Getac — Audit Report / Information 2021

Nov 12, 2021

GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) PARENT COMPANY ONLY

FINANCIAL STATEMENTS AND INDEPENDENT

AUDITORS’ REPORT DECEMBER 31, 2021 AND 2020

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For the convenience of readers and for information purpose only, the auditors’ report and the accompanying financial statements have been translated into English from the original Chinese version prepared and used in the Republic of China. In the event of any discrepancy between the English version and the original Chinese version or any differences in the interpretation of the two versions, the Chinese-language auditors’ report and financial statements shall prevail.

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GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.)

DECEMBER 31, 2021 AND 2020

PARENT COMPANY ONLY FINANCIAL STATEMENTS AND INDEPENDENT

AUDITORS’ REPORT

TABLE OF CONTENTS

Contents

Page/Number/Index

1. Cover Page 2. Table of Contents 3. Independent Auditors’ Report 4. Parent Company Only Balance Sheets 5. Parent Company Only Statements of Comprehensive Income 6. Parent Company Only Statements of Changes in Equity 7. Parent Company Only Statements of Cash Flows 8. Notes to the Financial Statements (1) HISTORY AND ORGANIZATION (2) THE DATE OF AUTHORIZATION FOR ISSUANCE OF THE PARENT COMPANY ONLY FINANCIAL STATEMENTS AND PROCEDURES FOR AUTHORIZATION (3) APPLICATION OF NEW STANDARDS, AMENDMENTS AND INTERPRETATIONS (4) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

1 2 ~ 4 5 ~ 10 11 ~ 12 13 14 15 ~ 16 17 ~ 78 17 17 17 ~ 19 19 ~ 31

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Contents Page/Number/Index

	(5) CRITICAL ACCOUNTING JUDGEMENTS, ESTIMATES AND	31
	KEY SOURCES OF ASSUMPTION UNCERTAINTY
	(6) DETAILS OF SIGNIFICANT ACCOUNTS	31 ~ 60
	(7) RELATED PARTY TRANSACTIONS	61 ~ 68
	(8) PLEDGED ASSETS	68
	(9) SIGNIFICANT CONTINGENT LIABILITIES AND	68
	UNRECOGNISED CONTRACT COMMITMENTS
	(10) SIGNIFICANT DISASTER LOSS	68
	(11) SIGNIFICANT EVENTS AFTER THE BALANCE SHEET DATE	68
	(12) OTHERS	68 ~ 78
	(13) SUPPLEMENTARY DISCLOSURES	78
9.	Statements of Major Accounting Items
	Statement of Cash and Cash Equivalents	statement 1
	Statement of Financial Assets Measured at Fair Value through Other	statement 2
	Comprehensive Income - Non-Current
	Statement of Changes in Investments Accounted for Using the Equity	statement 3
	Method
	Statement of Operating Revenue	statement 4
	Statement of Operating Costs	statement 5
	Statement of Selling Expenses	statement 6
	Statement of Administrative Expenses	statement 7
	Statement of research and development expenses	statement 8

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Contents Page/Number/Index

Summary Statement of Current Period Employee Benefits, Depreciation	statement 9
and Amortization Expenses By Function

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INDEPENDENT AUDITORS’ REPORT TRANSLATED FROM CHINESE

PWCR21000442

To the Board of Directors and Stockholders of Getac Holdings Corp.

Opinion

We have audited the accompanying balance sheets of Getac Holdings Corp. (formerly Getac Technology Corp) (the “Company”) as at December 31, 2021 and 2020, and the related statements of comprehensive income, of changes in equity and of cash flows for the years then ended, and notes to the financial statements, including a summary of significant accounting policies.

In our opinion, based on our audits and the report of other auditors, as described in the Other matter – reference to audits of other auditors section of our report, the accompanying financial statements present fairly, in all material respects, the financial position of the Company as at December 31, 2021 and 2020, and its financial performance and its cash flows for the years then ended, in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers.

Basis for opinion

We conducted our audits in accordance with the “Regulations Governing Auditing and Attestation of Financial Statements by Certified Public Accountants” and generally accepted auditing standards in the Republic of China for the years ended December 31, 2021 and 2020. Our responsibilities under those standards are further described in the Auditors’ responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the Norm of Professional Ethics for Certified Public Accountants of the Republic of China, and we have fulfilled our other ethical responsibilities in accordance with these requirements. Based on our audits and reports of other auditors, we believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key audit matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements of the current period. These matters were addressed in the context of our audit of the financial statements as a whole and, in forming our opinion thereon, we do not provide

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a separate opinion on these matters.

As of December 31, 2021, the Company’s subsidiaries Getac Technology Corp. and its subsidiaries, National Aerospace Fasteners Corporation and its subsidiaries, Hot Link Technology Ltd. and its subsidiaries and Pacific Royale Ltd. and its subsidiaries were shown as investments accounted for under the equity method, please refer to Note 6 (6). As the balance of the above-mentioned three investees accounted for under the equity method constitute 89% of total assets of the Company, the key audit matters of these investments accounted for under the equity method were identified as significant matters in our audit of the financial statements of the current period.

The key audit matters in relation to the parent company only financial statements for the year ended December 31, 2021 are outlined as follows:

Evaluation of inventories

Description

The Company’s subsidiaries, recognized as investments accounted for under equity method, are engaged in the research, development, manufacture and sales of notebook computers, handheld equipment for military and industrial computer system, structure parts for electronic, automotive and home appliance industries, and aerospace fasteners. Due to the rapid technological innovations and market competition, there is a higher risk of inventory losses due from slow-moving inventory and obsolescence. Inventories measured at the lower of cost and net realizable value. As the determination of net realizable value of inventories is subject to subjective judgment and with uncertainty, it was identified as a key audit matter for the Company’s subsidiaries recognized as investments accounted for under equity method.

How our audit addressed the matter

Our audit procedures performed in respect of evaluation of inventories included: Sampled and validated inventory line items from the inventory aging report, agreed quantities and amounts to inventory subledger and examined the appropriateness of categorization within the inventory aging reports; verified the classification of obsolete inventories; sampled and validated the net realizable value of slowmoving and obsolete inventories with respective historical information for diminution in inventory value in order to ensure the reasonableness of provision and inventory allowance.

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Recognition of sales revenue

Description

Sales revenue is significant to the Company’s subsidiaries’, recognized as investments accounted for under equity method, financial statements. Additionally, its subsidiaries sell different kinds of products with various transaction terms and require judgment in determining the timing of transferring control of goods. Consequently, it was identified as a key audit matter for the Company’s subsidiaries recognized as investments accounted for under equity method.

How our audit addressed the matter

Our audit procedures performed in respect of recognition of sales revenue included: obtained an understanding of and evaluated internal controls over the recognition of sales revenue, and tested the operating effectiveness of related control activities; sampled and validated transaction terms, performance obligations, prices, order shipping documents and assessed appropriateness of amount and timing for revenue recognition; and sampled transactions from a specific period of time prior to and after the balance sheet date and validated respective transaction terms and shipping documents in order to ensure that sales revenue were recognized in the proper period.

Other matter – reference to audits of other auditors

We did not audit the financial statements of certain direct and indirect investments accounted for under the equity method. Those financial statements were audited by other auditors whose reports thereon have been furnished to us, and our opinion expressed herein, insofar as it relates to the amounts included in the financial statements and the information disclosed in Note 13 relative to these investees was based solely on the reports of other auditors. The balance of these investments accounted for under the equity method amounted to NT$653,725 thousand and NT$628,896 thousand, both are constituting 3% of total assets as of December 31, 2021 and 2020, respectively and comprehensive gain (loss) amounted to NT$57,155 thousand and (NT$26,801) thousand, constituting 1% and (1%) of the total comprehensive income for the years then ended, respectively.

Responsibilities of management and those charged with governance for the financial statements

Management is responsible for the preparation and fair presentation of the financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers

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and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is responsible for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Those charged with governance, including the Audit Committee, are responsible for overseeing the Company’s financial reporting process.

Auditors’ responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a report an auditors’ that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the generally accepted auditing standards in the Republic of China will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

• As part of an audit in accordance with the generally accepted auditing standards in the Republic of China, we exercise professional judgment and maintain professional skepticism throughout the audit. We also: 1. Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls.

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1. Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal controls.

2. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

3. Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our report. However, future events or conditions may cause the Company to cease to continue as a going concern.

4. Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

5. Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Company to express an opinion on the financial statements. We are responsible for the direction, supervision and performance of the audit. We remain solely responsible for our audit opinion.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

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From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the financial statements of the current period and are therefore the key audit matters. We describe these matters in our report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

Chien -Yu Liu

[Cheng, Ya-Huei ]

For and on behalf of PricewaterhouseCoopers, Taiwan

February 25, 2022

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The accompanying financial statements are not intended to present the financial position and results of operations and cash flows in accordance with accounting principles generally accepted in countries and jurisdictions other than the Republic of China. The standards, procedures and practices in the Republic of China governing the audit of such financial statements may differ from those generally accepted in countries and jurisdictions other than the Republic of China. Accordingly, the accompanying parent company only financial statements and independent auditors’ report are not intended for use by those who are not informed about the accounting principles or auditing standards generally accepted in the Republic of China, and their applications in practice.

As the financial statements are the responsibility of the management, PricewaterhouseCoopers cannot accept any liability for the use of, or reliance on, the English translation or for any errors or misunderstandings that may derive from the translation.

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GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) PARENT COMPANY ONLY BALANCE SHEETS DECEMBER 31, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

Assets	December 31, 2021 Notes AMOUNT % 6(1) $ 174,909 1 6(2) - - 6(4) - - 6(4) - - 6(4) and 7 - - 7 67,592 - 6(5) - - 18,877 - 261,378 1 6(3) 713,863 4 6(6) 18,736,491 95 6(7) 22,428 - 6(8) 10,121 - 6(9) 2,937 - 6(26) 4,983 - 6(1)(12) 23,745 - 19,514,568 99 $ 19,775,946 100 (Continued)	December 31, 2020	December 31, 2020
		AMOUNT $ 2,185,479 7,426 11,585 746,345 464,880 23,452 1,937,160 46,357 5,422,684 610,661 14,949,492 1,244,606 257,755 9,619 242,051 773,969 18,088,153 $ 23,510,837	%
Current assets 1100 Cash and cash equivalents 1110 Financial assets at fair value through profit or loss - current 1150 Notes receivable, net 1170 Accounts receivable, net 1180 Accounts receivable - related parties 1200 Other receivables 130X Inventories 1410 Prepayments 11XX Total Current Assets Non-current assets 1517 Financial assets at fair value through other comprehensive income - non-current 1550 Investments accounted for under equity method 1600 Property, plant and equipment 1755 Right-of-use assets 1780 Intangible assets 1840 Deferred income tax assets 1900 Other non-current assets 15XX Total Non-current Assets 1XXX TOTAL ASSETS			10 - - 3 2 - 8 -
			23
			3 64 5 1 - 1 3
			77
			100

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GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) PARENT COMPANY ONLY BALANCE SHEETS DECEMBER 31, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

Liabilities and Equity

December 31, 2021 December 31, 2020 Notes AMOUNT % AMOUNT % 6(10) $ - - $ 406,768 2 6(11) 1,454 - 6,103 - 6(19) - - 39,848 - - - 953,920 4 7 - - 2,551,445 11 7 529,132 3 1,630,327 7 6(26) 327,835 1 399,627 2 6(14) - - 189,244 1 5,124 - 89,466 - - - 58,275 - 9,613 - 2,931 - 873,158 4 6,327,954 27 6(19) - - 20,378 - 6(14) - - 490,762 2 6(26) 25,278 - 75,834 - 6(26) 649,766 4 - - 5,273 - 179,908 1 6(12) - - 170,954 1 680,317 4 937,836 4 1,553,475 8 7,265,790 31 6(15) 5,976,984 30 5,892,477 25 6(16) 3,457,936 17 3,264,236 14 6(17) 2,212,079 11 1,952,202 8 682,230 4 741,623 3 7,055,665 36 5,076,740 22 6(18) ( 1,162,423) ( 6) ( 682,231) ( 3 ) 18,222,471 92 16,245,047 69 9 $ 19,775,946 100 $ 23,510,837 100

Current liabilities 2100 Short-term borrowings 2120 Financial liabilities at fair value through profit or loss - current 2130 Contract liabilities - current 2170 Accounts payable 2180 Accounts payable - related parties 2200 Other payables 2230 Current income tax liabilities 2250 Provisions for liabilities - current 2280 Lease liabilities - current 2365 Refund liabilities - current 2399 Other current liabilities, others 21XX Total Current Liabilities Non-current liabilities 2527 Contract liabilities - non-current 2550 Provisions for liabilities - non-current 2560 Current tax liabilities - non-current 2570 Deferred tax liabilities 2580 Lease liabilities - non-current 2600 Other non-current liabilities 25XX Total Non-current Liabilities 2XXX Total Liabilities Equity Share capital 3110 Common stock Capital surplus 3200 Capital surplus Retained earnings 3310 Legal reserve 3320 Special reserve 3350 Unappropriated retained earnings Other equity 3400 Other equity interest 3XXX Total Equity Significant Contingent Liabilities and Unrecognised Contract Commitments 3X2X TOTAL LIABILITIES AND EQUITY

The accompanying notes are an integral part of these financial statements.

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GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) PARENT COMPANY ONLY STATEMENTS OF COMPREHENSIVE INCOME YEARS ENDED DECEMBER 31, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS, EXCEPT FOR EARNINGS PER SHARE)

Items

Year ended December 31 2021 2020 Notes AMOUNT % AMOUNT % 6(19) and 7 $ 10,050,675 100 $ 11,562,278 100 6(5)(24)(25) and 7( 6,296,563) ( 63) ( 7,634,157) ( 66) 3,754,112 37 3,928,121 34 - - ( 23,051) - 23,051 - 140,660 1 3,777,163 37 4,045,730 35 6(24)(25) and 7 ( 599,976) ( 6) ( 772,031) ( 6) ( 643,664) ( 6) ( 667,173) ( 6) ( 673,173) ( 7) ( 934,561) ( 8) ( 1,916,813) ( 19) ( 2,373,765) ( 20) 1,860,350 18 1,671,965 15 6(20) 8,288 - 7,572 - 6(21) 71,939 1 74,905 - 6(22) ( 27,352) - ( 22,540) - 6(23) ( 12,394) - ( 12,188) - 6(6) 3,232,193 32 1,258,644 11 3,272,674 33 1,306,393 11 5,133,024 51 2,978,358 26 6(26) ( 859,231) ( 9) ( 401,319) ( 4) $ 4,273,793 42 $ 2,577,039 22 6(12) ($ 1,384) - ($ 3,554) - 6(3) 69,695 1 72,731 1 6(6) 162,181 2 131,331 1 6(26) 277 - 711 - 230,769 3 201,219 2 6(6) ( 681,434) ( 7) ( 120,096) ( 1) ( 681,434) ( 7) ( 120,096) ( 1) ($ 450,665) ( 4) $ 81,123 1 $ 3,823,128 38 $ 2,658,162 23 6(27) $ 7.20 $ 4.40 6(27) $ 7.06 $ 4.31

4000 Operating revenue 5000 Operating costs 5900 Gross profit 5910 Unrealized profit on sales 5920 Realized profit on sales 5950 Net gross margin Operating expenses 6100 Selling expenses 6200 Administrative expenses 6300 Research and development expenses 6000 Total operating expenses 6900 Operating profit Non-operating income and expenses 7100 Interest income 7010 Other income 7020 Other gains and losses 7050 Finance costs 7070 Share of profit of associates and joint ventures accounted for under equity method 7000 Total non-operating income and expenses 7900 Profit before income tax 7950 Income tax expense 8200 Profit for the year Other comprehensive income (net) Items that will not be reclassified to profit or loss 8311 Remeasurement of defined benefit obligations 8316 Unrealized gains on equity instruments at fair value through other comprehensive income 8330 Share of other comprehensive income of subsidiaries associates and joint ventures 8349 Income tax benefits related to item that will not be reclassified subsequently 8310 Other comprehensive income that will not be reclassified to profit or loss Items that will be reclassified to profit or loss 8380 Share of other comprehensive loss of subsidiaries, associates and joint ventures 8360 Other comprehensive loss that will be reclassified to profit or loss 8300 Other comprehensive (loss) income for the year, net of tax 8500 Total comprehensive income for the year Basic earnings per share 9750 Profit for the year Diluted earnings per share 9850 Profit for the year

The accompanying notes are an integral part of these financial statements.

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GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) PARENT COMPANY ONLY STATEMENTS OF CHANGES IN EQUITY YEARS ENDED DECEMBER 31, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

Year ended December 31, 2020 Balance at January 1, 2020 Net income for the year Other comprehensive (loss) income for the year Total comprehensive income (loss) Appropriations of 2019 earnings Legal reserve Special reserve Cash dividends Exercise of employee stock options Change in associates and joint ventures accounted for under equity method Compensation cost of share-based payment Balance at December 31, 2020 Year ended December 31, 2021 Balance at January 1, 2021 Net income for the year Other comprehensive (loss) income for the year Total comprehensive income (loss) Appropriations of 2020 earnings Legal reserve Special reserve Cash dividends Exercise of employee stock options Change in associates and joint ventures accounted for under equity method Compensation cost of share-based payment Balance at December 31, 2021	Notes		Common stock		Capital surplus				Retained Earnings			Other equity interest	Other equity interest		Total equity
							Legal reserve		Special reserve		Unappropriated retained earnings	Currency translation differences	Unrealised gains (losses) from financial assets measured at fair value through other comprehensive income
	6(18) 6(17) 6(13)(16) 6(16) 6(13)(16) 6(18) 6(17) 6(13)(16) 6(16) 6(13)(16)		$ 5,830,022 - - - - - - 62,455 - - $ 5,892,477 $ 5,892,477 - - - - - - 84,507 - - $ 5,976,984		$ 3,083,657 - - - - - - 140,617 1,637 38,325 $ 3,264,236 $ 3,264,236 - - - - - - 176,203 6,101 11,396 $ 3,457,936		$ 1,739,599 - - - 212,603 - - - - - $ 1,952,202 $ 1,952,202 - - - 259,877 - - - - - $ 2,212,079	$ 412,996 - - - - 328,627 - - - - $ 741,623 $ 741,623 - - - - ( 59,393 ) - - - - $ 682,230		$ 4,652,080 2,577,039 ( 2,299 ) 2,574,740 ( 212,603 ) ( 328,627 ) ( 1,632,879 ) - 24,029 - $ 5,076,740 $ 5,076,740 4,273,793 ( 1,117 ) 4,272,676 ( 259,877 ) 59,393 ( 2,123,911 ) - 30,644 - $ 7,055,665		($ 615,273 ) - ( 120,096 ) ( 120,096 ) - - - - - - ($ 735,369 ) ($ 735,369 ) - ( 681,434 ) ( 681,434 ) - - - - - - ($ 1,416,803 )	($ 126,351 ) - 203,518 203,518 - - - - ( 24,029 ) - $ 53,138 $ 53,138 - 231,886 231,886 - - - - ( 30,644 ) - $ 254,380	$ 14,976,730 2,577,039 81,123 2,658,162 - - ( 1,632,879 ) 203,072 1,637 38,325 $ 16,245,047 $ 16,245,047 4,273,793 ( 450,665 ) 3,823,128 - - ( 2,123,911 ) 260,710 6,101 11,396 $ 18,222,471

The accompanying notes are an integral part of these financial statements.

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GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) PARENT COMPANY ONLY STATEMENTS OF CASH FLOWS YEARS ENDED DECEMBER 31, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

CASH FLOWS FROM OPERATING ACTIVITIES Profit before tax Adjustments Adjustments to reconcile profit (loss) Realized profit on sales Depreciation Amortization on intangible assets Provision for (reversal of) expected credit loss Loss (gain) on valuation of financial assets and liabilities at fair value through profit or loss Interest expense Interest income Dividend income (Gain) loss on disposal of property, plant and equipment Benefit of lease modification Share of profit of associates and joint ventures accounted for under equity method Compensation cost of share-based payment Changes in operating assets and liabilities Changes in operating assets Notes receivable - net Accounts receivable - net Accounts receivable-related parties Other receivables Inventories Prepayments Other non-current assets Changes in operating liabilities Contract liabilities Accounts payable Accounts payable - related parties Other payables Refund liabilities Other non-current liabilities Provisions for liabilities Other current liabilities, others Cash inflow generated from operations Interest paid Interest received Dividends received Income tax paid Net cash flows from operating activities

YearendedDecember 31 Notes 2021 2020 $ 5,133,024 $ 2,978,358 ( 23,501 ) ( 117,609 ) 6(7)(8)(24) 161,263 190,030 6(9)(24) 5,966 7,608 51 ( 1,616 ) 6(2)(11)(22) 2,402 ( 4,898 ) 6(23) 12,394 12,188 6(20) ( 8,288 ) ( 7,573 ) 6(21) ( 10,300 ) ( 11,464 ) 6(7)(22) ( 740 ) 1,311 ( 7 ) ( 333 ) 6(6) ( 3,945,740 ) ( 1,258,644 ) 6(13) 11,396 38,325 11,585 ( 11,447 ) ( 143,398 ) ( 49,443 ) 68,485 170,141 ( 4,383 ) 9,505 ( 1,289,586 ) ( 67,435 ) ( 4,105 ) 85,576 ( 2,047 ) - 228,037 ( 48,360 ) ( 8,140 ) 16,521 783,446 466,950 ( 55,534 ) 36,460 49,315 ( 20,382 ) ( 166,168 ) ( 2,120 ) 50,546 48,458 6,682 ( 8,147 ) 862,655 2,451,960 ( 7,033 ) ( 12,306 ) 8,182 7,742 64,872 911,111 ( 353,912 ) ( 102,628 ) 574,764 3,255,879

(Continued)

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GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) PARENT COMPANY ONLY STATEMENTS OF CASH FLOWS YEARS ENDED DECEMBER 31, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

CASH FLOWS FROM INVESTING ACTIVITIES Decrease in financial assets measured at amortized cost - current Acquisition of non-current financial assets at fair value through other comprehensive income Proceeds from capital reduction of financial assets measured at fair value through other comprehensive income - non-current Increase in other receivables - related parties Acquisition of investment accounted for under the equity method Proceeds from capital reduction of for investments accounted for under the equity method Acquisition of property, plant and equipment Proceeds from disposal of property, plant and equipment Acquisition of intangible assets Decrease (increase) in refundable deposits Decrease (increase) in other financial assets - non-current Split cash to the subsidiaries Net cash flows used in investing activities CASH FLOWS FROM FINANCING ACTIVITIES (Decrease) increase in short-term borrowings Increase in other payables - related parties Cash dividends paid Repayment of lease liabilities (Decrease) increase in guarantee deposits received Proceeds from exercise of employee stock options Net cash flows used in financing activities Net (decrease) increase in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year

YearendedDecember 31 Notes 2021 2020 $ - $ 400,000 ( 55,439 ) ( 17,087 ) 21,932 - ( 40,000 ) - 7 ( 735,000 ) ( 400,000 ) 470,475 - 6(28) and 7 ( 83,205 ) ( 1,095,211 ) 906 85 6(9) ( 5,212 ) ( 3,866 ) 6,588 ( 2,404 ) 737,586 ( 737,586 ) 6(28) ( 1,110,261 ) - ( 791,630 ) ( 1,856,069 ) ( 406,768 ) 73,560 7 546,275 284,800 6(17) ( 2,123,911 ) ( 1,632,879 ) 6(8) ( 68,304 ) ( 82,001 ) ( 1,706 ) 6,160 260,710 203,072 ( 1,793,704 ) ( 1,147,288 ) ( 2,010,570 ) 252,522 2,185,479 1,932,957 $ 174,909 $ 2,185,479

The accompanying notes are an integral part of these financial statements.

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GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) NOTES TO THE PARENT COMPANY ONLY FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS, EXCEPT AS OTHERWISE INDICATED)

1. HISTORY AND ORGANIZATION

Getac Holdings Corp. (formerly Getac Technology Corp.)(the “Company”) was incorporated as a company limited by shares under the provisions of the Company Act of the Republic of China (R.O.C.). The Company is primarily engaged in general investment. The Company was engaged in the research, development, manufacture and sales of notebook computers, hardware, software for military and industrial computer system before transformation.

To enhance market competitiveness and overall operating performance, the Company intended to transform its organizational structure. The Company split and transferred related operations (including assets, liabilities and operating) of the Company’s Rugged Solutions Business Group and Mechatronic & Energy Solutions Business Group to the Company’s wholly-owned subsidiaries, Getac Technology Corporation (formerly Getac Corporation) and Atemitech Corporation (formerly Mitac Precision Technology Corporation) as approved by the shareholders on July 14, 2021, and the effective date for the spin-off was set on October 1, 2021. The Company formerly named Getac Technology Corporation was renamed as Getac Holdings Corporation as a result of its transformation as a holding company. The Company is primarily engaged in general investment.

2. THE DATE OF AUTHORIZATION FOR ISSUANCE OF THE PARENT COMPANY ONLY

FINANCIAL STATEMENTS AND PROCEDURES FOR AUTHORIZATION

These parent company only financial statements were authorized for issuance by the Board of Directors on February 25, 2022.

3. APPLICATION OF NEW STANDARDS, AMENDMENTS AND INTERPRETATIONS

(1) Effect of the adoption of new issuances of or amendments to International Financial Reporting Standards (“IFRS”) as endorsed by the Financial Supervisory Commission (“FSC”) New standards, interpretations and amendments endorsed by the FSC effective from 2021 are as follows:

follows:
New Standards,Interpretations andAmendments	Effective date by International Accounting StandardsBoard
Amendments to IFRS 4, ‘Extension of the temporary exemption from applying IFRS 9’ Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16, ‘Interest Rate Benchmark Reform— Phase 2’	January 1, 2021 January 1, 2021

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New Standards,Interpretations and Amendments	Effective date by International Accounting Standards Board
Amendment to IFRS 16, ‘Covid-19-related rent concessions beyond 30 June 2021’ Note：Earlier application from January 1, 2021 is allowed by FSC.	April 1, 2021(Note)

The above standards and interpretations have no significant impact to the Company’s financial condition and financial performance based on the Company’s assessment.

(2) Effect of new issuances of or amendments to IFRSs as endorsed by the FSC but not yet adopted by the Company

New standards, interpretations and amendments endorsed by the FSC effective from 2022 are as follows:

follows:
New Standards,Interpretations and Amendments Amendments to IFRS 3, ‘Reference to the conceptual framework’ Amendments to IAS 16, ‘Property, plant and equipment: proceeds before intended use’ Amendments to IAS 37, ‘Onerous contracts— cost of fulfilling a contract’ Annual improvements to IFRS Standards 2018–2020	Effective date by International Accounting Standards Board
	January 1, 2022 January 1, 2022 January 1, 2022 January 1, 2022

The above standards and interpretations have no significant impact to the Company’s financial condition and financial performance based on the Company’s assessment.

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(3) IFRSs issued by IASB but not yet endorsed by the FSC

New standards, interpretations and amendments issued by IASB but not yet included in the IFRSs as endorsed by the FSC are as follows:

==> picture [487 x 47] intentionally omitted <==

----- Start of picture text -----

Effective date by
International Accounting
New Standards, Interpretations and Amendments Standards Board
----- End of picture text -----

New standards, interpretations and amendments issued by IASB but not yet endorsed by the FSC are as follows: New Standards,Interpretations andAmendments	included in the IFRSs as Effective date by International Accounting StandardsBoard
Amendments to IFRS 10 and IAS 28, ‘Sale or contribution of assets	To be determined by
between an investor and its associate or joint venture’	International Accounting
	Standards Board
IFRS 17, ‘Insurance contracts’	January 1, 2023
Amendments to IFRS 17, 'Insurance contracts'	January 1, 2023
Amendment to IFRS 17, 'Initial application of IFRS 17 and IFRS 9 –	January 1, 2023
comparative information'
Amendments to IAS 1, ‘Classification of liabilities as current or non-current	January 1, 2023
Amendments to IAS 1, ‘Disclosure of accounting policies’	January 1, 2023
Amendments to IAS 8, ‘Definition of accounting estimates’	January 1, 2023
Amendments to IAS 12, ‘Deferred tax related to assets and liabilities	January 1, 2023
arising from a single transaction’

The above standards and interpretations have no significant impact to the Company’s financial condition and financial performance based on the Company’s assessment. The quantitative impact will be disclosed when the assessment is complete.

4. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The principal accounting policies applied in the preparation of these parent company only financial statements are set out below. These policies have been consistently applied to all the periods presented, unless otherwise stated.

(1) Compliance statement

The parent company only financial statements of the Company have been prepared in accordance with the “Regulations Governing the Preparation of Financial Reports by Securities Issuers”.

• (2) Basis of preparation

• A. Except for the following items, the parent company only financial statements have been prepared under the historical cost convention:

  • (a)Financial assets and financial liabilities (including derivative instruments) at fair value through profit or loss.

  • (b)Financial assets at fair value through other comprehensive income.

  • (c)Defined benefit liabilities recognised based on the net amount of pension fund assets less present value of defined benefit obligation.

• B. The preparation of financial statements in conformity with IFRSs requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the Company’s accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the parent company

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only financial statements. Information is provided in Note 5.

(3) Foreign currency translation

• Items included in the financial statements of each of the Company’s entities are measured using the currency of the primary economic environment in which the entity operates (the “functional currency”). The parent company only financial statements are presented in New Taiwan dollars, which is the Company’s functional currency.

• A. Foreign currency transactions and balances

• (a) Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions or valuation where items are remeasured. Foreign exchange gains and losses resulting from the settlement of such transactions are recognised in profit or loss in the period in which they arise.

• (b) Monetary assets and liabilities denominated in foreign currencies at the period end are retranslated at the exchange rates prevailing at the balance sheet date. Exchange differences arising upon re-translation at the balance sheet date are recognised in profit or loss.

• (c) Non-monetary assets and liabilities denominated in foreign currencies held at fair value through profit or loss are re-translated at the exchange rates prevailing at the balance sheet date; their translation differences are recognised in profit or loss. Non-monetary assets and liabilities denominated in foreign currencies held at fair value through other comprehensive income are re-translated at the exchange rates prevailing at the balance sheet date; their translation differences are recognised in other comprehensive income. However, nonmonetary assets and liabilities denominated in foreign currencies that are not measured at fair value are translated using the historical exchange rates at the dates of the initial transactions.

• (d) All foreign exchange gains and losses are presented in the statement of comprehensive income within ‘other gains and losses’.

• B. Translation of foreign operations

• (a) The operating results and financial position of all the Company entities and associates that have a functional currency different from the presentation currency are translated into the presentation currency as follows:

  • i. Assets and liabilities for each balance sheet presented are translated at the spot exchange rate prevailing at the date of that balance sheet;

  • ii. Income and expenses for each statement of comprehensive income are translated at average exchange rates of that period; and

iii. All resulting exchange differences are recognised in other comprehensive income.

• (b) When the foreign operation partially disposed of or sold is an associate, exchange differences that were recorded in other comprehensive income are proportionately reclassified to profit or loss as part of the gain or loss on sale. In addition, even when the Company still retains partial interest in the former foreign associate after losing significant influence over the former foreign associate, or losing joint control of the former jointly controlled entity, such

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transactions should be accounted for as disposal of all interest in these foreign operations.

• (c) When the foreign operation partially disposed of or sold is a subsidiary, cumulative exchange differences that were recorded in other comprehensive income are proportionately transferred to the non-controlling interest in this foreign operation. In addition, even when the Company still retains partial interest in the former foreign subsidiary after losing control of the former foreign subsidiary, such transactions should be accounted for as disposal of all interest in the foreign operation.

(4) Classification of current and non-current items

• A. Assets that meet one of the following criteria are classified as current assets; otherwise they are classified as non-current assets:

• (a) Assets arising from operating activities that are expected to be realized, or are intended to be sold or consumed within the normal operating cycle;

• (b) Assets held mainly for trading purposes;

• (c) Assets that are expected to be realized within twelve months from the balance sheet date;

• (d) Cash and cash equivalents, excluding restricted cash and cash equivalents and those that are to be exchanged or used to settle liabilities more than twelve months after the balance sheet date.

• B. Liabilities that meet one of the following criteria are classified as current liabilities; otherwise they are classified as non-current liabilities:

• (a) Liabilities that are expected to be settled within the normal operating cycle;

• (b) Liabilities arising mainly from trading activities;

• (c) Liabilities that are to be settled within twelve months from the balance sheet date;

• (d) Liabilities for which the repayment date cannot be extended unconditionally to more than twelve months after the balance sheet date. Terms of a liability that could, at the option of the counterparty, result in its settlement by the issue of equity instruments do not affect its classification.

The company classifies all liabilities that do not meet the above criteria as non-current liabilities.

• (5) Cash equivalents

• Cash equivalents refer to short-term, highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value. Time deposits that meet the definition above and are held for the purpose of meeting short-term cash commitments in operations are classified as cash equivalents. Time deposits over 3 months not meeting the definition of cash equivalents are classified as financial assets at amortised cost and other financial assets.

• (6) Financial assets at fair value through profit or loss

• A. Financial assets at fair value through profit or loss are financial assets that are not measured at amortised cost or fair value through other comprehensive income.

• B. On a regular way purchase or sale basis, financial assets at fair value through profit or loss are recognised and derecognised using trade date accounting.

• C. At initial recognition, the Company measures the financial assets at fair value and recognises the

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transaction costs in profit or loss. The Company subsequently measures the financial assets at fair value, and recognises the gain or loss in profit or loss.

• D. The Company recognises the dividend income when the right to receive payment is established, future economic benefits associated with the dividend will flow to the Company and the amount of the dividend can be measured reliably.

• (7) Financial assets at fair value through other comprehensive income

• A. Financial assets at fair value through other comprehensive income comprise equity securities which are not held for trading, and for which the Company has made an irrevocable election at initial recognition to recognise changes in fair value in other comprehensive income and debt instruments which meet all of the following criteria:

  • (a) The objective of the Company’s business model is achieved both by collecting contractual cash flows and selling financial assets; and

  • (b) The assets’ contractual cash flows represent solely payments of principal and interest.

• B. On a regular way purchase or sale basis, financial assets at fair value through other comprehensive income are recognised and derecognised using trade date accounting.

• C. At initial recognition, the Company measures the financial assets at fair value plus transaction costs. The Company subsequently measures the financial assets at fair value:

  • (a)The changes in fair value of equity investments that were recognised in other comprehensive income are reclassified to retained earnings and are not reclassified to profit or loss following the derecognition of the investment. Dividends are recognised as revenue when the right to receive payment is established, future economic benefits associated with the dividend will flow to the Company and the amount of the dividend can be measured reliably.

  • (b)Except for the recognition of impairment loss, interest income and gain or loss on foreign exchange which are recognised in profit or loss, the changes in fair value of debt instruments are taken through other comprehensive income. When the financial asset is derecognised, the cumulative gain or loss previously recognised in other comprehensive income is reclassified from equity to profit or loss.

• (8) Financial assets at amortised cost

• A. Financial assets at amortised cost are those that meet all of the following criteria:

  • (a)The objective of the Company’s business model is achieved by collecting contractual cash flows.

  • (b)The assets’ contractual cash flows represent solely payments of principal and interest.

• B. On a regular way purchase or sale basis, financial assets at amortized cost are recognised and derecognised using trade date accounting.

• C. At initial recognition, the Company measures the financial assets at fair value plus transaction costs. Interest income from these financial assets is included in finance income using the effective interest method. A gain or loss is recognised in profit or loss when the asset is derecognised or impaired.

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• D. The Company’s time deposits which do not fall under cash equivalents are those with a short maturity period and are measured at initial investment amount as the effect of discounting is immaterial.

• (9) Accounts and notes receivable

• A. Accounts and notes receivable entitle the Company a legal right to receive consideration in exchange for transferred goods or rendered services.

• B. The short-term accounts and notes receivable without bearing interest are subsequently measured at initial invoice amount as the effect of discounting is immaterial.

• (10) Impairment of financial assets

• For debt instruments measured at fair value through other comprehensive income and financial assets at amortized cost, at each reporting date, the Company recognises the impairment provision for 12 months expected credit losses if there has not been a significant increase in credit risk since initial recognition or recognises the impairment provision for the lifetime expected credit losses (ECLs) if such credit risk has increased since initial recognition after taking into consideration all reasonable and verifiable information that includes forecasts. On the other hand, for accounts receivable or contract assets that do not contain a significant financing component, the Company recognises the impairment provision for lifetime ECLs.

• (11) Derecognition of financial assets

• The Company derecognises a financial asset when the contractual rights to receive the cash flows from the financial asset expire.

• －

• (12) Leasing arrangements (lessor) lease receivables/ operating leases

• Lease income from an operating lease (net of any incentives given to the lessee) is recognised in profit or loss on a straight-line basis over the lease term.

• (13) Inventories

• Inventories are stated at the lower of cost and net realizable value. Cost is determined using the weighted-average method. The item by item approach is used in applying the lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less the estimated cost of completion and applicable variable selling expenses.

• (14) Investments accounted for under equity method / subsidiary and associates

• A. Subsidiaries are all entities controlled by the Company. The Company controls an entity when the Company is exposed, or has rights, to variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity.

• B. Inter-company transactions, balances and unrealised gains or losses on transactions between companies within the Company are eliminated. Accounting policies of subsidiaries have been adjusted where necessary to ensure consistency with the policies adopted by the Company.

• C. The Company’s share of its associates’ post-acquisition profits or losses is recognised in profit or loss, and its share of post-acquisition movements in other comprehensive income is recognised

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• in other comprehensive income. When the Company’s share of losses in an associate equals or exceeds its interest in the associate, including any other unsecured receivables, the Company does not recognise further losses, unless it has incurred legal or constructive obligations or made payments on behalf of the associate.

• D. Changes in a parent’s ownership interest in a subsidiary that do not result in the parent losing control of the subsidiary (transactions with non-controlling interests) are accounted for as equity transactions, i.e. transactions with owners in their capacity as owners. Any difference between the amount by which the non-controlling interests are adjusted and the fair value of the consideration paid or received is recognised directly in equity.

• E. When the Company loses control of a subsidiary, the Company remeasures any investment retained in the former subsidiary at its fair value. Any difference between fair value and carrying amount is recognised in profit or loss. All amounts previously recognised in other comprehensive income in relation to the subsidiary are reclassified to profit or loss on the same basis as would be required if the related assets or liabilities were disposed of. That is, when the Company loses control of a subsidiary, all gains or losses previously recognised in other comprehensive income in relation to the subsidiary should be reclassified from equity to profit or loss, if such gains or losses would be reclassified to profit or loss when the related assets or liabilities are disposed of.

• F. Associates are all entities over which the Company has significant influence but not control. In general, it is presumed that the investor has significant influence, if an investor holds, directly or indirectly 20 percent or more of the voting power of the investee. Investments in associates are accounted for using the equity method and are initially recognised at cost.

• G. The Company’s share of its associates’ post-acquisition profits or losses is recognised in profit or loss, and its share of post-acquisition movements in other comprehensive income is recognised in other comprehensive income. When the Company’s share of losses in an associate equals or exceeds its interest in the associate, including any other unsecured receivables, the Company does not recognise further losses, unless it has incurred legal or constructive obligations or made payments on behalf of the associate.

• H. When changes in an associate’s equity do not arise from profit or loss or other comprehensive income of the associate and such changes do not affect the Company’s ownership percentage of the associate, the Company recognises change in ownership interests in the associate in ‘capital surplus’ in proportion to its ownership. The capital surplus was transferred proportionally to profit or loss when the associates are subsequently disposed.

• I. Unrealised gains on transactions between the Company and its associates are eliminated to the extent of the Company’s interest in the associates. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. Accounting policies of associates have been adjusted where necessary to ensure consistency with the policies adopted by the Company.

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• J. In the case that an associate issues new shares and the Company does not subscribe or acquire new shares proportionately, which results in a change in the Company’s ownership percentage of the associate but maintains significant influence on the associate, then ‘capital surplus’ and ‘investments accounted for under the equity method’ shall be adjusted for the increase or decrease of its share of equity interest. If the above condition causes a decrease in the Company’s ownership percentage of the associate, in addition to the above adjustment, the amounts previously recognised in other comprehensive income in relation to the associate are reclassified to profit or loss proportionately on the same basis as would be required if the relevant assets or liabilities were disposed of.

• K. Upon loss of significant influence over an associate, the Company remeasures any investment retained in the former associate at its fair value. Any difference between fair value and carrying amount is recognised in profit or loss.

• L. When the Company disposes its investment in an associate and loses significant influence over this associate, the amounts previously recognised in other comprehensive income in relation to the associate, are reclassified to profit or loss, on the same basis as would be required if the relevant assets or liabilities were disposed of. If it retains significant influence over this associate, the amounts previously recognised in other comprehensive income in relation to the associate are reclassified to profit or loss proportionately in accordance with the aforementioned approach.

• M. In accordance with “Regulations Governing the Preparation of Financial Reports by Securities Issuers”, the profit or loss and other comprehensive income or loss presented on the parent company only financial statements are consistent with those presented on the consolidated financial statements. In addition, owner’s equity presented on the parent company only is consistent with equity attributable to owners of parent presented on the consolidated financial statements.

• (15) Property, plant and equipment

• A. Property, plant and equipment are initially recorded at cost. Borrowing costs incurred during the construction period are capitalized.

• B. Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably. The carrying amount of the replaced part is derecognised. All other repairs and maintenance are charged to profit or loss during the financial period in which they are incurred.

• C. Land is not depreciated. Other property, plant and equipment apply cost model and are depreciated using the straight-line method to allocate their cost over their estimated useful lives. Each part of an item of property, plant, and equipment with a cost that is significant in relation to the total cost of the item must be depreciated separately.

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• D. The assets’ residual values, useful lives and depreciation methods are reviewed, and adjusted if appropriate, at each balance sheet date. If expectations for the assets’ residual values and useful lives differ from previous estimates or the patterns of consumption of the assets’ future economic benefits embodied in the assets have changed significantly, any change is accounted for as a change in estimate under IAS 8, ‘Accounting Policies, Changes in Accounting Estimates and Errors’, from the date of the change. The estimated useful lives of property, plant and equipment are as follows:

Buildings and structures Machinery and equipment Office equipment Other equipment

3 years ～ 3 years 12 years ～ 3 years 10 years ～ 3 years 10 years

• (16) Leasing arrangements (lessee)－right-of-use assets/ lease liabilities

• A. Leases are recognised as a right-of-use asset and a corresponding lease liability at the date at which the leased asset is available for use by the Company. For short-term leases or leases of low-value assets, lease payments are recognised as an expense on a straight-line basis over the lease term.

• B. Lease liabilities include the net present value of the remaining lease payments at the commencement date, discounted using the incremental borrowing interest rate. Lease payments are comprised of the following:

  • (a) Fixed payments, less any lease incentives receivable;

  • (b) Variable lease payments that depend on an index or a rate.

  • The Company subsequently measures the lease liability at amortised cost using the interest method and recognises interest expense over the lease term. The lease liability is remeasured and the amount of remeasurement is recognised as an adjustment to the right-of-use asset when there are changes in the lease term or lease payments and such changes do not arise from contract modifications.

• C. At the commencement date, the right-of-use asset is stated at cost comprising the amount of the initial measurement of lease liability.

  • The right-of-use asset is measured subsequently using the cost model and is depreciated from the commencement date to the earlier of the end of the asset’s useful life or the end of the lease term. When the lease liability is remeasured, the amount of remeasurement is recognised as an adjustment to the right-of-use asset.

(17) Intangible assets

Computer software expenditures are stated at cost and amortized on a straight-line basis over its estimated useful life of 1 to 3 years.

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(18) Impairment of non-financial assets

• The Company assesses at each balance sheet date the recoverable amounts of those assets where there is an indication that they are impaired. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less costs to sell or value in use. Except for goodwill, when the circumstances or reasons for recognising impairment loss for an asset in prior years no longer exist or diminish, the impairment loss is reversed. The increased carrying amount due to reversal should not be more than what the depreciated or amortized historical cost would have been if the impairment had not been recognised.

(19) Borrowings

Borrowings comprise long-term and short-term bank borrowings. Borrowings are recognised initially at fair value, net of transaction costs incurred. Borrowings are subsequently stated at amortised cost; any difference between the proceeds (net of transaction costs) and the redemption value is recognised in profit or loss over the period of the borrowings using the effective interest method.

• (20) Notes and accounts payable

• A. Accounts payable are liabilities for purchases of raw materials, goods or services and notes payable are those resulting from operating and non-operating activities.

• B. The short-term notes and accounts payable without bearing interest are subsequently measured at initial invoice amount as the effect of discounting is immaterial.

• (21) Financial liabilities at fair value through profit or loss

• A. Financial liabilities are classified in this category of held for trading if acquired principally for the purpose of repurchasing in the short-term. Derivatives are also categorised as financial liabilities held for trading unless they are designated as hedges.

• B. At initial recognition, the Company measures the financial liabilities at fair value. All related transaction costs are recognised in profit or loss. The Company subsequently measures these financial liabilities at fair value with any gain or loss recognised in profit or loss.

• (22) Derecognition of financial liabilities

• A financial liability is derecognised when the obligation under the liability specified in the contract is discharged or cancelled or expires.

(23) Offsetting financial instruments

Financial assets and liabilities are offset and reported in the net amount in the balance sheet when there is a legally enforceable right to offset the recognised amounts and there is an intention to settle on a net basis or realize the asset and settle the liability simultaneously.

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(24) Provisions

Provisions are recognised when the Company has a present legal or constructive obligation as a result of past events, and it is probable that an outflow of economic resources will be required to settle the obligation and the amount of the obligation can be reliably estimated. Provisions are measured at the present value of the expenditures expected to be required to settle the obligation on the balance sheet date, which is discounted using a pre-tax discount rate that reflects the current market assessments of the time value of money and the risks specific to the obligation. When discounting is used, the increase in the provision due to passage of time is recognised as interest expense. Provisions are not recognised for future operating losses.

• (25) Employee benefits

• A. Short-term employee benefits

Short-term employee benefits are measured at the undiscounted amount of the benefits expected to be paid in respect of service rendered by employees in a period and should be recognised as expense in that period when the employees render service.

• B. Pensions

• (a) Defined contribution plan

For defined contribution plan, the contributions are recognised as pension expense when they are due on an accrual basis. Prepaid contributions are recognised as an asset to the extent of a cash refund or a reduction in the future payments.

• (b) Defined benefit plan

• i. Net obligation under a defined benefit plan is defined as the present value of an amount of pension benefits that employees will receive on retirement for their services with the Company in current period or prior periods. The liability recognised in the balance sheet in respect of defined benefit pension plan is the present value of the defined benefit obligation at the balance sheet date less the fair value of plan assets. The net defined benefit obligation is calculated annually by independent actuaries using the projected unit credit method. The rate used to discount is determined by using interest rates of high-quality corporate bonds that are denominated in the currency in which the benefits will be paid, and that have terms to maturity approximating to the terms of the related pension liability; when there is no deep market in high-quality corporate bonds, the Company uses interest rates of government bonds (at the balance sheet date) instead.

• ii. Remeasurements arising on defined benefit plan are recognised in other comprehensive income in the period in which they arise and are recorded as retained earnings.

• iii. Past service costs are recognised immediately in profit or loss.

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• C. Employees’ bonus and directors’ and supervisors’ remuneration

  • Employees’ bonus and directors’ and supervisors’ remuneration are recognised as expenses and liabilities, provided that such recognition is required under legal or constructive obligation and those amounts can be reliably estimated. However, if the accrued amounts for employees’ bonus and directors’ and supervisors’ remuneration are different from the actual distributed amounts as resolved by the stockholders at their stockholders’ meeting subsequently, the differences should be recognised based on the accounting for changes in estimates.

• (26) Employee share based payment

• For the equity-settled share-based payment arrangements, the employee services received are measured at the fair value of the equity instruments granted at the grant date, and are recognised as compensation cost over the vesting period, with a corresponding adjustment to equity. The fair value of the equity instruments granted shall reflect the impact of market vesting conditions and non-vesting conditions. Compensation cost is subject to adjustment based on the service conditions that are expected to be satisfied and the estimates of the number of equity instruments that are expected to vest under the non-market vesting conditions at each balance sheet date. Ultimately, the amount of compensation cost recognised is based on the number of equity instruments that eventually vest.

• (27) Income tax

• A. The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or items recognised directly in equity, in which cases the tax is recognised in other comprehensive income or equity.

• B. The current income tax expense is calculated on the basis of the tax laws enacted or substantively enacted at the balance sheet date in the countries where the Company and its subsidiaries operate and generate taxable income. Management periodically evaluates positions taken in tax returns with respect to situations in accordance with applicable tax regulations. It establishes provisions where appropriate based on the amounts expected to be paid to the tax authorities. An additional tax is levied on the unappropriated retained earnings and is recorded as income tax expense in the year the stockholders resolve to retain the earnings.

• C. Deferred income tax is recognised, using the balance sheet liability method, on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the balance sheet. However, the deferred income tax is not accounted for if it arises from initial recognition of goodwill or of an asset or liability in a transaction other than a business combination that at the time of the transaction affects neither accounting nor taxable profit nor loss. Deferred income tax is provided on temporary differences arising on investments in subsidiaries and associates, except where the timing of the reversal of the temporary difference is controlled by the Company and it is probable that the temporary difference will not reverse in the foreseeable future. Deferred income tax is determined using tax rates (and laws) that have

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been enacted or substantially enacted by the balance sheet date and are expected to apply when the related deferred income tax asset is realized or the deferred income tax liability is settled.

• D. Deferred income tax assets are recognised only to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilized. At each balance sheet date, unrecognised and recognised deferred income tax assets are reassessed.

• E. Current income tax assets and liabilities are offset and the net amount reported in the balance sheet when there is a legally enforceable right to offset the recognised amounts and there is an intention to settle on a net basis or realize the asset and settle the liability simultaneously. Deferred income tax assets and liabilities are offset on the balance sheet when the entity has the legally enforceable right to offset current tax assets against current tax liabilities and they are levied by the same taxation authority on either the same entity or different entities that intend to settle on a net basis or realize the asset and settle the liability simultaneously.

• (28) Share capital

• A. Ordinary shares are classified as equity. The classification of preferred shares is determined according to the special rights attached to preferred shares based on the substance of the contract and the definition of financial liabilities and equity instruments. Preferred shares are classified as liabilities when they have the basic characteristics of financial liabilities; otherwise, they are classified as equity. Incremental costs directly attributable to the issue of new shares or stock options are shown in equity as a deduction, net of tax, from the proceeds.

• B. Where the Company repurchases the Company’s equity share capital that has been issued, the consideration paid, including any directly attributable incremental costs (net of income taxes) is deducted from equity attributable to the Company’s equity holders. Where such shares are subsequently reissued, the difference between their book value and any consideration received, net of any directly attributable incremental transaction costs and the related income tax effects, and is included in equity attributable to the Company’s equity holders.

• (29) Dividends

Dividends are recorded in the Company’s financial statements in the period in which they are approved by the Company’s shareholders. Cash dividends are recorded as liabilities; stock dividends are recorded as stock dividends to be distributed and are reclassified to ordinary shares on the effective date of new shares issuance.

(30) Revenue recognition

Sales of goods

• A. The Company manufactures and sells notebook computers, hardware, and software for military and industrial computer systems. Sales are recognised when control of the products has transferred, being when the products are delivered to the customer, the customer has full discretion over the channel and price to sell the products, and there is no unfulfilled obligation that could affect the customer’s acceptance of the products. Delivery occurs when the products

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have been shipped to the specific location, the risks of obsolescence and loss have been transferred to the customer, and either the customer has accepted the products in accordance with the sales contract, or the Company has objective evidence that all criteria for acceptance have been satisfied.

• B. Revenue from sales is recognised based on the price specified in the contract, net of the estimated sales returns as well as sales discounts and allowances. The sales usually are made with a credit term of 5 months. The Company does not expect to have any contracts where the period between the transfer of the promised goods to the customer and payment by the customer exceeds one year. As a consequence, the Company does not adjust any of the transaction prices for the time value of money.

• C. The Company’s obligation to provide maintenance for faulty products under the standard warranty terms is recognised as a provision.

• D. A receivable is recognised when the goods are delivered as this is the point in time that the consideration is unconditional because only the passage of time is required before the payment is due.

5. CRITICAL ACCOUNTING JUDGEMENTS, ESTIMATES AND KEY SOURCES OF ASSUMPTION UNCERTAINTY

The preparation of these parent company only financial statements requires management to make critical judgements in applying the Company’s accounting policies and make critical assumptions and estimates concerning future events. Assumptions and estimates may differ from the actual results and are continually evaluated and adjusted based on historical experience and other factors. There are no critical accounting judgements, estimates and key sources of assumption uncertainty in the Company.

6. DETAILS OF SIGNIFICANT ACCOUNTS

• (1) Cash and cash equivalents

December 31, 2021 December 31, 2020 Checking accounts and demand deposits $ 174,909 $ 2,185,479

• A. The Company transacts with a variety of financial institutions all with high credit quality to disperse credit risk, so it expects that the probability of counterparty default is remote.

• B. The Company has no cash and cash equivalents pledged to others.

• C. In accordance with the Management, Utilization, and Taxation of Repatriated Offshore Funds Act, the Company classified restricted cash as other non-current financial assets in the amount of $737,586 for the year ended December 31, 2020.

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(2) Financial assets at fair value through profit or loss

December 31, 2021: None.

December 31, 2020

Current items: Financial assets mandatorily measured at fair value through profit or loss - Non-hedging derivatives $ - Valuation adjustment 7,426 Total $ 7,426

• A. The Company recognised net (loss) gain of ($7,051) and $7,426 on financial assets mandatorily measured at fair value through profit or loss for the years ended December 31, 2021 and 2020, respectively.

• B. The non-hedging derivative instruments transaction and contract information are as follows: December 31, 2021: None.

Item Sales of forward foreign exchange	Notional Amount (in thousands)	December 31, 2020
		Strike Rate Settlement Date 28.237~28.690(Note1) 2021.01.15~2021.03.22 Contract Terms
	USD 22,000

Note 1: Advance booking USD to buy NTD.

The Company signed forward exchange in order to hedge foreign exchange risk from the prices of imports and exports; however, the Company did not apply hedge accounting.

• C. The Company has no financial assets at fair value through profit or loss pledged to others.

(3) Financial assets at fair value through other comprehensive income

Non-current items: Equity instruments Listed stocks Unlisted stocks Valuation adjustments Total	December31,2021 266,117 $ 286,245 552,362 161,501 713,863 $	December31,2020
		266,117 $ 252,738
		518,855 91,806
		610,661 $

• A. Above equity instruments were held for middle and long-term investments, therefore they were classified as financial assets at fair value through other comprehensive income.

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• B. Amounts recognised in profit or loss and other comprehensive income in relation to the financial assets at fair value through other comprehensive income are listed below:

==> picture [457 x 91] intentionally omitted <==

----- Start of picture text -----

Years ended December 31,
2021 2020
Equity instruments at fair value through
other comprehensive income
Fair value change recognised in other
comprehensive income $ 69,695 $ 72,731
----- End of picture text -----

• C. The Company has no financial assets at fair value through other comprehensive income pledged to others as collateral.

(4) Notes and accounts receivable

December 31, 2021: None.

Notes and accounts receivable December 31, 2021: None.
			December 31, 2020
Notes receivable		$	11,585
Accounts receivable		$	746,579
Accounts receivable-related parties			464,880
Less: Allowance for uncollectible accounts	(		234)
		$	1,211,225

• A. The aging analysis of accounts receivable and notes receivable that were past due but not impaired is as follows:

December 31, 2021: None.

is as follows: December 31, 2021: None.
Not past due 1 to 90 days 91 to 180 days Over 180 days	December 31, 2020
	Accounts receivable Notes receivable 1,117,315 $ 11,585 $ 94,068 - 74 - 2 - 1,211,459 $ 11,585 $
		11,585 $ - - -
		11,585 $

The above aging analysis was based on past due date.

• B. As of December 31, 2020 , accounts receivable and notes receivable were all from contracts with customers. As of January 1, 2020, the balance of receivables from contracts with customers amounted to $1,332,157.

• C. The Company does not hold any collateral as security.

• D. As at December 31, 2020, without taking into account any collateral held or other credit enhancements, the maximum exposure to credit risk in respect of the amount that best represents the Company’s notes receivable was $11,585, and accounts receivable was $1,211,459.

• E. Information relating to credit risk is provided in Note 12(2).

~33~

(5) Inventories

December 31, 2021: None.

nventories December 31, 2021: None.
		December31,2020
Raw materials	$	1,349,165
Finished goods		438,750
In-transit inventories		149,245
Total	$	1,937,160

The cost of inventories recognised as expense for the year:

Cost of goods sold Loss on decline in market price and obsolete and slow-moving inventories	2021 2020 6,199,807 $ 7,585,677 $ 44,491 32,567 6,244,298 $ 7,618,244 $ Years ended December31,

(6) Investments accounted for under equity method

nvestments accounted for under equity method
Subsidiaries: Hot Link Technology Ltd. Pacific Royale Ltd. National Aerospace Fasteners Corporation WHP Workflow Solutions, Inc. Getac Technology Corporation Fong Guan Investment Ltd. Atemitech Corporation Associates: Waffer Technology Corp. Lian Jie Investment Co., Ltd. Advanced Medical Design Lian Jie Investment Co., Ltd. II	December31,2021 12,200,740 $ 2,851,360 724,401 - 1,784,314 153,268 173,310 476,319 248,023 64,922 59,834 18,736,491 $	December 31, 2020
		9,369,872 $ 3,189,521 772,831 478,140 257,217 134,082 6 459,662 168,252 55,592 64,317
		14,949,492 $

A. Subsidiaries

• (a) For details on subsidiaries, please refer to Note 4(3) of consolidated financial statements for the year ended December 31, 2021.

(b) On October 1, 2021, Getac Holdings Corporation split and transferred related operations to Getac Technology Corporation and Atemitech Corporation, and acquired equity interest of Getac Technology Corporation from capital increase, please refer to Note7.

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B. Associates:

• (a) The basic information of the associates that are material to the Company is as follows:

Shareholding ratio

	Principal
	place of			Method of
Companyname	business	December 31, 2021	December 31,2020	measurement
Waffer Technology	Taiwan	23.43%	23.92%	Equity method
Corp.
Lian Jie Investment	Taiwan	49.98%	49.98%	Equity method
Co., Ltd.

• (b) The summarized financial information of the associates that are material to the Company is shown below:

Balance sheets

shown below: Balance sheets
			Waffer Technology Corp.
			December31,2021			December31,2020
Current assets		$	2,525,136		$	2,392,265
Non-current assets			2,601,481			2,067,587
Current liabilities	(		2,553,473)	(		1,969,383)
Non-current liabilities	(		102,788)	(		112,868)
Total net assets		$	2,470,356		$	2,377,601
Share in associate's net assets		$	579,945		$	569,409
Unrealised gain on lands sold to the
Company by Waffer Technology
Corp.	(		164,362)	(		170,453)
Unrealised losses on inter-Affiliate
Accounts			27,689			27,689
Goodwill			33,047			33,047
Carrying amount of associate		$	476,319		$	459,692
			LianJie InvestmentCo.,Ltd.
			December31,2021			December31,2020
Current assets		$	135,613		$	8,988
Non-current assets			368,440			327,721
Current liabilities	(		7,818)	(		80)
Non-current liabilities			-			-
Total net assets		$	496,235		$	336,629
Share in associate's net assets		$	248,023		$	168,252
Goodwill			-			-
Carrying amount of associate		$	248,023		$	168,252

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Statements of comprehensive income

Statements of comprehensive income
			Waffer Technology Corp.
			Years ended	December31,
			2021			2020
Revenue		$	2,824,307		$	1,997,427
Profit for the year from
continuing operations		$	164,735		$	649,834
Loss for the year from discontinued
operations			-			-
Other comprehensive loss, net of tax	(		19,457)	(		14,768)
Total comprehensive income		$	145,278		$	635,066
Dividends received from associates		$	24,236		$	-
			Lian Jie Investment Co., Ltd.
			Years ended	December 31,
			2021			2020
Revenue		$	5,715		$	5,702
(Loss) profit for the year from
continuing operations	($		1,793)		$	5,565
Loss for the year from discontinued
operations			-			-
Other comprehensive income,
net of tax			176,715			115,984
Total comprehensive income		$	174,922		$	121,549
Dividends received from associates		$	7,665		$	1,913

(c) As of December 31, 2021 and 2020, the carrying amount of the Company’s individually immaterial associates amounted to $124,756 and $119,909, respectively and the Company’s share of the operating results are summarized below:

Profit (loss) for the year from continuing operations Other comprehensive income, net of tax Total comprehensive income	2021 2020 19,955 $ 11,724) ($ 5,367 104,949 25,322 $ 93,225 $ Years endedDecember31,

• (d) The Company’s material associate, Waffer Technology Corp., has quoted market prices. As of December 31, 2021 and 2020, the fair value was $1,572,266 and $771,950, respectively.

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• (e) The Company and its subsidiaries are the single largest shareholder of Waffer Technology Corp. with a 35% equity interest. The Company and its subsidiaries have no current ability to direct the management decisions and operation strategy of Waffer Technology Corp., including strategical decision (such as financing, acquisition, personnel policies and dividend policy).Also, the shares which were held by the Company and its subsidiaries cannot reach the statutory attendance rate of the shareholders' meeting, which indicates that the Company and its subsidiaries have no current ability to direct the relevant activities of Waffer Technology Corp., the Company has no control force, but only has significant influence, over the investee.

~37~

(7) Property, plant and equipment

Land Buildings At January 1, 2021 Cost 1,003,000 $ 27,000 $ Accumulated depreciation - 5,250) ( 1,003,000 $ 21,750 $ 2021 Opening net book amount as at January 1 1,003,000 $ 21,750 $ Additions - - Disposals - - Reclassifications - - Splits and transfers 1,003,000) ( 15,000) ( Depreciation charge - 6,750) ( Closing net book amount as at December 31 - $ - $ At December 31, 2021 Cost - $ - $ Accumulated depreciation - - - $ - $

Machinery and equipment Office equipment Mold equipment Other equipment Total 60,760 $ 18,716 $ 188,241 $ 360,431 $ 1,658,148 $ 41,264) ( 12,926) ( 111,769) ( 242,333) ( 413,542) ($ 19,496 $ 5,790 $ 76,472 $ 118,098 $ 1,244,606 $ 19,496 $ 5,790 $ 76,472 $ 118,098 $ 1,244,606 $ 4,868 703 29,616 43,401 78,588 - - - 166) ( 166) ( 1,928 - 577 2,505) ( - 22,928) ( 4,395) ( 58,887) ( 102,084) ( 1,206,294) ( 3,364) ( 1,848) ( 47,778) ( 34,566) ( 94,306) ( - $ 250 $ - $ 22,178 $ 22,428 $ - $ 9,468 $ - $ 62,225 $ 71,693 $ - 9,218) ( - 40,047) ( 49,265) ( - $ 250 $ - $ 22,178 $ 22,428 $

~38~

At January 1, 2020 Cost Accumulated depreciation 2020 Opening net book amount as at January 1 Additions Disposals Reclassifications Depreciation charge Closing net book amount as at December 31 At December 31, 2020 Cost Accumulated depreciation	Land Buildings - $ - $ - - - $ - $ - $ - $ 900,000 27,000 - - 103,000 - - 5,250) ( 1,003,000 $ 21,750 $ 1,003,000 $ 27,000 $ - 5,250) ( 1,003,000 $ 21,750 $	Machinery and equipment Office equipment Mold equipment Other equipment Total 39,401 $ 13,856 $ 143,266 $ 327,662 $ 524,185 $ 25,160) ( 11,456) ( 51,553) ( 213,474) ( 301,643) ($ 14,241 $ 2,400 $ 91,713 $ 114,188 $ 222,542 $ 14,241 $ 2,400 $ 91,713 $ 114,188 $ 222,542 $ 2,050 2,270 44,975 152,075 1,128,370 - - - 1,396) ( 1,396) ( 7,650 2,590 - 113,240) ( - 4,445) ( 1,470) ( 60,216) ( 33,529) ( 104,910) ( 19,496 $ 5,790 $ 76,472 $ 118,098 $ 1,244,606 $ 60,760 $ 18,716 $ 188,241 $ 360,431 $ 1,658,148 $ 41,264) ( 12,926) ( 111,769) ( 242,333) ( 413,542) ( 19,496 $ 5,790 $ 76,472 $ 118,098 $ 1,244,606 $

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－ (8) Leasing arrangements lessee

• A. The Company leases various assets including buildings and office equipment. Rental contracts are typically made for periods of 2 to 7 years. Lease terms are negotiated on an individual basis and contain a wide range of different terms and conditions. The lease agreements do not impose covenants, but leased buildings may not be used for subleasing to others.

• B. The carrying amount of right-of-use assets and the depreciation charge are as follows:

Buildings Office equipment Buildings Office equipment		December31,2021 December31,2020 Carrying amount Carrying amount $ 7,297 $ 254,113 2,824 3,642 10,121 $ 257,755 $ 2021 2020 Depreciation charge Depreciationcharge $ 65,695 $ 83,906 1,262 1,214 66,957 $ 85,120 $ Years endedDecember31	December31,2021 December31,2020 Carrying amount Carrying amount $ 7,297 $ 254,113 2,824 3,642 10,121 $ 257,755 $ 2021 2020 Depreciation charge Depreciationcharge $ 65,695 $ 83,906 1,262 1,214 66,957 $ 85,120 $ Years endedDecember31	December31,2021 December31,2020 Carrying amount Carrying amount $ 7,297 $ 254,113 2,824 3,642 10,121 $ 257,755 $ 2021 2020 Depreciation charge Depreciationcharge $ 65,695 $ 83,906 1,262 1,214 66,957 $ 85,120 $ Years endedDecember31
		Depreciation charge		Depreciationcharge
		$ 65,695 1,262 66,957 $		$ 83,906 1,214 85,120 $

• C. For the years ended December 31, 2021 and 2020, the additions to right-of-use assets were $8,923 and $26,843, respectively.

• D. The information on profit and loss accounts relating to lease contracts is as follows:

Items affecting profit or loss Interest expense on lease liabilities		Year ended December 31,2021		Year ended December 31,2020
		$1,412		$ 3,442

• E. For the years ended December 31, 2021 and 2020, the Company’s total cash outflow for leases were $69,716 and $85,443, respectively.

• F. Some of the Company’s lease contracts contain variable lease payment terms, and the payments are subject to adjustments based on the Consumer Price Index.

~40~

(9) Intangible assets (Computer software)

ntangible assets (Computer software)
			Years ended	December	31,
			2021		2020
At January 1
Cost		$	51,941	$		48,075
Accumulated amortisation	(		42,322)	(		34,714)
		$	9,619	$		13,361
Opening net book amount as at January 1		$	9,619	$		13,361
Additions			5,212			3,866
Splits and transfers	(		5,928)			-
Amortisation charge	(		5,966)	(		7,608)
Closing net book amount as at December 31		$	2,937	$		9,619
At December 31
Cost		$	23,094	$		51,941
Accumulated amortisation	(		20,157)	(		42,322)
		$	2,937	$		9,619

Details of amortization of intangible assets are as follows:

		Years ended	December	31,
		2021		2020
Selling expenses	$	535	$	676
Administrative expenses		4,432		5,534
Research and development expenses		999		1,398
	$	5,966	$	7,608

(10) Short-term borrowings

December 31, 2021: None.

Type of borrowings Unsecured bank loans	December31,2020 406,768 $	Interestraterange 0.56%~0.75%

~41~

(11) Financial liabilities at fair value through profit or loss

December 31, 2021 December 31, 2020

Current items: Financial assets mandatorily measured at fair value through profit or loss - - Non-hedging derivatives $ $ - - Valuation adjustment 1,454 6,103 Total $ 1,454 $ 6,103

• A. The Company recognised net gain (loss) of $4,649 and ($2,528) on financial liabilities held for trading for the years ended December 31, 2021 and 2020, respectively.

• B. The non-hedging derivative instrument transactions and contract information are as follows:

December 31, 2021 Contract Terms

Notional Amount Item (in thousands) Strike Rate Settlement Date Foreign exchange EUR 12,000 27.803~27.812 (Note 1) 2022.03.17~2022.03.22 swaps Note 1: Advance booking USD to sell TWD.

December 31, 2020 Contract Terms Notional Amount Item (in thousands) Strike Rate Settlement Date Sales of forward EUR 3,700 1.1927~1.2232 (Note 1) 2021.01.28~2021.02.24 foreign exchange " EUR 5,800 33.617~34.315 (Note 2) 2021.01.06~2021.02.09 " USD 5,000 28.089~28.090 (Note 3) 2021.03.02~2021.03.10

Note 1: Advance booking EUR to buy USD. Note 2: Advance booking EUR to buy TWD. Note 3: Advance booking USD to buy TWD.

The Company signed forward exchange and foreign exchange swaps to hedge exchange rate risk of import and export proceeds and exchange of NTD and foreign currencies. However, the Company did not apply hedge accounting.

~42~

(12) Pensions

• A.(a) The Company has a defined benefit pension plan in accordance with the Labor Standards Act, covering all regular employees for services provided prior to July 1, 2005, and employees who choose to remain in the defined benefit pension plan subsequent to the enforcement of the Labor Pension Act on July 1, 2005. Under the defined benefit pension plans, employees are entitled to two base points for every year of service for the first 15 years and one base point for each additional year thereafter, up to a maximum of 45 base points. The pension payment to employees is computed based on years of service and average salaries or wages of the last six months prior to approved retirement. The Company contributes an amount equal to 2% of salaries and wages paid each month to a pension fund. The pension fund is administered by a pension fund monitoring committee (the “Committee”) and deposited under the Committee’s name in the Bank of Taiwan. Also, the Company would assess the balance in the aforementioned labor pension reserve account by December 31, every year. If the account balance is insufficient to pay the pension calculated by the aforementioned method to the employees expected to qualify for retirement in the following year, the Company will make contributions to cover the deficit by next March.

• (b) The Company reached an agreement with employees whose pensions contributed under defined benefit pension plans to settle service years of defined benefit pension plans in accordance with the Labor Standards Act and the Labor Pension Act. No pension under defined benefit pension plans would be contributed after settling service years of defined benefit pension plans on July 1, 2021. The collection of overpayments of pensions after settling employees’ service years is currently being processed by the Department of Labor, Taoyuan City Government.

• (c) The amounts recognised in the balance sheet are determined as follows:

Present value of defined benefit obligations Fair value of plan assets Net defined benefit assets (liability)	December31,2021 December31,2020 - $ 276,983) ($ 2,047 112,199 2,047 $ 164,784) ($

~43~

(d) Movements in net defined benefit liabilities are as follows:

Present value of defined benefit obligations Year ended December 31, 2021 Balance at January 1 276,983) ($ Current service cost 385) ( Interest (expense) income 1,039) ( Gain on repayment 43,199 235,208) ( Remeasurements: Return on plan assets (excluding amounts included in interest income or expense) - Change in demographic assumptions 7,634) ( Experience adjustments 5,194 2,440) ( Pension fund contribution - Paid pension 237,648 Balance at December 31 - $		Fair value ofplan assets	Net defined benefit assets (liability)
	112,199 $ - 427 - 112,626 1,056 - - 1,056 100,018 211,653) ( 2,047 $		164,784) ($ 385) ( 612) ( 43,199 122,582) ( 1,056 7,634) ( 5,194 1,384) ( 100,018 25,995 2,047 $

~44~

Year ended December 31, 2020 Balance at January 1 Current service cost Interest (expense) income Remeasurements: Return on plan assets (excluding amounts included in interest income or expense) Change in demographic assumptions Change in financial assumptions Experience adjustments Pension fund contribution Paid pension Balance at December 31	Present value of defined benefit obligations		Fair value ofplanassets	Net defined benefitliability
	274,382) ($ 501) ( 2,058) ( 276,941) ( - 427) ( 7,167) ( 395 7,199) ( - 7,157 276,983) ($	111,031 $ - 845 111,876 3,645 - - - 3,645 3,121 6,443) ( 112,199 $		163,351) ($ 501) ( 1,213) ( 165,065) ( 3,645 427) ( 7,167) ( 395 3,554) ( 3,121 714 164,784) ($

(e) The Bank of Taiwan was commissioned to manage the Fund of the Company’s defined benefit pension plan in accordance with the Fund’s annual investment and utilisation plan and the “Regulations for Revenues, Expenditures, Safeguard and Utilisation of the Labor Retirement Fund” (Article 6: The scope of utilisation for the Fund includes deposit in domestic or foreign financial institutions, investment in domestic or foreign listed, over-the-counter, or private placement equity securities, investment in domestic or foreign real estate securitization products, etc.). With regard to the utilisation of the Fund, its minimum earnings in the annual distributions on the final financial statements shall be no less than the earnings attainable from the amounts accrued from two-year time deposits with the interest rates offered by local banks. If the earnings are less than aforementioned rates, government shall make payment for the deficit after being authorized by the Regulator. The Company has no right to participate in managing and operating that fund and hence the Company is unable to disclose the classification of plan asset fair value in accordance with IAS 19 paragraph 142. The composition of fair value of plan assets as of December 31, 2021 and 2020 is given in the Annual Labor Retirement Fund Utilisation Report announced by the government.

~45~

(f) The principal actuarial assumptions used were as follows:

	Years endedDecember31,	Years endedDecember31,
	2021	2020
Discount rate	0.50%	0.50%
Future salary increases	3.00%	3.00%

Future mortality rate was estimated based on the 5th and 6th Taiwan Standard Ordinary Experience Mortality Table for the years ended December 31, 2021 and 2020.

Because the main actuarial assumption changed, the present value of defined benefit obligation is affected. The analysis was as follows:

Discount rate Futures salary increases Increase 0.25% Decrease 0.25% Increase 0.25% Decrease 0.25%

==> picture [442 x 122] intentionally omitted <==

The sensitivity analysis above was arrived at based on one assumption which changed while the other conditions remain unchanged. In practice, more than one assumption may change all at once. The method of analyzing sensitivity and the method of calculating net pension liability in the balance sheet are the same.

The method and assumptions used for the preparation of sensitivity analysis did not change compared to the previous period.

• B.(a) Effective July 1, 2005, the Company has established a defined contribution pension plan (the “New Plan”) under the Labor Pension Act (the “Act”), covering all regular employees with R.O.C. nationality. Under the New Plan, the Company contributes monthly an amount based on 6% of the employees’ monthly salaries and wages to the employees’ individual pension accounts at the Bureau of Labor Insurance. The benefits accrued are paid monthly or in lump sum upon termination of employment.

• (b)The pension costs under the defined contribution pension plan of the Company for the years ended December 31, 2021 and 2020 were $31,619 and $38,369, respectively.

~46~

(13) Share-based payment

• A.For the years ended December 31, 2021 and 2020, the Company’s share-based payment arrangements were as follows:

Type of arrangement	Grant date	Quantity granted (in thousands of shares)	Contract period	Vesting conditions
Seventh employee stock options Eighth employee stock options	July 26, 2017 October 11, 2018	20,000 20,000	6 years 6 years	2 years’ service vested 50% 3 years’ service vested 75% 4 years’ service vested 100% 2 years’ service vested 50% 3 years’ service vested 75% 4 years’ service vested 100%

• B. Details of the seventh employee stock options are set forth below:

• (a)Details of seventh employee stock options for the years ended December 31, 2021 and 2020 are set forth below:

re set forth below:	re set forth below:
Options outstanding at January 1 Options exercised Options forfeited Options outstanding at December 31 Options exercisable at December 31 2021 No. of options ( in thousands of shares) Weighted average exercise price (in NT dollars) 11,147 32.70 $ 4,736) ( 31.30 93) ( - 6,318 30.80 6,318 30.80		2020
	Weighted average exercise price (in NT dollars)	No. of options ( in thousands of shares) Weighted average exercise price (in NT dollars) 15,423 34.60 $ 4,051) ( 33.17 225) ( - 6,539 32.70 11,147 32.70
	32.70 $ 31.30 - 30.80 30.80

• (b) Information on the seventh employee stock options outstanding as of December 31, 2021 and 2020 is as follows:

December 31, 2021 December 31, 2020 Expected weighted average residual years 1.57 years 2.57 years

~47~

• C. The Company estimated the fair value of seventh employee stock options as of grant date under the Black-Scholes option model. The weighted-average parameters used in the estimation of fair value are as follows:

value are as follows:
	Grant date-July26,2017
Exercise price (in dollars)	$42.25
Ratio of cash dividends	5%
Expected price volatility	34.39%
Risk-free interest ratio	0.7091%~0.7678%
Expected option life (years)	5.42
Fair value per share (in dollars)	$7.2428~$7.5272

• D. Details of the eighth employee stock options are set forth below:

• (a) Details of the eighth employee stock options for the years ended December 31, 2021 and 2020 are set forth below:

Details of the eighth employee stock options for the years 2020 are set forth below:	Details of the eighth employee stock options for the years 2020 are set forth below:	ended December 31, 2021 and	ended December 31, 2021 and
No. of options ( in thousands ofshares) Weighted average exercise price (indollars) Options outstanding at January 1 16,230 31.30 $ Options exercised 3,714) ( 30.28 Options forfeited 400) ( - Options outstanding at December 31 12,116 29.50 Options exercisable at December 31 7,610 29.50 2021		No. of options ( in thousands ofshares) Weighted average exercise price (indollars) 19,470 33.20 $ 2,195) ( 31.30 1,045) ( - 16,230 31.30 7,018 31.30 2020
	31.30 $ 30.28 - 29.50 29.50	19,470 2,195) ( 1,045) ( 16,230 7,018	33.20 $ 31.30 - 31.30 31.30

• (b) Information on the eighth employee stock options outstanding as of December 31, 2021 and 2020 is as follows:

December 31, 2021 December 31, 2020 Expected weighted average residual years 3.78 years 4.78 years

~48~

• E. The Company estimated the fair value of eighth stock options as of grant date under the BlackScholes option model. The weighted-average parameters used in the estimation of fair value are as follows:

as follows:
	Grant date-October 11,2018
Exercise price (in dollars)	$35.55
Ratio of cash dividends	5%
Expected price volatility	30.66%
Risk-free interest ratio	0.6981%~0.7450%
Expected option life (years)	6
Fair value per share (in dollars)	$5.2256~$5.4049

• F. Expenses incurred on the Company’s share-based payment transactions with equity-settled for the years ended December 31, 2021 and 2020 were $11,396 and $38,325, respectively.

• (14) Provisions (warranty)

Provisions (warranty)
			2021			2020
At January 1		$	680,006		$	631,548
Additional provisions			273,974			216,780
Used during the year	(		223,428)	(		168,322)
Effect of splits	(		730,552)			-
At December 31		$	-		$	680,006
Analysis of total provisions:
			December31,2021			December 31, 2020
Current		$	-		$	189,244
Non-current		$	-		$	490,762

The Company provides warranties on rugged notebook products sold. Provision for warranty is estimated based on historical warranty data of rugged notebook products.

(15) Share capital

• A. As of December 31, 2021, the Company had an authorized capital of $8,500,000, consisting of 850,000 thousand shares of common stock (including 80,000 thousand shares reserved for employee stock options and 50,000 thousand shares reserved for convertible bonds issued by the Company), and an issued capital of $5,976,984 with a par value of $10 (in dollars) per share. All proceeds from shares issued have been collected.

Movements in the number of the Company’s ordinary shares (in thousands) outstanding are as follows:

follows:
At January 1 Employee stock options exercised At December 31	2021 589,248 8,450 597,698	2020
		583,002 6,246
		589,248

~49~

(16) Capital surplus

)Capital surplus
At January 1 Employee stock options exercised Compensation cost of employee stock options Recognition of changes in equities of associates At December 31 At January 1 Employee stock options exercised Compensation cost of employee stock options Recognition of changes in equities of associates At December 31		Share premium 3,000,546 $ 231,113 - - 3,231,659 $	Difference between consideration and carrying amount of subsidiaries acquired or disposed			Changes in net equity of associates and joint ventures accounted for under equity method Recognition of changes in the subsidiary’s equity 16,544 $ 24,666 $ - - 2,227 - 3,874 - 22,645 $ 24,666 $ 2021 2020						Employee stockoptions
			113,722 $ - - - 113,722 $							24,666 $ - - - 24,666 $
							2020
		Share premium 2,818,696 $ 181,850 - - 3,000,546 $	Difference between consideration and carrying amount of subsidiaries acquired or disposed		Changes in net equity of associates and joint ventures accounted for under equity method			Recognition of changes in the subsidiary’s equity
			113,722 $ - - - 113,722 $		14,907 $ - - 1,637 16,544 $				24,666 $ - - - 24,666 $

~50~

Pursuant to the R.O.C. Company Act, capital surplus arising from paid-in capital in excess of par value on issuance of common stocks and donations can be used to cover accumulated deficit or to issue new stocks or cash to shareholders in proportion to their share ownership, provided that the Company has no accumulated deficit. Further, the R.O.C. Securities and Exchange Law requires that the amount of capital surplus to be capitalized mentioned above should not exceed 10% of the paidin capital each year. Capital surplus should not be used to cover accumulated deficit unless the legal reserve is insufficient.

(17) Retained earnings

• A.Under the Company’s Articles of Incorporation, in addition to offsetting prior years' losses after paying all taxes as required by law, 10% of the Company's profit at the closing of each fiscal year shall first be set aside as legal reserve, and special reserve shall be set aside or reversed according to laws, the remainder plus undistributed earnings carried over from previous years shall be allocated at the board's proposal. Proposal for allocation in the form of newly issued shares shall be subject to shareholders' resolution. The Company may, in accordance with the provision of Paragraph 5 of Article 240 of the Company Act, by a resolution adopted by a majority vote of a meeting of the board of directors attended by two-thirds or more of the total number of the directors, distribute dividends and bonuses in form of cash, and submit a report to a shareholders’ meeting.

• At least 10% of dividends proposed must be in the form of cash dividend. However, the actual percentage of cash dividends may be adjusted and resolved during the Board of Directors’ meetings depending on the Company's financial structure, future fund needs, and profitability.

• B.Except for covering accumulated deficit or issuing new stocks or cash to shareholders in proportion to their share ownership, the legal reserve shall not be used for any other purpose. The use of legal reserve for the issuance of stocks or cash to shareholders in proportion to their share ownership is permitted, provided that the balance of the reserve exceeds 25% of the Company’s paid-in capital.

• C.(a) In accordance with the regulations, the Company shall set aside special reserve from the debit balance on other equity items at the balance sheet date before distributing earnings. When debit balance on other equity items is reversed subsequently, the reversed amount could be included in the distributable earnings.

• (b) The amounts previously set aside by the Company as special reserve on initial application of IFRSs in accordance with Order No. Financial-Supervisory-Securities-Corporate 1010012865, dated April 6, 2012, shall be reversed proportionately when the relevant assets are used, disposed of or reclassified subsequently.

~51~

• D.The appropriations of 2021 and 2020 earnings had been resolved at the Board of Directors’ meeting on February 25, 2022 and shareholders’ meeting on July 14, 2021, respectively. Details are summarized below:

Legal reserve Special reserve Cash dividends Total	Amount Dividends per share (indollars) Amount Dividends per share (indollars) 430,332 $ 259,877 $ 480,193 59,393) ( 2,154,075 3.6 $ 2,123,911 3.58708898 $ 3,064,600 $ 2,324,395 $ Years endedDecember31, 2021 2020	Amount Dividends per share (indollars) Amount Dividends per share (indollars) 430,332 $ 259,877 $ 480,193 59,393) ( 2,154,075 3.6 $ 2,123,911 3.58708898 $ 3,064,600 $ 2,324,395 $ Years endedDecember31, 2021 2020
		3.58708898 $

• (18) Other equity items

Other equity items
At January 1 Revaluation –The Company –Subsidiary –Associates Currency translation differences: –Subsidiary –Associates Disposal of financial assets at fair value through other comprehensive income -Associates At December 31			Currency translation Total 735,369) ($ 682,231) ($ - 69,695 - 30,963 - 131,228 676,519) ( 676,519) ( 4,915) ( 4,915) ( - 30,644) ( 1,416,803) ($ 1,162,423) ($ 2021
		Unrealised gain (loss) on valuation
	53,138 $ 69,695 30,963 131,228 - - 30,644) ( 254,380 $

~52~

2020

(19)

Operating revenue A. Disaggregation of revenue from contracts The Company’s revenue subdivided into the following major regions: B. Contract liabilities Unrealised gain (loss) on valuation Currency translation Total At January 1 126,351) ($ 615,273) ($ 741,624) ($ Revaluation –The Company 72,731 - 72,731 –Subsidiary 14,882 - 14,882 –Associates 115,905 - 115,905 Currency translation differences: –Subsidiary - 114,634) ( 114,634) ( –Associates - 5,462) ( 5,462) ( Disposal of financial assets at fair value through other comprehensive income -Associates 24,029) ( - 24,029) ( At December 31 53,138 $ 735,369) ($ 682,231) ($ 2021 2020 Revenue from contracts with customers 9,337,128 $ 11,562,278 $ Investment income or loss accounted for under the equity method after transformation(As of October 1,2021 to December 31,2021) 713,547 - Total 10,050,675 $ 11,562,278 $ Years ended December 31, 2021 Asia America Europe Others Total Revenue from external customer contracts 3,172,102 $ 4,325,846 $ 1,680,543 $ 158,637 $ 9,337,128 $ 2020 Asia America Europe Others Total Revenue from external customer contracts 3,395,397 $ 5,682,872 $ 2,297,818 $ 186,191 $ 11,562,278 $ 2021 2020 Revenue recognised that was included in the contract liability balance at the beginning of the year 17,889 $ 65,549 $ December31,

~53~

(20) Interest income

Interest income from bank deposits Interest income from financial assets measured at amortized cost Other interest income

	Years ended	December	31,
	2021		2020
$	8,072	$	6,173
	-		1,241
	216		158
$	8,288	$	7,572

(21) Other income

Rent income Dividend income Other income, others

	Years ended	December	31,
	2021		2020
$	17,653	$	15,396
	10,300		11,464
	43,986		48,045
$	71,939	$	74,905

(22) Other gains and losses

==> picture [246 x 15] intentionally omitted <==

----- Start of picture text -----

Years ended December 31,
----- End of picture text -----

Net (loss) gain on financial assets ( liabilities) at fair value through profit or loss Net currency exchange loss Gain (loss) on disposal of property, plant and equipment Miscellaneous disbursements

		2021				2020
	($		2,402)		$		4,898
	(		24,179)	(			25,536)
			740	(			1,311)
	(		1,511)	(			591)
	($		27,352)	($			22,540)

(23) Finance costs

Finance costs
Interest expense: Bank borrowings Loans Leased liabilities Imputed interest on rental deposits	Years endedDecember31,
	2021 4,989 $ 5,763 1,412 230 12,394 $	2020
		8,294 $ - 3,442 452
		12,188 $

~54~

(24) Expenses by nature

Expenses by nature
		Years ended	December	31,
		2021		2020
Employee benefit expense	$	875,695	$	1,306,157
Depreciation expense on property, plant and
equipment and right of use assets		161,263		190,030
Amortisation expense on intangible assets		5,966		7,608
	$	1,042,924	$	1,503,795

(25) Employee benefit expense

Employee benefit expense
			Years ended	December	31,
			2021		2020
Wages and salaries		$	804,878	$	1,168,954
Labour and health insurance fees			52,834		60,366
Pension (gain) costs	(		10,842)		40,083
Other personnel expenses			28,825		36,754
		$	875,695	$	1,306,157

• A. In accordance with the Company's Articles of Incorporation, where the Company accrues annual net income, if any, shall distribute more than 1% but less than 10% of which as employees’ compensation and no more than 1% of which as directors’ and supervisors’ remuneration with the resolution of Board of Directors. However, annual net income should be first reserved to offset the Company’s accumulated deficit prior to the distribution of compensation and remuneration.

• B. For the years ended December 31, 2021 and 2020, employees’ compensation were accrued at $53,600 and $156,756, respectively; while directors’ and supervisors’ remuneration were accrued at $6,200 and $5,300, respectively. The aforementioned amounts were recognised in salary expenses. For the years ended December 31, 2021 and 2020, it was recognised based on the fixed amount and ratio of the profit accrued in the period.

• The employees’ compensation of $53,600 and directors’ remuneration of $7,200 for 2021 as resolved by the Board of Directors on February 25, 2022. The difference of $1,000 between the amounts resolved at the Board meeting and the amounts recognised in the 2021 financial statements, mainly resulting from directors’ remuneration, will adjust in the profit or loss of 2022. Information about employees’ compensation and directors’ remuneration of the Company as resolved by the Board of Directors is available at the “Market Observation Post System” website of the Taiwan Stock Exchange.

~55~

(26) Income tax

A. Income tax expense

Current tax: Current tax on profits for the year Prior year income tax overestimation Total current tax Deferred tax: Origination and reversal of temporary differences Total deferred tax Income tax expense	2021 2020 231,564 $ 388,266 $ - 40,700) ( 231,564 $ 347,566 $ 627,667 53,753 627,667 $ 53,753 $ 859,231 $ 401,319 $ Years endedDecember31,

B. Reconciliation between income tax expense and accounting profit

			Years ended December31,	Years ended December31,	Years ended December31,	Years ended December31,
			2021			2020
Tax calculated based on profit before tax		$	1,001,082		$	595,672
and statutory tax rate
Tax exempt income by tax regulation	(		82,996)	(		8,662)
Expense disallowed by tax regulation			-			123
Temporary differences not recognised as
deferred tax liability	(		708,212)	(		244,825)
Prior year income tax overestimation			-	(		40,700)
Income tax on the offshore reinvestment
income repatriated by the enterprise
based on the Management, Utilization,
and Taxation of Repatriated Offshore
Funds Act.			-			66,045
Estimated and accrued tax liabilities based
on possible earnings repatriated by the
subsidiaries			649,357			-
Change in assessment of realisation of
deferred tax assets			-			33,666
Income tax expense		$	859,231		$	401,319
The income tax credit relating to components of other comprehensive				income is as follows:
			Years endedDecember31,
			2021			2020
Remeasurement of defined benefit
obligations	($		277)	($		711)

C. The income tax credit relating to components of other comprehensive income is as follows:

~56~

D. Amounts of deferred tax assets or liabilities as a result of temporary differences are as follows:

Year ended December 31, 2021

Deferred tax assets: -Temporary differences: Provision for market value decline and obsolescence of inventories Unrealised warranty expense Unrealised pension Unrealised exchange (gain) loss Others Total -Deferred tax liabilities: Unrealised pension Investment income or loss accounted for under the equity method Subtotal Total Deferred tax assets: -Temporary differences: Provision for market value decline and obsolescence of inventories Unrealised warranty expense Unrealised pension Unrealised exchange (gain) loss Others Total	January1 Recognised in profit or loss Recognised in other comprehensive income Effect of splits December31 71,779 $ 35,381 $ - $ 107,160) ($ - $ 126,310 19,801 - 146,111) ( - 29,954 29,954) ( - - - 1,207 1,207) ( - - - 12,801 1,645) ( - 6,173) ( 4,983 242,051 $ 22,376 $ - $ 259,444) ($ 4,983 $ - $ 686) ($ 277 $ - $ 409) ($ - 649,357) ( - - 649,357) ( - $ 650,043) ($ 277 $ - $ 649,766) ($ 242,051 $ 627,667) ($ 277 $ 259,444) ($ 644,783) ($ January1 Recognised in profit or loss Recognised in other comprehensive income December31 105,446 $ 33,667) ($ - $ 71,779 $ 126,310 - - 126,310 29,243 - 711 29,954 1,207 - - 1,207 32,887 20,086) ( - 12,801 295,093 $ 53,753) ($ 711 $ 242,051 $ YearendedDecember31,2020
	$
	$
	$
	$
	$

E. The Company did not recognise taxable temporary differences relating to several subsidiaries investment as deferred tax liabilities. As of December 31,2021 and 2020, the unrecognised

~57~

deferred tax liabilities were $6,895,939 and $7,178,690, respectively.

• F. The Company repatriated reinvestment income arising from offshore reinvestment in accordance with the Management, Utilization, and Taxation of Repatriated Offshore Funds Act. The act imposes a tax rate of 8% on the repatriated funds. The Company recognised tax expense in the amount of $66,045. 50% tax of aforementioned funds can be applied a tax refund to the Competent Authority after completing the actual investment. If funds were used in others purpose or violate the investment plan, the fund will be imposed at a tax rate of 20%.

• G. Because of the pandemic, the Company applied to pay profit-seeking enterprise income tax in 36 installments for the year ended December 31, 2019, in accordance with the Tax Collection Act. As of December 31, 2021, the remaining amount of $75,834 was unpaid, among this amount, $50,556 was shown as income tax liabilities, $25,278 was shown as non-current income tax liabilities.

• H. The Company’s income tax returns through 2019 have been assessed and approved by the Tax Authority.

• (27) Earnings per share

Authority. arnings per share
Basic earnings per share Profit attributable to ordinary shareholders of the parent Diluted earnings per share Profit attributable to ordinary shareholders of the parent Less: Effects of potential dilutive common shares issued by the investee accounted for under the equity method Assumed conversion of all dilutive potential ordinary shares Employee stock options Employees’compensation Profit attributable to ordinary shareholders of the parent plus assumed conversion of all dilutive potential ordinary shares		Year		ended December 31,2021
		Amount after tax		Weighted average number of ordinary shares outstanding (sharesinthousands)	Earnings per share (indollars)
	4,273,793 $ 4,273,793 - - 4,269,158 $ 4,635) (			593,259 593,259 9,900 1,433 604,592 -	7.20 $ 7.06 $

~58~

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----- Start of picture text -----

Year ended December 31, 2020
Weighted average
number of
ordinary shares Earnings per
Amount after outstanding share
tax (shares in thousands) (in dollars)
Basic earnings per share
Profit attributable to ordinary
shareholders of the parent $ 2,577,039 585,029 $ 4.40
Diluted earnings per share
Profit attributable to ordinary
shareholders of the parent 2,577,039 585,029
Less: Effects of potential dilutive
common shares issued by the
investee accounted for under
-
the equity method ( 20)
Assumed conversion of all dilutive
potential ordinary shares
-
Employee stock options 9,342
Employees’compensation - 3,613
Profit attributable to ordinary
shareholders of the parent plus
assumed conversion of all dilutive
potential ordinary shares $ 2,577,019 597,984 $ 4.31
----- End of picture text -----

potential ordinary shares $	2,5	77,019	597,98	4 4. $
(28)Supplemental cash flow information
Investing activities with partial cash payments
		Years ended	December	31,
		2021		2020
Purchase of property, plant and equipment	$	78,588	$	1,128,370
Add: Opening balance of payable on
machinery and equipment		51,681		18,377
Add: Ending balance of prepayments for
business facilities		-		145
Less: Ending balance of payable on
machinery and equipment		-	(	51,681)
Less: Opening balance of prepayments for
business facilities	(	145)		-
Less: Effect of splits-payable on
machinery and equipment	(	56,184)		-
Add: Effect of splits-prepayments
for business facilities		9,265		-
Cash paid during the year	$	83,205	$	1,095,211

~59~

Changes in liabilities from financing activities 2021 2020 Acquisition of equity interest of the subsidiaries 579,001 $ - $ Less: Current assets 4,545,593) ( - Less: Non-Current assets 2,135,595) ( - Add: Current liabilities 6,426,419 - Add: Non-current liabilities 786,029 - Split cash to the subsidiaries 1,110,261 $ - $ Years endedDecember31, Short-term borrowngs Leaseliabilities Guarantee deposits received Other payables- related parties January 1, 2021 406,768 $ 269,374 $ 6,170 $ 284,800 $ Changes in cash flow from financing activities 406,768) ( 69,716) ( 1,706) ( 546,275 Other changes in non-cash items - 189,261) ( 4,464) ( 415,875) ( December 31, 2021 - $ 10,397 $ - $ 415,200 $ Short-term borrowngs Lease liabilities Guarantee deposits received Other payables- relatedparties January 1, 2020 333,208 $ 339,183 $ 10 $ - $ Changes in cash flow from financing activities 73,560 85,443) ( 6,160 284,800 Other changes in non-cash items - 15,634 - - December 31, 2020 406,768 $ 269,374 $ 6,170 $ 284,800 $	Changes in liabilities from financing activities 2021 2020 Acquisition of equity interest of the subsidiaries 579,001 $ - $ Less: Current assets 4,545,593) ( - Less: Non-Current assets 2,135,595) ( - Add: Current liabilities 6,426,419 - Add: Non-current liabilities 786,029 - Split cash to the subsidiaries 1,110,261 $ - $ Years endedDecember31, Short-term borrowngs Leaseliabilities Guarantee deposits received Other payables- related parties January 1, 2021 406,768 $ 269,374 $ 6,170 $ 284,800 $ Changes in cash flow from financing activities 406,768) ( 69,716) ( 1,706) ( 546,275 Other changes in non-cash items - 189,261) ( 4,464) ( 415,875) ( December 31, 2021 - $ 10,397 $ - $ 415,200 $ Short-term borrowngs Lease liabilities Guarantee deposits received Other payables- relatedparties January 1, 2020 333,208 $ 339,183 $ 10 $ - $ Changes in cash flow from financing activities 73,560 85,443) ( 6,160 284,800 Other changes in non-cash items - 15,634 - - December 31, 2020 406,768 $ 269,374 $ 6,170 $ 284,800 $	Changes in liabilities from financing activities 2021 2020 Acquisition of equity interest of the subsidiaries 579,001 $ - $ Less: Current assets 4,545,593) ( - Less: Non-Current assets 2,135,595) ( - Add: Current liabilities 6,426,419 - Add: Non-current liabilities 786,029 - Split cash to the subsidiaries 1,110,261 $ - $ Years endedDecember31, Short-term borrowngs Leaseliabilities Guarantee deposits received Other payables- related parties January 1, 2021 406,768 $ 269,374 $ 6,170 $ 284,800 $ Changes in cash flow from financing activities 406,768) ( 69,716) ( 1,706) ( 546,275 Other changes in non-cash items - 189,261) ( 4,464) ( 415,875) ( December 31, 2021 - $ 10,397 $ - $ 415,200 $ Short-term borrowngs Lease liabilities Guarantee deposits received Other payables- relatedparties January 1, 2020 333,208 $ 339,183 $ 10 $ - $ Changes in cash flow from financing activities 73,560 85,443) ( 6,160 284,800 Other changes in non-cash items - 15,634 - - December 31, 2020 406,768 $ 269,374 $ 6,170 $ 284,800 $	Changes in liabilities from financing activities 2021 2020 Acquisition of equity interest of the subsidiaries 579,001 $ - $ Less: Current assets 4,545,593) ( - Less: Non-Current assets 2,135,595) ( - Add: Current liabilities 6,426,419 - Add: Non-current liabilities 786,029 - Split cash to the subsidiaries 1,110,261 $ - $ Years endedDecember31, Short-term borrowngs Leaseliabilities Guarantee deposits received Other payables- related parties January 1, 2021 406,768 $ 269,374 $ 6,170 $ 284,800 $ Changes in cash flow from financing activities 406,768) ( 69,716) ( 1,706) ( 546,275 Other changes in non-cash items - 189,261) ( 4,464) ( 415,875) ( December 31, 2021 - $ 10,397 $ - $ 415,200 $ Short-term borrowngs Lease liabilities Guarantee deposits received Other payables- relatedparties January 1, 2020 333,208 $ 339,183 $ 10 $ - $ Changes in cash flow from financing activities 73,560 85,443) ( 6,160 284,800 Other changes in non-cash items - 15,634 - - December 31, 2020 406,768 $ 269,374 $ 6,170 $ 284,800 $	Changes in liabilities from financing activities 2021 2020 Acquisition of equity interest of the subsidiaries 579,001 $ - $ Less: Current assets 4,545,593) ( - Less: Non-Current assets 2,135,595) ( - Add: Current liabilities 6,426,419 - Add: Non-current liabilities 786,029 - Split cash to the subsidiaries 1,110,261 $ - $ Years endedDecember31, Short-term borrowngs Leaseliabilities Guarantee deposits received Other payables- related parties January 1, 2021 406,768 $ 269,374 $ 6,170 $ 284,800 $ Changes in cash flow from financing activities 406,768) ( 69,716) ( 1,706) ( 546,275 Other changes in non-cash items - 189,261) ( 4,464) ( 415,875) ( December 31, 2021 - $ 10,397 $ - $ 415,200 $ Short-term borrowngs Lease liabilities Guarantee deposits received Other payables- relatedparties January 1, 2020 333,208 $ 339,183 $ 10 $ - $ Changes in cash flow from financing activities 73,560 85,443) ( 6,160 284,800 Other changes in non-cash items - 15,634 - - December 31, 2020 406,768 $ 269,374 $ 6,170 $ 284,800 $	Changes in liabilities from financing activities 2021 2020 Acquisition of equity interest of the subsidiaries 579,001 $ - $ Less: Current assets 4,545,593) ( - Less: Non-Current assets 2,135,595) ( - Add: Current liabilities 6,426,419 - Add: Non-current liabilities 786,029 - Split cash to the subsidiaries 1,110,261 $ - $ Years endedDecember31, Short-term borrowngs Leaseliabilities Guarantee deposits received Other payables- related parties January 1, 2021 406,768 $ 269,374 $ 6,170 $ 284,800 $ Changes in cash flow from financing activities 406,768) ( 69,716) ( 1,706) ( 546,275 Other changes in non-cash items - 189,261) ( 4,464) ( 415,875) ( December 31, 2021 - $ 10,397 $ - $ 415,200 $ Short-term borrowngs Lease liabilities Guarantee deposits received Other payables- relatedparties January 1, 2020 333,208 $ 339,183 $ 10 $ - $ Changes in cash flow from financing activities 73,560 85,443) ( 6,160 284,800 Other changes in non-cash items - 15,634 - - December 31, 2020 406,768 $ 269,374 $ 6,170 $ 284,800 $	Changes in liabilities from financing activities 2021 2020 Acquisition of equity interest of the subsidiaries 579,001 $ - $ Less: Current assets 4,545,593) ( - Less: Non-Current assets 2,135,595) ( - Add: Current liabilities 6,426,419 - Add: Non-current liabilities 786,029 - Split cash to the subsidiaries 1,110,261 $ - $ Years endedDecember31, Short-term borrowngs Leaseliabilities Guarantee deposits received Other payables- related parties January 1, 2021 406,768 $ 269,374 $ 6,170 $ 284,800 $ Changes in cash flow from financing activities 406,768) ( 69,716) ( 1,706) ( 546,275 Other changes in non-cash items - 189,261) ( 4,464) ( 415,875) ( December 31, 2021 - $ 10,397 $ - $ 415,200 $ Short-term borrowngs Lease liabilities Guarantee deposits received Other payables- relatedparties January 1, 2020 333,208 $ 339,183 $ 10 $ - $ Changes in cash flow from financing activities 73,560 85,443) ( 6,160 284,800 Other changes in non-cash items - 15,634 - - December 31, 2020 406,768 $ 269,374 $ 6,170 $ 284,800 $	Changes in liabilities from financing activities 2021 2020 Acquisition of equity interest of the subsidiaries 579,001 $ - $ Less: Current assets 4,545,593) ( - Less: Non-Current assets 2,135,595) ( - Add: Current liabilities 6,426,419 - Add: Non-current liabilities 786,029 - Split cash to the subsidiaries 1,110,261 $ - $ Years endedDecember31, Short-term borrowngs Leaseliabilities Guarantee deposits received Other payables- related parties January 1, 2021 406,768 $ 269,374 $ 6,170 $ 284,800 $ Changes in cash flow from financing activities 406,768) ( 69,716) ( 1,706) ( 546,275 Other changes in non-cash items - 189,261) ( 4,464) ( 415,875) ( December 31, 2021 - $ 10,397 $ - $ 415,200 $ Short-term borrowngs Lease liabilities Guarantee deposits received Other payables- relatedparties January 1, 2020 333,208 $ 339,183 $ 10 $ - $ Changes in cash flow from financing activities 73,560 85,443) ( 6,160 284,800 Other changes in non-cash items - 15,634 - - December 31, 2020 406,768 $ 269,374 $ 6,170 $ 284,800 $
January 1, 2021 Changes in cash flow from financing activities Other changes in non-cash items December 31, 2021 January 1, 2020 Changes in cash flow from financing activities Other changes in non-cash items December 31, 2020
			$
		$			10 $ 6,160 - 6,170 $		- $ 284,800 - 284,800 $
		$

(29) Changes in liabilities from financing activities

~60~

7. RELATED PARTY TRANSACTIONS

(1) Names of related parties and relationship

Names of related parties

Relationship with the Company

Getac Technology GmbH (GDE) Subsidiary Getac (UK) Ltd. (GUK) Subsidiary Getac Technology (Kunshan) Co., Ltd. Subsidiary Getac Inc. (GUSA) Subsidiary Getac Technology Corporation Subsidiary Integration Technology Ltd.(ITL) Subsidiary Fon Yang Logistic (Kunshan) Ltd. Subsidiary Getac (SuZhou) Mobile Ltd. Subsidiary Mitac Precision Technology (Kunshan) Co., Ltd. Subsidiary SuZhou Mitac Precision Technology Co., Ltd. Subsidiary ACE Continental Industries Ltd. (ACE) Subsidiary Getac Precision Technology (Changshu) Co., Ltd. Subsidiary Mitac Technology Kyoto Corporation (MTKC) Subsidiary Mitac Precision Developments Limited (MPD) Subsidiary MPT Solution(HK) (MPTHK) Subsidiary National Aerospace Fasteners Corporation Subsidiary Fong Guan Investments Ltd. Subsidiary Getac Precision Technology Vietnam Co., Ltd. Subsidiary MPT Solution (Vietnam) Company Limited (MPTV) Subsidiary Getac Video Solutions Inc. Subsidiary Atemitech Corporation Subsidiary Mitac International Corp. Entity having significant influence on the Company Mitac Computing Technology Corporation Subsidiary of the entity in the same group having significant influence on the Company Mitac Digital Technology Corporation Subsidiary of the entity in the same group having significant influence on the Company Mitac Computer (Kunshan) Ltd. Subsidiary of the entity in the same group having significant influence on the Company Mitac Technology(Kunshan)Co.,Ltd. Subsidiary of the entity in the same group having significant influence on the Company MiTAC Europe Ltd. Subsidiary of the entity in the same group having significant influence on the Company

~61~

Names of related parties Relationship with the Company Waffer Technology Corp. Associate Waffer Technology (Kunshan) Ltd. Subsidiary of associate Lien Hwa Property Development Corporation Substantive related party Synnex Technology International Corp. Substantive related party BestCom Infotech Corp. Substantive related party Mitac Information Technology Corp. Substantive related party Synnex Australia Pty Ltd. Substantive related party Synnex New Zealand Ltd. Substantive related party Mitac Communication Co., Ltd. Substantive related party Jian Foods Incorporation Substantive related party Harbinger VIII Venture Capital Corp. Substantive related party

(2) Significant related party transactions

• A. Operating revenue

nificant related party transactions Operating revenue itac Communication Co., Ltd. n Foods Incorporation arbinger VIII Venture Capital Corp.	Substantive related party Substantive related party Substantive related party	Substantive related party Substantive related party Substantive related party
Subsidiary-GUSA Subsidiary-GDE Subsidiaries Other related parties Entities having significant influence on the Company	Years ended December 31,
	2021 3,901,748 $ 460,265 1,252,962 109,132 24,146 5,748,253 $	2020
		5,084,843 $ 828,697 1,501,455 264,748 39,329
		7,719,072 $

• (a) The selling prices to related parties are determined based on the market price in the region of the related party.

• (b) The term of credit for domestic related party was 90 days after offsetting certain receivables and payables.

• (c) The term of credit for overseas related parties was 150 days after offsetting certain receivables and payables.

• (d) The term of credit for third party customers was approximately 90 days after delivery.

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B. Purchases

Purchases
Subsidiary-GTK Subsidiaries Other related parties Entities having significant influence on the Company	Years endedDecember31,
	2021 990,926 $ 357,648 178,631 - 1,527,205 $	2020
		2,413,459 $ 421,619 162,219 135
		2,997,432 $

• (a) The Company is commissioned by Getac Technology (Kunshan) Co., Ltd. to assemble and process electronic products and notebook-related semi-finished products; processing fees are calculated by cost plus method.

• (b) The prices on purchases from related parties are determined based on the market price in the region of the related party.

• (c) The term of payment for overseas and domestic related parties was 150 days and 90 days after offsetting certain receivables and payables, respectively.

• (d) The term of payment for third party suppliers was approximately 90 days after delivery.

• C. Receivables from related parties

• (a) Accounts receivable (sales) December 31,2021:None.

offsetting certain receivables and payables, respectively. The term of payment for third party suppliers was approximately 90 ceivables from related parties Accounts receivable (sales) December 31,2021:None.	days after delivery.
Subsidiaries Subsidiary-GVS Subsidiary-GUSA Subsidiary-GDE Entities having significant influence on the Company Other related parties	December31,2020 181,215 $ 108,033 97,892 64,092 8,734 4,914
	464,880 $

(b) Other receivables (collections and payments transfer)

Subsidiary-Fong Guan Investments Ltd. Subsidiary-ACE Subsidiary-MPD Subsidiary Others related parties Associates	December31,2021 9,244 $ - - 17,882 315 16 27,457 $	December31,2020
		9,137 $ 3,145 3,209 3,983 3,194 195
		22,863 $

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D. Accounts payable

(a) Accounts payable (purchases)

December 31, 2021: None.

counts payable Accounts payable (purchases) December 31, 2021: None.
		December 31, 2020
Subsidiary-GTK	$	2,333,872
Subsidiaries		172,020
Other related parties		45,553
	$	2,551,445

(b) Other payables (delivery service fee and other expenses)

Subsidiaries-GUSA Subsidiaries Associates Other related parties Entities having significant influence on the Company	December31,2021 December 31, 2020 - $ 111,087 $ 2,858 53,382 - 40,000 452 10,123 334 2,190 3,644 $ 216,782 $

E. Property transactions

(a) Acquisition of property, plant and equipment

For the year ended December 31, 2021:None.

	Year ended December31,2020	Year ended December31,2020
Associates-Waffer	$	1,030,000
Other related parties		10,433
Subsidiaries		1,099
	$	1,041,532

On April 15, 2020, the Board of Directors of the Company resolved to purchase land and plants from the associate, Waffer Technology Corp. in the amounts of $1,003,000 and $27,000, respectively.

(b) Disposal of property, plant and equipment:

Entities having significant influence on the Company-Mitac Computing Technology Corporation Subsidiaries	Year ended December 31,2021	Year ended December 31,2021
	Proceeds from disposal 100 $ 16 116 $	Gain on disposal
		100 $ -
		100 $

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(c) Acquisition of financial assets:

) Acquisition of financial assets:
No. ofshares Subsidiary-Getac Technology Corporation Capital increase in cash to subscribe for 49,000,000 shares Other related party- Harbinger VIII Venture Capital Corp. Capital increase in cash to subscribe for 3,750,000 shares No. ofshares Subsidiary-Getac Technology Corporation Capital increase in cash to subscribe for 40,000,000 shares	Year ended December31,2021
	Consideration 735,000 $ 37,500
	772,500 $
	Year ended December 31, 2020
	Consideration
	400,000 $

F. Leasing arrangements – lessee

• (a) The Company leases buildings from Mitac International Corp. and Lien Hwa. Rental contracts are typically made for periods of 2 to 7 years. Rents are paid at the end of month.

(b) Acquisition of right-of-use assets

The Company acquired right-of-use assets amounting to $488 and $25,033 from Lien Hwa

Property Development Corporation for the years ended December 31, 2021 and 2020, respectively.

(c) Lease liabilities

i. Ending balance

pectively. ase liabilities nding balance
Other related party-Lien Hwa Property Development Corporation Entity having significant influence on the Company- Mitac International Corp.	December31,2021 10,937 $ - 10,937 $	December 31, 2020
		182,738 $ 26,293
		209,031 $

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ii. Interest expense

Interest expense
		Years ended	December31,
		2021		2020
Other related party-Lien Hwa Property
Development Corporation	$	808	$	2,395
Entities having significant influence
on the Company		186		368
	$	994	$	2,763

G. Loans from related parties: (a) Loans receivable: (i) Outstanding balance: (Shown as other receivables) (ii) Interest income (b) Loans payable: (i) Outstanding balance: (Shown as other payables) (ii) Interest expense December 31, 2021 December31,2020 Subsidiary-Fong Guan Investments Ltd. 400,000 $ - $ 2021 2020 Subsidiary-Fong Guan Investments Ltd. 107 $ - $ Years ended December 31, December31,2021 December31,2020 Subsidiary-HLT 415,200 $ - $ Subsidiary-GUSA - 284,800 415,200 $ 284,800 $ 2021 2020 Subsidiary-GUSA 5,763 $ - $ Years ended December31,	G. Loans from related parties: (a) Loans receivable: (i) Outstanding balance: (Shown as other receivables) (ii) Interest income (b) Loans payable: (i) Outstanding balance: (Shown as other payables) (ii) Interest expense December 31, 2021 December31,2020 Subsidiary-Fong Guan Investments Ltd. 400,000 $ - $ 2021 2020 Subsidiary-Fong Guan Investments Ltd. 107 $ - $ Years ended December 31, December31,2021 December31,2020 Subsidiary-HLT 415,200 $ - $ Subsidiary-GUSA - 284,800 415,200 $ 284,800 $ 2021 2020 Subsidiary-GUSA 5,763 $ - $ Years ended December31,	G. Loans from related parties: (a) Loans receivable: (i) Outstanding balance: (Shown as other receivables) (ii) Interest income (b) Loans payable: (i) Outstanding balance: (Shown as other payables) (ii) Interest expense December 31, 2021 December31,2020 Subsidiary-Fong Guan Investments Ltd. 400,000 $ - $ 2021 2020 Subsidiary-Fong Guan Investments Ltd. 107 $ - $ Years ended December 31, December31,2021 December31,2020 Subsidiary-HLT 415,200 $ - $ Subsidiary-GUSA - 284,800 415,200 $ 284,800 $ 2021 2020 Subsidiary-GUSA 5,763 $ - $ Years ended December31,	G. Loans from related parties: (a) Loans receivable: (i) Outstanding balance: (Shown as other receivables) (ii) Interest income (b) Loans payable: (i) Outstanding balance: (Shown as other payables) (ii) Interest expense December 31, 2021 December31,2020 Subsidiary-Fong Guan Investments Ltd. 400,000 $ - $ 2021 2020 Subsidiary-Fong Guan Investments Ltd. 107 $ - $ Years ended December 31, December31,2021 December31,2020 Subsidiary-HLT 415,200 $ - $ Subsidiary-GUSA - 284,800 415,200 $ 284,800 $ 2021 2020 Subsidiary-GUSA 5,763 $ - $ Years ended December31,	December31,2020	December31,2020	December31,2020
		2021
					- $ December31,2020
			415,200 $ - 415,200 $ Years ended	- $ 284,800 284,800 $ 2020 - $ December31,
			2021
			5,763 $			- $

The loans from subsidiary carry interest at 2.5% per annum.

H. Provision of endorsements and guarantees

Provision of endorsements and guarantees
Subsidiaries	December31,2021 410,512 $	December31,2020
		457,032 $

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I. Others

Transaction item Subsidiary-GUSA Warranty costs and other expenses Subsidiary-GDE Warranty costs and other expenses Subsidiary-GTK Delivery service fee and other expenses Subsidiary-GUK Warranty costs and other expenses Subsidiaries Warranty costs and other expenses Other related parties Other expenses, research and development expense Entities having significant influence on the Company Other expenses Associates Other expenses, research and development expense

2021 2020 150,842 $ 187,386 $ 63,976 104,582 50,191 53,578 74,022 46,728 26,966 24,555 21,208 26,430 9,096 11,944 278 238 396,579 $ 455,441 $ Years ended December31,

J. The spin-off and transfer transaction.

To improve the group's long-term competitiveness and management effectiveness, the Company intended to operate performance and implement business entity independent development policy. The Company split and transferred related operations (including assets, liabilities and operating) of the Company’s Rugged Solutions Business Group and Mechatronic & Energy Solutions Business Group to the Company’s wholly-owned subsidiaries, Getac Technology Corporation (formerly Getac Corporation) and Atemitech Corporation (formerly Mitac Precision Technology Corporation). Also, the company will issue new shares to the Company as consideration. The operating value of the Rugged Solutions Business Group and Mechatronic & Energy Solutions Business Group were NT$500,010 and NT$78,991, respectively.

The 33,334 thousand shares newly issued were in exchange for NT$15 per share of Getac Technology Corporation and 7,181 thousand shares newly issued were in exchange for NT$ 11 per share of Atemitech Corporation, respectively.

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The details of the assets and book values split and transferred by the Company are as follows:

	GetacTechnology Corporation	GetacTechnology Corporation			AtemitechCorporation
Assets:
Cash	$	932,179		$	178,082
Other current assets		3,319,555			1,226,038
Property, plant and equipment		1,165,091			41,203
Other non-current assets		865,668			63,633
Liabilities:
Current liabilities	(	5,026,245)	(		1,400,174)
Non-current liabilities	(	756,238)	(		29,791)
The net book value split and transferred	$	500,010		$	78,991

(3) Key management compensation

management compensation he net book value split and transferred $		500,010 78, $	500,010 78, $	500,010 78, $
Salaries and other short-term employee benefits Termination benefits Total		2021 2020 78,166 $ 87,907 $ 370 404 78,536 $ 88,311 $ Years ended December31,
		2021
		78,166 $ 370 78,536 $		87,907 $ 404 88,311 $

8. PLEDGED ASSETS

None.

9. SIGNIFICANT CONTINGENT LIABILITIES AND UNRECOGNISED CONTRACT

COMMITMENTS

On June 5, 2019, Panasonic Corporation sued Getac Technology Corporation and Getac Inc. (Collectively, “Getac”) in the United States District Court for the Central District of California, accusing Getac’s K120 product of infringing Panasonic’s four U.S. Design Patents; Panasonic Corporation has amended the claim on October 23, 2019 and dropped its infringement allegation involving one of the patents but added UX10 rugged tablet as an infringing product on March 24, 2020. We have engaged King & Spalding LLP to handle the case in behalf of Getac.

10. SIGNIFICANT DISASTER LOSS.

None.

11. SIGNIFICANT EVENTS AFTER THE BALANCE SHEET DATE

None.

12. OTHERS

(1) Capital management

The Company’s objectives when managing capital are to safeguard the Company’s ability to continue as a going concern and to maintain an optimal capital structure to reduce the cost of capital, and to provide returns to the shareholders. In order to maintain a healthy capital structure, the Company considers future operating capital needs, capital expenditures and dividend expenditures through financial analysis, monitoring the Company’s capital structure in order to fulfill capital management objectives.

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(2) Financial instruments

A. Financial instruments by category

nancial instruments Financial instruments by category
Financial assets Financial assets at fair value through profit or loss Financial assets mandatorily measured at fair value through profit or loss Financial assets at fair value through other comprehensive income Financial assets at amortised cost/loans and receivables Cash and cash equivalents Notes receivable Accounts receivable Other receivables Guarantee deposits paid Other financial assets - non-current Financial liabilities Financial liabilities at fair value through profit or loss Financial liabilities held for trading Financial liabilities at amortised cost Short-term borrowings Accounts payable Other payables Refund liability Guarantee deposits received Lease liabilities	December31,2021 - $ 713,863 174,909 - - 67,592 3,440 - 959,804 $ 1,454 $ - - 529,132 - - 530,586 $ 10,397 $	December31,2020 7,426 $ 610,661 2,185,479 11,585 1,211,225 23,452 17,980 737,586 4,805,394 $ 6,103 $ 406,768 3,505,365 1,630,327 58,275 6,170 5,613,008 $ 269,374 $	December31,2020
			7,426 $ 610,661 2,185,479 11,585 1,211,225 23,452 17,980 737,586
			4,805,394 $

B. Financial risk management policies

(a) The Company’s activities expose it to a variety of financial risks: market risk (including foreign exchange risk, interest rate risk and price risk), credit risk and liquidity risk. The Company’s overall risk management programme focuses on the unpredictability of financial markets and seeks to minimize potential adverse effects on the Company’s financial position and financial performance.

• (b) Information about derivative financial instruments that are used to hedge certain exchange rate risk are provided in Notes 6(2) and (11).

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• C. Significant financial risks and degrees of financial risks

• (a)Market risk

Foreign exchange risk

• i. The Group operates internationally and is exposed to foreign exchange risk arising from the transactions of the Company and its subsidiaries used in various functional currency, primarily with respect to the USD and RMB. Foreign exchange risk arises from future commercial transactions and recognised assets and liabilities.

• ii. Management has set up a policy to require group companies to manage their foreign exchange risk against their functional currency. The companies are required to hedge their entire foreign exchange risk exposure with the Group treasury. Exchange rate risk is measured through a forecast of highly probable USD and RMB expenditures. Forward foreign exchange contracts are adopted to minimise the volatility of the exchange rate affecting cost of forecast inventory purchases.

• iii. The Company’s businesses involve some non-functional currency operations (the Company’s functional currency: NTD). The information on assets and liabilities denominated in foreign currencies whose values would be materially affected by the exchange rate fluctuations is as follows:

(Foreign currency: functional currency) Financial assets Monetary items USD:NTD Financial liabilities Monetary items USD:NTD		Foreign currency amount (Inthousands) Exchangerate Book value (NTD) 3,304 $ 27.68 91,455 $ 15,035 27.68 416,169 December31,2021	Foreign currency amount (Inthousands) Exchangerate Book value (NTD) 3,304 $ 27.68 91,455 $ 15,035 27.68 416,169 December31,2021	Foreign currency amount (Inthousands) Exchangerate Book value (NTD) 3,304 $ 27.68 91,455 $ 15,035 27.68 416,169 December31,2021
		Foreign currency amount (Inthousands)	Exchangerate
		3,304 $ 15,035	27.68 27.68	91,455 $ 416,169

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		December31,2020	December31,2020
	Foreign currency
		amount			Book value
		(Inthousands) Exchange rate			(NTD)
(Foreign currency: functional
currency)
Financial assets
Monetary items
USD:NTD	$	75,372	28.480	$	2,146,595
Financial liabilities
Monetary items
USD:NTD		71,564	28.480		2,038,143

• iv. Total exchange loss, including realized and unrealised arising from significant foreign exchange variation on the monetary items held by the Company for the years ended December 31, 2021 and 2020 amounted to $24,179 and $25,536, respectively.

• v. Analysis of foreign currency market risk arising from significant foreign exchange variation:

variation:
(Foreign currency: functional currency) Financial assets Monetary items USD:NTD Financial liabilities Monetary items USD:NTD	Year ended December 31,2021
		Sensitivityanalysis
	Degree of variation	Effect on profit or loss	Effect on other comprehensive income
	1% 1%	915 $ 4,162	- $ -

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Year ended December 31, 2020

		Sensitivityanalysis	Sensitivityanalysis
				Effect on other
	Degree of	Effect on profit			comprehensive
	variation		or loss		income
(Foreign currency: functional
currency)
Financial assets
Monetary items
USD:NTD	1%	$	21,466	$	-
Financial liabilities
Monetary items
USD:NTD	1%		20,381		-

Price risk

• i. The Company’s equity securities, which are exposed to price risk, are the held financial assets at fair value through other comprehensive income. To manage its price risk arising from investments in equity securities, the Company diversifies its portfolio.

• ii. The Company’s investments in equity securities comprise domestic and foreign stocks. The prices of equity securities would change due to the change of the future value of investee companies. If the prices of these equity securities had increased/decreased by 1% with all other variables held constant, other components of equity for the years ended December 31, 2021 and 2020 would have increased/decreased by $7,139 and $6,107, respectively, as a result of other comprehensive income classified as equity investment.

Cash flow and fair value interest rate risk

• i. The Company’s main interest rate risk arises from short-term borrowings. Short-term borrowings issued at variable rates expose the Company to cash flow interest rate risk. During the year ended December 31, 2020, the Company’s borrowings at variable rate were denominated in the NTD and USD.

• ii. The Company’s borrowings are measured at amortized cost. The borrowings are periodically contractually repriced and to that extent are also exposed to the risk of future changes in market interest rates.

• iii. If annual interest rates on denominated borrowings had been 0.25% higher/lower with all other variables held constant, post-tax profit for the year ended December 31,2020 would have increased/decreased by $1,017. The main factor is that changes in interest expense result from floating rate borrowings.

• (b) Credit risk

• i. Credit risk refers to the risk of financial loss to the Company arising from default by the clients or counterparties of financial instruments on the contract obligations. Credit risk arises from cash and cash equivalents, derivative financial instruments and deposits with

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banks and financial institutions, as well as credit exposures to customers, including outstanding accounts and notes receivable.

• ii. According to the Company’s credit policy, each operating entity manages individual customer and analyse its credit risk, in particular evaluation of factors undermine the customers’ repayment such as the customers’ financial status and historical transactions as well as monitoring the usage of credit facilities on a regular basis. For banks and financial institutions, only well-rated parties are accepted.

• iii. The Company classifies customers’ accounts receivable in accordance with customer types. The Company applies the simplified approach using loss rate methodology to estimate expected credit loss.

• iv. The Company adopts the assumption under IFRS 9, that is, the default occurs when the contract payments are past due over 90 days.

• v. The Company adopts the assumption under IFRS 9, that is, if the contract payments were past due over 60 days based on the terms, there has been a significant increase in credit risk on that instrument since initial recognition.

• vi. The following indicators are used to determine whether the credit impairment of debt instruments has occurred:

• (i) It becomes probable that the issuer will enter bankruptcy or other financial reorganization due to their financial difficulties;

• (ii) The disappearance of an active market for that financial asset because of financial difficulties;

• (iii) Default or delinquency in interest or principal repayments;

• (iv) Adverse changes in national or regional economic conditions that are expected to cause a default.

• vii. The Company wrote-off the financial assets, which cannot be reasonably expected to be recovered, after initiating recourse procedures. However, the Company will continue executing the recourse procedures to secure their rights. On December 31, 2021 and 2020, the Company’s written-off financial assets that are still under recourse procedures both amounted to $0.

• viii. The Company used the forecastability to adjust historical and timely information to assess the default possibility of accounts receivable. On December 31, 2021 and 2020, the loss rate methodology is as follows:

• December 31,2021:None.

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December 31, 2020 Expected loss rate Total book value Loss allowance	Not past due 0%~0.03% 1,117,315 $ 222 $	1~90 days past due 91~180 days past due Over 180 days past due 0%~0.03% 0% 0% 94,068 $ 74 $ 2 $ 12 $ - $ - $	Total
			1,211,459 $ 234 $

ix. Movements in relation to the Company applying the simplified approach to provide loss allowance for accounts receivable are as follows:

			2021		2020
			Accounts receivable		Accountsreceivable
At January 1		$	234	$	1,850
Provision for (reversal of) expected
credit loss			51	(	1,616)
Other effect of splits	(		285)		-
December 31		$	-	$	234

(c) Liquidity risk

i.Cash flow forecasting is performed in the operating entities of the Company and aggregated by Company treasury. Company treasury monitors rolling forecasts of the Company’s liquidity requirements.

ii.The table below analyses the Company’s non-derivative financial liabilities and net-settled or gross-settled derivative financial liabilities into relevant maturity groupings based on the remaining period at the balance sheet date to the contractual maturity date for non-derivative financial liabilities and to the expected maturity date for derivative financial liabilities. The amounts disclosed in the table are the contractual undiscounted cash flows.

Non-derivative financial liabilities:

Non-derivative financial liabilities:
December31,2021 Less than 1 year Other payables 529,132 $ Lease liability 5,186	Between 1 and 2years	Between 2 and 5 years Over 5 years - $ - $ 974 -
	- $ 5,186

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==> picture [434 x 273] intentionally omitted <==

----- Start of picture text -----

Less than 1 Between 1 and Between 2 and
December 31, 2020 year 2 years 5 years Over 5 years
Short-term borrowings $ 406,768 $ - $ - $ -
- - -
Accounts payable 3,505,365
- - -
Other payables 1,630,327
Refund liabilities 58,275
Other financial liabilities 6,160 - - 10
-
Lease liability 95,621 90,026 108,725
Derivative financial liabilities:
Less than 1 Between 1 and Between 2 and
December 31, 2021 year 2 years 5 years Over 5 years
Forward exchange contracts $ 1,454 $ - $ - $ -
Less than 1 Between 1 and Between 2 and
December 31, 2020 year 2 years 5 years Over 5 years
Forward exchange contracts $ 6,103 $ - $ - $ -
----- End of picture text -----

• iii. The Company does not expect the timing of occurrence of the cash flows estimated through the maturity date analysis will be significantly earlier, nor expect the actual cash flow amount will be significantly different.

(3) Fair value estimation

• A.The different levels that the inputs to valuation techniques are used to measure fair value of financial and non-financial instruments have been defined as follows:

• Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date. A market is regarded as active where a market in which transactions for the asset or liability take place with sufficient frequency and volume to provide pricing information on an ongoing basis. The fair value of the Company’s investment in listed stocks, beneficiary certificates, on-the-run Taiwan central government bonds and derivative instruments with quoted market prices is included in Level 1.

• Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. The fair value of the Company’s investment in unlisted stocks and derivative instruments is included in Level.

• Level 3: Unobservable inputs for the asset or liability.

• B.The carrying amounts of cash and cash equivalents, notes receivable, accounts receivable, other receivables, guarantee deposits paid, notes payable, accounts payable, other payables and guarantee deposits received are approximate to their fair values.

• C.The related information of financial and non-financial instruments measured at fair value by level

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on the basis of the nature, characteristics and risks of the assets and liabilities at December 31, 2021 and 2020 is as follows:

021 and 2020 is as follows:
December31,2021 Financial assets: Financial assets at fair value through other comprehensive income Equity securities Financial liabilities: Financial liabilities at fair value through profit or loss Forward exchange contracts December31,2020 Financial assets: Financial assets at fair value through other comprehensive income Equity securities Financial liabilities: Financial liabilities at fair value through profit or loss Forward exchange contracts	Level 1 362,560 $ - $ Level 1 303,850 $ - $	Level 2 Level3 - $ 351,303 $ 1,454 $ - $ Level 2 Level3 - $ 306,811 $ 6,103 $ - $	Total 713,863 $ 1,454 $ Total 610,661 $ 6,103 $
				610,661 $
				6,103 $

• D.The methods and assumptions the Company used to measure fair value are as follows:

• (a) The instruments the Company used market quoted prices as their fair values (that is, Level 1) are listed shares, used closing price as market quoted price.

• (b) Except for financial instruments with active markets, the fair value of other financial instruments is measured by using valuation techniques or by reference to counterparty quotes.

• (c) When assessing non-standard and low-complexity financial instruments, for example, debt instruments without active market, interest rate swap contracts, foreign exchange swap contracts and options, the Company adopts valuation technique that is widely used by market participants. The inputs used in the valuation method to measure these financial instruments are normally observable in the market.

• E.For the years ended December 31, 2021 and 2020, there was no transfer between Level 1 and Level 2.

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F.The following chart is the movement of Level 3 for the years ended December 31, 2021 and 2020:

Equity securities 2021 January 1 306,811 $ Acquired in the year 55,439 Settled in the year 21,932) ( Gains recognized in other comprehensive income 10,985 December 31 351,303 $	Equity securities
	2020
	254,147 $ 17,087 - 35,577
	306,811 $

• G.Investment segment is in charge of valuation procedures for fair value measurements being categorized within Level 3, which is to verify independent fair value of financial instruments. Such assessment is to ensure the valuation results are reasonable by applying independent information to make results close to current market conditions and making any other necessary adjustments to the fair value.

• H.The following is the qualitative information of significant unobservable inputs and sensitivity analysis of changes in significant unobservable inputs to valuation model used in Level 3 fair value measurement:

alue measurement:
Non-derivative equity instrument: Unlisted shares Non-derivative equity instrument: Unlisted shares	Fair value at December 31, 2021 351,303 $ Fair value at December 31, 2020	Valuation technique Net asset value Valuation technique	Significant unobservable input Net asset value Significant unobservable input	Range (weighted average) - Range (weighted average)	Relationship of inputs to fair value The higher the net asset value, the higher the fair value Relationship of inputs to fair value The higher the net asset value, the higher the fair value
	306,811 $	Net asset value	Net asset value	-

• (4) Impact of the COVID 19 for the first half of 2021 on the operation of the Company

Amid the effects of the COVID-19 pandemic, the Company and subsidiaries aimed to adjust the operations to mitigate such impact. As a result, the operating income had a slight growth for the year ended December 31, 2020. Currently, the case number of COVID-19 continues to increase globally and the conflict between America and China is worsening. Both these events may have an impact

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on the market, such that acceptable orders are difficult to forecast. The actual impact to the Company and subsidiaries cannot be reasonably estimated as it will be dependent on the subsequent control of the COVID-19 pandemic.

13. SUPPLEMENTARY DISCLOSURES

• (1) Significant transactions information

• A. Loans to others: Please refer to table 1.

• B. Provision of endorsements and guarantees to others: Please refer to table 2.

• C. Holding of marketable securities at the end of the period (not including subsidiaries, associates and joint ventures): Please refer to table 3.

• D. Acquisition or sale of the same security with the accumulated cost exceeding $300 million or 20% of the Company’s paid-in capital: Please refer to table 4.

• E. Acquisition of real estate reaching $300 million or 20% of paid-in capital or more: None.

• F. Disposal of real estate reaching $300 million or 20% of paid-in capital or more: None.

• G. Purchases or sales of goods from or to related parties reaching $100 million or 20% of paid-in capital or more: Please refer to table 5.

• H. Receivables from related parties reaching $100 million or 20% of paid-in capital or more: Please refer to table 6.

• I. Trading in derivative instruments undertaken during the reporting periods: Please refer to Notes 6(2) and 6(11).

• J. Significant inter-company transactions during the reporting periods: Please refer to table 7.

• (2) Information on investees

Names, locations and other information of investee companies (not including investees in Mainland China): Please refer to table 8.

• (3) Information on investments in Mainland China

• A. Basic information: Please refer to table 9.

• B. Major transactions with the investee in Mainland China: Please refer to tables 5 and 9.

(4) Major shareholders information

Major shareholders information: Please refer to table 10.

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GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) STATEMENT OF CASH AND CASH EQUIVALENTS DECEMBER 31, 2021

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

statement 1

statement 1
Item	Description		Amount
Cash: Cash in banks Checking accounts deposits －TWD Demand deposits －TWD －USD －GBP －JPY －CNY －EUR －INR －RUB	USD 2,899,067.11 at exchange rate of 27.68 GBP 983.06 at exchange rate of 37.3 JPY 26,458 at exchange rate of 0.2405 CNY 34,775.53 at exchange rate of 4.3415 EUR 3,092.48 at exchange rate of 31.32 INR 183,630.61 at exchange rate of 0.3712 RUB 1,123,414.04 at exchange rate of 0.3759		5,358 $ 88,524 80,246 37 6 151 97 68 422 174,909 $

statement 1,Page1

GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) STATEMENT OF FINANCIAL ASSETS MEASURED AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME - NON-CURRENT DECEMBER 31, 2021

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

statement 2

statement 2
Name of Financial Instrument	OpeningBalance		- - $ 58,710 $ 1,661,972) ( 16,620) ( 16,559) ( 3,750,000 37,500 1,081) ( 531,209) ( 5,312) ( 4,201 - 17,939 24,424 - - - 33,507 $ 69,695 $ Number of shares Amount Additions (deductions) duringtheyear Valuation adjustment for theyear	Endingbalance			Amount	Collateral
	10,299,987 10,000,000 7,500,000 3,745,020 - 1 Number of shares	Amount		Number of shares	Ownership %
Mitac Holdings Corp. Harbinger VII Venture Capital Corp. Harbinger VIII Venture Capital Corp. Harbinger VI Venture Capital Corp. JVP VIII, L.P. Hsin Chu Golf Country		303,850 $ 143,059 73,936 47,438 39,978 2,400 610,661 $		10,299,987 8,338,028 11,250,000 3,213,811 - 1	0.85% 9.39% 11.57% 13.28% 1.16% 0.12%		362,560 $ 109,880 110,355 46,327 82,341 2,400 713,863 $	None None None None None None

statement 2,Page1

GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) STATEMENT OF CHANGES IN INVESTMENTS ACCOUNTED FOR USING THE EQUITY METHOD FOR THE YEAR ENDED DECEMBER 31, 2021

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

statement 3

statement 3
Name	OpeningBalance		Addition (deduction) during theyear(note)		Profit (loss) on investments	EndingBalance			Market value or net equity		Collateral	Note
	Shares	Amount	Number of Shares	Amount (deduction) during the year (note)		Number of Shares	Ownership %	Amount	Unitprice	Totalprice
Shown as Investments accounted for using equity method: Advanced Medical Design Co., Ltd. Lian Jie Investment Co., Ltd. Lian Jie Investment Co., Ltd. II Waffer Technology Corp. Fong Guan Investments Ltd. Getac Technology Corporation Hot Link Technology Ltd. WHP Workflow Solutions, Inc. Atemitech Corporation National Aerospace Fasteners Corporation Pacific Royale Ltd.	2,185,000 11,305,650 4,875,000 40,522,289 20,050,000 41,100,000 110,776,211 314,600 10,000 20,578,174 54,220,869	55,592 $ 168,252 64,317 459,662 134,082 257,217 9,369,872 478,140 6 772,831 3,189,521 14,949,492 $	- - - - - 82,334,000 - 314,600) ( 7,181,000 - 17,000,000) (	562) ($ 80,658 4,281) ( 24,922) ( 363) ( 1,248,042 598,949) ( 472,683) ( 79,800 10,619) ( 454,862) ( 158,741) ($	9,892 $ 887) ( 202) ( 41,579 19,549 279,055 3,429,817 5,457) ( 93,504 37,811) ( 116,701 3,945,740 $	2,185,000 11,305,650 4,875,000 40,522,289 20,050,000 123,434,000 110,776,211 - 7,191,000 20,578,174 37,220,869	48.56% 49.98% 48.75% 23.44% 100.00% 100.00% 100.00% 0.00% 100.00% 39.09% 100.00%	64,922 $ 248,023 59,834 476,319 153,268 1,784,314 12,200,740 - 173,310 724,401 2,851,360 18,736,491 $	29.71 $ 21.94 12.27 11.75 7.64 14.46 110.14 - 24.10 35.20 76.61	64,922 $ 248,023 59,834 1,572,266 153,268 1,784,314 12,200,740 - 173,310 1,068,007 2,851,360 20,176,044 $	none " " " " " " " " " "

Note:

The changes during the period included cash dividends, cumulative translation adjustment, unrealised gains (losses) on valuation, actuarial gains and losses on defined benefit plans, realised gross profit from sales, acquisition of investments accounted for under equity method, change in associates,joint ventures accounted for under the equity method,influence of transfer investment accounted for under the equity method to subsidiary and return of stock payment for investment under the equity method.

statement 3,Page1

GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) STATEMENT OF OPERATING REVENUE FOR THE YEAR ENDED DECEMBER 31, 2021

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

statement 4

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----- Start of picture text -----

Item Quantity Amount Note
Laptop computer 110,099 sets $ 8,321,715
Others 1,088,340
9,410,055
Less: Sales returns 95 sets ( 8,446)
Sales discounts, and allowances ( 64,481)
Total $ 9,337,128
Investment income or loss accounted
for under the equity method after
transformation (from October 1,2021
to December 31,2021) 713,547
$ 10,050,675
----- End of picture text -----

statement 4,Page1

GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) STATEMENT OF OPERATING COSTS FOR THE YEAR ENDED DECEMBER 31, 2021

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

statement 5

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----- Start of picture text -----

Item Summary Amount
Raw materials at beginning of year $ 2,050,949
Add: Material purchased during the year 6,329,214
Less:Used by segments ( 23,837)
Inventory Obsolescence ( 17,643)
Cost of materials sold ( 646,554)
Split and transfer the subsidiaries' raw materials ( 3,177,038)
Consumption of raw materials for the year 4,515,091
Manufacturing fee 641,030
Manufacturing cost 5,156,121
Finished goods at beginning of year 584,574
Less:Inventory Obsolescence ( 50)
Used by segments ( 13,336)
Split and transfer the subsidiaries' finished goods ( 708,730)
Total cost of sales 5,018,579
Loss on decline in market price and
obsolete slow-moving inventories 44,491
Other operating costs 1,233,493
Total operating cost $ 6,296,563
----- End of picture text -----

statement 5,Page1

GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) STATEMENT OF SELLING EXPENSES FOR THE YEAR ENDED DECEMBER 31, 2021

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

statement 6
Item	Description	Amount	Note
Advertisement expense	$	82,231
Wages and salaries		143,802
Freight		170,476
			The balance of each
			expense account has
			not exceeded 5% of
Other expenses		203,467	the selling expenses.
	$	599,976

statement 6,Page1

GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) STATEMENT OF ADMINISTRATIVE EXPENSES FOR THE YEAR ENDED DECEMBER 31, 2021

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

statement 7
Item	Description	Amount	Note
Wages and salaries	$	245,199
Depreciation and depletion		34,928
expense
			The balance of each
			expense account has
			not exceeded 5% of
			the administrative
Other expenses		363,537	expenses.
	$	643,664

statement 7,Page1

GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) STATEMENT OF RESEARCH AND DEVELOPMENT EXPENSES FOR THE YEAR ENDED DECEMBER 31, 2021 (EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

statement 8

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----- Start of picture text -----

Item Description Amount Note
Wages and salaries $ 376,537
Contracted research expense 182,001
Depreciation and depletion 49,955
expense
The balance of each
expense account has
not exceeded 5% of
the research and
Other expenses 64,680 development expenses.
$ 673,173
----- End of picture text -----

statement 8,Page1

GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.) SUMMARY STATEMENT OF CURRENT PERIOD EMPLOYEE BENEFITS, DEPRECIATION AND AMORTIZATION EXPENSES BY FUNCTION FOR THE YEAR ENDED DECEMBER 31, 2021

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

statement 9

statement 9
By nature By function	2021			2020
	Classified as operating costs	Classified as operating expenses	Total	Classified as operating costs	Classified as operating expenses	Total
Employee benefit expense
Wages and salaries	$ 27,024	$ 769,792	$ 796,816	$ 32,891	$ 1,129,895	$ 1,162,786
Labor and health insurance fees	2,594	50,240	52,834	2,652	57,714	60,366
Pension costs	1,268	12,110) (	10,842) (	1,347	38,736	40,083
Directors'remuneration	206	7,856	8,062	172	5,996	6,168
Other personnel expenses	2,427	26,398	28,825	2,776	33,978	36,754
Depreciation	62,079	99,184	161,263	75,960	114,070	190,030
Amortisation	-	5,966	5,966	-	7,608	7,608

Note:

1. As at December 31, 2021 and 2020, the Company had 512 and 629 employees, including 7 and 7 non-employee directors, respectively.

2. 2.A company whose stock is listed for trading on the stock exchange shall additionally disclose the following

information :

• (1) Average employee benefit expense in current year was $1,718 (in thousand dollars).

Average employee benefit expense in previous year was $2,090 (in thousand dollars).

• (2) Average employees wages and salaries in current year was $1,578 (A) (in thousand dollars).

Average employees wages and salaries in previous year was $1,869 (B) (in thousand dollars).

• (3) Adjustments of average employees wages and salaries was (15.6%) 〔(A-B)/B〕.

• (4) There was no supervisors’ remuneration for both the current and prior years.

statement 9,Page1

GETAC HOLDINGS CORP.(FORMERLY GETAC TECHNOLOGY CORP.)

SUMMARY STATEMENT OF CURRENT PERIOD EMPLOYEE BENEFITS, DEPRECIATION AND AMORTIZATION EXPENSES BY FUNCTION (Cont.)

FOR THE YEAR ENDED DECEMBER 31, 2021

(EXPRESSED IN THOUSANDS OF NEW TAIWAN DOLLARS)

statement 9

• (5) The Company’s remuneration was as follows:

A. Directors:

According to Article 23 of the Company’s Articles of Incorporation, the profit (pre-tax profit before deduction of employees’ compensation

and directors’ remuneration) of the current year shall be distributed no higher than 1% as directors’ remuneration, which will be resolved by the Board of Directors. If the Company has an accumulated deficit, earnings should be reserved to cover losses.

B. Managers and employees:

Fixed salary (monthly): Referring to the salary standard in the same industry and the position and responsibility of internal managers and employees to reach the adequate external competitiveness and internal balance.

Short-term bonus (award): Including performance bonus and profit sharing. Considering the management performance of the Company and group and individual performance to assess, making short-term bonus have a strong link with performance.

Long-term bonus (employees’ stock option and treasury stock): Considering the department performance and individual performance

to assess, except to retain key talent, as well as to link with future risk and promote long-term development and benefit of the Company. Welfare:Providing convenience and protection to managers and employees.

statement 9,Page2

Getac Holdings Corp. and Subsidiaries

Table 1

Loans to others Year ended December 31, 2021

Expressed in thousands of NTD (Except as otherwise indicated)

No. (Note 1)	Creditor	Borrower	General ledger account	Is a related party	Maximum outstanding balance during the year ended December 31, 2021	Balance at December 31, 2021 （Note 4）	Actual amount drawn down	Interest rate	Nature of loan （Note 2）	Amount of transactions with the borrower	Reason for short-term financing	Allowance for doubtful accounts	Collateral	Collateral	Limit on loans granted to a single party （Note 3）	Ceiling on total loans granted （Note 3）
													Item	Value
0 1 1 2 2 2 2 2 2 2 2 3 4 4 5 5	Getac Holdings Corporation Pacific Royale Ltd. Pacific Royale Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Pacific Metal Developments Ltd. ACE Continental Industries Ltd. ACE Continental Industries Ltd. Mitac Precision Developments Ltd. Mitac Precision Developments Ltd.	Fong Guan Investments Ltd. Mitac Precision Developments Ltd. Fong Guan Investments Ltd. Mitac Precision Developments Ltd. MPT Solution (HK) Limited Getac Precision Technologies (Hong Kong) Ltd. Getac Technology Corp. Atemitech Corporation Getac Precision Technology Vietnam Co., Ltd. Getac Technology (Kunshan) Co., Ltd. Getac Holdings Corporation Mitac Precision Developments Ltd. Hot Link Technology Ltd. Pacific Royale Ltd. Getac Precision Technology Vietnam Co., Ltd. MPT Solution (Vietnam) Company Limited	Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable	Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y Y	40,000 $ 369,528 3,000 1,275,988 1,398,000 279,600 553,600 692,000 556,000 838,800 1,118,400 908,840 260,028 56,960 1,658,400 856,050	40,000 $ 358,456 3,000 - 1,384,000 276,800 553,600 692,000 553,600 830,400 968,800 - 157,776 - 830,400 830,400	40,000 $ 358,456 3,000 - 736,288 276,800 553,600 553,600 415,200 830,400 415,200 - 157,222 - 631,104 509,312	0.75% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%	2 2 2 2 2 2 2 2 2 2 2 2 2 2 2 2	- $ - - - - - - -	Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing	- $ - - - - - - -	None None None None None None None None None None None None None None None None	- $ - - - - - - - - - - - - - - -	45,998 $ 4,270,083 1,138,689 18,342,281 18,342,281 18,342,281 4,891,275 4,891,275 18,342,281 18,342,281 18,342,281 2,407,723 1,354,728 1,354,728 3,879,712 3,879,712	3,644,494 $ 4,270,083 1,138,689 18,342,281 18,342,281 18,342,281 4,891,275 4,891,275 18,342,281 18,342,281 18,342,281 2,407,723 1,354,728 1,354,728 3,879,712 3,879,712

Table 1, Page 1

No. (Note 1)	Creditor	Borrower	General ledger account	Is a related party	Maximum outstanding balance during the year ended December 31, 2021	Balance at December 31, 2021 （Note 4）	Actual amount drawn down	Interest rate	Nature of loan （Note 2）	Amount of transactions with the borrower	Reason for short-term financing	Allowance for doubtful accounts	Collateral	Collateral	Limit on loans granted to a single party （Note 3）	Ceiling on total loans granted （Note 3）
													Item	Value
6 7 7 8 9 9 10 10 10 11 12	Talent View Ltd. Mitac Computer (Shunde) Ltd. Mitac Computer (Shunde) Ltd. WHP Workflow Solutions,Inc. Mitac Precision Technology (Kunshan) Co., Ltd. Mitac Precision Technology (Kunshan) Co., Ltd. Getac Inc. Getac Inc. Getac Inc. Getac Technology Corp. National Aerospace Fasteners Corporation	Mitac Precision Developments Ltd. Getac Technology (Kunshan) Co., Ltd. Suzhou Mitac Precision Technology Co., Ltd. Getac Video Solutions Inc. Getac Technology (Kunshan) Co., Ltd. Suzhou Mitac Precision Technology Co., Ltd. Getac Holdings Corporation Getac Video Solutions Inc. Getac Technology Corp. Fong Guan Investments Ltd. Suzhou Nation Precision Ltd.	Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable Other receivable	Y Y Y Y Y Y Y Y Y Y Y	482,242 $ 241,303 241,303 41,940 271,083 283,255 285,350 250,290 139,050 56,000 146,955	- $ - - - 262,960 282,196 - 249,120 - - 96,880	- $ - - - 262,960 282,196 - 249,120 - - 96,880	0.0% 0.0% 0.0% 0.0% 1.0% 2.0% 0.0% 2.5% 0.0% 0.0% 1.0%	2 2 2 2 2 2 2 2 2 2 2	- $ - - - - - - -	Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing Working capital financing	- $ - - - - - - -	None None None None None None None None None None None	- $ - - - - - - - - - -	40 $ 1,115,425 297,447 63,862 5,639,381 1,503,835 702,980 702,980 187,461 713,725 354,840	40 $ 1,115,425 297,447 63,862 5,639,381 1,503,835 702,980 702,980 187,461 713,725 354,840

Table 1, Page 2

Note 1:The numbers filled in for the loans provided by the Company or subsidiaries are as follows: (1) The Company is ‘0’. (2) The subsidiaries are numbered in order starting from ‘1’. Note 2:(1) Having business relationship. (2) In need of short-term financing. Note3:(1) Getac Holdings Corporation has policy of maximum loans to others: (a) Short-term financing : (i) The total borrowing amount should not be higher than 20% of the net assets on the latest financial statements audited or reviewed by independent auditors. (ii)The borrowing amount for each borrowing company should not be higher than 30% of the Company’s net assets on the latest financial statements audited or reviewed by independent auditors. (b) The total borrowing amount must not exceed 150% of the net value disclosed in the Company’s latest financial statements which has been audited or reviewed by independent auditors. Note(2) Pacific Royale Ltd./Hot Link Technology Ltd./Pacific Metal Developments Ltd./ACE Continental Industries Ltd./ Talent View Ltd./Mitac Computer (Shunde) Ltd./WHP Workflow Solutions Inc./ Mitac Precision Technology (Kunshan) Co., Ltd./Getac Inc. has policy of maximum loans to others: (a) Short-term financing : (i) The borrowing amount for each borrowing entity and total borrowing amount should not be higher than 40% of the net assets on the latest financial statements audited or reviewed by independent auditors. (ii) Foreign companies with 100% voting rights directly or indirectly owned by the ultimate parent company: the borrowing amount for each borrowing company and total borrowing amount should not be higher than 150% of the Company’s net assets on the latest financial statements audited or reviewed by independent auditors. (b) The total borrowing amount must not exceed 150% of the net value disclosed in the Company’s latest financial statements which has been audited or reviewed by independent auditors. Note3:(3) Getac Technology Corporation has policy of maximum loans to others: (a) Short-term financing : The borrowing amount for each borrowing entity and total borrowing amount should not be higher than 40% of the net assets on the latest financial statements audited or reviewed by independent auditors. (b) The total borrowing amount must not exceed the net value disclosed in the Company’s latest financial statements which has been audited or reviewed by independent auditors. Note3:(4) Mitac Precision Developments Ltd. has policy of maximum loans to others: (a) Short-term financing : (i) The borrowing amount for each borrowing entity and total borrowing amount should not be higher than 40% of the net assets on the latest financial statements audited or reviewed by independent auditors. (ii) Foreign companies with 100% voting rights directly or indirectly owned by the ultimate parent company: the borrowing amount for each borrowing company and total borrowing amount should not be higher than 500% of the Company’s net assets on the latest financial statements audited or reviewed by independent auditors. (b) The total borrowing amount must not exceed 500% of the net value disclosed in the Company’s latest financial statements which has been audited or reviewed by accountants. (5) National Aerospace Fasteners Corporation has policy of maximum loans to others: The borrowing amount for each borrowing company and total borrowing amount should not be higher than 20% of the Company’s net assets on the latest financial statements audited or reviewed by independent auditors. and ceiling on total loans granted are 20% of the net equity of National Aerospace Fasteners Corporation as of December 31, 2021. Note 4:Amount as resolved by the Board of Directors.

Table 1, Page 3

Getac Holdings Corp. and Subsidiaries

Provision of endorsements and guarantees to others

Year ended December 31, 2021

Table 2

Expressed in thousands of NTD (Except as otherwise indicated)

Number （Note 1）	Endorser/ guarantor	Party being endorsed/guaranteed	Party being endorsed/guaranteed	Limit on endorsements/ guarantees provided for a singleparty	Maximum outstanding endorsement/ guarantee amount as of December 31, 2021	Outstanding endorsement/ guarantee amount at December 31, 2021	Actual amount drawn down	Amount of endorsements/ guarantees secured with collateral	Ratio of accumulated endorsement/ guarantee amount to net asset value of the endorser/ guarantor company	Ceiling on total amount of endorsements/ guarantees provided （Note 2）	Provision of endorsements/ guarantees by parent company to subsidiary	Provision of endorsements/ guarantees by subsidiary to parent company	Provision of endorsements/ guarantees to the party in Mainland China
		Companyname	Relationship with the endorser/ guarantor
0 0 0 1	Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation National Aerospace Fasteners Corporation	Getac Inc. Getac Video Solutions Inc. Getac Technology GmbH Suzhou Nation Precision Ltd.	Note 3 Note 3 Note 3 Note 4	9,111,235 $ 9,111,235 9,111,235 887,099	8,561 $ 14,268 434,248 149,809	8,304 $ 13,840 388,368 128,712	8,304 $ 13,840 377,294 -	- - - -	0.05 0.08 2.13 7.25	$ 9,111,235 9,111,235 9,111,235 887,099	Y Y Y Y	N N N N	N N N Y

Note 1:The numbers filled in for the endorsements/guarantees provided by the Company or subsidiaries are as follows: (1)The Company is ‘0’.

(2)The subsidiaries are numbered in order starting from ‘1’.

Note 2:(1)The maximum amount of endorsements and guarantees provided by the Company should not be higher than 50% of the net assets on the latest financial statements audited or reviewed by independent auditors.

(2)The maximum amount of endorsements and guarantees provided by National Aerospace Fasteners Corporation should not be higher than 50% of the net assets on the latest financial statements audited or reviewed by independent auditors.

Note 3:The endorser/guarantor parent company and its subsidiaries jointly own more than 50% voting shares of the endorsed/guaranteed company. Note 4:The endorser/guarantor National Aerospace Fasteners Corporation and its subsidiaries jointly own more than 50% voting shares of the endorsed/guaranteed company.

Table 2, Page 1

Getac Holdings Corp. and Subsidiaries

Holding of marketable securities at the end of the period (not including subsidiaries, associates and joint ventures)

Year ended December 31, 2021

			Year ended December 31, 2021
Table 3 Securitiesheld by	Marketable securities	Securities	Relationship with the securitiesissuer	General ledgeraccount		Expressed in thousands of NTD (Except as otherwise indicated) As of December31,2021			Note
					Numberofshares	Bookvalue	Ownership (%)	Fairvalue
Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Pacific Royale Ltd. Pacific Royale Ltd. National Aerospace Fasteners Corporation National Aerospace Fasteners Corporation	Stock Stock Stock Stock Stock Stock Stock Stock Stock Stock	Mitac Holdings Corp. Harbinger VI Venture Capital Corp. Harbinger VII Venture Capital Corp. Hsin Chu Golf Country Club JVP VIII, L.P. Harbinger VIII Venture Capital Corp. Mitac Holdings Corp. Fortune Greater China Fund II, L.P. Mokoh & Assoicates, Inc. Shintori Restaurant Co., Ltd.	Indirect investee company accounted for under the equity method None Substantive related party None None Substantive related party Pacific Royale Ltd.'s indirect investee accounted for using equity method None None None	Financial assets at fair value through other compiehensive income- non-current Financial assets at fair value through other compiehensive income- non-current Financial assets at fair value through other compiehensive income- non-current Financial assets at fair value through other compiehensive income- non-current Financial assets at fair value through other compiehensive income- non-current Financial assets at fair value through other comprehensive income- noncurrent Financial assets at fair value through other compiehensive income- non-current Financial assets at fair value through other compiehensive income- non-current Financial assets at fair value through other compiehensive income- non-current Financial assets at fair value through other compiehensive income- non-current	10,299,987 3,213,811 8,338,028 1 - 11,250,000 4,439,182 1,179,630 700,000 20,307	362,560 $ 46,327 109,880 2,400 82,341 110,355 156,260 - - -	0.85% 13.28% 9.39% 0.12% 1.16% 11.57% 0.37% 7.41% 0.51% 2.75%	362,560 $ 46,327 109,880 2,400 82,341 110,355 156,260 - - -	Abolished Closed

Table 3, Page 1

Getac Holdings Corp. and Subsidiaries

Acquisition or sale of the same security with the accumulated cost exceeding $300 million or 20% of the Company's paid-in capital

Year ended December 31, 2021

Table 4 Investor	Marketable securities	General ledger account	Counterparty	Relationship with the investor	Balance as at January1,2021	Balance as at January1,2021	Addition(Note)	Addition(Note)		Disposal	Disposal		(Except as otherwise indicated) Expressed in thousands of NTD Balance as at December 31, 2021	(Except as otherwise indicated) Expressed in thousands of NTD Balance as at December 31, 2021
					Number of shares	Amount	Number of shares	Amount	Number of shares	Selling price	Book value	Gain (loss) on disposal	Number of shares	Amount
Getac Holdings Corporation	Getac Technology Corp.	Investments accounted for under equity method	Getac Technology Corp.	The Company's subsidiary	41,100,000	$ 257,217	82,334,000	$ 1,235,010	-	$ -	$ -	$ -	123,434,000	$ 1,784,315

Note: Including the capital increase and the spin-off and transfer transaction.

Table 4, Page 1

Getac Holdings Corp. and Subsidiaries Purchases or sales of goods from or to related parties reaching NT$100 million or 20% of paid-in capital or more Year ended December 31, 2021

Table 5

Table 5
Purchaser/seller	Counterparty	Relationship withthe counterparty		Transaction			Differences in transaction terms compared to third party transactions		Notes/accountsreceivable (payable) (Except as otherwise indicated) Expressed in thousands of NTD
			Purchases / Sales	Amount	Percentage of total purchases (sales)	Credit term	Unit price	Credit term	Balance	Percentage of total notes/accounts receivable (payable)
Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Inc. Getac (UK) Ltd. Getac Technology GmbH Mitac Technology (Kyoto) Co., Ltd. Getac (SuZhou) Mobile Ltd. Getac Video Solutions Inc. Getac Technology (Kunshan) Co., Ltd. MPT Solution(HK) Limited Getac Technology Corp. Getac Technology Corp. Getac Technology Corp. Getac Technology Corp. Getac Inc.	Getac Inc. Getac (UK) Ltd. Getac Technology GmbH Mitac Technology (Kyoto) Co., Ltd. Getac (SuZhou) Mobile Ltd. Getac Video Solutions Inc. Getac Technology (Kunshan) Co., Ltd. MPT Solution(HK) Limited Synnex Technology International Corp. Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Inc. Getac Technology GmbH Getac Video Solutions Inc. Getac Technology (Kunshan) Co., Ltd. Getac Technology Corp.	The Company's subsidiary The Company's subsidiary The Company's subsidiary The Company's subsidiary The Company's subsidiary The Company's subsidiary The Company's subsidiary The Company's subsidiary Substantive related party Ultimate parent entity Ultimate parent entity Ultimate parent entity Ultimate parent entity Ultimate parent entity Ultimate parent entity Ultimate parent entity Ultimate parent entity The Company's subsidiary The Company's subsidiary The Company's subsidiary The Company's subsidiary Parent company	Sales Sales Sales Sales Sales Sales Purchases Purchases Purchases Purchases Purchases Purchases Purchases Purchases Purchases Sales Sales Sales Sales Sales Purchases Purchases	3,901,748 $ 351,683 460,265 405,095 210,511 179,297 990,926 354,971 178,631 3,901,748 351,683 460,265 405,095 210,511 179,297 990,926 354,971 1,214,011 145,169 179,941 849,387 1,214,011	42% 4% 5% 4% 2% 2% 20% 7% 4% 74% 78% 78% 57% 54% 39% 48% 6% 54% 6% 8% 62% 23%	Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 3 Note 3 Note 3 Note 3 Note 3 Note 3 Note 3 Note 3 Note 3 Note 1 Note 1 Note 1 Note 1 Note 1 Note 3 Note 3	Note 2 Note 2 Note 2 Note 2 Note 2 Note 2 Note 5 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 5 Note 2 Note 2 Note 2 Note 2 Note 5 Note 4	Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 3 Note 3 Note 3 Note 3 Note 3 Note 3 Note 3 Note 3 Note 3 Note 1 Note 1 Note 1 Note 1 Note 1 Note 3 Note 3	- $ - - - - - - - - - - - - - - - - 186,022 35,409 167,473 2,795,750) ( 186,022) (	0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 24% 5% 22% 81% 100%

Table 5, Page 1

Expressed in thousands of NTD

Differences in transaction terms compared to third party

(Except as otherwise indicated)

							Differences in transaction terms compared to third party	Differences in transaction terms compared to third party	(Except as otherwise indicated)	(Except as otherwise indicated)
Purchaser/seller	Counterparty	Relationship withthe counterparty		Transaction			transactions		Notes/accountsreceivable (payable)
			Purchases / Sales	Amount	Percentage of total purchases (sales)	Credit term	Unit price	Credit term	Balance	Percentage of total notes/accounts receivable (payable)
Getac Technology GmbH Getac Video Solutions INC. Getac Technology (Kunshan) Co., Ltd. Atemitech Corporation Atemitech Corporation Mitac Technology(Kyoto) Co., Ltd. Getac Technology (Kunshan) Co., Ltd. MPT Solution(HK) Limited Atemitech Corporation Mitac Precision Technology (Kunshan) Co., Ltd. Mitac Precision Developments Ltd. Mitac Precision Technology (Kunshan) Co., Ltd. MPT Solution(HK) Limited Suzhou Mitac Precision Technology Co., Ltd. MPT Solution(HK) Limited MPT Solution (Vietnam) Company Limited	Getac Technology Corp. Getac Technology Corp. Getac Technology Corp. Mitac Technology(Kyoto) Co., Ltd. Getac Technology (Kunshan) Co., Ltd. Atemitech Corporation Atemitech Corporation Atemitech Corporation MPT Solution(HK) Limited Mitac Precision Developments Ltd. Mitac Precision Technology (Kunshan) Co., Ltd. MPT Solution(HK) Limited Mitac Precision Technology (Kunshan) Co., Ltd. MPT Solution(HK) Limited Suzhou Mitac Precision Technology Co., Ltd. MPT Solution(HK) Limited	Parent company Parent company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company	Purchases Purchases Sales Sales Purchases Purchases Sales Sales Purchases Sales Purchases Sales Purchases Sales Purchases Sales	145,169 $ 179,941 849,387 125,939 245,482 125,939 245,482 112,196 112,196 407,483 407,483 5,561,728 5,561,728 1,543,376 1,543,376 224,809	25% 39% 41% 12% 29% 18% 12% 2% 13% 5% 76% 63% 72% 33% 25% 14%	Note 3 Note 3 Note 1 Note 1 Note 3 Note 3 Note 1 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1	Note 4 Note 4 Note 5 Note 2 Note 4 Note 4 Note 2 Note 1 Note 3 Note 1 Note 3 Note 2 Note 4 Note 2 Note 4 Note 2	Note 3 Note 3 Note 1 Note 1 Note 3 Note 3 Note 1 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1	($35,409) 167,473) ( 2,795,750 22,880 351,671) ( 22,880) ( 351,671 160,319 160,319) ( 5,473 5,473) ( 2,861,982 2,861,982) ( 520,716 520,716) ( 33,795	100% 93% 86% 3% 37% 50% 49% 6% 17% 0% 0% 67% 85% 33% 15% 10%

Table 5, Page 2

Expressed in thousands of NTD

Differences in transaction terms compared to third party

(Except as otherwise indicated)

							Differences in transaction terms compared to third party	Differences in transaction terms compared to third party	(Except as otherwise indicated)	(Except as otherwise indicated)
Purchaser/seller	Counterparty	Relationship withthe counterparty		Transaction			transactions		Notes/accountsreceivable (payable)
			Purchases / Sales	Amount	Percentage of total purchases (sales)	Credit term	Unit price	Credit term	Balance	Percentage of total notes/accounts receivable (payable)
MPT Solution(HK) Limited Getac Precision Technology (ChangShu) Co., Ltd. Getac Precision (HK) Limited Getac Precision Technology Vietnam Co., Ltd. Mitac Precision Developments Ltd. Getac Precision Technology Vietnam Co., Ltd. Getac Precision (HK) Limited Mitac Precision Technology (Kunshan) Co., Ltd. Getac Technology (Kunshan) Co., Ltd. Suzhou Mitac Precision Technology Co., Ltd. Mitac Precision Technology (Kunshan) Co., Ltd. MPT Solution (Vietnam) Company Limited Getac Precision Technology Vietnam Co., Ltd. MPT Solution(HK) Limited Mitac Technology(Kyoto) Co., Ltd. MPT Solution(HK) Limited Suzhou Mitac Precision Technology Co., Ltd. Getac Precision (HK) Limited Getac Precision Technology (ChangShu) Co., Ltd. Suzhou Nafco Precision Ltd.	MPT Solution (Vietnam) Company Limited Getac Precision (HK) Limited Getac Precision Technology (ChangShu) Co., Ltd. Mitac Precision Developments Ltd. Getac Precision Technology Vietnam Co., Ltd. Getac Precision (HK) Limited Getac Precision Technology Vietnam Co., Ltd. Getac Technology (Kunshan) Co., Ltd. Mitac Precision Technology (Kunshan) Co., Ltd. Mitac Precision Technology (Kunshan) Co., Ltd. Suzhou Mitac Precision Technology Co., Ltd. Getac Precision Technology Vietnam Co., Ltd. MPT Solution (Vietnam) Company Limited Mitac Technology(Kyoto) Co., Ltd. MPT Solution(HK) Limited Suzhou Mitac Precision Technology Co., Ltd. MPT Solution(HK) Limited Getac Precision Technology (ChangShu) Co., Ltd. Getac Precision (HK) Limited National Aerospace Fasteners Corporation	Affiliated company Parent company The Company's subsidiary Affiliated company Affiliated company Parent company The Company's subsidiary Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company Affiliated company National Aerospace Fasteners Corporation’s direct wholly-owned subsidiary	Purchases Sales Purchases Sales Purchases Sales Purchases Sales Purchases Sales Purchases Sales Purchases Sales Purchases Sales Purchases Sales Purchases Sales	224,809 $ 465,575 465,575 130,654 130,654 1,162,486 1,162,486 158,289 158,289 414,125 414,125 151,529 151,529 136,641 136,641 188,126 188,126 191,681 191,681 133,690	4% 35% 28% 9% 24% 82% 70% 2% 2% 9% 8% 10% 15% 2% 19% 3% 6% 11% 23% 48%	Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1	Note 4 Note 2 Note 4 Note 2 Note 4 Note 2 Note 4 Note 2 Note 4 Note 2 Note 4 Note 2 Note 4 Note 2 Note 4 Note 2 Note 4 Note 2 Note 4 Note 2	Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1 Note 3 Note 1	($33,795) 251,876 251,876) ( - - 227,352 227,352) ( 38,486 38,486) ( 151,613 151,613) ( 42,517 42,517) ( 21,253 21,253) ( 51,182 51,182) ( 160,809 160,809) ( 49,877	1% 45% 47% 0% 0% 88% 43% 1% 2% 10% 5% 13% 35% 1% 46% 2% 4% 31% 37% 54%

Table 5, Page 3

Expressed in thousands of NTD

Differences in transaction terms compared to third party

									Expressed in thousands of NTD	Expressed in thousands of NTD
Purchaser/seller	Counterparty	Relationship withthe counterparty		Transaction			Differences in transaction terms compared to third party transactions		Notes/accountsreceivable (payable) (Except as otherwise indicated)
			Purchases / Sales	Amount	Percentage of total purchases (sales)	Credit term	Unit price	Credit term	Balance	Percentage of total notes/accounts receivable (payable)
National Aerospace Fasteners Corporation	Suzhou Nafco Precision Ltd.	Suzhou Nafco Precision Ltd. ’s parent company	Purchases	133,690 $	26%	Note 3	Note 4	Note 3	($49,877)	29%

Note 1:The collection periods of related parties are 150 days after offsetting certain receivables and payables. The collection period of third party customers is approximately 150 days after shipping date.

Note 2:The selling price for sales to related parties is based on the market value of the goods. Note 3:The payment periods to overseas related parties are 150 days after offsetting certain receivables and payables.

The payment period to third party suppliers is approximately 150 days after shipping date. Note 4:The purchase price on purchases from other related parties is based on the market value of the goods. Note 5:The processing charges are based on cost plus an agreed upon percentage markup.

Table 5, Page 4

Getac Holdings Corp. and Subsidiaries

Receivables from related parties reaching NT$100 million or 20% of paid-in capital or more

Year ended December 31, 2021

Table 6

Expressed in thousands of NTD

(Except as otherwise indicated)

Creditor	Counterparty	Relationship with the counterparty	Balance as at Deceember31,2021	Turnover rate	Overdue receivables	Overdue receivables	Amount collected subsequent to the balance sheet date	Allowance for doubtful accounts
					Amount	Action taken
Getac Technology Corp. Getac Technology Corp. Getac Technology (Kunshan) Co., Ltd. Getac Technology (Kunshan) Co., Ltd. MPT Solution(HK) Limited Getac Precision Technologies (Hong Kong) Limited Mitac Precision Technology (Kunshan) Co., Ltd. Suzhou Mitac Precision Technology Co., Ltd. Suzhou Mitac Precision Technology Co., Ltd. Getac Precision Technology (ChangShu) Co., Ltd. Getac Precision Technology Vietnam Co., Ltd.	Getac Inc. Getac Video Solutions INC. Getac Technology Corp.(Note) Atemitech Corporation(Note) Atemitech Corporation Getac Precision Technology (ChangShu) Co., Ltd. MPT Solution(HK) Limited MPT Solution(HK) Limited Mitac Precision Technology (Kunshan) Co., Ltd. Getac Precision (HK) Limited Getac Precision (HK) Limited	The Company's subsidiary The Company's subsidiary Affiliated company Affiliated company Affiliated company The Company's subsidiary Affiliated company Affiliated company Affiliated company Parent company Parent company	186,022 $ 167,473 2,795,750 351,671 160,319 160,809 2,861,982 520,716 151,613 251,876 227,352	13.05 2.15 0.9 4.12 1.4 2.38 3.89 5.93 3.77 2.46 6.82	- $ - - - - - - - - - -	- - - - - - - - - - -	137,371 $ - 143,650 138,400 - 8,993 387,520 - 9,490 41,679 -	- - - - - - - - - - -

Note:Getac Technology Corp. and Atemitech Corporation transaction with Getac Technology (Kunshan) Co., Ltd. are processing service, which is presented as sales, net.

Table 6, Page 1

Getac Holdings Corp. and Subsidiaries Significant inter-company transactions during the reporting period Year ended December 31, 2021

Table 7 Number (Note 1)	Companyname	Counterparty	Relationship (Note 2)			Transaction	Expressed in thousands of NTD (Except as otherwise indicated)
				General ledger account	Amount	Transaction terms	Percentage of consolidated total operating revenues or total assets(Note3)
0 0 0 0 0 0 1 1 1 1 1 2 3 3 4 4 4 5 5 6 6 6 6 6 7 7 8 8 8 8 8 9 9 9	Getac Holdings Corp. Getac Holdings Corp. Getac Holdings Corp. Getac Holdings Corp. Getac Holdings Corp. Getac Holdings Corp. Getac Technology Corp. Getac Technology Corp. Getac Technology Corp. Getac Technology Corp. Getac Technology Corp. Atemitech Corporation Getac Precision (HK) Limited Getac Precision (HK) Limited Getac Precision Technology Vietnam Co., Ltd. Getac Precision Technology Vietnam Co., Ltd. Getac Precision Technology Vietnam Co., Ltd. MPT Solution (Vietnam) Company Limited MPT Solution (Vietnam) Company Limited MPT Solution(HK) Limited MPT Solution(HK) Limited MPT Solution(HK) Limited MPT Solution(HK) Limited MPT Solution(HK) Limited Getac Precision Technology (ChangShu) Co., Ltd. Getac Precision Technology (ChangShu) Co., Ltd. Getac Technology (Kunshan) Co., Ltd. Getac Technology (Kunshan) Co., Ltd. Getac Technology (Kunshan) Co., Ltd. Getac Technology (Kunshan) Co., Ltd. Getac Technology (Kunshan) Co., Ltd. Mitac Precision Technology (Kunshan) Co., Ltd. Mitac Precision Technology (Kunshan) Co., Ltd. Mitac Precision Technology (Kunshan) Co., Ltd.	Getac Inc. Getac (UK) Ltd. Getac Technology GmbH Mitac Technology (Kyoto) Co., Ltd. Getac (SuZhou) Mobile Ltd. Getac Video Solutions Inc. Getac Inc. Getac Technology GmbH Getac Video Solutions INC. Getac Inc. Getac Video Solutions INC. Mitac Technology(Kyoto) Co., Ltd. Getac Precision Technology (ChangShu) Co., Ltd. Getac Precision Technology (ChangShu) Co., Ltd. Mitac Precision Developments Ltd. Getac Precision (HK) Limited Getac Precision (HK) Limited MPT Solution(HK) Limited Getac Precision Technology Vietnam Co., Ltd. Getac Holdings Corp. Mitac Technology(Kyoto) Co., Ltd. Suzhou Mitac Precision Technology Co., Ltd. Atemitech Corporation Atemitech Corporation Getac Precision (HK) Limited Getac Precision (HK) Limited Getac Holdings Corp. Getac Technology Corp. Atemitech Corporation Getac Technology Corp. Atemitech Corporation Mitac Precision Developments Ltd. MPT Solution(HK) Limited Getac Technology (Kunshan) Co., Ltd.	1 1 1 1 1 1 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3	Sales Sales Sales Sales Sales Sales Sales Sales Sales Accounts receivable Accounts receivable Sales Sales Accounts receivable Sales Sales Accounts receivable Sales Sales Sales Sales Sales Sales Accounts receivable Sales Accounts receivable Sales Sales Sales Accounts receivable Accounts receivable Sales Sales Sales	3,901,748 $ 351,683 460,265 405,095 210,511 179,297 1,214,011 145,169 179,941 186,022 167,473 125,939 191,681 160,809 130,654 1,162,486 227,352 224,809 151,529 354,971 136,641 188,126 112,196 160,319 465,575 251,876 990,926 849,387 245,482 2,795,750 351,671 407,483 5,561,728 158,289	Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 5 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4 Note 4	13% 1% 2% 1% 1% 1% 4% 0% 1% 1% 0% 0% 1% 0% 0% 4% 1% 1% 1% 1% 0% 1% 0% 0% 2% 1% 3% 3% 1% 8% 1% 1% 18% 1%

Table 7, Page 1

Number (Note 1)	Companyname	Counterparty	Relationship (Note 2)			Transaction
				General ledger account	Amount	Transaction terms	Percentage of consolidated total operating revenues or total assets(Note3)
9 9 9 10 10 10 10 11 12 12 12 12 12 12 12 13 14 14 15 16	Mitac Precision Technology (Kunshan) Co., Ltd. Mitac Precision Technology (Kunshan) Co., Ltd. Mitac Precision Technology (Kunshan) Co., Ltd. Suzhou Mitac Precision Technology Co., Ltd. Suzhou Mitac Precision Technology Co., Ltd. Suzhou Mitac Precision Technology Co., Ltd. Suzhou Mitac Precision Technology Co., Ltd. Pacific Royale Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. ACE Continental Industries Ltd. Mitac Precision Developments Ltd. Mitac Precision Developments Ltd. Getac Inc. Suzhou Nafco Precision Ltd.	Getac Technology (Kunshan) Co., Ltd. Suzhou Mitac Precision Technology Co., Ltd. MPT Solution(HK) Limited MPT Solution(HK) Limited Mitac Precision Technology (Kunshan) Co., Ltd. MPT Solution(HK) Limited Mitac Precision Technology (Kunshan) Co., Ltd. Mitac Precision Developments Ltd. MPT Solution (HK) Limited Getac Precision (HK) Limited Getac Technology Corp. Atemitech Corporation Getac Precision Technology Vietnam Co., Ltd. Getac Technology (Kunshan) Co., Ltd. Getac Holdings Corp. Hot Link Technology Ltd. Getac Precision Technology Vietnam Co., Ltd. MPT Solution (Vietnam) Company Limited Getac Video Solutions Inc. National Aerospace Fasteners Corporation	3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 3 2	Other receivables Other receivables Accounts receivable Sales Sales Accounts receivable Accounts receivable Other receivables Other receivables Other receivables Other receivables Other receivables Other receivables Other receivables Other receivables Other receivables Other receivables Other receivables Other receivables Sales	262,960 $ 282,196 2,861,982 1,543,376 414,125 520,716 151,613 358,456 736,288 276,800 553,600 553,600 415,200 830,400 415,200 157,222 631,104 509,312 249,120 133,690	Operation Operation Note 4 Note 4 Note 4 Note 4 Note 4 Operation Operation Operation Operation Operation Operation Operation Operation Operation Operation Operation Operation Note 4	1% 1% 8% 5% 1% 1% 0% 1% 2% 1% 2% 2% 1% 2% 1% 0% 2% 1% 1% 0%

Note 1:The numbers filled in for the transaction company in respect of inter-company transactions are as follows:

(1)Parent company is ‘0’.

(2)The subsidiaries are numbered in order starting from ‘1’.

Note 2:The relationship with the transaction parties are as follows:

• (1)The Company to the consolidated subsidiary.

(2)The consolidated subsidiary to the Company.

(3)The consolidated subsidiary to the consolidated subsidiary.

Note 3:Ratio of asset/liability is divided by consolidated total assets, and ratio of gain/loss accounts is divided by consolidated sales revenue. Note 4:The collection period on balances from overseas related parties is 150 days after offsetting certain receivables and payables.

The selling prices on sales to related parties are based on the market value of the goods.

Note 5:Only transaction amounts exceeding $100 million or 20 percent of the Company’s capital are disclosed.

Table 7, Page 2

Table 8

Getac Holdings Corp. and Subsidiaries

Information on investees (not including investees in Mainland China)

Year ended December 31, 2021

Expressed in thousands of NTD

(Except as otherwise indicated)

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as at December	Shares held as at December	31,2021	Net profit (loss) of the investee for the year ended December 31, 2021	Investment income (loss) recognised by the Company for the year ended December 31,2021	Footnote
				Balance as at December 31, 2021	Balance as at December 31, 2020	Number of shares	Ownership (%)	Book value
Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation	Pacific Royale Ltd. Lian Jie Investment Co., Ltd. Getac Technology Corporation Hot Link Technology Ltd. Waffer Technology Corp. Atemitech Corporation Fong Guan Investments Ltd. National Aerospace Fasteners Corporation	British Virgin Islands Taiwan Taiwan British Virgin Islands Taiwan Taiwan Taiwan Taiwan	Investment holdings Investment holdings Data management, info software, e-communication product wholesale and retail Investment holdings Manufacture and sales of Magnesium alloy thixomolding Wholesale and retail of electric equipment and mold Investment holdings Manufacture, processing, agency, and sales of source control bolts and structural parts for aircraft and ship	1,281,850 $ 113,056 1,146,000 3,628,378 496,228 79,091 200,500 394,919	1,752,325 $ 113,056 411,000 3,628,378 496,228 100 200,500 394,919	37,220,869 11,305,650 123,434,000 110,776,211 40,522,289 7,191,000 20,050,000 20,578,174	100 49.98 100 100 23.43 100 100 39.09	2,851,361 $ 248,023 1,784,315 12,200,740 476,319 173,310 153,268 724,401	$116,701 1,775) ( 279,055 3,429,817 164,735 93,504 19,549 96,729) (	$116,701 887) ( 279,055 3,429,817 41,579 93,504 19,549 37,811) (	Note 1 Note 5

Table 8, Page 1

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as at December	Shares held as at December	31,2021	Net profit (loss) of the investee for the year ended December 31, 2021	Investment income (loss) recognised by the Company for the year ended December 31,2021	Footnote
				Balance as at December 31, 2021	Balance as at December 31, 2020	Number of shares	Ownership (%)	Book value
Getac Holdings Corporation Getac Holdings Corporation Getac Holdings Corporation Fong Guan Investments Ltd. Getac Technology Corp. Getac Technology Corp. Getac Technology Corp. Getac Technology Corp. Getac Technology Corp.	Advanced Medical Design Co., Ltd. Lian Jie Investment Co., Ltd. II WHP Workflow Solutions, Inc. Waffer Technology Corp. Waffer Technology Corp. National Aerospace Fasteners Corporation Getac Inc. Getac (UK) Ltd. Getac Technology GmbH	Taiwan Taiwan U.S.A. Taiwan Taiwan Taiwan U.S.A. U.K Germany	Manufacturing and wholesale of medical applicances Investment holdings Software design and development Manufacture and sales of Magnesium alloy thixomolding Manufacture and sales of Magnesium alloy thixomolding Manufacture, processing, agency, and sales of source control bolts and structural parts for aircraft and ship Selling, providing technical service, repair and maintenance of computers and related products for military and industrial use Sales and repair of computer, software and relevant products Sales of computer, software and relevant products	61,850 $ 48,750 - 200,000 86 2 86,881 26,850 16,377	61,850 $ 48,750 478,651 200,000 86 2 86,881 26,850 16,377	2,185,000 4,875,000 - 20,000,000 5,000 92 1,600,000 350,000 1	48.56 48.75 - 11.57 - - 100 100 100	64,922 $ 59,834 - 205,027 69 2 467,400 31,522 56,833	$20,369 414) ( 4,848 164,735 164,735 96,729) ( 144,891 3,536 9,314	$9,891 202) ( 5,457) ( - - - - - -	Note 9 Note 2 Note 2 Note 2

Table 8, Page 2

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as at December	Shares held as at December	31,2021	Net profit (loss) of the investee for the year ended December 31, 2021	Investment income (loss) recognised by the Company for the year ended December 31,2021	Footnote
				Balance as at December 31, 2021	Balance as at December 31, 2020	Number of shares	Ownership (%)	Book value
Getac Technology Corp. Getac Technology Corp. Pacific Royale Ltd. Pacific Royale Ltd. Pacific Royale Ltd. Pacific Royale Ltd. Pacific Royale Ltd. Pacific Royale Ltd. Pacific Royale Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd.	Getac Vedio Solutions Inc. WHP Workflow Solutions, Inc. Integration Technology Ltd. Master China Ltd. Talent View Ltd. Victory Star Developments Ltd. Harbinger Ruyi Venture Limited Harbinger Ruyi II Venture Limited WHP Workflow Solutions, Inc. Master China Ltd. Pacific Metal Developments Ltd.	U.S.A. U.S.A. British Virgin Islands British Virgin Islands British Virgin Islands British Virgin Islands British Virgin Islands British Virgin Islands U.S.A. British Virgin Islands British Virgin Islands	Sales of smart mobile surveillance solution (including device hardware, software, cloud technologies and consulting services) Software design and development Investment holdings Investment holdings Investment holdings Investment holdings Investment holdings Investment holdings Software design and development Investment holdings Investment holdings and trading	29,640 $ 478,651 63,395 427,367 536,601 327,580 31,520 49,320 79,381 571,813 -	29,640 $ - 63,395 427,367 536,601 327,580 31,520 49,320 79,381 571,813 1,287,555	1,000,000 314,600 2,000,001 13,550,000 17,000,001 9,900,001 1,000,000 15,000 77,179 9,900,001 -	100 80.30 100 - 100 100 28.57 48.39 19.70 100 -	($389,811) 453,253 66,146 375,064 19 1,632,960 18,385 107,375 100,806 3,385,365 -	($141,359) 4,848 1,223) ( 505,534 1 117,084 41 781) ( 4,848 505,534 15,826	- - - - - - - - - - -	Note 2 Note 9 Preferred stock
											The investee was disposed in June 2021.

Table 8, Page 3

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as at December	Shares held as at December	31,2021	Net profit (loss) of the investee for the year ended December 31, 2021	Investment income (loss) recognised by the Company for the year ended December 31,2021	Footnote
				Balance as at December 31, 2021	Balance as at December 31, 2020	Number of shares	Ownership (%)	Book value
Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Hot Link Technology Ltd. Getac Precision (HK) Limited ACE Continental Industries Ltd.	Mainpower International Ltd. ACE Continental Industries Ltd. Bellingham Investments Ltd. Getac Precision (HK) Limited Mitac Technology Kyoto Corporation Mitac Precision Developments Ltd. MPT Solution(HK) Limited Running Power Ltd. Mass Bridge Ltd. MPT Solution (Vietnam) Company Limited	British Virgin Islands British Virgin Islands Samoa H.K Japan British Virgin Islands H.K British Virgin Islands British Virgin Islands Vietnam	Investment holdings Investment holdings and trading Investment holdings Investment holdings Import/export electronic product, provide technical consulting, maintenance and repair services Investment holdings Investment holdings and trading Investment holdings Investment holdings Manufacture of printer and its components, DVD, cell phone, digital camera and PCB	1,147,343 $ 648,709 143,264 714,215 32,290 599,800 279,798 29,490 177,529 648,709	1,147,343 $ 648,709 143,264 714,215 32,290 599,800 598 29,490 177,529 648,709	35,912,843 20,000,001 1 22,172,911 1,800 20,000,001 10,020,000 1,000,001 5,500,001 N/A	86.72 100 100 100 100 100 100 100 100 100	$1,687,992 903,152 2,161 1,541,295 26,156 775,942 282,501 - 264,496 745,735	$147,317 220,995 62 11,881) ( 5,323 43,361 5,169 - 99,789 220,973	- - - - - - - - - -	Note 3、10 Note 4 Note 8 Note 3 Note 6

Table 8, Page 4

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as at December	Shares held as at December	31,2021	Net profit (loss) of the investee for the year ended December 31, 2021	Investment income (loss) recognised by the Company for the year ended December 31,2021	Footnote
				Balance as at December 31, 2021	Balance as at December 31, 2020	Number of shares	Ownership (%)	Book value
MPT Solution (Vietnam) Company Limited Mass Bridge Ltd. National Aerospace Fasteners Corporation Nafco Group Ltd.	MPT Solution (Hanoi) Company Limited Getac Precision Technology Vietnam Co., Ltd. Nafco Group Ltd. Nafco Holdings Ltd.	Vietnam Vietnam British Virgin Islands British Virgin Islands	Manufacture of printer and related products Manufacture of personal computers, communication equipment, automobile electronic devices, precision punching dies, casting/forging raw parts for automobiles and motorcycles, and magnesium alloy castings Investment holdings Investment holdings	15,853 $ 177,529 405,897 405,897	15,853 $ 177,529 405,897 405,897	N/A N/A 13,000,000 13,000,000	100 100 100 100	4,797 $ 263,260 331,788 330,024	($176) 99,788 65,088) ( 65,088) (	- - - -	Note 7

Note 1:In October 2021, Getac Corporation was rename as Getac Technology Corporation.

Note 2:After the reorganisation in the second quarter of 2020, Getac Corporation held 100% shares of Getac Inc., Getac (UK) Ltd., Getac Technology GmbH which were originally held by Pacific Royale Ltd., of Getac (SuZhou) Mobile Ltd. which was originally held by Integration Technology Ltd. and of Getac Video Solutions Inc. which was originally held by Running Power Ltd. Note 3:After the reorganisation in the third quarter of 2020, Getac Precision Technologies (Hong Kong) Limited held 100% shares of Mass Bridge Ltd. which was originally held by Hot Link Techonolgy Ltd. Note 4:Mitac Solution (HK) Limited is renamed to MPT Solution (HK) Limited in the third quarter of 2020. Note 5:Mitac Precision Technology Corporation is renamed to Atemitech Corporation in the second quarter of 2021. Note 6:Mitac Precision Technology Vietnam Co.,Ltd. is renamed to MPT Solution (Vietnam) Company Limited in the second quarter of 2021. Note 7:Mitac Precision Technology (HA NOI) Co.,Ltd. is renamed to MPT Solution (Hanoi) Company Limited in the second quarter of 2021. Note 8:After the reorganisation in the first quarter of 2021, Hot Link Technology Ltd. held 100% shares of Running Power Ltd. which was originally held by Pacific Royale Ltd. Note 9:On October 1, 2021, Getac Holdings Corporation split and transferred its equity interests of WHP Workflow Solutions, Inc. to Getac Technology Corporation. Note 10:In January 2022, Getac Precision Technologies (Hong Kong) Limited was renamed as Getac Precision (HK) Limited.

Table 8, Page 5

Getac Holdings Corp. and Subsidiaries

Information on investments in Mainland China

Table 9

Year ended December 31, 2021

Expressed in thousands of NTD

A. Investee in Mainland China, main business activities and related information:

(Except as otherwise indicated)

Investee in MainlandChina	Main business activities	Paid-in capital	Investment method （Note 1）	Accumulated amount of remittance from Taiwan to Mainland China as of January 1, 2021	Amount remitted from Taiwan to Mainland China/ Amount remitted back to Taiwan for the year ended December 31, 2021	Amount remitted from Taiwan to Mainland China/ Amount remitted back to Taiwan for the year ended December 31, 2021	Accumulated amount of remittance from Taiwan to Mainland China as of December 31, 2021 （Note3）	Net income of investee for the year ended December 31, 2021	Ownership held by the Company (direct or indirect)	Investment income (loss) recognised by the Company for year ended December 31, 2021 （Note 2）	Book value of investments in Mainland China as of December 31,2021	Accumulated amount of investment income remitted back to Taiwan as of December 31, 2021	Footnote
					Remitted to Mainland China	Remitted back to Taiwan
Getac Technology (Kunshan) Co., Ltd. Mitac Precision Technology (KunShan) Co., Ltd. Mitac Precision Technology (Shunde) Ltd.	Manufacture and sale of notebooks and related products Design and manufacture of computer chassis and its components, precision plastic injection mold, molding parts and molding equipment processing, sales and maintenance and repair services of own products. Design and manufacture of computer chassis and its components, precision plastic injection mold, molding parts stamping parts, molding equipment processing, design and repair services, and steel plate cutting, etc.	327,580 $ 784,629 Not applicable	3 $ 327,580 3 652,267 Not applicable 957,846		$ - - -	$ - - -	$ 327,580 652,267 957,846	$ 117,084 505,534 11,642	100 100 -	$ 117,084 505,534 11,642	$ 1,632,826 3,759,648 -	$ - - -	Note 4

Table 9, Page 1

Investee in MainlandChina	Main business activities	Paid-in capital	Investment method （Note 1）	Accumulated amount of remittance from Taiwan to Mainland China as of January 1, 2021	Amount remitted from Taiwan to Mainland China/ Amount remitted back to Taiwan for the year ended December 31, 2021	Amount remitted from Taiwan to Mainland China/ Amount remitted back to Taiwan for the year ended December 31, 2021	Accumulated amount of remittance from Taiwan to Mainland China as of December 31, 2021 （Note3）	Net income of investee for the year ended December 31, 2021	Ownership held by the Company (direct or indirect)	Investment income (loss) recognised by the Company for year ended December 31, 2021 （Note 2）	Book value of investments in Mainland China as of December 31,2021	Accumulated amount of investment income remitted back to Taiwan as of December 31, 2021	Footnote
					Remitted to Mainland China	Remitted back to Taiwan
Suzhou Mitac Precision Technology Co., Ltd. Fon Yang Logistic (Kunshan) Ltd. Getac (SuZhou) Mobile Ltd. Getac Precision Technology (ChangShu) Co., Ltd.	Design and manufacture of computer chassis and its components, precision plastic injection mold, molding parts and molding equipment processing, sales and maintenance and repair services of own products. Agency of domestic/foreign freight transport and import/export declaration and import/export trade Design and manufacture of computers and its peripherals, commercial portable global positioning system, electronic parts, mold production equipment, whole sales of office equipment and spare parts, commission agent, import/export trade and maintenance and repair services of the products. Manufacture of magnesium alloy	1,589,287 $ 31,255 32,140 623,154	3 3 1 3	$ 112,776 - 4,781 -	$ - - - -	$ - - - -	$ 112,776 - 4,781 -	$ 176,069 1,236) ( 2,453 104,275) (	72.56 100 100 100	$ 127,756 1,236) ( 2,453 104,275) (	$ 1,689,355 29,969 33,532 1,253,875	$ - - 9,539 -

Table 9, Page 2

Investee in MainlandChina	Main business activities	Paid-in capital	Investment method （Note 1）	Accumulated amount of remittance from Taiwan to Mainland China as of January 1, 2021	Amount remitted from Taiwan to Mainland China/ Amount remitted back to Taiwan for the year ended December 31, 2021	Amount remitted from Taiwan to Mainland China/ Amount remitted back to Taiwan for the year ended December 31, 2021	Accumulated amount of remittance from Taiwan to Mainland China as of December 31, 2021 （Note3）	Net income of investee for the year ended December 31, 2021	Ownership held by the Company (direct or indirect)	Investment income (loss) recognised by the Company for year ended December 31, 2021 （Note 2）	Book value of investments in Mainland China as of December 31,2021	Accumulated amount of investment income remitted back to Taiwan as of December 31, 2021	Footnote
					Remitted to Mainland China	Remitted back to Taiwan
Suzhou Nafco Precision Ltd. MPT Solution (Xiangcheng) Co., Ltd.	Production of components for airplane and engine use Forging manufacturing and sales	405,897 $ 6,438	3 3	$ 405,897 -	$ - -	$ - -	$ 405,897 -	($65,088) 2	100 100	($65,088) 2	$ 330,024 6,515	$ - -	Note 5

B. Ceiling on investments in Mainland China:

Accumulated amount of remittance from

	Accumulated amount of remittance from
Companyname	Taiwan to Mainland China as of December31,2021	Investment amount approved by the Investment Commission of the Ministryof Economic Affairs(MOEA)	Ceiling on investments in Mainland China imposed by the InvestmentCommission of MOEA
Getac Technology Corp.(formerly Getac Corporation) National Aerospace Fasteners Corporation Getac Holdings Corporation(formerly Getac Technology Corporation)	4,781 2,489,238 $ 405,897	29,748 3,388,079 $ 359,840	1,070,588 10,933,482 $ 1,064,519

Note 1: Investment methods are classified into the following three categories:

• (1) Directly invest in a company in Mainland China.

• (2) Through investing in an existing company in the third area, which then invested in the investee in Mainland China.

• (3) Others

• (a) Through investing in Pacific Royale Ltd. and its subsidiaries in a third area, which then invest in Getac Technology (Kunshan) Co., Ltd.,

Fon Yang Logistic (Kunshan) Ltd. , and Mitac Precision Technology (KunShan) Co., Ltd.

• (b) Through investing in Hot Link Technology Ltd. and its subsidiaries in a third area, which then invest in Mitac Precision Technology (KunShan) Co., Ltd.,

Suzhou Mitac Precision Technology Co., Ltd., Getac Precision Metallic Technologies (ChangShu) Ltd. and MPT Solution(Xiangcheng) Co.,Ltd.

• (c) Through investing in a third area establish Nafco Holdings Ltd.,which then invests in Suzhou Nafco Precision Ltd.

Note 2: Recognition methods of investment income (loss) are classified into two categories as follows:

(1) It should be indicated if the company is in the process of incorporation and have no profit or loss yet.

Table 9, Page 3

• (2) Basis for recognising investment income (loss) is as follows:

• (a) The financial statements of Getac Technology (KunShan) Co., Ltd., Mitac Precision Technology (KunShan) Co., Ltd., Suzhou Mitac Precision Technology Co., Ltd.,

were audited by their R.O.C. parent company's CPA.

• (b) The financial statements of Suzhou Nafco Precision Ltd., were audited by National Aerospace Fasteners Corporation's CPA.

• (3) The financial statements of other companies except those stated in Note 2 (2) (a) and (b) were not audited by a CPA.

Note 3: The difference between the disclosed accumulated amount of remittance from Taiwan to Mainland China for investment approved by the Investment Commission of the Ministry of Economic Affair and the recognised amount comes from the remitted USD1,200 thousand from Mainland China to Taiwan in 2002 and USD12,000 thousand that has not been remitted from the liquidated subsidiaries in Mainland China. Note 4: The investee was disposed in June 2021.

Note 5: The investee was newly established in the third quarter of 2021.

Getac Holdings Corp. and Subsidiaries Major shareholders information Year ended December 31, 2021

Table 10

Name of major shareholders	Shares	Shares
	Name of shares held	Ownership (%)
Mitac International Corp.	190,396,939	31.86%

Table 10 , Page 1