Capital Reduce by Cancel 2011 1st Treasury Stock

Subject: Capital Reduction through Cancellation of the First Shares Repurchased in 2011

Date of events: 2014/05/08

Statement

1. Date of the board of directors resolution: 2014/05/08

2. Reason for the capital reduction:

Pursuant to Article 28-2 of Securities and Exchange Act, the Company shall proceed with transfer of the shares repurchased for the purpose of transfer to employees within three years from the last day of buyback period. Those shares which

are not transferred to employees within the aforesaid period shall be deemed as unissued shares of the Company, and the Company shall proceed with cancellation of said shares accordingly.

3. Amount of the capital reduction: NT$ 286,190,000

4. Cancelled shares: 28,619,000 shares

5. Capital reduction ratio: around 1.011% of the share capital

6. Share capital after the capital reduction: NT$ 28,061,078,280

7. Scheduled date of the shareholders' meeting: N/A

8. Estimate listed shares, the ratio of listed shares to outstanding shares, after the capital reduction: N/A

9. Countermeasures of the aforesaid estimate change in shareholding after the capital reduction: N/A

10. Any other matters that need to be specified:

It is proposed to set May 26, 2014 as record date of capital reduction