遠東新世紀召開2018年度股東常會

　　遠東新世紀公司於6月29日假臺北國軍英雄館召開股東常會，由徐旭東董事長率領經營團隊出席。2017年，遠東新世紀合併營收新臺幣（以下同）2,178億元，成長1%，稅後淨利80.66億元，成長28%，每股盈餘1.61元，股東會中通過配發股利1.2元，創下近三年新高，現金股利殖利率4.2%（依6月28收盤股價計算）。今年第一季遠東新世紀表現更加突出，合併營收達515億元，較去年同期成長2%，稅後淨利24.69億元，大幅成長92%。

生產事業──成長動能爆發　營運V型向上
一、 加速全球化布局：首次建立美國生產基地
　　看準美國消費市場，遠東新世紀成功收購美國M&G西維吉尼亞州年產能36萬噸PET廠，以及俄亥俄州研發基地，並與其他業者以合作生產方式，共同取得M&G德州年產能130萬噸PTA及年產能110萬噸PET興建中專案及相關資產，不但可以就近供應美國龐大內需市場，避開貿易障礙，也可發揮美國低廉原料及能源成本優勢，並享受美國稅改政策紅利。美國西維吉尼亞州廠預計今年第三季正式投產。

二、 發揮產地經貿優勢：越南新線投產在即
　　遠東新世紀已於兩岸建立完整聚酯產業鏈，目前積極擴充越南產能，包括40萬噸PET新線預計第三季投產，印染廠第二期、聚酯長纖、聚酯短纖等擴充專案持續進行。在全球保護主義浪潮上，遠東新世紀將充分發揮越南產地的經貿優勢，並搭配美國廠生產運作，機動調整各據點產銷結構，以全球化調度方式，創造最大營運利潤。今年PET規模在美國與越南新產能投產後，將位居世界前三大PET供應商。

三、 發展第二成長曲線：聚焦綠材、衛材、車材應用領域產品
　　為維持公司長期競爭力，遠東新世紀積極拓展差異化產品銷售與研發，包括擴大Recycled PET下游應用領域，並計畫擴建Recycled PET新產能，以滿足品牌客戶需求。此外，瞄準中國13億人口衛生醫療商機與先進國家高齡照顧需求，持續擴建衛材纖維產線。看好車材產業帶動的龐大商機，近年擴建尼龍6,6工業絲與輪胎簾布產能，產品已陸續通過客戶認證，發展高值化車材領域產品。

四、 推動產業升級：打造工業4.0智能工廠
　　遠東新世紀引進智能化生產設備與製程，建構從石化、化纖、紡織一體化的智慧製造供應鏈，包括運用3D虛擬技術，模擬實際環境進行訓練或維修前準備工作，降低現場危害發生率；新埔化纖總廠建置智慧型電能管理系統，有效掌握各生產單位用電數據，降低用電成本；越南印染廠採用先進工業4.0技術與設備，成衣事業導入無人搬運車，並透過自主研發自動化生產設備，大幅提高生產效率。

土地開發事業──活化土地資產 進行多項開發
　　遠東新世紀在臺灣擁有土地面積達57萬坪，主要集中在北部精華地段，目前開發重點包括新北市板橋區的「台北遠東通訊園區」，Tpark第一期已完工營運，第二期開發案陸續展開，包括IDC大樓及第二棟研發大樓於去年6月動工，此外，通訊園區內高級住宅大樓「遠揚建設住宅大樓」將進入銷售階段，總銷售坪數超過7千坪，帶來可觀住宅銷售收益。

投資事業──多元投資組合 創造穩健獲利
　　遠東新世紀持有龐大優質的轉投資事業，主要投資標的包括遠傳、遠百、亞泥、東聯、宏遠、遠銀等上市公司，每年挹注穩定股利收入與投資收益。今年第一季，以上6家公司合計稅後淨利較去年同期成長35%，將為遠東新世紀帶來優異的投資報酬。

履行企業社會責任　實踐永續發展
　　遠東新世紀在全體同仁努力下，永續治理績效備受各界肯定，獲選為富比士雜誌（Forbes）全球500大最佳雇主、入選MSCI ESG Leaders Indexes永續指數A級，更在「2017臺灣企業永續獎」蟬連「年度最佳報告」最大獎，並囊括「TOP50臺灣永續企業獎」、「永續水管理獎」、「社會共融獎」、「創新成長獎」、「循環經濟領袖獎」等五項大獎，創下歷年CSR最佳紀錄。
遠東新世紀以超過一甲子的產業根基，繼往開來、求新求變，2017年制定「永續策略藍圖」，作為公司永續發展的策略方向，並引領產業不斷向前。＃

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2018 FENC Annual General Shareholders’ Meeting

Far Eastern New Century Corporation (Stock code: 1402, hereinafter referred to as “FENC” or “the Company”) held its 2018 Annual General Shareholders’ Meeting at the Taipei Hero House auditorium at 9:00 AM on 29 June with Chairman Douglas Tong Hsu presiding. During the meeting, the management team reported the 2017 financial results and the operating strategies of key businesses – production, investments, and property development.

FENC’s 2017 consolidated revenue reached NT$217.8 billion (US$7.3 billion), a 1% growth YoY, whilst net income attributable to shareholders of the Company was NT$8.1 billion (US$270 million), a 28% growth YoY, or an EPS of NT$1.61 (US￠5.39). The cash dividend of NT$1.2 (or US￠4.02) per share , a record high in the past three years, was accepted during the meeting. The dividend yield is around 4.2% based on the stock closing price of June 28, 2018. FENC also outperformed in 1Q18, as its consolidated revenue reached NT$51.5 billion (US$1.7 billion), a 2% growth YoY, whilst net income attributable to shareholders of the Company was NT$2.5 billion (US$83 million), a 92% growth YoY.

Production Business: Solid Growth Momentum 
1. Accelerate Globalization: Build Up the First Production Site in the U.S.
Targeting the U.S. huge consumer market, FENC acquired Mossi & Ghisolfi’s (M&G) assets in West Virginia with a PET capacity of 360,000 tons per year and a R&D center in Ohio. The Company has also formed a joint venture with two other international producers to acquire M&G’s integrated PTA/PET assets currently under construction in Corpus Christi, Texas, with annual capacity of PTA 1.3 million tons and PET 1.1 million tons. This is not only to access the U.S. domestic market by removing tariff barriers, but also to secure cheaper feedstock and utility costs as well as to enjoy the benefits of the recent tax reforms. The West Virginia PET plant is planned to start operation in the third quarter 2018.

2. Take Advantage of the Favorable Investment Climate: New Capacity Ramp up in Vietnam
FENC has established a comprehensive polyester supply chain in the Greater China area and is to expand new capacities in Vietnam. Currently, the new PET line of 400,000 tons per year is slated to start operation in the third quarter this year, and the phase II of dyeing and finishing plant, polyester filament and staple fiber plants are under planning in the Vietnam production site. During the wave of global protectionism, FENC will flexibly adjust its production and sales structure of each site to maximize the operating profits by taking advantage of Vietnam’s favorable investment climate and servicing the U.S. clients locally with its new U.S. plants. After the new PET capacity ramp up in the U.S. and Vietnam this year, FENC will become one of the Top 3 PET producers in the world.

3. Develop the 2nd Growth Curve: Focus on Green, Hygiene and Automotive Materials
To sustain FENC long-term competency, the Company has expanded and developed high value added products, such as enlarging the downstream applications of Recycled PET. In order to meet brand clients’ demand, FENC is planning to expand new capacity of Recycled PET. Additionally, with an eye on opportunities in healthcare for China’s 1.3 billion population and the needs of the elderly in developed countries, FENC has continuously expanded its production lines of hygiene fibers. Aiming at the growth potential of the automotive materials market, FENC has raised its capacity of nylon 6,6 industrial yarns and tire cord fabrics, while receiving quality certifications from clients.

4. Pursue Industrial Upgrades: Build Industry 4.0 Smart Factories
FENC is introducing a variety of latest equipment and manufacturing processes in order to build an integrated smart manufacturing supply chain from upstream petrochemical, polyester to downstream textiles businesses. For example, utilizing 3D virtual technology simulates the actual environment for training or maintenance preparation to reduce the incidence rate of workplace injury. Also, Hsinpu Chemical Fiber Plant has built an intelligent power management system, which could monitor the electricity data of each production line effectively to reduce the utility costs. The concept of industry 4.0 is implemented in the Vietnam Dyeing & Finishing Plant and automatic guided vehicles (AGV) systems are adapted to move and transport items in the production process of apparel plants. The Company has improved production efficiency significantly through its R&D efforts in developing the automation systems.

Property Development: Develop Properties to Generate Greater Value
Currently FENC has total land holdings of 570,000 pings (1,900,000 square meters) in Taiwan, the majority of which are located in prime areas of northern Taiwan. The Taipei Far Eastern Telecom Park (Tpark) project in Banqiao of New Taipei City is one of FENC’s development priorities. After the completion of the phase I plan, the Company has entered the second phase of the Tpark’s construction. The IDC building and the second R&D building broke ground last June. In addition, a premium residential project located inside Tpark, built by Far Eastern Construction, is planned to launch its pre-sale, with a gross floor area of more than 7,000 pings(23,000 square meters), which is expected to generate substantial income.

Diversified Investment: Branch Out to Drive Profit Growth
The majority of the Company’s investment portfolio is listed companies on the Taiwan Stock Exchange with proven track records, including Far EasTone Telecommunications Co. Ltd., Far Eastern Department Stores Limited, Asia Cement Corporation, Oriental Union Chemical Corporation, Everest Textile Corporation Limited, and Far Eastern International Bank, thus providing the Company consistent dividend and investment income each year. In 1Q2018, the total “net income attributable to shareholders” of the aforementioned six companies was 35% higher than the corresponding period last year.

Social Responsibilities: Ongoing Sustainable Development
“With collective efforts from our employees, FENC has received great recognition for our sustainability achievements”, mentioned by the management team. FENC has been nominated by Forbes as one of the world’s top 500 best employers and is a constituent of the MSCI ESG Leaders Indexes (MSCI ESG Rating - Industrial Conglomerates: A). The Company also won the “Best CSR Report of the Year in 2017” of Taiwan Corporate Sustainability Awards (TCSA) in consecutive years, and was granted “TOP 50 Sustainable Corporates Award”, “Sustainable Water Management Awards”, “Social Inclusion Award, Growth through Innovation Award”, and “Circular Economy Leadership Award” from TCSA.

“With a solid foundation in the industry over six decades, we formed our ‘sustainability blueprint’ in 2017 as the strategy to guide us and lead the industry moving forward,” said the management team. #