English Translation of Financial Statements Originally Issued in Chinese
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
Consolidated Financial Statements for the
Three Months Ended March 31, 2020 and 2019 and
Independent Auditors’ Review Report
- 0 -
勤業眾信
勤業眾信聯合會計師事務所
11073 台北市信義區松仁路100號20樓
Deloitte & Touche
20F, Taipei Nan Shan Plaza
No. 100, Songren Rd.,
Xinyi Dist., Taipei 11073, Taiwan
Tel :+886 (2) 2725-9988
Fax:+886 (2) 4051-6888
www.deloitte.com.tw
INDEPENDENT AUDITORS’ REVIEW REPORT
The Board of Directors and Shareholders
Taiwan Semiconductor Manufacturing Company Limited
Introduction
We have reviewed the accompanying consolidated balance sheets of Taiwan Semiconductor Manufacturing Company Limited and its subsidiaries (collectively, the “Company”) as of March 31, 2020 and 2019, the related consolidated statements of comprehensive income, the consolidated statements of changes in equity and cash flows for the three months then ended, and the related notes to the consolidated financial statements, including a summary of significant accounting policies. Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34 “Interim Financial Reporting” endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China. Our responsibility is to express a conclusion on the consolidated financial statements based on our reviews.
Scope of Review
We conducted our reviews in accordance with Statement of Auditing Standards No. 65 “Review of Financial Information Performed by the Independent Auditor of the Entity”. A review of consolidated financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Conclusion
Based on our reviews, nothing has come to our attention that caused us to believe that the accompanying consolidated financial statements do not present fairly, in all material respects the consolidated financial position of the Company as of March 31, 2020 and 2019, and its consolidated financial performance and its consolidated cash flows for the three months then ended March 31, 2020 and 2019 in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34 “Interim Financial Reporting” endorsed and issued into effect by the Financial Supervisory Commission of the Republic of China.
1
The engagement partners on the reviews resulting in this independent auditors’ review report are Mei Yen Chiang and Yu Feng Huang.
Deloitte & Touche
Taipei, Taiwan
Republic of China
May 12, 2020
Notice to Readers
The accompanying consolidated financial statements are intended only to present the consolidated financial position, financial performance and cash flows in accordance with accounting principles and practices generally accepted in the Republic of China and not those of any other jurisdictions. The standards, procedures and practices to review such consolidated financial statements are those generally applied in the Republic of China.
For the convenience of readers, the independent auditors’ review report and the accompanying consolidated financial statements have been translated into English from the original Chinese version prepared and used in the Republic of China. If there is any conflict between the English version and the original Chinese version or any difference in the interpretation of the two versions, the Chinese-language independent auditors’ review report and consolidated financial statements shall prevail.
2
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
CONSOLIDATED BALANCE SHEETS
(In Thousands of New Taiwan Dollars)
|
| March 31, 2020 (Reviewed) |
| December 31, 2019 (Audited) |
| March 31, 2019 (Reviewed) | |||||||||||||||||||||
ASSETS |
| Amount |
| % |
| Amount |
| % |
| Amount |
| % | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
CURRENT ASSETS |
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Cash and cash equivalents (Note 6) |
| $ | 430,777,229 |
|
|
| 18 |
|
| $ | 455,399,336 |
|
|
| 20 |
|
| $ | 645,670,527 |
|
|
| 30 |
| |||
Financial assets at fair value through profit or loss (Note 7) |
|
| 1,254,253 |
|
|
| - |
|
|
| 326,839 |
|
|
| - |
|
|
| 3,084,399 |
|
|
| - |
| |||
Financial assets at fair value through other comprehensive income (Note 8) |
|
| 129,219,277 |
|
|
| 6 |
|
|
| 127,396,577 |
|
|
| 6 |
|
|
| 107,313,205 |
|
|
| 5 |
| |||
Financial assets at amortized cost (Note 9) |
|
| 302,393 |
|
|
| - |
|
|
| 299,884 |
|
|
| - |
|
|
| 4,179,386 |
|
|
| - |
| |||
Hedging financial assets (Note 10) |
|
| - |
|
|
| - |
|
|
| 25,884 |
|
|
| - |
|
|
| 969 |
|
|
| - |
| |||
Notes and accounts receivable, net (Note 11) |
|
| 145,992,744 |
|
|
| 6 |
|
|
| 138,908,589 |
|
|
| 6 |
|
|
| 106,431,149 |
|
|
| 5 |
| |||
Receivables from related parties (Note 31) |
|
| 427,888 |
|
|
| - |
|
|
| 862,070 |
|
|
| - |
|
|
| 309,821 |
|
|
| - |
| |||
Other receivables from related parties (Note 31) |
|
| 60,170 |
|
|
| - |
|
|
| 51,653 |
|
|
| - |
|
|
| 48,674 |
|
|
| - |
| |||
Inventories (Note 12) |
|
| 78,277,834 |
|
|
| 3 |
|
|
| 82,981,196 |
|
|
| 4 |
|
|
| 108,682,382 |
|
|
| 5 |
| |||
Other financial assets (Note 32) |
|
| 10,696,893 |
|
|
| 1 |
|
|
| 11,041,091 |
|
|
| - |
|
|
| 10,521,565 |
|
|
| - |
| |||
Other current assets |
|
| 5,461,359 |
|
|
| - |
|
|
| 5,320,795 |
|
|
| - |
|
|
| 5,082,738 |
|
|
| - |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Total current assets |
|
| 802,470,040 |
|
|
| 34 |
|
|
| 822,613,914 |
|
|
| 36 |
|
|
| 991,324,815 |
|
|
| 45 |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
NONCURRENT ASSETS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Financial assets at fair value through other comprehensive income (Note 8) |
|
| 4,241,324 |
|
|
| - |
|
|
| 4,124,337 |
|
|
| - |
|
|
| 3,837,734 |
|
|
| - |
| |||
Financial assets at amortized cost (Note 9) |
|
| 7,410,133 |
|
|
| - |
|
|
| 7,348,914 |
|
|
| - |
|
|
| 7,864,421 |
|
|
| - |
| |||
Investments accounted for using equity method (Note 13) |
|
| 19,381,760 |
|
|
| 1 |
|
|
| 18,698,788 |
|
|
| 1 |
|
|
| 18,336,458 |
|
|
| 1 |
| |||
Property, plant and equipment (Note 14) |
|
| 1,438,215,285 |
|
|
| 62 |
|
|
| 1,352,377,405 |
|
|
| 60 |
|
|
| 1,107,651,816 |
|
|
| 51 |
| |||
Right-of-use assets (Note 15) |
|
| 21,720,648 |
|
|
| 1 |
|
|
| 17,232,402 |
|
|
| 1 |
|
|
| 19,043,554 |
|
|
| 1 |
| |||
Intangible assets (Note 16) |
|
| 27,232,071 |
|
|
| 1 |
|
|
| 20,653,028 |
|
|
| 1 |
|
|
| 17,974,017 |
|
|
| 1 |
| |||
Deferred income tax assets (Note 4) |
|
| 19,309,120 |
|
|
| 1 |
|
|
| 17,928,358 |
|
|
| 1 |
|
|
| 16,959,414 |
|
|
| 1 |
| |||
Refundable deposits |
|
| 1,825,670 |
|
|
| - |
|
|
| 2,084,968 |
|
|
| - |
|
|
| 2,839,161 |
|
|
| - |
| |||
Other noncurrent assets |
|
| 1,489,645 |
|
|
| - |
|
|
| 1,742,918 |
|
|
| - |
|
|
| 1,605,395 |
|
|
| - |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Total noncurrent assets |
|
| 1,540,825,656 |
|
|
| 66 |
|
|
| 1,442,191,118 |
|
|
| 64 |
|
|
| 1,196,111,970 |
|
|
| 55 |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
TOTAL |
| $ | 2,343,295,696 |
|
|
| 100 |
|
| $ | 2,264,805,032 |
|
|
| 100 |
|
| $ | 2,187,436,785 |
|
|
| 100 |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
LIABILITIES AND EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
CURRENT LIABILITIES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Short-term loans (Notes 17 and 29) |
| $ | 139,310,384 |
|
|
| 6 |
|
| $ | 118,522,290 |
|
|
| 5 |
|
| $ | 76,592,550 |
|
|
| 4 |
| |||
Short-term bills payable (Notes 18 and 29) |
|
| 2,992,858 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
| |||
Financial liabilities at fair value through profit or loss (Note 7) |
|
| 980,241 |
|
|
| - |
|
|
| 982,349 |
|
|
| - |
|
|
| 151,079 |
|
|
| - |
| |||
Hedging financial liabilities (Note 10) |
|
| 109,826 |
|
|
| - |
|
|
| 1,798 |
|
|
| - |
|
|
| 111,374 |
|
|
| - |
| |||
Accounts payable |
|
| 38,283,035 |
|
|
| 1 |
|
|
| 38,771,066 |
|
|
| 2 |
|
|
| 27,100,909 |
|
|
| 1 |
| |||
Payables to related parties (Note 31) |
|
| 1,491,179 |
|
|
| - |
|
|
| 1,434,900 |
|
|
| - |
|
|
| 560,941 |
|
|
| - |
| |||
Salary and bonus payable |
|
| 13,282,444 |
|
|
| 1 |
|
|
| 16,272,353 |
|
|
| 1 |
|
|
| 8,896,829 |
|
|
| - |
| |||
Accrued profit sharing bonus to employees and compensation to directors and supervisors (Note 28) |
|
| 31,720,142 |
|
|
| 1 |
|
|
| 23,648,903 |
|
|
| 1 |
|
|
| 28,088,332 |
|
|
| 1 |
| |||
Payables to contractors and equipment suppliers |
|
| 101,466,057 |
|
|
| 4 |
|
|
| 140,810,703 |
|
|
| 6 |
|
|
| 76,970,966 |
|
|
| 4 |
| |||
Cash dividends payable (Note 21) |
|
| 129,651,902 |
|
|
| 6 |
|
|
| 129,651,902 |
|
|
| 6 |
|
|
| - |
|
|
| - |
| |||
Income tax payable (Note 4) |
|
| 47,565,681 |
|
|
| 2 |
|
|
| 32,466,156 |
|
|
| 1 |
|
|
| 45,719,763 |
|
|
| 2 |
| |||
Long-term liabilities - current portion (Notes 19 and 29) |
|
| 12,800,000 |
|
|
| 1 |
|
|
| 31,800,000 |
|
|
| 1 |
|
|
| 48,100,000 |
|
|
| 2 |
| |||
Accrued expenses and other current liabilities (Notes 15, 20, 22 and 29) |
|
| 69,814,310 |
|
|
| 3 |
|
|
| 56,373,281 |
|
|
| 3 |
|
|
| 65,974,891 |
|
|
| 3 |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Total current liabilities |
|
| 589,468,059 |
|
|
| 25 |
|
|
| 590,735,701 |
|
|
| 26 |
|
|
| 378,267,634 |
|
|
| 17 |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
NONCURRENT LIABILITIES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Bonds payable (Notes 19 and 29) |
|
| 46,475,148 |
|
|
| 2 |
|
|
| 25,100,000 |
|
|
| 1 |
|
|
| 35,300,000 |
|
|
| 2 |
| |||
Deferred income tax liabilities (Note 4) |
|
| 356,609 |
|
|
| - |
|
|
| 344,393 |
|
|
| - |
|
|
| 204,933 |
|
|
| - |
| |||
Lease liabilities (Notes 15 and 29) |
|
| 19,490,665 |
|
|
| 1 |
|
|
| 15,041,833 |
|
|
| 1 |
|
|
| 16,907,533 |
|
|
| 1 |
| |||
Net defined benefit liability (Note 4) |
|
| 8,377,553 |
|
|
| - |
|
|
| 9,182,496 |
|
|
| - |
|
|
| 9,389,230 |
|
|
| - |
| |||
Guarantee deposits (Notes 20 and 29) |
|
| 176,664 |
|
|
| - |
|
|
| 176,904 |
|
|
| - |
|
|
| 1,820,748 |
|
|
| - |
| |||
Others |
|
| 1,922,467 |
|
|
| - |
|
|
| 2,128,279 |
|
|
| - |
|
|
| 2,029,105 |
|
|
| - |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Total noncurrent liabilities |
|
| 76,799,106 |
|
|
| 3 |
|
|
| 51,973,905 |
|
|
| 2 |
|
|
| 65,651,549 |
|
|
| 3 |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Total liabilities |
|
| 666,267,165 |
|
|
| 28 |
|
|
| 642,709,606 |
|
|
| 28 |
|
|
| 443,919,183 |
|
|
| 20 |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
EQUITY ATTRIBUTABLE TO SHAREHOLDERS OF THE PARENT |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Capital stock (Note 21) |
|
| 259,303,805 |
|
|
| 11 |
|
|
| 259,303,805 |
|
|
| 11 |
|
|
| 259,303,805 |
|
|
| 12 |
| |||
Capital surplus (Note 21) |
|
| 56,339,785 |
|
|
| 3 |
|
|
| 56,339,709 |
|
|
| 3 |
|
|
| 56,320,688 |
|
|
| 2 |
| |||
Retained earnings (Note 21) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Appropriated as legal capital reserve |
|
| 311,146,899 |
|
|
| 13 |
|
|
| 311,146,899 |
|
|
| 14 |
|
|
| 276,033,811 |
|
|
| 13 |
| |||
Appropriated as special capital reserve |
|
| 27,568,179 |
|
|
| 1 |
|
|
| 10,675,106 |
|
|
| - |
|
|
| 26,907,527 |
|
|
| 1 |
| |||
Unappropriated earnings |
|
| 1,046,780,670 |
|
|
| 45 |
|
|
| 1,011,512,974 |
|
|
| 45 |
|
|
| 1,135,004,816 |
|
|
| 52 |
| |||
|
|
| 1,385,495,748 |
|
|
| 59 |
|
|
| 1,333,334,979 |
|
|
| 59 |
|
|
| 1,437,946,154 |
|
|
| 66 |
| |||
Others (Note 21) |
|
| (24,873,338 | ) |
|
| (1 | ) |
|
| (27,568,369 | ) |
|
| (1 | ) |
|
| (10,725,023 | ) |
|
| - |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Equity attributable to shareholders of the parent |
|
| 1,676,266,000 |
|
|
| 72 |
|
|
| 1,621,410,124 |
|
|
| 72 |
|
|
| 1,742,845,624 |
|
|
| 80 |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
NON - CONTROLLING INTERESTS |
|
| 762,531 |
|
|
| - |
|
|
| 685,302 |
|
|
| - |
|
|
| 671,978 |
|
|
| - |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Total equity |
|
| 1,677,028,531 |
|
|
| 72 |
|
|
| 1,622,095,426 |
|
|
| 72 |
|
|
| 1,743,517,602 |
|
|
| 80 |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
TOTAL |
| $ | 2,343,295,696 |
|
|
| 100 |
|
| $ | 2,264,805,032 |
|
|
| 100 |
|
| $ | 2,187,436,785 |
|
|
| 100 |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of the consolidated financial statements.
3
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(In Thousands of New Taiwan Dollars, Except Earnings Per Share)
(Reviewed, Not Audited)
|
| Three Months Ended March 31 | ||||||||||||||||
|
| 2020 |
| 2019 | ||||||||||||||
|
| Amount |
| % |
| Amount |
| % | ||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
NET REVENUE (Notes 22, 31 and 37) |
| $ | 310,597,183 |
|
|
| 100 |
|
| $ | 218,704,469 |
|
|
| 100 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
COST OF REVENUE (Notes 12, 28, 31 and 35) |
|
| 149,813,002 |
|
|
| 48 |
|
|
| 128,352,344 |
|
|
| 59 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
GROSS PROFIT BEFORE REALIZED (UNREALIZED) GROSS PROFIT ON SALES TO ASSOCIATES |
|
| 160,784,181 |
|
|
| 52 |
|
|
| 90,352,125 |
|
|
| 41 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
REALIZED (UNREALIZED) GROSS PROFIT ON SALES TO ASSOCIATES |
|
| (7,673 | ) |
|
| - |
|
|
| 5,432 |
|
|
| - |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
GROSS PROFIT |
|
| 160,776,508 |
|
|
| 52 |
|
|
| 90,357,557 |
|
|
| 41 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
OPERATING EXPENSES (Notes 28 and 31) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Research and development |
|
| 24,968,883 |
|
|
| 8 |
|
|
| 20,417,311 |
|
|
| 9 |
| ||
General and administrative |
|
| 5,903,061 |
|
|
| 2 |
|
|
| 4,140,729 |
|
|
| 2 |
| ||
Marketing |
|
| 1,451,102 |
|
|
| 1 |
|
|
| 1,459,973 |
|
|
| 1 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Total operating expenses |
|
| 32,323,046 |
|
|
| 11 |
|
|
| 26,018,013 |
|
|
| 12 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
OTHER OPERATING INCOME AND EXPENSES, NET (Notes 14, 15 and 28) |
|
| 68,175 |
|
|
| - |
|
|
| (73,521 | ) |
|
| - |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
INCOME FROM OPERATIONS (Note 37) |
|
| 128,521,637 |
|
|
| 41 |
|
|
| 64,266,023 |
|
|
| 29 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
NON-OPERATING INCOME AND EXPENSES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Share of profits of associates |
|
| 725,968 |
|
|
| 1 |
|
|
| 433,491 |
|
|
| - |
| ||
Other income (Note 23) |
|
| 3,099,578 |
|
|
| 1 |
|
|
| 4,408,776 |
|
|
| 2 |
| ||
Foreign exchange gain, net (Note 34) |
|
| 375,791 |
|
|
| - |
|
|
| 230,682 |
|
|
| - |
| ||
Finance costs (Note 24) |
|
| (530,564 | ) |
|
| - |
|
|
| (899,065 | ) |
|
| - |
| ||
Other gains and losses, net (Note 25) |
|
| (45,232 | ) |
|
| - |
|
|
| (258,255 | ) |
|
| - |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Total non-operating income and expenses |
|
| 3,625,541 |
|
|
| 2 |
|
|
| 3,915,629 |
|
|
| 2 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
INCOME BEFORE INCOME TAX |
|
| 132,147,178 |
|
|
| 43 |
|
|
| 68,181,652 |
|
|
| 31 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
INCOME TAX EXPENSE (Notes 4 and 26) |
|
| 15,084,285 |
|
|
| 5 |
|
|
| 6,794,342 |
|
|
| 3 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
NET INCOME |
|
| 117,062,893 |
|
|
| 38 |
|
|
| 61,387,310 |
|
|
| 28 |
|
(Continued)
4
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(In Thousands of New Taiwan Dollars, Except Earnings Per Share)
(Reviewed, Not Audited)
|
| Three Months Ended March 31 | ||||||||||||||||
|
| 2020 |
| 2019 | ||||||||||||||
|
| Amount |
| % |
| Amount |
| % | ||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
OTHER COMPREHENSIVE INCOME (LOSS) (Notes 21 and 26) |
|
|
|
|
|
|
|
| ||||||||||
Items that will not be reclassified subsequently to profit or loss: |
|
|
|
|
|
|
|
| ||||||||||
Unrealized gain/(loss) on investments in equity instruments at fair value through other comprehensive income |
| $ | (44,047 | ) |
|
| - |
|
| $ | 53,541 |
|
|
| - |
| ||
Loss on hedging instruments |
|
| (42,749 | ) |
|
| - |
|
|
| (94,548 | ) |
|
| - |
| ||
Share of other comprehensive income (loss) of associates |
|
| (3,317 | ) |
|
| - |
|
|
| 248 |
|
|
| - |
| ||
Income tax benefit (expense) related to items that will not be reclassified subsequently |
|
| 114 |
|
|
| - |
|
|
| (18,051 | ) |
|
| - |
| ||
|
|
| (89,999 | ) |
|
| - |
|
|
| (58,810 | ) |
|
| - |
| ||
Items that may be reclassified subsequently to profit or loss: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Exchange differences arising on translation of foreign operations |
|
| 3,035,024 |
|
|
| 1 |
|
|
| 3,218,078 |
|
|
| 1 |
| ||
Unrealized gain/(loss) on investments in debt instruments at fair value through other comprehensive income |
|
| (210,748 | ) |
|
| - |
|
|
| 1,448,390 |
|
|
| 1 |
| ||
Share of other comprehensive income (loss) of associates |
|
| (86,359 | ) |
|
| - |
|
|
| 8,328 |
|
|
| - |
| ||
|
|
| 2,737,917 |
|
|
| 1 |
|
|
| 4,674,796 |
|
|
| 2 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Other comprehensive income for the period, net of income tax |
|
| 2,647,918 |
|
|
| 1 |
|
|
| 4,615,986 |
|
|
| 2 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD |
| $ | 119,710,811 |
|
|
| 39 |
|
| $ | 66,003,296 |
|
|
| 30 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
NET INCOME (LOSS) ATTRIBUTABLE TO: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Shareholders of the parent |
| $ | 116,986,720 |
|
|
| 38 |
|
| $ | 61,393,851 |
|
|
| 28 |
| ||
Non-controlling interests |
|
| 76,173 |
|
|
| - |
|
|
| (6,541 | ) |
|
| - |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
|
| $ | 117,062,893 |
|
|
| 38 |
|
| $ | 61,387,310 |
|
|
| 28 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
TOTAL COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Shareholders of the parent |
| $ | 119,634,992 |
|
|
| 39 |
|
| $ | 66,009,819 |
|
|
| 30 |
| ||
Non-controlling interests |
|
| 75,819 |
|
|
| - |
|
|
| (6,523 | ) |
|
| - |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
|
| $ | 119,710,811 |
|
|
| 39 |
|
| $ | 66,003,296 |
|
|
| 30 |
|
(Continued)
5
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(In Thousands of New Taiwan Dollars, Except Earnings Per Share)
(Reviewed, Not Audited)
|
| Three Months Ended March 31 | ||||||
|
| 2020 |
| 2019 | ||||
|
| Income Attributable to Shareholders of the Parent |
| Income Attributable to Shareholders of the Parent | ||||
|
|
|
|
| ||||
EARNINGS PER SHARE (NT$, Note 27) |
|
|
|
| ||||
Basic earnings per share |
| $ | 4.51 |
|
| $ | 2.37 |
|
Diluted earnings per share |
| $ | 4.51 |
|
| $ | 2.37 |
|
The accompanying notes are an integral part of the consolidated financial statements.
(Concluded)
6
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
(In Thousands of New Taiwan Dollars)
(Reviewed, Not Audited)
|
| Equity Attributable to Shareholders of the Parent |
|
|
|
| ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Others |
|
|
|
|
|
| ||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Unrealized |
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Gain (Loss) on |
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Financial |
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Assets at Fair |
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Foreign |
| Value Through |
|
|
| Unearned |
|
|
|
|
|
|
|
| ||||||||||||||||||||||||||||||||||||||||||||
|
| Capital Stock - Common Stock |
|
|
| Retained Earnings |
| Currency |
| Other |
| Gain (Loss) on |
| Stock-Based |
|
|
|
|
|
|
|
| ||||||||||||||||||||||||||||||||||||||||||||||||||||
|
| Shares |
|
|
|
|
| Legal Capital |
| Special Capital |
| Unappropriated |
|
|
| Translation |
| Comprehensive |
| Hedging |
| Employee |
|
|
|
|
| Non-controlling |
| Total | ||||||||||||||||||||||||||||||||||||||||||||
|
| (In Thousands) |
| Amount |
| Capital Surplus |
| Reserve |
| Reserve |
| Earnings |
| Total |
| Reserve |
| Income |
| Instruments |
| Compensation |
| Total |
| Total |
| Interests |
| Equity | ||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||||||||||||||||||||||||||||
BALANCE, JANUARY 1, 2020 |
|
| 25,930,380 |
|
| $ | 259,303,805 |
|
| $ | 56,339,709 |
|
| $ | 311,146,899 |
|
| $ | 10,675,106 |
|
| $ | 1,011,512,974 |
|
| $ | 1,333,334,979 |
|
| $ | (26,871,400 | ) |
| $ | (692,959 | ) |
| $ | (3,820 | ) |
| $ | (190 | ) |
| $ | (27,568,369 | ) |
| $ | 1,621,410,124 |
|
| $ | 685,302 |
|
| $ | 1,622,095,426 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Appropriations of earnings |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Special capital reserve |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 16,893,073 |
|
|
| (16,893,073 | ) |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
| ||||||||||||||
Cash dividends to shareholders |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| (64,825,951 | ) |
|
| (64,825,951 | ) |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| (64,825,951 | ) |
|
| - |
|
|
| (64,825,951 | ) | ||||||||||||||
Total |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 16,893,073 |
|
|
| (81,719,024 | ) |
|
| (64,825,951 | ) |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| (64,825,951 | ) |
|
| - |
|
|
| (64,825,951 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net income for the three months ended March 31, 2020 |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 116,986,720 |
|
|
| 116,986,720 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 116,986,720 |
|
|
| 76,173 |
|
|
| 117,062,893 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Other comprehensive income (loss) for the three months ended |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 2,948,619 |
|
|
| (257,598 | ) |
|
| (42,749 | ) |
|
| - |
|
|
| 2,648,272 |
|
|
| 2,648,272 |
|
|
| (354 | ) |
|
| 2,647,918 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Total comprehensive income (loss) for the three months ended |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 116,986,720 |
|
|
| 116,986,720 |
|
|
| 2,948,619 |
|
|
| (257,598 | ) |
|
| (42,749 | ) |
|
| - |
|
|
| 2,648,272 |
|
|
| 119,634,992 |
|
|
| 75,819 |
|
|
| 119,710,811 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Basis adjustment for gain on hedging instruments |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 46,569 |
|
|
| - |
|
|
| 46,569 |
|
|
| 46,569 |
|
|
| - |
|
|
| 46,569 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Adjustments to share of changes in equities of associates |
|
| - |
|
|
| - |
|
|
| 76 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 190 |
|
|
| 190 |
|
|
| 266 |
|
|
| - |
|
|
| 266 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Increase in non-controlling interests |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 1,410 |
|
|
| 1,410 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
BALANCE, MARCH 31, 2020 |
|
| 25,930,380 |
|
| $ | 259,303,805 |
|
| $ | 56,339,785 |
|
| $ | 311,146,899 |
|
| $ | 27,568,179 |
|
| $ | 1,046,780,670 |
|
| $ | 1,385,495,748 |
|
| $ | (23,922,781 | ) |
| $ | (950,557 | ) |
| $ | - |
|
| $ | - |
|
| $ | (24,873,338 | ) |
| $ | 1,676,266,000 |
|
| $ | 762,531 |
|
| $ | 1,677,028,531 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
BALANCE, JANUARY 1, 2019 |
|
| 25,930,380 |
|
| $ | 259,303,805 |
|
| $ | 56,315,932 |
|
| $ | 276,033,811 |
|
| $ | 26,907,527 |
|
| $ | 1,073,706,503 |
|
| $ | 1,376,647,841 |
|
| $ | (12,042,347 | ) |
| $ | (3,429,324 | ) |
| $ | 23,601 |
|
| $ | (1,843 | ) |
| $ | (15,449,913 | ) |
| $ | 1,676,817,665 |
|
| $ | 678,731 |
|
| $ | 1,677,496,396 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net income (loss) for the three months ended March 31, 2019 |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 61,393,851 |
|
|
| 61,393,851 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 61,393,851 |
|
|
| (6,541 | ) |
|
| 61,387,310 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Other comprehensive income (loss) for the three months ended |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 3,226,397 |
|
|
| 1,484,119 |
|
|
| (94,548 | ) |
|
| - |
|
|
| 4,615,968 |
|
|
| 4,615,968 |
|
|
| 18 |
|
|
| 4,615,986 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Total comprehensive income (loss) for the three months ended |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 61,393,851 |
|
|
| 61,393,851 |
|
|
| 3,226,397 |
|
|
| 1,484,119 |
|
|
| (94,548 | ) |
|
| - |
|
|
| 4,615,968 |
|
|
| 66,009,819 |
|
|
| (6,523 | ) |
|
| 66,003,296 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Disposal of investments in equity instruments at fair value through other comprehensive income |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| (95,538 | ) |
|
| (95,538 | ) |
|
| - |
|
|
| 95,538 |
|
|
| - |
|
|
| - |
|
|
| 95,538 |
|
|
| - |
|
|
| - |
|
|
| - |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Basis adjustment for gain on hedging instruments |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 12,434 |
|
|
| - |
|
|
| 12,434 |
|
|
| 12,434 |
|
|
| - |
|
|
| 12,434 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Adjustments to share of changes in equities of associates |
|
| - |
|
|
| - |
|
|
| 4,386 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 950 |
|
|
| 950 |
|
|
| 5,336 |
|
|
| 110 |
|
|
| 5,446 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
From share of changes in equities of subsidiaries |
|
| - |
|
|
| - |
|
|
| 370 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 370 |
|
|
| (370 | ) |
|
| - |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Increase in non-controlling interests |
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 30 |
|
|
| 30 |
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
BALANCE, MARCH 31, 2019 |
|
| 25,930,380 |
|
| $ | 259,303,805 |
|
| $ | 56,320,688 |
|
| $ | 276,033,811 |
|
| $ | 26,907,527 |
|
| $ | 1,135,004,816 |
|
| $ | 1,437,946,154 |
|
| $ | (8,815,950 | ) |
| $ | (1,849,667 | ) |
| $ | (58,513 | ) |
| $ | (893 | ) |
| $ | (10,725,023 | ) |
| $ | 1,742,845,624 |
|
| $ | 671,978 |
|
| $ | 1,743,517,602 |
|
The accompanying notes are an integral part of the consolidated financial statements.
7
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Thousands of New Taiwan Dollars)
(Reviewed, Not Audited)
|
| Three Months Ended March 31 | ||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
CASH FLOWS FROM OPERATING ACTIVITIES |
|
|
|
| ||||||
Income before income tax |
| $ | 132,147,178 |
|
| $ | 68,181,652 |
| ||
Adjustments for: |
|
|
|
|
|
|
|
| ||
Depreciation expense |
|
| 67,083,741 |
|
|
| 76,192,468 |
| ||
Amortization expense |
|
| 1,470,736 |
|
|
| 1,355,336 |
| ||
Expected credit losses recognized (reversal) on investments in debt instruments |
|
| 1,626 |
|
|
| (4,885 | ) | ||
Finance costs |
|
| 530,564 |
|
|
| 899,065 |
| ||
Share of profits of associates |
|
| (725,968 | ) |
|
| (433,491 | ) | ||
Interest income |
|
| (2,989,069 | ) |
|
| (4,408,776 | ) | ||
Share-based compensation |
|
| 1,410 |
|
|
| - |
| ||
Loss (gain) on disposal or retirement of property, plant and equipment, net |
|
| (35,390 | ) |
|
| 421,408 |
| ||
Reversal of impairment loss on property, plant and equipment |
|
| - |
|
|
| (301,384 | ) | ||
Loss on financial instruments at fair value through profit or loss, net |
|
| 2,883 |
|
|
| 338,047 |
| ||
Loss (gain) on disposal of investments in debt instruments at fair value through other comprehensive income, net |
|
| (179,412 | ) |
|
| 53,105 |
| ||
Loss from disposal of subsidiaries |
|
| - |
|
|
| 4,598 |
| ||
Unrealized (realized) gross profit on sales to associates |
|
| 7,673 |
|
|
| (5,432 | ) | ||
Loss on foreign exchange, net |
|
| 804,399 |
|
|
| 22,722 |
| ||
Dividend income |
|
| (110,509 | ) |
|
| - |
| ||
Gain arising from fair value hedges, net |
|
| - |
|
|
| (11,758 | ) | ||
Changes in operating assets and liabilities: |
|
|
|
|
|
|
|
| ||
Financial instruments at fair value through profit or loss |
|
| (1,080,340 | ) |
|
| 72,734 |
| ||
Notes and accounts receivable, net |
|
| (8,595,331 | ) |
|
| 20,639,442 |
| ||
Receivables from related parties |
|
| 434,182 |
|
|
| 274,591 |
| ||
Other receivables from related parties |
|
| (8,517 | ) |
|
| 16,354 |
| ||
Inventories |
|
| 4,703,362 |
|
|
| (5,451,406 | ) | ||
Other financial assets |
|
| 2,109,547 |
|
|
| 2,545,236 |
| ||
Other current assets |
|
| (111,469 | ) |
|
| 193,059 |
| ||
Accounts payable |
|
| (296,602 | ) |
|
| (6,105,106 | ) | ||
Payables to related parties |
|
| 56,279 |
|
|
| (815,558 | ) | ||
Salary and bonus payable |
|
| (2,989,909 | ) |
|
| (5,574,543 | ) | ||
Accrued profit sharing bonus to employees and compensation to directors and supervisors |
|
| 8,071,239 |
|
|
| 4,107,178 |
| ||
Accrued expenses and other current liabilities |
|
| 4,910,661 |
|
|
| 965,357 |
| ||
Net defined benefit liability |
|
| (804,943 | ) |
|
| (262,175 | ) | ||
Cash generated from operations |
|
| 204,408,021 |
|
|
| 152,907,838 |
| ||
Income taxes paid |
|
| (1,378,579 | ) |
|
| (237,560 | ) | ||
|
|
|
|
|
|
|
|
| ||
Net cash generated by operating activities |
|
| 203,029,442 |
|
|
| 152,670,278 |
|
(Continued)
8
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Thousands of New Taiwan Dollars)
(Reviewed, Not Audited)
|
| Three Months Ended March 31 | ||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
CASH FLOWS FROM INVESTING ACTIVITIES |
|
|
|
| ||||||
Acquisitions of: |
|
|
|
| ||||||
Financial assets at fair value through other comprehensive income |
| $ | (56,528,394 | ) |
| $ | (34,445,259 | ) | ||
Financial assets at amortized cost |
|
| - |
|
|
| (313,958 | ) | ||
Property, plant and equipment |
|
| (192,559,626 | ) |
|
| (75,942,118 | ) | ||
Intangible assets |
|
| (846,084 | ) |
|
| (2,101,026 | ) | ||
Proceeds from disposal or redemption of: |
|
|
|
|
|
|
|
| ||
Financial instruments at fair value through profit or loss - debt instruments |
|
| - |
|
|
| 93,328 |
| ||
Financial assets at fair value through other comprehensive income |
|
| 57,185,928 |
|
|
| 31,684,346 |
| ||
Financial assets at amortized cost |
|
| - |
|
|
| 10,138,090 |
| ||
Property, plant and equipment |
|
| 65,867 |
|
|
| 75,142 |
| ||
Derecognition of hedging financial instruments |
|
| (225,847 | ) |
|
| (227,383 | ) | ||
Interest received |
|
| 3,038,375 |
|
|
| 4,575,286 |
| ||
Proceeds from government grants - property, plant and equipment |
|
| 475,703 |
|
|
| 2,565,338 |
| ||
Proceeds from government grants - land use right and others |
|
| 20,077 |
|
|
| 850,623 |
| ||
Other dividends received |
|
| 110,509 |
|
|
| - |
| ||
Refundable deposits paid |
|
| (69,469 | ) |
|
| (1,320,312 | ) | ||
Refundable deposits refunded |
|
| 339,693 |
|
|
| 179,430 |
| ||
|
|
|
|
|
|
|
|
| ||
Net cash used in investing activities |
|
| (188,993,268 | ) |
|
| (64,188,473 | ) | ||
|
|
|
|
|
|
|
|
| ||
CASH FLOWS FROM FINANCING ACTIVITIES |
|
|
|
|
|
|
|
| ||
Increase (decrease) in short-term loans |
|
| 20,348,002 |
|
|
| (12,262,255 | ) | ||
Proceeds from short-term bills payable |
|
| 3,992,197 |
|
|
| - |
| ||
Repayments of short-term bills payable |
|
| (1,000,000 | ) |
|
| - |
| ||
Proceeds from issuance of bonds |
|
| 24,000,000 |
|
|
| - |
| ||
Repayment of bonds |
|
| (21,600,000 | ) |
|
| (8,400,000 | ) | ||
Payments for transaction costs attributable to the issuance of bonds |
|
| (24,921 | ) |
|
| - |
| ||
Repayment of the principal portion of lease liabilities |
|
| (683,072 | ) |
|
| (588,088 | ) | ||
Interest paid |
|
| (977,231 | ) |
|
| (1,188,528 | ) | ||
Guarantee deposits received |
|
| 17,203 |
|
|
| 28,652 |
| ||
Guarantee deposits refunded |
|
| (3,638 | ) |
|
| (2,456 | ) | ||
Cash dividends |
|
| (64,825,951 | ) |
|
| - |
| ||
Increase in non-controlling interests |
|
| - |
|
|
| 30 |
| ||
|
|
|
|
|
|
|
|
| ||
Net cash used in financing activities |
|
| (40,757,411 | ) |
|
| (22,412,645 | ) | ||
|
|
|
|
|
|
|
|
| ||
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS |
|
| 2,099,130 |
|
|
| 1,786,766 |
|
(Continued)
9
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In Thousands of New Taiwan Dollars)
(Reviewed, Not Audited)
|
| Three Months Ended March 31 | ||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS |
| $ | (24,622,107 | ) |
| $ | 67,855,926 |
| ||
|
|
|
|
|
|
|
|
| ||
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD |
|
| 455,399,336 |
|
|
| 577,814,601 |
| ||
|
|
|
|
|
|
|
|
| ||
CASH AND CASH EQUIVALENTS, END OF PERIOD |
| $ | 430,777,229 |
|
| $ | 645,670,527 |
| ||
|
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of the consolidated financial statements.
(Concluded)
10
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
FOR THE THREE MONTHS ENDED MARCH 31, 2020 AND 2019
(Amounts in Thousands of New Taiwan Dollars, Unless Specified Otherwise)
(Reviewed, Not Audited)
1. | GENERAL |
Taiwan Semiconductor Manufacturing Company Limited (TSMC), a Republic of China (R.O.C.) corporation, was incorporated on February 21, 1987. TSMC is a dedicated foundry in the semiconductor industry which engages mainly in the manufacturing, selling, packaging, testing and computer-aided design of integrated circuits and other semiconductor devices and the manufacturing of masks.
On September 5, 1994, TSMC’s shares were listed on the Taiwan Stock Exchange (TWSE). On October 8, 1997, TSMC listed some of its shares of stock on the New York Stock Exchange (NYSE) in the form of American Depositary Shares (ADSs).
The address of its registered office and principal place of business is No. 8, Li-Hsin Rd. 6, Hsinchu Science Park, Taiwan. The principal operating activities of TSMC’s subsidiaries are described in Note 4.
2. | THE AUTHORIZATION OF FINANCIAL STATEMENTS |
The accompanying consolidated financial statements were reported to the Board of Directors and issued on May 12, 2020.
3. | APPLICATION OF NEW AND REVISED INTERNATIONAL FINANCIAL REPORTING STANDARDS |
| a. | Initial application of the amendments to the International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), IFRIC Interpretations (IFRIC), and SIC Interpretations (SIC) (collectively, “IFRSs”) endorsed and issued into effect by the Financial Supervisory Commission (FSC) |
The initial application of the amendments to the IFRSs endorsed and issued into effect by the FSC did not have a significant effect on TSMC and its subsidiaries’ (collectively as the “Company”) accounting policies.
| b. | The IFRSs issued by International Accounting Standards Board (IASB) but not yet endorsed and issued into effect by the FSC |
New, Revised or Amended Standards and Interpretations |
| Effective Date Issued |
|
|
|
Amendments to IFRS 10 and IAS 28 “Sale or Contribution of Assets between an Investor and its Associate or Joint Venture” |
| To be determined by IASB |
Amendments to IAS 1 “Classification of Liabilities as Current or Non-current” |
| January 1, 2022 |
As of the date the accompanying consolidated financial statements were issued, the Company continues in evaluating the impact on its financial position and financial performance as a result of the initial adoption of the aforementioned standards or interpretations. The related impact will be disclosed when the Company completes the evaluation.
11
4. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES |
Except for the following, the accounting policies applied in these consolidated financial statements are consistent with those applied in the consolidated financial statements for the year ended December 31, 2019.
For the convenience of readers, the accompanying consolidated financial statements have been translated into English from the original Chinese version prepared and used in the R.O.C. If there is any conflict between the English version and the original Chinese version or any difference in the interpretation of the two versions, the Chinese-language consolidated financial statements shall prevail.
Statement of Compliance
The accompanying consolidated financial statements have been prepared in conformity with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and IAS 34, “Interim Financial Reporting,” endorsed and issued into effect by the FSC. The consolidated financial statements do not present all the disclosures required for a complete set of annual consolidated financial statements prepared under the IFRSs endorsed and issued into effect by the FSC (collectively, “Taiwan-IFRSs”).
Basis of Consolidation
The basis of preparation and the basis for the consolidated financial statements
The basis of preparation and the basis for the consolidated financial statements applied in these consolidated financial statements are consistent with those applied in the consolidated financial statements for the year ended December 31, 2019.
The subsidiaries in the consolidated financial statements
The detail information of the subsidiaries at the end of reporting period was as follows:
|
|
|
|
|
| Establishment |
| Percentage of Ownership |
|
| ||||
Name of Investor |
| Name of Investee |
| Main Businesses and Products |
| and Operating Location |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 |
| Note |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TSMC |
| TSMC North America |
| Selling and marketing of integrated circuits and other semiconductor devices |
| San Jose, California, U.S.A. |
| 100% |
| 100% |
| 100% |
| - |
|
| TSMC Europe B.V. (TSMC Europe) |
| Customer service and supporting activities |
| Amsterdam, the Netherlands |
| 100% |
| 100% |
| 100% |
| a) |
|
| TSMC Japan Limited (TSMC Japan) |
| Customer service and supporting activities |
| Yokohama, Japan |
| 100% |
| 100% |
| 100% |
| a) |
|
| TSMC Design Technology Japan, Inc. (TSMC JDC) |
| Engineering support activities |
| Yokohama, Japan |
| 100% |
| - |
| - |
| a), b) |
|
| TSMC Korea Limited (TSMC Korea) |
| Customer service and supporting activities |
| Seoul, Korea |
| 100% |
| 100% |
| 100% |
| a) |
|
| TSMC Partners, Ltd. (TSMC Partners) |
| Investing in companies involved in the design, manufacture, and other related business in the semiconductor industry and other investment activities |
| Tortola, British Virgin Islands |
| 100% |
| 100% |
| 100% |
| a) |
|
| TSMC Global, Ltd. (TSMC Global) |
| Investment activities |
| Tortola, British Virgin Islands |
| 100% |
| 100% |
| 100% |
| - |
|
| TSMC China Company Limited (TSMC China) |
| Manufacturing, selling, testing and computer-aided design of integrated circuits and other semiconductor devices |
| Shanghai, China |
| 100% |
| 100% |
| 100% |
| - |
|
| TSMC Nanjing Company Limited (TSMC Nanjing) |
| Manufacturing, selling, testing and computer-aided design of integrated circuits and other semiconductor devices |
| Nanjing, China |
| 100% |
| 100% |
| 100% |
| c) |
|
| VisEra Technologies Company Ltd. (VisEra Tech) |
| Engaged in manufacturing electronic spare parts and in researching, developing, designing, manufacturing, selling, packaging and testing of color filter |
| Hsin-Chu, Taiwan |
| 87% |
| 87% |
| 87% |
| - |
|
| VentureTech Alliance Fund II, L.P. (VTAF II) |
| Investing in new start-up technology companies |
| Cayman Islands |
| 98% |
| 98% |
| 98% |
| a) |
|
| VentureTech Alliance Fund III, L.P. (VTAF III) |
| Investing in new start-up technology companies |
| Cayman Islands |
| 98% |
| 98% |
| 98% |
| a) |
(Continued)
12
|
|
|
|
|
| Establishment |
| Percentage of Ownership |
|
| ||||
Name of Investor |
| Name of Investee |
| Main Businesses and Products |
| and Operating Location |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 |
| Note |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TSMC Partners |
| TSMC Development, Inc. (TSMC Development) |
| Investing in companies involved in the manufacturing related business in the semiconductor industry |
| Delaware, U.S.A. |
| 100% |
| 100% |
| 100% |
| - |
|
| TSMC Technology, Inc. (TSMC Technology) |
| Engineering support activities |
| Delaware, U.S.A. |
| 100% |
| 100% |
| 100% |
| a) |
|
| TSMC Design Technology Canada Inc. (TSMC Canada) |
| Engineering support activities |
| Ontario, Canada |
| 100% |
| 100% |
| 100% |
| a) |
|
| InveStar Semiconductor Development Fund, Inc. (ISDF) |
| Investing in new start-up technology companies |
| Cayman Islands |
| 97% |
| 97% |
| 97% |
| a), d) |
|
| InveStar Semiconductor Development Fund, Inc. (II) LDC. (ISDF II) |
| Investing in new start-up technology companies |
| Cayman Islands |
| 97% |
| 97% |
| 97% |
| a), d) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TSMC Development |
| WaferTech, LLC (WaferTech) |
| Manufacturing, selling and testing of integrated circuits and other semiconductor devices |
| Washington, U.S.A. |
| 100% |
| 100% |
| 100% |
| - |
VTAF III |
| Growth Fund Limited (Growth Fund) |
| Investing in new start-up technology companies |
| Cayman Islands |
| 100% |
| 100% |
| 100% |
| a) |
(Concluded)
| Note a: | This is an immaterial subsidiary for which the consolidated financial statements are not reviewed by the Company’s independent auditors. |
| Note b: | The Company established a subsidiary in Japan in January 2020 to expand the design service center for providing engineering support services to customers. |
| Note c: | Under the investment agreement entered into with the municipal government of Nanjing, China, the Company will make an investment in Nanjing in the amount of approximately US$3 billion to establish a subsidiary operating a 300mm wafer fab with the capacity of 20,000 12-inch wafers per month, and a design service center. |
| Note d: | The subsidiary is under liquidation procedures. |
Retirement Benefits
Pension cost for an interim period is calculated on a year-to-date basis by using the actuarially determined pension cost rate at the end of the prior financial year.
Taxation
Income tax expense represents the sum of the tax currently payable and deferred tax. The interim period income tax expense is accrued using the tax rate that would be applicable to expected total annual earnings, that is, the estimated average annual effective income tax rate applied to the pre-tax income of the interim period.
5. | CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF ESTIMATION AND UNCERTAINTY |
The Company has considered the economic implications of COVID-19 on critical accounting estimates and will continue evaluating the impact on its financial position and financial performance as a result of the pandemic. In addition, the same critical accounting judgments and key sources of estimates and uncertainty have been followed in these consolidated financial statements as were applied in the preparation of the Company’s consolidated financial statements for the year ended December 31, 2019.
13
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
| $ | 425,726,339 |
|
| $ | 452,734,378 |
|
| $ | 643,465,797 |
| ||||
|
| 1,958,260 |
|
|
| 2,188,149 |
|
|
| 1,585,376 |
| ||||
|
| 1,204,342 |
|
|
| 476,809 |
|
|
| 496,779 |
| ||||
|
| 958,576 |
|
|
| - |
|
|
| - |
| ||||
Repurchase agreements collateralized by corporate bonds |
|
| 905,580 |
|
|
| - |
|
|
| - |
| |||
Agency bonds |
|
| 24,132 |
|
|
| - |
|
|
| 122,575 |
| |||
|
|
|
|
|
|
|
|
|
|
|
| ||||
| $ | 430,777,229 |
|
| $ | 455,399,336 |
|
| $ | 645,670,527 |
|
Deposits in banks consisted of highly liquid time deposits that were readily convertible to known amounts of cash and were subject to an insignificant risk of changes in value.
7. | FINANCIAL ASSETS AND LIABILITIES AT FAIR VALUE THROUGH PROFIT OR LOSS |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
Financial assets |
|
|
|
|
|
| |||||||||
|
|
|
|
|
|
| |||||||||
Mandatorily measured at FVTPL |
|
|
|
|
|
| |||||||||
| $ | 1,216,560 |
|
| $ | 162,155 |
|
| $ | 110,740 |
| ||||
|
| 37,693 |
|
|
| 40,925 |
|
|
| 2,973,659 |
| ||||
|
| - |
|
|
| 123,759 |
|
|
| - |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 1,254,253 |
|
| $ | 326,839 |
|
| $ | 3,084,399 |
| ||||
Financial liabilities |
|
|
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Held for trading |
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 980,241 |
|
| $ | 982,349 |
|
| $ | 151,079 |
|
The Company entered into forward exchange contracts to manage exposures due to fluctuations of foreign exchange rates. These forward exchange contracts did not meet the criteria for hedge accounting. Therefore, the Company did not apply hedge accounting treatment for these forward exchange contracts.
Outstanding forward exchange contracts consisted of the following:
|
|
| Contract Amount | |
|
| Maturity Date |
| (In Thousands) |
|
|
|
|
|
March 31, 2020 |
|
|
|
|
|
|
|
|
|
Sell NT$ |
| April 2020 to October 2020 |
| NT$190,511,446 |
Sell JPY |
| April 2020 to May 2020 |
| JPY75,527,269 |
Sell US$ |
| April 2020 to June 2020 |
| US$528,553 |
(Continued)
14
|
|
|
| Contract Amount | |
|
| Maturity Date |
| (In Thousands) | |
|
|
|
|
| |
|
|
|
| ||
|
|
|
|
| |
Sell NT$ |
| January 2020 to June 2020 |
| NT$108,428,027 | |
Sell JPY |
| January 2020 to February 2020 |
| JPY57,471,581 | |
Sell US$ |
| January 2020 to March 2020 |
| US$529,209 | |
|
|
|
|
| |
|
|
|
| ||
|
|
|
|
| |
Sell NT$ |
| April 2019 to May 2019 |
| NT$39,552,305 | |
Sell US$ |
| April 2019 to May 2019 |
| US$352,577 | |
Sell RMB |
| April 2019 |
| RMB651,023 |
(Concluded)
8. | FINANCIAL ASSETS AT FAIR VALUE THROUGH OTHER COMPREHENSIVE INCOME |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
Investments in debt instruments at FVTOCI |
|
|
|
|
|
| |||||||||
| $ | 56,092,287 |
|
| $ | 51,790,045 |
|
| $ | 42,703,270 |
| ||||
|
| 50,881,130 |
|
|
| 51,966,460 |
|
|
| 34,371,268 |
| ||||
|
| 11,127,278 |
|
|
| 12,824,223 |
|
|
| 13,815,264 |
| ||||
|
| 11,118,582 |
|
|
| 10,815,849 |
|
|
| 15,764,847 |
| ||||
|
| 129,219,277 |
|
|
| 127,396,577 |
|
|
| 106,654,649 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Investments in equity instruments at FVTOCI |
|
|
|
|
|
|
|
|
|
|
|
| |||
|
| 4,241,324 |
|
|
| 4,124,337 |
|
|
| 3,837,734 |
| ||||
|
| - |
|
|
| - |
|
|
| 658,556 |
| ||||
|
| 4,241,324 |
|
|
| 4,124,337 |
|
|
| 4,496,290 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 133,460,601 |
|
| $ | 131,520,914 |
|
| $ | 111,150,939 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 129,219,277 |
|
| $ | 127,396,577 |
|
| $ | 107,313,205 |
| ||||
|
| 4,241,324 |
|
|
| 4,124,337 |
|
|
| 3,837,734 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 133,460,601 |
|
| $ | 131,520,914 |
|
| $ | 111,150,939 |
|
These investments in equity instruments are held for medium to long-term purposes and therefore are accounted for as FVTOCI. For dividends recognized from these investments, please refer to Note 23. All the dividends are from investments held at the end of the reporting period.
For the three months ended March 31, 2020, the Company did not divest any equity investments designated at FVTOCI. For the three months ended March 31 2019, as the Company adjusted its investment portfolio, equity investments designated at FVTOCI were divested for NT$98,188 thousand. The related other equity-unrealized gain/loss on financial assets at FVTOCI of NT$95,538 thousand were transferred to decrease retained earnings.
As of March 31, 2020 and 2019, the cumulative loss allowance for expected credit loss of NT$37,525 thousand and NT$29,299 thousand was recognized under investments in debt instruments at FVTOCI, respectively. Refer to Note 30 for information relating to the credit risk management and expected credit loss.
15
9. | FINANCIAL ASSETS AT AMORTIZED COST |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
| $ | 7,715,480 |
|
| $ | 7,651,727 |
|
| $ | 10,950,408 |
| ||||
|
| - |
|
|
| - |
|
|
| 1,097,194 |
| ||||
|
| (2,954 | ) |
|
| (2,929 | ) |
|
| (3,795 | ) | ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 7,712,526 |
|
| $ | 7,648,798 |
|
| $ | 12,043,807 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 302,393 |
|
| $ | 299,884 |
|
| $ | 4,179,386 |
| ||||
|
| 7,410,133 |
|
|
| 7,348,914 |
|
|
| 7,864,421 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 7,712,526 |
|
| $ | 7,648,798 |
|
| $ | 12,043,807 |
|
Refer to Note 30 for information relating to credit risk management and expected credit loss for financial assets at amortized cost.
10. | HEDGING FINANCIAL INSTRUMENTS |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
Financial assets - current |
|
|
|
|
|
| |||||||||
|
|
|
|
|
|
| |||||||||
Fair value hedges |
|
|
|
|
|
| |||||||||
| $ | - |
|
| $ | 22,380 |
|
| $ | - |
| ||||
Cash flow hedges |
|
|
|
|
|
|
|
|
|
|
|
| |||
|
| - |
|
|
| 3,504 |
|
|
| 969 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | - |
|
| $ | 25,884 |
|
| $ | 969 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Financial liabilities - current |
|
|
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Fair value hedges |
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 109,826 |
|
| $ | - |
|
| $ | 57,247 |
| ||||
Cash flow hedges |
|
|
|
|
|
|
|
|
|
|
|
| |||
|
| - |
|
|
| 1,798 |
|
|
| 54,127 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 109,826 |
|
| $ | 1,798 |
|
| $ | 111,374 |
|
Fair value hedge
The Company entered into interest rate futures contracts, which are used to partially hedge against the fair value changes caused by interest rate fluctuation in the Company’s fixed income investments. The hedge ratio is adjusted in response to the changes in the financial market and capped at 100%.
On the basis of economic relationships, the Company expects that the value of the interest rate futures contracts and the value of the hedged financial assets will change in opposite directions in response to movements in interest rates.
16
The main source of hedge ineffectiveness in these hedging relationships is the credit risk of the hedged financial assets, which is not reflected in the fair value of the interest rate futures contracts. No other sources of ineffectiveness emerged from these hedging relationships. Amount of hedge ineffectiveness recognized in profit or loss is classified under other gains and losses.
The following tables summarize the information relating to the hedges of interest rate risk.
March 31, 2020
| Contract Amount (US$ in Thousands) |
| Maturity | |||
|
|
|
|
| ||
US treasury bonds interest rate futures contracts |
|
| US$ 124,300 |
|
| June 2020 |
| Asset Carrying Amount |
| Accumulated Amount of Fair Value Hedge Adjustments | |||||
|
|
|
|
| ||||
Financial assets at FVTOCI |
|
| $ 9,023,238 |
|
|
| $ 109,826 |
|
December 31, 2019
| Contract Amount (US$ in Thousands) |
| Maturity | |||
|
|
|
|
| ||
US treasury bonds interest rate futures contracts |
|
| US$ 122,200 |
|
| March 2020 |
| Asset Carrying Amount |
| Accumulated Amount of Fair Value Hedge Adjustments | |||||
|
|
|
|
| ||||
Financial assets at FVTOCI |
|
| $ 7,364,727 |
|
|
| $ (22,380 | ) |
March 31, 2019
| Contract Amount (US$ in Thousands) |
| Maturity | |||
|
|
|
|
| ||
US treasury bonds interest rate futures contracts |
|
| US$ 140,600 |
|
| June 2019 |
| Asset Carrying Amount |
| Accumulated Amount of Fair Value Hedge Adjustments | |||||
|
|
|
|
| ||||
|
|
|
|
| ||||
Financial assets at FVTOCI |
|
| $ 18,404,220 |
|
|
| $ 128,179 |
|
17
The effect for the three months ended March 31, 2020 and 2019 is detailed below:
| Increase (Decrease) in Value Used for Calculating Hedge Ineffectiveness | |||||||||
|
| Three Months Ended March 31 | ||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
Hedging Instruments |
|
|
|
| ||||||
| $ | (345,536 | ) |
| $ | (125,581 | ) | |||
Hedged Items |
|
|
|
|
|
|
|
| ||
|
| 345,536 |
|
|
| 137,339 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | - |
|
| $ | 11,758 |
|
Cash flow hedge
The Company entered into forward exchange contracts to partially hedge foreign exchange rate risks associated with certain highly probable forecast transactions (capital expenditures). The hedge ratio is adjusted in response to the changes in the financial market and capped at 100%. The forward exchange contracts have maturities of 12 months or less.
On the basis of economic relationships, the Company expects that the value of forward exchange contracts and the value of hedged transactions will change in opposite directions in response to movements in foreign exchange rates.
The main source of hedge ineffectiveness in these hedging relationships is driven by the effect of the counterparty’s own credit risk on the fair value of forward exchange contracts. No other sources of ineffectiveness emerged from these hedging relationships. For the three months ended March 31, 2020 and 2019, refer to Note 21(d) for gain or loss arising from changes in the fair value of hedging instruments and the amount transferred to initial carrying amount of hedged items.
The following tables summarize the information relating to the hedges for foreign currency risk.
December 31, 2019
| Contract Amount (In Thousands) |
| Maturity |
| Balance in Other Equity (Continuing Hedges) | |||||
|
|
|
|
|
|
| ||||
Forward exchange contracts |
|
| Sell NT$ 1,342,392 |
|
| January 2020 |
|
| $ (3,820 | ) |
March 31, 2019
| Contract Amount (In Thousands) |
| Maturity |
| Balance in Other Equity (Continuing Hedges) | |||||
|
|
|
|
|
|
| ||||
Forward exchange contracts |
|
| Sell NT$ 8,081,167 |
|
| April 2019 to May 2019 |
|
| $ (58,513 | ) |
18
The effect for the three months ended March 31, 2020 and 2019 is detailed below:
| Increase Ineffectiveness | |||||||||
|
| Three Months Ended March 31 | ||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
Hedging Instruments |
|
|
|
| ||||||
| $ | (42,749 | ) |
| $ | (94,548 | ) | |||
|
|
|
|
|
|
|
|
| ||
Hedged Items |
|
|
|
|
|
|
|
| ||
| $ | 42,749 |
|
| $ | 94,548 |
|
11. | NOTES AND ACCOUNTS RECEIVABLE, NET |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
At amortized cost |
|
|
|
|
|
| |||||||||
| $ | 142,491,942 |
|
| $ | 135,978,049 |
|
| $ | 103,904,657 |
| ||||
|
| (330,882 | ) |
|
| (325,325 | ) |
|
| (11,457 | ) | ||||
|
| 142,161,060 |
|
|
| 135,652,724 |
|
|
| 103,893,200 |
| ||||
|
| 3,831,684 |
|
|
| 3,255,865 |
|
|
| 2,537,949 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 145,992,744 |
|
| $ | 138,908,589 |
|
| $ | 106,431,149 |
|
The Company signed a contract with the bank to sell certain accounts receivable without recourse and transaction cost required. These accounts receivable are classified as at FVTOCI because they are held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets.
In principle, the payment term granted to customers is due 30 days from the invoice date or 30 days from the end of the month when the invoice is issued. Aside from recognizing impairment loss for credit-impaired accounts receivable, the Company recognizes loss allowance based on the expected credit loss ratio of customers by different risk levels with consideration of factors of historical loss ratios and customers’ financial conditions, competitiveness and business outlook. For accounts receivable past due over 90 days without collaterals or guarantees, the Company recognizes loss allowance at full amount.
Aging analysis of notes and accounts receivable
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
| $ | 133,453,936 |
|
| $ | 126,134,762 |
|
| $ | 95,582,954 |
| ||||
Past due |
|
|
|
|
|
|
|
|
|
|
|
| |||
|
| 12,838,067 |
|
|
| 13,082,080 |
|
|
| 10,500,221 |
| ||||
|
| 21,279 |
|
|
| 12,794 |
|
|
| 205,899 |
| ||||
|
| 9,814 |
|
|
| 1,033 |
|
|
| 116,953 |
| ||||
|
| 530 |
|
|
| 3,245 |
|
|
| 36,579 |
| ||||
|
| (330,882 | ) |
|
| (325,325 | ) |
|
| (11,457 | ) | ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 145,992,744 |
|
| $ | 138,908,589 |
|
| $ | 106,431,149 |
|
19
All of the Company’s accounts receivable classified as at FVTOCI were not past due.
Movements of the loss allowance for accounts receivable
| Three Months Ended March 31 | |||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
| $ | 325,325 |
|
| $ | 7,253 |
| |||
|
| 5,631 |
|
|
| 4,204 |
| |||
|
| (74 | ) |
|
| - |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 330,882 |
|
| $ | 11,457 |
|
For the three months ended March 31, 2020 and 2019, the changes in loss allowance were mainly due to the variations in the balance of accounts receivable of different risk levels.
12. | INVENTORIES |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
| $ | 5,917,835 |
|
| $ | 8,924,541 |
|
| $ | 12,243,089 |
| ||||
|
| 50,346,660 |
|
|
| 51,969,105 |
|
|
| 75,641,271 |
| ||||
|
| 15,300,850 |
|
|
| 16,552,275 |
|
|
| 16,060,259 |
| ||||
|
| 6,712,489 |
|
|
| 5,535,275 |
|
|
| 4,737,763 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 78,277,834 |
|
| $ | 82,981,196 |
|
| $ | 108,682,382 |
|
Reversal of write-down of inventories resulting from the increase in net realizable value was included in the cost of revenue, as illustrated below:
The aforementioned reversal of write-down of inventories excludes wafer contamination losses. Please refer to related losses in Note 35.
20
13. | INVESTMENTS ACCOUNTED FOR USING EQUITY METHOD |
Associates consisted of the following:
|
|
| Place of |
| Carrying Amount |
| % of Ownership and Voting Rights Held by the Company | ||||||||||||||||||
Name of Associate |
| Principal Activities |
| Incorporation and Operation |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
| Manufacturing, selling, packaging, testing and computer-aided design of integrated circuits and other semiconductor devices and the manufacturing and design service of masks |
| Hsinchu, Taiwan |
| $ | 9,339,016 |
|
| $ | 9,027,572 |
|
| $ | 9,402,933 |
|
| 28% |
| 28% |
| 28% | ||||
| Manufacturing and selling of integrated circuits and other semiconductor devices |
| Singapore |
|
| 6,784,537 |
|
|
| 6,502,174 |
|
|
| 5,912,533 |
|
| 39% |
| 39% |
| 39% | ||||
| Wafer level chip size packaging and wafer level post passivation interconnection service |
| Taoyuan, Taiwan |
|
| 1,912,235 |
|
|
| 1,846,145 |
|
|
| 1,633,475 |
|
| 41% |
| 41% |
| 41% | ||||
| Researching, developing, manufacturing, testing and marketing of integrated circuits |
| Hsinchu, Taiwan |
|
| 1,310,591 |
|
|
| 1,284,377 |
|
|
| 1,359,341 |
|
| 35% |
| 35% |
| 35% | ||||
| Manufacturing of electronic parts, wholesaling and retailing of electronic materials, and researching, developing and testing of RFID |
| New Taipei, Taiwan |
|
| 35,381 |
|
|
| 38,520 |
|
|
| 28,176 |
|
| 28% |
| 28% |
| 30% | ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
|
|
|
| $ | 19,381,760 |
|
| $ | 18,698,788 |
|
| $ | 18,336,458 |
|
|
|
|
|
|
|
The market prices of the investments accounted for using the equity method in publicly traded stocks calculated by the closing price at the end of the reporting period are summarized as follows. The closing price represents the quoted price in active markets, the level 1 fair value measurement.
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | |||||||
|
|
|
|
|
|
| ||||||
| $ | 27,528,453 |
|
| $ | 36,812,923 |
|
| $ | 30,870,862 |
| |
| $ | 8,567,222 |
|
| $ | 11,251,774 |
|
| $ | 9,594,355 |
| |
| $ | 6,565,634 |
|
| $ | 8,958,195 |
|
| $ | 4,451,277 |
|
14. | PROPERTY, PLANT AND EQUIPMENT |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
| $ | 1,438,171,730 |
|
| $ | 1,352,313,861 |
|
| $ | 1,107,570,228 |
| ||||
|
| 43,555 |
|
|
| 63,544 |
|
|
| 81,588 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 1,438,215,285 |
|
| $ | 1,352,377,405 |
|
| $ | 1,107,651,816 |
|
21
| Land and Land Improvements |
| Buildings |
| Machinery and Equipment |
| Office Equipment |
| Equipment under Installation and Construction in Progress |
| Total | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
Cost |
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
| $ | 3,991,798 |
|
| $ | 438,075,063 |
|
| $ | 2,886,622,968 |
|
| $ | 54,611,364 |
|
| $ | 528,295,086 |
|
| $ | 3,911,596,279 |
| |||||||
|
| - |
|
|
| 5,510,376 |
|
|
| 66,788,413 |
|
|
| 1,948,267 |
|
|
| 78,315,261 |
|
|
| 152,562,317 |
| |||||||
|
| - |
|
|
| (16,162 | ) |
|
| (1,122,817 | ) |
|
| (76,319 | ) |
|
| - |
|
|
| (1,215,298 | ) | |||||||
|
| - |
|
|
| 22,323 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 22,323 |
| |||||||
|
| 6,527 |
|
|
| (229,882 | ) |
|
| (42,273 | ) |
|
| (16,586 | ) |
|
| (66,226 | ) |
|
| (348,440 | ) | |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
| $ | 3,998,325 |
|
| $ | 443,361,718 |
|
| $ | 2,952,246,291 |
|
| $ | 56,466,726 |
|
| $ | 606,544,121 |
|
| $ | 4,062,617,181 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Accumulated depreciation and impairment |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
| $ | 538,690 |
|
| $ | 243,059,390 |
|
| $ | 2,278,265,943 |
|
| $ | 37,418,395 |
|
| $ | - |
|
| $ | 2,559,282,418 |
| |||||||
|
| 397 |
|
|
| 6,564,913 |
|
|
| 58,233,131 |
|
|
| 1,553,672 |
|
|
| - |
|
|
| 66,352,113 |
| |||||||
|
| - |
|
|
| (14,167 | ) |
|
| (1,111,272 | ) |
|
| (76,052 | ) |
|
| - |
|
|
| (1,201,491 | ) | |||||||
|
| - |
|
|
| 8,196 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 8,196 |
| |||||||
|
| 4,510 |
|
|
| (81,532 | ) |
|
| 87,941 |
|
|
| (6,704 | ) |
|
| - |
|
|
| 4,215 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
| $ | 543,597 |
|
| $ | 249,536,800 |
|
| $ | 2,335,475,743 |
|
| $ | 38,889,311 |
|
| $ | - |
|
| $ | 2,624,445,451 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Carrying amounts at |
| $ | 3,453,108 |
|
| $ | 195,015,673 |
|
| $ | 608,357,025 |
|
| $ | 17,192,969 |
|
| $ | 528,295,086 |
|
| $ | 1,352,313,861 |
| ||||||
March 31, 2020 |
| $ | 3,454,728 |
|
| $ | 193,824,918 |
|
| $ | 616,770,548 |
|
| $ | 17,577,415 |
|
| $ | 606,544,121 |
|
| $ | 1,438,171,730 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
Cost |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Balance at January 1, 2019 |
| $ | 4,011,353 |
|
| $ | 418,151,675 |
|
| $ | 2,728,760,127 |
|
| $ | 48,382,279 |
|
| $ | 172,910,989 |
|
| $ | 3,372,216,423 |
| ||||||
Additions |
|
| - |
|
|
| 11,387,156 |
|
|
| 27,140,490 |
|
|
| 2,227,282 |
|
|
| 68,891,426 |
|
|
| 109,646,354 |
| ||||||
Disposals or retirements |
|
| - |
|
|
| - |
|
|
| (2,041,731 | ) |
|
| (164,929 | ) |
|
| - |
|
|
| (2,206,660 | ) | ||||||
Transfers from right-of-use assets |
|
| - |
|
|
| - |
|
|
| 619,779 |
|
|
| - |
|
|
| - |
|
|
| 619,779 |
| ||||||
Effect of disposal of subsidiary |
|
| - |
|
|
| - |
|
|
| - |
|
|
| (508 | ) |
|
| - |
|
|
| (508 | ) | ||||||
Effect of exchange rate changes |
|
| 2,340 |
|
|
| 746,366 |
|
|
| 2,770,566 |
|
|
| 61,095 |
|
|
| (82,251 | ) |
|
| 3,498,116 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Balance at March 31, 2019 |
| $ | 4,013,693 |
|
| $ | 430,285,197 |
|
| $ | 2,757,249,231 |
|
| $ | 50,505,219 |
|
| $ | 241,720,164 |
|
| $ | 3,483,773,504 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Accumulated depreciation and impairment |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Balance at January 1, 2019 |
| $ | 550,575 |
|
| $ | 217,899,243 |
|
| $ | 2,049,278,908 |
|
| $ | 32,525,129 |
|
| $ | - |
|
| $ | 2,300,253,855 |
| ||||||
Additions |
|
| 408 |
|
|
| 6,415,223 |
|
|
| 67,586,999 |
|
|
| 1,517,848 |
|
|
| - |
|
|
| 75,520,478 |
| ||||||
Disposals or retirements |
|
| - |
|
|
| - |
|
|
| (1,552,273 | ) |
|
| (164,782 | ) |
|
| - |
|
|
| (1,717,055 | ) | ||||||
Transfers from right-of-use assets |
|
| - |
|
|
| - |
|
|
| 20,659 |
|
|
| - |
|
|
| - |
|
|
| 20,659 |
| ||||||
Reversal of impairment |
|
| - |
|
|
| - |
|
|
| (301,384 | ) |
|
| - |
|
|
| - |
|
|
| (301,384 | ) | ||||||
Effect of disposal of subsidiary |
|
| - |
|
|
| - |
|
|
| - |
|
|
| (508 | ) |
|
| - |
|
|
| (508 | ) | ||||||
Effect of exchange rate changes |
|
| 1,611 |
|
|
| 327,550 |
|
|
| 2,075,968 |
|
|
| 22,102 |
|
|
| - |
|
|
| 2,427,231 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Balance at March 31, 2019 |
| $ | 552,594 |
|
| $ | 224,642,016 |
|
| $ | 2,117,108,877 |
|
| $ | 33,899,789 |
|
| $ | - |
|
| $ | 2,376,203,276 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Carrying amounts at |
| $ | 3,460,778 |
|
| $ | 200,252,432 |
|
| $ | 679,481,219 |
|
| $ | 15,857,150 |
|
| $ | 172,910,989 |
|
| $ | 1,071,962,568 |
| ||||||
Carrying amounts at |
| $ | 3,461,099 |
|
| $ | 205,643,181 |
|
| $ | 640,140,354 |
|
| $ | 16,605,430 |
|
| $ | 241,720,164 |
|
| $ | 1,107,570,228 |
|
The significant part of the Company’s buildings includes main plants, mechanical and electrical power equipment and clean rooms, and the related depreciation is calculated using the estimated useful lives of 20 years, 10 years and 10 years, respectively.
In the first quarter of 2019, the Company recognized a reversal of impairment loss of NT$301,384 thousand due to redeployment of certain idle machinery and equipment. Such reversal of impairment loss was recognized in other operating income and expenses.
22
| b. | Assets subject to operating leases |
|
|
| Buildings | ||||
|
|
|
|
| |||
Cost |
|
|
|
| |||
|
|
|
|
| |||
|
|
| $ | 562,610 |
| ||
|
|
|
| (22,323 | ) | ||
|
|
|
|
|
|
| |
|
|
| $ | 540,287 |
| ||
|
|
|
|
|
|
| |
Accumulated depreciation |
|
|
|
|
|
| |
|
|
|
|
|
|
| |
|
|
| $ | 499,066 |
| ||
|
|
|
| 5,862 |
| ||
|
|
|
| (8,196 | ) | ||
|
|
|
|
|
|
| |
|
|
| $ | 496,732 |
| ||
|
|
|
|
|
|
| |
Carrying amounts at January 1, 2020 |
|
|
| $ | 63,544 |
| |
|
|
| $ | 43,555 |
| ||
|
|
|
|
|
|
| |
Cost |
|
|
|
|
|
| |
|
|
|
|
|
|
| |
Balance at January 1, 2019 |
|
|
| $ | 562,610 |
| |
|
|
|
|
|
|
| |
Balance at March 31, 2019 |
|
|
| $ | 562,610 |
| |
|
|
|
|
|
|
| |
Accumulated depreciation |
|
|
|
|
|
| |
|
|
|
|
|
|
| |
Balance at January 1, 2019 |
|
|
| $ | 474,899 |
| |
Additions |
|
|
|
| 6,123 |
| |
|
|
|
|
|
|
| |
Balance at March 31, 2019 |
|
|
| $ | 481,022 |
| |
|
|
|
|
|
|
| |
Carrying amounts at January 1, 2019 |
|
|
| $ | 87,711 |
| |
Carrying amounts at March 31, 2019 |
|
|
| $ | 81,588 |
|
Operating leases relate to leases of buildings with lease terms between 1 to 5 years. The lessees do not have purchase options to acquire the assets at the expiry of the lease periods.
The maturity analysis of operating lease payments receivable for the buildings is as follows:
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
| $ | 17,587 |
|
| $ | 18,450 |
|
| $ | 29,155 |
| ||||
|
| 16,992 |
|
|
| 16,992 |
|
|
| 16,992 |
| ||||
|
| 12,744 |
|
|
| 16,992 |
|
|
| 16,992 |
| ||||
|
| - |
|
|
| - |
|
|
| 12,744 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 47,323 |
|
| $ | 52,434 |
|
| $ | 75,883 |
|
23
15.LEASE ARRANGEMENTS
| a. | Right-of-use assets |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
Carrying amounts |
|
|
|
|
|
| |||||||||
|
|
|
|
|
|
| |||||||||
| $ | 18,647,675 |
|
| $ | 14,064,036 |
|
| $ | 14,838,235 |
| ||||
|
| 2,549,108 |
|
|
| 2,351,809 |
|
|
| 2,505,993 |
| ||||
|
| 484,880 |
|
|
| 775,809 |
|
|
| 1,648,596 |
| ||||
|
| 38,985 |
|
|
| 40,748 |
|
|
| 50,730 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 21,720,648 |
|
| $ | 17,232,402 |
|
| $ | 19,043,554 |
|
| b. | Lease liabilities |
Ranges of discount rates for lease liabilities are as follows:
|
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 |
|
|
|
|
|
|
|
Land |
| 0.62%-2.14% |
| 0.67%-2.14% |
| 0.71%-2.14% |
Buildings |
| 0.69%-3.88% |
| 0.67%-3.88% |
| 0.71%-3.88% |
Machinery and equipment |
| 3.24% |
| 3.24% |
| 3.24% |
Office equipment |
| 0.64%-3.88% |
| 0.64%-3.88% |
| 0.71%-3.88% |
24
| c. | Material terms of right-of-use assets |
The Company leases land and buildings mainly for the use of plants and offices with lease terms of 1 to 36 years. The lease contracts for land located in the R.O.C. specify that lease payments will be adjusted every 2 years on the basis of changes in announced land value prices. The Company does not have purchase options to acquire the leasehold land and buildings at the end of the lease terms.
The Company leases machinery and equipment for use in operation with lease terms of 2 years. The Company has purchase options to acquire leasehold machinery and equipment at the end of the lease terms.
| d. | Subleases of right-of-use assets |
The Company subleases its right-of-use assets for buildings under operating leases with lease terms of 1 to 5 years.
The maturity analysis of lease payments receivable under operating subleases is as follows:
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
| $ | 56,523 |
|
| $ | 58,569 |
|
| $ | 48,895 |
| ||||
|
| - |
|
|
| 1,885 |
|
|
| 37 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 56,523 |
|
| $ | 60,454 |
|
| $ | 48,932 |
|
| e. | Other lease information |
|
| Three Months Ended March 31 | ||||||
|
| 2020 |
| 2019 | ||||
|
|
|
| |||||
| $ | 968,113 |
|
| $ | 1,447,573 |
| |
| $ | 86 |
|
| $ | 204 |
| |
Expenses relating to variable lease payments not included in the measurement of lease liabilities |
| $ | 47,845 |
|
| $ | 50,658 |
|
16. | INTANGIBLE ASSETS |
| Goodwill |
| Technology License Fees |
| Software and System Design Costs |
| Patent and Others |
|
Total | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Cost |
|
|
|
|
|
|
|
|
|
| |||||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
| $ | 5,693,376 |
|
| $ | 15,854,951 |
|
| $ | 33,024,010 |
|
| $ | 8,302,996 |
|
| $ | 62,875,333 |
| ||||||
|
| - |
|
|
| 4,927,290 |
|
|
| 373,644 |
|
|
| 2,716,819 |
|
|
| 8,017,753 |
| ||||||
|
| - |
|
|
| - |
|
|
| (48,828 | ) |
|
| - |
|
|
| (48,828 | ) | ||||||
|
| 34,083 |
|
|
| (3,794 | ) |
|
| (4,777 | ) |
|
| (383 | ) |
|
| 25,129 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
| $ | 5,727,459 |
|
| $ | 20,778,447 |
|
| $ | 33,344,049 |
|
| $ | 11,019,432 |
|
| $ | 70,869,387 |
|
(Continued)
25
| Goodwill |
| Technology License Fees |
| Software and System Design Costs |
| Patent and Others |
|
Total | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Accumulated amortization and impairment |
|
|
|
|
|
|
|
|
|
| |||||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
| $ | - |
|
| $ | 9,823,770 |
|
| $ | 26,502,067 |
|
| $ | 5,896,468 |
|
| $ | 42,222,305 |
| ||||||
|
| - |
|
|
| 367,942 |
|
|
| 926,104 |
|
|
| 176,690 |
|
|
| 1,470,736 |
| ||||||
|
| - |
|
|
| - |
|
|
| (48,828 | ) |
|
| - |
|
|
| (48,828 | ) | ||||||
|
| - |
|
|
| (3,795 | ) |
|
| (2,826 | ) |
|
| (276 | ) |
|
| (6,897 | ) | ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
| $ | - |
|
| $ | 10,187,917 |
|
| $ | 27,376,517 |
|
| $ | 6,072,882 |
|
| $ | 43,637,316 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Carrying amounts at January 1, 2020 |
| $ | 5,693,376 |
|
| $ | 6,031,181 |
|
| $ | 6,521,943 |
|
| $ | 2,406,528 |
|
| $ | 20,653,028 |
| |||||
| $ | 5,727,459 |
|
| $ | 10,590,530 |
|
| $ | 5,967,532 |
|
| $ | 4,946,550 |
|
| $ | 27,232,071 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Cost |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Balance at January 1, 2019 |
| $ | 5,795,488 |
|
| $ | 10,974,458 |
|
| $ | 29,594,483 |
|
| $ | 7,656,524 |
|
| $ | 54,020,953 |
| |||||
Additions |
|
| - |
|
|
| 899,935 |
|
|
| 1,398,798 |
|
|
| 7,802 |
|
|
| 2,306,535 |
| |||||
Disposals or retirements |
|
| - |
|
|
| - |
|
|
| (11,122 | ) |
|
| - |
|
|
| (11,122 | ) | |||||
Effect of exchange rate changes |
|
| 12,221 |
|
|
| 861 |
|
|
| 11,246 |
|
|
| 1,318 |
|
|
| 25,646 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Balance at March 31, 2019 |
| $ | 5,807,709 |
|
| $ | 11,875,254 |
|
| $ | 30,993,405 |
|
| $ | 7,665,644 |
|
| $ | 56,342,012 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Accumulated amortization and impairment |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Balance at January 1, 2019 |
| $ | - |
|
| $ | 8,756,005 |
|
| $ | 23,023,498 |
|
| $ | 5,239,313 |
|
| $ | 37,018,816 |
| |||||
Additions |
|
| - |
|
|
| 260,444 |
|
|
| 921,248 |
|
|
| 173,644 |
|
|
| 1,355,336 |
| |||||
Disposals or retirements |
|
| - |
|
|
| - |
|
|
| (11,122 | ) |
|
| - |
|
|
| (11,122 | ) | |||||
Effect of exchange rate changes |
|
| - |
|
|
| 861 |
|
|
| 3,549 |
|
|
| 555 |
|
|
| 4,965 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Balance at March 31, 2019 |
| $ | - |
|
| $ | 9,017,310 |
|
| $ | 23,937,173 |
|
| $ | 5,413,512 |
|
| $ | 38,367,995 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Carrying amounts at January 1, 2019 |
| $ | 5,795,488 |
|
| $ | 2,218,453 |
|
| $ | 6,570,985 |
|
| $ | 2,417,211 |
|
| $ | 17,002,137 |
| |||||
Carrying amounts at March 31, 2019 |
| $ | 5,807,709 |
|
| $ | 2,857,944 |
|
| $ | 7,056,232 |
|
| $ | 2,252,132 |
|
| $ | 17,974,017 |
|
The Company’s goodwill has been tested for impairment at the end of the annual reporting period and the recoverable amount is determined based on the value in use. The value in use was calculated based on the cash flow forecast from the financial budgets covering the future five-year period, and the Company used annual discount rate of 8.0% in its test of impairment as of December 31, 2019 to reflect the relevant specific risk in the cash-generating unit.
17. | SHORT-TERM LOANS |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
Unsecured loans |
|
|
|
|
|
| |||||||||
| $ | 139,310,384 |
|
| $ | 118,522,290 |
|
| $ | 76,592,550 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
Original loan content |
|
|
|
|
|
|
|
|
|
|
|
| |||
US$ (in thousands) |
| $ | 1,360,000 |
|
| $ | 2,370,000 |
|
| $ | 2,265,000 |
| |||
EUR (in thousands) |
|
| 2,944,000 |
|
|
| 1,410,000 |
|
|
| 195,000 |
| |||
Annual interest rate |
|
| 0.00%-1.60% |
|
|
| 0.01%-2.22% |
|
|
| 0.01%-2.87% |
| |||
Maturity date |
|
| Due by May 2020 |
|
|
| Due by May 2020 |
|
|
| Due by April 2019 |
|
26
|
|
| March 31, 2020 | ||||
|
|
|
|
| |||
|
|
| $ | 3,000,000 |
| ||
|
|
|
| (7,142 | ) | ||
|
|
|
|
|
|
| |
|
|
| $ | 2,992,858 |
| ||
|
|
|
|
|
|
| |
Annual interest rate |
|
|
|
| 0.50%-0.52% |
|
19. | BONDS PAYABLE |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
| $ | 59,300,000 |
|
| $ | 56,900,000 |
|
| $ | 83,400,000 |
| ||||
|
| (24,852 | ) |
|
| - |
|
|
| - |
| ||||
|
| (12,800,000 | ) |
|
| (31,800,000 | ) |
|
| (48,100,000 | ) | ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 46,475,148 |
|
| $ | 25,100,000 |
|
| $ | 35,300,000 |
|
The Company issued domestic unsecured bonds in the first quarter of 2020, which amounted to NT$24,000,000 thousand. The major terms are as follows:
Issuance |
| Tranche |
| Issuance Period |
| Total Amount |
| Coupon Rate |
| Repayment and Interest Payment | |||||||
|
|
|
|
|
|
|
|
|
|
| |||||||
109-1 |
| A |
|
| March 2020 to March 2025 |
|
| $ | 3,000,000 |
|
|
| 0.58% |
|
| Bullet repayment; interest payable annually | |
|
| B |
|
| March 2020 to March 2027 |
|
|
| 10,500,000 |
|
|
| 0.62% |
|
| The same as above | |
|
| C |
|
| March 2020 to March 2030 |
|
|
| 10,500,000 |
|
|
| 0.64% |
|
| The same as above |
20. | Guarantee deposits |
27
Some of guarantee deposits were refunded to customers by offsetting related accounts receivable.
21. | EQUITY |
| a. | Capital stock |
|
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | |||||||||
|
|
|
|
|
|
| |||||||||
Authorized shares (in thousands) |
|
| 28,050,000 |
|
|
| 28,050,000 |
|
|
| 28,050,000 |
| |||
Authorized capital |
| $ | 280,500,000 |
|
| $ | 280,500,000 |
|
| $ | 280,500,000 |
| |||
Issued and paid shares (in thousands) |
|
| 25,930,380 |
|
|
| 25,930,380 |
|
|
| 25,930,380 |
| |||
Issued capital |
| $ | 259,303,805 |
|
| $ | 259,303,805 |
|
| $ | 259,303,805 |
|
A holder of issued common shares with par value of NT$10 per share is entitled to vote and to receive dividends.
The authorized shares include 500,000 thousand shares allocated for the exercise of employee stock options.
As of March 31, 2020, 1,065,091 thousand ADSs of TSMC were traded on the NYSE. The number of common shares represented by the ADSs was 5,325,454 thousand shares (one ADS represents five common shares).
| b. | Capital surplus |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
| $ | 24,184,939 |
|
| $ | 24,184,939 |
|
| $ | 24,184,939 |
| ||||
|
| 22,804,510 |
|
|
| 22,804,510 |
|
|
| 22,804,510 |
| ||||
|
| 8,892,847 |
|
|
| 8,892,847 |
|
|
| 8,892,847 |
| ||||
|
| 121,843 |
|
|
| 121,843 |
|
|
| 121,843 |
| ||||
|
| 302,310 |
|
|
| 302,234 |
|
|
| 287,206 |
| ||||
|
| 33,336 |
|
|
| 33,336 |
|
|
| 29,343 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 56,339,785 |
|
| $ | 56,339,709 |
|
| $ | 56,320,688 |
|
Under the relevant laws, the capital surplus generated from donations and the excess of the issuance price over the par value of capital stock (including the stock issued for new capital, mergers and convertible bonds) may be used to offset a deficit; in addition, when the Company has no deficit, such capital surplus may be distributed as cash dividends or stock dividends up to a certain percentage of TSMC’s paid-in capital. The capital surplus from share of changes in equities of subsidiaries and associates and dividend of a claim extinguished by a prescription may be used to offset a deficit; however, when generated from issuance of restricted shares for employees, such capital surplus may not be used for any purpose.
| c. | Retained earnings and dividend policy |
The amendments to TSMC’s Articles of Incorporation had been approved by TSMC’s shareholders in its meeting held on June 5, 2019, which stipulate that earnings distribution may be made on a quarterly basis after the close of each quarter. Distribution of earnings by way of cash dividends should be approved by TSMC’s Board of Directors and reported to TSMC’s shareholders in its meeting.
28
TSMC’s amended Articles of Incorporation provide that, when allocating earnings, TSMC shall first estimate and reserve the taxes to be paid, offset its losses, set aside a legal capital reserve at 10% of the remaining earnings (until the accumulated legal capital reserve equals TSMC’s paid-in capital), then set aside a special capital reserve in accordance with relevant laws or regulations or as requested by the authorities in charge. Any balance left over shall be allocated according to relevant laws and the TSMC’s Articles of Incorporation.
TSMC’s Articles of Incorporation also provide that profits of TSMC may be distributed by way of cash dividend and/or stock dividend. However, distribution of earnings shall be made preferably by way of cash dividend. Distribution of earnings may also be made by way of stock dividend, provided that the ratio for stock dividend shall not exceed 50% of the total distribution.
The reserve may be used to offset a deficit, or be distributed as dividends in cash or stocks for the portion in excess of 25% of the paid-in capital if the Company incurs no loss.
Pursuant to existing regulations, the Company is required to set aside additional special capital reserve equivalent to the net debit balance of the other components of stockholders’ equity, such as the accumulated balance of foreign currency translation reserve, unrealized valuation gain or loss from fair value through other comprehensive income financial assets, unrealized valuation gain or loss from available-for-sale financial assets, gain or loss from changes in fair value of hedging instruments in cash flow hedges, etc. For the subsequent decrease in the deduction amount to stockholders’ equity, any special reserve appropriated may be reversed to the extent that the net debit balance reverses.
The appropriation of 2018 earnings has been approved by TSMC’s shareholders in its meeting held on June 5, 2019. The appropriation and cash dividends per share were as follows:
|
| Appropriation of Earnings |
| Cash Dividends Per Share (NT$) | ||||
|
|
|
|
| ||||
Legal capital reserve |
| $ | 35,113,088 |
|
|
| ||
Special capital reserve |
| $ | (11,459,458 | ) |
|
| ||
Cash dividends to shareholders |
| $ | 207,443,044 |
|
| $ | 8.0 |
|
The appropriations of 2019 quarterly earnings have been approved by TSMC’s Board of Directors in its meeting. The appropriations and cash dividends per share were as follows:
|
| Fourth Quarter |
| Third Quarter |
| Second Quarter |
| First Quarter | ||||||||
Resolution Date of TSMC’s |
| of 2019 |
| of 2019 |
| of 2019 |
| of 2019 | ||||||||
Board of Directors in its meeting |
| February 11, 2020 |
| November 12, 2019 |
| August 13, 2019 |
| June 5, 2019 | ||||||||
|
|
|
|
|
|
|
|
| ||||||||
Special capital reserve |
| $ | 16,893,073 |
|
| $ | 3,289,166 |
|
| $ | (3,338,190 | ) |
| $ | (4,723,939 | ) |
Cash dividends to shareholders |
| $ | 64,825,951 |
|
| $ | 64,825,951 |
|
| $ | 64,825,951 |
|
| $ | 51,860,761 |
|
Cash dividends per share (NT$) |
| $ | 2.5 |
|
| $ | 2.5 |
|
| $ | 2.5 |
|
| $ | 2.0 |
|
The special capital reserve for 2019 is to be presented for approval in the TSMC’s shareholders’ meeting to be held on June 9, 2020 (expected).
29
The appropriation of 2020 quarterly earnings has been approved by TSMC’s Board of Directors in its meeting. The appropriation and cash dividends per share were as follows:
|
|
|
| First Quarter of 2020 | ||
Resolution Date of TSMC’s Board of Directors in its meeting |
|
|
| May 12, 2020 | ||
|
|
|
|
| ||
Special capital reserve |
|
|
| $ | (2,694,841 | ) |
Cash dividends to shareholders |
|
|
| $ | 64,825,951 |
|
Cash dividends per share (NT$) |
|
|
| $ | 2.5 |
|
| d. | Others |
Changes in others were as follows:
| Three Months Ended March 31, 2019 | ||||||||||||||||||||||||
|
| Foreign Currency Translation Reserve |
| Unrealized Gain (Loss) on Financial Assets at FVTOCI |
| Gain (Loss) on Hedging Instruments |
| Unearned Stock-Based Employee Compensation |
| Total | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Balance, beginning of period |
| $ | (12,042,347 | ) |
| $ | (3,429,324 | ) |
| $ | 23,601 |
|
| $ | (1,843 | ) |
| $ | (15,449,913 | ) | |||||
Exchange differences arising on translation of foreign operations |
|
| 3,213,471 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 3,213,471 |
| |||||
Unrealized gain (loss) on financial assets at FVTOCI |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Equity instruments |
|
| - |
|
|
| 53,532 |
|
|
| - |
|
|
| - |
|
|
| 53,532 |
| |||||
Debt instruments |
|
| - |
|
|
| 1,395,796 |
|
|
| - |
|
|
| - |
|
|
| 1,395,796 |
| |||||
Cumulative unrealized gain (loss) of equity instruments transferred to retained earnings due to disposal |
|
| - |
|
|
| 95,538 |
|
|
| - |
|
|
| - |
|
|
| 95,538 |
| |||||
Cumulative unrealized gain (loss) of debt instruments transferred to profit or loss due to disposal |
|
| - |
|
|
| 53,105 |
|
|
| - |
|
|
| - |
|
|
| 53,105 |
|
(Continued)
30
|
| Three Months Ended March 31, 2019 | |||||||||||||||||||||||
|
| Foreign Currency Translation Reserve |
| Unrealized Gain (Loss) on Financial Assets at FVTOCI |
| Gain (Loss) on Hedging Instruments |
| Unearned Stock-Based Employee Compensation |
| Total | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Loss allowance adjustments from debt instruments |
| $ | - |
|
| $ | (511 | ) |
| $ | - |
|
| $ | - |
|
| $ | (511 | ) | |||||
Other comprehensive income transferred to profit or loss due to disposal of subsidiary |
|
| 4,598 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 4,598 |
| |||||
Gain (loss) arising on changes in the fair value of hedging instruments |
|
| - |
|
|
| - |
|
|
| (94,548 | ) |
|
| - |
|
|
| (94,548 | ) | |||||
Transferred to initial carrying amount of hedged items |
|
| - |
|
|
| - |
|
|
| 12,434 |
|
|
| - |
|
|
| 12,434 |
| |||||
Share of other comprehensive income (loss) of associates |
|
| 8,328 |
|
|
| 248 |
|
|
| - |
|
|
| - |
|
|
| 8,576 |
| |||||
Share of unearned stock-based employee compensation of associates |
|
| - |
|
|
| - |
|
|
| - |
|
|
| 950 |
|
|
| 950 |
| |||||
Income tax effect |
|
| - |
|
|
| (18,051 | ) |
|
| - |
|
|
| - |
|
|
| (18,051 | ) | |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Balance, end of period |
| $ | (8,815,950 | ) |
| $ | (1,849,667 | ) |
| $ | (58,513 | ) |
| $ | (893 | ) |
| $ | (10,725,023 | ) |
(Concluded)
The aforementioned other equity includes the changes in other equities of TSMC and TSMC’s share of its subsidiaries and associates.
22. | NET REVENUE |
| a. | Disaggregation of revenue from contracts with customers |
| Three Months Ended March 31 | |||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
| $ | 271,649,812 |
|
| $ | 190,100,011 |
| |||
|
| 38,947,371 |
|
|
| 28,604,458 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 310,597,183 |
|
| $ | 218,704,469 |
|
| Three Months Ended March 31 | |||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
| $ | 30,235,078 |
|
| $ | 17,358,562 |
| |||
|
| 171,574,089 |
|
|
| 129,023,339 |
| |||
|
| 68,493,407 |
|
|
| 39,551,859 |
| |||
|
| 17,319,245 |
|
|
| 16,279,553 |
| |||
|
| 17,263,605 |
|
|
| 13,187,925 |
| |||
|
| 5,711,759 |
|
|
| 3,303,231 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 310,597,183 |
|
| $ | 218,704,469 |
|
31
The Company categorized the net revenue mainly based on the countries where the customers are headquartered.
| Three Months Ended March 31 | |||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
| $ | 151,931,277 |
|
| $ | 103,210,269 |
| |||
|
| 92,993,610 |
|
|
| 62,824,973 |
| |||
|
| 26,595,813 |
|
|
| 16,717,625 |
| |||
|
| 13,061,727 |
|
|
| 10,626,515 |
| |||
|
| 15,577,838 |
|
|
| 14,627,749 |
| |||
|
| 10,436,918 |
|
|
| 10,697,338 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 310,597,183 |
|
| $ | 218,704,469 |
|
| Three Months Ended March 31 | |||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
| $ | 95,707,564 |
|
| $ | 42,208,718 |
| |||
|
| 1,279,497 |
|
|
| 6,981,206 |
| |||
|
| 51,419,279 |
|
|
| 30,049,700 |
| |||
|
| 1,852,768 |
|
|
| 2,763,835 |
| |||
|
| 37,999,954 |
|
|
| 37,142,360 |
| |||
|
| 26,094,254 |
|
|
| 23,286,880 |
| |||
|
| 15,984,202 |
|
|
| 15,828,535 |
| |||
|
| 7,671,469 |
|
|
| 6,300,002 |
| |||
|
| 7,022,429 |
|
|
| 5,048,576 |
| |||
|
| 21,653,001 |
|
|
| 15,672,766 |
| |||
|
| 4,965,395 |
|
|
| 4,817,433 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 271,649,812 |
|
| $ | 190,100,011 |
|
| b. | Contract balances |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 |
| January 1, 2019 | |||||||||
|
|
|
|
|
|
|
|
| ||||||||
Contract liabilities (classified under accrued expenses and other current liabilities) |
| $ | 8,404,051 |
|
| $ | 6,784,323 |
|
| $ | 6,027,843 |
|
| $ | 4,684,024 |
|
The changes in the contract liability balances primarily result from the timing difference between the satisfaction of performance obligation and the customer’s payment.
The Company recognized revenue from the beginning balance of contract liability, which amounted to NT$3,469,918 thousand and NT$2,568,026 thousand for the three months ended March 31, 2020 and 2019, respectively.
32
| Three Months Ended March 31 | |||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
Interest income |
|
|
|
| ||||||
| $ | 1,913,071 |
|
| $ | 3,150,272 |
| |||
|
| 586 |
|
|
| 186,317 |
| |||
|
| 883,976 |
|
|
| 785,216 |
| |||
|
| 191,436 |
|
|
| 286,971 |
| |||
|
| 2,989,069 |
|
|
| 4,408,776 |
| |||
|
| 110,509 |
|
|
| - |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 3,099,578 |
|
| $ | 4,408,776 |
|
24. | FINANCE COSTS |
| Three Months Ended March 31 | |||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
Interest expense |
|
|
|
| ||||||
| $ | 293,066 |
|
| $ | 506,581 |
| |||
|
| 168,442 |
|
|
| 325,002 |
| |||
|
| 68,215 |
|
|
| 67,325 |
| |||
|
| 841 |
|
|
| 157 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 530,564 |
|
| $ | 899,065 |
|
25. | OTHER GAINS AND LOSSES, NET |
| Three Months Ended March 31 | |||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
Gain (loss) on disposal of financial assets, net |
|
|
|
| ||||||
| $ | 179,412 |
|
| $ | (53,105 | ) | |||
|
| - |
|
|
| (4,598 | ) | |||
Loss on financial instruments at FVTPL, net |
|
|
|
|
|
|
|
| ||
|
| (90,963 | ) |
|
| (496,763 | ) | |||
|
| - |
|
|
| 11,758 |
| |||
The reversal (accrual) of expected credit loss of financial assets |
|
|
|
|
|
|
|
| ||
|
| (1,626 | ) |
|
| 511 |
| |||
|
| - |
|
|
| 4,374 |
| |||
|
| (132,055 | ) |
|
| 279,568 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | (45,232 | ) |
| $ | (258,255 | ) |
33
| a. | Income tax expense recognized in profit or loss |
Income tax expense consisted of the following:
| Three Months Ended March 31 | |||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
Current income tax expense |
|
|
|
| ||||||
| $ | 16,387,346 |
|
| $ | 6,986,063 |
| |||
|
| 28,402 |
|
|
| (1,666 | ) | |||
|
| 33,261 |
|
|
| (1,743 | ) | |||
|
| 16,449,009 |
|
|
| 6,982,654 |
| |||
Deferred income tax benefit |
|
|
|
|
|
|
|
| ||
|
| (1,364,724 | ) |
|
| (188,312 | ) | |||
|
|
|
|
|
|
|
|
| ||
| $ | 15,084,285 |
|
| $ | 6,794,342 |
|
Under the amendment to the R.O.C Statute of Industrial Innovation in 2019, the amounts of unappropriated earnings in 2018 and thereafter used for building or purchasing specific assets or technologies can qualify for deduction when computing the income tax on unappropriated earnings.
For other jurisdictions, taxes are calculated using the applicable tax rate for each individual jurisdiction.
b.Income tax expense recognized in other comprehensive income
| Three Months Ended March 31 | |||||||
|
| 2020 |
| 2019 | ||||
|
|
|
|
| ||||
Deferred income tax benefit (expense) |
|
|
|
| ||||
Related to unrealized gain/loss on investments in equity instruments at FVTOCI |
| $ | 114 |
|
| $ | (18,051 | ) |
| c. | Income tax examination |
The tax authorities have examined income tax returns of TSMC through 2018. All investment tax credit adjustments assessed by the tax authorities have been recognized accordingly.
27. | EARNINGS PER SHARE |
34
| Amounts (Numerator) |
| Number of Shares (Denominator) (In Thousands) |
| EPS (NT$) | |||||||||
|
|
|
|
|
|
| ||||||||
Three months ended March 31, 2020 |
|
|
|
|
|
| ||||||||
|
|
|
|
|
|
| ||||||||
Basic/Diluted EPS |
|
|
|
|
|
| ||||||||
| $ | 116,986,720 |
|
|
| 25,930,380 |
|
| $ | 4.51 |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Three months ended March 31, 2019 |
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Basic/Diluted EPS |
|
|
|
|
|
|
|
|
|
|
|
| ||
| $ | 61,393,851 |
|
|
| 25,930,380 |
|
| $ | 2.37 |
|
28. | ADDITIONAL INFORMATION OF EXPENSES BY NATURE |
| Three Months Ended March 31 | |||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
a.Depreciation of property, plant and equipment and right-of-use assets |
|
|
|
| ||||||
|
|
|
|
| ||||||
| $ | 60,839,984 |
|
| $ | 69,934,176 |
| |||
|
| 6,237,895 |
|
|
| 6,252,169 |
| |||
|
| 5,862 |
|
|
| 6,123 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 67,083,741 |
|
| $ | 76,192,468 |
| |||
|
|
|
|
|
|
|
|
| ||
b.Amortization of intangible assets |
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
| ||
| $ | 895,398 |
|
| $ | 713,093 |
| |||
|
| 575,338 |
|
|
| 642,243 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 1,470,736 |
|
| $ | 1,355,336 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 24,968,883 |
|
| $ | 20,417,311 |
| |||
|
|
|
|
|
|
|
|
| ||
d.Employee benefits expenses |
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
| ||
Post-employment benefits |
|
|
|
|
|
|
|
| ||
| $ | 680,824 |
|
| $ | 653,319 |
| |||
|
| 51,215 |
|
|
| 64,880 |
| |||
|
| 732,039 |
|
|
| 718,199 |
| |||
|
| 31,787,671 |
|
|
| 22,953,464 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 32,519,710 |
|
| $ | 23,671,663 |
|
(Continued)
35
|
| Three Months Ended March 31 | ||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
Employee benefits expense summarized by function |
|
|
|
| ||||||
| $ | 19,444,500 |
|
| $ | 14,074,980 |
| |||
|
| 13,075,210 |
|
|
| 9,596,683 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 32,519,710 |
|
| $ | 23,671,663 |
|
(Concluded)
According to TSMC’s Articles of Incorporation, TSMC shall allocate compensation to directors and profit sharing bonus to employees of TSMC not more than 0.3% and not less than 1% of annual profits during the period, respectively.
TSMC accrued profit sharing bonus to employees based on a percentage of net income before income tax, profit sharing bonus to employees and compensation to directors during the period; compensation to directors was expensed based on estimated amount payable. If there is a change in the proposed amounts after the annual consolidated financial statements are authorized for issue, the differences are recorded as a change in accounting estimate. Accrued profit sharing bonus to employees is illustrated below:
|
| Three Months Ended March 31 | ||||||
|
| 2020 |
| 2019 | ||||
|
|
|
|
| ||||
Profit sharing bonus to employees |
| $ | 7,853,916 |
|
| $ | 4,119,681 |
|
TSMC’s profit sharing bonus to employees and compensation to directors for 2019 and 2018 had been approved by the Board of Directors of TSMC, as illustrated below:
|
| Years Ended December 31 | ||||||
|
| 2019 |
| 2018 | ||||
|
| February 11, |
| February 19, | ||||
Resolution Date of TSMC’s Board of Directors in its meeting |
| 2020 |
| 2019 | ||||
|
|
|
|
| ||||
Profit sharing bonus to employees |
| $ | 23,165,745 |
|
| $ | 23,570,040 |
|
Compensation to directors |
| $ | 360,404 |
|
| $ | 349,272 |
|
There is no significant difference between the aforementioned approved amounts and the amounts charged against earnings of 2019 and 2018, respectively.
The information about the appropriations of TSMC’s profit sharing bonus to employees and compensation to directors is available at the Market Observation Post System website.
36
| a. | Non-cash transactions |
| Three Months Ended March 31 | |||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
| $ | 152,562,317 |
|
| $ | 109,646,354 |
| |||
|
| 381,464 |
|
|
| 212,735 |
| |||
|
| 39,662,414 |
|
|
| (33,904,537 | ) | |||
|
| (46,569 | ) |
|
| (12,434 | ) | |||
|
|
|
|
|
|
|
|
| ||
| $ | 192,559,626 |
|
| $ | 75,942,118 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 8,017,753 |
|
| $ | 2,306,535 |
| |||
|
| 2,285 |
|
|
| 19,573 |
| |||
|
| 191,430 |
|
|
| (225,082 | ) | |||
|
| (7,365,384 | ) |
|
| - |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 846,084 |
|
| $ | 2,101,026 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 59,702,728 |
|
| $ | 35,283,654 |
| |||
|
| (120,548 | ) |
|
| - |
| |||
|
| (3,053,786 | ) |
|
| (838,395 | ) | |||
|
|
|
|
|
|
|
|
| ||
| $ | 56,528,394 |
|
| $ | 34,445,259 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 59,050,681 |
|
| $ | 29,447,714 |
| |||
|
| (1,864,753 | ) |
|
| 2,236,632 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 57,185,928 |
|
| $ | 31,684,346 |
|
| b. | Reconciliation of liabilities arising from financing activities |
|
|
|
|
| Non-cash changes |
|
| |||||||||||||||||||||||
|
| Balance as of January 1, 2020 |
| Financing Cash Flow |
| Foreign Exchange Movement |
| Leases Modifications |
| Other Changes (Note) |
| Balance as of March 31, 2020 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
| $ | 118,522,290 |
|
| $ | 20,348,002 |
|
| $ | 440,092 |
|
| $ | - |
|
| $ | - |
|
| $ | 139,310,384 |
| |||||||
|
| - |
|
|
| 2,992,197 |
|
|
| - |
|
|
| - |
|
|
| 661 |
|
|
| 2,992,858 |
| |||||||
|
| 1,729,881 |
|
|
| 13,565 |
|
|
| 12,418 |
|
|
| - |
|
|
| (1,511,250 | ) |
|
| 244,614 |
| |||||||
|
| 17,316,917 |
|
|
| (784,284 | ) |
|
| 22,733 |
|
|
| 5,188,497 |
|
|
| 68,215 |
|
|
| 21,812,078 |
| |||||||
|
| 56,900,000 |
|
|
| 2,375,079 |
|
|
| - |
|
|
| - |
|
|
| 69 |
|
|
| 59,275,148 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
| $ | 194,469,088 |
|
| $ | 24,944,559 |
|
| $ | 475,243 |
|
| $ | 5,188,497 |
|
| $ | (1,442,305 | ) |
| $ | 223,635,082 |
|
|
|
|
|
| Non-cash changes |
|
| |||||||||||||||||||||||
|
| Balance as of January 1, 2019 |
| Financing Cash Flow |
| Foreign Exchange Movement |
| Leases Modifications |
| Other Changes (Note) |
| Balance as of March 31, 2019 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||
Short-term loans |
| $ | 88,754,640 |
|
| $ | (12,262,255 | ) |
| $ | 100,165 |
|
| $ | - |
|
| $ | - |
|
| $ | 76,592,550 |
| ||||||
Guarantee deposits |
|
| 10,189,045 |
|
|
| 26,196 |
|
|
| 45,997 |
|
|
| - |
|
|
| (1,542,800 | ) |
|
| 8,718,438 |
| ||||||
Lease liabilities |
|
| 19,903,615 |
|
|
| (589,592 | ) |
|
| 17,141 |
|
|
| 208,652 |
|
|
| 67,325 |
|
|
| 19,607,141 |
| ||||||
Bonds payable |
|
| 91,800,000 |
|
|
| (8,400,000 | ) |
|
| - |
|
|
| - |
|
|
| - |
|
|
| 83,400,000 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Total |
| $ | 210,647,300 |
|
| $ | (21,225,651 | ) |
| $ | 163,303 |
|
| $ | 208,652 |
|
| $ | (1,475,475 | ) |
| $ | 188,318,129 |
|
| Note: | Other changes include amortization of short-term bills payable, guarantee deposits refunded to customers by offsetting related accounts receivable, financial cost of lease liabilities and amortization of bonds payable. |
37
30.FINANCIAL INSTRUMENTS
| a. | Categories of financial instruments |
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
| |||||||||
Financial assets |
|
|
|
|
|
| |||||||||
| $ | 1,254,253 |
|
| $ | 326,839 |
|
| $ | 3,084,399 |
| ||||
|
| 137,292,285 |
|
|
| 134,776,779 |
|
|
| 113,688,888 |
| ||||
|
| - |
|
|
| 25,884 |
|
|
| 969 |
| ||||
|
| 593,661,436 |
|
|
| 612,740,640 |
|
|
| 775,326,755 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 732,207,974 |
|
| $ | 747,870,142 |
|
| $ | 892,101,011 |
| ||||
Financial liabilities |
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 980,241 |
|
| $ | 982,349 |
|
| $ | 151,079 |
| ||||
|
| 109,826 |
|
|
| 1,798 |
|
|
| 111,374 |
| ||||
|
| 531,736,073 |
|
|
| 533,581,640 |
|
|
| 323,693,554 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| $ | 532,826,140 |
|
| $ | 534,565,787 |
|
| $ | 323,956,007 |
|
| Note 1: | Financial assets mandatorily measured at FVTPL. |
| Note 2: | Including notes and accounts receivable (net), equity and debt investments. |
| Note 3: | Including cash and cash equivalents, financial assets at amortized cost, notes and accounts receivable (including related parties), other receivables and refundable deposits. |
| Note 4: | Held for trading. |
| Note 5: | Including short-term loans, short-term bills payable, accounts payable (including related parties), payables to contractors and equipment suppliers, cash dividends payable, accrued expenses and other current liabilities, bonds payable and guarantee deposits. |
| b. | Financial risk management objectives |
The Company seeks to ensure that sufficient cost-efficient funding is readily available when needed. The Company manages its exposure to foreign currency risk, interest rate risk, equity price risk, credit risk and liquidity risk with the objective to reduce the potentially adverse effects the market uncertainties may have on its financial performance.
The plans for material treasury activities are reviewed by Audit Committees and/or Board of Directors in accordance with procedures required by relevant regulations or internal controls. During the implementation of such plans, the corporate treasury function must comply with certain treasury procedures that provide guiding principles for overall financial risk management and segregation of duties.
| c. | Market risk |
The Company is exposed to the financial market risks, primarily changes in foreign currency exchange rates, interest rates and equity investment prices. A portion of these risks is hedged.
38
The majority of the Company’s revenue is denominated in U.S. dollar and over one-half of its capital expenditures are denominated in currencies other than NT dollar, primarily in U.S. dollar, Japanese yen and Euro. As a result, any significant fluctuations to its disadvantage in exchanges rate of NT dollar against such currencies, in particular a weakening of U.S. dollar against NT dollar, would have an adverse impact on the revenue and operating profit as expressed in NT dollar. The Company uses foreign currency derivative contracts, such as currency forwards or currency swaps, to protect against currency exchange rate risks associated with non-NT dollar-denominated assets and liabilities and certain forecasted transactions. The Company utilizes U.S. dollar denominated debt to partially offset currency risk arising from U.S. dollar denominated receivables for balance sheet hedges. These hedges reduce, but do not entirely eliminate, the effect of foreign currency exchange rate movements on the assets and liabilities.
Based on a sensitivity analysis performed on the Company’s total monetary assets and liabilities for the three months ended March 31, 2020 and 2019, a hypothetical adverse foreign currency exchange rate change of 10% would have decreased its net income by NT$714,775 thousand and NT$1,069,244 thousand for the three months ended March 31, 2020 and 2019, respectively, and decreased its other comprehensive income by NT$613,142 thousand for the three months ended March 31, 2019, after taking into account hedges and offsetting positions.
Interest rate risk
The Company is exposed to interest rate risks primarily related to its investment portfolio and outstanding debt. Changes in interest rates affect the interest earned on the Company’s cash and cash equivalents and fixed income securities, the fair value of those securities, as well as the interest paid on its short-term loans.
The Company’s cash and cash equivalents as well as fixed income investments in both fixed- and floating-rate securities carry a degree of interest rate risk. The majority of the Company’s fixed income investments are fixed-rate securities and classified as financial assets at FVTOCI, and may have their fair value adversely affected due to a rise in interest rates, while cash and cash equivalents as well as floating-rate securities may generate less interest income than predicted if interest rates fall. The Company has entered, and may enter in the future, into interest rate futures to partially hedge the interest rate risk on its fixed income investments. However, these hedges can offset only a small portion of the financial impact from movement in interest rates.
Based on a sensitivity analysis performed on the Company’s fixed income investments at the end of the reporting period, interest rates increase of 100 basis points (1.00%) across all maturities would have decreased the fair value by NT$2,904,515 thousand and NT$2,515,345 thousand for the three months ended March 31, 2020 and 2019, respectively. The decreases were composed of NT$2,903,800 thousand decrease and NT$3,000,289 thousand decrease in other comprehensive income, and NT$715 thousand decrease and NT$484,944 thousand increase in net income for the three months ended March 31, 2020 and 2019, respectively.
Majority of the Company’s short-term debts are floating-rate; hence, a rise in interest rates may incur higher interest expense than predicted. All of the Company’s long-term debts are fixed-rate and measured at amortized cost; as such, changes in interest rates would not affect the future cash flows and the carrying amount.
Other price risk
The Company is exposed to equity price risk arising from financial assets at FVTOCI.
Assuming a hypothetical decrease of 10% in prices of the equity investments at the end of the reporting period for the three months ended March 31, 2020 and 2019, the other comprehensive income would have decreased by NT$413,365 thousand and NT$424,983 thousand, respectively.
39
| d. | Credit risk management |
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial losses to the Company. The Company is exposed to credit risks from operating activities, primarily trade receivables, and from investing activities, primarily deposits, fixed-income investments and other financial instruments with banks. Credit risk is managed separately for business related and financial related exposures. As of the end of the reporting period, the Company’s maximum credit risk exposure is equal to the carrying amount of financial assets.
Business related credit risk
The Company’s trade receivables are from its customers worldwide. The majority of the Company’s outstanding trade receivables are not covered by collaterals or guarantees. While the Company has procedures to monitor and manage credit risk exposure on trade receivables, there is no assurance such procedures will effectively eliminate losses resulting from its credit risk. This risk is heightened during periods when economic conditions worsen.
As of March 31, 2020, December 31, 2019 and March 31, 2019, the Company’s ten largest customers accounted for 78%, 79% and 74% of accounts receivable, respectively. The Company considers the concentration of credit risk for the remaining accounts receivable not material.
Financial credit risk
The Company mitigates its financial credit risk by selecting counterparties with investment grade credit ratings and by limiting the exposure to any individual counterparty. The Company regularly monitors and reviews the limit applied to counterparties and adjusts the limit according to market conditions and the credit standing of the counterparties.
The objective of the Company’s investment policy is to achieve a return that will allow the Company to preserve principal and support liquidity requirements. The policy generally requires securities to be investment grade and limits the amount of credit exposure to any one issuer. The Company assesses whether there has been a significant increase in credit risk in the securities since initial recognition by reviewing changes in external credit ratings, financial market conditions and material information of the issuers. The credit rating information is supplied by external rating agencies.
The Company assesses the 12-month expected credit loss and lifetime expected credit loss based on the probability of default and loss given default provided by external credit rating agencies. The current credit risk assessment policies are as follows:
Category |
| Description |
| Basis for Recognizing Expected Credit Loss |
| Expected Credit Loss Ratio | ||
|
|
|
|
|
|
| ||
Performing |
| Credit rating on trade date and valuation date: (1)Within investment grade (2)Between BB+ and BB- |
| 12 months expected credit loss |
|
| 0-0.1% |
|
Doubtful |
| Credit rating on trade date and valuation date: (1)From investment grade to non-investment grade (2)From BB+~BB- to B+~CCC- |
| Lifetime expected credit loss-not credit impaired |
|
|
|
|
(Continued)
40
| Description |
| Basis for Recognizing Expected Credit Loss |
| Expected Credit Loss Ratio | |||
|
|
|
|
|
|
| ||
In default |
| Credit rating CC or below |
| Lifetime expected credit loss-credit impaired |
|
|
|
|
Write-off |
| There is evidence indicating that the debtor is in severe financial difficulty and the Company has no realistic prospect of recovery |
| Amount is written off |
|
|
|
|
(Concluded)
For the three months ended March 31, 2020 and 2019, the expected credit loss increases NT$1,954 thousand and decreases NT$4,776 thousand, respectively. The changes are mainly due to investment portfolio adjustment.
| e. | Liquidity risk management |
The objective of liquidity risk management is to ensure the Company has sufficient liquidity to fund its business operations over the next 12 months. The Company manages its liquidity risk by maintaining adequate cash and cash equivalent, debt investment at FVTPL, financial assets at FVTOCI-current, and financial assets amortized at cost-current.
The table below summarizes the maturity profile of the Company’s financial liabilities based on contractual undiscounted payments, including principal and interest.
(Continued)
41
|
| Less Than |
| 1-3 Years |
| 3-5 Years |
| More Than 5 Years |
| Total | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
|
|
|
|
|
|
|
|
|
| ||||||||||||||||
December 31, 2019 |
|
|
|
|
|
|
|
|
|
| |||||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Non-derivative financial liabilities |
|
|
|
|
|
|
|
|
|
| |||||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Short-term loans |
| $ | 118,562,641 |
|
| $ | - |
|
| $ | - |
|
| $ | - |
|
| $ | 118,562,641 |
| |||||
Accounts payable (including related parties) |
|
| 40,205,966 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 40,205,966 |
| |||||
Payables to contractors and equipment suppliers |
|
| 140,810,703 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 140,810,703 |
| |||||
Accrued expenses and other current liabilities |
|
| 45,760,898 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 45,760,898 |
| |||||
Bonds payable |
|
| 32,338,853 |
|
|
| 7,777,715 |
|
|
| 18,203,601 |
|
|
| - |
|
|
| 58,320,169 |
| |||||
Lease liabilities (including those classified under accrued expenses and other current liabilities) |
|
| 2,475,177 |
|
|
| 2,782,860 |
|
|
| 2,484,478 |
|
|
| 10,947,730 |
|
|
| 18,690,245 |
| |||||
Guarantee deposits (including those classified under accrued expenses and other current liabilities) |
|
| 1,552,977 |
|
|
| 121,047 |
|
|
| 55,501 |
|
|
| 356 |
|
|
| 1,729,881 |
| |||||
|
|
| 381,707,215 |
|
|
| 10,681,622 |
|
|
| 20,743,580 |
|
|
| 10,948,086 |
|
|
| 424,080,503 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Derivative financial instruments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Forward exchange contracts |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Outflows |
| $ | 141,450,762 |
|
| $ | - |
|
| $ | - |
|
| $ | - |
|
| $ | 141,450,762 |
| |||||
Inflows |
|
| (141,128,914 | ) |
|
| - |
|
|
| - |
|
|
| - |
|
|
| (141,128,914 | ) | |||||
|
|
| 321,848 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 321,848 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
| $ | 382,029,063 |
|
| $ | 10,681,622 |
|
| $ | 20,743,580 |
|
| $ | 10,948,086 |
|
| $ | 424,402,351 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
March 31, 2019 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Non-derivative financial liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Short-term loans |
| $ | 76,638,209 |
|
| $ | - |
|
| $ | - |
|
| $ | - |
|
| $ | 76,638,209 |
| |||||
Accounts payable (including related parties) |
|
| 27,661,850 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 27,661,850 |
| |||||
Payables to contractors and equipment suppliers |
|
| 76,970,966 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 76,970,966 |
| |||||
Accrued expenses and other current liabilities |
|
| 50,349,750 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 50,349,750 |
| |||||
Bonds payable |
|
| 49,080,086 |
|
|
| 13,673,294 |
|
|
| 22,881,721 |
|
|
| - |
|
|
| 85,635,101 |
| |||||
Lease liabilities (including those classified under accrued expenses and other current liabilities) |
|
| 2,704,611 |
|
|
| 3,411,829 |
|
|
| 2,498,203 |
|
|
| 11,897,443 |
|
|
| 20,512,086 |
| |||||
Guarantee deposits (including those classified under accrued expenses and other current liabilities) |
|
| 6,897,690 |
|
|
| 1,357,681 |
|
|
| 463,067 |
|
|
| - |
|
|
| 8,718,438 |
| |||||
|
|
| 290,303,162 |
|
|
| 18,442,804 |
|
|
| 25,842,991 |
|
|
| 11,897,443 |
|
|
| 346,486,400 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Derivative financial instruments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Forward exchange contracts |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Outflows |
|
| 59,765,345 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 59,765,345 |
| |||||
Inflows |
|
| (59,580,087 | ) |
|
| - |
|
|
| - |
|
|
| - |
|
|
| (59,580,087 | ) | |||||
|
|
| 185,258 |
|
|
| - |
|
|
| - |
|
|
| - |
|
|
| 185,258 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
| $ | 290,488,420 |
|
| $ | 18,442,804 |
|
| $ | 25,842,991 |
|
| $ | 11,897,443 |
|
| $ | 346,671,658 |
|
(Concluded)
42
Additional information about the maturity analysis for lease liabilities:
| Less than 5 Years |
| 5-10 Years |
| 10-15 Years |
| 15-20 Years |
| More Than 20 Years | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
March 31, 2020 |
|
|
|
|
|
|
|
|
|
| |||||||||||||||
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
| $ | 9,156,456 |
|
| $ | 6,972,775 |
|
| $ | 5,045,286 |
|
| $ | 2,242,470 |
|
| $ | 38,770 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
December 31, 2019 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Lease liabilities |
| $ | 7,742,515 |
|
| $ | 5,581,116 |
|
| $ | 3,691,272 |
|
| $ | 1,600,962 |
|
| $ | 74,380 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
March 31, 2019 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
Lease liabilities |
| $ | 8,614,643 |
|
| $ | 5,776,436 |
|
| $ | 4,001,755 |
|
| $ | 1,928,816 |
|
| $ | 190,436 |
|
| f. | Fair value of financial instruments |
| 1) | Fair value measurements recognized in the consolidated balance sheets |
Fair value measurements are grouped into Levels 1 to 3 based on the degree to which the fair value is observable:
| ● | Level 1 fair value measurements are those derived from quoted prices (unadjusted) in active markets for identical assets or liabilities; |
| ● | Level 2 fair value measurements are those derived from inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices); and |
| ● | Level 3 fair value measurements are those derived from valuation techniques that include inputs for the asset or liability that are not based on observable market data (unobservable inputs). |
| 2) | Fair value of financial instruments that are measured at fair value on a recurring basis |
Fair value hierarchy
The following table presents the Company’s financial assets and liabilities measured at fair value on a recurring basis:
| March 31, 2020 | |||||||||||||||||||
|
| Level 1 |
| Level 2 |
| Level 3 |
| Total | ||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||||
Financial assets at FVTPL |
|
|
|
|
|
|
|
| ||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||||
Mandatorily measured at FVTPL |
|
|
|
|
|
|
|
| ||||||||||||
| $ | - |
|
| $ | 1,216,560 |
|
| $ | - |
|
| $ | 1,216,560 |
| |||||
|
| - |
|
|
| 37,693 |
|
|
| - |
|
|
| 37,693 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| $ | - |
|
| $ | 1,254,253 |
|
| $ | - |
|
| $ | 1,254,253 |
|
(Continued)
43
|
| March 31, 2020 | ||||||||||||||||||
|
| Level 1 |
| Level 2 |
| Level 3 |
| Total | ||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||||
Financial assets at FVTOCI |
|
|
|
|
|
|
|
| ||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||||
Investments in debt instruments |
|
|
|
|
|
|
|
| ||||||||||||
| $ | - |
|
| $ | 56,092,287 |
|
| $ | - |
|
| $ | 56,092,287 |
| |||||
|
| - |
|
|
| 50,881,130 |
|
|
| - |
|
|
| 50,881,130 |
| |||||
|
| 10,981,492 |
|
|
| 145,786 |
|
|
| - |
|
|
| 11,127,278 |
| |||||
|
| - |
|
|
| 11,118,582 |
|
|
| - |
|
|
| 11,118,582 |
| |||||
Investments in equity instruments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
| - |
|
|
| 28,492 |
|
|
| 4,212,832 |
|
|
| 4,241,324 |
| |||||
|
| - |
|
|
| 3,831,684 |
|
|
| - |
|
|
| 3,831,684 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| $ | 10,981,492 |
|
| $ | 122,097,961 |
|
| $ | 4,212,832 |
|
| $ | 137,292,285 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Financial liabilities at FVTPL |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Held for trading |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| $ | - |
|
| $ | 980,241 |
|
| $ | - |
|
| $ | 980,241 |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Hedging financial liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Fair value hedges |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| $ | 109,826 |
|
| $ | - |
|
| $ | - |
|
| $ | 109,826 |
|
(Concluded)
| December 31, 2019 | |||||||||||||||||||
|
| Level 1 |
| Level 2 |
| Level 3 |
| Total | ||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||||
Financial assets at FVTPL |
|
|
|
|
|
|
|
| ||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||||
Mandatorily measured at FVTPL |
|
|
|
|
|
|
|
| ||||||||||||
Forward exchange contracts |
| $ | - |
|
| $ | 162,155 |
|
| $ | - |
|
| $ | 162,155 |
| ||||
Convertible bonds |
|
| - |
|
|
| - |
|
|
| 123,759 |
|
|
| 123,759 |
| ||||
Agency mortgage-backed securities |
|
| - |
|
|
| 40,925 |
|
|
| - |
|
|
| 40,925 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
| $ | - |
|
| $ | 203,080 |
|
| $ | 123,759 |
|
| $ | 326,839 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Financial assets at FVTOCI |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Investments in debt instruments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Agency bonds/Agency mortgage-backed securities |
| $ | - |
|
| $ | 51,966,460 |
|
| $ | - |
|
| $ | 51,966,460 |
| ||||
Corporate bonds |
|
| - |
|
|
| 51,790,045 |
|
|
| - |
|
|
| 51,790,045 |
| ||||
Government bonds |
|
| 12,678,086 |
|
|
| 146,137 |
|
|
| - |
|
|
| 12,824,223 |
| ||||
Asset-backed securities |
|
| - |
|
|
| 10,815,849 |
|
|
| - |
|
|
| 10,815,849 |
| ||||
Investments in equity instruments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Non-publicly traded equity investments |
|
| - |
|
|
| 39,196 |
|
|
| 4,085,141 |
|
|
| 4,124,337 |
| ||||
Notes and accounts receivable, net |
|
| - |
|
|
| 3,255,865 |
|
|
| - |
|
|
| 3,255,865 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
| $ | 12,678,086 |
|
| $ | 118,013,552 |
|
| $ | 4,085,141 |
|
| $ | 134,776,779 |
|
(Continued)
44
|
| December 31, 2019 | ||||||||||||||||||
|
| Level 1 |
| Level 2 |
| Level 3 |
| Total | ||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||||
Hedging financial assets |
|
|
|
|
|
|
|
| ||||||||||||
|
|
|
|
| �� |
|
|
| ||||||||||||
Fair value hedges |
|
|
|
|
|
|
|
| ||||||||||||
Interest rate futures contracts |
| $ | 22,380 |
|
| $ | - |
|
| $ | - |
|
| $ | 22,380 |
| ||||
Cash flow hedges |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Forward exchange contracts |
|
| - |
|
|
| 3,504 |
|
|
| - |
|
|
| 3,504 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
| $ | 22,380 |
|
| $ | 3,504 |
|
| $ | - |
|
| $ | 25,884 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Financial liabilities at FVTPL |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Held for trading |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Forward exchange contracts |
| $ | - |
|
| $ | 982,349 |
|
| $ | - |
|
| $ | 982,349 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Hedging financial liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Cash flow hedges |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Forward exchange contracts |
| $ | - |
|
| $ | 1,798 |
|
| $ | - |
|
| $ | 1,798 |
|
(Concluded)
| March 31, 2019 | |||||||||||||||||||
|
| Level 1 |
| Level 2 |
| Level 3 |
| Total | ||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||||
Financial assets at FVTPL |
|
|
|
|
|
|
|
| ||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||||
Mandatorily measured at FVTPL |
|
|
|
|
|
|
|
| ||||||||||||
Agency mortgage-backed securities |
| $ | - |
|
| $ | 2,973,659 |
|
| $ | - |
|
| $ | 2,973,659 |
| ||||
Forward exchange contracts |
|
| - |
|
|
| 110,740 |
|
|
| - |
|
|
| 110,740 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
| $ | - |
|
| $ | 3,084,399 |
|
| $ | - |
|
| $ | 3,084,399 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Financial assets at FVTOCI |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Investments in debt instruments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Corporate bonds |
| $ | - |
|
| $ | 42,703,270 |
|
| $ | - |
|
| $ | 42,703,270 |
| ||||
Agency bonds/Agency mortgage-backed securities |
|
| - |
|
|
| 34,371,268 |
|
|
| - |
|
|
| 34,371,268 |
| ||||
Asset-backed securities |
|
| - |
|
|
| 15,764,847 |
|
|
| - |
|
|
| 15,764,847 |
| ||||
Government bonds |
|
| 13,667,515 |
|
|
| 147,749 |
|
|
| - |
|
|
| 13,815,264 |
| ||||
Investments in equity instruments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Non-publicly traded equity investments |
|
| - |
|
|
| - |
|
|
| 3,837,734 |
|
|
| 3,837,734 |
| ||||
Publicly traded stocks |
|
| 658,556 |
|
|
| - |
|
|
| - |
|
|
| 658,556 |
| ||||
Notes and accounts receivable, net |
|
| - |
|
|
| 2,537,949 |
|
|
| - |
|
|
| 2,537,949 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
| $ | 14,326,071 |
|
| $ | 95,525,083 |
|
| $ | 3,837,734 |
|
| $ | 113,688,888 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Hedging financial assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Cash flow hedges |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Forward exchange contracts |
| $ | - |
|
| $ | 969 |
|
| $ | - |
|
| $ | 969 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Financial liabilities at FVTPL |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Held for trading |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Forward exchange contracts |
| $ | - |
|
| $ | 151,079 |
|
| $ | - |
|
| $ | 151,079 |
|
(Continued)
45
|
| March 31, 2019 | ||||||||||||||||||
|
| Level 1 |
| Level 2 |
| Level 3 |
| Total | ||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||||
Hedging financial liabilities |
|
|
|
|
|
|
|
| ||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||||
Fair value hedges |
|
|
|
|
|
|
|
| ||||||||||||
Interest rate futures contracts |
| $ | 57,247 |
|
| $ | - |
|
| $ | - |
|
| $ | 57,247 |
| ||||
Cash flow hedges |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
Forward exchange contracts |
|
| - |
|
|
| 54,127 |
|
|
| - |
|
|
| 54,127 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
|
| $ | 57,247 |
|
| $ | 54,127 |
|
| $ | - |
|
| $ | 111,374 |
|
(Concluded)
Reconciliation of Level 3 fair value measurements of financial assets
The financial assets measured at Level 3 fair value were financial assets at FVTPL and equity investments classified as financial assets at FVTOCI. Reconciliations for the three months ended March 31, 2020 and 2019 were as follows:
Valuation techniques and assumptions used in Level 2 fair value measurement
The fair values of financial assets and financial liabilities are determined as follows:
| ● | The fair values of corporate bonds, agency bonds, agency mortgage-backed securities, asset-backed securities, government bonds and non-publicly traded equity investments are determined by quoted market prices provided by third party pricing services. |
| ● | Forward exchange contracts are measured using forward exchange rates and the discounted curves that are derived from quoted market prices. |
| ● | The fair value of accounts receivables classified as at FVTOCI is determined by the present value of future cash flows based on the discount rate that reflects the credit risk of counterparties. |
Valuation techniques and assumptions used in Level 3 fair value measurement
The fair values of non-publicly traded equity investments are mainly determined by using the asset approach and market approach.
The asset approach takes into account the net asset value measured at the fair value by independent parties. On March 31, 2020, December 31, 2019 and March 31, 2019, the Company uses unobservable inputs derived from discount for lack of marketability by 10%. When other inputs remain equal, the fair value will decrease by NT$34,937 thousand, NT$34,843 thousand and NT$30,782 thousand if discounts for lack of marketability increase by 1%.
For the remaining few investments, the market approach is used to arrive at their fair values, for which the recent financing activities of investees, the market transaction prices of the similar companies and market conditions are considered.
46
In addition, the fair values of convertible bonds are determined by the present value of future cash flow based on a discount rate reflecting issuer’s credit spread and market conditions, combined with the fair value of conversion option estimated by the option pricing model considering recent financing activities of the investee and market transaction prices of the similar companies.
| 3) | Fair value of financial instruments that are not measured at fair value |
Except as detailed in the following table, the Company considers that the carrying amounts of financial instruments in the consolidated financial statements that are not measured at fair value approximate their fair values.
Fair value hierarchy
The table below sets out the fair value hierarchy for the Company’s assets and liabilities which are not required to measure at fair value:
| March 31, 2020 | |||||||||
|
| Carrying |
| Level 2 | ||||||
|
| Amount |
| Fair Value | ||||||
|
|
|
|
| ||||||
Financial assets |
|
|
|
| ||||||
|
|
|
|
| ||||||
Financial assets at amortized costs |
|
|
|
| ||||||
| $ | 7,712,526 |
|
| $ | 7,623,253 |
| |||
|
|
|
|
|
|
|
|
| ||
Financial liabilities |
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
| ||
Financial liabilities at amortized costs |
|
|
|
|
|
|
|
| ||
| $ | 59,275,148 |
|
| $ | 60,091,863 |
| |||
|
| 2,992,858 |
|
|
| 2,989,622 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 62,268,006 |
|
| $ | 63,081,485 |
|
| December 31, 2019 | |||||||||
|
| Carrying |
| Level 2 | ||||||
|
| Amount |
| Fair Value | ||||||
|
|
|
|
| ||||||
Financial assets |
|
|
|
| ||||||
|
|
|
|
| ||||||
Financial assets at amortized costs |
|
|
|
| ||||||
Corporate bonds |
| $ | 7,648,798 |
|
| $ | 7,718,731 |
| ||
|
|
|
|
|
|
|
|
| ||
Financial liabilities |
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
| ||
Financial liabilities at amortized costs |
|
|
|
|
|
|
|
| ||
Bonds payable |
| $ | 56,900,000 |
|
| $ | 57,739,115 |
|
47
| March 31, 2019 | |||||||||
|
| Carrying |
| Level 2 | ||||||
|
| Amount |
| Fair Value | ||||||
|
|
|
|
| ||||||
Financial assets |
|
|
|
| ||||||
|
|
|
|
| ||||||
Financial assets at amortized costs |
|
|
|
| ||||||
Corporate bonds |
| $ | 10,946,613 |
|
| $ | 11,031,635 |
| ||
Commercial paper |
|
| 1,097,194 |
|
|
| 1,099,932 |
| ||
|
|
|
|
|
|
|
|
| ||
|
| $ | 12,043,807 |
|
| $ | 12,131,567 |
| ||
|
|
|
|
|
|
|
|
| ||
Financial liabilities |
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
| ||
Financial liabilities at amortized costs |
|
|
|
|
|
|
|
| ||
Bonds payable |
| $ | 83,400,000 |
|
| $ | 84,633,252 |
|
Valuation techniques and assumptions used in Level 2 fair value measurement
The fair values of corporate bonds and the Company’s bonds payable are determined by quoted market prices provided by third party pricing services.
The fair values of commercial paper and the Company’s short-term bills payable are determined by the present value of future cash flows based on the discounted curves that are derived from the quoted market prices.
31. | RELATED PARTY TRANSACTIONS |
Intercompany balances and transactions between TSMC and its subsidiaries, which are related parties of TSMC, have been eliminated upon consolidation; therefore those items are not disclosed in this note. The following is a summary of significant transactions between the Company and other related parties:
| a. | Related party name and categories |
Related Party Name |
| Related Party Categories |
|
|
|
GUC |
| Associates |
VIS |
| Associates |
SSMC |
| Associates |
Xintec |
| Associates |
TSMC Education and Culture Foundation |
| Other related parties |
TSMC Charity Foundation |
| Other related parties |
| b. | Net revenue |
|
|
| Three Months Ended March 31 | |||||||||
|
|
|
| 2020 |
| 2019 | ||||||
|
|
|
|
|
|
| ||||||
Item |
| Related Party Categories |
|
|
|
| ||||||
|
|
|
|
|
|
| ||||||
| Associates |
| $ | 1,817,399 |
|
| $ | 1,469,598 |
| |||
|
|
|
|
|
|
|
|
|
|
| ||
| Associates |
| $ | 51,547 |
|
| $ | 43,919 |
|
48
| c. | Purchases |
| d. | Receivables from related parties |
|
|
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
|
|
| |||||||||
Item |
| Related Party Name/Categories |
|
|
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
| |||||||||
| GUC |
| $ | 275,942 |
|
| $ | 741,898 |
|
| $ | 303,556 |
| ||||
| Xintec |
|
| 151,946 |
|
|
| 120,172 |
|
|
| 6,265 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
|
| $ | 427,888 |
|
| $ | 862,070 |
|
| $ | 309,821 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
| SSMC |
| $ | 48,461 |
|
| $ | 46,506 |
|
| $ | 44,397 |
| ||||
| VIS |
|
| 10,664 |
|
|
| 3,920 |
|
|
| 3,506 |
| ||||
| Other associates |
|
| 1,045 |
|
|
| 1,227 |
|
|
| 771 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
|
| $ | 60,170 |
|
| $ | 51,653 |
|
| $ | 48,674 |
|
| e. | Payables to related parties |
|
|
| March 31, 2020 |
| December 31, 2019 |
| March 31, 2019 | ||||||||||
|
|
|
|
|
|
|
|
| |||||||||
Item |
| Related Party Name/Categories |
|
|
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
| |||||||||
| Xintec |
| $ | 793,763 |
|
| $ | 736,860 |
|
| $ | 101,703 |
| ||||
| SSMC |
|
| 430,648 |
|
|
| 487,944 |
|
|
| 164,403 |
| ||||
| VIS |
|
| 244,861 |
|
|
| 153,977 |
|
|
| 273,032 |
| ||||
| Other associates |
|
| 21,907 |
|
|
| 56,119 |
|
|
| 21,803 |
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
|
| $ | 1,491,179 |
|
| $ | 1,434,900 |
|
| $ | 560,941 |
|
| f. | Others |
|
|
| Three Months Ended March 31 | |||||||||
|
|
|
| 2020 |
| 2019 | ||||||
|
|
|
|
|
|
| ||||||
Item |
| Related Party Categories |
|
|
|
| ||||||
|
|
|
|
|
|
| ||||||
| Associates |
| $ | 957,286 |
|
| $ | 196,686 |
| |||
|
|
|
|
|
|
|
|
|
|
| ||
| Associates |
| $ | 21,602 |
|
| $ | 20,829 |
| |||
|
|
|
|
|
|
|
|
|
|
| ||
| Other related parties |
| $ | 30,000 |
|
| $ | 30,000 |
|
49
The sales prices and payment terms to related parties were not significantly different from those of sales to third parties. For other related party transactions, price and terms were determined in accordance with mutual agreements.
The Company leased factory and office from associates. The lease terms and prices were both determined in accordance with mutual agreements. The rental expenses were paid to associates monthly; the related expenses were both classified under manufacturing expenses.
| g. | Compensation of key management personnel |
The compensation to directors and other key management personnel for the three months ended March 31, 2020 and 2019 were as follows:
| Three Months Ended March 31 | |||||||||
|
| 2020 |
| 2019 | ||||||
|
|
|
|
| ||||||
| $ | 558,301 |
|
| $ | 334,198 |
| |||
|
| 652 |
|
|
| 761 |
| |||
|
|
|
|
|
|
|
|
| ||
| $ | 558,953 |
|
| $ | 334,959 |
|
The compensation to directors and other key management personnel were determined by the Compensation Committee of TSMC in accordance with the individual performance and the market trends.
32. | PLEDGED ASSETS |
The Company provided certificate of deposits recorded in other financial assets as collateral mainly for building lease agreements. As of March 31, 2020, December 31, 2019 and March 31, 2019, the aforementioned other financial assets amounted to NT$115,060 thousand, NT$114,467 thousand and NT$115,443 thousand, respectively.
33. | SIGNIFICANT CONTINGENT LIABILITIES AND UNRECOGNIZED COMMITMENTS |
Significant contingent liabilities and unrecognized commitments of the Company as of the end of the reporting period, excluding those disclosed in other notes, were as follows:
| a. | Under a technical cooperation agreement with Industrial Technology Research Institute, the R.O.C. Government or its designee approved by TSMC can use up to 35% of TSMC’s capacity provided TSMC’s outstanding commitments to its customers are not prejudiced. The term of this agreement is for five years beginning from January 1, 1987 and is automatically renewed for successive periods of five years unless otherwise terminated by either party with one year prior notice. As of March 31, 2020, the R.O.C. Government did not invoke such right. |
50
| SSMC for all related unavoidable costs. There was no default from the aforementioned commitment as of March 31, 2020. |
| c. | On September 28, 2017, TSMC was contacted by the European Commission (the “Commission”), which asked us for information and documents concerning alleged anti-competitive practices in relation to semiconductor sales. We cooperated continuously with the Commission to provide the requested information and documents. The Commission subsequently decided to close the investigation in May 2020. |
| d. | TSMC entered into long-term purchase agreements of material with multiple suppliers. The relative minimum purchase quantity and price are specified in the agreements. |
| e. | TSMC entered into a long-term purchase agreement of equipment. The relative purchase quantity and price are specified in the agreement. |
| f. | TSMC entered into long-term energy purchase agreements with multiple suppliers. The relative purchase period, quantity and price are specified in the agreements. |
| g. | Amounts available under unused letters of credit as of March 31, 2020, December 31, 2019 and March 31, 2019 were NT$60,478 thousand, NT$59,976 thousand and NT$61,660 thousand, respectively. |
34. | EXCHANGE RATE INFORMATION OF FOREIGN-CURRENCY FINANCIAL ASSETS AND LIABILITIES |
The following information was summarized according to the foreign currencies other than the functional currency of the Company. The exchange rates disclosed were used to translate the foreign currencies into the functional currency. The significant financial assets and liabilities denominated in foreign currencies were as follows:
| Foreign Currencies (In Thousands) |
| Exchange Rate (Note 1) |
| Carrying Amount (In Thousands) | |||||||||
|
|
|
|
|
|
| ||||||||
March 31, 2020 |
|
|
|
|
|
| ||||||||
|
|
|
|
|
|
| ||||||||
Financial assets |
|
|
|
|
|
| ||||||||
|
|
|
|
|
|
| ||||||||
Monetary items |
|
|
|
|
|
| ||||||||
| $ | 4,894,616 |
|
|
| 30.239 |
|
| $ | 148,008,282 |
| |||
|
| 440,722 |
|
|
| 7.093 | (Note 2) |
|
| 13,326,995 |
| |||
|
| 9,063 |
|
|
| 33.351 |
|
|
| 302,276 |
| |||
|
| 79,502,028 |
|
|
| 0.2796 |
|
|
| 22,228,767 |
| |||
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Financial liabilities |
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Monetary items |
|
|
|
|
|
|
|
|
|
|
|
| ||
|
| 7,142,327 |
|
|
| 30.239 |
|
|
| 215,976,813 |
| |||
|
| 3,587,165 |
|
|
| 33.351 |
|
|
| 119,635,540 |
| |||
|
| 76,647,662 |
|
|
| 0.2796 |
|
|
| 21,430,686 |
|
(Continued)
51
|
| Foreign Currencies (In Thousands) |
| Exchange Rate (Note 1) |
| Carrying Amount (In Thousands) | ||||||||
|
|
|
|
|
|
| ||||||||
|
|
|
|
|
| |||||||||
|
|
|
|
|
|
| ||||||||
Financial assets |
|
|
|
|
|
| ||||||||
|
|
|
|
|
|
| ||||||||
Monetary items |
|
|
|
|
|
| ||||||||
USD |
| $ | 4,725,056 |
|
|
| 29.988 |
|
| $ | 141,694,967 |
| ||
USD |
|
| 455,984 |
|
|
| 6.966 | (Note 2 ) |
|
| 13,674,047 |
| ||
EUR |
|
| 3,638 |
|
|
| 33.653 |
|
|
| 122,418 |
| ||
JPY |
|
| 72,369,239 |
|
|
| 0.2751 |
|
|
| 19,908,778 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Financial liabilities |
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Monetary items |
|
|
|
|
|
|
|
|
|
|
|
| ||
USD |
|
| 6,018,287 |
|
|
| 29.988 |
|
|
| 180,476,401 |
| ||
EUR |
|
| 2,551,824 |
|
|
| 33.653 |
|
|
| 85,876,547 |
| ||
JPY |
|
| 101,455,514 |
|
|
| 0.2751 |
|
|
| 27,910,412 |
| ||
|
|
|
|
|
|
|
|
|
|
|
| |||
March 31, 2019 |
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Financial assets |
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Monetary items |
|
|
|
|
|
|
|
|
|
|
|
| ||
USD |
|
| 3,885,072 |
|
|
| 30.830 |
|
|
| 119,776,760 |
| ||
USD |
|
| 348,046 |
|
|
| 6.720 | (Note 2) |
|
| 10,730,247 |
| ||
EUR |
|
| 7,963 |
|
|
| 34.68 |
|
|
| 276,149 |
| ||
JPY |
|
| 961,694 |
|
|
| 0.2796 |
|
|
| 268,890 |
| ||
Non-monetary items |
|
|
|
|
|
|
|
|
|
|
|
| ||
HKD |
|
| 167,571 |
|
|
| 3.93 |
|
|
| 658,556 |
| ||
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Financial liabilities |
|
|
|
|
|
|
|
|
|
|
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Monetary items |
|
|
|
|
|
|
|
|
|
|
|
| ||
USD |
|
| 4,368,580 |
|
|
| 30.830 |
|
|
| 134,683,321 |
| ||
EUR |
|
| 517,367 |
|
|
| 34.68 |
|
|
| 17,942,289 |
| ||
JPY |
|
| 79,536,948 |
|
|
| 0.2796 |
|
|
| 22,238,531 |
|
(Concluded)
| Note 1: | Except as otherwise noted, exchange rate represents the number of NT dollar for which one foreign currency could be exchanged. |
| Note 2: | The exchange rate represents the number of RMB for which one U.S. dollar could be exchanged. |
Please refer to the consolidated statements of comprehensive income for the total of realized and unrealized foreign exchange gain and loss for the three months ended March 31, 2020 and 2019, respectively. Since there were varieties of foreign currency transactions and functional currencies within the subsidiaries of the Company, the Company was unable to disclose foreign exchange gain (loss) towards each foreign currency with significant impact.
52
35.SIGNIFICANT OPERATION LOSSES
On January 19, 2019, the Company discovered a wafer contamination issue in a fab in Taiwan caused by a batch of unqualified photoresist materials. After investigation, the Company immediately stopped using the unqualified materials. An estimated loss of NT$3,400,000 thousand related to this event was recognized in cost of revenue for the three months ended March 31, 2019.
36. | ADDITIONAL DISCLOSURES |
Following are the additional disclosures required by the Securities and Futures Bureau for TSMC:
| a. | Financings provided: See Table 1 attached; |
| b. | Endorsement/guarantee provided: See Table 2 attached; |
| c. | Marketable securities held (excluding investments in subsidiaries and associates): See Table 3 attached; |
| d. | Marketable securities acquired and disposed of at costs or prices of at least NT$300 million or 20% of the paid-in capital: See Table 4 attached; |
| e. | Acquisition of individual real estate properties at costs of at least NT$300 million or 20% of the paid-in capital: See Table 5 attached; |
| f. | Disposal of individual real estate properties at prices of at least NT$300 million or 20% of the paid-in capital: None; |
| g. | Total purchases from or sales to related parties of at least NT$100 million or 20% of the paid-in capital: See Table 6 attached; |
| h. | Receivables from related parties amounting to at least NT$100 million or 20% of the paid-in capital: See Table 7 attached; |
| i. | Information about the derivative financial instruments transaction: See Notes 7 and 10; |
| j. | Others: The business relationship between the parent and the subsidiaries and significant transactions between them: See Table 8 attached; |
| k. | Names, locations, and related information of investees over which TSMC exercises significant influence (excluding information on investment in mainland China): See Table 9 attached; |
| l. | Information on investment in mainland China |
| 1) | The name of the investee in mainland China, the main businesses and products, its issued capital, method of investment, information on inflow or outflow of capital, percentage of ownership, income (losses) of the investee, share of profits/losses of investee, ending balance, amount received as dividends from the investee, and the limitation on investee: See Table 10 attached. |
| 2) | Significant direct or indirect transactions with the investee, its prices and terms of payment, unrealized gain or loss, and other related information which is helpful to understand the impact of investment in mainland China on financial reports: See Table 8 attached. |
| m. | Information of major shareholder |
List of all shareholders with ownership of 5 percent or greater showing the names and the number of shares and percentage of ownership held by each shareholder: See Table 11 attached.
53
37. | OPERATING SEGMENTS INFORMATION |
TSMC’s chief operating decision makers periodically review operating results, focusing on operating income generated by foundry segment. Operating results are used for resource allocation and/or performance assessment. As a result, the Company has only one operating segment, the foundry segment. The foundry segment engages mainly in the manufacturing, selling, packaging, testing and computer-aided design of integrated circuits and other semiconductor devices and the manufacturing of masks.
The basis for the measurement of income from operations is the same as that for the preparation of financial statements. Please refer to the consolidated statements of comprehensive income for the related segment revenue and operating results.
54
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
FINANCINGS PROVIDED
FOR THE THREE MONTHS ENDED MARCH 31, 2020
(Amounts in Thousands of New Taiwan Dollars, Unless Specified Otherwise)
No. | Financing Company | Counterparty | Financial Statement Account | Related Party | Maximum Balance for the Period (Foreign Currencies in Thousands) (Note 3) | Ending Balance (Foreign Currencies in Thousands) (Note 3) | Amount Actually Drawn (Foreign Currencies in Thousands) | Interest Rate | Nature for Financing (Note 4) | Transaction Amounts | Reason for Financing (Note 4) | Allowance for Bad Debt | Collateral | Financing Limits for Each Borrowing Company (Notes 1 and 2) | Financing Company’s Total Financing Amount Limits (Notes 1 and 2) | |||||||||||||||||||||||||||
Item | Value | |||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||||||||||
1 | TSMC China | TSMC Nanjing
| Other receivables from related parties | Yes | $ (RMB (US$ | 38,763,404 6,000,000 436,000 |
)& ) | $ (RMB (US$ | 37,910,764 5,800,000 436,000 |
)& ) | $ (RMB (US$ | 23,063,914 4,800,000 86,000 |
)& ) |
| 1.50-1.96% |
| The need for long-term financing | $ | - |
| Operating capital | $ | - |
| - | $ | - |
| $ | 58,438,313 |
| $ | 58,438,313 |
| ||||||||
2 | TSMC Global | TSMC | Other receivables from related parties | Yes |
(US$ | 93,740,900 3,100,000 |
) |
(US$ | 93,740,900 3,100,000 |
) |
(US$ | 93,740,900 3,100,000 |
) |
| 0.00% |
| The need for short-term financing |
| - |
| Operating capital |
| - |
| - |
| - |
|
| 403,318,967 |
|
| 403,318,967 |
| ||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note 1: | The total amount available for lending purpose shall not exceed the net worth of TSMC China. The total amount for lending to a company for funding for a short-term period shall not exceed ten percent (10%) of the net worth of TSMC China. In addition, the total amount lendable to any one borrower shall be no more than thirty percent (30%) of the borrower’s net worth. The above restriction does not apply to the subsidiaries whose voting shares are 100% owned, directly or indirectly, by TSMC. However, the total amount lendable to any such subsidiary of TSMC shall not exceed forty percent (40%) of the net worth of TSMC China. When there is a lending for funding needs by TSMC China to TSMC, or to the subsidiaries whose voting shares are 100% owned, directly or indirectly, by TSMC, which are not located in Taiwan, the lending will not be subject to the restriction set forth in the above paragraph of this Article. Notwithstanding the foregoing, the aggregate amount available for lending to such borrowers and the total amount lendable to each of such borrowers still shall not exceed the net worth of TSMC China. |
Note 2: | The total amount available for lending purpose shall not exceed the net worth of TSMC Global. The total amount for lending to a company for funding for a short-term period shall not exceed ten percent (10%) of the net worth of TSMC Global. In addition, the total amount lendable to any one borrower shall be no more than thirty percent (30%) of the borrower’s net worth. While TSMC, or foreign subsidiaries whose voting shares are 100% owned, directly or indirectly, by TSMC will not be subject to this restriction, their total borrowing amount still shall not exceed the net worth of TSMC Global. Notwithstanding the foregoing, the aggregate amount for lending to Taiwan companies other than TSMC shall not exceed forty percent (40%) of the net worth of TSMC Global. |
Note 3: | The maximum balance for the period and ending balance represent the amounts approved by the Board of Directors. |
Note 4: | The restriction of the term of each loan for funding not exceeding one year shall not apply to inter-company loans for funding between offshore subsidiaries in which the Company holds, directly or indirectly, 100% of the voting shares. |
55
TABLE 2
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
ENDORSEMENTS/GUARANTEES PROVIDED
FOR THE THREE MONTHS ENDED MARCH 31, 2020
(Amounts in Thousands of New Taiwan Dollars, Unless Specified Otherwise)
No. | Endorsement/ Guarantee Provider | Guaranteed Party | Limits on Endorsement/ Guarantee Amount Provided to Each Guaranteed Party (Notes 1 and 2) | Maximum Balance (Note 3) | Ending Balance (Note 3) | Amount Actually Drawn (US$ in Thousands) | Amount of Endorsement/ Guarantee Collateralized by Properties | Ratio of Accumulated Endorsement/ Guarantee to Net Equity per Latest Financial Statements | Maximum Endorsement/ Guarantee Amount Allowable (Note 1 and 2) | Guarantee Provided by Parent Company | Guarantee Provided by A Subsidiary | Guarantee Provided to Subsidiaries in Mainland China | |||||||||||||||||||||
Name | Nature of Relationship | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||||
0 | TSMC | TSMC North America | Subsidiary | $ | 419,066,500 |
| $ (US$ | 2,516,287 83,213 |
) | $ (US$ | 2,516,287 83,213 |
) | $ (US$ | 2,516,287 83,213 |
) | $ | - |
|
| 0.15% |
| $ | 419,066,500 |
| Yes | No | No | ||||||
1 | TSMC Japan | TSMC JDC | The same parent company |
| 167,626,600 |
|
(JPY | 369,072 1,320,000 |
) |
(JPY | 369,072 1,320,000 |
) |
(JPY | 369,072 1,320,000 |
) |
| - |
|
| 0.02% |
|
| 167,626,600 |
| No | No | No | ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note 1: | The total amount of the guarantee provided by TSMC to any individual entity shall not exceed ten percent (10%) of TSMC’s net worth, or the net worth of such entity. However, subsidiaries whose voting shares are 100% owned, directly or indirectly, by TSMC are not subject to the above restrictions after the approval of the Board of Directors. The total amount of guarantee shall not exceed twenty-five percent (25%) of TSMC’s net worth. |
Note 2: | The total amount of the guarantee provided by TSMC Japan to any individual entity shall not exceed ten percent (10%) of TSMC’s net worth. The total amount of guarantee shall not exceed ten percent (10%) of TSMC’s net worth. |
Note 3: | The maximum balance for the period and ending balance represent the amounts approved by the Board of Directors. |
56
TABLE 3
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
MARKETABLE SECURITIES HELD
MARCH 31, 2020
(Amounts in Thousands of New Taiwan Dollars, Unless Specified Otherwise)
Holding Company Name | Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | |||||||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||||
TSMC | Non-publicly traded equity investments |
|
|
|
|
|
|
| ||||||||||||
| United Industrial Gases Co., Ltd. | - | Financial assets at fair value through other comprehensive income |
| 21,230 |
| $ | 483,034 |
|
| 10 |
| $ | 483,034 |
|
| ||||
| Shin-Etsu Handotai Taiwan Co., Ltd. | - | 〃 |
| 10,500 |
|
| 321,636 |
|
| 7 |
|
| 321,636 |
|
| ||||
| Global Investment Holding Inc. | - | 〃 |
| 11,124 |
|
| 80,447 |
|
| 6 |
|
| 80,447 |
|
| ||||
| W.K. Technology Fund IV | - | 〃 |
| 806 |
|
| 6,942 |
|
| 2 |
|
| 6,942 |
|
| ||||
| Crimson Asia Capital | - | 〃 |
| - |
|
| 2,643 |
|
| 1 |
|
| 2,643 |
|
| ||||
| Horizon Ventures Fund | - | 〃 |
| - |
|
| 510 |
|
| 12 |
|
| 510 |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
TSMC Partners | Non-publicly traded equity investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| China Walden Venture Investments II, L.P. | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 9,467 |
|
| 9 |
| US$ | 9,467 |
|
| ||||
| Shanghai Walden Venture Capital Enterprise | - | 〃 |
| - |
| US$ | 8,487 |
|
| 6 |
| US$ | 8,487 |
|
| ||||
| Inpria Corporation | - | 〃 |
| 1,778 |
| US$ | 3,600 |
|
| 4 |
| US$ | 3,600 |
|
| ||||
| China Walden Venture Investments III, L.P. | - | 〃 |
| - |
| US$ | 3,515 |
|
| 4 |
| US$ | 3,515 |
|
| ||||
| Mcube Inc. | - | 〃 |
| 6,333 |
|
| - |
| �� | 12 |
|
| - |
|
| ||||
| Tela Innovations | - | 〃 |
| 10,440 |
|
| - |
|
| 25 |
|
| - |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
TSMC Global | Corporate bond |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
| Bank of America Corp | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 50,921 |
|
| N/A |
| US$ | 50,921 |
|
| ||||
| Morgan Stanley | - | 〃 |
| - |
| US$ | 43,401 |
|
| N/A |
| US$ | 43,401 |
|
| ||||
| Citigroup Inc | - | 〃 |
| - |
| US$ | 41,122 |
|
| N/A |
| US$ | 41,122 |
|
| ||||
| Goldman Sachs Group Inc/The | - | 〃 |
| - |
| US$ | 37,496 |
|
| N/A |
| US$ | 37,496 |
|
| ||||
| JPMorgan Chase & Co | - | 〃 |
| - |
| US$ | 33,079 |
|
| N/A |
| US$ | 33,079 |
|
| ||||
| AbbVie Inc | - | 〃 |
| - |
| US$ | 31,781 |
|
| N/A |
| US$ | 31,781 |
|
| ||||
| Wells Fargo & Co | - | 〃 |
| - |
| US$ | 27,181 |
|
| N/A |
| US$ | 27,181 |
|
| ||||
| AT&T Inc | - | 〃 |
| - |
| US$ | 25,476 |
|
| N/A |
| US$ | 25,476 |
|
| ||||
| Bristol-Myers Squibb Co | - | 〃 |
| - |
| US$ | 23,417 |
|
| N/A |
| US$ | 23,417 |
|
| ||||
| Sumitomo Mitsui Financial Group Inc | - | 〃 |
| - |
| US$ | 22,161 |
|
| N/A |
| US$ | 22,161 |
|
| ||||
| CVS Health Corp | - | 〃 |
| - |
| US$ | 22,134 |
|
| N/A |
| US$ | 22,134 |
|
| ||||
| Apple Inc | - | 〃 |
| - |
| US$ | 20,441 |
|
| N/A |
| US$ | 20,441 |
|
| ||||
| Mitsubishi UFJ Financial Group Inc | - | 〃 |
| - |
| US$ | 20,304 |
|
| N/A |
| US$ | 20,304 |
|
| ||||
| HSBC Holdings PLC | - | 〃 |
| - |
| US$ | 19,467 |
|
| N/A |
| US$ | 19,467 |
|
| ||||
| Toronto-Dominion Bank/The | - | 〃 |
| - |
| US$ | 18,432 |
|
| N/A |
| US$ | 18,432 |
|
| ||||
| General Dynamics Corp | - | 〃 |
| - |
| US$ | 16,276 |
|
| N/A |
| US$ | 16,276 |
|
| ||||
| Walt Disney Co/The | - | 〃 |
| - |
| US$ | 16,228 |
|
| N/A |
| US$ | 16,228 |
|
| ||||
| Comcast Corp | - | 〃 |
| - |
| US$ | 15,684 |
|
| N/A |
| US$ | 15,684 |
|
| ||||
| Santander UK PLC | - | 〃 |
| - |
| US$ | 15,388 |
|
| N/A |
| US$ | 15,388 |
|
| ||||
| Credit Agricole SA/London | - | 〃 |
| - |
| US$ | 14,488 |
|
| N/A |
| US$ | 14,488 |
|
| ||||
| Mizuho Financial Group Inc | - | 〃 |
| - |
| US$ | 12,844 |
|
| N/A |
| US$ | 12,844 |
|
| ||||
| BNP Paribas SA | - | 〃 |
| - |
| US$ | 12,552 |
|
| N/A |
| US$ | 12,552 |
|
| ||||
| Verizon Communications Inc | - | 〃 |
| - |
| US$ | 12,530 |
|
| N/A |
| US$ | 12,530 |
|
| ||||
| Banco Santander SA | - | 〃 |
| - |
| US$ | 12,249 |
|
| N/A |
| US$ | 12,249 |
|
| ||||
| Thermo Fisher Scientific Inc | - | 〃 |
| - |
| US$ | 11,687 |
|
| N/A |
| US$ | 11,687 |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
57
Holding Company Name | Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | |||||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
TSMC Global | Skandinaviska Enskilda Banken AB | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 11,565 |
|
| N/A |
| US$ | 11,565 |
|
| ||
| ERAC USA Finance LLC | - | 〃 |
| - |
| US$ | 11,486 |
|
| N/A |
| US$ | 11,486 |
|
| ||
| UBS Group Funding Switzerland AG | - | 〃 |
| - |
| US$ | 11,471 |
|
| N/A |
| US$ | 11,471 |
|
| ||
| BPCE SA | - | 〃 |
| - |
| US$ | 11,440 |
|
| N/A |
| US$ | 11,440 |
|
| ||
| Banque Federative du Credit Mutuel SA | - | 〃 |
| - |
| US$ | 11,245 |
|
| N/A |
| US$ | 11,245 |
|
| ||
| Metropolitan Life Global Funding I | - | 〃 |
| - |
| US$ | 11,164 |
|
| N/A |
| US$ | 11,164 |
|
| ||
| BAT Capital Corp | - | 〃 |
| - |
| US$ | 10,882 |
|
| N/A |
| US$ | 10,882 |
|
| ||
| Nationwide Building Society | - | 〃 |
| - |
| US$ | 10,746 |
|
| N/A |
| US$ | 10,746 |
|
| ||
| NIKE Inc | - | 〃 |
| - |
| US$ | 10,698 |
|
| N/A |
| US$ | 10,698 |
|
| ||
| American International Group Inc | - | 〃 |
| - |
| US$ | 10,657 |
|
| N/A |
| US$ | 10,657 |
|
| ||
| Lloyds Banking Group PLC | - | 〃 |
| - |
| US$ | 10,547 |
|
| N/A |
| US$ | 10,547 |
|
| ||
| Bank of Nova Scotia/The | - | 〃 |
| - |
| US$ | 10,429 |
|
| N/A |
| US$ | 10,429 |
|
| ||
| Equifax Inc | - | 〃 |
| - |
| US$ | 10,390 |
|
| N/A |
| US$ | 10,390 |
|
| ||
| DTE Energy Co | - | 〃 |
| - |
| US$ | 10,332 |
|
| N/A |
| US$ | 10,332 |
|
| ||
| Hewlett Packard Enterprise Co | - | 〃 |
| - |
| US$ | 10,302 |
|
| N/A |
| US$ | 10,302 |
|
| ||
| Ryder System Inc | - | 〃 |
| - |
| US$ | 10,276 |
|
| N/A |
| US$ | 10,276 |
|
| ||
| Credit Suisse AG/New York NY | - | 〃 |
| - |
| US$ | 9,873 |
|
| N/A |
| US$ | 9,873 |
|
| ||
| Macquarie Bank Ltd | - | 〃 |
| - |
| US$ | 9,841 |
|
| N/A |
| US$ | 9,841 |
|
| ||
| TJX Cos Inc/The | - | 〃 |
| - |
| US$ | 9,388 |
|
| N/A |
| US$ | 9,388 |
|
| ||
| SMBC Aviation Capital Finance DAC | - | 〃 |
| - |
| US$ | 9,377 |
|
| N/A |
| US$ | 9,377 |
|
| ||
| Nordea Bank Abp | - | 〃 |
| - |
| US$ | 9,182 |
|
| N/A |
| US$ | 9,182 |
|
| ||
| Cox Communications Inc | - | 〃 |
| - |
| US$ | 8,975 |
|
| N/A |
| US$ | 8,975 |
|
| ||
| NextEra Energy Capital Holdings Inc | - | 〃 |
| - |
| US$ | 8,937 |
|
| N/A |
| US$ | 8,937 |
|
| ||
| Fiserv Inc | - | 〃 |
| - |
| US$ | 8,897 |
|
| N/A |
| US$ | 8,897 |
|
| ||
| Societe Generale SA | - | 〃 |
| - |
| US$ | 8,844 |
|
| N/A |
| US$ | 8,844 |
|
| ||
| Suncorp-Metway Ltd | - | 〃 |
| - |
| US$ | 8,840 |
|
| N/A |
| US$ | 8,840 |
|
| ||
| Tyson Foods Inc | - | 〃 |
| - |
| US$ | 8,691 |
|
| N/A |
| US$ | 8,691 |
|
| ||
| Penske Truck Leasing Co Lp/PTL Finance Corp | - | 〃 |
| - |
| US$ | 8,689 |
|
| N/A |
| US$ | 8,689 |
|
| ||
| Shire Acquisitions Investments Ireland DAC | - | 〃 |
| - |
| US$ | 8,387 |
|
| N/A |
| US$ | 8,387 |
|
| ||
| Scentre Group Trust 1/Scentre Group Trust 2 | - | 〃 |
| - |
| US$ | 8,316 |
|
| N/A |
| US$ | 8,316 |
|
| ||
| Canadian Imperial Bank of Commerce | - | 〃 |
| - |
| US$ | 8,287 |
|
| N/A |
| US$ | 8,287 |
|
| ||
| Capital One NA | - | 〃 |
| - |
| US$ | 8,227 |
|
| N/A |
| US$ | 8,227 |
|
| ||
| Inter-American Development Bank | - | 〃 |
| - |
| US$ | 8,154 |
|
| N/A |
| US$ | 8,154 |
|
| ||
| Truist Bank | - | 〃 |
| - |
| US$ | 8,125 |
|
| N/A |
| US$ | 8,125 |
|
| ||
| Athene Global Funding | - | 〃 |
| - |
| US$ | 8,111 |
|
| N/A |
| US$ | 8,111 |
|
| ||
| Reliance Standard Life Global Funding II | - | 〃 |
| - |
| US$ | 8,071 |
|
| N/A |
| US$ | 8,071 |
|
| ||
| New York Life Global Funding | - | 〃 |
| - |
| US$ | 7,937 |
|
| N/A |
| US$ | 7,937 |
|
| ||
| BB&T Corp | - | 〃 |
| - |
| US$ | 7,664 |
|
| N/A |
| US$ | 7,664 |
|
| ||
| Tencent Holdings Ltd | - | 〃 |
| - |
| US$ | 7,648 |
|
| N/A |
| US$ | 7,648 |
|
| ||
| Novartis Capital Corp | - | 〃 |
| - |
| US$ | 7,624 |
|
| N/A |
| US$ | 7,624 |
|
| ||
| Altria Group Inc | - | 〃 |
| - |
| US$ | 7,608 |
|
| N/A |
| US$ | 7,608 |
|
| ||
| Microsoft Corp | - | 〃 |
| - |
| US$ | 7,576 |
|
| N/A |
| US$ | 7,576 |
|
| ||
| Exxon Mobil Corp | - | 〃 |
| - |
| US$ | 7,512 |
|
| N/A |
| US$ | 7,512 |
|
| ||
| NatWest Markets PLC | - | 〃 |
| - |
| US$ | 7,455 |
|
| N/A |
| US$ | 7,455 |
|
| ||
| Intel Corp | - | 〃 |
| - |
| US$ | 7,447 |
|
| N/A |
| US$ | 7,447 |
|
| ||
| Midwest Connector Capital Co LLC | - | 〃 |
| - |
| US$ | 7,373 |
|
| N/A |
| US$ | 7,373 |
|
| ||
| ANZ New Zealand Int'l Ltd/London | - | 〃 |
| - |
| US$ | 7,220 |
|
| N/A |
| US$ | 7,220 |
|
| ||
| Fox Corp | - | 〃 |
| - |
| US$ | 7,204 |
|
| N/A |
| US$ | 7,204 |
|
| ||
| Jackson National Life Global Funding | - | 〃 |
| - |
| US$ | 7,170 |
|
| N/A |
| US$ | 7,170 |
|
| ||
| BG Energy Capital PLC | - | 〃 |
| - |
| US$ | 7,152 |
|
| N/A |
| US$ | 7,152 |
|
| ||
| International Business Machines Corp | - | 〃 |
| - |
| US$ | 7,135 |
|
| N/A |
| US$ | 7,135 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
58
Holding Company Name | Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | |||||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
TSMC Global | Bank of Montreal | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 7,129 |
|
| N/A |
| US$ | 7,129 |
|
| ||
| Huntington Bancshares Inc/OH | - | 〃 |
| - |
| US$ | 7,128 |
|
| N/A |
| US$ | 7,128 |
|
| ||
| BP Capital Markets America Inc | - | 〃 |
| - |
| US$ | 7,035 |
|
| N/A |
| US$ | 7,035 |
|
| ||
| Oracle Corp | - | 〃 |
| - |
| US$ | 7,034 |
|
| N/A |
| US$ | 7,034 |
|
| ||
| Prudential Funding LLC | - | 〃 |
| - |
| US$ | 7,032 |
|
| N/A |
| US$ | 7,032 |
|
| ||
| Deere & Co | - | 〃 |
| - |
| US$ | 6,863 |
|
| N/A |
| US$ | 6,863 |
|
| ||
| Air Lease Corp | - | 〃 |
| - |
| US$ | 6,823 |
|
| N/A |
| US$ | 6,823 |
|
| ||
| Credit Suisse Group AG | - | 〃 |
| - |
| US$ | 6,786 |
|
| N/A |
| US$ | 6,786 |
|
| ||
| Western Union Co/The | - | 〃 |
| - |
| US$ | 6,740 |
|
| N/A |
| US$ | 6,740 |
|
| ||
| PNC Bank NA | - | 〃 |
| - |
| US$ | 6,656 |
|
| N/A |
| US$ | 6,656 |
|
| ||
| ING Groep NV | - | 〃 |
| - |
| US$ | 6,620 |
|
| N/A |
| US$ | 6,620 |
|
| ||
| Coca-Cola Co/The | - | 〃 |
| - |
| US$ | 6,579 |
|
| N/A |
| US$ | 6,579 |
|
| ||
| Daimler Finance North America LLC | - | 〃 |
| - |
| US$ | 6,415 |
|
| N/A |
| US$ | 6,415 |
|
| ||
| Target Corp | - | 〃 |
| - |
| US$ | 6,336 |
|
| N/A |
| US$ | 6,336 |
|
| ||
| Cigna Corp | - | 〃 |
| - |
| US$ | 6,332 |
|
| N/A |
| US$ | 6,332 |
|
| ||
| Regions Financial Corp | - | 〃 |
| - |
| US$ | 6,186 |
|
| N/A |
| US$ | 6,186 |
|
| ||
| American Express Co | - | 〃 |
| - |
| US$ | 6,181 |
|
| N/A |
| US$ | 6,181 |
|
| ||
| Anheuser-Busch InBev Worldwide Inc | - | 〃 |
| - |
| US$ | 6,148 |
|
| N/A |
| US$ | 6,148 |
|
| ||
| DNB Bank ASA | - | 〃 |
| - |
| US$ | 6,104 |
|
| N/A |
| US$ | 6,104 |
|
| ||
| Macquarie Group Ltd | - | 〃 |
| - |
| US$ | 6,099 |
|
| N/A |
| US$ | 6,099 |
|
| ||
| Dominion Energy Gas Holdings LLC | - | 〃 |
| - |
| US$ | 6,000 |
|
| N/A |
| US$ | 6,000 |
|
| ||
| Analog Devices Inc | - | 〃 |
| - |
| US$ | 5,970 |
|
| N/A |
| US$ | 5,970 |
|
| ||
| Panasonic Corp | - | 〃 |
| - |
| US$ | 5,966 |
|
| N/A |
| US$ | 5,966 |
|
| ||
| Royal Bank of Canada | - | 〃 |
| - |
| US$ | 5,933 |
|
| N/A |
| US$ | 5,933 |
|
| ||
| AIG Global Funding | - | 〃 |
| - |
| US$ | 5,877 |
|
| N/A |
| US$ | 5,877 |
|
| ||
| Reckitt Benckiser Treasury Services PLC | - | 〃 |
| - |
| US$ | 5,875 |
|
| N/A |
| US$ | 5,875 |
|
| ||
| National Australia Bank Ltd/New York | - | 〃 |
| - |
| US$ | 5,854 |
|
| N/A |
| US$ | 5,854 |
|
| ||
| Fortive Corp | - | 〃 |
| - |
| US$ | 5,732 |
|
| N/A |
| US$ | 5,732 |
|
| ||
| Wells Fargo Bank NA | - | 〃 |
| - |
| US$ | 5,705 |
|
| N/A |
| US$ | 5,705 |
|
| ||
| Capital One Financial Corp | - | 〃 |
| - |
| US$ | 5,682 |
|
| N/A |
| US$ | 5,682 |
|
| ||
| WPP Finance 2010 | - | 〃 |
| - |
| US$ | 5,659 |
|
| N/A |
| US$ | 5,659 |
|
| ||
| Shell International Finance BV | - | 〃 |
| - |
| US$ | 5,518 |
|
| N/A |
| US$ | 5,518 |
|
| ||
| Roper Technologies Inc | - | 〃 |
| - |
| US$ | 5,498 |
|
| N/A |
| US$ | 5,498 |
|
| ||
| Anheuser-Busch InBev Finance Inc | - | 〃 |
| - |
| US$ | 5,486 |
|
| N/A |
| US$ | 5,486 |
|
| ||
| Alabama Power Co | - | 〃 |
| - |
| US$ | 5,428 |
|
| N/A |
| US$ | 5,428 |
|
| ||
| Bayer US Finance II LLC | - | 〃 |
| - |
| US$ | 5,420 |
|
| N/A |
| US$ | 5,420 |
|
| ||
| Mastercard Inc | - | 〃 |
| - |
| US$ | 5,258 |
|
| N/A |
| US$ | 5,258 |
|
| ||
| Sompo International Holdings Ltd | - | 〃 |
| - |
| US$ | 5,227 |
|
| N/A |
| US$ | 5,227 |
|
| ||
| Laboratory Corp of America Holdings | - | 〃 |
| - |
| US$ | 5,152 |
|
| N/A |
| US$ | 5,152 |
|
| ||
| Dominion Energy Inc | - | 〃 |
| - |
| US$ | 5,137 |
|
| N/A |
| US$ | 5,137 |
|
| ||
| CNA Financial Corp | - | 〃 |
| - |
| US$ | 5,016 |
|
| N/A |
| US$ | 5,016 |
|
| ||
| United Parcel Service Inc | - | 〃 |
| - |
| US$ | 4,971 |
|
| N/A |
| US$ | 4,971 |
|
| ||
| Bank of New York Mellon Corp/The | - | 〃 |
| - |
| US$ | 4,969 |
|
| N/A |
| US$ | 4,969 |
|
| ||
| National Bank of Canada | - | 〃 |
| - |
| US$ | 4,938 |
|
| N/A |
| US$ | 4,938 |
|
| ||
| Cooperatieve Rabobank UA | - | 〃 |
| - |
| US$ | 4,934 |
|
| N/A |
| US$ | 4,934 |
|
| ||
| BMW US Capital LLC | - | 〃 |
| - |
| US$ | 4,925 |
|
| N/A |
| US$ | 4,925 |
|
| ||
| Archer-Daniels-Midland Co | - | 〃 |
| - |
| US$ | 4,919 |
|
| N/A |
| US$ | 4,919 |
|
| ||
| Saudi Arabian Oil Co | - | 〃 |
| - |
| US$ | 4,864 |
|
| N/A |
| US$ | 4,864 |
|
| ||
| Florida Power & Light Co | - | 〃 |
| - |
| US$ | 4,852 |
|
| N/A |
| US$ | 4,852 |
|
| ||
| Five Corners Funding Trust | - | 〃 |
| - |
| US$ | 4,771 |
|
| N/A |
| US$ | 4,771 |
|
| ||
| John Deere Capital Corp | - | 〃 |
| - |
| US$ | 4,765 |
|
| N/A |
| US$ | 4,765 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
59
Holding Company Name | Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | |||||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
TSMC Global | Charles Schwab Corp/The | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 4,736 |
|
| N/A |
| US$ | 4,736 |
|
| ||
| Vodafone Group PLC | - | 〃 |
| - |
| US$ | 4,723 |
|
| N/A |
| US$ | 4,723 |
|
| ||
| AvalonBay Communities Inc | - | 〃 |
| - |
| US$ | 4,715 |
|
| N/A |
| US$ | 4,715 |
|
| ||
| Keurig Dr Pepper Inc | - | 〃 |
| - |
| US$ | 4,625 |
|
| N/A |
| US$ | 4,625 |
|
| ||
| American Express Credit Corp | - | 〃 |
| - |
| US$ | 4,589 |
|
| N/A |
| US$ | 4,589 |
|
| ||
| Home Depot Inc/The | - | 〃 |
| - |
| US$ | 4,581 |
|
| N/A |
| US$ | 4,581 |
|
| ||
| Enel Finance International NV | - | 〃 |
| - |
| US$ | 4,566 |
|
| N/A |
| US$ | 4,566 |
|
| ||
| NiSource Inc | - | 〃 |
| - |
| US$ | 4,560 |
|
| N/A |
| US$ | 4,560 |
|
| ||
| General Electric Co | - | 〃 |
| - |
| US$ | 4,559 |
|
| N/A |
| US$ | 4,559 |
|
| ||
| Procter & Gamble Co/The | - | 〃 |
| - |
| US$ | 4,508 |
|
| N/A |
| US$ | 4,508 |
|
| ||
| Svenska Handelsbanken AB | - | 〃 |
| - |
| US$ | 4,489 |
|
| N/A |
| US$ | 4,489 |
|
| ||
| Berkshire Hathaway Energy Co | - | 〃 |
| - |
| US$ | 4,476 |
|
| N/A |
| US$ | 4,476 |
|
| ||
| Lloyds Bank PLC | - | 〃 |
| - |
| US$ | 4,383 |
|
| N/A |
| US$ | 4,383 |
|
| ||
| Sempra Energy | - | 〃 |
| - |
| US$ | 4,317 |
|
| N/A |
| US$ | 4,317 |
|
| ||
| Eversource Energy | - | 〃 |
| - |
| US$ | 4,266 |
|
| N/A |
| US$ | 4,266 |
|
| ||
| Fifth Third Bancorp | - | 〃 |
| - |
| US$ | 4,266 |
|
| N/A |
| US$ | 4,266 |
|
| ||
| Duke Energy Corp | - | 〃 |
| - |
| US$ | 4,226 |
|
| N/A |
| US$ | 4,226 |
|
| ||
| Compass Bank | - | 〃 |
| - |
| US$ | 4,221 |
|
| N/A |
| US$ | 4,221 |
|
| ||
| Principal Life Global Funding II | - | 〃 |
| - |
| US$ | 4,191 |
|
| N/A |
| US$ | 4,191 |
|
| ||
| European Bank for Reconstruction & Development | - | 〃 |
| - |
| US$ | 4,177 |
|
| N/A |
| US$ | 4,177 |
|
| ||
| Welltower Inc | - | 〃 |
| - |
| US$ | 4,048 |
|
| N/A |
| US$ | 4,048 |
|
| ||
| Intercontinental Exchange Inc | - | 〃 |
| - |
| US$ | 4,035 |
|
| N/A |
| US$ | 4,035 |
|
| ||
| BOC Aviation Ltd | - | 〃 |
| - |
| US$ | 4,004 |
|
| N/A |
| US$ | 4,004 |
|
| ||
| Verisk Analytics Inc | - | 〃 |
| - |
| US$ | 3,968 |
|
| N/A |
| US$ | 3,968 |
|
| ||
| CenterPoint Energy Inc | - | 〃 |
| - |
| US$ | 3,929 |
|
| N/A |
| US$ | 3,929 |
|
| ||
| Alimentation Couche-Tard Inc | - | 〃 |
| - |
| US$ | 3,914 |
|
| N/A |
| US$ | 3,914 |
|
| ||
| Standard Chartered PLC | - | 〃 |
| - |
| US$ | 3,869 |
|
| N/A |
| US$ | 3,869 |
|
| ||
| Ameren Corp | - | 〃 |
| - |
| US$ | 3,863 |
|
| N/A |
| US$ | 3,863 |
|
| ||
| Exelon Corp | - | 〃 |
| - |
| US$ | 3,860 |
|
| N/A |
| US$ | 3,860 |
|
| ||
| Toyota Motor Credit Corp | - | 〃 |
| - |
| US$ | 3,849 |
|
| N/A |
| US$ | 3,849 |
|
| ||
| Hyundai Capital America | - | 〃 |
| - |
| US$ | 3,815 |
|
| N/A |
| US$ | 3,815 |
|
| ||
| Monongahela Power Co | - | 〃 |
| - |
| US$ | 3,794 |
|
| N/A |
| US$ | 3,794 |
|
| ||
| Caterpillar Financial Services Corp | - | 〃 |
| - |
| US$ | 3,764 |
|
| N/A |
| US$ | 3,764 |
|
| ||
| Volkswagen Group of America Finance LLC | - | 〃 |
| - |
| US$ | 3,755 |
|
| N/A |
| US$ | 3,755 |
|
| ||
| KeyBank NA/Cleveland OH | - | 〃 |
| - |
| US$ | 3,739 |
|
| N/A |
| US$ | 3,739 |
|
| ||
| Texas Instruments Inc | - | 〃 |
| - |
| US$ | 3,721 |
|
| N/A |
| US$ | 3,721 |
|
| ||
| GE Capital International Funding Co Unlimited Co | - | 〃 |
| - |
| US$ | 3,674 |
|
| N/A |
| US$ | 3,674 |
|
| ||
| HCP Inc | - | 〃 |
| - |
| US$ | 3,595 |
|
| N/A |
| US$ | 3,595 |
|
| ||
| Commonwealth Bank of Australia | - | 〃 |
| - |
| US$ | 3,449 |
|
| N/A |
| US$ | 3,449 |
|
| ||
| Husky Energy Inc | - | 〃 |
| - |
| US$ | 3,438 |
|
| N/A |
| US$ | 3,438 |
|
| ||
| US Bancorp | - | 〃 |
| - |
| US$ | 3,433 |
|
| N/A |
| US$ | 3,433 |
|
| ||
| AstraZeneca PLC | - | 〃 |
| - |
| US$ | 3,358 |
|
| N/A |
| US$ | 3,358 |
|
| ||
| Westpac Banking Corp | - | 〃 |
| - |
| US$ | 3,352 |
|
| N/A |
| US$ | 3,352 |
|
| ||
| US Bank NA/Cincinnati OH | - | 〃 |
| - |
| US$ | 3,338 |
|
| N/A |
| US$ | 3,338 |
|
| ||
| AutoZone Inc | - | 〃 |
| - |
| US$ | 3,225 |
|
| N/A |
| US$ | 3,225 |
|
| ||
| Credit Suisse Group Funding Guernsey Ltd | - | 〃 |
| - |
| US$ | 3,223 |
|
| N/A |
| US$ | 3,223 |
|
| ||
| WEC Energy Group Inc | - | 〃 |
| - |
| US$ | 3,211 |
|
| N/A |
| US$ | 3,211 |
|
| ||
| Barclays Bank PLC | - | 〃 |
| - |
| US$ | 3,204 |
|
| N/A |
| US$ | 3,204 |
|
| ||
| ONE Gas Inc | - | 〃 |
| - |
| US$ | 3,093 |
|
| N/A |
| US$ | 3,093 |
|
| ||
| Marriott International Inc/MD | - | 〃 |
| - |
| US$ | 3,088 |
|
| N/A |
| US$ | 3,088 |
|
| ||
| People's United Financial Inc | - | 〃 |
| - |
| US$ | 3,080 |
|
| N/A |
| US$ | 3,080 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
60
Holding Company Name | Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | |||||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
TSMC Global | MPLX LP | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 3,072 |
|
| N/A |
| US$ | 3,072 |
|
| ||
| Rockwell Collins Inc | - | 〃 |
| - |
| US$ | 2,994 |
|
| N/A |
| US$ | 2,994 |
|
| ||
| DuPont de Nemours Inc | - | 〃 |
| - |
| US$ | 2,982 |
|
| N/A |
| US$ | 2,982 |
|
| ||
| Zions Bancorp NA | - | 〃 |
| - |
| US$ | 2,971 |
|
| N/A |
| US$ | 2,971 |
|
| ||
| Xcel Energy Inc | - | 〃 |
| - |
| US$ | 2,924 |
|
| N/A |
| US$ | 2,924 |
|
| ||
| Oncor Electric Delivery Co LLC | - | 〃 |
| - |
| US$ | 2,894 |
|
| N/A |
| US$ | 2,894 |
|
| ||
| Federation des Caisses Desjardins du Quebec | - | 〃 |
| - |
| US$ | 2,890 |
|
| N/A |
| US$ | 2,890 |
|
| ||
| Huntington National Bank/The | - | 〃 |
| - |
| US$ | 2,889 |
|
| N/A |
| US$ | 2,889 |
|
| ||
| Baxter International Inc | - | 〃 |
| - |
| US$ | 2,887 |
|
| N/A |
| US$ | 2,887 |
|
| ||
| McDonald's Corp | - | 〃 |
| - |
| US$ | 2,867 |
|
| N/A |
| US$ | 2,867 |
|
| ||
| MUFG Union Bank NA | - | 〃 |
| - |
| US$ | 2,844 |
|
| N/A |
| US$ | 2,844 |
|
| ||
| Reynolds American Inc | - | 〃 |
| - |
| US$ | 2,787 |
|
| N/A |
| US$ | 2,787 |
|
| ||
| Royal Bank of Scotland Group PLC | - | 〃 |
| - |
| US$ | 2,745 |
|
| N/A |
| US$ | 2,745 |
|
| ||
| Canadian Natural Resources Ltd | - | 〃 |
| - |
| US$ | 2,729 |
|
| N/A |
| US$ | 2,729 |
|
| ||
| Quest Diagnostics Inc | - | 〃 |
| - |
| US$ | 2,643 |
|
| N/A |
| US$ | 2,643 |
|
| ||
| Newcrest Finance Pty Ltd | - | 〃 |
| - |
| US$ | 2,640 |
|
| N/A |
| US$ | 2,640 |
|
| ||
| Public Service Enterprise Group Inc | - | 〃 |
| - |
| US$ | 2,623 |
|
| N/A |
| US$ | 2,623 |
|
| ||
| Ventas Realty LP | - | 〃 |
| - |
| US$ | 2,609 |
|
| N/A |
| US$ | 2,609 |
|
| ||
| Deutsche Telekom International Finance BV | - | 〃 |
| - |
| US$ | 2,573 |
|
| N/A |
| US$ | 2,573 |
|
| ||
| GlaxoSmithKline Capital PLC | - | 〃 |
| - |
| US$ | 2,568 |
|
| N/A |
| US$ | 2,568 |
|
| ||
| Exelon Generation Co LLC | - | 〃 |
| - |
| US$ | 2,544 |
|
| N/A |
| US$ | 2,544 |
|
| ||
| McKesson Corp | - | 〃 |
| - |
| US$ | 2,533 |
|
| N/A |
| US$ | 2,533 |
|
| ||
| Enterprise Products Operating LLC | - | 〃 |
| - |
| US$ | 2,506 |
|
| N/A |
| US$ | 2,506 |
|
| ||
| Nutrien Ltd | - | 〃 |
| - |
| US$ | 2,488 |
|
| N/A |
| US$ | 2,488 |
|
| ||
| PNC Financial Services Group Inc/The | - | 〃 |
| - |
| US$ | 2,487 |
|
| N/A |
| US$ | 2,487 |
|
| ||
| Entergy Corp | - | 〃 |
| - |
| US$ | 2,484 |
|
| N/A |
| US$ | 2,484 |
|
| ||
| Barclays PLC | - | 〃 |
| - |
| US$ | 2,481 |
|
| N/A |
| US$ | 2,481 |
|
| ||
| UBS Group AG | - | 〃 |
| - |
| US$ | 2,471 |
|
| N/A |
| US$ | 2,471 |
|
| ||
| Citizens Bank NA/Providence RI | - | 〃 |
| - |
| US$ | 2,436 |
|
| N/A |
| US$ | 2,436 |
|
| ||
| SunTrust Bank/Atlanta GA | - | 〃 |
| - |
| US$ | 2,422 |
|
| N/A |
| US$ | 2,422 |
|
| ||
| Berkshire Hathaway Inc | - | 〃 |
| - |
| US$ | 2,404 |
|
| N/A |
| US$ | 2,404 |
|
| ||
| Ventas Realty LP / Ventas Capital Corp | - | 〃 |
| - |
| US$ | 2,402 |
|
| N/A |
| US$ | 2,402 |
|
| ||
| Unilever Capital Corp | - | 〃 |
| - |
| US$ | 2,399 |
|
| N/A |
| US$ | 2,399 |
|
| ||
| Danske Bank A/S | - | 〃 |
| - |
| US$ | 2,393 |
|
| N/A |
| US$ | 2,393 |
|
| ||
| Nuveen Finance LLC | - | 〃 |
| - |
| US$ | 2,387 |
|
| N/A |
| US$ | 2,387 |
|
| ||
| Baidu Inc | - | 〃 |
| - |
| US$ | 2,379 |
|
| N/A |
| US$ | 2,379 |
|
| ||
| Northrop Grumman Corp | - | 〃 |
| - |
| US$ | 2,376 |
|
| N/A |
| US$ | 2,376 |
|
| ||
| Delta Air Lines 2007-1 Class A Pass Through Trust | - | 〃 |
| - |
| US$ | 2,355 |
|
| N/A |
| US$ | 2,355 |
|
| ||
| Anthem Inc | - | 〃 |
| - |
| US$ | 2,348 |
|
| N/A |
| US$ | 2,348 |
|
| ||
| State Street Corp | - | 〃 |
| - |
| US$ | 2,307 |
|
| N/A |
| US$ | 2,307 |
|
| ||
| Dow Chemical Co/The | - | 〃 |
| - |
| US$ | 2,271 |
|
| N/A |
| US$ | 2,271 |
|
| ||
| Otis Worldwide Corp | - | 〃 |
| - |
| US$ | 2,267 |
|
| N/A |
| US$ | 2,267 |
|
| ||
| Magellan Midstream Partners LP | - | 〃 |
| - |
| US$ | 2,252 |
|
| N/A |
| US$ | 2,252 |
|
| ||
| Eastman Chemical Co | - | 〃 |
| - |
| US$ | 2,229 |
|
| N/A |
| US$ | 2,229 |
|
| ||
| Cintas Corp No 2 | - | 〃 |
| - |
| US$ | 2,197 |
|
| N/A |
| US$ | 2,197 |
|
| ||
| Aetna Inc | - | 〃 |
| - |
| US$ | 2,191 |
|
| N/A |
| US$ | 2,191 |
|
| ||
| ASB Bank Ltd | - | 〃 |
| - |
| US$ | 2,157 |
|
| N/A |
| US$ | 2,157 |
|
| ||
| ITC Holdings Corp | - | 〃 |
| - |
| US$ | 2,156 |
|
| N/A |
| US$ | 2,156 |
|
| ||
| American Honda Finance Corp | - | 〃 |
| - |
| US$ | 2,141 |
|
| N/A |
| US$ | 2,141 |
|
| ||
| PSEG Power LLC | - | 〃 |
| - |
| US$ | 2,136 |
|
| N/A |
| US$ | 2,136 |
|
| ||
| QUALCOMM Inc | - | 〃 |
| - |
| US$ | 2,136 |
|
| N/A |
| US$ | 2,136 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
61
Holding Company Name | Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | |||||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
TSMC Global | Southern California Edison Co | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 2,122 |
|
| N/A |
| US$ | 2,122 |
|
| ||
| Bank of New Zealand | - | 〃 |
| - |
| US$ | 2,116 |
|
| N/A |
| US$ | 2,116 |
|
| ||
| Woolworths Group Ltd | - | 〃 |
| - |
| US$ | 2,076 |
|
| N/A |
| US$ | 2,076 |
|
| ||
| Unum Group | - | 〃 |
| - |
| US$ | 2,074 |
|
| N/A |
| US$ | 2,074 |
|
| ||
| San Diego Gas & Electric Co | - | 〃 |
| - |
| US$ | 2,066 |
|
| N/A |
| US$ | 2,066 |
|
| ||
| Ingersoll-Rand Luxembourg Finance SA | - | 〃 |
| - |
| US$ | 2,047 |
|
| N/A |
| US$ | 2,047 |
|
| ||
| Boeing Co/The | - | 〃 |
| - |
| US$ | 2,018 |
|
| N/A |
| US$ | 2,018 |
|
| ||
| WR Berkley Corp | - | 〃 |
| - |
| US$ | 2,003 |
|
| N/A |
| US$ | 2,003 |
|
| ||
| American Airlines 2013-2 Class A Pass Through Trust | - | 〃 |
| - |
| US$ | 1,999 |
|
| N/A |
| US$ | 1,999 |
|
| ||
| CK Hutchison International 16 Ltd | - | 〃 |
| - |
| US$ | 1,993 |
|
| N/A |
| US$ | 1,993 |
|
| ||
| Amphenol Corp | - | 〃 |
| - |
| US$ | 1,971 |
|
| N/A |
| US$ | 1,971 |
|
| ||
| Suncor Energy Inc | - | 〃 |
| - |
| US$ | 1,923 |
|
| N/A |
| US$ | 1,923 |
|
| ||
| Sydney Airport Finance Co Pty Ltd | - | 〃 |
| - |
| US$ | 1,918 |
|
| N/A |
| US$ | 1,918 |
|
| ||
| ABN AMRO Bank NV | - | 〃 |
| - |
| US$ | 1,897 |
|
| N/A |
| US$ | 1,897 |
|
| ||
| Pricoa Global Funding I | - | 〃 |
| - |
| US$ | 1,884 |
|
| N/A |
| US$ | 1,884 |
|
| ||
| Australia & New Zealand Banking Group Ltd/New York NY | - | 〃 |
| - |
| US$ | 1,882 |
|
| N/A |
| US$ | 1,882 |
|
| ||
| Georgia Power Co | - | 〃 |
| - |
| US$ | 1,868 |
|
| N/A |
| US$ | 1,868 |
|
| ||
| Avangrid Inc | - | 〃 |
| - |
| US$ | 1,864 |
|
| N/A |
| US$ | 1,864 |
|
| ||
| Evergy Kansas Central Inc | - | 〃 |
| - |
| US$ | 1,810 |
|
| N/A |
| US$ | 1,810 |
|
| ||
| Discover Bank | - | 〃 |
| - |
| US$ | 1,753 |
|
| N/A |
| US$ | 1,753 |
|
| ||
| Public Service Co of Oklahoma | - | 〃 |
| - |
| US$ | 1,739 |
|
| N/A |
| US$ | 1,739 |
|
| ||
| WestRock RKT LLC | - | 〃 |
| - |
| US$ | 1,731 |
|
| N/A |
| US$ | 1,731 |
|
| ||
| Equinor ASA | - | 〃 |
| - |
| US$ | 1,716 |
|
| N/A |
| US$ | 1,716 |
|
| ||
| Philip Morris International Inc | - | 〃 |
| - |
| US$ | 1,714 |
|
| N/A |
| US$ | 1,714 |
|
| ||
| Moody's Corp | - | 〃 |
| - |
| US$ | 1,701 |
|
| N/A |
| US$ | 1,701 |
|
| ||
| General Mills Inc | - | 〃 |
| - |
| US$ | 1,698 |
|
| N/A |
| US$ | 1,698 |
|
| ||
| McCormick & Co Inc/MD | - | 〃 |
| - |
| US$ | 1,683 |
|
| N/A |
| US$ | 1,683 |
|
| ||
| Wisconsin Public Service Corp | - | 〃 |
| - |
| US$ | 1,670 |
|
| N/A |
| US$ | 1,670 |
|
| ||
| PPL Capital Funding Inc | - | 〃 |
| - |
| US$ | 1,670 |
|
| N/A |
| US$ | 1,670 |
|
| ||
| Cooperatieve Rabobank UA/NY | - | 〃 |
| - |
| US$ | 1,670 |
|
| N/A |
| US$ | 1,670 |
|
| ||
| Toyota Industries Corp | - | 〃 |
| - |
| US$ | 1,643 |
|
| N/A |
| US$ | 1,643 |
|
| ||
| Mondelez International Holdings Netherlands BV | - | 〃 |
| - |
| US$ | 1,639 |
|
| N/A |
| US$ | 1,639 |
|
| ||
| Walgreens Boots Alliance Inc | - | 〃 |
| - |
| US$ | 1,623 |
|
| N/A |
| US$ | 1,623 |
|
| ||
| Southern Co/The | - | 〃 |
| - |
| US$ | 1,618 |
|
| N/A |
| US$ | 1,618 |
|
| ||
| Lincoln National Corp | - | 〃 |
| - |
| US$ | 1,618 |
|
| N/A |
| US$ | 1,618 |
|
| ||
| Suntory Holdings Ltd | - | 〃 |
| - |
| US$ | 1,615 |
|
| N/A |
| US$ | 1,615 |
|
| ||
| Marathon Petroleum Corp | - | 〃 |
| - |
| US$ | 1,578 |
|
| N/A |
| US$ | 1,578 |
|
| ||
| CK Hutchison International 19 Ltd | - | 〃 |
| - |
| US$ | 1,549 |
|
| N/A |
| US$ | 1,549 |
|
| ||
| Xylem Inc/NY | - | 〃 |
| - |
| US$ | 1,544 |
|
| N/A |
| US$ | 1,544 |
|
| ||
| Nestle Holdings Inc | - | 〃 |
| - |
| US$ | 1,543 |
|
| N/A |
| US$ | 1,543 |
|
| ||
| CenterPoint Energy Resources Corp | - | 〃 |
| - |
| US$ | 1,525 |
|
| N/A |
| US$ | 1,525 |
|
| ||
| NTT Finance Corp | - | 〃 |
| - |
| US$ | 1,521 |
|
| N/A |
| US$ | 1,521 |
|
| ||
| Sinopec Group Overseas Development 2015 Ltd | - | 〃 |
| - |
| US$ | 1,500 |
|
| N/A |
| US$ | 1,500 |
|
| ||
| Public Service Electric & Gas Co | - | 〃 |
| - |
| US$ | 1,497 |
|
| N/A |
| US$ | 1,497 |
|
| ||
| KEB Hana Bank | - | 〃 |
| - |
| US$ | 1,493 |
|
| N/A |
| US$ | 1,493 |
|
| ||
| Guardian Life Global Funding | - | 〃 |
| - |
| US$ | 1,492 |
|
| N/A |
| US$ | 1,492 |
|
| ||
| Activision Blizzard Inc | - | 〃 |
| - |
| US$ | 1,487 |
|
| N/A |
| US$ | 1,487 |
|
| ||
| AIA Group Ltd | - | 〃 |
| - |
| US$ | 1,480 |
|
| N/A |
| US$ | 1,480 |
|
| ||
| Brookfield Finance Inc | - | 〃 |
| - |
| US$ | 1,461 |
|
| N/A |
| US$ | 1,461 |
|
| ||
| Westlake Chemical Corp | - | 〃 |
| - |
| US$ | 1,460 |
|
| N/A |
| US$ | 1,460 |
|
| ||
| Protective Life Global Funding | - | 〃 |
| - |
| US$ | 1,456 |
|
| N/A |
| US$ | 1,456 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
62
Holding Company Name | Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | |||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||
|
|
|
|
|
|
|
|
| ||||||||
TSMC Global | Spectra Energy Partners LP | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 1,446 |
| N/A | US$ | 1,446 |
|
| ||
| Citizens Financial Group Inc | - | 〃 |
| - |
| US$ | 1,400 |
| N/A | US$ | 1,400 |
|
| ||
| Daiwa Securities Group Inc | - | 〃 |
| - |
| US$ | 1,400 |
| N/A | US$ | 1,400 |
|
| ||
| HSBC Bank PLC | - | 〃 |
| - |
| US$ | 1,399 |
| N/A | US$ | 1,399 |
|
| ||
| CNOOC Curtis Funding No 1 Pty Ltd | - | 〃 |
| - |
| US$ | 1,391 |
| N/A | US$ | 1,391 |
|
| ||
| First Republic Bank/CA | - | 〃 |
| - |
| US$ | 1,383 |
| N/A | US$ | 1,383 |
|
| ||
| Virginia Electric & Power Co | - | 〃 |
| - |
| US$ | 1,378 |
| N/A | US$ | 1,378 |
|
| ||
| Ameriprise Financial Inc | - | 〃 |
| - |
| US$ | 1,342 |
| N/A | US$ | 1,342 |
|
| ||
| Trust F/1401 | - | 〃 |
| - |
| US$ | 1,341 |
| N/A | US$ | 1,341 |
|
| ||
| Nomura Holdings Inc | - | 〃 |
| - |
| US$ | 1,335 |
| N/A | US$ | 1,335 |
|
| ||
| Pernod Ricard SA | - | 〃 |
| - |
| US$ | 1,322 |
| N/A | US$ | 1,322 |
|
| ||
| JPMorgan Chase Bank NA | - | 〃 |
| - |
| US$ | 1,300 |
| N/A | US$ | 1,300 |
|
| ||
| Baker Hughes a GE Co LLC / Baker Hughes Co-Obligor Inc | - | 〃 |
| - |
| US$ | 1,295 |
| N/A | US$ | 1,295 |
|
| ||
| Essex Portfolio LP | - | 〃 |
| - |
| US$ | 1,282 |
| N/A | US$ | 1,282 |
|
| ||
| Ontario Teachers' Cadillac Fairview Properties Trust | - | 〃 |
| - |
| US$ | 1,260 |
| N/A | US$ | 1,260 |
|
| ||
| Interpublic Group of Cos Inc/The | - | 〃 |
| - |
| US$ | 1,255 |
| N/A | US$ | 1,255 |
|
| ||
| Entergy Arkansas LLC | - | 〃 |
| - |
| US$ | 1,224 |
| N/A | US$ | 1,224 |
|
| ||
| Santander UK Group Holdings PLC | - | 〃 |
| - |
| US$ | 1,192 |
| N/A | US$ | 1,192 |
|
| ||
| Cleveland Electric Illuminating Co/The | - | 〃 |
| - |
| US$ | 1,164 |
| N/A | US$ | 1,164 |
|
| ||
| Fifth Third Bank/Cincinnati OH | - | 〃 |
| - |
| US$ | 1,163 |
| N/A | US$ | 1,163 |
|
| ||
| Regions Bank/Birmingham AL | - | 〃 |
| - |
| US$ | 1,147 |
| N/A | US$ | 1,147 |
|
| ||
| UDR Inc | - | 〃 |
| - |
| US$ | 1,131 |
| N/A | US$ | 1,131 |
|
| ||
| APT Pipelines Ltd | - | 〃 |
| - |
| US$ | 1,125 |
| N/A | US$ | 1,125 |
|
| ||
| TransCanada PipeLines Ltd | - | 〃 |
| - |
| US$ | 1,119 |
| N/A | US$ | 1,119 |
|
| ||
| Manulife Financial Corp | - | 〃 |
| - |
| US$ | 1,109 |
| N/A | US$ | 1,109 |
|
| ||
| Johnson Controls International plc | - | 〃 |
| - |
| US$ | 1,103 |
| N/A | US$ | 1,103 |
|
| ||
| Aviation Capital Group LLC | - | 〃 |
| - |
| US$ | 1,073 |
| N/A | US$ | 1,073 |
|
| ||
| Diageo Capital PLC | - | 〃 |
| - |
| US$ | 1,060 |
| N/A | US$ | 1,060 |
|
| ||
| Continental Airlines 2012-1 Class A Pass Through Trust | - | 〃 |
| - |
| US$ | 1,046 |
| N/A | US$ | 1,046 |
|
| ||
| Amazon.com Inc | - | 〃 |
| - |
| US$ | 1,032 |
| N/A | US$ | 1,032 |
|
| ||
| Union Pacific Corp | - | 〃 |
| - |
| US$ | 1,027 |
| N/A | US$ | 1,027 |
|
| ||
| Baltimore Gas & Electric Co | - | 〃 |
| - |
| US$ | 1,026 |
| N/A | US$ | 1,026 |
|
| ||
| Lowe's Cos Inc | - | 〃 |
| - |
| US$ | 1,022 |
| N/A | US$ | 1,022 |
|
| ||
| Toyota Motor Finance Netherlands BV | - | 〃 |
| - |
| US$ | 1,021 |
| N/A | US$ | 1,021 |
|
| ||
| CMS Energy Corp | - | 〃 |
| - |
| US$ | 1,019 |
| N/A | US$ | 1,019 |
|
| ||
| Corp Nacional del Cobre de Chile | - | 〃 |
| - |
| US$ | 1,012 |
| N/A | US$ | 1,012 |
|
| ||
| Sprint Spectrum Co LLC / Sprint Spectrum Co II LLC / Sprint Spectrum Co III LLC | - | 〃 |
| - |
| US$ | 1,011 |
| N/A | US$ | 1,011 |
|
| ||
| WP Carey Inc | - | 〃 |
| - |
| US$ | 1,008 |
| N/A | US$ | 1,008 |
|
| ||
| DH Europe Finance II Sarl | - | 〃 |
| - |
| US$ | 1,007 |
| N/A | US$ | 1,007 |
|
| ||
| Realty Income Corp | - | 〃 |
| - |
| US$ | 1,004 |
| N/A | US$ | 1,004 |
|
| ||
| Republic Services Inc | - | 〃 |
| - |
| US$ | 1,003 |
| N/A | US$ | 1,003 |
|
| ||
| Commonwealth Edison Co | - | 〃 |
| - |
| US$ | 1,000 |
| N/A | US$ | 1,000 |
|
| ||
| Loews Corp | - | 〃 |
| - |
| US$ | 999 |
| N/A | US$ | 999 |
|
| ||
| Gilead Sciences Inc | - | 〃 |
| - |
| US$ | 989 |
| N/A | US$ | 989 |
|
| ||
| Alexandria Real Estate Equities Inc | - | 〃 |
| - |
| US$ | 988 |
| N/A | US$ | 988 |
|
| ||
| Texas Eastern Transmission LP | - | 〃 |
| - |
| US$ | 982 |
| N/A | US$ | 982 |
|
| ||
| MetLife Inc | - | 〃 |
| - |
| US$ | 974 |
| N/A | US$ | 974 |
|
| ||
| BBVA USA | - | 〃 |
| - |
| US$ | 949 |
| N/A | US$ | 949 |
|
| ||
| Marsh & McLennan Cos Inc | - | 〃 |
| - |
| US$ | 931 |
| N/A | US$ | 931 |
|
| ||
| Entergy Mississippi LLC | - | 〃 |
| - |
| US$ | 929 |
| N/A | US$ | 929 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
63
Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | ||||||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
TSMC Global | Kimco Realty Corp | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 923 |
|
| N/A |
| US$ | 923 |
|
| ||
| Prudential Financial Inc | - | 〃 |
| - |
| US$ | 908 |
|
| N/A |
| US$ | 908 |
|
| ||
| British Airways 2013-1 Class A Pass Through Trust | - | 〃 |
| - |
| US$ | 905 |
|
| N/A |
| US$ | 905 |
|
| ||
| MassMutual Global Funding II | - | 〃 |
| - |
| US$ | 894 |
|
| N/A |
| US$ | 894 |
|
| ||
| CNOOC Finance 2011 Ltd | - | 〃 |
| - |
| US$ | 864 |
|
| N/A |
| US$ | 864 |
|
| ||
| Mitsubishi UFJ Lease & Finance Co Ltd | - | 〃 |
| - |
| US$ | 859 |
|
| N/A |
| US$ | 859 |
|
| ||
| Amgen Inc | - | 〃 |
| - |
| US$ | 857 |
|
| N/A |
| US$ | 857 |
|
| ||
| Viterra Inc | - | 〃 |
| - |
| US$ | 830 |
|
| N/A |
| US$ | 830 |
|
| ||
| CA Inc | - | 〃 |
| - |
| US$ | 820 |
|
| N/A |
| US$ | 820 |
|
| ||
| Sinopec Capital 2013 Ltd | - | 〃 |
| - |
| US$ | 809 |
|
| N/A |
| US$ | 809 |
|
| ||
| UnitedHealth Group Inc | - | 〃 |
| - |
| US$ | 783 |
|
| N/A |
| US$ | 783 |
|
| ||
| Nationwide Financial Services Inc | - | 〃 |
| - |
| US$ | 759 |
|
| N/A |
| US$ | 759 |
|
| ||
| AXIS Specialty Finance LLC | - | 〃 |
| - |
| US$ | 755 |
|
| N/A |
| US$ | 755 |
|
| ||
| PayPal Holdings Inc | - | 〃 |
| - |
| US$ | 743 |
|
| N/A |
| US$ | 743 |
|
| ||
| ONEOK Partners LP | - | 〃 |
| - |
| US$ | 739 |
|
| N/A |
| US$ | 739 |
|
| ||
| Sky Ltd | - | 〃 |
| - |
| US$ | 734 |
|
| N/A |
| US$ | 734 |
|
| ||
| BNZ International Funding Ltd/London | - | 〃 |
| - |
| US$ | 720 |
|
| N/A |
| US$ | 720 |
|
| ||
| Warner Media LLC | - | 〃 |
| - |
| US$ | 716 |
|
| N/A |
| US$ | 716 |
|
| ||
| American Electric Power Co Inc | - | 〃 |
| - |
| US$ | 716 |
|
| N/A |
| US$ | 716 |
|
| ||
| Kroger Co/The | - | 〃 |
| - |
| US$ | 698 |
|
| N/A |
| US$ | 698 |
|
| ||
| Southern California Gas Co | - | 〃 |
| - |
| US$ | 691 |
|
| N/A |
| US$ | 691 |
|
| ||
| BAE Systems Holdings Inc | - | 〃 |
| - |
| US$ | 685 |
|
| N/A |
| US$ | 685 |
|
| ||
| Aon Corp | - | 〃 |
| - |
| US$ | 652 |
|
| N/A |
| US$ | 652 |
|
| ||
| Digital Realty Trust LP | - | 〃 |
| - |
| US$ | 646 |
|
| N/A |
| US$ | 646 |
|
| ||
| OneBeacon US Holdings Inc | - | 〃 |
| - |
| US$ | 641 |
|
| N/A |
| US$ | 641 |
|
| ||
| Ohio Power Co | - | 〃 |
| - |
| US$ | 627 |
|
| N/A |
| US$ | 627 |
|
| ||
| Norfolk Southern Railway Co | - | 〃 |
| - |
| US$ | 607 |
|
| N/A |
| US$ | 607 |
|
| ||
| RBC USA Holdco Corp | - | 〃 |
| - |
| US$ | 600 |
|
| N/A |
| US$ | 600 |
|
| ||
| Toledo Edison Co/The | - | 〃 |
| - |
| US$ | 596 |
|
| N/A |
| US$ | 596 |
|
| ||
| Pioneer Natural Resources Co | - | 〃 |
| - |
| US$ | 579 |
|
| N/A |
| US$ | 579 |
|
| ||
| American Water Capital Corp | - | 〃 |
| - |
| US$ | 577 |
|
| N/A |
| US$ | 577 |
|
| ||
| Evergy Inc | - | 〃 |
| - |
| US$ | 576 |
|
| N/A |
| US$ | 576 |
|
| ||
| Duke Energy Progress LLC | - | 〃 |
| - |
| US$ | 569 |
|
| N/A |
| US$ | 569 |
|
| ||
| ViacomCBS Inc | - | 〃 |
| - |
| US$ | 565 |
|
| N/A |
| US$ | 565 |
|
| ||
| Kinder Morgan Energy Partners LP | - | 〃 |
| - |
| US$ | 563 |
|
| N/A |
| US$ | 563 |
|
| ||
| Continental Airlines 2007-1 Class A Pass Through Trust | - | 〃 |
| - |
| US$ | 557 |
|
| N/A |
| US$ | 557 |
|
| ||
| ABC Inc | - | 〃 |
| - |
| US$ | 552 |
|
| N/A |
| US$ | 552 |
|
| ||
| salesforce.com Inc | - | 〃 |
| - |
| US$ | 522 |
|
| N/A |
| US$ | 522 |
|
| ||
| Aflac Inc | - | 〃 |
| - |
| US$ | 515 |
|
| N/A |
| US$ | 515 |
|
| ||
| TTX Co | - | 〃 |
| - |
| US$ | 505 |
|
| N/A |
| US$ | 505 |
|
| ||
| Adobe Inc | - | 〃 |
| - |
| US$ | 503 |
|
| N/A |
| US$ | 503 |
|
| ||
| Juniper Networks Inc | - | 〃 |
| - |
| US$ | 501 |
|
| N/A |
| US$ | 501 |
|
| ||
| Danone SA | - | 〃 |
| - |
| US$ | 500 |
|
| N/A |
| US$ | 500 |
|
| ||
| Hanwha Energy USA Holdings Corp | - | 〃 |
| - |
| US$ | 497 |
|
| N/A |
| US$ | 497 |
|
| ||
| Regency Centers Corp | - | 〃 |
| - |
| US$ | 495 |
|
| N/A |
| US$ | 495 |
|
| ||
| Simon Property Group LP | - | 〃 |
| - |
| US$ | 493 |
|
| N/A |
| US$ | 493 |
|
| ||
| Duke Energy Carolinas LLC | - | 〃 |
| - |
| US$ | 462 |
|
| N/A |
| US$ | 462 |
|
| ||
| United Overseas Bank Ltd | - | 〃 |
| - |
| US$ | 455 |
|
| N/A |
| US$ | 455 |
|
| ||
| BAT International Finance PLC | - | 〃 |
| - |
| US$ | 449 |
|
| N/A |
| US$ | 449 |
|
| ||
| National Oilwell Varco Inc | - | 〃 |
| - |
| US$ | 441 |
|
| N/A |
| US$ | 441 |
|
| ||
| Newmont Goldcorp Corp | - | 〃 |
| - |
| US$ | 402 |
|
| N/A |
| US$ | 402 |
|
| ||
| Eaton Electric Holdings LLC | - | 〃 |
| - |
| US$ | 397 |
|
| N/A |
| US$ | 397 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
64
Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | ||||||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
TSMC Global | StanCorp Financial Group Inc | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 396 |
|
| N/A |
| US$ | 396 |
|
| ||
| Comerica Bank | - | 〃 |
| - |
| US$ | 396 |
|
| N/A |
| US$ | 396 |
|
| ||
| Canadian Pacific Railway Co | - | 〃 |
| - |
| US$ | 395 |
|
| N/A |
| US$ | 395 |
|
| ||
| Boston Properties LP | - | 〃 |
| - |
| US$ | 394 |
|
| N/A |
| US$ | 394 |
|
| ||
| Southern Power Co | - | 〃 |
| - |
| US$ | 392 |
|
| N/A |
| US$ | 392 |
|
| ||
| Metropolitan Edison Co | - | 〃 |
| - |
| US$ | 390 |
|
| N/A |
| US$ | 390 |
|
| ||
| Fidelity National Information Services Inc | - | 〃 |
| - |
| US$ | 385 |
|
| N/A |
| US$ | 385 |
|
| ||
| CBS Corp | - | 〃 |
| - |
| US$ | 379 |
|
| N/A |
| US$ | 379 |
|
| ||
| AXA Equitable Holdings Inc | - | 〃 |
| - |
| US$ | 370 |
|
| N/A |
| US$ | 370 |
|
| ||
| Banco del Estado de Chile | - | 〃 |
| - |
| US$ | 370 |
|
| N/A |
| US$ | 370 |
|
| ||
| Phillips 66 | - | 〃 |
| - |
| US$ | 355 |
|
| N/A |
| US$ | 355 |
|
| ||
| Principal Financial Group Inc | - | 〃 |
| - |
| US$ | 346 |
|
| N/A |
| US$ | 346 |
|
| ||
| Enbridge Inc | - | 〃 |
| - |
| US$ | 331 |
|
| N/A |
| US$ | 331 |
|
| ||
| Chubb INA Holdings Inc | - | 〃 |
| - |
| US$ | 304 |
|
| N/A |
| US$ | 304 |
|
| ||
| America Movil SAB de CV | - | 〃 |
| - |
| US$ | 303 |
|
| N/A |
| US$ | 303 |
|
| ||
| Alibaba Group Holding Ltd | - | 〃 |
| - |
| US$ | 302 |
|
| N/A |
| US$ | 302 |
|
| ||
| CommonSpirit Health | - | 〃 |
| - |
| US$ | 302 |
|
| N/A |
| US$ | 302 |
|
| ||
| Eli Lilly & Co | - | 〃 |
| - |
| US$ | 300 |
|
| N/A |
| US$ | 300 |
|
| ||
| Total Capital International SA | - | 〃 |
| - |
| US$ | 295 |
|
| N/A |
| US$ | 295 |
|
| ||
| Continental Airlines 2000-1 Class A-1 Pass Through Trust | - | 〃 |
| - |
| US$ | 285 |
|
| N/A |
| US$ | 285 |
|
| ||
| PACCAR Financial Corp | - | 〃 |
| - |
| US$ | 285 |
|
| N/A |
| US$ | 285 |
|
| ||
| Southern Natural Gas Co LLC / Southern Natural Issuing Corp | - | 〃 |
| - |
| US$ | 275 |
|
| N/A |
| US$ | 275 |
|
| ||
| Bank of America NA | - | 〃 |
| - |
| US$ | 250 |
|
| N/A |
| US$ | 250 |
|
| ||
| Grupo Bimbo SAB de CV | - | 〃 |
| - |
| US$ | 250 |
|
| N/A |
| US$ | 250 |
|
| ||
| Aon PLC | - | 〃 |
| - |
| US$ | 240 |
|
| N/A |
| US$ | 240 |
|
| ||
| Capital One Bank USA NA | - | 〃 |
| - |
| US$ | 240 |
|
| N/A |
| US$ | 240 |
|
| ||
| United Technologies Corp | - | 〃 |
| - |
| US$ | 220 |
|
| N/A |
| US$ | 220 |
|
| ||
| Telstra Corp Ltd | - | 〃 |
| - |
| US$ | 206 |
|
| N/A |
| US$ | 206 |
|
| ||
| Waste Management Inc | - | 〃 |
| - |
| US$ | 203 |
|
| N/A |
| US$ | 203 |
|
| ||
| US Airways 2013-1 Class A Pass Through Trust | - | 〃 |
| - |
| US$ | 199 |
|
| N/A |
| US$ | 199 |
|
| ||
| WestRock MWV LLC | - | 〃 |
| - |
| US$ | 198 |
|
| N/A |
| US$ | 198 |
|
| ||
| QNB Finance Ltd | - | 〃 |
| - |
| US$ | 198 |
|
| N/A |
| US$ | 198 |
|
| ||
| Glencore Funding LLC | - | 〃 |
| - |
| US$ | 179 |
|
| N/A |
| US$ | 179 |
|
| ||
| Nucor Corp | - | 〃 |
| - |
| US$ | 174 |
|
| N/A |
| US$ | 174 |
|
| ||
| American Airlines 2011-1 Class A Pass Through Trust | - | 〃 |
| - |
| US$ | 99 |
|
| N/A |
| US$ | 99 |
|
| ||
| Halliburton Co | - | 〃 |
| - |
| US$ | 10 |
|
| N/A |
| US$ | 10 |
|
| ||
| Wells Fargo & Co | - | Financial assets at amortized cost |
| - |
| US$ | 160,089 |
|
| N/A |
| US$ | 157,404 |
|
| ||
| JPMorgan Chase & Co. | - | 〃 |
| - |
| US$ | 84,967 |
|
| N/A |
| US$ | 84,671 |
|
| ||
| Industrial and Commercial Bank of China | - | 〃 |
| - |
| US$ | 9,996 |
|
| N/A |
| US$ | 10,025 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Government bond |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| United States Treasury Note/Bond | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 356,157 |
|
| N/A |
| US$ | 356,157 |
|
| ||
| United States Treasury Bill | - | 〃 |
| - |
| US$ | 6,999 |
|
| N/A |
| US$ | 6,999 |
|
| ||
| Abu Dhabi Government International Bond | - | 〃 |
| - |
| US$ | 3,489 |
|
| N/A |
| US$ | 3,489 |
|
| ||
| Qatar Government International Bond | - | 〃 |
| - |
| US$ | 1,333 |
|
| N/A |
| US$ | 1,333 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Agency bonds/Agency mortgage-backed securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Freddie Mac Multifamily Structured Pass Through Certificates | - | Financial assets at fair value through Profit or Loss |
| - |
| US$ | 1,247 |
|
| N/A |
| US$ | 1,247 |
|
| ||
| Fannie Mae Pool | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 717,160 |
|
| N/A |
| US$ | 717,160 |
|
| ||
| Freddie Mac REMICS | - | 〃 |
| - |
| US$ | 163,919 |
|
| N/A |
| US$ | 163,919 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
65
Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | ||||||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
TSMC Global | Freddie Mac Gold Pool | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 156,595 |
|
| N/A |
| US$ | 156,595 |
|
| ||
| Fannie Mae REMICS | - | 〃 |
| - |
| US$ | 155,152 |
|
| N/A |
| US$ | 155,152 |
|
| ||
| Freddie Mac Pool | - | 〃 |
| - |
| US$ | 150,977 |
|
| N/A |
| US$ | 150,977 |
|
| ||
| Ginnie Mae II Pool | - | 〃 |
| - |
| US$ | 116,551 |
|
| N/A |
| US$ | 116,551 |
|
| ||
| Fannie Mae or Freddie Mac | - | 〃 |
| - |
| US$ | 82,257 |
|
| N/A |
| US$ | 82,257 |
|
| ||
| Government National Mortgage Association | - | 〃 |
| - |
| US$ | 50,913 |
|
| N/A |
| US$ | 50,913 |
|
| ||
| Ginnie Mae | - | 〃 |
| - |
| US$ | 48,361 |
|
| N/A |
| US$ | 48,361 |
|
| ||
| Fannie Mae-Aces | - | 〃 |
| - |
| US$ | 21,571 |
|
| N/A |
| US$ | 21,571 |
|
| ||
| Freddie Mac Multifamily Structured Pass Through Certificates | - | 〃 |
| - |
| US$ | 8,501 |
|
| N/A |
| US$ | 8,501 |
|
| ||
| Korea Hydro & Nuclear Power Co Ltd | - | 〃 |
| - |
| US$ | 1,981 |
|
| N/A |
| US$ | 1,981 |
|
| ||
| Federal National Mortgage Association | - | 〃 |
| - |
| US$ | 1,153 |
|
| N/A |
| US$ | 1,153 |
|
| ||
| Freddie Mac Strips | - | 〃 |
| - |
| US$ | 1,140 |
|
| N/A |
| US$ | 1,140 |
|
| ||
| Denver City & County Housing Authority | - | 〃 |
| - |
| US$ | 1,003 |
|
| N/A |
| US$ | 1,003 |
|
| ||
| Ginnie Mae I Pool | - | 〃 |
| - |
| US$ | 931 |
|
| N/A |
| US$ | 931 |
|
| ||
| Oregon Health & Science University | - | 〃 |
| - |
| US$ | 796 |
|
| N/A |
| US$ | 796 |
|
| ||
| FHLMC-GNMA | - | 〃 |
| - |
| US$ | 788 |
|
| N/A |
| US$ | 788 |
|
| ||
| FRESB 2019-SB61 Mortgage Trust | - | 〃 |
| - |
| US$ | 663 |
|
| N/A |
| US$ | 663 |
|
| ||
| State of Wisconsin | - | 〃 |
| - |
| US$ | 497 |
|
| N/A |
| US$ | 497 |
|
| ||
| Freddie Mac Non Gold Pool | - | 〃 |
| - |
| US$ | 485 |
|
| N/A |
| US$ | 485 |
|
| ||
| Brazos Higher Education Authority Inc | - | 〃 |
| - |
| US$ | 461 |
|
| N/A |
| US$ | 461 |
|
| ||
| FRESB 2019-SB60 Mortgage Trust | - | 〃 |
| - |
| US$ | 413 |
|
| N/A |
| US$ | 413 |
|
| ||
| Sales Tax Securitization Corp | - | 〃 |
| - |
| US$ | 252 |
|
| N/A |
| US$ | 252 |
|
| ||
| Fannie Mae Benchmark REMIC | - | 〃 |
| - |
| US$ | 112 |
|
| N/A |
| US$ | 112 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Asset-backed securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Hyundai Auto Receivables Trust 2017-A | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 9,902 |
|
| N/A |
| US$ | 9,902 |
|
| ||
| Citibank Credit Card Issuance Trust | - | 〃 |
| - |
| US$ | 7,314 |
|
| N/A |
| US$ | 7,314 |
|
| ||
| BANK 2020-BNK26 | - | 〃 |
| - |
| US$ | 6,713 |
|
| N/A |
| US$ | 6,713 |
|
| ||
| Citigroup Commercial Mortgage Trust 2014-GC21 | - | 〃 |
| - |
| US$ | 6,711 |
|
| N/A |
| US$ | 6,711 |
|
| ||
| Benchmark 2019-B11 Mortgage Trust | - | 〃 |
| - |
| US$ | 6,251 |
|
| N/A |
| US$ | 6,251 |
|
| ||
| CGDBB Commercial Mortgage Trust 2017-BIOC | - | 〃 |
| - |
| US$ | 6,114 |
|
| N/A |
| US$ | 6,114 |
|
| ||
| Ford Credit Auto Owner Trust 2017-A | - | 〃 |
| - |
| US$ | 6,054 |
|
| N/A |
| US$ | 6,054 |
|
| ||
| CD 2019-CD8 Mortgage Trust | - | 〃 |
| - |
| US$ | 5,954 |
|
| N/A |
| US$ | 5,954 |
|
| ||
| Wells Fargo Commercial Mortgage Trust 2016-C35 | - | 〃 |
| - |
| US$ | 5,899 |
|
| N/A |
| US$ | 5,899 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2016-C29 | - | 〃 |
| - |
| US$ | 5,894 |
|
| N/A |
| US$ | 5,894 |
|
| ||
| UBS-Barclays Commercial Mortgage Trust 2012-C2 | - | 〃 |
| - |
| US$ | 5,890 |
|
| N/A |
| US$ | 5,890 |
|
| ||
| Wells Fargo Commercial Mortgage Trust 2019-C53 | - | 〃 |
| - |
| US$ | 5,618 |
|
| N/A |
| US$ | 5,618 |
|
| ||
| WFRBS Commercial Mortgage Trust 2013-C13 | - | 〃 |
| - |
| US$ | 5,606 |
|
| N/A |
| US$ | 5,606 |
|
| ||
| Wells Fargo Commercial Mortgage Trust 2020-C55 | - | 〃 |
| - |
| US$ | 5,353 |
|
| N/A |
| US$ | 5,353 |
|
| ||
| COMM 2015-CCRE24 Mortgage Trust | - | 〃 |
| - |
| US$ | 5,071 |
|
| N/A |
| US$ | 5,071 |
|
| ||
| BBCMS 2018-TALL Mortgage Trust | - | 〃 |
| - |
| US$ | 4,976 |
|
| N/A |
| US$ | 4,976 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2013-C10 | - | 〃 |
| - |
| US$ | 4,785 |
|
| N/A |
| US$ | 4,785 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2016-C30 | - | 〃 |
| - |
| US$ | 4,691 |
|
| N/A |
| US$ | 4,691 |
|
| ||
| Hyundai Auto Lease Securitization Trust 2018-A | - | 〃 |
| - |
| US$ | 4,639 |
|
| N/A |
| US$ | 4,639 |
|
| ||
| MRCD 2019-MARK Mortgage Trust | - | 〃 |
| - |
| US$ | 4,543 |
|
| N/A |
| US$ | 4,543 |
|
| ||
| Hyundai Auto Receivables Trust 2016-B | - | 〃 |
| - |
| US$ | 4,481 |
|
| N/A |
| US$ | 4,481 |
|
| ||
| BANK 2019-BNK22 | - | 〃 |
| - |
| US$ | 4,461 |
|
| N/A |
| US$ | 4,461 |
|
| ||
| Mercedes-Benz Auto Lease Trust 2019-B | - | 〃 |
| - |
| US$ | 4,278 |
|
| N/A |
| US$ | 4,278 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2013-C7 | - | 〃 |
| - |
| US$ | 4,181 |
|
| N/A |
| US$ | 4,181 |
|
| ||
| Hyundai Auto Receivables Trust 2016-A | - | 〃 |
| - |
| US$ | 4,156 |
|
| N/A |
| US$ | 4,156 |
|
| ||
| UBS Commercial Mortgage Trust 2018-C10 | - | 〃 |
| - |
| US$ | 4,140 |
|
| N/A |
| US$ | 4,140 |
|
| ||
| JPMCC Commercial Mortgage Securities Trust 2017-JP7 | - | 〃 |
| - |
| US$ | 4,124 |
|
| N/A |
| US$ | 4,124 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
66
Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | ||||||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
TSMC Global | BANK 2017-BNK6 | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 4,116 |
|
| N/A |
| US$ | 4,116 |
|
| ||
| BANK 2017-BNK5 | - | 〃 |
| - |
| US$ | 4,073 |
|
| N/A |
| US$ | 4,073 |
|
| ||
| BANK 2019-BNK17 | - | 〃 |
| - |
| US$ | 4,065 |
|
| N/A |
| US$ | 4,065 |
|
| ||
| JPMBB Commercial Mortgage Securities Trust 2015-C28 | - | 〃 |
| - |
| US$ | 4,044 |
|
| N/A |
| US$ | 4,044 |
|
| ||
| Enterprise Fleet Financing 2020-1 LLC | - | 〃 |
| - |
| US$ | 3,970 |
|
| N/A |
| US$ | 3,970 |
|
| ||
| JP Morgan Chase Commercial Mortgage Securities Trust 2012-LC9 | - | 〃 |
| - |
| US$ | 3,920 |
|
| N/A |
| US$ | 3,920 |
|
| ||
| American Express Credit Account Master Trust | - | 〃 |
| - |
| US$ | 3,820 |
|
| N/A |
| US$ | 3,820 |
|
| ||
| BX Commercial Mortgage Trust 2018-IND | - | 〃 |
| - |
| US$ | 3,728 |
|
| N/A |
| US$ | 3,728 |
|
| ||
| Enterprise Fleet Financing 2019-2 LLC | - | 〃 |
| - |
| US$ | 3,715 |
|
| N/A |
| US$ | 3,715 |
|
| ||
| Barclays Commercial Mortgage Trust 2019-C5 | - | 〃 |
| - |
| US$ | 3,666 |
|
| N/A |
| US$ | 3,666 |
|
| ||
| Citigroup Commercial Mortgage Trust 2019-C7 | - | 〃 |
| - |
| US$ | 3,646 |
|
| N/A |
| US$ | 3,646 |
|
| ||
| BANK 2019-BNK23 | - | 〃 |
| - |
| US$ | 3,604 |
|
| N/A |
| US$ | 3,604 |
|
| ||
| CSAIL 2016-C6 Commercial Mortgage Trust | - | 〃 |
| - |
| US$ | 3,323 |
|
| N/A |
| US$ | 3,323 |
|
| ||
| GM Financial Consumer Automobile Receivables Trust 2018-1 | - | 〃 |
| - |
| US$ | 3,307 |
|
| N/A |
| US$ | 3,307 |
|
| ||
| Benchmark 2018-B2 Mortgage Trust | - | 〃 |
| - |
| US$ | 3,279 |
|
| N/A |
| US$ | 3,279 |
|
| ||
| UBS-Barclays Commercial Mortgage Trust 2013-C6 | - | 〃 |
| - |
| US$ | 3,272 |
|
| N/A |
| US$ | 3,272 |
|
| ||
| GS Mortgage Securities Trust 2012-GC6 | - | 〃 |
| - |
| US$ | 3,170 |
|
| N/A |
| US$ | 3,170 |
|
| ||
| Toyota Auto Receivables 2017-A Owner Trust | - | 〃 |
| - |
| US$ | 3,109 |
|
| N/A |
| US$ | 3,109 |
|
| ||
| Ford Credit Auto Lease Trust 2019-B | - | 〃 |
| - |
| US$ | 3,102 |
|
| N/A |
| US$ | 3,102 |
|
| ||
| Citigroup Commercial Mortgage Trust 2016-P5 | - | 〃 |
| - |
| US$ | 3,010 |
|
| N/A |
| US$ | 3,010 |
|
| ||
| Wells Fargo Commercial Mortgage Trust 2017-C40 | - | 〃 |
| - |
| US$ | 3,007 |
|
| N/A |
| US$ | 3,007 |
|
| ||
| UBS-Barclays Commercial Mortgage Trust 2012-C3 | - | 〃 |
| - |
| US$ | 2,984 |
|
| N/A |
| US$ | 2,984 |
|
| ||
| GM Financial Consumer Automobile Receivables Trust 2017-2 | - | 〃 |
| - |
| US$ | 2,978 |
|
| N/A |
| US$ | 2,978 |
|
| ||
| Morgan Stanley Capital I Trust 2017-H1 | - | 〃 |
| - |
| US$ | 2,945 |
|
| N/A |
| US$ | 2,945 |
|
| ||
| Hyundai Auto Receivables Trust 2018-A | - | 〃 |
| - |
| US$ | 2,882 |
|
| N/A |
| US$ | 2,882 |
|
| ||
| Nissan Auto Lease Trust 2019-B | - | 〃 |
| - |
| US$ | 2,875 |
|
| N/A |
| US$ | 2,875 |
|
| ||
| BANK 2020-BNK25 | - | 〃 |
| - |
| US$ | 2,807 |
|
| N/A |
| US$ | 2,807 |
|
| ||
| GS Mortgage Securities Corp Trust 2018-RIVR | - | 〃 |
| - |
| US$ | 2,800 |
|
| N/A |
| US$ | 2,800 |
|
| ||
| Citigroup Commercial Mortgage Trust 2016-C3 | - | 〃 |
| - |
| US$ | 2,748 |
|
| N/A |
| US$ | 2,748 |
|
| ||
| GS Mortgage Securities Trust 2013-GCJ12 | - | 〃 |
| - |
| US$ | 2,629 |
|
| N/A |
| US$ | 2,629 |
|
| ||
| BANK 2019-BNK24 | - | 〃 |
| - |
| US$ | 2,607 |
|
| N/A |
| US$ | 2,607 |
|
| ||
| GS Mortgage Securities Trust 2011-GC3 | - | 〃 |
| - |
| US$ | 2,581 |
|
| N/A |
| US$ | 2,581 |
|
| ||
| J.P. Morgan Chase Commercial Mortgage Securities Trust 2016-WIKI | - | 〃 |
| - |
| US$ | 2,555 |
|
| N/A |
| US$ | 2,555 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2012-C6 | - | 〃 |
| - |
| US$ | 2,446 |
|
| N/A |
| US$ | 2,446 |
|
| ||
| Toyota Auto Receivables 2018-D Owner Trust | - | 〃 |
| - |
| US$ | 2,443 |
|
| N/A |
| US$ | 2,443 |
|
| ||
| ARI Fleet Lease Trust 2019-A | - | 〃 |
| - |
| US$ | 2,371 |
|
| N/A |
| US$ | 2,371 |
|
| ||
| Ford Credit Auto Owner Trust 2020-REV1 | - | 〃 |
| - |
| US$ | 2,315 |
|
| N/A |
| US$ | 2,315 |
|
| ||
| UBS Commercial Mortgage Trust 2018-C11 | - | 〃 |
| - |
| US$ | 2,165 |
|
| N/A |
| US$ | 2,165 |
|
| ||
| GS Mortgage Securities Trust 2020-GC45 | - | 〃 |
| - |
| US$ | 2,156 |
|
| N/A |
| US$ | 2,156 |
|
| ||
| Morgan Stanley Capital I Trust 2018-H3 | - | 〃 |
| - |
| US$ | 2,144 |
|
| N/A |
| US$ | 2,144 |
|
| ||
| BENCHMARK 2018-B4 | - | 〃 |
| - |
| US$ | 2,122 |
|
| N/A |
| US$ | 2,122 |
|
| ||
| COMM 2013-CCRE12 Mortgage Trust | - | 〃 |
| - |
| US$ | 2,101 |
|
| N/A |
| US$ | 2,101 |
|
| ||
| Ford Credit Auto Owner Trust 2019-A | - | 〃 |
| - |
| US$ | 2,090 |
|
| N/A |
| US$ | 2,090 |
|
| ||
| Wells Fargo Commercial Mortgage Trust 2012-LC5 | - | 〃 |
| - |
| US$ | 2,060 |
|
| N/A |
| US$ | 2,060 |
|
| ||
| JPMDB Commercial Mortgage Securities Trust 2017-C7 | - | 〃 |
| - |
| US$ | 2,043 |
|
| N/A |
| US$ | 2,043 |
|
| ||
| CSAIL 2015-C3 Commercial Mortgage Trust | - | 〃 |
| - |
| US$ | 2,043 |
|
| N/A |
| US$ | 2,043 |
|
| ||
| JPMBB Commercial Mortgage Securities Trust 2014-C19 | - | 〃 |
| - |
| US$ | 2,018 |
|
| N/A |
| US$ | 2,018 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2016-C31 | - | 〃 |
| - |
| US$ | 2,014 |
|
| N/A |
| US$ | 2,014 |
|
| ||
| Citigroup Commercial Mortgage Trust 2017-P8 | - | 〃 |
| - |
| US$ | 2,010 |
|
| N/A |
| US$ | 2,010 |
|
| ||
| Mercedes-Benz Auto Lease Trust 2018-B | - | 〃 |
| - |
| US$ | 1,953 |
|
| N/A |
| US$ | 1,953 |
|
| ||
| WFRBS Commercial Mortgage Trust 2013-C17 | - | 〃 |
| - |
| US$ | 1,913 |
|
| N/A |
| US$ | 1,913 |
|
| ||
| COMM 2014-CCRE17 Mortgage Trust | - | 〃 |
| - |
| US$ | 1,878 |
|
| N/A |
| US$ | 1,878 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
67
Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | ||||||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
TSMC Global | GS Mortgage Securities Trust 2014-GC22 | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 1,840 |
|
| N/A |
| US$ | 1,840 |
|
| ||
| Citigroup Commercial Mortgage Trust 2015-GC35 | - | 〃 |
| - |
| US$ | 1,783 |
|
| N/A |
| US$ | 1,783 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2013-C8 | - | 〃 |
| - |
| US$ | 1,769 |
|
| N/A |
| US$ | 1,769 |
|
| ||
| Morgan Stanley Capital I Trust 2019-H6 | - | 〃 |
| - |
| US$ | 1,714 |
|
| N/A |
| US$ | 1,714 |
|
| ||
| GS Mortgage Securities Trust 2015-GC34 | - | 〃 |
| - |
| US$ | 1,687 |
|
| N/A |
| US$ | 1,687 |
|
| ||
| Wells Fargo Commercial Mortgage Trust 2015-C28 | - | 〃 |
| - |
| US$ | 1,665 |
|
| N/A |
| US$ | 1,665 |
|
| ||
| GM Financial Automobile Leasing Trust 2019-1 | - | 〃 |
| - |
| US$ | 1,640 |
|
| N/A |
| US$ | 1,640 |
|
| ||
| JPMBB Commercial Mortgage Securities Trust 2013-C12 | - | 〃 |
| - |
| US$ | 1,501 |
|
| N/A |
| US$ | 1,501 |
|
| ||
| Chesapeake Funding II LLC | - | 〃 |
| - |
| US$ | 1,496 |
|
| N/A |
| US$ | 1,496 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2015-C24 | - | 〃 |
| - |
| US$ | 1,473 |
|
| N/A |
| US$ | 1,473 |
|
| ||
| Citigroup Commercial Mortgage Trust 2015-GC27 | - | 〃 |
| - |
| US$ | 1,451 |
|
| N/A |
| US$ | 1,451 |
|
| ||
| Honda Auto Receivables 2017-3 Owner Trust | - | 〃 |
| - |
| US$ | 1,437 |
|
| N/A |
| US$ | 1,437 |
|
| ||
| WFRBS Commercial Mortgage Trust 2013-C14 | - | 〃 |
| - |
| US$ | 1,420 |
|
| N/A |
| US$ | 1,420 |
|
| ||
| Wells Fargo Commercial Mortgage Trust 2016-C36 | - | 〃 |
| - |
| US$ | 1,383 |
|
| N/A |
| US$ | 1,383 |
|
| ||
| GS Mortgage Securities Trust 2014-GC24 | - | 〃 |
| - |
| US$ | 1,369 |
|
| N/A |
| US$ | 1,369 |
|
| ||
| COMM 2020-CBM Mortgage Trust | - | 〃 |
| - |
| US$ | 1,354 |
|
| N/A |
| US$ | 1,354 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2013-C12 | - | 〃 |
| - |
| US$ | 1,331 |
|
| N/A |
| US$ | 1,331 |
|
| ||
| Benchmark 2019-B14 Mortgage Trust | - | 〃 |
| - |
| US$ | 1,314 |
|
| N/A |
| US$ | 1,314 |
|
| ||
| Hyundai Auto Receivables Trust 2019-B | - | 〃 |
| - |
| US$ | 1,266 |
|
| N/A |
| US$ | 1,266 |
|
| ||
| Nissan Auto Lease Trust 2019-A | - | 〃 |
| - |
| US$ | 1,226 |
|
| N/A |
| US$ | 1,226 |
|
| ||
| GM Financial Automobile Leasing Trust 2019-4 | - | 〃 |
| - |
| US$ | 1,193 |
|
| N/A |
| US$ | 1,193 |
|
| ||
| GS Mortgage Securities Trust 2019-GSA1 | - | 〃 |
| - |
| US$ | 1,183 |
|
| N/A |
| US$ | 1,183 |
|
| ||
| Chase Issuance Trust | - | 〃 |
| - |
| US$ | 1,182 |
|
| N/A |
| US$ | 1,182 |
|
| ||
| Wells Fargo Commercial Mortgage Trust 2015-LC20 | - | 〃 |
| - |
| US$ | 1,174 |
|
| N/A |
| US$ | 1,174 |
|
| ||
| DBGS 2018-BIOD Mortgage Trust | - | 〃 |
| - |
| US$ | 1,164 |
|
| N/A |
| US$ | 1,164 |
|
| ||
| Benchmark 2019-B9 Mortgage Trust | - | 〃 |
| - |
| US$ | 1,107 |
|
| N/A |
| US$ | 1,107 |
|
| ||
| WFRBS Commercial Mortgage Trust 2011-C4 | - | 〃 |
| - |
| US$ | 1,016 |
|
| N/A |
| US$ | 1,016 |
|
| ||
| GM Financial Consumer Automobile 2017-1 | - | 〃 |
| - |
| US$ | 996 |
|
| N/A |
| US$ | 996 |
|
| ||
| Ford Credit Auto Owner Trust 2017-REV1 | - | 〃 |
| - |
| US$ | 992 |
|
| N/A |
| US$ | 992 |
|
| ||
| BBCMS MORTGAGE TRUST 2017-C1 | - | 〃 |
| - |
| US$ | 991 |
|
| N/A |
| US$ | 991 |
|
| ||
| COMM 2013-LC6 Mortgage Trust | - | 〃 |
| - |
| US$ | 986 |
|
| N/A |
| US$ | 986 |
|
| ||
| Ford Credit Auto Lease Trust 2019-A | - | 〃 |
| - |
| US$ | 978 |
|
| N/A |
| US$ | 978 |
|
| ||
| Citigroup Commercial Mortgage Trust 2013-GC11 | - | 〃 |
| - |
| US$ | 952 |
|
| N/A |
| US$ | 952 |
|
| ||
| Benchmark 2019-B15 Mortgage Trust | - | 〃 |
| - |
| US$ | 947 |
|
| N/A |
| US$ | 947 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2013-C13 | - | 〃 |
| - |
| US$ | 939 |
|
| N/A |
| US$ | 939 |
|
| ||
| Hertz Fleet Lease Funding LP | - | 〃 |
| - |
| US$ | 935 |
|
| N/A |
| US$ | 935 |
|
| ||
| Morgan Stanley Capital I Trust 2016-UB11 | - | 〃 |
| - |
| US$ | 899 |
|
| N/A |
| US$ | 899 |
|
| ||
| Citigroup Commercial Mortgage Trust 2014-GC23 | - | 〃 |
| - |
| US$ | 896 |
|
| N/A |
| US$ | 896 |
|
| ||
| Toyota Auto Receivables 2020-A Owner Trust | - | 〃 |
| - |
| US$ | 892 |
|
| N/A |
| US$ | 892 |
|
| ||
| COMM 2012-CCRE5 Mortgage Trust | - | 〃 |
| - |
| US$ | 892 |
|
| N/A |
| US$ | 892 |
|
| ||
| Cantor Commercial Real Estate Lending 2019-CF1 | - | 〃 |
| - |
| US$ | 880 |
|
| N/A |
| US$ | 880 |
|
| ||
| COMM 2015-PC1 Mortgage Trust | - | 〃 |
| - |
| US$ | 855 |
|
| N/A |
| US$ | 855 |
|
| ||
| JPMDB Commercial Mortgage Securities Trust 2016-C2 | - | 〃 |
| - |
| US$ | 834 |
|
| N/A |
| US$ | 834 |
|
| ||
| GM Financial Automobile Leasing Trust 2019-2 | - | 〃 |
| - |
| US$ | 811 |
|
| N/A |
| US$ | 811 |
|
| ||
| Morgan Stanley Capital I Trust 2019-H7 | - | 〃 |
| - |
| US$ | 810 |
|
| N/A |
| US$ | 810 |
|
| ||
| Ford Credit Auto Lease Trust | - | 〃 |
| - |
| US$ | 793 |
|
| N/A |
| US$ | 793 |
|
| ||
| 280 Park Avenue 2017-280P Mortgage Trust | - | 〃 |
| - |
| US$ | 776 |
|
| N/A |
| US$ | 776 |
|
| ||
| BANK 2017-BNK7 | - | 〃 |
| - |
| US$ | 768 |
|
| N/A |
| US$ | 768 |
|
| ||
| GM Financial Automobile Leasing Trust 2018-1 | - | 〃 |
| - |
| US$ | 756 |
|
| N/A |
| US$ | 756 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2015-C20 | - | 〃 |
| - |
| US$ | 733 |
|
| N/A |
| US$ | 733 |
|
| ||
| COMM 2015-CCRE22 Mortgage Trust | - | 〃 |
| - |
| US$ | 719 |
|
| N/A |
| US$ | 719 |
|
| ||
| Wells Fargo Commercial Mortgage Trust 2015-NXS3 | - | 〃 |
| - |
| US$ | 700 |
|
| N/A |
| US$ | 700 |
|
| ||
| COMM 2013-CCRE8 Mortgage Trust | - | 〃 |
| - |
| US$ | 694 |
|
| N/A |
| US$ | 694 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
68
Holding Company Name | Marketable Securities Type and Name | Relationship with the Company | Financial Statement Account | March 31, 2020 | Note | |||||||||||||
Shares/Units (In Thousands) | Carrying Value (Foreign Currencies in Thousands) | Percentage of Ownership (%) | Fair Value (Foreign Currencies in Thousands) | |||||||||||||||
|
|
|
|
|
|
|
|
| ||||||||||
TSMC Global | CFCRE Commercial Mortgage Trust 2011-C1 | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 683 |
|
| N/A |
| US$ | 683 |
|
| ||
| GM Financial Automobile Leasing Trust 2019-3 | - | 〃 |
| - |
| US$ | 649 |
|
| N/A |
| US$ | 649 |
|
| ||
| Mercedes-Benz Auto Lease Trust 2019-A | - | 〃 |
| - |
| US$ | 613 |
|
| N/A |
| US$ | 613 |
|
| ||
| UBS-Barclays Commercial Mortgage Trust 2013-C5 | - | 〃 |
| - |
| US$ | 606 |
|
| N/A |
| US$ | 606 |
|
| ||
| JP Morgan Chase Commercial Mortgage Securities Trust 2012-WLDN | - | 〃 |
| - |
| US$ | 579 |
|
| N/A |
| US$ | 579 |
|
| ||
| JPMDB Commercial Mortgage Securities Trust 2019-COR6 | - | 〃 |
| - |
| US$ | 566 |
|
| N/A |
| US$ | 566 |
|
| ||
| GS Mortgage Securities Corp Trust 2020-UPTN | - | 〃 |
| - |
| US$ | 562 |
|
| N/A |
| US$ | 562 |
|
| ||
| Citigroup Commercial Mortgage Trust 2014-GC19 | - | 〃 |
| - |
| US$ | 547 |
|
| N/A |
| US$ | 547 |
|
| ||
| DBUBS 2011-LC2 Mortgage Trust | - | 〃 |
| - |
| US$ | 504 |
|
| N/A |
| US$ | 504 |
|
| ||
| CD 2016-CD2 Mortgage Trust | - | 〃 |
| - |
| US$ | 503 |
|
| N/A |
| US$ | 503 |
|
| ||
| JP Morgan Chase Commercial Mortgage Securities Trust 2015-JP1 | - | 〃 |
| - |
| US$ | 487 |
|
| N/A |
| US$ | 487 |
|
| ||
| GM Financial Consumer Automobile Receivables Trust 2019-3 | - | 〃 |
| - |
| US$ | 446 |
|
| N/A |
| US$ | 446 |
|
| ||
| GS Mortgage Securities Trust 2014-GC26 | - | 〃 |
| - |
| US$ | 440 |
|
| N/A |
| US$ | 440 |
|
| ||
| Nissan Auto Lease Trust 2017-B | - | 〃 |
| - |
| US$ | 431 |
|
| N/A |
| US$ | 431 |
|
| ||
| WFRBS Commercial Mortgage Trust 2014-C25 | - | 〃 |
| - |
| US$ | 386 |
|
| N/A |
| US$ | 386 |
|
| ||
| GM Financial Automobile Leasing Trust 2018-3 | - | 〃 |
| - |
| US$ | 337 |
|
| N/A |
| US$ | 337 |
|
| ||
| Toyota Auto Receivables 2018-B Owner Trust | - | 〃 |
| - |
| US$ | 283 |
|
| N/A |
| US$ | 283 |
|
| ||
| COMM 2015-CCRE26 Mortgage Trust | - | 〃 |
| - |
| US$ | 280 |
|
| N/A |
| US$ | 280 |
|
| ||
| GS Mortgage Securities Corp II | - | 〃 |
| - |
| US$ | 271 |
|
| N/A |
| US$ | 271 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2012-C5 | - | 〃 |
| - |
| US$ | 267 |
|
| N/A |
| US$ | 267 |
|
| ||
| Hyundai Auto Lease Securitization Trust 2017-C | - | 〃 |
| - |
| US$ | 267 |
|
| N/A |
| US$ | 267 |
|
| ||
| Mercedes-Benz Auto Lease Trust 2018-A | - | 〃 |
| - |
| US$ | 245 |
|
| N/A |
| US$ | 245 |
|
| ||
| GM Financial Automobile Leasing Trust 2018-2 | - | 〃 |
| - |
| US$ | 200 |
|
| N/A |
| US$ | 200 |
|
| ||
| COMM 2015-DC1 Mortgage Trust | - | 〃 |
| - |
| US$ | 178 |
|
| N/A |
| US$ | 178 |
|
| ||
| JPMCC Commercial Mortgage Securities Trust 2017-JP5 | - | 〃 |
| - |
| US$ | 139 |
|
| N/A |
| US$ | 139 |
|
| ||
| BMW Vehicle Lease Trust 2017-2 | - | 〃 |
| - |
| US$ | 101 |
|
| N/A |
| US$ | 101 |
|
| ||
| Wells Fargo Commercial Mortgage Trust 2015-NXS1 | - | 〃 |
| - |
| US$ | 47 |
|
| N/A |
| US$ | 47 |
|
| ||
| COMM 2014-CCRE15 Mortgage Trust | - | 〃 |
| - |
| US$ | 46 |
|
| N/A |
| US$ | 46 |
|
| ||
| Morgan Stanley Bank of America Merrill Lynch Trust 2014-C18 | - | 〃 |
| - |
| US$ | 20 |
|
| N/A |
| US$ | 20 |
|
| ||
| GS Mortgage Securities Trust 2010-C2 | - | 〃 |
| - |
| US$ | 14 |
|
| N/A |
| US$ | 14 |
|
| ||
| Wells Fargo Commercial Mortgage Trust 2015-SG1 | - | 〃 |
| - |
| US$ | 10 |
|
| N/A |
| US$ | 10 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Non-publicly traded equity investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Primavera Capital Fund II L.P. | - | Financial assets at fair value through other comprehensive income |
| - |
| US$ | 79,520 |
|
| 4 |
| US$ | 79,520 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
VTAF II | Non-publicly traded equity investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Sentelic | - | Financial assets at fair value through other comprehensive income |
| 1,019 |
| US$ | 942 |
|
| 4 |
| US$ | 942 |
|
| ||
| Aether Systems, Inc. | - | 〃 |
| 1,085 |
| US$ | 359 |
|
| 20 |
| US$ | 359 |
|
| ||
| 5V Technologies, Inc. | - | 〃 |
| 4 |
|
| - |
|
| - |
|
| - |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
VTAF III | Non-publicly traded equity investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| LiquidLeds Lighting Corp. | - | Financial assets at fair value through other comprehensive income |
| 1,952 |
| US$ | 800 |
|
| 14 |
| US$ | 800 |
|
| ||
| Neoconix, Inc. | - | 〃 |
| 4,147 |
| US$ | 174 |
|
| - |
| US$ | 174 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
Growth Fund | Non-publicly traded equity investments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||
| Innovium, Inc. | - | Financial assets at fair value through other comprehensive income |
| 230 |
| US$ | 1,560 |
|
| - |
| US$ | 1,560 |
|
| ||
| Innovium, Inc. | - | 〃 |
| 221 |
| US$ | 1,501 |
|
| - |
| US$ | 1,501 |
|
| ||
| CNEX Labs, Inc. | - | 〃 |
| 237 |
| US$ | 479 |
|
| - |
| US$ | 479 |
|
| ||
| Astera Labs, Inc. | - | 〃 |
| 127 |
| US$ | 250 |
|
| - |
| US$ | 250 |
|
| ||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Concluded)
69
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
MARKETABLE SECURITIES ACQUIRED AND DISPOSED OF AT COSTS OR PRICES OF AT LEAST NT$300 MILLION OR 20% OF THE PAID-IN CAPITAL
FOR THE THREE MONTHS ENDED MARCH 31, 2020
(Amounts in Thousands of New Taiwan Dollars, Unless Specified Otherwise)
Company Name | Marketable Securities | Financial Statement Account | Counterparty | Nature of Relationship | Beginning Balance | Acquisition | Disposal | Ending Balance (Note) | ||||||||||||||||||||||||||||||||
Shares/Units (In Thousands) | Amount | Shares/Units (In Thousands) | Amount | Shares/Units (In Thousands) | Amount | Carrying Value | Gain/Loss on Disposal | Shares/Units (In Thousands) | Amount | |||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||||||||||
TSMC Global | Corporate bond |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||||||||||
| Walt Disney Co/The | Financial assets at fair value through other comprehensive income | - | - |
| - |
| US$ | 3,246 |
|
| - |
| US$ | 12,319 |
|
| - |
| US$ | - |
| US$ | - |
| US$ | - |
|
| - |
| US$ | 16,228 |
| ||||||
| NIKE Inc | 〃 | - | - |
| - |
| US$ | - |
|
| - |
| US$ | 10,393 |
|
| - |
| US$ | - |
| US$ | - |
| US$ | - |
|
| - |
| US$ | 10,698 |
| ||||||
| United Technologies Corp | 〃 | - | - |
| - |
| US$ | 12,108 |
|
| - |
| US$ | - |
|
| - |
| US$ | 11,704 |
| US$ | 11,660 |
| US$ | 44 |
|
| - |
| US$ | 220 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
| Government bond |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
| United States Treasury Note/Bond | Financial assets at fair value through other comprehensive income | - | - |
| - |
| US$ | 419,942 |
|
| - |
| US$ | 245,863 |
|
| - |
| US$ | 330,568 |
| US$ | 322,699 |
| US$ | 7,869 |
|
| - |
| US$ | 356,157 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
| Agency bonds/Agency mortgage backed securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
| FNMA TBA 30 Yr 3 | Financial assets at fair value through other comprehensive income | - | - |
| - |
| US$ | 2,028 |
|
| - |
| US$ | 190,298 |
|
| - |
| US$ | 158,991 |
| US$ | 158,866 |
| US$ | 125 |
|
| - |
| US$ | 29,853 |
| ||||||
| Fannie Mae Pool | 〃 | - | - |
| - |
| US$ | - |
|
| - |
| US$ | 25,431 |
|
| - |
| US$ | 29 |
| US$ | 29 |
| US$ | - |
|
| - |
| US$ | 26,065 |
| ||||||
| Fannie Mae Pool | 〃 | - | - |
| - |
| US$ | - |
|
| - |
| US$ | 23,708 |
|
| - |
| US$ | 888 |
| US$ | 857 |
| US$ | 31 |
|
| - |
| US$ | 23,667 |
| ||||||
| GNMA II TBA 30 Yr 3 | 〃 | - | - |
| - |
| US$ | 15,095 |
|
| - |
| US$ | 195,426 |
|
| - |
| US$ | 191,595 |
| US$ | 191,586 |
| US$ | 9 |
|
| - |
| US$ | 19,719 |
| ||||||
| Freddie Mac Pool | 〃 | - | - |
| - |
| US$ | - |
|
| - |
| US$ | 19,031 |
|
| - |
| US$ | - |
| US$ | - |
| US$ | - |
|
| - |
| US$ | 19,506 |
| ||||||
| Fannie Mae Pool | 〃 | - | - |
| - |
| US$ | - |
|
| - |
| US$ | 18,793 |
|
| - |
| US$ | 136 |
| US$ | 144 |
| US$ | (8 | ) |
| - |
| US$ | 19,174 |
| ||||||
| FNMA TBA 30 Yr 4 | 〃 | - | - |
| - |
| US$ | 17,372 |
|
| - |
| US$ | 124,120 |
|
| - |
| US$ | 123,967 |
| US$ | 123,907 |
| US$ | 60 |
|
| - |
| US$ | 17,895 |
| ||||||
| Fannie Mae Pool | 〃 | - | - |
| - |
| US$ | 29,463 |
|
| - |
| US$ | - |
|
| - |
| US$ | 13,277 |
| US$ | 13,229 |
| US$ | 48 |
|
| - |
| US$ | 16,615 |
| ||||||
| Freddie Mac | 〃 | - | - |
| - |
| US$ | 696 |
|
| - |
| US$ | 15,872 |
|
| - |
| US$ | 243 |
| US$ | 259 |
| US$ | (16 | ) |
| - |
| US$ | 16,289 |
| ||||||
| Fannie Mae Pool | 〃 | - | - |
| - |
| US$ | 40,438 |
|
| - |
| US$ | - |
|
| - |
| US$ | 24,675 |
| US$ | 24,641 |
| US$ | 34 |
|
| - |
| US$ | 16,245 |
| ||||||
| GNMA II TBA 30 Yr 3.5 | 〃 | - | - |
| - |
| US$ | 10,517 |
|
| - |
| US$ | 71,086 |
|
| - |
| US$ | 68,246 |
| US$ | 68,320 |
| US$ | (74 | ) |
| - |
| US$ | 13,727 |
| ||||||
| Fannie Mae Pool | 〃 | - | - |
| - |
| US$ | 43,455 |
|
| - |
| US$ | - |
|
| - |
| US$ | 30,179 |
| US$ | 30,022 |
| US$ | 157 |
|
| - |
| US$ | 13,710 |
| ||||||
| FNMA TBA 30 Yr 3.5 | 〃 | - | - |
| - |
| US$ | 9,259 |
|
| - |
| US$ | 104,329 |
|
| - |
| US$ | 100,473 |
| US$ | 100,398 |
| US$ | 75 |
|
| - |
| US$ | 13,462 |
| ||||||
| Freddie Mac Gold Pool | 〃 | - | - |
| - |
| US$ | - |
|
| - |
| US$ | 12,610 |
|
| - |
| US$ | 69 |
| US$ | 72 |
| US$ | (3 | ) |
| - |
| US$ | 12,808 |
| ||||||
| FNMA TBA 30 Yr 4.5 | 〃 | - | - |
| - |
| US$ | 20,165 |
|
| - |
| US$ | 77,674 |
|
| - |
| US$ | 90,382 |
| US$ | 90,075 |
| US$ | 307 |
|
| - |
| US$ | 7,813 |
| ||||||
| GNMA II TBA 30 Yr 4.5 | 〃 | - | - |
| - |
| US$ | 7,496 |
|
| - |
| US$ | 32,806 |
|
| - |
| US$ | 32,764 |
| US$ | 32,835 |
| US$ | (71 | ) |
| - |
| US$ | 7,581 |
| ||||||
| GNMA II TBA 30 Yr 4 | 〃 | - | - |
| - |
| US$ | - |
|
| - |
| US$ | 14,253 |
|
| - |
| US$ | 9,698 |
| US$ | 9,668 |
| US$ | 30 |
|
| - |
| US$ | 4,676 |
| ||||||
| Fannie Mae or Freddie Mac | 〃 | - | - |
| - |
| US$ | - |
|
| - |
| US$ | 75,729 |
|
| - |
| US$ | 72,430 |
| US$ | 71,802 |
| US$ | 628 |
|
| - |
| US$ | 4,026 |
| ||||||
| FNMA TBA 30 Yr 5 | 〃 | - | - |
| - |
| US$ | 3,603 |
|
| - |
| US$ | 21,723 |
|
| - |
| US$ | 21,723 |
| US$ | 21,695 |
| US$ | 28 |
|
| - |
| US$ | 3,645 |
| ||||||
| Ginnie Mae II Pool | 〃 | - | - |
| - |
| US$ | - |
|
| - |
| US$ | 12,270 |
|
| - |
| US$ | 12,345 |
| US$ | 12,262 |
| US$ | 83 |
|
| - |
| US$ | - |
| ||||||
| Fannie Mae Pool | 〃 | - | - |
| - |
| US$ | - |
|
| - |
| US$ | 10,112 |
|
| - |
| US$ | 10,402 |
| US$ | 10,103 |
| US$ | 299 |
|
| - |
| US$ | - |
| ||||||
| Fannie Mae Pool | 〃 | - | - |
| - |
| US$ | 6,284 |
|
| - |
| US$ | 7,821 |
|
| - |
| US$ | 14,163 |
| US$ | 14,070 |
| US$ | 93 |
|
| - |
| US$ | - |
| ||||||
| Freddie Mac Pool | 〃 | - | - |
| - |
| US$ | - |
|
| - |
| US$ | 12,107 |
|
| - |
| US$ | 12,146 |
| US$ | 12,080 |
| US$ | 66 |
|
| - |
| US$ | - |
| ||||||
| Fannie Mae Pool | 〃 | - | - |
| - |
| US$ | - |
|
| - |
| US$ | 18,742 |
|
| - |
| US$ | 18,650 |
| US$ | 18,742 |
| US$ | (92 | ) |
| - |
| US$ | - |
| ||||||
| Fannie Mae Pool | 〃 | - | - |
| - |
| US$ | 16,122 |
|
| - |
| US$ | - |
|
| - |
| US$ | 16,194 |
| US$ | 16,095 |
| US$ | 99 |
|
| - |
| US$ | - |
| ||||||
| GNMA II Pool MA6155 | 〃 | - | - |
| - |
| US$ | 23,932 |
|
| - |
| US$ | - |
|
| - |
| US$ | 23,946 |
| US$ | 24,029 |
| US$ | (83 | ) |
| - |
| US$ | - |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note: | The ending balance includes the amortization of premium/discount on bonds investments, share of profits/losses of investees and other related adjustment. |
70
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
ACQUISITION OF INDIVIDUAL REAL ESTATE PROPERTIES AT COSTS OF AT LEAST NT$300 MILLION OR 20% OF THE PAID-IN CAPITAL
FOR THE THREE MONTHS ENDED MARCH 31, 2020
(Amounts in Thousands of New Taiwan Dollars, Unless Specified Otherwise)
Company Name | Types of Property | Transaction Date | Transaction Amount (Foreign Currencies in Thousands) | Payment Term | Counterparty (Note) | Nature of Relationships | Prior Transaction of Related Counterparty | Price Reference | Purpose of Acquisition | Other Terms | ||||||
Owner | Relationships | Transfer Date | Amount | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
TSMC | Fab | February 11, 2020 | $ | 47,500,000 |
| Based on the terms in the purchase order | 80 counterparties, including: | - | N/A | N/A | N/A | N/A | Price comparison and price negotiation | Manufacturing purpose | None | |
|
|
|
|
|
|
| ABB Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Accudevice Co., Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Air Liquide Far Eastern Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Allis Electric Co., Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Am-Power Machine International Enterprise Co., Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Atlas Copco Taiwan Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Atlas Technology Corp. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Capital Machinery Limited |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Chen Yuan International Co., Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Chenfull International Co., Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Cheng Deh Fire Protection Industrial Corp. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| China Steel Structure Co., Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Chun Yuan Steel Industry Co., Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Cica-Huntek Chemical Technology Taiwan Co., Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Confederate Technology Co., Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Da-Cin Construction Co., Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Desiccant Technology Corporation |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| EDS International |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Evergreen Steel Corporation |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Exyte Taiwan Co., Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
| Fortune Electric Co., Ltd. |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
71
Types of Property | Transaction Date | Transaction Amount (Foreign Currencies in Thousands) | Payment Term | Counterparty (Note) | Nature of Relationships | Prior Transaction of Related Counterparty | Price Reference | Purpose of Acquisition | Other Terms | ||||
Owner | Relationships | Transfer Date | Amount | ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TSMC | Fab |
|
|
| Fu Tsu Construction Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Hantech Engineering Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Hsieh Kun Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Hueng Luei Process Industry Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Ingersoll-Rand Southeast Asia (Pte) Ltd. Taiwan Branch (Singapore) |
|
|
|
|
|
|
|
|
|
|
|
|
| J.C. Yang Architect and Associates |
|
|
|
|
|
|
|
|
|
|
|
|
| JG Environmental Technology Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| JJmr-Clean-Air Solution Tech.Services Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Jusun Instruments Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Kedge Construction Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Kinetics Technology Corporation |
|
|
|
|
|
|
|
|
|
|
|
|
| L&K Engineering Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Lead-Fu Industrials Corporation |
|
|
|
|
|
|
|
|
|
|
|
|
| Mandartech Interiors Inc. |
|
|
|
|
|
|
|
|
|
|
|
|
| Marketech International Corp. |
|
|
|
|
|
|
|
|
|
|
|
|
| Mega Union Technology Incorporated |
|
|
|
|
|
|
|
|
|
|
|
|
| Organo Technology Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Ovivo Taiwan Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Pan Asia (Engineers & Constructors) Corporation |
|
|
|
|
|
|
|
|
|
|
|
|
| San Fu Chemical Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Schneider Electric Taiwan Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Shihlin Electric & Engineering Corporation |
|
|
|
|
|
|
|
|
|
|
|
|
| Siemens Limited |
|
|
|
|
|
|
|
|
|
|
|
|
| Solomon Technology Corporation |
|
|
|
|
|
|
|
|
|
|
|
|
| Swift Engineering Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Taiwan Gleno Enterprise Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Taiwan Puritic Corp. |
|
|
|
|
|
|
|
|
|
|
|
|
| TASA Construction Corporation |
|
|
|
|
|
|
|
|
|
|
|
|
| Techgo Industrial Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Trusval Technology Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Tung Kang Steel Structure Corp. |
|
|
|
|
|
|
|
|
|
|
|
|
| Uangyih-Tech Industrial Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
72
Types of Property | Transaction Date | Transaction Amount (Foreign Currencies in Thousands) | Payment Term | Counterparty (Note) | Nature of Relationships | Prior Transaction of Related Counterparty | Price Reference | Purpose of Acquisition | Other Terms | ||||
Owner | Relationships | Transfer Date | Amount | ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TSMC | Fab |
|
|
| Unelectra International Corp. |
|
|
|
|
|
|
|
|
|
|
|
|
| United Integrated Services Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Versum Materials Taiwan Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Weltall Technology Corporation |
|
|
|
|
|
|
|
|
|
|
|
|
| Wholetech System Hitech Limited |
|
|
|
|
|
|
|
|
|
|
|
|
| Yang Lung-Shih Architect & Associates |
|
|
|
|
|
|
|
|
|
|
|
|
| Yangtech Engineering Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Yankey Engineering Co., Ltd. |
|
|
|
|
|
|
|
|
|
|
|
|
| Ying Pao Technology Inc. |
|
|
|
|
|
|
|
|
|
|
|
|
| Zhao-Cheng Corp. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note: | The actual counterparty should be subject to the final purchase order of the Company. |
(Concluded)
73
TABLE 6
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
TOTAL PURCHASES FROM OR SALES TO RELATED PARTIES OF AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL
FOR THE THREE MONTHS ENDED MARCH 31, 2020
(Amounts in Thousands of New Taiwan Dollars, Unless Specified Otherwise)
Company Name | Related Party | Nature of Relationships | Transaction Details | Abnormal Transaction | Notes/Accounts Payable or Receivable | Note | |||||||||||||||||||
Purchases/ Sales | Amount (Foreign Currencies in Thousands) | % to Total | Payment Terms | Unit Price | Payment Terms | Ending Balance (Foreign Currencies in Thousands) | % to Total | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
TSMC | TSMC North America | Subsidiary | Sales | $ | 173,928,051 |
|
| 56 |
| Net 30 days from invoice date (Note) |
| - |
| (Note) | $ | 83,162,453 |
|
| 62 |
|
| ||||
| GUC | Associate | Sales |
| 1,205,683 |
|
| - |
| Net 30 days from the end of the month of when invoice is issued |
| - |
| - |
| 227,845 |
|
| - |
|
| ||||
| TSMC China | Subsidiary | Purchases |
| 4,906,928 |
|
| 19 |
| Net 30 days from the end of the month of when invoice is issued |
| - |
| - |
| (1,754,106 | ) |
| 4 |
|
| ||||
| TSMC Nanjing | Subsidiary | Purchases |
| 2,951,062 |
|
| 12 |
| Net 30 days from the end of the month of when invoice is issued |
| - |
| - |
| (822,594 | ) |
| 2 |
|
| ||||
| WaferTech | Indirect subsidiary | Purchases |
| 1,999,734 |
|
| 8 |
| Net 30 days from the end of the month of when invoice is issued |
| - |
| - |
| (1,214,925 | ) |
| 3 |
|
| ||||
| SSMC | Associate | Purchases |
| 972,281 |
|
| 4 |
| Net 30 days from the end of the month of when invoice is issued |
| - |
| - |
| (430,648 | ) |
| 1 |
|
| ||||
| VIS | Associate | Purchases |
| 742,052 |
|
| 3 |
| Net 30 days from the end of the month of when invoice is issued |
| - |
| - |
| (244,861 | ) |
| 1 |
|
| ||||
TSMC North America | GUC | Associate of TSMC | Sales |
(US$ | 379,471 12,592 |
) |
| - |
| Net 30 days from invoice date |
| - |
| - |
(US$ | 47,973 1,586 |
) |
| - |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||
VisEra Tech | Xintec | Associate of TSMC | Sales |
| 215,469 |
|
| 13 |
| Net 30 days from the end of the month of when invoice is issued |
|
|
|
|
| 151,946 |
|
| 16 |
|
| ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note: | The tenor is 30 days from TSMC’s invoice date or determined by the payment terms granted to its clients by TSMC North America. |
74
TABLE 7
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
RECEIVABLES FROM RELATED PARTIES AMOUNTING TO AT LEAST NT$100 MILLION OR 20% OF THE PAID-IN CAPITAL
MARCH 31, 2020
(Amounts in Thousands of New Taiwan Dollars, Unless Specified Otherwise)
Company Name | Related Party | Nature of Relationships | Ending Balance (Foreign Currencies in Thousands) | Turnover Days (Note 1) | Overdue | Amounts Received in Subsequent Period | Allowance for Bad Debts | ||||||||||||||||
Amount | Action Taken | ||||||||||||||||||||||
|
|
|
|
|
|
|
|
| |||||||||||||||
TSMC | TSMC North America | Subsidiary | $ | 84,070,758 |
| 43 | $ | - |
| - | $ | - |
| $ | - |
| |||||||
| TSMC Nanjing | Subsidiary |
| 250,773 |
| Note 2 |
| - |
| - |
| - |
|
| - |
| |||||||
| GUC | Associate |
| 227,845 |
| 26 |
| - |
| - |
| - |
|
| - |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
TSMC China | TSMC Nanjing | The same parent company |
| 23,220,700 |
| Note 2 |
| - |
| - |
| - |
|
| - |
| |||||||
|
|
| (RMB | 5,446,777 | ) |
|
|
|
|
|
|
|
|
|
|
| |||||||
| TSMC | Parent company |
| 1,754,106 |
| 30 |
| - |
| - |
| - |
|
| - |
| |||||||
|
|
| (RMB | 411,457 | ) |
|
|
|
|
|
|
|
|
|
|
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
TSMC Nanjing | TSMC | Parent company |
| 822,594 |
| 35 |
| - |
| - |
| - |
|
| - |
| |||||||
|
|
| (RMB | 192,954 | ) |
|
|
|
|
|
|
|
|
|
|
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
VisEra Tech | Xintec | Associate of TSMC |
| 151,946 |
| 58 |
| - |
| - |
| - |
|
| - |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
TSMC Technology | TSMC | The ultimate parent of the Company |
(US$ | 269,376 8,908 |
) | Note 2 |
| - |
| - |
| - |
|
| - |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
WaferTech | TSMC | The ultimate parent of the Company |
(US$ | 1,214,925 40,177 |
) | 53 |
(US$ | 574,719 19,006 |
) | - |
(US$ | 574,719 19,006 |
) |
| - |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note 1: | The calculation of turnover days excludes other receivables from related parties. |
Note 2: | The ending balance is primarily consisted of other receivables, which is not applicable for the calculation of turnover days. |
75
TABLE 8
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
INTERCOMPANY RELATIONSHIPS AND SIGNIFICANT INTERCOMPANY TRANSACTIONS
FOR THE THREE MONTHS ENDED MARCH 31, 2020
(Amounts in Thousands of New Taiwan Dollars)
No. | Company Name | Counterparty | Nature of Relationship (Note 1) | Intercompany Transactions | ||||||||
Financial Statements Item | Amount | Terms (Note 2) | Percentage of Consolidated Net Revenue or Total Assets | |||||||||
|
|
|
|
|
|
|
| |||||
0 | TSMC | TSMC North America | 1 | Net revenue from sale of goods | $ | 173,928,051 |
| - |
| 56% |
| |
|
|
|
| Receivables from related parties |
| 83,162,453 |
| - |
| 4% |
| |
|
|
|
| Other receivables from related parties |
| 908,305 |
| - |
| - |
| |
|
| TSMC Europe | 1 | Marketing expenses - commission |
| 110,047 |
| - |
| - |
| |
|
| TSMC China | 1 | Purchases |
| 4,906,928 |
| - |
| 2% |
| |
|
|
|
| Payables to related parties |
| 1,754,106 |
| - |
| - |
| |
|
| TSMC Nanjing | 1 | Purchases |
| 2,951,062 |
| - |
| 1% |
| |
|
|
|
| Proceeds from disposal of property, plant and equipment |
| 391,365 |
| - |
| - |
| |
|
|
|
| Other receivables from related parties |
| 250,773 |
| - |
| - |
| |
|
|
|
| Payables to related parties |
| 822,594 |
| - |
| - |
| |
|
| TSMC Technology | 1 | Research and development expenses |
| 627,678 |
| - |
| - |
| |
|
|
|
| Payables to related parties |
| 269,376 |
| - |
| - |
| |
|
| WaferTech | 1 | Purchases |
| 1,999,734 |
| - |
| 1% |
| |
|
|
|
| Payables to related parties |
| 1,214,925 |
| - |
| - |
| |
1 | TSMC China | TSMC Nanjing | 3 | Other receivables from related parties |
| 23,220,700 |
| - |
| 1% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
Note 1: | No. 1 represents the transactions from parent company to subsidiary. |
No. 3 represents the transactions between subsidiaries. |
Note 2: | The sales prices and payment terms of intercompany sales are not significantly different from those to third parties. For other intercompany transactions, prices and terms are determined in accordance with mutual agreements. |
76
TABLE 9
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
NAMES, LOCATIONS, AND RELATED INFORMATION OF INVESTEES OVER WHICH THE COMPANY EXERCISES SIGNIFICANT INFLUENCE (EXCLUDING INFORMATION ON INVESTMENT IN MAINLAND CHINA)
FOR THE THREE MONTHS ENDED MARCH 31, 2020
(Amounts in Thousands of New Taiwan Dollars, Unless Specified Otherwise)
Investor Company | Investee Company | Location | Main Businesses and Products | Original Investment Amount | Balance as of March 31, 2020 | Net Income (Losses) of the Investee | Share of Profits/Losses of Investee (Note 1) (Foreign Currencies in Thousands) | Note | ||||||||||||||||||||||||||
March 31, 2020 (Foreign Currencies in Thousands) | December 31, 2019 (Foreign Currencies in Thousands) | Shares (In Thousands) | Percentage of Ownership | Carrying Value (Foreign Currencies in Thousands) | ||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||||||||||
TSMC | TSMC Global | Tortola, British Virgin Islands | Investment activities | $ | 355,162,309 |
| $ | 355,162,309 |
|
| 11 |
|
| 100 |
| $ | 403,318,967 |
| $ | 2,422,114 |
| $ | 2,422,114 |
| Subsidiary | |||||||||
| TSMC Partners | Tortola, British Virgin Islands | Investing in companies involved in the design, manufacture, and other related business in the semiconductor industry and other investment activities |
| 31,456,130 |
|
| 31,456,130 |
|
| 988,268 |
|
| 100 |
|
| 54,393,446 |
|
| 645,579 |
|
| 645,579 |
| Subsidiary | |||||||||
| VIS | Hsin-Chu, Taiwan | Manufacturing, selling, packaging, testing and computer-aided design of integrated circuits and other semiconductor devices and the manufacturing and design service of masks |
| 10,180,677 |
|
| 10,180,677 |
|
| 464,223 |
|
| 28 |
|
| 9,339,016 |
|
| 1,475,800 |
|
| 400,223 |
| Associate | |||||||||
| SSMC | Singapore | Manufacturing and selling of integrated circuits and other semiconductor devices |
| 5,120,028 |
|
| 5,120,028 |
|
| 314 |
|
| 39 |
|
| 6,784,537 |
|
| 589,283 |
|
| 228,583 |
| Associate | |||||||||
| VisEra Tech | Hsin-Chu, Taiwan | Engaged in manufacturing electronic spare parts and in researching, developing, designing, manufacturing, selling, packaging and testing of color filter |
| 5,005,171 |
|
| 5,005,171 |
|
| 253,120 |
|
| 87 |
|
| 5,050,427 |
|
| 584,047 |
|
| 507,771 |
| Subsidiary | |||||||||
| TSMC North America | San Jose, California, U.S.A | Selling and marketing of integrated circuits and other semiconductor devices |
| 333,718 |
|
| 333,718 |
|
| 11,000 |
|
| 100 |
|
| 4,447,030 |
|
| (160,502 | ) |
| (160,502 | ) | Subsidiary | |||||||||
| Xintec | Taoyuan, Taiwan | Wafer level chip size packaging and wafer level post passivation interconnection service |
| 1,988,317 |
|
| 1,988,317 |
|
| 111,282 |
|
| 41 |
|
| 1,912,235 |
|
| 160,264 |
|
| 65,899 |
| Associate | |||||||||
| GUC | Hsin-Chu, Taiwan | Researching, developing, manufacturing, testing and marketing of integrated circuits |
| 386,568 |
|
| 386,568 |
|
| 46,688 |
|
| 35 |
|
| 1,310,591 |
|
| 98,742 |
|
| 34,402 |
| Associate | |||||||||
| TSMC Europe | Amsterdam, the Netherlands | Customer service and supporting activities |
| 15,749 |
|
| 15,749 |
|
| - |
|
| 100 |
|
| 467,118 |
|
| 8,766 |
|
| 8,766 |
| Subsidiary | |||||||||
| VTAF III | Cayman Islands | Investing in new start-up technology companies |
| 1,318,846 |
|
| 1,318,846 |
|
| - |
|
| 98 |
|
| 220,126 |
|
| (4,118 | ) |
| (4,036 | ) | Subsidiary | |||||||||
| TSMC Japan | Yokohama, Japan | Customer service and supporting activities |
| 83,760 |
|
| 83,760 |
|
| 6 |
|
| 100 |
|
| 145,721 |
|
| 755 |
|
| 755 |
| Subsidiary | |||||||||
| TSMC JDC | Yokohama, Japan | Engineering support activities |
| 82,080 |
|
| - |
|
| 3 |
|
| 100 |
|
| 80,383 |
|
| (3,443 | ) |
| (3,443 | ) | Subsidiary | |||||||||
| VTAF II | Cayman Islands | Investing in new start-up technology companies |
| 260,300 |
|
| 260,300 |
|
| - |
|
| 98 |
|
| 63,745 |
|
| (1,043 | ) |
| (1,022 | ) | Subsidiary | |||||||||
| TSMC Korea | Seoul, Korea | Customer service and supporting activities |
| 13,656 |
|
| 13,656 |
|
| 80 |
|
| 100 |
|
| 39,425 |
|
| 429 |
|
| 429 |
| Subsidiary | |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
TSMC Partners | TSMC Development | Delaware, U.S.A | Investing in companies involved in the manufacturing related business in the semiconductor industry |
(US$ | 17,748,443 586,939 |
) |
(US$ | 17,748,443 586,939 |
) |
| - |
|
| 100 |
|
(US$ | 30,530,684 1,009,646 |
) |
(US$ | 454,411 15,078 |
) |
| Note2 |
| Subsidiary | |||||||||
| TSMC Technology | Delaware, U.S.A | Engineering support activities |
| 431,874 |
|
| 431,874 |
|
| - |
|
| 100 |
|
| 677,806 |
|
| 1,650 |
|
| Note2 |
| Subsidiary | |||||||||
|
|
|
| (US$ | 14,282 | ) | (US$ | 14,282 | ) |
|
|
|
|
|
| (US$ | 22,415 | ) | (US$ | 55 | ) |
|
|
|
| |||||||||
| TSMC Canada | Ontario, Canada | Engineering support activities |
| 69,550 |
|
| 69,550 |
|
| 2,300 |
|
| 100 |
|
| 232,018 |
|
| 10,395 |
|
| Note2 |
| Subsidiary | |||||||||
|
|
|
| (US$ | 2,300 | ) | (US$ | 2,300 | ) |
|
|
|
|
|
| (US$ | 7,673 | ) | (US$ | 345 | ) |
|
|
|
| |||||||||
| ISDF | Cayman Islands | Investing in new start-up technology companies |
| - |
|
| - |
|
| 583 |
|
| 97 |
|
| - |
|
| - |
|
| Note2 |
| Subsidiary | |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
| ISDF II | Cayman Islands | Investing in new start-up technology companies |
| - |
|
| - |
|
| 9,299 |
|
| 97 |
|
| - |
| �� | - |
|
| Note2 |
| Subsidiary | |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
VTAF III | Growth Fund | Cayman Islands | Investing in new start-up technology companies |
| 75,711 |
|
| 75,711 |
|
| - |
|
| 100 |
|
| 116,445 |
|
| (301 | ) |
| Note2 |
| Subsidiary | |||||||||
|
|
|
| (US$ | 2,504 | ) | (US$ | 2,504 | ) |
|
|
|
|
|
| (US$ | 3,851 | ) | (US$ | (10 | )) |
|
|
|
| |||||||||
| Mutual-Pak | New Taipei, Taiwan | Manufacturing of electronic parts, wholesaling and retailing of electronic materials, and researching, developing and testing of RFID |
(US$ | 48,181 1,593 |
) |
(US$ | 48,181 1,593 |
) |
| 4,693 |
|
| 28 |
|
(US$ | 35,381 1,170 |
) |
(US$ | (11,071 (367 | ) )) |
| Note2 |
| Associate | |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Continued)
77
Investee Company | Location | Main Businesses and Products | Original Investment Amount | Balance as of March 31, 2020 | Net Income (Losses) of the Investee | Share of Profits/Losses of Investee (Note 1) (Foreign Currencies in Thousands) | Note | ||||||||||||||||||||
March 31, 2020 (Foreign Currencies in Thousands) | December 31, 2019 (Foreign Currencies in Thousands) | Shares (In Thousands) | Percentage of Ownership | Carrying Value (Foreign Currencies in Thousands) | |||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||
TSMC Development | WaferTech | Washington, U.S.A | Manufacturing, selling and testing of integrated circuits and other semiconductor devices | $ | - |
| $ | - |
|
| 293,637 |
|
| 100 |
| $ (US$ | 4,793,735 158,528 |
) | $ | 353,044 |
) | Note 2 | Subsidiary | ||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note 1: | The share of profits/losses of investee includes the effect of unrealized gross profit on intercompany transactions. |
Note 2: | The share of profits/losses of the investee company is not reflected herein as such amount is already included in the share of profits/losses of the investor company. |
(Concluded)
78
TABLE 10
Taiwan Semiconductor Manufacturing Company Limited and Subsidiaries
INFORMATION ON INVESTMENT IN MAINLAND CHINA
FOR THREE MONTHS ENDED MARCH 31, 2020
(Amounts in Thousands of New Taiwan Dollars, Unless Specified Otherwise)
Investee Company | Main Businesses and Products | Total Amount of Paid-in Capital (RMB in Thousands) | Method of Investment | Accumulated Outflow of Investment from Taiwan as of January 1, 2020 (US$ in Thousands) | Investment Flows | Accumulated Outflow of Investment from Taiwan as of March 31, 2020 (US$ in Thousands) | Net Income (Losses) of the Investee Company | Percentage of Ownership | Share of Profits/Losses | Carrying Amount as of March 31, 2020 | Accumulated Inward Remittance of Earnings as of March 31, 2020 | |||||||||||||||||||||||||||||||
Outflow (US$ in Thousands) | Inflow | |||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||||||||||||||||||
TSMC China | Manufacturing, selling, testing and computer-aided design of integrated circuits and other semiconductor devices | $ (RMB | 18,939,667 4,502,080 |
) | Note 1 | $ (US$ | 18,939,667 596,000 |
) | $ | - |
| $ | - |
| $ (US$ | 18,939,667 596,000 |
) | $ | 1,656,216 |
|
| 100% |
| $
| 1,641,980 (Note 2 |
) | $ | 58,361,341 |
| $ | - |
| ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||
TSMC Nanjing | Manufacturing, selling, testing and computer-aided design of integrated circuits and other semiconductor devices |
(RMB | 30,521,412 6,650,119 |
) | Note 1 |
(US$ | 30,521,412 1,000,000 |
) |
| - |
|
| - |
|
(US$ | 30,521,412 1,000,000 |
) |
| 3,013,486 |
|
| 100% |
|
| 3,062,220 (Note 2 |
) |
| 24,138,538 |
|
| - |
| ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated Investment in Mainland China as of March 31, 2020 (US$ in Thousands) | Investment Amounts Authorized by Investment Commission, MOEA (US$ in Thousands) | Upper Limit on Investment | |||||||||
|
|
| |||||||||
$ (US$ | 49,461,079 1,596,000 |
) | $ (US$ | 119,412,667 3,596,000 |
) | $
| 1,006,217,119 (Note 3 |
) | |||
|
|
|
|
|
|
|
|
|
Note 1: | TSMC directly invested US$596,000 thousand in TSMC China and US$1,000,000 thousands in TSMC Nanjing. |
Note 2: | Amount was recognized based on the reviewed financial statements. |
Note 3: | The upper limit on investment in mainland China is determined by sixty percent (60%) of the Company’s consolidated net worth. |
79
TABLE 11
Taiwan Semiconductor Manufacturing Company Limited
INFORMATION ON MAJOR SHAREHOLDERS
MARCH 31, 2020
Shareholders | Shares | |||||
Total Shares Owned (In Thousands) | Ownership Percentage | |||||
|
|
| ||||
ADR-Taiwan Semiconductor Manufacturing Company, Ltd. |
| 5,325,454 |
|
| 20.53% |
|
|
|
|
|
|
|
|
National Development Fund, Executive Yuan |
| 1,653,710 |
|
| 6.37% |
|
|
|
|
|
|
|
|
80