HTC : Announcement of the capital reduction on behalf of HTC's major subsidiary, H.T.C. (B.V.I .) Corp.

1.Date of the board of directors resolution:2017/06/30

2.Reason for the capital reduction:capital reduction, by a HTC Corp's 100%

owned subsidiary, to refund cash capital to HTC Corp.

3.Amount of the capital reduction:US$19,900,000

4.Cancelled shares:199,000,000 shares

5.Capital reduction ratio:13.49%

6.Share capital after the capital reduction:US$127,620,176.03

7.Scheduled date of the shareholders' meeting:N/A

8.Estimate listed common shares after the capital reduction:N/A

9.The estimate ratio of listed shares to the company's issued

common shares, after the capital reduction:N/A

10.Countermeasures of the lower circulation in shareholding,

if the aforesaid estimate listed common shares does not

reach 60 million shares and the ration does not reach 25%

after the capital reduction:N/A

11.Any other matters that need to be specified:None