KENDA — AGM Information 2016

Jun 22, 2016

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KENDA RUBBER INDUSTRIAL CO.,LTD.

Meeting Notice of Annual General Shareholders' Meeting (Summary Translation)

A. The 2016 Annual General Shareholders' Meeting (the "Meeting") of Kenda Rubber Industrial Co., Ltd. ("KENDA") will be convened at the Headquarters of KENDA (No.146, Sec. 1, Zhongshan Rd., Yuanlin City, Changhua County, Taiwan) at 9:30 a.m. on June 14, 2016.

The agenda for the meeting is as follows:

I. Proposed Resolutions

• (1) Amendment to the Company’s "Articles of Incorporation"

II. Report items:

• (1) 2015 Business Report

• (2) Supervisors’ Review Report on the 2015 Financial Statements

• (3) Report on the Company’s Endorsements and Guarantees

• (4) Employees’ compensation: Totaling NT$21,981,538.

  • Directors’ compensation: Totaling NT$32,972,308.

III. Acknowledgements

• (1) Adoption of the 2015 Business Report and Financial Statements

• (2) Adoption of the Proposal for Distribution of 2015 Profits

IV. Proposed Resolutions

• (2) Proposal for a new share issue through capitalization of earnings.

• (3) Amendment to the Operational procedures for Acquisition and Disposal of Assets.

V. Extemporary Motions

B. The major items of the proposal for distribution of 2015 profits adopted at the meeting of the Board of Directors are as follows:

(1) Cash dividends to common shareholders: Totaling NT$1,886,016,000. Each common share holder will be entitled to receive a cash dividend of NT$2.2 per share. The record date will be decided by the Board of Directors.

• (2) Stock Dividend to common shareholders: Totaling NT$171,500,000. Each common share holder will be entitled to receive a stock dividend of 20.005132 shares per 1,000 shares.

C. Each attendance notification and proxy form will be attached in this meeting notice. If the shareholder(s) is attending the meeting in person, please sign or stamp on the attendance notification from and carry it to the check-in desk on the day of the meeting. In the case that an agent(s) is entrusted to attend the meeting, the shareholder(s) shall sign or stamp on the proxy form and personally fill out the name and address of the agent, then deliver the proxy form to the Transfer Agency Department of Chinatrust Commercial Bank at least 5 days prior to the day of the meeting. The signed proxy form will serve as the sign-in card for agent(s) to represent your vote at the meeting.

D. In accordance with Article 165 of the Company Law, transfer of the Company's shares will be suspended from April 16, 2016 through June 14, 2016.

E. Shareholders may exercise their voting rights through the STOCKVOTE platform of Taiwan Depository & Clearing Corporation

(http://www.stockvote.com.tw ) during the period from May 15, 2016 to June 11, 2016.

F. The Transfer Agency Department of Chinatrust Commercial Bank is the proxy tallying and verification institution for this annual general meeting.

G. These regulations should be abided and applied.

Sincerely,

Board of Directors

KENDA RUBBER INDUSTRIAL CO., LTD.