PART I As of December 31, 2010, our primary source of liquidity was NT$90.9 billion (US$3.1 billion) in cash and  cash equivalents.  Our subsidiary, Spring House Entertainment Inc. applied for a secured loan from the Industrial Development  Bureau of the Ministry of Economic Affairs for research and development purposes and obtained the loan from  Taiwan Business Bank. This secured loan was early repaid in full in April 2010.  As of December 31, 2009 and 2010, our subsidiary Chief Telecom had short-term unsecured loans in  the amount of NT$235 million and NT$75 million (US$2.6 million) at interest rates at 1.15% and 1.10%,  respectively. As of December 31, 2009 and 2010, Chief Telecom had long-term unsecured loans in the amount of  NT$310 million and NT$209 million (US$7.2 million), respectively, all with interest rates ranging from 2.01%  to 2.04%.  As of December 31, 2009, our subsidiary Light Era Development Co., Ltd. had a short-term secured loan  from First Commercial Bank in the amount of NT$488 million at an interest rate of 0.81%. In September 2010,  Light Era Development renewed this short-term loan to a long-term secured loan, and obtained another long-term  secured loan in the amount of NT$2,750 million (US$94.4 million) from Chang Hwa Bank. As of December 31,  2010, Light Era Development Co., Ltd. had secured loans in the amount of NT$3,238 million (US$111.1 million)  with interest rates ranging from 0.80% to 1.01%.  As of December 31, 2010, Chunghwa Precision Test Technology Co., Ltd., a subsidiary of Chunghwa  Investment Co., Ltd. had short-term unsecured loans of NT$40 million (US$1.4 million) at interest rates ranging  from 1.29% to 1.33% from the Bank of Taiwan and E.SUN Bank and a long-term secured loan of NT$10 million  (US$0.3 million) from E.SUN Bank at an interest rate of 1.60%.  As part of the government’s effort to upgrade the existing telecommunication infrastructure, we and  other public utility companies were required by the R.O.C. government to contribute a total of NT$1.0  billion to a Piping Fund, administered by the Taipei City Government. This fund is used to finance various  telecommunications infrastructure projects. We accounted for the contribution as other monetary assets on our  consolidated balance sheets.  Note 30 to our audited consolidated financial statements included elsewhere in this annual report provides a  description of the assets are pledged as collateral for short-term and long-term bank loans and contract deposits.  The following table sets forth a summary of our capital expenditures for the periods indicated.  Capital Expenditures  84 For the year ended December 31, 2008 2009 2010 (NT$ in billions, except percentages) Capital Expenditures: Domestic fixed communications business 20.7  69% 15.9  62% 14.2  58% Mobile communications business 5.2  17  5.0  20  5.3  21  Internet business 2.2  7  2.1  8  1.9  8  International fixed communications business 1.2  4  1.3  5  1.8  7  Others 0.8  3  1.2  5  1.4  6  Total capital expenditures 30.1  100% 25.5  100% 24.6  100%