Dividend Declaration

Subject: Announce the board's approval of the allocation of earnings of year 2012

Date of events: 2013/04/30

Contents:

1. Date of the board of directors resolution: 2013/04/30

2. Appropriations of earnings in cash dividends to shareholders (NT$ per share):

NT$ 0.7

3. Cash dividends distributed from legal reserve and capital reserve to shareholders

(NT$ per share): NT$ 0

4. Total amount of cash dividends to shareholders (NT$): NT$7,465,769,550

5. Appropriations of earnings in stock dividends to shareholders (NT$ per share):

NT$ 0.7

6. Stock dividends distributed from legal reserve and capital reserve to shareholders

(NT$ per share): NT$ 0

7. Total amount of stock dividends to shareholders (shares): 746,576,955 shares

8. Bonus to directors and supervisors (NT$): NT$5,400,000

9. Cash bonus to employees (NT$): NT$ 1,493,843

10. Stock bonus to employees (NT$): NT$ 011.

11.Any other matters that need to be specified:

(1) After the company announces its dividend policy,

based on Article 28-2 of the Securities Law, if we engage in secondary purchases, transfers, exchanges, cancellations of our shares, GDR issuing, ECB conversion or any other reasons, all resulting in an increase or decrease in total number of shares outstanding on the dividend record date, the current dividend policy and the dividend per share will be adjusted based on the total number of shares outstanding on the ex-dividend date.

(2)According to Letter No.1010012865 issued by the Financial Supervisory Commission, R.O.C ("FSC") on April 6, 2012, Company should announce its adjustment of earning allocation and special reserve in the AGM to notify its shareholders the impacts of first IFRS adoption. Under the first IFRS adoption,

Cathay Financial Holdings recognized the NT$595,560,347 of decrease in 2012 unappropriated retained earnings, which will be added up to earning allocation in 2013.