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e. Capitalized foreign currency exchange differences



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e. Capitalized foreign currency exchange differences:
There is no foreign currency exchange difference capitalized for the period.


  1. Fundamental principles of foreign exchange risk management policy:

The fundamental principles of foreign exchange risk management policy are explained in detail in Section 4, note V.




  1. Accounts used for foreign currency translation differences of net investments in foreign subsidiaries and associates, loans and other hedging instruments:

Foreign currency net investments in associates and subsidiaries abroad are converted into Turkish lira with the exchange rates current at the balance sheet date. Foreign currency conversion differences arising from such transactions are recognized as “foreign exchange gains/losses” in the income statement.





  1. The method applied for the translation of goodwill arising from the acquisition of a foreign subsidiary and amounts resulted from fair value adjustment of assets and liabilities of such subsidiaries:

The Bank has no goodwill related with acquisition of a foreign subsidiary or resulting from fair value adjustment of assets and liabilities of foreign subsidiaries.





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