Laws and Regulations Database of the Central Bank of the Republic of China(Taiwan)

1.The Central Bank of the Republic of China (Taiwan) ("the Bank") promulgates these 
　Directions to handle the bidding for certificates of deposit issued by the Bank 
　(certificates of deposit).

2.The bidding for the certificates of deposit shall be conducted through the Online 
　Network Operation System of Open Market Operations of the Bank (the "Online 
　Operation System").
　Before bidding, the Bank shall release in the press the issuing date, the total 
　bidding amount, the maximum bid, the bidding method, the bidding date and other 
　relevant matters of the  certificates of deposit.
　Bidders may inquire about matters related to the bidding through the Online 
　Operation System and the Taipei Interbank Money Center.

3.Only banks, Credit Cooperatives, investment  trust companies, bills finance 
　companies, postal companies that conduct saving-deposit business, and other 
　financial institutions approved by the Bank may enter the bidding for the 
　certificates of deposit.

4.The total value of bids submitted by each bidder for certificates of deposit in
　any issue shall not exceed the total amount of certificates of deposit offered
　and the total number of bids submitted by each bidder shall not be more than
　five. The amount of each bid shall be in multiples of NT$5 million.

5.The open tendering procedure and bid award shall be as the following:
　(1) The interest rate on the certificates of deposit sold by open bidding
　　　shall not exceed the maximum acceptable rate and bids are accepted in the
　　　order of the bid rates from low to high. Where the bid rates are identical
　　　and the remaining amount to be allotted is insufficient for full allocation,
　　　the remaining amount shall be allocated pro rata according to bid amount with
　　　the minimum allocation unit being NT$ 5 million.
　(2) The Bank will announce the bid results. In addition, the Bank will notify
　　　each bidder of the results through the Online Operation System.
　(3) The Online Operation System will not accept a bid if any of the following
　　　occurs:
　　　(a)The interest rates are not filled in from low to high in ascending order;
　　　(b)The bid amount is not in a multiple of NT$5 million;
　　　(c)The total bid amount entered by the bidder exceeds the available amount;
　　　　 or 
　　　(d)Bid rates are stated in more than three decimal places.

6. The Bank may deduct the funds payable for the certificates of deposit from 
　 winning bidders’ reserve accounts A or accounts of other financial institutions 
　 at a pre-determined time on the issue date in a manner as agreed. The Department 
　 of Banking will issue an encrypted confirmation of purchase to the bidder 
　 through the online network operationsystem.  A winning bidder that does not open 
　 a reserve account A or an account of other financial institution with the Bank, 
　 may submit documents as an alternative indicating that another financial 
　 institution has agreed to make payment on its behalf and, upon the Bank's 
　 consent, the Bank will deduct the funds payable from the reserve account A 
　 opened by the financial institution.

7.The Bank will credit the all proceeds for the certificates of deposit on
　 maturity date directly to the Reserve Account A or an account of other 
　 financial institutions opened by the certificates of deposit holder, or an
　 account of a designated institution kept with the Department of Banking.

8.The Bank reserves the right to cancel an issuance or modify the amount of
　 issuance,up to and prior to the bid awarding stage.