Sustainable Management

To fulfill corporate responsibility and ensure the rights of shareholders and stakeholders, FENC regards integrity as its highest operating principle to secure sound governance, optimize corporate management and maximize shareholder interests.

Corruption and unethical conducts are detrimental to corporate reputation and stakeholder rights. To minimize the risk of corrupt conducts, FENC established an integrity and anti-corruption system with annual implementation of special projects.

Integrity and Anti-Corruption System

Highest Guiding Principle	Integrity
Code of Conduct	Best Practice Principles of Ethical Corporation Management and Code of Ethics approved by the Board
System	Conflict of interest stipulated in the Rules of Procedure for Board of Directors – Donations from stakeholders or major donations to non-stakeholders: Rules of Procedure for Board of Directors stipulates that such conduct shall be reported to the Board; The whistle-blowing and disciplinary method of violating ethical conduct and ethical management; Remuneration system; Internal control system and provisions governing its implementation, including management policy, authorization system and segregation of duties; Anti-bribery clauses included in procurement contracts to strictly forbid the acceptance of kickbacks, handling charges or financial gains in any form.
Scope	Corrupt conducts subject to FENC anti-corruption policy include unlawful conducts that cause embezzlement of corporate assets or infringement of shareholder rights, such as corruption, money laundering, bribery, kickback, commission, facilitating payment, illegal political donation, inappropriate charitable donation, unreasonable presents, improper conduct and unfair trade.
Audit System	Integrity and anti-corruption practice are listed under mandatory audit in the internal audit system. Self Evaluation on Corporate Corruption is conducted quarterly based on the scope of anti-corruption policy. The result is presented to the Board for review to ensure the implementation of the anti-corruption policy. FENC shall conduct investigation in the presence of the likelihood that suppliers and subcontractors, including agents and trade companies, violate integrity practice. Once verified, said company will be removed from FENC’s list of eligible suppliers.
Training and Promotion	A minimum of one anti-corruption training for Board members and all employees to promote the scope of FENC anti-corruption policy and possible effects at the individual and corporate levels. Prior to being included in FENC’s list of eligible suppliers or engaging in business transaction with FENC, suppliers and subcontractors, including agents and trade companies, must undergo anti-corruption training or education. Internal publication, meetings, signage at the plants.

2024 Implementation

Quarterly compliance audits were conducted at all FENC sites, including the completion of self-assessment forms and on-site audits, to ensure a full understanding of FENC’s ethical corporate management and anti-corruption policies across all production and operation sites.

2024 Results

The implementation of ethical management was presented to the Board, including online self-evaluation on regulatory compliance and training outcomes to fulfill the Company’s belief in corporate integrity.
All Board members completed the anti-corruption training, representing 100% in completion.
The anti-corruption training was conducted for FENC employees with 100% coverage.
Among the new employee hires, 100% have signed the declaration pledging to abide by the FENC Best Practice Principles of Ethical Corporate Management and Code of Ethics.
FENC promotes anti-corruption among suppliers and contractors through the Supplier Code of Conduct and Corporate Social Responsibility Commitment Statement. A total of 6,993 suppliers, which account for 94%, have signed the statement.

Statistics on the Number of Breaches of the Code of Ethics Conduct

	Number of Breaches in 2024
Corruption or Bribery	0
Discrimination or Harassment	0
Leakage of Customer Privacy Data	0
Conflicts of Interest	0
Money Laundering or Insider Trading	0
Total	0