TÜRKİYE İŞ BANKASI A.Ş.
Notes to the Consolidated Financial Statements for the Year Ended
31 December 2012
246
İŞBANK
ANNUAL REPORT 2012
securities revaluation reserve account TL 288,943 (31.12.2011: TL 253,571) 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 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
81,675
171,613
81,675
171,613
Banks
4,551,893
4,747,906
4,561,539
4,753,110
Financial Assets Available for Sale
32,173,825
33,557,066
32,173,825
33,557,066
Investments Held to Maturity
11,048,779
13,707,432
11,838,343
14,394,632
Loans
(1)
116,233,423
99,432,775
118,594,871
99,113,476
Financial Liabilities
Banks Deposits
3,211,812
2,377,727
3,212,239
2,373,595
Other Deposits
102,799,048
96,454,269 102,768,626
96,385,596
Funds Provided from Other Financial
Institutions
19,161,912
18,874,275
19,164,808
18,733,054
Marketable Securities Issued
(2)
8,280,814
3,765,876
8,480,954
3,724,657
Funds Borrowed
9,745
7,894
9,745
7,894
Miscellaneous Payables
9,184,478
7,161,721
9,184,478
7,161,721
(1)
Includes factoring amounts.
(2)
Secondary subordinated issued bonds having credit quality, which are classified on the balance sheet under the subordinated loans, are also included.
Fair values of investments held to maturity and the marketable securities issued are determined by using the market prices; in cases where
market prices cannot be measured, quoted market prices of other securities that are subject to amortization having similar interest, maturity
and other conditions are taken as the basis for the fair value determination.
Market prices are taken into account in determining the fair values of the securities available for sale. When the prices cannot be measured
in an active market, fair values are not deemed to be reliably determined and amortized cost, calculated by the internal rate of return
method, are taken into account as the fair values. Fair values of banks, loans granted, deposits and funds borrowed from other financial
institutions are calculated by discounting the amounts in each maturity bracket formed according to repricing periods, using the rate
corresponding to relevant maturity bracket in the discount curves based on current market conditions.
2. Information on fair value measurements recognized in the financial statements
TFRS 7 “Financial Instruments: Disclosures” requires the items, which are recognized in the balance sheet at their fair values to be shown
in the notes by being classified within a range. According to this, the related financial instruments are classified into three levels in such a
way that they will express the significance of the data used in fair value measurements. At the first level, there are financial instruments,
whose fair values are determined according to quoted prices in active markets for identical assets or liabilities, at the second level, there
are financial instruments, whose fair values are determined by directly or indirectly observable market data, and at the third level, there
are financial instruments, whose fair values are determined by the data, which are not based on observable market data. The financial
assets, which are recognized in the consolidated financial statements at their fair values, are shown below as classified according to the
aforementioned principles of ranking.
Current Period
Level 1
Level 2
Level 3
Financial Assets at Fair Value Through Profit and Loss
Debt Securities
1,200,588
11,184
6,558
Equity Securities
195,388
Derivative Financial Assets Held for Trading
642,523
Other
17,077
129,323
Financial Assets Available-for-Sale
Debt Securities
24,611,395
6,084,344
1,221,353
Equity Securities
(1)
96,664
Other
119,253
Investments in Subsidiaries and Associates
(2)
2,889,429
Derivative Financial Liabilities
760,440
(1)
Since they are not traded in an active market, the equity securities (TL 40,816) under the financial assets available-for-sale are shown in the financial statements at acquisition cost and the
related securities are not shown in this table.
(2)
Since unlisted investments in associates and subsidiaries are recognized at acquisition cost within the framework of TAS 39, these companies are not included in table.
1...,238,239,240,241,242,243,244,245,246,247 249,250,251,252,253,254,255,256,257,258,...300