HTC Investors

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To explain the Commercial Times report on August 31, 2013

1.Name of the reporting media: Commercial Times

2.Date of the report:2013/08/31

3.Content of the report:

Please refer to the Commercial Times report on August 31, 2013

4.Summary of the information provided by investors: N/A

5.Company's explanation of the reportage or provided information:

The company expects employees to observe and practice the highest levels of integrity and ethics.  Protecting the companys proprietary and intellectual properties, privacy and security is a core fundamental responsibility of every employee.  The company does  not compromise nor condone any violation at any level of our organization and the company shall act in accordance to the law. As this matter is currently under investigation by the relevant authorities, we therefore refrain from further comments.

In addition, the company has sufficient resources in our design team and this situation will not impact the companys operations, product portfolio plans and our overall business performance.

6.Countermeasures:N/A

7.Any other matters that need to be specified: N/A