PART I 64 Statute of Chunghwa Telecom Co., Ltd.  Approval of Ministry of Transportation and Communications  Employee Subscription Rights for New Issues of Our Common Shares  •  the adoption of and any changes to our articles of incorporation and board of directors organization  rules;  •  any changes to our authorized capital and any issuance of our common shares;  •  any changes to primary tariffs for Type I services; and  •  any changes to operational procedures of Type I services.  C. Organizational Structure  In accordance with the Statute of Chunghwa Telecom Co., Ltd., our employees have rights to subscribe for  not more than 10% of a new issuance of our common shares in accordance with subscription rules which were  to be announced by the Ministry of Transportation and Communications. However, no such rules were ever  announced. In addition, under the Republic of China Company Law, unless exempted by the relevant government  authorities, a Republic of China company must give its employees pre-emptive rights to subscribe for between  10-15% of any new issue of shares by us.  Set forth below is a diagram indicating our organization structure as of March 31, 2011.  While the continued application of the Statute of Chunghwa Telecom Co., Ltd. remains unclear and it  may be abolished in the near future, under that statute we are required to obtain approval of the Ministry of  Transportation and Communications for:  The Executive Yuan, on February 26, 2008, proposed a motion for the abolishment of the Statute of  Chunghwa Telecom Co., Ltd. for legislative approval. We cannot determine when this motion will be approved  by the Legislative Yuan. Under Republic of China law, the Statute of Chunghwa Telecom Co., Ltd will continue  in effect until the Legislative Yuan formally approves the motion and the President of the Republic of China  pronounces the abolishment of the law. 