inadequate or failed internal processes, people, systems, external factors or
legal risks”. All risks except financial risks are considered within the scope of operational risk. Studies consisted and are formed of occur by
execution of identification, definition, measurement, analysis, monitoring of operational risk, providing and reporting the necessary control
related to monitoring the progress of our country and the world, the development of techniques and methods, necessary legal reporting,
notification and conduct of follow-up transactions. Studies on the subject are conducted by the Department of Risk Management.
Operational risks that arise due to the activities are defined in “Bank Risk Catalogue” and classified in respect of species. Bank Risk Catalogue
is kind of the fundamental document that used for identification and classification of all at the risk that may be encountered. It is updated in
line with the changes in the nature of the processes and activities.
Qualitative and quantitative methods are used in a combination for measurement and evaluation of the operational risks. In this process,
information use that obtained from “Impact-Probability Analysis”, “Missing Event Data Analysis”, “Risk Indicators” methods. Methods
prescribed by legal regulations are applied as minimum in determining the capital requirement level for the operating risk.
All risks are assessed in the context of operational risk, loss events and the risk indicators same as operational risks that occurred in the
Bank, are monitored on a regular basis by the Department of Risk Management and reported periodically to the Risk Committee and the
Board of Directors.
XII. Explanations on Other Price Risks
Bank has investments in companies traded on the ISE is exposed to equity securities price risk. Shares are being acquired for investment
purposes rather than.
The Bank’s sensitivity to equity price risk at the reporting date an analysis was conducted to measure. In the analysis, with the assumption
of all other variables were held constant (stock prices) are 10% higher or lower and is assumed that. According to this assumption in equity
securities revaluation reserve account TL 549,635 (31.12.2011: TL 425,018) increase / decrease is expected to be. This, in fact, the fair value
of publicly traded subsidiaries and associates the increase / decrease is due.
XIII. Explanations on the Presentation of Assets and Liabilities at Fair Value
1. Information on fair values of financial assets and liabilities
Book Value
Fair Value
Current Period Prior Period Current Period Prior Period
Financial Assets
Money Market Placements
43,141
43,141
Banks
1,434,846
2,254,336
1,435,488
2,255,204
Financial Assets Available for Sale
26,346,903 28,652,848 26,346,903 28,652,848
Investments Held to Maturity
10,953,158
13,465,702
11,737,347
14,145,880
Loans
107,142,154 91,620,638 109,328,315
91,315,884
Financial Liabilities
Banks Deposits
3,045,951
2,248,137
3,047,971
2,245,736
Other Deposits
102,337,483 96,064,997 102,336,717
96,050,566
Funds Provided from Other Financial
Institutions
10,747,554
11,148,208 10,780,406
11,132,274
Marketable Securities Issued
(1)
8,168,567
3,781,421
8,368,707
3,746,361
Miscellaneous Payables
3,674,259
3,340,950
3,674,259
3,340,950
(1)
Secondary subordinated issued bonds having credit quality, which are classified on the balance sheet under the subordinated loans, are also included
1...,143,144,145,146,147,148,149,150,151,152 154,155,156,157,158,159,160,161,162,163,...300