MILLIRE 2021 ANNUAL REPORT

NOTES TO THE UNCONSOLIDATED FINANCIAL STATEMENTS AS OF DECEMBER 31, 2021 Millî Reasürans Türk Anonim Şirketi (Currency: Turkish Lira (TL)) (Convenience Translation of Financial Statements and Related Disclosures and Footnotes Originally Issued in Turkish, See Note 2.1.1) As of December 31, 2021, and 2020, the movement of deferred commission expenses is presented below: December 31, 2021 December 31, 2020 Deferred commission expenses at the beginning of the period 199.751.582 186.668.623 Commissions accrued during the period (Note 32) 578.447.634 411.965.745 Commissions expensed during the period (Note 32) (497.827.589) (398.882.786) Deferred commission expenses at the end of the period 280.371.627 199.751.582 18 Investment contract liabilities None. 19 Trade and other payables and deferred income December 31, 2021 December 31, 2020 Financial Liabilities 3.234.894 - Payables from reinsurance operations 127.233.309 75.120.811 Short/long term deferred income and expense accruals 14.791.526 10.087.217 Taxes and other liabilities and similar obligations 81.489.082 2.358.902 Due to related parties (Note 45) 156.141 136.214 Other payables 3.616.330 1.321.982 Total 230.521.282 89.025.126 Short-term liabilities 200.031.125 75.731.534 Medium and long-term liabilities 30.490.157 13.293.592 Total 230.521.282 89.025.126 As of December 31, 2021, and 2020, other payables largely consist of outsourced benefits and services. Short/long term deferred income and expense accruals include deferred commission income (Note 10) amounting to TL 4.098.066 (December 31, 2020: TL 2.760.960). As of December 31, 2021, the amounting of the expense accruals TL 10.493.032 (December 31, 2020: TL 6.988.383) are detailed in the table below. December 31, 2021 December 31, 2020 Dividend accrual 4.456.812 4.231.201 Other accruals 6.036.220 2.757.182 Total 10.493.032 6.988.383 Prepaid income and expense accruals are TL 200.428 (December 31, 2020: TL 337.874) consist of long-term and short term other deferred income. Corporate tax liabilities and prepaid taxes are disclosed below: December 31, 2021 December 31, 2020 Taxes paid during the year 51.468.799 40.123.021 Corporate tax liabilities (128.897.591) (29.030.769) Prepaid assets, net (77.428.792) 11.092.252 150 MİLLÎ REASÜRANS ANNUAL REPORT 2021 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