On December 16, 2019, PJ Asset Management Co., Ltd. announced that it engaged with the Chairman of TECO Electric & Machinery Co., Ltd. on December 6, 2019 expressing its concerns and the Company’s clarifications regarding PJ Asset Management’s view. PJ Asset Management also stated that the Company’s sustainable value creation and opportunities may arise from the following are: (1) Incorporate system automation business into its core business line, (2) Revisit all direct and indirect investment and shed non-performing assets by completing a sober, dispassionate, full portfolio, and operational review, (3) Conduct a comprehensive review of its existing governance policies, board, and management structure to ensure the right leadership and governance is in place for each business to achieve its full potential, (4) Improve balance sheet efficiency by reducing the equity book or excessive cash on hand, and (5) Adjust current major-shareholder-oriented strategy and identify the optimal industry position for the Company may yield significantly better tangible outcomes for customers, employees, and shareholders.