MILLI REASURANS ANNUAL REPORT 2018

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) The accompanying notes are an integral part of these consolidated financial statements. Note Audited Current Period January 1- December 31, 2018 Audited Prior Period January 1- December 31, 2017 A. CASH FLOWS FROM THE OPERATING ACTIVITIES 1. Cash inflows from the insurance operations 6.217.874.160 5.164.303.853 2. Cash inflows from the reinsurance operations 1.560.801.817 1.216.258.445 3. Cash inflows from the pension operations - - 4. Cash outflows due to the insurance operations (-) (6.691.818.297) (5.104.249.941) 5. Cash outflows due to the reinsurance operations (-) (948.559.583) (890.576.172) 6. Cash outflows due to the pension operations (-) - - 7. Cash generated from the operating activities (A1+A2+A3-A4-A5-A6) 138.298.097 385.736.185 8. Interest payments (-) - - 9. Income tax payments (-) (158.987.951) (69.496.299) 10. Other cash inflows 725.532.183 1.208.846.984 11. Other cash outflows (-) (965.050.706) (1.285.537.090) 12. Net cash generated from the operating activities (260.208.377) 239.549.780 B. CASH FLOWS FROM THE INVESTING ACTIVITIES - - 1. Sale of tangible assets 671.758 611.469 2. Purchase of tangible assets (-) 6, 8 (69.401.522) (41.358.935) 3. Acquisition of financial assets (-) 11 (3.118.445.825) (1.396.845.131) 4. Sale of financial assets 11 3.545.769.400 1.124.217.952 5. Interest received 681.114.162 476.296.946 6. Dividends received 9.536.171 7.327.798 7. Other cash inflows 1.292.565.031 390.215.670 8. Other cash outflows (-) (2.117.367.345) (335.951.255) 9. Net cash generated from the investing activities 224.441.830 224.514.514 C. CASH FLOWS FROM THE FINANCING ACTIVITIES - - 1. Issue of equity shares - - 2. Cash inflows from the loans to policyholders - - 3. Payments of financial leases (-) - - 4. Dividend paid (-) (75.598.370) (64.822.707) 5. Other cash inflows - - 6. Other cash outflows (-) (2.032.534) (17.820.655) 7. Cash generated from the financing activities (77.630.904) (82.643.362) D. EFFECTS OF EXCHANGE RATE DIFFERENCES ON CASH AND CASH EQUIVALENTS 1.556.929 16.571.266 E. Net increase/(decrease) in cash and cash equivalents (A12+B9+C7+D) (111.840.522) 397.992.198 F. Cash and cash equivalents at the beginning of the period 14 3.284.527.813 2.886.535.615 G. Cash and cash equivalents at the end of the period (E+F) 14 3.172.687.291 3.284.527.813 CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31, 2018 Millî Reasürans Annual Report 2018 174 / Consolidated Financial Statements and Independent Auditors’ Report