OREANDA-NEWS. August 29, 2011. The 8th meeting of the 14th Board of Directors of China Steel Corporation (CSC) was held, reported the press-centre of CSC.

Major items of the agenda adopted were:

1. Financial report for the first half of 2011
Revenues NTD 120,134 million, pretax income NTD 17,304 million, net income NT\\\\$15,344 million and earnings per share (EPS) NTD 1.1.

2. Investment of NTD 200 million in "Taiwan Medtech Fund " (the Company)

One of the Company’s shareholders is National Development Fund, Executive Yuan. The fund scale to be collected is USD 200 million (no less than NTD 5,000 million). Fund life will be 10 years, available to extend one time but no more than 3 years. The Company will focus its major investments on medical devices industry.

3. Investment of USD 66.58 million in India for setting up a production line of electrical steels
In order to grasp the opportunity of high growth of demand in India for electrical steels, as well as to enter the markets Middle East, Europe and North Africa via India, CSC will co-invest with international strategic partners for building an annealing-and-coating line to produce electrical steel coils at Bharuch District of Cujarat State in India. The production line will produce 200 thousand metric tons of non-oriented electrical steels per year. Total investment amount of the project will be round USD 178 million in which CSC will invest about USD 66.58 million. The project will commence in September 2011 and is scheduled for starting test run in October 2013.

4. Offering to buy all the capital-increase shares amounted to NTD1,000 million in China Steel Global Trading Corporation
China Steel Global Trading Corporation (CSGT), one of CSC’s subsidiaries, is responsible for the export of CSC Group’s steel products. In order to expand its sales channels and invest in coil centers, CSGT will raise NTD1,000 million through capital increase with price NTD 10 per share. CSC will offer to buy all the above capital-increase shares.

5. Approval of “Organizational Regulations for the Compensation Committee of China Steel Corporation”
The Board meeting approved the “Organizational Regulations for the Compensation Committee of China Steel Corporation” which is pursuant to “Article 14-6, Paragraph 1 of the Securities and Exchange Act” and “Regulations Governing the Appointment and Exercise of Powers by the Remuneration Committee of a Company Whose Stock is Listed on the Stock Exchange or Traded Over the Counter” promulgated by the Financial Supervisory Commission, Executive Yuan on March 18, 2011. Three independent directors, Mr. Ting-Peng Liang, Mr. Juu-En Chang and Mr. Shen-Yi Lee, were designated as the committee members. Mr. Ting-Peng Liang was also appointed as the convener for the committee meeting.

6. Issuance of domestic corporate bonds amounted to NTD 20,000 million for the fiscal year 2011
In order to increase working capital to meet the principle of long-term stable going concern, CSC will issue its domestic corporate bonds amounted to NTD 20,000 million for the fiscal year 2011. The Chairman was authorized to decide the time of issuance according to the status of steel market and CSC’s need of working capital.

7. Finance Assistant Vice President Chung-Yi Lin will be promoted to replace Mr. King-Hsing Chang as Finance Vice President to be effective on October 1, 2011. Mr. Chang will retire on the same day.