Asus 2014 Annual Report Download - page 201

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recipients may include the employees of subsidiaries. After the distribution of earnings, the
remaining earnings and prior years’ undistributed earnings may be appropriated according to a
resolution of the board of directors adopted in the shareholders’ meeting.
B. The Company is facing a rapidly changing industrial environment, with the life cycle of the
industry in the growth phase. In light of the long-term financial plan of the Company and the
demand for cash by the shareholders, the Company should distribute cash dividends of not less
than 10% of the total dividends declared.
C. Except for covering accumulated deficit, increasing capital or payment of cash in proportion to
ownership percentage, the legal reserve shall not be used for any other purpose. The amount
capitalized or the cash payment shall be limited to the portion of legal reserve which exceeds
25% of the paid-in capital.
D. (A) In accordance with the regulations, the Company shall set aside special reserve from the
debit balance on other equity items at the end of the financial reporting period before
distributing earnings. When debit balance on other equity items is reversed subsequently,
the reversed amount could be included in the distributable earnings.
(B) The amounts previously set aside by the Company as special reserve on initial application
of IFRSs in accordance with Jin-Guan-Zheng-Fa-Zi Letter No. 1010012865, dated April 6,
2012, shall be reversed proportionately when the relevant assets are used, disposed of or
reclassified subsequently.
E. The Company estimates the amount of employees’ bonuses and directors’ and supervisors’
remuneration according to the Company Law and the Company’s articles of incorporation.
The employees’ bonuses and directors’ and supervisors’ remuneration were estimated and
recognized based on a specific percentage approved by the management in accordance with
the Company’s articles of incorporation. The Company recognized employees’ bonuses of
$956,495 and $928,107 and directors’ and supervisors’ remuneration of $50,342 and $185,621
for the years ended December 31, 2014 and 2013, respectively. The number of shares of
employees’ stock bonus is based on the closing price of the day before the shareholders’
meeting date and considering the effect of ex-rights and ex-dividends. There was no difference
between the employees’ bonuses amounting to $928,107 and directors’ and supervisors’
remuneration amounting to $185,621 as approved by the shareholders with the amounts
accrued as expenses in the 2013 financial statements.
Information on the appropriation of the Company’s employees’ bonus and directors’ and
supervisors’ remuneration as proposed by the Board of Directors and resolved by the
shareholders will be posted in the “Market Observation Post System” at the website of the
Taiwan Stock Exchange.
F. As resolved by the shareholders on June 17, 2013, the Company recognized cash dividends
distributed to owners amounting to $14,302,445 ($19 (in dollars) per share) for the
appropriation of 2012 earnings. On June 17, 2014, the shareholders resolved to distribute cash