YP - Interim / Quarterly Report 2021

Stock Code: 2023

YIEH PHUI ENTERPRISE CO., LTD. AND SUBSIDIARIES CONSOLIDATED FINANCIAL STATEMENTS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2021 AND 2020 AND INDEPENDENT AUDITORS’ REVIEW REPORT

Address: No. 369, Yuliao Road, Qiaotou District, Kaohsiung City Tel: (07) 611-7181

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Item	Page
1. Cover	1
2. Table of Contents	2
3. Independent Auditors’ Review Report	3
4.Consolidated Balance Sheets	4
5.Consolidated Statements of Comprehensive Income	5
6.Consolidated Statements of Changes in Equity	6
7.Consolidated Statements of Cash Flows	7
8.Notes to Consolidated Financial Statements
(1) General Information	8
(2) The Authorization of the Consolidated Financial Statements	8
(3) Application of New and Amended Standards and Interpretations	8~11
(4) Summary of Significant Accounting Policies	11~17
(5) Critical Accounting Judgments, Estimates and Major Sources of Assumption Uncertainty	17
(6) Details of Significant Accounts	18~56
(7) Related Party Transactions	56~65
(8) Pledged Assets	65
(9) Significant Contingent Liabilities and Unrecognized Contract commitments	65~66
(10) Significant Disaster Loss	66
(11) Significant Subsequent Events	66
(12) Others	66~77
(13) Supplementary Disclosures	78
A. Significant transactions information	79~91
B. Information on investees	92~98
C. Information on investments in Mainland China	99~100
D. Major shareholders	101
(14)Segment information	102~104

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國富浩華聯合會計師事務所 Crowe (TW) CPAs 80250 高雄市苓雅區四維三路 6 號 27 樓之 1 27F-1., No.6, Siwei 3rd Rd., Lingya Dist., Kaohsiung City 80250, Taiwan Tel +886 7 3312133 Fax +886 7 3331710 www.crowe.tw

Independent Auditors’ Review Report

To the Board of Directors and Shareholders Yieh Phui Enterprise Co., Ltd.

Introduction

We have reviewed the accompanying consolidated balance sheets of Yieh Phui Enterprise Co., Ltd. and subsidiaries (the “Group”) as of September 30, 2021 and 2020, the related consolidated statements of comprehensive income for the three months and nine months ended September 30, 2021 and 2020, the consolidated statements of changes in equity and cash flows for the nine months ended September 30, 2021 and 2020, and notes to the consolidated financial statements, including a summary of significant accounting policies (together “the consolidated financial statements”). Management is responsible for the preparation and fair presentation of these consolidated financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and the International Accounting Standards 34, “Interim Financial Reporting” as endorsed and became effective by Financial Supervisory Commission (FCS) of the Republic of China. Our responsibility is to express a conclusion on these consolidated financial statements based on our reviews.

Scope of Review

Except as disclosed in basis for qualified conclusion paragraph, we conducted our reviews in accordance with Statement of Auditing Standards No. 65, “Review of Financial Information Performed by the Independent Auditor of the Entity” of the Republic of China. A review of consolidated financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with auditing standards generally accepted in the Republic of China and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

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Basis for Qualified Conclusion

As disclosed in Note 4.3 to the consolidated financial statements, the financial statements of non-significant subsidiaries were consolidated based on their unreviewed financial statements as of and for the same periods. These subsidiaries’ total assets amounted to $11,627,902 thousand and $9,428,908 thousand, representing 12.14% and 11.49% of the consolidated assets, and their total liabilities amounted to $5,515,145 thousand and $3,863,501 thousand, representing 8.64% and 7.03% of the consolidated liabilities as of September 30, 2021 and 2020, respectively. And their total comprehensive income (loss) amounted to $357,695 thousand, ($58,125) thousand, $514,289 thousand, and ($487,966) thousand, representing 21.02%, (4.97%), 12.36%, and 334.56% of the consolidated comprehensive income (loss) for the three months and nine months ended September 30, 2021 and 2020, respectively. In addition, as described in Note 6.11 to the consolidated financial statements, the financial statements of investments accounted for using equity method were not reviewed by independent accountants. The carrying values of these investments amounted to $15,804,454 thousand and $13,657,049 thousand, representing 16.50% and 16.65% of the consolidated assets as of September 30, 2021 and 2020, respectively, and share of profit (loss) of these associates accounted for using equity method amounted to $864,695 thousand, ($12,914) thousand, $1,276,741 thousand, and ($900,830) thousand, representing 39.97%, (1.04%), 24.96%, and (761.20%) of total consolidated income before income tax for the three months and nine months ended September 30, 2021 and 2020, respectively. In addition, share of other comprehensive income of these associates accounted for using equity method amounted to ($77,125) thousand, ($49,234) thousand, $256,270 thousand, and ($143,501) thousand, representing 60.85%, (79.40%), 612.40%, and 53.61% of total consolidated comprehensive income for the three months and nine months ended September 30, 2021 and 2020, respectively. These amounts were recognized solely based on these investees’ unreviewed financial statements for the same periods. The information related to above subsidiaries, and investees accounted for under the equity method disclosed in Note 13 was also not reviewed by independent accountants.

Qualified Conclusion

Based on our reviews, except for the effects of any adjustments as might have been determined to be necessary had the financial statements and related information of the Company’s non-significant subsidiaries and investees accounted for using equity method described in basis for qualified conclusion paragraph, nothing has come to our attention that causes us to believe that the accompanying consolidated financial statements do not present fairly, in all material respects, the consolidated financial position of the Group as of September 30, 2021 and 2020, its consolidated financial performance for the three months and nine months ended September 30, 2021 and 2020, and its consolidated cash flows for the nine months ended September 30, 2021 and 2020, in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34, “Interim Financial Reporting” as endorsed and became effective by the Financial Supervisory Commission (FSC) of the Republic of China.

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The engagement partners on the reviews resulting in this independent auditors’ review report are Ling Wen Huang and Shu Man Tsai.

Crowe (TW) CPAs Kaohsiung, Taiwan Republic of China

November 3, 2021

Notice to Readers

The accompanying consolidated financial statements are intended only to present the consolidated 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 review such consolidated financial statements are those generally applied in the Republic of China.

For the convenience of readers, the independent auditors’ review report and the accompanying consolidated 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 Chinese-language independent auditors’ review report and consolidated financial statements shall prevail.

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YIEH PHUI ENTERPRISE CO., LTD. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS

(The Consolidated Balance Sheets as of September 30, 2021 and 2020 Were Reviewed Only, Not Audited in Accordance with the Generally Accepted Auditing Standards in the Republic of China) (In Thousands of New Taiwan Dollars)

Assets	Note	September30,2021	September30,2021	December31,2020	December31,2020	September30,	2020
		Amount	％	Amount	％	Amount	％
CURRENT ASSETS Cash and cash equivalents Financial assets at fair value through profit or loss - current Contract assets - current Notes receivable, net Accounts receivable, net Accounts receivable - related parties, net Other receivables Other receivables - related parties Current tax assets Inventories Prepayments Noncurrent assets held for sale Other financial assets - current Total Current Assets NONCURRENT ASSETS Financial assets at fair value through profit or loss - noncurrent Financial assets at fair value through other comprehensive income or loss - noncurrent Investments accounted for using equity method Property, plant and equipment Right-of-use assets Investment properties Intangible assets Deferred tax assets Other noncurrent assets Refundable deposits Net defined benefit assets - noncurrent Other financial assets - noncurrent Total Noncurrent Assets TOTAL ASSETS	6(1) 6(2) 6(31) 6(3) 6(4) 7 6(5) 7 6(6) 6(7) 6(8) 6(9) 6(2) 6(10) 6(11) 6(12) 6(13) 6(14) 6(15) 6(16) 6(17) 8	$4,136,010 335,650 40,090 141,257 3,207,141 442,577 435,087 102,650 3,806 15,821,655 3,834,618 - 1,640,732	5 - - - 3 - - - - 17 4 - 2	$3,730,782 697,978 334,945 572,750 1,860,885 185,803 132,208 74,919 4,834 8,532,107 3,524,160 160,114 807,846	4 1 - 1 2 - - - - 11 4 - 1	$3,461,401 470,949 491,096 725,040 1,580,959 394,172 97,397 168,091 4,820 7,879,485 2,450,490 - 1,162,297	4 1 1 1 2 - - - - 10 3 - 1
		30,141,273	31	20,619,331	24	18,886,197	23
		- 722,098 15,804,454 46,628,003 480,441 56,959 372,143 871,517 24,250 192,085 13,159 497,055	- 1 16 49 1 - - 1 - - - 1	- 725,334 13,864,013 46,222,080 495,998 101,583 374,347 960,802 20,769 222,895 10,777 414,441	- 1 17 55 1 - - 1 - - - 1	282,231 763,065 13,657,049 44,800,164 494,470 260,040 384,067 1,079,114 10,536 891,060 3,768 528,236	- 1 17 55 1 - - 1 - 1 - 1
		65,662,164	69	63,413,039	76	63,153,800	77
		$95,803,437	100	$84,032,370	100	$82,039,997	100

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Liabilities and Equity	Note	September30,2021	September30,2021	December31,2020	December31,2020	September30,	2020
		Amount	％	Amount	％	Amount	％
CURRENT LIABILITIES Short-term loans Short-term notes and bills payable Financial liabilities at fair value through profit or loss - current Contract liabilities - current Notes payable Accounts payable Accounts payable - related parties Other payables Current tax liabilities Provisions - current Liabilities directly associated with noncurrent assets held for sale Lease liabilities - current Current portion of long-term loans Total Current Liabilities NONCURRENT LIABILITIES Long-term loans Deferred tax liabilities Lease liabilities - noncurrent Long-term deferred revenue Net defined benefit liability - noncurrent Guarantee deposits Total Noncurrent Liabilities TOTAL LIABILITIES EQUITY ATTRIBUTABLE TO OWNERS OF THE PARENT Share capital Common stock Capital surplus Retained earnings Legal reserve Special reserve Unappropriated earnings Other equity Total equity attributable to owners of the parent NON-CONTROLLING INTERESTS Total Equity TOTAL LIABILITIES AND EQUITY	6(18) 6(19) 6(2) 6(31) 7 6(20) 6(21) 6(8) 6(13) 6(22) 6(22) 6(13) 6(23) 6(25) 6(26) 6(27) 6(28) 6(30)	$17,463,220 1,357,925 - 2,440,401 1,433,776 1,203,723 317,814 1,896,284 455,869 97,911 - 7,457 5,278,942	20 1 - 3 1 1 - 2 - - - - 6	$14,925,307 1,289,365 14,495 2,119,604 469,760 986,007 9,907 1,753,874 14,393 93,802 70,070 8,419 5,322,794	17 2 - 3 1 1 - 2 - - - - 6	$14,299,731 1,231,412 3,662 1,209,438 552,196 986,510 31,118 1,179,681 24,220 94,152 - 8,170 5,256,665	18 2 - 1 1 1 - 1 - - - - 6
		31,953,322	34	27,077,797	32	24,876,955	30
		31,191,726 139,187 68,556 27,585 403,731 17,878	33 - - - - -	28,561,294 2,205 73,501 28,038 439,736 18,685	34 - - - 1 -	29,430,508 1,409 75,030 29,409 503,674 18,078	36 - - - 1 -
		31,848,663	33	29,123,459	35	30,058,108	37
		63,801,985	67	56,201,256	67	54,935,063	67
		18,905,695 4,929,007 2,882,426 706,593 4,080,253 (913,157)	20 5 3 1 4 (1)	18,905,695 4,929,007 2,866,052 559,232 163,734 (954,509)	22 6 3 1 - (1)	18,905,695 4,929,026 2,866,052 559,232 (313,845) (1,227,133)	22 6 3 1 - (1)
		30,590,817 1,410,635	32 1	26,469,211 1,361,903	31 2	25,719,027 1,385,907	31 2
		32,001,452	33	27,831,114	33	27,104,934	33
		$95,803,437	100	$84,032,370	100	$82,039,997	100

The accompanying notes are an integral part of the consolidated financial statements.

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YIEH PHUI ENTERPRISE CO., LTD. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Reviewed Only, Not Audited in Accordance with the Generally Accepted Auditing Standards in the Republic of China) (In Thousands of New Taiwan Dollars, Except Earnings Per Share)

Item	Note	Three Months Ended September 30	Three Months Ended September 30	Three Months Ended September 30	Nine Months Ended September 30	Nine Months Ended September 30	Nine Months Ended September 30
		2021		2020	2021		2020
		Amount	%	Amount % $13,769,875 100 (12,561,347) (91) 1,208,528 9 (438,681) (3) (207,336) (2) (23,276) - (59) - (669,352) (5) 539,176 4 3,759 - 187,149 1 809,110 6 (282,465) (2) (12,914) - 704,639 5 1,243,815 9 (136,539) (1) 1,107,276 8 19,569 - (1,260) - 121,834 - (47,974) - (30,164) - 62,005 - $1,169,281 8 $1,147,051 8 (39,775) - $1,107,276 8 $1,218,071 8 (48,790) - $1,169,281 8 $0.61 $0.61	Amount	%	Amount % $39,133,719 100 (36,226,024) (93) 2,907,695 7 (1,571,107) (4) (654,984) (2) (66,509) - (62) - (2,292,662) (6) 615,033 1 28,805 - 448,719 1 809,916 2 (883,300) (2) (900,830) (2) (496,690) (1) 118,343 - 3,463 - 121,806 - (5,440) - (44,213) - (131,727) - (99,288) - 13,007 (1) (267,661) (1) ($145,855) (1) $306,006 - (184,200) - $121,806 - $57,044 - (202,899) (1) ($145,855) (1) $0.16 $0.16
OPERATING REVENUE OPERATING COST GROSS PROFIT OPERATING EXPENSES Selling and marketing expenses General and administrative expenses Research and development expenses Expected credit gain (loss) Total operating expenses INCOME (LOSS) FROM OPERATIONS NON-OPERATING INCOME AND EXPENSES Interest income Other income Other gains and losses Finance costs Share of profit (loss) of associates and joint ventures Total non-operating income and expenses INCOME (LOSS) BEFORE INCOME TAX INCOME TAX (EXPENSE) BENEFIT NET INCOME (LOSS) OTHER COMPREHENSIVE INCOME (LOSS) Items that will not be reclassified subsequently to profit or loss: Unrealized gain (loss) on investments in equity instruments designated as at fair value through other comprehensive income Share of other comprehensive income (loss) of associates and joint ventures Items that may be reclassified subsequently to profit or loss: Exchange differences on translating foreign operations Share of other comprehensive income (loss) of associates and joint ventures Income tax benefit (expense) related to items that may be reclassified subsequently to profit or loss Total other comprehensive income (loss), net of income tax TOTAL COMPREHENSIVE INCOME (LOSS) NET INCOME (LOSS) ATTRIBUTABLE TO: Shareholders of the parent Non-controlling interests Total TOTAL COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO: Shareholders of the parent Non-controlling interests Total EARNINGS (LOSS) PER SHARE Basic earnings (loss) per share Diluted earnings (loss) per share	6(31) 6(6) 6(33) 6(34) 6(35) 6(36) 6(37) 6(38) 6(39) 6(39)	$24,367,250 (21,134,229)	100 (87)		$66,187,094 (58,233,757)	100 (88)
		3,233,021 (1,206,728) (495,294) (25,905) 5	13 (5) (2) - -		7,953,337 (2,721,138) (1,160,562) (76,127) (3)	12 (4) (2) - -
		(1,727,922)	(7)		(3,957,830)	(6)
		1,505,099	6		3,995,507	6
		3,340 38,483 109,664 (358,010) 864,695	- - - (1) 4		10,593 152,827 657,169 (977,320) 1,276,741	- - 1 (1) 2
		658,172	3		1,120,010	2
		2,163,271 (334,731)	9 (1)		5,115,517 (997,079)	8 (2)
		1,828,540	8		4,118,438	6
		46,304 (76,293) (100,803) (832) 4,882	(1) - - - -		27,535 331,694 (276,980) (75,424) 35,022	- - - - -
		(126,742)	(1)		41,847	-
		$1,701,798	7		$4,160,285	6
		$1,815,285 13,255	8 -		$4,088,689 29,749	6 -
		$1,828,540	8		$4,118,438	6
		$1,683,114 18,684	7 -		$4,131,466 28,819	6 -
		$1,701,798	7		$4,160,285	6
		$0.96			$2.16
		$0.96			$2.16

The accompanying notes are an integral part of the consolidated financial statements.

－－ 5

YIEH PHUI ENTERPRISE CO., LTD. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

(Reviewed Only, Not Audited in Accordance with the Generally Accepted Auditing Standards in the Republic of China)

(In Thousands of New Taiwan Dollars)

Common Stock	Capital Surplus		Retained Earnings			Other EquityItem		TreasuryStock	Total Equity Attributable to Shareholders of theparent	Non-controlling Interests	Total Equity
		Legal Reserve	Special Reserve	Unappropriated Earnings	Exchange Differences on Translating Foreign Operations	Unrealized Gain (Loss) on Financial Assets at Fair Value Through Other Comprehensive Income	Gain (Loss) on Hedging Instruments
	$4,884,281 - - -	$2,866,052 - - -	$559,232 - - -	($614,438) (1,309) 306,006 -	($1,090,046) - - (200,147)	$105,537 - - (48,791)	$6,338 - - (24)	$ - - - -	$25,850,231 (1,309) (306,006) (248,962)	$1,599,689 - (184,200) (18,699)	$27,449,920 (1,309) 121,806 (267,661)
-	-	-	-	306,006	(200,147)	(48,791)	(24)	-	57,044	(202,899)	(145,855)
- (227,580) - - -	- 42,373 2,372 - -	- - - - -	- - - - -	- - - (4,104) -	- - - - -	- - - - -	- - - - -	(185,207) 185,207 - - -	(185,207) - 2,372 (4,104) -	- - (2,372) 4,104 (12,615)	(185,207) - - - (12,615)
$18,905,695	$4,929,026	$2,866,052	$559,232	($313,845)	($1,290,193)	$56,746	$6,314	$-	$25,719,027	$1,385,907	$27,104,934
$18,905,695 - - - - -	$4,929,007 - - - - -	$2,866,052 16,374 - - - -	$559,232 - 147,361 - - -	$163,734 (16,374) (147,361) 45 4,088,689 -	($1,187,536) - - - - (315,274)	$226,643 - - - - 358,101	$6,384 - - - - (50)	$ - - - - - -	$26,469,211 - - 45 4,088,689 42,777	$1,361,903 - - 10 29,749 (930)	$27,831,114 - - 55 4,118,438 41,847
-	-	-	-	4,088,689	(315,274)	358,101	(50)	-	4,131,466	28,819	4,160,285
- - -	- - -	- - -	- - -	(9,905) - 1,425	- - -	- - (1,425)	- - -	- - -	(9,905) - -	9,905 9,998 -	- 9,998 -
$18,905,695	$4,929,007	$2,882,426	$706,593	$4,080,253	($1,502,810)	$583,319	$6,334	$-	$30,590,817	$1,410,635	$32,001,452

The accompanying notes are an integral part of the consolidated financial statements.

－－ 6

YIEH PHUI ENTERPRISE CO., LTD. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS

(Reviewed Only, Not Audited in Accordance with the Generally Accepted Auditing Standards in the Republic of China)

(In Thousands of New Taiwan Dollars)

(In Thousands of New Taiwan Dollars)
Item	Nine Months Ended September 30 2021 2020 $5,115,517 $118,343 1,453,864 1,231,747 27,762 25,827 3 62 (17,159) 5,738 977,320 883,300 (10,593) (28,805) (15,729) (30,381) (1,276,741) 900,830 2,781 10,542 6,401 6,521 (10,140) (751,900) (539,330) (49,270) (163) (524) 598,276 2,203,687 (14,721) (38,598) 295,700 331,734 431,555 120,136 (1,346,191) 102,987 (257,732) 395,047 (331,576) (62,854) (7,289,548) (129,901) (325,558) (515,043) (66,604) (42,952) (2,382) (3,768) (8,907,057) 156,788 320,797 236,651 964,016 (247,769) 525,623 (171,199) 271,888 (291,871) 4,109 3,346 - (72) (36,005) (47,103) 2,050,428 (518,017) (6,856,629) (361,229)
		2020
1.CASH FLOWS FROM OPERATING ACTIVITIES Income (loss) before income tax Adjustments to reconcile profit (loss) Depreciation Amortization Expected credit gain (loss) Net loss (gain) on financial assets and liabilities at fair value through profit or loss Interest expense Interest income Dividend income Share of (gain) loss of associates and joint ventures Loss (gain) on disposal and retirement of property, plant and equipment Transfer of property, plant and equipment to expenses Loss (gain) on disposal of investment properties Loss (gain) on disposal of noncurrent assets held for sale Others Total adjustments to reconcile profit (loss) Changes in operating assets and liabilities Net changes in operating assets: Decrease (increase) in financial assets at fair value through profit or loss Decrease (increase) in contract assets Decrease (increase) in notes receivable Decrease (increase) in accounts receivables Decrease (increase) in accounts receivables - related parties Decrease (increase) in other receivables Decrease (increase) in inventories Decrease (increase) in prepayments Decrease (increase) in other financial assets Decrease (increase) in other operating assets Total net changes in operating assets Net changes in operating liabilities: Increase (decrease) in contract liabilities Increase (decrease) in notes payable Increase (decrease) in accounts payable Increase (decrease) in other payables Increase (decrease) in provisions Increase (decrease) in advance receipts Increase (decrease) in net defined benefit liability Total net changes in operating liabilities Total net changes in operating assets and liabilities	$5,115,517 1,453,864 27,762 3 (17,159) 977,320 (10,593) (15,729) (1,276,741) 2,781 6,401 (10,140) (539,330) (163)	$118,343 1,231,747 25,827 62 5,738 883,300 (28,805) (30,381) 900,830 10,542 6,521 (751,900) (49,270) (524)
	598,276	2,203,687
	(14,721) 295,700 431,555 (1,346,191) (257,732) (331,576) (7,289,548) (325,558) (66,604) (2,382)	(38,598) 331,734 120,136 102,987 395,047 (62,854) (129,901) (515,043) (42,952) (3,768)
	(8,907,057)	156,788
	320,797 964,016 525,623 271,888 4,109 - (36,005)	236,651 (247,769) (171,199) (291,871) 3,346 (72) (47,103)
	2,050,428	(518,017)
	(6,856,629)	(361,229)

－－ 7

Item	Nine Months Ended September 30	Nine Months Ended September 30
	2021	2020
Total adjustments Cash generated from (used in) operations Interest received Dividends received Interest paid Income tax paid Net cash generated from (used in) operating activities 2.CASH FLOWS FROM INVESTING ACTIVITIES Acquisition of financial assets measured at fair value through other comprehensive income and loss Proceeds from disposal of financial assets measured at fair value through other comprehensive income and loss Proceeds from capital reduction of financial assets at fair value through other comprehensive income Acquisition of investments accounted for using equity method Proceeds from capital reduction of investees accounted for using equity method Proceeds from disposal of noncurrent assets held for sale Acquisition of property, plant and equipment Proceeds from disposal of property, plant and equipment Decrease in refundable deposits Acquisition of intangible assets Acquisition of right-of-use assets Acquisition of investment properties Proceeds from disposal of investment properties Increase in other financial assets Decrease in other financial assets Increase in other non-current assets Decrease in other non-current assets Net cash generated from (used in) investing activities 3.CASH FLOWS FROM FINANCING ACTIVITIES Increase in short-term loans Decrease in short-term loans Increase in short-term bills payable Increase in long-term loans Repayment of long-term loans Increase in guarantee deposits received Decrease in guarantee deposits received Repayments of principal of lease liabilities Decrease in other noncurrent liabilities Payments for buy-back of treasury shares Increase (decrease) in non-controlling interests Net cash generated from (used in) financing activities 4.EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS 5.NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 6.CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD 7.CASH AND CASH EQUIVALENTS AT END OF PERIOD	(6,258,353)	1,842,458
	(1,142,836) 11,559 15,729 (978,970) (294,636)	1,960,801 34,896 30,351 (884,276) (53,458)
	(2,389,154)	1,088,314
	- 29,925 847 (27,402) - 629,374 (2,283,800) 58,653 30,810 (25,558) - - 53,836 (848,896) - (3,481) -	(58,620) - - (42,297) 140 67,461 (3,230,441) 614 34,793 (6,898) (7,943) (19,376) 1,179,121 - 291,176 - 9,998
	(2,385,692)	(1,782,272)
	2,537,913 - 69,000 13,075,699 (10,471,820) - (807) (5,301) (453) - 9,998	- (1,298,015) 300,000 5,360,883 (5,049,933) 545 - (6,448) (168) (185,207) (12,615)
	5,214,229	(890,958)
	(34,155)	22,600
	405,228 3,730,782	(1,562,316) 5,023,717
	$4,136,010	$3,461,401

The accompanying notes are an integral part of the consolidated financial statements.

－－ 7-1

YIEH PHUI ENTERPRISE CO., LTD. AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2021 AND 2020

(Amounts In Thousands of New Taiwan Dollars, Unless specified Otherwise) (Reviewed, Not Audited)

1. GENERAL INFORMATION

1.1 Yieh Phui Enterprise Co., Ltd. (hereinafter referred to as the Company) was established in April 1978, currently a listed company in Taiwan Stock Exchange. The Company engages mainly in the processing, manufacturing marketing and import/export trading of rolled steel coils, refined steel, molded steel, steel/iron wires, galvanized/prepainted/surface-treated metals.
1.2 The Company’s Board of Directors resolved on May 23, 2005 to merge (simplified merger) with Lien Kang Heavy Industrial Co., Ltd, with the Company as the surviving company. The record date of the merger was set on August 30, 2005. Every 2.5 common shares of Lien Kang Heavy Industrial Co., Ltd. were converted into 1 common share of the Company. The Company issued additional 4,859 thousand common shares for this merger. Rights and obligations of holders of the newly issued shares were the same as those of the Company’s original shareholders.
1.3 Lien Kang Heavy Industrial Co., Ltd., incorporated on November 23, 1989, mainly engages in manufacturing, processing, and trading of the various mechanical spare parts, as well as pipe installation and engineering design/manufacture/installation.
1.4 The Company's steel pipe department, due to its business expansion, was separated from the Company, and was named as Shin Yang Steel Co., Ltd. Relevant investment on this was approved by the Board of Directors on January 18th, 2011, and a total of 191 employees were transferred to Shin Yang Steel Co., Ltd.
1.5 For main operation activities of the Company and its subsidiaries (hereinafter referred to as “the Group”), please refer to Note 4.3.(2).
1.6 These consolidated financial statements are presented in the Company’s functional currency, New Taiwan Dollars.

2. THE AUTHORIZATION OF THE CONSOLIDATED FINANCIAL STATEMENTS

The accompanying consolidated financial statements were reported to the Board of Directors and approved for issue on November 3, 2021.

3. APPLICATION OF NEW AND AMENDED STANDARDS AND INTERPRETATIONS

(1) Initial application of the amendments to 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):
- New standards, interpretations and amendments endorsed by the FSC and effective from 2021 are as follows:

－－ 8

New, Amended or Revised Standards and Interpretations (the “New IFRSs”)[Effective Date Announced ] by IASB Amendments to IFRS 4 “Extension of the Temporary June 25, 2020 (Effective Exemption from IFRS 9” from issue date) Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and January 1, 2021 IFRS 16 “Interest Rate Benchmark Reform - Phase 2” Amendments to IFRS 16 “Leases regarding COVID-19 April 1, 2021 (Note) related rent concessions after June 30, 2021”

(Note) Earlier application from January 1, 2021 is allowed by the FSC.

Base on the Group’s assessment, the above standards and interpretations have no significant effect on the Group’s financial position and financial performance.

(2) The IFRSs issued by International Accounting Standards Board (IASB) and endorsed by FSC:

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

by FSC: New standards, interpretations and amendments endorsed from 2022 are as follows:	by the FSC and effective
New IFRSs Amendments to IAS 16 “Property, Plant and Equipment: Proceeds Before Intended Use” Amendments to IAS 37 “Onerous Contract - Cost of Fulfilling a Contract” Amendments to IFRS 3 “Reference to the Conceptual Framework” Annual Improvements to IFRSs 2018-2020	Effective Date Announced by IASB (Note 1)
	January 1, 2022 (Note 2) January 1, 2022 (Note 3) January 1, 2022 (Note 4) January 1, 2022 (Note 5)

Note 1: Unless stated otherwise, the New IFRSs above are effective for annual periods beginning on or after their respective effective dates.
Note 2: An entity shall apply those amendments retrospectively, but only to items of 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 the beginning of the earliest period presented, January 1, 2021, in the financial statements in which the entity first applies the amendments.
Note 3: An entity shall apply these amendments to contracts for which it has not yet fulfilled all its obligations on January 1, 2022.
Note 4: These amendments apply to business combinations whose acquisition date occur during the annual reporting periods beginning on or after January 1, 2022.
Note 5: The amendments to IFRS 9 apply to financial liabilities that are modified or exchanged during the annual reporting periods beginning on or after January 1, 2022. The amendments to IAS 41 apply to fair value measurement on or after the beginning of the first annual reporting periods beginning on or after January 1, 2022. The amendments to IFRS 1 apply to the annual reporting periods beginning on or after January 1, 2022.

－－ 9

A. Amendments to IAS 16 “Property, Plant and Equipment: Proceeds before Intended Use”
These amendments set out that proceeds from selling items produced while bringing an item of property, plant and equipment to the location and condition necessary for them to be capable of operating in the manner intended by management shall not be recognized as a deduction of the asset. Instead, the proceeds and the costs of those items, measured in accordance with IAS 2, shall be recognized in profit or loss in accordance with applicable IFRS Standards. In addition, the amendment also clarified that the normal operating cost of a test asset refers to the expenditure for assessing whether the technology and physical properties of the asset are sufficient to be used to produce or provide goods or services, lease to others, or for management purposes.
The Group shall apply these amendments retrospectively, but only to items of 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 the beginning of the earliest period presented in the financial statements in which the Group first applies the amendments. The cumulative effect of initially applying the amendments shall be recognized as an adjustment to the opening balance of retained earnings (or other component of equity, as appropriate) at the beginning of that earliest period presented with comparative information restated.
B. Amendments to IAS 37 “Onerous Contracts - Cost of Fulfilling a Contract” The amendments set out that, when determining whether a contract is onerous, the cost of fulfilling a contract comprises (a) the incremental costs of fulfilling that contract (for example, direct labor and materials); and (b) an allocation of other costs that relate directly to fulfilling contracts (for example, an allocation of the depreciation charge for an item of property, plant and equipment used in fulfilling that contract among others).
C. Amendments to IFRS 3 “Reference to the Conceptual Framework”
The amendments update a reference to the Framework in IFRS 3 and require the acquirer shall apply IFRIC 21 for a levy that would be within the scope of IFRIC 21 to determine whether the obligating event that gives rise to a liability to pay the levy has occurred by the acquisition date.
D. Annual Improvement to IFRSs 2018-2020
The annual improvements amend several Standards. Among which, the amendment to IFRS 9 clarifies that, in determining whether an exchange or modification of the terms of a financial liability is substantially different from the original one, only fees paid or received between the Group (the borrower) and the lender, including fees paid or received by either the Group or the lender on the other’s behalf, shall be included in the ‘10 percent’ test of discounting present value of the cash flows under the new terms.

Base on the Group’s assessment, the above standards and interpretations have no significant effect on the Group’s financial position and financial performance.

－－ 10

(3) The IFRSs issued by IASB but not yet endorsed and issued into effect by FSC Effective Date New IFRSs Announced by IASB Amendments to IFRS 10 and IAS 28 “Sale or Contribution To be determined by of Assets between an Investor and its Associate or Joint IASB Venture” IFRS 17 “Insurance Contracts” January 1, 2023 Amendments to IFRS 17 January 1, 2023 Amendments to IAS 1 “Classification of Liabilities as January 1, 2023 Current or Noncurrent” Amendments to IAS 1 “Disclosure of Accounting Policies” January 1, 2023 Amendments to IAS 8 “Definition of Accounting January 1, 2023 Estimates” Amendment to IAS 12 “Deferred Tax Related to Assets and January 1, 2023 Liabilities Arising from a Single Transaction”

As of the date the accompany consolidated financial statements are authorized for issue, the Group is still evaluating the impact on its financial position and financial performance as a result of the initial adoption of the aforementioned standards or interpretations. The related impact will be disclosed when the Group completes the evaluation.

4. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Except for the following, the accounting policies applied in these consolidated financial statements are consistent with those applied in the consolidated financial statements for the year ended December 31, 2020. These policies have been consistently applied to all the periods presented, unless otherwise stated.

4.1 Statement of Compliance

The accompanying consolidated financial statements have been prepared in conformity with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and IAS 34, “Interim Financial Reporting,” endorsed and issued into effect by the FSC. The consolidated financial statements should be read with the consolidated financial statements for the year ended December 31, 2020.

4.2 Basis of Preparation

(1) Except for the following items, the consolidated financial statements have been prepared under the historical cost convention:
A. Financial assets and financial liabilities at fair value through profit or loss (including derivative instruments).
B. Financial assets measured at fair value through other comprehensive income.
C. Liabilities on cash-settled share-based payment arrangements measured at fair value.
D. Defined benefit liabilities recognized based on the net amount of pension fund assets less present value of defined benefit obligation.
(2) The preparation of the consolidated financial statements in conformity with the IFRSs requires the use of certain critical accounting estimates. It also requires management to exercise its judgment in the process of applying the Group’s accounting policies. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to the consolidated financial statements are disclosed in Note 5.

－－ 11

4.3 Basis of Consolidation

(1) The basis for the consolidated financial statements:
A. All subsidiaries are included in the Group’s consolidated financial statements. Subsidiaries are all entities (including structured entities) controlled by the Group. The Group controls an entity when the Group is exposed, or has rights, to variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. Consolidation of subsidiaries begins from the date the Group obtains control of the subsidiaries and ceases when the Group loses control of the subsidiaries.
B. Inter-company transactions, balances and unrealized gains or losses on transactions between companies within the Group are eliminated. Accounting policies of subsidiaries have been adjusted where necessary to ensure consistency with the policies adopted by the Group.
C. Profit or loss and each component of other comprehensive income are attributed to the owners of the parent and to the non-controlling interests. Total comprehensive income is attributed to the owners of the parent and to the noncontrolling interests even if this results in the non-controlling interests having a deficit balance.
D. Changes in a parent’s ownership interest in a subsidiary that do not result in the parent losing control of the subsidiary (transactions with non-controlling interests) are accounted for as equity transactions, i.e. transactions with owners in their capacity as owners. Any difference between the amount by which the non-controlling interests are adjusted and the fair value of the consideration paid or received is recognized directly in equity.
E. When the Group loses control of a subsidiary, the Group remeasures any investment retained in the former subsidiary at its fair value. That fair value is regarded as the fair value on initial recognition of a financial asset or the cost on initial recognition of the associate or joint venture. Any difference between fair value and carrying amount is recognized in profit or loss. All amounts previously recognized in other comprehensive income in relation to the subsidiary are reclassified to profit or loss or transferred directly to retained earnings as appropriate, on the same basis as would be required if the related assets or liabilities were disposed of. That is, when the Group loses control of a subsidiary, all gains or losses previously recognized in other comprehensive income in relation to the subsidiary should be reclassified from equity to profit or loss, if such gains or losses would be reclassified to profit or loss when the related assets or liabilities are disposed of.

(2) The subsidiaries in the consolidated financial statements:

Investee / Subsidiary	Main Businesses	Percentage ofOwnership	Percentage ofOwnership	Percentage ofOwnership
		September30,2021	December31,2020 100.00% 100.00% 100.00% 57.41%	September30,2020
		100.00% 100.00% 100.00% 57.41%		100.00% 100.00% 100.00% 57.41%

－－ 12

		Percentage ofOwnership	Percentage ofOwnership
Investee / Subsidiary	Main Businesses	September30,2021 December31,2020 September30,2020
Great Emperor Hotel	Hotel industry	58.17%	54.55%	46.43%
Co., Ltd.
Kings Garden	Leasing, sales, and	54.89%	50.12%	50.12%
International Co., Ltd.	development of
	residential and
	commercial buildings,
	department stores
Shin Phui Steel	Trading of steel	100.00%	100.00%	100.00%
Corporation	products
Worthing Honor	Investment	100.00%	100.00%	100.00%
Holdings Ltd.
Sin Bang Investment &	Investment	100.00%	100.00%	100.00%
Development Co., Ltd.
Gen-Wan Technology	Telecommunication	86.99%	86.99%	86.99%
Corp
Champion Logistic Inc.	Investment	-	89.66%	89.66%
		(Please refer to Note 4.3. (2) (A) for details)
EMMT Systems	Manufacturing and	78.51%	78.51%	78.51%
Corporation	marketing of military
	specification printed
	circuit boards
Kuo Chang Enterprise	Wholesale of	99.04%	99.04%	99.04%
Co., Ltd.	hardware
United Brightening	Technical consultation	95.56%	95.56%	95.56%
Development Corp.	for steel products
Hong Yuh Assets	Management service	80.00%	80.00%	80.00%
Management Co., Ltd.
Lian So (H.K) Co.,	Investment	80.00%	80.00%	80.00%
Limited
Yieh Phui America Inc.	Steel trading	100.00%	100.00%	100.00%
2. Hong Yuh Assets Management Co., Ltd.
Lien-Hsin Steel Co.,	Metal manufacturing	49.36%	47.88%	47.88%
Ltd.	industry
Lien-Sheng steel Co.,	Metal manufacturing	10.00%	10.00%	10.00%
Ltd.	industry
Lien-Heng Mining	Nickle mining	75.00%	75.00%	75.00%
Co., Ltd.
Lien-Hung Mining	Nickle mining	19.00%	19.00%	19.00%
Co., Ltd.
Asiamax Mining	Nickle mining	100.00%	100.00%	100.00%
Indonesia
3. Gen-Wan Technology Corp.
EMMT Systems	Manufacturing and	7.48%	7.48%	7.48%
Corporation	marketing of military
	specification printed
	circuit boards
4. Yieh Phui (Hong Kong) Holdings Limited
Yieh Phui (China)	Manufacturing and	100.00%	100.00%	100.00%
Technomaterial Co.,	marketing of pickled,
Ltd.	cold rolled,
	galvanized and
	prepainted steel coils
5. Yieh Phui (China) Technomaterial Co., Ltd.
Tianjin Lianfa	Manufacturing and	100.00%	100.00%	100.00%
Precision	marketing of special
Steel Corporation	high grade alloy

－－ 13

		Percentage ofOwnership	Percentage ofOwnership
Investee / Subsidiary	Main Businesses	September30,2021 December31,2020 September30,2020
Changshou ChangHuei	Trading of steel	100.00%	100.00%	100.00%
Trading Co.	products
6. EMMT Systems Corporation
Applied Wireless	RFID	91.47%	91.47%	91.47%
Identifications Group,
Inc.
Groupco Technology	Radio	49.97%	49.97%	49.97%
Inc.
7. Applied Wireless Identifications Group, Inc.
AWID Asia Co., Ltd.	Telecommunications	100.00%	100.00%	100.00%
	equipment wholesale
8. AWID Asia Co., Ltd.
AWID Shanghai Co.,	Telecommunications	-	-	-
Ltd.	equipment
	wholesaling
		(Please refer to Note 4.3. (2) (A) for details)
AWID Changshou Co.,	Telecommunications	-	100.00%	100.00%
Ltd.	equipment
	wholesaling
		(Please refer to Note 4.3. (2) (A) for details)
9. Shin Phui Steel Corporation
Groupco Technology	Radio	42.53%	42.53%	42.53%
Great Emperor Hotel	Hotel industry	0.01%	0.01%	0.01%
Co., Ltd.
Kings Garden	Leasing, sales, and	0.01%	0.01%	0.01%
International Co., Ltd.	development of
	residential and
	commercial buildings,
	and department stores
10. Yieh Hsing Enterprise	Co., Ltd.
Great Emperor Hotel	Hotel industry	41.82%	45.44%	53.56%
Co., Ltd.
Kings Garden	Leasing, sales, and	45.10%	49.87%	49.87%
International Co.,	development of
Ltd.	residential and
	commercial buildings,
	department stores
11. Kings Garden International Co., Ltd.
Yi Hua International	Leasing, selling and	70.00%	70.00%	70.00%
Co., Ltd.	development of
	residential and
	commercial buildings
Hua Li International	Wholesale of daily	100.00%	100%	100.00%
Co., Ltd.	necessities and
	cosmetics
12. United Brightening Development Corp.
Chao Ying	Investment	100.00%	100.00%	100.00%
Investment
Development Co.,
Ltd.
Champion Logistic	Investment	-	10.34%	10.34%
Inc.

(Please refer to Note 4.3. (2) (A) for details)

－－ 14

Investee / Subsidiary	Main Businesses	P	ercentage ofOwnership	ercentage ofOwnership
		September30,2021	December31,2020 52.12% 90.00% 100.00% 25.00% 81.00%	September30,2020
		50.64% 90.00% 100.00% 25.00% 81.00%		52.12% 90.00% 100.00% 25.00% 81.00%

(Note): Due to legal restriction within the local jurisdiction, 25% shareholding of Lien-Heng Mining Co., Ltd. and 51% shareholding of Lien-Hung Mining Co., Ltd. are registered temporarily under the name of a third-party; in order that the rights be secured, the third-party has pledged all shares under his/her name to the Group through a contract agreement.
A. Increase and decrease in consolidated subsidiaries:
- CHAMPION LOGISTIC INC, AWID Changshou Co., Ltd. and AWID Shanghai Co., Ltd. had been liquidated in July 2021, June 2021, and July 2020, respectively.
B. Except for Yieh Hsing Enterprise Co., Ltd., Kings Garden International Co., Ltd., Great Emperor Hotel Co., Ltd., Yieh Phui (Hong Kong) Holdings Limited, and Yieh Phui (China) Technomaterial Co., Ltd., the financial statements of subsidiaries consolidated above were not reviewed.
(3) Subsidiaries not consolidated in the consolidated financial statements: None.
(4) Adjustments for subsidiaries with different accounting periods: None.
(5) Major restrictions:
As of September 30, 2021, December 31, 2020, and September 30, 2020, cash and bank deposits of $2,072,144 thousand, $2,242,530 thousand, and $1,759,743 thousand, respectively are deposited in China and subject to the local foreign exchange control. Such foreign exchange control restricts fund remitting out from China (except for regular dividends).
(6) Securities issued by the parent company and held by subsidiaries: None.
(7) Information about subsidiaries with significant non-controlling interests: September 30, 2021：

September 30, 2021：
Name of Subsidiary Yieh Hsing Enterprise Co., Ltd. Others Total	Shareholding % 42.59%	Non-controlling interests $1,002,799 407,836 $1,410,635	Net income (loss) attributable to Non- controlling interests
			$15,569 14,180
			$29,749

－－ 15

December 31, 2020：

December 31, 2020：
Name of Subsidiary Yieh Hsing Enterprise Co., Ltd. Others Total September 30, 2020： Name of Subsidiary Yieh Hsing Enterprise Co., Ltd. Others Total	Shareholding % 42.59% Shareholding % 42.59%	Non-controlling interests $977,330 384,573 $1,361,903 Non-controlling interests $997,436 388,471 $1,385,907	Net income (loss) attributable to Non- controlling interests
			($201,081) (16,569)
			($217,650)
			Net income (loss) attributable to Non- controlling interests
			($172,372) (11,828)
			($184,200)

A. Please refer to Table 10 and Table 11 in Note 13 for the main operation location and countries of registration of the subsidiaries listed above.
B. Summary of the financial information are as follows:
a. Balance Sheets:

Yieh HsingEnterprise Co.,Ltd. and its Subsidiaries	Yieh HsingEnterprise Co.,Ltd. and its Subsidiaries	Yieh HsingEnterprise Co.,Ltd. and its Subsidiaries
September 30,2021 $3,280,684 10,193,342 3,834,244 2,155,420 $7,484,362	December 31,2020 $2,457,761 10,481,456 2,929,969 2,584,687 $7,424,561	September 30,2020
		$2,927,345 16,957,762 3,332,828 9,505,825
		$7,046,454

b. Statements of Comprehensive Income：

b. Statements of Comprehensive Income：
Operating revenue Net income (loss) Other comprehensive income (loss) (net after tax) Total comprehensive income (loss) Total comprehensive income (loss) attributable to non-controlling interests Dividends paid to non-controlling interests	Yieh Hsing Enterprise Co., Ltd. and its Subsidiaries
	Three Months Ended September 30
	2021 $1,959,843 $10,498 (2,831) $7,667 $3,265 $ -	2020
		$1,336,288
		($99,417) (2,258)
		($101,675)
		($41,366)
		$ -

－－ 16

Yieh Hsing Enterprise Co., Ltd. and its Subsidiaries

Operating revenue Net income (loss) Other comprehensive income (loss) (net after tax) Total comprehensive income (loss) Total comprehensive income (loss) attributable to non-controlling interests Dividends paid to non-controlling interests

Yieh Hsing Enterprise Co., Ltd. and its Subsidiaries	Yieh Hsing Enterprise Co., Ltd. and its Subsidiaries
Nine Months Ended September 30
2021 $5,386,075 $36,557 (14) $36,543 $15,563 $ -	2020
	$4,122,990
	($414,947) (4,728)
	($419,675)
	($174,390)
	$ -

c. Statements of Cash Flows：

Net cash provided by (used in) operating activities Net cash provided by (used in) investing activities Net cash provided by (used in) financing activities Net increase (decrease) in cash and cash equivalents Cash and cash equivalents, beginning of the period Cash and cash equivalents, end of the period

Yieh Hsing Enterprise Co., Ltd. and its Subsidiaries	Yieh Hsing Enterprise Co., Ltd. and its Subsidiaries
Nine Months Ended September 30
2021 $130,408 (48,534) 79,678 161,552 208,795 $370,347	2020
	($423,318) (2,195,954) 2,469,418
	(149,854) 458,375
	$308,521

4.4 Retirement benefits

The pension cost for an interim period is calculated on a year-to-date basis by using the actuarially determined pension cost rate at the end of the prior financial year, adjusted for significant market fluctuations since that time and for significant plan amendments, settlements, or other significant one-off events.

4.5 Income taxes

Income tax expense represents the sum of current tax and deferred tax. Interim period income taxes are assessed on an annual basis and calculated by applying to an interim period’s pre-tax income the tax rate that would be applicable to expected total annual earnings. The effect of a change in tax rate resulting from a change in tax law is recognized consistently with the accounting for the transaction itself which gives rise to the tax consequence, and this is recognized in profit or loss, other comprehensive income or directly in equity in full in the period in which the change in tax rate occurs.

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

The same critical accounting judgments and key sources of estimates and uncertainty have been followed Note 5 in these consolidated financial statements as those applied in the preparation of the consolidated financial statements for the year ended December 31, 2020.

－－ 17

6. DETAILS OF SIGNIFICANT ACCOUNTS

Except for the following, please refer to Note 6 to the consolidated financial statements for the year ended December 31, 2020.

6.1 Cash and cash equivalents

Item Cash on hand Checking account Demand deposits Time deposits (with original maturities within three months) Total	September 30,2021 $10,956 851,618 3,186,386 87,050 $4,136,010	December 31,2020 September 30,2020 $7,995 $6,153 696,295 774,783 2,903,492 2,676,765 123,000 3,700 $3,730,782 $3,461,401

1.The financial institutions dealing with the Group are credit worthy, and the Group’s transactions with a number of financial institutions to diversify credit risk are unlikely to be expected to default.
2.The Group had no cash and cash equivalents pledged to others.

6 . 2 Financial assets at fair value through profit or loss

Item Financial assets - current: Non-derivative financial assets mandatorily measured at FVTPL Mutual funds Domestic unlisted preferred stocks Total Financial assets - noncurrent: Non-derivative financial assets mandatorily measured at FVTPL Domestic unlisted preferred stocks Financial liabilities - current: Derivatives Forward exchange contracts Exchange interest rate swap contracts Total	September 30, 2021 $51,003 284,647 $335,650 $ - $ - - $-	December 31, 2020 $35,327 662,651 $697,978 $ - $14,237 258 $14,495	September 30, 2020
			$91,586 379,363
			$470,949
			$282,231
			$3,118 544
			$3,662

1.The Group had no financial assets at fair value through profit or loss pledged to others.
2.Please refer to Note 12(3) for credit risk management and evaluation method.
3.The Group enters derivatives to hedge exchange rate risk of assets denominated in foreign currencies. However, as the Group does not plan on adopting hedge accounting, those contracts are accounted for as financial instruments at fair value through profit or loss upon initial recognition. Outstanding contracts are as follows:

－－ 18

A. Exchange interest rate swap contracts: September 30, 2021：None.

December 31, 2020： Nominal principal (thousand yuan) Contract period USD 10,000 April 22, 2020 to March 29, 2021 September 30, 2020： Nominal principal (thousand yuan) Contract period USD 10,000 April 22, 2020 to March 29, 2021 B. Forward foreign exchange contracts: September 30, 2021：None. December 31, 2020： Currency Contract Period EUR(BUY) RMB(SELL) April 3, 2020 to January 19, 2021 USD(BUY) RMB(SELL) July 6, 2020 to July 15, 2021 September 30, 2020： Currency Contract Period EUR(BUY) RMB(SELL) April 3, 2020 to January 19, 2021 USD(BUY) RMB(SELL) July 6, 2020 to July 15, 2021 6.3 Notes receivable, net Item September 30,2021 At amortized cost Notes receivable $141,304 Less: Loss allowance (47) Net $141,257	Interest rate paid 0.6% Interest rate paid 0.6% Execution Rate 7.6782-8.00 6.9998-7.11 Execution Rate 7.6782-8.00 6.9998-7.11 December 31,2020 $572,859 (109) $572,750	Charge variable interest rate
		LIBOR 3 months Charge variable interest rate
		LIBOR 3 months Contract Amount (in thousands)
		EUR 4,300 USD 10,000 Contract Amount (in thousands)
		EUR 4,300 USD 10,000 September 30,2020
		$725,192 (152)
		$725,040

As of September 30, 2021, December 31, 2020, and September 30, 2020, the Group pledged part of its notes receivable as collateral for its borrowings. Please refer to Note 8.
Please refer to Note 7.3.5 for accounts receivable with related parties.
Please refer to Note 6.4 for the relevant disclosure of loss allowance for notes receivable.

－－ 19

The Group has transferred the endorsement of the bank acceptance bills to the suppliers to pay the accounts payable and the endorsement was transferred to the bank for discounting. As the risks and rewards of the notes have been transferred, the Group has derecognized the bank acceptance bills and the corresponding accounts payable. The suppliers and the bank still have the right to request the Group to settle the payment if the outstanding bank acceptance notes are not fulfilled at the end of the period. Therefore, the Group continues to participate in the notes. The Group’s maximum loss of the continued involvement in the derecognized bank acceptance bills is the amount of bank acceptance bills that have been transferred but not yet matured. As of September 30, 2021, December 31, 2020, and September 30, 2020, the balances were RMB 385,428 thousand, RMB 337,290 thousand, and RMB 354,176 thousand, respectively. These notes will expire within 1~12 months after the balance sheet date. In consideration of the credit risk of the bank acceptance bills, the Group’s assessment of the fair value of its continuing involvement is not significant. The Group did not recognise any gains and losses on the transfer of the bank’s acceptance for the nine months ended September 30, 2021 and 2020.

6.4 Accounts receivable, net

Item At amortized cost Accounts receivable Less: Loss allowance Net	September 30,2021 $3,212,280 (5,139) $3,207,141	December 31,2020 $1,866,089 (5,204) $1,860,885	September 30,2020
			$1,603,829 (22,870)
			$1,580,959

A. The Group’s accounts receivables of sales of goods. The average credit period varies: 30~60 days for Carbon Steel Department, and interest-bearing deferred payment is allowed upon mutual agreement; 7~26 days for the sale of steel products; agreed days for the Engineering Department based on the contractual terms; and 60~90 days for other departments based on encounter parties’ industry characteristics, operation scale and profit status.
B. For the information about the Group’s accounts receivable pledged as collateral, please refer to Note 8 for details.
C. The Group factored part of its accounts receivables to banks without recourse. The Group had already transferred substantially all risks and rewards upon factoring the accounts receivables, which were thereby derecognized from the balance sheet. Please refer to Note 12(5) for related information.
D. The Group applies the simplified approach to provisions for expected credit losses prescribed by IFRS 9, which permits the use of a lifetime expected credit losses provision for trade receivables. The expected credit losses on trade receivables are estimated by reference to past account aging records of the debtor, an analysis of the debtor’s current financial position, industrial trend, which receivables are past due. As the Group’s historical credit losses experience does not show significantly different loss patterns for different customer segments, the provision for losses based on past due status of receivables is not further distinguished between the Group’s different customer base.

The Group writes off a trade receivable when there is information indicating that the debtor is in severe financial difficulty and there is no realistic prospect of recovery of the receivable. For trade receivables that have been written off, the Group

－－ 20

continues to engage in enforcement activity to attempt to recover the receivables which are due. Where recoveries are made, these are recognized in profit or loss. The Group measured the allowance for notes receivable and accounts receivable according to the preparation matrix (including related parties)：

September 30, 2021 Not past due December 31, 2020 Not past due September 30, 2020 Not past due Past due over 1 year Total	Expected credit loss rate 0%-0.5% Expected credit loss rate 0%-0.5% Expected credit loss rate 0%-0.5% 100%	Gross carrying amount $3,797,788 Gross carrying amount $2,625,420 Gross carrying amount $2,705,051 19,385 $2,724,436	Allowance for doubtful accounts (ECL) ($6,813) Allowance for doubtful accounts (ECL) ($5,982) Allowance for doubtful accounts (ECL) ($4,880) (19,385) ($24,265)	Amortized cost
				$3,790,975
				Amortized cost
				$2,619,438
				Amortized cost
				$2,700,171 -
				$2,700,171

Movements of the loss allowance for notes receivable and accounts receivable (including related parties) were as follows:

(including related parties) were as follows:
Beginning balance Add: Provision for impairment Less: Write-offs Impact of foreign exchange differences Ending balance	Nine Months Ended September 30
	2021 $5,982 848 - (17) $6,813	2020
		$24,640 287 (149) (513)
		$24,265

As of September 30, 2021, December 31, 2020, and September 30, 2020, the above provision had already taken into consideration of collateral or other credit enhancement. The other credit enhancement (e.g., banker’s acceptance and L/C) possessed by above receivables were $2,690,373 thousand, $1,947,012 thousand, and $1,873,274 thousand, respectively. Please refer to Note 12(3) for the relevant credit risk management and assessment.

6.5 Other receivables

Item Business tax refundable Purchase allowance receivable Proceeds receivable arising from sale of funds Others Total Less: Loss allowance Net	September 30,2021 $381,608 27,179 - 26,300 $435,087 - $435,087	December 31,2020 $114,141 - - 18,067 $132,208 - $132,208	September 30,2020 $60,221 - 7,027 30,149 $97,397 - $97,397

－－ 21

6.6 Inventories and operating cost

Item September 30, 2021 December 31, 2020 September 30, 2020

Steel Department and other Non-heavy Industry Department: Raw materials Supplies Work in progress Finished goods Process product By-products and scraps Subtotal Heavy Industry Department: Raw materials Supplies Subtotal Total	$7,241,158 445,298 1,982,452 5,783,345 23,505 224,964 15,700,722 113,497 7,436 120,933 $15,821,655	$3,687,518 427,679 1,019,422 3,118,889 - 176,022 8,429,530 99,571 3,006 102,577 $8,532,107	$3,276,934 423,008 1,180,576 2,703,831 - 241,285 7,825,634 50,292 3,559 53,851 $7,879,485

1.Inventory gains (losses) recognized as cost of sales were as follows:

1.Inventory gains (losses) recognized as cost of	sales were as follows:	sales were as follows:
Item Cost of inventories sold Construction cost Unallocated manufacturing overhead Purchase and construction contract loss (recovery gain) Inventory valuation loss and obsolescence loss (recovery gain) Impact of foreign exchange difference Total operating expenses Item Cost of inventories sold Construction cost Unallocated manufacturing overhead Purchase and construction contract loss (recovery gain) Inventory valuation loss and obsolescence loss (recovery gain) Impact of foreign exchange difference Total operating expenses	Three Months Ended September 30
	2021 2020 $21,018,303 $12,445,410 124,481 145,895 1,783 59,963 1,865 179 (12,527) (88,245) 324 (1,855) $21,134,229 $12,561,347 Nine Months Ended September 30	2020
		$12,445,410 145,895 59,963 179 (88,245) (1,855)
		$12,561,347
	2021 $57,773,842 413,686 62,102 139 (18,938) 2,926 $58,233,757	2020
		$35,459,406 767,581 168,101 3,130 (172,964) 770
		$36,226,024

2.The Group recognized inventory valuation loss (recovery gain) of ($12,527) thousand, ($88,245) thousand, ($18,938) thousand, and ($172,964) thousand for the three months and nine months ended September 30, 2021 and 2020, respectively,

－－ 22

due to inventory’s write-down to net realizable value, or the net realizable value of inventories recovered as a result of market stabilization that enabled the Group to raise prices on certain products.

3.The Group has no inventories pledged to others.

6.7 Prepayments

Item Prepaid material purchase Prepaid (overpaid) sales tax Prepaid insurance Supplies inventory Prepaid sea freight Prepaid syndicated loan arrangement fee Other prepayments Total	September 30,2021 $2,734,896 818,752 116,195 19,779 85,897 - 59,099 $3,834,618	December 31,2020 $2,688,591 661,438 74,113 2,011 26,479 15,100 56,428 $3,524,160	September 30,2020
			$1,628,157 643,831 109,224 - - - 69,278
			$2,450,490

1.Prepaid syndicated loan arrangement fee was paid to lead bank of syndicated loan. In December 2020, the Group entered a syndicated loan agreement with 9 joint lending banks including Megabank, with a credit line of $4.5 billion, the syndicated loan agreement was first actually drawn in January 2021 and the arrangement fee was transfer to long-term loans deductions.
Please refer to Note 7.3.7. for prepayments with related parties.

6.8 Noncurrent assets held for sale / Liabilities directly associated with noncurrent assets held for sale

assets held for sale
Item	September 30,2021 December 31,2020 September 30,2020
Noncurrent assets held for sale	$ -	$160,114	$-
Less：Accumulated impairment	-	-	-
Net	$ -	$160,114	$-
Liabilities directly associated with noncurrent assets held for sale	$ -	$70,070	$-

In December 2020, the Group entered into a contract to sell part of land in Pingnan Section, Fangliao Township, Pingtung County. The total contract price was $699,980 thousand, In January 2021, the ownership transfer was completed in accordance with the scheduled payment terms as stipulated in the contract.
Please refer to Note 8 for the information of noncurrent assets held for sale pledged as collateral.

6.9 Other financial assets - current

Item Time deposits over three months Pledged demand deposits Pledged time deposits Total	September 30,2021 $96,999 1,087,190 456,543 $1,640,732	December 31,2020 $30,395 644,677 132,774 $807,846	September 30,2020
			$69,633 623,349 469,315
			$1,162,297

－－ 23

6.10 Financial assets at fair value through other comprehensive income or loss - noncurrent

Item Equity instruments： Domestic listed stocks Domestic unlisted stocks Subtotal Valuation adjustment Total	September 30,2021 $45,000 558,248 603,248 118,850 $722,098	December 31,2020 September 30,2020 $45,000 $45,000 587,102 618,802 632,102 $663,802 93,232 99,263 $725,334 $763,065

The Group invests in domestic listed and unlisted stocks in accordance with its medium/long-term strategies and expects to make a profit through long-term investment. Management of the Group believes that it is not consistent with the afore mentioned long-term investment planning if the short-term fair value changes of such investment are presented in profit or loss. Therefore, the Group elects to designate such investment as to be measured at FVTOCI.
For related credit risk management and means of assessing, please refer to Note 12(3).
As of September 30, 2021, December 31, 2020, and September 30, 2020, the Group had no financial assets at FVTOCI pledged as collateral.

6.11 Investments accounted for using equity method

Investee Associates: Associates with significance: Eliter International Corp. E-Da Development Corp. Tangeng Iron Works Co., Ltd. Yieh United Steel Corp. Associates without significance Total	September 30,2021 $3,762,126 1,247,259 4,262,025 4,237,269 2,295,775 $15,804,454	December 31,2020 $3,515,714 1,351,328 3,910,332 3,131,828 1,954,811 $13,864,013	September 30,2020
			$3,473,104 1,361,812 3,915,955 3,104,042 1,802,136
			$13,657,049

1.Associates:

(1) Major associates of the Group were as follows:

CompanyName Eliter International Corp. E-Da Development Corp. Tangeng Iron Works Co., Ltd. Yieh United Steel Corp.	ShareholdingPercentage	ShareholdingPercentage	ShareholdingPercentage
	September 30,2021 43.56% 34.38% 31.16% 30.51%	December 31,2020 43.56% 34.38% 31.16% 30.51%	September 30,2020
			43.56% 34.38% 31.16% 30.51%

Please refer to Table 10 and Table 11 in Note 13 for the nature of business, main operation location and countries of registration of the associates listed above.

－－ 24

(2) The summarized financial information in respect of the Group’s major associates was as follows:

A. Balance Sheets

was as follows: A. Balance Sheets
Item Current assets Noncurrent assets Current liabilities Noncurrent liabilities Equity Share of net assets of associates Unrealized gain (loss) from transactions with associates Carrying amount of associate Item Current assets Noncurrent assets Current liabilities Noncurrent liabilities Equity Share of net assets of associates Unrealized gain (loss) from transactions with associates Carrying amount of associate Item Current assets Noncurrent assets Current liabilities Noncurrent liabilities Equity Share of net assets of associates Unrealized gain (loss) from transactions with associates Carrying amount of associate	Eliter International Corp.
	September 30,2021 December 31,2020 September 30,2020 $7,177,276 $7,219,188 $6,908,180 4,885,277 4,963,316 5,231,402 2,214,363 2,693,464 1,403,736 1,066,938 1,273,422 2,618,041 $8,781,252 $8,215,618 $8,117,805 $3,824,789 $3,578,420 $3,535,815 (62,663) (62,706) (62,711) $3,762,126 $3,515,714 $3,473,104 E-Da Development Corp.		September 30,2020
			$6,908,180 5,231,402 1,403,736 2,618,041
			$8,117,805
			$3,535,815 (62,711)
			$3,473,104
	September 30, 2021 December 31, 2020 September 30, 2020 $584,062 $605,393 $746,085 7,837,421 7,974,851 7,892,810 849,279 886,455 874,060 3,922,920 3,741,418 3,781,832 $3,649,284 $3,952,371 $3,983,003 $1,254,773 $1,358,987 $1,369,520 (7,514) (7,659) (7,708) $1,247,259 $1,351,328 $1,361,812 TangengIron Works Co.,Ltd.		September 30, 2020
			$746,085 7,892,810 874,060 3,781,832
			$3,983,003
			$1,369,520 (7,708)
			$1,361,812
	September 30,2021 $5,077,574 23,470,429 3,669,147 11,200,106 $13,678,750 $4,262,025 - $4,262,025	December 31,2020 $3,180,884 23,623,947 2,439,751 11,815,071 $12,550,009 $3,910,332 - $3,910,332	September 30,2020
			$3,091,746 23,609,754 2,268,376 11,865,069
			$12,568,055
			$3,915,955 -
			$3,915,955

－－ 25

Yieh United Steel Corp.	Yieh United Steel Corp.	Yieh United Steel Corp.
September 30,2021 $10,966,457 34,093,829 20,877,636 10,058,829 $14,123,821 $4,309,476 (72,207) $4,237,269	December 31,2020 $8,876,058 35,131,909 21,887,485 11,607,523 $10,512,959 $3,204,035 (72,207) $3,131,828	September 30,2020
		$7,678,342 35,263,203 20,294,124 12,237,628
		$10,409,793
		$3,176,249 (72,207)
		$3,104,042

B. Statements of Comprehensive Income

B. Statements of Comprehensive Income
	Eliter International Corp.
	ThreeMonthsEnded September30
	2021	2020
Operating revenue	$30,147	$24,892
Net income (loss)	(105,907)	19,744
Other comprehensive income (loss) (net after tax)	-	-
Total comprehensive income (loss)	$ (105,907)	$19,744
Dividends received from associate	$-	$-
	Eliter International Corp.
	NineMonthsEnded September30
	2021	2020
Operating revenue	$245,795	$235,886
Net income (loss)	(234,365)	(145,830)
Other comprehensive income (loss) (net after tax)	-	-
Total comprehensive income (loss)	$(234,365)	($145,830)
Dividends received from associate	$-	$-
	E-Da Development Corp.
	Three Months Ended September 30
	2021	2020
Operating revenue	$90,518	$276,619
Net income (loss)	(148,985)	12,418
Other comprehensive income (loss) (net after tax)	(43,098)	(622)
Total comprehensive income (loss)	$(192,083)	$11,796
Dividends received from associate	$ -	$ -

－－ 26

E-Da Development Corp.

Operating revenue Net income (loss) Other comprehensive income (loss) (net after tax) Total comprehensive income (loss) Dividends received from associate

E-Da Development Corp.	E-Da Development Corp.
Nine Months Ended September 30
2021 $344,826 (339,532) 36,444 $(303,088) $ -	2020
	$514,803
	(247,097) (4,695)
	($251,792)
	$ -

Operating revenue Net income (loss) Other comprehensive income (loss) (net after tax) Total comprehensive income (loss) Dividends received from associate

TangengIron Works Co., Ltd.	TangengIron Works Co., Ltd.
Three Months Ended September 30
2021 $5,089,027 751,400 (6,021) $745,379 $ -	2020
	$2,923,743
	58,082 (4,488)
	$53,594
	$ -

Operating revenue Net income (loss) Other comprehensive income (loss) (net after tax) Total comprehensive income (loss) Dividends received from associate

TangengIron Works Co., Ltd.	TangengIron Works Co., Ltd.
Nine Months Ended September 30
2021 $12,357,670 1,103,311 25,430 $1,128,741 $ -	2020
	$8,410,010
	(562,362) (10,321)
	($572,683)
	$ -

Operating revenue Net income (loss) Other comprehensive income (loss) (net after tax) Total comprehensive income (loss) Dividends received from associate	Yieh United Steel Corp.	Yieh United Steel Corp.
	Three Months Ended September 30
	2021 $16,522,088 2,320,065 (55,764) $2,264,301 $ -	2020
		$8,160,492
		(225,502) (117,807)
		($343,309)
		$ -

－－ 27

Yieh United Steel Corp.

	Yieh United Steel Corp.	Yieh United Steel Corp.
Operating revenue Net income (loss) Other comprehensive income (loss) (net after tax) Total comprehensive income (loss) Dividends received from associate	Nine Months Ended September 30
	2021 $38,616,090 3,763,147 (153,677) $3,609,470 $ -	2020
		$23,386,526
		(1,945,531) (297,455)
		($2,242,986)
		$ -

(3) Shares of individually insignificant associates of the Group were summarized as follows:

follows:
		Three Months Ended September 30
		2021	2020
Share of:
Net income(loss)		$20,030	$25,571
Other comprehensive income (loss) (net after tax)		(43,415)	(13,978)
Total comprehensive income (loss)		$(23,385)	$11,593
		Nine Months Ended	September 30
		2021	2020
Share of:
Net income(loss)		$31,227	$19,256
Other comprehensive income (loss) (net after tax)		282,386	(48,022)
Total comprehensive income (loss)		$313,613	($28,766)
(4) Associates of the Group with quoted prices in active market (Level 1 fair value
inputs) were as follow:
	September 30,2021 December 31,2020 September 30,2020
Yieh United Steel Corp. (Note)	$8,619,846	$4,983,188	$3,059,248
Tangeng Iron Works Co., Ltd.	3,865,929	4,220,351	4,154,919
Total	$12,485,775	$9,203,539	$7,214,167

(Note): The fair value information above did not include shares acquired through private placement, which were not allowed to be transferred freely in open markets.

(5) For Skylark Hot Spring & Resort Corp., E-Da Tour Bus Corporation, E-Da Bus Transportation Co., Ltd., and E-Da Entertainment Co., the Group has significant influence over which as a result of being a director in such entities. Consequently, those entities are accounted for using equity method.

－－ 28

(6) After considering the amount and distribution of other shareholders which are not extremely dispersed, the Group is not able to lead the company’s activities. Thus, the Group has no control even though it holds 38%, 45%, 43.56%, 34.38% and 30.51% of E-Da Health Biotechnology Co., Ltd., Zheng Xin Security Co., Ltd., Eliter International Corp., E-Da Development Corp., and Yieh United Steel Corp. and is the single largest shareholder. The management believes the Group only had significant impact to these companies, so classified them as the associates.
(7) The Group participated in the private placement of Yieh United Steel Corp. in February, 2017, and December, 2015, and subscribed at $7 per share, with the total subscription amount of $204,876 thousand and $1,100,400 thousand, totaling $1,305,276 thousand. Pursuant to the Securities and Exchange Act, securities from private placement can only be traded freely in the open markets when they are held for three years from the delivery date and the issuer has to complete the supplementary procedures of public offering.
(8) Due to cross ownership and the adoption of equity method between the Group and Yieh United Steel Corp., an investee accounted for using equity method, investment gain (loss) is recognized using the treasury stock approach.
(9) All investments accounted for using equity method and the Group’s share of profit or loss and other comprehensive income in the investees are calculated based on the financial statements not reviewed by auditors.
(10) As of September 30, 2021, December 31, 2020, and September 30, 2020, the Group pledged part of its investments accounted for using equity method as collateral for its borrowings. Please refer to Note 8.

6.12 Property, Plant and Equipment Item September 30,2021 Land $ 6,008,209 Buildings and structures 17,481,821 Machinery 39,865,116 Other equipment 10,129,355 Equipment to be inspected and construction in progress 890,274 Total cost $ 74,374,775 Less: Accumulated depreciation (27,414,499) Accumulated impairment (332,273) Total $46,628,003	December 31,2020 $6,008,209 8,485,254 40,118,043 3,230,583 15,077,536 $72,919,625 (26,375,533) (322,012) $46,222,080	September 30,2020
		$6,008,209 8,471,011 38,029,498 3,131,555 15,502,316
		$71,142,589 (25,857,795) (484,630)
		$44,800,164

Cost	Land	Buildings and structures	Machinery	Other equipment	Equipment to be inspected and construction in progress	Total
	$6,008,209 - - - - -	$8,485,254 166,981 - (49,250) 8,921,744 (42,908)	$40,118,043 57,776 - (159,822) 139,987 (290,868)	$3,230,583 342,087 - (120,578) 6,702,020 (24,757)	$15,077,536 1,586,489 (6,401) (2,700) (15,763,751) (899)	$72,919,625 2,153,333 (6,401) (332,350) - (359,432)
Balance, January 1, 2021 Additions Transferred to expenses Disposals Reclassification Impact of foreign exchange differences Balance, September 30, 2021
	$6,008,209	$17,481,821	$39,865,116	$10,129,355	$890,274	$74,374,775

－－ 29

Accumulated depreciation and impairment	$- - - -	$4,020,095 230,320 (5,506) (13,957)	$20,384,550 901,937 (146,004) (90,255)	$2,114,707 309,795 (119,406) (17,697)	$178,193 - - -	$26,697,545 1,442,052 (270,916) (121,909)
Balance, January 1, 2021 Depreciation Disposals Impact of foreign exchange differences Balance, September 30, 2021
	$-	$4,230,952	$21,050,228	$2,287,399	$178,193	$27,746,772

Cost	Land	Buildings and structures	Machinery	Other equipment	Equipment to be inspected and construction in progress	Total
	$6,008,209 - - - - -	$8,480,633 5,050 - (1,020) 2,041 (15,693)	$34,700,290 63,115 - (242,694) 3,590,457 (81,670)	$3,280,289 156,507 - (304,947) 15,949 (16,243)	$16,386,255 2,771,962 (6,521) - (3,608,447) (40,933)	$68,855,676 2,996,634 (6,521) (548,661) - (154,539)
Balance, January 1, 2020 Additions Transferred to expenses Disposals Reclassification Impact of foreign exchange differences Balance, September 30, 2020 Accumulated depreciation and impairment
	$6,008,209	$8,471,011	$38,029,498	$3,131,555	$15,502,316	$71,142,589
	$ - - - -	$3,771,355 178,297 (455) (4,503)	$19,396,108 870,870 (233,679) (32,337)	$2,211,471 170,439 (303,371) (12,408)	$ 330,638 - - -	$25,709,572 1,219,606 (537,505) (49,248)
Balance, January 1, 2020 Depreciation Disposals Impact of foreign exchange differences Balance, September 30, 2020
	$ -	$3,944,694	$20,000,962	$2,066,131	$330,638	$26,342,425

Reconciliations of current additions and the acquisition of property, plant and equipment in statement of cash flows were as follows:

Item Increase in property, plant and equipment Increase (decrease) in construction allowance receivable Decrease (increase) in payables for purchase of equipment Cash paid for acquisition of property, plant and equipment	Nine Months Ended September 30	Nine Months Ended September 30
	2021 $2,153,333 - 130,467 $2,283,800	2020
		$2,996,634 63,000 170,807
		$3,230,441

Please refer to Note 6.36 for details on the amount of capitalized borrowing costs.
Impairment of property, plant and equipment amounted to both $0 thousand for the three months and nine months ended September 30, 2021 and 2020.
For the information about property, plant and equipment pledged as collateral, please see Note 8 for details.
5.The Group’s land amounting to all $78,568 thousand as of September 30, 2021, December 31, 2020, and September 30, 2020 was unable to be registered under the name of the Group due to regulation restriction. Accordingly, the ownership was registered under the name of an individual with a mortgage registration as safeguard measures.

－－ 30

6.13 Lease Agreement

A. Right-of-use asset

6.13 Lease Agreement A. Right-of-use asset	6.13 Lease Agreement A. Right-of-use asset	6.13 Lease Agreement A. Right-of-use asset	6.13 Lease Agreement A. Right-of-use asset
Item September 30,2021 December 31,2020 September 30,2020
Land	$482,992	$486,602	$481,907
Building	37,068	37,907	37,645
Total cost	$520,060	$524,509	$519,552
Less: Accumulated depreciation	(39,619)	(28,511)	(25,082)
Accumulated impairment	-	-	-
Total	$480,441	$495,998	$494,470
Cost	Land	Building	Total
Balance at January 1, 2021	$486,602	$37,907	$524,509
Impact of foreign exchange differences	(3,610)	(839)	(4,449)
Balance at September 30, 2021	$482,992	$37,068	$520,060
Accumulated depreciation and
impairment
Balance at January 1, 2021	$17,507	$11,004	$28,511
Depreciation	7,416	4,186	11,602
Impact of foreign exchange differences	(219)	(275)	(494)
Balance at September 30, 2021	$24,704	$14,915	$39,619
Cost	Land	Building	Total
Balance at January 1, 2020	$503,019	$38,759	$541,778
Additions	9,794	-	9,794
Decreases	(11,153)	-	(11,153)
Impact of foreign exchange differences	(19,753)	(1,114)	(20,867)
Balance at September 30, 2020	$481,907	$37,645	$519,552
Accumulated depreciation and
impairment
Balance at January 1, 2020	$9,656	$6,026	$15,682
Depreciation	7,141	4,496	11,637
Decreases	(1,946)	-	(1,946)
Impact of foreign exchange differences	(27)	(264)	(291)
Balance at September 30, 2020	$14,824	$10,258	$25,082
B. Lease liabilities
Item September	30,2021 December 31,2020 September 30,2020
Carrying amount of lease
liabilities
- current	$7,457	$8,419	$8,170
- noncurrent	$68,556	$73,501	$75,030

－－ 31

The discount rate interval for lease liabilities was 1.9661%-2.4%.

Please refer to Note 12(3) for lease liabilities with repayment periods.

C. Significant rent operating and clause

The Group rented land and buildings for operation. The lease terms range from 1 to 30 years. Part of the lease may be extended with its duration and is calculated based on the area of the land leased and the rate based on the announced land value of the current year. In accordance with the contract, without the lessor’s consent, the Group is not allowed to sublet the leased object to the third party. There was no sign of impairment of right-of-use assets, hence the Group didn’t assess the impairment as of September 30, 2021, December 31, 2020, and September 30, 2020.
D. Other lease information:
(1) The current lease relevant expense information was as follows:

Item Short-term lease expense Gross cash outflow (Note) Item Short-term lease expense Gross cash outflow (Note)	Three Months Ended September 30 2021 2020 $5,787 $4,472 $7,317 $7,068 Nine Months Ended September 30 2021 2020 $14,367 $14,663 $19,668 $21,111
	2021 $14,367 $19,668

(Note): Including principle paid for current lease liabilities.

E. For the information about right-of-use assets pledged as collateral, please see Note 8 for details.

6.14 Investment properties

6.14 Investment properties
Item Land Buildings Construction in progress Total cost Less: Accumulated depreciation Accumulated impairment Total	September 30,2021 $124,968 - - 124,968 - (68,009) $56,959	December 31,2020 $124,968 47,006 - $171,974 (2,382) (68,009) $101,583	September 30,2020
			$263,733 46,018 20,461
			$330,212 (2,163) (68,009)
			$260,040

The movement of cost and accumulated depreciation and impairment of investment properties were as follows:

properties were as follows:
Cost Balance at January 1, 2021 Disposals Impact of foreign exchange differences Balance at September 30, 2021	Land $124,968 - - $124,968	Buildings $47,006 (46,246) (760) $-	Total
			$171,974 (46,246) (760)
			$124,968

－－ 32

			$2,382 210 (2,550) (42) $- Construction in progress	$70,391 210 (2,550) (42) $68,009 Total

	$605,403 - (340,260) (1,410) -	$46,281 - - - (263)	$40,554 19,376 (38,401) (1,068) -	$692,238 19,376 (378,661) (2,478) (263)
Balance, January 1, 2020 Additions Disposals Transferred to noncurrent assets held for sale Impact of foreign exchange differences Balance, September 30, 2020 Accumulated depreciation and impairment
	$263,733	$46,018	$20,461	$330,212
	$68,009 - -	$1,667 504 (8)	$ - - -	$69,676 504 (8)
Balance, January 1, 2020 Depreciation Impact of foreign exchange differences Balance, September 30, 2020
	$68,009	$2,163	$ -	$70,172

2. Rental revenue and direct operating expenses of investment properties:

Item Rental revenue from investment properties Direct operating expenses incurred by the investment properties with rental revenue generating in current period Direct operating expenses incurred by the investment properties with no rental revenue generating in current period Item Rental revenue from investment properties Direct operating expenses incurred by the investment properties with rental revenue generating in current period Direct operating expenses incurred by the investment properties with no rental revenue generating in current period	Three Months Ended September 30	Three Months Ended September 30
	2021 2020 $ - $ - $ - $ - $58 $1,751 Nine Months Ended September 30	2020
		$ -
		$ -
		$1,751
	2021 $ - $ - $537	2020
		$ -
		$ -
		$5,408

－－ 33

As of September 30, 2021, December 31, 2020, and September 30, 2020, the fair values of investment properties held by the Group were $79,328 thousand, $123,953 thousand, and $559,185 thousand, respectively, which were based on evaluation appraised by independent appraisers as of December 2019. Such evaluation adopted the comparative approach by reference to the market evidence similar to the real estate transaction prices. Those are Level 3 fair value inputs. Please refer to Note 12(4). The Group believes that there would not be any material fluctuation in the fair value of such investment properties after their appraisal. Appraisal will be taken place every two years on the investment properties.
For the information about investment properties pledged as collateral, please see Note 8 for details.
The Group’s land amounting to all $8,987 thousand as of September 30, 2021, December 31 2020, and September 30, 2020 was unable to be registered under the name of the Group due to regulation restriction. Accordingly, the ownership was registered under the name of an individual with a mortgage registration as safeguard measures.

6.15 Intangible assets

September 30, 2021	December 31, 2020 September 30, 2020 $464,202 $465,689 8,207 8,207 17,406 11,666 $489,815 $485,562 (115,468) (101,495) - - $374,347 $384,067 Trademarks Others Total $8,207 $17,406 $489,815 - 25,558 25,558 $8,207 $42,964 $515,373 $ - $118 $115,468 205 2,962 27,762 $205 $3,080 $143,230 Trademarks Others Total $8,207 $10,241 $522,559 - 6,898 6,898 - (5,493) (5,493) - 20 (38,402) $8,207 $11,666 $485,562	September 30, 2020
$464,202 8,207 42,964		$465,689 8,207 11,666
$515,373 (143,230) -		$485,562 (101,495) -
$372,143		$384,067
Mineral right $464,202 - $464,202 $115,350 24,595 $139,945 Mineral right $504,111 - - (38,422) $465,689	Trademarks $8,207 - $8,207 $ - 205 $205 Trademarks $8,207 - - - $8,207	Total $489,815 25,558 $515,373 $115,468 27,762 $143,230 Total $522,559 6,898 (5,493) (38,402) $485,562

－－ 34

Accumulated amortization and impairment Balance, January 1, 2020 Amortization Disposals Impact of foreign exchange differences Balance, September 30, 2020	$84,590 25,825 - (8,920) $101,495	$ - - - - $ -	$5,470 2 (5,493) 21 $ -	$90,060 25,827 (5,493) (8,899)
				$101,495

6.16 Other noncurrent assets

Item Intangible exploration and evaluation assets Other Total Less: Accumulated impairment Net	September 30,2021 $11,802 12,448 24,250 - $24,250	December 31,2020 $10,536 10,233 20,769 - $20,769	September 30,2020
			$10,536 -
			$10,536 -
			$10,536

The above-mentioned intangible exploration and evaluation assets are mainly the rights to explore nickel laterite ores, which will be reclassified as “Intangible assets - drilling rights to minerals” when the technical feasibility and commercial viability of extracting a mineral resource are demonstrable in the future.

6.17 Refundable deposits

Item Deposit for dumping margins Performance deposits Deposits Others Total	September 30,2021 $ 139,194 662 31,828 20,401 $ 192,085	December 31,2020 $148,596 16,921 32,135 25,243 $225,895	September 30,2020
			$827,649 19,166 31,732 12,513
			$891,060

An antidumping investigation into the corrosion-resistant steel sold from Taiwan, conducted by the Department of Commerce of the U.S. in June 2015, had completed in July 2016, with an official announcement that all corrosion resistant products manufactured in or sold from Taiwan must temporarily bear a dumping margin duty. The custom was also instructed to impose a temporary dumping margin on all entries of merchandise sold by the Company to the U.S. that had been covered by the investigation. The antidumping duty is imposed by the U.S. using the retrospective system. The difference between the tax rate of the provisional tax rate paid and the final survey result is presented as “refundable deposit”.

6.18 Short-term Loans

Short-term Loans
Type of Loan Credit loans Credit for material purchase Mortgage loans Total	September 30,2021
	Amount $7,033,128 9,847,092 583,000 $17,463,220	Interest Rate
		1.35%-5.25% 0.85%-2.26% 1.81%-2.83%

－－ 35

Type of Loan Credit loans Credit for material purchase Mortgage loans Total	December 31,2020	December 31,2020
	Amount $7,636,483 6,696,824 592,000 $14,925,307	Interest Rate
		1.39%-5.00% 0.93%-2.55% 1.81%-2.83%

Type of Loan Credit loans Credit for material purchase Mortgage loans Total	September 30,2020	September 30,2020
	Amount $7,190,602 6,477,129 632,000 $14,299,731	Interest Rate
		1.39%-5.22% 0.93%-2.60% 1.81%-2.83%

Some financial assets, and property, plant, and equipment, investment properties, notes receivable and accounts receivable were pledged as collateral for short-term loans. Please refer to Note 8 for details.

6.19 Short-term notes and bills payable

Item Commercial notes payable Less: Unamortized discount Net Interest rate range	September 30,2021 $1,361,000 (3,075) $1,357,925 1.69%-2.78%	December 31,2020 $1,292,000 (2,635) $1,289,365 1.67%-2.78%	September 30,2020
			$1,234,000 (2,588)
			$1,231,412
			1.67%-2.78%

The Group pledged some property, plant, and equipment, and investment properties as collateral for short-term notes and bills payable. Please refer to Note 8 for details.

6.20 Other Payables

6.20 Other Payables
Item Compensations payable Equipment payable Interest payable Utility expenses payable Consumables payable Export and transportation expenses payable Business tax payable Accrued taxes payable Cash dividends payable - from previous period Repairing charges payable Others Total	September 30,2021 $627,314 360,896 56,602 82,506 19,457 193,028 22,248 109,991 22,980 22,437 378,825 $1,896,284	December 31,2020 $539,677 491,363 55,613 49,025 28,272 82,812 50,213 5,886 23,065 18,341 409,607 $1,753,874	September 30,2020
			$299,308 389,799 55,652 39,574 19,931 34,001 8,966 24,172 23,079 18,251 266,948
			$1,179,681

Please refer to Note 7.3.6. for related party transactions

－－ 36

6.21 Provisions - current

6.21 Provisions - current
Item Employee benefits Onerous contract Warranty Decommissioning liabilities Total	September 30,2021 $87,364 3,408 3,469 3,670 $97,911	December 31,2020 $83,394 3,269 3,469 3,670 $93,802	September 30,2020
			$83,333 4,136 3,013 3,670
			$94,152

Item January 1, 2021 Recognized in current period Write-off in current period September 30, 2021	Employee benefits Onerous contract Warranty Decommissioning liabilities $83,394 $3,269 $3,469 $3,670 69,972 3,408 - - (66,002) (3,269) - - $87,364 $3,408 $3,469 $3,670	Total
		$93,802 73,380 (69,271)
		$97,911

Item January 1, 2020 Recognized in current period Write-off in current period September 30, 2020	Employee benefits $82,750 83,333 (82,750) $83,333	Onerous contract $1,006 4,136 (1,006) $4,136	Warranty $3,013 - - $3,013	Decommissioning liabilities Total $4,037 $90,806 - 87,469 (367) (84,123) $3,670 $94,152

Provision for employee benefits is an estimate of the short-term service leave vested to employees.
Provision for onerous contracts covers the expected loss of construction contract.
The Group’s “provision for warranty” is the warranty for the sales of electronic products, and is estimated based upon the historical warranty data of such products.

6.22 Long-term Loans

6.22 Long-term Loans
Item Bank syndicated loans: The Company Subsidiaries Subtotal Secured loans from banks Unsecured loans from banks Others Total Less: Unamortized discount Less: Current portion Long-term loans Interest rate range	September 30,2021 $8,900,000 26,303,400 35,203,400 646,723 719,903 13,843 36,583,869 (113,201) (5,278,942) $31,191,726 1.45%-5.38%	December 31,2020 $7,312,500 25,292,911 32,605,411 924,240 424,026 26,313 33,979,990 (95,902) (5,322,794) $28,561,294 1.50%-5.56%	September 30,2020
			$7,850,000 25,335,582
			$33,185,582 1,137,240 436,857 29,764
			$34,789,443 (102,270) (5,256,665)
			$29,430,508
			1.50%-5.56%

Please refer to Note 8 for the collateral of the above bank loans.

－－ 37

According to syndicated loan agreements with banks, the Group needs to maintain several financial ratios, including current ratio, liability ratio and interest coverage ratio, at a certain level, calculated based on the audited annual consolidated financial statements and the reviewed semi-annual consolidated financial statements or the audited annual financial statements of subsidiaries for the duration of the contracts. Since the Group failed to meet certain financial ratios in the first half of 2021, it needed to pay to the managing bank a compensation at 0.10% of the loan balance within agreed time. However, this was not seen as a breach of contract.
The subsidiary-Yieh Phui (Hong Kong) Holdings Limited’s joint loan from Taiwan Business Bank failed to meet certain financial ratios in 2020, if the improvement is not completed before September 30 of the following year, the joint lending banks must discuss and determine whether there is a breach of contract. In this regard, the Taiwan Business Bank calculated the agreed financial ratio based on the reviewed consolidated financial statements in the first quarter of 2021, the Group has maintained the agreed financial ratio with the joint loan and has reached the contractual standard. However, this was not seen as a breach of contract.

6.23 Long-term Deferred Revenue

The subsidiary, Tianjin Lianfa Precision Steel Corporation, had received a subsidy for engineering construction from the Tianjin Economic Technological Development Area of RMB 11,470 thousand in 2006. As it was a government grant associated with assets, donation income was recognized based on percentage used for the recognition of depreciation expense. Details were set out below:

Item Deferred revenue from government grants: Subsidy for engineering construction Less: Accumulated revenue recognized Ending balance	September 30,2021 $49,255 (21,670) $27,585	December 31,2020 September 30,2020 $50,064 $49,012 (22,026) (19,603) $28,038 $29,409

6.24 Benefit Plan After Retirement

Defined contribution plan
(1) The pension system based on the Labor Pension Act which is applicable to the Group’s domestic entities resided in the R.O.C. It is a defined contribution plan managed by government. Companies would make monthly contribution equal to 6% of each employee's monthly salary to the employees’ individual pension accounts at the Bureau of Labor Insurance. Subsidiaries outside the R.O.C. also participate in the local defined contribution plan and makes contribution to the local government accordingly.
(2) For the three months and nine months ended September 30, 2021 and 2020, the Group recognized pension expense of $35,782 thousand, $26,825 thousand, $104,139 thousand and $80,617 thousand, respectively.
Defined benefit plan
(1) Pension expense under the defined benefit plan were $1,399 thousand, $2,522 thousand, $4,243 thousand and $7,574 thousand for the three months and nine months ended September 30, 2021 and 2020. The pensions were calculated

－－ 38

using the actuarially determined pension cost discount rates as of December 31, 2020 and 2019.

(2) The Group estimated the balance in the designated pension accounts before the end of each year. Where the amount is deemed not sufficient to cover all the payment next year to employees who reach retirement in accordance with Article 53 or Article 54. 1. (1) of the same Act, a lump-sum deposit will be made before March-end of the following year to cover the difference.

6.25 Common Stock

Quantities and values of the Company’s outstanding common shares at the beginning and ending of periods were as follows:

Nine Months Ended September 30, 2021

Item January 1 Capital increase in cash September 30 Item January 1 Cancellation of treasury stock September 30	Shares (thousand shares) Amount 1,890,569 $18,905,695 - - 1,890,569 $18,905,695 Nine Months Ended September 30,2020	Amount
		$18,905,695 -
		$18,905,695
	Shares (thousand shares) 1,913,327 (22,758) 1,890,569	Amount
		$19,133,275 (227,580)
		$18,905,695

2.As of September 30, 2021, the Company had an authorized capital of $20,000,000 thousand with 2,000,000 thousand shares.
3.The Company’s Board of Directors resolved on August 4, 2020 to cancel its treasury stocks. The amount of capital reduction was $227,580 thousand, with 22,758 thousand shares eliminated, and the capital reduction ratio was 1.19%. The record date for capital reduction was set on August 14, 2020.

6.26 Capital Surplus

Item Share premium Treasury stock transaction Difference between consideration and carrying amount of subsidiaries acquired or disposed Change in ownership interests in subsidiaries accounted for using equity method Changes in associates and joint ventures accounted for using equity method Total	September 30,2021 $4,060,366 600,112 218,574 8,665 41,290 $4,929,007	December 31,2020 $4,060,366 600,112 218,574 8,665 41,290 $4,929,007	September 30,2020
			$4,060,366 600,112 218,572 8,665 41,311
			$4,929,026

－－ 39

Under the Company Act, capital surplus arising from shares issued at premium or from donation may be used for offsetting deficit. Furthermore, if the Company has no accumulated loss, capital surplus may be used for issuing new shares or distributing cash in proportion to shareholders' original holdings. In accordance with regulations in the Securities and Exchange Act, when the above-mentioned capital surplus is used for capitalization, the total amount every year shall not exceed 10% of the paidin capital. The Company may use capital surplus to offset loss only when the amount of earnings and reserves are insufficient to offset the loss. The capital surplus generated from investment under equity method shall not be used for any purposes.

6.27 Retained Earnings

1.A residual dividend distribution policy is adopted in accordance with the Company’s business expansion and profitability after considering the fact that the Company is currently in its growing phase. The annual net income, if any, should be used to pay off all the taxes and duties, as well as to compensate prior deficits. The remaining amount, if any, should be appropriated in the following order of presentation:
(1)10% as legal reserve;
(2)Set aside or reverse a certain amount as or of special reserve according to operating needs or laws or regulations;
(3)The remaining net income plus unappropriated earnings from prior years may be used as dividends or bonus for shareholders after proposed by the Board of Directors and resolved by the shareholders meeting.

In principle, earnings shall be distributed in the form of stock dividends in accordance with the Company’s capital requirement for business expansion and profitability. Cash dividends are distributed between 20% to 100% of total dividends distributed in accordance with the actual profitability while stock dividends are distributed between 0% to 80% of the total dividends distributed.

2.Legal reserve may only be used for offsetting deficits and issuing new shares or distributing cash in proportion to shareholders’ original holdings. However, new shares are issued or cash is distributed when legal reserve has exceeded 25% of the Company’s paid-in capital.

3.Special reserve

Item Provision for debit balance of other equity Provision upon initial application of IAS Total	September 30,2021 $378,836 327,757 $706,593	December 31,2020 $231,475 327,757 $559,232	September 30,2020
			$231,475 327,757
			$559,232

(1)The Company may allocate earnings only after providing special reserve for debt balance in other equity on the date of balance sheet, and the reversal of debit balance in other equity, if any, may be stated into allocable earnings.
(2)Upon first-time adoption of IFRSs, the special reserve provided pursuant to the official letter under Jin-Guan-Jheng-Fa-Zih No. 1010012865 dated April 6, 2012 may be reversed to allocable retained earnings in proportion to the special reserve as provided originally, if the Company uses, disposes of or reclassifies the relevant assets in the future.

－－ 40

The Company’s appropriations of earnings for 2019 had been approved in the shareholders’ meeting held in June 2020. No dividends will be distributed to the shareholders due to accumulated deficit. The appropriation of earnings for 2020 had been proposed by the shareholders’ meeting on August 2021. Details were summarized below:

summarized below:
Item Legal reserve Appropriation for special reserve Cash dividends for common stock Stock dividends for common stock Total	Year Ended December 31,2020
	Earnings appropriation proposal $16,374 147,361 - - $163,735	Dividends per share (NTD)
		- -

5.Information about earnings distribution approved by the shareholders’ meeting is available at the Taiwan Stock Exchange Market Observation Post System website.

6.28 Other Equity Item

Item Balance, January 1, 2021 Exchange differences on translation of foreign financial statements Unrealized gain (loss) on financial assets at fair value through other comprehensive income Share of associates and joint ventures accounted for using equity method Disposal of unrealized gain (loss) on financial assets at fair value through other comprehensive income Balance, September 30, 2021	Exchange differences on translation of foreign financial statements ($1,187,536) (243,919) - (71,355) - ($1,502,810)	Unrealized gain (loss) on financial asset at fair value through other comprehensive income $226,643 - 27,521 330,580 (1,425) $583,319	Gain (loss) on hedging instruments	Total
			$6,384 - - (50) -	($954,509) (243,919) 27,521 259,175 (1,425)
			$6,334	($913,157)

－－ 41

Item Balance, January 1, 2020 Exchange differences on translation of foreign financial statements Unrealized gain (loss) on financial assets at fair value through other comprehensive income Share of associates and joint ventures accounted for using equity method Balance, September 30, 2020	Exchange differences on translation of foreign financial statements ($1,090,046) (106,317) - (93,830) ($1,290,193)	Unrealized gain (loss) on financial asset at fair value through other comprehensive income $105,537 - (4,841) (43,950) $56,746	Gain (loss) on hedging instruments	Total
			$6,338 - - (24)	($978,171) (106,317) (4,841) (137,804)
			$6,314	($1,227,133)

6.29 Treasury stock

1.Purpose of shares buyback and changes in quantity: September 30, 2021：None

December 31, 2020：

December 31, 2020：
	Unit: Thousand Shares Year Ended December 31, 2020
January 1 Addition Reduction December 31 - 22,758 (22,758) - September 30, 2020： Unit: Thousand Shares Nine Months Ended September 30, 2020			December 31
January 1 -	Addition 22,758	Reduction (22,758)	September 30
			-

September 30, 2020：

2.In order to protect the Company’s credit and shareholders’ equity, the Company’s Board of Directors resolved on March 13, 2020 to repurchase 100,000 thousand shares from March 16 to May 15, 2020. The number of shares repurchased by the Company as of May 15, 2020 was 22,758 thousand shares, with the amount of $185,207 thousand. The Company’s Board of Directors resolved on August 4, 2020 to cancel its treasury stocks with 22,758 thousand shares eliminated, and the capital reduction ratio was 1.19%. The record date for capital reduction was set on August 14, 2020.
3.Pursuant to the Securities and Exchange Act, the number of shares bought back as treasury share should not exceed 10% of the number of the Company’s issued and outstanding shares and the amount bought back should not exceed the sum of retained earnings, paid-in capital in excess of par value and realized capital surplus.
4.Pursuant to the Securities and Exchange Act, treasury shares should not be pledged as collateral and is not entitled to shareholder’s rights before it is reissued.

－－ 42

6.30 Non-controlling interests

6.30 Non-controlling interests
Item Beginning balance Share attributable to non-controlling interests: Net income (loss) for the current year Other comprehensive income of the year Exchange differences on translation of foreign financial statements Unrealized gain (loss) on financial asset at fair value through other comprehensive income Share of associates and joint ventures accounted for using equity method Exchange differences on translation of foreign financial statements Unrealized gain (loss) on financial asset at fair value through other comprehensive income Gain (loss) on hedging instruments Changes in associates and joint ventures recognized under equity method Increase (decrease) in non-controlling interests Ending balance	Nine Months Ended September 30
	2021 $1,361,903 29,749 (879) 14 (1,178) 1,114 (1) 10 19,903 $1,410,635	2020
		$1,599,689 (184,200) (16,267) (599) (1,570) (263) - - (10,883)
		$1,385,907

6.31 Operating Revenue

Item Revenue from contracts with customers Sales revenue Construction revenue Other operating revenue(Note) Realized (unrealized) profits from sales Total sales revenue from contracts with customers Less: Sales return Sales discount Net operating revenue Item Revenue from contracts with customers Sales revenue Construction revenue Other operating revenue(Note) Realized (unrealized) profits from sales Total sales revenue from contracts with customers Less: Sales return Sales discount Net operating revenue	Three Months Ended September 30	Three Months Ended September 30
	2021 2020 $ 24,243,727 $13,625,453 141,602 169,067 17,516 - 55 55 24,402,900 $13,794,575 (14,727) (7,659) (20,923) (17,041) $24,367,250 $13,769,875 Nine Months Ended September 30	2020
		$13,625,453 169,067 - 55
		$13,794,575 (7,659) (17,041)
		$13,769,875
	2021 $65,779,700 452,650 17,516 163 66,250,029 (22,746) (40,189) $66,187,094	2020
		$38,352,578 852,756 - 163
		$39,205,497 (28,128) (43,650)
		$39,133,719

－－ 43

(Note)：The Group recognizes other operating income on a net basis as an agent for the commissioned sales of goods to the European Union., please refer to Note 7 (3) 2.
1.Segments of revenue from contracts with customers

The Group’s source of revenue comes from providing goods and services that are transferred either over time or at a specific timing. Revenue can be split into the following segments:

(1) Segmented by revenue from different types of goods and services: Three Months Ended September 30, 2021:

External customer	Steel coils and steelpipes	Wirerods	Construction revenue	Others	Total
	$21,512,541	$1,839,163	$ 141,657	$ 873,889	$24,367,250
Contract revenue Timing of revenue recognition
	$21,512,541 -	$1,839,163 -	$ - 141,657	$ 873,889 -	$24,225,593 141,657
	$21,512,541	$1,839,163	$141,657	$873,889	$24,367,250
				Others	Total
	$11,737,792	$1,300,526	$169,122	$562,435	$13,769,875
Contract revenue Timing of revenue recognition
	$11,737,792 -	$1,300,526 -	$- 169,122	$562,435 -	$13,600,753 169,122
Revenue recognized at a specific timing Revenue recognized over time Total Nine Months External customer
	$11,737,792	$1,300,526	$169,122	$562,435	$13,769,875
				Others	Total
	$58,137,555	$5,026,793	$452,813	$2,569,933	$66,187,094
Contract revenue Timing of revenue recognition
	$58,137,555 -	$5,026,793 -	$ - 452,813	$2,569,933 -	$65,734,281 452,813
Revenue recognized at a specific timing Revenue recognized over time Total
	$58,137,555	$5,026,793	$452,813	$2,569,933	$66,187,094

－－ 44

Nine Months External customer	Ended September 30, 2020: Steel coils and steelpipes Wirerods Construction revenue $32,763,670 $3,976,533 $852,919 $32,763,670 $3,976,533 $- - - 852,919 $32,763,670 $3,976,533 $852,919	Ended September 30, 2020: Steel coils and steelpipes Wirerods Construction revenue $32,763,670 $3,976,533 $852,919 $32,763,670 $3,976,533 $- - - 852,919 $32,763,670 $3,976,533 $852,919	Ended September 30, 2020: Steel coils and steelpipes Wirerods Construction revenue $32,763,670 $3,976,533 $852,919 $32,763,670 $3,976,533 $- - - 852,919 $32,763,670 $3,976,533 $852,919	Others	Total
	$32,763,670	$3,976,533	$852,919	$1,540,597	$39,133,719
Contract revenue Timing of revenue recognition
	$32,763,670 -	$3,976,533 -	$- 852,919	$1,540,597 -	$38,280,800 852,919
Revenue recognized at a specific timing Revenue recognized over time Total
	$32,763,670	$3,976,533	$852,919	$1,540,597	$39,133,719

(2) For detailed revenue information by business segments, please refer to Note 14. 2.Contract Balance

2.Contract Balance
Item	September 30,2021 $3,790,975 $40,090 $ 2,268,548 171,853 $ 2,440,401	December 31,2020 $2,619,438 $334,945 $2,035,162 84,442 $2,119,604	September 30,2020
Notes receivable and accounts receivable Contract assets - current Steel structure construction and overhead cranes Contract liabilities - current Unearned sales revenue Advance construction receipts Total			$2,700,171
			$491,096
			$1,113,393 96,045
			$1,209,438

(1)Changes in contract assets and contract liabilities were caused mainly by the difference of timing between when performance obligations were fulfilled and when customers make payments.

(2)Loss allowance for contract assets:

(2)Loss allowance	for contract assets:
Expected credit loss rate Gross carrying amount Loss allowance (Lifetime ECL) Net	September 30,2021 0%-0.5% $40,380 (290) $40,090	December 31,2020 0%-0.5% $336,080 (1,135) $334,945	September 30,2020
			0%-0.5%
			$493,260 (2,164)
			$491,096

The Group recognized loss allowance on contract assets based on expected credit losses during existence. Contract assets were transferred to accounts receivable at the time of billing. Its credit risk characteristics were the same as accounts receivable generated from similar contracts. Therefore, the Group believes that the expected credit loss rate of accounts receivable can also be applied to contracts. Changes in loss allowance on contract assets were as follows:

－－ 45

Beginning balance Add: Reversal for impairment Ending balance		Nine Months Ended September 30	Nine Months Ended September 30
		2021 $1,135 (845) $290	2020
			$2,389 (225)
			$2,164

(3) Contract liabilities recognized for the nine months ended September 30, 2021 and 2020 under operating revenue amounted to $2,035,162 thousand and $857,294 thousand, respectively.
(4) As of September 30, 2021 and 2020, the transaction prices allocated to the performance obligations that were not fully satisfied amounted to $575,528 thousand and $497,990 thousand, respectively. The Group will recognize revenue as the construction is being completed and the expected timing for recognition of revenue is on various dates through March 2023.

6.32 Employee benefits, depreciation and amortization expense

tion and amortization expense
Three Months Ended September	30,2021
	Total
	$632,894 58,986 37,181 104,178 511,908 9,819

Three Months Ended September	Three Months Ended September	30,2020
OperatingCost $360,607 34,135 21,658 79,665 399,450 8,609 $904,124	OperatingExpense $177,811 15,198 7,662 21,491 22,688 - $244,850	Total
		$538,418 49,333 29,320 101,156 422,138 8,609
		$1,148,974

－－ 46

Nine Months Ended September 30, 2021

Nature Employee benefits Salary Insurance Pension Other employee benefits Depreciation (Note 2) Amortization Total	OperatingCost $1,354,577 127,054 78,497 304,531 1,195,342 24,595 $3,084,596	OperatingExpense $687,454 62,699 29,885 89,852 255,491 3,167 $1,128,548	Total
			$2,042,031 189,753 108,382 394,383 1,450,833 27,762
			$4,213,144

Nine Months Ended September 30,2020	Nine Months Ended September 30,2020	Nine Months Ended September 30,2020
OperatingCost $1,077,935 103,639 65,323 246,726 1,153,181 25,825 $2,672,629	OperatingExpense $536,991 46,335 22,672 69,141 66,948 2 $742,089	Total
		$1,614,926 149,974 87,995 315,867 1,220,129 25,827
		$3,414,718

(Note 1):Excluding pension of $27 thousand and depreciation of $5,533 thousand under equipment prepayments and other losses.

(Note 2): Excluding depreciation of $3,031 thousand under other losses. (Note 3):Excluding pension of $196 thousand and depreciation of $11,618 thousand under equipment prepayments and other losses.

According to Articles of Incorporation, compensation to employees and remuneration to directors shall neither be less than 0.2 % nor greater than 0.1% of the net income before tax and before which the compensation to employees and remuneration to directors are deducted from. For the three months and nine months ended September 30, 2021, employees’ compensation was accrued at $4,467 thousand and $9,889 thousand, respectively. The directors’ remuneration was accrued at $2,234 thousand and $4,945 thousand, respectively. Due to the negative unappropriated earnings presentation and accumulated loss of the Company for the three months and nine months ended September 30, 2020, the estimated amount of the above employees’ compensation and directors’ remuneration were both $0 thousand.
Compensation to employees and remuneration to directors for the years ended December 31, 2020 and 2019 has been resolved and approved by the Board of Directors in March 2021 and 2020. Relevant amounts recognized in the financial statements are as follows:

－－ 47

Year Ended December 31	Year Ended December 31	Year Ended December 31
2020 Employees’ Compensation Directors’ Remuneration $447 $224 447 224 $- $-	2019
Employees’ Compensation $447 447 $-	Employees’ Compensation $ - - $-	Directors’ Remuneration
		$ - -
		$-

The above-mentioned employee compensation was distributed in cash.

3.Information about employee compensation and remuneration to directors approved by the Board of Directors is available at the Taiwan Stock Exchange Market Observation Post System website.

6.33 Interest income

Item Bank deposits Cross currency swap contracts Total Item Bank deposits Exchange interest rate swap Cross currency swap contracts Others Total Other Income Item Rent revenue Dividend income Other revenue Insurance claims income Income from sales of scraps Relief income Others Subtotal Total	Three Months Ended September 30	Three Months Ended September 30
	2021 2020 $3,304 $3,538 - 221 $3,304 $3,759 Nine Months Ended September 30	2020
		$3,538 221
		$3,759
	2021 2020 $10,375 $18,634 168 - - 10,042 50 129 $10,593 $28,805 Three Months Ended September 30	2020
		$18,634 - 10,042 129
		$28,805
	2021 $7,016 1,775 - 19,430 - 10,262 29,692 $38,483	2020
		$788 1,791 124,554 11,137 22,046 26,833
		184,570
		$187,149

6.34 Other Income

－－ 48

Nine Months Ended September 30

Item Rent revenue Dividend income Other revenue Dumping margins Insurance claims income Income from sales of scraps Relief income Others Subtotal Total	2021 $ 23,516 15,729 - - 47,242 26,760 39,580 113,582 $ 152,827	2020
		$ 2,350 30,381 7,710 291,160 34,032 48,784 34,302
		415,988
		$ 448,719

The Group’s Rolling Plant No. 3 was caught on fire in April 2018, resulting in damage of part of the equipment therein. The carrying amount of the damaged equipment was $85,048 thousand. Aside from recognizing deductible for fire loss of $7,000 thousand, an insurance claim receivable for the damaged part in the amount of $78,048 thousand was also recognized on December 31, 2018. In July 2020, January 2020, and January 2019, the Group has obtained $124,554 thousand, $166,606 thousand, and $150,000 thousand from insurance claim. After offsetting the insurance claim receivable, $124,554 thousand, $166,606 thousand, and $71,952 thousand are recorded as “other income”.

6.35 Other gains and losses

Other gains and losses
Item Valuation gain (loss) on financial assets mandatorily measured at FVTPL Foreign exchange gain (loss) Gain (loss) from disposal of property, plant, and equipment Gain on disposal of investment properties Gain on disposal of noncurrent assets held for sale Dumping margins Others Total	Three Months Ended September 30
	2021 $11,476 131,816 (3,862) (33) - (28,409) (1,324) $109,664	2020
		($4,941) 79,565 (4,550) 751,900 (2,479) - (10,385)
		$809,110

－－ 49

Item Valuation gain (loss) on financial assets mandatorily measured at FVTPL Foreign exchange gain (loss) Gain (loss) from disposal of property, plant, and equipment Gain on disposal of investment properties Gain on disposal of noncurrent assets held for sale Dumping margins Others Total	Nine Months Ended September 30	Nine Months Ended September 30
	2021 $17,159 155,327 (2,781) 10,140 539,330 (57,219) (4,787) $657,169	2020
		($5,738) 41,142 (10,542) 751,900 49,270 - (16,116)
		$809,916

For information on dumping margins, please refer to Note 6.17.

6.36 Finance Costs

Item Interest expense: Interest on loans Interest on lease liabilities Subtotal Less: Amount qualified for capitalization Finance costs Item Interest expense: Interest on loans Interest on lease liabilities Subtotal Less: Amount qualified for capitalization Finance costs	Three Months Ended September 30	Three Months Ended September 30
	2021 2020 $380,370 $377,582 133 168 380,503 377,750 (22,493) (95,285) $358,010 $282,465 Nine Months Ended September 30	2020
		$377,582 168
		377,750 (95,285)
		$282,465
	2021 $1,105,318 421 1,105,739 (128,419) $977,320	2020
		$1,197,014 504
		$1,197,518 (314,218)
		$883,300

6.37 Income Tax

1. Income tax expense

(1)Components of income tax expense (benefit)

Item Current income tax expense Land value incremental tax Deferred income tax of originated and reversed temporary differences Income tax expense (benefit)	Three Months Ended September 30	Three Months Ended September 30
	2021 $300,083 - 34,648 $334,731	2020
		$27,628 25,846 83,065
		$136,539

－－ 50

Item	Nine Months Ended September 30 2021 2020 $729,220 $ 52,333 (985) - 8,905 27,598 259,939 (83,394) $997,079 ($3,463)	Nine Months Ended September 30 2021 2020 $729,220 $ 52,333 (985) - 8,905 27,598 259,939 (83,394) $997,079 ($3,463)
		2020
Current income tax expense Adjustment to prior year income taxes Land value incremental tax Deferred income tax of originated and reversed temporary differences Income tax expense (benefit)		$ 52,333 - 27,598 (83,394)
		($3,463)

(2) Income tax expense (benefit) associated with other comprehensive income

Item	Three Months Ended September 30	Three Months Ended September 30
	2021 2020 ($4,882) $30,164 Nine Months Ended September 30	2020
Exchange differences on translation of foreign financial statements Item		$30,164
	2021 ($35,022)	2020
Exchange differences on translation of foreign financial statements		($13,007)

The Company’s income tax returns through 2019 have been ratified by the tax authorities.

6.38 Other Comprehensive Income

Other Comprehensive Income
Item Items that will not be reclassified subsequently to profit or loss: Unrealized gain (loss) on financial assets at fair value through other comprehensive income Share of associates and joint ventures accounted for using equity method: Unrealized valuation gain (loss) on financial assets at fair value through other comprehensive income Subtotal Items that may be reclassified subsequently to profit or loss: Exchange differences on translation of foreign financial statements Share of associates and joint ventures accounted for using equity method: Exchange differences on translation of foreign financial statements Gain (loss) on hedging instruments Subtotal Recognized in other comprehensive income	Three Months Ended September 30, 2021
	Before tax $46,304 (76,293) ($29,989) ($100,803) (829) (3) ($101,635) $131,624	Income tax expense (benefit) $ - - $ - $4,836 46 - $4,882 $4,882	After tax
			$46,304 (76,293)
			($29,989)
			($95,967) (783) (3)
			($96,753)
			($126,742)

－－ 51

Three Months Ended September 30, 2020	Three Months Ended September 30, 2020	Three Months Ended September 30, 2020
Before tax Income tax expense (benefit) After tax $19,569 $ - $19,569 (1,260) - (1,260) $18,309 $ - $18,309 $121,834 ($32,505) $89,329 (47,985) 2,341 (45,644) 11 - 11 $73,860 ($30,164) $43,696 $92,169 ($30,164) $62,005 Nine Months Ended September 30, 2021		After tax
		$19,569 (1,260)
		$18,309
		$89,329 (45,644) 11
		$43,696
		$62,005
Before tax $27,535 331,694 $359,229 ($276,980) (75,373) (51) ($352,404) $6,825	Income tax expense (benefit) $ - - $ - $32,182 2,840 - $35,022 $35,022	After tax
		($27,535) 331,694
		$359,229
		($244,798) (72,533) (51)
		($317,382)
		$41,847

－－ 52

		Nine Months	Ended September 30, 2020	Ended September 30, 2020
			Income tax
			expense
	Item	Before tax	(benefit)	After tax
	Items that will not be reclassified subsequently
	to profit or loss:
	Unrealized gain (loss) on financial assets at fair value through other comprehensive income	($5,440)	$-	($5,440)
	Share of associates and joint ventures
	accounted for using equity method:
	Unrealized valuation gain (loss) on financial
	assets at fair value through other	(44,213)	-	(44,213)
	comprehensive income
	Subtotal	($49,653)	$ -	($49,653)
	Items that may be reclassified subsequently to
	profit or loss:
	Exchange differences on translation of foreign financial statements	($131,727)	$9,143	($122,584)
	Share of associates and joint ventures
	accounted for using equity method:
	Exchange differences on translation of foreign financial statements	(99,264)	3,864	(95,400)
	Gain (loss) on hedging instruments	(24)	-	(24)
	Subtotal	($231,015)	$13,007	($218,008)
	Recognized in other comprehensive income	($280,668)	$13,007	($267,661)
6.39	Earnings Per Share
		Three Months Ended September 30
	Item	2021		2020
	A. Basic earnings (loss) per share
	Net income (loss) attributable to shareholders of parent company	$1,815,285		$1,147,051
	Weighted average number of outstanding shares (thousand shares)	1,890,569		1,895,340
	Basic earnings (loss) per share (after tax) (NT$)		$0.96	$0.61
	B. Diluted earnings (loss) per share
	Net income (loss) attributable to shareholders of parent company	$ 1,815,285		$1,147,051
	Weighted average number of outstanding shares (thousand shares)	1,890,569		1,895,340
	Impact on employees’ compensation (Note)		146	-
	Weighted average number of ordinary
	shares outstanding after dilution (thousand shares)	1,890,715		1,895,340
	Diluted earnings (loss) per share (after tax) (NT$)		$0.96	$0.61

－－ 53

Nine Months Ended September 30

Item A.Basic earnings (loss) per share Net income (loss) attributable to shareholders of parent company Weighted average number of outstanding shares (thousand shares) Basic earnings (loss) per share (after tax) (NT$) B.Diluted earnings (loss) per share Net income (loss) attributable to shareholders of parent company Weighted average number of outstanding shares (thousand shares) Impact on employees’ compensation (Note) Weighted average number of ordinary shares outstanding after dilution (thousand shares) Diluted earnings (loss) per share (after tax) (NT$)	2021 $4,088,689 1,890,569 $2.16 $4,088,689 1,890,569 335 1,890,904 $2.16	2020
		$306,006 1,895,340
		$0.16
		$306,006
		1,895,340 -
		1,895,340
		$0.16

(Note) Since the Group offered to settle compensation paid to employees in cash or shares, the Group 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, as 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.

6.40 Transactions with Non - controlling Interests

Acquisition of additional equities in subsidiaries Nine months ended September 30, 2021: None. Nine months ended September 30, 2020:

Between January and September 2020, the Group had purchased in cash additional shares of 0.43% and 0.41% for the subsidiaries, Yieh Hsing Enterprise Co., Ltd. and EMMT System Corporation with $8,733 thousand and $2,270 thousand, resulting in the changes in its shareholding percentage from 56.98% to 57.41% and 78.10% to 78.51%, respectively. Since the said transaction did not change the Group’s control over the said subsidiaries, it is deemed as an equity transaction.

Carrying amount of non-controlling interests acquired Capital surplus - consideration paid to non-controlling interests Capital surplus - Difference between consideration and carrying amount of subsidiaries acquired or disposed	Yieh Hsing Enterprise Co., Ltd. $10,892 (8,733) $2,159	EMMT System Corporation
		$2,483 (2,270)
		$213

－－ 54

Change in ownership interests in subsidiaries Nine months ended September 30, 2021:

(1)The subsidiary, Kings Garden International Co., Ltd., issued common stocks in
June 2021. After the subscription, the Company’s shareholding increased from
50.12% to 54.89%, Yieh Hsing Enterprise Co., Ltd.’s shareholding reduced
from 49.87% to 45.10%, and Shin Phui Steel Corporation’s shareholding
remained 0.01%. Since the above-mentioned transaction did not change the
Group’s control over the said subsidiary, it was deemed as an equity transaction.
Yieh Phui Yieh Hsing Shin Phui
Enterprise Co., Enterprise Co., Steel
Ltd. Ltd. Corporation
Subscription in cash ($463,500) $ - $ -
Share of equity of subsidiaries’ net assets computed using relative equity changes 452,169 6,504 3
Recognized changes in ownership
interests in subsidiaries accounted for ($11,331) $6,504 $3
using equity method

(2)The subsidiary, Great Emperor Hotel Co., Ltd. issued common stocks in June 2021. After the subscription, the Company’s shareholding increased from 54.55% to 58.17%, Yieh Hsing Enterprise Co., Ltd’s shareholding reduced from 45.44% to 41.82%, and Shin Phui Steel Corporation’s shareholding remained 0.01%. Since the said transaction did not change the Group’s control over the said subsidiary, it is deemed as an equity transaction.

Subscription in cash Share of equity of subsidiaries’ net assets computed using relative equity changes Recognized changes in ownership interests in subsidiaries accounted for using equity method	Yieh Phui Enterprise Co., Ltd. ($412,000) 400,067 ($11,933)	Yieh Hsing Enterprise Co., Ltd. $ - 6,849 $6,849	Shin Phui Steel Corporation
			$ - 3
			$3

(3)The sub-subsidiary, PT. E-UNITED FERRO INDONESIA issued common stocks in September 2021. After the subscription, Hong Yuh Assets Management Co., Ltd.’s shareholding increased from 47.88% to 49.36%, and LIAN SO (H.K.) CO., LIMITED’s shareholding reduced from 52.12% to 50.64%. Since the above-mentioned transaction did not change the Group’s control over the said subsidiary, it was deemed as an equity transaction.

	Hong Yuh
	Assets	LIAN SO
	Management	(H.K.) CO.,
	Co., Ltd.	LIMITED
Subscription in cash	($27,695)	$ -
Share of equity of subsidiaries’ net assets computed using relative equity changes	22,497	5,198
Recognized changes in ownership interests
in subsidiaries accounted for using equity	($5,198)	$5,198
method

－－ 55

Nine months ended September 30, 2020:

(1)The sub-subsidiary, Kings Garden International Co., Ltd., issued common stocks in March 2020. After the subscription, the Company’s shareholding increased from 49.28% to 50.12%, Yieh Hsing Enterprise Co., Ltd.’s shareholding reduced from 50.71% to 49.87%, and Shin Phui Steel Corporation’s shareholding remained 0.01%. Since the above-mentioned transaction did not change the Group’s control over the said subsidiary, it was deemed as an equity transaction.

Subscription in cash Share of equity of subsidiaries’ net assets computed using relative equity changes Recognized changes in ownership interests in subsidiaries accounted for using equity method	Yieh Phui Enterprise Co., Ltd. ($72,100) 70,603 ($1,497)	Yieh Hsing Enterprise Co., Ltd. $ - 852 $852	Shin Phui Steel Corporation
			$ - 1
			$1

(2)The sub-subsidiary, Great Emperor Hotel Co., Ltd. issued common stocks in June 2020. After the subscription, the Company’s shareholding increased from 41.18% to 46.43%, Yieh Hsing Enterprise Co., Ltd.’s shareholding reduced from 58.81% to 53.56%, and Shin Phui Steel Corporation’s shareholding remained 0.01%. Since the said transaction did not change the Group’s control over the said subsidiary, it is deemed as an equity transaction.

Subscription in cash Share of equity of subsidiaries’ net assets computed using relative equity changes Recognized changes in ownership interests in subsidiaries accounted for using equity method	Yieh Phui Enterprise Co., Ltd. ($360,500) 352,384 ($8,116)	Yieh Hsing Enterprise Co., Ltd. $ - 4,654 $4,654	Shin Phui Steel Corporation
			$ - 2
			$2

7. RELATED PARTY TRANSACTIONS

7.1 Parent and ultimate controlling party.

The Company is the ultimate controlling party of the Group.

7.2 Names of related parties and relationship categories

Name of relatedparty Yieh United Steel Corp. Yieh Mau Corp. Asiazone Co., Ltd. Zheng Xin Security Co., Ltd. Eliter International Corp. Unipattern Corporation Co., Ltd. E-Da Bus Transportation Co., Ltd.	Relatedpartycategory
	Associate Associate Associate Associate Associate Associate Associate

－－ 56

Name of related party

E-Da Tour Bus Co., Ltd. E-Da Development Corp. E-Da Cultural Creative Industry Co., Ltd. E-Da Visual Effects Company Limited. Yieh Hong Enterprise Co., Ltd. Yieh Mau Corp. Li-Hsin Co., Ltd. Skylark International Hotel Co., Ltd. Pacific Harbor Stevedoring Corporation Royal Palace Hong Kong Style Restaurant Co., Ltd. Jinghua Commercial Asset Management Limited I-Hsiang-Le International Co., Ltd. Chiao-Ling Leisure Co., Ltd. New Spring Construction Corp. E-Da Apartment Building Management and Maintenance Co., Ltd. E-Da Royal Hotel Company Ltd. E-Da Hospital I-Shou University I-Shou University Internship Center Long Hua Travel Services Co., Ltd. Yieh Mau International Co., Ltd. Shin Huo Environmental Engineering Co., Ltd Yu Hong Industrial Co., Ltd E-Da Cancer Hospital Guan Ying Enterprise Co., Ltd. E-Da Dachang Hospital Zhengzi Technology Co., Ltd E-DA Healthcare Preschool E-DA Preschool E-DA Bassinet Mother and Baby Care Center E-DA Home Health Care E-DA Nursing Care Center E-DA Postpartum and Babycare Center Wei Hong Investment Development Co., Ltd. Lianshuo Investment Development Co., Ltd. Chain-dollars Enterprise Co., Ltd.

Lian Cheng Ready-Mixed Products Co., Ltd. You, Jing-Sheng Chen,Yung-Shian

Related party category Associate Associate Associate Associate Other related party Other related party Other related party Other related party Other related party Other related party

Other related party

Other related party Other related party Other related party Other related party

Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party Other related party

－－ 57

7.3 Significant transactions with related parties

Balances and transactions between the Company and subsidiaries (i.e., related parties) were eliminated and not disclosed when preparing such consolidated financial statements. Disclosure of related party transactions were as follows:

Operating revenue

1. Operating revenue
Item Related party category Sales revenue Associates Other related parties Total Construction Associates revenue Other related parties Subtotal Less: construction revenue that are eliminated in consolidation Total	Three Months Ended September 30
	2021 $611,128 595,470 $1,206,598 $5,317 26,347 31,664 (1,725) $29,939	2020
		$374,723 158,781
		$533,504
		$1,260 78,223
		$79,483 (17,629)
		$61,854

Item Sales revenue Construction revenue	Related party category Associates Other related parties Total Associates Other related parties Subtotal Less: construction revenue that are eliminated in consolidation Total	Nine Months Ended September 30	Nine Months Ended September 30
		2021 $1,546,117 1,326,951 $2,873,068 $7,330 86,291 93,621 (35,864) $57,757	2020
			$1,303,705 675,501
			$1,979,206
			$1,564 438,139
			$439,703 (37,769)
			$401,934

(a) Selling price to the Group’s related parties, including hot rolled steel coils, galvanized steel coils, scraps (bars), etc. and trading terms were the same with those to other customers. Payment periods were within 1 to 2 months.
(b) Selling price of hot-rolled steel coil to related parties were set by reference to the purchase price of a non-related party as a trading counterparty. The payment term was 3 months.
(c) Selling price of carbon steel and steel scraps to related parties were set with reference to the purchase price of a non-related party as a trading counterparty. Payment term was monthly and closes in 15 days.
(d) The construction contracts between the Group and above-mentioned related parties were established at prices negotiated by both parties. Contract proceeds were collected according to the collection clauses stated in these contracts. Unless agreed on by both parties, payments cannot be delayed.
(e) Since the Group contracted from and sub-contracted to related parties a portion of steel construction engineering at the same time, where the construction engineering belonged to the same project, the accounting treatment of which was deemed the same as such project would have been managed and supervised

－－ 58

by other related parties. For the three months and nine months ended September 30, 2021 and 2020, the eliminated construction revenue was $1,725 thousand, $17,629 thousand, $35,864 thousand, and $37,769 thousand, respectively.

Purchases

Purchases
Related party category Associates Other related party: Yieh Hong Enterprise Co., Ltd Other Total Related party category Associates Other related party: Yieh Hong Enterprise Co., Ltd Other Total	Three Months Ended September 30
	2021 2020 $1,632,880 $925,070 2,587,099 1,179,133 8,512 8,478 $4,228,491 $2,112,681 Nine Months Ended September 30	2020
		$925,070 1,179,133 8,478
		$2,112,681
	2021 $3,716,144 5,907,991 26,161 $9,650,296	2020
		$2,584,979 2,368,835 25,710
		$4,979,524

(a) Items purchased by the Group from the above related parties were mainly stainless billets and carbon steel billets. The purchase prices were similar to that offered to other suppliers. Payment term was LC at sight (not significantly different than terms to other suppliers) or T/T before shipment.
(b) The amount of associated companies entrusted the Group to sell stainless steel coils to the European Union amounted to $973,322 thousand, and the purchase amount of the aforementioned transaction was $955,806 thousand (the related accounts payable was $300,689 thousand), The Group recognizes income on a net basis for the transaction, and the above disclosed purchase amount does not include the purchase of commissioned sales.

3. Contract assets

3. Contract assets
Related party category Associates Other related party: New Spring construction Corp. Total Less: Loss allowance Net 4. Contract liabilities Related party category Associates Other related parties Total:	September 30,2021 $990 7,761 $8,751 - $8,751 September 30,2021 $12,842 7,090 $19,932	December 31,2020 $164 92,604 $92,768 - $92,768 December 31,2020 $1,239 39,274 $40,513	September 30,2020
			$4,118 288,023
			$292,141 -
			$292,141
			September 30,2020
			$320 53,718
			$54,038

－－ 59

5. Receivables from related parties (excluding loans to related parties)

AccountingItem Notes receivable Accounts receivable Other receivables	Related party category Associates Other related parties Total Less: Loss allowance Net Associate： Asiazone Co., Ltd. Others Other related parties Total Less: Loss allowance Net Associate： Yieh United Steel Corp. Others Other related party： Yieh Hong Enterprise Co., Ltd New Spring Construction Corp. Others Total Less: Loss allowance Net	September 30, 2021 $247 255 502 - $502 $378,993 32,433 32,778 444,204 (1,627) $442,577 $24,123 339 78,182 6 - 102,650 - $102,650	December 31, 2020 $5,604 22 5,626 - $5,626 $159,072 25,944 1,456 186,472 (669) $185,803 $74,203 88 - - 628 74,919 - $74,919	September 30, 2020
				$46 24
				70 -
				$70
				$244,107 146,518 4,790
				395,415 (1,243)
				$394,172
				$ 104,473 86 - 63,002 530
				168,091 -
				$168,091

6. Payables to related parties (excluded loans from related parties) Accounting Item Related party category September 30, 2021 December 31, 2020 Notes payable Associates $3,097 $253 Other related parties 3,138 240 Total $6,235 $493 Accounts payable Associate： Yieh Mau Corp. $189,156 $ - Others 118,783 - Other related parties 9,875 9,907 Total $317,814 $9,907 Other payables Associates $45,958 $105,575 Other related parties 109,142 28,313 Total $155,100 $133,888	September 30, 2020
	$716 308
	$1,024
	$- - 31,118
	$31,118
	$21,208 18,542
	$39,750

－－ 60

7. Prepayments Related party category Other related parties Associates Total	September 30,2021 $5,160 17 $5,177	December 31,2020 September 30,2020 $113,383 $104,222 - 13 $113,383 $104,235

Asset transaction
(1)Acquisition of property, plant and equipment:

Nine months ended September 30, 2021:

Type of related party Other related party： New Spring Construction Corp. Others Associate： Unipattern Corporation Co., Ltd. Others	Transaction target Buildings and Structures (Note 1) Other equipment (Note 2) Computer communication equipment (Note 2) Other equipment (Note 2)	Transaction amount
		$209,849 371 164,979 2,710

(Note 1) The above-mentioned transaction price was set by reference to appraisal reports offered by professional institutions, and were agreed on by both parties upon negotiation or through price comparison. As of September 30, 2021, the unpaid portion was $93,297 thousand.

(Note 2) The above-mentioned transaction price was agreed on by both parties upon negotiation. As of September 30, 2021, the unpaid portion was $41,223 thousand.

Nine months ended September 30, 2020:

Nine months ended September 30,	2020:
Type of related party Other related party： New Spring Construction Corp. Associate： Unipattern Corporation Co., Ltd. Others	Transaction target Construction in progress (Note 1) Other equipment (Note 2) Other equipment	Transaction amount
		$193,190 192,181 1,250

(Note 2) The above-mentioned transaction price was agreed on by both parties upon negotiation. As of September 30, 2020, the unpaid portion was $16,039 thousand.

－－ 61

(2)Disposal of property, plant and equipment:

Disposal of property, plant and equipment:
Nine months ended September 30, 2021: None. Nine months ended September 30, 2020: Type of related party / Name Transaction target Transaction amount Other related parties Transportation equipment $215	Gains or loss on disposal
	$49

The above-mentioned transaction price was agreed on by both parties upon negotiation. As of September 30, 2020, the transaction price was fully received.

(3)Acquisition of investment properties:

Nine months ended September 30, 2021: None. Nine months ended September 30, 2020:

Nine months ended September 30, Nine months ended September 30,	2021: None. 2020:
Type of related party / Name Other related party： New Spring Construction Corp.	Transaction content Construction-in-progress	Transaction amount
		$14,367

The above-mentioned transaction price was agreed on by both parties upon negotiation. As of September 30, 2020, the unpaid portion was $14,367 thousand.

9. Others

(1)Miscellaneous income

ers Miscellaneous income
Relatedpartycategory Associates Other related parties Total Relatedpartycategory Associates Other related parties Total	Three Months Ended September 30
	2021 2020 $8,677 $6,270 52 51 $8,729 $6,321 Nine Months Ended September 30	2020
		$6,270 51
		$6,321
	2021 $18,868 195 $19,063	2020
		$16,566 443
		$17,009

These were mainly technical service income, and sporadic rent income. The rent price was determined by contract and received monthly or quarterly.

(2)Miscellaneous expenses

Miscellaneous expenses
Relatedpartycategory Associates Other related parties Total	Three Months Ended September 30
	2021 $18,421 30,147 $48,568	2020
		$14,660 21,029
		$35,689

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Relatedpartycategory Associates Other related parties Total	Nine Months Ended September 30	Nine Months Ended September 30
	2021 $60,334 97,339 $157,673	2020
		$42,421 69,931
		$112,352

These were mainly service charges, export expenses, and rent expenses not applicable to IFRS 16. The rent prices were determined by contracts and paid monthly or quarterly.

(3)Construction contracts

(a)Unfinished construction contracts with related parties as of September 30, 2021 were as follows:

Type of related party / Name Associates Other related party： New Spring Construction Corp.	Name of Project Crane manufacturing equipment engineering Structures construction on the ground for E-Da Asia Commercial Plaza, etc.	Total contract price Contract assets / liabilities $86,482 $990/$11,055 3,388,686 (Note) 7,761 / 6,084

(b) Unfinished construction contracts with related parties as of December 31, 2020 were as follows:

Type of related party / Name Associates Other related party： New Spring Construction Corp.	Name of Project Door type double host grab of overhead cranes, etc. Structures construction on the ground for E-Da Asia Commercial Plaza, etc.	Total contract price Contract assets / liabilities $8,596 $164 / $1,239 3,388,026 (Note) 92,604 / 38,183

(c) Unfinished construction contracts with related parties a 2020 were as follows:	s of September 30,
Type of related party / Name Name of Project Total contract price Associates Flue pipe installation construction $12,337 Other related party： New Spring Construction Corp. Structures construction on the ground for E-Da Asia Commercial Plaza, etc. $3,375,426 (Note)	Contract assets / liabilities
	$4,118/$320 $288,023/$52,627

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  - (Note) As stated in Note 7.3.1.(e), If the project of the related party contracted by the Group is the same project as the project contracted to the related party, the accounting treatment has been deemed to be handled by the related party only for project management and supervision.

Part lands of the Group are unable to be registered under the name of the Group.
Type of related party Major transaction
Other related parties Some of the Group’s lands recognized as property, plant, and equipment as well as investment properties, are unable to be registered under the name of the Group temporarily and registered under individuals, the executive vice president of the company and the assistant vice financial president of subsidiary-Yieh Hsing due to regulation restriction. Accordingly, the lands are mortgage registered to the Group as safeguard measures.
11.Where the Group participated in the cash offering by related parties and consequently increased its investment are disclosed as follows: Nine months ended September 30, 2021:

Investee Associate： E-Da Bus Transportation Co., Ltd. E- Da Visual Effects Company Limited.	InvestmentIncrement Shares (thousand shares) Amount 1,025 $10,252 1,715 17,150	ShareholdingPercentage	ShareholdingPercentage
	Shares (thousand shares) 1,025 1,715	Before Offering 17.09% 49.00%	After Offering
			17.09% 49.00%

Nine months ended September 30, 2020:

Investee Associate： E Mau Development Crop.	InvestmentIncrement Shares (thousand shares) Amount 1,280 12,800	ShareholdingPercentage	ShareholdingPercentage
	Shares (thousand shares) 1,280	Before Offering 0%	After Offering
			25.60%

7.4 Information about remunerations to the major management:

Item Salary and other short-term employee benefits Benefits after retirement Other long-term employee benefits Termination benefits Share-based payments Total	Three Months Ended September 30 2021 2020 $25,526 $24,424 459 413 - - - - - - $25,985 $24,837
	2021 $25,526 459 - - - $25,985

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Item Salary and other short-term employee benefits Benefits after retirement Other long-term employee benefits Termination benefits Share-based payments Total	Nine Months Ended September 30 2021 2020 $77,178 $72,249 1,420 1,362 - - - - - - $78,598 $73,611
	2021 $77,178 1,420 - - - $78,598

8. PLEDGED ASSETS

8. PLEDGED ASSETS
The following assets have been pledged	as collateral for	long-term and short-term loans:
Item	September 30, 2021	December 31, 2020	September 30, 2020
Pledged demand deposits	$1,087,190	$644,677	$623,349
Pledged time deposits	456,543	132,774	469,315
Subtotal of other financial assets - current	1,543,733	777,451	1,092,664
Pledged demand deposits	89,092	139,740	137,424
Pledged time deposits	407,963	274,701	390,812
Subtotal of other financial assets - noncurrent	497,055	414,441	528,236
Property, plant and equipment (net)	23,014,102	23,941,229	24,037,068
Noncurrent assets held for sale	-	159,832	-
Right-of-use asset	160,222	165,047	162,651
Investment properties	22,355	22,355	167,007
Investments accounted for using equity method	1,927,411	1,729,055	1,752,619
Notes receivable and accounts receivable	4,290	358,347	67,202
Total	$27,169,168	$27,567,757	$27,807,447

9. SIGNIFICANT CONTINGENT LIABILITIES AND UNRECOGNIZED CONTRACT COMMITMENTS

(1) Guarantee notes issued by the Group to banks for loans and purchases performance totaled $50,153,740 thousand, $49,066,365 thousand, and $48,164,534 thousand as of September 30, 2021, December 31, 2020, and September 30, 2020, respectively.

(2) Guarantee notes received by the Group for its contract performance and creditor’s right totaled $192,488 thousand, $176,854 thousand, and $201,291 thousand as of September 30, 2021, December 31, 2020, and September 30, 2020, respectively.
(3) The unused letters of credit as of September 30, 2021, December 31, 2020, and September 30, 2020 were as follows:

Item September 30, 2021 December 31, 2020 September 30, 2020 L/C Amount USD 67,701 USD 32,223 USD 10,771 NTD 464,960 NTD 437,122 NTD 439,300 JPY 1,095,040 JPY 1,306,100 EUR 71 EUR 16

(4) As of September 30, 2021, December 31, 2020, and September 30, 2020, guarantees provided through banks by the Group for performance and warranty amounted to $47,575 thousand, $49,103 thousand, and $52,739 thousand, respectively.

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(5) As of September 30, 2021, December 31, 2020, and September 30, 2020, guarantee letters of credit issued by the Group for export business totaled USD14,600 thousand, USD9,600 thousand, and USD13,400 thousand, respectively.
(6) The Group entered into raw material purchase agreements with suppliers of billets, including EAST and KING METORE, etc. The price was agreed on by both parties upon negotiation. As of September 30, 2021, the unperformed portion totaled 3,324 tons, amounting to $86,567 thousand.
(7) Capital expenditures committed but not yet incurred are as follows:

Item Property, plant and equipment	September 30,2021 $682,923	December 31,2020 $1,908,014	September 30,2020
			$2,825,578

(8) Two subsidiaries, Great Emperor Hotel Co., Ltd. and Kings Garden International Co., Ltd., entered into the syndicated loan agreements with Land Bank of Taiwan and First Commercial Bank in August 2014. Yieh United Steel Corp., Yieh Phui Enterprise Co., Ltd., and Yieh Hsing Enterprise Co., Ltd. issued a commitment letter before the first use that the Company and its related parties shall jointly hold more than 50% of Kings Garden International Co., Ltd. and Great Emperor Hotel Co., Ltd.’s issued shares and gain the majority of directors’ seats at all times. The Group held 100% shareholding of Kings Garden International Co., Ltd. and Great Emperor Hotel Co., Ltd. and acquired all directors’ seats of both companies as of September 30, 2021.

10. SIGNIFICANT DISASTER LOSS: NONE.

11. SIGNIFICANT SUBSEQUENT EVENTS: NONE.

12. OTHERS

(1) Seasonality or periodicity of operations

The operation of the Group’s is not influenced by seasonality and periodicity.

(2) Capital risk management

There were no significant changes in the Group’s policies for capital risk management for the nine months ended September 30, 2021 as compared with the consolidated financial statements for the year ended December 31, 2020. Please refer to Note 12(1) of the consolidated financial statements for the year ended December 31, 2020 for the related information.

(3) Financial Instruments

(1) Financial risk of financial instruments
i. There were no significant changes in the Group's Financial risk management policies and objectives for the nine months ended September 30, 2021 as compared with the consolidated financial statements for the year ended December 31, 2020. Please refer to Note 12(2) of the consolidated financial statements for the year ended December 31, 2020 for the related information.
ii.The nature and degree of significant financial risks
A. Market risks
- (A)Foreign exchange rate risk
  - a. There were no significant changes in the nature and degree of material financial risk for the nine months ended September 30, 2021 as compared with the consolidated financial statements for the year ended December 31, 2020. Please refer to Note 12(2) of the consolidated financial

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statements for the year ended December 31, 2020 for the related information.

b. Exchange rate exposure and sensitivity analysis

Exchange rate		September30,2021	September30,2021	September30,2021
	Presented amount (New Taiwan Dollars) 3,456,464 1,923,458 854,586 728,000 199,902 2,874,179 2,770,044 751,876	SensitivityAnalysis
		Range of change Up 1% Up 1% Up 1% Up 1% Up 1% Up 1% Up 1% Up 1% December31,	Effects on profit or loss 34,565 19,235 8,546 - (1,999) (28,742) (27,700) (7,519) 2020	Effects on Equity
27.85 6.4854 0.1542 27.85 0.249 27.85 6.4854 0.1542 Exchange rate				- - - 7,280 - - - -
	Presented amount (New Taiwan Dollars) 1,533,891 654,169 129,005 729,644 844,145 3,604,751 128,531 128,394	SensitivityAnalysis
		Range of change Up 1% Up 1% Up 1% Up 1% Up 1% Up 1% Up 1% Up 1%	Effects on profit or loss 15,339 6,542 1,290 - (8,441) (36,048) (1,285) (1,284)	Effects on Equity
28.48 6.5294 1.2299 28.48 28.48 6.5294 8.025 1.2299				- - - 7,296 - - - -

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Exchange rate		September 30, 2020	September 30, 2020	September 30, 2020
	Presented amount (New Taiwan Dollars) 2,382,790 642,249 125,752 733,591 834,718 3,824,878 125,345 125,216	Sensitivity Analysis
		Range of change Up 1% Up 1% Up 1% Up 1% Up 1% Up 1% Up 1% Up 1%	Effects on profit or loss 23,828 6,422 1,258 - (8,347) (38,249) (1,253) (1,252)	Effects on Equity
29.1 6.8101 1.1739 29.1 29.1 6.8101 7.9941 1.1739				- - - 7,336 - - - -

If NTD appreciates against the above-mentioned currencies, held all other variables constant, the impact generated as of September 30, 2021, December 31, 2020, and September 30, 2020 would stay the same with the reverse result.

c. Due to the exchange rate volatility, total exchange gains and losses (including realized and unrealized) from the Group’s monetary items amounted to $131,816 thousand, $79,565 thousand, $155,327 thousand, and $41,142 thousand for the three months and nine months ended September 30, 2021 and 2020, respectively.

(B) Price risk

Since the Group’s investment in securities is classified as financial assets at FVTPL or financial assets at FVTOCI on the consolidated balance sheet, the Group does not expose to price risks of securities.

The Group mainly invests in domestic listed and unlisted stocks and beneficiary certificates. The price of such securities can be affected by changes in future value of those investment targets.

If the security price goes up or down by 1%, the post-tax profit or loss for the nine months ended September 30, 2021 and 2020 will increase or decrease by $3,357 thousand and $7,532 thousand due to the increase or decrease of the fair value of financial assets measured at FVTPL. The posttax other comprehensive income for the nine months ended September 30, 2021 and 2020 will increase or decrease by $7,221 thousand and $7,631 thousand due to the increase or decrease of the fair value of financial assets measured at FVTOCI.

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(C)Interest rate risk

The carrying amount of the Group’s financial assets and financial liabilities that are exposed to interest rate risk at the reporting date is stated as follows:

	CarryingAmount
September 30,2021 $1,333,202 (1,433,938) $(100,736) $4,379,809 (53,933,888) ($49,554,079)	December 31,2020 $1,223,521 (1,371,285) ($147,764) $3,705,050 (48,809,395) ($45,104,345)	September 30,2020
		$1,552,323 (1,314,612)
		$237,711
		$3,497,410 (48,986,904)
		$(45,489,494)

  - a. Sensitivity analysis of those with fair value interest rate risk: The Group classifies its investment in preferred stocks with fixed income as financial assets measured at FVTPL. Fair value of such preferred stock investment changes in line with the interest rate changes in the market. If the market interest rate goes up 1% and other variables are held constant, the profit or loss will decrease by $287 thousand and $3,485 thousand for the nine months ended September 30, 2021 and 2020, respectively.

  - b. Sensitivity analysis of those with cash flow interest rate risk:

     - The interest-fluctuate instruments possessed by the Group were floatinginterest assets (liabilities). Therefore, the effective interest rate, as well as the future cash flows, changes along with the market movement. Every one percent increase in the market interest will decrease (increase) the net profit by ($371,656) thousand and ($341,171) thousand for the nine months ended September 30, 2021 and 2020, respectively.

B. Credit risk
Credit risk refers to the risk of financial loss to the Group arising from default by counter-parties of financial instruments on the contract obligations. Credit risk of the Group mainly comes from receivables under operating activities and bank deposits and other financial instruments under investing activities. Credit risks related to operation and finance risks are managed separately.
Credit risk related to operations
To maintain the quality of accounts receivable, the Group has established the procedures for credit risk management with regards to its operations.
Risk assessment on individual customer includes factors that could affect the customer's ability to pay, such as the customer's financial status, the Group’s internal credit ratings, historical transactions and current economic conditions. Financial credit risk

The credit risks of bank deposits and other Financial instruments are measured and monitored by the Group’s financial departments. The Group does not expect significant credit risk because the counterparties are creditworthy and investment-graded financial institutions, companies and government agencies without any significant default concerns. In addition, the Group does not have any debt instrument investments that are either measured at amortized cost, or at FVTOCI.

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(A) Credit concentration risk

As of September 30, 2021, December 31, 2020, and September 30, 2020 the top ten clients accounted for 54.12%, 48.61%, and 52.22% of the Group’s accounts receivable, indicating a credit concentration risk. However, no significant credit concentration risk was shown from the remaining accounts receivables.

(B) Measurement of expected credit impairment loss
a. Accounts receivables and contract assets apply the simplified approach. Please refer to Note 6.4. and Note 6.31 for details.
b. Indications for determining whether the credit risk is increased significantly: None (the Group does not have any debt instrument investments that are either measured at amortized cost, or at FVTOCI).
c. Collaterals and other credit enhancement held to avoid credit risks from financial assets:

The following table shows the maximum exposure to credit risk regarding financial assets recognized in the consolidated balance sheets, pledged collateral, master netting arrangements and other credit enhancement held by the Group:

Decreased	amount of maximumexposure to creditrisks	amount of maximumexposure to creditrisks	amount of maximumexposure to creditrisks
Collateral $ - - - $- Decreased	Net Settlement Agreement Other Credit Enhancement Total $ - $ - $ - - - - - - - $- $- $- amountof maximumexposureto credit risks		Total
			$ -
			- -
			$-
Collateral $ - - - $-	Net Settlement Agreement $ - - - $-	Other Credit Enhancement $ - - - $-	Total
			$ -
			- -
			$-

－－ 70

Decreased	amount of maximum exposure to credit risks	amount of maximum exposure to credit risks	amount of maximum exposure to credit risks
Collateral $ - - - $ -	Net Settlement Agreement $ - - - $ -	Other Credit Enhancement $ - - - $ -	Total
			$ -
			- -
			$ -

C. Liquidity risk

(A)Liquidity risk management

There were no significant changes in the Group's objects and policies for liquidity risk management for the nine months ended September 30, 2021. Please refer to Note 12(2) of the consolidated financial statements for the year ended December 31, 2020 for the related information.

(B)Analysis of financial liabilities

September 30, 2021

				September30,	2021
Non-derivative financial Liabilities	Within 6 months	7-12 months $2,452,664 - - - 14,834 3,200 3,193,098 902 $5,664,698	1-2 years	2-5 years	Over 5 years $ - - - - - 53,191 12,051,871 9,302 $12,114,364	Contractual cash flows $17,463,220 1,361,000 1,433,776 1,521,537 1,896,284 90,899 36,583,869 17,878 $60,368,463	Carrying amount
Short-term loans Short-term notes and bills payable Notes payable Accounts payable Other payables Lease liabilities (including current) Long-term loans (including current portion) Guarantee deposits received Subtotal	$15,010,556 1,361,000 1,433,776 1,521,537 1,881,450 5,654 2,109,960 4,239		$ - - - - - 8,758 4,234,471 86	$ - - - - - 20,096 14,994,469 3,349			$17,463,220 1,357,925 1,433,776 1,521,537 1,896,284 76,013 36,470,668 17,878
	$23,328,172		$4,243,315	$15,017,914			$60,237,301

Further information on lease liability maturity analysis was as follows:

Lease liabilities	Less than 1 year	1-5 years	5-10 years	10-15 years	15-20 years $12,278	Over 20 years $15,673	Total undiscounted lease payments $90,899
	$8,854	$28,854	$12,962	$12,278

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Non-derivative financial Liabilities			December31,2020	December31,2020	December31,2020
	Within 6 months	7-12 months	1-2 years	2-5 years	Over 5 years $ - - - - - 53,440 11,826,625 5,885 $11,885,950 $ -	Contractual cash flows $14,925,307 1,292,000 469,760 995,914 1,753,874 97,247 33,979,990 18,685 $53,532,777 $14,495	Carrying amount
Short-term loans Short-term notes and bills payable Notes payable Accounts payable Other payables Lease liabilities (including current) Long-term loans (including current portion) Guarantee deposits received Subtotal Derivative financial liabilities	$12,089,375 1,292,000 469,760 995,914 1,753,874 4,198 3,005,392 1,211	$2,835,932 - - - - 5,721 2,329,412 1,131	$ - - - - - 8,992 7,745,904 3,272	$ - - - - - 24,896 9,072,657 7,186			$14,925,307 1,289,365 469,760 995,914 1,753,874 81,920 33,884,088 18,685
	$19,611,724	$5,172,196	$7,758,168	$9,104,739			$53,418,913
	$14,495	$ -	$ -	$ -			$14,495

Further information on lease liability maturity analysis was as follows:

Lease liabilities Non-derivative financial Liabilities	Less than 1 year	Less than 1 year	1-5 years	5-10 years	5-10 years	10-15 years	10-15 years	Over 20 years $15,673	Total undiscounted lease payments
	$9,919		$33,888	$13,211		$12,278			$97,247

	Within 6 months	7-12 months		1-2 years	2-5 years		Over 5 years $ - - - - - 56,094 10,497,906 3,239 $10,557,239 $ -	Contractual cash flows $14,299,731 1,234,000 552,196 1,017,628 1,179,681 100,630 34,789,443 18,078 $53,191,387 $3,662	Carrying amount
Short-term loans Short-term notes and bills payable Notes payable Accounts payable Other payables Lease liabilities (including current) Long-term loans (including current portion) Guarantee deposits received Subtotal Derivative financial liabilities	$12,688,424 1,234,000 552,196 1,017,628 1,179,681 3,183 2,005,726 996	$1,611,307 - - - - 6,573 3,266,603 1,885		$ - - - - - 8,822 7,159,876 2,683	$ - - - - - 25,958 11,859,332 9,275				$14,299,731 1,231,412 552,196 1,017,628 1,179,681 83,200 34,687,173 18,078
	$18,681,834	$4,886,368		$7,171,381	$11,894,565				$53,069,099
	$3,662	$ -		$ -	$ -				$3,662

Further information on lease liability maturity analysis was as follows:

Lease liabilities

Less than 1 year 1-5 years 5-10 years 10-15 years $9,756 $34,780 $13,327 $12,278	15-20 years $12,278	Over 20 years $18,211	Total undiscounted lease payments
			$100,630

The Group does not expect a maturity analysis of which the cash flows timing would be significantly earlier, or the actual amount would be significantly different.

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(2) Types of Financial instruments Financial assets September 30, 2021 Financial assets measured at amortized cost Cash and cash equivalents $4,136,010 Notes receivables and accounts receivables (including related parties) 3,790,975 Other receivables(including related parties) 537,737 Other financial assets - current 1,640,732 Refundable deposits 192,085 Other financial assets - noncurrent 497,055 Financial assets at fair value through profit or loss - current 335,650 Financial assets at fair value through profit or loss - noncurrent - Financial assets at fair value through other comprehensive income or loss - noncurrent 722,098 Financial liabilities Financial liabilities measured at amortized costs Short-term loans 17,463,220 Short-term notes and bills payable 1,357,925 Notes receivables and accounts payable (including related parties) 2,955,313 Other payables (including related parties) 1,896,284 Long-term loans (including current portion) 36,470,668 Guarantee deposits 17,878 Lease liabilities (including due within one year) 76,013 Financial liabilities at fair value through profit or loss - current -	December 31, 2020 $3,730,782 2,619,438 207,127 807,846 222,895 414,441 697,978 - 725,334 14,925,307 1,289,365 1,465,674 1,753,874 33,884,088 18,685 81,920 14,495	September 30, 2020
		$3,461,401 2,700,171 265,488 1,162,297 891,060 528,236 470,949 282,231 763,065 14,299,731 1,231,412 1,569,824 1,179,681 34,687,173 18,078 83,200 3,662

(4) Fair Value Information:

For information on fair value of financial assets and financial liabilities not measured at fair value, please refer to Note 12(4)3. For fair value of investment property measured at cost, please refer to Note 6.14. For fair value of investments in associates with quoted prices in an open market, please refer to Note 6.11 for details.
Definition of the three levels in fair value Level 1

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

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Level 2

Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. The fair value of the Group’s investment in off-the-run government bonds, corporate bonds, bank debentures, convertible bonds and most derivative instruments is included in Level 2.

Level 3

Unobservable inputs for the asset or liability. The fair value of the Group’s investment in certain derivative instruments, equity investment without active market and investment properties is included in Level 3.

Financial instruments not measured at fair value
Management of the Group thinks that the carrying amount of financial instruments not measured at fair value, including cash and cash equivalents, accounts receivables, other financial assets, refundable deposits, short term loans, short-term bills payable, accounts payable, lease liabilities (including current and noncurrent), long-term loans (including current portion), and deposits received, is the reasonable approximation of their fair value.
Fair value hierarchy:

The fair value hierarchy of financial instrument is measured at fair value on a recurring basis. Information about the Group’s fair value hierarchy is disclosed in the following table:

the following table:
Item Assets: Recurring fair value Financial assets at fair value through profit or loss Non-derivative financial assets held for trading Domestic unlisted stocks Financial assets measured at FVTOCI Domestic unlisted stocks Domestic listed stocks Total Item Assets: Recurring fair value Financial assets at fair value through profit or loss Non-derivative financial assets held for trading Domestic unlisted stocks Financial assets measured at FVTOCI Domestic unlisted stocks Domestic listed stocks Total		September 30, 2021
	Level 1 $51,003 - - 24,126 $75,129	Level 2 Level 3 $ - $ - - 284,647 - 697,972 - - $- $982,619 December 31, 2020		Total
				$ 51,003 284,647 697,972 24,126
				$1,057,748

	Level 1 $35,327 - - 29,789 $65,116	Level 2 $ - - - - $-	Level 3 $ - 662,651 695,545 - $1,358,196	Total
				$35,327 662,651 695,545 29,789
				$1,423,312

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Liabilities:

Recurring fair value

Financial liabilities at fair value through profit or loss Derivative financial instruments $ - $14,495

$ -

$14,495

	September 30, 2020	September 30, 2020
Level 1 $91,586 - - - 28,020 $119,606 $-	Level 2 $ - - - - - $- $3,662	Level 3 $ - 661,594 - 735,045 - $1,396,639 $-	Total
			$91,586 661,594 - 735,045 28,020
			$1,516,245
			$3,662

Fair value valuation technique for instruments measured at fair value:
(1) The fair value of financial instruments with quoted prices in active markets is the quoted market prices. Market prices published by major trading centers and exchanges for on-the-run government bonds are the basis for the fair value of listed equity instruments and debt instruments with quoted prices in active markets. A market is regarded as active if quoted prices are readily and regularly available from an exchange, dealer, broker, industry group, pricing service or regulatory agency, and those prices represent actual and regularly occurring market transactions on an arm's length basis. If one of the conditions fails, the market is not deemed active. In general, indications of an inactive market include a wide bid-ask spread, a significant increase in the bid-ask spread and low level of trading volume.

The fair value of financial instruments with active markets held by the Group are stated by their natures and types as follows:

a. Listed stocks: closing prices.
b. Open-end funds: net worth.
(2) Except for financial assets with an active market, the fair value of other financial assets is obtained either based on the valuation technique or by reference to the quotes from counter-parties. Fair value can be obtained by using a valuation technique that refers to the fair value of financial instruments having substantially the same terms and characteristics, the discounted cash flow method, or other valuation technique e.g. the one that applies market

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information available on the balance sheet date to a pricing model for calculation.

The fair value of the Group’s holding of unlisted stocks for which no active market exists is estimated by using the market approach, which refers to the valuation of similar entities, quoted prices from a third party, the net worth of an entity and the operating performance. In addition, the significant unobservable inputs mainly comprise liquidity discount, in which the possible changes would not result in a potentially material financial effect. Therefore, the Group does not disclose the quantitative information.

(3) When evaluating financial instruments that are non-standard and with lower complexity, e.g. debt instruments with no active markets, interest rate swaps, foreign exchange swaps and options, the Group adopts valuation techniques that are commonly used by market participants. The parameters used in the valuation models for those financial instruments are normally observable data in the market.
(4) Valuation of derivative financial instruments adopts valuation models that are commonly used by market participants, e.g. discounted cash flows method and option pricing model.
(5) Outputs from the valuation models are estimates and valuation techniques may not be able to reflect all relevant factors of the financial and non-financial instruments held by the Group. Therefore, when needed, estimates from the valuation model would be adjusted based on additional parameters, e.g. model risk or liquidity risk. According to the Group's policies of fair value valuation management and relevant control procedures, the Group's management considers that valuation adjustments as being necessary and appropriate for a fair and just presentation of financial and non-financial instruments on the consolidated balance sheet. Every price data and parameters used in the valuation is reviewed thoroughly and adjusted for current market conditions.
(6) The Group incorporates the adjustment of credit risk assessment into the fair value measurement of financial and non-financial instruments to reflect the credit risk of counter-party and the credit quality of the Group.
Transfers between Level 1 and Level 2 fair value hierarchy: None.
Statement of changes in Level 3 fair value hierarchy:

Item Beginning balance Addition Disposal Transferred to Investments accounted for using equity method Proceeds from capital reduction Recognized in profit and loss Recognized in other comprehensive income Ending balance	Investment in unquoted financial instruments	Investment in unquoted financial instruments
	Nine Months Ended September 30
	2021 $1,358,196 - (29,925) (379,811) (847) 1,808 33,198 $982,619	2020
		$1,332,041 58,620 - - - 5,554 424
		$1,396,639

－－ 76

Valuation process for Level 3 fair value measurement: Valuation process regarding fair value Level 3 is conducted by the Group’s finance department, by which the independence of fair value of financial instruments is verified though use of independent data source in order to make the valuation results close to market conditions. Such valuation results are regularly reviewed so as to ensure their reasonableness.

(5) Transfer of financial assets:

Transferred financial assets fully derecognized
The Group entered accounts receivable factoring agreement with Chang Hwa Bank. According to the contract, the Group does not bear the risk of default over the transferred accounts receivables but only the loss from trade disputes. As the Group did not have any continued participation over those transferred accounts receivables, they were derecognized from the accounts. Information on outstanding receivables was as follows:

Nine months ended September 30, 2021:

Counter-party	Advance Amount - Beginningof the Period	Factoring Amount	Amount Collected in Cash	Advance Amount - End of the Period	Annual Interest Rate for the Advance Amount	Line of Credit
Chang Hwa Bank	- (EUR 0)	1,801 (EUR 52)	1,801 (EUR 52)	- (EUR 0)	1.16464%	EUR 2,300

Nine months ended September 30, 2020:

Counter-party	Advance Amount - Beginningof the Period	Factoring Amount	Amount Collected in Cash	Advance Amount - End of the Period	Annual Interest Rate for the Advance Amount	Line of Credit
Chang Hwa Bank	25,096 (EUR 746)	43,217 58,273 (EUR 1,275))(EUR 1,731)		10,040 (EUR 290)	1.16464%	EUR 2,000

2. Transferred financial assets not fully derecognized: None

(6) Offsetting financial assets and financial liabilities: None.

－－ 77

13. SUPPLEMENTARY DISCLOSURES

A. Significant transactions information
(a)Financing provided to others (Table 1)
(b)Endorsements/guarantees provided (Table 2)
(c)Marketable securities held (excluding investments in subsidiaries and associates) (Table 3)
(d)Marketable securities acquired and disposed of at costs or prices of at least NT$300 million or 20% of the paid-in capital (Table 4)
(e)Acquisition of individual real estate at costs of at least NT$300 million or 20% of the paid-in capital (Table 5)
(f)Disposal of individual real estate at prices of at least NT$300 million or 20% of the paid-in capital (Table 6)
(g)Total purchases from or sales to related parties amounting to at least NT$100 million or 20% of the paid-in capital (Table 7)
(h)Receivables from related parties amounting to at least NT$100 million or 20% of the paid-in capital (Table 8)
(i)Trading in derivative instruments (Note 6.2)
(j)The business relationship between the parent and the subsidiaries and significant transactions between them (Table 9)
B. Information on investees (Table 10)
C. Information on investments in mainland China (Table 11)
D. Information of major shareholders: List all shareholders with a stake of 5 percent or greater in shareholding percentage and the number of shares. (Table 12)

－－ 78

TABLE 1

Yieh Phui Enterprise Co., Ltd. and Subsidiaries Financing provided to others September 30, 2021

Unit: Thousands of NT Dollar/ Foreign Currency

No.	Creditor	Borrower	General ledger account	Related party	Maximum outstanding balance for the period	Ending balance	Amount actually drawn	Interest rate	Nature of loan	Transaction amount	Reason for short-term financing	Allowance for doubtful accounts	Collateral	Collateral	Limit on loans granted to a single party	Ceiling on total loans granted
													Item	Value
1	Yieh Phui (Hong Kong) Holdings Limited	Yieh Phui (China) Technomaterial Co., Ltd.	Long-term receivable – related party and Other receivables - relatedparty	Y	3,034,327 (RMB118,250) (USD 88,270) (EUR 2,365)	2,923,778 (RMB198,250) (USD71,670) (EUR2,365)	2,921,502 (RMB197,720) (USD71,670) (EUR2,365)	2.00%- 7.53%	2	－	Operating capital	－	－	－	12,236,327 (Note 3)	12,236,327 (Note 3)
		Yieh Phui Enterprise Co., Ltd.	Other receivables - relatedparty	Y	404,985 (USD 14,500)	－	－	2.00%	2	－	Operating capital	－	－	－	12,236,327 (Note 3)	12,236,327 (Note 3)
2	Yieh Phui (China) Technomaterial Co.,Ltd.	Tianjin Lianfa Precision Steel Corporation	Long-term receivable – relatedparty	Y	109,830 (RMB 25,000)	107,358 (RMB 25,000)	107,358 (RMB 25,000)	4.00%	2	－	Operating capital	－	－	－	12,236,327 (Note 3)	12,236,327 (Note 3)
3	Kuo Chang Enterprise Co., Ltd.	United Brightening Development Corp.	Other receivables - relatedparty	Y	25,000	－	－	3.00%	2	－	Operating capital	－	－	－	314,652 (Note 2)	314,652 (Note 1)
4	Shin Yang Steel Co., Ltd.	Yieh Phui (Hong Kong) Holdings Limited	Other receivables - relatedparty	Y	278,500 (USD 10,000)	278,500 (USD 10,000)	83,550 (USD 3,000)	2.00%	2	－	Operating capital	－	－	－	333,274 (Note 2)	333,274 (Note 1)
5	Applied Wireless Identifications Group, Inc.	Yieh Phui (Hong Kong) Holdings Limited	Other receivables - relatedparty	Y	89,472 (USD 3,200)	89,120 (USD 3,200)	89,120 (USD 3,200)	2.35%- 3.00%	2	－	Operating capital	－	－	－	90,330 (Note 2)	90,330 (Note 1)
6	EMMT Systems Corporation	Yieh Phui (Hong Kong) Holdings Limited	Other receivables - relatedparty	Y	267,360 (USD 9,600)	267,360 (USD 9,600)	267,360 (USD 9,600)	2.00%	2	－	Operating capital	－	－	－	269,674 (Note 2)	269,674 (Note 1)

(Note 1) The maximum amount of total loans to others shall not exceed 40% of the creditor's net worth.

(Note 2) The maximum amount of loans granted to a single entity shall not exceed 40% of the creditor's net worth.

(Note 3) Total loans between foreign entities that are 100% owned directly or indirectly by the Company shall not exceed 40% of the Company’s net worth and loans to a single entity shall not exceed 40% of the Company’s net worth.

(Note 4) Nature of loans is classified as follows: Entities having business relations with the Company is ‘1’; entities with needs for short-term financing is ‘2’.

(Note 5) Transactions between the aforesaid subsidiaries and the parent company have been written off.

－－ 79

TABLE 2

Yieh Phui Enterprise Co., Ltd. and Subsidiaries Endorsements/guarantees provided September 30, 2021

Unit: Thousands of NT Dollar/ Foreign Currency

No.	Endorser/ guarantor	Party being endorsed/guaranteed	Party being endorsed/guaranteed	Limit on endorsement/ guarantees provided for a single party	Maximum balance for the period	Ending balance	Amount actually drawn	Amount of endorsement/ guarantees collateralized by properties	Ratio of accumulated endorsement/ guarantee to net equity per latest financial statement	Maximum endorsement/ guarantee allowable	Guarantee provided by parent company to subsidiary	Guarantee provided by a subsidiary to parent company	Guarantee provided to subsidiaries in Mainland China
		Company name	Relationship with the endorser/ guarantor
0	Yieh Phui Enterprise Co., Ltd. (Note 1)	Yieh Phui (China) Technomaterial Co., Ltd.	Investee of the Company’s Sub-subsidiary	30,590,817	8,538,641 (RMB 1,962,500)	6,012,020 (RMB 1,400,000)	1,868,021 (RMB 435,000)	－	19.65%	30,590,817	Y	－	Y
		Shin Yang Steel Co., Ltd.	Subsidiary of the Company	30,590,817	1,236,000	1,236,000	898,349	336,000	4.04%	30,590,817	Y	－	－
		Yieh Phui (Hong Kong) Holdings Limited	Subsidiary of the Company	30,590,817	4,191,425 (USD 150,500)	4,191,425 (USD150,500)	2,590,344 (USD 63,200) (RMB 175,535) (EUR2,365)	－	13.70%	30,590,817	Y	－	－
1	Shin Phui Steel Corporation (Note 2)	Yieh Phui Enterprise Co., Ltd.	Parent company of the company	1,252,190	981,890	981,890	981,890	981,890	392.07%	1,252,190	－	Y	－
2	Kings Garden International Co., Ltd. (Note 3)	Great Emperor Hotel Co., Ltd.	The same ultimate parent company	31,665,722	8,175,000	8,175,000	8,061,000	8,175,000	180.72%	31,665,722	－	－	－
3	Great Emperor Hotel Co., Ltd. (Note 4)	Kings garden International Co., Ltd.	The same ultimate parent company	33,635,430	7,583,000	7,583,000	7,190,000	7,583,000	157.81%	33,635,430	－	－	－
4	Shin Yang Steel Co., Ltd. (Note 6)	Yieh Phui Enterprise Co., Ltd.	Parent company of the company	2,499,554	900,000	900,000	280,000	900,000	108.02%	2,499,554	－	Y	－
5	Yieh Phui (China) Technomaterial Co., Ltd. (Note 5)	Tianjin Lianfa Precision Steel Corporation	Subsidiary of the Company	10,192,898	42,642 (RMB 9,930)	42,753 (RMB 9,930)	42,642 (RMB 9,930)	－	0.42%	10,192,898	Y	－	Y
6	Sin Bang Investment & Development Co., Ltd.(Note 7)	United Brightening Development Corp.	The same ultimate parent company	465,909	200,000	200,000	200,000	200,000	85.85%	465,909	－	－	－

－－ 80

(Note 1): The maximum amount of endorsement/guarantee provided by the Company shall not exceed the Company’s net worth. The same limit applies to the endorsement/guarantee provided by the Company to a single subsidiary.
(Note 2): The maximum amount of endorsement/guarantee provided by Shin Phui Steel Corporation shall not exceed 5 times of Shin Phui’s net worth. The same limit applies to the endorsement/guarantee provided by Shin Phui Steel Corporation to a single entity.
(Note 3): The maximum amount of endorsement/guarantee provided by Kings Garden International Co., Ltd. shall not exceed 7 times of Kings Garden’s net worth. The same limit applies to the endorsement/guarantee provided by Kings Garden International Co., Ltd. to a single entity.
(Note 4): The maximum amount of endorsement/guarantee provided by Great Emperor Hotel Co., Ltd. shall not exceed 7 times of Great Emperor Hotel’s net worth. The same limit applies to endorsement/guarantee provided by Great Emperor Hotel Co., Ltd. to a single entity.
(Note 5): The maximum amount of endorsement/guarantee provided by Yieh Phui (China) Technomaterial Co., Ltd. shall not exceed the net worth of Yieh Phui (China) Technomaterial Co., Ltd. The same limit applies to the endorsement/guarantee provided Yieh Phui (China) Technomaterial Co., Ltd. to a single subsidiary.
(Note 6): The maximum amount of endorsement/guarantee provided by Shin Yang Steel Co., Ltd. shall not exceed 3 times of Shin Yang’s net worth. The same limit applies to the endorsement/guarantee provided by Shin Yang Steel Co., Ltd. to a single entity.
(Note 7) : The maximum amount of endorsement/guarantee provided by Sin Bang Investment & Development Co., Ltd. shall not exceed 2 times of Sin Bang’s net worth. The same limit applies to the endorsement/guarantee provided by Sin Bang Investment & Development Co., Ltd. to a single entity.
(Note 8): The net worth referred to above is based on the latest financial statements audited or reviewed by independent auditors.

－－ 81

TABLE 3

Yieh Phui Enterprise Co., Ltd. and Subsidiaries Marketable securities held (excluding investments in subsidiaries and associates) September 30, 2021

Unit: Thousand Shares；Thousands of NT Dollar/ Foreign Currency

Securities held by	Marketable securities	Relationship with the securities issuer	General ledger account	As of September 30, 2021	As of September 30, 2021	As of September 30, 2021	As of September 30, 2021
				Shares (in thousands)	Carrying value	Ownership (%)	Fair value
Yieh Phui Enterprise Co., Ltd.	Fund/ Fubon 3-Year Maturity Asia USD Bond Fund	None	Financial assets at fair value through profit or loss - current	500	4,523	－	4,523
	Fund/Taishin ESG Global Environmental Growth Equity Fund	None	Financial assets at fair value through profit or loss - current	500	4,760	－	4,760
	Fund/TCB Global Healthcare M-A Income Fund	None	Financial assets at fair value through profit or loss - current	500	4,820	－	4,820
	Fund/Mega Taiwan Financial and Conventional Industries Featured Dividend Fund	None	Financial assets at fair value through profit or loss - current	1,500	15,000	－	15,000
	Fund/PineBridge ESG Quantitative Global Equity Fund	None	Financial assets at fair value through profit or loss - current	300	2,988	－	2,988
	Fund/Invesco 3 to 6 Year Maturity Emerging Market Bond Fund	None	Financial assets at fair value through profit or loss - current	100	1,015	－	1,015
	Fund/Taishin China Policy Trends Equity Fund	None	Financial assets at fair value through profit or loss - current	299	3,006	－	3,006
	Preferred stock/ Eliter International Corp.- Preferred stock E	An investee accounted for usingequitymethod	Financial assets at fair value through profit or loss - current	19,706	214,743	－	214,743
		Total			250,855		250,855
	Stock/ TaiwanVes-Power Co., Ltd.	Related party in substance	Financial assets at fair value through other comprehensive income or loss - noncurrent	1,800	80,632	3.60%	80,632
	Stock/ New Spring Construction Corp.	Related party in substance	Financial assets at fair value through other comprehensive income or loss - noncurrent	17,003	119,964	15.49%	119,964
	Stock/ Taiwan Implant Technology Company, Ltd.	None	Financial assets at fair value through other comprehensive income or loss - noncurrent	701	5,507	4.20%	5,507
	Stock/ Sunny Bank	None	Financial assets at fair value through other comprehensive income or loss - noncurrent	4,723	40,717	0.16%	40,717
	Stock/ Universal Venture Capital Investment Co., Ltd.	None	Financial assets at fair value through other comprehensive income or loss - noncurrent	1,100	6,429	0.91%	6,429
	Stock/ Yieh Corporation Limited	Related party in substance	Financial assets at fair value through other comprehensive income or loss - noncurrent	200	108,132	4.18%	108,132

－－ 82

Securities held by	Marketable securities	Relationship with the securities issuer	General ledger account	As of September 30, 2021	As of September 30, 2021	As of September 30, 2021	As of September 30, 2021	As of September 30, 2021	As of September 30, 2021
				Shares (in thousands)		Carrying value	Ownership (%)	Fair value
Yieh Phui Enterprise Co., Ltd.	Stock/ Pacific Harbor Stevedoring Corporation	Director of the entity is the Company’s director	Financial assets at fair value through other comprehensive income or loss - noncurrent	150	4,526		3.00%		4,526
	Stock/ ImageDJ Software Corp.	None	Financial assets at fair value through other comprehensive income or loss - noncurrent	24	535		0.96%		535
	Stock/ Chao-Feng Venture Capital Co., Ltd.	None	Financial assets at fair value through other comprehensive income or loss-noncurrent	1,000	7,412		0.79%		7,412
	Stock/ Skylark International Hotel Co., Ltd.	Related party in substance	Financial assets at fair value through other comprehensiveincome or loss- noncurrent	20,528	295,747		13.68%		295,747
	Stock/ Neolink Capital Corp.	None	Financial assets at fair value through other comprehensiveincome or loss- noncurrent	3,000	23,845		2.57%		23,845
	Stock/ Asia Pacific Telecom Co., Ltd.	None	Financial assets at fair value through other comprehensiveincome or loss- noncurrent	2,949	24,126		0.08%		24,126
		Total			717,572				717,572
Worthing Honor Holdings Ltd.	Stock/ SEE Corporation	None	Financial assets at fair value through profit or loss - current	1	－		－		－
KINGSGARDEN INTERNATIONAL CO.,LTD	Fund/ PineBridge ESG Quantitative Global Equity Fund	None	Financial assets at fair value through profit or loss - current	300	2,988		－		2,988
EMMT Systems Corporation	Stock/ Rodan (Taiwan) Ltd.	None	Financial assets at fair value through other comprehensiveincome or loss- noncurrent	17	－		0.73%		－
Kuo Chang Enterprise Co., Ltd.	Preferred stock/ Eliter International Corp.- Preferred stock E	An investee of the Parent Company under equity method.	Financial assets at fair value through profit or loss - current	1,498	16,209		－		16,209
United Brightening Development Corp.	Preferred stock/ Eliter International Corp.- Preferred stock E	An investee of the Parent Company under equity method.	Financial assets at fair value through profit or loss - current	479	5,187		－		5,187
Yieh Hsing Enterprise Co., Ltd	Fund/Taishin ESG Global Environmental Growth Equity Fund	None	Financial assets at fair value through profit or loss-current	200	1,904		－		1,904
	Fund/Shin Kong Environmental Sustainability Bond Fund	None	Financial assets at fair value through profit or loss-current	200	1,987		－		1,987
	Fund/Dah-Fa Fund	None	Financial assets at fair value through profit or loss-current	21	1,013		－		1,013
	Fund/KGI ESG Sustainable Emerging Market Bond Fund	None	Financial assets at fair value through profit or loss-current	300	2,999		－		2,999
	Fund/Mega Taiwan Financial and Conventional Industries FeaturedDividendFund	None	Financial assets at fair value through profit or loss-current	300	3,000		－		3,000
	Fund/Invesco 3 to 6 Year Maturity Emerging Market Bond Fund	None	Financial assets at fair value through profit or loss-current	100	1,000		－		1,000
	Preferred stock/Eliter International Corp.- Preferred stock E	An investee accounted forusing equitymethod	Financial assets at fair value through profit or loss-current	4,450	48,508		－		48,508
	Total				60,411		－		60,411
	Stock/ Pacific Harbor Stevedoring Corporation	Director of the entity is the Company’s chairman	Financial assets at fair value through other comprehensiveincome- noncurrent	150	4,526		3.00%		4,526

－－ 83

TABLE 4

Yieh Phui Enterprise Co., Ltd. and Subsidiaries Marketable securities acquired and disposed of at costs or prices of at least NT$300 million or 20% of the paid-in capital For The Nine Months Ended September 30, 2021

Unit: Thousand Shares；Thousands of NT Dollar

Investor	Marketable securities	General ledger account	Counterparty	Relationship with the investor	Beginning balance	Beginning balance	Addition	Addition	Disposal	Disposal	Disposal	Disposal	Ending balance	Ending balance
					Number of shares	Amount	Number of shares	Amount	Number of shares	Selling price	Book value	Gain (loss) on disposal	Number of shares	Amount
Yieh Phui Enterprise Co., Ltd.	Great Emperor Hotel Co., Ltd.	Investments accounted for using equity method	Capital increase by cash	Investee of the Company’s Sub-subsidiary	252,000	2,491,930	40,000	273,962 (Note 1)	－	－	－	－	292,000	2,765,892
	Kings Garden International Co., Ltd.	Investments accounted for using equity method	Capital increase by cash	Investee of the Company’s Sub-subsidiary	213,000	2,087,966	45,000	395,243 (Note 2)	－	－	－	－	258,000	2,483,209

(Note 1): Including capital increase by cash of $412,000 thousand, income and loss on investment accounted for using equity method in the amount of ($126,105) thousand and accumulated earning/loss of ($11,933) thousand recognized due to the failure to subscribe to new shares in proportion to its shareholding percentage.

(Note 2):Including capital increase by cash of $463,500 thousand, income and loss on investment accounted for using equity method in the amount of ($56,926) thousand and accumulated earning/loss of ($11,331) thousand recognized due to the failure to subscribe to new shares in proportion to its shareholding percentage.

－－ 84

TABLE 5

Yieh Phui Enterprise Co., Ltd. and Subsidiaries Acquisition of individual real estate at costs of at least NT$300 million or 20% of the paid-in capital For The Nine Months Ended September 30, 2021

							Unit: Thousands of NT Dollar	Unit: Thousands of NT Dollar	Unit: Thousands of NT Dollar	Unit: Thousands of NT Dollar	Unit: Thousands of NT Dollar	Unit: Thousands of NT Dollar	Unit: Thousands of NT Dollar
Company name	Real estate	Transaction date	Transaction amount	Payment terms	Counterparty	Relationship with the seller	Prior transaction of related counterparty				Price reference	Purpose of acquisition	Other terms
							Owner	Relationship	Transfer Date	Amount
Kings Garden International Co., Ltd.	Construction of commercial building at E-da Asia Plaza	January 28, 2014 ~ January 28, 2021	5,848,651	5,459,593	New Spring Construction Corp., Taiwan Cement Corporation, Yieh Hsing Enterprise Co., Ltd. and Yieh Phui Enterprise Co., Ltd. Union Engineering Co., Ltd. Teco Electric & Machinery Co., Ltd., Hsin.Kao Gas Co,. Ltd. etc.	Related party in substance, Parent company, ultimate parent company	－	－	－	－	Determined at prices agreed on by both parties upon negotiation or through price comparison with reference to appraisal reports issued by professional appraisal institutions	To build a boutique shopping mall	None
Great Emperor Hotel Co., Ltd.			6,452,491	5,932,765								For development of an international hotel

Note: Transactions between the aforesaid subsidiaries and the parent company are eliminated.

－－ 85

TABLE 6

Yieh Phui Enterprise Co., Ltd. and Subsidiaries Disposal of individual real estate at prices of at least NT$300 million or 20% of the paid-in capital For The Nine Months Ended September 30, 2021

Unit: Thousands of NT Dollars

Real estate disposed by	Real estate	Transaction date or date of the event	Acquisition date	Carrying value	Transaction amount(Note )	Status of collection of proceeds	Gain (loss) on disposal	Counterparty	Relationship with the seller	Reason for disposal	Price reference	Other terms
Yieh Phui Enterprise Co., Ltd.	No.0001-0062, Pingnan Section, Fangliao Township	December 1, 2020	September 6, 2006	159,643	698,927	Fully recovery	539,284	Shenfeng Special Application Materials Co., Ltd.	－	Enrich the working capital of the company	Evermore Valuation Real Estate Appraisal Firm	None

(Note): The amount of the contract price without tax minus the necessary fee.

－－ 86

TABLE 7

Yieh Phui Enterprise Co., Ltd. and Subsidiaries Total purchases from or sales to related parties amounting to at least NT$100 million or 20% of the paid-in capital For The Nine Months Ended September 30, 2021

			Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency
Purchaser/ seller	Counterparty	Relationship with the counterparty	Transaction				Differences in transaction terms compared to third party transactions		Notes/accounts receivable (payable)		Note
			Purchases (sales)	Amount	Percentage of total purchases (sales)	Credit term	Unit price	Credit term	Balance	Percentage of total notes/accounts receivable (payable)
Yieh Phui Enterprise Co., Ltd.	Yieh Hong Enterprise Co., Ltd.	Related party in substance	Purchases			T/T or Sight L/C before goods acceptance.	－	－	3,889	0.75%	Accounts payable
				5,807,256	23.40%

	Yieh United Steel Corporation	An investee accounted for using equity method	Sales			Galvanized steel coils； payment periods were within one to two months. carbon steel: payment term is monthly, and closes in 15 days. Project is contractuallyagreed	－	－	22,806	0.97%	Accounts receivable
				223,337	0.82%

	Yieh Corporation Limited	Related party in substance	Sales			1-2 months	－	－	27,267	1.17%	Accounts receivable
				1,253,186	4.62%

	Asiazone Co., Limited	An investee accounted for using equitymethod	Sales			1-2 months	－	－	378,993	16.19%	Accounts receivable
				1,037,980	3.83%

	Shin Yang Steel Co., Ltd.	Subsidiary of the Company	Sales	985,320	3.63%	1-2 months	－	－	36,075	1.54%	Accounts receivable
	Shin Phui Steel Corporation	Subsidiary of the Company	Sales	245,487	0.90%	1-2 months	－	－	36,475	1.56%	Accounts receivable

－－ 87

Purchaser/ seller	Counterparty	Relationship with the counterparty		Transaction	Transaction	Transaction	Differences in transaction terms compared to third party transactions	Differences in transaction terms compared to third party transactions	Notes/accounts receivable (payable)	Notes/accounts receivable (payable)	Note
			Purchases (sales)	Amount	Percentage of total purchases (sales)	Credit term	Unit price	Credit term	Balance	Percentage of total notes/accounts receivable (payable)
Shin Yang Steel Co., Ltd.	Yieh Hong Enterprise Co., Ltd.	Related party in substance	Purchases	100,734	4.63%	T/T or Sight L/C before goods acceptance.	－	－	－	－	－
	Yieh United Steel Corporation	An investee accounted for using equity method	Purchases	457,355	21.03%	T/T or Sight L/C before goods acceptance.	－	－	7,005	16.14%	Accounts payable
Yieh Phui (China) Technomaterial Co., Ltd.	Tianjin Lianfa Precision Steel Corporation	Subsidiaries	Sales	1,289,666 (RMB 297,454)	4.14%	1-2 months	－	－	189,781 (RMB 44,194)	18.25%	Accounts receivable
	Asiazone Co., Limited	An investee of the Parent Company under equity method.	Sales	208,777 (USD 7,547)	0.68%	1-2 months	－	－	－	－	－
Yieh Hsing Enterprise Co., Ltd.	Yieh United Steel Corporation	An investee accounted for using equity method	Purchases	3,217,453	70.48%	T/T or Sight L/C before goods acceptance.	－	－	－	－	(Note 1)

(Note 1): The amount of associated companies entrusted the Group to sell stainless steel coils to the European Union amounted to $973,322 thousand, and the purchase amount of the aforementioned transaction was $955,806 thousand (the related accounts payable was $300,689 thousand), The Group recognizes income on a net basis for the transaction, and the above disclosed purchase amount does not include the purchase of commissioned sales.

(Note 2): Transactions between the aforesaid subsidiaries and the parent company are eliminated.

－－ 88

TABLE 8

Yieh Phui Enterprise Co., Ltd. and Subsidiaries Receivables from related parties amounting to at least NT$100 million or 20% of the paid-in capital September 30, 2021

					Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency
Creditor	Counterparty	Relationship with the counterparty	Ending balance	Turnover rate	Overdue receivables		Amount collected subsequent to the end of the reporting period (Note 2)	Allowance for doubtful accounts
					Amount	Action taken
Yieh Phui Enterprise Co.,Ltd.	Asiazone Co., Limited	Affiliated enterprises	378,993	5.19	－	－	285,624	－
Yieh Phui (Hong Kong) Holdings Limited	Yieh Phui (China) Technomaterial Co., Ltd.	Subsidiaries	2,921,502 (RMB 197,720) (USD 71,670) (EUR 2,365)	(Note 1)	－	－	RMB 40,000	－
Yieh Phui (China) Technomaterial Co., Ltd.	Tianjin Lianfa Precision Steel Corporation	Subsidiaries	107,358 (RMB 25,000)	(Note 1)	－	－	－	－
			189,781 (RMB 44,194)	10.29	－	－	RMB 18,360	－
EMMT Systems Corporation	Yieh Phui (Hong Kong) Holdings Limited	fellow subsidiary	267,360 (USD 9,600)	(Note 1)	－	－	－	－

(Note 1): These are accounts receivable financing, on which the calculation of turnover doesn’t apply.

(Note 2): Amounts received as of November 3, 2021.

(Note 3): Transactions between the aforesaid subsidiaries and the parent company have been written off.

－－ 89

TABLE 9

Yieh Phui Enterprise Co., Ltd. and Subsidiaries Intercompany Relationship and Significant Intercompany Transactions For The Nine Months Ended September 30, 2021

Individual transactions not exceeding NT$50,000 thousand are not disclosed. Transactions disclosed in assets or revenue will not be disclosed in the opposite transaction.

Unit: Thousands of NT Dollars/Foreign Currency

					Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency	Unit: Thousands of NT Dollars/Foreign Currency
Number (Note 1)	Company name	Counterparty	Relationship (Note 2)		Transaction
				Account	Amount	Transaction terms	Percentage of consolidated total operating revenues or total assets(Note 3)
0	Yieh Phui Enterprise Co., Ltd.	Shin Phui Steel Corporation	1	Right-of-use asset	68,900	－	0.07%
				Sales revenue	245,487	The payment period is 1-2 months after shipment	0.37%
		Shin Yang Steel Co., Ltd.	1	Sales revenue	985,320	The payment period is 1-2 months after shipment	1.49%
1	Yieh Phui (Hong Kong) Holdings Limited	Yieh Phui (China) Technomaterial Co., Ltd.	1	Long-term receivables	2,921,502	－	3.05%
					(RMB 197,720)
					(USD 71,670)
					(EUR 2,365)
2	Yieh Phui (China) Technomaterial Co., Ltd.	Tianjin Lianfa Precision Steel Corporation	1	Sales revenue	1,289,666	The payment period is 1-2 months after shipment	1.95%
					(RMB 297,454)
				Accounts receivable	189,781 (RMB 44,194)		0.20%
				Long-term receivables	107,358 (RMB 25,000)	－	0.11%

－－ 90

Number (Note 1)	Company name	Counterparty	Relationship (Note 2)		Transaction	Transaction
				Account	Amount	Transaction terms	Percentage of consolidated total operating revenues or total assets(Note 3)
3	APPLIED WIRELESS IDENTIFICATIONS GROUP,INC.	Yieh Phui (Hong Kong) Holdings Limited	3	Long-term receivables	89,120 (USD 3,200)	－	0.09%
4	Shin Yang Steel Co., Ltd	Yieh Phui (Hong Kong) Holdings Limited	3	Other receivables	83,550 (USD 3,000)	－	0.09%
5	EMMT Systems Corporation	Yieh Phui (Hong Kong) Holdings Limited	3	Other receivables	267,360 (USD 9,600)	－	0.28%

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

(1) Parent company is ‘0’.
(2) The subsidiaries are numbered in order starting from ‘1’.
Note 2: Relationship between transaction company and counterparty is classified into the following three categories:
(1) Parent company to subsidiary.
(2) Subsidiary to parent company.
(3) Subsidiary to subsidiary.
Note 3: Regarding percentage of transaction amount to consolidated total operating revenues or total assets, it is computed based on period-end balance of transaction to consolidated total assets for balance sheet accounts and based on accumulated transaction amount for the period to consolidated total operating revenues for income statement accounts.
Note 4: Transactions between the aforesaid subsidiaries and the parent company have been written off.

－－ 91

TABLE 10

Yieh Phui Enterprise Co., Ltd. and Subsidiaries Information on Investees September 30, 2021

Unit: Thousands of NT Dollar/ Foreign Currency

						Unit: Thousands of NT	Unit: Thousands of NT	Unit: Thousands of NT	Dollar/ Foreign	Currency
Investor	Investee	Location	Main business activities	Initial investment amount		Shares held as the period-end			Net Income (Loss) of the Investee	Share of Profit/Loss of Investee	Note
				September 30, 2021	December 31, 2020	Shares (in thousands)	Percentage of Ownership	Carrying Value
Yieh Phui Enterprise Co., Ltd.	Yieh Phui (Hong Kong) Holdings Limited	Hong Kong	Investment	7,455,887	7,455,887	233,500	100%	10,139,371	798,247	798,247
	Champion Logistic Inc.	Samoa	Investment	-	118,287	-	-	-	(131)	(118)
	Eliter International Corp.	Kaohsiung City	Construction of buildings	2,833,595	2,833,595	283,584	30.06%	2,595,983	(234,365)	(54,835)
	Yieh Hsing Enterprise Co., Ltd.	Kaohsiung City	Wire rods trading	2,261,296	2,261,296	304,654	57.41%	1,007,915	36,557	29,164
	Tangeng Iron Works Co., Ltd.	Kaohsiung City	Steel trading	1,453,572	1,453,572	39,553	11.30%	1,282,262	1,103,311	124,684
	E-Da Development Corp.	Kaohsiung City	Leisure development	2,096,196	2,096,196	209,619	28.44%	1,030,424	(339,532)	(96,571)
	United Brightening Development Corp.	Kaohsiung City	Technical consultation for steel products manufacturing	1,815,593	1,815,593	150,893	95.56%	1,589,748	151,181	144,472
	Shin Yang Steel Co., Ltd.	Kaohsiung City	Steel products related business	870,000	870,000	87,696	100%	977,738	143,232	143,407
	Yieh Mau Corp.	Kaohsiung City	Trading & manufacturing	422,605	422,605	52,658	23%	1,004,801	605,125	42,399
	Kuo Chang Enterprise Co., Ltd.	Kaohsiung City	Wholesale of hardware	1,356,261	1,356,261	107,370	99.04%	1,195,844	136,839	135,526
	Asiazone Co., Limited	Hong Kong	Steel trading	595,424	595,424	15,090	32.80%	635,214	35,081	11,508
	Shin Phui Steel Corporation	Kaohsiung City	Trading of steel products	214,236	214,236	23,917	100%	258,746	10,504	11,341
	Sin Bang Investment & Development Co.,Ltd.	Kaohsiung City	Investment	263,709	284,709	19,103	100%	235,113	22,634	22,634

－－ 92

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as theperiod-end	Shares held as theperiod-end	Shares held as theperiod-end	Net Income (Loss) of the Investee	Share of Profit/Loss of Investee	Note
				September 30, 2021	December 31, 2020	Shares (in thousands)	Percentage of Ownership	Carrying Value
Yieh Phui Enterprise Co., Ltd.	EMMT Systems Corporation	Taichung City	Manufacturing and marketing of military specification printed circuit boards	310,348	310,347	48,840	78.51%	624,541	125,253	98,337
	Good Honor Holdings Ltd.	British Virgin Islands	Investment	14,723	14,723	46	100%	3,811	(4)	(4)
	Gen-Wan Technology Corp.	Kaohsiung City	Telecommunication	148,610	148,610	3,951	86.99%	52,323	9,275	8,068
	Cheng Shin Security Co., Ltd.	Kaohsiung City	Security	14,000	14,000	1,400	35%	8,168	(4,086)	(1,430)
	E-Da Bus Transportation Co., Ltd.	Kaohsiung City	Bus transportation	60,007	49,755	1,845	17.09%	3,946	(40,908)	(6,990)
	E-DA Tour Bus Co., Ltd.	Kaohsiung City	Bus transportation	20,900	20,900	1,349	19%	12,039	(5,624)	(1,069)
	Worthing Honor Holdings Ltd.	British Virgin Islands	Investment	6,672	6,672	100	100%	2,571	1	1
	E United Japan Co., Ltd.	Japan	Steel trading	8,027	8,027	-	47%	3,581	(346)	(162)
	Skylark Hot Spring & Resort Corp.	Kaohsiung City	Hotel industry	11,700	11,700	1,170	14.63%	-	(1,743)	-
	E-Da Entertainment Co., Ltd.	Kaohsiung City	Entertainment industry	74,100	74,100	7,410	19%	93,762	(3,191)	(606)
	Li Hui Development Co., Ltd.	Kaohsiung City	Investment	321,216	321,216	64,045	44.56%	301,474	(19,512)	(8,695)	(Note 1)
	Ji Chang Enterprise Co., Ltd.	Kaohsiung City	Investment	5,050	5,050	1,042	45%	4,683	(21)	(9)	(Note 1)
	Yieh United Steel Corporation	Kaohsiung City	Steel products related businesses	5,023,625	5,023,625	676,661	25.82%	3,586,384	3,763,147	971,745	(Note 1)
	Hong Yuh Assets Management Co.,Ltd.	Kaohsiung City	Management service	1,207,200	1,167,200	123,920	80%	429,253	(41,256)	(33,005)

－－ 93

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as the period-end	Shares held as the period-end	Shares held as the period-end	Net Income (Loss) of the Investee	Share of Profit/Loss of Investee	Note
				September 30, 2021	December 31, 2020	Shares (in thousands)	Percentage of Ownership	Carrying Value
Yieh Phui Enterprise Co., Ltd.	E-Da Visual Effects Company Limited.	Kaohsiung City	Entertainment industry	27,543	10,393	3,185	49%	694	(3,008)	(16,456)
	Lian So(H.K) Co., Limited	Hong Kong	Investment	507,342	507,342	16,560	80%	273,054	(24,990)	(19,992)
	E-Da Health Biotechnology Co., Ltd.	Kaohsiung City	Manufacturer of food additives	3,800	3,800	380	19%	3,685	(34)	(7)
	Yieh Phui America Inc.	U.S.	Trading of steel products	292	292	1	100%	(228,351)	34,349	34,349
	Great Emperor Hotel Co., Ltd.	Kaohsiung City	Hotel industry	3,007,600	2,595,600	292,000	58.17%	2,765,892	(225,476)	(126,105)
	Kings Garden International Co., Ltd.	Kaohsiung City	Leasing, sales, and development of residential and commercial buildings, department stores	2,657,400	2,193,900	258,000	54.89%	2,483,209	(105,954)	(56,926)
	Prepayment of stock - Great Emperor Hotel Co., Ltd.	Kaohsiung City	Leasing, sales, and development of residential and commercial buildings, department stores	50,000	-	-	-	50,000	-	-
	Total			35,118,529	34,264,913	-	-	32,427,878	5,924,555	2,152,902
Shin Phui Steel Corporation	Groupco Technology Inc.	Taichung City	RADIO	37,492	37,492	3,830	42.53%	3,941	19	8
	Yieh United Steel Corporation	Kaohsiung City	Steel products related businesses	24,562	24,562	3,178	0.12%	16,831	3,763,147	4,659	(Note 1)
	Great Emperor Hotel Co., Ltd.	Kaohsiung City	Hotel industry	515	515	50	0.01%	474	(225,476)	(23)
	Kings Garden International Co., Ltd.	Kaohsiung City	Leasing, sales, and development of residential and commercial buildings, department stores	515	515	50	0.01%	481	(105,954)	(12)
Gen-Wan Technology Corp.	EMMT Systems Corporation	Taichung City	Manufacturing and marketing of military specification printed circuit boards	27,630	27,630	4,653	7.48%	59,494	125,253	9,368

－－ 94

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as the period-end	Shares held as the period-end	Shares held as the period-end	Net Income (Loss) of the Investee	Share of Profit/Loss of Investee	Note
				September 30, 2021	December 31, 2020	Shares (in thousands)	Percentage of Ownership	Carrying Value
EMMT Systems Corporation	Groupco Technology Inc.	Taichung City	RADIO	45,000	45,000	4,500	49.97%	4,631	19	9
	Applied Wireless Identifications Group, Inc.	San Francisco, US	RFID	242,545	242,545	40,488	91.47%	249,931	46,620	42,645
	UniPattern Corporation	Kaohsiung City	Manufacturing of computer and peripherals	54,960	54,960	5,200	43.33%	69,992	23,317	10,104
Applied Wireless Identifications Group, Inc.	AWID Asia Co., Ltd.	Kaohsiung City	Telecommunications equipment wholesale	69,881	71,456	3,030	100.00%	18,662	(1,119)	(1,119)
Shin Yang Steel Co., Ltd.	Yieh United Steel Corporation	Kaohsiung City	Steel products related businesses	17,385	17,385	2,195	0.08%	11,626	3,763,147	3,218	(Note 1)
Sin Bang Investment & Development Co., Ltd.	Tangeng Iron Works Co., Ltd.	Kaohsiung City	Steel trading	265,482	265,482	7,224	2.07%	234,194	1,103,311	22,772
Kuo Chang Enterprise Co., Ltd.	Yieh United Steel Corporation	Kaohsiung City	Steel products related businesses	439,197	439,197	56,817	2.17%	300,949	3,763,147	83,302	(Note 1)
	Eliter International Corp.	Kaohsiung City	Construction of buildings	241,748	219,977	23,555	2.50%	215,704	(234,365)	(7,624)
	Tangeng Iron Works Co., Ltd.	Kaohsiung City	Steel trading	786,714	786,714	21,328	6.09%	989,798	1,103,311	67,232
United Brightening Development Corp.	Chao Ying Investment Development Co., Ltd.	Kaohsiung City	Investment	341,992	341,992	30,400	100.00%	289,663	27,885	27,885
	Yieh United Steel Corporation	Kaohsiung City	Steel products related businesses	449,508	449,508	58,151	2.22%	308,014	3,763,147	85,257	(Note 1)
	Champion Logistic Inc.	Samoa	Investment	-	4,798	-	-	-	(131)	(13)

－－ 95

Investor	Investee	Location	Mainbusiness activities	Initial investment amount	Initial investment amount	Shares held as the period-end	Shares held as the period-end	Shares held as the period-end	Net Income (Loss) of the Investee	Share of Profit/Loss of Investee
				September 30, 2021	December 31, 2020	Shares (in thousands)	Percentage of Ownership	Carrying Value
United Brightening Development Corp.	Tangeng Iron Works Co., Ltd.	Kaohsiung City	Steel trading	1,177,838	1,177,838	32,050	9.16%	1,467,308	1,103,311	101,031
	Eliter International Corp.	Kaohsiung City	Construction of buildings	363,755	70,393	33,812	3.58%	309,635	(234,365)	(48,233)
Chao Ying Investment Development Co., Ltd.	Tangeng Iron Works Co., Ltd.	Kaohsiung City	Steel trading	336,957	336,957	8,898	2.54%	288,463	1,103,311	28,049
Hong Yuh Assets Management Co., Ltd.	Lien-Hsin Steel Co., Ltd.	Indonesia	Metal manufacturing industry	542,365	514,670	1,740	49.36%	306,994	(39,847)	(19,133)
	Prepayment of stock subscription- Lien-Hsin Steel Co., Ltd.	Indonesia	Metal manufacturing industry	55,440	55,440	-	-	55,440	-	-
	Lien-Sheng Steel Co., Ltd.	Indonesia	Metal manufacturing industry	1,633	1,633	0.05	10.00%	276	(1,598)	(160)
	Lien-Hung Mining Co., Ltd.	Indonesia	Nickle mining	100,303	100,303	3,787	19.00%	57,117	(11,554)	(6,868)
	Prepayment of stock subscription - Lien-Hung Mining Co., Ltd.	Indonesia	Nickle mining	7,367	7,367	-	-	7,367	-	-
	Lien-Heng Mining Co., Ltd.	Indonesia	Nickle mining	9,371	9,371	381	75.00%	(30,425)	(2,456)	(1,842)
	Prepayment of stock subscription - Lien Heng Mining Co.,Ltd.	Indonesia	Nickle mining	69,365	69,365	-	-	69,365	-	-
	Asiamax Mining Indonesia	Indonesia	Nickle mining	89,386	89,386	55	100.00%	55,627	7,289	7,289
Lian So (H.K) Co., Limited	Lien-Sheng Steel Co., Ltd.	Indonesia	Metal manufacturing industry	12,533	12,816	0.45	90.00%	2,488	(1,598)	(1,438)
	Lian Yang (Hong Kong) Trading Limited	Hong Kong	Trading business	2,785	2,848	100	100.00%	12,937	(33)	(33)
	Lien-Hsin Steel Co., Ltd.	Indonesia	Metal manufacturing industry	497,122	508,368	1,785	50.64%	314,934	(39,847)	(20,714)

－－ 96

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as the period-end	Shares held as the period-end	Shares held as the period-end	Net Income (Loss) of the Investee	Share of Profit/Loss of Investee	Note
				September 30, 2021	December 31, 2020	Shares (in thousands)	Percentage of Ownership	Carrying Value
Lien-Hsin steel Co., Ltd.	Lien-Hung Mining Co., Ltd.	Indonesia	Nickle mining	410,207	429,574	16,142	81.00%	243,499	(11,554)	(29,281)
	Prepayment of stock subscription - Lien-Hung MiningCo.,Ltd.	Indonesia	Nickle mining	72,393	72,393	-	-	68,774	-	-
	Lien-Heng Mining Co., Ltd.	Indonesia	Nickle mining	18,586	20,267	127	25.00%	(10,142)	(2,456)	(614)
Yieh Hsing Enterprise Co., Ltd.	Great Emperor Hotel Co., Ltd.	Kaohsiung City	Hotel industry	2,099,500	2,099,500	209,950	41.82%	1,988,696	(225,476)	(99,348)
	Kings Garden International Co., Ltd.	Kaohsiung City	Leasing, sales, and development of residential and commercial buildings, department stores	2,119,500	2,119,500	211,950	45.10%	2,039,985	(105,954)	(49,016)
	United Winner Metals L.P	Virginia, US	Scrap steel recycling	107,334	107,334	-	33.75%	92,786	9,220	3,112
	Cheng Shin Security Co., Ltd.	Kaohsiung City	Security	4,000	4,000	400	10.00%	2,333	(4,086)	(409)
	Eliter International Corp.	Kaohsiung City	Construction of buildings	704,450	639,772	69,976	7.42%	640,804	(234,365)	(22,724)
	E-Da Development Corp.	Kaohsiung City	Leisure development	437,915	437,915	43,791	5.94%	216,835	(339,532)	(20,174)
	Yieh United Steel Corporation	Kaohsiung City	Steel products related business	20,204	20,204	2,542	0.10%	13,465	3,763,147	3,726	(Note 1)
	E-Da Health Biotechnology Co., Ltd.	Kaohsiung City	Manufacturer of food additives	3,800	3,800	380	19.00%	3,685	(34)	(7)

－－ 97

Investor	Investee	Location	Main business activities	Initial investment amount	Initial investment amount	Shares held as the period-end	Shares held as the period-end	Shares held as the period-end	Net Income (Loss) of the Investee	Share of Profit/Loss of Investee
				September 30, 2021	December 31, 2020	Shares (in thousands)	Percentage of Ownership	Carrying Value
Kings Garden International Co., Ltd.	Yi Hua International Co., Ltd	Kaohsiung City	Leasing, selling and development of residential and commercial buildings	7,000	7,000	1,516	70.00%	8,339	(11,087)	(7,761)
	Hua Li International Co., Ltd.	Kaohsiung City	Daily necessities, cosmetics wholesaler	60,000	60,000	6,000	100.00%	39,799	(16,835)	(16,835)
	E-Mau Development Co., Ltd.	Kaohsiung City	Department stores, amusement parks, and hotel industry	27,520	27,520	2,752	12.80%	27,466	(216)	(28)
Great Emperor Hotel Co., Ltd.	E-Mau Development Co., Ltd.	Kaohsiung City	Department stores, amusement parks, and hotel industry	27,520	27,520	2,752	12.80%	27,466	(216)	(28)

(Note 1): Due to cross ownership and the adoption of equity method between the Company and Yieh United Steel Corporation, investment gain/loss is accounted for using the treasury stock approach. Thus, the income/loss of investee for the period excludes gain/loss accounted for using equity method by Yieh United Steel Corporation in relation to the Company.

(Note 2): Transactions between the aforesaid subsidiaries and the parent company are eliminated.

－－ 98

TABLE 11

Yieh Phui Enterprise Co., Ltd. and Subsidiaries Information on Investment in Mainland China For The Nine Months Ended September 30, 2021

Unit: Thousands of NT Dollar/ Foreign Currency

Name of	Name of	Investee in Mainland China	Main business activities	Main business activities	Total Amount of Paid-in Capital	Investment method (Note 1)	Accumulated Outflow of Investment from Taiwan as of January 1, 2021	Investment Flows	Investment Flows	Accumulated Outflow of Investment from Taiwan as of September 30, 2021	Accumulated Outflow of Investment from Taiwan as of September 30, 2021	Net Income (Loss) of the Investee	Ownership held by the Company (direct or indirect) (%)	Share of Profit/Loss (Note 2)	Share of Profit/Loss (Note 2)	Carrying Amount as of September 30, 2021	Accumulated Inward Remittance of Earnings as of September 30, 2021
								Outflow	Inflow
Investor
Yieh Phui Enterprise Co., Ltd.		Yieh Phui (China) Techno material Co., Ltd.	Manufacturing and marketing of pickled, cold rolled, galvanized and pre-painted steel coils		6,578,170 (USD 236,200) (Note 6)	(2) a	6,502,975 (USD 233,500)	－	－	6,502,975 (USD 233,500)		799,530	100%	799,530 (2) 2		10,192,898	－
		Changshou ChangHuei Trading Co.	Trading of steel products		42,943 (RMB 10,000)	(2) a (Note 4)	－	－	－	－		482	100%	482 (2)3		46,036	－
		Tianjin Lianfa Precision Steel Corporation	Manufacturing and marketing of special highgrade alloy		375,975 (USD 13,500)	(2) a (Note 5)	－	－	－	－		11,275	100%	11,275 (2) 3		(122,555)	－
AWID Asia Co., Ltd.		AWID Changshou Co., Ltd.	Telecommunications equipment wholesale		8,355 (USD 300)	(1)	8,355 (USD 300)	－	8,355 (USD 300)	－		(1,860)	100%	(1,860) (2) 3		－ (Note 7)	－

				Investee in Mainland China			Accumulated Investment in Mainland China as of September 30, 2021				Investment Amounts Authorized by Investment Commission, MOEA				Upper Limit on Investment
		Investor
	Yieh Phui Enterprise Co., Ltd.			Yieh Phui (China) Technomaterial Co., Ltd.			6,502,975 (USD 233,500)				6,578,170 (USD 236,200)				18,354,490

－－ 99

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

(1) Directly invest in a company in Mainland China.
(2) Through investing in an existing company in the third area, which then invested in the investee in Mainland China.
a. Yieh Phui (Hong Kong) Holdings Limited
(3) Others

(Note 2): Investment gain or loss recognized in the current period:

(1) Please specify if it is in the preparation stage without any investment gains or losses generated.
(2) Recognition basis of investment profit or loss is categorized into three types, which shall be identified.
1. Financial statements audited and certified by the international CPA firms that cooperates with ROC CPA firms.
2. Financial statements reviewed, or audited and certified by the CPA firm of the parent company in Taiwan.
3. Others
(Note 3): The figures in the Table shall be expressed in New Taiwan Dollars. Carrying amount at the end of the period is converted using the exchange rate on the reporting date (USD:NTD 1: 27.85; RMB: NTD 1: 4.2943). Investment gain or loss recognized in the current period is converted using the average exchange rate in from January 1 to September 30, 2021 (USD: NTD 1: 28.0675; RMB: NTD 1: 4.3357).
(Note 4): Yieh Phui (China) Technomaterial Co., Ltd. invests in Changshou ChangHuei Trading Co. with equity funds of RMB 10 million. As of September 30, 2021, accumulated investment amounted to RMB 10 million.
(Note 5): The Company originally holds 100% of Tianjin Lianfa Precision Steel Corporation Beneficiary (paid-in capital equals USD 13,500 thousand) through its holding in Hsing Jui Investments Limited. It transferred its ownership to Yieh Phui (China) Technomaterial Co., Ltd. at RMB 20,000 thousand in July 2015. The said proceed, net of tax, of RMB 19,990 thousand (equivalent to USD 3,213 thousand) has been transferred back to the Company’s account in Taiwan.
(Note 6): Yieh Phui (China) Technomaterial Co., Ltd. recapitalized its retained earnings of USD 2,700 thousand in April 2016.

(Note 7): AWID Asia Co., Ltd. was liquidated in June 2021.

(Note 8): Investment in Changshu Chief Leading Edge Construction Materials Co., Ltd. was completely sold in February 2013. Investment amount and earnings were received. Investment in Jiangsu J & Y Engineering Co., Ltd. was liquidated in 2012. Thus:
- (1) Accumulated investment of NT$ 498,539 thousand by investees in China that were disposed of.
- (2) Investment gains received from China investees that were disposed: NT$ 69,518 thousand.
(2) Significant transactions between the Company and investees in Mainland China during January 1 and September 30, 2021, directly or indirectly through the third area are as follows:
Significant transactions between the Company and investees in China: Table 8 attached ~ Table 9 attached in Note 13.
Financing between the Company and investees in China: Table 1 attached in Note 13.
Endorsement and guarantee provided by the Company for investees in China: Table 2 attached in Note 13.

－－ 100

TABLE 12

Yieh Phui Enterprise Co., Ltd. and Subsidiaries Information of Major Shareholders September 30, 2021

Name of major shareholder	Number of shares	Percentage of ownership (%)
Yieh United Steel Corporation	302,105,336	15.97%
Weiqiao Investment Development Co., Ltd.	205,719,551	10.88%

Note: The information of major shareholders is based on the number of ordinary shares and preferred shares held by shareholders with ownership of 5% or greater, that have been issued without physical registration (included treasury shares) by the Company as of September 30, 2021. The share capital in consolidated financial report may differ from the actual number of shares that have been issued without physical registration because of different preparation basis.

－－ 101

14.Segment Information

(1)General information

For the purpose of management, the Group separates its operations based on business unit and have four reportable segments as below:

Business Unit Yieh Phui: Primarily engaging in manufacturing and marketing of coated steel and manufacturing and installation of crane.
Business Unit Yieh Hsing: Primarily engaging in manufacturing and selling of wire rods.
Business Unit Yieh Phui (China, including Yieh Phui Hong Kong): Primarily engaging in manufacturing and selling of coated steel.
Other business units: Primarily engaging in manufacturing and selling of steel, iron, and military supplies, wholesale of telecommunication equipment, and investment.
(2)Measurement basis
Management monitors the operation results of its segments separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit or loss before tax and is measured consistently with profit or loss before tax in the consolidated financial statements. Furthermore, because the information of assets and liabilities is not reported to the chief operating decision maker for operation decision making, segment assets and liabilities are measured as zero. The accounting policies for reportable segments are the same as Group’s accounting policies described in Note 2.

The segment information provided to the chief operating decision maker:

Three Months Ended September 30, 2021 Sales revenue from external customers Sales revenue among intersegments Total sales Operating income (loss) Non-operating income and expenses Income (loss) before income tax Income tax (expenses) benefit Net Income (loss) Total assets Total liabilities	Business Unit Yieh Phui $10,560,617 507,559 $11,068,176 $1,325,479	Business Unit Yieh Hsing $1,959,843 - $1,959,843 $132,106	Business Unit Yieh Phui (China) $10,318,790 412,268 $10,731,058 $187,217	Other business units $1,529,725 34,748 $1,564,473 ($143,243)	Adjustment and elimination ($1,725) (954,575) ($956,300) $3,540	Total
						$24,367,250 -
						$24,367,250
						$1,505,099 658,172
						$2,163,271 (334,731)
						$1,828,540
						$95,803,437
						$63,801,985

－－ 102

Three Months Ended September 30, 2020 Sales revenue from external customers Sales revenue among intersegments Total sales Operating income (loss) Non-operating income and expenses Income (loss) before income tax Income tax (expenses) benefit Net Income (loss) Total assets Total liabilities Nine Months Ended September 30, 2021 Sales revenue from external customers Sales revenue among intersegments Total sales Operating income (loss) Non-operating income and expenses Income (loss) before income tax Income tax (expenses) benefit Net Income (loss) Total assets Total liabilities	Business Unit Yieh Phui $4,664,572 181,661 $4,846,233 $111,296 Business Unit Yieh Phui $25,503,043 1,240,580 $26,743,623 $2,386,605	Business Unit Yieh Hsing $1,336,288 - $1,336,288 ($77,139) Business Unit Yieh Hsing $5,386,075 - $5,386,075 $303,203	Business Unit Yieh Phui (China) $6,713,582 380,834 $7,094,416 $484,850 Business Unit Yieh Phui (China) $31,213,533 1,289,666 $32,503,199 $1,452,595	Other business units $1,073,376 23,507 $1,096,883 $19,604 Other business units $4,120,307 115,272 $4,235,579 ($157,575)	Adjustment and elimination ($17,943) (586,002) ($603,945) $565 Adjustment and elimination ($35,864) (2,645,518) ($2,681,382) $10,679	Total
						$13,769,875 -
						$13,769,875
						539,176 704,639
						1,243,815 (136,539)
						$1,107,276
						$82,039,997
						$54,935,063
						Total
						$66,187,094 -
						$66,187,094
						$3,995,507 1,120,010
						$5,115,517 (997,079)
						$4,118,438
						$95,803,437
						$63,801,985

－－ 103

Nine Months Ended September 30, 2020 Sales revenue from external customers Sales revenue among intersegments Total sales Operating income (loss) Non-operating income and expenses Income (loss) before income tax Income tax (expenses) benefit Net Income (loss) Total assets Total liabilities	Business Unit Yieh Phui $14,974,000 635,631 $15,609,631 $255,108	Business Unit Yieh Hsing $4,122,990 - $4,122,990 ($304,490)	Business Unit Yieh Phui (China) $16,736,109 958,286 $17,694,395 $737,416	Other business units $3,338,703 56,320 $3,395,023 ($84,831)	Adjustment and elimination ($38,083) (1,650,237) ($1,688,320) $11,830	Total
						$39,133,719 -
						$39,133,719
						615,033 (496,690)
						118,343 3,463
						$121,806
						$82,039,997
						$54,935,063

(3) Information on product and service: No disclosure requirement for Interim financial statements.
(4) Geographical information ： No disclosure requirement for Interim financial statements.
(5) Major customer information : No disclosure requirement for Interim financial statements.

－－ 104

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YP — Interim / Quarterly Report 2021

51950_rns_2021-12-01_d707a2f6-d3a7-45a5-a5b6-f6389880221d.pdf

Table of Contents

Independent Auditors’ Review Report

Introduction

Scope of Review

Basis for Qualified Conclusion

Qualified Conclusion

Notice to Readers

YIEH PHUI ENTERPRISE CO., LTD. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS

YIEH PHUI ENTERPRISE CO., LTD. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

YIEH PHUI ENTERPRISE CO., LTD. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

YIEH PHUI ENTERPRISE CO., LTD. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS

1. GENERAL INFORMATION

2. THE AUTHORIZATION OF THE CONSOLIDATED FINANCIAL STATEMENTS

4. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

4.1 Statement of Compliance

4.2 Basis of Preparation

4.3 Basis of Consolidation

(2) The subsidiaries in the consolidated financial statements:

Yieh Hsing Enterprise Co., Ltd. and its Subsidiaries

c. Statements of Cash Flows：

4.4 Retirement benefits

4.5 Income taxes

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

6. DETAILS OF SIGNIFICANT ACCOUNTS

6.1 Cash and cash equivalents

6 . 2 Financial assets at fair value through profit or loss

6.4 Accounts receivable, net

6.5 Other receivables

6.6 Inventories and operating cost

1.Inventory gains (losses) recognized as cost of sales were as follows:

6.7 Prepayments

6.8 Noncurrent assets held for sale / Liabilities directly associated with noncurrent assets held for sale

6.9 Other financial assets - current

6.10 Financial assets at fair value through other comprehensive income or loss - noncurrent

6.11 Investments accounted for using equity method

(1) Major associates of the Group were as follows:

(2) The summarized financial information in respect of the Group’s major associates was as follows:

B. Statements of Comprehensive Income

6.13 Lease Agreement

C. Significant rent operating and clause

6.14 Investment properties

2. Rental revenue and direct operating expenses of investment properties:

6.15 Intangible assets

6.16 Other noncurrent assets

6.17 Refundable deposits

6.18 Short-term Loans

6.19 Short-term notes and bills payable

6.20 Other Payables

6.21 Provisions - current

6.22 Long-term Loans

6.23 Long-term Deferred Revenue

6.24 Benefit Plan After Retirement

6.25 Common Stock

6.26 Capital Surplus

6.27 Retained Earnings

6.28 Other Equity Item

6.29 Treasury stock

6.30 Non-controlling interests

6.31 Operating Revenue

6.32 Employee benefits, depreciation and amortization expense

6.33 Interest income

6.34 Other Income

6.35 Other gains and losses

6.36 Finance Costs

6.37 Income Tax

1. Income tax expense

(2) Income tax expense (benefit) associated with other comprehensive income

6.38 Other Comprehensive Income

6.40 Transactions with Non - controlling Interests

7. RELATED PARTY TRANSACTIONS

7.1 Parent and ultimate controlling party.

7.2 Names of related parties and relationship categories

7.3 Significant transactions with related parties

3. Contract assets

5. Receivables from related parties (excluding loans to related parties)

(2)Disposal of property, plant and equipment:

(3)Acquisition of investment properties:

YP Interim / Quarterly Report 2021