Nien Hsing: 115th Annual Shareholders Meeting Approves Waiver of Directors' Non-Compete Restrictions

1. Shareholders Meeting Resolution Date: 115/06/16

2. Names and Titles of Directors Permitted to Engage in Competitive Activities: Directors Chen Wei-Han, Tsai Shu-Hsuan, Chou Tai-Yuan, and Chen Jen-Chou.

3. Approved Competitive Activities: The directors Chen Wei-Han, Tsai Shu-Hsuan, Chou Tai-Yuan, and Chen Jen-Chou have been designated by the company to serve as chairpersons, directors, or managers in the following subsidiaries invested in by the company: Nien Hsing International (British Virgin Islands) Corporation, Nien Hsing International (Bermuda) Corporation, Nien Hsing International (Samoa) Corporation, Phoenix Development & Marketing Corporation, C & Y Garments Company (Proprietary) Limited, Nien Hsing International (Lesotho) Corporation, Global Garment Corporation, Formosa Textile Corporation, Wing Fong International Corporation, and Nien Hsing International Investment Corporation. The annual shareholders meeting has approved the lifting of non-compete restrictions to permit such concurrent appointments.

4. Duration of Approved Competitive Activities: From 115/06/16 to 118/06/15, during the period these individuals serve as directors of the company.

5. Voting Results (as required under Article 209 of the Company Act): Votes in favor: 109,655,212 (97.78%); Votes opposed: 680,911; Abstentions/Non-votes: 1,807,403. The resolution was approved as proposed.

6. Directors Engaging in Competitive Activities Related to Businesses in Mainland China (Enter 'Not Applicable' if not applicable): Not Applicable.

7. Company Name and Position Held in Mainland China Entity: Not Applicable.

8. Address of Mainland China Entity: Not Applicable.

9. Business Scope of Mainland China Entity: Not Applicable.

10. Impact on the Company's Financial and Operational Performance: None.

11. If Directors Have Invested in Mainland China Entities, Investment Amount and Shareholding Ratio: None.

12. Other Matters to be Disclosed: None.