P AR T I ITEM 10.  ADDITIONAL INFORMATION Objects and Purpose General Directors If our board of directors decides, by resolution, to commit any act in violation of any law or our articles of incorporation,  a supervisor or any stockholder who has continuously held our shares for a period of one year or longer may request our board of  directors to discontinue such act. One or more stockholders who have held more than 3% of our issued and outstanding shares for  over a year may require a supervisor to bring an action on our behalf against a director for losses suffered by us as a result of the  director’s unlawful actions or failure to act by sending a written request to a supervisor. In addition, if our stockholders’ meeting  Under Republic of China Company Act, our board of directors, in conducting our business, shall act in accordance with  laws and regulations, our articles of incorporation and the resolutions adopted at the meetings of stockholders. Where any resolution  adopted by our board of directors contravenes laws, our articles of incorporation and the resolutions adopted at the meetings of  stockholders, thereby causing loss or damage to us, all directors taking part in the adoption of such resolution shall be liable to  compensate us for such loss or damage; however, those directors whose disagreement appears on record or is expressed in writing  shall be exempted from liability.  The Ministry of Transportation and Communications, on behalf of the government of the Republic of China, owned  approximately 35.29% of our outstanding common shares as of December 31, 2011. The remainder of our outstanding shares is held  by public stockholders and other investors.  Under our articles of incorporation as last amended on June 18, 2010, our authorized capital was NT$120,000,000,000,  divided into 12,000,000,000 common shares, with par value of NT$10 per share. We have set aside 200,000,000 common shares for  the conversion of any future issuances of preferred shares, warrants or convertible debt. Our paid-in capital is NT$77,574,465,450  divided into 7,757,446,545 common shares. We currently do not have any other equity in the form of preferred shares, convertible  bonds or otherwise outstanding as of the date of this annual report.  The scope of business of Chunghwa Telecom Co., Ltd. as set forth in Article 2 of our articles of incorporation, includes (i)  Telecommunications Enterprise Type 1 and Type 2 businesses pursuant to the Telecommunications Act of the Republic of China,  (ii) installation of the computer equipment and radio-frequency equipment whose operation is controlled by the telecommunication  business, (iii) telecommunications equipment wholesale, retail and engineering businesses, (iv) design, engineering and operation  of information software and hardware service businesses, (v) technique and performance arts training, (vi) apparatus and electric  appliance installation and construction business, (vii) television program production, distribution and commercial business, (viii)  broadcasting program distribution and commercial business, and (ix) other businesses, except any business requiring a special permit  or otherwise restricted by law or regulation.  Set forth below is information relating to our capital structure, including brief summaries of material provisions of our  articles of incorporation, the Republic of China Securities and Exchange Law, the Republic of China Company Act, the Statute of  Chunghwa Telecom Co., Ltd. and the Telecommunications Act, all as currently in effect. The following summaries are qualified in  their entirety by reference to our articles of incorporation, the Republic of China Securities and Exchange Law, the Republic of China  Company Act , the Statute of Chunghwa Telecom Co., Ltd. and the Telecommunications Act.  Not applicable.  A. Share Capital B. Memorandum and Articles of Incorporation  106