In accordance with Article 31 of the Articles of Incorporation of the Company:
The industry that the Company belongs to is closely linked to the domestic and international economics, and the growth cycle of the industry is in the growth and mature stage. The proposal of earnings distribution by Directors shall take the future capital expenses and capital demand as well as the covering the capital demand with earnings of the Company into consideration in order to determine the amount of distributed and undistributed earnings and the amount of cash dividend or bonus.
In the event of surplus earnings after closing of annual accounts, due taxes shall be paid in accordance with the law, and losses incurred in previous years shall be compensated. Upon completion of the preceding actions, 10% of the remainder surplus shall be allocated as legal reserve. In addition, in accordance with the law or regulatory requirements, special reserve shall be allocated or reversed, the amount is the distributable amount of the period. This amount plus the annual undistributed earnings will be the total amount of accumulated distributable earnings.
Bonus to shareholders shall be 50% to 100% of the accumulated distributable earnings, and the cash dividend shall not be lower than 30% of the total dividend distribution of the year. The Board of Directors shall propose earnings distribution based on the factors of future business or reinvestment demands, and the proposal shall be carried out by the resolution of the shareholders’ meeting.