SUPPLEMENTAL INFORMATION All references to “we,” “us,” “our” and “our company” in this annual report are to Chunghwa Telecom Co., Ltd. and our consolidated  subsidiaries, unless the context otherwise requires. All references to “shares” and “common shares” are to our common shares, par  value NT$10 per share, and to “ADSs” are to our American depositary shares, each of which represents ten of our common shares.  The ADSs are issued under the deposit agreement, as amended, supplemented or modified from time to time, originally dated as of  July 17, 2003, among Chunghwa Telecom Co., Ltd. and the Bank of New York, and amended and restated on November 14, 2007,  among Chunghwa Telecom Co., Ltd. and JP Morgan Chase Bank, as depository, and the holders and beneficial owners of American  Depositary Receipts issued thereunder. All references to “Taiwan” are to the island of Taiwan and other areas under the effective  control of the Republic of China. All references to “the government” or “the Republic of China government” are to the government of  the Republic of China. All references to the “Ministry of Transportation and Communications” are to the Ministry of Transportation  and Communications of the Republic of China. All references to the “Securities and Futures Bureau” are to the Securities and  Futures Bureau of the Republic of China or its predecessors, as applicable. “R.O.C. GAAP” means the generally accepted accounting  principles of the Republic of China, and “U.S. GAAP” means the generally accepted accounting principles of the United States.  Any discrepancies in any table between totals and sums of the amounts listed are due to rounding. Unless otherwise indicated, or the  context otherwise requires, references in this annual report to financial and operational data for a particular year refer to the fiscal  year of our company ending December 31 of that year.  When we refer to our “privatization” or our being “privatized” in this annual report, we mean our status as a non-state-owned entity  after the government reduced its ownership of our outstanding common shares, including our common shares owned by entities  majority-owned by the government, to less than 50%. We were privatized in August 2005.  We publish our consolidated financial statements in New Taiwan dollars, the lawful currency of the Republic of China. In this annual  report, “NT$” and “NT dollars” mean New Taiwan dollars, “$”, “US$” and “U.S. dollars” mean United States dollars.  This annual report contains forward-looking statements, including statements regarding:  FORWARD-LOOKING STATEMENTS IN THIS ANNUAL REPORT MAY NOT BE REALIZED ●  our business and operating strategy;  ●  our network expansion plans;  ●  our business, operations and prospects;  ●  our financial condition and results of operations;  ●  our dividend policy;  ●  the telecommunications industry regulatory environment in Taiwan; and  ●  future developments in the telecommunications industry in Taiwan.  These forward-looking statements are generally indicated by the use of forward-looking terminology such as “believe,” “expect,”  “anticipate,” “estimate,” “plan,” “aim,” “seek,” “project,” “may,” “will” or other similar words that express an indication of actions  or results of actions that may or are expected to occur in the future. These statements reflect our current views with respect to future  events and are subject to risks, uncertainties and assumptions, many of which are beyond our control. The forward looking statements  are contained principally in the sections entitled “Item 3. Key Information—D. Risk Factors,” “Item 4. Information on the Company”  and “Item 5. Operating and Financial Review and Prospects.” These statements are made under the “safe harbor” provisions of  the U.S. Private Securities Litigation Reform Act of 1995. We have based these forward looking statements largely on our current 