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) 12 Loans and receivables December 31, 2018 December 31, 2017 Receivables from main operations (Note 4.2) 300.658.813 176.061.654 Prepaid taxes and funds (Note 19) - - Other receivables (Note 4.2) 1.696.048 1.231.493 Other current asset 166.660 520.665 Total 302.521.521 177.813.812 Short-term receivables 302.521.521 177.813.812 Total 302.521.521 177.813.812 As of December 31, 2018 and 2017, receivables from main operations are detailed as follows: December 31, 2018 December 31, 2017 Receivables from insurance companies 61.201.859 47.708.257 Receivables from brokers and intermediaries 66.190.154 43.879.856 Receivables from reinsurance companies (Note 10) 46.329.322 21.470.170 Total receivables from insurance operations, net 173.721.335 113.058.283 Cash deposited to insurance and reinsurance companies 126.937.478 63.003.371 Doubtful receivables from main operations 25.352.034 17.973.443 Provision for doubtful receivables from main operations (25.352.034) (17.973.443) Receivables from main operations 300.658.813 176.061.654 As of December 31, 2018 and 2017, mortgages and collaterals obtained for receivables are disclosed as follows: December 31, 2018 December 31, 2017 Letters of guarantees 11.742.907 10.074.256 Total 11.742.907 10.074.256 Provisions for overdue receivables and receivables not due yet a) Receivables under legal or administrative follow up (due): TL  25.352.034 for main operations (December 31, 2017: TL 17.973.443) and TL 409.363 (December 31, 2017: TL 53.177) for other receivables. b) Provision for premium receivables (due): None (December 31, 2017: None). The Company’s receivables from and payables to shareholders, associates and subsidiaries are detailed in note 45 - Related party transactions . The details of the receivables and payables denominated in foreign currencies and foreign currency rates used for the translation are presented in Note 4.2- Financial risk management. 13 Derivative financial assets As of December 31, 2018 and 2017, the Company has no derivative financial instruments. Millî Reasürans Annual Report 2018 Unconsolidated Financial Statements and Independent Auditors’ Report / 139