Subsidiary Announces Board Resolution to Acquire Equipment

Release Date: 1150717 Statement Date: 1150716 Statement Time: 165702 Company Code: 3706 Company Name: MiTAC Subject: Announcement on behalf of subsidiary MiTAC Information Systems Corp. regarding board resolution to acquire equipment Compliance Clause: Item 20 Event Date: 1150716

Details: 1. Name and nature of the subject matter (e.g., land located in Section XX, Subsection XX, North District, Taichung City): Equipment for business use

2. Event Date: 115/7/16 ~ 115/7/16

3. Board approval date: July 16, Year 115 (Minguo calendar)

4. Other approval dates: Not applicable

5. Quantity of transaction units (e.g., XX square meters, equivalent to XX ping), unit price, and total transaction amount: Equipment amount estimated at USD 105,803 thousand

6. Counterparty and its relationship with the company (if the counterparty is an individual and not a related party of the company, name disclosure may be omitted): Counterparty: Megawatt Construction, Inc. Relationship with the company: Non-related party

7. If the counterparty is a related party, state the reason for selecting the related party as the transaction party, the previous transferor, the relationship among the previous transferor, the company, and the counterparty, the previous transfer date, and the transfer amount: Not applicable

8. If the owner of the subject matter within the past five years was a related party of the company, state the related party's acquisition and disposal dates, price, and relationship with the company at the time of transaction: Not applicable

9. Estimated gain (or loss) on disposal (not applicable for asset acquisition) (if deferred, provide a table showing recognition): Not applicable

10. Delivery or payment terms (including payment periods and amounts), contractual restrictions, and other important agreements: Payment according to contract progress

11. Decision method for this transaction (e.g., bidding, price comparison, or negotiation), reference basis for price determination, and decision-making unit: Negotiated by the responsible unit and approved by the board of directors

12. Name of professional appraisal firm or company and appraisal amount: Not applicable

13. Name of professional appraiser: Not applicable

14. License number of professional appraiser: Not applicable

15. Whether the appraisal report is for a limited price, specific price, or special price: No or Not applicable

16. Whether an appraisal report has not yet been obtained: No or Not applicable

17. Reason for not yet obtaining the appraisal report: Not applicable

18. Reasons for significant differences in appraisal results and auditor's opinion: Not applicable

19. Auditor firm name: Not applicable

20. Auditor name: Not applicable

21. Auditor license number: Not applicable

22. Broker and brokerage fees: Not applicable

23. Specific purpose or use of the acquisition or disposal: For company's operational needs

24. Opinion of directors who expressed dissent on this transaction: None

25. Whether this transaction is a related-party transaction: No

26. Date of supervisor approval or audit committee consent: Not applicable

27. Whether this transaction involves acquiring real estate or right-of-use assets from a related party: No

28. Valuation price under Article 16 of the 'Asset Acquisition and Disposal Handling Standards for Publicly Issued Companies': Not applicable

29. Valuation price under Article 17 of the same standards, if the valuation under the previous item is lower than the transaction price: Not applicable

30. Previous date of material information disclosure for the same event: Not applicable

31. Other explanatory matters: None