Formosa Plastics Board Approves New Fund Lending Exceeding 2% of Company's Net Worth

1. Event Date: 115/08/12

2. Recipients of Fund Lending:

(1) Company Name: Nan Ya Plastics Industrial Co., Ltd. (2) Relationship: Corporate director of our company (3) Lending Limit (in thousand NTD): 114,852,431 (4) Previous Outstanding Balance (in thousand NTD): 3,000,000 (5) Amount of New Lending (in thousand NTD): 4,500,000 (6) Is this fund lending authorized by the board for the chairman to disburse in installments or allow revolving use to the same recipient?: No (7) Outstanding Balance as of Event Date (in thousand NTD): 7,500,000 (8) Reason for New Lending: Operational working capital

(1) Company Name: Taiwan Chemical Fiber Corporation (2) Relationship: Corporate director of our company (3) Lending Limit (in thousand NTD): 114,852,431 (4) Previous Outstanding Balance (in thousand NTD): 3,000,000 (5) Amount of New Lending (in thousand NTD): 4,500,000 (6) Is this fund lending authorized by the board for the chairman to disburse in installments or allow revolving use to the same recipient?: No (7) Outstanding Balance as of Event Date (in thousand NTD): 7,500,000 (8) Reason for New Lending: Operational working capital

(1) Company Name: Formosa Petrochemical Corporation (2) Relationship: Investee accounted for under the equity method (3) Lending Limit (in thousand NTD): 114,852,431 (4) Previous Outstanding Balance (in thousand NTD): 3,000,000 (5) Amount of New Lending (in thousand NTD): 4,500,000 (6) Is this fund lending authorized by the board for the chairman to disburse in installments or allow revolving use to the same recipient?: No (7) Outstanding Balance as of Event Date (in thousand NTD): 7,500,000 (8) Reason for New Lending: Operational working capital

(1) Company Name: Taisuo Heavy Industry Co., Ltd. (2) Relationship: Investee accounted for under the equity method (3) Lending Limit (in thousand NTD): 114,852,431 (4) Previous Outstanding Balance (in thousand NTD): 3,800,000 (5) Amount of New Lending (in thousand NTD): 5,700,000 (6) Is this fund lending authorized by the board for the chairman to disburse in installments or allow revolving use to the same recipient?: No (7) Outstanding Balance as of Event Date (in thousand NTD): 9,500,000 (8) Reason for New Lending: Operational working capital

(1) Company Name: Formosa Plastics Construction Co., Ltd. (2) Relationship: Investee accounted for under the equity method (3) Lending Limit (in thousand NTD): 114,852,431 (4) Previous Outstanding Balance (in thousand NTD): 100,000 (5) Amount of New Lending (in thousand NTD): 150,000 (6) Is this fund lending authorized by the board for the chairman to disburse in installments or allow revolving use to the same recipient?: No (7) Outstanding Balance as of Event Date (in thousand NTD): 250,000 (8) Reason for New Lending: Operational working capital

3. Collateral Provided by Recipient Companies:

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

4. Latest Financial Statements of Recipient Companies:

(1) Capital (in thousand NTD): 256,574,448 (2) Accumulated Profit/Loss (in thousand NTD): 224,240,311

5. Interest Calculation Method: Daily accrual

6. Repayment Terms:

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

7. Total Outstanding Fund Lending as of Event Date (in thousand NTD): 32,250,000

8. Ratio of Outstanding Fund Lending to Net Worth in Latest Financial Statements of Public Company: 5.62

9. Source of Funds Lent to Others: Other

10. Other Matters to be Disclosed:

1. Nan Ya Company capital: 79,308,216 thousand NTD, accumulated profit/loss: 60,772,782 thousand NTD. 2. Taiwan Chemical Fiber Company capital: 58,611,863 thousand NTD, accumulated profit/loss: 47,059,712 thousand NTD. 3. Formosa Petrochemical Company capital: 95,259,597 thousand NTD, accumulated profit/loss: 123,753,900 thousand NTD. 4. Taisuo Heavy Industry Company capital: 20,094,772 thousand NTD, accumulated profit/loss: -7,231,334 thousand NTD. 5. Formosa Plastics Construction Company capital: 3,300,000 thousand NTD, accumulated profit/loss: -114,749 thousand NTD. 6. Source of funds: Company's own funds. 7. The current fund lending only indicates the amount approved by the board for potential disbursement; actual disbursement has not yet occurred.