XML 132 R19.htm IDEA: XBRL DOCUMENT v3.20.1
Subsidiaries
 12 Months Ended
Dec. 31, 2019
Disclosure Of Significant Investments In Subsidiaries [Abstract]  
Subsidiaries

14.

SUBSIDIARIES

 

a.

Information on significant noncontrolling interest subsidiary

The table below shows details of less than wholly owned subsidiaries of the Company that have material noncontrolling interests:

 

 

 

Place of Incorporation

 

Proportion of Ownership

Interests and Voting Rights

Held by Noncontrolling Interests

 

 

 

and Principal

 

December 31

 

Subsidiaries

 

Place of Business

 

2018

 

 

2019

 

SENAO

 

Taiwan

 

72%

 

 

72%

 

CHPT

 

Taiwan

 

66%

 

 

66%

 

 

 

 

Profit Allocated to

Noncontrolling Interests

 

 

Accumulated

Noncontrolling Interests

 

 

 

Year Ended December 31

 

 

December 31

 

 

 

2017

 

 

2018

 

 

2019

 

 

2018

 

 

2019

 

 

 

NT$

 

 

NT$

 

 

NT$

 

 

NT$

 

 

NT$

 

 

 

 

 

 

 

(In Millions)

 

 

 

 

 

 

 

 

 

SENAO

 

$

592

 

 

$

326

 

 

$

291

 

 

$

4,108

 

 

$

4,146

 

CHPT

 

$

431

 

 

$

477

 

 

$

414

 

 

 

4,022

 

 

 

4,217

 

Individually immaterial subsidiaries with

   noncontrolling interests

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1,727

 

 

 

1,752

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

9,857

 

 

$

10,115

 

 

Summarized financial information in respect of SENAO and its subsidiaries that has material noncontrolling interests is set out below.  The summarized financial information below represents amounts before intercompany eliminations. 

 

 

 

December 31

 

 

 

2018

 

 

2019

 

 

 

NT$

 

 

NT$

 

 

 

(In Millions)

 

Current assets

 

$

7,041

 

 

$

6,751

 

Noncurrent assets

 

$

2,527

 

 

$

3,173

 

Current liabilities

 

$

3,757

 

 

$

3,637

 

Noncurrent liabilities

 

$

164

 

 

$

590

 

Equity attributable to the parent

 

$

1,539

 

 

$

1,551

 

Equity attributable to noncontrolling interests

 

$

4,108

 

 

$

4,146

 

 

 

 

 

 

Year Ended December 31

 

 

 

2017

 

 

2018

 

 

2019

 

 

 

NT$

 

 

NT$

 

 

NT$

 

 

 

 

 

 

 

(In Millions)

 

 

 

 

 

Revenue and income

 

$

36,038

 

 

$

31,540

 

 

$

29,131

 

Costs and expenses

 

 

35,200

 

 

 

31,081

 

 

 

28,725

 

Profit for the year

 

$

838

 

 

$

459

 

 

$

406

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Profit attributable to the parent

 

$

246

 

 

$

133

 

 

$

115

 

Profit attributable to noncontrolling interests

 

 

592

 

 

 

326

 

 

 

291

 

Profit for the year

 

$

838

 

 

$

459

 

 

$

406

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other comprehensive income (loss) attributable

   to the parent

 

$

3

 

 

$

(2

)

 

$

(7

)

Other comprehensive income (loss) attributable to

   noncontrolling interests

 

 

(17

)

 

 

(10

)

 

 

22

 

Other comprehensive income (loss) for the year

 

$

(14

)

 

$

(12

)

 

$

15

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total comprehensive income attributable to the

   parent

 

$

249

 

 

$

131

 

 

$

108

 

Total comprehensive income attributable to

   noncontrolling interests

 

 

575

 

 

 

316

 

 

 

313

 

Total comprehensive income for the year

 

$

824

 

 

$

447

 

 

$

421

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net cash flow from operating activities

 

$

1,081

 

 

$

696

 

 

$

538

 

Net cash flow from investing activities

 

 

(57

)

 

 

(13

)

 

 

235

 

Net cash flow from financing activities

 

 

(897

)

 

 

(491

)

 

 

(718

)

Effect of exchange rate changes on cash and cash

   equivalents

 

 

(2

)

 

 

1

 

 

 

—

 

Net cash inflow

 

$

125

 

 

$

193

 

 

$

55

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends paid to noncontrolling interests

 

$

703

 

 

$

587

 

 

$

269

 

Summarized financial information in respect of CHPT and its subsidiaries that has material noncontrolling interests is set out below.  The summarized financial information below represents amounts before intercompany eliminations.  

 

 

 

 

December 31

 

 

 

2018

 

 

2019

 

 

 

NT$

 

 

NT$

 

 

 

(In Millions)

 

Current assets

 

$

4,417

 

 

$

3,710

 

Noncurrent assets

 

$

2,779

 

 

$

4,044

 

Current liabilities

 

$

1,076

 

 

$

1,316

 

Noncurrent liabilities

 

$

1

 

 

$

22

 

Equity attributable to CHI

 

$

2,097

 

 

$

2,199

 

Equity attributable to noncontrolling interests

 

$

4,022

 

 

$

4,217

 

 

 

 

 

Year Ended December 31

 

 

 

2017

 

 

2018

 

 

2019

 

 

 

NT$

 

 

NT$

 

 

NT$

 

 

 

 

 

 

 

(In Millions)

 

 

 

 

 

Revenue and income

 

$

3,127

 

 

$

3,299

 

 

$

3,404

 

Costs and expenses

 

 

2,402

 

 

 

2,549

 

 

 

2,775

 

Profit for the year

 

$

725

 

 

$

750

 

 

$

629

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Profit attributable to CHI

 

$

294

 

 

$

273

 

 

$

215

 

Profit attributable to noncontrolling interests

 

 

431

 

 

 

477

 

 

 

414

 

Profit for the year

 

$

725

 

 

$

750

 

 

$

629

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other comprehensive loss attributable

   to CHI

 

$

(1

)

 

$

—

 

 

$

(1

)

Other comprehensive loss attributable to

   noncontrolling interests

 

 

(2

)

 

 

—

 

 

 

(2

)

Other comprehensive loss for the year

 

$

(3

)

 

$

—

 

 

$

(3

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Total comprehensive income attributable

   to CHI

 

$

293

 

 

$

273

 

 

$

214

 

Total comprehensive income attributable to

   noncontrolling interests

 

 

429

 

 

 

477

 

 

 

412

 

Total comprehensive income for the year

 

$

722

 

 

$

750

 

 

$

626

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net cash flow from operating activities

 

$

1,052

 

 

$

862

 

 

$

507

 

Net cash flow from investing activities

 

 

(639

)

 

 

(733

)

 

 

(1,426

)

Net cash flow from financing activities

 

 

2,306

 

 

 

(328

)

 

 

(349

)

Effect of exchange rate changes on cash and cash

   equivalents

 

 

(4

)

 

 

1

 

 

 

(5

)

Net cash inflow (outflow)

 

$

2,715

 

 

$

(198

)

 

$

(1,273

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends paid to noncontrolling interests

 

$

146

 

 

$

210

 

 

$

216

 

 

b.

Equity transactions with noncontrolling interests

CHI did not participate in the capital increase of CHPT in September 2017.  Additionally, CHI disposed some shares of CHPT from April to August 2018.  Therefore, the Company’s ownership interest in CHPT decreased to 34.25% as of December 31, 2018 and 2019.  See Note 33(f) for details.

Chunghwa and CHI disposed some shares of CHIEF in June 2017 and May 2018 before CHIEF traded its shares on the emerging stock market and the General Stock Market of the Taipei Exchange according to the local requirements.  In addition, Chunghwa and CHI did not participate in the capital increase of CHIEF in June 2018.  Furthermore, CHIEF issued new shares in March and November 2018, and March and November 2019, as its employees exercised their options.  Therefore, the Company’s ownership interest in CHIEF decreased to 60.23% and 59.75% as of December 31, 2018 and 2019.  See Note 33(c)(d) for details.

SENAO transferred its treasury stock to employees in June and November 2017, and June 2018; therefore, the Company’s ownership interest in SENAO decreased to 28.18% as of December 31, 2018 and 2019.  See Note 33(b) for details.

SENAO subscribed for all the shares in the capital increase of Youth in December 2018; therefore, the Company’s ownership interest in Youth increased to 93% as of December 31, 2018 and 2019.

The above transactions were accounted for as equity transactions since the Company did not cease to have control over these subsidiaries.

The detailed information of the equity transactions for the years ended December 31, 2017, 2018 and 2019 was as follows:

 

 

Year Ended December 31

 

 

 

2017

 

 

 

CHI Did Not Participate in the Capital Increase of CHPT

 

 

SENAO Transferred its Treasury Stock

 

 

Chunghwa and CHI Disposed Some Shares of CHIEF

 

 

 

NT$

 

 

NT$

 

 

 

 

 

 

 

 

 

 

 

(In Millions)

 

Cash consideration received

   from (paid to)

   Noncontrolling interests

 

$

2,552

 

 

$

164

 

 

$

106

 

The proportionate share of

   the carrying amount of

   the net assets of the

   subsidiary transferred (to)

   from noncontrolling

   interests

 

 

(1,750

)

 

 

(137

)

 

 

(29

)

Differences arising from

   equity transactions

 

$

802

 

 

$

27

 

 

$

77

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Line items for equity

   transaction adjustments

 

 

 

 

 

 

 

 

 

 

 

 

Additional paid-in capital -

   difference between

   consideration received or

   paid and the carrying

   amount of the subsidiaries’

   net assets upon actual

   disposal or acquisition

 

$

—

 

 

$

—

 

 

$

77

 

Additional paid-in capital -

   arising from changes in

   equities of subsidiaries

 

$

802

 

 

$

27

 

 

$

—

 

 

 

 

Year Ended December 31

 

 

 

2018

 

 

 

SENAO not Proportionately participating in the Capital Increase of Youth

 

 

SENAO Transferred its Treasury Stock

 

 

CHI Disposed Some Shares of CHPT

 

 

Chunghwa and CHI Did Not Participate in the Capital Increase of CHIEF

 

 

Chunghwa and CHI Disposed Some Shares of CHIEF

 

 

Share-Based Payment of CHIEF

 

 

 

NT$

 

 

NT$

 

 

NT$

 

 

NT$

 

 

 

 

 

 

NT$

 

 

 

(In Millions)

 

Cash consideration received

   from noncontrolling interests

 

$

—

 

 

$

327

 

 

$

1,042

 

 

$

1,477

 

 

$

133

 

 

$

35

 

The proportionate share of

   the carrying amount of

   the net assets of the

   subsidiary transferred to

   noncontrolling interests

 

 

—

 

 

 

(272

)

 

 

(330

)

 

 

(700

)

 

 

(19

)

 

 

(24

)

Differences arising from

   equity transactions

 

$

—

 

 

$

55

 

 

$

712

 

 

$

777

 

 

$

114

 

 

$

11

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Line items for equity

   transaction adjustments

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Additional paid-in capital -

   difference between

   consideration received or

   paid and the carrying

   amount of the subsidiaries’

   net assets upon actual

   disposal or acquisition

 

$

—

 

 

$

—

 

 

$

712

 

 

$

—

 

 

$

114

 

 

$

—

 

Additional paid-in capital -

   arising from changes in

   equities of subsidiaries

 

$

—

 

 

$

55

 

 

$

—

 

 

$

777

 

 

$

—

 

 

$

11

 

 

 

 

Year Ended December 31

 

 

 

2019

 

 

 

CHIEF Share-Based Payment

 

 

 

NT$

 

 

 

(In Millions)

 

Cash consideration received

   from noncontrolling interests

 

$

19

 

The proportionate share of

   the carrying amount of

   the net assets of the

   subsidiary transferred to

   noncontrolling interests

 

 

(20

)

Differences arising from

   equity transactions

 

$

(1

)

 

 

 

 

 

Line items for equity

   transaction adjustments

 

 

 

 

Additional paid-in capital -

   arising from changes in

   equities of subsidiaries

 

$

(1

)