MILLI RE 2020 ANNUAL REPORT

Activities and Major Developments Related to Activities General Information Financial Rights Provided to the Members of the Governing Body and Senior Executives Research & Development Activities 36 Milli Re Annual Report 2020 Information on Investments Made by the Company During the Accounting Period Initiated in 2018 with the consultancy service and application purchases for regulatory compliance, the data management project continued at Milli Re in 2020. Within the scope of the project, Information Security Management System was installed, and activities were carried out for achieving compliance with the Personal Data Protection Law. Activities associated with data management are slated for completion in 2021. As part of the efforts for ensuring compliance with the TFRS 17, the implications of TFRS 17 for the Company’s business processes, information technologies and information systems were assessed, upon which improvement efforts were carried out in line with the identified topics, and applications were selected in 2020. The Covid 19 pandemic that domineered the whole world from March 2020 bore radical impacts upon our working order, and the Company shifted to remote work model at a substantial extent for the rest of the year. The needs for hardware, software and remote secure connection that emerged in this period were fulfilled rapidly, thus enabling employees to perform their jobs duly without any interruptions. The details of the projects on reinsurance applications and digitalization are provided under the section “Research & Development Activities”. Repurchased Own Shares by the Company None Disclosures Concerning Special Audit and Public Audit During the Reporting Period The Company is audited by independent auditing company Güney Bağımsız Denetim ve Serbest Muhasebeci Mali Müşavirlik Anonim Şirketi (Ernst&Young). A limited independent audit is carried out on half yearly basis while full independent auditing is done on yearly basis. İşbank consolidation audit is conducted for the first and third quarters. Being a bank subsidiary, information systems auditing made in subsidiaries subject to consolidation, is carried out annually. The Company is audited in accordance with the insurance legislation by Insurance and Private Pension Regulation and Supervision Authority. Lawsuits Filed Against the Company and Potential Results There are no lawsuits brought against the Company in 2020, which are of a nature that might affect the Company’s financial standing and its activities. Disclosures on Administrative or Judicial Sanctions Imposed on the Company and the Members of the Governing Body There are no administrative or judicial sanctions imposed against the Company or the members of the governing body on account of any practice violating the provisions of legislation in 2020. Assessments on Prior Period Targets and General Assembly Resolutions The announcement on the meeting including the venue, date, time, agenda, and a specimen of a proxy statement is published within the legal terms in the Turkish Trade Registry Gazette and on Company’s official website for notifying the public. Every year the Annual Report is prepared in alignment with the relevant legislation and presented for the information and analysis of shareholders preceding the General Assembly meeting. Annual General Assembly meeting was held on 26 March 2020. All of the resolutions by the General Assembly of Shareholders have been fulfilled during 2020 and the targets set in the prior period have been achieved. Expenses Incurred in the Reporting Period in Relation to Donations, Grants and Social Responsibility Projects Company’s donations under this heading amounted to TL 419,290 in 2020. Relations with the Controlling Company or an Affiliate Thereof Between our Company and our controlling shareholder İşbank and other Group Companies affiliated to İşbank, there is no: • Transfer of receivables, payables or assets, • Legal transaction creating liability such as providing suretyship, guarantee or endorsement, • Legal transaction that might result in transfer of profit. All commercial transactions the Company realized with its controlling shareholder and with the Group Companies affiliated thereto during 2020 were carried out on an arm’s length basis, according to the terms and conditions known to us, related counter performances have been carried out, and the Company did not register any loss on account of any such transaction. Activities and Major Developments Related to Activities