In addition, the number of shares that can be sold or transferred on the Taiwan Stock Exchange or GreTai  Securities Market by any person subject to the restrictions described above on any given day may not exceed:  These restrictions do not apply to block trading, auction sale, purchase by auction, after-hour trading  and sales or transfers of our ADSs. However, these restrictions will apply to sales of common shares upon  withdrawal.  We have not entered into any material contracts other than in the ordinary course of business and other than  those described elsewhere in this annual report.  PART I • 0.2% of the outstanding shares of the company in the case of a company with no more than  30 million outstanding shares;  • 0.2% of 30 million shares plus 0.1% of the outstanding shares exceeding 30 million shares in the  case of a company with more than 30 million outstanding shares; or  • in any case, 5% of the average daily trading volume (number of shares) on the Taiwan Stock  Exchange or the GreTai Securities Market for the ten consecutive trading days preceding the  reporting day on which day the director, supervisor, manager or substantial stockholder or their  respective spouse, minor child or nominee reports the intended share transfer to the Securities and  Futures Bureau.  We have extracted from publicly available documents the information presented in this section. Please  note that citizens of the People’s Republic of China and entities organized in the People’s Republic of China are  subject to special Republic of China laws, rules and regulations, which are not discussed in this section.  D. Exchange Controls  C. Material Contracts  Foreign Investment and Exchange Controls in Taiwan  General  Foreign Investment in Taiwan Securities Market  Historically, foreign investments in the securities market of Taiwan were restricted. However, commencing  in 1983, the Taiwan government has from time to time enacted legislation and adopted regulations to make  foreign investment in the Taiwan securities market possible. Initially, only overseas investment trust funds of  authorized securities investment trust enterprises established in Taiwan were permitted to invest in the Taiwan  securities market. Since January 1, 1991, qualified foreign institutional investors are allowed to make investments  in the Taiwan listed securities market. Since March 1, 1996, overseas Chinese, non-resident foreign institutional  and individual investors (other than qualified foreign institutional investors), called “general foreign investors,”  are permitted to make direct investments in the Taiwan securities market.  On December 28, 1990, the Executive Yuan, the cabinet of the Republic of China government, approved  guidelines drafted by the Securities and Futures Commission (the predecessor of the Securities and Futures  Bureau), which, since January 1, 1991, has allowed direct foreign investment in Taiwan’s securities that are listed  on the Taiwan Stock Exchange or other Taiwan securities approved by the Securities and Futures Bureau by  certain eligible qualified foreign institutional investors.  In addition to qualified foreign institutional investors, certain individual and foreign institutional investors  which meet certain qualifications set by the Securities and Futures Bureau may invest in the shares of Taiwan  Stock Exchange-listed companies, GreTai Securities Market (formerly known as Over-The-Counter Securities  Exchange) traded companies, emerging market companies or other Taiwan securities approved by the Securities  and Futures Bureau up to a limit of US$50 million (in the case of institutional investors) and US$5 million (in  the case of individual investors) after obtaining permission from the Taiwan Stock Exchange.  109