Dividend policy as set forth in the Company’s Articles of Incorporation

If the Company has any surplus in the annual accounts, the Company shall pay tax and set aside 10% as legal reserve. However, if the legal reserve has reached the Company’s total paid-in capital, the Company may no longer set aside the legal reserve, and the remaining balance shall be set aside or reversed as special reserve in accordance with the laws and regulations; if there is still a remaining balance, together with the undistributed surplus, the Board of Directors shall prepare a proposal on the appropriation of the surplus, and submit it to the shareholders’ meeting for resolution of the dividend distribution to the shareholders.

The Company’s dividend policy is based on the principle of prudent balancing and takes into account factors such as profitability, financial structure, and future development of the Company in distributing dividends to shareholders. The amount of dividends to be distributed to shareholders should not be less than 10% of the current year’s after-tax earnings. However, if the cumulative retained earnings available for distribution is less than 10% of the paid-in capital, the dividends may not be distributed; and appropriate cash dividends should be set aside from the current year’s dividends, provided that the cash dividends are not less than 10% of the total dividends.