Investments in Unconsolidated Companies  We hold investments in other companies that we account for under the equity method or cost method of accounting,  depending on our ability to exert significant influence over the investee company. The amounts for our equity method investments  generally represent our cost of the initial investment adjusted for our share of the investee company’s income or loss and any  dividends received. The amounts for our investments carried at cost where the securities are not publicly traded generally represent  our cost of the initial investment less any adjustments we make when we determine that an investment’s net realizable value is less  than its carrying cost. Estimating the net realizable value of investments in privately held companies can be inherently subjective and  may contribute to significant volatility in our reported results of operations.  We assess the impairment of investments accounted for using the equity method whenever triggering events or changes in  circumstances indicate that an investment may be impaired and carrying value may not be recoverable. We measure the impairment  based on the projected future cash flow of the investees, the underlying assumptions for which had been formulated by such investees’  internal management team, taking into account sales growth and capacity utilization.  The process of assessing whether a particular cost method investment’s net realizable value is less than its carrying cost  requires a significant amount of judgment. We periodically evaluate these long-term investments based on quoted market prices, if  available, the financial condition of the investee company, economic conditions in the industry and our intent and ability to hold the  investment for a long period of time. If quoted market prices are not available, we estimate the fair value using the net asset values  as well as the financial condition of the investee company. This information may be based on information that we request from the  investee companies and may not be subject to the same disclosure and audit requirements as required of U.S. companies, and as such,  the reliability and accuracy of the information may vary. If we deem the fair value of an investment to be less than the book value  based on the above factors, and the decline in value is deemed to be other than temporary, we record the difference as impairment  in the period of occurrence. In 2009, we recognized impairment losses of NT$10 million for Essence Technology Solution and  NT$10 million for Digimax Inc. due to poor operating performance. In 2010, we recognized impairment losses of NT$21 million for  Digimax Inc., NT$13 million for ChipSip Technology Co., Ltd. due to poor operating performance, NT$9 million for Crystal Media  Inc. and NT$16 million for A2peak Power Co., Ltd. due to adverse changes in market conditions. In 2011, we recognized impairment  losses of NT$50 million (US$1.7 million) for Global Mobile Corp., NT$34 million (US$1.1 million) for RPTI International Ltd.,  NT$14 million (US$0.5 million) for CQi Energy Infocom Inc. and NT$10 million (US$0.3 million) for A2peak Power Co., Ltd.due  to poor operating performance, and NT$21 million (US$0.7 million) for Aide Energy (Cayman) Holding Co., Ltd., NT$10 million  (US$0.3 million) for Procrystal Technology Co., Ltd., NT$5 million (US$0.2 million) for OptiVision Technology, Inc., and NT$4  million (US$0.1 million) for Tatung Fine Chemicals Co., Ltd. due to adverse changes in the market. We assess the impairment of long-lived assets and intangible assets whenever triggering events or changes in circumstances  indicate that the asset may be impaired and carrying value may not be recoverable. Indications we consider important which could  trigger an impairment review include, but are not limited to, the following:  Valuation of long-lived assets, intangible assets  P AR T I ●  External sources of information:  ●  during the period, an asset’s market value has declined significantly more than would be expected as a result of the  passage of time or normal use.  ●  significant changes with an adverse effect on the entity have taken place during the period, or will take place in the  near future, in the technological, market, economic or legal environment in which the entity operates or in the market  to which an asset is dedicated.  72