PSC — Proxy Solicitation & Information Statement 2016

Aug 30, 2016

Translation – In case of any discrepancy between the Chinese and English versions, the Chinese version shall prevail.

Meeting Notice of

2016 General Shareholders’ Meeting

1. The 2016 General Shareholders’ Meeting (“the Meeting”) will be held on June 14, 2016, at 9:00am, at B1, No.8 Dongxing Road, Song Shan District, Taipei City. The key items to be addressed in the meeting are as follows:
2. Items for Discussion
3. Amendment to the “Articles of Incorporation”
4. Report Items
5. 2015 Business Report
6. 2015 Audit Committee's Review Report
7. 2015 Remuneration of Employees and Directors
8. The Result of Treasury Share Repurchase Program
9. Amendment to the “Ethical Corporate Management Best Principles.”
10. Items to be Adopted
11. 2015 Consolidated Financial Statement
12. 2015 Earnings Distribution Proposal
13. Items for Discussion
14. Amendment to the “Operating Procedures for Endorsement and Guarantee.”
15. The proposal of issuance of new shares through capitalization of retained earnings

16. Amendment to “Procedures for Engaging in Derivatives Trading”

    1. Extraordinary Motions

17. Shareholder Dividends to be distributed:

(1) Proposed cash dividend is $260,759,211, which is equivalent to $0.21 per share. Proposed stock dividend is $404,176,780, which is equivalent to $0.31 per share from earnings. Each common share holder with 1,000 shares will be entitled to receive 31 shares. It is proposed to authorize The record date for distribution will be decided by the Board of Directors as authorized. It is proposed to authorize the Board of Directors to adjust the amount per share to be distributed to shareholders based on the number of actual shares outstanding on the record date for distribution.in the event that the total number of outstanding shares changes.

1. In accordance with Article 165 of the Company Law, the transfer of shares will be suspended during the period of April 16, 2016 to June 14, 2016.

2. In addition to a public announcement, a meeting notice and proxy statement has been mailed to you. If you wish to attend the meeting in person, please fill out the Personal Attendance Notice and the Attendance Signature Card and bring these two forms with you and appear at the Meeting at the time and place mentioned above. If you would like to assign a proxy to represent you at the Meeting, please fill out the Proxy Statement and the Signature Card, and mail them back to President Securities Corp. at least 5 days before the Meeting. Once the signatures on the forms have been verified, the Signature Card will be stamped and returned and the shareholder or the shareholder’s representative will then be authorized to attend the Meeting.

3. For any shareholder intending to solicit proxy statements, our Company will have the necessary information uploaded to the Securities and Futures Institute website (http://free.sfi.org.tw) on May 13, 2016. On this website, simply click the section entitled “Proxy Statement Information Free Inquiry System”, then click on the “Enter the Proxy Statement Information Free Inquiry System” and then proceed to enter your query parameters.

4. If an election is to be held during the Meeting, the entity to be in charge of inspecting the proxy votes will be Shareholder Services Dept., President Securities Corp.

5. For any shareholder intending to excise the voting power by way of electronic transmission during the excise period from May 14 to June 11, 2016 please login https://www.stockvote.com.tw, the website of Taiwan Depository and Clearing Corporation, for operation manual.
6. Please be advised of the aforementioned.

Sincerely,

The Board of Directors

President Securities Corp.