Isbank’s total assets have reached TL 167 billion and its total shareholders’ equity has risen to TL 21 billion. The Bank has posted TL 2,345 million net period profit.

In his written statement on the results of the first nine months of the year, Isbank’s Chief Executive Officer Mr. Adnan Bali stated that; Isbank has raised its asset size to TL 167 billion and its shareholders’ equity to TL 21 billion and said, “With the contribution of strong shareholders’ equity and high quality assets, the Bank’s net profit has increased by 30.1 % compared to the same period of the previous year and reached TL 2,345 million. The Bank continued its policy of steady and profitable growth in this period, too, and preserved its position as Turkey’s biggest bank”.

Raising its loan portfolio to TL 99 billion, Isbank has maintained its leading position by far in the sector in terms of lending. Isbank has always aimed to give optimum support to the real economy in a way to create mutual value. The Bank has also continuously taken innovative steps to meet the retail customers’ needs in the best possible way and kept contributing directly or indirectly to industry, exports, production and employment and remained near to its customers.

Isbank is determined to continue its extensive lending policy by pursuing its target of contributing to the economy and by increasing the support to its customers. Within this framework, in order for both diversifying its funding sources and increasing its support to the domestic economy and the real sector by extending its lending capacity, Isbank has procured a total of funds amounting to USD 1,500 million, by using the opportunities provided by the prevailing market conditions. USD 1 billion of these funds are qualified as subordinated loans sold to international investors in the foreign markets with a term of 10 years, and USD 500 million of them are bond issues with a term of 5 years.

With its extensive branch network, high service quality and its customers’ trust, Isbank maintained its leading position among private banks for many years. Isbank’s deposit base has exceeded TL 100 billion and risen to TL 102 billion. In this period, Turkish Lira savings deposits, the major deposit item, has reached TL 42 billion.

With the results it has achieved, Isbank has managed to strengthen its financial structure and increased its shareholders’ equity by 16.8 % to TL 21 billion in the first nine months of the year.

With the help of strong lending growth, the Bank has raised its net interest income and also had a good performance in transactions with commissions. The Bank’s net period profit was TL 2,345 million. Focused on sustainable and good quality profit, Isbank kept its profitability performance, using the funds it has achieved in the most efficient way.

At the end of his statement, Isbank’s Chief Executive Officer Mr. Adnan Bali said, “With the size and results it has achieved, the Bank has also become the biggest bank in the Turkish banking sector as well as “the leader of the private banks”. With its experience and know-how, Isbank leads the banking sector and successfully represents Turkey on the international platform through investing in the nearby geography. Isbank will continue to support the real economy and the Turkish economy and decisively implement its healthy growth strategy”.

Euromoney magazine, one of the most important finance publications in the world, has chosen Isbank “Turkey’s Best Bank”. Regarding the banking awards granted by Euromoney magazine since 1992, banks are evaluated according to criteria like service quality, sector leadership, innovation and their momentum in the market and there is only one bank chosen from each country.

Isbank, Turkey’s biggest bank, received the award on July 5th at the ceremony held in London. The CEO of Isbank, Mr. Adnan Bali, who has attended the awards ceremony, stated that as Turkey’s biggest bank, they have been proud to be chosen as Turkey’s best bank and said, “In our view, being big does not mean to be big only in financial terms. Being big also means being a corporation, which adds value to its customers, employees, shareholders and other parties”.

Mr. Adnan Bali reminded that as Isbank they were being sensitive towards all their stakeholders and said, “We believe that the reason why we are chosen as Turkey’s best bank by Euromoney is that we are reflecting our sensitivity to the way we make business.”

About 500 bank managers attended the ceremony held by Euromoney, which is the first publication that awarded success in the banking sector on a global base.

Isbank has also had the top ranking among Turkish banks in the “Top 1000 World Banks” list of the Banker magazine, one of the most prestigious finance publications in the world. Isbank ranked 115th in the Banker’s “Top 1000” list.

Isbank has received several awards in the international arena thanks to the innovative products and services it has developed as a result of its investments in technology and information systems infrastructure. Isbank has received another award from the Banker magazine, one of the most prestigious finance publications in the world. Isbank received the Banker magazine’s “Innovation in Banking Technology Award” in the category of “Innovation in Information Security” for the “Finger Vein ID” technology it has launched in Bioidentity POS machines in addition to the ATMs in order to allow its customers to make transactions more securely and quickly.

The applications for the awards were made from 32 different countries and the awarded institutions were chosen by the heads of banks’ information systems from various countries in the world. Isbank has been the only Turkish bank winning the award for its innovative services.

Mr. Hakan Aran, the Deputy Chief Executive of Isbank, stated that they have been proud to receive an award from such a prestigious publication like the Banker magazine for the innovative products and services they have provided to their customers. He said, “As Isbank, we are trying to give our customers fast and practical services with maximized security through all our channels. The “Finger Vein ID” technology, which we have launched in our ATMs (Bankamatik) and Bioidentity POS machines, is one of the innovative applications we have developed within this framework.”

Mr. Hakan Aran stated that by developing a biometric software, which identifies the customers’ finger vein maps, they have made ATMs and Bioidentity POS machines work much more securely. He said, “We have integrated the finger vein map, a unique code which cannot be copied, to the banking sector as a security step”.

İşbank’s asset size reached TL 163 billion, while its shareholders’ equity increased to TL 19 billion. The Bank’s net period profit stood at TL 708 million.

In his written statement on the results of the first three months of the year, İşbank’s Chief Executive Officer Mr. Adnan Bali stated that; remaining as Turkey’s biggest private bank in its 88th financial year, İşbank raised its asset size to TL 163 billion and its shareholders’ equity to TL 19 billion. Mr. Bali said, “Within the framework of its profitable growth strategy, İşbank managed to achieve a highly profitable performance in this period, too, and posted TL 708 million net profit on an unconsolidated basis with 6% increase compared to the same period of the previous year”.

While continuing to support projects, which will create employment and investment, trading, exports and industry with all its resources and energy, İşbank maintained to be the leader in lending in the banking sector. The total loan portfolio of the Bank, whose commercial loans amounted to TL 67 billion and retail loans to TL 26 billion, increased to TL 93 billion. Furthermore, the Bank restrained its NPL ratio to a low level of 2.1% and kept provisioning for 100% of its non-performing loans.

Thanks to its corporate identity, extensive branch network and high quality service delivery, İşbank has a large deposit base and with its TL 94 billion deposit base, maintained its leadership in deposits in this period, too, among private banks. In the first quarter of the year, the Bank continued to make maximum use of non-deposit funds in order to diversify its funding structure and obtain cost-effective funds and issued bills and bonds with a nominal value of TL 2.3 billion.

Successfully increasing its profitability performance, the Bank posted TL 708 million net profit on an unconsolidated basis with a 6% increase compared t the same period of the previous year. The Bank generated TL 1,312 million net interest income with a 17% increase due to the impact of the 49% increase in interest income on loans based on the growth in loan portfolio. The efficient management of cost of funding and the commission income, which amounted to TL 370 million, significantly contributed to profitability.

İşbank’s Chief Executive Officer Mr. Adnan Bali emphasized that with its 1,209 branches, 24,764 employees and solid financial structure, the Bank will keep being the biggest supporter of its customers and the real economy and also maintain its strategy of effective and efficient growth in Turkey and in the nearby geography with the same commitment..

İşbank posted TL 1,803 million net profit in the first nine months of the year, and increased its asset size  to TL 160 billion with 21% year to date growth.

In his written statement on the results of the first nine months of the year, İşbank’s CEO Mr. Adnan Bali stated that “Turkey’s largest private bank” İşbank, by sustaining its sound growth, raised its total assets by 21% from TL 132 billion to TL 160 billion in the first nine months of the year. He added that despite the developments that create pressure on the profitability and growth of the banking sector, İşbank performed in line with its profitability target and posted TL 1,803 million net profit in the period. On the other hand, İşbank’s shareholders’ equity increased by 5% in this period and reached TL 18 billion.

As a result of the strong growth performance both in Turkish Lira and Foreign Currency lending, total loans of İşbank that amounted to TL 64 billion at the end of 2010 rose by 33% and reached TL 85 billion at the end of the third quarter. 38% growth in commercial loans played a major role in the overall loan growth, and as a result of this, share of commercial loans in total loans increased to 72%. İşbank’s CEO Mr. Bali underlined that these successful results once again showed İşbank’s vigour and determination in supporting the real sector and contributing to the national economy.

İşbank continued to set aside 100% provision for non-performing loans thanks to its strong financial structure. The Bank managed to reduce its non-performing loans by 10% as a result of a decline in non-performing loan formation due to the positive effect of the economic conjuncture, as well as its effective policies in non-performing loan collections. İşbank’s non-performing loans ratio, which was 3.6% at year-end, decreased to 2.5% at the end of third quarter due to these positive changes and the solid growth in performing loans.

During this period, in which cost management has become crucial due to the competitive structure in the banking sector and the increase in funding costs, İşbank followed a strategy, which aimed to keep funding costs under control. On the other hand, there has been 6% growth in Turkish Lira savings deposit, which has a wide customer base depending on the trust in İşbank and the services we render to our customers with our large branch network. With its deposit base reaching TL 96 billion, İşbank kept being the symbol of “trust”.

İşbank earned TL 3,247 million net interest income in the first nine months of the year 2011. In this business conjuncture where the fees and commissions gained from banking services became more significant, İşbank succeeded to increase its net fees and commissions income by 11% to TL 1,026 million. On the other hand, general provision expenses, which significantly increased due to the legislations made, led to a 15% increase in provisions for non-performing loans and other receivables, compared to the same period of the previous year. In conclusion, İşbank gained TL 1,803 million net profit at the end of the nine-month period despite this business conjuncture where funding costs increased and growth was kept under control.

Concluding his remarks, İşbank’s Chief Executive Officer Mr. Adnan Bali said, “With its 1,194 branches and 24,788 employees, İşbank will continue its operations in the light of its vision  “to be the most preferred bank in Turkey for the customers, shareholders and employees, by maintaining its position as the leading, pioneering and trustworthy bank”.

While posting TL 1,476 million net profit in the first 6 months, İşbank’s assets reached TL 147,891 million. With its deposit base reaching TL 90 billion and loan portfolio reaching TL 77 billion portfolio, İşbank sustained its leadership in the banking sector in both areas. Ranking 100th in the “Top 1000 World Banks” list published by the Banker magazine and being the only Turkish bank among the top 100, İşbank, with its results achieved in the first half of the year, has strengthened its position of being the biggest private bank in Turkey.

Mr. Adnan Bali, CEO of Turkiye Is Bankasi, in his written statement on the first half results stated that; compared to the year end, İşbank increased its assets by 12.2% in the first half of the year to TL 148 billion, its shareholders’ equity by 5.9% to TL 18 billion and that the Bank’s net period profit was realized at TL 1,476 million. Mr. Bali said; “Ranking 100th in the “Top 1000 World Banks” list published by the Banker magazine and being the only Turkish bank among the top 100, İşbank, with its results achieved in the first half of the year, has strengthened its position of being the biggest private bank in Turkey”.

The loan portfolio of İşbank, entitled as the largest lender in the banking sector, increased by 19.5 % to TL 77 billion. During this period, The Bank’s commercial loans grew by 21% and its consumer loans by 17.4%. Enabled by its solid financial structure, the Bank continued to set aside 100 percent provision for the non-performing loans in this period. The CEO of İşbank, Mr. Adnan Bali said that the Bank, which will continue with its selective and prudent approach in loan growth by also pursuing the economic measures to be taken, will be one of the biggest supporters of the real economy in the coming period, too.

İşbank also achieved 2.0% increase in deposits, another item that the Bank is a leader among private banks, and raised its deposit base to TL 90 billion. As for the Turkish Lira savings deposits, which has the largest share in the Bank’s total deposit base, there has been 5.7% increase during this period.

Achieving 9.3% increase in interest income on loans compared to the same period of the previous year, parallel to the growth in loan portfolio, the Bank’s total interest income grew by 3.3% to TL 5,031 million and its net interest income was realized at TL 2,195 million. During this period, dividend income from participations contributed to the Bank’s results as well as commissions and other income. 

Concluding his remarks, İşbank’s Chief Executive Officer Mr. Adnan Bali said, “In the coming period, when the impact of the measures taken to cool off the economy will further be felt in addition to the declining margins and competitive market conditions, İşbank will continue to contribute to the domestic economy in accordance with its solid position in the banking sector”.

The Banker magazine, which is one of the most prestigious finance publications in the world, published its “Top 1000 World Banks” survey in its July issue. Ranking 100th in the list, which is based on banks’ Tier I capitals according to their 2010 year-end financial statements, Isbank left many European and Turkish banks behind and was the only Turkish bank among the top 100.

In the above ranking, which included 17 banks that are operating in Turkey, with its Tier I capital amounting to USD 11.7 billion on a consolidated basis, Isbank maintained its leading and pioneering position among Turkish banks thanks to its strong capital structure.

While posting TL 680.5 million net consolidated profit in the first quarter, İşbank’s consolidated assets reached TL 158.5 billion. İşbank, whose consolidated loan portfolio reached TL 76 billion 295 million with an increase of 10.4%, in addition to being the biggest private bank, has also been entitled as the largest lender in the sector. The Bank’s consolidated TL savings deposits increased by 4.1% and reached TL 39 billion 838 million, which is a significant threshold.

Mr. Adnan Bali, CEO of Turkiye Is Bankasi, in his written statement on the first quarter results said that; “İşbank, the biggest private bank in Turkey, increased its consolidated assets by 5.1% to TL 158.5 billion and realized its net period profit at TL 680 million 516 thousand by carrying out with determination its healthy growth target, which is supported by sustainable profitability”.

İşbank, whose consolidated loan portfolio reached TL 76 billion 295 million with an increase of 10.4%, in addition to being the biggest private bank, has also been entitled as the largest lender in the sector. Being one of the biggest supporters of the domestic and the real economy since its establishment, the Bank has strengthened its aforementioned position by its performance during the period. While continuing to improve its asset quality, the Bank decreased the balance of its non-performing loans portfolio compared to the end of the previous year and kept 100 percent provisioning for the non-performing loans.

Continuing to be the most important address among private banks for savers with its solid financial structure thanks to its strong financial structure, large branch network and corporate identity formed by 87 years of experience, İşbank increased its consolidated deposit base by 3.1% reaching TL 91.2 billion and has strengthened its leadership among private banks in terms of deposits as well.  The Bank’s consolidated TL savings deposits increased by 4.1% during this period and reached TL 39.8 billion, which is a significant threshold.

In a period when the costs had tendency to increase and the profit margins had a speedy downfall, the Bank managed to increase its interest income on loans by 7.5% compared to the same period of the previous year with the help of strong increase in volume. The Bank gained TL 1 billion 311 million consolidated net interest income and closed the period with TL 680 million 516 thousand net profit.

In line with the mission of being a regional power and the expansion in the neighboring geography of our country, İşbank has accelerated its steps taken in increasing the operational presence in surrounding countries. The branch in Iraq’s Arbil city began to operate in the first quarter. Continuing to expand its branch network in the high-potential markets within the country, the Bank’s number of branches, which was 1,127 at the end of the year, reached 1,143.

Concluding his remarks, İşbank’s Chief Executive Officer Mr. Adnan Bali said “While the sector enters a period of diminishing acceleration in terms of both profitability and growth, İşbank will resolutely continue its attempts with a desire to provide the best service to its customers thanks to its strong consolidated shareholders’ equity amounting TL 19.1 billion, consolidated asset size amounting TL 158.5 billion and 24,428 self-sacrificing employees.”

Mr. Ersin Özince, the CEO of İşbank, shared the 2010 results of the Bank in the press conference made prior to the Annual General Meeting. Stating that İşbank had a successful year in 2010 in every aspect, Mr. Özince said, “2010 has been a year in which the net profit was increased considerably as a result of the compensation of the decrease in interest margins with the growth in business volume and the recovery in asset quality, and in which satisfying results for our customers, shareholders and employees were achieved”.

Mr. Özince stated that İşbank maintained the healthy and sustainable development of its financial structure and said, “In 2010, where there was a strong recovery in Turkish economy, İşbank had a successful year in terms of profitability, increase in business volume and infrastructure investments”. Stating that İşbank’s total assets increased by 16.4%, reaching TL 131.8 billion, Mr. Özince indicated that İşbank increased its total deposits by 22.3% and its shareholders’ equity by 26.1%. İşbank raised its total net profit to TL 2,982 million with a 25.7% increase compared to the previous year.

While reaching an asset size of TL 131.8 billion, İşbank also increased its shareholders’ equity to TL 17 billion with a growth rate of 26.1% compared to the previous year. Total loans grew by 32.9%, reaching TL 64.2 billion, and total deposits reached TL 88.3 billion with 22.3% annual growth.

In 2010, İşbank’s number of domestic branches rose by 49 branches to 1,127, and number of employees reached 23,944, together with the recruitment of 2,303 new employees during the year.

İşbank’s traditional press conference, which is organized before the Annual General Meeting each year, was held at İşbank Headquarters on March 31st. While informing the audience about İşbank’s market position and performance in the last ten years, Mr. Ersin Özince stated that in ten years İşbank increased its total assets approximately by 8 times, its loans by 15 times and its deposits by 9 times; whereas these increases in the sector were 16 times, 19 times and 18 times for total assets, loans and deposits, respectively. Mr. Ersin Özince also mentioned that while the sector growth rates in number of employees and number of branches were 5% and 21%, respectively at the end of 2010 compared to 2000; İşbank’s number of employees and number of branches rose by 48% and 34% in the same period.

Mr. Ersin Özince, the CEO of İşbank, evaluated 2010 financial condition of the world economy, Turkey and İşbank. Stating that in 2010, a year during which the world economy started to grow again, while developing countries showed a strong growth performance, the economic activity in developed countries followed a moderate course. Mr. Ersin Özince said, “It is estimated that the world economy grew by 5% on average in 2010. In this period, during which the effects of the global crisis decreased throughout the world, İşbank maintained its growth and continued to develop its infrastructure. Mr. Ersin Özince said that, contrary to many countries, Turkey’s credit rating was upgraded by international rating agencies on the way out of the crisis.

Expressing that İşbank has grown its total assets to TL 131.8 billion with an increase of 16.4%, its deposits by 22.3%, its shareholders’ equity by 26.1% and its total loans by 32.9%, Mr. Ersin Özince said that as one of the most trustworthy institutions in Turkey, they are proud of being the most preferred bank by depositors, thanks to the versatile and long-lasting relationships built with customers. Mr. Ersin Özince said, “İşbank increased its shareholders’ equity by 26,1%, which reached to TL 17 billion. As of year-end 2010, İşbank’s capital adequacy ratio was 17.5% and Tier I ratio was 15.7%. Our strong shareholders’ equity and capital adequacy ratio, which is well above legal requirements, are among the most important items which support our sustainable growth.”

Mr. Ersin Özince stated that İşbank’s branch network expanded by 49 branches to 1,127, and that considering the potential of Turkey in terms of banking operations, İşbank will continue to increase the number of branches in 2011, by evaluating the opportunities in various markets. Mr. Ersin Özince said “We added 2,303 new employees to our staff and our number of employees reached 23,944. We are very pleased with our investments in domestic branch network, which serve us to be the closest bank to its customers.”

Mr. Ersin Özince expressed that İşbank has undertaken many projects which contributed to the development of the domestic economy, with the high quality financing solutions it provided with its experience supported by technical and financial analyses, and the resources it allocated in the real sector. Mr. Ersin Özince stated “İşbank continued its strong position in 2010, by transferring funds in the forms of cash and non-cash loans to the financing of acquisition projects, including privatizations, especially in the energy, transportation and manufacturing sectors, which are the driving forces of the economy.”

İşbank’s CEO Mr. Ersin Özince stated that as of 2010 year-end, İşbank has direct participation in 27 companies operating in finance, glass, telecommunication and services sectors and the number of companies controlled indirectly by the Bank is 106. Mr. Ersin Özince added “According to the consolidated financial statements, which show the performance of İşbank and its 18 participations in the financial sector, our consolidated total assets and shareholders’ equity reached TL 151 billion and TL 19 million, respectively, while our consolidated net profit increased by 17.4% reaching TL 3 billion 232 million. İşbank, whose value increases with its participations, will continue its operations, with the awareness of its role and importance in the Turkish economy.”

Having gained TL 5.4 billion net interest income on a consolidated basis thanks to its efficient cost management despite the reduction in interest rates on loans, Isbank’s net consolidated profit increased by 17% compared to the previous year, realizing at TL 3,232 million. The CEO of Isbank, Mr. Ersin Ozince said, “Isbank, with the power of its strong financial structure, will continue its determination to pursue its healthy and profitable growth in domestic economy and in the neighboring geography, with an increasing pace”.

Isbank, whose consolidated assets reached TL 151 billion, posted TL 3.2 billion net consolidated profit in 2010. Isbank strengthened its financial structure by raising its shareholders’ equity to TL 19 billion and Isbank maintained its market leadership among private banks with its deposits amounting to TL 88 billion. Also, total loans, which the Bank managed to increase by 31 percent when compared to the previous year, reached TL 69 billion.

Mr. Ersin Ozince, CEO of Turkiye Is Bankasi, said in his written statement on 2010 results that; “Thanks to its healthy and profitable growth strategy, which it executed with determination, Isbank managed to increase both its consolidated assets and its net consolidated profit by 17 percent, compared to the previous year and with its TL 151 billion consolidated assets and TL 3.2 billion net consolidated profit the Bank strengthened its solid position in the sector”.

Making significant contribution to domestic economy by extending funds to the real economy, Isbank increased its consolidated loan portfolio by 31 percent, compared to the previous year. As the leading TL lender in the sector, Isbank’s total consolidated loan portfolio reached TL 69 billion, TL 45 billion of which is TL lending and TL 24 billion is in FX lending. The increase in consumer loans, mainly driven by housing loans, and the growth in corporate and commercial loans contributed to the Bank’s successful performance.

While the consolidated NPL ratio, which was 5.1 percent at the end of the previous year, retreated to 3.4 percent, Isbank continued to provide 100 percent coverage for the non-performing loans. The successful performance in the management of non-performing loans made significant contribution to the considerable reduction in the Bank’s NPL ratio.

Being one of the most trustworthy and prestigious companies with the highest brand values, Isbank continued to be the most preferred bank by the deposit holders, both with these qualities and with its customer oriented service approach.

Isbank increased its consolidated deposit base by 23 percent, which is beyond the increase in the sector, to TL 88 billion. 27 percent and 45 percent increase in TL savings deposits and TL commercial deposits respectively, were effective in the afore-mentioned development.

Despite the pressure on the interest income coming from the decreasing interest rates on loans, having gained TL 5.4 billion net interest income on a consolidated basis thanks to its effective cost management, Isbank’s net profit increased by 17% compared to the previous year, realizing as TL 3,232 million. The 50% decrease in loan loss provisions due to the decrease in additions to NPLs and recoveries from NPLs were other elements affecting this performance.

In addition to the continuously improving profitability performance, gains in the market capitalizations of listed participations resulted in 24 percent of increase in the consolidated shareholders’ equity of the Bank, that reached TL 19 billion and helped to strengthen the financial structure.

Continuing its investments in the country, Isbank’s number of branches, which was 1,093 at the end of last year, reached 1,142 as of the end of 2010. This expansion in branch network was reflected to the number of employees, and the number of employees, which was 22,473 at the end of 2009, reached 23,944 as of the end of 2010. Thus, Isbank’s contribution to the employment in the labor market during the global crisis in recent years, continued increasingly.

With the results obtained, the Bank has achieved a financial structure that helps it with regional effectiveness. Within the context of the Bank’s growth strategy in the neighboring geography which has high banking potential and potential for creating synergies, the share purchase agreement was signed for the full acquisition of Bank Sofia operating in Russia and the transfer process has been initiated. In 2010, the Bank opened a representative office in Egypt. The Bank will start to operate a branch in each of Iraq’s Baghdad and Arbil cities, and initiatives regards to opening a representative office in Syria are about to be finalized.

In his evalution on the subject, Mr. Ersin Ozince, Isbank’s Chief Executive Officer, said “Isbank, with the power of its strong financial structure, will continue its determination to pursue its healthy and profitable growth in domestic economy and in the neighboring geography, with an increasing pace”.

Brand Finance Plc., in association with the Banker Magazine, launched its Top 500 Banking Brands List, where rankings were made in terms of both brand strength and brand value. Turkiye Is Bankasi ranked 75th and also it has the highest rank among the Turkish banks, which are in the top 100 banks of the aforementioned list.

According to “The Top 500 Banking Brands List”, brand value of Turkiye Is Bankasi increased to USD 2.280 billion in 2010 from USD 1.662 billion in 2009, which boosted Isbank’s ranking to 75th from 91st. Being among the top 100 in the Top 500 Banking Brands Index for the last three years, and having the highest rank among the Turkish banks in the latest top 100, Turkiye Is Bankasi has once again proved to be one of the most trustworthy and reputable companies in the international finance sector.

While posting TL 2,440 million net profit for the first nine months of the year, with 21% increase when compared to the same period of the previous year, İşbank raised its total assets to TL 141,486 million. In this period İşbank increased its loan portfolio by 19% to TL 62,895 million, thus kept its leading position in terms of Turkish Lira lending. İşbank opened 42 branches in this period and increased the number of its branches to 1,135. Having recruited 1,859 employees during the period, İşbank strengthened its leadership among private banks in the number of branches and employees.

On the other hand, İşbank signed a share purchase agreement to wholly purchase Joint Stock Company Bank Sofia that operates in Russia.

In his written statement on the results regarding the first nine months of the year, Mr. Ersin Özince, the CEO of Türkiye İş Bankası, said: “İşbank raised its assets on a consolidated basis to TL 141 billion in the first nine months of the year, with a 10% increase when compared to the year-end and the Bank’s consolidated net profit increased by 21%, compared to the same period of the previous year, reaching TL 2,440 million. While the high performance both in asset size and in profitability indicates that the Bank successfully implements its risk management and profit oriented growth strategy, the size of our shareholders’ equity, which reached TL 17.5 billion, helps us to reinforce our regional power.”

İşbank, which has contributed significantly to the development of the domestic economy by providing funds to the real sector since its establishment, successfully followed this mission in the first nine month period of the year, as well. On a consolidated basis, compared to year-end, the TL and FX loans of the Bank increased by 17% and 23%, respectively, leading to a 19% increase in total loans. The total loans of the Bank reached TL 62,895 million and the Bank has maintained its leading market position in TL loans. The Bank, which has managed to keep the increase in non-performing loans (NPLs) at a limited level, maintained its 100% provisioning policy for the NPLs.

With its distinctive corporate structure and identity, İşbank has managed to be one of the most trusted brands of the country since its establishment. Thanks to its strong franchise as well as high quality service it renders and the innovations it introduces to the sector, İşbank, maintained its position as the most preferred private bank by the depositors and retained its leading position among the private banks by its deposit volume of TL 80,406 million, on a consolidated basis. The Bank, which has managed to grow its TL savings deposits on a consolidated basis, above sector average, by 18% compared to year-end, has also increased its total deposits by 12% on a consolidated basis.

Despite the narrowing interest margins, İşbank, thanks to the funds obtained at favorable costs, has gained TL 4,069 million net interest income on a consolidated basis in the first nine months. Parallel to the decline in the amount of loans transferred to the NPLs, the provision expenses of the Bank has decreased by 44% compared to the same period of the previous year. In addition to the aforementioned favorable developments as a result of high collection rates in NPLs and contribution from commission income, the Bank has increased its net profit on a consolidated basis to TL 2,440 million by 21% increase compared to previous September.

Continuing its investments to expand its branch network, İşbank has increased the number of branches to 1,135, which were 1,093 at the end of 2009. In the first nine month period, the number of people employed by the Bank, which retained its policy of creating employment, has reached 1,859. On the other hand, within the framework of its initiatives to perform banking services in the neighboring geography, the Bank has recently signed a share purchase agreement to wholly purchase Joint Stock Company Bank Sofia that operates in Russia.

Concluding his remarks, İşbank’s Chief Executive Officer,  Mr. Ersin Özince stated that “İşbank, continuing its healthy growth, possesses the required determination, discipline and banking experience within its structure. The Bank, taking significant steps in its region as well, with its current levels of high shareholders’ equity will continue to progress towards its objectives.”

At the end of the first half of 2010, İşbank posted a net profit of TL 1,802 million with a year-on-year increase of 31%. Asset size of the Bank reached TL 124 billion at the end of the period.

In his written statement about the first half results, Mr. Ersin Özince, İşbank’s Chief Executive Officer, said “In the first six months of the year, İşbank managed to grow its total assets to TL 124 billion, implying a 9% increase compared to the year-end. Whilst displaying such a successful growth performance, the Bank continued to increase its interest earning assets and posted satisfactory results in profitability as well as in growth.” İşbank’s Chief Executive Officer Mr. Ersin Özince also stated that the consolidated total assets of İşbank reached TL 140 billion and the consolidated shareholders’ equity rose to TL 16 billion, which is the highest level among the private sector banks.

İşbank, considering the support given to the Turkish industry and trade as one of its most important missions since its establishment, increased its TL loans by 15% and FC loans by 24%, and as a result, its total loan portfolio reached TL 57 billion, with an above sector growth rate of 18%. İşbank increased its loan portfolio by 17% reaching TL 62 billion on a consolidated basis and became the market leader in loans with this successful performance. Together with the 22% increase in corporate and commercial loan portfolio, the 16% growth in housing loans, as a result of the continuation of the successful performance in this category also in the second quarter, played an important role in the afore-mentioned outcomes. While growing its loan portfolio, the Bank maintained its 100% provisioning policy for the non-performing loans.

İşbank reinforced its leading position among private sector banks in deposits by outperforming the sector growth to achieve a deposit volume above TL 80 billion, and continued to be the primary choice of the depositors. While growing its total deposits by 11% compared to the year end, the Bank’s growth in TL deposits was realized at 21%, which is substantially higher than the sector growth.

Despite the pressure on the net interest income due to the rise in funding costs and the repricing of interest earning assets in the first half of 2010, the Bank, thanks to its increasing business volume, succeeded to increase its net interest income compared to the same period of the previous year. Having a decline in the amount of loans transferred to NPLs and achieving a successful performance in the collection of NPLs, the Bank increased its profitability with the contribution of other operating income. Having also increased its dividend income from equity participations, the Bank gained TL 1,802 million net profit on an unconsolidated basis and due to the elimination effect of the dividends collected during the period, gained TL 1,756 million net profit on a consolidated basis.

İşbank, as well as transferring funds to real sector, continued to contribute to the domestic economy by creating job opportunities within the framework of its investments aiming to widen its branch organization. The Bank’s number of branches, which was 1,093 at the end of the year, reached 1,119, and the number of its employees, which was 22,473, reached 23,665. On the other hand, İşbank continued with its initiatives in performing banking services in the markets it considers to be profitable in the neighboring geography. In this context, the Bank’s representative office in Cairo was opened in June.

Concluding his remarks Mr. Ersin Özince, İşbank’s Chief Executive Officer stated that “İşbank, with its shareholders’ equity exceeding TL 16 billion, is determined to continue to pursue its sound and sustainable growth strategy with profitability by making the best use of its strong financial structure, in an effort to increase the shareholder value and support the domestic economy.”

Isbank ranked 103rd, leaving behind many European and Turkish Banks in the “Top 1000 World Banks” survey of The Banker magazine, which is one of the most prestigious finance publications in the world. The magazine has ranked the world banks according to their Tier I capitals as at the end of 2009. In this survey Isbank’s BRSA based consolidated financial statements as of 2009 year-end were taken as a basis.

Isbank, which is placed in upper ranks of the list with its Tier I capital of USD 10.1 billion, ranked first among other 15 Turkish banks in the list, this year as well. The magazine’s evaluations have once again shown that Isbank has a strong, leading and pioneering position both in Turkey and abroad.

In his statement, İşbank’s Chief Executive Officer Mr. Ersin Özince stated that İşbank made TL 955 million consolidated net profit in the first quarter of the year with 47% increase compared to the same period of the previous year. Total consolidated assets of the Bank reached TL 134 billion. While attaining a significant growth of 7% in housing loans at the end of the first quarter of 2010, İşbank, continuing to be the primary choice of depositors, increased its total deposits by 5% to TL 75 billion 363 million, on a consolidated basis.

In the first quarter of 2010, İşbank expanded its branch number to 1,099 and employee number to 23,040, and also maintained its leadership among the private sector banks, in terms of total deposits, number of branches and number of employees. Özince, in his statement, indicated that in an environment, in which the crisis conditions are not completely over and fluctuations can be seen occasionally, İşbank will continue to pursue its policy of prudent growth and keep on supporting the domestic economy.

İşbank made TL 955 million net profit in the first quarter of the year on a consolidated basis with a 47% increase compared to the same period of the previous year and its consolidated total assets reached TL 134 billion.

In his written statement about the first quarter results, Mr. Ersin Özince, İşbank’s Chief Executive Officer, said “Successfully implementing its sound and sustainable growth policy, İşbank increased its total assets in the first quarter of the year by 4% compared to 2009 year-end, reaching TL 134 billion on a consolidated basis. Without giving up the risk sensitive and profit oriented approach in implementing its growth policy, the Bank kept harvesting the results of this strategy. TL 955 million net profit on a consolidated basis, which increased by 47% compared to the same period of the previous year, supported the Bank’s strong financial structure and improved its capacity of generating good quality and profitable assets”.

With an approach that considers the element of risk to the maximum extent in lending, İşbank increased its loan portfolio in the first quarter of the year by 4% on a consolidated basis, compared to the end of the prior year. In this period, the Bank increased its housing loan portfolio by 7% and had a remarkable progress in this area. As at the end of March, the Bank’s total loan portfolio reached TL 54 billion 791 million on a consolidated basis.

Thanks to its strong financial structure, the Bank maintained its 100% provisioning policy for the non-performing loans.

İşbank, being the primary choice of depositors thanks to its contributions to the domestic economy since its establishment, its corporate identity, its innovative approach and strong financial structure, İşbank continued its permanent leadership in deposits among private banks. The Bank outperformed the growth in the banking sector and raised its total deposits to TL 75 billion 363 million on a consolidated basis, with a 5% increase compared to the year-end.

Parallel to its faith in the future of our country, İşbank has continued its investments also in this periodby opening new branches and recruiting new staff. The Bank’s number of branches, which was 1,093 at the end of the year, reached 1,099 and the number of its employees, which was 22,473, reached 23,040. Taking pride in contributing to the domestic economy by also creating job opportunities, the Bank continued its efforts in order to operate in foreign countries, which have close business relations with Turkey.

While concluding his remarks, Mr. Ersin Özince stated that İşbank is committed to sustain its prudent growth policy in an environment where crisis conditions have not thoroughly ended and where fluctuations are seen occasionally, and the Bank will continue to support domestic economy.

The CEO of Isbank, Mr. Ersin Özince, evaluated the Bank’s 2009 results:

Isbank created value for all its stakeholders in the year 2009

Mr. Ersin Özince, the CEO of Isbank, shared the 2009 results of the Bank in the press conference made prior to the Ordinary General Meeting. Stating that Isbank had a successful year in 2009 in every aspect, Mr. Özince said, “We made our best effort to keep our Bank and our customers protected from the reservations felt both in the financial and real sector during the year 2009, when there has been stagnation due to the global crisis”.

Indicating that the Bank has continued the healthy and sustainable development of its financial structure, Mr. Özince said, “Despite the crisis condition, we have preserved our faith in the future of Turkey. In 2009, we have added 60 new domestic branches to our branch network and hired almost 2,500 young bankers. With this investment, our Bank not only boosted its service force but also created an impact that would change the process of employment contraction in the sector”.

Mr. Özince stated that Isbank has raised its total assets to TL 113,223 million with an increase of 16% and expressed that the Bank has grown its deposits by 14% and its shareholders’ equity by 43%.

Isbank’s traditional press conference that is held every year prior the Ordinary General Meeting, took place in the Head Office on March 31st, 2010. Isbank increased its net profit in 2009 to TL 2,372 million with a 57% increase compared to the previous year.

Having increased its total assets by 16% to TL 113,223 million, Isbank has also grown its shareholders’ equity to 13,494 million with an increase of 43%. In this period, the Bank’s loan portfolio reached TL 48,335 million with 2% increase and its total deposits stood at TL 72,177 million.

In 2009, Isbank launched 60 new branches, increasing the number of its total domestic branches to 1,078. Recruiting nearly 2,500 new personnel, İşbank has also increased the number of its employees to 22,473.

Continuous growth in stagnation

Evaluating the year 2009 financial results in the press conference, the CEO of İşbank, Mr. Ersin Özince stated that Isbank constantly continued its growth and infrastructure development in a time when there was a stagnation on a global scale due to the global crisis and he said, “We made our best effort to keep our Bank and our customers protected from the reservations felt both in the financial and real sector during the year 2009, when there has been stagnation due to the global crisis”.

Expressing that in the year 2009, Isbank has made a strong performance, which reinforced the shareholder value, Mr. Özince said, “Despite the crisis condition, we have preserved our faith in the future of Turkey. In 2009, we have added 60 new domestic branches to our branch network and hired almost 2,500 young bankers. With this investment, our Bank not only boosted its service force but also created an impact that would change the process of employment contraction in the sector”.

Mr. Ersin Özince expressed that in the year 2009, İşbank has increased its total assets by 16% to TL 113,223 million, grown its deposits by 14% and its shareholders’ equity by 43%. He also stated that the loan growth was 2% due to the crisis conditions and the contraction in demand for credit. Drawing attention to the fact that there has been a significant increase of 35% in net interest income, which comprises a major part of the income sources, Mr. Özince indicated that the amount of TL 4,867 million gained, was a clear reflection of the results of the risk sensitive, prudent and proactive policies followed by the Bank. Mr. Özince continued as follows:

“In a year when policy and market rates plummeted to the lowest levels in the near past, our Bank managed to control the interest income as well as the interest expenses in these market conditions. The basic source of growth in the net interest income was that policies to create efficient and high quality assets were followed in this period and that relatively higher cost funds were avoided”.

Branching and employment

Having stated that they have added 60 domestic branches to the service network and increased the number of domestic branches to 1,078, Mr. Özince expressed that they have also followed a policy, which would change the employment contraction in the sector by way of new recruitments. Mr. Özince stated that they have boosted the service force with nearly 2,500 young bankers and said “While there are reservations even in preserving the current conditions in the sector, Isbank feels the legitimate pride for its successful investments”.

We have financed 10 year-long projects

Mr. Ersin Özince indicated that the year 2009 has been one where Isbank’s activities in project financing have been in the forefront and he made the following evaluations:

“Having faith in the future of Turkey and the future of its real sector, İşbank signed project financing agreements with maturities of up to 10 years during a crisis period when global development and investment banking giants were forced into bankruptcy or a take-over. The resources our Bank provides for projects that constitute foundation stones for the future of Turkey, especially in the energy sector, have reached to significant levels.”

Sustainable and strong financial structure

Mr. Özince expressed that İşbank has successfully maintained a high level of capital adequacy through the policies that not only allowed İşbank to sustain but also improve its strength in an increasingly competitive market environment in recent years. He said, “the growth in both the Bank’s and its subsidiaries’ shareholder equity as of year-end of 2009 provides İşbank the opportunity to create the most potent shareholder value within the financial sector in the future. Moreover, this growth embodies İşbank’s market leading position and serves as an example of sustainability for the Turkish economy and the financial sector”.

Mr. Özince said that with the completed comprehensive transformation projects it is aimed to establish the foundation of a banking culture that can expand easily beyond the borders of Turkey.  He added that İşbank is aiming to have a flexible and robust organizational structure that allows it to compete successfully with strong and well-capitalized international competitors in both Turkey and the surrounding region.

Customer-centric business model

Mr. Özince stated that the Customer-Centric Transformation Program, which has started in 2006, has been completed and he said, “The targets of the Customer-centric business model have been achieved. In this three-year period, multifaceted improvement and development initiative for Isbank’s organizational structure, processes, products, and technologies were made, and corporate competencies required by our customer-centric business model were successfully developed.”

Isbank, in relation to the syndicated loan taken in 2009, received the “Best Turkish Loan” award from the "Syndicated Loans and Leveraged Finance" Awards organized by Euroweek  to choose the best banks, investors, borrowers and transactions.

Euroweek, a global capital markets magazine in London, chose Isbank’s syndicated loan amounting to almost USD 780 million as the “Best Turkish Loan”. The agreement for the dual tranche loan, in USD and in EUR, with one year maturity, was signed on September 14th, 2009.

Organized for the seventh time this year in London, the “Syndicated Loans and Leveraged Finance” Awards are given according to the results of the survey conducted among the banks, investors and borrowers.

The price level for the syndicated loans that are taken by the Turkish banks from the international markets in 2009 started to decrease for the first time following this loan received by Isbank. 

Isbank made TL 2 billion 752 million net profit on a consolidated basis in the year 2009 with a 51% increase compared to 2008 and its total Assets on a consolidated basis reached TL 128 billion 916 million. Isbank maintained its leadership in TL loans in this period, too.

Isbank raised its shareholders’ equity to TL 15.3 billion on a consolidated basis, at the end of 2009 and became the largest bank in the banking sector with regards to shareholders’ equity.

With the 54 branches added to its service network in 2009, Isbank increased the number of its branches to 1,093 and despite the negative conditions in the economy, the Bank continued its policy of expanding its banking services with its faith in Turkey’s future. Isbank, which continued to contribute to domestic employment, increased the number of its employees by 1,549 people in 2009 and raised it to 22,473.

Isbank, which keeps its efforts to create profitable assets without giving away prudence, raised its total assets to TL 128,916 million on a consolidated basis, with a 16% increase compared to the previous year.

Due to the massive contraction in demand for loans in the year 2009 caused by the global economic crisis, which was effective throughout the world and in Turkey beginning from the second half of the year 2008, and in parallel with this contraction in demand, the increasing prudency in lending in the banking sector led to a significant decrease in the total loan growth. Isbank, which kept its leading position in TL loan portfolio despite the crisis conditions, raised its TL loan portfolio by 5% on a consolidated basis and successfully increased its total loans by 2%. The Bank’s total loan portfolio as at the end of 2009 reached TL 52,760 million on a consolidated basis.

Although there was a significant increase in non-performing loans due to the crisis, Isbank continued with its 100 percent provisioning policy with the help of its solid financial structure.

Due to the contraction in demand for loans and the increase in risks, the asset growth was rather in the securities portfolio, as it was in the banking sector in general. Within this frame, in total assets, the share of securities portfolio, which grew by 53% compared to the previous year, increased from 27% to 35%.

Despite the increasing interest rate sensitivity due to rapidly decreasing interest rates, the Bank has succeeded in both keeping the funding costs at favorable levels and increasing its deposits, by taking costs into utmost consideration in the funding of assets. In this context, while increasing its total deposits by 14,4%, the Bank has also utilized other funding opportunities at a favorable cost through funding sources other than deposits, and increased its net interest income by 25% compared to the end of the previous year.

In addition to the improvement in net interest income; with the contribution of other income, the Bank increased its consolidated operating income by 22%. Finally, the net consolidated profit of the Bank as a result of its operations in 2009 increased by 51% compared to the end of the previous year, reaching TL 2,752 million.

High profitability as well as the positive developments in valuation of the securities and participations portfolio, increased Isbank’s consolidated shareholder’s equity by 28%, reaching TL 15 billion 306 million, the largest shareholder’s equity figure in the Turkish banking system.

The disclosure made by the Bank drew attention to the fact that, while the negative effects of the crisis on employment has been effective to an extent in the banking system as well, Isbank contributed to increasing employment in 2009, performing its social responsibility by returning back to the country what it has received from it. In this respect, Isbank increased its number of employees by 1,549, reaching a total number of employees figure of 22,473 in 2009, and continued with its contribution to the employment in the country.

With the 54 branches added to its service network in 2009, Isbank increased the number of its branches to 1,093 and despite the negative conditions in the economy; the Bank continued its policy of expanding its banking services with its faith in Turkey’s future.

In the disclosure made by the Bank, it was said that “Isbank will continue to contribute to the growth of our country with its customers, shareholders, employees and partners and to grow in the upcoming period as well, like it had in 2009 and before. Isbank will continue to grow its operations in Turkey as well as in nearby countries in light of its strategic targets, by using its strong shareholders’ equity based on its 85 years of knowledge, accumulation and shareholders’ support, with respect to efficiency and prudency principles.”

Brand Finance Plc., in association with the Banker Magazine, launched the fourth edition of the Global 500 Banking Brands Index, where rankings were made in terms of both brand strength and brand value. Turkiye Is Bankasi ranked 91st and also it is the only Turkish bank among the top 100 banks in the aforementioned list.

According to “Global 500 Banking Brands Index”, brand value of Turkiye Is Bankasi increased to USD 1.662 billion from USD 1.208 billion. As the only Turkish bank among the top 100 in the Global Banking Brands Index, Turkiye Is Bankasi has once again proved to be one of the most trustworthy and reputable companies in the international finance sector.

HIGHLIGHTS ON THE THIRD QUARTER:

Isbank posted TL 2,021 million net profit on a consolidated basis in the first nine months of the year with a 33% increase compared to the same period of the previous year and its consolidated total assets reached TL 122,303 million.

In his written statement on the first nine months of the year, Mr. Ersin Özince, the Chief Executive Officer of Isbank, said “In this period, during which the impacts of the global crisis were highly prominent, the growth delivered and the profit gained, by pursuing quality, have been the result of the Bank’s correct strategies, which have been successfully carried on.”

Having expanded its total assets by 10% to TL 122,303 million and raised its shareholders’ equity by 21% to TL 14,510 million, Isbank posted TL 2,021 million net consolidated profit by boosting its gross profit by 45% and its net profit by 33% compared to the same period of the previous year.

Thanks to its strong financial structure, the Bank continued its prudent policy by provisioning 100% for the non-performing loans.

With a growth of 10 % since the end of the previous year, Isbank increased its deposit base to TL 69,390 million and with this performance, strengthened its leadership among private banks in terms of total deposits.

Continuing to expand its franchise by opening branches in profitable markets, Isbank increased the number of its domestic branches to 1,067, and the number of its employees to 22,258. Considering contribution to national economy as one of its most significant missions, Isbank continued to serve for this aim in the best way by creating new job opportunities, as well as supporting the real sector.

Mr. Ersin Özince made the following statements:

In the first nine months of 2009, Isbank expanded its total assets by 10.0% since the end of the previous year to TL 122.303 million on a consolidated basis. In this period, during which the impacts of the global crisis were highly prominent, the growth achieved by pursuing quality, has been the result of the Bank’s correct strategies which have been successfully carried on. Accompanied with the growth strategies focusing on profitability, the Bank posted a net profit of TL 2,021 million on a consolidated basis, with a 32.7 % increase compared to the same period of the previous year. Thereto, the Bank’s consolidated shareholders’ equity, which was TL 11,991 million at the year-end, was raised by 21.0 % reaching TL 14,510 million, becoming the largest shareholders’ equity in Turkey on a consolidated basis.

During this period in which the ongoing impacts of the crisis were observed, Isbank endeavored pursuing its lending policies on a sound basis without sacrificing prudency, and substantially succeeded to a great extent. While the Bank’s loan portfolio on a consolidated basis was realized as TL 50,100 million, maintaining the same level as at the end of the first half, the Bank enabled to retain its 100% provisioning policy against non-performing loans, pursuing its prudent stance.

Isbank expanded its consolidated deposit base by 10.2% to TL 69,390 million since the year-end. With this growth, the Bank sustained its leadership among private banks in terms of total deposits. In the third quarter, the Bank, which utilizes non-deposit funding sources at relevant cost, extended for 1 year the term of USD 350 million and EUR 293.5 million of the syndicated loan agreement, which was signed in September 2008. The extension of the term of the related syndicated loan secured with the participation of 41 international banks has been important with respect to indicating that Isbank has a high reputation in international markets.

Parallel to its success in sustaining efficient policies in choosing profitable assets and managing funding cost, while raising interest income from loans by 10.6 % on a consolidated basis compared to the same period of the previous year, Isbank increased its net interest income by 27.2% to TL 4,254 million, decreasing the interest expenses associated with its funding sources. Within the framework of this progress, the consolidated gross profit of the Bank reached TL 4,194 million with an increase of 45.1% and its consolidated net profit increased by 32.7% to TL 2,021 million, compared to the same period of the previous year.

Continuing to expand its franchise by opening branches in profitable markets, Isbank increased the number of its domestic branches to 1,067 by the end of this period, from 1,028 over the year-end. Increasing the number of employees as a result of this growth, the number of employees of the Bank reached 22,258. Isbank, considering contribution to national economy to be one of its most significant missions, continued to serve for this aim in the best way by creating new job opportunities, as well as supporting the real sector.

In an environment in which it is predicted that the effects of the crisis will continue during the last quarter of the year, and that in the framework of narrowing interest margins, the profitability performance of the sector will decrease next year; Isbank will pursue its prudence, and continue without conceding from its policy based on preferring profitable and high-quality business.

Isbank secured a syndicated loan which has the lowest cost among the ones secured since the beginning of 2009. Isbank has extended the term of about USD 775 million of the syndicated loan for one year, which was signed on 22.09.2008.

With the syndicated loan it has secured, Isbank has once again proved the trust in the Bank in the international markets. Isbank has extended the term of about USD 775 million of the syndicated loan secured for foreign trade finance for one year, which was signed on 22.09.2008.

The syndicated loan for about USD 775 million whose term was extended with an agreement signed on 14.09.2009 has dual tranche for USD 350 million and EUR 293.5 million. Transaction, which attracted the attention of international markets, was realized with the coordination of Standard Chartered Bank and was completed by participation of 41 banks from 18 countries.

The syndicated loan is the one with the lowest cost among Turkish banks since the beginning of 2009 and the total cost of the loan pertaining to the banks that participated with the highest amounts was realized at Libor +2.25%. The total cost of transactions, which were actualized by Turkish banks in 2009 was realized at Libor +2.5% and above.

With this agreement, Isbank, which secured a syndicated loan for foreign trade financing, has once again shown its strong equity base and the trust in the Bank despite the difficulties in international markets.

Isbank posted TL 1,471 million net profit on a consolidated basis, reaching a total assets figure of TL 118,986 million

Ersin Özince, the Chief Executive Officer of Isbank, said in his statement, “Isbank strengthened its position as the largest private bank in Turkey as a result of its growth performance in spite of the economic contraction, due to its selective approach in asset creation.”

On a consolidated basis, Isbank has increased its asset size by 7% and shareholders’ equity by 12.8% in the first half of 2009, and its net profit by 20.8% compared to the same period of last year.

Isbank continued to be the most preferred private bank for deposit holders during the economic downturn, and managed to increase its consolidated deposits by 5.4%.

With its 1074 branches, and 22,027 employees, Isbank maintained its title as the largest private bank in terms of branch and employee number.

Ersin Özince said the following in his statement:

“In the first six months of 2009, during which the impacts of the global crisis were highly prominent, Isbank successfully maintained its strategy of profitable growth and increased its consolidated assets by 7% over the year-end to TL 118,986 million, and its consolidated shareholders’ equity by 12.8% to TL 13,521 million. The Bank delivered TL 1,471 million net profit in the first half of the year on a consolidated basis, reflecting 20.8% growth compared to same period of the last year.

Isbank strengthened its position as the largest private bank in Turkey as a result of its growth performance in spite of the economic contraction, due to its selective approach in asset creation.

Isbank, which managed its loan portfolio by putting more emphasis on prudency under the conditions of crisis, kept the portfolio at TL 50,114 million level on a consolidated basis. On the other hand, the strong financial structure of the Bank enabled it to retain its 100% provisioning policy against non-performing loans, which grew only by 12.5% in the first half of the year.

Isbank, which continued to be the most preferred private bank for deposit holders during the economic downturn, managed to increase its consolidated deposits by 5.4% to TL 66,358 million. The 5.6% growth in TL saving deposits contributed to the continuous expansion of the deposit base. The Bank made use of non-deposit funding sources and secured a dual tranche syndicated loan of USD 255 million and EUR 225 million with a maturity of one year and an extension option of one year, at the most convenient cost. The credit, which was obtained with the participation of 28 banks from 14 different countries in a period of tight borrowing conditions, has been an indicator of the trust in the Bank in the international market, while on the other hand, the credit agreement signed with the European Investment Bank for EUR 250 million was another development during the period, which confirmed the international position of the Bank.

In the first half of the year, with 23.7% increase compared to the same period of the previous year, Isbank generated TL 2,794 million gross profit on a consolidated basis. With 22.3% increase, the Bank’s consolidated net interest income reached TL 2,744 million. The strong contribution of the participations, which sustained their profitability despite all kinds of negative conditions caused by the crisis, especially during the second quarter of the year, helped the Bank to report a consolidated profit of TL 823 million in the second quarter and TL 1,471 million in the first half of the year. With this performance, Isbank has posted the highest profit on a consolidated basis among private banks.

Despite the crisis, the Bank opened branches in the markets, which it deemed profitable and endeavored to expand its branch network. The number of branches, which was 1,039 at the end of the year, reached 1,074 in the first half. As a result of staff hiring in the first and second quarters, the Bank increased its number of employees from 20,924 to 22,027 in the related period; thus, it did not only transfer funds to the domestic economy, but also continued to support it by creating new job opportunities.

The Bank will make every effort to grow its activities in a profitable and healthy manner in the coming period, without overlooking the prudency required in the crisis conditions. Isbank, which combines its strong financial structure with its banking tradition, believes that it will obtain the support, which is needed to implement this strategy by the determination of its employees, the interest from its customers and the trust of its shareholders.”

Isbank ranked 101st, leaving behind many European and Turkish Banks in the “Top 1000 World Banks” survey of The Banker magazine, which is one of the most prestigious finance publications in the world. The Magazine has taken 2008 year-end consolidated financial statements and Tier I capital of banks as basis of valuation criteria of its survey, where world banks are evaluated.

Isbank, which is placed in upper ranks of the list with its Tier I capital of USD 8.5 billion, ranked first among other Turkish banks in the list, this year as well. The magazine’s evaluations have once again shown that Isbank has a strong, leading and pioneering position both in Turkey and abroad.

Isbank secured USD 570 million dual tranche term loan facility from financial markets. The agreement for club deal dual tranche term loan, in USD and in EUR, was signed in London on 28.05.2009.

With the participation of 28 banks from 14 countries, Isbank secured USD 570 million syndicated loan. The agreement for the dual tranche term loan facility for USD 255 million and EUR 225.25 million with a maturity of one year with an extension option of a further one year was signed on 28.05.2009 in London.

The total cost of part of the aforementioned club deal, which will be used for trade financing, for the banks which participated with the highest amounts, was realized at Libor +2.5% and Euribor +2.5%, respectively.

Despite the hard conditions in the international markets, Isbank has once again proved its eminence in foreign markets through this successfully secured syndicated loan. Isbank is Turkey’s largest private bank in terms of total assets, which reached USD 64 billion as of 31.12.2008. The Bank is rated “BB-“ by S&P, “B1” by Moody’s and “BB” by Fitch. Isbank ranked 331st in the Forbes Magazine’s annual “Global 2000” list of the year 2008. Isbank is the first among Turkish companies in the list.

Isbank posted TRY 606 million net profit in the first quarter of this year, with 9.2% increase compared to the same period of 2008 and its total assets reached TRY 98,608 million.

Isbank posted TRY 606 million net profit in the first quarter of the year 2009, with 9.2% increase compared to same period of the previous year. Isbank’s total assets on the other hand grew by 1.1% and reached TRY 98,608 million.

As a consequence of the global economic crisis, the economic activity in Turkey has been slowing down since the last quarter of 2008, which caused shrinkage in demand for credit, whereas Isbank kept financing the real sector in line with its prudent and selective lending policy. Parallel to the general trend, Isbank’s loan portfolio decreased to TRY 46,445 with a contraction of 2.4%.

Due to the contraction in credit volume and the negative market conditions, the NPL ratio increased from 4.4% to 5.1%, and the 100% provisioning policy was continued in the first quarter of 2009, as well.

In the last quarter, Isbank raised its deposits by 1.0% and increased its market share of deposits to 14.4%. Turkish Lira currency savings deposits, which have ever since been a diversified and stable source of funding for Isbank, grew 3% in this period. On the other hand, the decline in the market rates reflected on costs, due to the short-term structure of funding sources and contributed to profitability.

Isbank posted TRY 606 million net profit in the first quarter of 2009 and the 15.0% quarter on quarter increase in net interest income, as well as close monitoring of lending and careful controlling of and saving in operating expenses made significant contribution to profitability.

In the related period, Isbank’s shareholders’ equity grew by 3.8% and reached TRY 9,811 million, and its capital adequacy ratio as of March 31st, 2009 was 15.4%. The current level of this ratio helps Isbank to expand its assets and to strongly fulfill its role in the domestic economy, in an environment where many foreign international banks are in need of capital injection to continue their banking business.

Isbank, the leader of the Turkish Banking System, ranked 331st in the Forbes Magazine’s annual “Global 2000” list.

The Forbes magazine, one of the most prestigious business magazines in the world, announced its annual “Global 2000” list. Isbank, ranked 331st in the list of the year 2008, which was announced in April, going up 40 steps in ranking, compared to the previous year.

Isbank got ahead of the other Turkish companies as well as many global firms that are on the list. Isbank ranked 371st in the aforementioned magazine’s 2007 list.

The Bank was also the only Turkish Bank, which ranked 84th among the top 100 banks in the “Global 500 Banking Brands Index” list , which was launched in February by the Banker, one the world’s most prestigious finance magazines, in association with Brand Finance Plc.

Isbank made TL 1.8 billion pre-tax profit for the year 2008. Isbank’s net profit after tax was TL 1.5 billion. Isbank’s total assets increased 22%, reaching TL 97.6 billion. The main driver of the Bank’s asset growth was the 40% expansion in loans. In this period, TL loans increased 31% and the foreign currency loans rose 26% in US Dollar terms.

Isbank raised its market share in 2008 with its both Turkish Lira and foreign currency loans growing faster than the sector. While the negative developments ruled the banking sector and the liquidity shrunk due to the global crisis, Isbank continued its commercial and retail placements with the power of its customers’ trust and its solid equity.

Especially towards the end of 2008, the continuous rise in adverse conditions in the market affected the credit demanding sector more and the liquidity shrinkage caused delays in economic actors’ fulfillment of their commitments. Within this frame, negative market conditions caused a rapid increase in the amount of non-performing loans of the system in general. Despite the increase in non-performing loans throughout the sector, Isbank kept lending to the real sector, as well as continuing its 100% provisioning policy in the year 2008.

Isbank strengthened its deposit based funding structure in the year 2008, too. Especially, in the last quarter of 2008, the Bank’s asset structure and solid equity base helped to grow its total deposits significantly and the Bank’s total deposits reached TL 63.5 billion at the end of 2008.

In the year 2008, Isbank opened 99 new domestic branches expanding the number of branches to 1028 and supported employment by hiring 1,509 new employees. Having the largest branch network among private banks, Isbank will pursue its mission to serve its customers in 2009, too, with the policy of expanding its activities by contributing to domestic economy.

It has become clear that the negative impacts of the global crisis will prevail in the year 2009, but with its customers’ interest and the support of its shareholders and employees, Isbank will continue to fulfill its duties arising from being one of the primary leading corporate in the economy.

Brand Finance Plc., in association with the Banker Magazine, launched the third edition of the Global 500 Banking Brands Index, where rankings were made in terms of both brand strength and brand value. Turkiye Is Bankasi ranked 84th and also it is the only Turkish bank among the first 100 banks in the aforementioned list.According to “Global 500 Banking Brands Index”, brand value of Turkiye Is Bankasi increased to USD 1.2 billion from USD 557 million while brand value of the most prestigious banks was falling in the world.

Turkiye Is Bankasi has maintained its leading position and has been a truly global brand going up 106 steps compared to last year's ranking in the Global 500 Banking Brands Index.