Formosa Laboratories passed a resolution at the board meeting in March 2022 to fully re-elect 8 directors (including 3 Independent Directors) at the shareholders' meeting in 2022. The nomination of Dr. Cheng, Chen-Yu and 7 other directors (including 3 Independent Directors) was reviewed and approved, and their diversity, independence, educational and professional backgrounds, industry experience, and relevant skills related to organizational impact all comply with the "Regulations Governing Appointment of Independent Directors and Compliance Matters for Public Companies", Article 192 of the "Company Act,"the"Articles of Incorporation"and the"Procedures for Election of Directors". The candidate nomination system is adopted, and Chen, Yi-Fen, Lu, Ta- Jung, and Chang, Ting-Jung are included in the Company's list of independent director candidates for 2022, which was announced on the Public Information Observation Station and submitted for election at the shareholders' meeting in June 2022.

Formosa Laboratories elected 8 directors (including 3 Independent Directors) at the shareholders' meeting in June 2022 and held a board meeting. All the elected directors unanimously recommended Dr. Cheng, Chen-Yu to serve as the Chairman of Formosa Laboratories. Dr. Cheng, Chen-Yu holds a Ph.D. in Medicinal Chemistry from the University of California, San Francisco. He has previously served as a professor in the Department of Pharmacy at National Taiwan University, a researcher at DuPont Chemical Company, and a postdoctoral researcher in the Department of Chemistry at MIT. During his tenure as Chairman and President of Formosa Laboratories, Dr.Cheng, Chen-Yu has accumulated professional capabilities and extensive experience in operational judgment, management, leadership decision-making, and crisis handling. He has provided professional and comprehensive guidance on the Company's operational management and investment decisionmaking, significantly benefiting the operational management of Formosa Laboratories. Therefore, he will continue to serve as Chairman.

To implement the diversification of the Board of Directors and formulate appropriate diversification policies for its own operations, operational models, and development needs, the following two aspects are considered: first, basic conditions and values such as gender, age, nationality, and culture; second, professional backgrounds, knowledge, skills, and experience in law, accounting, industry, finance, marketing, or technology. In addition, to achieve the ideal goal of corporate governance, the Board of Directors of the Company as a whole should possess eight abilities, including operational judgment, accounting and financial analysis, management, crisis handling, industry knowledge, international market perspective, leadership, and decision-making. The Formosa Laboratories Board of Directors should meet basic requirements and values, possess professional knowledge and skills, demonstrate diversity, and strive for gender equality. Formosa Laboratories also continues to arrange diverse training courses for board members to continuously enrich their knowledge for decision-making. For more information on the core competency indicators of the Board of Directors and its committees, please refer to the Company's annual report (2022 Annual Report).

To stay current with global trends in business management, Formosa Laboratories has established a continuous education and training program for directors. This includes annual training courses to strengthen governance knowledge and skills. Additionally, we regularly send out updates on relevant laws and regulations from authorities so that independent directors can stay informed about matters related to Formosa Laboratories. We also enhance information dissemination and educational programs based on each director's needs and feedback.

In 2024, the Board of Directors completed a total of 56 hours of training, consisting of 35 hours on governance and 21 hours on finance and accounting, averaging 6.2 hours per person. For more details on directors' continuing education and training, please refer to Formosa Laboratories' annual report.

To improve the efficiency of board operations, Formosa Laboratories has established the Rules for Performance Evaluation of the Board of Directors, requiring self- assessments of the board, individual members, and functional committees annually. The performance evaluation indicators for the Board cover five areas: "participation in the operation of the company,""improvement of the quality of the Board of Directors' decision-making,""composition and structure of the Board of Directors,""election of directors and continuing education and training for directors,"and"internal control." The Audit Committee and the Remuneration Committee review and recommend on the remuneration standards and the specific amounts of compensation based on the evaluation results.

According to the results of self-assessments of the Board of Directors and functional committees for 2024, The Board of Directors has fulfilled its responsibilities in guiding and supervising the company's operations, and overall, the Board's functioning was sound. Additionally, Formosa Laboratories engages the Taiwan Investor Relations Institute, a professional and independent organization, to conduct an external evaluation of the Board's performance every three years. The most recent evaluation took place in 2023, and the Board of Directors either made improvements based on the recommendations in the report or included those recommendations in its schedule to ensure compliance with governance standards at Formosa Laboratories. The evaluation report is available on Formosa Laboratories' official website.