FTB Turizam d.d.

Quarterly Report • Feb 13, 2017

Appendix 1 Reporting period:		1.1,2016		to	31.12.2016
			Annual financial report of entrepreneur - GFI-POD
Registration number (MB)	04440889
Identification number of subject (MBS)	040352133
Personal identification number (OIB)	82344583628
	Issueer company: FTB TURIZAM d.d.
Postal code and place	10000		Zagreb
Street and number Miramarska 24
	E-mail address: contact@remisens
	Internet adress: www.remisens.com
Code and name of comune/town	Zagreb 133
Code and county name	GRAD ZAGREB 21				mber of employees (at quarter end)
Consolidated statement	NO				NKD/NWC code: 5510
Subsidiaries subject to consolidation (according to IFRS):					Registration number:
Book keeping service:	1979 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989
	Contact person: Kamenar Biserka
Phone number: 051 710-395	(authorised person for representation)				Fascimile: 051 710-404
	E-mail address: biserka.kamenar@remisens.com
Sumame and name Sehanovic Igor	(authorised person for representation)
Disclosure documents: 1. Audited annual financial statements 2. Report of the Management Board on position of the Company 3. Statement of responsible persons for preparation of financial statements 4. The decision of the competent authority (the proposal) about the development of the annual financial statements 5. Decision on the allocation of profits or covering of loss					مهرمر
		M.P.			(signed by authorised person for representation)
	FTB TURIZAM d.d.
	Zagreb		1

$\bar{\star}$

$\bar{\bar{\bar{\bar{\bar{\bar{\bar{\bar{\bar{\bar{\bar{\bar{\bar{\bar{\bar{\bar{\bar{\bar{\bar{\$

BALANCE SHEET as at 31.12.2016.

Obligator: FTB TURIZAM d.d. ZAGREB
Item	AOP code	Last year (net)	Current year (net)
1	2	3	4
ASSETS
A) RECEIVABLES FOR SUBSCRIBED BUT NOT PAID-IN CAPITAL B) LONG-TERM ASSETS (003+010+020+029+033)	001
I. INTANGIBLE ASSETS (004 to 009)	002 003	180.742.877 0	188.962.189 0
1. Assets development	004
2. Concessions, patents, licences fees, trade and service marks, software and	005
3. Goodwill	006
4. Prepayments for purchase of intangible assets	007
5. Intangible assets in preparation	008
6. Other intangible assets	009
II. TANGIBLE ASSETS (011 to 019)	010	0	0
1. Land	011
2. Buildings	012
3. Plant and equipment	013
4. Tools, facility inventory and transport assets 5. Biological assets	014 015
6. Prepayments for tangible assets	016
7. Tangible assets in progress	017
8. Other tangible assets	018
9. Investments in buildings	019
III. LONG-TERM FINANCIAL ASSETS (021 to 028)	020	180.742.877	188.962.189
1. Investments (shares) with related parties	021	180.742.877	188.962.189
2. Loans given to related parties	022
3. Participating interest (shares)	023
4. Loans to entrepreneurs in whom the entity holds participating interests	024
5. Investments in securities	025
6. Loans, deposits and similar assets	026
7. Other long - term financial assets	027
8. Investments accounted by equity method IV. RECEIVABLES (030 to 032)	028
1.Receivables from related parties	029 030	0	0
2. Receivables from based on trade loans	031
3. Other receivables	032
V. DEFERRED TAX ASSETS	033
C) SHORT TERM ASSETS (035+043+050+058)	034	22.132.585	13.900.610
I. INVENTORIES (036 to 042)	035	0	0
1. Raw-material and supplies	036
2. Work in progress	037
3. Finished goods	038
4. Merchandise	039
5. Prepayments for inventories	040
6. Long - term assets held for sales	041
7. Biological assets II. RECEIVABLES (044 to 049)	042 043	0	12.247.819
1. Receivables from related parties	044		12.226.353
2. Accounts receivable	045
3. Receivables from participating parties	046
4. Receivables from employees and members of related parties	047
5. Receivables from government and other institutions	048		21.466
6. Other receivables	049
III. SHORT TERM FINANCIAL ASSETS (051 to 057)	050	0	0
1. Shares (stocks) in related parties	051
2. Loans given to related parties	052
3. Participating interests (shares)	053
4. Loans to entrepreneurs in whom the entity holds participating interests	054
5. Investments in securities	055
6. Loans, deposits, etc. 7. Other financial assets	056 057
IV. CASH AT BANK AND IN CASHIER	058	22.132.585	1.652.791
D) PREPAID EXPENSES AND ACCRUED REVENUE	059
E) TOTAL ASSETS (001+002+034+059)	060	202.875.462	202.862.799
F) OFF-BALANCE RECORDS	061

Obligator: FTB TURIZAM d.d. ZAGREB
Item		Last year (net)	Current year (net)
1	2	3	4
LIABILITIES AND CAPITAL
A) CAPITAL AND RESERVES (063+064+065+071+072+075+078)	062	202.808.920	202.828.256
I. SUBSCRIBED CAPITAL	063	202.769.470	202.769.470
II. CAPITAL RESERVES	064
III.RESERVES FROM PROFIT (066+067-068+069+070)	065	0	1.972
1. Reserves prescribed by low	066		1.972
2. Reserves for treasury shares	067
3. Treasury stocks and shares (deduction)	068
4. Statutory reserves	069
5. Other reserves	070
IV. REVALUATION RESERVES	071
V. RETAINED EARNINGS OR ACCUMULATED LOSS (073-074)	072	0	37.478
1. Retained earnings	073		37.478
2. Accumulated loss	074
VI. PROFIT/LOSS FOR THE CURRENT YEAR (076-077)	075	39.450	19.336
1. Profit for the current year	076	39.450	19.336
2. Loss for the current year	077
IX. MINORITY INTERESTS	078
B) PROVISIONS (080 to 082)	079	0	0
1. Provisions for pensions, severance pay, and similar liabilities	080
2. Reserves for tax liabilities	081
3. Other reserves	082
C) LONG - TERM LIABILITIES (084 to 092)	083	0	0
1. Liabilities to related parties	084
2. Liabilities for loans, deposits etc.	085
3. Liabilities to banks and other financial institutions	086
4. Liabilities for received prepayments	087
5. Accounts payable	088
6. Liabilities arising from debt securities	089
7. Liabilities to entrepreneurs in whom the entity holds participating interests	090
8. Other long-term liabilities	091
9. Deferred tax liability	092
D) SHORT - TERM LIABILITIES (094 to 105)	093	66.542	34.543
1. Liabilities to related parties	094
2. Liabilities for loans, deposits etc.	095
3. Liabilities to banks and other financial institutions	096
4. Liabilities for received prepayments	097
5. Accounts payable	098	56.679	33.580
6. Liabilities arising from debt securities	099
7. Liabilities to entrepreneurs in whom the entity holds participating interests	100
8. Liabilities to employees	101
9. Liabilities for taxes, contributions and similar fees	102	9.863
10. Liabilities to share - holders	103
11. Liabilities for long-term assets held for sale
12. Other short - term liabilities	104
	105		963
E) DEFFERED SETTLEMENTS OF CHARGES AND INCOME DEFERRED TO	106
F) TOTAL – CAPITAL AND LIABILITIES (062+079+083+093+106)	107	202.875.462	202.862.799
G) OFF-BALANCE RECORDS	108
APPENDIX to balance sheet(to be filled in by entrepreneur that prepares consolidated annual financial report)
CAPITAL AND RESERVES
1. Attributed to equity holders of parent company	109	0	0
2. Attributed to minority interest	110

for the period 01.01.2016. to 31.12.2016. PROFIT AND LOSS ACCOUNT

Obligator: FTB TURIZAM d.d. ZAGREB
Item	AOP code	Last year	Current year
1	2	3	4
I. OPERATING REVENUE (112+113)	111	0	24.141
1. Sales revenue	112
2. Other operating revenues	113		24.141
II. OPERATING EXPENSES (115+116+120+124+125+126+129+130)	114	72.477	680.452
1. Changes in value of work in progress and finished products	115
2. Material costs (117 to 119)	116	18.329	283.941
a) Raw material and material costs	117
b) Costs of goods sold	118
c) Other external costs	119	18.329	283.941
3. Staff costs (121 to 123)	120	0	0
a) Net salaries and wages	121
b) Cost for taxes and contributions from salaries	122
c) Contributions on gross salaries	123
4. Depreciation	124
5. Other costs	125	54.148	396.511
6. Impairment (127+128)	126	0	0
a) Impairment of long-term assets (financial assets excluded)	127
b) Impairment of short - term assets (financial assets excluded)	128
7. Provisions	129
8. Other operating costs	130
III. FINANCIAL INCOME (132 to 136)	131	121.790	680.864
1. Interest income, foreign exchange gains, dividends and similar income from related	132		502.062
2. Interest income, foreign exchange gains, dividends and similar income from non -	133	121.790	178.802
3. Share in income from affiliated entrepreneurs and participating interests	134
4. Unrealized gains (income) from financial assets	135
5. Other financial income	136
IV. FINANCIAL EXPENSES (138 do 141)	137	0	383
1. Interest expenses, foreign exchange losses, dividends and similar expenses from related	138		383
2. Interest expenses, foreign exchange losses, dividends and similar expenses from non -	139
3. Unrealized losses (expenses) on financial assets	140
4. Other financial expenses	141
V. INCOME FROM INVESTMENT - SHARE IN PROFIT OF ASSOCIATED ENTREPRENEURS	142
VI. LOSS FROM INVESTMENT - SHARE IN LOSS OF ASSOCIATED ENTREPRENEURS	143
VII. EXTRAORDINARY - OTHER INCOME	144
VIII. EXTRAORDINARY - OTHER EXPENSES	145
IX. TOTAL INCOME (111+131+142 + 144)	146	121.790	705.005
X. TOTAL EXPENSES (114+137+143 + 145)	147	72.477	680.835
XI. PROFIT OR LOSS BEFORE TAXATION (146-147)	148	49.313	24.170
1. Profit before taxation (146-147)	149	49.313	24.170
2. Loss before taxation (147-146)	150	0	0
XII. PROFIT TAX	151	9.863	4.834
XIII. PROFIT OR LOSS FOR THE PERIOD (148-151)	152	39.450	19.336
1. Profit for the period (149-151)	153	39.450	19.336
2. Loss for the period (151-148)	154	0	0
APPENDIX to P&L account (to be filled in by entrepreneur that prepares consolidated financial report)
XIV. PROFIT OR LOSS FOR THE PERIOD
1. Attributed to equity holders of parent company	155
2. Attributed to minority interest	156
STATEMENT OF OTHER COMPREHENSIVE INCOME (IFRS)
I. PROFIT OR LOSS FOR THE PERIOD (= 152)	157	39.450	19.336
II. OTHER COMPREHENSIVE INCOME / LOSS BEFORE TAX (159 do 165)	158		0
1. Exchange differences on translation of foreign operations	159
2. Movements in revaluation reserves of long - term tangible and intangible assets	160
3. Profit or loss from reevaluation of financial assets available for sale	161
4. Gains or losses on efficient cash flow hedging	162
5. Gains or losses on efficient hedge of a net investment in foreign countries	163
6. Share in other comprehensive income / loss of associated companies	164
7. Actuarial gains / losses on defined benefit plans	165
III. TAX ON OTHER COMPREHENSIVE INCOME FOR THE PERIOD	166
IV. NET OTHER COMPREHENSIVE INCOME OR LOSS FOR THE PERIOD (158-166)	167		0
V. COMPREHENSIVE INCOME OR LOSS FOR THE PERIOD (157+167)	168	39.450	19.336
APPENDIX to Statement of other comprenhensive income (to be filled in by entrepreneur that prepares consolidated financial
VI. COMPREHENSIVE INCOME OR LOSS FOR THE PERIOD
1. Attributed to equity holders of parent company	169
2. Attributed to minority interest	170

STATEMENT OF CASH FLOWS - INDIRECT METHOD for the period 01.01.2016. to 31.12.2016.

Obligator: FTB TURIZAM d.d. ZAGREB
Item		Last year	Current year
1		3	4
CASH FLOW FROM OPERATING ACTIVITIES
1. Profit before tax	001	263.092	16.995.532
2. Depreciation	002	97.368.243	98.420.160
3. Increase in short term liabilities	003
4. Decrease in short term receivables	004
5. Decrease in inventories	005
6. Other increase in cash flow	006
I. Total increase in cash flow from operating activities (001 to 006)	007	97.631.335	115.415.692
1. Decrease in short term liabilities	008	3.582.560	7.122.561
2. Increase in short term receivables	009	1.484.459	1.987.866
3. Increase in inventories	010	331.483	668.379
4. Other decrease in cash flow	011	13.776.679	12.102.371
II. Total decrease in cash flow from operating activities (008 to 011)	012	19.175.181	21.881.177
A1) NET INCREASE IN CASH FLOW FROM OPERATING ACTIVITIES (007-	013	78.456.154	93.534.515
A2) NET DECREASE IN IN CASH FLOW FROM OPERATING ACTIVITIES	014	0	0
CASH FLOW FROM INVESTING ACTIVITIES
1. Cash inflows from sales of long-term tangible and intangible assets	015	18.188.368	11.731.223
2. Cash inflows from sales of equity and debt instruments	016
3. Interests receipts	017	1.520.113	1.240.453
4. Dividend receipts	018
5. Other cash inflows from investing activities	019
III. Total cash inflows from investing activities (015 to 019)	020	19.708.481	12.971.676
1. Cash outflow for purchase of long-term tangible and intangible assets	021	39.678.251	106.911.826
2. Cash outflow for acquisition of equity and debt financial instruments	022	6.685.000
3. Other cash outflow for investing activities	023	22.027.230
IV. Total cash outflow for investing activities (021 do 023)	024	68.390.481	106.911.826
B1) NET INCREASE IN CASH FLOW FROM INVESTING ACTIVITIES (020-	025	0	0
B2) NET DECREASE IN CASH FLOW FROM INVESTING ACTIVITIES (024-	026	48.682.000	93.940.150
CASH FLOW FROM FINANCIAL ACTIVITIES
1. Cash inflow from issuing property and debt financial instruments 2. Proceeds from the credit principal, promissory notes, borrowings and	027
other loans	028
3. Other proceeds from financial activities	029
V. Total cash inflows from financial activities (027 to 029)	030	0	0
1. Cash outflow for repayment of credit principal and bonds	031	31.417.369	19.721.019
2. Cash outflow for dividends paid	032
3. Cash outflow for financial lease	033
4. Cash outflow for purchase of treasury shares	034
5. Other cash outflow for financial activities	035
VI. Total cash outflow for financial activities (031 to 035)	036	31.417.369	19.721.019
C1) NET INCREASE IN CASH FLOW FROM FINANCIAL ACTIVITIES (030-	037	0	0
C2) NET DECREASE IN CASH FLOW FROM FINANCIAL ACTIVITIES (036-	038	31.417.369	19.721.019
Total increase in cash flow (013 – 014 + 025 – 026 + 037 – 038)	039	0	0
Total decrease in cash flow (014 – 013 + 026 – 025 + 038 – 037)	040	1.643.215	20.126.654
Cash and cash equivalents at the beginning of the period	041	84.158.207	82.514.992
Increase of cash and cash equivalents	042	0	0
Decrease of cash and cash equivalents	043	1.643.215	20.126.654
Cash and cash equivalents at the end of the period	044	82.514.992	62.388.338

1.1.2016 do STATEMENT OF CHANGES IN EQUITY for the period 31.12.2016

Item		Last year	Current year
1	2	3	4
1. Subscribed capital	001	202.769.470	202.769.470
2. Capital reserves	002
3. Reserves from profit	003		1.972
4. Retained earnings or accumulated loss	004		37.478
5. Profit or loss for the current year	005	39.450	19.336
6. Revaluation of long - term tangible assets	006
7. Revaluation of intangible assets	007
8. Revaluation of financial assets available for sale	008
9. Other revaluation	009
10. Total capital and reserves (AOP 001 do 009)	010	202.808.920	202.828.256
11. Currency gains and losses arising from net investement in foreign operations	011
12. Current and deferred taxes (part)	012
13. Cash flow hedging	013
14. Changes in accounting policy	014
15. Correction of significant errors in prior period	015
16. Other changes of capital	016
17. Total increase or decrease in capital (AOP 011 do 016)	017	0	0
17 a. Attributed to equity holders of parent company	018
17 b. Attributed to minority interest	019

Management Board Report on the state of FTB TURIZAM d.d. for the period January-December 2016

The operating results of FTB TURIZAM d.d. for the period January-December 2016 show that the Company is achieving its primary objectives.

In 2016, FTB TURIZAM d.d. had profit before taxes in the amount of 24,000 kn, which is an decrease of 25,000 kn compared to the 2015 profit of 49,000 kn. In 2016, the Company's income tax liability was 5,000 kn.

EBITDA (gross profit + amortisation + interests) was $24,000$ kn, while in the previous year it was 49,000 kn.

The liquidity and solvency ratios and debt to equity and cash flow ratios are strong.

Member of the Management Board

Dr. Sc. Igor Šehanović

May

FTB TURIZAM d.d. Zagreb $\overline{1}$

FTB TURIZAM d.d.

FTB TURIZAM d.d. A Miramarska 24, 10000 Zagreb, Croatia
T + 385 051 710 313 Ė +385 051 710 406 E info@ftb-turizam.com

W www.ftb-turizam.com

Zagreb, 09/02/2017

Statement of persons responsible for the preparation of the reports

Pursuant to Article 407 Paragraph 2 of the Capital Market Act (Official Gazette Nos. 88/08 and 146/08), I declare that to the best of our knowledge the financial reports of the company FTB TURIZAM d.d. Zagreb have been prepared in accordance with International Financial Reporting Standards and the Croatian Accounting Act and that they provide a true and fair view of the assets and liabilities, profit and loss and financial operations of the Company for the period from 1 January to 31 December 2016.

Ph.D. Igor Šehanović, Member of the Management Board

FTB TURIZAM d.d. Zagreb $\overline{1}$

FTB TURIZAM dioničko društvo, Žiro račun: Erste & Steiermarkische bank HR11 2402006 1100756024, OIB: 82344583628, Temelini kapital: 202.769.470.00 kuna, Trgovački sud u Zagrebu MBS: 040352133. Uprava: dr. sc. Igor Šehanović, član, Nadzorni odbor: Tin Dolički, predslednik, Darko Ostoja, član i zamlenik predsjednika, .
Joško Marić, član.

$\boldsymbol{r}$

$\overline{\phantom{a}}$