The board of directors has passed a resolution to formulate "risk management methods and procedures" and set up a "sustainable development committee" affiliated with the board of directors (composed of four independent directors and one director), with a "risk management group" under it to focus on Identify, evaluate and manage internal and external risks such as economic, social and environmental risks that the company may face.

The "Risk Management Group" is chaired by the general manager and is composed of senior managers from various departments. It formulates strategies and actions in response to climate change from the four aspects of "governance", "strategy", "risk management" and "indicators and targets". Regularly include operational, financial and other risk categories into management, and discuss risk management procedures such as risk identification, assessment, response and supervision to implement the supervision mechanism and control the execution of various risk management. Risk projects are formulated every year based on seven major categories of risks, and qualitative and quantitative assessment standards and risk values are established. Their applicability is regularly evaluated. The "Sustainable Development Committee" reviews and supervises the implementation results of risk management regularly every year (at least once a year) reports implementation results to the board of directors. By establishing a complete risk management structure and process, we promote the awareness and understanding of risks among personnel in various departments, so as to strengthen risk management, improve systemic response capabilities, and achieve the goal of risk control. The Company's risk management team is supervised by the Audit Committee and follows the management procedures approved in the risk management policy approved by the Board of Directors.

「Risk Management Methods and Procedures」

Operational situation