The stockholders, at a meeting held on June 19, 2009, resolved to transfer capital surplus in the amount of NT$9,697 million to  common capital stock. The abovementioned 2009 capital increase proposal was effectively registered with FSC. The board of  directors authorized the chairman of directors to decide the ex-dividend date of the aforementioned proposal and the chairman  decided the ex-dividend date as August 9, 2009. The stockholders, at the stockholders’ meeting held on June 19, 2009, also resolved to reduce the amount of capital in  Chunghwa by a cash distribution to its stockholders in order to improve the financial condition of Chunghwa and better utilize  its excess funds. The abovementioned 2009 capital reduction proposal was effectively registered with FSC. The board of  directors of Chunghwa further authorized the chairman of board of directors of Chunghwa to designate the record date of  capital reduction as of October 26, 2009. Subsequently, common capital stock was reduced by NT$9,697 million and the stock  transfer date of capital reduction was January 28, 2010. The amount due to stockholders for capital reduction was paid in  February 2010. SENAO’s share-based compensation plans (“SENAO Plans”) described as follows: Each option is eligible to subscribe for one common share when exercisable. Under the terms of the Plans, the options are  granted at an exercise price equal to the closing price of the SENAO’s common shares listed on the TSE on the higher of  closing price or par value. The SENAO Plans have exercise price adjustment formula upon the issuance of new common  shares, capitalization of retained earnings and/or capital reserves, stock split as well as distribution of cash dividend (except  for 2007 Plan), except (i) in the case of issuance of new shares in connection with mergers and in the case of cancellation  of outstanding shares in connection with capital reduction (2007 Plan is out of this exception), and (ii) except if the exercise  price after adjustment exceeds the exercise price before adjustment. The options of all the Plans are valid for six years and the  graded vesting schedule for which 50% of option granted will vest two years after the grant date and another two tranches of  25% will vest three and four years after the grant date respectively. PART III F-38 24.  SHARE-BASED COMPENSATION PLANS Effective Date Grant Date Stock Options Units (Thousands) Exercise Price 2003.09.03 2003.10.17 3,981 $  14.7 (Original price $20.2) 2003.09.03 2004.03.04 385 17.6 (Original price $23.9) 2004.12.01 2004.12.28 6,500 10.0 (Original price $11.6) 2004.12.01 2005.11.28 1,500 13.5 (Original price $18.3) 2005.09.30 2006.05.05 10,000 12.1 (Original price $16.9) 2007.10.16 2007.10.31 6,181 42.6 (Original price $44.2) 28,547