MILLI RE 2023 ANNUAL REPORT

Notes to the Unconsolidated Financial Statements As of December 31, 2023 Millî Reasürans Türk Anonim Şirketi (Currency: Turkish Lira (TL)) (Convenience Translation of Financial Statements and Related Disclosures and Footnotes Originally Issued in Turkish) 32 Operating expenses As of December 31, 2023, and 2022, the operating expenses are disclosed as follows: December 31, 2023 December 31, 2022 Life Non-Life Life Non-Life Commission expenses (Note 17) 3.346.009 1.646.341.293 4.622.090 829.659.849 Commissions to the intermediaries accrued during the period (Note 17) 3.771.452 2.256.165.183 4.757.807 1.086.672.150 Changes in deferred commission expenses (Note 17) (425.443) (609.823.890) (135.717) (257.012.301) Employee benefit expenses (Note 33) 655.383 272.151.223 556.571 133.499.893 Foreign exchange losses 647.435 1.374.124.698 228.373 266.056.619 Administration expenses 212.615 83.740.551 215.306 45.790.907 Commission income from reinsurers (Note 10) (170.879) (26.095.892) - (16.634.487) Commission income from reinsurers accrued during the period (Note 10) (170.879) (25.178.633) - (25.072.841) Change in deferred commission income (Note 10) - (917.259) - 8.438.354 Outsourced benefits and services 77.353 27.548.567 63.145 12.080.160 Other 27.376 106.381.633 26.451 23.041.353 Total 4.795.292 3.484.192.073 5.711.936 1.293.494.294 33 Employee benefit expenses As of December 31, 2023, and 2022, employee benefit expenses are disclosed as follows: December 31, 2023 December 31, 2022 Life Non-Life Life Non-Life Wages and salaries 404.829 179.346.681 357.858 92.967.020 Employer’s share in social security premiums 111.800 42.438.473 116.573 24.027.551 Pension fund benefits 138.754 50.366.069 82.140 16.505.322 Total (Note 32) 655.383 272.151.223 556.571 133.499.893 34 Financial costs As of December 31, 2023, TL 577.324 (1 January - 31 December 2022: 303.487) interest expense arising from leases that the Company is subject to TFRS 16 Leasing Transactions standard is recognised under “Investment Management Expenses - Interest Included” account; and the depreciation expense amounting to TL 9.941.999 is recognised under the “Depreciation and Amortization Expense” accounts (1 January - 31 December 2022: 4.130.773). 155 2023 Annual Report GENERAL INFORMATION FINANCIAL RIGHTS PROVIDEDTOTHE MEMBERS OF THE GOVERNING BODY AND SENIOR EXECUTIVES RISKS AND ASSESSMENT OF THE GOVERNING BODY ACTIVITIES AND MAJOR DEVELOPMENTS RELATED TO ACTIVITIES RESEARCH & DEVELOPMENT ACTIVITIES FINANCIAL STATUS FINANCIAL INFORMATION