Dividend Policy

Dividend Policy and Execution Status of the Company

The dividend policy stipulated in the Articles of Incorporation is as follows:

If the Company has earnings upon annual closing, it shall first pay taxes
and make up accumulated losses, then set aside 10% as legal reserve, unless
the legal reserve has reached the total capital. If necessary, special
reserve shall be set aside or reversed in accordance with laws and
regulations or requirements of the competent authority.

Any remaining balance shall be distributed based on a proposal prepared by
the Board of Directors for distribution of not less than 20% of earnings.
However, if there are no earnings for the year or the Board of Directors
considers the earnings to be low, the Board may resolve not to distribute
earnings.

When preparing an earnings distribution proposal, the Board may include a
portion of prior years’ undistributed earnings for distribution. If the
distribution is made by issuing new shares, it shall be submitted to the
Shareholders’ Meeting for resolution.

The Company’s dividend policy is established in accordance with its current
and future development plans, taking into consideration factors such as the
investment environment and capital requirements.

When distributing shareholder dividends, the Company may do so in the form
of cash or stock. Cash dividends shall not be less than 5% of the total
dividends; however, if the cash dividend per share is less than one dollar,
the entire dividend may be distributed in the form of stock dividends.

Pursuant to Article 240 of the Company Act, the Company authorizes the Board
of Directors, by a resolution adopted by at least two-thirds of the
Directors present and more than half of the Directors present voting in
favor, to distribute all or part of dividends and bonuses, or all or part
of legal reserve and capital surplus as prescribed under Article 241 of the
Company Act, in cash, and to report such distribution to the Shareholders’
Meeting.