TSRC CORPORATION 2010/04/28

CONTENTS CHANGING ENVIRONMENT COMPANY OVERVIEW RUBBER INDUSTRY OVERVIEW PRODUCT APPLICATION PRODUCT PORTFOLIO FINANCIAL HIGHLIGHTS CONSOLIDATED INCOME STATEMENT CONSOLIDATED BALANCE SHEET& INDICATORS

Environment Two Engines for TSRC CHANGING ENVIRONMENT Completion of China capacity expansion Rubber technology proliferation/ advancement Environment Strong China economy Volatile Raw Material Prices

COMPANY OVERVIEW Established at 1973. Headquarter：Taipei,Taiwan Paid-in Capital : NTD6.49 Billion(USD199Million) No. of Employees: 1,151, incl. 470 in Taiwan,681 in China Production Capacity: Plants Location Shareholding Product Capacity (KTA) 2010Capacity Taiwan-Kao Hsiung SBR 100 BR 55 TPE 35 COMP 8 China -Shen Hua 65.44% 200 China- Shanghai 100% 10 Thailand 13% 72 China-Jiangsu Nantong 55% 50 China- Jiangsu Nantong SEBS 20 China- Jinan 5

Upstream：Major raw materials, Butadiene(BD )and Styrene Monomer(SM). INDUSTRY OVERVIEW Upstream：Major raw materials, Butadiene(BD )and Styrene Monomer(SM). BD Resource in Taiwan: Mostly from CPC(中油),FPCC(台塑),Others from import. SM Resource in Taiwan: Mostly from TSMC(台灣苯乙烯), FCFC(台灣化纖),GPPC(國喬),Others from import.

INDUSTRY OVERVIEW (Cont.) Down Stream：Car /Tire industry is the major application field of rubber business, accounts for about 70% in total application uses. Application field % of Sales vol. Example 2010 1Q 2009 2008 Tires 75-80% 70-75% 75% All kinds of tires Industrial 20-25% 25-30% 25% Plastic Modification, Belting ,conveyors and Adhesives, etc Resource: World Tire & Rubber 2010 by Freedonia Group

PRODUCT APPLICATION Application SBR BR TPE COMP Tires,Shoes, Industrial Products BR Tires,HIPS,Shoes, Industrial products TPE Plastic Modification, Shoes,Adhesives, Sealants,Asphalt Modification COMP Automotive application, Wire/ Cable,Consumer, Packaging, Medicals

PRODUCT PORTFOLIO Products are classified into two main categories: Sales Rev. 2010 1Q 2009 2008 % Total Commodity SBR 60% 83% 61% 79% 68% 84% BR 23% 18% 16% Specialty TPE 15% 17% 21% 13% COMP 2% 4% 3% 100%

Consolidated Income Statement Unit: NTDMM 20101Q 2009 2008 Sales Revenue 8,211 100% 22,112 30,994 COGS 6,780 83% 17,286 78% 26,307 85% Gross Profit 1,431 17% 4,826 22% 4,687 15% Operating Exp 342 4% 1,117 1,221 Operating Income 1,089 13% 3,709 16% 3,466 11% Non-operating income (22) -0.3% 78 0.3% (27) -1% Profit bf tax 1,067 3,787 3,439 10% Net Profit 805 2,848 12% 3,145 9% EPS-after tax 0.99 3.59 4.26 EBIT 1,102 3,925 18% 3,613 EBITDA 1,273 4,595 21% 4,125 累計至2010 1Q營收 台橡單一公司 合併 金額(NTDMM) 3,397 8,211

Consolidated Balance Sheet & Indicators Robust Financial structure, stable growth in profitability Unit: NTDMM 20101Q 2009 2008 Current Assets 12,418 52% 10,743 48% 10,134 45% Long-term Investment 1,693 7% 1,684 8% 1,572 Fixed Assets & Others 9,854 41% 10,053 44% 10,951 Total Assets 23,965 100% 22,480 22,657 Total Current Liabilities 6,879 29% 5,557 25% 4,985 22% Total Liabilities 9,589 39% 8,333 37% 8,808 Shareholder’s Equity 14,376 61% 63% 13,849 ITEMS KEY RATIO 20101Q 2009 2008 Financial structure Debt Ratio 39% 37% Repayment Capability Current Ratio 181% 193% 203% Management Capability A/R Turnover 7.9 5.9 10.5 Inventory Turnover 5.6 10.4 Profitability ROE 6% 20% 23% ROA 4% 13% 15%

DIVIDEND PAYOUT High payout ratio and high investment return. 2009 YEAR EPS Payout Ratio Cash Dividend (NTD/Share) Stock Dividend TOTAL Dividend 2009 3.59 89% 3.20 2008 4.26 66% 2.80 2007 5.02 88% 4.40 2006 3.14 2.75

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