Implementation of Diversity Policy

✧ Diversity Policy

According to the Sample Template for Procedures for Election of Directors released by TWSE, the Company has incorporated the concept of diversity into the Rules Governing the Election of Directors. Two major areas, namely basic requirements and values and professional knowledge and skills (e.g., law, accounting, industry, finance, marketing or technology) should be taken into consideration during the election of Directors. Directors shall commonly possess the knowledge, skills, general capacity and disposition required to perform their duties.

✧ Specific Management Targets and Current Implementation Status

The Board of Directors is set up with the specific aim of appointing Directors of different gender and age and with different professional knowledge and background, consisting of at least one Director with finance or accounting background and at least one Director with management experience in the steel industry. At present, the Board of Directors is composed of 11 Directors with 3 Independent Directors, including 1 female Director, 1 Director recommended by the labor union of the Company as labor representative, and 3 Directors holding a management position, whose professional knowledge and skills cover different areas, including steel, economics, machinery, mining engineering, electrical engineering, forestry and resource conservation, social science, business management, aerospace, materials science and accounting. Out of the current Directors, the numbers of those with finance and accounting backgrounds and management experience in the steel industry are 2 and 4 respectively.
Implementation Status is shown in the table below:

Core Diversity Element
Name of Director
 Composition Business Management Decision-Making Industry Knowledge Steel Industry Management Experience Finance and Accounting Marketing Technology Risk Management Sustainable Development Climate Change Adaptation
Gender Employed by the Company Ages Tenure of Independent Directors
50 ~ 59 60 ~ 69 > 70 < 3yrs 4~8yrs > 9yrs
Chairman
Chien-Chih Hwang		 Male     V         1 V 2 3   V     V V
Director
Chien-Hsin Lai		 Male   V           V 1 V         V 2 3
Director
Wen-Chung Hu		 Male     V         V 2 3         V 1 V
Director
Shou-Tao Chen		 Male V   V         3 V 2 1     V   V V
Director
Jih-Jau Jeng		 Male V   V         V 3 2 1     V   V V
Director
Cheng-I Weng		 Male       V         2 V       1   3 V
Director
Kuan-Fu Chen		 Male V V           1 V 2 3 V     V V V

Director
Chun-Sheng Chen

 Male V   V         3 1 2         V V  
Independent Director
Shyue-Bin Chang		 Male       V   V   3 V 2       1   V V
Independent Director
Min-Hsiung Hon		 Male       V   V   V 3 1       2   V V
Independent Director
Lan-Feng Kao		 Female   V       V       3   1     2 V  

Note: The directors' three primary areas of expertise are ranked in order as 1, 2, and 3. Other areas of expertise are indicated with a "V" and are not ranked.