XML 164 R45.htm IDEA: XBRL DOCUMENT

Related parties

12 Months Ended

Dec. 31, 2019

39.	Related parties

Transactions with key management personnel

Key management personnel comprise the Group’s members of the Board of Directors and chief officers.

There are no loans to key management personnel as of 31 December 2019 and 2018.

The Group provides additional benefits to key management personnel and contributions to retirement plans based on a

pre-determined

ratio of compensation.


	31 December 2019		31 December 2018		31 December 2017
Short-term benefits		78,775		80,868		62,187
Termination benefits		56,720		121		604
Share based payments		6,247		11,473		12,509
Long-term benefits		653		755		548

		142,395		93,217		75,848

The following balances are outstanding at the end of the reporting period in relation to transactions with related parties:


	31 December 2019		31 December 2018
Due from related parties
Telia Carrier Germany GmbH (“Telia Carrier”)		3,588		1,741
Emt Estonia (“Emt”)		110		99
Vimpelcom OJSC (“Vimpelcom”)		—		9,138
Kyivstar GSM JSC (“Kyivstar”)		—		210
Other		779		2,345

		4,477		13,533

There is no net of allowance for doubtful receivables of due from related parties at 31 December 2019 (31 December 2018: None).

Due from Telia Carrier, Emt, Vimpelcom and Kyivstar are resulting from telecommunications services.


	31 December 2019		31 December 2018
Due to related parties
Turkcell Vakfı		9,145		39,544
Sofra		1,942		—
Telia		331		469
Kyivstar GSM JSC (“Kyivstar”)		—		3,591
Wind Telecomunicazioni S.P.A. (“Wind”)		—		886
Teliasonera International Carrier Switzerland Ag		—		523
Other		664		318

		12,082		45,331

Due to Sofra mainly resulting from meal coupon and card services received.

Due to Telia, Kyivstar and Wind mainly resulting from telecommunications services received.

The Group’s exposure to currency risk related to outstanding balances with related parties is disclosed in Note 36.

The following transactions occurred with related parties:


	2019		2018		2017
Revenue from related parties
Sales to Sonera Holding
Revenue from sales of discontinued operations (Note 16)		772,436		—		—
Sales to Kyivstar (*)
Telecommunications services		27,050		52,946		30,875
Sales to Telia Carrier
Telecommunications services		12,934		7,941		10,020
Sales to Vimpelcom (*)
Telecommunications services		6,191		5,418		7,230
Sales to Azercell Telecom LLC (“Azercell”) (**)
Telecommunication services		—		256		1,583
Sales to other related parties		7,004		7,920		11,324

		825,615		74,481		61,032


	2019		2018		2017
Related party expenses
Charges from Kyivstar (*)
Telecommunications services		40,210		77,174		49,178
Charges from Sofra
Meal coupons and cards		8,874		—		—
Charges from Telia Carrier
Telecommunications services		7,503		6,047		3,120
Charges from Vimpelcom (*)
Telecommunications services		1,228		2,751		10,853
Charges from Wind (*)
Telecommunications services		274		4,812		—
Charges from Turkcell Vakfı
Donation		—		44,247		—
Charges from Azercell (**)
Telecommunications services		—		79		734
Charges from Hobim (***)
Invoicing and archiving services		—		—		16,993
Charges from other related parties		2,000		9,799		17,001

		60,089		144,909		97,879

(*)

Transactions with Vimpelcom, Kyivstar and Wind include transactions until 18 June 2019,

(**)

Transactions with Azercell include transactions until 5 March 2018,

(***)

Transactions with Hobim include transactions until 20 June 2017.

Transactions with Kyivstar:

Kyivstar, an entity under common control with Alfa, is rendering and receiving telecommunications services such as interconnection and roaming.

Transactions with Hobim:

The Company had entered into invoice printing and archiving agreements with Hobim under which Hobim provided the Company with monthly invoice printing services, managed the archiving of invoices and subscription documents. Prices of the agreements were determined through the evaluation of alternative proposals.

Transactions with Vimpelcom:

Vimpelcom, an entity under common control with Alfa, is rendering and receiving telecommunications services such as interconnection and roaming.

Transactions with Telia Carrier:

Telia Carrier, a subsidiary of Telia, is rendering and receiving telecommunications services such as interconnection and roaming.

Transactions with Azercell:

Azercell, a subsidiary of Telia, is rendering and receiving telecommunications services such as interconnection and roaming.

Transactions with Turkcell Vakfı:

On 11 October 2018, Turkcell Vakfı, was incorporated for rendering social responsibility and donation transactions.

Transactions with Wind:

Wind, an entity under common control with Alfa, is rendering and receiving telecommunications services such as interconnection and roaming.

Transactions with Sofra:

Sofra, a joint venture entity of Turkcell Odeme, BELBİM Elektronik Para ve Ödeme Hizmetleri A.Ş. and Posta ve Telgraf Teşkilatı A.Ş. (“PTT”) is providing services via various means such as service coupons, meal coupons, meal card, electronic coupon and/or smart card in vehicle payment.