Major Board Resolution
Announcement of Board's approval of a capital reduction
1.Date of the board of directors resolution:2010/10/28
2.Reason for the capital reduction:To increase ROE and maintain
stable EPS and dividend
3.Amount of the capital reduction:NT$ 3,800,925,360
4.Cancelled shares:380,092,536 shares
5.Capital reduction ratio:10%
6.Paid-in capital after the capital reduction:NT$ 34,208,328,270
7.Scheduled date of the shareholders' meeting:2011 AGM
8.Any other matters that need to be specified:
(1) Shareholders will be compensated by cash for shares which can not be
rounded up into one share due to the capital reduction. And the cash
compensation is rounded to the nearest dollar amount calculated at
par value. The shares issuance after capital reduction will be
non-physical (scriptless).The Company’s Chairman is authorized to
have someone take up shares, which can not be rounded up into one share
after the capital reduction, at par value.
(2) It is proposed that the Board of Directors be authorized to set a
record date for capital reduction upon the receipt of the approval
from shareholders’ meeting and the regulatory authority.
(3) The Chairman or the designee is authorized to handle all other
matters related to the capital reduction.