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When an underlying security of single-stock futures and equity options is subject to disposition measures as announced or adopted by Taiwan Stock Exchange or Taipei Exchange in accordance with Article 6 of the Taiwan Stock Exchange Corporation Directions for Announcement or Notice of Attention to Trading Information and Dispositions or Article 6 of the Taipei Exchange Directions for Announcement or Notice of Attention to Trading Information and Dispositions (referred to as "Disposition Directions" hereunder), TAIFEX will adjust the margin requirements for such single-stock futures and equity option contracts. The adjusted margin levels in principle shall apply at the close of regular session on the next business day following the day on which the disposition in securities market takes effect as follows:

1. When a security is announced as being subject to disposition measures pursuant to Paragraph 2, Article 6 of the Disposition Directions, the margin requirements for single-stock futures and equity options with the security as underlying will be adjusted to 1.5 times the applicable percentage under the group it belongs to at that time.

(1) Margin Rates of Single-Stock Futures - 1.5 times

(2) a% and b% for Margin Rates of Equity Options - 1.5 times

2. When a security is announced as being subject to disposition measures pursuant to Paragraph 3, Article 6 of the Disposition Directions, the margin requirements for single-stock futures and equity options with the security as underlying will be adjusted to 2 times the applicable percentage under the group it belongs to at that time.

(1) Margin Rates of Single-Stock Futures - 2 times

(2) a% and b% for Margin Rates of Equity Options - 2 times

3. When a security is adopted as being subject to disposition measures pursuant to Paragraph 5, Article 6 of the Disposition Directions, except where the security is suspended from trading for a specific period, the margin requirements for single-stock futures and equity options with the security as underlying will in principle be adjusted to 1.5 times, 2 times or 3 times the applicable percentage or amount under the group it belongs to at that time depending on the underlying security being subject to disposition measures pursuant to Article 6 of the Disposition Directions for the first, second, or third (inclusive) or more times within the most recent 30 business days. If the circumstances of the disposition measures are serious, TAIFEX may adjust the margin requirement to 2 times or 3 times the applicable percentage or amount under the group it belongs to at that time.

(1) Margin Rates of Single-Stock Futures -1.5 times, 2 times or 3 times

(2) a% and b% for Margin Rates of Equity Options -1.5 times, 2 times or 3 times