Asus 2008 Annual Report Download - page 110

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106
ASUSTEK COMPUTER INC.
Notes to Non-Consolidated Financial Statements
(In thousands of New Taiwan dollars unless otherwise stated)
(d) Each Holder has the right to require the Company to repurchase all or a portion
of the bondholders ECB I on January 15, 2006 and January 15, 2007 at a price
equal to 98.5001% and 97.5150%, respectively, of the unpaid principal amount
thereof.
(e) If the Common Shares cease to be listed or admitted to trading on the Taiwan
Stock Exchange for a period of at least five consecutive Trading Days, then each
Holder will have the right to require the Company to repurchase all of such
Holders ECB I at a price equal to 100% of the unpaid principal amount thereof.
D. Main terms of conversion:
(a) Each Holder has the right to convert all or from time to time any portion of the
bondholders ECB I into Common Shares during the Conversion Period (up to
31 days after the Original issued date to 10 days before the Maturity date).
(b) The Conversion Price will initially be $100.86 per Common Share, and the Fixed
Rate will apply to the conversion of the ECB I. The Conversion Price will be
adjusted upon the occurrence of certain events set out in the indenture, including
but not confined to (1)dividends distributed in Common Shares (2) subdivision,
reclassification or combination of Common Shares (3) granting the shareholders
with rights of subscribing for Common Shares with price lower than the market
price defined in the indenture (4) the value of cash dividend per share is greater
than 5% of the market price in the indenture (5) purchase price of the Companys
(including subsidiaries) shares is higher than the market price (6) issuance of the
Companys (including subsidiaries) convertible (exchangeable) securities with
the Conversion Price lower than 95% of the market price and (7) the value of
newly issued Common Shares is lower than 95% of the market price (other than
(1), (2), (3) or (6)). Such events will not include, among other things, the issue
of the Common Shares to the Companys employees as employees bonuses.
In consideration of the capitalization from increasing from retained earnings,
which excluded the issuance of common shares to employees as employees
bonuses, the conversion price was adjusted to $65.7 per common share.