Announced by Cathay Financial Holdings,on behalf of Cathay United Bank,the sale of shares of Seaward Leasing Limited Company.
2006-06-30
1.Name and nature of the subject matter (if preferred shares,
the terms and conditions of issuance shall also be indicated,
e.g.dividend yield): Common shares of Seaward Leasing Limited Company.
2.Date of occurrence of the event: 2006/06/30
3.Volume, unit price, and total monetary amount of the transaction:
200,000,000 shares;unit price:NT$15.9;Total amount:NT$3.18 billion.
4.Counterpart to the trade and its relationship to the Company
(if the trading counterpart is a natural person and furthermore
is not an actual related party of the Company, the name of the
trading counterpart is not required to be disclosed):
The Counterparty: Cathay Real Estate Development Corporation.
the relationship with the company: affiliated enterprise.
5.Where the counterpart to the trade is an actual related party,
a public announcement shall also be made of the reason for choosing
the related party as trading counterpart and the identity of the
previous owner (including its relationship with the company and the
trading counterpart), price of transfer, and date of acquisition:
Cathay Real Estate Development Corporation is an affiliated enterprise
of Cathay Financial Holdings,the transaction is considering future
operation and focussing on the development of bank's core business.
There is no previous owner.
6.Where a person who owned the property within the past five years
has been an actual related person of the company, a public
announcement shall also include the dates and prices of
acquisition and disposal by the related person and the
person’s relationship to the company at those times: N/A
7.Matters related to the creditor's rights currently being disposed
of (including types of collateral of the disposed creditor's rights;
if the creditor's rights are creditor's rights toward a related
person, the name of the related person and the book amount of the
creditor's rights toward such related person currently being
disposed of must also be announced): N/A
8.Anticipated profit or loss from the disposal (not applicable in
cases of acquisition of securities) (where originally deferred, the
status or recognition shall be stated and explained):
Approximately NT$1.38 billion.
9.Terms of delivery or payment (including payment period and
monetary amount), restrictive covenants in the contract, and
other important stipulations:
50% of the consideration of the sale shall be paid upon the signing
of sale and purchase agreement and the other 50% of the consideration
shall be paid by the purchaser within 7 days after settlement date.
10.The manner in which the current transaction was decided, the
reference basis for the decision on price, and the decision-making
department:
The decision basis:based on the professional appraisal report.
The reference price:According to the reasonable price opinion of CPA.
The decision-making department:the board of directors.
11.Current cumulative volume, amount, and shareholding percentage
of holdings of the security being traded (including the current
trade) and status of any restriction of rights (e.g.pledges):
Current cumulative volume:200,000,000shares
Current cumulative amount:NT$3.18 billion.
Percentage of holdings:100%
Restrictions of rights:N/A
12.Current ratio of long or short term securities investment
(including the current trade) to the total assets and shareholder's
equity as shown in the most recent financial statement and the
operating capital as shown in the most recent financial statement:
The ratios to the total assets and the shareholder's equity:31.37% and
431.54% respectively;the operational capital:NT$131,925,339 thousands.
13.Broker and broker's fee: N/A
14.Concrete purpose or use of the acquisition or disposition:
Considering the needs of bank's future operation as a whole
and focussing on the development of core business.
15.Net worth per share of company underlying securities acquired
or disposed of: Approximately NT$11.33
16.Do the directors have any objection to the present transaction?: None
17.Has the CPA issued an opinion on the unreasonableness of the price
of the current transaction?: None
18.Any other matters that need to be specified: N/A
