Contents - MiTAC

Item
Sales of forward
foreign exchange
Buy of forward foreign
exchange
For year 2002:
Notional Amount
(in thousands)
Fair Market Value
(in thousands)
Contract Terms
Trade date Strike Price Settlement Date
- 76 -
Hedged Assets
(in thousands)
Hedged
Liabilities (in
thousands)
Gain/(Loss)Recognized
(in thousands)
US$ 65,000 (NT$ 24,324) 2002.06.28~2002.11.08 33.400~35.123 2003.01.02~2003.05.12 US$65,000 - (NT$ 24,324 )
JPY 180,450 NT$ 790 2002.12.24 120.3 2003.01.23 - JPY180,450 NT$ 790
Buy NT$ put option US$ 54,000 NT$ 25,147 2002.02.06~2002.10.11 35.021~35.520 2003.01.13~2003.04.16 US$54,000 - NT$ 25,147
Sell NT$ call option US$ 54,000 - 2002.02.06~2002.10.11 35.021~35.520 2003.01.13~2003.04.16 US$54,000 - -
Buy US$ call option US$ 32,000 NT$ 34,062 2002.06.28~2002.11.15 33.063~33.718 2003.1.02~2003.05.12 - US$32,000 NT$ 34,062
Sell US$ put option US 32,000 - 2002.06.28~2002.11.15 33.063~33.719 2003.1.02~2003.05.12 - US$32,000 -
Sales of currency
SWAP
Buy of currency
SWAP
US$ 61,000 NT$ 8,543 2002.09.16~2002.12.27 34.683~35.179 2003.01.13~2003.04.15 US$61,000 - NT$ 8,543
US$ 46,000 (NT$ 8,720) 2002.02.06~2003.04.12 34.817~35.055 2003.01.09~2003.04.14 - US$46,000 (NT$ 8,720 )
a. Credit risk: There is no significant credit risk with respect to the above transactions because the counter party banks are of good financial standing.
b. Market risk: The main purpose of the transaction is to hedge exchange loss. Any change in the value of the instrument will be offset by a corresponding
change in the underlying commitment. Accordingly, no market risk is expected.
c. Future cash flow: the Company will receive (pay) cash or sale (purchase) contracts on settlement dates.