MILLI RE 2020 ANNUAL REPORT

General Information 4 Vision, Mission 5 Shareholder Structure 6 Corporate Profile 8 Milestones 10 Chairperson’s Message 14 General Manager’s Message 18 Board of Directors 22 Senior Management 24 Organization Chart 25 Human Resources Applications 27 2020 Annual Report Compliance Statement 28 Independent Auditor’s Report on the Annual Report of the Board of Directors Financial Rights Provided to the Members of the Governing Body and Senior Executives Research & Development Activities 32 Financial Rights Provided to the Members of the Governing Body and Senior Executives 33 Research & Development Activities Activities and Major Developments Related to Activities 36 Activities and Major Developments Related to Activities 37 Internal Audit 38 Internal Control 39 Affiliates 40 Corporate Social Responsibility Financial Status 46 Economic Outlook 49 Turkish Insurance Market 52 Turkish Reinsurance Market and Milli Re 54 Global Reinsurance Market and Milli Re 65 Financial Strength, Profitability and Solvency 66 Key Financial Indicators 68 Company Capital 69 2020 Technical Results 71 2020 Financial Results 73 General Assembly Agenda 74 Report by the Board of Directors 76 Dividend Distribution Policy 77 Dividend Distribution Proposal Risks and Assessment of the Governing Body 80 Risk Management Practices 84 Assessment of Capital Adequacy 84 Transactions Carried out with Milli Re’s Risk Group 85 The Annual Reports of the Parent Company in the Group of Companies Unconsolidated Financial Statements Together with Independent Auditors’ Report Thereon 87 Independent Auditor’s Report 90 Unconsolidated Financial Statements as at and for the Year Ended December 31, 2020 92 Unconsolidated Balance Sheet as of December 31, 2020 Unconsolidated Statement of Income for the Year Ended December 31, 2020 98 Unconsolidated Statement of Changes in Equity for the Year Ended December 31, 2020 100 Unconsolidated Statement of Cash Flows for the Year Ended December 31, 2020 102 Unconsolidated Statement of Profit Distribution for the Year Ended December 31, 2020 104 Notes to the Unconsolidated Financial Statements as of December 31, 2020 Consolidated Financial Statements Together with Independent Auditors’ Report Thereon 162 Information on Consolidated Subsidiaries 163 Independent Auditor’s Report 166 Consolidated Financial Statements as at and for the Year Ended December 31, 2020 168 Consolidated Balance Sheet as of December 31, 2020 174 Consolidated Statement of Income for the Year Ended December 31, 2020 176 Consolidated Statement of Changes in Equity for the Year Ended December 31, 2020 178 Consolidated Statement of Cash Flows for the Year Ended December 31, 2020 179 Consolidated Statement of Profit Distribution for the Year Ended December 31, 2020 180 Notes to the Consolidated Financial Statements as of December 31, 2020 248 Contact Information Contents