The principles regarding the profit distribution of our Bank are set out in Article 69 of the Articles of Association. According to this; The amount remaining after deduction of all kind of expenses, provisions and taxes and retained earnings from the income derived by the Bank within an accounting period is the net profit.
• %5 of the net profit is set aside as legal reserve,
• Out of the remaining amount, 5% of the paid-up capital is set aside as first dividend.
• The General Assembly is authorized to distribute the remaining profit in whole or in part to the shareholders or to transfer the same to the extraordinary reserve fund.
• Pursuant to the sub-paragraph 3 of the second paragraph of Article 519 of the Turkish Commercial Code, out of the net profit, after setting aside legal reserve amount specified in the first paragraph of the Article 519, as well as 5% profit share for the shareholders, one tenth of the amount decided to be distributed to the shareholders and to other persons participating in the profit shall be allocated to the legal reserve fund, as the second allotment.
The dividend policy and principles are determined in the framework of the Articles of Association of the Bank and also approved every year by the General Assembly pursuant to current global and local macroeconomic and banking sector developments.
It is the policy of the Bank not to make any donations .
Share Buy Back Policy
In accordance with the CMB's "II.-22.1." Communiqué On Buy-Backed Shares “published in the Official Gazette dated 03.01.2014 and no 28871, the legislation entered into force shall be taken as the basis for the method and policies to be implemented by the Bank to buy back its shares.
Total nominal value of the shares subject to buy back by the Company shall not exceed 10% of the Company’s paid-in capital, including previously bought back shares. Nominal value of shares which have been sold during share buy-back program cannot be included in the calculation as a deduction item. Above mentioned ratio may vary depending on amendment decisions to be adopted by Capital Markets Board.
Note: Any procedure related to share buy-back process is performed in parallel with Capital Markets Board’s relevant regulations.