Test-Rite Board of Directors approved cash capital increase by issuance of public placement of common stock.

2018-03-26

1.Date of the board of directors resolution:2018/03/26
2.Source of capital increase funds: issuing common stocks for cash capital
increase with book building bids.
3.Number of shares issued:a maximum of 50,000,000 shares.
4.Par value per share:10(NT$)
5.Total monetary amount of the issue: depending on the final issue price.
6.Issue price:The issue price will be settled according to the
self-regulatory rules of Taiwan Securities Association and government’s
regulations. The Chairperson is authorized to set the issuing price according
to market conditions at the time of the issuance and communicating with the
 underwriter.
7.Number of shares subscribed by or allotted to employees: 10~15% of the new
shares will be reserved for employee subscription, in compliance with Article
267 of Company Act.
8.Number of shares publicly sold:While 10~15% of the new shares will be
reserved for employee subscription, in compliance with Article 267 of Company
Act, ,the remaining 85~90% of the new shares is to be reserved for public
underwriting through a book building process. In addition, existing
shareholders to relinquish their subscription rights, according to Article
the is expected and Exchange Act. All shares will be publicly offered based
via  28-1 of Security book building method.
9.Ratio of shares subscribed by or allotted as stock dividends to existing
  shareholders:While 10~15% of the new shares will be reserved for employee
subscription, in compliance with Article 267 of Company Act, ,the remaining
85~90% of the new shares is to be reserved for public underwriting through
a book building process. In addition, existing shareholders is expected to
relinquish their subscription rights, according to Article 28-1 of Security
and Exchange Act. All shares will be publicly offered based via the book
building method.
10.Method of handling fractional shares and shares unsubscribed by the
   deadline: the Chairperson is authorized to allocate those shares to
specified persons at the proposed issue price.
11.Rights and obligations of the newly issued shares: The rights and
obligations associated with common shares issued in this cash capital
increase are identical to the original common shares.
12.Utilization of the funds from the capital increase:To enhance working
capital,to improve financial structure of the Company, and to invest in
subsidiaries.
13.Any other matters that need to be specified:
1.The proposal is for shareholders to authorize the board of directors to
manage the issuance of public placement of common stock, such as issued
shares、issued price、total monetary amount of issue、business plan、capital
usages、shares issued potential benefits, and all other relevant issues.
2. It is also proposed for shareholders to authorize the board of directors
to amend subject to the changes of laws、 authority opinions、market
conditions,or others.