Functional Committees

To enhance supervisory functions and strengthen management mechanisms, the company's Board of Directors, considering the company's scale, nature of business, corporate social responsibility, and sustainable management philosophy, has established three functional committees: the Audit Committee, the Remuneration Committee, and the Integrity and Sustainability Committee. Currently, all three functional committees are composed entirely of the company's three independent directors.

The Audit Committee of the company was established on May 20, 2015. The primary purpose of the Audit Committee's operations is to oversee the proper presentation of the company's financial statements, the appointment or dismissal and evaluation of the independence and performance of certified public accountants, the effective implementation of the company's internal controls, compliance with relevant laws and regulations, and the management of existing or potential risks faced by the company.

In the 113th year of the Republic of China, five meetings have been held (A), and the attendance of committee members is as follows:

• Formulate and regularly review the policies, systems, standards, and structure for the performance evaluation and compensation of directors, supervisors, and managers.
• Regularly assess and determine the compensation for directors, supervisors, and managers.

• The performance evaluation and compensation for directors and managers should be based on industry standards and consider the relevance to individual performance, company operating performance, and future risks.
• Directors and managers should not be encouraged to engage in behavior that exceeds the company's risk tolerance in pursuit of compensation.
• The proportion of short-term performance bonuses and the timing of payment for variable compensation for directors and senior executives should be determined based on industry characteristics and the nature of the company's business.

In the 113th year of the Republic of China, nine meetings have been held (A), and the attendance of committee members is as follows:

The company's Integrity and Sustainability Committee is composed of independent directors, with three members. The committee must meet at least once a year and is responsible for formulating and supervising the implementation of integrity management policies and prevention programs, as well as promoting and overseeing sustainability and fair treatment matters. After each meeting, the committee reports to the board of directors on compliance and resolutions. The committee primarily handles the following matters:

• Assist in integrating integrity and ethical values into the company's business strategy, and work with legal and regulatory frameworks to establish measures that ensure integrity in business operations.
• Regularly analyze and assess the risks of dishonest behavior within the business scope, and develop prevention programs accordingly. Establish standard operating procedures and conduct guidelines related to business operations within each program.
• Plan internal structures, staffing, and responsibilities, and establish mutual supervision and checks and balances mechanisms for business activities with higher risks of dishonest behavior within the business scope.
• Promotion and coordination of integrity policy training and awareness programs.
• Plan a reporting system to ensure its effectiveness in execution.
• Assist the board of directors and management in reviewing and assessing the effectiveness of the integrity management measures implemented, and regularly evaluate compliance with relevant business processes, providing reports accordingly.
• Create and properly maintain documentation related to integrity management policies, compliance statements, implementation commitments, and execution status.
• Assist in integrating sustainability and fair treatment values into the company's corporate culture.
• Review the company’s policies and goals related to sustainability and fair treatment.
• Supervise the implementation and effectiveness of the company's sustainability and fair treatment initiatives.

• This committee is composed of all independent directors, with a minimum of three members. One member shall act as the chairperson, and at least one member must possess expertise in law, management, accounting, or finance.
• The term of office for members of the Remuneration Committee aligns with the term of independent directors. If an independent director is dismissed or a vacancy occurs, resulting in a number of members below the requirements stipulated in the preceding paragraph or the Articles of Incorporation, a replacement shall be elected at the next shareholders' meeting. If all independent directors are dismissed, the company shall convene an extraordinary shareholders' meeting within 60 days from the date of the event to elect replacements.election should be held at the next shareholders' meeting. If all independent directors are removed, the company must convene an extraordinary shareholders' meeting to elect replacements within sixty days from the occurrence of the event.

In the 113th year of the Republic of China, four meetings have been held (A), and the attendance of committee members is as follows: