• Presentation
  • Türkiye Finans in Brief
  • Our Vision, Our Mission, Our Corporate Values
  • Corporate Strategy
  • Strategic Priorities and Basic Initiatives for 2013
  • Awards and Recognitions
  • Summary Financial Information
  • Amendments to the Articles of Association and the Justifications for Them
  • Capital and Shareholder Structure
  • Shares Held by the Members of the Board of Directors and Managers
  • Chairman's Message
  • CEO's Message
  • Customer Constitution
  • Macroeconomic Outlook and Sectoral Developments
  • An Assessment of the Bank's Position in the Sector in 2013
  • An Assessment of Türkiye Finans' Activities in 2013 and their Results
  • Türkiye Finans's Plans for 2014
  • Research & Development; New Services and Activities
  • Compliance Opinion on the Annual Report
• Management and Corporate Governance Practices
  • Board of Directors and Audit Committee
  • Executive Vice Presidents
  • Unit Managers within Internal Systems and Directors
  • Organization Chart
  • Governing Bodies and Committees at the Bank, Participation of Bank Directors and Committee Members in Meetings
  • Information About General Meetings Held in 2013
  • Annual General Assembly Meeting Agenda
  • Summary of the Board of Directors Report Presented to the General Assembly
  • Information about Human Resources Practices
  • Information about the Related Party Transactions, the Bank Enters
  • Information about Consolidated Affiliates
  • Other Information
  • Activities for Which Support Services are Outsourced and the Persons and Organizations from Which They are Obtained
• Financial Information and Assessment on Risk Management
  • Audit Committee's Assessment of Internal Audit, Internal Control, Risk Management and Regulatory Compliance Functions; Committee Activities During the Reporting Period
  • Declaration Concerning the 2013 Annual Report
  • Independent Auditors' Report
  • The Unconsolidated Financial Report of Türkiye Finans Katılım Bankası A.Ş. For the Year Ended 31 December 2013
  • Independent Auditors' Report
  • The Consolidated Financial Report of Türkiye Finans Katılım Bankası A.Ş. For the Year Ended 31 December 2013
  • Information About the Bank's Dividend Policy
  • Assessment of Financial Position, Profitability and Solvency; Asset Quality and Profitability
  • Information About Risk Management Policies by Type of Risk
  • Information About Credit Rating Agency Rating Assignments and the Nature of Such Ratings
  • Summary Financial Information Pertaining to the Five-Year Period Including the Reported Period
  • Appendix: Amendments to Articles of Association
  • Directory

Information about Consolidated Affiliates

In its Board decision dated 22 October 2012, the Türkiye Finans Participation Bank, the parent company, decided to establish an asset leasing company to issue sukuk bonds. As a result of the Bank’s efforts, an asset leasing company entitled “TF Varlık Kiralama AŞ” was founded with TL 50,000 of capital on 11 February 2013 through the Banking Regulatory and Supervision Agency’s permission dated 20 December 2012 and following approval from the Capital Markets Board dated 1 February 2013, as well as the approval of the Ministry of Customs and Trade dated 11 February 2013.

The Türkiye Finans Participation Bank and its affiliate, TF Varlık Kiralama A.Ş., were included in the attached consolidated financial statements by applying the full consolidation method. Consolidated establishments were determined based on the “Communique on the Preparation of Banks’ Consolidated Financial Statements” dated 8 November 2006 and with issue no. 26340. The parent company and its consolidated affiliate are cumulatively referred to as the “Group” herein.

Principles for the consolidation of the affiliate:

An affiliate is a company whose capital or management is directly or indirectly controlled by the parent company, which, in this case, is the Türkiye Finans Participation Bank.

The affiliate is consolidated by means of the full consolidation method. The Financial statements of the affiliate are included in the parent company’s consolidated financial statement as of the date the control of the affiliate was taken over by Türkiye Finans Participation Bank.

Control of the affiliate is generally considered as follows: the parent company, which in this case is Türkiye Finans Participation Bank, holds the power over an investment it undertakes in a legal entity; it is subject to varying revenues according to its relations with the legal entity, or is a rights-holder of such revenues; and has the ability to use its power on the entity, in order to affect the volume of revenues which it may generate.

According to the full consolidation method, 100% of the affiliate’s assets, liabilities, revenues, expenses and off-balance liabilities are consolidated with the parent company’s assets, liabilities, revenues, expenses and off-balance liabilities. The book value of the Group’s investment in the affiliate and the portion of the affiliate’s capital cost which belongs to the Group are offset. Remainders related to the transactions between the parent company and its affiliate, as well as unrealized profits and losses are mutually offset.

In cases when the accounting policies used by the affiliate differ from those used by the parent company, differences are harmonized by taking into account the principle of materiality in financial statements.

Established on 11 February 2013, TF Varlık Kiralama AŞ was included in the consolidation for the first time on 30 June 2013.

The head office of the company (affiliate) registered according to the Turkish law are located in Istanbul. As of 31 December 2013, the company’s total assets amounted to TL 1,232,000. The company has no employees on its payroll as of 31 December 2013.