Corporate Governance-Risk Management

Department	Duty
Board of Directors	The highest decision-making unit for risk management, responsible for approving risk management policies and frameworks, and supervising the effective operation of risk management mechanisms.
Risk Management Department	The authority responsible for implementing risk management. The department head is appointed by the chairman and currently consists of the highest supervisors of each business unit/functional organization. Responsible for coordinating relevant departments to identify, assess, control, and supervise risks, and regularly report implementation to the board of directors.
Relevant Departments	Each relevant department of the company assesses the likelihood and impact of various risk factors according to their responsibilities, formulates necessary measures and implements them, and properly manages various risks.

Risk Identification	Use feasible analysis tools and methods, summarize past experience and predict possible risks as a reference for subsequent measurement, monitoring, and management. Currently, the risk management department distributes risk identification questionnaires to mid- and senior-level managers to summarize the risks the company may face.
Risk Assessment	Risk management should measure different types of risks using quantitative or other feasible qualitative methods.
Risk Response	Considering risk tolerance and cost-effectiveness, select appropriate risk control mechanisms.
Risk Monitoring	Department heads should monitor and control the implementation of risk management within their scope of responsibility at all times and take necessary measures as appropriate.

Rank	Risk Category	Risk Type
1	Strategic	Industry development and market changes	Medium-High
2	Strategic	Procurement concentration - raw materials	Medium
3	Strategic	Technology R&D	Medium
4	Operational	Information security	Medium
5	Operational	Procurement concentration (raw materials/equipment)	Medium
6	Operational	Supply chain management	Medium
7	Financial	Interest/Exchange rate fluctuations and inflation	Medium
8	Operational	R&D projects and investment costs	Medium
9	Operational	Talent recruitment and retention	Medium
10	Financial	High-risk/high-leverage financial investment	Medium
11	Operational	Business continuity risk	Medium
12	Strategic	Strategic investment	Medium
13	Disaster prevention	Natural disasters	Medium
14	Operational	Economic, environmental, and social regulatory compliance	Medium-Low
15	Financial	Financing	Medium-Low
16	Disaster prevention	Fire and man-made disasters	Medium-Low
17	Disaster prevention	Occupational health and safety	Low

Strategic Risks
Emerging Risk	Description	Response
Industry Development and Market Changes	Geopolitical factors have led to the relocation of the semiconductor industry, which is expected to reduce product demand. In addition, Chinese packaging material manufacturers have developed their own technologies and can now offer packaging materials at prices much lower than those of Japanese raw materials. Although the quality is slightly inferior, this has already changed the price competition landscape in the SMD packaging material market, and future product prices will become increasingly competitive. Furthermore, the electronics industry often faces severe and prolonged downturns and overcapacity. The company's current and future business demand depends on the needs of electronics and semiconductor companies. If the company cannot effectively offset the impact of declining demand through cost reduction or other measures, revenue, profit, and profit margin will inevitably be affected during periods of poor market conditions and overcapacity.	The Materials Business Group continues to seek new alternative raw materials; the Equipment Business Group continues to deepen and broaden its product lines, such as advanced semiconductor processes and the optoelectronics industry; and develops the green energy industry to enter the industry supply chain, creating diversified development for the company and enhancing competitiveness.
Technological Innovation	Consumer electronics such as smartphones have led the development trend of the global electronics industry, and market competition is becoming increasingly fierce. If the company's R&D technology fails to break through bottlenecks, resulting in a lack of innovation in processes or the development of new machines, or if the company's existing carrier tape material product lines are too concentrated and technologically outdated to produce specifications that meet market demand amid the ongoing trend toward miniaturization, lightweight, and high performance in electronic products, the company's competitiveness will decline, thereby affecting continued business growth.	The Equipment Business Group continues to deepen and broaden its product lines, such as advanced semiconductor processes and the optoelectronics industry; the Materials Business Group continues to optimize processes and replace equipment to improve production quality.
Price Decline/Increase	Most of the company's main customers are manufacturers of consumer electronics and automotive electronics, so production and inventory are easily affected by the end market. In addition, Chinese manufacturers of similar products, due to vertical integration, promote sales through low-price competition. The company must adjust product prices to respond to the market. If prices are lowered while costs remain unchanged, company profits will be affected.	Maintain product quality standards, focus on R&D and sales of high gross margin products; develop low-carbon, high-performance products to enter markets that pursue green products.
Operational Risks
Emerging Risk	Description	Response
Information Security	In recent years, the number of hacker attacks has increased, raising the risk of loss or damage to important internal documents. The pandemic has changed work patterns, and those in need can apply for remote work, increasing the company's information security vulnerabilities.	Continue to strengthen employees' awareness of information security, introduce more information security services and products. More details are disclosed in the Information Security Management section of the sustainability report and annual report.
Procurement Concentration (Raw Materials/Equipment)	Some important raw materials used in the company's products, such as 'paper tape raw materials,' are still controlled by foreign suppliers, with the market dominated by Japanese and Chinese manufacturers. If affected by exchange rates or market supply imbalances, there may be sharp price fluctuations and supply shortages. In addition, major natural disasters, trade barriers, political or economic turmoil (including military conflicts) in the place of origin of raw materials, as well as inflation, may also seriously affect supply or drive up prices.	Seek raw material suppliers from other countries, test alternative materials, optimize inventory management; closely monitor raw material prices and respond to customers; sign long-term procurement contracts to stabilize raw material prices. Continue to maintain good and long-term cooperative relationships with major suppliers, maintain business dealings with multiple suppliers, and adjust procurement sources as needed to avoid concentration of purchases with a few suppliers.
Supply Chain Management	In the global supply chain, due to the characteristics of the products, the substitutability of raw materials is low, so sources are often concentrated among a few suppliers, making the company highly susceptible to price fluctuations. In addition, logistics plays a crucial role in the electronic component supply chain, but issues such as port congestion, unstable transportation, shipping delays, and rising air freight costs pose severe challenges to the supply chain. Furthermore, as more countries implement strict environmental regulations, suppliers must comply and adopt more sustainable measures in raw material procurement and manufacturing processes, or risk fines or even market bans.	Continue to understand suppliers' ESG implementation and require suppliers to sign codes of conduct, manage suppliers in tiers, and understand supplier status to develop corresponding measures. More details are disclosed in the Supply Chain Management section of the sustainability report.

Unit	Responsibilities
Board of Directors	The highest decision-making unit for risk management, responsible for approving risk management policies and frameworks, and supervising the effective operation of risk management mechanisms. Since climate change issues have been incorporated into risk management, the implementation results are regularly reported to the board to ensure the effective implementation of climate-related risk management systems.
Risk Management Department	Composed of the highest supervisors of each business unit/functional organization, responsible for identifying risks and opportunities and assessing their impact on company operations. Hold meetings to discuss climate change and related topics, collect management's responses to climate change, consolidate company strategies, and submit climate risk management reports to the board.
Sustainable Development Committee Executive Office	Conduct climate scenario analysis, collect climate-related risks and opportunities, analyze evaluation forms from risk management department members, consolidate potential and actual risks and opportunities for the company, and plan related action or preventive/mitigation measures to produce climate risk management reports.

Category	Risk/Opportunity Factor	Financial Impact
		Asset Impairment	Financing Difficulty	Revenue Decrease	Cost Increase	Revenue Increase
Short-term	Total Greenhouse Gas Emissions Control				✔	✔
	Require transparent disclosure of emission information				✔
	Increased customer environmental requirements			✔		✔
	Increase in raw material and energy costs				✔
	Reduced willingness of financial institutions to provide financing, investment, and insurance		✔
	Increased frequency and severity of extreme weather events	✔		✔
	Rising average temperature	✔			✔
	Low-carbon transport				✔
	Improve energy efficiency in plants				✔
	Obtain government subsidies and cooperation				✔	✔
	Participation in renewable energy projects				✔
	Improve product performance				✔	✔
Mid-term	Carbon fee and carbon tax related regulations				✔
	Products and services replaced by low-carbon products and services			✔
	Low-carbon product and technology development				✔
	Customers change supplier selection criteria			✔		✔
	Corporate image impact		✔	✔
	Industry stigmatization		✔	✔
	Development and/or expansion of low emission goods and services				✔	✔
Long-term	Sea level rise	✔			✔

No.	Category	Risk Type	Climate-Related Risk	Risk Level
1	Transition	Policy and Regulation	Carbon fee and carbon tax related regulations	Medium-High
2	Transition	Market	Increase in raw material and energy costs	Medium
3	Transition	Market	Customers change supplier selection criteria	Medium
4	Transition	Technology	Products and services replaced by low-carbon goods	Medium
5	Transition	Technology	Low-carbon product and technology development	Medium
6	Transition	Market	Increased customer environmental requirements	Medium
7	Transition	Policy and Regulation	Renewable energy related regulations	Medium-Low
8	Physical	Long-term	Rising average temperature	Medium-Low
9	Physical	Immediate	Increased frequency and severity of extreme weather events	Medium-Low
10	Transition	Policy and Regulation	Require transparent disclosure of emission information	Medium-Low
11	Transition	Market	Reduced willingness of financial institutions to provide financing, investment, and insurance	Medium-Low
12	Transition	Long-term	Sea level rise	Medium-Low
13	Transition	Reputation	Corporate image impact	Low
14	Transition	Reputation	Industry stigmatization	Low

Type	Category	Risk	Impact Timeline	Risk Description and Financial Impact	Response Measures/Action Plan
Transition	Policy and Regulation	Renewable energy-related regulations	Short (0–5 years)	To reduce energy use, renewable energy facilities must be built in compliance with regulations such as the Renewable Energy Development Act to avoid penalties. In addition, the uncertainty of renewable energy regulations in various countries means that related investments must be carefully assessed for risk; violations may result in penalties and increased operating costs.	Laser Tek currently installs solar photovoltaic panels on the Xinsheng Building to sell electricity to Taipower, and invests in green energy through affiliates. Legal and environmental risk assessments are conducted before construction or investment to ensure compliance and reduce operational risk.
		Requirement for transparent disclosure of emission information	Short (0–5 years)	According to the FSC's GHG inventory schedule, Laser Tek must complete parent company GHG assurance by 2028 and consolidated subsidiary GHG assurance by 2029. The company must establish systems and pay for third-party verification, increasing operating costs. Failure to disclose on time may result in fines; listed companies with major sustainability information disclosure deficiencies may be fined NT$30,000–1,000,000.	Implement ISO 14064-1:2018 for organizational GHG inventory, expand boundaries annually (Hsinchu branch included in 2024, overseas subsidiaries to conduct preliminary inventory and data collection), and establish internal systems for more complete and accurate data collection. Parent company GHG verification is planned for 2025.
		Carbon fee and carbon tax related regulations	Mid (6–10 years)	From 2025, Taiwan will levy carbon fees on power, gas, and manufacturing industries with annual GHG emissions over 25,000 tons CO2e, starting at NT$300/ton and gradually lowering the threshold and raising the fee to NT$1,200–1,800/ton after 2030. Although Laser Tek is not currently subject to the fee, as a listed company it may be regulated in the future, increasing operating costs. Assuming no preferential rates and average GHG emissions (Scope 1 and 2) of about 1,500 tons, costs could rise by NT$450,000–2,700,000.	In addition to ISO 14064-1 GHG inventory to identify emission hotspots, Laser Tek implements energy-saving and carbon reduction plans through process improvement or equipment replacement, or joins government low-carbon programs to reduce overall GHG emissions. Renewable energy facilities are also built to reduce GHG from energy use.
	Technology	Products and services replaced by low-carbon goods	Mid (6–10 years)	Competitors develop lower-carbon or higher-efficiency technologies, causing customers to switch and reducing Laser Tek's orders and revenue.	Continuously monitor competitors' low-carbon products or services, assess their strengths and weaknesses, evaluate Laser Tek's competitiveness, and consider product carbon footprint inventory to assess the threat of low-carbon products and market transformation speed.
		Low-carbon product and technology development	Mid (6–10 years)	To meet market trends, Laser Tek develops higher-efficiency technologies or conducts product carbon footprint and carbon neutrality. If R&D fails or new systems/materials are introduced, costs will increase.	Continue to seek low-carbon raw materials, participate in government programs to decarbonize processes, and improve product energy efficiency to reduce resource consumption.
	Market	Increased customer environmental requirements	Short (0–5 years)	Raw material (including electricity, water, etc.) prices gradually rise due to environmental factors.	Seek multiple suppliers that meet environmental trends.
		Increase in raw material and energy costs	Short (0–5 years)	Disclose company information in multiple ways to increase transparency, attract more orders, and meet regulatory requirements.	Disclose relevant information via annual reports, company website, and sustainability reports.
		Reduced willingness of financial institutions to provide financing, investment, and insurance	Short (0–5 years)	Customers prefer low-carbon or carbon footprint products, so Laser Tek must adjust its business strategy to meet market trends.	Continue to monitor customer and supply chain carbon reduction and carbon footprint requirements.
		Customers change supplier selection criteria	Mid (6–10 years)	Customers choose products with carbon footprint or carbon neutrality, or those made with renewable energy. Without corresponding actions, Laser Tek may lose orders and revenue; investing in carbon footprint/carbon neutrality or using renewable energy will increase operating costs.	Continue to monitor customer demand for low-carbon products or services, seek low-carbon material alternatives, evaluate carbon footprint inventory, or participate in government subsidy programs and collaborate with academic/research institutions to develop low-carbon technologies.
	Reputation	Corporate image impact	Mid (6–10 years)	Passive or poor response to climate change and carbon reduction fails to meet stakeholder expectations, negatively impacting reputation and reducing revenue.	Regularly disclose information according to international standards and frameworks (GRI, SASB, TCFD), and continuously engage with stakeholders to understand their expectations and adjust company strategy.
		Industry stigmatization	Mid (6–10 years)	The electronics industry is seen as energy-intensive. Maintaining current processes will cause environmental damage and harm the company's image in the context of a low-carbon economy, reducing investment and company value, and increasing financing costs. For example, a 1% increase in loan interest rate means an extra NT$1 million per NT$100 million borrowed annually.	Disclose energy-saving and carbon reduction practices and GHG emissions on public information platforms; invest in green energy equipment and increase renewable energy use; recycle waste and implement energy-saving/carbon reduction plans with industry partners.
Physical	Immediate	Increased frequency and severity of extreme weather events	Short (0–5 years)	Climate change increases the frequency of extreme weather events. Heavy rainfall may overwhelm drainage, increasing flood risk, or natural disasters may disrupt operations, delay shipments, and reduce revenue. To ensure employee safety and business continuity, Laser Tek may need to build waterproof or flood control facilities or relocate, increasing capital expenditures.	Currently, disaster response and prevention plans are being developed to reduce losses.
	Long-term	Rising average temperature	Short (0–5 years)	At the Kaohsiung site, the number of days with average temperatures above 36°C is increasing, challenging the work environment. To maintain comfort, air conditioning equipment may need to be replaced (about NT$1 million), or eco-friendly insulation materials may be used, increasing capital expenditures. Higher temperatures also increase electricity costs.	Replace company air conditioning equipment with energy-saving models.
		Sea level rise	Long (over 10 years)	The company's main operations are in coastal areas. Continued polar ice melt and sea level rise may flood the Kaohsiung plant area, reducing or interrupting production. To mitigate the impact, equipment foundations may need to be raised or the site relocated, increasing operating costs.	Develop disaster response and prevention plans to reduce losses.

No.	Opportunity Type	Climate-Related Opportunity	Opportunity Level
1	Energy Source	Participation in renewable energy projects	Medium
2	Resource Use Efficiency	Low-carbon transport	Medium
3	Products and Services	Development of low-carbon goods and services	Medium
4	Resource Use Efficiency	Improve energy efficiency in plants	Medium
5	Products and Services	Improve product performance	Medium
6	Resource Use Efficiency	Obtain government subsidies and cooperation	Medium-Low

Category	Opportunity	Impact Timeline	Opportunity Description and Financial Impact	Response Measures/Action Plan
Resource Use Efficiency	Low-carbon transport	Short (0–5 years)	Corporate transportation is a major source of greenhouse gas emissions. To reduce emissions, low-carbon transportation methods should be adopted, such as gradually replacing company vehicles with electric vehicles, which will increase capital expenditures. In addition, the International Maritime Organization (IMO) plans to impose a maritime carbon tax in 2027, and the European Council has passed fuel legislation, prompting companies to use sustainable fuel transportation for raw materials and products, further increasing capital expenditures. Laser Tek is gradually replacing company vehicles with electric vehicles to reduce fossil fuel consumption, with an estimated capital expenditure of about NT$1–3 million.	Gradually phase out company gasoline vehicles and assign electric vehicles to managers.
	Improve plant energy efficiency	Short (0–5 years)	Electricity prices are rising annually. For the company's processes, equipment has the highest energy demand and often features high energy loss. Improving equipment energy efficiency through electromechanical integration or replacing energy-intensive equipment will increase capital expenditures. Changing process technology to reduce overall energy consumption can lower operating costs. Smart manufacturing applications can be introduced to monitor energy use in real time and optimize control through data analysis; AI can improve alerts and prediction accuracy, enabling early detection and maintenance or replacement of abnormal equipment, but building such systems will increase capital expenditures.	Replace outdated process equipment with more energy-efficient models to reduce material loss. Recently, energy use monitoring has been implemented for relevant equipment, and after evaluation, expansion to higher energy-use plants is planned to facilitate future energy-saving initiatives.
	Obtain government subsidies and cooperation	Short (0–5 years)	By leveraging government resources or technology, process improvements can be made to enhance equipment energy efficiency, reduce energy use, and lower capital expenditures.	Regularly review government agency websites for the latest subsidy policies, application requirements, and schedules. Attend government briefings to understand subsidy program details and communicate with responsible units.
Energy Source	Participation in renewable energy projects	Short (0–5 years)	Countries are planning for renewable energy. For example, Taiwan aims for 20% renewable energy generation by 2025, and demand for renewables is increasing. Participating in related projects, such as investment and construction, can reduce future energy costs, but building renewable energy facilities requires significant capital investment, which may constrain corporate cash flow in the short term.	The company invests in solar photovoltaics to increase domestic renewable energy supply.
Products and Services	Improve product performance	Short (0–5 years)	To meet customer and market demands, improve the energy efficiency of existing products to enhance competitiveness. However, improving product performance usually requires investment in R&D and equipment upgrades, increasing short-term costs. Enhanced product performance increases market appeal, enabling greater market share and revenue growth.	Continuously understand customer demand for low-carbon products or services and develop products accordingly. Provide employee training to enhance knowledge of low-carbon technology and sustainability.
	Development and/or expansion of low-carbon goods and services	Mid (6–10 years)	With the green supply chain trend, low-carbon goods and services are increasingly valued. To enter the market, investment in low-carbon technology development is required, increasing R&D spending and requiring time to reach the market. Short-term revenue may not grow significantly, but continued provision of low-carbon products and a strong brand image can bring higher brand premiums and increase product prices, further boosting revenue.	Seek low-carbon raw materials and improve product manufacturing processes to increase energy efficiency and reduce resource waste. Replace high energy-consuming process equipment with more efficient models to reduce material loss.

Temperature	Baseline (1995-2014)	Global Warming Level (GWL)
		1.5℃	2℃
Annual Average Temperature	19.7℃	+0.7℃	+1.1℃
Number of Days with High Temperature ≥36℃	4.0 days	+7.2 days	+16.0 days
Laser Tek Response
Based on future projections (2015~2100) for Kaohsiung City, where the headquarters is located, under both 1.5℃ and 2℃ global warming scenarios, the annual average temperature in Kaohsiung will rise and the number of days with high temperatures above 36℃ will increase. The company must inventory existing facilities to ensure that equipment can continue to operate under future temperature increases without affecting business operations, or improve the working environment to adapt to consecutive hot days, providing a suitable workplace and complying with relevant regulations. This may require plant renovations, resulting in higher electricity costs, human resources, and asset burdens, and will increase the company's financial costs to a certain extent.

Precipitation	Baseline (1995-2014)	Global Warming Level (GWL)
		1.5℃	2℃
Annual Precipitation	2,322.9 mm	+1.5%	+2.4%
Longest Consecutive Dry Days per Year	49.0 days	+2.2 days	+2.5 days
Laser Tek Response
Based on future projections (2015~2100) for Kaohsiung City, where the headquarters is located, under both 1.5℃ and 2℃ global warming scenarios, the annual precipitation change rate and the number of consecutive dry days per year in Kaohsiung will increase. Greater precipitation variability means more unstable rainfall, which may lead to more frequent droughts and heavy rain events. The company may face flooding at the plant or surrounding areas, or raw material supply shortages causing shipment delays, resulting in reduced orders and revenue. Drought and water shortages may also occur. Although the company only uses water for daily needs and can respond by building water storage facilities, customers are major water users. If industrial water is restricted due to shortages, customer operations will be affected, leading to a decrease in company orders.

Flood Disaster Risk
1.5°C Scenario (AR6 Mid-Century)	2°C Scenario (AR6 Mid-Century)
Laser Tek's headquarters and main production sites are located in Qianzhen District, Kaohsiung City. Under both 1.5°C and 2°C scenarios, the area is classified as flood hazard level 5, indicating the 'relatively' highest disaster risk. The company must consider the adequacy and regular maintenance of drainage and flood control facilities. If the frequency of flooding events increases, relocation issues must be considered to avoid impacts on supply, employee commuting, and workplace safety. Constructing related facilities or relocating and building new plants will increase financial costs.

Kaohsiung Sea Level Rise (Baseline 1995-2014)
Scenario		2040	2060	2080	2100
Global Warming Level (GWL)	1.5℃	0.12 m	0.21 m	0.32 m	0.43 m
	2℃	0.13 m	0.25 m	0.37 m	0.51 m
SSP Emission Scenario	SSP1-2.6	0.12 m	0.22 m	0.50 m	0.41 m
	SSP5-8.5	0.15 m	0.30 m	0.33 m	0.78 m
All scenarios are estimated values. Due to the complex submarine topography around Taiwan, there is high uncertainty. According to research by the National Science and Technology Center for Disaster Reduction, sea level rise will cause coastal water levels to rise and inundate low-lying areas, increasing the probability of flooding in coastal regions. The main affected areas are coastal lowlands, mostly wetlands, reclaimed land, or fish ponds. Tidal surges will also be affected. For example, in the Qijin area of Kaohsiung, after sea level rise, high tide overflow events exceeding the current seawall or port design standards are expected to occur more frequently. As Laser Tek is located in a coastal area, attention must be paid to coastal storm surge flooding. In addition to considering elevated infrastructure and waterproof gates, a plan should be developed to maintain supply stability during flooding. If the situation cannot be improved, relocation of the plant should be considered to maintain operations.

Scenario Name	Timeline	Assumptions	Results
IEA Net Zero Roadmap: A Global Pathway to Keep the 1.5°C Goal in Reach	2030-2050	Developing/Emerging economies (with net zero commitments) carbon pricing 90-200 USD/ton CO2e	According to ISO14064-1:2018, the total Scope 1 and Scope 2 greenhouse gas emissions of Laser Tek's Kaohsiung headquarters, Lin Guang Plant, and Hsinchu branch are about 1,500 metric tons CO2e/year. If no emission reduction plans or measures are implemented, and the company's total emissions are monetized, the company would need to bear approximately USD 135,000 to 300,000, significantly increasing operating costs.
Science Based Targets initiative (SBTi)	2024-2034	Minimum emission reduction calculated by linear reduction rate (about 4.2% per year)	Assuming the company's base year is 2024, with a target to reduce Scope 1 and Scope 2 emissions by 42% by 2034, if revenue and capacity remain unchanged, the company must purchase renewable energy in addition to optimizing existing processes to achieve the reduction target, resulting in an estimated expenditure of at least NT$790,000 to NT$1,080,000.

Category/Scope	Category	2022	2023	2023
Category 1 (Scope 1)	Stationary Combustion	0	0	0.2966
	Mobile Combustion	13.7411	6.4479	6.1542
	Process Emissions	0	0	0
	Fugitive Emissions	2.0655	45.5361	75.1080
	Category 1 (Scope 1) Subtotal	15.8066	51.9840	81.5588
Category 2 (Scope 2)	Purchased Electricity	1,496.2841	1,318.1065	1,309.8750
	Purchased Energy	0	0	0
Category 2 (Scope 2) Subtotal		1,496.2841	1,385.1662	1,309.8750
Category 1 (Scope 1) + Category 2 (Scope 2) Total		1,512.0907	1,370.0905	1,391.4338
Category 3 to Category 6 (Scope 3)	Upstream Transportation			67.8757
	Employee Commuting	86.7265	79.1311	79.9538
	Business Travel			13.6851
	Purchased Goods	263.7257	237.6915	246.2834
	Waste Disposal	5.3658	323.3551	7.7287
Category 3 to Category 6 (Scope 3) Subtotal		355.8180	360.0077	415.5267
Category 1 to Category 6 (Scope 1+2+3) Total		1,867.9087	1,779.3121	1,806.9605
According to ISO 14064-1:2018 inventory, the boundary includes Kaohsiung headquarters, Kaohsiung Lin Guang Plant, and Hsinchu branch. Data has not yet been verified by a third-party institution. Unit: metric tons CO2e. According to ISO 14064-1:2018 materiality screening, five indirect GHG emission items were inventoried in 2024. Upstream transportation covers only imported raw materials and auxiliary materials; business travel includes only Taiwan High Speed Rail and flights. Inventory items will continue to expand in the future. The 2024 electricity emission factor is based on the latest announcement by the Bureau of Energy, Ministry of Economic Affairs, Taiwan: 0.474 kg CO2e/kWh. Figures are calculated to four decimal places (rounded), which may cause slight discrepancies. 2023 data was revised due to clarification of inventory boundaries and emission sources.

Item	Content
Access Control	All company employees are issued access cards with permissions assigned according to department attributes; non-employees must register their identity when visiting and be accompanied by a company employee at all times.
Information Security Management	All company computer equipment requires login with an employee's personal account and password, which must be changed regularly.
Department-Specific Space	The company allocates dedicated file storage space for each department, which is independently planned and used by each department; physical spaces must be properly secured with keys.
Confidentiality Awareness Promotion and Training	New employees sign confidentiality agreements to ensure awareness of trade secrets and establish risk awareness in advance. Legal department colleagues are arranged to participate in relevant courses, with a total of 2 sessions this year, including information security and trade secret protection, intellectual property, and other courses.

item	content
Patent application	Fully know the development of industry trends and then apply for patents in response to market development trends.
Patent Layout Establishment	Based on the product orientation, examine the patents involved in the relevant technologies to understand the current status of the industry.
Periodic Maintenance Review	Examine the use of certified patents and their relevance to products to assess the need for continued maintenance.
Patent R&D Conference	Before each patent proposal proceeds to the official application process, discuss and communicate with multiple parties, including search, element review, preliminary review suggestion, final decision, etc., so as to effectively check the quality of the patent.
Patent Course & Information Sharing	Provide external courses to enhance the sensitivity of R&D personnel to the legal boundaries of patent applications.

Year	2021	2022	2023
Patent Item	Taiwan	Mainland China	Mainland China
	Laser rapid drilling device (Invention). Rapid optical path switching architecture for cutting Low-K wafer (Invention). Laser deburring and dust removal processing device. Laser curing processing device.	Rapid optical path architecture for cutting Low-K wafer (Invention).	Laser rapid drilling device (Invention).
	Mainland China
	Laser clock modulation and beam splitting cutting module. UV laser processing method and structure for copper coil. Laser etching method for thinning copper coil. Processing device for laser deburring and dust removal.
Note: If it is an invention patent, it is indicated in parentheses; otherwise, it is a utility model patent.

Region	Patent	2022	2023	2024
Taiwan	Utility Model	2	0	0
	Invention Patent	2	0	0
Mainland China	Utility Model	1	0	0
	Invention Patent	3	1	1
United States	Utility Model	0	0	0
	Invention Patent	0	0	0
Total		8	1	1

Region	Patent	2022	2023	2024
Taiwan	Utility Model	9	9	8
	Invention Patent	9	9	9
Mainland China	Utility Model	7	7	7
	Invention Patent	3	4	5
United States	Utility Model	0	0	0
	Invention Patent	1	1	1
Total		29	30	30