Newsletter
OTC AND LISTED COMPANIES MUST DISCLOSE REINVESTMENT INFORMATION IN ANNUAL AND SEMIANNUAL REPORTS
The Securities and Futures Commission (SFC) promulgated supplementary provisions governing the compilation of financial reports on April 2, requiring all companies whose shares are listed or traded over the counter to include an appendix disclosing the following nine points of information regarding their reinvestment, beginning with this year's semiannual report:
Number of accommodations extended to other persons.
Number of guarantees-by-endorsement extended to other persons.
Number and amount of securities in portfolio at term end.
Relevant information in cases where the amount of the progressive acquisition and sale during the current term, or the end-term holdings, of single securities reaches NT$100 million or 20% or more of paid-up capital.
Relevant information in cases where acquisitions of long-term stock rights or of immovables reach NT$100 million or 20% or more of paid-up capital.
Relevant information in cases where dispositions of long-term stock rights or of immovables reach NT$100 million or 20% or more of paid-up capital.
Relevant information in cases where purchase and sales transactions with related persons reach NT$100 million or 20% or more of paid-up capital.
Relevant information in cases where accounts receivable from related persons reach NT$100 million or 20% or more of paid-up capital.
Amount of derivative financial products handled.
The SFC also announced on the same day that requirements regarding consolidated financial statements, business reports, and affiliation reports of affiliated companies would take effect on April 2. All companies whose shares are listed or traded over the counter, and who meet the definition of companies with affiliations of control and subordination under the Affiliated Companies chapter of the Company Law, must compile those three documents when compiling their annual reports prior to the end of next April.