Board Approves Cancellation of Forfeited Restricted Employee Shares and Capital Reduction

Announcement: The board of directors has resolved to carry out a capital reduction through the recall and cancellation of restricted employee new shares (限制員工權利新股) — i.e., shares originally granted under the company's restricted employee stock program that are being reclaimed (e.g., due to employee departure or failure to meet vesting conditions). The board has further authorized the Chairman to determine the capital reduction base date (基準日, the record date for the reduction). Interpretive context: Under Taiwan's Company Act and Financial Supervisory Commission rules, forfeited restricted employee shares cannot simply be retired administratively; they must be formally cancelled via a statutory capital reduction procedure, requiring a board resolution and a publicly announced base date. This is a routine, recurring housekeeping event for companies with active RES programs and does not represent a voluntary buyback or a strategic balance-sheet restructuring. The size of the cancellation (number of shares and corresponding paid-in capital reduction amount) will be disclosed in the full announcement body. [Body not available — subject line only. See MOPS for full announcement.]