Delta Electronics (Thailand) Public Company Limited
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Normal business transactions Supporting normal business transactions Rent or lease of immovable property (not more than 3 years) Sale/purchase of asset or service Offer or receipt of financial assistance Transactions other than 1-5 Procedures for each business category are established and summarized as follows; In case of normal business and supporting normal business transactions, the Board of Directors has approved in principle that such transactions can be done under normal/ general business terms and conditions which the Company and/or its subsidiaries performs with other general parties without any control or influences from the related parties. In case of other business categories, the related party transactions shall be classified by its transaction size and are required to follow below procedures. ë Small sized transaction, being the transaction with the size of not more than Baht 1 million or 0.03% of net tangible assets (NTA), whichever is higher, requires the managementûs approval. ë Medium sized transaction, being the transaction with the size of greater than Baht 1 million but less than Baht 20 million, or greater than 0.03% but less than 3% of NTA, whichever is higher (except Item 5: Financial assistance that its size is less than Baht 100 million or 3% of NTA, whichever is lower), requires board of directorsû approval and information disclosure. ë Large sized transaction, being the transaction with the size of Baht 20 million and higher or 3% of NTA and higher, whichever is higher (except Item 5: Financial assistance that its size is equal to Baht 100 million and higher or 3% of NTA or higher, whichever is lower), requires board of directorsû approval, shareholdersû approval and information disclosure.
For other details and definitions, the Company will perform according to the relevant notification as mentioned above. In addition, the Audit Committee generally reviews and discusses about the related party transactions with the Companyûs external auditor in order to help protect conflicts of interest and see if the related party transactions are adequately and properly disclosed. Policy for the related party transactions The Company and its subsidiaries still need to do the business with the related parties in the future as it is considered normal course of business. Moreover, supports from the groupûs network help strengthen the Companyûs business and improve its competitiveness in the world market and will utmost benefit the Company. The Company shall comply with rules, regulations and notifications of the Capital Market Supervisory Board and other relevant authorities re Connected Transactions and also adequately disclose the transaction in the Companyûs quarterly and annual financial statements.