ÇELEBİ AR19-270720 (1)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS AS AT AND FOR THE YEAR ENDED 31 DECEMBER 2019 ÇELEBİ HAVA SERVİSİ ANONİM ŞİRKETİ Convenience Translation into English of Consolidated Financial Statements Originally Issued in Turkish (Amounts expressed in Turkish Lira (“TL”) unless otherwise indicated.) 101 Çelebi Ground Handling Inc. 2019 Annual Report Other non current assets December 31, 2019 December 31, 2018 Prepaid taxes and funds (*) 21.869.317 24.036.869 Other 4.995 3.242 21.874.312 24.040.111 (*) As of December 31, 2019, prepaid taxes and funds which can be offset more than 1 year, belong to CASI and Celebi Delhi Cargo with an amount of TL 12.913.213 (December 31, 2018: TL 10.748.789) and TL 8.956.104 respectively (December 31, 2018: TL 13.288.080). Other current liabilities December 31, 2019 December 31, 2018 Taxes and funds payable 7.500.525 7.499.408 Provision for operational leasing equalization (*) - 785.947 Maintenance obligation liability 840.821 1.641.247 Other 519.234 2.283.756 8.860.670 9.878.674 Other non current liabilities December 31, 2019 December 31, 2018 Provision for operational leasing equalization (*) - 144.551.656 Maintenance obligation liability 55.204.459 43.668.500 55.204.459 188.220.156 (*) Operating leasing cost equalization, in accordance with of TAS 17 “Leases”, consists the difference between lease amounts defined on service concession agreement and the amount calculated taking into consideration the future constant lease increases and reflected on straight line basis to the financial statements. NOTE 16 - PREPAID EXPENSES Short-term prepaid expenses December 31, 2019 December 31, 2018 Prepaid expenses 15.603.148 15.398.692 Advances given 13.899.063 5.646.918 29.502.211 21.045.610 Long-term prepaid expenses December 31, 2019 December 31, 2018 Prepaid expenses 7.485.435 17.525.550 Advances given for fixed assets 12.552.800 26.147.970 20.038.235 43.673.520