Clarify on media reporting

Subject: Clarify on media reporting

Contents:

1. Date of occurrence of the event:2014/03/04

2. Company name:Hon Hai Precision Ind. Co. Ltd

3. Name of the reporting media: Commercial Times

4. Content of the report:

4.1 Non-Competition, Hon Hai failed on Taiwan High Court

4.2 … in other word, this judgment seems to be good to Hon Hai, but actually is "worthless".

5. Cause of occurrence:

5.1 The case heard by Taiwan High Court revoked the judgment of "reject the petition on asking Huang, Ta-Wei and Tsao, Shi-Fong abided by the Non-Competition Clause" ruled by Taiwan District Court, and ruled "Appellees shall not use their knowledge learning from Appellant to engage, operate or instigate third party the same or similar products regarding the trade secret on Apple Inc.'s 「Lightning Cable」of iPhone 5". Therefore, Hon Hai won the case on Taiwan High Court regarding the Non-Competition Clause.

5.2 Hon Hai also filed the injunction relieve on Tsao, Shi-Fong, asking the Court to ruled that Tsao shall leave Green Point Company and shall not engage the work the same or similar to connector or cable products, including Apple Inc.'s product. Such petition was granted by Taiwan District Court on February, 2013 and affirmed by Taiwan High Court. Therefore, Tsao shall abide by the Non-Competition obligation since February 2013. Its not that as stated by Business Times as "worthless".