Financial - Turkish Airlines

(Convenience Translation of Report and Financial Statements Originally Issued in Turkish)TÜRK HAVA YOLLARI ANONİM ORTAKLIĞI AND ITS SUBSIDIARIESNotes to the Audited Consolidated Financial StatementsFor the Year Ended 31 December 2012(All amounts are expressed in Turkish Lira (TL) unless otherwise stated.)19. INTANGIBLE ASSETSSlot Rights Other Rights TotalCostOpening balance at 1 January 2012 24.445.066 113.740.124 138.185.190Foreign currency translation adjustment (1.375.673) (7.175.696) (8.551.369)Additions - 16.552.664 16.552.664Disposals - (718.942) (718.942)Transfers (*) - 6.478.687 6.478.687Closing balance at 31 December 2012 23.069.393 128.876.837 151.946.230Accumulated DepreciationOpening balance at 1 January 2012 - 91.222.250 91.222.250Foreign currency translation adjustment - (5.513.033) (5.513.033)Amortization charge for the year - 8.686.645 8.686.645Disposals - (112.086) (112.086)Transfers (*) - 6.478.687 6.478.687Closing balance at 31 December 2012 - 100.762.463 100.762.463Net book value at 31 December 2012 23.069.393 28.114.374 51.183.767Net book value at 31 December 2011 24.445.066 22.517.874 46.962.939Slot Rights Other Rights TotalCostOpening balance at 1 January 2011 20.007.450 87.477.119 107.484.569Foreign currency translation adjustment 4.437.616 15.444.865 19.882.481Additions - 13.284.156 13.284.156Disposals - (2.466.016) (2.466.016)Closing balance at 31 December 2011 24.445.066 113.740.124 138.185.190Accumulated DepreciationOpening balance at 1 January 2011 - 74.385.468 74.385.468Foreign currency translation adjustment - 11.064.888 11.064.888Amortization charge for the year - 8.237.910 8.237.910Disposals - (2.466.016) (2.466.016)Closing balance at 31 December 2011 - 91.222.250 91.222.250Net book value at 31 December 2011 24.445.066 22.517.874 46.962.939The Group considers the slot rights as intangible assets having infinitive useful life.(*)As of 1 July 2012 the Group has implemented a new Enterprise Resource Planning (“ERP”). In this context certain changes have been madeto the classification of property and equipment and intangible fixed assets.41