MILLI REASURANS ANNUAL REPORT 2018

Millî Reasürans Türk Anonim Şirketi NOTES TO THE UNCONSOLIDATED FINANCIAL STATEMENTS AS OF DECEMBER 31, 2018 (Currency: Turkish Lira (TL)) (Convenience Translation of Financial Statements and Related Disclosures and Footnotes Originally Issued in Turkish, See Note 2.1.1) 5 Segment Information A segment is a distinguishable component of the Company that is engaged either in providing products or services (business segment), or in providing products or services within a particular economic environment (geographical segment), which is subject to risks and rewards that are different from those of other segments. As of December 31, 2018, the Company operates in life and non-life branches and is not required to present segment reporting since its debt or equity instruments are not traded in a public market. 6 Tangible assets Movement in tangible assets in the period from January 1 to December 31, 2018 is presented below: January 1, 2018 Additions Foreign currency translation effect (*) Disposals Revaluation surplus December 31, 2018 Cost: Investment properties (Note 7) 365.981.000 1.174.094 - - 24.885.906 392.041.000 Buildings for own use 147.915.000 - - - 31.425.000 179.340.000 Furniture and fixtures 5.695.006 364.595 355.977 (350.456) - 6.065.122 Land vehicles 1.604.238 741.355 215.830 (290.699) - 2.270.724 521.195.244 2.280.044 571.807 (641.155) 56.310.906 579.716.846 Accumulated depreciation: Buildings for own use 478.643 471.236 - - (810.011) 139.868 Furniture and fixtures 4.467.547 452.122 334.603 (347.991) - 4.906.281 Land vehicles 621.264 359.029 91.626 (279.199) - 792.720 5.567.454 1.282.387 426.229 (627.190) (810.011) 5.838.869 Carrying amounts 515.627.790 573.877.977 (*) Foreign currency translation effect resulted from Singapore Branch. Movement in tangible assets in the period from January 1 to December 31, 2017 is presented below: January 1, 2017 Additions Foreign currency translation effect (*) Disposals Revaluation surplus December 31, 2017 Cost: Investment properties (Note 7) 326.090.000 - - - 39.891.000 365.981.000 Buildings for own use 147.915.000 - - - - 147.915.000 Furniture and fixtures 5.578.940 158.877 57.432 (100.243) - 5.695.006 Land vehicles 1.113.102 734.663 36.629 (280.156) - 1.604.238 480.697.042 893.540 94.061 (380.399) 39.891.000 521.195.244 Accumulated depreciation: Buildings for own use 36.819 441.824 - - - 478.643 Furniture and fixtures 3.927.625 588.415 51.125 (99.618) - 4.467.547 Land vehicles 680.961 210.665 9.794 (280.156) - 621.264 4.645.405 1.240.904 60.919 (379.774) - 5.567.454 Carrying amounts 476.051.637 515.627.790 (*) Foreign currency translation effect resulted from Singapore Branch. The Company’s property for own use is valuated over fair value as September 2018. Expertise reports regarding this property are prepared by independent professional valuation specialists authorized by CMB in September 2018. Millî Reasürans Annual Report 2018 Unconsolidated Financial Statements and Independent Auditors’ Report / 133