HTC 2015 Annual Report Download - page 41

Download and view the complete annual report

Please find page 41 of the 2015 HTC annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 149

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149

Corporate governance
Corporate governance
78
79
2. The State of the Company's Implementation of
Corporate Governance:
(1) The state of operations of the Board of Directors:
TheSeventhBoardofDirectorsconducted12(A)meetingsin2015.TheDirectorsandSupervisors'
attendance status is as follows :
Title Name
Attendance in
PersonB ByProxy
Attendance Rate
inPerson(%)
【B/A】Notes
Chairwoman Cher Wang 12 0 100%
Director Wen-Chi Chen 12 0 100%
Director HT Cho 10 2 83.33%
Director DavidBruceYoffie 4 8 33.33%
IndependentDirector Chen-Kuo Lin 12 0 100%
IndependentDirector JosefFelder 4 8 33.33%
Supervisor Wei-ChiInvestmentCo.,Ltd.Representative:
Shao-Lun Lee 12 N/A 100%
Supervisor Huang-Chieh Chu 12 N/A 100%
Other matters to be included:
1. TherewasnoindependentdirectorexpressingoppositionorreservationwithrespecttoanyBoardof
Directors meeting during the preceding fiscal year, and no written record or written statement of related
board resolutions.
2. There was no Directors' abstention from discussion due to conflicts of interests in 2015.
3. MeasurestakentostrengthenthefunctionalityoftheBoardofDirectorsandthestatusof
implementation during current and preceding fiscal years:
(1) Atthetimeofend-of-termelectionsforDirectorsandSupervisorsinthe2013fiscalyear,HTC
selectedtwoIndependentDirectorsinaccordancewiththeprovisionsoftheSecuritiesandExchange
Act in order to strengthen the independence and functions of Directors and enhance the operational
effectivenessoftheBoard.In2014,the“CorporateGovernancePrinciples”werecompletedand
adopted,guaranteeingthattheBoardofDirectorshastheauthoritytoindependentlysupervise
corporate operations and to make all decisions necessary to fulfill its responsibilities to shareholders
and to society.
(2)Incompliancewiththe"RegulationsGoverningtheAppointmentandExerciseofPowersbythe
Remuneration Committee of a Company whose stock is listed on the Stock Exchange or Traded
Over-the-Counter" as per Letter No.1000009747 issued by the Financial Supervisory Commission
oftheExecutiveYuanonMarch18,2011,theBoardofDirectorsresolvedtoadopttheCompany's
Compensation Committee Charter and the Committee shall consist of three members who are
appointed by resolution of the board of directors. The current second remuneration committee
membersareindependentdirectorMr.Chen-KuoLin;independentprofessionaladvisors,Mr.Wei
Ti-HsiangandMr.Yeong-ChengWu.TheofficialfunctionsoftheCommitteearetoprofessionally
andobjectivelyevaluatethepoliciesandsystemsforthecompensationofHTCdirectors,supervisors,
andmanagers,andsubmitrecommendationstotheBoardofDirectorsforitsreferenceindecision
making.
(3)Currently,priortotheestablishmentoftheauditcommittee,someofthecommittee'sfunctionsare
performed by the Supervisors meetings. Regular Supervisors meetings are convened on a quarterly
basistohearreportsonimportantfinancial,legal,andinternalauditmatters.Thereisalsoajoint
assessmentbetweentheSupervisorsandCPAontheprinciplesandappropriatenessofvarious
allowances and reserves in the financial statements.
(4) HTC has also been endeavoring in recent years to enhance the timeliness and transparency of its
informationdisclosure.Inadditiontomakingtimelypostingofimportantfinancialandbusiness
informationontheMarketObservationPostSystem,HTCalsoconvenesonlineinvestorconferences
on a quarterly basis to allow investors timely access to information on the company's operations
andperformance.InDecember2008,theHTCInvestorRelationsWebsitewasrevised.Aspecial
corporate governance page was added along with disclosures of financial information. HTC achieved
“A+”ratingininformationdisclosureforthefirsttimeinthesixthInformationDisclosureand
TransparencyRankingorganizedbytheSecuritiesandFutureInstitute(SFI)andalsorated“A+”for
threeconsecutiveyears.HTCwasrecognizedasoneofthetop10publiccompanieswith“A+”rating
intheseventhevaluationandrated“A++”intheninth,tenthandeleventhevaluationforlisted/
OTC companies. As of 2015, HTC has engaged in the second session of the“Corporate Governance
evaluation”,andachieved“A+”rating.