Regulations Governing the Accounting Treatment and Preparation of Financial Reports for Foundations Overseen by the Central Bank of the Republic of China (Taiwan) Article 2

Foundations overseen by the Central Bank of the Republic of China (Taiwan) (referred to as "the Bank" hereunder) shall handle their accounting and prepare financial reports in accordance with the Act, these Regulations and applicable laws and regulations. Matters not provided for therein shall be handled in accordance with generally accepted accounting principles.The generally accepted accounting principles mentioned in the preceding paragraph shall mean the Enterprise Accounting Standards (EAS) and interpretations thereof. Notwithstanding the foregoing, a foundation may, out of actual business needs, adopt International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), and Interpretations developed by the International Financial Reporting Interpretations Committee (IFRIC) or the former Standing Interpretations Committee (SIC) recognized by the Financial Supervisory Commission.