MILLI_RE_ANNUAL REPORT 2022

Contents CONTENTS PAGE CONSOLIDATED BALANCE SHEET 180-184 CONSOLIDATED STATEMENT OF INCOME 185- CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 188 CONSOLIDATED STATEMENT OF CASH FLOWS 190 CONSOLIDATED STATEMENT OF PROFIT DISTRIBUTION 191 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 192-268 NOTE 1 General information 192 NOTE 2 Summary of significant accounting policies 194 NOTE 3 Important accounting estimates and provisions 220 NOTE 4 Management of insurance and financial risk 221 NOTE 5 Segment information 233 NOTE 6 Tangible assets 233 NOTE 7 Investment properties 235 NOTE 8 Intangible Assets 236 NOTE 9 Investments in associates 236 NOTE 10 Reinsurance assets and liabilities 237 NOTE 11 Financial assets 238 NOTE 12 Loans and receivables 242 NOTE 13 Derivative financial assets 243 NOTE 14 Cash and cash equivalents 244 NOTE 15 Equity 244 NOTE 16 Other reserves and equity component of discretionary participation 248 NOTE 17 Insurance contract liabilities and reinsurance assets 249 NOTE 18 Investment contract liabilities 253 NOTE 19 Trade and other payables and deferred income 254 NOTE 20 Financial liabilities 254 NOTE 21 Deferred taxes 255 NOTE 22 Retirement benefit obligations 256 NOTE 23 Provision for other liabilities and expense accruals 258 NOTE 24 Net insurance premium revenue 258 NOTE 25 Fee revenue 258 NOTE 26 Investment income 258 NOTE 27 Net income accrual on financial asset 258 NOTE 28 Assets held at fair value through profit or loss 258 NOTE 29 Insurance rights and claims 259 NOTE 30 Investment contract benefits 259 NOTE 31 Other expenses 259 NOTE 32 Operating expenses 259 NOTE 33 Employee benefit expenses 260 NOTE 34 Financial costs 260 NOTE 35 Income tax 261 NOTE 36 Net foreign exchange gains 261 NOTE 37 Earnings per share 262 NOTE 38 Dividends per share 262 NOTE 39 Cash generated from operations 263 NOTE 40 Convertible bond 263 NOTE 41 Redeemable preference shares 263 NOTE 42 Risks 263 NOTE 43 Commitments 263 NOTE 44 Business combinations 263 NOTE 45 Related Party Transactions NOTE 46 Subsequent events 267 NOTE 47 Other 267 179 MİLLİ RE 2022 ANNUAL REPORT RISKS AND ASSESSMENT OF THE GOVERNING BODY UNCONSOLIDATED FINANCIAL STATEMENTS TOGETHER WITH INDEPENDENT AUDITORS’ REPORT THEREON CONSOLIDATED FINANCIAL STATEMENTS TOGETHER WITH INDEPENDENT AUDITORS’ REPORT THEREON FINANCIAL STATUS