MIRA INFORM REPORT

Report Date :

16.07.2013

IDENTIFICATION DETAILS

Name :	LI PENG ENTERPRISE CO. LTD
Registered Office :	6/F, No. 162, Sung Chiang Road Taipei, 104
Country :	Taiwan
Financials (as on) :	31.12.2011
Date of Incorporation :	20.08.1975
Legal Form :	Public Independent
Line of Business :	Subject engaged in the manufacture and distribution of textile products.
No. of Employees :	1,069

RATING & COMMENTS

MIRA’s Rating :

Ba

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Satisfactory
Payment Behaviour :	No Complaints
Litigation :	Clear

NOTES:

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – March 31^st 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
Taiwan	A2	A2

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

Taiwan ECONOMIC OVERVIEW

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. In 2009, Taiwan's GDP contracted 1.8%, due primarily to a 13.1% year-on-year decline in exports. In 2010 GDP grew 10.7%, as exports returned to the level of previous years, and in 2011, grew 4.1%. In 2012, however, growth fell to 1.3%, because of softening global demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, but except for the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010, so far Taiwan has been excluded from this greater economic integration in part because of its diplomatic status. Negotiations continue on such follow-on components of ECFA regarding trade in goods and services. The MA administration has said that the ECFA will serve as a stepping stone toward trade pacts with other key trade partners, which Taiwan subsequently launched with Singapore and New Zealand. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 11.2% of the island's total population as of 2012. The island runs a large trade surplus largely because of its surplus with China, and its foreign reserves are the world's fifth largest, behind China, Japan, Saudi Arabia, and Russia. In 2006 China overtook the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Three financial memorandums of understanding, covering banking, securities, and insurance, took effect in mid-January 2010, opening the island to greater investments from the mainland's financial firms and institutional investors, and providing new opportunities for Taiwan financial firms to operate in China. In August 2012, Taiwan Central Bank signed a memorandum of understanding on cross-Strait currency settlement with its Chinese counterpart. The MOU allows for the direct settlement of Chinese RMB and the New Taiwan dollar across the Strait, which could help develop Taiwan into a local RMB hub. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also poses new challenges as the island becomes more economically dependent on China while political differences remain unresolved.

Source : CIA

Company name and address

Top of Form

Bottom of Form

Top of Form

Li Peng Enterprise Co. Ltd.

6/F, No. 162,
Sung Chiang Road
Taipei, 104
Taiwan
Tel:	886-2-21002888
Fax:	886-2-21002688
www.lipeng.com.tw

Employees:

1,069

Company Type:

Public Independent

Traded:

Taiwan Stock Exchange:

1447

Incorporation Date:

20-Aug-1975

Auditor:

Deloitte & Touche LLP

Financials in:	USD (mil)
Fiscal Year End:	31-Dec-2011
Reporting Currency:	Taiwanese New Dollar
Annual Sales:	865.1 ^1
Net Income:	(7.9)
Total Assets:	571.6 ^2
Market Value:	268.5
	(29-Mar-2013)

Business Description

Li Peng Enterprise Co Ltd is principally engaged in the manufacture and distribution of textile products. The Company provides nylon chips, nylon yarns, fabrics for trousers, nylon fabrics, fabrics for home decoration, shade fabrics, fire proof fabrics, Lycra fabrics, superfine synthetic fabrics, artificial suede fabrics and industrial fabrics, among others. The Company also involves in dyeing and finishing businesses. The Company's products are mainly applied in the manufacture of clothings, umbrellas, tablecloths, curtains and industrial uses. During the year ended December 31, 2011, nylon chips, nylon yarns and plain woven fabrics accounted for approximately 73.70%, 16.37% and 9.15% of the Company's total revenue, respectively. It distributes its products principally in Taiwan, other Asian markets and the Americas. For the nine months ended 30 September 2012, Li Peng Enterprise Co. Ltd. revenues decreased 3% to NT$19.63B. Net loss totaled NT$237.7M vs. income of NT$501.7M. Revenues reflect Nylon Manufacturing segment decrease of 17% to NT$7.27B, Investment&others segment decrease of 24% to NT$626.2M. Net loss reflects Investment&others segment income decrease of 40% to NT$35.9M.

Industry

Industry	Apparel and Accessories
ANZSIC 2006:	1312 - Natural Textile Manufacturing
NACE 2002:	171 - Preparation and spinning of textile fibres
NAICS 2002:	313111 - Yarn Spinning Mills
UK SIC 2003:	171 - Preparation and spinning of textile fibres
UK SIC 2007:	1310 - Preparation and spinning of textile fibres
US SIC 1987:	2281 - Yarn Spinning Mills

Key Executives

Name	Title
James Kuo	President
Liyan Wang	Head of Finance
Peihuan Yuan	Manager
Wen-Jon Lin	President
Ta-Chuan Chang	Head of Finance

Significant Developments

Topic	#*	Most Recent Headline	Date
Dividends	1	Li Peng Enterprise Co. Ltd. Announces FY 2011 Dividend Payment Date	17-Jul-2012

Financial Summary

As of 30-Sep-2012

Key Ratios	Company	Industry
Current Ratio (MRQ)	1.29	2.75
Quick Ratio (MRQ)	0.76	1.45
Debt to Equity (MRQ)	0.55	0.52
Sales 5 Year Growth	8.24	10.05
Net Profit Margin (TTM) %	-3.97	7.39
Return on Assets (TTM) %	-5.71	7.59
Return on Equity (TTM) %	-11.19	15.09

Stock Snapshot

Traded: Taiwan Stock Exchange: 1447

As of 29-Mar-2013

   Financials in: TWD

Recent Price	10.65	EPS	-0.37
52 Week High	10.95	Price/Sales	0.32
52 Week Low	7.08	Price/Book	0.85
Avg. Volume (mil)	1.99	Beta	1.59
Market Value (mil)	8,030.75

	Price % Change	Rel S&P 500%
4 Week	3.40%	4.00%
13 Week	3.90%	1.02%
52 Week	11.84%	11.20%
Year to Date	3.90%	1.02%

1 - Profit & Loss Item Exchange Rate: USD 1 = TWD 29.39004
2 - Balance Sheet Item Exchange Rate: USD 1 = TWD 30.279

Corporate Overview

Location
6/F, No. 162,
Sung Chiang Road
Taipei, 104
Taiwan

Tel:	886-2-21002888
Fax:	886-2-21002688

www.lipeng.com.tw

Quote Symbol - Exchange
1447 - Taiwan Stock Exchange
Sales TWD(mil):	25,425.4
Assets TWD(mil):	17,308.3
Employees:	1,069
Fiscal Year End:	31-Dec-2011

Industry:

Apparel and Accessories

Incorporation Date:	20-Aug-1975
Company Type:	Public Independent
Quoted Status:	Quoted

President:

James Kuo

Industry Codes

ANZSIC 2006 Codes:
1312	-	Natural Textile Manufacturing

NACE 2002 Codes:
171	-	Preparation and spinning of textile fibres

NAICS 2002 Codes:
313111	-	Yarn Spinning Mills
313112	-	Yarn Texturing, Throwing, and Twisting Mills

US SIC 1987:
2281	-	Yarn Spinning Mills
2282	-	Yarn Texturizing, Throwing, Twisting, and Winding Mills

UK SIC 2003:
171	-	Preparation and spinning of textile fibres

UK SIC 2007:
1310	-	Preparation and spinning of textile fibres

Business Description

Li Peng Enterprise Co Ltd is principally engaged in the manufacture and distribution of textile products. The Company provides nylon chips, nylon yarns, fabrics for trousers, nylon fabrics, fabrics for home decoration, shade fabrics, fire proof fabrics, Lycra fabrics, superfine synthetic fabrics, artificial suede fabrics and industrial fabrics, among others. The Company also involves in dyeing and finishing businesses. The Company's products are mainly applied in the manufacture of clothings, umbrellas, tablecloths, curtains and industrial uses. During the year ended December 31, 2011, nylon chips, nylon yarns and plain woven fabrics accounted for approximately 73.70%, 16.37% and 9.15% of the Company's total revenue, respectively. It distributes its products principally in Taiwan, other Asian markets and the Americas. For the nine months ended 30 September 2012, Li Peng Enterprise Co. Ltd. revenues decreased 3% to NT$19.63B. Net loss totaled NT$237.7M vs. income of NT$501.7M. Revenues reflect Nylon Manufacturing segment decrease of 17% to NT$7.27B, Investment&others segment decrease of 24% to NT$626.2M. Net loss reflects Investment&others segment income decrease of 40% to NT$35.9M.

More Business Descriptions

Manufacture of polyester and nylon fabrics

Fiber, Yarn, and Thread Mills

Financial Data

Financials in:	TWD(mil)
Revenue:	25,425.4
Net Income:	-232.8
Assets:	17,308.3
Long Term Debt:	792.0
Total Liabilities:	8,972.5
Working Capital:	-2.2
Date of Financial Data:	31-Dec-2011

1 Year Growth

5.6%

NA

9.4%

Market Data

Quote Symbol:	1447
Exchange:	Taiwan Stock Exchange
Currency:	TWD
Stock Price:	10.7
Stock Price Date:	03-29-2013
52 Week Price Change %:	11.8
Market Value (mil):	8,030,748.0
SEDOL:	6501712
ISIN:	TW0001447001
Equity and Dept Distribution:
Fncls. prior to FY'04 reflect that of parent Company only. FY'02-03 I/S & 02 B/S, Q205 I/S & B/S reclassified. 07/2007, 10% stock dividend. FY'05 I/S & B/S reclassified. FY'06 Q2 I/S is restated duo to accounting change. 07/2008, 4% stock dividend. FY'08 Q1 I/S & C/F are CLA, B/S is RES. FY'07 annual B/S is CLA. FY'08 Q2 I/S is CLA, B/S is RES.

Subsidiaries

Company	Percentage Owned	Country
In Talent Investments Limited	100%	SAMOA
Libolon International Trading Co Ltd	100%	PEOPLE'S REPUBLIC OF CHINA

Key Corporate Relationships

Auditor:	Deloitte & Touche LLP
Auditor:	Deloitte & Touche LLP, Deloitte & Touche

Executives Report

Board of Directors

Name	Title	Function
Shaoyi Guo	Chairman of the Board	Chairman
Biography: Mr. Guo Shaoyi has been Chairman of the Board in Li Peng Enterprise Co., Ltd. since September 11, 1985. He also serves as Chairman of the Board in Lealea Enterprise Co., Ltd. and another company.
Shao-Yi Kuo	Chairman	Chairman
Binghuang Chen	Deputy General Manager, Director	Director/Board Member
Yanlin Chen	Deputy General Manager, Director	Director/Board Member
Jigang Guo	Director	Director/Board Member
Biography: Guo Jigang has been Director in Li Peng Enterprise Co., Ltd. since June 19, 2009. Guo is also Director in a construction company.
Zhiyuan Xie	Director	Director/Board Member

Executives

Name	Title	Function
James Kuo	President	President
Wen-Jon Lin	President	President
Wenzhong Lin	General Manager	Division Head Executive
Ta-Chuan Chang	Head of Finance	Finance Executive
Liyan Wang	Head of Finance	Finance Executive
Daquan Zhang	Head-Finance	Finance Executive
Yong-Chuan Kao	Manager-Sales	Sales Executive
Peihuan Yuan	Manager	Other

Significant Developments

Li Peng Enterprise Co. Ltd. Announces FY 2011 Dividend Payment Date

Jul 17, 2012

Li Peng Enterprise Co. Ltd. announced that it will distribute stock dividends worth NTD 359,076,570 (distribute 50.05303863 shares for per 1,000 shares) to shareholders of record on August 10, 2012. The Company's shares will be traded ex-right on ,August 2 2012.

Annual Income Statement

Financials in: USD (mil)

Except for share items (millions) and per share items (actual units)

Financial Glossary

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Period Length	12 Months	12 Months	12 Months	12 Months	12 Months
UpdateType/Date	Updated Normal 31-Dec-2011	Updated Normal 31-Dec-2010	Updated Normal 31-Dec-2009	Updated Normal 31-Dec-2008	Updated Normal 31-Dec-2007
Filed Currency	TWD	TWD	TWD	TWD	TWD
Exchange Rate (Period Average)	29.39004	31.497037	33.023867	31.543497	32.848802
Auditor	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP
Auditor Opinion	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation
Gross Revenue	869.6	768.1	553.6	663.2	687.0
Sales Returns and Allowances	-4.5	-3.6	-2.2	-6.7	-6.2
Revenue	865.1	764.4	551.4	656.5	680.8
Total Revenue	865.1	764.4	551.4	656.5	680.8
Cost of Revenue	853.1	721.9	504.4	686.9	652.2
Cost of Revenue, Total	853.1	721.9	504.4	686.9	652.2
Gross Profit	12.0	42.5	47.0	-30.4	28.6
Selling/General/Administrative Expense	16.6	17.5	16.0	15.9	16.5
Total Selling/General/Administrative Expenses	16.6	17.5	16.0	15.9	16.5
Research & Development	2.5	2.0	2.0	1.9	1.6
Impairment-Assets Held for Use	-0.3	-	-	-	-
Unusual Expense (Income)	-0.3	-	-	-	-
Total Operating Expense	872.0	741.4	522.5	704.7	670.3
Operating Income	-6.9	23.1	28.9	-48.2	10.5
Interest Expense - Non-Operating	-2.2	-2.1	-2.5	-8.6	-6.5
Interest Expense, Net Non-Operating	-2.2	-2.1	-2.5	-8.6	-6.5
Interest Income - Non-Operating	0.1	0.0	0.0	0.2	0.1
Investment Income - Non-Operating	2.1	13.7	1.0	0.3	-0.3
Interest/Investment Income - Non-Operating	2.2	13.8	1.1	0.5	-0.2
Interest Income (Expense) - Net Non-Operating Total	0.0	11.7	-1.4	-8.1	-6.7
Gain (Loss) on Sale of Assets	1.2	0.4	0.5	2.0	1.9
Other Non-Operating Income (Expense)	2.7	1.5	1.2	-2.7	0.2
Other, Net	2.7	1.5	1.2	-2.7	0.2
Income Before Tax	-2.9	36.6	29.2	-56.9	5.9
Total Income Tax	2.5	3.0	0.0	0.0	-0.9
Income After Tax	-5.4	33.6	29.2	-56.9	6.8
Minority Interest	-2.5	-1.4	0.0	-0.1	0.1
Net Income Before Extraord Items	-7.9	32.2	29.3	-57.0	6.9
Accounting Change	-	-	-	-	0.0
Total Extraord Items	-	-	-	-	0.0
Net Income	-7.9	32.2	29.3	-57.0	6.9
Income Available to Common Excl Extraord Items	-7.9	32.2	29.3	-57.0	6.9
Income Available to Common Incl Extraord Items	-7.9	32.2	29.3	-57.0	6.9
Basic/Primary Weighted Average Shares	709.2	695.1	689.5	689.5	721.6
Basic EPS Excl Extraord Items	-0.01	0.05	0.04	-0.08	0.01
Basic/Primary EPS Incl Extraord Items	-0.01	0.05	0.04	-0.08	0.01
Dilution Adjustment	0.0	-	-	0.0	-
Diluted Net Income	-7.9	32.2	29.3	-57.0	6.9
Diluted Weighted Average Shares	709.2	695.5	689.5	689.5	721.6
Diluted EPS Excl Extraord Items	-0.01	0.05	0.04	-0.08	0.01
Diluted EPS Incl Extraord Items	-0.01	0.05	0.04	-0.08	0.01
Dividends per Share - Common Stock Primary Issue	0.00	0.01	0.00	0.00	0.00
Gross Dividends - Common Stock	0.0	10.4	0.0	0.0	0.0
Interest Expense, Supplemental	2.2	2.1	2.5	8.6	6.5
Interest Capitalized, Supplemental	0.0	0.0	0.0	-0.1	-0.9
Depreciation, Supplemental	18.3	23.1	23.7	24.7	21.0
Total Special Items	-1.5	-0.4	-0.5	-2.0	-1.9
Normalized Income Before Tax	-4.4	36.2	28.7	-58.9	4.0
Effect of Special Items on Income Taxes	-0.5	0.0	-0.2	-0.7	-0.7
Inc Tax Ex Impact of Sp Items	2.0	3.0	-0.2	-0.7	-1.6
Normalized Income After Tax	-6.4	33.3	28.9	-58.2	5.6
Normalized Inc. Avail to Com.	-8.9	31.9	28.9	-58.3	5.7
Basic Normalized EPS	-0.01	0.05	0.04	-0.08	0.01
Diluted Normalized EPS	-0.01	0.05	0.04	-0.08	0.01
Amort of Intangibles, Supplemental	2.8	2.8	2.6	2.3	2.2
Research & Development Exp, Supplemental	2.5	2.0	2.0	1.9	1.6
Normalized EBIT	-7.1	23.1	28.9	-48.2	10.5
Normalized EBITDA	13.9	49.0	55.2	-21.2	33.6
Current Tax - Total	-0.3	3.4	6.9	-15.1	1.6
Current Tax - Total	-0.3	3.4	6.9	-15.1	1.6
Deferred Tax - Total	2.7	-2.0	-8.2	16.2	0.0
Deferred Tax - Total	2.7	-2.0	-8.2	16.2	0.0
Other Tax	0.1	1.6	1.3	-1.1	-2.5
Income Tax - Total	2.5	3.0	0.0	0.0	-0.9
Interest Cost - Domestic	0.2	0.1	0.2	0.2	0.2
Service Cost - Domestic	0.2	0.2	0.2	0.3	0.3
Expected Return on Assets - Domestic	0.0	0.0	0.0	0.0	0.0
Transition Costs - Domestic	0.2	0.2	0.1	0.2	0.1
Domestic Pension Plan Expense	0.6	0.6	0.5	0.7	0.5
Defined Contribution Expense - Domestic	0.8	0.6	0.5	0.6	-
Total Pension Expense	1.4	1.2	1.0	1.3	0.5
Discount Rate - Domestic	2.00%	2.00%	2.00%	2.75%	2.75%
Expected Rate of Return - Domestic	2.00%	2.00%	2.00%	2.75%	2.75%
Compensation Rate - Domestic	2.25%	2.25%	2.00%	2.50%	3.00%
Total Plan Interest Cost	0.2	0.1	0.2	0.2	0.2
Total Plan Service Cost	0.2	0.2	0.2	0.3	0.3
Total Plan Expected Return	0.0	0.0	0.0	0.0	0.0

Annual Balance Sheet

Financials in: USD (mil)

Financial Glossary

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
UpdateType/Date	Updated Normal 31-Dec-2011	Updated Normal 31-Dec-2010	Updated Normal 31-Dec-2009	Updated Normal 31-Dec-2008	Reclassified Normal 31-Dec-2008
Filed Currency	TWD	TWD	TWD	TWD	TWD
Exchange Rate	30.279	29.1565	31.985	32.818	32.4345
Auditor	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP
Auditor Opinion	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation
Cash & Equivalents	13.5	4.3	13.3	13.1	8.4
Short Term Investments	46.8	18.8	7.2	5.7	7.6
Cash and Short Term Investments	60.3	23.0	20.5	18.8	16.0
Accounts Receivable - Trade, Gross	81.9	137.1	99.5	40.4	57.2
Provision for Doubtful Accounts	-0.5	-0.8	-0.6	-0.4	-0.4
Trade Accounts Receivable - Net	83.5	137.3	99.5	40.0	56.9
Notes Receivable - Short Term	7.1	4.1	3.1	2.6	4.4
Total Receivables, Net	90.7	141.4	102.6	42.6	61.3
Inventories - Finished Goods	31.5	15.6	20.1	24.3	36.7
Inventories - Work In Progress	27.6	24.2	17.9	18.7	21.9
Inventories - Raw Materials	77.9	35.3	31.8	15.7	40.1
Inventories - Other	3.8	-	-	-13.1	-0.8
Total Inventory	140.9	75.1	69.9	45.6	98.0
Other Current Assets	6.2	5.0	1.8	4.8	3.0
Other Current Assets, Total	6.2	5.0	1.8	4.8	3.0
Total Current Assets	298.0	244.5	194.8	111.8	178.2
Buildings	76.4	78.8	71.8	69.7	70.8
Land/Improvements	34.6	35.9	32.8	31.5	31.0
Machinery/Equipment	320.0	322.6	289.1	283.5	286.0
Construction in Progress	0.6	1.3	3.9	2.4	3.2
Other Property/Plant/Equipment	15.8	-	-	-	-
Property/Plant/Equipment - Gross	447.5	438.7	397.5	387.1	390.9
Accumulated Depreciation	-271.2	-269.1	-224.1	-200.1	-185.5
Property/Plant/Equipment - Net	176.3	169.6	173.4	187.0	205.4
Intangibles, Net	1.2	1.1	1.8	1.4	1.2
LT Investment - Affiliate Companies	45.9	52.9	37.1	26.2	31.9
LT Investments - Other	45.5	69.4	32.1	14.5	24.9
Long Term Investments	91.4	122.3	69.2	40.7	56.8
Deferred Charges	1.6	1.2	1.0	1.1	1.6
Pension Benefits - Overfunded	-	0.0	0.1	0.1	0.2
Deferred Income Tax - Long Term Asset	2.8	3.5	8.4	5.2	8.2
Restricted Cash - Long Term	-	-	0.1	0.3	0.4
Other Long Term Assets	0.3	0.4	0.5	0.5	0.6
Other Long Term Assets, Total	4.7	5.1	10.0	7.2	11.0
Total Assets	571.6	542.7	449.3	348.0	452.6
Accounts Payable	52.5	59.9	52.9	18.4	9.2
Notes Payable/Short Term Debt	158.9	53.1	92.3	88.8	88.4
Current Portion - Long Term Debt/Capital Leases	12.6	19.6	14.8	60.6	23.4
Income Taxes Payable	0.3	0.5	0.0	0.0	0.6
Other Payables	12.8	12.8	11.0	8.8	10.0
Other Current Liabilities	3.8	5.1	2.1	1.4	2.6
Other Current liabilities, Total	16.9	18.4	13.2	10.2	13.2
Total Current Liabilities	240.8	151.0	173.2	178.0	134.2
Long Term Debt	26.2	56.1	45.7	3.0	75.2
Total Long Term Debt	26.2	56.1	45.7	3.0	75.2
Total Debt	197.6	128.7	152.7	152.5	187.0
Minority Interest	18.6	17.2	5.4	1.7	4.3
Reserves	4.8	-	-	-	-
Pension Benefits - Underfunded	5.8	5.9	5.3	4.0	4.7
Other Long Term Liabilities	0.1	0.1	0.1	0.4	0.1
Other Liabilities, Total	10.8	6.0	5.4	4.5	4.8
Total Liabilities	296.3	230.3	229.6	187.2	218.5
Common Stock	237.2	223.9	204.1	198.9	193.5
Common Stock	237.2	223.9	204.1	198.9	193.5
Additional Paid-In Capital	24.4	43.7	39.6	38.8	46.6
Retained Earnings (Accumulated Deficit)	37.8	58.5	21.6	-8.4	47.5
Treasury Stock - Common	-14.9	-19.4	-19.3	-19.5	-19.0
Unrealized Gain (Loss)	-8.0	7.3	-25.0	-48.8	-34.5
Translation Adjustment	-0.2	-0.3	-0.1	0.0	0.0
Minimum Pension Liability Adjustment	-1.0	-1.2	-1.3	-0.1	0.0
Other Equity, Total	-1.2	-1.5	-1.3	-0.2	0.0
Total Equity	275.3	312.4	219.7	160.9	234.2
Total Liabilities & Shareholders’ Equity	571.6	542.7	449.3	348.0	452.6
Shares Outstanding - Common Stock Primary Issue	666.0	641.5	631.5	626.3	631.8
Total Common Shares Outstanding	666.0	641.5	631.5	626.3	631.8
Treasury Shares - Common Stock Primary Issue	88.1	112.6	122.6	127.8	122.3
Employees	1,069	1,017	1,098	1,026	1,242
Number of Common Shareholders	27,840	23,804	23,402	22,375	21,702
Total Long Term Debt, Supplemental	-	19.6	14.8	60.6	-
Long Term Debt Maturing within 1 Year	-	19.6	14.8	60.6	-
Long Term Debt Matur. in Year 6 & Beyond	-	0.0	0.0	0.0	-
Pension Obligation - Domestic	7.7	7.9	7.2	5.8	7.3
Plan Assets - Domestic	0.2	0.1	0.3	0.1	0.5
Funded Status - Domestic	-7.5	-7.8	-7.0	-5.7	-6.8
Accumulated Obligation - Domestic	6.0	6.0	5.6	4.1	5.2
Total Funded Status	-7.5	-7.8	-7.0	-5.7	-6.8
Discount Rate - Domestic	2.00%	2.00%	2.00%	2.75%	2.75%
Expected Rate of Return - Domestic	2.00%	2.00%	2.00%	2.75%	2.75%
Compensation Rate - Domestic	2.25%	2.25%	2.00%	2.50%	3.00%
Prepaid Benefits - Domestic	-	-	0.1	0.1	0.2
Accrued Liabilities - Domestic	-5.8	-5.9	-5.3	-4.0	-4.7
Net Assets Recognized on Balance Sheet	-5.8	-5.9	-5.2	-3.9	-4.5
Total Plan Obligations	7.7	7.9	7.2	5.8	7.3
Total Plan Assets	0.2	0.1	0.3	0.1	0.5

Annual Cash Flows

Financials in: USD (mil)

Financial Glossary

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Period Length	12 Months	12 Months	12 Months	12 Months	12 Months
UpdateType/Date	Updated Normal 31-Dec-2011	Updated Normal 31-Dec-2010	Updated Normal 31-Dec-2009	Updated Normal 31-Dec-2008	Updated Normal 31-Dec-2007
Filed Currency	TWD	TWD	TWD	TWD	TWD
Exchange Rate (Period Average)	29.39004	31.497037	33.023867	31.543497	32.848802
Auditor	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP
Auditor Opinion	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation
Net Income/Starting Line	-5.4	33.6	29.2	-56.9	6.8
Depreciation	18.3	23.1	23.7	24.7	21.0
Depreciation/Depletion	18.3	23.1	23.7	24.7	21.0
Amortization of Intangibles	2.8	2.8	2.6	2.3	2.2
Amortization	2.8	2.8	2.6	2.3	2.2
Deferred Taxes	2.1	2.5	0.0	3.1	-1.1
Accounting Change	-	-	-	-	0.0
Unusual Items	-1.8	-4.8	-0.5	13.7	1.1
Equity in Net Earnings (Loss)	-2.5	-4.5	-0.7	-0.6	-0.4
Other Non-Cash Items	7.8	-3.9	-0.6	1.1	1.6
Non-Cash Items	3.5	-13.2	-1.8	14.3	2.4
Accounts Receivable	46.8	-26.6	-57.0	18.7	2.8
Inventories	-70.6	1.4	-22.4	40.5	-50.0
Other Assets	-33.9	-1.5	-0.6	-0.4	28.0
Accounts Payable	-8.7	4.5	36.5	6.8	1.9
Taxes Payable	-0.3	0.5	0.0	-0.6	-0.2
Other Liabilities	3.3	3.1	1.8	-1.0	-3.4
Changes in Working Capital	-63.4	-18.6	-41.8	63.9	-21.0
Cash from Operating Activities	-42.1	30.1	12.0	51.3	10.3
Purchase of Fixed Assets	-15.8	-4.7	-7.9	-11.0	-31.6
Capital Expenditures	-15.8	-4.7	-7.9	-11.0	-31.6
Sale of Fixed Assets	1.2	0.4	0.5	0.2	0.3
Sale/Maturity of Investment	1.0	-	-	-	-
Investment, Net	-7.5	-0.3	1.4	-1.8	1.4
Other Investing Cash Flow	-7.8	-1.7	-1.3	-1.1	-1.6
Other Investing Cash Flow Items, Total	-13.0	-1.6	0.7	-2.6	0.1
Cash from Investing Activities	-28.8	-6.3	-7.2	-13.6	-31.5
Other Financing Cash Flow	5.0	-1.9	-1.0	0.0	0.1
Financing Cash Flow Items	5.0	-1.9	-1.0	0.0	0.1
Cash Dividends Paid - Common	-11.1	-	-	-	-
Total Cash Dividends Paid	-11.1	-	-	-	-
Sale/Issuance of Common	15.8	4.7	0.7	-0.7	0.0
Repurchase/Retirement of Common	-1.0	-	-	-	-
Common Stock, Net	14.9	4.7	0.7	-0.7	0.0
Issuance (Retirement) of Stock, Net	14.9	4.7	0.7	-0.7	0.0
Short Term Debt Reduction	-	-	-	0.0	-3.7
Short Term Debt, Net	106.9	-44.9	0.1	3.3	12.1
Long Term Debt, Net	-35.2	8.7	-4.7	-35.2	5.1
Issuance (Retirement) of Debt, Net	71.7	-36.2	-4.6	-31.9	17.2
Cash from Financing Activities	80.5	-33.4	-4.9	-32.7	17.3
Foreign Exchange Effects	0.0	-0.1	0.0	0.0	0.0
Net Change in Cash	9.7	-9.6	-0.2	5.0	-3.9
Net Cash - Beginning Balance	4.2	13.5	13.1	8.6	12.1
Net Cash - Ending Balance	13.9	3.9	12.9	13.7	8.3
Cash Interest Paid	2.3	2.1	2.8	8.5	6.5
Cash Taxes Paid	0.6	0.0	0.0	0.7	1.3

Annual Income Statement

Financials in: USD (mil)

Except for share items (millions) and per share items (actual units)

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Period Length	12 Months	12 Months	12 Months	12 Months	12 Months
UpdateType/Date	Updated Normal 31-Dec-2011	Updated Normal 31-Dec-2010	Updated Normal 31-Dec-2009	Updated Normal 31-Dec-2008	Updated Normal 31-Dec-2007
Filed Currency	TWD	TWD	TWD	TWD	TWD
Exchange Rate (Period Average)	29.39004	31.497037	33.023867	31.543497	32.848802
Auditor	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP
Auditor Opinion	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation
Gross Sales	869.6	768.1	553.6	663.2	687.0
Sales Returns	-2.2	-1.7	-0.7	-3.6	-4.9
Sales Discounts and Allowances	-2.3	-1.9	-1.6	-3.1	-1.4
Total Revenue	865.1	764.4	551.4	656.5	680.8
Cost of Sales	853.1	721.9	504.4	674.0	652.4
Selling Expenses	12.0	12.1	11.0	11.6	11.5
General and Administrative Expenses	4.6	5.4	5.1	4.4	5.0
Research and Development Expenses	2.5	2.0	2.0	1.9	1.6
Inventory Devaluation & Obsolescence	-	-	-	12.8	0.0
Gain from Revaluation of Inventory	-	-	-	0.0	-0.2
Loss on Physical Inventory	-	-	-	0.0	0.0
Reversal of Assets' Impairment	-0.3	-	-	-	-
Total Operating Expense	872.0	741.4	522.5	704.7	670.3
Interest Income	0.1	0.0	0.0	0.2	0.1
Gain/Loss on Equity Investment	2.5	4.5	0.7	0.6	0.4
Dividend Income	2.6	2.8	0.0	0.5	0.2
Gain on Sale of Fixed Assets	1.2	0.4	0.5	0.1	0.0
Loss on Sale of Fixed Assets	-	-	0.0	-0.1	0.0
Gain/Loss on Sale of Investments	0.3	4.5	0.0	0.2	-0.3
Gain/Loss on Foreign Exchange	3.5	-2.5	-0.4	-0.3	0.1
Rent Income	0.6	0.6	0.6	0.8	0.7
G/L on Financial Assets Revaluation	-6.9	4.4	0.7	-0.7	-0.6
Miscellaneous Income	2.2	1.0	0.9	1.2	1.2
Revaluation G/L on Fin. Liabilities	0.0	0.0	-	-	-
Interest Expense	-2.2	-2.1	-2.5	-8.6	-6.5
Gain on Sale of Scrap & Waste	-	-	-	2.0	1.9
Loss on Other Investments	-	-	-	-	0.0
Miscellaneous Disbursements	-0.1	-0.1	-0.3	-4.6	-1.7
Net Income Before Taxes	-2.9	36.6	29.2	-56.9	5.9
Provision for Income Taxes	2.5	3.0	0.0	0.0	-0.9
Net Income After Taxes	-5.4	33.6	29.2	-56.9	6.8
Minority Interest	-2.5	-1.4	0.0	-0.1	0.1
Net Income Before Extra. Items	-7.9	32.2	29.3	-57.0	6.9
Accounting Change	-	-	-	-	0.0
Net Income	-7.9	32.2	29.3	-57.0	6.9
Income Available to Com Excl ExtraOrd	-7.9	32.2	29.3	-57.0	6.9
Income Available to Com Incl ExtraOrd	-7.9	32.2	29.3	-57.0	6.9
Basic Weighted Average Shares	709.2	695.1	689.5	689.5	721.6
Basic EPS Excluding ExtraOrdinary Items	-0.01	0.05	0.04	-0.08	0.01
Basic EPS Including ExtraOrdinary Items	-0.01	0.05	0.04	-0.08	0.01
Dilution Adjustment	0.0	-	-	0.0	-
Diluted Net Income	-7.9	32.2	29.3	-57.0	6.9
Diluted Weighted Average Shares	709.2	695.5	689.5	689.5	721.6
Diluted EPS Excluding ExtraOrd Items	-0.01	0.05	0.04	-0.08	0.01
Diluted EPS Including ExtraOrd Items	-0.01	0.05	0.04	-0.08	0.01
DPS-Common Stock	0.00	0.01	0.00	0.00	0.00
Gross Dividends - Common Stock	0.0	10.4	0.0	0.0	0.0
Normalized Income Before Taxes	-4.4	36.2	28.7	-58.9	4.0
Inc Tax Ex Impact of Sp Items	2.0	3.0	-0.2	-0.7	-1.6
Normalized Income After Taxes	-6.4	33.3	28.9	-58.2	5.6
Normalized Inc. Avail to Com.	-8.9	31.9	28.9	-58.3	5.7
Basic Normalized EPS	-0.01	0.05	0.04	-0.08	0.01
Diluted Normalized EPS	-0.01	0.05	0.04	-0.08	0.01
Interest Expense, Supplemental	2.2	2.1	2.5	8.6	6.5
Interest Capitalized	0.0	0.0	0.0	-0.1	-0.9
R&D Expense, Supplemental	2.5	2.0	2.0	1.9	1.6
Depreciation - Operating Cost	18.0	22.9	23.4	24.3	20.6
Depreciation - Operating Expense	0.3	0.3	0.3	0.4	0.4
Amortization - Operating Cost	2.0	2.0	1.6	1.8	1.6
Amortization - Operating Expense	0.8	0.8	1.0	0.6	0.6
Current Tax Payable	-0.3	3.4	6.9	-15.1	1.6
Current Tax - Total	-0.3	3.4	6.9	-15.1	1.6
Deferred Tax	2.7	-2.0	-8.2	16.2	0.0
Deferred Tax - Total	2.7	-2.0	-8.2	16.2	0.0
Other Tax	0.1	1.6	1.3	-1.1	-2.5
Income Tax - Total	2.5	3.0	0.0	0.0	-0.9
Service Cost	0.2	0.2	0.2	0.3	0.3
Interest Cost	0.2	0.1	0.2	0.2	0.2
Expected Return on Plan Assets	0.0	0.0	0.0	0.0	0.0
Amort. Transitional Benefit Obligation	-	0.1	0.1	0.1	0.1
Amort. of Pension Gain/Loss	0.2	0.1	0.1	0.1	0.0
Domestic Pension Plan Expense	0.6	0.6	0.5	0.7	0.5
Defined Contribution Expense - Domestic	0.8	0.6	0.5	0.6	-
Total Pension Expense	1.4	1.2	1.0	1.3	0.5
Discount Rate	2.00%	2.00%	2.00%	2.75%	2.75%
Rate of Compensation Increase	2.25%	2.25%	2.00%	2.50%	3.00%
Expected Rate of Return on Plan Assets	2.00%	2.00%	2.00%	2.75%	2.75%

Annual Balance Sheet

Financials in: USD (mil)

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
UpdateType/Date	Updated Normal 31-Dec-2011	Updated Normal 31-Dec-2010	Updated Normal 31-Dec-2009	Updated Normal 31-Dec-2008	Reclassified Normal 31-Dec-2008
Filed Currency	TWD	TWD	TWD	TWD	TWD
Exchange Rate	30.279	29.1565	31.985	32.818	32.4345
Auditor	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP
Auditor Opinion	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation
Cash and Cash Equivalent	13.5	4.3	13.3	13.1	8.4
Financial Asset at Fair Value	35.6	15.2	1.7	0.7	2.2
Financial Assets-Held to Maturity	-	-	0.0	0.0	0.0
Notes Receivable	5.5	4.1	3.1	2.6	4.4
Notes Receivable - Related Parties	1.6	-	-	-	-
Accounts Receivable, Gross	81.9	137.1	99.5	40.4	57.2
Provision for Doubtful Accounts	-0.5	-0.8	-0.6	-0.4	-0.4
Accounts Receivable - Related Parties	2.2	1.0	0.6	0.0	0.1
Other Financial Assets - Current	11.2	3.6	5.5	4.9	5.4
Finished Goods	31.5	15.6	20.1	24.3	36.7
Work-in-Process	27.6	24.2	17.9	18.7	21.9
Raw Material	29.1	13.6	11.1	12.1	11.8
Supplies	3.2	3.0	2.1	2.2	2.4
Raw Materials/Suppliers in Transit	45.5	18.7	18.6	1.4	26.0
Inventory in Transit	3.8	-	-	-	-
Provision/Allowance for Inventory	-	-	-	-13.1	-0.8
Other Current Assets	6.2	5.0	1.8	4.8	3.0
Total Current Assets	298.0	244.5	194.8	111.8	178.2
Fin. Products - for Sale, Non-Current	43.3	67.7	30.1	12.6	22.5
Fin. Ass.-Held to Maturity, Non-Current	-	-	-	0.0	0.1
Long Term Equity Investment	45.9	52.9	37.1	26.2	31.9
Financial Assets, Cost Method	2.2	1.7	2.0	1.9	2.3
Land and Improvements	34.6	35.9	32.8	31.5	31.0
Buildings and Structures	76.0	78.4	71.4	69.3	70.4
Machinery and Equipment	249.6	251.3	224.9	221.1	221.4
Transportation Equipment	2.0	2.0	1.8	1.7	1.7
Office Equipment	2.7	2.6	2.4	2.4	2.6
Leasehold Improvement	0.4	0.5	0.4	0.4	0.4
Miscellaneous Equipment	65.7	66.7	59.9	58.3	60.4
Revaluation Increment	15.8	-	-	-	-
Accumulated Depreciation	-271.2	-269.1	-224.1	-200.1	-185.5
Construction in Prog. & Prepay for Equip	0.6	1.3	3.9	2.4	3.2
Computer Software Cost	1.2	1.1	1.8	1.4	1.2
Deferred Pension Cost	-	0.0	0.1	0.1	0.2
Security Deposits Paid	0.3	0.4	0.5	0.4	0.6
Deferred Charges	1.6	1.2	1.0	1.1	1.6
Deferred Income Tax Assets - Non Current	2.8	3.5	8.4	5.2	8.2
Restricted Assets	-	-	0.1	0.3	0.4
Other Assets - Other	0.0	0.0	0.0	0.0	0.0
Total Assets	571.6	542.7	449.3	348.0	452.6
Short Term Borrowings	113.0	41.2	64.7	62.3	69.7
Financial Liabilities-Fair Value,Current	0.0	0.0	-	-	-
Short Term Notes & Bills Payable	39.4	9.4	25.5	25.5	16.0
Notes Payable	3.8	2.0	1.9	0.9	2.6
Notes Payable - Related Parties	2.7	0.4	0.1	0.0	0.0
Accounts Payable	46.5	57.4	48.1	13.9	5.8
Accounts Payable, Related Parties	2.2	2.5	2.9	1.7	3.4
Income Taxes Payable	0.3	0.5	0.0	0.0	0.6
Payable, Rel. Parties	3.7	0.0	1.8	2.8	-
Other Payables	12.8	12.8	11.0	8.8	10.0
Current Portion of Long Term Debt	12.6	19.6	14.8	60.6	23.4
Other Current Liabilities	3.8	5.1	2.1	1.4	2.6
Total Current Liabilities	240.8	151.0	173.2	178.0	134.2
Long Term Borrowings	26.2	56.1	45.7	3.0	75.2
Total Long Term Debt	26.2	56.1	45.7	3.0	75.2
Land Revaluation Increment Tax Reserve	4.8	-	-	-	-
Accrued Pension Liabilities	5.8	5.9	5.3	4.0	4.7
Long Term Security Deposits Received	0.1	0.1	0.1	0.1	0.1
Deferred Income	0.0	0.0	0.0	0.0	0.0
Long Term Equity Investment Credit	-	-	0.0	0.4	0.0
Minority Interest	18.6	17.2	5.4	1.7	4.3
Total Liabilities	296.3	230.3	229.6	187.2	218.5
Common Stock	237.2	223.9	204.1	198.9	193.5
Share Premium	19.5	42.6	38.9	37.9	46.1
Treasury Stock Transaction	4.8	1.0	0.1	0.0	0.0
Capital Gain on LT Investments	0.1	0.1	0.7	0.9	0.4
Legal Reserve	12.2	10.8	9.8	9.6	9.0
Special Reserve	3.0	28.9	35.0	34.1	31.5
Retained Earnings	22.7	18.8	-23.2	-52.1	7.0
Cumulative Translation Adjustment	-0.2	-0.3	-0.1	0.0	0.0
Unrealized Revaluation Increment	11.0	-	-	-	-
Unrealized Gain/Loss on Financial Assets	-19.0	7.3	-25.0	-48.8	-34.5
Unrealized Gain/Loss on Pension Fund	-1.0	-1.2	-1.3	-0.1	0.0
Treasury Stock	-14.9	-19.4	-19.3	-19.5	-19.0
Total Equity	275.3	312.4	219.7	160.9	234.2
Total Liabilities & Shareholders' Equity	571.6	542.7	449.3	348.0	452.6
S/O-Common Stock	666.0	641.5	631.5	626.3	631.8
Total Common Shares Outstanding	666.0	641.5	631.5	626.3	631.8
T/S-Common Stock	88.1	112.6	122.6	127.8	122.3
Full-Time Employees	1,069	1,017	1,098	1,026	1,242
Number of Common Shareholders	27,840	23,804	23,402	22,375	21,702
Current maturities	-	19.6	14.8	60.6	-
Total Long Term Debt, Supplemental	-	19.6	14.8	60.6	-
Accumulated Benefit Obligation	6.0	6.0	5.6	4.1	5.2
Benefit Obligation	7.7	7.9	7.2	5.8	7.3
Fair Value of Plan Assets	0.2	0.1	0.3	0.1	0.5
Funded Status	-7.5	-7.8	-7.0	-5.7	-6.8
Total Funded Status	-7.5	-7.8	-7.0	-5.7	-6.8
Discount Rate	2.00%	2.00%	2.00%	2.75%	2.75%
Rate of Compensation Increase	2.25%	2.25%	2.00%	2.50%	3.00%
Expected Rate of Return on Plan Assets	2.00%	2.00%	2.00%	2.75%	2.75%
Deferred Pension Cost	-	-	0.1	0.1	0.2
Accrued Pension Liabilities	-5.8	-5.9	-5.3	-4.0	-4.7
Net Assets Recognized on Balance Sheet	-5.8	-5.9	-5.2	-3.9	-4.5

Annual Cash Flows

Financials in: USD (mil)

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Period Length	12 Months	12 Months	12 Months	12 Months	12 Months
UpdateType/Date	Updated Normal 31-Dec-2011	Updated Normal 31-Dec-2010	Updated Normal 31-Dec-2009	Updated Normal 31-Dec-2008	Updated Normal 31-Dec-2007
Filed Currency	TWD	TWD	TWD	TWD	TWD
Exchange Rate (Period Average)	29.39004	31.497037	33.023867	31.543497	32.848802
Auditor	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP	Deloitte & Touche LLP
Auditor Opinion	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation	Unqualified with Explanation
Net Income	-5.4	33.6	29.2	-56.9	6.8
Depreciation	18.3	23.1	23.7	24.7	21.0
Loss on Sale of Investments	-0.3	-4.5	-	-	-
Effects of Accounting Policies Change	-	-	-	-	0.0
Amortization of Intangible Assets	2.8	2.8	2.6	2.3	2.2
Cost of T/S Transfer to Employee	0.1	-	0.0	-	-
Net Gain/Loss on Disposal of Properties	-1.2	-0.4	-0.5	0.0	0.0
Fire Loss on Fixed Assets	-	-	-	0.0	0.9
Reversal of Impairment Loss on Non-finan	-0.3	-	-	-	-
Provision for Devaluation of Idle Assets	-	-	0.0	1.1	0.0
Financial Assets Valuation G/L	6.9	-4.4	-0.7	0.7	0.6
G/L on Fin. Liabilities Valuation	-	0.0	-	-	0.0
Capital Reduction of LT Equi. Investment	-	-	-	0.0	0.1
Gain/Loss on Sale of Equity Investment	-	-	0.0	-0.2	0.4
Equity Investment Gain/Loss	-2.5	-4.5	-0.7	-0.6	-0.4
Long Term Investment Devaluation	-	-	-	-	0.0
Cash Dividend from Equity Subsidiaries	0.8	0.5	0.1	0.5	0.9
Prov. for Inventory Devaluation	-	-	-	12.8	-0.2
Financial Asset at Fair Value	-28.5	-3.9	-0.1	0.9	9.9
Notes Receivable	-1.6	-0.6	-0.4	1.8	-1.1
Notes Receivable, Related Parties	-1.7	-	-	0.0	0.3
Accounts Receivable	51.4	-25.8	-56.0	16.8	3.0
Accounts Receivable, Related Parties	-1.3	-0.3	-0.6	0.1	0.6
Other Financial Asset, Current	-2.4	2.3	-0.5	0.5	-1.6
Inventories	-70.6	1.4	-22.4	40.5	-50.0
Deferred Tax Assets,Current	1.5	-2.8	3.0	-	-
Deferred Tax Assets,Non-current	0.6	5.3	-3.0	3.1	-1.1
Other Current Assets	-3.0	0.1	0.0	-1.9	19.8
Other Asset	0.0	0.0	0.0	0.0	0.0
Notes Payable	1.9	0.0	0.9	-1.7	-2.2
Notes Payable, Related Parties	2.3	0.3	0.0	0.0	-2.2
Accounts Payable	-9.0	4.2	32.8	8.5	0.5
Accounts Payable, Related Parties	-0.2	-0.7	1.1	-1.7	0.8
Other Payables	0.4	0.9	2.6	0.0	0.6
Tax Payable	-0.3	0.5	0.0	-0.6	-0.2
Other Current Liabilities	-1.1	2.5	0.7	1.4	1.1
Deferred Pension Cost	-	-	-	0.0	-0.2
Accrued Pension Liabilities	0.3	0.3	0.1	-0.7	-0.1
Deferred Credit Increase/Decrease	-	-	-	-	0.0
Cash from Operating Activities	-42.1	30.1	12.0	51.3	10.3
Restricted Asset Increase	0.0	0.1	0.2	0.1	0.2
Fin. Ass. at Fair Value, Non - Current	-	-	-	0.0	0.0
Deferred Charges	-2.4	-1.8	-1.4	-1.4	-2.0
Capital Expenditure	-15.8	-4.7	-7.9	-11.0	-31.6
Disposal of Fixed Assets	1.2	0.2	0.5	0.2	0.3
Disposal of Idle Assets	0.0	0.2	-	-	-
Fin. Ass.-Cost Method, Non-Current	-0.5	0.8	0.0	0.5	0.9
Fin. Ass. Held for Sale, Non-current	-4.9	0.0	-1.1	-1.9	-0.2
Disposal of Financial Assets for Sale	1.0	-	-	-	-
Long Term Equity Investments, Net	-2.0	-1.1	2.4	-0.4	0.6
Fin. Ass.-Held to Maturity,Non - Current	-	0.0	0.0	0.1	0.0
Cap. Return of Fin. Assets-Cost Method	0.1	-	-	-	-
Security Deposit Paid	0.0	0.1	0.0	0.1	0.2
Receivables, Rel. Parties, Increase	-5.5	-	-	-	-
Cash from Investing Activities	-28.8	-6.3	-7.2	-13.6	-31.5
Cash Dividend - Common Stock	-11.1	-	-	-	-
Short Term Borrowings, Net	75.6	-27.7	0.8	-6.8	12.6
Short Term Notes, Net	31.3	-17.2	-0.6	10.1	3.3
Long Term Borrowings, Net	-35.2	8.7	-4.7	-35.2	5.1
Security Deposit Received	0.0	0.0	0.0	0.0	0.1
Accounts Payable Decrease	-	-	-	0.0	-3.7
Payable to Related Parties	3.8	-1.9	-1.0	-	-
Disposal of Treasury Stock	-	4.7	0.7	-	-
Treasury Share Hold by Subsidies	15.8	-	-	-0.7	0.0
Treasury Stock Transferred to Employees	0.0	-	-	-	-
Purchase of Treasury Shares	-1.0	-	-	-	-
Cash dividend to Subsidies	1.2	-	-	-	-
Cash from Financing Activities	80.5	-33.4	-4.9	-32.7	17.3
Foreign Exchange Effects	0.0	-0.1	0.0	0.0	0.0
Net Change in Cash	9.7	-9.6	-0.2	5.0	-3.9
Net Cash - Beginning Balance	4.2	13.5	13.1	8.6	12.1
Net Cash - Ending Balance	13.9	3.9	12.9	13.7	8.3
Cash Interest Paid	2.3	2.1	2.8	8.5	6.5
Cash Taxes Paid	0.6	0.0	0.0	0.7	1.3

Financial Health

Financials in: USD (mil)

Except for share items (millions) and per share items (actual units)

Key Indicators USD (mil)
Â	Quarter Ending 30-Sep-2012	Quarter Ending Yr Ago	Annual Year End 31-Dec-2011	1 Year Growth	3 Year Growth	5 Year Growth
Total Revenue1	237.9	-16.22%	865.1	5.60%	7.08%	8.24%
Research & Development1	0.6	-14.42%	2.5	15.01%	7.51%	6.54%
Operating Income1	6.6	890.17%	-6.9	-	-	-
Income Available to Common Excl Extraord Items1	8.9	83.53%	-7.9	-	-	-
Basic EPS Excl Extraord Items1	0.01	83.78%	-0.01	-	-	-
Capital Expenditures2	3.1	-70.17%	15.8	214.90%	10.28%	-15.84%
Cash from Operating Activities2	48.7	-	-42.1	-	-	-
Free Cash Flow	46.3	-	-56.2	-	-	-
Total Assets3	565.4	-6.86%	571.6	9.39%	14.86%	4.19%
Total Liabilities3	280.8	-6.09%	296.3	33.63%	13.46%	6.88%
Total Long Term Debt3	34.2	2.86%	26.2	-51.55%	99.33%	-17.60%
Employees3	-	-	1069	5.11%	1.38%	-1.71%
Total Common Shares Outstanding3	669.1	-0.12%	666.0	3.81%	2.07%	-2.45%
1-ExchangeRate: TWD to USD Average for Period	29.873205	Â	29.390040	Â	Â	Â
2-ExchangeRate: TWD to USD Average for Period	29.738704	Â	29.390040	Â	Â	Â
3-ExchangeRate: TWD to USD Period End Date	29.331796	Â	30.279000	Â	Â	Â

Utility Industry Specific USD (mil)
Â	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Deferred Charges3	1.6	1.2	1.0	1.1	1.6
3-ExchangeRate: TWD to USD Period End Date	30.279000	29.156500	31.985000	32.818000	32.434500

Key Ratios
Â	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Profitability
Gross Margin	1.38%	5.57%	8.52%	-4.63%	4.20%
Operating Margin	-0.79%	3.02%	5.25%	-7.34%	1.54%
Pretax Margin	-0.34%	4.79%	5.30%	-8.67%	0.87%
Net Profit Margin	-0.92%	4.21%	5.31%	-8.69%	1.02%
Financial Strength
Current Ratio	1.24	1.62	1.13	0.63	1.33
Long Term Debt/Equity	0.10	0.18	0.21	0.02	0.32
Total Debt/Equity	0.72	0.41	0.70	0.95	0.80
Management Effectiveness
Return on Assets	-0.96%	7.01%	7.49%	-13.76%	1.56%
Return on Equity	-2.67%	12.57%	15.72%	-27.95%	2.98%
Efficiency
Receivables Turnover	7.40	6.50	7.78	12.22	10.99
Inventory Turnover	7.77	10.28	8.93	9.27	9.15
Asset Turnover	1.53	1.59	1.41	1.59	1.55

Market Valuation USD (mil)
Enterprise Value2	416.2	.	Price/Sales (TTM)	0.32
Enterprise Value/Revenue (TTM)	0.49	.	Price/Book (MRQ)	0.85
Enterprise Value/EBITDA (TTM)	30.55	.	Market Cap1	268.5
1-ExchangeRate: TWD to USD on 29-Mar-2013	29.908335
2-ExchangeRate: TWD to USD on 30-Sep-2012	29.331796

Annual Ratios

Financials in: USD (mil)

Except for share items (millions) and per share items (actual units)

	31-Dec-2011	31-Dec-2010	31-Dec-2009	31-Dec-2008	31-Dec-2007
Financial Strength
Current Ratio	1.24	1.62	1.13	0.63	1.33
Quick/Acid Test Ratio	0.63	1.09	0.71	0.35	0.58
Working Capital1	57.2	93.5	21.6	-66.2	44.0
Long Term Debt/Equity	0.10	0.18	0.21	0.02	0.32
Total Debt/Equity	0.72	0.41	0.70	0.95	0.80
Long Term Debt/Total Capital	0.06	0.13	0.12	0.01	0.18
Total Debt/Total Capital	0.42	0.29	0.41	0.49	0.44
Payout Ratio	0.00%	29.67%	0.00%	0.00%	0.00%
Effective Tax Rate	-	8.16%	-0.05%	-	-15.73%
Total Capital1	472.9	441.1	372.4	313.3	421.2
Efficiency
Asset Turnover	1.53	1.59	1.41	1.59	1.55
Inventory Turnover	7.77	10.28	8.93	9.27	9.15
Days In Inventory	46.99	35.52	40.87	39.37	39.88
Receivables Turnover	7.40	6.50	7.78	12.22	10.99
Days Receivables Outstanding	49.29	56.12	46.93	29.86	33.20
Revenue/Employee2	785,505	812,002	518,471	614,994	555,124
Operating Income/Employee2	-6,224	24,489	27,196	-45,133	8,549
EBITDA/Employee2	12,894	52,010	51,940	-19,822	27,436
Profitability
Gross Margin	1.38%	5.57%	8.52%	-4.63%	4.20%
Operating Margin	-0.79%	3.02%	5.25%	-7.34%	1.54%
EBITDA Margin	1.64%	6.41%	10.02%	-3.22%	4.94%
EBIT Margin	-0.79%	3.02%	5.25%	-7.34%	1.54%
Pretax Margin	-0.34%	4.79%	5.30%	-8.67%	0.87%
Net Profit Margin	-0.92%	4.21%	5.31%	-8.69%	1.02%
R&D Expense/Revenue	0.29%	0.26%	0.37%	0.28%	0.24%
COGS/Revenue	98.62%	94.43%	91.48%	104.63%	95.80%
SG&A Expense/Revenue	1.92%	2.29%	2.90%	2.43%	2.42%
Management Effectiveness
Return on Assets	-0.96%	7.01%	7.49%	-13.76%	1.56%
Return on Equity	-2.67%	12.57%	15.72%	-27.95%	2.98%
Valuation
Free Cash Flow/Share2	-0.08	0.04	0.01	0.06	-0.03
Operating Cash Flow/Share 2	-0.06	0.05	0.02	0.08	0.02
1-ExchangeRate: TWD to USD Period End Date	30.279	29.1565	31.985	32.818	32.4345
2-ExchangeRate: TWD to USD Average for Period	30.279	29.1565	31.985	32.818	32.4345

Current Market Multiples
Market Cap/Earnings (TTM)	-8.75
Market Cap/Equity (MRQ)	0.96
Market Cap/Revenue (TTM)	0.32
Market Cap/EBIT (TTM)	-9.89
Market Cap/EBITDA (TTM)	-31.46
Enterprise Value/Earnings (TTM)	-13.31
Enterprise Value/Equity (MRQ)	1.46
Enterprise Value/Revenue (TTM)	0.49
Enterprise Value/EBIT (TTM)	-15.03
Enterprise Value/EBITDA (TTM)	-47.82

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.60.05
UK Pound	1	Rs.90.71
Euro	1	Rs.78.47

INFORMATION DETAILS

Report Prepared by :

MNL

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
----	NB	New Business	----

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.