ÇHS AR21-ENG-030622

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2021 ÇELEBİ HAVA SERVİSİ ANONİM ŞİRKETİ AND ITS SUBSIDIARIES (Amounts expressed in Turkish Lira (“TL”) unless otherwise indicated.) 114 Çelebi Ground Handling Inc. 2021 Annual Report Key management compensation: The Group has determined key management personnel as members of board of directors, general manager and vice general managers. Key management compensation includes salaries, bonuses, social security contributions and other benefits provided to key management of the Group: 1 January - 31 December 2021 1 January - 31 December 2020 Short-term key management compensation 32.978.958 20.962.306 32.978.958 20.962.306 NOTE 32 - NATURE AND LEVEL OF RISKS ARISING FROM FINANCIAL INSTRUMENTS Financial risk management The Group focused to manage miscellaneous financial risks including changes in foreign currency exchange rates and interest rates because of activities of the Group. The Group purposes to minimize potential adverse effects arising from fluctuations in financial markets with overall risk management program. Risk management is carried out under policies approved by the Boards of Directors. Interest rate risk The Group is exposed to interest rate risk through the impact of rate changes on interest bearing liabilities and assets. These exposures are managed using natural hedges that arise from offsetting interest rate sensitive assets and liabilities. Interest rate positions of the Group as of 31 December 2021 and 2020 are as follows: 31 December 2021 31 December 2020 Fixed interest rate financial instruments Financial Assets 758.744.245 427.629.722 - Cash and cash equivalents 758.744.245 427.629.722 Financial Liabilities 2.407.738.052 1.667.439.926 Floating interest rate financial instruments Financial Liabilities 332.938.754 138.223.354 If other variables are kept constant and the interest rates were 1% higher/lower, interest expense due to financial liabilities would have been TL 921.227 higher or lower for the period ended 31 December 2021 (2020: TL 1.382.234). Expected repricing and maturity dates are not disclosed in an additional table because they are not different from contractual maturity dates for non-credit financial assets and liabilities.