Corporate Fund-Raising Review and Analysis of Financial and Directory of Head Office Introduction General Operating Financial Status Special Notes Governance Report Activities Conditions Operating Results‚ and Risk Management and Branches General Operating Conditions and its Directors, Supervisors, President, Executive Vice Presidents, the Heads of Departmentsand Enterprises Directly Controlled and Branches, and Ratios of Consolidated Shareholding the Bank, by or Indirectly Supervisors, Managers, and Others Required Article 25 of the Banking Law of Item 3, Provisions to Report Equity by the of Departments and Branches Operations Corporate Governance Information CPA of Equity and Changes in Equity Used Directors, as Collateral by Transfer Directors‚ Directors‚ Supervisors‚ President‚ Vice Executive Presidents‚ and Heads Numbers of Shares in the Same Reinvested Enterprises Held by the BOT Organization System Organization Information on the Relationships between the 10 Largest Shareholders as Shareholders on the Relationships between the 10 Largest Information Given in SFAS No. 6 No. Given in SFAS VI. III. IV. V. VII. I. II. Corporate Governance Report Governance Corporate I. Organization System At the end of 2007 the BOT's management organization consisted of 21 departments, 12 offices, 170 domestic branches and overseas units (including Offshore Banking Branch, Los Angeles Branch, Hong Kong Branch, New York Agency, London Branch, Tokyo Branch, Singapore Branch, South Africa Branch, and the Trade Center of Taiwan in Panama.) The total number of employees was 8,828 (including contract salespersons, contract workers, and overseas hirees.) Organization Chart Secretariat, Board of Directors Executive Vice President Auditing Office, and General Auditor Board of Directors Department of Planning Department of Corporate Finance Department of Credit General Affairs Office Management Department of Assets Management Secretariat Department of Wealth Management Department of Occupational Safety Circulation and Health Office Department of Public Treasury Human Resources Department of Office Risk Management Department of Business Ethics Office Domestic Branches (162) Department of Board of Directors Offshore Banking Branch (1) International Banking Chairman of Executive Overseas Branches (7) President Vice the Board Trade Center of Taiwan in Panama President Department of Trusts Accounting Branch Offices of Life Insurance Dept. Office Agency of Life Insurance Dept. Department of Electronic Banking Economic Research Department of Office Securities Department of Consumer Finance Credit Analysis Office Supervisors Department of Resident Supervisor Treasury Information Department of Real Management Office Estate Management Department of Procurement Legal Affairs Office Department of Domestic Operations Department of Government Employees Insurance Department of Life Insurance Department of Trade Note: (1) Information in this Organization Chart was as of the end of December 2007. (2) On January 1, 2008, the Taiwan Financial Holdings was established on the basis of the Share Transfer Agreement, by which the Land Bank of Taiwan, the Export-Import Bank of R.O.C. and the Bank agreed to transfer all of their shares. On January 2, 2008 the Bank split its Department of Securities and Department of Life Insurance to organize the other two subsidiaries of Taiwan Financial Holdings, namely, BankTaiwan Securities Co., Ltd. and BankTaiwan Life Insurance Co., Ltd. Foreword Duties of Major Units Major Units Duties Secretariat, Board of Handles important matters related to the Board of Directors, and documentary affairs. Directors Auditing Office, Board Takes care of planning, implementation, and examination of internal auditing matters, and participates in the Introduction of Directors formulation and revision of operating and management regulations. Responsible for systems, management regulations, operating directions, annual operating plans, and planning, Department of Planning evaluation, and management of branch units. Department of Handles the matters of designing new products for corporate finance, planning for and promoting corporate Corporate Finance finance business, and the supply of consulting assistance services to operating branches. Department of Credit Handles planning, supervision, examining, consulting assistance services, and management for loan business. Governance Corporate Management Department of Assets Takes care of planning, examination, supervision, and management related to non-performing loans, loans for Management collection, and the clearing up of bad loans. Department of Wealth Handles planning, marketing, evaluation, training and administration of wealth management. Report Management Department of Responsible for the issuance, distribution, arrangement, custodianship, and destruction of New Taiwan Dollar Circulation currency, and for the inventory and issuance-related businesses for all of the Bank’s issuing units. Department of Public Handles agency operations for public treasuries at all levels, custodianship of securities for government Activities Treasury agencies, and direction and supervision of the business of branch treasuries. Fund-Raising Department of Risk Responsible for the planning and revision of risk management, handles formulation and integration of risk Management management regulations. Department of Business Takes care of general deposit, loan, remittance, and agency businesses. Department of Takes care of foreign exchange operations, foreign banking and overseas branch businesses, correspondent International Banking banking relations, and operational planning and management for the foreign exchange business. Conditions General Department of Trusts Controls trust businesses and auxiliary businesses. Department of Responsible for planning, study, marketing, integration, supervision, and management and examination of the Operating Electronic Banking electronic banking business and deposit business. Department of Handles securities brokerage and underwriting business management and operations. Securities Department of Takes care of planning, promotion, review, management, and consultation assistance services for the general Consumer Finance consumer banking business (general consumer loans, bank cards, and credit cards.) Financial Department of Treasury Handles New Taiwan Dollar and foreign currency allocation, planning, and utilization, and securities investment. Department of Real Takes care of maintenance of buildings and general management of real estate. Estate Management Status Department of Handles procurement matters under concentrated system for government institutions, public schools and public Procurement enterprises. Department of Domestic Handles matters of deposit business, installation and evaluation of ABMs and branch units, and administration Operations of consulting system for operation units. Operating Review Department of Handles, under the Government’s authorization, the general life insurance for civil servants and staffs in public Government Employees and or in private schools. Results‚ Insurance Analysis Department of Life Handles the design, promotion, underwriting, re-insurance, collection of premiums, and other matters relating to Insurance the insurance business. and of Risk Department of Trade Handles the matters of international trade, commercial storage and parking lot business. Financial Management General Affairs Office Handles general affairs, procurement of articles and appliances in office, and cashier affairs. and Secretariat Takes care of important affairs, documentation, chop management, meetings, editing, and public relations. Occupational Safety Takes care of labor safety and health affairs. and Health Office Special Human Resources Carries out the planning, study, training, and implementation of personnel affairs. Office Looks after the propagation of ethics laws and regulations, and the formulation and revision of ethics Notes Ethics Office regulations. Responsible for the planning and formulation of accounting systems, budgets, statistics, internal auditing, and Accounting Office bank-wide accounts and interest matters. Economic Research Carries out surveys and analyses of domestic and overseas economic, financial, and industrial conditions, and Directory Office business research and development, and the compilation of economic publications. Branches Responsible for the collection, surveying, and editing of data related to the loan business, as well as overseas Credit Analysis Office credit investigation services. of Information Head In charge of planning, design, and management of automation. Management Office Office Legal Affairs Office Handles legal matters as well as the collection and study of domestic and overseas laws and regulations. II. Directors‚ Supervisors‚ President‚ Executive Vice Presidents‚ and Heads of Departments and Branches 1. Directors and Supervisors Information on Directors and Supervisors (1) Shareholding Shareholding Shareholding Being the Spouse or Present by Spouse and Relative within 2 Tiers Date of Term of Date of First at Time of in the Name of Positions Currently Held in the BOT and Other Position Name Shareholding Dependent Education and Career of Other Managers‚ Employment Employment Appointment Appointment Other People Companies Children Directors‚ or No. Ratio No. Ratio No. Ratio No. Ratio Supervisors Bachelor of International Trade Department‚ National Chengchi University Chairman‚ Bank of Taiwan Chairman‚ Land Bank of