Lease Arrangements

12 Months Ended

Dec. 31, 2023

16.	LEASE ARRANGEMENTS

Right-of-use assets


	December 31, 2022			December 31, 2023
		NT$			NT$
		(In Millions)			(In Millions)

Carrying amounts

Land		$	38,525.8		$	37,437.1
Buildings			3,356.7			2,946.0
Machinery and equipment			2.9			-
Office equipment			28.6			41.6


		$	41,914.0		$	40,424.7


	Years Ended December 31
	2021			2022			2023
		NT$			NT$			NT$
	(In Millions)			(In Millions)			(In Millions)

Additions to right-of-use assets		$	7,769.8		$	12,610.7		$	2,145.4


Depreciation of right-of-use assets
Land		$	1,825.7		$	2,119.8		$	2,459.1
Buildings			707.9			928.7			976.1
Machinery and equipment			0.5			0.9			0.4
Office equipment			22.1			23.6			23.4


		$	2,556.2		$	3,073.0		$	3,459.0

Lease liabilities


	December 31, 2022			December 31, 2023
		NT$			NT$
		(In Millions)			(In Millions)
Carrying amounts

Current portion (classified under accrued expenses and other current liabilities)		$	2,603.5		$	2,810.6
Noncurrent portion			29,764.1			28,681.8


		$	32,367.6		$	31,492.4

Ranges of discount rates for lease liabilities are as follows:



	December 31, 2022		December 31, 2023

Land		0.39%-2.30%		0.39%-2.30%
Buildings		0.39%-5.63%		0.57%-6.52%
Machinery and equipment		0.71%		-
Office equipment		0.28%-4.71%		0.28%-7.13%

Material terms of right-of-use assets

The

Company leases land and buildings mainly for the use of plants and offices with lease terms of 1 to 36 years. The lease contracts for land located in the R.O.C. specify that lease payments will be adjusted every 2 years on the basis of changes in announced land value prices. The Company does not have purchase options to acquire the leasehold land and buildings at the end of the lease terms.

Other lease information


	Years Ended December 31
	2021			2022			2023
		NT$			NT$			NT$
	(In Millions)			(In Millions)			(In Millions)

Expenses relating to short-term leases		$	5,250.3		$	4,731.1		$	1,215.1


Total cash outflow for leases		$	7,510.8		$	7,618.3		$	4,916.9