| d. | Basis of Consolidation |
| 1) | Principles for preparing consolidated financial statements |
The consolidated financial statements incorporate the financial statements of the Company and the entities controlled by the Company (i.e. its subsidiaries, including structured entities).
Income and expenses of subsidiaries acquired or disposed of during the period are included in the consolidated statement of profit or loss and other comprehensive income from the effective dates of acquisitions up to the effective dates of disposals, as appropriate.
When necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with those used by the Company.
All intra-group transactions, balances, income and expenses are eliminated in full upon consolidation. Total comprehensive income of subsidiaries is attributed to the owners of the Company and to the non-controlling interests even if this results in the non-controlling interests having a deficit balance.
Changes in the Group’s ownership interests in subsidiaries that do not result in the Group losing control over the subsidiaries are accounted for as equity transactions. The carrying amounts of the interests of the Group and the non-controlling interests are adjusted to reflect the changes in their relative interests in the subsidiaries. Any difference between the amount by which the non-controlling interests are adjusted and the fair value of the consideration paid or received is recognized directly in equity and attributed to the owners of the Company.
When the Group loses control over a subsidiary, a gain or loss is recognized in profit or loss and is calculated as the difference between (i) the aggregate of the fair value of the consideration received and any investment retained in the former subsidiary at its fair value at the date when control is lost and (ii) the assets (including any goodwill) and liabilities and any non-controlling interests of the former subsidiary at their carrying amounts at the date when control is lost. The Group accounts for all amounts recognized in other comprehensive income in relation to that subsidiary on the same basis as would be required if the Group had directly disposed of the related assets or liabilities.
| 2) | Subsidiaries included in consolidated financial statements were as follows: |
| Establishment and |
Percentage of
Ownership (%) December 31
|
|||||||
| Name of Investee | Main Businesses | Operating Location | 2016 | 2017 | ||||
| A.S.E. Holding Limited | Holding company | Bermuda | 100.0 | 100.0 | ||||
| J & R Holding Limited (“J&R Holding”) | Holding company | Bermuda | 100.0 | 100.0 | ||||
| Innosource Limited | Holding company | British Virgin Islands | 100.0 | 100.0 | ||||
| Omniquest Industrial Limited | Holding company | British Virgin Islands | 100.0 | 100.0 | ||||
| ASE Marketing & Service Japan Co., Ltd. | Engaged in marketing and sales services | Japan | 100.0 | 100.0 | ||||
| ASE Test, Inc. | Engaged in the testing of semiconductors | Kaohsiung, ROC | 100.0 | 100.0 | ||||
| USI Inc. (“USIINC”) | Engaged in investing activity | Nantou, ROC | 99.2 | 99.2 | ||||
| Luchu Development Corporation (“Luchu”) | Engaged in the development of real estate properties | Taipei, ROC | 86.1 | 86.1 | ||||
| TLJ Intertech Inc. (“TLJ”) | Engaged in information software services | Taipei, ROC | 60.0 | 60.0 | ||||
| Alto Enterprises Limited | Holding company | British Virgin Islands | 100.0 | 100.0 | ||||
| Super Zone Holdings Limited | Holding company | Hong Kong | 100.0 | 100.0 | ||||
| ASE (Kun Shan) Inc. | Engaged in the packaging and testing of semiconductors | Kun Shan, China | 100.0 | 100.0 | ||||
| ASE Investment (Kun Shan) Limited | Holding company | Kun Shan, China | 100.0 | 100.0 | ||||
| Advanced Semiconductor Engineering (China) Ltd. | Will engage in the packaging and testing of semiconductors | Shanghai, China | 100.0 | 100.0 | ||||
| ASE Investment (Labuan) Inc. | Holding company | Malaysia | 100.0 | 100.0 | ||||
| ASE Test Limited (“ASE Test”) | Holding company | Singapore | 100.0 | 100.0 | ||||
| ASE (Korea) Inc. (“ASE Korea”) | Engaged in the packaging and testing of semiconductors | Korea | 100.0 | 100.0 | ||||
| J&R Industrial Inc. | Engaged in leasing equipment and investing activity | Kaohsiung, ROC | 100.0 | 100.0 | ||||
| ASE Japan Co., Ltd. (“ASE Japan”) | Engaged in the packaging and testing of semiconductors | Japan | 100.0 | 100.0 | ||||
| ASE (U.S.) Inc. | After-sales service and sales support | U.S.A. | 100.0 | 100.0 | ||||
| Global Advanced Packaging Technology Limited | Holding company | British Cayman Islands | 100.0 | 100.0 | ||||
(Continued)
| Establishment and |
Percentage of
Ownership (%) December 31
|
|||||||
| Name of Investee | Main Businesses | Operating Location | 2016 | 2017 | ||||
| ASE WeiHai Inc. | Engaged in the packaging and testing of semiconductors | Shandong, China | 100.0 | 100.0 | ||||
| Suzhou ASEN Semiconductors Co., Ltd. (“ASEN”) | Engaged in the packaging and testing of semiconductors | Suzhou, China | 60.0 | 60.0 | ||||
| Anstock Limited | Engaged in financing activity | British Cayman Islands | 100.0 | 100.0 | ||||
| Anstock II Limited | Engaged in financing activity | British Cayman Islands | 100.0 | 100.0 | ||||
| ASE Module (Shanghai) Inc. | Absorbed by ASE (Shanghai) Inc. in February 2017 | Shanghai, China | 100.0 | - | ||||
| ASE (Shanghai) Inc. | Engaged in the production of substrates | Shanghai, China | 100.0 | 100.0 | ||||
| ASE Corporation | Holding company | British Cayman Islands | 100.0 | 100.0 | ||||
| ASE Mauritius Inc. | Holding company | Mauritius | 100.0 | 100.0 | ||||
| ASE Labuan Inc. | Holding company | Malaysia | 100.0 | 100.0 | ||||
| Shanghai Ding Hui Real Estate Development Co., Ltd. | Engaged in the development, construction and sale of real estate properties | Shanghai, China | 100.0 | 100.0 | ||||
| Shanghai Ding Qi Property Management Co., Ltd. | Engaged in the management of real estate properties | Shanghai, China | 100.0 | 100.0 | ||||
| Advanced Semiconductor Engineering (HK) Limited | Engaged in the trading of substrates | Hong Kong | 100.0 | 100.0 | ||||
| Shanghai Ding Wei Real Estate Development Co., Ltd. | Engaged in the development, construction and leasing of real estate properties | Shanghai, China | 100.0 | 100.0 | ||||
| Shanghai Ding Yu Real Estate Development Co., Ltd. | Engaged in the development, construction and leasing of real estate properties | Shanghai, China | 100.0 | 100.0 | ||||
| Shanghai Ding Fan Department Store Co., Ltd. | Engaged in department store business | Shanghai, China | 100.0 | 100.0 | ||||
| Kun Shan Ding Yue Real Estate Development Co., Ltd. (“KSDY”) | Engaged in the development, construction and leasing of real estate properties and was disposed of in June 2017 (Note 29) | Kun Shan, China | 100.0 | - | ||||
| Kun Shan Ding Hong Real Estate Development Co., Ltd. | Engaged in the development, construction and leasing of real estate properties | Kun Shan, China | 100.0 | 100.0 | ||||
| Shanghai Ding Xu Property Management Co., Ltd. | Engaged in the management of real estate properties, and was established in August 2017 | Shanghai, China | - | 100.0 | ||||
(Continued)
| Establishment and |
Percentage of
Ownership (%) December 31
|
|||||||
| Name of Investee | Main Businesses | Operating Location | 2016 | 2017 | ||||
| ASE Electronics Inc. | Engaged in the production of substrates | Kaohsiung, ROC | 100.0 | 100.0 | ||||
| ASE Test Holdings, Ltd. | Holding company | British Cayman Islands | 100.0 | 100.0 | ||||
| ASE Holdings (Singapore) Pte. Ltd. | Holding company | Singapore | 100.0 | 100.0 | ||||
| ASE Singapore Pte. Ltd. | Engaged in the packaging and testing of semiconductors | Singapore | 100.0 | 100.0 | ||||
| ISE Labs, Inc. | Engaged in the testing of semiconductors | U.S.A. | 100.0 | 100.0 | ||||
| ASE Electronics (M) Sdn. Bhd. | Engaged in the packaging and testing of semiconductors | Malaysia | 100.0 | 100.0 | ||||
| ASE Assembly & Test (Shanghai) Limited | Engaged in the packaging and testing of semiconductors | Shanghai, China | 100.0 | 100.0 | ||||
| ASE Trading (Shanghai) Ltd. | Engaged in trading activity | Shanghai, China | 100.0 | 100.0 | ||||
| Wuxi Tongzhi Microelectronics Co., Ltd. | Engaged in the packaging and testing of semiconductors | Wuxi, China | 100.0 | 100.0 | ||||
| Huntington Holdings International Co., Ltd. | Holding company | British Virgin Islands | 99.2 | 99.2 | ||||
| Unitech Holdings International Co., Ltd. | Holding company | British Virgin Islands | 99.2 | 99.2 | ||||
| Real Tech Holdings Limited | Holding company | British Virgin Islands | 99.2 | 99.2 | ||||
| Universal ABIT Holding Co., Ltd. | In the process of liquidation | British Cayman Islands | 99.2 | 99.2 | ||||
| Rising Capital Investment Limited | Holding company | British Virgin Islands | 99.2 | 99.2 | ||||
| Rise Accord Limited | Holding company | British Virgin Islands | 99.2 | 99.2 | ||||
| Universal Scientific Industrial (Kunshan) Co., Ltd. | Engaged in the manufacturing and sale of computer assistance system and related peripherals | Kun Shan, China | 99.2 | 99.2 | ||||
| USI Enterprise Limited (“USIE”) | Engaged in the services of investment advisory and warehousing management | Hong Kong | 97.0 | 96.9 | ||||
| USISH | Engaged in the designing, manufacturing and sale of electronic components | Shanghai, China | 75.9 | 75.8 | ||||
| Universal Global Technology Co., Limited | Holding company | Hong Kong | 75.9 | 75.8 | ||||
| Universal Global Technology (Kunshan) Co., Ltd. | Engaged in the designing and manufacturing of electronic components | Kun Shan, China | 75.9 | 75.8 | ||||
(Continued)
| Establishment and |
Percentage of
Ownership (%) December 31
|
|||||||
| Name of Investee | Main Businesses | Operating Location | 2016 | 2017 | ||||
| Universal Global Technology (Shanghai) Co., Ltd. | Engaged in the processing and sales of computer and communication peripherals as well as business in import and export of goods and technology | Shanghai, China | 75.9 | 75.8 | ||||
| Universal Global Electronics (Shanghai) Co., Ltd. | Engaged in the sale of electronic components and telecommunications equipment | Shanghai, China | 75.9 | 75.8 | ||||
| Universal Global Industrial Co., Limited | Engaged in manufacturing, trading and investing activity | Hong Kong | 75.9 | 75.8 | ||||
| Universal Global Scientific Industrial Co., Ltd. (“UGTW”) | Engaged in the manufacturing of components of telecomm and cars and provision of related R&D services | Nantou, ROC | 75.9 | 75.8 | ||||
| USI America Inc. | Engaged in the manufacturing and processing of motherboards and wireless network communication and provision of related technical service. | U.S.A. | 75.9 | 75.8 | ||||
| Universal Scientific Industrial De Mexico S.A. De C.V. | Engaged in the assembling of motherboards and computer components | Mexico | 75.9 | 75.8 | ||||
| USI Japan Co., Ltd. | Engaged in the manufacturing and sale of computer peripherals, integrated chip and other related accessories | Japan | 75.9 | 75.8 | ||||
| USI Electronics (Shenzhen) Co., Ltd. | Engaged in the design, manufacturing and sale of motherboards and computer peripherals | Shenzhen, China | 75.9 | 75.8 | ||||
| Universal Scientific Industrial Co., Ltd. (“USI”) | Engaged in the manufacturing, processing and sale of computers, computer peripherals and related accessories | Nantou, ROC | 75.2 | 75.5 | ||||