Nan Ya Announces Board Approval of Fund Lending Exceeding 2% of Net Assets in Q4 of Year 115

1. Factual Date: 115/08/11

2. Recipients of Fund Lending:

(1) Company Name: Taiwan Plastics Industry Corporation (2) Relationship with Lending Party: Corporate Director of the Company (3) Lending Limit (in thousand NTD): 119,436,943 (4) Previous Outstanding Balance (in thousand NTD): 3,000,000 (5) Amount of New Lending (in thousand NTD): 4,500,000 (6) Whether the Board Authorized the Chairman to Make Multiple Disbursements or Revolving Use to the Same Recipient: No (7) Outstanding Balance as of Factual Date (in thousand NTD): 7,500,000 (8) Reason for New Lending: Working Capital

(1) Company Name: Taiwan Chemical Fiber Corporation (2) Relationship with Lending Party: Corporate Director of the Company (3) Lending Limit (in thousand NTD): 119,436,943 (4) Previous Outstanding Balance (in thousand NTD): 3,000,000 (5) Amount of New Lending (in thousand NTD): 4,500,000 (6) Whether the Board Authorized the Chairman to Make Multiple Disbursements or Revolving Use to the Same Recipient: No (7) Outstanding Balance as of Factual Date (in thousand NTD): 7,500,000 (8) Reason for New Lending: Working Capital

(1) Company Name: Formosa Petrochemical Corporation (2) Relationship with Lending Party: Investee Accounted for Using Equity Method (3) Lending Limit (in thousand NTD): 119,436,943 (4) Previous Outstanding Balance (in thousand NTD): 3,000,000 (5) Amount of New Lending (in thousand NTD): 4,500,000 (6) Whether the Board Authorized the Chairman to Make Multiple Disbursements or Revolving Use to the Same Recipient: No (7) Outstanding Balance as of Factual Date (in thousand NTD): 7,500,000 (8) Reason for New Lending: Working Capital

(1) Company Name: Formosa Heavy Industries Corporation (2) Relationship with Lending Party: Investee Accounted for Using Equity Method (3) Lending Limit (in thousand NTD): 119,436,943 (4) Previous Outstanding Balance (in thousand NTD): 3,800,000 (5) Amount of New Lending (in thousand NTD): 5,700,000 (6) Whether the Board Authorized the Chairman to Make Multiple Disbursements or Revolving Use to the Same Recipient: No (7) Outstanding Balance as of Factual Date (in thousand NTD): 9,500,000 (8) Reason for New Lending: Working Capital

(1) Company Name: Formosa Construction Corporation (2) Relationship with Lending Party: Investee Accounted for Using Equity Method (3) Lending Limit (in thousand NTD): 119,436,943 (4) Previous Outstanding Balance (in thousand NTD): 100,000 (5) Amount of New Lending (in thousand NTD): 150,000 (6) Whether the Board Authorized the Chairman to Make Multiple Disbursements or Revolving Use to the Same Recipient: No (7) Outstanding Balance as of Factual Date (in thousand NTD): 250,000 (8) Reason for New Lending: Working Capital

3. Collateral Provided by Recipients:

(1) Description: None (2) Value (in thousand NTD): 0

4. Latest Financial Statements of Recipients:

(1) Capital (in thousand NTD): 240,923,640 (2) Accumulated Profit/Loss (in thousand NTD): 193,732,797

5. Interest Calculation Method: Daily Basis

6. Repayment Terms:

(1) Conditions: One-year term; borrower may repay at any time (2) Date: Undetermined

7. Total Outstanding Fund Lending as of Factual Date (in thousand NTD): 56,653,966

8. Ratio of Outstanding Fund Lending to Net Assets in Latest Financial Statements of Public Company: 11.86

9. Source of Lending Funds: Other

10. Other Disclosures:

1. Source of Funds: Company's own funds 2. The approved fund lending amount is only for board approval; actual disbursement has not yet occurred. 3. Capital of Recipients in Latest Financial Statements (in thousand NTD) (1) TP: 63,657,408 (2) TCF: 58,611,863 (3) FPC: 95,259,597 (4) FHI: 20,094,772 (5) FC: 3,300,000

4. Accumulated Profit/Loss of Recipients in Latest Financial Statements (in thousand NTD) (1) TP: 30,265,268 (2) TCF: 47,059,712 (3) FPC: 123,753,900 (4) FHI: -7,231,334 (5) FC: -114,749