SinoPac Subsidiaries

Greenhouse Gas Management

Since 2019, SinoPac Securities has been conducting greenhouse gas inventory using the operational control approach to gradually determine the total greenhouse gas emissions of its subsidiaries. In 2021, the scope of the inventory was further expanded to include all operating locations and overseas locations, achieving 100% coverage under the ISO 14064-1: 2018 greenhouse gas inventory boundary. Given the more comprehensive boundary of the overall greenhouse gas inventory, the base year was adjusted in 2022 on a rolling basis from the original 2018 to 2021. In accordance with the financial industry guidelines of the Science Based Targets Initiative (SBTi), SinoPac Securities has set short-, medium-, and long-term reduction targets for Scope 1 and Scope 2 emissions. The Company aims to achieve its net zero emissions goal by 2030 through energy conservation and carbon reduction measures, the use of renewable energy, and renewable energy certificates.

The main sources of Scope 1 emissions for SinoPac Securities include greenhouse gases produced by refrigerants in air conditioners, water dispensers, dehumidifiers, and refrigerators, as well as emissions from gasoline used in self-owned vehicles (official vehicles), generator diesel fuels, gaseous fire extinguishers, and septic tanks. The main source of Scope 2 emissions is purchased electricity. In 2025, the total Scope 1 and Scope 2 emissions amounted to 2,975.67 metric tons of CO2e, a reduction of 696.84 metric tons of CO2e compared to 3,672.52 metric tons of CO2e in 2024. The per capita emissions intensity in 2025 was 0.94 metric tons of CO2e, a decrease of 0.28 metric tons of CO2e compared to 2024, representing a reduction of approximately 22.95%. Furthermore, regarding Scope 1 and Scope 2 greenhouse gas emissions, although the workforce expanded by 12.91% in 2025 compared to the base year, total emissions decreased by 1,311.84 metric tons—a reduction of 30.60%. This performance surpasses the annual 21% reduction target set by the Science Based Targets initiative (SBTi). Additionally, per capita emission intensity dropped by 38.56% relative to the base year, clearly demonstrating the significant effectiveness of the company's overall energy management efforts.

Energy Management

To effectively mitigate the environmental impact of the greenhouse effect and reduce energy consumption, the company continuously promotes energy-saving initiatives such as replacing aging, energy-intensive equipment and fully adopting LED lighting to implement its energy conservation policies.

Since December 2022, the Company has consistently procured renewable energy (solar power) on an annual basis. In 2025, the procured volume reached 2.16 million kWh, with 2.12 million kWh actually supplied; renewable energy accounted for 27.04% of total electricity consumption. This strategy helps reduce greenhouse gas emissions, and the Company plans to further increase renewable energy usage to strengthen its energy transition efforts. Additionally, the parent company, SinoPac Holdings, coordinated the purchase of 2,000 metric tons of carbon credits by SinoPac Securities from the Taiwan Carbon Solution Exchange (TCX) in December 2023. This made SinoPac Securities one of the first enterprises to participate in international carbon credit trading via the exchange, laying the groundwork for future carbon neutrality.

In 2025, SinoPac Securities invested approximately NT$1.01 million to replace energy-intensive equipment, such as aging air conditioning units. These measures are estimated to save 104,530 kWh of electricity annually and reduce carbon emissions by approximately 49.56 metric tons of CO2e per year. Regarding products and services, SinoPac Securities committed to promoting paperless operations including electronic account statements, online account opening, and electronic trading, resulting in a total saving of approximately 208.47 million sheets of paper.

Energy Conservation and Carbon Reduction Measures and Results in 2025

Note: The annual electricity savings are estimated by multiplying the difference in power consumption between the new and old equipment by the annual operating hours.

Implementation Plan and Outcomes of Paperless Services

In 2025, SinoPac Securities launched an incentive campaign encouraging clients who received paper statements to switch to electronic statements, thereby reducing paper consumption and environmental impact. By offering convenience store gift cards as rewards to participating clients and the sales staff who facilitated the promotion, the campaign successfully drove the conversion of 6,878 paper statements to electronic statements. Furthermore, for every successful switch to an electronic statement, the company donated NT$25 to the Yilan Branch of the Forestry and Nature Conservation Agency (Ministry of Agriculture) to fund state-owned forestation projects, resulting in a total donation of NT$171,950. The company also increased the use of Microsoft Teams for meetings to reduce the printing of meeting materials. Through the continued promotion of digital services—such as electronic statements, online account opening, and electronic trading—SinoPac Securities saved approximately 205.17 million sheets of paper, while SinoPac Futures saved approximately 3.298 million sheets, effectively reducing the consumption of environmental resources in their operations.

Note: The method for quantifying paper usage is based on the number of services conducted through various electronic platforms multiplied by the average amount of paper consumed per transaction.

Internal Carbon Pricing

In response to international trends in carbon pricing and guided by the principle of "Raising climate awareness and fostering a low-carbon transition," the parent company, SinoPac Holdings, implemented an internal carbon pricing mechanism across the holding company and its first-tier subsidiaries starting in 2022. This initiative was driven by three key objectives: ensuring compliance with greenhouse gas regulations, enhancing energy efficiency, and promoting low-carbon investments. Starting in 2022, SinoPac Securities aligned with the parent company's carbon pricing policy by using greenhouse gas emissions from its electricity consumption (Scope 2) as the baseline and adopting a shadow price mechanism to evaluate the effectiveness of energy-saving and carbon reduction measures at its operational sites. The implicit carbon costs and benefits are also incorporated into the evaluation process.

In 2025, SinoPac Holdings analyzed that the average cost of reducing one metric ton of CO2 emissions was NT$5,000 per ton of CO2e, which serves as the reference basis for internal carbon pricing. At the beginning of each year, SinoPac Securities reports on the implementation status of its carbon reduction targets to SinoPac Holdings. The parent company calculates carbon emission costs or carbon income based on the achievement of these targets to develop action plans and formulate carbon reduction strategies. Energy-saving benefits are assessed based on carbon reduction targets, and trial calculations of carbon pricing are conducted. If the targets are not met, carbon fees will be calculated; if the targets are achieved, carbon income will be calculated, thereby achieving substantial carbon reduction results.

Looking ahead, SinoPac Securities will continue to align with the initiatives promoted by SinoPac Holdings. Guided by Science Based Targets (SBT) and international carbon pricing trends, the company will adhere to the rolling adjustment mechanism of internal carbon pricing, gradually linking to the "net zero" operational strategy and expanding the scope of its application.

Waste Management

Waste from SinoPac Securities primarily consists of domestic waste. Recyclable waste is divided into four categories: paper, bottles, iron and aluminum cans, and electronic waste. All general and recyclable waste is transported by qualified contractors to incinerators or recycling sites for disposal. The paper waste is collected and managed by the responsible unit of the Company and handled in accordance with the document destruction rules before being handed over to the paper manufacturer for disposal as recycled paper raw material. The waste of electronic product waste is processed according to internal information security regulations, and any digital data related to customer information is also kept secure and confidential, and processed in accordance with the internal rules and procedures, entrusted to qualified processing contractors for recycling and reuse. In 2025, the total amount of general waste was 69.71 metric tons, representing a reduction of 9.96 metric tons compared to 2024, achieving a decrease of 12.50%.

Waste Management Criteria and Total Waste from 2024 to 2025

Note 1 : All recyclable wastes are handed over to qualified contractors for disposal. Since 2021, SinoPac Holdings has started to track the flow of waste recycled by contractors. Among them, paper (35.02 tons in 2024, 37.31 tons in 2025) is transported to paper mills for water destruction, recycling, and reuse. The flow of other categories of recycling waste will continue to be tracked.
Note 2 : General industrial waste is disposed of by qualified contractors and transported to local incineration facilities equipped with waste heat recovery systems for power generation.
Note 3 : Since 2019, the actual weighing method has been adopted to calculate the total amount of waste generated at the headquarters. In 2021, SinoPac Holdings started to weigh the total waste produced from SinoPac Holdings and all its subsidiaries.
Note 4 : Data coverage was calculated based on the number of employees; the number of employees referred to the number of full-time employees in Taiwan excluding dispatched and overseas employees.
Note 5: SinoPac Securities merged with CL Securities Taiwan Co., Ltd. on October 20, 2025, establishing the CLST Branch at the original location. As the CLST Branch had no waste-related records for 2025, the Company calculated the average waste generation per person based on a subsidiary location (Jitai) with a comparable headcount; this average was then multiplied by the CLST Branch's headcount to derive an estimated figure, which was added to the Company's actual waste data for 2025. The CLST Branch will begin tracking and reporting its own waste statistics starting in 2026.

Water Resources Management

The Company relies primarily on municipal tap water for needs such as drinking, air conditioning systems, and cleaning; there is no sourcing of groundwater or other alternative water supplies. To mitigate the risk of water scarcity caused by climate change, SinoPac Securities manages water resources through several measures: 1.replacing air conditioning cooling towers; 2.installing sensor-activated faucets; 3. promoting water conservation awareness and water-saving measures among all employees via the "SinoPac Life" online platform; and 4. continuously monitoring water usage at business locations and upgrading high-consumption equipment. For instance, the Nantou Branch previously utilized a chiller system that required water circulation for temperature regulation, resulting in significant water consumption; the branch has since replaced this with a split-type air conditioning system, effectively reducing reliance on water resources and lowering overall water usage.

Moving forward, the Company will continue to implement water-saving initiatives: 1.maintaining ongoing water conservation awareness campaigns; 2. conducting performance tracking and management by analyzing causes and implementing improvements for locations with high per-capita water consumption; and 3. replacing large chiller systems with split-type air conditioning units to reduce cooling tower water usage, aiming to achieve a 1% annual reduction in average water consumption compared to the baseline year.

Water Resources Management Criteria and Water Use from 2023 to 2025

Note 1 : SinoPac Securities merged with CL Securities Taiwan Co., Ltd. on October 20, 2025, and established the CLST Branch at the original location. Due to adjustments in the inventory boundary, water resource management indicators and water consumption data for 2023 and 2024 have been recalculated to incorporate relevant data from CLST Securities.
Note 2 : Total water consumption is calculated based on actual meter readings from water utility bills; the scope covers SinoPac Securities and its domestic and overseas subsidiaries (consistent with the boundaries of the consolidated financial statements). For public tap water, the volume includes the share allocated by the building management authority.
Note 3: Total water consumption / Total number of company employees. The employee count used here includes full-time staff (both domestic and overseas) but excludes dispatched workers.