Audit Committee

The Audit Committee consists entirely of independent directors. The duties of its four members are to assist the board of directors in reviewing the company's financial statements, internal control systems, audit practices, accounting policies, major asset transactions, and appointment/dismissal of external auditors, finance officers, accounting officers, and internal auditors so as to ensure compliance with government regulations.

Effective internal control systems and audit operations are the foundation of sound corporate governance. In order to maintain an effective internal control system, particularly in the area of risk management, financial and operational control, the Audit Committee regularly reviews reports submitted by internal auditors and assesses the independence of the company's financial statement auditors, thereby ensuring the utmost integrity in financial reporting.

The communications between independent directors and the Chief Audit Officer and the certified public accountants:
(1) Communications are established through Audit Committee or individually with independent directors via meetings or e-mails.

• The Chief Audit Offcer reported to the Audit Committee on the establishment and amendment to the internal control system.
• The Chief Audit Officer reported to the Audit Committee on the annual self- assessment of the implementation and results on the internal control systems.
• The Chief Audit Officer reported to the Audit Committee on the annual audit plan and the implementation of the plan quarterly.
• The Chief Audit Offcer reported to the Chairman of Audit Committee on audit projects quarterly.
• The Chief Audit Offcer reported to the Audit Committee on the fndings of each audit and the tracking of corrective actions and preventive actions.
• The Chief Audit Offcer provided information on the addition or amendment of laws governing securities and exchange to the Audit Committee.
• The Chief Audit Offcer presented to the Audit Committee the report on the conduct of special audits prescribed by the committee and the fndings.
• The certifed public accountants reported to the Audit Committee the fndings of their quarterly/annually review or audits on the Company’s fnancial results, and also the communication of the relevant law and regulation or any other modify issues.

(2) The communication matters between the independent directors and the Chief Audit Offcer, the certified public accountants: The communication channels are functioned well. Please click below link for further communication matters: 

(3) Main Points of Discussion by the Audit Committee According to LITE-ON's "Audit Committee Organizational Rules," the Audit Committee meets at least once every quarter. Please click below link for main Points of discussion by the Audit Committee: