The Board of Directors resolved the proposal of dividends

March 20, 2006

Holtek Semiconductor Inc. today announced the board of directors resolved the proposal of dividends for NT$ 3.434 per common share. The dividends of NT$ 3.434 include cash dividends of NT$ 3.334 and stock dividends of NT$ 0.1 per common share. Such proposal of dividends has to be further approved by the annual shareholders' meeting, which will be held on June 12, 2006.