Excelsior Healthcare GroupExcelsior Healthcare Group

Excelsior 2

…while its growth path has been carefully charted u pon selected sectors

““ ExcelsiorExcelsior ’’s Smiling Curves Smiling Curve ””Selected Competitive Arenas for Excelsior GroupSelected Competitive Arenas for Excelsior Group

AdAd --hochocRepetitiveRepetitive Patronization PatternPatronization Pattern

Rel

ativ

e P

rofit

abili

tyR

elat

ive

Pro

fitab

ility

Hig

hH

igh

Med

ium

Med

ium

Low

Low

“Volume Business”- Chronic Disease -

“Value Business”- Elective Surgery -

•Medical Skincare

•Dialysis•RT

• Long Term Care

• Logistics

•Preventive Medicine

•Rehabilitation

• Shorter lifecycle• High brand value• Relative lower entry

barrier

• Higher profit margin • Lower patient volume• High revenue growth• High Loyalty to

Practitioner and Institute

Characteristics of Elective DiseaseCharacteristics of Elective Disease• Relative lower profit

margin • Vast patient volume• Stable patient source

• Repeat use• High loyalty to

Institute• High brand value

Characteristics of Selected Chronic DiseaseCharacteristics of Selected Chronic Disease

• Pediatrics

• Obstetrics and Gynecology

• ENT

Growth Pattern

•Dentistry Transplant•Anti-aging

Excelsior 3

Our Core Competency- Partnership

PRODUCT COMMITMENTPRODUCT COMMITMENT

MINORITY INTERESTMINORITY INTEREST

ALLIANCEALLIANCE

JOINT VENTUREJOINT VENTURE

PARTNERSHIPPARTNERSHIP

Excelsior 4

Pathway to Firm Partnership

TIME FROM PARTNERSHIPTIME FROM PARTNERSHIP

Service Continuum

Service Continuum

VA

LUE

VA

LUE

-- AD

DE

DA

DD

ED

Capital Equipment

Facility Planning & Design

I.S. Billing /Productivity Training

Center

StaffTraining

Economic analysisI.S. for Decision-mkg.

Supply andInfrastructure

Operating Efficiencies

Competitive Advantage

Equipment Leasing

Policies/Procedures

OutcomesManagement

Market Development• Reimb.• V-A Services• Competitive

Mgmt• Patient Mktg• Increase

Invest

Excelsior 5

Potentially Competitive

Entrants競爭力競爭力競爭力競爭力

Fragmented Client Base

(e.g. Consumer Patients, Clinics,

Small- to Medium-sized

Hospitals)

FinancialFinancialCapabilitiesCapabilities

財物力財物力財物力財物力財物力財物力財物力財物力

Professional Professional ManagementManagement

專業力專業力專業力專業力專業力專業力專業力專業力

HealthHealth --carecarePractitionersPractitioners

醫事醫事醫事醫事醫事醫事醫事醫事 人力人力人力人力人力人力人力人力

In order to expedite Excelsior’s move toward its vi sion, Merger and Acquisition/strategic alliance would be more desira ble to drive the growth

• A team, a group, or a company that holds some critical assets (e.g. exclusive rights by vendors, channel ownership, customer base, etc.) creating …

• … resides in the desirable sectors identified by Excelsior and fits well into its portfolio…• … may enjoys certain competitive edge (including time lag) over peers…• …but may be lack of other complimentary assets or capabilities (e.g. financial resources, business management team, go-to-market, etc.) to succeed in the sector

M&A/Alliance Target Could be …

ChannelChannel

RelationshipRelationship

Practice Practice KnowledgeKnowledge

Practice Practice KnowledgeKnowledge

RegulationRegulation

Excelsior Group-level Presentation Strategic Intents for the Future

Excelsior 6

Channel - Capabilities to access to vendors as well as to access to other market players essential to integrate upstream and downstream

The industry, though attractive and yet difficult t o enter and thrive, is characterized with high entry barrier, financially stable but att ractive to market leaders

Commissioned with certain groups

• e.g. NTUH, Taipei Veterans General Hospital, etc.

Survive-and-live-wells

• e.g. Chang Gung Hospital, Taiwan Adventist Hospital

…and very fragmented industry value chain and numerous independent incumbents

Growth Pattern

Tens of Thousands

of MDs

Mega Investors

International Vendors

Domestic Vendors

Others

Powerful Interest Groups

Practice Knowledge – highly specific and professional trainings in each stream such as medical practices, medical equipments, nursing, biotechnologies, pharmaceuticals, etc. imposed the first screen hurdle for interested parties

Relationship - Highly closed sub-communities with sophisticated network by schools, practices,subjects, etc. intensifying the entry difficulty into each clusters as well as mobility barriers among clusters

Management Know-how– Such as business and strategic planning, finance and accounting, marketing and business development, etc. without possessing them, many incumbents suffered severely in their cash-rich business.

Regulation – Most practices and many healthcare operations are highly regulated. E.g., the pharmacy operation, hospital property / asset ownership, etc.

Pot

entia

l Pla

yers

Source: 14th Aug, 2002ETToday News, 1ST Aug, 2000, 7th Feb, 2001 UDN News, Company Data

Excelsior 7

Excelsior has accumulated and secured strong compet itive advantage alone its pattern of growth…

Excelsior Group-level Presentation Growth Pattern

Future Future New BUsNew BUs

EnfieldEnfield貿易貿易貿易貿易貿易貿易貿易貿易

RTS ExcelsiorRTS Excelsior透析通路透析通路透析通路透析通路透析通路透析通路透析通路透析通路

Medical BeautyMedical Beauty醫學美容醫學美容醫學美容醫學美容醫學美容醫學美容醫學美容醫學美容

Finance, Brand, Management Know-how

Patient Base, Revenue

Channel, Relationship, Revenue

• Know-how to secure domain experts - Secured domain experts and know-how on securing these domain experts (e.g. MDs)

• Management Capabilities-Business professionals with healthcare industry expertise are rarely to find in Taiwan.

• Economies of Scale and Scopeover competitors

• Market Sensitivity - Secured vendor relationship and channel / channel management ownership

• Experience Replication- Excellence on replicating previous successful experiences to new territories.

ExcelsiorExcelsior ’’s Growth Paths Growth Path Competitive AdvantagesCompetitive Advantages

• JV with Baxter• Enfield IPO

• Secondary Offering• CB• M&A

Stage A(1978~1988)

• Built up channel to healthcare industry

• Established strong relationship with equipment suppliers

• Expanded relationships to doctors

Stage B(1989~2007)

• Focus on high profit sector to generate stable cash inflow

• Created brand value via standard procedure and uniform quality

• Established management know-how

Stage C(2005~2007)

• Built up stable patient base for hospitals

• Created new star business for revenue generation

Stage D(2007~)

• Merger and acquisition?

• Strategic Alliance?

Excelsior 8

New technologies induce potential demandsNew technologies induce potential demands

• E.g. LASIK – Ophthalmology laser for nearsightedness treatment

− Technology introduced into Taiwan – 1995

− Equipment market – NTD 2.0+ BN*

− Potential market size – NTD 24.0 BN*

• E.g. Medical Beauty Care, etc.

New business process that lowers costNew business process that lowers cost

• E.g. Online B2B market place – Internet based transaction platform for group purchasing

− Platform launched – 2000

− Purchase amount – NTD 3.0 BN each year

− Cost saving – 20% of purchasing cost

• E.g. Physical Examination Clinics, etc.

New services to the unNew services to the un --matched demandmatched demand

• Premium quality eldercare/ residential center –the eldercare centers that focus on high-end segment

− Service launched – 1996

− Fees – Deposit (7.5 MN~11.5 MN+), monthly fee (25k~38k+), meals (5~7k)

• E.g. Hospital Management Outsourcing, etc.

TechnologyTechnologyInnovationInnovation

BusinessBusinessInnovationInnovation

ServiceServiceInnovationInnovation

Source:Industry professionals; Dept. of Healthcare Management, Chang Gung University

Notes: *Accumulated number for the whole Taiwan market potential

Excelsior Group-level Presentation Industry Innovations

Excelsior 9

Strategic Operation Model

Excelsior 10

Operation;Development;

Human Resource;Social Workers;Nutrition

Accounting;Cost Analysis;

Financial Analysis;Budgeting

Strategy

Jiate

Management Teams

Partners

Hospitals

NHIB

MAB Physicians

TSN;Associations

Hospital Presidents

Physicians

Physicians

PatientsNurses

Excelsior• Marketing• Equipment Maintenance• Supply Chain Management• Human Resource• IT Support System

Logistics• Supply Chain Management

• Group Purchase Organization

Patient management• Group Purchase Organization

• Patient Referral System

Excelsior

11

通路顧客通路顧客通路顧客通路顧客Channel

医疗医疗医疗医疗健康健康健康健康产业产业产业产业价值价值价值价值链链链链Value Chain Intergration

產品進口產品進口產品進口產品進口/生產生產生產生產Product

貿易服務貿易服務貿易服務貿易服務Trading/Services

綜合供應商或綜合供應商或綜合供應商或綜合供應商或合作夥伴合作夥伴合作夥伴合作夥伴

Provider/Partner消費者消費者消費者消費者/病患病患病患病患Consumer

(2)重組整合醫療保健通路

Provider• 快速擴大經濟規模• 提昇通路顧客忠誠

(1)創新醫療保健產品服務

Products• 持續降低採購成本• 快速反應市場需求

(3)強化整體策略執行能力• 積極進行組織人員變革• 持續改善營運流程績效• 導入資訊科技解決方案

Hemodialysis

Home Appliance

Medical Aesthetic

Medical Consumables

Trading Business

Product Planning

Information Analysis

Market Management

Creative Development

Sales Facilitation

Medical Information System

Professional Maintenance

Pharmaceutical Marketing & Logistic

Warehouse Management

Logistics

Hemodialysis Center

Ophthalmic/ Dental Clinic

Medical Aesthetic Clinic

Long-term Care/ Rehabilitation

Service Provider

12

Vision & Values

Dedication 、、、、Discipline 、、、、Innovation 、、、、Proactive“Dedication, Discipline, Innovation, Proactive” are the core values of Excelsior Group.

“Human Care” is the basis of medical service.

Therefore, “Dedication” to our service target is what matters the most.

We focus on public healthcare, using innovative management model,

providing the most suitable product and service to the market.

And achieve our vision of becoming

the most professional total healthcare solution provider among Asia.

13

Related Cooperate and Oversea Business Units

˙ARICH Enterprise Co., Ltd. ˙Animation Medical Technologies Ltd.

˙Bestsmile Co., Ltd. ˙Visionfront Corporation Co., Ltd.

˙RTS Excelsior Inc. ˙Sunrise Health Care Company

˙E-Young Tech Co., Ltd. ˙Dynamic Medical Technologies Inc.

˙Bestchain Healthtaiwan Co., Ltd.

˙Hong Kong Pacific Bo Ai Investment Ltd.

˙Excelsior Healthcare (ShangHai) Corporation

˙Great China Technology Development Ltd.

˙ EG Healthcare, Inc.

˙ Excelsior Renal Service Co., Ltd.

˙ Asia Best Healthcare Co., Ltd.

14

Trading Business

˙Hemodialysis Equipments

˙Home Appliances

˙Medical Aesthetic Equipments

˙Ventilator Equipments

˙Ophthalmic Equipments

˙Medical Consumables

15

Trading Business – Top Sales Distributor

Medical home appliances distribution channels among nationwide wholesale and department stores, with establishment of own brand products.

Retail points in north, middle, and south Taiwan to face our end consumers at the front line.

Professional pharmaceutical marketing and logistic team.

Development team in medical information system to continually improve ourquality of service.

Established the mechanism of unite procurement across hospitals and clinics to conduct integration of medical services.

Diversified medical equipment and consumable distribution channels covering hospitals, clinics, and aesthetic centers.

16

Trading Business – Brand Agency

Medical Aesthetic

Home Appliances

Hemodialysis

Preventive Medicine Ventilator

17

Trading Business – Milestones

1980 1989

˙̇̇̇Tony Medical founded to commencethe hemodialysis industry.

˙̇̇̇Tony Medical renamed asEnfield Medical.

1998

˙̇̇̇Enfield medical IPO.

2001

˙̇̇̇Public listed on the TaiwanOTC Stock Exchange.

2003

˙̇̇̇Sales contract with Tyco &Surgical.

2004

˙̇̇̇Investing in Dynamic MedicalTechnologies, entering medicalaesthetic industry

2007

˙̇̇̇Official listed on theTaiwan Stock Exchange

2009

˙̇̇̇Incorporating cosmetheuticals intoDynamic Medical Technologies.

˙̇̇̇Enfield Medical renamed asExcelsior Medical Co., Ltd.

2009

18

Medical Service Provider

˙Hospital Operation

˙Rehabilitation and Long-Term

Care Centers

˙Medical Aesthetic Clinics

˙Hemodialysis Centers

˙Hospital Management Consulting

Services

19

Medical Service Provider – Diversify Operations

Top technical and services team in medical aesthetic field.

Complete service line in hemodialysis covering Taiwan and China.

Integrated service in rehabilitation and long-term care.

Provide hospital management and operating consulting services based on expertise experience in medical industry.

Operates district hospitals, rehabilitation and long-term care centers, and chain-stores of ophthalmology and Dentistry.

20

Medical Service Provider – Business Units

HemodialysisHemodialysis

DentistryDentistry

RehabilitationRehabilitation

OphthalmologyOphthalmology

LongLong --Term CareTerm Care

HospitalsHospitals

Medical AestheticMedical Aesthetic

21

Medical Service Provider – Milestone

1993 1997

˙̇̇̇Zen-Shyang Hospital establishedhospital management.

˙̇̇̇Established long-term care service.

1998

˙̇̇̇Jiate Excelsior, joint venture with Baxter Internat ionalenhancing the hemodialysis business.

2003

˙̇̇̇Sunrise Health Care established focusingon rehabilitation services.

˙̇̇̇Investing in Visionfront Corp. for Ophthalmology.˙̇̇̇Investing in Excelsior Healthcare.˙̇̇̇EG Healthcare founded in Philippines,

2007

˙̇̇̇Investing in Bestsmile Corp.for dentistry.

2008

˙̇̇̇Establishing Asia Best Healthcare alliedwith Lung Yen Life Service for the long-termcare market in China.

˙̇̇̇Investing in Perfection Healthcare.

2009

˙̇̇̇Pao-Ai Holding Corp. foundedestablishing Pao-Ai ophthalmologyclinic in China.

22

Logistics

˙Medical Consumables Logistics

and Warehousing

˙Medical Equipment Maintenances

˙Medical Information System

˙Medical Engineering Consulting

Services

23

Logistics

Strategic alliance in China to expand international logistics business.

Provide high efficiency, low costing logistics and warehousing services.

Strong medical engineering maintenance team.

Continuously development in medical information system to establish high quality of service.

Established unite procurement system.

Implement ERP and WMS online systems to reduce 20% ~ 40% operating cost efficiently.

24

Logistics – Milestone

1999 2000

˙̇̇̇Establishing the island-wide highperformance pharmaceuticalwarehouse and distribution.

˙̇̇̇Bestchain Healthtaiwan founded providing healthcare e-commerce solution.

2001

˙̇̇̇Investing in E-Young Corp. for equipment maintenance.

2008

˙̇̇̇Strategic alliance with Arich Pharma Group in pharmaceutical logistics.

˙̇̇̇Excelsior Medical partnership with Beijing Sinopharm Logistics/

Medical LogisticsMedical Logisticsand Warehousingand Warehousing

Information PlatformInformation Platform Medical EngineeringMedical EngineeringPlatformPlatform

25

26

颠覆都会新医学美容颠覆都会新医学美容颠覆都会新医学美容颠覆都会新医学美容

專業專業專業專業││││隱密隱密隱密隱密││││貼心貼心貼心貼心

医学美容事业医学美容事业医学美容事业医学美容事业

27

牙科事牙科事牙科事牙科事业业业业体体体体

28

準分子雷射治療中心準分子雷射治療中心準分子雷射治療中心準分子雷射治療中心

眼科事眼科事眼科事眼科事业业业业体体体体

Taiwan Marketand

Strategy

亞洲佳醫 體貼您的心30

10.8％％％％

249萬

12.6％％％％

297萬

16.2％％％％

385萬

20.1％％％％

479萬

24.0％％％％

571萬

27.4％％％％

643萬

30.0

％％％％690萬

201

0

201

5

202

0

202

5

203

0

203

5

204

0

推估2010至2040年台灣老年人口老化圖

老人市場是未來必然的商機趨勢

人口老化是必然的趨勢，老人照

護的市場也是未來最重要的商

機，機構照護只是老人市場的一

項選擇，但卻是最重要的通路選

擇，當通路形成，商機的掌握權

將由通路主宰，亞洲佳醫正逐步

朝這個理想邁進。

亞洲佳醫 體貼您的心31

1:3.21:7

2008 2026

1:1.4

2056

2026202620262026年約每年約每年約每年約每3.23.23.23.2個個個個15~6415~6415~6415~64歲工作年齡者歲工作年齡者歲工作年齡者歲工作年齡者，，，，負擔負擔負擔負擔1111個個個個65656565歲以上高齡歲以上高齡歲以上高齡歲以上高齡者者者者

少子化趨勢，獨居老人增加，入住機構觀念改變

簡單來說，由於少子化影響，除

非年輕人選擇不工作而去照顧老

年人，要不然老年人的照護選擇

只有兩種，一種是請外籍看護工

在家照護，另一則選擇送入機

構，對於傳統入住機構的排斥將

隨社會的發展，而使更多人接

受。

亞洲佳醫 體貼您的心32

Acute care Long Term Care

DRGs

Cost control

LTC Insurance

目前長期照護與急性醫療間由於保險的

因素，原屬於慢性照護的病人，仍留滯

於醫院中，但是因為健保費率調整不

易，且健保局實施DRGs以及呼吸照護的

改革，這些措施都導致病人無法久住醫

院，醫院必須儘速釋出病人避免虧損，

如此對健保局而言，雖無法調整健保保

費，但因支出減少，如果再配合長期照

護保險實施的費率，某種程度也等於調

整健保費率，進一步轉移健保虧損的問

題。

Other Drivers for Growth

Hospital

Long Term

Care

亞洲佳醫 體貼您的心33

如果以政府的數據來看，在2014年

需求床位數接近60,000床，以每床

每月25,000元的營業額推估，則整

個市場每年有至少高達180億產

值，這還不包括其他衍生的周邊產

值。(ps.但政府推估的數據呈現低

估的狀態)

Shortage of LTC beds and Service Quality

亞洲佳醫 體貼您的心

Asia Best Health Care, cap 30 Million USD

34

亞洲佳醫 體貼您的心35

• Target at 3000 BedsIn 5 years from 825 now• Was 400 beds 2009

亞洲佳醫 體貼您的心36

2010 2011 2012 2013 2014

收入淨額$ 922,907 $1,967,706 $3,036,803 $4,176,151 $4,719,065

藥衛耗材成本194,090 418,658 645,461 893,469 992,762

人事費用 469,786 947,737 1,434,846 1,953,251 2,187,177

管銷費用175,099 416,355 613,213 812,916 929,869

折舊及攤銷費用17,452 55,835 89,605 121,631 137,101

總成本及費用合計856,427 1,838,586 2,783,125 3,781,266 4,246,910

營業利益65,780 129,120 253,678 394,884 472,155

營業外收（支）7,281 18,914 30,160 42,867 46,789

稅前利益73,061 148,034 283,838 437,752 518,945

所得稅（依17%估計）

12,420 25,166 48,252 74,418 88,221

稅後利益60,640 122,868 235,586 363,334 430,724

每股盈餘（依每股新台幣10元計算）

0.61 0.61 1.18 1.82 2.15

China Marketand

Strategy

两两两两岸岸岸岸经济经济经济经济合作框架合作框架合作框架合作框架协议协议协议协议（（（（ECFA））））——早收清早收清早收清早收清单单单单中中中中纳纳纳纳入入入入医医医医院服院服院服院服务业务业务业务业

38

大陆医疗服务产业落后，强大的内需以及新医改政策推动驱

动该领域发展

�进一步向台湾业者开放大陆医疗服务市场

+

大大大大陆医疗陆医疗陆医疗陆医疗服服服服务务务务投入比重偏低投入比重偏低投入比重偏低投入比重偏低

39

�中国大陆医疗服务费用在卫生总费用中的比重偏低，不足53%。而美国医疗服务占比超过70%，相差较大。�在医药行业中，医疗服务的比重提升会是长期的趋势。

�中国大陆卫生总费用占比不足5%，这与OECD国家平均的9%占比相差甚远，医疗投入相对不足。

人口人口人口人口数数数数量与老量与老量与老量与老龄龄龄龄化的化的化的化的双双双双增增增增长长长长激激激激发医疗发医疗发医疗发医疗服服服服务务务务市市市市场场场场

40

�2009年，全国60岁及以上老年人口达到1.6714亿，占总人口的12.5%。与2008年相比，老年人口净增725万，增长了0.5个百分点。未来几年，每年都将要有800万人进入老年人行列。�老年人对医疗健康的消费远高于平均水平，老龄化的加剧对医疗行业整体的扩容有极大的推动作用。

大大大大陆专陆专陆专陆专科科科科医疗医疗医疗医疗服服服服务资务资务资务资源更源更源更源更为紧张为紧张为紧张为紧张

41

�以口腔专科医疗服务为例，目前中国居民的口腔主动保健意识还较弱，人均口腔保健消费水平远低于发达国家。中国每10000人口只有不到一位牙医，而全球平均水平是每10000人口3名牙医。

�眼科领域也存在类似的情况。目前全国眼科医师只有约22299人，平均每万人仅有0.17位眼科医生。

42

Channel- Logistic, maintenance services, after services,

Payment with long ARs

Profit unvisible

Market Uncertainty

Entry Barriers

Thousands of Products

Mega Investors

International Vendors

Domestic Vendors

Others

Powerful Interest Groups

Practice Knowledge – Product Selections, Product Registration,

Health insurance product lists, Province level bidding, County level bidding

Relationship – Seminars, Banquets, Connections(classmates, neighbors, comrade(tony-zhi),

Medical society, research supports………)

Frequent TurnoverLimitation on number of

licensesService QualityProduct qualityEndless Training

Pot

entia

l Pla

yers

Source: 14th Aug, 2002ETToday News, 1ST Aug, 2000, 7th Feb, 2001 UDN News, Company Data

Our solution:

• Enlarge the target, the trap, high demand with “Light metal”input

–Eye, ENT

–Dialysis

–Medical cosmetic

–Dentistry (veneer)

–Long term care

• Staple the roller skates

–JV with State owned company SinoPharm 1099.hk(right cap)

–Take advantage of largest medical logistic channels

–Better connections and penatration than Excelsior

PositioningPositioning

• Operation Positioning ：：：：

• Consulting Service

• Equipment Leasing

• Training

• Trading

• Expansion strategy– Acquisition

– JV

• Target ：：：：

• Second tier hospitals

44

Excelsior China Development StrategyExcelsior China Development Strategy

JV CompanyJV Company(ShangHai)(ShangHai)

SinopharmSinopharm(ShangHai)(ShangHai)

51%

49%

Excelsior TWExcelsior TW PartnersPartners

1. Operating and management know-how in medical

industry.2. Wide distribution channels experiences covering

hospitals and clinics.3. Equipment and consumables agency.

Excelsior and Sinopharm had conduct a strategy alliance to establish a service providing platform in China’s medical

industry, with the combination of operating know-how and nation-wide distributing channels.

HemodialysisMedical AestheticOphthalmologyDentistry

Strengthen synergy with strategic partners through CB and capital gain to establish cooperate foundation in great China.

ABHLong-term

care

BestsmileDentistry

PerfectionHealthcare

Aesthetic

Excelsior HKExcelsior HK

1. Taiwan successful experience roll-out.

2. Expend channels as service provider.3. Acquire related product agency.4. Resource integration to IPO.

Bo-AiE.N.T

VisionfrontOphthalmology

Long-Term Care

45

Impacts on Excelsior• More product distribution opportunities– 3D Matrix, hemostat products with share investment

– Dental and cosmetic products in negotiation

• More solid principle relationships– Extend from TW to Greater China markets

• More market potentials

Risks

• Organic growth cash flows cannot support rapid investment activities

• Speed of injections of management talents for growth

• Execution and profit realization of SinoPharm JV

• Distraction from opportunities46

47

Balance Sheets (In Thousands of NTD)

2005

12/31

2006

12/31

2007

12/31

2008

12/31

2009

12/31

2010

6/30

Current assetsCurrent assetsCurrent assetsCurrent assets 1,528,137 1,566,754 2,501,663 2,045,934 2,368,516 2,273,516

Long-term investmentLong-term investmentLong-term investmentLong-term investment 1,366,707 1,300,922 1,194,141 1,508,286 1,978,325 2,232,070

Fixed assetsFixed assetsFixed assetsFixed assets 539,067 508,185 522,405 536,856 584,453 706,740

Intangible assetsIntangible assetsIntangible assetsIntangible assets 0 10,722 6,976 3,363 4,324 3,559

Other assetsOther assetsOther assetsOther assets 78,314 32,512 35,803 28,161 25,378 29,309

Total assetsTotal assetsTotal assetsTotal assets 3,512,225 3,419,095 4,260,988 4,122,600 4,960,996 5,245,194

Current liabilitiesCurrent liabilitiesCurrent liabilitiesCurrent liabilities 714,183 626,861 521,307 645,595 609,774 949,751

Long-term liabilitiesLong-term liabilitiesLong-term liabilitiesLong-term liabilities 702,906 0 0 0 98,509 9,255

Other liabilitiesOther liabilitiesOther liabilitiesOther liabilities 52,673 52,489 34,877 32,692 34,823 35,386

Total liabilitiesTotal liabilitiesTotal liabilitiesTotal liabilities 1,469,762 679,350 556,184 678,287 743,106 994,392

CapitalCapitalCapitalCapital 706,713 919,873 801,136 801,136 929,913 950,268

Additional paid-inAdditional paid-inAdditional paid-inAdditional paid-in

capitalcapitalcapitalcapital513,426 804,777 955,410 955,410 1,392,425 1,473,211

Legal reserveLegal reserveLegal reserveLegal reserve 176,415 200,589 234,390 355,410 378,821 410,016

Special reserveSpecial reserveSpecial reserveSpecial reserve 1,706 0 1,995 0 0 0

Retained earningsRetained earningsRetained earningsRetained earnings 667,075 829,427 1,696,802 1,324,181 1,442,797 1,377,589

Other equityOther equityOther equityOther equity (22,872) (14,921) 15,071 8,176 73,934 39,718

Total equityTotal equityTotal equityTotal equity 2,042,463 2,739,745 3,704,804 3,444,313 4,217,890 4,250,802

The balance sheets are audited.47

48

Income Statements (In Thousands of NTD,Except EPS)

Year

Description

Statements of Income for the lastest five years

2010Q2(Audited)

2005(Audited)

2006(Audited)

2007(Audited)

2008(Audited)

2009(Audited)

Net sales 2,123,833 2,155,935 2,282,790 2,600,335 2,862,880 1,450,347

Gross profit 468,503 510,872 520,926 569,514 569,942 284,657

Income from operations

102,752 144,305 147,122 169,068 131,881 108,264

Non-operating income and gains

231,651 278,356 1,208,080 219,804 224,641 116,195

Non-operating expenses and losses

64,399 33,706 26,883 46,624 7,341 42,629

Income before income tax

270,004 388,955 1,328,319 342,248 349,181 181,830

Extraordinary gains － － － － 32,329 －

Net income 241,741 388,014 1,210,200 234,106 311,950 154,355

Earnings per share 3.21 4.36 12.56 2.92 3.60 1.64