USI - Annual Report 2021 | FinancialReports.eu

Stock Code: 1304

USI CORPORATION

Financial Statements and Independent Auditors' Report For the Years Ended December 31, 2021 and 2020

Address: No. 330, Fengren Rd., Renwu Dist., Kaohsiung City 814, Taiwan

Phone: (02)87516888

§Table of Content§

ITEM I. Cover II. Table of Content III. Independent Auditors' Report IV. Balance Sheet V. Statement of Comprehensive Income VI. Statement of Changes in Equity VII. Statement of Cash Flows VIII. Notes to the Accompanying Financial Statements (I) General Information (II) Approval of Financial Statements (III) Application of New, Amended and Revised Standards and Interpretations (IV) Summary of Significant Accounting Policies (V) Critical Accounting Judgments and Key Sources of Estimation Uncertainty (VI) Information on Important Accounting Items (VII) Related Party Transactions (VIII) Collateralized Assets (IX) Significant Contingent Liability and Unrecognized Contractual Commitments (X) Significant Disaster Loss (XI) Significant Events After the Balance Sheet Date (XII) Others (XIII) Separately Disclosed Items a. Information on Significant Transactions b. Information on Reinvestment Business c. Information on Investments in Mainland China d. Information on Major Shareholders (XIV) Segment Information IX. Statements of Major Accounting Items	PAGE 1 2 3-5 6 7-9 10 11-12 13 13 13-15 15-28 28 28-66 66-72 72-73 73-74 - - 74-77 77, 78-131 77, 78-131 77, 79-86, 112-117, 132-137, 138 78, 138 - -	FINANCIAL STATEMENT NOTES NUMBER
		- - - - - - - 1 2 3 4 5 6`～`30 31 32 33 - - 34`～`35 36 36 36 36 - -

Independent Auditors' Report

TO USI Corporation

Audit opinion

We have audited the Parent Company Only Balance Sheets of USI Corporation as of the years ended December 31, 2021 and 2020, and the Parent Company Only Statements of Comprehensive Income, Parent Company Only Statements of Changes in Equity, Parent Company Only Statements of Cash Flows and Notes to the Parent Company Only Financial Statements (including the Summary of Significant Accounting Policies) for the months from January 1 to December 31 of 2021 and 2020.

The accountant opinions are that the preparations of significant issues of the Parent Company Only Financial Statements are made in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers. They fairly present the accompanying financial conditions as of December 31 of 2021 and 2020 of USI Corporation and the accompanying financial performance and accompanying cash flows for the months from January 1 to December 31 of 2021 and of 2020.

Basis for audit opinion

The audit was conducted in accordance with the Rules Governing Auditing and Certification of Financial Statements by Certified Public Accountants and Generally Accepted Auditing Standards. Our responsibilities under those standards are further described in the Auditors’ Responsibilities for the Audit of the Parent Company Only Financial Statements section of our report. We are independent of the Company in accordance with The Norm of Professional Ethics for Certified Public Accountant, and keep independent of USI Corporation. We have fulfilled our other ethical responsibilities in accordance with these requirements. 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 for USI Corporation in our audit of the Parent Company Only Financial Statements for the year 2021. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

The key audit matter identified in the audit of the Company’s Parent Company Only Financial Statements for the year ended December 31, 2021 is as follows.

Authenticity of specific sales revenue

In 2021, USI Corporation's sales revenue of solar film products to specific customers increased yearon-year. Whether the sales revenue is properly recognized at the time of meeting performance obligations will have a material impact on the Parent Company Only Financial Statements and is therefore considered a key audit matter for the current year.

For accounting policies relating to sales revenue and relevant disclosure information, please refer to Notes 4(12) and 23 to the Parent Company Only Financial Statements.

We have carried out the main audit procedures for the above-mentioned authenticity of the sales revenue from specific customers as follows:

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Understand and test the effectiveness of the design and implementation of key internal control systems for the authenticity of sales revenue from specific customers.
Check the transaction documents of sales revenue of specific customers, including sales orders, shipping documents and collection documents, to confirm the authenticity of the recognition of sales revenue.

Responsibilities of management and governance for the Parent Company Only Financial Statements

Management is responsible for the preparation and fair presentation of the Parent Company Only Financial Statements in accordance with Regulations Governing the Preparation of Financial Reports by Securities Issuers, and such internal control as the management determines is necessary to enable the preparation of the Parent Company Only Financial Statements that are free from material misstatement, whether due to fraud or error.

In preparing the Parent Company Only Financial Statements, the 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 the management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Those in charge with the Company’s governance (including the Audit Committee) are responsible for overseeing its financial reporting process.

Auditors’ responsibilities for the audit of the Parent Company Only Financial Statements

Our objectives are to obtain reasonable assurance about whether the Parent Company Only Financial Statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report 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 auditing standards generally accepted 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 the Parent Company Only Financial Reports.

As part of an audit in accordance with auditing standards generally accepted in the Republic of China, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the Parent Company Only 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 control.
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 control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the management.
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 auditor’s report to the related disclosures in the Parent Company Only Financial Statements
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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 auditor’s report. However, future events or conditions may cause the Company to cease to continue as a going concern.

Evaluate the overall presentation, structure and content of the Parent Company Only Financial Statements (including the related notes) and whether the Parent Company Only Financial Statements represent the underlying transactions and events in a manner that achieves fair presentation.
Obtain sufficient and appropriate audit evidence regarding the financial information of the entities or business activities within the Company to express an opinion on the Parent Company Only Financial Statements. We are responsible for the direction, supervision and performance of the Company audit. We remain solely responsible for our audit opinion.

We communicate with those in charge 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).

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the Parent Company Only Financial Statements of the Company for the year ended December 31, 2021 and are therefore the key audit matters. We describe these matters in our auditor’s 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.

The engagement partners on the audit resulting in this independent auditors’report are Pi-Yu Chuang (Fiancial Supervisory Commission, Approval No. 1070323246) and Cheng-Hung Kuo (Securities and Futures Bureau, Approval No. 0920123784).

Deloitte& Touche Taipei, Taiwan Republic of China

Notice to Readers

The accompanying financial statements are intended only to present the accompanying financial position,financial performance and cash flows in accordance with accounting principles and practices generally accepted in the Republic of China and not those of any other jurisdictions. The standards, procedures and practices to audit such accompanying financial statements are those generally applied in the Republic of China. For the convenience of readers, the independent 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. If there is any conflict between the English version and the original Chinese version or any difference in the interpretation of the two versions, the Chineselanguage independent auditors’ report and accompanying financial statements shall prevail.

March 16, 2022

USI Corporation

Parent Company Only Balance Sheet

For the Years Ended December 31, 2021 and 2020

(In Thousands of New Taiwan Dollars)

Code 1100 1110 1136 1150 1170 1180 1200 1210 130X 1410 1470 11XX 1517 1535 1550 1600 1755 1760 1821 1840 1990 15XX 1XXX Code 2100 2120 2170 2180 2200 2220 2230 2280 2320 2399 21XX 2530 2540 2570 2580 2640 2650 2670 25XX 2XXX 3100 3200 3310 3320 3350 3300 3400 3500 3XXX	Assets CURRENT ASSETS Cash and cash equivalents (Notes 4 and 6) Financial assets at fair value through profit or loss (FVTPL) - current (Notes 4 and 7) Financial assets at amortized cost - current (Notes 4, 9 and 32) Notes receivable, net (Notes 4 and 10) Accounts receivable, net (Notes 4 and 10) Accounts receivable, related parties (Notes 4, 10 and 31) Other receivables (Notes 4 and 10) Other receivables, related parties (Notes 4, 10 and 31) Inventories (Notes 4 and 11) Prepayments Other current assets Total current assets NON-CURRENT ASSETS Financial assets at fair value through other comprehensive income (FVTOCI) - non-current (Notes 4 and 8) Financial assets at amortized cost - non-current (Notes 4 and 9) Investments accounted for using the equity method (Notes 4, 5, 12, 27 and 34) Property, plant and equipment (Notes 4 and 13) Right-of-use assets (Notes 4 and 14) Investment properties (Notes 4, 15 and 31) Intangible assets (Notes 4 and 16) Deferred tax assets (Notes 4 and 25) Other non-current assets (Note 32) Total non-current assets Total Assets Liabilities and Equity CURRENT LIABILITIES Short-term borrowings (Note 17) Financial liabilities at fair value through profit or loss (FVTPL) - current (Notes 4 and 7) Accounts payable (Note 19) Accounts payable, related parties (Notes 19 and 31) Other payables (Note 20) Other payables, related parties (Notes 20 and 31) Current tax liabilities (Notes 4 and 25) Lease liabilities - current (Notes 4 and 14) Current portion of long-term borrowings (Note 18) Other current liabilities (Notes 23 and 31) Total current liabilities NON-CURRENT LIABILITIES Bonds payable (Note 18) Long-term borrowings (Note 17) Deferred tax liabilities (Notes 4 and 25) Lease liabilities - non-current (Notes 4 and 14) Net defined benefit liabilities - non-current (Notes 4 and 21) Investments credits balances for using equity method (Notes 4 and 12) Other non-current liabilities - others (Note 17) Total non-current liabilities Total Liabilities Equity (Notes 4, 8, 12, 21, 22, 25 and 30) Share capital Capital surplus Retained earnings Legal reserve Special reserve Unappropriated earnings Total retained earnings Other equity Treasury shares Total equity Total liabilities and equity	For the Year Ended December 31, 2021 Amount `％` $ 1,108,794 3 2,595,881 7 61,149 - 119,379 - 1,964,107 5 106,468 - 106,418 - 593,853 2 1,252,391 3 204,395 1 - - 8,112,835 21 922,551 3 12,968 - 21,859,237 58 6,511,029 17 9,641 - 159,713 1 40 - 142,813 - 121,615 - 29,739,607 79 $ 37,852,442 100 $ - - 2,492 - 1,019,778 3 394,449 1 532,320 1 16,195 - 779,227 2 31,336 - 2,999,199 8 189,951 1 5,964,947 16 5,989,773 16 34,310 - 100,769 - 115,187 - 172,677 1 1,195 - 11,585 - 6,425,496 17 12,390,443 33 11,887,635 31 366,185 1 3,343,086 9 375,127 1 9,881,214 26 13,599,427 36 84,358 - ( 475,606) ( 1) 25,461,999 67 $ 37,852,442 100	For the Year Ended December 31, 2021 Amount `％` $ 1,108,794 3 2,595,881 7 61,149 - 119,379 - 1,964,107 5 106,468 - 106,418 - 593,853 2 1,252,391 3 204,395 1 - - 8,112,835 21 922,551 3 12,968 - 21,859,237 58 6,511,029 17 9,641 - 159,713 1 40 - 142,813 - 121,615 - 29,739,607 79 $ 37,852,442 100 $ - - 2,492 - 1,019,778 3 394,449 1 532,320 1 16,195 - 779,227 2 31,336 - 2,999,199 8 189,951 1 5,964,947 16 5,989,773 16 34,310 - 100,769 - 115,187 - 172,677 1 1,195 - 11,585 - 6,425,496 17 12,390,443 33 11,887,635 31 366,185 1 3,343,086 9 375,127 1 9,881,214 26 13,599,427 36 84,358 - ( 475,606) ( 1) 25,461,999 67 $ 37,852,442 100	For the Year Ended December 31, 2021 Amount `％` $ 1,108,794 3 2,595,881 7 61,149 - 119,379 - 1,964,107 5 106,468 - 106,418 - 593,853 2 1,252,391 3 204,395 1 - - 8,112,835 21 922,551 3 12,968 - 21,859,237 58 6,511,029 17 9,641 - 159,713 1 40 - 142,813 - 121,615 - 29,739,607 79 $ 37,852,442 100 $ - - 2,492 - 1,019,778 3 394,449 1 532,320 1 16,195 - 779,227 2 31,336 - 2,999,199 8 189,951 1 5,964,947 16 5,989,773 16 34,310 - 100,769 - 115,187 - 172,677 1 1,195 - 11,585 - 6,425,496 17 12,390,443 33 11,887,635 31 366,185 1 3,343,086 9 375,127 1 9,881,214 26 13,599,427 36 84,358 - ( 475,606) ( 1) 25,461,999 67 $ 37,852,442 100	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020
			Amount $ 1,108,794 2,595,881 61,149 119,379 1,964,107 106,468 106,418 593,853 1,252,391 204,395 - 8,112,835 922,551 12,968 21,859,237 6,511,029 9,641 159,713 40 142,813 121,615 29,739,607 $ 37,852,442 $ - 2,492 1,019,778 394,449 532,320 16,195 779,227 31,336 2,999,199 189,951 5,964,947 5,989,773 34,310 100,769 115,187 172,677 1,195 11,585 6,425,496 12,390,443 11,887,635 366,185 3,343,086 375,127 9,881,214 13,599,427 84,358 475,606) 25,461,999 $ 37,852,442			Amount $ 991,966 2,096,700 60,893 64,154 1,364,308 94,080 41,932 220,189 776,109 172,471 1 5,882,803 972,639 - 19,133,959 6,473,623 14,091 186,758 155 110,905 117,702 27,009,832 $ 32,892,635 $ 499,000 11,522 712,367 188,290 364,098 11,906 196,426 30,974 1,999,233 76,012 4,089,828 4,995,069 2,300,000 145,390 146,523 213,608 - 11,439 7,812,029 11,901,857 11,887,635 321,798 3,109,625 781,059 5,606,462 9,497,146 240,195) 475,606) 20,990,778 $ 32,892,635		`％`
		(		(	( (		( (	3 7 - - 4 - - 1 2 1 - 18 3 - 58 20 - 1 - - - 82 100 1 - 2 1 1 - 1 - 6 - 12 15 7 - 1 1 - - 24 36 36 1 10 2 17 29 1) 1) 64 100

The accompanying notes are an integral part of the Parent Company Only Financial Statements.

USI Corporation

Parent Company Only Statement of Comprehensive Income

For the Years Ended December 31, 2021 and 2020

(In Thousands of New Taiwan Dollars, Except Earnings Per Share)

Code 4100 OPERATING REVENUE (Notes 4, 23 and 31) 5110 COST OF GOODS SOLD (Notes 4, 11, 13, 16, 21, 24 and 31) 5900 GROSS PROFIT 5910 The unrealized profits with the subsidiaries (Notes 4 and 31) 5920 The realized profits with the subsidiaries (Notes 4 and 31) 5950 The realized gross profit OPERATING EXPENSES (Notes 4, 13, 14, 16, 21, 24 and 31) 6100 Selling and marketing expenses 6200 General and administrative expenses 6300 Research and development expenses 6000 Total operating expenses 6900 PROFIT FROM OPERATIONS NON-OPERATING INCOME AND EXPENSES 7100 Interest income (Notes 4, 24 and 31) 7010 Other income (Notes 4, 8, 24 and 31) 7020 Other gains and losses (Notes 4, 15, 24 and 31) 7050 Finance costs (Notes 4, 14, 17, 18 and 24) 7070 Share of profit or loss of subsidiaries accounted for using equity method (Notes 4 and 12) 7000 Total non-operating income and expenses	For the Year Ended December 31, 2021 Amount `％` $ 16,034,251 100 11,730,457 73 4,303,794 27 ( 1,175 ) - 1,247 - 4,303,866 27 390,366 2 230,902 2 160,688 1 781,956 5 3,521,910 22 5,948 - 202,579 1 38,730 - ( 94,746 ) ( 1 ) 2,196,420 14 2,348,931 14	For the Year Ended December 31, 2021 Amount `％` $ 16,034,251 100 11,730,457 73 4,303,794 27 ( 1,175 ) - 1,247 - 4,303,866 27 390,366 2 230,902 2 160,688 1 781,956 5 3,521,910 22 5,948 - 202,579 1 38,730 - ( 94,746 ) ( 1 ) 2,196,420 14 2,348,931 14	For the Year Ended December 31, 2021 Amount `％` $ 16,034,251 100 11,730,457 73 4,303,794 27 ( 1,175 ) - 1,247 - 4,303,866 27 390,366 2 230,902 2 160,688 1 781,956 5 3,521,910 22 5,948 - 202,579 1 38,730 - ( 94,746 ) ( 1 ) 2,196,420 14 2,348,931 14	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020
		Amount $ 16,034,251 11,730,457 4,303,794 1,175 ) 1,247 4,303,866 390,366 230,902 160,688 781,956 3,521,910 5,948 202,579 38,730 94,746 ) 2,196,420 2,348,931			Amount $ 10,172,220 8,664,406 1,507,814 1,247 ) 842 1,507,409 235,617 246,533 116,819 598,969 908,440 6,604 152,304 42,667 105,041 ) 1,555,348 1,651,882		`％`
	( (		(	( (		(	100 85 15 - - 15 2 3 1 6 9 - 2 - 1 ) 15 16

(Continued)

(Continued)
Code 7900 PROFIT BEFORE INCOME TAX FROM CONTINUING OPERATIONS 7950 INCOME TAX EXPENSE (Notes 4 and 25) 8200 NET PROFIT FOR THE PERIOD OTHER COMPREHENSIVE INCOME (LOSS) Items that will not be reclassified subsequently to profit or loss: 8311 Remeasurements of the defined benefit plan (Notes 4 and 21) 8316 (Loss) profit of equity instruments at FVTOCI (Notes 4 and 22) 8330 Share of profit or loss of other comprehensive income of subsidiaries accounted for using equity method (Notes 4 and 22) 8349 Income tax relating to items that will not be reclassified (Notes 4, 22 and 25) 8310 Items that may be reclassified subsequently to profit or loss: 8361 Exchange differences on translating the financial statements of foreign operations (Notes 4 and 22) 8380 Share of profit or loss of other comprehensive income of subsidiaries accounted for using equity method (Notes 4 and 22) 8399 Income tax relating to items that may be reclassified (Notes 4 and 25) 8360 8300 Other comprehensive income for the period, net of income tax	For the Year Ended December 31, 2021 Amount `％` $ 5,870,841 36 679,447 4 5,191,394 32 5,820 - ( 29,190 ) - 575,855 4 ( 1,164) - 551,321 4 ( 90,466 ) ( 1 ) ( 54,745 ) - 18,093 - ( 127,118) ( 1) 424,203 3			For the Year Ended December 31, 2020
		Amount $ 5,870,841 679,447 5,191,394 5,820 29,190 ) 575,855 1,164) 551,321 90,466 ) 54,745 ) 18,093 127,118) 424,203			Amount $ 2,560,322 150,544 2,409,778 1,589 ) 107,870 340,144 318 446,743 11,182 10,070 2,236) 19,016 465,759	`％`
	( ( ( ( (		( (	( (		25 1 24 - 1 3 - 4 - - - - 4

8500 TOTAL COMPREHENSIVE INCOME FOR THE PERIOD EARNINGS PER SHARE (Note 26) 9750 Basic earnings per share 9850 Diluted earnings per share	$ 5,615,597 $ 4.84 $ 4.83	35	$ 2,875,537 $ 2.25 $ 2.24	28

The accompanying notes are an integral part of the Parent Company Only Financial Statements.

USI Corporation

Parent Company Only Statement of Changes in Equity

For the Years Ended December 31, 2021 and 2020

	Capitalsurplus		Retained earnings	Unappropriated Earnings (Notes 4, 8, 12,21,22and25) $ 4,346,640 ( 129,872 ) ( 350,533 ) ( 594,382 ) 2,409,778 2,974 2,412,752 ( 76,278 ) - - ( 1,865) 5,606,462 ( 233,461 ) 405,932 ( 1,188,763 ) 5,191,394 ( 804) 5,190,590 100,454 - - $ 9,881,214	(In Thousands of New Taiwan Dollars) Otherequity Exchange differences on translating the financial statements of foreign operations (Notes4,22and25) Unrealized Gain (Loss) on Financial Assets at FVTOCI (Notes4, 8,22and 30) Treasury shares (Notes4and22) Totalequity ( $ 602,871 ) ( $ 178,187 ) ( $ 475,606 ) $ 18,659,503 - - - - - - - - - - - ( 594,382 ) - - - 2,409,778 19,016 443,769 - 465,759 19,016 443,769 - 2,875,537 - 76,213 - 29,855 - - - 1,100 - - - 19,165 - 1,865 - - ( 583,855 ) 343,660 ( 475,606 ) 20,990,778 - - - - - - - - - - - ( 1,188,763 ) - - - 5,191,394 ( 127,118) 552,125 - 424,203 ( 127,118) 552,125 - 5,615,597 - ( 100,454 ) - 4,691 - - - 1,367 - - - 38,329 ($ 710,973) $ 795,331 ($ 475,606) $ 25,461,999	(In Thousands of New Taiwan Dollars) Otherequity Exchange differences on translating the financial statements of foreign operations (Notes4,22and25) Unrealized Gain (Loss) on Financial Assets at FVTOCI (Notes4, 8,22and 30) Treasury shares (Notes4and22) Totalequity ( $ 602,871 ) ( $ 178,187 ) ( $ 475,606 ) $ 18,659,503 - - - - - - - - - - - ( 594,382 ) - - - 2,409,778 19,016 443,769 - 465,759 19,016 443,769 - 2,875,537 - 76,213 - 29,855 - - - 1,100 - - - 19,165 - 1,865 - - ( 583,855 ) 343,660 ( 475,606 ) 20,990,778 - - - - - - - - - - - ( 1,188,763 ) - - - 5,191,394 ( 127,118) 552,125 - 424,203 ( 127,118) 552,125 - 5,615,597 - ( 100,454 ) - 4,691 - - - 1,367 - - - 38,329 ($ 710,973) $ 795,331 ($ 475,606) $ 25,461,999	(In Thousands of New Taiwan Dollars) Otherequity Exchange differences on translating the financial statements of foreign operations (Notes4,22and25) Unrealized Gain (Loss) on Financial Assets at FVTOCI (Notes4, 8,22and 30) Treasury shares (Notes4and22) Totalequity ( $ 602,871 ) ( $ 178,187 ) ( $ 475,606 ) $ 18,659,503 - - - - - - - - - - - ( 594,382 ) - - - 2,409,778 19,016 443,769 - 465,759 19,016 443,769 - 2,875,537 - 76,213 - 29,855 - - - 1,100 - - - 19,165 - 1,865 - - ( 583,855 ) 343,660 ( 475,606 ) 20,990,778 - - - - - - - - - - - ( 1,188,763 ) - - - 5,191,394 ( 127,118) 552,125 - 424,203 ( 127,118) 552,125 - 5,615,597 - ( 100,454 ) - 4,691 - - - 1,367 - - - 38,329 ($ 710,973) $ 795,331 ($ 475,606) $ 25,461,999	(In Thousands of New Taiwan Dollars) Otherequity Exchange differences on translating the financial statements of foreign operations (Notes4,22and25) Unrealized Gain (Loss) on Financial Assets at FVTOCI (Notes4, 8,22and 30) Treasury shares (Notes4and22) Totalequity ( $ 602,871 ) ( $ 178,187 ) ( $ 475,606 ) $ 18,659,503 - - - - - - - - - - - ( 594,382 ) - - - 2,409,778 19,016 443,769 - 465,759 19,016 443,769 - 2,875,537 - 76,213 - 29,855 - - - 1,100 - - - 19,165 - 1,865 - - ( 583,855 ) 343,660 ( 475,606 ) 20,990,778 - - - - - - - - - - - ( 1,188,763 ) - - - 5,191,394 ( 127,118) 552,125 - 424,203 ( 127,118) 552,125 - 5,615,597 - ( 100,454 ) - 4,691 - - - 1,367 - - - 38,329 ($ 710,973) $ 795,331 ($ 475,606) $ 25,461,999
					Exchange differences on translating the financial statements of foreign operations (Notes4,22and25) ( $ 602,871 ) - - - - 19,016 19,016 - - - - ( 583,855 ) - - - - ( 127,118) ( 127,118) - - - ($ 710,973)
Treasury Share Transactions (Note 22) $ 245,482 - - - - - - - - 19,165 - 264,647 - - - - - - - - 38,329 $ 302,976	Shares of Changes in Capital Surplus of Subsidiaries recognized by Equity Method (Notes 4 and 22) $ 7,291 - - - - - - 29,920 - - - 37,211 - - - - - - 4,691 - - $ 41,902
		Legal Reserve (Note 22) $ 2,979,753 129,872 - - - - - - - - - 3,109,625 233,461 - - - - - - - - $ 3,343,086	Special Reserve (Note 22) $ 430,526 - 350,533 - - - - - - - - 781,059 - ( 405,932 ) - - - - - - - $ 375,127
			(	( ( ( ( ( ( ( (	( ( ( ( (	( (	( (	$ 18,659,503 - - 594,382 ) 2,409,778 465,759 2,875,537 29,855 1,100 19,165 - 20,990,778 - - 1,188,763 ) 5,191,394 424,203 5,615,597 4,691 1,367 38,329 $ 25,461,999

The accompanying notes are an integral part of the Parent Company Only Financial Statements.

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USI Corporation

Parent Company Only Statement of Cash Flow

For the Years Ended December 31, 2021 and 2020

(In Thousands of New Taiwan Dollars)

Code Cash flows from operating activities A10000 Net profit before tax for the year A20010 Income (expenses) items A20100 Depreciation expenses A20200 Amortization expense A20400 Net gain on fair value change of financial assets and liabilities as at FVTPL A20900 Finance costs A21200 Interest income A21300 Dividend income A22300 Share of profit or loss of subsidiaries accounted for using equity method A22500 (Gain) loss of disposal and scrapping of property, plant and equipment A23200 The investment loss of disposing with the equity method A23700 Provision for write-downs of inventories and obsolescence losses A23900 The unrealized profits with the subsidiaries A24000 The realized profits with the subsidiaries A30000 Changes in operating assets and liabilities A31115 (Increase) decrease in financial assets mandatorily classified as at FVTPL A31130 (Increase) decrease in notes receivable A31150 Increase in accounts receivable A31160 Accounts receivable – related parties increase A31180 (Increase) decrease in other receivables A31190 Other receivables – related parties (increase) decrease A31200 (Increase) decrease in inventories A31230 Increase in prepayments A31240 Decrease in other current assets A32130 Increase (decrease) in accounts payable A32160 Accounts payable - related parties increase A32180 Increase (decrease) in other payables A32190 Other payables - related parties increase (decrease) A32230 Increase in other current liabilities A32240 Decrease in net defined benefit liabilities A33000 Cash generated from operations A33100 Interest received	For the Year Ended December31,2021 $ 5,870,841 607,937 13,452 ( 93,217 ) 97,352 ( 5,948 ) ( 99,744 ) ( 2,196,420 ) ( 2,794 ) - 22,935 1,175 ( 1,247 ) ( 414,994 ) ( 55,225 ) ( 599,799 ) ( 12,388 ) ( 65,138 ) ( 248,664 ) ( 499,217 ) ( 31,924 ) 1 307,411 206,159 131,106 4,289 113,939 ( 35,111) 3,014,767 6,600	For the Year Ended December31,2020
		$ 2,560,322 603,125 14,249 ( 93,098 ) 107,540 ( 6,604 ) ( 50,630 ) ( 1,555,348 ) 161 527 23,413 1,247 ( 842 ) 179,435 9,772 ( 134,952 ) ( 4,330 ) 18,918 164,574 249,773 ( 14,046 ) 20 ( 57,045 ) 40,895 ( 16,322 ) ( 5,965 ) 8,943 ( 62,916) 1,980,816 5,829

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(Continued)

(Continued)
Code A33300 Interest paid A33500 Income tax paid AAAA Net cash generated from operating activities Cash flows from investing activities B00020 Disposal of FVTOCI B00030 Return of capital from financial assets at FVTOCI B00040 Purchase of financial assets at amortized cost B02200 Net cash outflows from acquisition of subsidiaries (Note 27) B02400 Refund of stock capital from capital reduction of investee companies using the equity method B02700 Acquisitions of property, plant and equipment B02800 Proceeds from disposal of property, plant and equipment B03700 (Increase) decrease in refundable deposit B04500 Acquisitions of intangible assets B05800 Other receivables – related parties increase B06700 (Increase) decrease in other non-current assets B07600 Dividends received BBBB Net cash used in investing activities CASH FLOWS FROM FINANCING ACTIVITIES C00100 Decrease in short-term borrowings C01200 Issuing of bonds C01300 Repayments of bonds C01600 Proceeds from mid- to long-term borrowings C01700 Repayments of mid- to long-term borrowings C03000 Proceeds from guarantee deposits received C04020 Repayments of the principal portion of lease liabilities C04500 Cash dividends paid C05400 Acquisition of subsidiaries CCCC Net cash used in financing activities EEEE NET INCREASE IN CASH AND CASH EQUIVALENTS E00100 CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE PERIOD E00200 CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD	For the Year Ended December31,2021 ( $ 87,865 ) ( 156,246) 2,777,256 - 20,898 ( 76,499 ) ( 34,092 ) - ( 518,149 ) 1,905 ( 1,947 ) - ( 125,000 ) ( 15,303 ) 149,837 ( 598,350) ( 499,000 ) 3,991,268 ( 2,000,000 ) 3,634,800 ( 5,900,000 ) 591 ( 30,974 ) ( 1,188,763 ) ( 70,000) ( 2,062,078) 116,828 991,966 $ 1,108,794	For the Year Ended December31,2020
		( $ 118,418 ) ( 133,648) 1,734,579 2,784 32,845 ( 332 ) - 3,877 ( 438,675 ) 2,483 6,951 ( 113 ) - 23,054 89,489 ( 277,637) ( 1,000 ) - ( 1,000,000 ) 5,200,000 ( 4,850,000 ) 186 ( 30,752 ) ( 594,382 ) ( 349) ( 1,276,297) 180,645 811,321 $ 991,966

The accompanying notes are an integral part of the Parent Company Only Financial Statements.

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USI CORPORATION

NOTES TO THE ACCOMPANYING FINANCIAL STATEMENTS

For the Years Ended December 31, 2021 and 2020

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

1. GENERAL INFORMATION

USI Corporation ("USI", the "Company" or the "parent company") was incorporated in May 1965. The Company mainly produces and sells polyethylene. In May 1972, the Company's shares have been listed on the Taiwan Stock Exchange ("TWSE").

The accompanying financial statements of the Company and its subsidiaries, collectively referred to as the "Company", are presented in the Company's functional currency, the New Taiwan dollar.

2. APPROVAL OF FINANCIAL STATEMENTS

The accompanying financial statements were reported to and issued by the Company's board of directors on March 10, 2022.

3. APPLICATION OF NEW, AMENDED AND REVISED STANDARDS AND INTERPRETATIONS

a. Initial application of the International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), IFRIC Interpretations (IFRIC), and SIC Interpretations (SIC) (collectively, the "IFRSs") endorsed and issued into effect by the Financial Supervisory Commission (FSC).

The initial application of IFRSs endorsed and issued into effect by the FSC would not have any material impact on the Company's accounting policies.

b. New IFRSs endorsed and issued into effect by the FSC applied in 2022

New/Revised/Amended Standards and Effective Date Announced by Interpretations IASB "Annual Improvements to IFRSs 2018-2020 Cycle" January 1, 2022 (Note 1) Amendment to IFRS 3 "Amendments to References to the Conceptual Framework in IFRS Standards" January 1, 2022 (Note 2) Amendments to IAS 16 "Property, Plant and January 1, 2022 (Note 3) Equipment — Proceeds before Intended Use" Amendments to IAS 37 "Onerous Contracts - Cost of January 1, 2022 (Note 4) Fulfilling a Contract"

Note 1. The amendments to IFRS 9 are applied prospectively to modifications and exchanges of financial liabilities that occur on or after the annual reporting periods beginning on or after January 1, 2022. The amendments to IAS 41 "Agriculture" are applied prospectively to the fair value measurements on or
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after the annual reporting periods beginning on or after January 1, 2022. The amendments to IFRS 1 "First-time Adoptions of IFRSs" are applied retrospectively for annual reporting periods beginning on or after January 1, 2022.

Note 2. The amendments are applicable to business combinations for which the acquisition date is on or after the beginning of the first annual reporting period beginning on or after January 1, 2022.
Note 3. The amendments are applicable to property, plant and equipment that are brought to the location and condition necessary for them to be capable of operating in the manner intended by management on or after January 1, 2021.
Note 4. The amendments are applicable to contracts of which the obligations have not been fulfilled on or after January 1, 2022.

As of the date the accompanying financial statements were authorized for issue, the Company assessed that other standards and the amendments of the interpretations would not have a significant impact on the Company's accompanying financial position and financial performance.

c. IFRSs issued by IASB but not endorsed and issued by FSC

New/Revised/Amended Standards and Effective Date Announced by Interpretations IASB (Note 1) Amendments to IFRS 10 and IAS 28 "Sale or To be determined by IASB Contribution of Assets between an Investor and Its Associate or Joint Venture" IFRS 17 "Insurance Contracts" January 1, 2023 Amendments to IFRS 17 January 1, 2023 Amendment to IFRS 17 "Initial Application of IFRS January 1, 2023 17 and IFRS 9―Comparative Information " Amendments to IAS 1 "Classification of Liabilities as January 1, 2023 Current or Non-Current" Amendments to IAS 1 "Disclosure of Accounting January 1, 2023 (Note 2) Policies" Amendment to IAS 8 "Definition of Accounting January 1, 2023 (Note 3) Estimates" Amendments to IAS 12 "Deferred Tax Related to January 1, 2023 (Note 4) Assets and Liabilities Arising from a Single Transaction"

Note 1. Unless stated otherwise, the above New/Revised/Amended Standards and Interpretations are effective for annual reporting periods beginning on or after their respective effective dates.

Note 2. The amendments are applicable to the delay of the annual reporting periods beginning on or after January 1, 2023.

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Note 3. The amendments are applicable to the changes of the accounting estimates and changes of accounting policies which happen on the annual reporting periods beginning on or after January 1, 2023.
Note 4. Except for the recognition of deferred income tax on temporary differences between lease and decommissioning obligations on January 1, 2022, the amendments are applicable to transactions that occur after January 1, 2022.

As of the date the accompanying financial statements were authorized for issue, the Company is continuously assessing the possible impact that the application of other standards and interpretations will have on the Company's financial position and financial performance and will disclose the relevant impact when the assessment is completed.

4. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

a. Statement of compliance These accompanying financial statements have been prepared in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers.
b. Basis of preparation

The accompanying financial statements have been prepared on the historical cost basis except for financial instruments that are measured at fair value and net defined benefit liabilities which are measured at the present value of the defined benefit obligation less the fair value of plan assets.

The fair value measurements are grouped into Levels 1 to 3 based on the degree to which the fair value measurement inputs are observable and the significance of the inputs to the fair value measurement in its entirety, which are described as follows:

1) Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities on measurement day.
2) Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for an asset or liability, either directly (i.e., prices) or indirectly (i.e., derived from prices).
3) Level 3 inputs are unobservable inputs for an asset or liability.

When preparing the individual financial statements, the Company used the equity method to account for its investments in subsidiaries. In order for the amounts of the net profit for the year, other comprehensive income/equity for the year and total equity in the accompanying financial statements to be the same with the amounts attributable to the owners of the Company in its financial statements, adjustments arising from the differences in accounting treatments were made for "investments accounted for using the equity

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method", "the recognized share of profit or loss of subsidiaries by using the equity method", "the recognized share of other comprehensive income of subsidiaries by using the equity method" and other equity items.

c. Classification standard of current and non-current assets and liabilities Current assets include:
1) Assets held primarily for the purpose of trading;
2) Assets expected to be realized within 12 months after the reporting period; and
3) Cash and cash equivalents (not including the asset restricted from being exchanged or used to settle a liability for at least 12 months after the reporting period. )

Current liabilities include:

1) Liabilities held primarily for the purpose of trading;
2) Liabilities due to be settled within 12 months after the balance sheet date; and
3) Liabilities for which the Company does not have an unconditional right to defer settlement for at least 12 months after the balance sheet date.

Assets and liabilities that are not classified as current are classified as non-current.

d. Foreign currency

In preparing the Company's financial statements, transactions in currencies other than the Company's functional currency (i.e., foreign currencies) are recognized at the rates of exchange prevailing at the dates of the transactions.

Monetary items denominated in foreign currencies are retranslated at the rates prevailing on each balance sheet date. Exchange differences on monetary items arising from settlement or translation are recognized in profit or loss in the period in which they arise. Non-monetary items that are measured at historical cost in a foreign currency are translated using the exchange rate on the date of the transaction and will not be translated again.

In presenting accompanying financial statements, the assets and liabilities of the Company's foreign operations (including subsidiaries in other countries that use currencies different from the functional currency of the Company) are translated into the presentation currency, the New Taiwan dollar. Income and expense items are translated at the average exchange rates on the balance sheet date. The resulting currency translation differences are recognized in other comprehensive income.

When disposing of all or part of the subsidiaries of foreign operations which resulted in losing control of the foreign operations, all the accumulated exchange differences related to the foreign operations will be classified as profit and loss.

But when disposing of part of the subsidiaries and associates which did not result in losing control of the foreign operations, the accumulated exchange differences will be

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incorporated into the calculation of equity transactions rather than profit or loss. In other disposal of foreign operations, the accumulated exchange differences will be classified as profit and loss based on its proportion.

e. Inventories

Inventories consist of raw materials, supplies, finished goods and work-in-process and are stated at the lower of cost or net realizable value. Inventory write-downs are made by item, except where it may be appropriate to Company similar or related items. Net realizable value is the balance that the estimated selling price of inventories less all estimated costs of completion and costs necessary to make the sale. Inventory costs are calculated by moving average method.

f. Investment in subsidiaries

The Company uses the equity method to account for its investments in subsidiaries. A subsidiary is an entity that is controlled by the Company.

Under the equity method, an investment in a subsidiary is initially recognized at cost and adjusted thereafter to recognize the Company's share of the profit or loss and other comprehensive income of the subsidiary. In addition, changes in the Company's interests of subsidiaries are recognized according to the ownership proportion.

Changes in the Company's ownership interest in a subsidiary that do not result in the Company losing control of the subsidiary are equity transactions. As for any differences between the carrying amount of the investment and the fair value of the consideration paid or received, the Company recognizes them directly as equity.

When the Company's shares of losses of a subsidiary equal or exceed its equity in that subsidiary (which includes any carrying amount of the investment accounted for by using the equity method and long-term equity that, in substance, form part of the Company's net investment in the subsidiary), the Company continues recognizing its losses according to the ownership proportion.

When the acquisition cost exceeds the net fair value of the Company's identifiable assets and liabilities of the subsidiary on the acquisition date, the exceeding amount is classified as goodwill, which is included in the carrying value of the investment and is not amortized; when the net fair value of the Company's net fair value of the subsidiary exceeds the acquisition cost, the exceeding amount is classified as current income.

When the Company assesses its investment for any impairment, it considers cash generating units on the entire financial statements and comparing the carrying amount with the estimated recoverable amount. If the recoverable amount of the investment subsequently increases, the Company recognizes the reversal of the impairment loss as gain;

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however, the adjusted post-reversal carrying amount should not exceed the carrying amount that would have been recognized after deducting the amortization had no impairment loss been recognized. The impairment loss attributable to goodwill shall not be reversed in subsequent periods.

When the Company loses control over a subsidiary, it measures the investment retained in the former subsidiary at its fair value on the date when control is lost. The difference between the fair value of the retained investment plus any disposal proceeds and the carrying amount of the previous investment on the date when the control is lost is recognized as a profit or loss for current period. Besides, the Company accounts for all amounts previously recognized in other comprehensive income related to that subsidiary on the same basis as would be required if the Company had directly disposed of the related assets or liabilities.

The unrealized profits or losses resulting from downstream transactions between the Company and the subsidiaries are eliminated in the accompanying financial statements. Profits and losses resulting from upstream transactions and transactions between subsidiaries are recognized in the accompanying financial statements only to the extent of interests in the subsidiaries of parties that are not related to the Company.

g. Property, plant and equipment

Property, plant and equipment are stated at cost, subsequently are measured at the amount of cost less accumulated depreciation.

Property, plant and equipment in the course of construction are carried at cost less any recognized impairment loss. Cost includes professional fees and borrowing costs eligible for capitalization. Such assets are depreciated and classified to the appropriate categories of property, plant and equipment when completed and ready for their intended use.

Except for self-owned land, depreciation of property, plant and equipment is recognized using the straight-line basis during useful life. Each significant part is depreciated separately. The estimated useful lives, residual values and depreciation methods are reviewed at the end of each reporting period, with the effects of any changes in estimates accounted for on a prospective basis.

On de-recognition of an item of property, plant and equipment, the difference between the sales proceeds and the carrying amount of the asset is recognized in profit or loss.

h. Investment properties

Investment property refers to property held for the purpose of earning rent or capital appreciation or both (including right-of-use assets that meet the definition of investment property).

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Self-owned investment property is initially measured at cost (including transaction costs), and subsequently measured at the amount of cost less accumulated depreciation.

The investment property acquired by lease is initially measured at cost (including the original measurement amount of the lease liability and the lease payment paid before the lease start date), and subsequently measured at cost less the accumulated amount of depreciation and adjusted the re-measurement amount of the lease liability. All investment property is depreciated on a straight-line basis.

When investment property is de-recognized, the difference between the net disposal proceeds and the carrying amount of the asset is recognized in profit and loss. Intangible assets

Intangible assets with finite useful lives that are acquired separately are initially measured at cost and subsequently measured at the amount of cost less accumulated amortization and accumulated impairment loss. Amortization is recognized on a straight-line basis during the useful life. The estimated useful life, residual value, and amortization method are reviewed at the end of each reporting period, with the effect of any changes in estimate accounted for on a prospective basis.

On de-recognition of an intangible asset, the difference between the net disposal proceeds and the carrying amount of the asset is recognized in the current profit or loss.

j. Impairment of property, plant and equipment, right-of-use asset, investment property and intangible assets

On each balance sheet date, the Company reviews the carrying amounts of its property, plant and equipment, right-of-use asset, investment property and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss. When it is not possible to estimate the recoverable amount of an individual asset, the Company estimates the recoverable amount of the cash-generating unit to which the asset belongs. Shared assets are allocated to the Company of the smallest cash-generating unit on a reasonable and consistent basis.

Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment at least annually.

The recoverable amount is the higher of fair value less costs of sale and value in use. If the recoverable amount of an asset or cash-generating unit is estimated to be less than its carrying amount, the carrying amount of the asset or cash-generating unit is reduced to its recoverable amount, with the resulting impairment loss recognized in profit or loss.

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When an impairment loss is subsequently reversed, the carrying amount of the asset or cash-generating unit is increased to the revised estimate of its recoverable amount, but only to the extent of the carrying amount (less amortization or depreciation) that would have been determined to have no impairment loss recognized on the asset or cash-generating unit in prior years. A reversal of an impairment loss is recognized in profit or loss.

k. Financial instruments

Financial assets and financial liabilities are recognized in the accompanying balance sheet when the Company becomes a party to the contractual provisions of the instruments. When financial assets and financial liabilities are initially measured, in case financial assets and financial liabilities are not measured at FVTPL, they are measured with the fair value added to transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities at FVTPL are recognized immediately in profit or loss.

1) Financial assets

All regular way purchases or sales of financial assets are recognized and derecognized on a trade date basis.

a) Measurement categories

Financial assets held by the Company are classified into the following categories: financial assets measured at fair value through profit and loss, financial assets measured at amortized cost, investment in equity instruments measured at fair value through other comprehensive profits and losses.

i. Financial assets measured at fair value through profit and loss Financial assets measured at fair value through profit and loss are financial assets that are forced to be measured at fair value through profit and loss. They include investments in equity instruments that are not designated to be measured at fair value through other comprehensive profits and losses, and are not classified as derivative instruments measured at amortized cost or at fair value through other comprehensive profits and losses, and beneficiary certificate of fund.
Financial assets measured at fair value through profit and loss are measured at fair value, and the dividends and interest generated are recognized in other income and interest income respectively, and profits or losses generated by re-measurement are recognized in other profits and losses. Please refer to Note 30 for the method of determining the fair value.
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ii. Financial assets measured at amortized cost

The Company's financial assets that meet the following conditions are subsequently measured at amortized cost:

i) The financial asset is held within a business model whose objective is to hold financial assets in order to collect contractual cash flows; and
ii) The contractual terms of the financial asset give rise on cash flows on specified dates that are solely payments of principal and interest on the principal amount outstanding.

Subsequent to initial recognition, financial assets at amortized cost, (including cash and cash equivalents, notes receivable at amortized cost, trade receivables, other receivables, pledged time deposit and refundable deposits) are measured at amortized cost, which equals to gross carrying amount determined by the effective interest method less any impairment loss. Exchange differences are recognized in profit or loss.

Except for the following cases, the interest income is calculated by applying the effective interest rate to multiply the gross carrying amount of a financial asset:

i) For credit-impaired financial assets purchased or initiated, the interest income is calculated based on the adjusted effective interest rate multiplying the amortized cost of the financial asset.
ii) For the financial assets that are not purchased or initiated, but subsequently become credit-impaired, the interest income shall be calculated based on the effective interest rate multiplying the amortized cost of the financial asset from the next reporting period after the credit impairment.

Credit-impaired financial assets refer to the issuer or debtor who has major financial difficulties, defaults, and the debtor is likely to apply for bankruptcy or other financial restructuring, or the active market for financial assets disappear due to financial difficulties.

Equivalent cash includes time deposits which are highly liquid, readily convertible to a known amount of cash and are subject to an insignificant risk of changes in value. These cash equivalents are held for the purpose of meeting short-term cash commitments.

iii. Investments in equity instruments at FVTOCI
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On initial recognition, the Company may make an irrevocable election to designate investments in equity instruments as at FVTOCI, if the equity investment is not held for trading or if it is not contingent consideration recognized by an acquirer in a business combination.

Investments in equity instruments at FVTOCI are measured at fair value, and subsequently gains and losses arising from changes in fair value are recognized in other comprehensive income and accumulated in other equity. The cumulative gains or loss will not be reclassified to profit or loss on disposal of the equity investments; instead, they will be transferred to retained earnings.

Dividends on these investments using equity instruments at other FVTOCI are recognized in profit or loss when the Company's right to receive the dividends is established, unless the dividends clearly represent a recovery of part of the cost of the investment.

b) Impairment of financial assets

The Company recognizes a loss allowance for expected credit losses on financial assets at amortized cost (including account receivables) on each balance sheet date. The Company always recognizes lifetime expected credit losses for amount receivables as losses allowance. For other financial assets, the Company evaluates if there has been a significant increase in credit risk since initial recognition. If the credit risk on the financial asset has not increased significantly, the Company recognizes the loss allowance for that financial asset at an amount equal to 12month expected credit losses. If there is a significant increase, the Company recognizes the lifetime expected credit losses accordingly.

Expected credit losses reflect the weighted average of credit losses with the respective risks of default occurring as the weights. 12-month ECLs represent the portion of lifetime ECLs that is expected to result from default events on a financial instrument that are possible within 12 months after the reporting date. In contrast, lifetime ECLs represent the expected credit losses that will result from all possible default events over the expected life of a financial instrument.

For the purpose of internal credit risk management, the Company determines, in the following situations, that the default of financial assets have occurred without considering the collateral held by it:

i. There is internal or external information showing that it is impossible for the debtor to pay off the debt.
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ii. After overdue for more than 90 days, unless there is reasonable and corroborative information showing that it will be more appropriate to postpone the default criteria.

The impairment loss of all financial assets is adjusted through a loss allowance account.

c) De-recognition of financial assets

The Company derecognizes a financial asset only when the contractual rights to the cash flows from the asset expire or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another party. On de-recognition of a financial asset at amortized cost in its entirety, the difference between the asset's carrying amount and the sum of the consideration received and receivable is recognized in profit or loss. Upon de-recognition of investment using equity instruments measured at fair value through other comprehensive profits and losses as a whole, the accumulated gains and losses are directly transferred to retained earnings and are not reclassified in profit and loss.

2) Equity instruments

Debt and equity instruments issued by the Company are classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument.

Equity instruments issued by the Company are recognized at the proceeds received less the cost of direct issuance.

Reacquiring the Company's own equity instruments is recognized and deducted under equity. No gain or loss is recognized in profit or loss on the purchase, sale, issuance or cancellation of the Company's own equity instruments.

3) Financial liabilities
a) Follow-up measurement

Except for financial liabilities measured at fair value through profit and loss, all financial liabilities are measured at amortized cost using the effective interest method.

Financial liabilities measured at fair value through profit and loss are financial liabilities held for trading. Related profits or losses are recognized in other profits and losses. Please refer to Note 30 for the method of determining the fair value.

b) De-recognition of financial liabilities
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The difference between the carrying amount of the financial liability derecognized and the consideration paid (including any non-cash assets transferred or liabilities assumed) is recognized in profit or loss.

4) Derivatives

The derivatives signed by the Company are forward foreign exchange contracts used to manage the Company's exchange rate risk.

Derivatives are initially recognized at fair value when the derivative contract is signed, and then re-measured at fair value on the balance sheet date. The profits or losses resulting from subsequent measurement are directly included in profit and loss. When the fair value of the derivative is positive, it is classified as a financial asset; when the fair value is negative, it is classified as a financial liability.

l. Revenue recognition

The Company identifies contracts with the customers, allocates the transaction price to the performance obligations and recognizes revenue when performance obligations are satisfied.

Revenue from the sale of goods mainly comes from sales of polyethylene plastic pellets and related plastic products. When the goods are delivered to customer, the customer has full discretion to set the price and use of the goods, and has the main responsibility for resale, and bears the risks of obsolescence. The Company recognizes revenue and accounts receivable concurrently. The receipts in advance from goods sales are recognized as contract liabilities.

When the material is removed for processing, the control of the ownership of the processed product has not been transferred, so the income is not recognized when the material is removed.

m. Leasing

At the inception of a contract, the Company assesses whether the contract is a lease.

1) The Company as lessor

Leases are classified as finance leases whenever the terms of a lease transfer are substantially all the risks and rewards of ownership to the lessee. All other leases are classified as operating leases.

When the Company subleases the right-of-use asset, it uses the right-of-use asset (not the underlying asset) to determine the classification of sublease. However, if the main lease is a short-term lease for which the Company applies the recognition exemption, the sublease is classified as an operating lease.

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Under operating leases, lease payments are recognized as income on a straight-line basis during the relevant lease period.

2) The Company as lessee

The Company recognizes right-of-use assets and lease liabilities for all leases at the commencement date of a lease, except for short-term leases and low-value asset leases accounted for applying a recognition exemption where lease payments are recognized as expenses on a straight-line basis over the lease terms.

The right-of-use asset is initially measured at cost (including the original measured amount of the lease liability and the lease payment paid before the lease start date), and subsequently measured at the amount after the cost less the accumulated depreciation, and the remeasured amount of the lease liability is adjusted. Except for those that meet the definition of investment property, the right-to-use assets are separately expressed on the accompanying balance sheets. For the recognition and measurement of right-of-use assets that meet the definition of investment property, please refer to the above (h) Accounting Policy for Investment Properties.

Right-of-use assets are depreciated using the straight-line basis from the commencement dates to the earlier of the end of the useful lives of the right-of-use assets or the end of the lease terms.

Lease liabilities are initially measured at the present value of the lease payments, which comprise fixed payments, in-substance fixed payments. The lease payments are discounted using the interest rate implicit in a lease if that rate can be readily determined. If that rate cannot be readily determined, the Company uses the lessee's incremental borrowing rate.

Subsequently, lease liabilities are measured at amortized cost using the effective interest method, with interest expense recognized over the lease terms. When there is a change in a lease term leading to a change in future lease payments, the Company re-measures the lease liabilities with a corresponding adjustment to the right-of-useassets. However, if the carrying amount of the right-of-use assets is reduced to zero, any remaining amount of the re-measurement is recognized in profit or loss. Lease liabilities are presented on a separate line in the accompanying balance sheets.

n. Borrowing costs

Borrowing costs directly attributable to an acquisition, construction or production of qualifying assets are added to the cost of those assets, until the time when the assets are substantially ready for their intended use or sale.

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Other than the above-stated, all other borrowing costs are recognized in profit or loss in the period in which they are incurred.

o. Government subsidy

Government subsidies are recognized only when it is reasonably certain that the Company will comply with the conditions attached to the government subsidies and will receive such subsidies.

Government subsidies related to income are recognized in profit and loss on a systematic basis during the period when the relevant costs that they intend to compensate are recognized as expenses by the Company.

If the government subsidy is used to compensate for expenses or losses that have occurred or for the purpose of providing the Company with immediate financial support and there is no future related cost, it is recognized in the profit and loss during the period when it can be received.

The difference between the amount of the government loans obtained by the Company at below-market interest rates and their fair value calculated at the prevailing market interest rates is recognized as a government subsidy.

p. Employee benefits
1) Short-term employee benefits

Liabilities recognized in respect of short-term employee benefits are measured at the undiscounted amount of the benefits expected to be paid in exchange for the related service.

2) Retirement benefits

Payments to defined contribution retirement benefit plans are recognized as expense when employees have rendered services entitling them to the contributions.

Defined benefit costs (including service cost, net interest and re-measurement) under the defined benefit retirement benefit plans are determined using the projected unit credit method. Service cost and net interest on the net defined benefit liability (asset) are recognized as employee benefits expense in the period they occur. Re-measurement (comprising actuarial gains and losses, and the return on plan assets excluding interest) is recognized in other comprehensive income in the period in which it occurs. Remeasurement recognized in other comprehensive income is reflected immediately in retained earnings and will not be reclassified to profit or loss.

Net defined benefit liabilities represent the actual deficit in the Company's defined benefit plan.

q. Income tax
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Income tax expense represents the sum of the tax currently payable and deferred tax.

1) Current tax

The Company determines the current income (loss) in accordance with the laws as well as regulations established by the income tax reporting jurisdiction, and calculates the payable (recoverable) income tax accordingly.

According to the Income Tax Act, an additional tax on unappropriated earnings is provided for as income tax in the year of the shareholder meetings.

Adjustments of prior years' tax liabilities are added to or deducted from the current year's tax provision.

2) Deferred tax

Deferred tax is recognized on temporary differences between the carrying amounts of assets and liabilities and the corresponding tax bases used in the computation of taxable profit.

Deferred tax liabilities are generally recognized for all taxable temporary differences. Deferred tax assets are generally recognized for all deductible temporary differences. Deferred tax liabilities are recognized for taxable temporary differences associated with investments in subsidiaries, except where the Company is able to control the reversal of the temporary difference and it is probable that the temporary difference will not reverse in the foreseeable future. Deferred tax assets arising from deductible temporary differences associated with such investments and interests are only recognized to the extent that it is probable that there will be sufficient taxable profits against which to utilize the benefits of the temporary differences and they are expected to reverse in the foreseeable future.

The carrying amount of deferred tax assets is reviewed at the end of each balance sheet date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. A previously unrecognized deferred tax asset is also reviewed at the end of each balance sheet date and recognized to the extent that it has become probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realized, based on tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period. The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the Company expects, at

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the end of the balance sheet, to recover or settle the carrying amount of its assets and liabilities.

3) Current tax and deferred tax for the year

Current and deferred taxes are recognized in profit or loss, except when they relate to items that are recognized in other comprehensive income; in which case, the current and deferred taxes are also recognized in other comprehensive income.

5. CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF ESTIMATION

UNCERTAINTY

In the application of the Company's accounting policies, management is required to make judgments, estimations and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experiences and other factors that are considered relevant. Actual results may differ from these estimates.

The Company took the economic impact caused by the COVID-19 into consideration in its major accounting estimates. The estimates and underlying assumptions are reviewed by management on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects both current and future periods.

ESTIMATE OF COMPENSATION FOR THE SUBSIDIARY'S GAS EXPLOSION INCIDENT

As for the civil damages incurred by the gas explosion of the subsidiary, China General Terminal & Distribution Co., which is recognized as a liability provision, the management estimates the amount of the liability provision by taking into account the progress of civil and criminal proceedings and settlements as well as the legal advice. However, actual results may differ from current estimates.

6. CASH AND CASH EQUIVALENTS

CASH AND CASH EQUIVALENTS
Cash on hand and petty cash Checking accounts and demand deposits Cash equivalents Time deposits	December 31, 2021 $ 560 139,884 968,350 $ 1,108,794	December 31, 2020
			$ 620 44,650 946,696 $ 991,966

At the end of the balance sheet date, the ranges of the market rates for bank deposits were as follows:

ollows:
Time deposits	December 31, 2021 0.01%-2.40%	December 31, 2020
		0.07%-2.00%

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7. FINANCIAL INSTRUMENTS AT FAIR VALUE THROUGH PROFIT OR LOSS -

CURRENT

December 31, 2021 December 31, 2020

Financial assets mandatorily at FVTPL Derivative financial assets (not under hedge accounting) - Foreign exchange forward contracts Non-derivative financial assets - Domestic listed shares and over-the- counter shares - Mutual funds - Beneficiary securities Sub-total FINANCIAL LIABILITIES HELD FOR TRADING Derivative financial liabilities (not under hedge accounting) - Foreign exchange forward contracts	$ 1,364 166,392 2,367,571 60,554 2,594,517 $ 2,595,881 $ 2,492	$ - 175,884 1,859,260 61,556 2,096,700 $ 2,096,700 $ 11,522

At the end of the balance sheet date, outstanding foreign exchange forward contracts not under hedge accounting were as follows:

December 31, 2021 Sell Sell December 31, 2020 Sell	Currencies RMB/NTD USD/NTD RMB/NTD	Expiration date 111.01.06-111.03.21 111.01.10-111.03.22 110.01.11-110.04.07	Contract amount (in thousands)
			RMB 237,700 /NTD 1,027,894 USD 4,260 /NTD 118,437 RMB 176,600 /NTD 755,870

The Company entered into foreign exchange forward contracts to manage exposures to exchange rate fluctuations of foreign currency denominated assets and liabilities. However, those contracts did not meet the criteria of hedge effectiveness, and therefore, the Company did not apply hedge accounting treatments for derivative contracts.

8.

FINANCIAL ASSETS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME - NON-CURRENT

-NON-CURRENT
Investments in equity instruments at FVTOCI Domestic investments Domestic listed shares and over-the- counter shares Unlisted shares	December 31, 2021 $ 757,831 164,720 $ 922,551	December 31, 2020
			$ 697,187 275,452 $ 972,639

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The Company invested the domestic listed shares and over-the-counter shares and unlisted shares for medium- to long-term strategic purposes, and expects to make a profit via long-term investment. Accordingly, the management elected to designate these investments in equity instruments as at FVTOCI as they believe that recognizing short-term fluctuations in these investments' fair value in profit or loss would not be consistent with the Company's strategy of holding these investments for long-term purposes.

The Company sold 310 thousand shares of Global BioPharma, Inc. for the year ended December 31, 2020. The related other equity interests – the NT$1,865 thousand unrealized loss on FVTOCI financial assets was transferred to retained earnings.

The investee, KHL IB Venture Capital Co., Ltd. announced a reduction of capital by returning cash during February and September 2021 and May and December 2020, respectively. The Company received NT$15,658 thousand, NT$5,240 thousand, NT$25,293 thousand, and NT$7,552 thousand, respectively, according to its ownership percentage.

The Company recognized dividend income of NT$93,293 thousand and NT$48,646 thousand, respectively, for the years ended December 31, 2021 and 2020.

FINANCIAL ASSETS MEASURED AT AMORTIZED COST

Current Pledged time deposits Non-current Restricted time deposits Range of Interest Rates Pledged time deposits Restricted time deposits	December 31, 2021 $ 61,149 $ 12,968 0.10%-0.77% 0.15%	December 31, 2020
		$ 60,893 $ - 0.10%-1.035% -

The trading partners of the Company's pledged time deposits are financial institutions with good credit ratings. After assessing that the time deposits have low credit risk, no allowance for loss is recognized.

Restricted bank deposit means the subsidiary's earning repatriation. The Company's filed applying to the Management, Utilization and Taxation for Patriated Offshore Funds Act was approved to repatriate the funds by the Ministry of Finance in 2020 and deposited the net value after tax to foreign exchange deposit account. The deposit is limited for free utilization by laws and regulations that three-year withdrawal is not permitted until five years of the deposit, except for financial investment or physical investments with partially free utilization by law.

Please refer to Note 32 for the information related to financial assets measured at amortized cost pledged as security.

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10. NOTES RECEIVABLE, ACCOUNTS RECEIVABLE AND OTHER RECEIVABLES

Notes receivable(1) Operating Accounts receivable(1) Financial liabilities measured at amortized cost Gross carrying amount Less: allowance for loss Accounts receivable-related party(1) Operating (Note 31) Other receivables(2) Tax refund receivable Receivables for sale of securities Lent material fees receivable Others Other receivables-related party(Note 31) Loans receivable Fixed interest rate (3) Others	December 31, 2021 $ 119,379 $ 1,966,758 ( 2,651) $ 1,964,107 $ 106,468 $ 79,352 9,439 9,262 8,365 $ 106,418 $ 125,000 468,853 $ 593,853	December 31, 2020	December 31, 2020
	(	(	$ 64,154 $ 1,366,959 2,651) $ 1,364,308 $ 94,080 $ 37,611 - - 4,321 $ 41,932 $ - 220,189 $ 220,189

a. Notes and accounts receivable

The average credit period of sales of goods was 10 to 90 days. No interest was charged on the receivables.

In order to minimize credit risk, the management of the Company has delegated a team responsible for determining credit limits, credit approvals and other monitoring procedures to ensure that follow-up action is taken to recover overdue debts. Before accepting a new customer, the Company surveys the customers' credit history and measures the potential customer's credit quality to grant a credit term. A customer's credit term and rating are reviewed periodically. In addition, the Company reviews the recoverable amount of each individual trade debt at the end of the balance sheet date to ensure that adequate allowance is made for possible irrecoverable amounts. In this regard, the management believes the Company's credit risk is significantly reduced.

The Company recognizes the loss allowance of accounts receivable based on expected credit losses during the reporting period. The expected credit losses on trade receivables are estimated using an allowance matrix by reference to past default experience with the respective debtors and an analysis of the debtors' current financial positions, adjusted for

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general economic conditions of the industry and an assessment of economic conditions at the reporting date.

The Company writes off a trade receivable when there is information indicating that the debtor is experiencing severe financial difficulty and there is no realistic prospect of recovery. For trade receivables that have been written off, the Company continues to engage in enforcement activity to attempt to recover the receivables which are due. Where recoveries are made, they are recognized as profit or loss.

The following table details the loss allowance of notes receivable and accounts receivable (including related parties) based on the Company's allowance matrix: December 31, 2021

Based on the number of days past due

Up to 60 Days Gross carrying amount $ 2,192,605 Loss allowance (Lifetime ECLs) ( 2,651) Amortized cost $ 2,189,954 December 31, 2020 Based on the number of days past due Up to 60 Days Gross carrying amount $ 1,525,193 Loss allowance (Lifetime ECLs) ( 2,651) Amortized cost $ 1,522,542	Up to 60 Days Gross carrying amount $ 2,192,605 Loss allowance (Lifetime ECLs) ( 2,651) Amortized cost $ 2,189,954 December 31, 2020 Based on the number of days past due Up to 60 Days Gross carrying amount $ 1,525,193 Loss allowance (Lifetime ECLs) ( 2,651) Amortized cost $ 1,522,542		Total
		(	$ 2,192,605 2,651) $ 2,189,954 Total
Gross carrying amount Loss allowance (Lifetime ECLs) Amortized cost
	(	(	$ 1,525,193 2,651) $ 1,522,542

December 31, 2020

Based on the number of days past due

The above aging schedule was based on the number of days past due from the end of the credit term.

The allowance for loss recognized on the Company's notes and accounts receivable for the

years ended December 31, 2021 and 2020 was not changed:

For the Year Ended For the Year Ended December 31, 2021 December 31, 2020

Balance between the start of the year

and the end

$ 2,651 $ 2,651

b. Other receivables (excluding loans receivable)

Other receivables were mainly tax refund receivable. The average aging of other receivables was less than 60 days based on the number of days past due from the invoice date, and an impairment loss was assessed based on the expected credit losses. There were no other overdue receivables with an unrecognized allowance for loss in the Company as of December 31, 2021 and 2020.

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c. Other receivables - loans receivable

The interest rate exposure and contract expiry dates for loans receivable with fixed rates of the Company are as follows:

the Company are as follows:
December 31, 2021 December 31, 2020 Loans receivable with fixed rates Less than 1 year $ 125,000 $ - The effective interest rates of the Company's loans receivable are as follows: December 31, 2021 December 31, 2020 Loans receivable with fixed rates 0.80% - INVENTORIES December 31, 2021 December 31, 2020 Finished goods $ 868,601 $ 487,856 Work in progress 35,893 41,220 Raw materials 180,278 109,848 Supplies 167,619 137,185 $ 1,252,391 $ 776,109	December 31, 2020
	- December 31, 2020
		$ 487,856 41,220 109,848 137,185 $ 776,109

11. INVENTORIES

The costs of inventories recognized as cost of goods sold for the years ended December 31 in 2021 and 2020 were NT$11,730,457 thousand and NT$8,664,406 thousand, respectively. The net realizable value of inventory write-downs included in the cost of goods sold for the years ended December 31 in 2021 and 2020 were NT$22,935 thousand and NT$23,413 thousand, respectively.

12. INVESTMENTS ACCOUNTED FOR USING EQUITY METHOD

Investment in subsidiaries Over-The-Counter (OTC) company Acme Electronics Corp. (ACME) Non listed company USIFE Investment Co., Ltd. Swanlake Traders Ltd. (Swanlake) USI (Hong Kong) Company Ltd. USI Management Consulting Corp. (UM) Chong Loong Trading Co., Ltd. (CLT) Union Polymer Int'l Investment Corp. Taiwan United Venture Capital Corp. (TUVC) Swanson Plastics Corporation (SPC) Cypress Epoch Limited INOMA Corporation (INOMA)		December 31, 2021 Carrying Amount Proportion of Ownership (%) $ 343,972 26.9 1,088,028 100.0 1,270,746 100.0 63,676 100.0 1,195 ) 100.0 $ 65,330 99.9 10,447,388 100.0 190,601 70.0 1,068,346 40.6 - - 16,854 94.4		December 31, 2020	December 31, 2020
		Carrying Amount $ 343,972 1,088,028 1,270,746 63,676 1,195 ) $ 65,330 10,447,388 190,601 1,068,346 - 16,854		Carrying Amount $ 333,831 861,889 1,293,513 67,491 1,539 $ 55,164 7,739,718 180,508 1,050,935 128,814 19,405	Proportion of Ownership (%)
	(				26.9 100.0 100.0 100.0 100.0 99.9 100.0 70.0 40.6 100.0 94.4

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Ever Conquest Global Limited (ECGL) USI Optronics Corporation USIG (Shanghai) Co., Ltd. USI Green Energy Corporation (USIGE) Plus: Long-term equity investment loans using the equity method are transferred to non-current liabilities		December 31, 2021 Carrying Amount Proportion of Ownership (%) 7,019,488 59.1 48,168 50.9 130,269 100.0 106,371 100.0 21,514,070 1,195 21,515,265 $ 21,859,237		December 31, 2020	December 31, 2020
		Carrying Amount 7,019,488 48,168 130,269 106,371 21,514,070 1,195 21,515,265 $ 21,859,237		Carrying Amount 7,331,651 69,501 - - 18,800,128 - 18,800,128 $ 19,133,959	Proportion of Ownership (%)
					59.1 50.9 - -

The Company's shareholdings in ACME and SPC are 26.9% and 40.6%, respectively. Considering the absolute voting rights, relative size and distribution compared to those held by other shareholders, the Company has the substantial ability to dominate ACME and SPC. Therefore, they are listed as subsidiaries. As for the statements of subsidiaries held indirectly by the Company, refer to Note 36, Tables 7 and 8.

By using the equity method to account for its investments in the over-the-counter (OTC) company, the fair value based on the closing price for the years ended December 31 in 2021 and 2020 was NT$2,634,914 thousand and NT$930,839 thousand, respectively.

Under the equity method, the Company's share of the profit or loss and other comprehensive income of the subsidiaries for the years ended December 31 in 2021 and 2020 was recognized based on the financial reports of each subsidiary audited by accountants during the same period. For the year ended December 31 in 2021, the Company continued to recognize the losses of USI Management Consulting Corp ("UM") in accordance with its shareholding ratio, so the carrying value of its long-term equity investment was a loan surplus. The Company has listed the related loan surplus under non-current liabilities.

The Company acquired 1.2% of shares from the external shareholders of INOMA, acquired price being NT$349 thousand in June 2020. As a result, the proportion of shares of INOMA has increased from 93.2% to 94.4%. The transaction was deemed as equity transaction because it does not change the Company's control over the subsidiary, and differences generated from the aforementioned equity transactions were adjusted to decreases in retained earnings of NT$65 thousand.

In order to simplify the investment structure, the Company was approved by the Investment Commission, Ministry of Economics Affairs (Investment Commission) on January 25, 2021 to change its indirect investment in USIG (Shanghai) Co., Ltd. in the mainland, so it was changed

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to direct investment in USIG (Shanghai) Co., Ltd. in the mainland after approval. And Cypress Epoch Limited has completed the dissolution and liquidation procedures on September 28, 2021. The management of Forum Pacific Trading Ltd. resolved to make dissolution and liquidation in September 2019. And CLTC acquired its remaining assets 6,828 thousand in May, 2020. This subsidiary has completed the dissolution and liquidation process in December 29, 2020.

The board of directors of TAITA Chemical Company, Ltd. (TTC) resolved on December 3, 2020 to establish a new company through TAITA (BVI) Holding Co., Ltd, with an investment of RMB 314,000 thousand. The main business of the new company is expected to be the production and sales of expandable polystyrene (EPS), but yet to complete it till March 16, 2022.

Thintec Materials Corporation ("TMC") has had no actual production or sales activities in recent years. Therefore, on April 12, 2019, the board of directors of TMC had approved the proposal for dissolution and liquidation of the company starting from the dissolution date of May 25, 2019. The Company has obtained NT$3,877 thousand of the remaining property distribution from liquidation in May 2020, and TMC has completed the dissolution and liquidation procedures on July 22, 2020.

In June 2020, ACME obtained the remaining assets NT$267 thousand returned by its subsidiary, ACME Electronics (BVI) Corp., which has completed the dissolution and liquidation process in June 2020.

In October 2011, the Board of Directors of China General Plastics Corporation ("CGPC") decided to dissolve and liquidate Continental General Plastics (Zhongshan) Co., Ltd. and CGPC Consumer Products Corporation However, CGPC leased the idle plants of the discontinued units from 2021 onwards, considering that the operations of the discontinued units are no longer in a state of discontinued operations. Accordingly, it is assessed that the discontinued units will be transferred back to a continuing entity.

In response to the government's green power policy, the Company purchased 100% of the equity from the non-related parties, USIGE, on July 5, 2021 at a purchase price of NT$34,092 thousand, which was confirmed to the Board of Directors on July 8, 2021. Please refer to Note 27 for details. In addition, USIGE issued 7,000 thousand ordinary shares through cash capital increase by resolution of the board of directors on November 3, 2021, which was subscribed by the Company in full. The paid-up capital after capital increase was NT$70,100 thousand.

To improve the financial structure and activate the company's capital utilization, TUVC passed the resolution of the extraordinary shareholders' meeting on November 25, 2021 to cover losses of NT$100,000 thousand with retained earnings, and to cancel the issued shares of 10,000 thousand shares. The capital reduction ratio was 21.28%, and the base date for it was December

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3, 2021. After the capital reduction, the paid-in share capital of TUVC was NT$370,000 thousand.

The board of directors of the Company resolved to approve of the establishment of ECGL with APC in February 19, 2014 and indirectly invested Gulai Park, in Zhangzhou City of Fujian Province, China to invest in oil refining and production of petrochemical products such as ethylene. The Company has invested US$3,131 thousand (around NT$94,221 thousand) in it, and the ownership percentage in ECGL is 59.1%, meanwhile the Company reinvested in EVGL and DEIL through ECGL. In addition, the Company reinvested ECGL from January, 2017 to August, 2019, amounting to US$243,539 thousand (around NT$7,551,760 thousand). After the capital increases, the ownership percentage is 63.1%. Since the Company did not participate in the cash capital increases of ECGL in March and December, 2020, the ownership percentage after the capital increases decreased from 63.1% to 59.1%. As these transactions did not change the Company's control over these subsidiaries, they are deemed as equity transactions. Differences generated from the aforementioned equity transactions were adjusted to increases in capital surplus of NT$5,558 thousand. Please refer to Note 34 for the details.

In order to sell the products produced by Gulei, the Company and APC resolved on August 13, 2020 and August 12, 2020, respectively, to establish a joint venture sales company in Fujian Province, China, with a planned capital of RMB 300,000 thousand (approximately US$46,000 thousand). The funds are expected to be US$32,200 thousand and US$13,800 thousand, respectively invested by Swanlake and APC (BVI) Holding Co.Ltd., and the registration was completed on March 12, 2022.

13. PROPERTY, PLANT AND EQUIPMENT-FOR SELF-USE

Cost Balance as of January 1, 2021 Additions Disposal Internal transfer Balance as of December 31, 2021 Accumulated depreciation Balance as of January 1, 2021 Depreciation expense Disposal Balance as of December 31, 2021 Net on December 31, 2021 Cost Balance as of January 1, 2020 Additions Disposal Internal transfer Balance as of December 31, 2020 Accumulated depreciation Balance as of January 1, 2020 Depreciation expense Disposal Balance as of December 31, 2020 Net on December 31, 2020		Freehold land		Land improvement	Buildings and improvements	Machinery and equipment	Transportation equipment	Other equipment		Construction in progress and equipment under installation	Total
		$ 495,159 - - - $ 495,159 $ - - - $ - $ 495,159 $ 495,159 - - - $ 495,159 $ - - - $ - $ 495,159		$ 112,594 - - - $ 112,594 $ 106,606 1,163 - $ 107,769 $ 4,825 $ 112,381 - - 213 $ 112,594 $ 105,283 1,323 - $ 106,606 $ 5,988	$ 1,582,520 - ( 3,894 ) 7,343 $ 1,585,969 $ 427,944 41,575 ( 3,894) $ 465,625 $ 1,120,344 $ 1,583,473 - ( 1,943 ) 990 $ 1,582,520 $ 387,074 42,787 ( 1,917) $ 427,944 $ 1,154,576	$ 8,626,837 - ( 25,520 ) 285,019 $ 8,886,336 $ 4,332,584 528,874 ( 25,520) $ 4,835,938 $ 4,050,398 $ 8,741,072 - ( 318,518 ) 204,283 $ 8,626,837 $ 4,124,768 522,827 ( 315,011) $ 4,332,584 $ 4,294,253	$ 29,056 - ( 594 ) 520 $ 28,982 $ 25,082 2,441 ( 594) $ 26,929 $ 2,053 $ 32,025 - ( 2,969 ) - $ 29,056 $ 25,284 2,767 ( 2,969) $ 25,082 $ 3,974	$ 173,415 - ( 617 ) 869 $ 173,667 $ 166,741 2,389 ( 617) $ 168,513 $ 5,154 $ 170,030 - ( 2,704 ) 6,089 $ 173,415 $ 167,673 1,772 ( 2,704) $ 166,741 $ 6,674		$ 512,999 616,890 - ( 296,793) $ 833,096 $ - - - $ - $ 833,096 $ 285,899 419,347 - ( 192,247) $ 512,999 $ - - - $ - $ 512,999	$11,532,580 616,890 ( 30,625 ) ( 3,042) $12,115,803 $ 5,058,957 576,442 ( 30,625) $ 5,604,774 $ 6.511,029 $11,420,039 419,347 ( 326,134 ) 19,328 $11,532,580 $ 4,810,082 571,476 ( 322,601) $ 5,058,957 $ 6,473,623

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In accordance with the New Taipei City Government Letter Development No. 1072133080 dated November 7, 2018, the land and buildings of the Company located in Linkou are within the scope of "Urban Land Redeveloping Zone at 1st Industrial Park in Linkou District". The land will be expropriated and rezoned in cooperation with the government and is expected to be returned in 2022.

The Company did not make any impairment assessment for the years ended December 31 in 2021 and 2020 since there were no signs of impairment.

The above items of property, plant and equipment of the Company are depreciated on a straight-

line basis over their estimated useful lives as follows:

Freehold Land - land improvements	7-10 years
Buildings and improvements	3-55 years
Machinery and Equipment	3-15 years
Transportation equipment	5-7 years
Other equipment	3-5 years

For the related capitalized interest, please refer to Note 24 (4) finance cost.

14. LEASE ARRANGEMENTS

a. Right-of-use assets

December 31, 2021 December 31, 2020 Carrying amount of right-of-use assets Buildings $ 9,641 $ 14,091 For the Year Ended For the Year Ended December 31, 2021 December 31, 2020 Depreciation expense of right-of-use assets Buildings $ 4,450 $ 4,563

The Company leased the office in Taipei and then subleased it to other companies with the way of operating leasing. The related right-of-use assets are accounted for as investment properties (please refer to Note 15). The amounts disclosed above with respect to the right-

of-use assets do not include right-of-use assets that meet the definition of investment properties.

b. Lease liabilities

Lease liabilities
Carrying amount of lease liabilities Current Non-current	December 31, 2021 $ 31,336 $ 115,187	December 31, 2020
			$ 30,974 $ 146,523

Range of discount rate for lease liabilities was as follows:

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December 31, 2021 December 31, 2020 Buildings 1.16% 1.16%

c. Material lease-in activities and terms

The Company leases the buildings for using as the offices and research center. The leases terms are 1 to 7 years. When the leases terms expire, the Company has the leasehold option to part of the office's lease.

d. Other lease information

Lease arrangements under operating leases for leasing out of investment properties are set out in Note 15. Other information of the Company as lessee is as follows:

Expenses relating to short-term leases Expenses relating to low-value asset leases Total cash (outflow) for leases	For the Year Ended December 31, 2021 $ 7,099 $ 99 ($ 40,067)	For the year ended December 31, 2020	For the year ended December 31, 2020
	(	(	$ 6,334 $ 385 $ 39,723)

The Company leases certain buildings, cars and low-value assets which qualify as shortterm leases. The Company has elected to apply the recognition exemption and thus, did not recognize right-of-use assets and lease liabilities for these leases.

15. INVESTMENT PROPERTIES

December 31, 2021 $ 29,303 130,410 $ 159,713 Buildings Right-of-use assets $ 69,805 $ 208,655 $ 39,538 $ 52,164 964 26,081 $ 40,502 $ 78,245 $ 29,303 $ 130,410	December 31, 2021 $ 29,303 130,410 $ 159,713 Buildings Right-of-use assets $ 69,805 $ 208,655 $ 39,538 $ 52,164 964 26,081 $ 40,502 $ 78,245 $ 29,303 $ 130,410	December 31, 2020	December 31, 2020
		$	30,267 156,491 186,758 Total
		$

$ 69,805 $ 39,538 964 $ 40,502 $ 29,303	$ 208,655 $ 52,164 26,081 $ 78,245 $ 130,410		$ 278,460 $ 91,702 27,045 $ 118,747 $ 159,713

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Balance as of January 1 and December 31, 2020 Accumulated depreciation Balance as of January 1, 2020 Depreciation expense Balance as of December 31, 2020 Net on December 31, 2020		Buildings $ 69,805 $ 38,534 1,004 $ 39,538 $ 30,267	Right-of-use assets $ 208,655 $ 26,082 26,082 $ 52,164 $ 156,491		Total
					$ 278,460 $ 64,616 27,086 $ 91,702 $ 186,758

Investment properties are units of office space located in Taipei and subleased under operating leases to other companies. The investment properties were leased out for 1 to 8 years, with an option to extend. The lease contracts contain market review clauses in the event that the lessees exercise their options to extend.

The Company leases the investments properties with the way of operating leasing and the total future leases payments which it will receive are as follows:

Year 1 Year 2 Year 3 Year 4 Year 5	December 31, 2021 $ 22,310 19,627 11,642 6,116 - $ 59,695	December 31, 2020	December 31, 2020
			$ 20,776 17,190 12,303 7,258 5,786 $ 63,313

The above items of investment properties are depreciated on a straight-line basis over their estimated useful lives as follows:

estimated useful lives as follows:
Buildings	5-50	years
Right-of-use assets	5-8	years

The fair values of the remaining investment properties were not assessed by independent appraisers; instead, they were arrived at by using the valuation model that most market participants would use in determining fair value by using Level 3 inputs, with reference to the transaction prices of similar properties in the vicinity. The fair value of right-of-use assets was determined by adding back the amount of related lease liabilities recognized to the net amount of the expected lease income after deducting all the expected payments.

The fair values of investment properties as of December 31, 2021 and 2020 were as follows:

Fair Value	December 31, 2021 $ 464,756	December 31, 2020	December 31, 2020
			$ 389,007

INTANGIBLE ASSETS
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December 31, 2021 Computer software $ 40 Technology royalties and patent right - $ 40 Technology royalties and patent right Computer software Cost Balance as of January 1, 2021 $ 174,850 $ 648 Disposal - ( 113) Balance as of December 31, 2021 $ 174,850 $ 535 Accumulated amortization and impairment Balance as of January 1, 2021 $ 174,850 $ 493 Amortization expense - 115 Disposal - ( 113) Balance as of December 31, 2021 $ 174,850 $ 495 Net on December 31, 2021 $ - $ 40 Cost Balance as of January 1, 2020 $ 174,850 $ 535 Independent acquisition - 113 Balance as of December 31, 2020 $ 174,850 $ 648 Accumulated amortization and impairment Balance as of January 1, 2020 $ 174,850 $ 202 Amortization expense - 291 Balance as of December 31, 2020 $ 174,850 $ 493 Net on December 31, 2020 $ - $ 155	December 31, 2021 Computer software $ 40 Technology royalties and patent right - $ 40 Technology royalties and patent right Computer software Cost Balance as of January 1, 2021 $ 174,850 $ 648 Disposal - ( 113) Balance as of December 31, 2021 $ 174,850 $ 535 Accumulated amortization and impairment Balance as of January 1, 2021 $ 174,850 $ 493 Amortization expense - 115 Disposal - ( 113) Balance as of December 31, 2021 $ 174,850 $ 495 Net on December 31, 2021 $ - $ 40 Cost Balance as of January 1, 2020 $ 174,850 $ 535 Independent acquisition - 113 Balance as of December 31, 2020 $ 174,850 $ 648 Accumulated amortization and impairment Balance as of January 1, 2020 $ 174,850 $ 202 Amortization expense - 291 Balance as of December 31, 2020 $ 174,850 $ 493 Net on December 31, 2020 $ - $ 155	December 31, 2021 Computer software $ 40 Technology royalties and patent right - $ 40 Technology royalties and patent right Computer software Cost Balance as of January 1, 2021 $ 174,850 $ 648 Disposal - ( 113) Balance as of December 31, 2021 $ 174,850 $ 535 Accumulated amortization and impairment Balance as of January 1, 2021 $ 174,850 $ 493 Amortization expense - 115 Disposal - ( 113) Balance as of December 31, 2021 $ 174,850 $ 495 Net on December 31, 2021 $ - $ 40 Cost Balance as of January 1, 2020 $ 174,850 $ 535 Independent acquisition - 113 Balance as of December 31, 2020 $ 174,850 $ 648 Accumulated amortization and impairment Balance as of January 1, 2020 $ 174,850 $ 202 Amortization expense - 291 Balance as of December 31, 2020 $ 174,850 $ 493 Net on December 31, 2020 $ - $ 155	December 31, 2021 Computer software $ 40 Technology royalties and patent right - $ 40 Technology royalties and patent right Computer software Cost Balance as of January 1, 2021 $ 174,850 $ 648 Disposal - ( 113) Balance as of December 31, 2021 $ 174,850 $ 535 Accumulated amortization and impairment Balance as of January 1, 2021 $ 174,850 $ 493 Amortization expense - 115 Disposal - ( 113) Balance as of December 31, 2021 $ 174,850 $ 495 Net on December 31, 2021 $ - $ 40 Cost Balance as of January 1, 2020 $ 174,850 $ 535 Independent acquisition - 113 Balance as of December 31, 2020 $ 174,850 $ 648 Accumulated amortization and impairment Balance as of January 1, 2020 $ 174,850 $ 202 Amortization expense - 291 Balance as of December 31, 2020 $ 174,850 $ 493 Net on December 31, 2020 $ - $ 155	December 31, 2020	December 31, 2020	December 31, 2020
	$			$		155 - 155 Total
	$			$

$ 174,850 - $ 174,850 $ 174,850 - - $ 174,850 $ - $ 174,850 - $ 174,850 $ 174,850 - $ 174,850 $ -		( (	$ 648 113) $ 535 $ 493 115 113) $ 495 $ 40 $ 535 113 $ 648 $ 202 291 $ 493 $ 155		( (	$ 175,498 113) $ 175,385 $ 175,343 115 113) $ 175,345 $ 40 $ 175,385 113 $ 175,498 $ 175,052 291 $ 175,343 $ 155

Except for the recognition of amortization expense, no impairment assessment was performed periodically as there was no indication of impairment on the Company's intangible assets for the years ended December 31, 2021 and 2020.

The said intangible assets of limited services lives are depreciated on a straight-line basis over their estimated useful lives as follows:

Technology royalties and patent right 3 to 7 Years Computer software 3 years

40 -

17. BORROWINGS

a. Short-term borrowings

a.	Short-term borrowings
		December 31,		2021	December 31, 2020
	Unsecured borrowings
	- Line of credit borrowings	$		-	$ 499,000
	Range of Interest Rates		-		0.77%-0.80%
b.	Long-term borrowings
		December 31,		2021	December 31, 2020
	Unsecured borrowings
	Credit borrowings	$	34,310		$ 2,300,000
	Range of Interest Rates
	Credit borrowings		0.30%		0.74%-0.90%
	The Company entered into medium- and long-term loan			contracts with banks to increase
	working capital. The contracts will be effective up to August 2024 with a total credit limit
	of NT$4,692,000 thousand, which	is used cyclically during the validity period. As of
	December 31, 2021, none had been	borrowed.

According to the part loan contracts of the financial report of the Company, the current ratio, bank loan ratio, debt ratio, and interest protection multiples should not be less than the specified percentage. The Company should provide improvements to the bank if the requirements were not met. As of December 31, 2021, the Company did not violate the requirements.

The Company has obtained a special low-interest bank loan line of NT$1,204,800 thousand in accordance with the "Action Plan for Accelerated Investment by Domestic Corporations" in 2021, and has used NT$34,800 thousand as of December 31, 2021, recognized and measured the loan at the market interest rate of 0.8%. The difference between the market interest rate and the actual preferential repayment rate of 0.3% is treated as government subsidy.

18. BONDS PAYABLE

BONDS PAYABLE
Domestic unsecured bonds 104-1-B issuance on February 12, 2015, 7 years, total amount NT$1,000,000 thousand, coupon rate 1.90%, bullet repayment Domestic unsecured bonds 105-1 - issuance on October 28, 2016, 5 years, total amount NT$2,000,000 thousand, coupon rate 0.80%, bullet repayment	December 31, 2021 $ 1,000,000 -	December 31, 2020
		$ 1,000,000 2,000,000

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December 31, 2021 December 31, 2020

Domestic unsecured bonds 106-1 - issuance on October 27, 2017, 5 years, total amount NT$2,000,000 thousand, coupon rate 1.10%, bullet repayment Domestic unsecured bonds 108-1 - issuance on April 26, 2019, 5 years, total amount NT$2,000,000 thousand, coupon rate 0.98%, bullet repayment Domestic unsecured bonds 110-1-A issuance on June 23 2021, 5 years, total amount NT$1,000,000 thousand, coupon rate 0.63%, bullet repayment, repaid NT$500,000 in the 4th and 5th years respectively from the issuance date Domestic unsecured bonds 110-1-B issuance on June 23 2021, 7 years, total amount NT$1,000,000 thousand, coupon rate 0.73%, bullet repayment, repaid NT$500,000 in the 6th and 7th years respectively from the issuance date Domestic unsecured bonds 110-2 -A issuance on October 26, 2021, 5 years, total amount NT$700,000 thousand, coupon rate 0.63%, repaid NT$350,000 thousand in the 4th and 5th years respectively from the issuance date Domestic unsecured bonds 110-2 -B issuance on October 26, 2021, 7 years, total amount NT$1,300,000 thousand, coupon rate 0.77%, repaid NT$650,000 thousand in the 6th and 7th years respectively from the issuance date Discounts on bonds payable ( Less: Portion due within one year (	2,000,000 2,000,000 1,000,000 $ 1,000,000 700,000 1,300,000 9,000,000 11,028) ( 8,988,972 2,999,199) ( $ 5,989,773	2,000,000 2,000,000 - $ - - - 7,000,000 5,698) 6,994,302 1,999,233) $ 4,995,069

In December 2014, the Company applied for the first issuance of unsecured ordinary corporate bonds issued in 2015 with the amount of NT$2,000,000 thousand in order to reimburse the due bonds and to increase working capital. The unsecured ordinary corporate bonds with a 5-7-year maturity, due for repayment, were all issued in February 2015. The Company repaid NT$1,000,000 thousand due in February 2020.

42 -

In October 2016, the Company applied for the first issuance of unsecured ordinary corporate bonds issued in 2016 with the amount of NT$2,000,000 thousand in order to reimburse the bank loans, and the unsecured ordinary corporate bonds with a 5-year maturity, due for repayment, were all issued in October 2016. The Company repaid due in October 2021.

In October 2017, the Company applied for the first issuance of unsecured ordinary corporate bonds issued in 2017 with the amount of NT$2,000,000 thousand in order to reimburse the bank loans, and the unsecured ordinary corporate bonds with a 5-year maturity, due for repayment, were all issued in October 2017.

In April 2019, the Company applied for the first issuance of unsecured ordinary corporate bonds issued in 2019 with the amount of NT$2,000,000 thousand in order to reimburse the bank loans, and the unsecured ordinary corporate bonds with a 5-year maturity, due for repayment, were all issued in April 2019.

In June 2021, the Company applied for the first issuance of unsecured ordinary corporate bonds issued in 2021 with the amount of NT$2,000,000 thousand in order to reimburse the bank loans, and the unsecured ordinary corporate bonds with a 5-to-7-year maturity, due for repayment, were all issued in June 2021.

In October 2021, the Company applied for the second issuance of unsecured ordinary corporate bonds issued in 2021 with the amount of NT$2,000,000 thousand in order to reimburse the bank loans, and the unsecured ordinary corporate bonds with a 5-to-7-year maturity, due for repayment, were all issued in October 2021.

In March 2022, the Company applied for the first issuance of unsecured ordinary corporate bonds issued in 2022 with the amount of NT$2,000,000 thousand in order to reimburse the bank loans as approved by resolution of the board of directors, which are expected to be issued before the end of 2022.

19. ACCOUNTS PAYABLE

ACCOUNTS PAYABLE
Accounts payable Operating Accounts payable-related party(Note 31) Operating	December 31, 2021 $ 1,019,778 $ 394,449	December 31, 2020
			$ 712,367 $ 188,290

The average credit period of the Company is between 1 and 3 months. The Company has financial risk management policies in place to ensure that all payables are paid within the preagreed credit terms.

20. OTHER PAYABLES

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Non-related party Payables for salaries and bonuses Payables for utilities Payables for interests Payables for purchases of equipment Payables for fares Payable for annual leave Others Related party (Note 31)	December 31, 2021 $ 286,340 50,005 43,834 43,234 40,809 24,348 43,750 $ 532,320 $ 16,195	December 31, 2020	December 31, 2020
			$ 172,126 59,847 37,775 10,810 23,387 23,322 36,831 $ 364,098 $ 11,906

21. RETIREMENT BENEFIT PLANS

a. Defined contribution plans

The pension plan under the "Labor Pension Act" of ROC (the "LPA") is considered as a defined contribution plan. Based on the LPA, the Company makes monthly contributions to employees' individual pension accounts in Bureau of Labor Insurance at 6% of monthly salaries and wages.

b. Defined benefit plans

The Company with the pension mechanism under the "Labor Standards Act" is considered as defined benefit plans under government administration. These pension plans provide benefits based on an employee's length of service and average six-month salary prior to retirement. The Company contributes an amount 9% (from November 10, 2016, the contribution rate raises to 12%) of salaries paid each month to their respective pension funds, which are administered by the Labor Pension Fund Supervisory Committee and deposited in the names of the Committee in the Bank of Taiwan. Entities are required to contribute the difference in one appropriation to the Funds before the end of next March when the balance of the Funds is insufficient to pay employees who will meet the retirement eligibility criteria within next year. The plan assets are held in a commingled fund which is operated and managed by the government's designated authorities; as such, the Company does not have any right to intervene in the investments of the funds.

The amounts included in the accompanying balance sheets arising from the Company's obligation in respect of its defined benefit plans were as follows:

Present value of funded defined benefit obligation Fair value of plan assets Net defined benefit liabilities - non- current	December 31, 2021 ( $ 530,808 ) 358,131 ($ 172,677)	December 31, 2020
		( $ 577,615 ) 364,007 ($ 213,608)

44 -

Movements in the net defined benefit liabilities – non-current were as follows:

January 1, 2020 Current service cost Interest revenue (expense) Amounts recognized in profit or loss Re-measurement on the net defined benefit liability Return on plan assets (excluding amounts included in net interest) Actuarial losses recognized from changes in financial assumptions Actuarial losses recognized from experience adjustments Amounts recognized in other comprehensive income Contributions from employer Benefits paid Payment for provisions December 31, 2020 January 1, 2021 Current service cost Interest revenue (expense) Amounts recognized in profit or loss Re-measurement on the net defined benefit liability Return on plan assets (excluding amounts included in net interest) Actuarial losses recognized from changes in demographic assumptions Actuarial gains recognized from changes in financial assumptions Actuarial gains recognized from experience adjustments Amounts recognized in other comprehensive income Contributions from employer Benefits paid Payment for provisions December 31, 2021	Present Value of Funded Defined Benefit Obligation ($ 642,262) ( 4,326 ) ( 3,789) ( 8,115) - ( 10,015 ) ( 4,724) ( 14,739) $ - 70,584 16,917 ($ 577,615) ($ 577,615) ( 4,025 ) ( 1,889) ( 5,914) - ( 11,778 ) 4,388 7,726 336 - 37,763 14,622 ($ 530,808)	Fair value of plan assets $ 367,327 - 2,261 2,261 13,150 - - 13,150 $ 51,853 ( 70,584 ) - $ 364,007 $ 364,007 - 1,152 1,152 5,484 - - - 5,484 25,251 ( 37,763 ) - $ 358,131	Net Defined Benefit Liabilities
			($ 274,935) ( 4,326 ) ( 1,528) ( 5,854) 13,150 ( 10,015 ) ( 4,724) ( 1,589) $ 51,853 - 16,917 ($ 213,608) ($ 213,608) ( 4,025 ) ( 737) ( 4,762) 5,484 ( 11,778 ) 4,388 7,726 5,820 25,251 - 14,622 ($ 172,677)

The Company is exposed to following risks for the defined benefits plans under the "Labor Standards Act":

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1) Investment risk: Through its own use and entrusting operation, Bureau of Labor Funds, MOL invested labor pension funds in domestic (foreign) equity and debt securities and bank deposits. But the allocated amounts of the plan assets shall not be lower than the gain calculated by the average interest rate on a two-year time deposit.
2) Interest rate risk: The decline in government bond interest rate will increase the present value of the obligation on the defined benefit plan, while the return on plan assets will increase. The net effect on the present value of the obligation on defined benefit plan is partially offset by the return on plan assets.
3) Salary risk: The calculation of the present value of defined benefit obligation is in reference to the plan participants' future salary. Hence, the increase in plan participants' salary will increase the present value of the defined benefit obligation.

The present value of the defined benefit obligation of the Company was calculated by the independent actuary. The principal assumptions on the measurement date were as follows:

Discount rate Expected rates of salary increase	December 31, 2021 0.500% 2.25%	December 31, 2020
		0.375% 2.25%

If reasonably possible changes of the respective significant actuarial assumptions occur, while holding all other assumptions constant, the present value of the defined benefit obligation would increase (decrease) as follows:

Discount rate 0.25% increase 0.25% decrease Expected rates of salary increase 0.25% increase 0.25% decrease	December 31, 2021 ($ 8,795) $ 9,064 $ 8,751 ($ 8,537)	December 31, 2020	December 31, 2020
	( (	( (	$ 10,016) $ 10,331 $ 9,960 $ 9,708)

The sensitivity analysis presented above may not be representative of the actual change in the present value of the defined benefit obligation as it is unlikely that the change in assumptions would occur in isolation of one another as some of the assumptions may be correlated.

correlated.
The expected contributions to the plan for the next year The average duration of the defined benefit obligation	December 31, 2021 $ 16,685 7.0 years	December 31, 2020
			$ 34,414 7.3 years

EQUITY

December 31, 2021

December 31, 2020

46 -

Share capital Capital surplus Retained earnings Other equity Treasury shares a. Share capital Number of shares authorized (in thousands) Share capital authorized Number of shares issued and fully paid (in thousands) Share capital issued	$ 11,887,635 366,185 13,599,427 84,358 ( 475,606) $ 25,461,999 December 31, 2021 1,342,602 $ 13,426,024 1,188,763 $ 11,887,635	$ 11,887,635 321,798 9,497,146 ( 240,195 ) ( 475,606) $ 20,990,778 December 31, 2020	$ 11,887,635 321,798 9,497,146 ( 240,195 ) ( 475,606) $ 20,990,778 December 31, 2020
			1,342,602 $ 13,426,024 1,188,763 $ 11,887,635

a. Share capital

Fully paid ordinary shares, which have a par value of NT$10, carry one vote per share and carry a right to dividends.

b. Capital surplus

The capital surplus generated from donations and the excess of the issuance price over the par value of share capital (including the issuance of ordinary shares in excess of par value, the capital stock premium of shares issued due to merger, and treasury stock trading, etc) may be used to offset a deficit; in addition, when the Company has no deficit, such capital surplus may be distributed as cash dividends or share dividends up to a certain percentage of the Company's paid-in capital. The capital surplus arising from investments accounted for using the equity method and from dividends had not been received during the given period by stockholders are used to offset a deficit only. The capital surplus arising from employee stock option may not be used for any purposes.

c. Retained earnings and dividends policy

In accordance with the dividends policy as set forth in the Company's Articles of Incorporation, where the Company made a profit in a fiscal year, the profit after tax shall be first utilized for offsetting losses of previous years, setting aside as a legal reserve 10% of the remaining profit, setting aside or reversing a special reserve in accordance with the laws and regulations, and then any remaining profit together with any undistributed retained earnings shall be used by the Company's board of directors as the basis for proposing a distribution plan, which should be resolved in the shareholders' meeting for the distribution of dividends and bonuses to shareholders. For the policies on the distribution of employees' compensation and remuneration of directors after the

47 -

amendment, please refer to employees' compensation and remuneration of directors in Note 24(7).

The industry that the Company operates in is in the maturity stage. Consequently, in order to take R&D needs and diversification into consideration, shareholders' dividends shall be no less than 10% of the distributable earnings in the current year, of which the cash dividends not be no less than 10% of the total dividends. However, if the distributable earnings of the year are less than NT$0.1 per share, it shall not be distributed.

The appropriation of earnings to the legal reserve shall be made until the legal reserve equals the Company's paid-in capital. The legal reserve may be used to offset deficits. If the Company has no deficit and the legal reserve has exceeded 25% of the Company's paidin capital, the excess may be transferred to capital or distributed in cash.

The appropriations of earnings for the years ended December 31, 2020 and 2019 as approved in the shareholders' meetings on July 26, 2021 and June 12, 2020, respectively, were as follows:

were as follows:
Legal reserve Special reserve (reversed) Cash dividends	Appropriation of Earnings For the year ended December 31, 2020 For the year ended December 31, 2019 $ 233,461 $ 129,872 ( 405,932 ) 350,533 1,188,763 594,382 $ 1,016,292 $ 1,074,787	Dividends Per Share (NT$)
	For the year ended December 31, 2020 $ 233,461 ( 405,932 ) 1,188,763 $ 1,016,292	For the year ended December 31, 2020 $ 1.0	For the year ended December 31, 2019
			$ 0.5

The appropriations of earnings for the year ended December 31, 2021 had been proposed by the Company's Board of Directors on March 10, 2022. The appropriations were as follows:

ollows:
Legal reserve Cash dividends	Appropriation of Earnings $ 529,104 2,615,280 $ 3,144,384	Dividends Per Share (NT$)
		$ 2.2

The appropriations of earnings for the year ended December 31, 2021 are subject to the resolution of the shareholders' meeting planned to be held on May 31, 2022.

d. Other equity
1) Exchange differences on translating the financial statements of foreign operations

Balance at January 1 Recognized during the period	For the Year Ended December 31, 2021 ( $ 583,855 )	For the Year Ended December 31, 2020
		( $ 602,871 )

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For the Year Ended For the Year Ended December 31, 2021 December 31, 2020

Exchange differences on
translating the financial
statements of foreign operations	(	90,466 )		11,182
Related income tax of the profits
and losses on translating the
financial statements of foreign
operations		18,093	(	2,236 )
Share from subsidiaries for using
the equity method	(	54,745 )		10,300
Disposal of subsidiaries' equity		-	(	230)
Balance at December 31	($ 710,973)		($ 583,855)

2) Unrealized gain (loss) on financial assets at FVTOCI

2) Unrealized gain (loss) on financial assets at FVTOCI	ets at FVTOCI	ets at FVTOCI
For the Year Ended December 31, 2021 Balance at January 1 $ 343,660 Recognized during the period Unrealized gains (losses) Equity instruments ( 29,190 ) Share from subsidiaries for using the equity method 581,315 Cumulative unrealized gain (loss) of equity instruments transferred to retained earnings due to disposals Equity instrument - produced in that year - Share from subsidiaries for using the equity method (100,454) Balance at December 31 $ 795,331 Treasury shares Purpose of Buy-Back Number of Shares at January 1 (In Thousands of Shares) Increase During the Year Ended For the Year Ended December 31, 2021 Transfer from shares held by subsidiaries under equity method 116,466 - For the Year Ended December 31, 2020 Transfer from shares held by subsidiaries under equity method 116,466 -	For the Year Ended December 31, 2021		For the Year Ended December 31, 2020 ( $ 178,187 ) 107,870 335,899 1,865 76,213 $ 343,660 Decrease During the Year Ended Number of Shares at December 31 (In Thousands of Shares) - 116,466 - 116,466	For the Year Ended December 31, 2020
		$ 343,660 ( 29,190 ) 581,315 - (100,454) $ 795,331 Increase During the Year Ended - -				178,187 ) 107,870 335,899 1,865 76,213 343,660 Number of Shares at December 31 (In Thousands of Shares)
					$

			- -				116,466 116,466

e. Treasury shares

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The Company's shares held by its subsidiaries at the balance sheet date were as follows:

Name of Subsidiary December 31, 2021 APC TTC December 31, 2020 APC TTC	Number of Shares Held (In Thousands of Shares) 101,356 15,110 101,356 15,110		Carrying Amount (NT$ thousands) $ 1,377,381 81,875 $ 1,459,256 $ 1,377,381 81,875 $ 1,459,256	Market Price (NT$ thousands)	Market Price (NT$ thousands)
					$ 3,197,772 476,717 $ 3,674,489 $ 2,290,638 341,484 $ 2,632,122

The Company's shares held by subsidiaries are regarded as treasury shares. Investments accounted for using the equity method are reclassified as treasury shares.

The Company's shares held by APC and TTC were carried as unrealized gain (loss) on financial assets at FVTOCI and valued at the closing price of December 31, 2021 and 2020.

The carrying amounts of investments accounted for using the equity method and the gain on financial assets at FVTOCI were NT$733,685 thousand and NT$390,637 thousand, respectively.

23. REVENUE

For the Year Ended For the Year Ended December 31, 2021 December 31, 2020 Product sales revenue Plastic materials $ 16,034,251 $ 10,172,220

Product sales revenue of the Company mainly comes from selling polyethylene plastic and other related products.

a. Contract balances

Contract balances
Notes and accounts receivable (including related parties) (Notes 10 and 31) Contract liabilities (presented in other current liabilities) Merchandise sales	December 31, 2021 $ 2,189,954 $ 184,368	December 31, 2020 $ 1,522,542 $ 73,628	January 1, 2020
				$ 1,393,032 $ 64,503

b. Please refer to Statement 18 for the breakdown of income.

24. NET PROFIT FROM CONTINUING OPERATIONS

Net profit from continuing operations includes the following:

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a. Interest income

nterest income
Bank deposits Beneficiary securities Financial assets measured at amortized cost Others	For the Year Ended December 31, 2021 $ 4,042 1,112 467 327 $ 5,948	For the Year Ended December 31, 2020
			$ 4,628 1,328 578 70 $ 6,604

b. Other income

Other income
Dividend income Rental income Management service revenue Others	For the Year Ended December 31, 2021 $ 99,744 47,696 38,093 17,046 $ 202,579	For the Year Ended December 31, 2020
			$ 50,630 51,056 39,398 11,220 $ 152,304

c. Other gains and losses

Other gains and losses
Gain (loss) on disposal of property, plant and equipment Loss on disposal of investment Net foreign exchange losses Net gain on financial assets at FVTPL Net loss on financial liabilities at FVTPL Depreciation expense of investment properties (Note 15) Other expenses Finance costs Interest on bonds payable Interest on bank loans Other interest expense Interest on lease liabilities Less: Capitalized interest (presented under construction in progress)	For the Year Ended December 31, 2021 $ 2,794 - ( 14,621 ) 108,217 ( 15,000 ) ( 27,045 ) (15,615) $ 38,730 For the Year Ended December 31, 2021 $ 86,901 8,513 43 1,895 ( 2,606) $ 94,746	For the Year Ended December 31, 2020
		( $ 161 ) ( 527 ) ( 1,696 ) 118,981 ( 25,883 ) ( 27,086 ) (20,961) $ 42,667 For the Year Ended December 31, 2020
	(	(	$ 80,898 24,325 65 2,252 2,499) $ 105,041

d. Finance costs

Information about capitalized interest is as follows:

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Capitalized interest Capitalization rate

For the Year Ended For the Year Ended December 31, 2021 December 31, 2020 $ 2,606 $ 2,499 0.9281%~1.1379% 1.1379%~1.2272%

e. Depreciation and amortization

Depreciation and amortization
Property, plant and equipment Right-of-use assets Investment properties Intangible assets Others Summary of depreciation by function Operating costs Operating expenses Other gains and losses Summary of amortization by function Operating costs General and administrative expenses	For the Year Ended December 31, 2021 $ 576,442 4,450 27,045 115 13,337 $ 621,389 $ 556,664 24,228 27,045 $ 607,937 $ 13,337 115 $ 13,452	For the Year Ended December 31, 2020
			$ 571,476 4,563 27,086 291 13,958 $ 617,374 $ 552,269 23,770 27,086 $ 603,125 $ 13,958 291 $ 14,249

f. Employee benefits expense

Employee benefits expense
Post-employment benefits (Note 21) Defined contribution plans Defined benefit plans Other employee benefits Total employee benefits expenses Summary of employee benefits expense by function Operating costs Operating expenses	For the Year Ended December 31, 2021 $ 23,317 4,762 28,079 844,745 $ 872,824 $ 666,411 206,413 $ 872,824	For the Year Ended December 31, 2020
			$ 19,824 5,854 25,678 649,384 $ 675,062 $ 482,569 192,493 $ 675,062

g. Employees' compensation and remuneration of directors

The Company accrued employees' compensation and remuneration of directors at the rate of no less than 1% and no higher than 1%, respectively, of net profit before income tax. The employees' compensation and remuneration of directors for the years ended December

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31, 2021 and 2020 were resolved by the Company's board of directors on March 10, 2022 and March 8, 2021, respectively, as follows:

Accrual rates

Accrual rates
Employees' compensation Remuneration of directors Amount Employees' compensation Remuneration of directors	For the Year Ended December 31, 2021 1.00% 0.05% For the Year Ended December 31, 2021 $ 59,332 3,000	For the Year Ended December 31, 2020
		1.00% 0.12% For the Year Ended December 31, 2020
		$ 25,892 3,000

If there is a change in the amounts after the annual accompanying financial statements are authorized for issue, the differences are recorded as a change in the accounting estimate and recognized in the next year.

There was no difference between the actual amounts of employees' compensation and remuneration of directors for the years ended December 31, 2020 and 2019 paid and the amounts recognized in the accompanying financial statements for the years ended December 31, 2020 and 2019.

Information on the employees' compensation and remuneration of directors for the years ended December 31, 2021 and 2020 resolved by the Company's board of directors is available at the "Market Observation Post System" website of the Taiwan Stock Exchange.

h. Gain or loss on foreign currency exchange

Gain or loss on foreign currency exchange
Foreign exchange gains Foreign exchange losses Net loss	For the Year Ended December 31, 2021 $ 82,695 (97,316) ($ 14,621)	For the year ended December 31, 2020
	( (	( (	$ 67,929 69,625) $ 1,696)

25. INCOME TAX

a. Income tax recognized in profit or loss

The major components of income tax expense were as follows:

Current tax In respect of the current year Surtax on undistributed earnings Subsidiary repatriation of profits Adjustments for previous years	For the Year Ended December 31, 2021 $ 690,471 65,919 - (17,343) 739,047	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020
	(	(	$ 154,245 11,243 5,180 13,094) 157,574

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Deferred tax In respect of the current year The impact on income tax for the deferred subsidiary repatriation of profits Income tax expense recognized in profit or loss	For the Year Ended December 31, 2021 ( $ 59,600 ) - (59,600) $ 679,447	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020
		( (	$ 3,330 10,360) 7,030) $ 150,544

The adjustment of accounting income and income tax expenses is as follows:

For the Year Ended
December 31, 2021
Net profit before tax for the year
$ 5,870,841
Income tax expense of net profit
before tax calculated at statutory
tax rate (20%)
$ 1,174,168
Non-deductible expenses
275
Tax-free income
(
41,147 )
Financial asset evaluation loss
1,346
The share of profits and losses of
domestic subsidiaries recognized
by using equity method
(
489,362 )
The invested company's capital
reduction and liquidation loss
(
14,763 )
Surtax on undistributed earnings
65,919
Adjustments of current income tax
expenses for prior year
(
17,343 )
Subsidiary repatriation of profits
-
Others

354
Income tax expense recognized in
profit or loss
$ 679,447
ncome tax recognized in other comprehensive income
For the Year Ended
December 31, 2021
Deferred tax
In respect of the current year
- Translation of foreign operations
$ 18,093
- Re-measurements of defined
benefit plan
(
1,164)
Income tax benefits (expenses)
recognized in other comprehensive
income
$ 16,929

For the Year Ended
December 31, 2020

$ 2,560,322
$ 512,064
439
(
32,457 )
1,980
(
321,884 )
(
2,875 )
11,243
(
13,094 )
(
5,180 )

308
$ 150,544
For the Year Ended
December 31, 2020

( $ 2,236 )

318
($ 1,918)

b. Income tax recognized in other comprehensive income
c. Current income tax assets and liabilities

December 31, 2021 December 31, 2020

Current income tax liabilities

54 -

$ 779,227

$ 196,426

Income tax payable

d. Deferred income tax assets and liabilities

The changes in deferred income tax assets and liabilities are as follows:

For the Year Ended December 31, 2021

Deferred income tax assets Temporary difference Allowance for inventory valuation and obsolescence losses Defined benefit retirement plan Pension expenditures due to fiscal and taxation difference Payable for annual leave Unrealized sales profits Impairment loss on financial assets measured at fair value through profit and loss Amortization of intangible assets due to fiscal and taxation difference over amortization period Amortization of depreciation due to fiscal and taxation difference over amortization period Unrealized evaluation gains or losses of financial assets measured at fair value through profit and loss Exchange differences on translating the financial statements of foreign operations Deferred income tax liabilities Temporary difference Pension expenditures due to fiscal and taxation difference The share of profits of foreign subsidiaries recognized by using equity method Unrealized exchange gains Land revaluation surplus		Balance at January 1 $ 7,288 26,576 287 4,665 1,119 6,095 3,640 785 2,305 58,145 $ 110,905 $ - 99,412 2,398 43,580 $ 145,390	Amounts recognized in profit or loss $ 4,587 - ( 287 ) 205 13,753 - ( 1,200 ) - ( 2,079 ) - $ 14,979 $ 6,735 ( 50,078 ) ( 1,278 ) - ($ 44,621)	Amounts recognized in other comprehensive income $ - ( 1,164 ) - - - - - - - 18,093 $ 16,929 $ - - - - $ -	Balance at December 31	Balance at December 31
			( ( ( ( ( (	(		$ 11,875 25,412 - 4,870 14,872 6,095 2,440 785 226 76,238 $ 142,813 $ 6,735 49,334 1,120 43,580 $ 100,769

For the year ended December 31, 2020

55 -

Deferred income tax assets Temporary difference Allowance for inventory valuation and obsolescence losses Defined benefit retirement plan Pension expenditures due to fiscal and taxation difference Payable for annual leave Unrealized sales profits Impairment loss on financial assets measured at fair value through profit and loss Amortization of intangible assets due to fiscal and taxation difference over amortization period Amortization of depreciation due to fiscal and taxation difference over amortization period Unrealized evaluation gains or losses of financial assets measured at fair value through profit and loss Exchange differences on translating the financial statements of foreign operations Unrealized exchange loss Deferred income tax liabilities Temporary difference The share of profits of foreign subsidiaries recognized by using equity method Unrealized exchange gains Land revaluation surplus		Balance at January 1 $ 2,605 26,258 12,871 4,711 1,607 6,095 7,817 785 216 60,381 1,224 $ 124,570 $ 120,587 - 43,580 $ 164,167	Amounts recognized in profit or loss $ 4,683 - ( 12,584 ) ( 46 ) ( 488 ) - ( 4,177 ) - 2,089 - ( 1,224) ($ 11,747) ( $ 21,175 ) 2,398 - ($ 18,777)	Amounts recognized in other comprehensive income $ - 318 - - - - - - - ( 2,236 ) - ($ 1,918) $ - - - $ -	Balance at December 31	Balance at December 31
			( ( ( ( ( ( ( (	( (		$ 7,288 26,576 287 4,665 1,119 6,095 3,640 785 2,305 58,145 - $ 110,905 $ 99,412 2,398 43,580 $ 145,390

e. Income tax assessments

The Company's income tax returns through 2019 have been assessed by the tax authorities.

26. EARNINGS PER SHARE

EARNINGS PER SHARE
Basic earnings per share Diluted earnings per share	For the Year Ended December 31, 2021 $ 4.84 $ 4.83	Unit: NT$ Per Share For the Year Ended December 31, 2020
			$ 2.25 $ 2.24

56 -

The earnings and weighted average number of ordinary shares outstanding in the computation of earnings per share were as follows:

NET PROFIT FROM CONTINUING OPERATIONS

Net profit from continuing operations used in the computation of basic and diluted earnings per share Number of Shares Weighted average number of ordinary shares used in the computation of basic earnings per share Effect of potentially dilutive ordinary shares: Employees' compensation Weighted average number of ordinary shares used in the computation of diluted earnings per share	For the Year Ended December 31, 2021 For the Year Ended December 31, 2020 $ 5,191,394 $ 2,409,778 Unit: In Thousands of Shares For the Year Ended December 31, 2021 For the Year Ended December 31, 2020 1,072,298 1,072,298 2,100 1,376 1,074,398 1,073,674	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020
			1,072,298 1,376 1,073,674

If the Company offered to settle compensation paid to employees in cash or shares, the Company assumed the entire amount of the compensation would be settled in shares and the resulting potential shares were included in the weighted average number of shares outstanding used in the computation of diluted earnings per share, if the effect is dilutive. Such dilutive effect of the potential shares is included in the computation of diluted earnings per share until the number of shares to be distributed to employees is resolved in the following year.

27. ACQUISITION OF INVESTMENTS IN SUBSIDIARIES - ACQUISITION OF CONTROL OF A BUSINESS

Voting ownership Main operating interest/Acquisition Transfer activities Acquisition date proportion (%) consideration USI Green Energy Solar power July 5, 2021 100% $ 34,092 Corporation generation business

The Company acquired USIGE in July 2021 in response to the government's policy on green power. For the explanation of acquiring USIGE, please refer to Note 32 to the Company's 2021 Consolidated Financial Statements.

28. CASH FLOW INFORMATION

a. Non-cash transactions

57 -

In the year 2021 and 2020, the Company entered into the following non-cash investing and financing activities:

1) As of December 31, 2021 and 2020, the amounts of payables for purchases of equipment were NT$43,234 thousand and NT$10,810 thousand, respectively.
2) As of December 31, 2021 and 2020, the amounts of payables for dividends declared but not issued were NT$4,840 thousand and NT$4,864 thousand, respectively.
b. Changes in liabilities arising from financing activities

Short-term borrowings Bonds payable (including those due within 1 year) Long-term borrowings (including those due within 1 year) Guarantee deposits received Lease liabilities (including those due within 1 year)	January1,2021	January1,2021	Cash Flows		Non-cashChanges	Non-cashChanges	Non-cashChanges	Others		December 31, 2021
					NewLeases	Amortization of Finance Costs
		$ 499,000 6,994,302 2,300,000 6,046 177,497 $ 9,976,845	( $ 499,000 ) 1,991,268 ( 2,265,200 ) 591 ( 30,974) ($ 803,315)		$ - - - - - $ -		$ - 3,402 - - 1,895 $ 5,297	$ - - ( 490 ) - ( 1,895) ($ 2,385)		$ - 8,988,972 34,310 6,637 146,523 $ 9,176,442

Short-term borrowings Bonds payable (including those due within 1 year) Long-term borrowings (including those due within 1 year) Guarantee deposits received Lease liabilities (including those due within 1 year)	January1,2020	January1,2020	Cash Flows		Non-cashChanges	Non-cashChanges	Non-cashChanges		Others		December 31, 2020
					NewLeases	Amortization of Finance Costs
		$ 500,000 7,991,283 1,950,000 5,860 208,249 $ 10,655,392	( $ 1,000 ) ( 1,000,000 ) 350,000 186 ( 30,752) ($ 681,566)		$ - - - - - $ -		$ - 3,019 - - 2,252 $ 5,271	( (	$ - - - - 2,252) $ 2,252)		$ 499,000 6,994,302 2,300,000 6,046 177,497 $ 9,976,845

29. CAPITAL MANAGEMENT

The Company manages its capital to ensure that entities in the Company will be able to continue as going concern while maximizing the return to stakeholders through the optimization of the debt and equity balance. The Company's overall management strategy remains unchanged from the past year.

30.

The capital structure of the Company consists of its net debt and equity. Key management personnel of the Company review the capital structure periodically. As part of this review, the key management personnel consider the cost of capital and the risks associated with each class of capital. Based on recommendations of the key management personnel, in order to balance the overall capital structure, the Company may adjust the amount of dividends paid to shareholders, and the amount of new debt issued or existing debt redeemed. FINANCIAL INSTRUMENTS

a. Fair value of financial instruments not measured at fair value December 31, 2021
58 -

	Fair Value	Fair Value
Level 1 $ -	Level 2 Level 3 $ 9,012,663 $ - Fair Value		Total
			$ 9,012,663
Level 1 $ -	Level 2 $ 7,029,198	Level 3 $ -	Total
			$ 7,029,198

Expect for the above, the management of the Company considers that the carrying amounts of financial assets and financial liabilities approximate their fair values. Otherwise, the fair values cannot be reliably measured.

b. Fair value of financial instruments measured at fair value on a recurring basis
1) Fair value hierarchy

December 31, 2021

December 31, 2021
Financial assets at FVTPL Derivatives Domestic listed shares and over- the-counter shares Fund beneficiary certificates Beneficiary securities $ Financial assets at FVTOCI Investments in equity instruments - Domestic listed shares and over- the-counter shares - Domestic unlisted shares and emerging market shares Financial liabilities at FVTPL Derivatives		Level 1 $ - 166,392 2,367,571 60,554 $ 2,594,517 $ 757,831 - $ 757,831 $ -		Level 2 $ 1,364 - - - $ 1,364 $ - - $ - $ 2,492		Level3 $ - - - - $ - $ - 164,720 $ 164,720 $ -		Total
								$ 1,364 166,392 2,367,571 60,554 $ 2,595,881 $ 757,831 164,720 $ 922,551 $ 2,492

December 31, 2020

December 31, 2020
Financial assets at FVTPL Domestic listed shares and over- the-counter shares Fund beneficiary certificates Beneficiary securities Financial assets at FVTOCI Investments in equity instruments - Domestic listed shares and over- the-counter shares - Domestic unlisted shares and emerging market shares Financial liabilities at FVTPL Derivatives		Level 1 $ 175,884 1,859,260 61,556 $ 2,096,700 $ 697,187 - $ 697,187 $ -		Level 2 $ - - - $ - $ - - $ - $ 11,522		Level 3 $ - - - $ - $ - 275,452 $ 275,452 $ -		Total
								$ 175,884 1,859,260 61,556 $ 2,096,700 $ 697,187 275,452 $ 972,639 $ 11,522

59 -

There were no transfers between Levels 1 and 2 fair value measurement for Year 2021 and Year 2020.

2) Reconciliation of Level 3 fair value measurements of financial instruments

Financial assets at FVTOCI Balance at January 1 Recognized in other comprehensive income (included in unrealized gain (loss) on financial assets at FVTOCI) Disposal Return of capital Balance at December 31	For the Year Ended December 31, 2021 $ 275,452 ( 89,834 ) - ( 20,898) $ 164,720	For the Year Ended December 31, 2020
		$ 238,354 72,727 ( 2,784 ) ( 32,845) $ 275,452

3) Valuation techniques and inputs applied for Level 2 fair value measurement

Categories of financial
instruments
Financial liabilities –
domestic corporate bonds

Derivatives - foreign
exchange forward contracts

Valuation Techniques and Inputs

The corporate bond interest rate announced by Taipei
Exchange, of which per-hundred price is calculated
according to the credit rating and the expiration date
through interpolation method.
Discounted cash flow: Future cash flows are estimated
based on observable forward exchange rates at the
end of the reporting period and contract forward
rates, discounted at a rate that reflects the credit risk
of various counterparties.

4) Valuation techniques and inputs applied for Level 3 fair value measurement

The Company applied the valuation techniques and inputs for Level 3 fair value measurement for its independent fair value authentication of financial instruments which was carried out by the financial department. Through information from independent resources, the Company keeps the results close to the market state and reviews such results periodically to ensure that they are reasonable. The fair values of domestic and foreign unlisted equity securities were determined using the asset-based approach. In this approach, the fair value is determined by the latest net value of the investee company and the financial and business conditions of its observable company. If the discount for the lack of marketability decreases, the fair value of investments will increase. When the discount for lack of marketability increases/decreases by 10%, the fair value would have decreased/increased by NT$16,472 thousand and NT$27,545 thousand, respectively, for the years ended December 31, 2021 and 2020.

60 -

c. Categories of financial instruments

Categories of financial instruments
Financial assets Financial assets at FVTPL Financial assets mandatorily classified as at FVTPL Financial assets measured at amortized cost (Note 1) Financial assets at FVTOCI – investments in equity instruments Refundable deposits Financial liabilities Financial liabilities at FVTPL Held for trading Financial liabilities measured at amortized cost (Note 2) Guarantee deposits received	December 31, 2021 $ 2,595,881 3,993,784 922,551 49,577 2,492 10,986,024 6,637	December 31, 2020
		$ 2,096,700 2,799,911 972,639 47,630 11,522 11,069,963 6,047

Note 1. Balance is the financial assets measured at amortized cost, including cash and equivalent cash, debt instrument investment, notes receivable and amounts receivable (including related parties), other receivables (including related parties, excluding business tax refund receivable).

Note 2. Balance is the financial liabilities measured at amortized cost, including shortand long-term loan, amounts receivable (including related parties), other receivables (including related parties) and corporation bonds receivable.

d. Financial risk management objectives and policies

The Company's risk control and hedging strategy are influenced by the operational environment. The Company properly monitors and manages the risks related to business nature in accordance with the principle of risk diversification. These risks include market risk (including foreign currency risk, interest rate risk and other price risks), credit risk and liquidity risk.

1) Market risk

The Company's activities exposed it primarily to the financial risks of changes in foreign currency exchange rates, interest rates and other price risks. There has been no change to the Company's exposure to market risks or the manner in which these risks were managed and measured.

a) Foreign currency risk
61 -

The Company had conducted foreign currency sales and purchases, which exposed the Company to foreign currency risk. In order to avoid the impact of foreign currency exchange rate changes, which lead to deductions in foreign currency denominated assets and fluctuations in their future cash flows, the Company used foreign exchange forward contracts to eliminate foreign currency exposure and thus mitigate the impact of the risk. The use of foreign exchange forward contracts was governed by the Company's policies approved by the board of directors. Compliance with policies and exposure limits was reviewed by internal auditors on a continuous basis. The Company did not enter into or traded foreign exchange contracts for speculative purposes.

The carrying amounts of the Company's foreign currency denominated monetary assets and monetary liabilities are set out in Note 35 and the derivatives exposing the Company to foreign currency risk as of the balance sheet date are set out in Note 7.

Sensitivity analysis

The sensitivity analysis of foreign currency risk mainly focuses on the computation of foreign currency monetary items at the end of the financial reporting period (U.S. dollar and RMB denominated items). When the Company's functional currency relative to the USD and RMB appreciates/depreciates by 3%, the Company's profit before tax for the year ended December 31, 2021 would have decreased/increased by NT$56,741 thousand; the profit before tax for the year ended December 31, 2020 would have decreased/increased by NT$38,680 thousand.

Since this sensitivity analysis is based on the computation of foreign currency exposure at balance sheet date, the management concedes that this analysis cannot properly reflect the mid-year exposures.

b) Interest rate risk

The Company was exposed to fair value interest rate risk because the Company held financial assets and financial liabilities at fixed rates; the Company was exposed to cash flow interest rate risk because the Company held financial assets and financial liabilities at floating rates. The Company's management monitors the changes in the market rates on a regular basis and adjusts the floating rate financial liabilities to make the Company's rates approach market rates in response to the risk caused by changing market rates.

62 -

The carrying amounts of the Company's financial assets and financial liabilities with exposure to interest rates on the balance sheet date were as follows:

Fair value interest rate risk - Financial assets - Financial liabilities Cash flow interest rate risk - Financial assets - Financial liabilities	December 31, 2021 $ 1,064,245 9,135,495 136,913 34,310	December 31, 2020
		$ 1,029,201 8,671,799 28,626 1,299,000

Sensitivity analysis

Regarding the sensitivity analysis of interest risk, the Company's computation was based on financial assets and financial liabilities with cash flow interest rate risk. A 0.5% increase/decrease of market interest was used when reporting interest rate risk internally to key management personnel and represents management's assessment of the reasonably possible change in interest rate. If interest rates had been 0.5% higher/lower and all other variables were held constant, the Company's profit before tax for the years ended December 31, 2021 and 2020 would have decreased/increased by NT$513 thousand and NT$6,352 thousand, respectively.

c) Other price risks

The Company was exposed to equity price risk through its investments in equity securities listed domestically and overseas and beneficiary certificates. The Company manages this exposure by maintaining a portfolio of investments with different risks. In addition, the Company has appointed a special team to monitor the price risk.

Sensitivity analysis

The following sensitivity analysis was determined based on the price of equity securities on the balance sheet date. However, since the fund beneficiary certificates held by the Company are mainly money market funds and its risk of price fluctuations is very low, they are not included in sensitivity analysis.

If the equity price had increased/decreased by 5%, the pre-tax profit for the years ended December 31, 2021 and 2020 would have increased/decreased by NT$11,347 thousand and NT$11,872 thousand, respectively, as a result of the changes in fair value of financial assets at FVTPL (excluding mutual fund beneficiary certificates); The pre-tax other comprehensive income for the years ended December 31, 2021 and 2020 would have increased/decreased

63 -

by NT$46,128 thousand and NT$48,632 thousand, respectively, as a result of the changes in fair value of financial assets at FVTOCI.

2) Credit risk

Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in a financial loss to the Company. As of the balance sheet date, the Company's maximum exposure to credit risk, which would cause a financial loss to the Company due to the failure of the counterparty to discharge its obligation, could be equal to the total of the following:

a) The carrying amount of the financial assets recognized in the balance sheets.
b) The maximum amount payable by the Company due to financial guarantees provided by the Company.

The Company adopted a policy of only dealing with creditworthy counterparties, as a means of mitigating the risk of financial loss from defaults. The Company's exposure and the credit ratings of its counterparties are continuously monitored. In addition, the financial guarantee provided by the Company is customs duties and endorsement guarantee for the loan of the subsidiary. As of December 31, 2021 and 2020, the amounts for endorsement guarantee are NT$3,108,400 thousand and NT$4,204,800 thousand. Based on the expectation of the balance sheet, the subsidiaries are in good operation, so there are few possibilities to pay endorsement guarantee amounts due to the subsidiary's default.

The counterparties of the Company's trade receivables cover a wide range of customers distributed in different districts, and are not centered on a single client or location. Besides this, ongoing credit evaluations are performed on the financial condition of counterparties of the trade receivables, so the Company's credit risk is limited. On the balance sheet date, the Company's maximum exposure to credit risk approximates the carrying amounts of the respective recognized financial assets as stated on the balance sheet.

3) Liquidity risk

The Company manages liquidity risk by monitoring and maintaining a level of cash and cash equivalents deemed adequate to finance the Company's operations and mitigate the effects of fluctuations in cash flows.

a) Liquidity and interest rate risk tables for non-derivative financial liabilities

The following table details the Company's remaining contractual maturity for its non-derivative financial liabilities with agreed repayment periods based on the probable earliest dates on which the Company can be required to pay. The table

64 -

has been drawn up based on the undiscounted cash flows of financial liabilities, including interests and cash flows of principals.

December 31, 2021

December 31, 2021
Non-derivative financial liabilities Non-interest bearing liabilities Lease liabilities Fixed interest rate liabilities Floating interest rate liabilities	Weighted Average Interest Rate (%) 1.16 0.63~1.90 0.30	On Demand or Less than 1 Year $ 1,962,742 32,869 3,000,000 - $ 4,995,611		1-5 Years $ - 117,844 3,700,000 34,800 $ 3,852,644		5+Years
						$ - - 2,300,000 - $ 2,300,000

Additional information about the maturity analysis for lease liabilities:

Less than 1

		Less than 1
Lease liabilities		Year $ 32,869		1-5 Years $ 117,844		5-10 Years
						$ -

December 31, 2020

December 31, 2020
Non-derivative financial liabilities Non-interest bearing liabilities Lease liabilities Fixed interest rate liabilities Floating interest rate liabilities	Weighted Average Interest Rate (%) 1.16 0.80~1.90 0.74~0.83	On Demand or Less than 1 Year $ 1,276,661 32,869 2,000,000 499,000 $ 3,808,530		1-5 Years $ - 122,655 6,500,000 800,000 $ 7,422,655		5+Years
						$ - 28,058 - - $ 28,058

Additional information about the maturity analysis for lease liabilities:

Lease liabilities	Less than 1 Year $ 32,869	1-5 Years $ 122,655	5-10 Years	5-10 Years
				$ 28,058

b) Liquidity and interest rate risk tables for derivative financial liabilities

The following table details the liquidity analysis for derivative financial instruments and the undiscounted gross cash inflows and outflows on those derivatives that require gross settlement. When the amount payable or receivable

65 -

is not fixed, the amount disclosed is determined by the expected interest rate derived from the yield curve on the balance sheet date.

December 31, 2021

December 31, 2021
Gross settled Foreign exchange forward contracts - Inflows - Outflows December 31, 2020 Gross settled Foreign exchange forward contracts - Inflows - Outflows	On Demand or Less than 1 Month $ 341,103 (342,387) ($ 1,284) On Demand or Less than 1 Month $ 187,799 (192,052) ($ 4,253)	1-3 Months 3 $ 805,228 $ (807,512) ( ) ($ 2,284) 1-3 Months 3 $ 470,813 $ (479,688) ( ) ( ($ 8,875) (	3	Months to 1 Year
				$ - - $ - Months to 1 Year
	( (	( (		$ 97,258 99,081) $ 1,823)

c) Financing facilities

The Company relies on bank loans as a significant source of liquidity. As of the balance sheet date, the unused amounts of bank financing facilities were as follows:

December 31, 2021 December 31, 2020

Bank loan facilities - Amount unused $10,559,370 $ 8,587,293

66 -

31. RELATED PARTY TRANSACTIONS

Besides information disclosed elsewhere in other notes, details of transactions between the Company and related parties are disclosed as follows.

a. Name of the related party and their relationship

Relationship with the Name of the related party Company USIFE Investment Co., Ltd. Subsidiary Swanson Plastics Corporation (SPC) Subsidiary Acme Electronics Corp. (ACME) Subsidiary Chong Loong Trading Co., Ltd. (CLTC) Subsidiary Swanlake Traders Ltd. Subsidiary Union Polymer International Investment Corporation Subsidiary (UPIIC) USI (Hong Kong) Company Limited (USI (Hong Subsidiary Kong)) USI Management Consulting Corp. (UM) Subsidiary Forever Young Company Limited (Forever Young) Subsidiary Swanson Technologies Corporation Subsidiary Taiwan United Venture Management Corp. (TUVM) Subsidiary China General Plastics Corporation (CGPC) Subsidiary Taita Chemical Company, Limited (TTC) Subsidiary Asia Polymer Corporation (APC) Subsidiary Taiwan VCM Corporation (TVCM) Subsidiary CGPC Polymer Corporation Subsidiary China General Terminal & Distribution Corporation Subsidiary (CGTD) INOMA Corporation Subsidiary USIG (Shanghai) Co., Ltd. Subsidiary Forum Pacific Trading Ltd. Subsidiary USI International Corp. Subsidiary USI Trading (Shanghai) Co., Ltd. (USI Trading Subsidiary (Shanghai)) APC Investment Corporation Subsidiary USI Optronics Corporation Subsidiary Dynamic Ever Investments Limited (DEIL) Subsidiary USI Green Energy Corporation (USIGE) Subsidiary USI Educational Foundation (USIF) Other related parties Fujian Gulei Petrochemical Co., Ltd. (Gulei) Joint ventures

b. Sale

Sale
Related Party Category/Name Subsidiary	For the Year Ended December 31, 2021 $ 640,802	For the Year Ended December 31, 2020
			$ 412,433

As of the end of 2021 and 2020, the deferred unrealized gross profit to subsidiaries is NT$1,175 thousand and NT$1,247 thousand, respectively.

67 -

There are no great differences in sale condition, sale price and payment condition between the Company and the related parties and unrelated parties.

c. Purchase

Purchase
Related Party Category/Name Subsidiary APC Gulei Others	For the Year Ended December 31, 2021 $ 1,673,947 99,704 85,128 $ 1,858,779	For the Year Ended December 31, 2020
			$ 662,705 - 67,698 $ 730,403

d. Allotment of ethylene outside

Allotment of ethylene outside
Related Party Category/Name Subsidiary TVCM APC	For the Year Ended December 31, 2021 $ 179,692 141,915 $ 321,607	For the Year Ended December 31, 2020
			$ 81,299 143,669 $ 224,968

e. Allotment of ethylene inside

Allotment of ethylene inside
Related Party Category/Name Subsidiary TVCM APC	For the Year Ended December 31, 2021 $ 275,888 137,203 $ 413,091	For the Year Ended December 31, 2020
			$ 18,215 12,707 $ 30,922

f. Rental receipt (accounting for other revenue)

Related Party Category/Name Subsidiary SPC TTC CGPC ACME Others	For the Year Ended December 31, 2021 $ 7,174 4,722 4,591 2,980 8,011 $ 27,478	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020
			$ 7,179 5,535 5,110 3,026 9,006 $ 29,856

The Company lease parts of the floors of the office building in Neihu to the subsidiaries and the rent is calculated on a monthly basis based on the contract. At the termination of the lease term, the subsidiaries have no right of first refusal of the leased office.

g. Management services income (classified as other revenue)

For the Year Ended For the Year Ended Related Party Category/Name December 31, 2021 December 31, 2020

Subsidiary

68 -

DEIL APC SPC CGPC Others	$ 19,579 8,747 5,191 3,883 693 $ 38,093	$ 19,790 8,471 5,078 3,768 2,291 $ 39,398

In response to management needs and integrating the corporate resources, the Company signed a resource support contract with UM, a subsidiary, in July 2002. UM would coordinate resources and services of the Group's common service department. The fees are calculated and charged based on the contract.

In response to management needs, the Company signed a management service contract with DEIL in May 2015, and the Company would provide the service of management consultation. The fees are calculated and charged based on the contract.

h. Management service fees – investment (classified as other gain and loss)

Related Party Category/Name Subsidiary TUVM	For the Year Ended December 31, 2021 $ 177	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020
			$ 268

i. Management service fees – management (accounting for expense of management and research and development)

research and development)
Related Party Category/Name Subsidiary UM Others	For the Year Ended December 31, 2021 $ 134,113 5,362 $ 139,475	For the Year Ended December 31, 2020
			$ 122,603 5,160 $ 127,763

j. Rent expense (classified as operating expenses)

Related Party Category/Name Subsidiary APC TTC	For the Year Ended December 31, 2021 $ 3,024 910 $ 3,934	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020
			$ 3,032 910 $ 3,942

Based on the rental contract between the Company and the related parties, the rents refer to the market rents of the neighboring building and are calculated based on the square feet and service proportion. The rents are paid on the monthly basis.

k. Commissions expense (accounting for selling and marketing expenses)

For the Year Ended For the Year Ended Related Party Category/Name December 31, 2021 December 31, 2020

69 -

Subsidiary USI Trading (Shanghai) $

956 $

513

l. Storage tank operation expense (classified as cost of goods sold)

Storage tank operation expense (classified	as cost of goods sold)
Related Party Category/Name Subsidiary CGTD	For the Year Ended December 31, 2021 $ 30,260	For the Year Ended December 31, 2020
			$ 47,818

m. Donation expenses (classified as general & administrative expenses)

Related Party Category/Name Other related parties USI Education Foundation	For the Year Ended December 31, 2021 $ 4,000	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020
			$ 3,000

n. Other expenses (classified as operating expenses, research and development expenses, and other gain and loss)

other gain and loss)
Related Party Category/Name Subsidiary	For the Year Ended December 31, 2021 $ 221	For the Year Ended December 31, 2020
			$ 2,304

o. Revenue from selling raw materials (classified as other revenues)

Related Party Category/Name Subsidiary APC Others	For the Year Ended December 31, 2021 $ 213,766 1,165 $ 214,931	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020
			$ 72,862 270 $ 73,132

p. Revenue from survey fee of importing ethylene (classified as other revenues)

Related Party Category/Name Subsidiary CGTD Others	For the Year Ended December 31, 2021 $ 832 20 $ 852	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020
			$ 704 - $ 704

q. Gains on disposals of property, plant and equipment (classified as other gain and loss)

Related Party Category/Name Subsidiary USI (Hong Kong)	For the Year Ended December 31, 2021 $ 889	For the Year Ended December 31, 2020	For the Year Ended December 31, 2020
			$ 889

The Hong Kong branch of the Company sold property, plant and equipment to USI (Hong Kong) in August 2005 for NT$18,049 thousand (HKD4,180 thousand). As of the end of

70 -

2021 and 2020, the unrealized gain is NT$3,257 thousand and NT$4,146 thousand, respectively, which have been deferred and are reversed and recognized based on the equipment estimated duration life.

r. Accounts receivable

Accounts receivable
Related Party Category/Name Subsidiary USI Trading (Shanghai) Forever Young USI (Hong Kong) SPC Others	December 31, 2021 $ 46,493 24,324 23,142 12,498 11 $ 106,468	December 31, 2020
			$ 33,203 28,645 24,644 7,512 76 $ 94,080

No collateral has been received for the accounts receivable outstanding from related parties. No allowance for losses was provided for the accounts receivable for the years ended 2021 and 2020.

s. Other receivables

Other receivables
Related Party Category/Name Subsidiary APC TVCM USI (Hong Kong) Others	December 31, 2021 $ 228,869 227,039 - 12,945 $ 468,853	December 31, 2020
			$ 58,712 96,071 51,190 14,216 $ 220,189

Other receivables from USI (Hong Kong) accounted are the receivables for surplus repatriation. The Company's application subject to the Management, Utilization and Taxation for Patriated Offshore Funds Act was approved to repatriate the funds by the Ministry of Finance in January 2021 and deposited the net value after tax to foreign exchange deposit account, which was accounted for financial assets measured at amortized cost. Please refer to Note 9.

t.

Accounts payable

Accounts payable
Related Party Category/Name Subsidiary APC SPC	December 31, 2021 $ 390,410 4,039 $ 394,449	December 31, 2020
			$ 185,681 2,609 $ 188,290

No collateral has been received for the accounts payable outstanding from related parties.

u. Other payables

Other payables
Related Party Category/Name Subsidiary	December 31, 2021	December 31, 2020

71 -

UM CGTD SPC Others	$ 6,743 5,971 2,085 1,396 $ 16,195	$ 5,010 5,340 - 1,556 $ 11,906

v. w.	Other unearned revenue (classified as other current liabilities) Related Party Category/Name December 31, 2021 Subsidiary $ 284 Loans to related parties (classified as other receivables) Related Party Category/Name December 31, 2021 Subsidiary USIGE $ 125,000 Interest income Related Party Category/Name For the Year Ended December 31, 2021 Subsidiary USIGE $ 271	December 31, 2020	December 31, 2020
		$ 284 December 31, 2020
		$ - For the Year Ended December 31, 2020
			$ -

The Company's funds loaned to USIGE were unsecured loans at interest rates similar to market rates. Such loans are expected to be recovered within one year, and there is no expected credit loss after assessment.

x. Endorsement and Guarantees (customs and bank loans)

Related Party Category/Name Subsidiary UPIIC CLTC USIGE	December 31, 2021 $ 2,600,000 308,400 200,000 $ 3,108,400	December 31, 2020	December 31, 2020
			$ 3,900,000 304,800 - $ 4,204,800

y. Compensation of key management personnel

The aggregate amounts of the remuneration of directors and other members of key management personnel were as follows:

management personnel were as follows:
Short-term employee benefits Retirement benefits	For the Year Ended December 31, 2021 $ 49,562 491 $ 50,053	For the Year Ended December 31, 2020
			$ 41,718 324 $ 42,042

The compensation of directors and key executives was determined by the remuneration committee based on the performance of individuals and market trends.

72 -

32. COLLATERALIZED ASSETS

The following assets of the Company were provided as guarantees for the purchase payment and outward documentary bill:

and outward documentary bill:
Time deposits - classified as financial assets measured at amortized cost - current - Classified as other non-current assets	December 31, 2021 $ 61,149 21,778 $ 82,927	December 31, 2020
			$ 60,893 21,612 $ 82,505

33. SIGNIFICANT CONTINGENT LIABILITY AND UNRECOGNIZED CONTRACTUAL COMMITMENTS

a. As of the years ended December 31, 2021 and 2020, the letter of credit which the Company issued and was unused amounted to NT$1,251,196 thousand and NT$1,033,822 thousand, respectively. The margins of endorsement of the related parties amounted to NT$3,108,400 thousand and NT$4,204,800 thousand, respectively. Please see the note 30 and note 31.
b. Regarding the Company's associate, China General Terminal & Distribution Corporation ("CGTD"), who was commissioned to operate the propylene pipeline of LCY Chemical Corp. ("LCY") resulting in a gas explosion on July 31, 2014, the appeal was dismissed by the Supreme Court on September 15, 2021, and all three employees of CGTD were innocent.

CGTD arrived at an agreement with the Kaohsiung City Government on February 12, 2015 to pledge certificates of bank deposits of NT$227,540 thousand (including interest) to Kaohsiung City Government as collateral for the losses caused by the gas explosion. Kaohsiung City Government has also filed civil lawsuits against LCY, CGTD and CPC Corporation. Taiwan Power Company applied for provisional attachment against CGTD's property on August 27 and November 26, 2015. CGTD had deposited cash of NT$99,207 thousand to the court to avoid provisional attachment. Taiwan Water Corporation also applied for provisional attachment against CGTD's property on February 3 and March 2, 2017. As of February 28, 2022, the provisionally attached properties were worth NT$12,472 thousand.

For the victims of the gas explosion, CGTD, LCY and the Kaohsiung City Government signed a tripartite agreement for severe injuries on July 17, 2015 agreeing to negotiate the compensation first with the 32 severely injured victims, agreeing to negotiate compensation in advance for all the heirs and claimants of the 32 victims (hereinafter referred to as "the families of the victims"), paying the families of the victims NT$12,000 thousand for each victim, with a total settlement of NT$384,000 thousand. LCY paid the compensation first

73 -

and also represented the three parties in the settlement negotiation and the signing of settlement agreements with the family of the deceased.

For the severely injured, CGTD, LCY and the Kaohsiung City Government signed a tripartite agreement for severe injuries on October 25, 2017 agreeing to negotiate the compensation first with the 65 severely injured victims. The compensation was paid by CGTD and the Kaohsiung City Government, and CGTD was in charge of negotiating the compensation with the seriously injured victims' families and signing the settlement agreement on behalf of the three parties with the 64 seriously injured victims' families.

As of February 28, 2022, the victims and victims' families had written letters or filed civil lawsuits (including criminal lawsuits) against CGTD, LCY Chemical Corp. and CPC for compensation claims. To reduce the lawsuit costs, CGTD came to a compromise and reduced the original claim of NT$46,677 thousand and settled for a compensation amount of NT$4,519 thousand instead. Along with the case still under litigation and the abovementioned compensation, the accumulated amount of compensation is NT$3,856,447 thousand. The first-instance judgments of some of the above-mentioned civil cases (with a total amount of compensation of approximately NT$1,341,128 thousand) have been gradually announced starting from June 22, 2018. The proportion of fault-based liabilities of the Kaohsiung City Government, LCY Chemical Corp. and CGTD is 4:3:3 in most of the case judgments. The total amount of compensation that CGTD, LCY Chemical Corp. and the other defendants are liable for was approximately NT$401,979 thousand, of which the court ruled an exemption for CGTD in the amount of NT$6,194 thousand. For the civil cases that have been sentenced but not settled, CGTD has filed an appeal and has started the second trial procedure one after another. The remaining cases are still pending in the Court of First Instance (the amount claimed is approximately NT$2,012,493 thousand). CGTD and its insurance company signed a settlement agreement, covering the proportion of the liability for negligence determined in the first-instance judgment, the estimated amount of the settlement with the victims and the severely injured, and the amount of compensation in civil cases (including cases that have been settled); after the upper limit of insurance claims is deducted, the estimated amount that should be borne by CGTD and has been recognized is NT$136,375 thousand. However, the actual amount of the aforementioned relevant settlements and compensation will not be confirmed until the proportion of the liabilities that should be borne by CGTD is determined in the civil case judgment in the future.

34. SIGNIFICANT CONTRACTS

74 -

The Company and Asia Polymer Corporation (APC) entered into a joint venture contract for an investment of Fujian Gulei Petrochemical Co., Ltd. on April 17, 2014. The related entities of the contract or commitments are Ho Tung Chemical Corporation, LCY Chemical Corporation, HsinTay Petroleum Company Limited, Chenergy Global Corporation and Lien Hwa Industrial Corporation. The main contents of the contract and commitments include: (1) the shareholders shall establish Ever Victory Global Limited (hereinafter referred to as "EVGL") and agree to pass the establishment of the 100%-owned company named Dynamic Ever Investments Limited (hereinafter referred to as "DEIL") in Hong Kong, which purpose is to build oil refineries and produce seven products such as ethylene on the Gulei Peninsula in Zhangzhou, Fujian Province, as approved by the competent authorities of the Republic of China and according to the business operation permitted by the Joint Venture's board of directors. (2) DEIL and Fujian Petrochemical Chemical Co., Ltd. ("FPCL") jointly established a company to operate the target business of the joint venture (hereinafter referred to as "Gulei") in Gulei Industrial Park, Zhangzhou, Fujian Province in accordance with the laws and regulations of the People's Republic of China and acquired 50% of the issued shares of Gulei as the basis for the joint investment.

Dynamic Ever Investments Limited and Fujian Refining and Chemical Co. signed "Fujian Gulei Petrochemical Corporation Limited Joint Venture Contract" which stipulated an increase in the investment amount, and this contract led to part of the original related contract entities being unable to keep their respective investment ratios as provided by the original contract or to participate in the subsequent capital increase procedures. In order to meet the business requirement of the original contract, the Company and APC resigned the joint venture contract on September 30, 2016 and added a new contractually promised related entity, CTCI Corp. On December 18, 2019, the Company and APC again resigned the joint venture contract and added new contractually promised related entities, Fubon Financial Holding Venture Capital Corporation and Hongfu Investment Co., Ltd.

As of December 31, 2021, the Company and APC cumulatively invested US$246,670 thousand (approximately NT$7,645,981 thousand) and US$170,475 thousand (approximately NT$5,255,587 thousand) in Ever Conquest Global Limited (ECGL), respectively, and reinvested in EVGL via ECGL as well as in DEIL. The Company and APC together hold 67.4% shares in EVGL in total. DEIL has invested capital amounted to RMB 4,657,200 thousand in Gulei.

35. SIGNIFICANT ASSETS AND LIABILITIES DENOMINATED IN FOREIGN CURRENCIES

75 -

The Company's significant financial assets and liabilities denominated in foreign currencies and aggregated by foreign currencies other than functional currencies and the related exchange rates. Assets and liabilities with significant impact recognized in foreign currencies are as follows:

Unit: each foreign currency/carrying amounts are

December 31, 2021	December 31, 2021	in thousands
Foreign Currency Exchange Rate $ 41,774 27.68 325,789 4.34 299,996 27.68 17,942 3.55 30,005 4.34 4,260 27.68 86,600 4.34 24,537 27.68 151,100 4.34 December 31, 2020		Carrying Amount
		$ 1,156,058 1,414,490 8,303,880 63,676 130,269 624 740 679,192 2,492
Foreign Currency $ 23,057 217,015 307,852 18,375 11,045 8,975 176,600	Exchange Rate 28.48 4.36 28.48 3.67 28.48 0.28 4.36	Carrying Amount
		$ 656,654 947,226 8,767,625 67,491 314,559 2,480 11,522

76 -

For the years ended December 31, 2021 and 2020, realized and unrealized net foreign exchange losses were NT$14,621 thousand and NT$1,696 thousand, respectively. It is impractical to disclose net foreign exchange gains by each significant foreign currency due to the variety of the foreign currency transactions and functional currencies of the group entities.

36. SEPARATELY DISCLOSED ITEMS

a. Information on significant transactions and b. Information on reinvestment business
1) Financing provided to others. (Table 1)
2) Endorsements/guarantees provided. (Table 2)
3) Marketable securities held (excluding investment in subsidiaries, associates and joint ventures). (Table 3)
4) Marketable securities acquired or disposed of at accumulative costs/prices of at least NT$300 million or 20% of the paid-in capital. (Table 4)
5) Acquisitions of individual real estate at costs of at least NT$300 million or 20% of the paid-in capital. (None)
6) Disposals of individual real estate at prices of at least NT$300 million or 20% of the paid-in capital. (None)
7) Total purchases from or sales to related parties amounting to at least NT$100 million or 20% of the paid-in capital. (Table 5)
8) Receivables from related parties amounting to at least NT$100 million or 20% of the paid-in capital. (Table 6)
9) Trading in derivative instruments:

As of the end of year of 2021, the related information of the Company and the subsidiaries which applied the forward exchange transaction is as follows:

December 31, 2021 Sell Sell Sell Sell Buy Buy	Currencies RMB/NTD USD/MYR USD/NTD EUR/ MYR NTD/USD JPY/ USD	Expiration date 2022.01.03- 2022.03.24 2022.04.29- 2022.10.31 2022.01.03- 2022.03.30 2022.01.31- 2022.02.28 2022.03.07 2022.01.18- 2022.02.24	Contract amount (in thousands)
			RMB 375,900 /NTD 1,625,844 USD 2,150 /MYR 9,075 USD 45,290 /NTD 1,259,790 EUR 60 /MYR 304 NTD 128,458 /USD 4,640 JPY 100,000 /USD 883

10) Information on investees. (Table 7)
c. Information on investments in mainland China
77 -
1) Information on investee company in mainland China, including the name, principal business activities, paid-in capital, method of investment, inward and outward remittance of funds, ownership percentage, current profit and loss and recognized investment income or loss, carrying amount of the investment at the end of the period, repatriations of investment income, and limit on the amount of investment in the mainland China area. (Table 8)
2) Any of the following significant transactions with investee companies in mainland China, either directly or indirectly through a third party, and their prices, payment terms, and unrealized gains or losses:
- a) The amount and percentage of purchases and the balance and percentage of the related payables at the end of the period: Tables 5 and 9.
- b) The amount and percentage of sales and the balance and percentage of the related receivables at the end of the period: Tables 5 and 9.
- c) The amount of property transactions and the amount of the resultant gains or losses: None.
- d) The balance of negotiable instrument endorsements or guarantees or pledges of collateral at the end of the period and the purposes: Table 2.
- e) The highest balance during the period, the end of period balance, the interest rate range, and total current period interest with respect to the financing of funds: Table 1.
- f) Other transactions that have a material effect on the profit or loss for the period or on the financial position, such as the rendering or receipt of services: None.
d. Information on substantial shareholders: Name, number of shares held, and shareholding percentage of shareholders with shareholding percentage exceeding 5%. (Table 9)
78 -

FOR THE YEAR ENDED DECEMBER 31, 2021

USI CORPORATION AND INVESTEE COMPANIES FINANCING PROVIDED TO OTHERS

TABLE 1

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

No.	Lender	Borrower	Financial Statement Account	Related Party (Yes/No)	Highest Balance for the Period	Ending Balance (Note 3)	Actual Borrowing Amount (Note 3)	Range of Interest Rates (%)	Nature of Financing (Note 2)	Business Transaction Amounts	Reasons for Short-term Financing	Allowance for Impairment Loss	Collateral	Collateral	Financing Limit for Each Borrower (Note 1)	Aggregate Financing Limit (Note 1)	Remark
													Name	Value
0	USI CORPORATION	USI Green Energy Corporation	Other receivables - related parties	Yes	$ 400,000	$ 200,000	$ 125,000	0.80	2	$ -	Business turnover	$ -	-	-	$ 10,184,800	$ 10,184,800

Note 1. The total capital loans shall not exceed 40% of the net value of the Company's most recent financial statements certified or audited by CPAs. The maximum capital loans is calculated on the net value as of December 31, 2021.

Note 2. The nature of financing is provided as follows:

(1) Business relationship is coded "1".

(2) Short-term financing is coded "2".

79 -

USI CORPORATION AND INVESTEE COMPANIES

Acme Electronics Corporation

FINANCING PROVIDED TO OTHERS

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 1-1

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

No.	Lender	Borrower	Financial Statement Account	Related Party (Yes/No)	Highest Balance for the Period (Note 3)	Balance at December 31	Actual Borrowing Amount	Range of Interest Rates `（％）`	Nature of Financing (Note 2)	Business Transaction Amounts	Reasons for Short-term Financing	Allowance for Impairment Loss	Collateral	Collateral	Financing Limit for Each Borrower (Note 1)	Aggregate Financing Limit (Note 1)	Remark
													Name	Value
0	Acme Electronics Corporation	ACME Electronics (Cayman) Corp.	Other receivables from related parties	Yes	$ 278,500 (USD10,000 thousand)	$ -	$ -	1.12675%`～` 2.82663%	2	$ -	Business turnover	$ -	`－`	`－`	$ 534,016	$ 534,016

Note 1. Total financing amounts provided to others shall not exceed 40% of ACME's net value, and the highest aggregate financing limits were calculated by the net value as of December 31, 2021.

Note 2. The nature of financing is provided as follows:

(1) Business relationship is coded "1".

(2) Short-term financing is coded "2".

Note 3. The amount was calculated based on the spot exchange rate as of December 31, 2021.

80 -

TABLE 1-2

USI CORPORATION AND INVESTEE COMPANIES

Swanson Plastics Corporation

FINANCING PROVIDED TO OTHERS

FOR THE YEAR ENDED DECEMBER 31, 2021

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

No.	Lender	Borrower	Financial Statement Account	Related Party (Yes/No)	Highest Balance for the Period	Balance at December 31 (Notes 3 and 4)	Actual Borrowing Amount (Notes 3 and 4)	Range of Interest Rates (%)	Nature of Financing (Note 2)	Business Transaction Amounts	Reasons for Short-term Financing	Allowance for Impairment Loss	Collateral	Collateral	Financing Limit for Each Borrower (Note 1)	Aggregate Financing Limit (Note 1)	Remark
													Name	Value
1 2 3	Forever Young Company Limited ASK-Swanson (Kunshan) Co., Ltd. Swanson Plastics (Singapore) Pte., Ltd.	Swanson International Ltd. Swanson Plastics (Tianjin) Co., Ltd. PT. Swanson Plastics Indonesia	Other receivables Other receivables Other receivables	Yes Yes Yes	$ 88,601 219,009 14,268	$ 41,529 164,977 -	$ 41,529 164,977 -	- 3.85 -	2 2 2	$ - - -	Business turnover Business turnover Business turnover	$ - - -	`－` `－` `－`	`－` `－` `－`	$ 69,670 516,104 350,871	$ 104,504 516,104 350,871

Note 1. The limits of financing provided to others based on the total amount of funds lending to others and the limits of individual objects set by the companies.

Note 2. The nature of financing is provided as follows:

(1) Business relationship is coded "1".

(2) Short-term financing is coded "2".

Note 3. The amount was calculated based on the spot exchange rate as of December 31, 2021.

81 -

TABLE 2

USI CORPORATION AND INVESTEE COMPANIES

ENDORSEMENTS/GUARANTEES PROVIDED

FOR THE YEAR ENDED DECEMBER 31, 2021

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

No.	Endorser/Guarantor	Endorsee/Guarantee	Endorsee/Guarantee	Limits on Endorsement/Guarantee Made for Each Party (Note 1)	Maximum Amount Endorsed/Guaranteed During the Period (Note 2)	Outstanding Endorsement/Guarantee at the End of the Period (Note 2)	Actual Borrowing Amount	Amount Endorsed/Guaranteed by Collateral	Ratio of Accumulated Endorsement/Guarantee to Net Equity in Latest Financial Statements `（％）`	Aggregate Endorsement/Guarantee Limit (Note 1)	Endorsement/Guarantee Made by Parent for Subsidiaries	Endorsement/Guarantee Made by Subsidiaries for Parent	Endorsement/Guarantee Made for Companies in Mainland China
		Company Name	Relationship
0 0 0	USI CORPORATION USI CORPORATION USI CORPORATION	Union Polymer Int'l Investment Corp. USI Green Energy Corporation Chong Loong Trading Co., Ltd.	Subsidiary which directly held more than 50% of ordinary shares Subsidiary which directly held more than 50% of ordinary shares Subsidiary which directly held more than 50% of ordinary shares	$ 12,731,000 12,731,000 12,731,000	$ 3,900,000 200,000 308,400 (USD5,000 thousand) (NTD170,000 thousand)	$ 2,600,000 200,000 308,400 (USD5,000 thousand) (NTD170,000 thousand)	$ 685,000 - 76,863	$ - - -	10.21 0.79 1.21	$ 15,277,199 15,277,199 15,277,199	Yes Yes Yes	No No No	No No No

Note 1. The total amount of endorsements/guarantees provided shall not exceed 60% of the Company's net value. The amount of endorsements/guarantees for an individual entity shall not exceed 50% of the Company's net value. The maximum amount of endorsements/guarantees was calculated based on net value as of December 31, 2021.

Note 2. The amount was calculated based on the spot exchange rate as of December 31, 2021.

82 -

USI CORPORATION AND INVESTEE COMPANIES

Acme Electronics Corporation

ENDORSEMENTS/GUARANTEES PROVIDED

FOR THE YEAR ENDED DECEMBER 31, 2021

Table 2-1

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

No.	Endorser/Guarantor	Endorsee/Guarantee	Endorsee/Guarantee	Limits on Endorsement/Guarantee Made for Each Party (Note 2)	Maximum Amount Endorsed/Guaranteed During the Period	Outstanding Endorsement/Guarantee at the End of the Period (Note 3)	Actual Borrowing Amount (Note 3)	Amount Endorsed/Guaranteed by Collateral	Ratio of Accumulated Endorsement/Guarantee to Net Equity in Latest Financial Statements (%) (Note 1)	Aggregate Endorsement/Guarantee Limit (Note 2)	Endorsement/Guarantee Made by Parent for Subsidiaries	Endorsement/Guarantee Made by Subsidiaries for Parent	Endorsement/Guarantee Made for Companies in Mainland China	Remark
		Company Name	Relationship
0	Acme Electronics Corporation	Acme Electronics (Kunshan) Co., Ltd. Acme Electronics (Guang-Zhou) Co., Ltd. ACME Electronics (Cayman) Corp.	Subsidiary of ACME (Cayman) Subsidiary of GAEL Subsidiary of Acme Electronics Corporation	$ 2,002,562 2,002,562 2,002,562	$ 486,500 (USD17,500 thousand) 83,400 (USD3,000 thousand) 222,400 (USD8,000 thousand)	$ 484,400 (USD17,500 thousand) 83,040 (USD3,000 thousand) 221,440 (USD8,000 thousand)	$ 207,600 (USD7,500 thousand) - 221,400 (USD8,000 thousand)	- - -	36.28% 6.22% 16.59%	$ 2,670,082 2,670,082 2,670,082	No No No	No No No	Yes Yes No

Note 1. The rate was calculated by the equity of ACME as of December 31, 2021.

Note 2. The maximum amount of total endorsement/guarantee shall not exceed 200% of the equity attributable to owners of ACME. The maximum amount of endorsement/guarantee for an individual entity shall not exceed 150% of the equity attributable to owners of ACME. The maximum amount of endorsement/guarantee was calculated based on the equity of the endorser/guarantor as of December 31, 2021.

Note 3.

The amount was calculated based on the spot exchange rate as of December 31, 2021.

83 -

USI CORPORATION AND INVESTEE COMPANIES

Swanson Plastics Corporation

ENDORSEMENTS/GUARANTEES PROVIDED

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 2-2

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

No.	Endorser/Guarantor	Endorsee/Guarantee	Endorsee/Guarantee	Limits on Endorsement/Guarantee Made for Each Party (Note 1)	Maximum Amount Endorsed/Guaranteed During the Period	Outstanding Endorsement/Guarantee at the End of the Period (Note 2)	Actual Borrowing Amount (Note 2)	Amount Endorsed/Guaranteed by Collaterals	Ratio of Accumulated Endorsement/Guarantee to Net Equity in Latest Financial Statements (%)	Aggregate Endorsement/Guarantee Limit (Note 1)	Endorsement/Guarantee Made by Parent for Subsidiaries	Endorsement/Guarantee Made by Subsidiaries for Parent	Endorsement/Guarantee Made for Companies in Mainland China	Remark
		Company Name	Relationship
0 0 0 0 0 0 0	Swanson Plastics Corporation Swanson Plastics Corporation Swanson Plastics Corporation Swanson Plastics Corporation Swanson Plastics Corporation Swanson Plastics Corporation Swanson Plastics Corporation	Swanson Plastics (Singapore) Pte., Ltd. Swanson Plastics (Malaysia) Sdn. Bhd. Swanson Plastics (Kunshan) Co., Ltd. Swanson Technologies Corporation Swanson Plastics (Tianjin) Co., Ltd. PT. Swanson Plastics Indonesia Forever Young Co., Ltd.	Subsidiary Sub-subsidiary Sub-subsidiary Subsidiary Sub-subsidiary Subsidiary Subsidiary	$ 5,290,204 5,290,204 5,290,204 5,290,204 5,290,204 5,290,204 5,290,204	$ 51,078 34,242 85,605 219,796 28,535 57,070 1,438,419	$ 49,547 33,216 83,040 155,008 27,680 55,360 1,414,448	$ - - - 50,000 - - -	$ - - - - - - -	1.87 1.26 3.14 5.86 1.05 2.09 53.47	$ 6,612,755 6,612,755 6,612,755 6,612,755 6,612,755 6,612,755 6,612,755	No No No No No No No	No No No No No No No	No No Yes No Yes No No

Note 1. The amount of endorsements/guarantees for an individual entity shall not exceed 200% of SPC's equity stated on the latest financial statements. The maximum amount of total endorsements/guarantees shall not exceed 250% of SPC's equity stated on the latest financial statements.

Note 2. The amount was calculated based on the spot exchange rate as of December 31, 2021.

84 -

USI CORPORATION AND INVESTEE COMPANIES

China General Plastics Corporation ENDORSEMENTS/GUARANTEES PROVIDED

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 2-3

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

No.	Endorser/Guarantor	Endorsee/Guarantee	Endorsee/Guarantee	Limits on Endorsement/ Guarantee Made for Each Party (Note 2)	Maximum Amount Endorsed/Guaranteed During the Period	Outstanding Endorsement/Guarantee at the End of the Period	Actual Borrowing Amount	Amount Endorsed/Guaranteed by Collateral	Ratio of Accumulated Endorsement/Guarantee to Net Equity in Latest Financial Statements (%) (Note1)	Aggregate Endorsement/Guarantee Limit (Note 2)	Endorsement/Guarantee Made by Parent for Subsidiaries	Endorsement/Guarantee Made by Subsidiaries for Parent	Endorsement/Guarantee Made for Companies in Mainland China	Remark
		Company Name	Relationship
0	China General Plastics Corporation	CGPC Polymer Corporation	Subsidiary	$ 6,697,786	$ 2,450,000	$ 1,000,000	$ -	$ -	8.96	$ 11,162,977	No	No	No

Note 1. The ratio was calculated by the equity of CGPC as of December 31, 2021.

Note 2. The total amount of guarantee that may be provided by CGPC shall not exceed 100% of CGPC's net worth stated on the latest financial statements. The amount of guarantee that may be provided by CGPC to any individual entity shall not exceed 60% of CGPC's net worth stated on the latest financial statements.

85 -

USI CORPORATION AND INVESTEE COMPANIES

Taita Chemical Company, Ltd.

ENDORSEMENTS/GUARANTEES PROVIDED

FOR THE YEAR ENDED DECEMBER 31, 2021

Table 2-4

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

No.	Endorser/Guarantor	Endorsee/Guarantee	Endorsee/Guarantee	Limits on Endorsement/ Guarantee Made for Each Party (Note 2)	Maximum Amount Endorsed/Guaranteed During the Period (Note 1)	Outstanding Endorsement/Guarantee at the End of the Period (Note 1)	Actual Borrowing Amount (Note 1)	Amount Endorsed/Guaranteed by Collateral	Ratio of Accumulated Endorsement/Guarantee to Net Equity in Latest Financial Statements (%)	Aggregate Endorsement/Guarantee Limit (Note 2)	Endorsement/Guarantee Made by Parent for Subsidiaries	Endorsement/Guarantee Made by Subsidiaries for Parent	Endorsement/Guarantee Made for Companies in Mainland China	Remark
		Company Name	Relationship
0 0	Taita Chemical Company, Ltd. Taita Chemical Company, Ltd.	TAITA (BVI) Holding Co., Ltd. Taita Chemical (Zhongshan) Co., Ltd.	Subsidiaries that the Company holds 100% of common equity directly Subsidiaries that the Company's subsidiaries hold 100% of common equity directly	$ 7,661,813 7,661,813	$ 876,800 (USD10,000 thousand) (NTD600,000 thousand) 564,395 (RMB130,000 thousand)	$ 166,080 (USD6,000 thousand) 564,395 (RMB130,000 thousand)	$ - -	$ - -	2.17 7.37	$ 11,492,720 11,492,720	No No	No No	No Yes

Note 1. The amount was calculated based on the spot exchange rate as of December 31, 2021.

Note 2. The total amount of guarantee that may be provided by TTC shall not exceed 150% of TTC's net worth stated on its latest financial statements; the total amount of guarantee provided by TTC to any individual entity shall not exceed 100% of TTC's net worth stated on its latest financial statements.

The total amount of guarantee that may be provided by TTC and its subsidiaries shall not exceed 200% of TTC's net worth stated on the latest financial statements; the total amount of guarantee provided by TTC and its subsidiaries to any individual entity shall not exceed 150% of TTC's net worth stated on the latest financial statements.

86 -

USI CORPORATION AND INVESTEE COMPANIES

MARKETABLE SECURITIES HELD

DECEMBER 31, 2021

TABLE 3

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Holding Company Name	Type and Name of Marketable Securities	Relationship with the Holding Company	Financial Statement Account	December 31, 2021	December 31, 2021	December 31, 2021	December 31, 2021	Remark
				Unit/Share	Carrying Amount	Percentage of Ownership (%)	Fair Value
USI CORPORATION	Shares CTCI Corporation KHL IB Venture Capital Co., Ltd. AU Optronics Corporation United Microelectronics Corporation Evergreen Marine Corporation UPC Technology Corporation Quanta Computer Incorporated ShunSin Technology Holdings Limited China Steel Corporation Tungho Steel Corporation Teratech Corp. Fund beneficiary certificates Nomura Taiwan Money Market Fund FSITC Taiwan Money Market Fund Yuanta Wan Tai Money Market Fund Hua Nan Kirin Money Market Fund CTBC Hwa-Win Money Market Fund	- - - - - - - - - - - - - - - -	Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - non- current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss-current	15,130,656 9,954,950 8,514,006 150,000 473,251 700,000 200,000 80,000 650,000 368,500 110,000 3,642,877 15,516,171 5,235,979 19,031,543 3,595,506	$ 562,860 164,720 194,971 9,750 67,438 15,120 18,940 7,440 22,978 24,726 - 60,019 240,055 80,000 230,055 40,008	1.98 11.20 0.09 - - - - - - - - - - - - -	$ 562,860 164,720 194,971 9,750 67,438 15,120 18,940 7,440 22,978 24,726 - 60,019 240,055 80,000 230,055 40,008

(Continued)

87 -

Holding Company Name	Type and Name of Marketable Securities	Relationship with the Holding Company	Financial Statement Account	December 31, 2021	December 31, 2021	December 31, 2021	December 31, 2021	Remark
				Unit/Share	Carrying Amount	Percentage of Ownership (%)	Fair Value
Union Polymer Int'l Investment Corp. Swanlake Traders Ltd.	UPAMC James Bond Money Market Fund Hua Nan Phoenix Money Market Fund Taishin Ta-Chong Money Market Fund Capital Money Market Fund Mega Diamond Money Market Fund FSITC Money Market Fund Taishin 1699 Money Market Fund Jih Sun Money Market Fund SinoPac TWD Money Market Fund Beneficiary securities Cathay No. 1 Real Estate Investment Trust Shares (Asia Polymer Corporation) China General Plastics Corporation Taita Chemical Company, Ltd. Shares SOHOware Inc. TGF Linux Communications Inc. Neurosky Inc. Preferred Stock D	- - - - - - - - - `－` Investments accounted for using the equity method Investments accounted for using the equity method Investments accounted for using the equity method `－` `－` `－`	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income-non-current	7,942,704 20,046,518 16,379,377 6,136,287 9,508,754 971,287 19,245,740 16,702,410 7,833,977 3,340,000 22,182,486 4,469,307 434,527 1,150,000 300,000 2,397,364	$ 134,012 329,156 235,051 100,004 120,548 175,042 263,255 250,321 110,045 $ 60,554 812,988 155,085 15,013 - - -	- - - - - - - - - - 3.74 0.77 0.11 1.05 2.14 0.70	$ 134,012 329,156 235,051 100,004 120,548 175,042 263,255 250,321 110,045 $ 60,554 812,988 155,085 15,013 - - -	Note 2 Note 2 Note 2

(Continued)

88 -

Holding Company Name	Type and Name of Marketable Securities	Relationship with the Holding Company	Financial Statement Account		December 31,	2021		Remark
				Unit/Share	Carrying Amount	Percentage of Ownership (%)	Fair Value
USIFE Investment Co., Ltd.	Shares AU Optronics Corporation AU Optronics Corporation Wafer Works Corporation Solargiga Energy Holdings Limited Dah Chung Bills Finance Corp. Swanson Plastics Corporation USI Optronics Corporation Digimax Inc. Silicon Technology Investment (Cayman) Corp. China General Plastics Corporation (Asia Polymer Corporation) Taita Chemical Company, Ltd. UPC Technology Corporation China Steel Corporation Tungho Steel Corporation	`－` `－` `－` `－` `－` Same chairman Same chairman `－` `－` Same chairman Same chairman Same chairman `－` `－` `－`	Financial assets at fair value through other comprehensive income - current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss-current	1,266,061 1,266,061 1,502,433 11,876,111 482,757 9,198,980 165,279 23,234 911,849 550,722 1,714,180 1,338,240 500,000 325,000 150,750	$ 28,993 28,993 128,458 17,491 7,430 134,029 205 - 50,562 19,110 62,825 46,236 10,800 11,489 10,115	0.01 0.01 0.28 0.37 0.10 5.96 0.25 0.05 1.77 0.09 0.29 0.35 0.04 - 0.02	$ 28,993 28,993 128,458 17,491 7,430 134,029 205 - 50,562 19,110 62,825 46,236 10,800 11,489 10,115

(Continued)

89 -

Holding Company Name	Type and Name of Marketable Securities	Relationship with the Holding Company	Financial Statement Account	December 31, 2021	December 31, 2021	December 31, 2021	December 31, 2021	Remark
				Unit/Share	Carrying Amount	Percentage of Ownership (%)	Fair Value
Taiwan United Venture Capital Corp.	United Microelectronics Corporation Evergreen Marine Corporation ShunSin Technology Holdings Limited Acme Electronics Corporation Superactive Group Company Limited Beneficiary certificates Yuanta De-Li Money Market Fund Fuh Hwa Money Market Cathay Taiwan Money Market Fund Beneficiary certificates Fuh Hwa Money Market Cathay Taiwan Money Market Fund Shares Innovation & Infinity Global Corp. Teratech Corp. MiTAC Holdings Corporation Chitec Technology Co., Ltd. Leadwell Cnc Machines Mfg., Corp. Digimax Inc. Orgchem Technologies, Inc.	`－` `－` `－` Same chairman `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - non- current Financial assets at fair value through profit or loss - non- current Financial assets at fair value through other comprehensive income - current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income-non-current	60,000 158,416 25,000 500,000 678,000 4,907,988 3,440,659 5,844,200 3,399,556 4,391,849 720,804 90,000 2,062,000 407,072 419,753 518,898 594,594	$ 3,900 22,574 2,325 26,750 464 80,837 50,113 73,396 49,514 55,156 - - 72,582 21,677 10,603 - 6,243	- - 0.02 0.27 - - - - - - 0.73 0.58 0.17 1.37 0.68 1.18 1.09	$ 3,900 22,574 2,325 26,750 464 80,837 50,113 73,396 49,514 55,156 - - 72,582 21,677 10,603 - 6,243

(Continued)

90 -

Holding Company Name	Type and Name of Marketable Securities	Relationship with the Holding Company	Financial Statement Account		December 31,	2021		Remark
				Unit/Share	Carrying Amount	Percentage of Ownership (%)	Fair Value
Taiwan United Venture Management Corporation INOMA Corporation USI Optronics Corporation USI Management Consulting Corporation	Hexawave Inc. Uranus Chemicals Co., Ltd. Neuro Sky, Inc. Preferred Stock A Neuro Sky, Inc. Preferred Stock B Neuro Sky, Inc. Preferred Stock C Beneficiary certificates Fuh Hwa Money Market Beneficiary certificates Taishin 1699 Money Market Fund Beneficiary certificates Jih Sun Money Market Fund Taishin 1699 Money Market Fund Yuanta De-Bao Money Market Fund Beneficiary certificates Fuh Hwa Money Market	`－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value throughprofit or loss-current	109,109 14,021 10,000,000 12,595,523 4,532,823 91,730 446,739 1,016,620 887,541 498,596 2,747,092	$ 817 379 - - - $ 1,336 6,111 15,236 12,140 6,048 40,011	0.27 0.03 1.42 1.78 0.64 - - - - - -	$ 817 379 - - - $ 1,336 6,111 15,236 12,140 6,048 40,011

Note 1. All securities in the table include stocks, bonds, beneficiary certificates and the securities derived from the items above which are regulated by IFRS 9 "Financial Instruments". Note 2. The amount is already recognized as impairment losses.

Note 3. Please refer to Tables 7 and 8 for detailed information on subsidiaries and associates.

91 -

USI CORPORATION AND INVESTEE COMPANIES

China General Plastics Corporation

MARKETABLE SECURITIES HELD

DECEMBER 31, 2021

TABLE 3-1

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Holding Company Name	Type and Name of Marketable Securities	Relationship with the Holding Company	Financial Statement Account	December 31, 2021	December 31, 2021	December 31, 2021	December 31, 2021	Remark
				Unit/Share	Carrying Amount	Percentage of Ownership (%)	Fair Value
China General Plastics Corporation Taiwan VCM Corporation CGPC Polymer Corporation	Beneficiary securities Cathay No. 1 Real Estate Investment Trust Fund beneficiary certificates FSITC Taiwan Money Market Fund Cathay Taiwan Money Market Fund Hua Nan Phoenix Money Market Fund Shares China Steel Corporation Quanta Computer Incorporated Tungho Steel Corporation United Microelectronics Corporation ShunSin Technology Holdings Limited KHL IB Venture Capital Co., Ltd. Shares (Asia Polymer Corporation) Fund beneficiary certificates Hua Nan Phoenix Money Market Fund FSITC Taiwan Money Market Fund Taishin Ta-Chong Money Market Fund Prudential Financial Money Market Fund Taishin 1699 Money Market Fund	`－` `－` `－` `－` `－` `－` `－` `－` `－` `－` With the same main shareholders as CGPC - - - - -	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at FVTOCI - non- current Financial assets at FVTOCI - non- current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss-current	2,898,000 5,172,035 3,981,272 2,740,627 650,000 125,000 167,500 120,000 51,000 4,977,475 130,244 8,774,597 6,464,876 6,968,690 4,384,646 4,386,606	$ 52,541 80,018 50,000 45,000 22,978 11,837 11,239 7,800 4,743 82,377 4,774 144,075 100,020 100,003 70,118 60,003	- - - - - - - - - 5.95 0.02 - - - - -	$ 52,541 80,018 50,000 45,000 22,978 11,837 11,239 7,800 4,743 82,377 4,774 144,075 100,020 100,003 70,118 60,003	Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 1

(Continued)

92 -

Holding Company Name	Type and Name of Marketable Securities	Relationship with the Holding Company	Financial Statement Account		December 31, 2021	December 31, 2021		Remark
				Unit/Share	Carrying Amount	Percentage of Ownership (%)	Fair Value
CGPC (BVI) Holding Co., Ltd.	Hua Nan Kirin Money Market Fund Taiwan Cooperative Bank Money Market Fund Yuanta De-Li Money Market Fund Shares Teratech Corporation SOHOware, Inc - preferred shares	- - - `－` `－`	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - non-current Financial assets at fair value through profit or loss-non-current	4,715,381 2,437,835 971,782 112,000 100,000	57,000 25,000 16,006 $ - -	- - - 0.67 -	57,000 25,000 16,006 $ - -	Note 1 Note 1 Note 1 Notes 1 and 3 Notes 1, 2, and 3

Note 1. No guarantees, pledged loans, or other restrictions on the use of the contract were provided.

Note 2. The preferred shares are not used in the calculation of the shareholding ratio and net worth.

Note 3. As of the year ended December 31, 2021, CGPC evaluated the fair value of equity investment in the company as NT$0.

Note 4. For information about investments in subsidiaries and associated enterprises, please refer to Table 7-3 and 8-3.

93 -

USI CORPORATION AND INVESTEE COMPANIES

Taita Chemical Company, Ltd.

MARKETABLE SECURITIES HELD

DECEMBER 31, 2021

TABLE 3-2

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

TABLE 3-2					(In Thousands of	(In Thousands of	New Taiwan Dollars, Unl	ess Stated Otherwise)
Holding Company Name	Type and Name of Marketable Securities	Relationship with the Holding Company	Financial Statement Account		December 31,2021			Remark
				Unit/Share	Carrying Amount	Percentage of Ownership (%)	Fair Value
Taita Chemical Company, Ltd. TAITA (BVI) Holding Co., Ltd.	Shares USI CORPORATION Harbinger Venture Capital Corp. UPC Technology Corporation China Steel Corporation Tungho Steel Corporation United Microelectronics Corporation Quanta Computer Incorporated ShunSin Technology Holdings Limited Fund beneficiary certificates FSITC Money Market Fund UPAMC James Bond Money Market Fund Hua Nan Phoenix Money Market Fund Yuanta De-Li Money Market Fund Capital Money Market Fund Taishin 1699 Money Market Fund KGI Victory Money Market Fund Beneficiary securities Cathay No. 1 Real Estate Investment Trust Shares Budworth Investment Ltd. Teratech Corporation Sohoware Inc. - Preferred Shares	Parent company `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through other comprehensive income - non-current Financial assets at fair value through profit or loss - non-current Financial assets at fair value through profit or loss - non-current	15,109,901 990 700,000 650,000 167,500 120,000 125,000 48,000 554,887 2,963,490 3,777,217 3,036,468 6,136,099 7,310,690 8,552,784 3,280,000 20,219 112,000 100,000	$ 476,718 7 15,120 22,978 11,239 7,800 11,837 4,464 100,000 50,001 62,020 50,012 100,001 100,000 100,000 59,466 6 (US$ - thousand ) - -	1.27 0.50 0.05 - 0.02 - - 0.04 - - - - - - - - 2.22 0.73 -	$ 476,718 7 15,120 22,978 11,239 7,800 11,837 4,464 100,000 50,001 62,020 50,012 100,001 100,000 100,000 59,466 6 (US$ - thousand ) - -	Note 1 Note 3 Note 1 Note 1 Note 1 Note 1 Note 1 Note 1 Note 2 Note 2 Note 2 Note 2 Note 2 Note 2 Note 2 Note 1 Note 3 Note 4 Note 4

Note 1. The fair value was based on the Taiwan Stock Exchange closing price on the last trading day of December 2021.

Note 3. The fair value is evaluated by the asset method, and is determined by referring to the most recent net worth of the investee company and its observable financial and operating status.

Note 4. As of the year ended December 31, 2021, TTC evaluated the fair value of the equity investment as NT$0.

Note 2. The fair value was calculated based on the net asset value on the last trading day of December 2021.

Note 5. Please refer t o Tables 7-4 and 8-4 for detailed information on subsidiaries and associates.

94 -

USI CORPORATION AND INVESTEE COMPANIES

Asia Polymer Corporation

MARKETABLE SECURITIES HELD

DECEMBER 31, 2021

TABLE 3-3

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Holding Company Name	Type and Name of Marketable Securities	Relationship with the Holding Company	Financial Statement Account	December 31,2021	December 31,2021	December 31,2021	December 31,2021	Remark
				Share/Unit	Carrying amount	Percentage of Ownership (%)	Fair Value
Asia Polymer Corporation	Shares Harbinger Venture Capital Corp. Riselink Venture Capital Corp. KHL IB Venture Capital Co., Ltd. USI CORPORATION CTCI Corporation AU Optronics Corporation Wafer Works Corporation Quanta Computer Incorporated Evergreen Marine Corporation United Microelectronics Corporation Tungho Steel Corporation China Steel Corporation ShunSin Technology Holdings Limited UPC Technology Corporation Beneficiary securities Cathay No. 1 Real Estate Investment Trust Beneficiary certificates Mega Diamond Money Market Fund Jih Sun Money Market Fund Prudential Financial Money Market Fund	`－` `－` `－` Parent company `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	Financial assets at fair value through other comprehensive income - non- current Financial assets at fair value through other comprehensive income - non- current Financial assets at fair value through other comprehensive income - non- current Financial assets at fair value through other comprehensive income - non- current Financial assets at fair value through other comprehensive income - non- current Financial assets at fair value through other comprehensive income - non- current Financial assets at fair value through other comprehensive income - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss-current	2,377 2,632 9,954,950 101,355,673 14,446,107 9,618,516 518,668 200,000 473,251 150,000 368,500 650,000 70,000 700,000 3,316,000 5,095,391 20,955,933 2,509,725	$ 17 221 164,755 3,197,772 537,395 220,264 44,346 18,940 67,438 9,750 24,726 22,978 6,510 15,120 60,119 64,597 314,069 40,134	1.20 1.67 11.90 8.53 1.89 0.10 0.10 0.01 0.01 - 0.05 - 0.07 0.05 - - - -	$ 17 221 164,755 3,197,772 537,395 220,264 44,346 18,940 67,438 9,750 24,726 22,978 6,510 15,120 60,119 64,597 314,069 40,134

(Continued)

95 -

Holding Company Name	Type and Name of Marketable Securities	Relationship with the Holding Company	Financial Statement Account		December 31,2021	December 31,2021		Remark
				Share/Unit	Carrying amount	Percentage of Ownership (%)	Fair Value
APC (BVI) Holding Co., Ltd. APC Investment Corporation	Taishin 1699 Money Market Fund CTBC Hwa-Win Money Market Fund FSITC Taiwan Money Market Fund Hua Nan Kirin Money Market Fund Shares Budworth Investment Ltd. Silicon Technology Investment (Cayman) Corp. – Preferred Shares Neurosky Inc. – Preferred Stock D Solargiga Energy Holdings Ltd. Teratech Corp. TGF Linux Communication, Inc. – Preferred Shares Sohoware Inc. – Preferred Shares Boldworks, Inc. – Preferred Shares Shares USI CORPORATION United Microelectronics Corporation Evergreen Marine Corporation UPC Technology Corporation China Steel Corporation Tungho Steel Corporation ShunSin Technology Holdings Limited Beneficiary certificates Cathay Taiwan Money Market Fund	`－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` Parent company `－` `－` `－` `－` `－` `－` `－`	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through other comprehensive income – non-current Financial assets at fair value through other comprehensive income – non-current Financial assets at fair value through other comprehensive income – non-current Financial assets at fair value through other comprehensive income – non-current Financial assets at fair value through other comprehensive income – non-current Financial assets at fair value through profit or loss – non-current Financial assets at fair value through profit or loss – non-current Financial assets at fair value through profit or loss – non-current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current	4,388,163 5,392,241 6,466,507 14,478,773 40,467 1,139,776 2,397,364 15,863,333 112,000 300,000 450,000 689,266 44,808 60,000 158,416 500,000 325,000 150,750 25,000 1,292,518	$ 60,024 60,000 100,045 175,021 8 63,199 - $ 23,364 - - - - 1,414 3,900 22,574 10,800 11,489 10,115 2,325 16,233	- - - - 4.45 2.21 0.37 0.48 0.67 - - - - - - 0.04 - 0.02 0.02 -	$ 60,024 60,000 100,045 175,021 8 63,199 - $ 23,364 - - - - 1,414 3,900 22,574 10,800 11,489 10,115 2,325 16,233	Note 1 Note 1 Note 1 Note 1 Note 1

Note 2. Please refer to Tables 7-5 and 8-5 for detailed information on subsidiaries and associates.

Note 1. As a result of the recognition of investment losses over the years, the book value of APC’s long-term equity investments in the company is 0.

96 -

USI CORPORATION AND INVESTEE COMPANIES China General Terminal & Distribution Co. MARKETABLE SECURITIES HELD DECEMBER 31, 2021

TABLE 3-4

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Holding Company Name	Type and Name of Marketable Securities	Relationship with the Holding Company	Financial Statement Account		December31,	2021		Remark
				Share/Unit	Carrying amount	Percentage of Ownership (%)	Fair Value
China General Terminal & Distribution Co.	Shares Asia Polymer Corporation China General Plastics Corporation Taita Chemical Company, Ltd. China Steel Corporation	Investee Companies Using Equity Method for CGTD Investee Companies Using Equity Method for CGTD Investee Companies Using Equity Method for CGTD `－`	Financial assets at fair value through other comprehensive income – non-current Financial assets at fair value through other comprehensive income – non-current Financial assets at fair value through other comprehensive income – non-current Financial assets at fair value through profit or loss – current	5,290,482 2,940,788 2,169,731 499,552	$ 193,896 102,045 74,964 17,659	0.89 0.51 0.57 -	$ 193,896 102,045 74,964 17,659	Note 1 Note 1 Note 1 Note 2

Note 1. No guarantees, pledged loans, or other restrictions on the use of the contract were provided. Note 2. 257,000 shares were provided to Taiwan Water Corporation as a provisional attachment.

97 -

USI CORPORATION AND INVESTEE COMPANIES

MARKETABLE SECURITIES ACQUIRED OR DISPOSED OF AT COSTS OR PRICES OF AT LEAST NT$300 MILLION OR 20% OF THE PAID-IN CAPITAL

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 4

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Company Name	Type and Name of Marketable Securities	Financial Statement Account	Counterparty	Relationship	Beginning Balance (Note)	Beginning Balance (Note)	Acquisition	Acquisition	Disposal	Disposal	Disposal	Disposal	December 31, 2021 (Note)	December 31, 2021 (Note)
					Unit/Share	Amount	Unit/Share	Amount	Unit/Share	Selling price	Carrying Cost	Gain on disposal	Unit/Share	Amount
USI CORPORATION	Beneficiary certificates FSITC Money Market Fund FSITC Taiwan Money Market Fund UPAMC James Bond Money Market Fund Hua Nan Phoenix Money Market Fund Hua Nan Kirin Money Market Fund Yuanta De-Li Money Market Fund Shin Kong Chi-Shin Money-Market Fund Capital Money Market Fund Jih Sun Money Market Fund Taishin Ta-Chong Money Market Fund SinoPac TWD Money Market Fund CTBC Hwa-Win Money Market Fund Taishin 1699 Money Market Fund Nomura Taiwan Money Market Fund	Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss – current Financial assets at fair value through profit or loss–current	- - - - - - - - - - - - - -	`－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	372,668 3,969,627 - 16,662,140 5,884,596 - 12,815,912 7,379,140 16,833,145 20,116,313 - 9,003,412 5,497,139 -	$ 67,000 61,000 - 273,000 71,000 - 200,000 120,000 249,200 288,000 - 100,000 75,000 -	1,526,966 40,295,984 55,760,130 93,409,004 73,284,778 9,118,948 1,921,574 14,123,876 16,702,410 29,641,446 14,958,057 76,924,890 24,155,195 18,836,125	$ 275,000 623,000 940,000 1,532,000 885,000 150,000 30,000 230,000 250,000 425,000 210,000 855,000 330,000 310,000	928,347 28,749,440 47,817,426 90,024,626 60,137,831 9,118,948 14,737,486 15,366,731 16,833,145 33,378,382 7,124,080 82,332,796 10,406,596 15,193,248	$ 167,114 444,505 806,264 1,476,294 726,186 150,110 230,041 250,140 251,765 478,143 100,007 915,166 142,030 250,037	$ 167,000 444,000 806,000 1,476,000 726,000 150,000 230,000 250,000 249,200 478,000 100,000 915,000 142,000 250,000	$ 114 505 264 294 186 110 41 140 2,565 143 7 166 30 37	971,287 15,516,171 7,942,704 20,046,518 19,031,543 - - 6,136,287 16,702,410 16,379,377 7,833,977 3,595,506 19,245,740 3,642,877	$ 175,000 240,000 134,000 329,000 230,000 - - 100,000 250,000 235,000 110,000 40,000 263,000 60,000

(Continued)

98 -

Company Name	Type and Name of Marketable Securities	Financial Statement Account	Counterparty	Relationship	Beginning Balance (Note)	Beginning Balance (Note)	Acquisition	Acquisition		Disposal	Disposal		December 31, 2021 (Note)	December 31, 2021 (Note)
					Unit/Share	Amount	Unit/Share	Amount	Unit/Share	Selling price	Carrying Cost	Gain on disposal	Unit/Share	Amount
USIFE Investment Co., Ltd. Taiwan United Venture Capital Corp. USI Optronics Corporation INOMA Corporation	Cathay Taiwan Money Market Fund Deutsche Far Eastern DWS Taiwan Money Market Fund Taiwan Cooperative Bank Money Market Fund Beneficiary certificates Yuanta De-Li Money Market Fund Cathay Taiwan Money Market Fund Beneficiary certificates Cathay Taiwan Money Market Fund Beneficiary certificates Jih Sun Money Market Fund Taishin 1699 Money Market Fund Beneficiary certificates Taishin 1699 Money Market Fund	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss-current	- - - - - - - - -	`－` `－` `－` `－` `－` `－` `－` `－` `－`	- - - 1,870,081 3,451,207 4,391,849 1,016,620 1,257,350 595,654	- - - 30,284 42,238 55,000 $ 15,000 17,000 8,000	11,164,746 11,007,434 55,054,836 3,037,907 2,392,993 - - - -	140,000 130,000 564,000 50,000 30,000 - $ - - -	11,164,746 11,007,434 55,054,836 - - - - 369,809 148,915	140,021 130,011 564,083 - - - $ - 5,048 2,035	140,000 130,000 564,000 - - - $ - 5,000 2,000	21 11 83 - - - $ - 48 35	- - - 4,907,988 5,844,200 4,391,849 $ 1,016,620 887,541 446,739	- - - 80,284 72,238 55,000 $ 15,000 12,000 6,000

Note: The ending amount of beneficiary certificates denotes the original acquisition cost.

99 -

USI CORPORATION AND INVESTEE COMPANIES

China General Plastics Corporation

MARKETABLE SECURITIES ACQUIRED OR DISPOSED OF AT COSTS OR PRICES OF AT LEAST NT$300 MILLION OR 20% OF THE PAID-IN CAPITAL

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 4-1

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Company Name	Type and Name of Marketable Securities	Financial Statement Account	Counterparty	Relationshi p	Beginning Balance (Note)	Beginning Balance (Note)	Acquisition	Acquisition	Disposal	Disposal	Disposal	Disposal	December 31, 2021 (Note)	December 31, 2021 (Note)
					Unit/Share	Amount	Unit/Share	Amount	Unit/Share	Selling price	Carrying Cost	Gainondisposal	Unit/Share	Amount
China General Plastics Corporation Taiwan VCM Corporation	Beneficiary certificates FSITC Money Market Fund FSITC Taiwan Money Market Fund UPAMC James Bond Money Market Fund Hua Nan Phoenix Money Market Fund Hua Nan Kirin Money Market Fund Yuanta De-Li Money Market Fund Shin Kong Chi-Shin Money-Market Fund Capital Money Market Fund Jih Sun Money Market Fund Taishin Ta-Chong Money Market Fund SinoPac TWD Money Market Fund CTBC Hwa-Win Money Market Fund Account Taishin 1699 Money Market Fund Nomura Taiwan Money Market Fund Cathay Taiwan Money Market Fund Taiwan Cooperative Bank Money Market Fund Beneficiary certificates FSITC Money Market Fund FSITC Taiwan Money Market Fund	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current	`－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	`－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	- - - - - - 6,407,463 - - 4,190,295 - 4,501,666 7,255,248 - - - 278,042 3,240,147	$ - - - - - - 100,000 - - 60,000 - 50,000 99,000 - - - 50,000 50,000	3,109,635 27,031,631 2,670,433 27,133,187 15,721,963 15,012,916 7,046,540 6,140,847 6,677,975 40,879,691 7,121,696 46,771,745 13,909,262 24,661,509 7,967,178 11,718,808 - 25,887,463	$ 560,000 418,000 45,000 445,000 190,000 247,000 110,000 100,000 100,000 586,000 100,000 520,000 190,000 406,000 100,000 120,000 - 400,000	3,109,635 21,859,596 2,670,433 24,392,560 15,721,963 15,012,916 13,454,003 6,140,847 6,677,975 45,069,986 7,121,696 51,273,411 21,164,509 24,661,509 3,985,906 11,718,808 278,042 29,127,610	$ 560,061 338,047 45,005 400,077 190,017 247,019 210,019 100,032 100,040 646,101 100,010 570,046 289,085 406,049 50,002 120,018 50,018 450,075	$ 560,000 338,000 45,000 400,000 190,000 247,000 210,000 100,000 100,000 646,000 100,000 570,000 289,000 406,000 50,000 120,000 50,000 450,000	$ 61 47 5 77 17 19 19 32 40 101 10 46 85 49 2 18 18 75	- 5,172,035 - 2,740,627 - - - - - - - - - - 3,981,272 - - -	$ - 80,000 - 45,000 - - - - - - - - - - 50,000 - - -

(Continued)

100 -

Company Name	Type and Name of Marketable Securities	Financial Statement Account	Counterparty	Relationshi p	Beginning Balance (Note)	Beginning Balance (Note)	Acquisition	Acquisition	Disposal	Disposal	Disposal	Disposal	December 31, 2021 (Note)	December 31, 2021 (Note)
					Unit/Share	Amount	Unit/Share	Amount	Unit/Share	Selling price	Carrying Cost	Gain on disposal	Unit/Share	Amount
CGPC Polymer Corporation	UPAMC James Bond Money Market Fund Hua Nan Phoenix Money Market Fund Hua Nan Kirin Money Market Fund Shin Kong Chi-Shin Money-Market Fund Capital Money Market Fund Jih Sun Money Market Fund Taishin Ta-Chong Money Market Fund CTBC Hwa-Win Money Market Fund Account Taishin 1699 Money Market Fund Nomura Taiwan Money Market Fund Taiwan Cooperative Bank Money Market Fund Beneficiary certificates FSITC Money Market Fund FSITC Taiwan Money Market Fund Hua Nan Phoenix Money Market Fund Hua Nan Kirin Money Market Fund Yuanta De-Li Money Market Fund Shin Kong Chi-Shin Money-Market Fund Capital Money Market Fund Taishin Ta-Chong Money Market Fund SinoPac TWD Money Market Fund Taishin 1699 Money Market Fund	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current	`－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	`－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	- 610,344 - - 4,611,100 669,954 6,983,874 - 3,664,588 - - 250,312 3,178,916 7,629,121 3,315,451 - 1,601,866 11,991,180 8,941,582 - 15,393,455	- 10,000 - - $ 75,000 10,000 100,000 - 50,000 - - 45,000 49,000 125,000 40,000 - 25,000 195,000 128,000 - 210,000	11,872,783 12,200,702 8,284,524 2,561,689 5,529,478 - 22,338,288 8,999,199 5,128,431 6,079,434 14,647,150 1,999,224 36,160,382 16,094,751 48,446,773 7,288,364 2,625,640 - 37,239,819 7,121,442 17,554,152	200,000 200,000 100,000 40,000 $ 90,000 - 320,000 100,000 70,000 100,000 150,000 360,000 559,000 264,000 585,000 120,000 41,000 - 534,000 100,000 240,000	11,872,783 12,811,046 8,284,524 2,561,689 10,140,578 669,954 29,322,162 8,999,199 8,793,018 6,079,434 14,647,150 2,249,535 32,874,421 14,949,274 47,046,842 6,316,582 4,227,506 11,991,180 39,212,712 7,121,442 28,561,000	200,012 210,025 100,013 40,006 $ 165,036 10,029 420,059 100,004 120,044 100,009 150,009 405,209 508,400 245,056 568,067 104,027 66,027 195,224 562,343 100,011 390,140	200,000 210,000 100,000 40,000 $ 165,000 10,000 420,000 100,000 120,000 100,000 150,000 405,000 508,000 245,000 568,000 104,000 66,000 195,000 562,000 100,000 390,000	12 25 13 6 $ 36 29 59 4 44 9 9 209 400 56 67 27 27 224 343 11 140	- - - - - - - - - - - - 6,464,876 8,774,597 4,715,381 971,782 - - 6,968,690 - 4,386,606	- - - - $ - - - - - - - - 100,000 144,000 57,000 16,000 - - 100,000 - 60,000

(Continued)

101 -

Company Name	Type and Name of Marketable Securities	Financial Statement Account	Counterparty	Relationshi p	Beginning Balance (Note)	Beginning Balance (Note)	Acquisition	Acquisition		Disposal	Disposal		December 31, 2021 (Note)	December 31, 2021 (Note)
					Unit/Share	Amount	Unit/Share	Amount	Unit/Share	Selling price	Carrying Cost	Gain on disposal	Unit/Share	Amount
	Nomura Taiwan Money Market Fund Cathay Taiwan Money Market Fund Taiwan Cooperative Bank Money Market Fund	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current	`－` `－` `－`	`－` `－` `－`	- - -	- - -	3,040,475 3,986,923 50,169,944	50,000 50,000 514,000	3,040,475 3,986,923 47,732,109	50,002 50,037 489,062	50,000 50,000 489,000	2 37 62	- - 2,437,835	- - 25,000

Note: The beginning and ending amount denote the original acquisition cost.

102 -

USI CORPORATION AND INVESTEE COMPANIES

Taita Chemical Company, Ltd.

MARKETABLE SECURITIES ACQUIRED OR DISPOSED OF AT COSTS OR PRICES OF AT LEAST NT$300 MILLION OR 20% OF THE PAID-IN CAPITAL

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 4-2

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Company Name	Type and Name of Marketable Securities	Financial Statement Account	Counterparty	Relationship	Beginning Balance (Note)	Beginning Balance (Note)	Acquisition	Acquisition		Disposal	Disposal		December 31, 2021 (Note)	December 31, 2021 (Note)
					Unit/Share	Amount	Unit/Share	Amount	Unit/Share	Selling price	Carrying Cost	Gain on disposal	Unit	Amount
Taita Chemical Company, Ltd.	Beneficiary certificates FSITC Money Market Fund FSITC Taiwan Money Market Fund UPAMC James Bond Money Market Fund Hua Nan Phoenix Money Market Fund Hua Nan Kirin Money Market Fund Shin Kong Chi-Shin Money-Market Fund Capital Money Market Fund Jih Sun Money Market Fund Taishin Ta-Chong Money Market Fund CTBC Hwa-Win Money Market Fund Account Taishin 1699 Money Market Fund Nomura Taiwan Money Market Fund Taiwan Cooperative Bank Money Market Fund	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current	`－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	`－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	- - - 5,248,671 6,962,057 - 5,225,881 3,022,043 - - - - -	$ - - - 86,000 84,000 - 85,000 45,000 - - - - -	554,887 16,171,818 21,822,997 36,399,248 37,264,857 15,193,275 18,423,866 5,208,229 10,118,419 33,288,910 12,439,228 3,040,475 24,986,010	$ 100,000 250,000 368,000 597,000 450,000 250,000 300,000 78,000 145,000 370,000 170,000 50,000 256,000	- 16,171,818 18,859,507 37,870,702 44,226,914 12,156,807 17,513,648 8,230,272 10,118,419 33,288,910 5,128,538 3,040,475 24,986,010	$ - 250,052 318,049 621,110 534,088 200,081 285,109 123,212 145,066 370,034 70,019 50,008 256,018	$ - 250,000 318,000 621,000 534,000 200,000 285,000 123,000 145,000 370,000 70,000 50,000 256,000	$ - 52 49 110 88 81 109 212 66 34 19 8 18	554,887 - 2,963,490 3,777,217 - 3,036,468 6,136,099 - - - 7,310,690 - -	$ 100,000 - 50,000 62,000 - 50,000 100,000 - - - 100,000 - -

Note: The ending amount of beneficiary certificates denotes the original acquisition cost.

103 -

USI CORPORATION AND INVESTEE COMPANIES

Asia Polymer Corporation

MARKETABLE SECURITIES ACQUIRED OR DISPOSED OF AT COSTS OR PRICES OF AT LEAST NT$300 MILLION OR 20% OF THE PAID-IN CAPITAL

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 4-3

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Company Name	Type and Name of Marketable Securities	Financial Statement Account	Counterparty	Relationship	Beginning Balance (Note)	Beginning Balance (Note)	Acquisition	Acquisition	Disposal	Disposal	Disposal	Disposal	December 31, 2021 (Note)	December 31, 2021 (Note)
					Unit/Share	Amount	Unit/Share	Amount	Unit/Share	Selling price	Carrying Cost	Gain on disposal	Unit/Share	Amount
Asia Polymer Corporation	Beneficiary certificates FSITC Money Market Fund FSITC Taiwan Money Market Fund UPAMC James Bond Money Market Fund Hua Nan Phoenix Money Market Fund Hua Nan Kirin Money Market Fund Yuanta De-Li Money Market Fund Shin Kong Chi-Shin Money-Market Fund Capital Money Market Fund Jih Sun Money Market Fund Taishin Ta-Chong Money Market Fund CTBC Hwa-Win Money Market Fund Account Taishin 1699 Money Market Fund Nomura Taiwan Money Market Fund Deutsche Far Eastern DWS Taiwan Money Market Fund	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current	`－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	`－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－` `－`	- 3,564,088 - - 6,381,916 - - 2,152,072 16,818,904 - 5,672,048 12,021,036 - -	$ - 55,000 - - 77,000 - - 35,000 249,600 - 63,000 164,000 - -	833,164 22,967,753 21,349,174 9,145,357 16,550,041 3,645,688 640,365 1,843,035 4,137,029 26,519,389 5,392,241 37,687,142 1,520,237 19,485,559	$ 150,000 355,000 360,000 150,000 200,000 60,000 10,000 30,000 62,000 380,000 60,000 515,000 25,000 230,000	833,164 20,065,334 21,349,174 9,145,357 8,453,185 3,645,688 640,365 3,995,106 - 26,519,389 5,672,048 45,320,015 1,520,237 19,485,559	$ 150,024 310,114 360,027 150,040 102,017 60,001 10,001 65,026 - 380,063 63,012 619,166 25,003 230,039	$ 150,000 310,000 360,000 150,000 102,000 60,000 10,000 65,000 - 380,000 63,000 619,000 25,000 230,000	$ 24 114 27 40 17 1 1 26 - 63 12 166 3 39	- 6,466,507 - - 14,478,773 - - - 20,955,933 - 5,392,241 4,388,163 - -	$ - 100,000 - - 175,000 - - - 311,600 - 60,000 60,000 - -

(Continued)

104 -

Company Name	Type and Name of Marketable Securities	Financial Statement Account	Counterparty	Relationship	Beginning Balance (Note)	Beginning Balance (Note)	Acquisition	Acquisition		Disposal	Disposal		December 31, 2021 (Note)	December 31, 2021 (Note)
					Unit/Share	Amount	Unit/Share	Amount	Unit/Share	Selling price	Carrying Cost	Gain on disposal	Unit/Share	Amount
APC Investment Corporation	Taiwan Cooperative Bank Money Market Fund Beneficiary certificates Cathay Taiwan Money Market Fund	Financial assets at fair value through profit or loss - current Financial assets at fair value through profit or loss - current	`－` `－` `－`	`－` `－` `－`	- - 499,525	- 6,115	4,880,811 2,392,993	50,000 30,000	4,880,811 1,600,000	50,003 20,083	50,000 19,977	3 106	- 1,292,518	- 16,138

Note: The ending amount of beneficiary certificates denotes the original acquisition cost.

105 -

USI CORPORATION AND INVESTEE COMPANIES

TOTAL PURCHASES FROM OR SALES TO RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 5

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Buyer/Seller	Counterparty	Relationship	Transaction Details	Transaction Details	Transaction Details		Abnormal Transaction	Abnormal Transaction	Notes/Accounts Receivable (Payable)	Notes/Accounts Receivable (Payable)	Remark
			Purchase/Sale	Amount	Ratio to Total Purchase (Sale) (%)	Credit Terms	Unit Price	Credit Terms	Ending Balance	Ratio to Total Notes or Trade Receivable (payable) (%)
USI CORPORATION USI (Hong Kong) Company Ltd. Forever Young Company Limited	Asia Polymer Corporation Asia Polymer Corporation USI (Hong Kong) Company Ltd. USI Trading (Shanghai) Co., Ltd. Forever Young Company Limited USI CORPORATION USI Corporation	Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary Parent company Parent company	Purchase Sale Sale Sale Sale Purchase Purchase	$ 1,673,947 ( 213,766 ) ( 220,464 ) ( 214,853 ) ( 114,343 ) 220,464 114,343	15.99 ( 0.30 ) ( 0.31 ) ( 0.30 ) ( 0.16 ) 2.11 1.09	Within 60 days after purchasing on credit Within 60 days after selling on credit Within 60 days after selling on credit Within 60 days after selling on credit Within 60 days after selling on credit Within 60 days after purchasing on credit Within 60 days after purchasing on credit	No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference	No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference	( $ 390,410 ) - 23,142 46,493 24,324 ( 23,142 ) ( 24,324 )	( 27.61 ) - 1.06 2.12 1.11 ( 1.64 ) ( 1.72 )

106 -

USI CORPORATION AND INVESTEE COMPANIES

Acme Electronics Corporation

TOTAL PURCHASES FROM OR SALES TO RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 5-1

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Buyer/Seller	Counterparty	Relationship		Transaction Details	Transaction Details		Abnormal Transaction	Abnormal Transaction	Notes/Accounts Receivable (Payable)	Notes/Accounts Receivable (Payable)	Remark
			Purchase/Sale	Amount	Ratio to Total Purchase (Sale) (%)	Credit Terms	Unit Price	Credit Terms	Ending Balance	Ratio to Total Notes or Accounts Receivable (Payable) (%)
Acme Electronics Corporation Acme Electronics (Guang-Zhou) Co., Ltd. Acme Electronics Corporation Acme Electronics (Guang-Zhou) Co., Ltd. Acme Electronics Corporation Acme Electronics (Kunshan) Co., Ltd. Acme Electronics (Kunshan) Co., Ltd. ACME Ferrite Products Sdn.Bhd.	Acme Electronics (Guang-Zhou) Co., Ltd. Acme Electronics Corporation Acme Electronics (Guang-Zhou) Co., Ltd. Acme Electronics Corporation Acme Electronics (Kunshan) Co., Ltd. Acme Electronics Corporation ACME Ferrite Products Sdn. Bhd. Acme Electronics (Kunshan) Co.,Ltd.	Subsidiary of GAEL Subsidiary of GAEL Subsidiary of GAEL Subsidiary of GAEL Subsidiary of ACME (Cayman) Subsidiary of ACME (Cayman) Subsidiary of ACME (Cayman) Subsidiary of ACME (Cayman)	Purchase (including processing fee) Sale (including processing fee) Sale Purchase Sale Purchase Sale Purchase	$ 429,667 ( 429,667 ) ( 130,997 ) 130,997 ( 263,484 ) 263,484 ( 131,681 ) 136,681	39 ( 33 ) ( 10 ) 54 ( 20 ) 69 ( 12 ) 41	55 days 55 days 55 days 55 days 55 days 55 days 55 days 55 days	No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference	No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference	( $ 88,153 ) 88,153 23,131 ( 23,131 ) 59,933 ( 59,933 ) 20,766 ( 20,766 )	( 40 ) 26 7 ( 45 ) 19 ( 73 ) 6 ( 38 )

107 -

USI CORPORATION AND INVESTEE COMPANIES

Swanson Plastics Corporation

TOTAL PURCHASES FROM OR SALES TO RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 5-2

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Buyer/Seller	Counterparty	Relationship		Transaction Details	Transaction Details		Abnormal Transaction	Abnormal Transaction	Notes/Accounts Receivable (Payable)	Notes/Accounts Receivable (Payable)	Remark
			Purchase/Sale	Amount	Ratio to Total Purchase (Sale) (%)	Credit Terms	Unit Price	Credit Terms	Ending Balance	Ratio to Total Notes or Accounts Receivable (Payable) (%)
Swanson Plastics (Singapore) Pte., Ltd. Forever Young Company Limited Swanson Plastics (Kunshan) Co., Ltd. Swanson Plastics (Malaysia) Sdn. Bhd. ASK-Swanson (Kunshan) Co., Ltd. PT. Swanson Plastics Indonesia	Swanson Plastics (Malaysia) Sdn. Bhd. Swanson Plastics (Kunshan) Co., Ltd. Swanson Plastics (Malaysia) Sdn. Bhd. Swanson Plastics (Malaysia) Sdn. Bhd. PT. Swanson Plastics Indonesia USI Corporation Forever Young Company Limited ASK-Swanson (Kunshan) Co., Ltd. Forever Yong Company Limited Forever Yong Company Limited Swanson Plastics (Singapore) Pte. Ltd. Swanson Plastics (Kunshan) Co., Ltd. Forever Young Company Limited	Subsidiary Have the same ultimate parent company Have the same ultimate parent company Have the same ultimate parent company Have the same ultimate parent company Ultimate parent company Have the same ultimate parent company Have the same ultimate parent company Have the same ultimate parent company Have the same ultimate parent company Parent company Have the same ultimate parent company Have the same ultimate parent company	Purchase Sale Purchase Sale Sale Purchase Purchase Sale Sale Purchase Sale Purchase Purchase	$ 197,368 ( 339,983 ) 129,538 ( 368,006 ) ( 124,689 ) 110,630 339,983 ( 140,529 ) ( 129,538 ) 368,006 ( 197,368 ) 140,529 124,689	78 ( 33 ) 13 ( 36 ) ( 12 ) 11 33 ( 12 ) ( 13 ) 50 ( 20 ) 51 42	90 days 90 days 90 days 90 days 90 days 75 days 90 days 60 days 90 days 90 days 90 days 60 days 90 days	No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference	No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference	Accounts payable to related parties ($38,773) Accounts receivable from related parties NT$26,315 Accounts payable to related parties ($14,376) Accounts receivable from related parties NT$42,871 Accounts receivable from related parties NT$9,714 Accounts payable to related parties ($13,712) Accounts payable to related parties ($26,315) Accounts receivable from related parties NT$36,280 Accounts receivable from related parties NT$14,376 Accounts payable to related parties ($42,871) Accounts receivable from related parties NT$38,773 Accounts payable to related parties ($36,280) Accounts payable to related parties ($9,714)	( 91 ) 26 ( 7) 42 10 ( 7) ( 18 ) 12 9 ( 49 ) 23 ( 77 ) ( 38 )

108 -

USI CORPORATION AND INVESTEE COMPANIES

China General Plastics Corporation

Total Purchases from or Sales to Related Parties Amounting to at Least NT$100 Million or 20% Of the Paid-in Capital

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 5-3

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Buyer/Seller	Counterparty	Relationship	Transaction Details	Transaction Details	Transaction Details		Abnormal Transaction	Abnormal Transaction	Notes/Accounts Receivable (Payable)	Notes/Accounts Receivable (Payable)	Remark
			Purchase/Sale	Amount	Ratio to Total Purchase (Sale) (%)	Credit Terms	Unit Price	Credit Terms	Ending Balance	Ratio to Total Notes or Accounts Receivable (Payable) (%)
China General Plastics Corporation Taiwan VCM Corporation CGPC Polymer Corporation CGPC America Corporation	Taiwan VCM Corporation CGPC America Corporation China General Plastics Corporation CGPC Polymer Corporation Taiwan VCM Corporation China General Plastics Corporation	Subsidiary Subsidiary Parent company Fellow company Fellow company Parent company	Purchase Sale Sale Sale Purchase Purchase	$ 7,071,763 ( 679,417 ) ( 7,071,763 ) ( 6,585,350 ) 6,585,350 679,417	79 ( 6 ) ( 48 ) ( 45 ) 97 89	45 days 90 days 45 days 75 days 75 days 90 days	No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference	No significant difference No significant difference No significant difference No significant difference No significant difference No significant difference	Accounts payable to related parties ($1,489,862) Accounts receivable from related parties NT$189,714 Accounts receivable from related parties NT$1,489,862 Accounts receivable from related parties NT$1,361,638 Accounts payable to related parties ($1,361,638) Accounts payable to related parties ($189,714)	( 87 ) 14 47 43 ( 98 ) ( 98 )

109 -

USI CORPORATION AND INVESTEE COMPANIES

Taita Chemical Company, Ltd.

TOTAL PURCHASES FROM OR SALES TO RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 5-4							(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)	(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)	(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)	(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)	(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)
Buyer/Seller	Counterparty	Relationship		Transaction	Details		Abnormal Transaction		Notes/Accounts Receivable (Payable)		Remark
			Purchase/Sale	Amount	Ratio to Total Purchase (Sales) (%)	Credit Terms	Unit Price	Credit Terms	Ending Balance	Ratio to Total Notes or Accounts Receivable (Payable) (%)
Taita Chemical Company, Ltd.	Taita Chemical (Zhongshan) Co., Ltd.	Sub-subsidiary	Sale	( $ 1,049,003 ) (USD37,578 thousand)	( 6.67 )	30 days	No significant difference	No significant difference	Accounts receivable from related parties NT$542 (USD20 thousand)	0.03

110 -

USI CORPORATION AND INVESTEE COMPANIES

Asia Polymer Corporation

TOTAL PURCHASES FROM OR SALES TO RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 5-5

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Buyer/Seller	Counterparty	Relationship		Transaction Details	Transaction Details		Abnormal Transaction	Abnormal Transaction	Notes/Accounts Receivable (Payable)	Notes/Accounts Receivable (Payable)	Remark
			Purchase/Sale	Amount	Ratio to Total Purchase (Sale) (%)	Credit Terms	Unit Price	Credit Terms	Ending Balance	Ratio to Total Notes or Accounts Receivable (Payable) (%)
Asia Polymer Corporation Asia Polymer Corporation USI Trading (Shanghai) Co., Ltd.	USI CORPORATION USI CORPORATION USI CORPORATION	Ultimate parent company Ultimate parent company Ultimate parent company	Sale Purchase Purchase	( $ 1,673,192 ) 213,752 216,155	( 17.50 ) 4.53 4.59	60 days 30 days 30 days	No significant difference No significant differenc No significant differenc	No significant difference No significant differenc No significant differenc	Accounts receivable – related parties NT$399,887 Accounts payable to related parties ($28,177) Accounts payable to related parties ($46,493)	28.17 ( 9.45 ) ( 15.59 )

111 -

USI CORPORATION AND INVESTEE COMPANIES

RECEIVABLES FROM RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

DECEMBER 31, 2021

TABLE 6

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Company Name	Counterparty	Relationship	Ending Balance	Turnover Rate (%)	Overdue	Overdue	Amounts Received in Subsequent Period (Note2)	Allowance for Impairment Loss
					Amount	Actions Taken
USI Corporation	Taiwan VCM Corporation Asia Polymer Corporation USI Green Energy Corporation	Subsidiary of the Company Subsidiary of the Company Subsidiary of the Company	Other receivables - related parties NT$227,039 Other receivables - related parties NT$228,869 Other receivables - related parties NT$125,001	- - -	$ - - -	`－` `－` `－`	$ 227,039 228,869 125,001	Note 1 Note 1 Note 1

Note 1. It is assessed that no allowance for impairment loss is needed.

Note 2. The subsequent period refers to the period from January 1, 2022 to March 10, 2022.

112 -

USI CORPORATION AND INVESTEE COMPANIES

Swanson Plastics Corporation

RECEIVABLES FROM RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

DECEMBER 31, 2021

TABLE 6-1

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Company Name	Counterparty	Relationship	Ending Balance	Turnover Rate (%)	Overdue	Overdue	Amounts Received in Subsequent Period (Note 2)	Allowance for Impairment Loss
					Amount	Actions Taken
ASK-Swanson (Kunshan) Co., Ltd.	Swanson Plastics (Tianjin) Co., Ltd.	Fellow company	Others accounts receivable - related parties NT$165,717 (RMB38,170 thousand)	-	$ -	`－`	$ -	Note 1

Note 1. It is assessed that no allowance for impairment loss is needed.

Note 2. The subsequent period refers to the period from January 1, 2022 to March 8, 2022.

113 -

USI CORPORATION AND INVESTEE COMPANIES

China General Plastics Corporation

RECEIVABLES FROM RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

DECEMBER 31, 2021

			DECEMBER 31, 2021	DECEMBER 31, 2021
TABLE 6-2					(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)
Company Name	Counterparty	Relationship	Ending Balance	Turnover Rate (%)	Overdue		Amounts Received in Subsequent Period (Note 2)	Allowance for Impairment Loss
					Amount	Actions Taken
China General Plastics Corporation Taiwan VCM Corporation	CGPC America Corporation China General Plastics Corporation CGPC Polymer Corporation	Subsidiary Parent company Fellow company	Accounts receivable - related parties NT$189,714 Accounts receivable - related parties NT$1,489,862 Accounts receivable - related parties NT$1,361,638	4.52 5.53 4.70	$ - - -	`－` `－` `－`	$ 84,313 1,489,862 1,361,638	Note 1 Note 1 Note 1

Note 1. It is assessed that no allowance for impairment loss is needed.

Note 2. The subsequent period refers to the period from January 1, 2022 to February 24, 2022.

114 -

USI CORPORATION AND INVESTEE COMPANIES

Taita Chemical Company, Ltd.

RECEIVABLES FROM RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

DECEMBER 31, 2021

TABLE 6-3

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Company Name	Counterparty	Relationship	Ending Balance	Turnover Rate (%)	Overdue	Overdue	Amounts Received in Subsequent Period (Note 2)	Allowance for Impairment Loss
					Amount	Actions Taken
Taita Chemical Company, Ltd.	Taita Chemical (Tianjin) Co., Ltd.	Sub-subsidiary	Other receivables NT$ 256,014 (USD9,249 thousand) (Note 1)	-	$ 256,014	Continuous Collection	$ -	$ -

Note 1. The other receivables of Taita Chemical Co., Ltd. are from selling raw materials to Taita Chemical (Tianjin) Co., Ltd., and transferred to other receivables since it had exceeded the normal credit term by a certain period.

Note 2. There was no amount received as of March 9, 2022.

115 -

USI CORPORATION AND INVESTEE COMPANIES

Asia Polymer Corporation

RECEIVABLES FROM RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL

DECEMBER 31, 2021

TABLE 6-4

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

				Turnover	Od	Od	Amounts Received	Allowance
Company Name	Counterparty	Relationship	Ending Balance	Rate (%)	verue		in Subsequent Period (Note 2)	for Impairment Loss
					Amount	Actions Taken
Asia Polymer Corporation	USI CORPORATION	Parent company	Accounts receivable - related parties NT$399,887 Other accounts receivable - related parties NT$2	5.68	$ - -	`－` `－`	$ 399,887 2	Note 1 Note 1

Note 1. It is assessed that no allowance for impairment loss is needed.

Note 2. The subsequent period refers to the period from January 1, 2022 to March 9, 2022.

116 -

TABLE 7

USI CORPORATION AND INVESTEE COMPANIES

INFORMATION ON INVESTEES

FOR THE YEAR ENDED DECEMBER 31, 2021

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investor	Investee	Location	Main Businesses and Products	Original InvestmentAmount	Original InvestmentAmount	As of December31,2021	As of December31,2021	As of December31,2021	Net Income (Loss) of the Investee	Share of Profit (Loss)	Remark
				December 31, 2021	December 31, 2020	Number of Shares	Percentage (%)	Carrying Amount
USI CORPORATION Ever Conquest Global Limited Ever Victory Global Limited Union Polymer Int'l Investment Corp.	USIFE Investment Co., Ltd. Swanlake Traders Ltd. USI (Hong Kong) Company Ltd. Union Polymer Int'l Investment Corp. Taiwan United Venture Capital Corp. Chong Loong Trading Co., Ltd. Swanson Plastics Corporation Acme Electronics Corporation INOMA Corporation USI Management Consulting Corp. Cypress Epoch Limited Ever Conquest Global Limited USI Optronics Corporation USI Green Energy Corporation Ever Victory Global Limited Dynamic Ever Investments Limited Taita Chemical Company, Ltd.	12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) Citco Building, Wickhamo Cay, P.O. Box 662, Road Town, Tortola, British Virgin Islands 6/F., Caltex House, 258 Hennessy Road, Hong Kong 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) 10F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) 8F., No. 39, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (R.O.C.) 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) Vistra Corporate Services Centre, Wickhams Cay II, Road Town, Tortola VG1110 P.O. Box 957, Offshore Incorporations Centre, Road Town, Tortola, British Virgin Islands 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) P.O. Box 957, Offshore Incorporations Centre, Road Town, Tortola, British Virgin Islands Room 1902, 19/F, Lee Gargen One, 33 Hysan Aveme, Causeway Bay, Hong Kong 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC)	Investment (focused on "production, transportation, storage, building, bank, securities investment and trading industry") Trading and investment Trading and investment Investment (focused on "production and service industry") Venture capital (focused on "high technology industry") Import and export trade Production and marketing of stretch film, embossed film and industrial-use multilayer wrap Production and marketing of manganese-zinc soft ferrite powder Optical products and fireproof materials Providing management services Investment Investment Manufacturing and marketing of sapphire single crystal Solar power generation business Investment Investment Production and marketing of polystyrene, propylene, butadiene, ABS resin, SAN resin, glass wool insulation products and plastic materials	$ 550,000 728,439 63,482 3,490,255 471,800 28,323 171,210 221,513 250,354 1,000 - 7,645,980 330,000 70,100,000 11,546,574 (USD417,145 thousand) 16,299,368 (USD588,850 thousand) 1,749,212	$ 550,000 728,439 63,482 3,490,255 471,800 28,323 171,210 221,513 250,354 1,000 150,540 7,645,980 330,000 - 11,546,574 (USD417,145 thousand) 16,299,368 (USD588,850 thousand) 1,749,212	87,250,800 30,000,000 159,999 746,722,725 25,900,000 5,333,059 62,616,299 49,250,733 9,243,369 671,400 - 246,670,000 33,000,000 7,010,000 417,145,000 588,850,000 138,863,816	100.00 100.00 100.00 100.00 70.00 99.93 40.58 26.91 94.37 100.00 - 59.13 50.85 100.00 67.40 85.00 36.67	$ 1,088,028 1,270,746 63,676 10,447,388 190,601 65,330 1,068,346 343,972 16,854 ( 1,195 ) - 7,019,488 48,168 106,371 11,870,694 (USD428,855 thousand) 16,785,159 (USD606,400 thousand) 3,022,815	$ 91,531 11,265 ( 1,566 ) 2,301,117 ( 2,438 ) 9,208 224,921 59,329 ( 2,703 ) ( 2,301 ) - ( 443,454 ) ( 41,955 ) 2,885 ( 635,890 ) (USD-22,838 thousand) ( 749,901 ) (USD-26,932 thousand) 1,849,932	$ 91,531 11,265 ( 1,566 ) 2,263,488 ( 1,707 ) 10,166 91,268 15,968 ( 2,551 ) ( 2,301 ) - ( 262,227 ) ( 21,333 ) 2,279	Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary Note 1 Subsidiary Subsidiary Subsidiary Subsidiary Sub- subsidiary Sub- subsidiary

(Continued)

117 -

Investor	Investee	Location	Main Businesses and Products	Original InvestmentAmount	Original InvestmentAmount	As of December31,2021	As of December31,2021	As of December31,2021	Net Income (Loss) of the Investee	Share of Profit (Loss)	Remark
				December 31, 2021	December 31, 2020	Number of Shares	Percentage (%)	Carrying Amount
USIFE Investment Co., Ltd. Swanlake Traders Ltd.	Asia Polymer Corporation China General Plastics Corporation Acme Electronics Corporation Swanson Technologies Corporation Taiwan United Venture Management Corporation ACME Electronics (Cayman) Corp.	12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) 8F., No. 39, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (R.O.C.) 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) Ugland House P.O. Box 309 George Town, Grand Cayman, Cayman Islands	Production and marketing of low- density polyethylene, medium- density polyethylene, ethylene vinyl acetate and importing and marketing of linear low- density polyethylene and high- density polyethylene Production and marketing of plastic cloths, plastic skins, plastic tubes, plastic pellets, plastic powder and other related products Production and marketing of manganese-zinc soft ferrite powder Manufacturing of plastic film (bag), industrial plastic products and reinforced plastic products Corporate management consulting Corporate investments	1,965,437 1,320,045 $ 155,632 30,000 8,000 158,038 (USD5,709 thousand)	1,965,437 1,320,045 $ 155,632 30,000 8,000 97,919 (USD3,538 thousand)	192,063,336 140,609,929 16,424,242 2,250,015 800,000 8,318,356	32.35 24.20 8.98 15.00 100.00 16.65	5,501,113 2,831,033 $ 129,296 4,358 15,349 204,916 (USD7,403 thousand)	3,101,127 2,631,418 $ 59,329 ( 13,183 ) 548 62,808 (USD2,252 thousand)		Sub- subsidiary Sub- subsidiary Subsidiary Sub- subsidiary Sub- subsidiary Sub- subsidiary

Note 1. Cypress Epoch Limited was liquidated on September 28, 2021.

Note 2. Please refer to Table 8 for relevant information on mainland investee companies.

118 -

USI CORPORATION AND INVESTEE COMPANIES

Acme Electronics Corporation

INFORMATION ON INVESTEES

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 7-1

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investor	Investee	Location	Main Businesses and Products	Original Investment Amount	Original Investment Amount	As of December 31,2021	As of December 31,2021	As of December 31,2021	Net Income (Loss) of the Investee	Share of Profit (Loss)	Remark
				December 31, 2021	December 31, 2020	Number of Shares	Percentage (%)	Carrying Amount
Acme Electronics Corporation ACME Electronics (Cayman) Corp. ACME Components (Malaysia) Sdn. Bhd.	ACME Electronics (Cayman) Corp. Golden Amber Enterprises Limited USI Optronics Corporation ACME Components (Malaysia) Sdn. Bhd. ACME Ferrite Products Sdn. Bhd.	Ugland House P.O. Box 309 George Town, Grand Cayman, Cayman Islands CITCO Building, Wickhams Cay Road Town, Tortola, British Virgin Islands 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) Plot 15,Jalan Industri 6 Kawasan Perindustrian Jelapang II (ZPB) Jelapang 30020 Ipoh, Perak, Malaysia. Plot 15,Jalan Industri 6 Kawasan Perindustrian Jelapang II (ZPB) Jelapang 30020 Ipoh, Perak, Malaysia.	Corporate investments Corporate investments Manufacturing and marketing of sapphire single crystal Corporate investments Manufacturing and marketing of manganese-zinc soft ferrite core	$605,182 (USD18,336 thousand) 669,072 (USD20,800 thousand) 646,200 331,164 (USD11,891 thousand) 242,134 (MYR37,964 thousand)	$605,182 (USD18,336 thousand) 669,072 (USD20,800 thousand) 646,200 331,164 (USD11,891 thousand) 242,134 (MYR37,964 thousand)	25,621,692 20,800,000 22,064,224 42,600,000 9,120,000	51.27 100.00 34.00 100.00 100.00	$ 629,708 983,512 32,206 622,709 (USD22,497 thousand) 613,060 (MYR96,469 thousand)	$ 62,808 (USD2,252 thousand) 90,599 ( 41,955 ) 45,230 (MYR6,997 thousand) 45,765 (MYR7,080 thousand)	$ 32,780 (USD1,175 thousand) 90,599 ( 14,263 ) 45,230 (MYR6,997 thousand) 45,765 (MYR7,080 thousand)

Note 1. The foreign currency amount was calculated based on the spot exchange rate of December 31, 2021.

Note 2. The amount is calculated based on the average exchange rate during the period from January 1 and December 31, 2021.

Note 3. Please refer to Table 8-1 for relevant information on mainland investee companies.

119 -

USI CORPORATION AND INVESTEE COMPANIES

Swanson Plastics Corporation

INFORMATION ON INVESTEES

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 7-2

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investor	Investee	Location	Main Businesses and Products	Original InvestmentAmount	Original InvestmentAmount	As of December31,2021	As of December31,2021	As of December31,2021	Net Income (Loss) of the Investee	Share of Profit (Loss)	Remark
				December 31, 2021 (Note 1)	December 31, 2020 (Note 1)	Number of Shares (In Thousands of Shares)	Percentage (%)	Carrying Amount
Swanson Plastics Corporation Swanson Plastics (Singapore) Pte., Ltd. Swanson International Ltd.	Swanson Plastics (Singapore) Pte., Ltd. Forever Young Company Limited Swanson International Ltd. Curtana Company Ltd. Swanson Technologies Corporation PT. Swanson Plastics Indonesia Swanson Plastics (Malaysia) Sdn. Bhd. Swanson Plastics (India) Private Ltd. PT. Swanson Plastics Indonesia A.S. Holdings (UK) Limited	2 Venture Drive Vision Exchange #12-10 Singapore 608526 Skelton Building Main Street P.O. Box 3136 Road Town, Tortola British Virgin Islands Ugland House, P.O.Box 309 George Town, Grand Cayman, Cayman Islands, British West Indies Flatb 6/F Caltex House 258 Hennessy Road Wanchai, Hong Kong 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) Ngoro Industrial Park Blok D2-3 Ds. Lolawang Kec. Ngoro Kab. Mojokerto Plot 505, Tingkat Perusahaan 4A, Kawasan Perusahaan Perai, Zon Perdagangan Bebas, 13600 Perai, Seberang Perai, Malaysia PLOT No.2, GDDIDC. Honda, Bhuipal Sattari-403 506, Goa- India Ngoro Industrial Park Blok D2-3 Ds. Lolawang Kec. Ngoro Kab. Mojokerto United Kingdom	Production and marketing of plastic products Trading and agency businesses Investment Investment Planting agriculture, marketing, research and development of agricultural products, production, sale, and development of EVA packaging films and other high value- added plastic products Manufacturing and marketing of plastic products Manufacturing and marketing of plastic products Manufacturing and marketing of plastic products Manufacturing and marketing of plastic products Investment	$ 808,506 1,297 454,134 - 105,001 7,979 182,505 (USD6,593 thousand) 457,020 (USD16,511 thousand) 715,252 (USD25,840 thousand) 196,364 (USD7,094 thousand)	$ 808,506 1,297 454,134 4,850 140,000 7,979 182,505 (USD6,593 thousand) 457,020 (USD16,511 thousand) 715,252 (USD25,840 thousand) 196,364 (USD7,094 thousand)	36,863 50 14,541 - 10,500 261 20,000 107,351 25,840 3,157	100.00 100.00 100.00 - 70.00 1.00 100.00 100.00 99.00 100.00	$ 1,764,808 34,835 1,608,235 - 20,335 7,336 586,411 (USD21,185 thousand) 284,595 (USD10,282 thousand) 726,243 (USD26,237 thousand) 516,906 (USD18,674 thousand)	$ 118,245 5,869 62,939 - ( 13,183 ) 47,876 86,314 (USD3,082 thousand) 2,479 (INR6,527 thousand) 47,876 (IDR24,496,752 thousand) 29,143 (US$1,040 thousand)	$ 118,245 5,869 62,939 - ( 9,228 ) 479	Note 2 Note 2 Note 3 Note 2

Note 1. Original investment amount and book amounts were calculated using the spot exchange rate of December 31, 2021.

Note 2. Please refer to Table 8-2 for relevant information on mainland investee companies.

Note 3. Curtana Company Ltd. completed its liquidation and dissolution in the first quarter of 2021.

120 -

USI CORPORATION AND INVESTEE COMPANIES

China General Plastics Corporation

INFORMATION ON INVESTEES

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 7-3

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investor	Investee	Location	Main Businesses and Products	Original Investment Amount	Original Investment Amount	As of December 31, 2021	As of December 31, 2021	As of December 31, 2021	Net Income (Loss) of the Investee for the Year Ended December 31, 2021	Investment Loss (Loss) for the Year Ended December 31, 2021	Remark
				December 31, 2021	December 31, 2020	Number of Shares	Percentage (%)	Carrying Amount
China General Plastics Corporation	Taiwan VCM Corporation CGPC Polymer Corporation CGPC`（`BVI`）`Holding Co., Ltd. China General Terminal & Distribution Co. CGPC America Corporation Acme Electronics Corporation	No. 1, Gongye 1st Rd., Linyuan Dist., Kaohsiung City 832, Taiwan (R.O.C.) 12F., No. 37, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (ROC) Citco Building, Wickhams Cay, P.O. Box 662, Road Town, Tortola, British Virgin Islands No. 1, Jianji St., Qianzhen Dist., Kaohsiung City 806, Taiwan (R.O.C.) 1181 California Ave., Suite 235 Corona, CA 92881 8F., No. 39, Jihu Rd., Neihu Dist., Taipei City 114, Taiwan (R.O.C.)	Manufacturing and marketing of VCM Manufacturing and marketing of PVC resins Reinvestment Warehousing and transportation of petrochemical raw materials Marketing of PVC two- or three-time processed products Manufacturing & marketing of Mn- Zn and Ni-Zn ferrite cores	$ 2,933,648 800,000 1,073,906 41,106 648,931 33,995	$ 2,930,995 800,000 1,073,906 41,106 648,931 33,995	259,591,005 80,000,000 16,308,258 22,009,594 100 3,176,019	87.27 100.00 100.00 33.33 100.00 1.74	$ 4,610,674 1,503,749 345,845 373,731 194,709 23,171	$ 1,510,951 580,982 ( 2,505 ) 63,389 21,914 59,329	$ 1,189,448 580,982 ( 2,505 ) 21,129 21,914 1,030	Subsidiary Subsidiary Subsidiary Associate accounted for using the equity method Subsidiary Associate accounted for using the equity method

Note: Please refer to Table 8-3 for relevant information of mainland investee companies.

121 -

USI CORPORATION AND INVESTEE COMPANIES

Taita Chemical Company, Ltd.

INFORMATION ON INVESTEES

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 7-4

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investor	Investee	Location	Main Businesses and Products	Original Investment Amount	Original Investment Amount	As	of December	31, 2021	Net Income (Loss) of the Investee	Share of Profit (Loss)	Remark (Note 1)
				December 31, 2021	December 31, 2020	Number of Shares	Percentage (%)	Carrying Amount
Taita Chemical Company, Ltd. TAITA (BVI) Holding Co., Ltd.	TAITA (BVI) Holding Co., Ltd. China General Plastics Corporation China General Terminal & Distribution Co. (Acme Electronics Corporation) ACME Electronics (Cayman) Corp.	British Virgin Islands Taipei City Taipei City Taipei City British Cayman Islands	Reinvestment Production and marketing of PVC tape and other plastic products Warehousing of petrochemical raw materials Production and marketing of manganese-zinc soft ferrite powder Reinvestment	$ 2,483,948 (USD89,738 thousand) 65,365 41,082 44,771 47,056 (USD1,700 thousand)	$ 2,483,948 (USD89,738 thousand) 65,365 41,082 44,771 47,056 (USD1,700 thousand)	89,738,000 11,516,174 22,009,592 4,445,019 2,695,619	100.00 1.98 33.33 2.43 5.39	$ 3,142,621 (USD113,455 thousand) 221,245 373,731 32,429 66,405 (USD2,399 thousand)	$ 211,285 (Profit USD7,532 thousand) 2,468,676 63,389 59,329 62,808 (Profit USD2,252 thousand)	$ 211,285 (Profit USD7,352 thousand) 48,928 21,130 1,441 -	Subsidiary Investments accounted for using the equity method Investments accounted for using the equity method Investments accounted for using the equity method Investments accounted for using the equity method

Note 1. The calculation is based on the financial statements of the investee company during the same period which have been audited by CPAs.

Note 2. Please refer to Table 8-4 for relevant information on mainland investee companies.

122 -

USI CORPORATION AND INVESTEE COMPANIES

Asia Polymer Corporation

INFORMATION ON INVESTEES

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 7-5

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investor	Investee	Location	Main Businesses and Products	Original Investment Amount	Original Investment Amount	As of December 31,2021	As of December 31,2021	As of December 31,2021	Net Income (Loss) of the Investee	Share of Profit (Loss)	Remark
				December 31, 2021	December 31, 2020	Number of Shares	Percentage (%)	Carrying Amount
Asia Polymer Corporation APC (BVI) Holding Co., Ltd. APC Investment Corporation	APC (BVI) Holding Co., Ltd. APC Investment Corporation USI International Corp. China General Plastics Corporation China General Terminal & Distribution Co. (Swanson Plastics Corporation) (Acme Electronics Corporation) Taiwan United Venture Capital Corp. USI Optronics Corporation Ever Conquest Global Ltd. ACME Electronics (Cayman) Corp. USI International Corp. Acme Electronics Corporation	British Virgin Islands Taipei City British Virgin Islands Taipei City Taipei City Taipei City Taipei City Taipei City Taipei City British Virgin Islands British Cayman Islands British Virgin Islands Taipei City	Reinvestment business Investment Reinvestment business Production and marketing of PVC films, PVC leather, PVC pipes, PVC compounds, PVC resins, construction products, chlor-alkali products and other relevant products Petrochemical materials storage and transportation operations Production and marketing of stretch films and industrial use multi-layer films Manufacturing & marketing of Mn-Zn and Ni-Zn ferrite cores Investments in high-tech undertakings Manufacturing and marketing of sapphire single crystal Reinvestment business Reinvestment business Reinvestment business Manufacturing & marketing of Mn-Zn and Ni-Zn ferrite cores	$ 381,287 (USD13,774,806) 200,000 58,128 (USD2,100,000) 247,412 41,082 75,242 61,348 52,791 59,725 4,718,748 (USD170,475,000) 145,179 (USD5,244,903 thousand) 24,912 (USD900,000) 14,889	$ 381,287 (USD13,774,806) 200,000 58,128 (USD2,100,000) 247,412 41,082 75,242 61,348 52,791 59,725 4,718,748 (USD170,475,000) 145,179 (USD5,244,903) 24,912 (USD900,000) 14,889	11,342,594 20,000,000 2,100,000 46,886,185 22,009,593 12,266,779 6,056,623 3,080,866 5,972,464 170,475,000 8,316,450 900,000 1,884,548	100.00 100.00 70.00 8.07 33.33 7.95 3.31 8.33 9.20 40.87 16.64 30.00 1.03	$ 545,802 168,090 62,380 900,764 373,731 210,268 44,186 22,673 8,718 4,851,207 204,869 26,734 13,749	$ 27,305 35,822 1,047 2,468,676 63,389 224,921 59,329 ( 2,438 ) ( 41,955 ) ( 443,454 ) 62,703 1,047 59,329	$ 27,305 35,822 733 199,203 21,129 17,880 1,964 ( 203 ) ( 3,861 ) ( 181,227 ) - - -	Subsidiary Subsidiary Subsidiary Investments accounted for using the equity method Investments accounted for using the equity method Investments accounted for using the equity method Investments accounted for using the equity method Investments accounted for using the equity method Investments accounted for using the equity method Investments accounted for using the equity method APC (BVI) Holding Co., Ltd. Investments accounted for using the equity method APC (BVI) Holding Co., Ltd. Investments accounted for using the equity method APC Investment Corporation Investments accounted for using the equity method

(Continued)

123 -

Investor	Investee	Location	Main Businesses and Products	Original Investment Amount	Original Investment Amount	As	of December 31,2021	of December 31,2021	Net Income (Loss) of the Investee	Share of Profit (Loss)	Remark
				December 31, 2021	December 31, 2020	Number of Shares	Percentage (%)	Carrying Amount
Ever Conquest Global Ltd. Ever Victory Global Ltd.	Swanson Technologies Corporation Ever Victory Global Ltd. Dynamic Ever Investments, Ltd.	Taipei City British Virgin Islands Hong Kong	Production and marketing of EVA packaging films Reinvestment business Reinvestment business	22,500 11,546,574 (USD417,145,000) 16,299,368 (USD588,850,000)	30,000 11,546,574 (USD417,145,000) 16,299,368 (USD588,850,000)	2,250,015 417,145,000 588,850,000	15.00 67.40 85.00	4,357 11,870,694 (USD428,855 thousand) 16,785,159 (USD606,400 thousand)	( 13,183 ) ( 635,890 ) (USD-22,838 thousand) ( 749,901 ) (USD-26,932 thousand)	- - -	APC Investment Corporation Investments accounted for using the equity method Ever Conquest Global Ltd. Investments accounted for using the equity method Ever Victory Global Ltd. Investments accounted for using the equity method

Note 1: Please refer to Table 8-5 for relevant information of mainland investee companies.

124 -

TABLE 8

USI CORPORATION AND INVESTEE COMPANIES

INFORMATION ON INVESTMENTS IN MAINLAND CHINA

FOR THE YEAR ENDED DECEMBER 31, 2021

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investee Company	Main Businesses and Products	Paid-in Capital	Paid-in Capital	Method of Investmen t	Accumulated Outward Remittance for Investment from Taiwan as of January 1, 2021 (Note 6)	Investment Flows for the Year Ended December 31, 2021 (Note 6)	Investment Flows for the Year Ended December 31, 2021 (Note 6)	Accumulated Outward Remittance for Investment from Taiwan as of the year ended December 31, 2021 (Note 6)	Net Income (Loss) of the Investee for the Year Ended December 31, 2021 (Note 8)	Ownership of Direct or Indirect Investment (%)	Investment Gain (Loss) for the Year Ended December 31, 2021 (Notes 7 and 8)	Carrying Amount as of the year ended December 31, 2021 (Note 6)	Accumulated Repatriation of Investment Income as of the year ended December 31, 2021
						Outflow	Inflow
Acme Electronics (Kunshan) Co., Ltd. USIG (Shanghai) Co., Ltd. Fujian Gulei Petrochemical Co., Ltd.	Manufacturing and marketing of manganese-zinc soft ferrite core Engage in import and distribution of various types of chemical raw materials and products Crude oil processing and petroleum products manufacturing	$ 850,468 (USD30,725 thousand) 138,400 (USD5,000 thousand) 40,438,468 (RMB9,314,400 thousand)		Note 1 Note 2 Note 3	$ 77,989 (USD2,818 thousand) 138,400 (USD5,000 thousand) 6,323,489 (USD228,450 thousand)	$ - - -	$ - - -	$ 77,989 (USD2,818 thousand) 138,400 (USD5,000 thousand) 6,323,489 (USD228,450 thousand)	$ 45,024 (USD1,616 thousand) 2,140 (USD76 thousand) ( 1,455,990 ) (USD-52,302 thousand)	16.65 100.00 16.94	$ 7,495 (USD269 thousand) 2,140 (USD76 thousand) ( 246,635 ) (USD-8,860 thousand)	$ 137,494 (USD4,967 thousand) 130,269 (USD4,706 thousand) 6,550,610 (USD236,655 thousand)	$ - - -

Accumulated Outward Remittance for Investment in Mainland China as of the Year Ended December 31, 2021			Investment Amounts Authorized by Investment Commission, MOEA			Upper Limit on the Amount of Investment Stipulated by Investment Commission, MOEA
$6,797,392 (USD245,571thousand)			$ 8,497,917 (Note 5) (USD307,006 thousand)			$ -(Note 4)

Note 1. The Company reinvested in China-based companies via Swanlake Traders Ltd. (100%) by wiring transfer funds to other areas.

Note 2. The Company directly invested in China-based companies (100%).

Note 3. The Company indirectly invested 50% in Fujian Gulei Petrochemical Co., Ltd. via Ever Conquest Global Limited (59.13%), then reinvested Ever Victory Global Limited (67.40%), and finally reinvested Dynamic Ever Investments Limited (85.00%) in the third region.

Note 4. As the Company has obtained the certificate of being qualified for operating headquarters issued by the Industrial Development Bureau, MOEA No. 10920403810 on February 11, 2020, the upper limit on investment in mainland China is not applicable.

Note 5. It includes the investment amounted to US$257,939 thousand in Fujian Gulei Petrochemical Co., Ltd. in the mainland region through remittance from the third region as approved by the Investment Commission, MOEA (2) No. 10500116380 dated on September 1, 2016, Investment Commission, MOEA (2) No. 10500234240 dated on December 29, 2016 and Investment Commission, MOEA (2) No. 10800262920 dated on February 26, 2020, the investment to establish a sales company amounted to US$32,200 thousand through a third region as approved by the Investment Commission, MOEA (2) No. 10900245220 dated on October 5, 2020, and the investment amounted to US$1,422 thousand in Acme Electronics (Kunshan) Co., Ltd. through a third region as approved by the Investment Commission, MOEA (2) No. 11000010830 dated on January 21, 2021.

Note 6. The amount was calculated based on the spot exchange rate as of December 31, 2021.

Note 7. Except for the Fujian Gulei Petrochemical Co., Ltd., whose numbers were based on the review of Deloitte Touche Tohmatsu Limited and use the accounting principles to adjust and recognize like the parent company, Acme Electronics (Kunshan) Co., Ltd., and USIG (Shanghai) Co., Ltd. whose numbers were based on its financial statements reviewed by the Certified Public Accountants of its ROC company.

Note 8. The amount is calculated based on the average exchange rate during the period from January 1 and December 31, 2021.

125 -

USI CORPORATION AND INVESTEE COMPANIES

Acme Electronics Corporation

INFORMATION ON INVESTMENTS IN MAINLAND CHINA

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 8-1

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investee Company	Main Businesses and Products	Paid-in Capital (Note 7)	Paid-in Capital (Note 7)	Method of Investment (Note 1)	Accumulated Outward Remittance for Investment from Taiwan as of January 1, 2021 (Note 5)	Accumulated Outward Remittance for Investment from Taiwan as of January 1, 2021 (Note 5)	Investment Flows for the Year Ended December 31, 2021	Investment Flows for the Year Ended December 31, 2021	Accumulated Outward Remittance for Investment from Taiwan as of the year ended December 31, 2021 (Note 5)	Net Income (Loss) of Investee for the Year Ended December 31, 2021 (Note 6)	Ownership of Direct or Indirect Investment (%)	Investment Gain (Loss) for the Year Ended December 31, 2021 (Notes 4 and 6)	Carrying Amount as of the year ended December 31, 2021 (Note 7)	Accumulated Repatriation of Investment Income as of the year ended December 31, 2021
							Outflow	Inflow
ACME Electronics (Kunshan) Acme Electronics (Guang-Zhou)	Manufacturing and marketing of manganese-zinc soft ferrite core Manufacturing and marketing of manganese-zinc soft ferrite core	$ 850,468 (USD30,725 thousand) 531,456 (USD19,200 thousand)		Indirect investment via ACME (Cayman). Indirect investment via GAEL.	$ 374,188 (USD11,144 thousand) 619,676 (USD19,200 thousand)		$ - -	$ - -	$ 374,188 (USD11,144 thousand) 619,676 (USD19,200 thousand)	$ 45,024 (RMB10,406 thousand) 92,050 (RMB21,222 thousand)	51.27 100.00	$ 23,086 (RMB5,335 thousand) 92,050 (RMB21,222 thousand)	$ 423,500 (RMB97,547 thousand) 980,424 (RMB225,826 thousand)	$ - -

Accumulated Outward Remittance for Investment in Mainland China as of the Year Ended December 31, 2021			Investment Amounts Authorized by Investment Commission, MOEA			Upper Limit on the Amount of Investment Stipulated by Investment Commission, MOEA
$ 839,922 (USD30,344 thousand) (Notes 3 and 7)			$ 1,014,001 (USD36,633 thousand) (Notes 3 and 7)			$ -(Note 2)

Note 1. Investment Method II is to reinvest in the mainland companies by establishing a company through investment in the third region.

Note 2. As ACME has obtained the certificate of qualification for operating headquarters issued by the Industrial Development Bureau, MOEA No. 09704604680 on August 29, 2008, the upper limit on investment in mainland China is not applicable.

Note 3. It includes the capital increase transferred from surplus of Acme Electronics (Kunshan) Co., Ltd., and ACME increased the amount of US$6,289 thousand at its ownership percentage.

Note 4. The investment gain (loss) recognized for the year ended December 31, 2021 was calculated on the basis of financial statements audited and approved by CPAs of the parent company of ACME.

Note 5. The calculation was based on the exchange rate of the original investment.

Note 6. The amount is calculated based on the average exchange rate during the period from January 1 and December 31, 2021.

Note 7. The amount was calculated based on the spot exchange rate as of December 31, 2021.

126 -

USI CORPORATION AND INVESTEE COMPANIES

Swanson Plastics Corporation

INFORMATION ON INVESTMENTS IN MAINLAND CHINA

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 8-2

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investee Company	Main Businesses and Products	Paid-in Capital (Note 1)	Method of Investment	Method of Investment	Accumulated Outward Remittance for Investment from Taiwan as of January 1, 2021	Investment Flows for the Year Ended December31,2021	Investment Flows for the Year Ended December31,2021	Accumulated Outward Remittance for Investment from Taiwan as of the year ended December31,2021	Net Income (Loss) of the Investee for the Year Ended December 31, 2021 (Note 3)	Ownership of Direct or Indirect Investment (%)	Investment Gain (Loss) for the Year Ended December 31, 2021 (Note 3)	Carrying Amount as of the year ended December 31, 2021 (Note 4)	Accumulated Repatriation of Investment Income as of the year ended December 31, 2021
						Outflow	Inflow
Swanson Plastics (Kunshan) Co., Ltd. ASK-Swanson (Kunshan) Co., Ltd. Swanson Plastics (Tianjin) Co., Ltd.	Production, sales and development of multi- functional film, optical film, etc. Production and sales of PE release film and other release products Production, sales and development of multi- functional film, optical film, etc.	$ 367,867 (USD13,290 thousand) 251,888 (USD9,100 thousand) 296,176 (USD10,700 thousand)	Indirect investment via Swanson International Ltd. of British Cayman Islands. Indirect investment in A.S. Holdings (UK) Limited via Swanson International Ltd. of British Cayman Islands. Indirect investment via Swanson (Singapore) Private Ltd. in the third region.		$ 223,930 193,447 170,754	$ - - -	$ - - -	$ 223,930 193,447 170,754	$ 33,986 (USD1,213 thousand) 36,660 (USD1,309 thousand) ( 24 ) (USD-840 thousand)	100.00 100.00 100.00	$ 33,986 (USD1,213 thousand) 36,660 (USD1,309 thousand) ( 24 ) (USD-840 thousand)	$ 1,132,754 (USD40,923 thousand) 516,104 (USD18,645 thousand) 74,025 (USD2,674 thousand)	$ - 64,395 (USD2,327 thousand) -

Accumulated Outward Remittance for Investment in Mainland China as of the Year Ended December 31,2021		Investment Amounts Authorized by Investment Commission, MOEA		Upper Limit on the Amount of Investment Stipulated by Investment Commission, MOEA
$ 588,131		$907,510 (USD32,786 thousand)		$ - (Note 2)

Note 1. The paid-in capital and the investment amount approved by the Industrial Development Bureau, MOEA were calculated using the spot exchange rate on December 31, 2021.

Note 2. As SPC had obtained the certificate of qualification for operating headquarters issued by the Industrial Development Bureau, MOEA No. 10920418410 on June 18, 2020, the upper limit on investment is not applicable.

Note 3. The amount is calculated based on the average exchange rate during the period from January 1 and December 31, 2021.

Note 4. The amount was calculated based on the spot exchange rate as of December 31, 2021.

127 -

USI CORPORATION AND INVESTEE COMPANIES

China General Plastics Corporation

INFORMATION ON INVESTMENTS IN MAINLAND CHINA

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 8-3

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investee Company	Main Businesses and Products	Paid-in Capital (Note 1)	Paid-in Capital (Note 1)	Method of Investment	Accumulated Outward Remittance for Investment from Taiwan as of January 1, 2021 (Note 1)	Accumulated Outward Remittance for Investment from Taiwan as of January 1, 2021 (Note 1)	Investment Flows for the Year Ended December 31, 2021	Investment Flows for the Year Ended December 31, 2021	Accumulated Outward Remittance for Investment from Taiwan as of the year ended December 31, 2021 (Note 1)	Net Income (Loss) of the Investee for the Year Ended December 31, 2021	Ownership of Direct or Indirect Investment (%)	Investment Gain (Loss) for the Year Ended December 31, 2021 (Note 5)	Carrying Amount as of the year ended December 31, 2021 (Note 1)	Accumulated Repatriation of Investment Income as of the year ended December 31, 2021
							Outflow	Inflow
Continental General Plastics (Zhong Shan) Co., Ltd. ("CGPC (ZS)") (Note 4) CGPC Consumer Products Corporation ("CGPC (CP)") (Note 4)	Manufacturing and marketing of PVC film and third-time processed products Manufacturing and marketing of PVC third-time processed products	$ 553,600 (USD20,000 thousand) 41,520 (USD1,500 thousand)		Indirect investment via CGPC (BVI) Holding Co., Ltd. Indirect investment via CGPC (BVI) Holding Co., Ltd.	$ 553,600 (USD20,000 thousand) 41,520 (USD1,500 thousand)		$ - -	$ - -	$ 553,600 (USD20,000 thousand) 41,520 (USD1,500 thousand)	( $ 2,569 ) (USD-93 thousand) 15 (USD1 thousand)	100.00 100.00	( $ 2,569 ) (USD-93 thousand) 15 (USD1 thousand)	$ 262,303 (USD9,476 thousand) 13,461 (USD486 thousand)	$ - -

Accumulated Outward Remittance for Investment in Mainland China as of the Year Ended December 31, 2021 (Notes 1 and 3)			Investment Amounts Authorized by Investment Commission, MOEA (Note 1)			Upper Limit on the Amount of Investment Stipulated by Investment Commission, MOEA (Note 2)
$ 749,630 (USD27,082 thousand)			$ 869,152 (USD31,400 thousand)			$ -

Note 1. The amount was calculated based on the spot exchange rate as of December 31, 2021.

Note 2. As CGPC had obtained the certificate of qualification for operating headquarters issued by the Industrial Development Bureau, MOEA No. 10920426850 on September 8, 2020, the upper limit on investment is not applicable.

Note 3. QuanZhou Continental General Plastics Co., Ltd. ("CGPC (QZ)") and Union (Zhong Shan) Co., Ltd. ("Union (ZS)") completed dissolution procedures, and CGPC (BVI) retrieved the residual assets. The shares of Continental General Plastics (SanHe) Co., Ltd. ("CGPC (SH)") were fully sold, and CGPC (BVI) retrieved the residual assets. However, the amount of capital has not been wired back to Taiwan. The accumulated amount includes the investment amount of CGPC (QZ) of US$684 thousand, the investment amount of Union (ZS) of US$898 thousand, and the investment amount of CGPC (SH) of US$4,000 thousand.

Note 4. The board of directors of CGPC passed a resolution on October 24, 2011 to dissolve the sub-subsidiaries, CGPC (ZS) and CGPC (CP). CGPC has considered that its discontinued operations was resumed its operating substance, and, therefore, the Company reclassified the discontinued operations as continuing operations since 2021 after an assessment.

Note 5. The investment gain (loss) recognized for the year ended December 31, 2021 was based on the financial statements audited and approved by CPAs of the parent company of CGPC.

128 -

USI CORPORATION AND INVESTEE COMPANIES

Taita Chemical Company, Ltd.

INFORMATION ON INVESTMENTS IN MAINLAND CHINA

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 8-4

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investee Company	Main Businesses and Products	Paid-in Capital	Paid-in Capital	Method of Investment	Accumulated Outward Remittance for Investment from Taiwan as of January 1, 2021	Accumulated Outward Remittance for Investment from Taiwan as of January 1, 2021	Investment Flows for the Year Ended December 31, 2021	Investment Flows for the Year Ended December 31, 2021	Accumulated Outward Remittance for Investment from Taiwan as of the year ended December 31, 2021	Net Income (Loss) of the Investee (Note 5)	Ownership of Direct or Indirect Investment (%)	Investment Gain (Loss) for the Year Ended December 31, 2021 (Note 5)	Carrying Amount as of the year ended December 31, 2021 (Note 5)	Accumulated Repatriation of Investment Income as of the year ended December 31, 2021
							Outflow	Inflow
Taita Chemical (Zhongshan) Co., Ltd. ("TAITA (ZS)") TTC Chemical (Tianjin) Co., Ltd. ("TAITA (TJ)") Acme Electronics (Kunshan) Co., Ltd. ("ACME (KS)")	Production and marketing of polystyrene derivatives Production and marketing of polystyrene derivatives Manufacturing and marketing of manganese-zinc soft ferrite core	$ 1,280,200 (USD46,250 thousand) (Note 1) 757,048 (USD27,350 thousand) (Note 2) 850,468 (USD30,725 thousand)		Investment through a holding company registered in a third region Investment through a holding company registered in a third region Investment through a holding company registered in a third region ACME Electronics (Cayman) Corp	$ 1,190,240 (USD43,000 thousand) 719,680 (USD26,000 thousand) 37,479 (USD1,354 thousand)		$ - - -	$ - - -	$ 1,190,240 (USD43,000 thousand) 719,680 (USD26,000 thousand) 37,479 (USD1,354 thousand)	$ 218,742 (USD7,795 thousand) ( 10,135 ) (USD-361 thousand) 45,024 (USD1,616 thousand)	100.00 100.00 5.39	$ 218,742 (USD7,795 thousand) ( 10,135 ) (USD-361 thousand) 2,429 (USD87 thousand)	$ 1,817,579 (USD65,664 thousand) ( 114,144 ) (USD-4,124 thousand) 44,556 (USD1,610 thousand)	$ - - -

Accumulated Outward Remittance for Investment in Mainland China as of the Year Ended December 31, 2021			Investment Amounts Authorized by Investment Commission, MOEA			Upper Limit on the Amount of Investment Stipulated by Investment Commission, MOEA
$1,947,399 (USD70,354 thousand)			$2,098,623 (USD75,817 thousand) (Note 3)			$ - (Note 4)

Note 1. TAITA (ZS) resolved to increase capital by earnings of US$3,250 thousand for the year ended December 31, 2007. TAITA (ZS) resolved the Earnings Distribution Proposals for the years from 2007 to 2020 at the board meeting on October 14, 2021, amounting to RMB 306,950 thousand, which is expected to be used for reinvestment projects in Mainland China. As of December 31, 2021, the amount has not actually been allocated.

Note 2. TAITA (TJ) resolved to increase capital by surplus of US$1,350 thousand for the year ended December 31, 2012. TTC's management has decided to suspend the production of TAITA (TJ) from April 2019.

Note 3. It includes the capital increase transferred from surplus by TAITA (ZS) of USD3,250 thousand, capital increase transferred from surplus by TAITA (TJ) of USD1,350 thousand and capital increase transferred from surplus by ACME (KS) of USD802 thousand.

Note 4. As TTC obtained the certificate of qualification for operating headquarters issued by the Industrial Development Bureau, MOEA No. 10820415160 on June 6, 2019, the upper limit on investment in Mainland China is not applicable.

Note 5. The calculation is based on the financial statements audited and approved by CPAs of the parent company of TTC.

129 -

USI CORPORATION AND INVESTEE COMPANIES

Asia Polymer Corporation

INFORMATION ON INVESTMENTS IN MAINLAND CHINA

FOR THE YEAR ENDED DECEMBER 31, 2021

TABLE 8-5

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investee Company	Main Businesses and Products	Paid-in Capital (Note 4)	Paid-in Capital (Note 4)	Method of Investment (Note 1)	Accumulated Outward Remittance for Investment from Taiwan as of January 1, 2021	Accumulated Outward Remittance for Investment from Taiwan as of January 1, 2021	Investment Flows for the year ended December 31, 2021	Investment Flows for the year ended December 31, 2021	Accumulated Outward Remittance for Investment from Taiwan as of the year ended December 31, 2021	Net Income (Loss) of the Investee for the Year Ended December 31, 2021	Ownership of Direct or Indirect Investment (%)	Investment Gain (Loss) for the Year Ended December 31, 2021 (Note 3)	Carrying Amount as of the year ended December 31, 2021 (Note 4)	Accumulated Repatriation of Investment Income as of the year ended December 31, 2021
							Outflow	Inflow
Acme Electronics (Kunshan) Co., Ltd. USI Trading (Shanghai) Co., Ltd. Fujian Gulei Petrochemical Co., Ltd.	Manufacturing and marketing of manganese-zinc ferrite core Sales of chemical products and equipment, etc. Crude oil processing and petroleum products manufacturing	$ 850,468 (USD30,725 thousand) 69,200 (USD2,500 thousand) 40,438,468 (RMB9,314,400 thousand)		(2) ACME Electronics (Cayman) Corp. (2) APC (BVI) Holding Co., Ltd. (2) Dynamic Ever Investments, Ltd. (Note2)	$ 115,630 (USD4,177 thousand) 84,025 (USD3,036 thousand) 4,370,198 (USD157,883 thousand)		$ - - -	$ - - -	$ 115,630 (USD4,177 thousand) 84,025 (USD3,036 thousand) 4,370,198 (USD157,883 thousand)	$ 45,024 16,420 ( 1,455,990 )	16.64 100.00 11.71	$ 7,493 16,420 ( 170,497 )	$ 137,462 136,096 4,533,837	$ - - -

Accumulated Outward Remittanc as of theyear ended	e for Investment in Mainland C December 31,2021	hina	Investment Amounts Au	thorized by Investment	Commission, MOEA	Upper	Limit on the Amount of Invest Commission,	ment Stipulated by Investment MOEA
$ 4,703,274 (Note 5) (USD169,916thousand)			$ 6,195,770 (USD223,836thousand)				$ - (Note 6)

Note 1. Note: Investment are divided into three categories as follows:

(1) Direct investments in mainland companies.

(2) Reinvestments in mainland companies through a holding company registered in a third region (please specify the holding company).

(3) Others.

Note 2. The Company indirectly reinvested in 50% of the outstanding shares of Fujian Gulei Petrochemical Co., Ltd. via Ever Conquest Global Limited (40.87%), then reinvested Ever Victory Global Limited (67.40%), and finally vis Dynamic Ever Investments Limited (85.00%).

Note 3. For the column of Investment Gain (Loss) for the year ended December 31, 2021:

(1) If there is no investment gain (loss) during the preparation, it shall be noted.
(2) If the basis for the recognition of investment gain (loss) is classified into the following three categories, it shall be noted as follows:
A. Financial statements audited by international accounting firms in partnership with CPA firms in the Republic of China.

B. Financial statements audited by CPAs of the parent company in Taiwan.

C. Others.

Note 4. The amount was calculated based on the spot exchange rate as of December 31, 2021.

Note 5. APC directly invested in Silicon Technology Investment (Cayman) Corp. (STIC) and Solargiga Energy Holdings Ltd. through APC (BVI) Holding Co., Ltd. to indirectly invest in companies in mainland China.

Note 6. As APC has obtained the certificate of qualification for operating headquarters issued by the Industrial Development Bureau, MOEA No. 10800262940 on February 26, 2020, the upper limit on investment is not applicable.

130 -

USI CORPORATION AND INVESTEE COMPANIES

INFORMATION ON MAJOR SHAREHOLDERS

DECEMBER 31, 2021

TABLE 9

Names of Major Shareholders	Shares	Shares
	Number of Shares Held	Percentage of Ownership (%)
Shing Lee Enterprise (Hong Kong) Limited Wholegainer Company Limited's investment account under custody of Fubon Securities Co., Ltd. Asia Polymer Corporation	173,776,546 110,000,000 101,355,673	14.61 9.25 8.52

Note 1. The table discloses shareholding information of shareholders whose shareholding percentage is more than 5%. The Taiwan Depository & Clearing Corporation (TDC) calculates the total number of ordinary shares and preferred shares (including treasury shares) that have completed the dematerialized registration and delivery on the last business day of the quarter. The share capital reported in the Company's consolidated financial statements and the actual number shares that have completed the dematerialized registration and delivery may be different due to the difference in the basis of calculation.
Note 2. If the even where the shareholders delivers its equity to trust, the information is disclosed in the form of individual trust accounts opened by the trustee. As for the shareholders declaring insider equity holdings of more than 10% of the shares in accordance with the Securities and Exchange Act, their shareholdings include the shares held by themselves plus the shares delivered to trust while retaining the right to determine the utilization. For information on insider equity declarations, please refer to the Market Observatory Post System.
131 -

§STATEMENT INDEX OF IMPORTANT ACCOUNTING ITEMS§

ITEM

MAJOR ACCOUNTING ITEMS IN ASSETS, LIABILITIES AND EQUITY STATEMENT OF CASH AND CASH EQUIVALENT STATEMENT OF FINANCIAL INSTRUMENTS AT FAIR VALUE THROUGH PROFIT OR LOSS - CURRENT STATEMENT OF FINANCIAL ASSETS MEASURED AT ATMORTIZED COST - CURRENT STATEMENT OF NOTES RECEIVABLE STATEMENT OF ACCOUNTS RECEIVABLE STATEMENT OF OTHER RECEIVABLES STATEMENT OF INVENTORIES STATEMENT OF PREPAYMENTS STATEMENT OF CHANGES IN FINANCIAL ASSETS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME - NON-CURRENT STATEMENT OF CHANGES IN INVESTMENTS ACCOUNTED FOR USING EQUITY METHOD STATEMENT OF CHANGES IN PROPERTY, PLANT AND EQUIPMENT STATEMENT OF ACCUMULATED DEPRECIATION CHANGES IN PROPERTY, PLANT AND EQUIPMENT STATEMENT OF CHANGES IN INVESTMENT PROPERTIES STATEMENT OF ACCUMULATED DEPRECIATION CHANGES IN INVESTMENT PROPERTIES STATEMENT OF CHANGES IN RIGHT-OF-USE ASSETS STATEMENT OF ACCUMULATED DEPRECIATION CHANGES IN RIGHT-OF-USE ASSETS STATEMENT OF CHANGES IN INTANGIBLE ASSETS STATEMENT OF DEFERRED INCOME TAX ASSETS STATEMENT OF OTHER NON-CURRENT ASSETS STATEMENT OF ACCOUNTS PAYABLE STATEMENT OF OTHER PAYABLES STATEMENT OF OTHER CURRENT LIABILITIES STATEMENT OF BONDS PAYABLE STATEMENT OF LONG-TERM BORROWINGS STATEMENT OF LEASE LIABILITIES STATEMENT OF DEFERRED INCOME TAX LIABILITIES STATEMENT OF OTHER NON-CURRENT LIABILITIES MAJOR ACCOUNTING ITEMS IN PROFIT OR LOSS STATEMENT OF SALES REVENUE STATEMENT OF SALES COSTS STATEMENT OF MANUFACTURING EXPENSES STATEMENT OF OPERATING EXPENSES STATEMENT OF NON-OPERATING INCOME AND EXPENSES STATEMENT OF FINANCE COSTS STATEMENT OF EMPLOYEE BENEFIT, DEPRECIATION AND AMORTIZATION BY FUNCTION

STATEMENT INDEX

STATEMENT 1 STATEMENT 2 NOTE 9

STATEMENT 3 STATEMENT 4 NOTE 10 STATEMENT 5 STATEMENT 6 STATEMENT 7

STATEMENT 8 NOTE 13 NOTE 13 NOTE 15 NOTE 15 STATEMENT 9 STATEMENT 10 NOTE 16 NOTE 25 STATEMENT 11 STATEMENT 12 NOTE 20 STATEMENT 13 STATEMENT 14 STATEMENT 15 STATEMENT 16 NOTE 25 STATEMENT 17 STATEMENT 18 STATEMENT 19 STATEMENT 19-1 STATEMENT 20 NOTE 24

NOTE 24 STATEMENT 21

132 -

USI CORPORATION

STATEMENT OF CASH AND CASH EQUIVALENT

DECEMBER 31, 2021

STATEMENT 1

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

ITEM Abstract Cash Petty cash Bank deposits Checking deposits Demand deposits in NTD Demand deposits in foreign currency USD 1,916,308.57 (Note) RMB 825,046.52 (Note) JPY 15,760.00 (Note) EUR 52,038.79 (Note) Sub-total of the bank deposits Cash equivalents Time deposits Annual rate 0.01%-2.40%, including time deposits of foreign currency USD 6,000,000 and RMB 33,000,000 (Note). Maturity date is from January, 2022 to January, 2023 Note: U.S. dollars are converted at the exchange rate USD1=NTD27.6800. Renminbi is converted at the exchange rate RMB1 = NTD4.3415. Japanese Yen is converted at the exchange rate JPY1 = NTD0.2405. The Euro is converted at the exchange rate EUR1 = NTD31.3200.	Amount	Amount
		$ 560 2,971 78,654 58,259 139,884 968,350 $ 1,108,794

133 -

USI CORPORATION

STATEMENT OF FINANCIAL INSTRUMENTS AT FAIR VALUE THROUGH PROFIT OR LOSS - CURRENT

DECEMBER 31, 2021

STATEMENT 2

(In Thousands of New Taiwan Dollars, Except Par Value and Unit Price in New Taiwan Dollars)

Financial instruments Financial assets mandatorily classified as at fair value through profit or loss - non-derivative financial assets Fund beneficiary certificates and beneficiary securities Nomura Taiwan Money Market Fund FSITC Taiwan Money Market Fund Yuanta Wan Tai Money Market Fund Hua Nan Kirin Money Market Fund CTBC Hwa-Win Money Market Fund UPAMC James Bond Money Market Fund Hua Nan Phoenix Money Market Fund Taishin Ta-Chong Money Market Fund Capital Money Market Fund Mega Diamond Money Market Fund FSITC Money Market Fund Taishin 1699 Money Market Fund Jih Sun Money Market Fund SinoPac TWD Money Market Fund Cathay No. 1 Real Estate Investment Trust Domestic listed shares and over-the-counter shares United Microelectronics Corporation Evergreen Marine Corporation UPC Technology Corporation Quanta Computer Incorporated ShunSin Technology Holdings Limited China Steel Corporation Tungho Steel Corporation Financial assets mandatorily classified as at fair value through profit or loss - derivatives Foreign exchange forward contracts Financial liabilities held for trading - derivatives Foreign exchange forward contracts	Abstract	Share/unit 3,642,877 15,516,171 5,235,979 19,031,543 3,595,506 7,942,704 20,046,518 16,379,377 6,136,287 9,508,754 971,287 19,245,740 16,702,410 7,833,977 3,340,000 150,000 473,251 700,000 200,000 80,000 650,000 368,500	Par value (NT$) $ 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10		Total amount $ 36,429 155,162 52,360 190,315 35,955 79,427 200,465 163,794 61,363 95,088 9,713 192,457 167,024 78,340 33,400 1,551,292 1,500 4,733 7,000 2,000 800 6,500 3,685 26,218 $ 1,577,510	Interest Rate	Acquisition cost $ 60,000 240,000 80,000 230,000 40,000 134,000 329,000 235,000 100,000 119,701 175,000 263,000 250,000 110,000 34,175 2,399,876 8,730 7,353 16,523 16,817 7,455 25,197 22,805 104,880 $ 2,504,756	Fair Value Unit price (NT$) Total amount $ 16.4757 $ 60,019 15.4713 240,055 15.2790 80,000 12.0881 230,055 11.1271 40,008 16.8723 134,012 16.4196 329,156 14.3504 235,051 16.2971 100,004 12.6776 120,548 180.2170 175,042 13.6786 263,255 14.9871 250,321 14.0472 110,045 18.1300 60,554 2,428,125 65.0000 9,750 142.5000 67,438 21.6000 15,120 94.7000 18,940 93.0000 7,440 35.3500 22,978 67.1000 24,726 166,392 $ 2,594,517 $ 1,364 $ 2,492	Fair Value Unit price (NT$) Total amount $ 16.4757 $ 60,019 15.4713 240,055 15.2790 80,000 12.0881 230,055 11.1271 40,008 16.8723 134,012 16.4196 329,156 14.3504 235,051 16.2971 100,004 12.6776 120,548 180.2170 175,042 13.6786 263,255 14.9871 250,321 14.0472 110,045 18.1300 60,554 2,428,125 65.0000 9,750 142.5000 67,438 21.6000 15,120 94.7000 18,940 93.0000 7,440 35.3500 22,978 67.1000 24,726 166,392 $ 2,594,517 $ 1,364 $ 2,492		Fair value changes attributable to credit risk changes $ - - - - - - - - - - - - - - - - - - - - - - - - $ - $ - $ -	Remark
								Unit price (NT$) $ 16.4757 15.4713 15.2790 12.0881 11.1271 16.8723 16.4196 14.3504 16.2971 12.6776 180.2170 13.6786 14.9871 14.0472 18.1300 65.0000 142.5000 21.6000 94.7000 93.0000 35.3500 67.1000

134 -

USI CORPORATION

STATEMENT OF NOTES RECEIVABLE

DECEMBER 31, 2021

STATEMENT 3

(In Thousands of New Taiwan Dollars)

Customer's name Abstract Amount Remark Notes receivable from the nonrelated party arising from business Tex Year Industries Inc. Postdated $ 99,935 Taiwan First Li-Bond Co., Postdated 16,394 Ltd. Others Postdated 3,050 $ 119,379

135 -

USI CORPORATION

STATEMENT OF ACCOUNTS RECEIVABLE

DECEMBER 31, 2021

STATEMENT 4

(In Thousands of New Taiwan Dollars)

Customer's name Non-related party Foster Group Sveck Photovoltaic New Material Co.,Ltd. USI Group Tex Year Group Far Eastern Group Others (Note) Sub-total Less: allowance for loss Related party USI Trading (Shanghai) Co., Ltd. Forever Young Company Limited USI (Hong Kong) Company Ltd. Swanson Plastics Corporation Swanson Technologies Corporation Sub-total	Abstract Payment for sales Payment for sales Payment for sales Payment for sales Payment for sales Payment for sales Payment for sales Payment for sales Payment for sales Payment for sales Payment for sales		Amount $ 879,280 373,002 168,206 128,537 106,255 311,478 1,966,758 2,651) 1,964,107 46,493 24,324 23,142 12,498 11 106,468 $ 2,070,575	Remark
		(

Note: The balance of individual item does not exceed 5% of the balance of the accounts receivable.

136 -

USI CORPORATION

STATEMENT OF INVENTORIES

DECEMBER 31, 2021

STATEMENT 5

(In Thousands of New Taiwan Dollars)

Name Finished goods Work in progress Raw materials Supplies Less: Allowance for reduction of inventory to market	Abstract		Amount Net realizable value Cost (Note) $ 921,676 $ 1,095,877 36,724 67,247 185,399 182,221 167,967 169,112 1,311,766 $ 1,514,457 59,375) $ 1,252,391	Amount Net realizable value Cost (Note) $ 921,676 $ 1,095,877 36,724 67,247 185,399 182,221 167,967 169,112 1,311,766 $ 1,514,457 59,375) $ 1,252,391	Remark
			Cost $ 921,676 36,724 185,399 167,967 1,311,766 59,375) $ 1,252,391
		(

Note: Net realizable value is the balance that the estimated selling price under normal circumstances minus the estimated cost required to complete the project and the estimated cost required to complete the sale.

137 -

USI CORPORATION

STATEMENT OF PREPAYMENTS

DECEMBER 31, 2021

STATEMENT 6 ITEM Office supplies Prepaid expenses Prepayment for purchases	Abstract	(In Thousands of New Taiwan Dollars) Amount Remark $ 161,142 29,663 13,590 $ 204,395	(In Thousands of New Taiwan Dollars) Amount Remark $ 161,142 29,663 13,590 $ 204,395

138 -

USI CORPORATION

STATEMENT OF CHANGES IN FINANCIAL ASSETS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME - NON-CURRENT

FROM JANUARY 1 TO DECEMBER 31, 2021

STATEMENT 7 Name of financial product Domestic listed shares and over-the- counter shares AU Optronics Corporation CTCI Corporation Domestic non listed (over-the-counter) common stocks KHL IB Venture Capital Co., Ltd.	Balance at	January 1 Fair value $ 119,196 577,991 275,452 $ 972,639	Increase During	the Year Ended Amount $ 75,775 - - $ 75,775	Decrease During	the Year Ended Amount $ - 15,131 110,732 $ 125,863	(In Thousands of New Taiwan Dollars, Unless Stated Otherwise) Balance at December 31 Details of pledged as collateral Number of Shares Fair value Remark 8,514,006 $ 194,971 None Note 1 15,130,656 562,860 None Note 2 9,954,950 164,720 None Note 3 $ 922,551	(In Thousands of New Taiwan Dollars, Unless Stated Otherwise) Balance at December 31 Details of pledged as collateral Number of Shares Fair value Remark 8,514,006 $ 194,971 None Note 1 15,130,656 562,860 None Note 2 9,954,950 164,720 None Note 3 $ 922,551	(In Thousands of New Taiwan Dollars, Unless Stated Otherwise) Balance at December 31 Details of pledged as collateral Number of Shares Fair value Remark 8,514,006 $ 194,971 None Note 1 15,130,656 562,860 None Note 2 9,954,950 164,720 None Note 3 $ 922,551
	Number of Shares 8,514,006 15,130,656 12,044,707		Number of Shares - - -		Number of Shares - - 2,089,757		Number of Shares 8,514,006 15,130,656 9,954,950
									Note 1 Note 2 Note 3

Note 1. Increases in investment this year was resulted from fair value adjustments.

Note 2. Decreases in investment this year was resulted from fair value adjustments.

Note 3. Decreases in the number of shares and amounts was resulted from fair value adjustments and cash capital reduction.

139 -

USI CORPORATION

STATEMENT OF CHANGES IN INVESTMENTS ACCOUNTED FOR USING EQUITY METHOD

FROM JANUARY 1 TO DECEMBER 31, 2021

STATEMENT 8

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

Investee USIFE Investment Co., Ltd. Swanlake Traders Ltd. USI (Hong Kong) Company Ltd. Union Polymer Int'l Investment Corp. Taiwan United Venture Capital Corp. Chong Loong Trading Co., Ltd. Swanson Plastics Corporation Acme Electronics Corporation INOMA Corporation USI Management Consulting Corp. Cypress Epoch Limited USIG (Shanghai) Co., Ltd. Ever Conquest Global Limited USI Optronics Corporation USI Green Energy Corporation Rerecognized as long-term equity investment credit balance	Balance at	January 1 Amount $ 861,889 1,293,513 67,491 7,739,718 180,508 55,164 1,050,935 333,831 19,405 1,539 128,814 - 7,331,651 69,501 - 19,133,959 - $ 19,133,959	Increase During	the Year Ended Amount $ 137,283 3,564 - 814,738 11,800 - 86 - - - - 128,814 - - 104,092 $ 1,200,377	Decrease During the Year Ended Number of Shares Amount - $ 2,675 - 37,596 - 2,249 - 370,556 7,000,000 - - - - 73,943 - 5,827 - - - 433 5,000,000 128,814 - 685 - 49,936 - - - - $ 672,714	Decrease During the Year Ended Number of Shares Amount - $ 2,675 - 37,596 - 2,249 - 370,556 7,000,000 - - - - 73,943 - 5,827 - - - 433 5,000,000 128,814 - 685 - 49,936 - - - - $ 672,714	Share of profit and loss of the subsidiary recognized using the equity method $ 91,531 11,265 ( 1,566 ) 2,263,488 ( 1,707 ) 10,166 91,268 15,968 ( 2,551 ) ( 2,301 ) - 2,140 ( 262,227 ) ( 21,333 ) 2,279 $ 2,196,420	Balance at December 31 Number of Shares Shareholding (%) Amount 87,250,800 100.00 $ 1,088,028 30,000,000 100.00 1,270,746 159,999 100.00 63,676 746,722,725 100.00 10,447,388 25,900,000 70.00 190,601 5,333,059 99.93 65,330 62,616,299 40.58 1,068,346 49,250,733 26.91 343,972 9,243,369 94.37 16,854 671,400 100.00 ( 1,195 ) - - - 5,000,000 100.00 130,269 246,670,000 59.13 7,019,488 33,000,000 50.85 48,168 7,010,000 100.00 106,371 21,858,042 1,195 $ 21,859,237	Balance at December 31 Number of Shares Shareholding (%) Amount 87,250,800 100.00 $ 1,088,028 30,000,000 100.00 1,270,746 159,999 100.00 63,676 746,722,725 100.00 10,447,388 25,900,000 70.00 190,601 5,333,059 99.93 65,330 62,616,299 40.58 1,068,346 49,250,733 26.91 343,972 9,243,369 94.37 16,854 671,400 100.00 ( 1,195 ) - - - 5,000,000 100.00 130,269 246,670,000 59.13 7,019,488 33,000,000 50.85 48,168 7,010,000 100.00 106,371 21,858,042 1,195 $ 21,859,237	Net asset value $ 1,089,572 1,284,392 63,676 11,653,149 190,601 65,330 1,073,323 359,312 16,854 ( 1,195 ) - 130,269 7,019,488 48,168 106,371	Remark Note 1 Note 2 Note 3 Note 4 Note 5 Note 6 Note 7 Note 8 Note 9 Notes 9 and 10 Note 11 Note 12	Details of pledged as collateral
	Number of Shares 87,250,800 30,000,000 159,999 616,268,754 32,900,000 4,358,183 62,616,299 49,250,733 9,243,369 671,400 5,000,000 - 246,670,000 33,000,000 -		Number of Shares - - - 130,453,971 - 974,876 - - - - - 5,000,000 - - 7,010,000		Number of Shares - - - - 7,000,000 - - - - - 5,000,000 - - - -			Number of Shares 87,250,800 30,000,000 159,999 746,722,725 25,900,000 5,333,059 62,616,299 49,250,733 9,243,369 671,400 - 5,000,000 246,670,000 33,000,000 7,010,000	Shareholding (%) 100.00 100.00 100.00 100.00 70.00 99.93 40.58 26.91 94.37 100.00 - 100.00 59.13 50.85 100.00
												None None None None None None None None None None None None None None None

Note 1. This year's increases arise from the transfer of accumulated profit and loss from disposal of financial assets measured at fair value through other comprehensive income to retained earnings of NT$77,105 thousand and the unrealized benefits of financial assets measured at fair value through other comprehensive income of NT$60,178 thousand. This year's increases arise from the recognition of the difference in the financial statements of foreign operating institutions based on the shareholding ratio of NT$1,754 thousand and the re-measurement loss of the defined benefit plan NT$921 thousand.
Note 2. This year's increases are to recognize the capital reserve based on the shareholding ratio of NT$3,564 thousand. This year's decreases are to recognize the difference in the financial statements of foreign operating institutions based on the shareholding ratio of NT$37,596 thousand.
Note 3. This year's decreases are to recognize the conversion difference in the financial statements of foreign operating institutions based on the shareholding ratio of NT$2,249 thousand.
Note 4. This year's increases are to recognize the capital reserve based on the shareholding ratio of NT$1,129 thousand, to adjust the cash dividends paid to subsidiaries to the capital reserve - treasury shares trading of NT$38,329 thousand, the transfer of unrealized benefits of financial assets measured at fair value through other comprehensive income of NT$751,931 thousand and accumulated profit and loss from disposal of financial assets measured at fair value through other comprehensive income to retained earnings of NT$23,349 thousand. This year's decreases are the financial commodity evaluation adjustment of treasury shares of NT$343,048 thousand, re-measurement loss of defined benefit plans of NT$3,624 thousand and the recognition of difference in the financial statements of foreign operating institutions based on the shareholding ratio of NT$23,884 thousand.
Note 5. This year's increases arise from the unrealized profit of financial assets measured at fair value through other comprehensive income NT$11,800. This year's increases are to cover accumulated losses by capital reduction as resolved by TUVC's extraordinary shareholders' meeting on November 25, 2021.
Note 6. This year's increases arise from an increase of NT$86 thousand in re-measurement benefits of defined benefit plans. This year's decreases are the receipts of cash dividends of NT$50,093 thousand paid by the investee, the recognition of capital reserve based on the shareholding ratio of NT$2 thousand and the recognition of difference in the financial statements of foreign operating institutions based on the shareholding ratio of NT$23,848 thousand.
Note 7. This year's decreases are the recognition of difference in the financial statements of foreign operating institutions based on the shareholding ratio of NT$5,259 thousand and the re-measurement loss of defined benefit plans of NT$568 thousand. Note 8. This year's increases arise from the re-measurement loss NT$433 thousand of defined benefit plan.
Note 9. This year's decreases of Cypress Epoch Limited and the increases of USIG are NT$128,814 thousand of direct investment in USIG (Shanghai) Co., Ltd. in the mainland as approved by the Investment Commission, Ministry of Economics Affairs (Investment Commission) on January 25, 2021 for the Company's change to indirect investment in USIG (Shanghai) Co., Ltd to simplify its investment structure. And Cypress Epoch Limited has completed the dissolution and liquidation procedures on September 28, 2021.
Note 10. This year's decreases are to recognize the difference in the financial statements of foreign operating institutions of NT$685 thousand.
140 -

Note 11. This year's decreases are to recognize the difference in the financial statements of foreign operating institutions based on the shareholding ratio of NT$49,936 thousand. Note 12. This year's increases arise from the newly added investment price of NT$104,092 thousand.

141 -

USI CORPORATION

STATEMENT OF CHANGES IN RIGHT-OF-USE ASSETS

FROM JANUARY 1 TO DECEMBER 31, 2021

STATEMENT 9 ITEM Buildings		Balance at January1 Increase During theYear Ended $ 23,441 $ -	(In Thousands of New Taiwan Dollars) Decrease During the Year Ended Balance at December 31 Remark $ - $ 23,441	(In Thousands of New Taiwan Dollars) Decrease During the Year Ended Balance at December 31 Remark $ - $ 23,441

142 -

USI CORPORATION

STATEMENT OF ACCUMULATED DEPRECIATION CHANGES IN RIGHT-OF-USE ASSETS FROM JANUARY 1 TO DECEMBER 31, 2021

STATEMENT 10 ITEM Buildings		Balance at January1 Increase During the Year Ended $ 9,350 $ 4,450	(In Thousands of New Taiwan Dollars) Decrease During the Year Ended Balance at December 31Remark $ - $ 13,800	(In Thousands of New Taiwan Dollars) Decrease During the Year Ended Balance at December 31Remark $ - $ 13,800

143 -

USI CORPORATION

STATEMENT OF OTHER NON-CURRENT ASSETS

DECEMBER 31, 2021

STATEMENT 11 ITEM Advance payment for construction Refundable deposits Long-term deferred expenses	Abstract	(In Thousands of New Taiwan Dollars) Amount Remark $ 32,660 49,577 39,378 $ 121,615	(In Thousands of New Taiwan Dollars) Amount Remark $ 32,660 49,577 39,378 $ 121,615

144 -

USI CORPORATION

STATEMENT OF ACCOUNTS PAYABLE

DECEMBER 31, 2021

STATEMENT 12

(In Thousands of New Taiwan Dollars)

Customer's name Non-related party CPC Corporation, Taiwan (Note) MITSUBISHI CORPORATION Dairen Chemical Corporation CHINA JINSHAN ASSOCIATED TRADING HELM ASIA PTE. LTD. Others Sub-total Related party Asia Polymer Corporation Swanson Plastics Corporation Sub-total	Abstract Payment for purchase Payment for purchase Payment for purchase Payment for purchase Payment for purchase Payment for purchase Payment for purchase Payment for sales		Amount $ 307,074 328,819 161,538 113,802 65,284 43,261 1,019,778 390,410 4,039 394,449 $ 1,414,227	Remark

Note: A bank time deposit of NT$54,466 thousand has been provided as collateral.

145 -

USI CORPORATION

STATEMENT OF OTHER CURRENT LIABILITIES

DECEMBER 31, 2021

STATEMENT 13 (In Thousands of New Taiwan Dollars)

ITEM Contract liability Receipts under custody Others	Abstract		Amount $ 184,368 2,194 3,389 $ 189,951	Remark

146 -

USI CORPORATION

STATEMENT OF BONDS PAYABLE

DECEMBER 31, 2021

STATEMENT 14 Name of the bond The first unsecured corporate bond B in 2015 The first unsecured corporate bond in 2016 The first unsecured corporate bond in 2017 The first unsecured corporate bond in 2019 The first unsecured corporate bond A in 2021 The first unsecured corporate bond B in 2021 The second unsecured corporate bond A in 2021 The second unsecured corporate bond B in 2021 Less: corporate bonds due within one year	Trustee Mega International Commercial Bank Co., Lt. Department of Trusts Taipei Fubon Commercial Bank Co., Ltd. Department of Trusts Taipei Fubon Commercial Bank Co., Ltd. Department of Trusts Taipei Fubon Commercial Bank Co., Ltd. Department of Trusts Bank SinoPac Company Limited Department of Trusts Bank SinoPac Company Limited Department of Trusts Bank SinoPac Company Limited Department of Trusts Bank SinoPac Company Limited Department of Trusts	Issuing date February 12, 2015 October 28, 2016 October 27, 2017 April 26, 2019 June 23, 2021 June 23, 2021 October 26, 2021 October 26, 2021	Interest payment date Interest is paid one time every full year from the date of issue Interest is paid one time every full year from the date of issue Interest is paid one time every full year from the date of issue Interest is paid one time every full year from the date of issue Interest is paid one time every full year from the date of issue Interest is paid one time every full year from the date of issue Interest is paid one time every full year from the date of issue Interest is paid one time every full year from the date of issue	Interest rate 1.90% 0.80% 1.10% 0.98% 0.63% 0.73% 0.63% 0.77%						Amount			Carrying amount $ 999,968 - 1,999,231 1,997,945 998,067 997,988 698,533 1,297,240 8,988,972 2,999,199 $ 5,989,773	(In Thousands of New Taiwan Dollars, Unless Stated Otherwise) Method of repayment Details of guarantee Remark One time 100% repayment of principal at the expiration of the 7th year from the date of issue None One time 100% repayment of principal at the expiration of the 5th year from the date of issue None One time 100% repayment of principal at the expiration of the 5th year from the date of issue None One time 100% repayment of principal at the expiration of the 5th year from the date of issue None 50% repayment of principal in the 4th and 5th year from the date of issue None 50% repayment of principal in the 6th and 7th year from the date of issue None 50% repayment of principal in the 4th and 5th year from the date of issue None 50% repayment of principal in the 6th and 7th year from the date of issue None	(In Thousands of New Taiwan Dollars, Unless Stated Otherwise) Method of repayment Details of guarantee Remark One time 100% repayment of principal at the expiration of the 7th year from the date of issue None One time 100% repayment of principal at the expiration of the 5th year from the date of issue None One time 100% repayment of principal at the expiration of the 5th year from the date of issue None One time 100% repayment of principal at the expiration of the 5th year from the date of issue None 50% repayment of principal in the 4th and 5th year from the date of issue None 50% repayment of principal in the 6th and 7th year from the date of issue None 50% repayment of principal in the 4th and 5th year from the date of issue None 50% repayment of principal in the 6th and 7th year from the date of issue None
						Total amount issued $ 1,000,000 2,000,000 2,000,000 2,000,000 1,000,000 1,000,000 700,000 1,300,000 11,000,000 3,000,000 $ 8,000,000		Less: amount paid $ - 2,000,000 - - - - - - 2,000,000 - $ 2,000,000		Balance at December 31 $ 1,000,000 - 2,000,000 2,000,000 1,000,000 1,000,000 700,000 1,300,000 9,000,000 3,000,000 $ 6,000,000		Unamortized premium (discount) $ 32 ) - 769 ) 2,055 ) 1,933 ) 2,012 ) 1,467 ) 2,760) 11,028 ) 801) $ 10,227)
											( ( ( ( ( ( ( ( ( (

147 -

USI CORPORATION

STATEMENT OF LONG-TERM BORROWINGS

DECEMBER 31, 2021

STATEMENT 15

(In Thousands of New Taiwan Dollars)

Creditor bank or underwriter Taipei Fubon Commercial Bank Co., Ltd. E.Sun Commercial Bank, Ltd.	Duration and repayment method October 15, 2021 - October 15, 2026, amortized on an average monthly basis from the fourth year onwards. November 5, 2021 - October 15, 2026, amortized on an average monthly basis from the fourth year onwards.	Annual rate (%) 0.30% 0.30%			Amount		Total $ 24,453 9,857 $ 34,310	Mortgage or guarantee
			Due	within one year $ - - $ -	Due after one year $ 24,453 9,857 $ 34,310
								- -

148 -

USI CORPORATION

STATEMENT OF LEASE LIABILITIES

DECEMBER 31, 2021

STATEMENT 16

(In Thousands of New Taiwan Dollars)

ITEM Buildings Less: Lease liabilities due within one year	Abstract Lease term 2014.05.01- 2026.12.31	Discount rate 1.16%	Balance at December 31 $ 146,523 31,336 $ 115,187	Remark

149 -

USI CORPORATION

STATEMENT OF OTHER NON-CURRENT LIABILITIES

DECEMBER 31, 2021

STATEMENT 17 (In Thousands of New Taiwan Dollars)

ITEM Deferred unrealized profit Guarantee deposits received Deferred income	Abstract		Amount $ 4,432 6,637 516 $ 11,585	Remark

150 -

USI CORPORATION

STATEMENT OF SALES REVENUE

FROM JANUARY 1 TO DECEMBER 31, 2021

STATEMENT 18

(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)

ITEM Low density polyethylene Ethylene vinyl acetate High density polyethylene Linear low density polyethylene Other chemicals and wastes	Quantity (Tonne) 6,642 146,949 104,558 10,944 23 269,116		Amount $ 412,377 11,343,302 3,852,670 414,912 10,990 $ 16,034,251	Remark

151 -

USI CORPORATION

STATEMENT OF SALES COSTS

FROM JANUARY 1 TO DECEMBER 31, 2021

STATEMENT 19

(In Thousands of New Taiwan Dollars)

ITEM
Direct raw materials
The raw material on January 1, 2021
Purchases for the year ended December 31,
2021
Sales for the year ended December 31, 2021
The raw material on December 31, 2021
Indirect material
Direct labor
Manufacturing expenses (Statement 19-1)
Manufacturing cost
Work in process
Work in process on January 1, 2021
Work in process on December 31, 2021
Finished goods cost
Finished goods
Finished goods on January 1, 2021
The purchase for the year ended December
31, 2021
Finished goods on December 31, 2021
The loss of idle capacity
Other cost adjustment of the transfer of self-made
goods to the packaging material
The inventory write-down

Amount

$ 109,925
8,220,209
(
215,598 )
(
185,399)
7,929,137
507,263
256,473

1,415,948
10,108,821
42,963
(
36,724)
10,115,060
522,258
1,673,169
(
921,676 )
319,832
(
1,121 )

22,935
$ 11,730,457

152 -

USI CORPORATION

STATEMENT OF MANUFACTURING EXPENSES

FROM JANUARY 1 TO DECEMBER 31, 2021

FROM JANUARY 1 TO DECEMBER 31, 2021	FROM JANUARY 1 TO DECEMBER 31, 2021	FROM JANUARY 1 TO DECEMBER 31, 2021
STATEMENT 19-1 (In Thousands of New Taiwan Dollars) ITEM Amount Electricity expenses $ 563,653 Indirect labor 278,573 Depreciation 410,652 Others (Note) 163,070 $ 1,415,948
		$ 563,653 278,573 410,652 163,070 $ 1,415,948

Note: The balance of each item does not exceed 5% of the account balance.

153 -

USI CORPORATION

STATEMENT OF OPERATING EXPENSES

FROM JANUARY 1 TO DECEMBER 31, 2021

STATEMENT 20

(In Thousands of New Taiwan Dollars)

ITEM Employee benefits expense Shipping expenses Depreciation Management service expenses Exports expenses Others (Note)		Marketing expenses $ 49,572 303,259 241 - 18,395 18,899 $ 390,366	General and administrative expenses $ 51,533 2 3,774 129,300 - 46,293 $ 230,902		Research and development expenses $ 105,308 83 20,213 10,175 - 24,909 $ 160,688		Total
							$ 206,413 303,344 24,228 139,475 18,395 90,101 $ 781,956

Note: The balance of each item does not exceed 5% of the account balance.

154 -

USI CORPORATION

STATEMENT OF EMPLOYEE BENEFIT, DEPRECIATION AND AMORTIZATION BY FUNCTION

FOR THE YEARS ENDED DECEMBER 31, 2021 AND 2020

STATEMENT 21

(In Thousands of New Taiwan Dollars)

Employee benefits expense (Note) Salaries expenses Labor health insurance expenses Pension expenses Remunerations to directors Other employee benefits expense Depreciation expense Amortization expense		For the Year Ended	December 31,2021		Total $ 748,095 50,275 28,079 8,690 37,685 $ 872,824 $ 607,937 $ 13,452		For theyear ended December 31,2020	For theyear ended December 31,2020
	Classified as Operating Costs $ 579,160 39,473 19,644 - 28,134 $ 666,411 $ 556,664 $ 13,337	Classified as Operating Expenses $ 168,935 10,802 8,435 8,690 9,551 $ 206,413 $ 24,228 $ 115	Classified as other operating revenues and expenses $ - - - - - $ - $ 27,045 $ -			Classified as Operating Costs $ 407,860 35,853 20,143 - 18,713 $ 482,569 $ 552,269 $ 13,958	Classified as Operating Expenses $ 157,919 10,184 5,535 9,632 9,223 $ 192,493 $ 23,770 $ 291	Classified as other operating revenues and expenses $ - - - - - $ - $ 27,086 $ -		Total
										$ 565,779 46,037 25,678 9,632 27,936 $ 675,062 $ 603,125 $ 14,249

Note 1. As of the years ended December 31, 2021 and 2020, the numbers of the Company's employees were 472 and 478, respectively, including 7 non-employee directors.

Note 2. For the years ended December 31, 2021 and 2020, the average employee benefit expenses were NT$1,858 thousand and NT$1,413 thousand, respectively. For the years ended December 31, 2021 and 2020, the average employee salaries expenses were NT$1,609 thousand and NT$1,201 thousand, respectively. The average employee salaries expenses are adjusted and increase by 33.97%. Besides, the Company established the audit committee. The supervisor system is not applicable for the Company. Therefore, the remunerations of the supervisors are NT$0 thousand for the years ended December 31, 2021 and 2020. Note 3. The policies of the remunerations of the Company:

The remunerations policies of the directors and the managers of the Company:
(1) For the remunerations, take the median level of the payment of the same business as the reference. Besides, refer to the reasonable connection with the personal performance, company operating performances and the future risks.
(2) It is not permitted to guide the directors and the managers to run the risks works which the Company can't afford for getting more remunerations.
(3) Consider the businesses qualities and the natures of the businesses of the companies to decide how to pay the proportion of the remunerations of employees and what time to pay the partial change of remunerations for the short-term performances.
The policies of employee remunerations are stipulated based on the government regulations, the situations and developments of the salary market for the same business, the overall economy, the change of the businesses conditions and organization structure of the Company. The Company sets "The payroll management measures", "The regulations of employees performances evaluations" and "The allowances payments for the supervisor positions and personal staff" as the issuances standards. Besides, the Company has the "Annual bonus managements regulations" which are based on the profitability situations of the Company and check the performances of the employees to pay the annual bonus (including the employee remunerations).
155 -

AI assistant

USI — Annual Report 2021

51764_rns_2021-12-30_ce5721fc-0b08-44b9-95c7-de4c770830e7.pdf

USI CORPORATION

Financial Statements and Independent Auditors' Report For the Years Ended December 31, 2021 and 2020

§Table of Content§

Independent Auditors' Report

TO USI Corporation

Audit opinion

Basis for audit opinion

Key audit matters

Authenticity of specific sales revenue

Responsibilities of management and governance for the Parent Company Only Financial Statements

Auditors’ responsibilities for the audit of the Parent Company Only Financial Statements

Notice to Readers

USI Corporation

Parent Company Only Balance Sheet

USI Corporation

Parent Company Only Statement of Comprehensive Income

For the Years Ended December 31, 2021 and 2020

(Continued)

USI Corporation

Parent Company Only Statement of Changes in Equity

USI Corporation

Parent Company Only Statement of Cash Flow

For the Years Ended December 31, 2021 and 2020

(Continued)

USI CORPORATION

NOTES TO THE ACCOMPANYING FINANCIAL STATEMENTS

1. GENERAL INFORMATION

2. APPROVAL OF FINANCIAL STATEMENTS

3. APPLICATION OF NEW, AMENDED AND REVISED STANDARDS AND INTERPRETATIONS

4. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

5. CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF ESTIMATION

UNCERTAINTY

ESTIMATE OF COMPENSATION FOR THE SUBSIDIARY'S GAS EXPLOSION INCIDENT

6. CASH AND CASH EQUIVALENTS

7. FINANCIAL INSTRUMENTS AT FAIR VALUE THROUGH PROFIT OR LOSS -

CURRENT

8.

FINANCIAL ASSETS MEASURED AT AMORTIZED COST

10. NOTES RECEIVABLE, ACCOUNTS RECEIVABLE AND OTHER RECEIVABLES

Based on the number of days past due

December 31, 2020

c. Other receivables - loans receivable

11. INVENTORIES

12. INVESTMENTS ACCOUNTED FOR USING EQUITY METHOD

13. PROPERTY, PLANT AND EQUIPMENT-FOR SELF-USE

14. LEASE ARRANGEMENTS

a. Right-of-use assets

b. Lease liabilities

c. Material lease-in activities and terms

15. INVESTMENT PROPERTIES

17. BORROWINGS

18. BONDS PAYABLE

19. ACCOUNTS PAYABLE

20. OTHER PAYABLES

21. RETIREMENT BENEFIT PLANS

a. Defined contribution plans

a. Share capital

2) Unrealized gain (loss) on financial assets at FVTOCI

23. REVENUE

a. Contract balances

24. NET PROFIT FROM CONTINUING OPERATIONS

a. Interest income

c. Other gains and losses

f. Employee benefits expense

Accrual rates

25. INCOME TAX

d. Deferred income tax assets and liabilities

For the Year Ended December 31, 2021

e. Income tax assessments

26. EARNINGS PER SHARE

NET PROFIT FROM CONTINUING OPERATIONS

27. ACQUISITION OF INVESTMENTS IN SUBSIDIARIES - ACQUISITION OF CONTROL OF A BUSINESS

28. CASH FLOW INFORMATION

a. Non-cash transactions

29. CAPITAL MANAGEMENT

30.

December 31, 2021

USI Annual Report 2021