Operations of Functional Committees

Audit Committee

The Company’s Audit Committee was established on September 18, 2018, to replace the original supervisors. The members of the committee are composed of the independent directors of the board of directors (three members), with an independent director elected by all members as the convener and chair of the committee meetings. The operations are conducted in accordance with the Company’s Audit Committee Charter. The matters that shall be reviewed by the committee include the Company’s financial statements, the Company’s auditing and accounting policies and procedures, the Company’s internal control system, major asset or derivatives transactions, fundraising or issuance of securities, appointment, dismissal, or remuneration of certified public accountants, and appointment and dismissal of financial, accounting, or internal audit managers.

Key Focus Areas for 2026

1. Review of Financial Reports: The Board of Directors of the company has submitted the 2025 financial statements (including consolidated financial statements), audited and certified by CPAs Zhi Bingjun and Lai Zongxi of PricewaterhouseCoopers Taiwan. Together with the business report and the profit distribution proposal, they were reviewed and approved by the 11th Audit Committee of the 3rd term (2026.3.5) and resolved by the 14th Board of Directors of the 13th term (2026.3.11). They have been submitted for approval at the 2026 Annual General Meeting of Shareholders (2026.5.29).

2. Assessment of the Effectiveness of the Internal Control System: The company evaluates the effectiveness of the internal control system based on the criteria set by the "Regulations Governing Establishment of Internal Control Systems by Public Companies." The design and implementation of the internal control system for 2025 were assessed to be effective. The internal control self-assessment was completed on 2025.12.31, with no significant deficiencies found in the design and implementation of the internal control system. Based on this assessment, the internal control system's design and implementation are deemed effective. This was reviewed and approved by the 11th Audit Committee of the 3rd term (2026.3.5) and resolved by the 14th Board of Directors of the 13th term (2026.3.11), after which the "Internal Control System Statement" for 2025 was issued.

Audit Committee Members

The Audit Committee held six (A) meetings during 2025; the attendance of independent directors is as follows:

Communication with Independent Directors, Chief Internal Auditor, and Certified Public Accountants:

(1) Modes of Communication between Independent Directors, Chief Internal Auditor, and Certified Public Accountants: The Independent Directors of the Company have a direct channel of communication with the Chief Internal Auditor and the Certified Public Accountants. In accordance with regulatory authorities' requirements, they periodically audit the financial and operational status of the Company, engaging in direct communication with management and supervisory units.

1. The Company's Chief Internal Auditor regularly presents internal audit reports at each quarterly Audit Committee meeting, providing comprehensive communication regarding the execution of audit activities, the status of rectifying deficiencies, and their effectiveness.

2. The Company's Certified Public Accountants report on the audit or review results of the financial statements of the Company and its subsidiaries, as well as other communication items required by relevant laws and regulations, in Audit Committee meetings following the completion of the semi-annual and annual financial statement audit work.

(II) Summary of the communication between independent directors and CPAs:

(III)Summary of the communication between independent directors and the internal audit officer:

List of Remuneration Committee members

To enhance the salary and remuneration system of the company's directors and executives, the company established the "Remuneration Committee" in 2018. The committee members are appointed by the board, with a total of three members, including at least one independent director from the company. The current convener and meeting chairperson is independent director Chen Zhenggang. The Remuneration Committee is responsible for formulating and periodically reviewing policies, systems, standards, and structures for performance evaluation and compensation for directors and executives. According to the "Remuneration Committee Organization Regulations," the Remuneration Committee should meet at least twice a year, and meeting details and member attendance are available in the company's annual reports.

Responsibilities of the Remuneration Committee

The authority of the company's Remuneration Committee is to evaluate the salary and remuneration policies and systems for the company's directors and executives from the perspective of good management and objectivity, at least twice a year, and may convene meetings as needed. It provides recommendations to the board for their decision making.

1. Authority of the company's Remuneration Committee

• A. Formulate and periodically review policies, systems, standards, and structures for performance evaluation and compensation for directors and executives.
• B. Regularly evaluate and determine the compensation for directors and executives.

2. Standards for the Remuneration Committee

• A. Performance evaluation and compensation for directors and executives should reference industry standards and take into account individual performance, company operational performance, and the related rationality of future risks.
• B. Directors and executives should not be encouraged to engage in behavior beyond the company's risk tolerance in pursuit of compensation.
• C. The proportion of short-term performance bonuses for directors and senior managers and the timing of certain variable compensation payments should consider the industry's characteristics and the nature of the company's business.

List of Remuneration Committee members

 In the past year 2025, the Remuneration Committee met twice (A). The qualifications of committee members and their attendance are as follows: