This research adopts listed companies on TSE and OTC to be research samples from 2003 to 2010. Besides, this paper uses information disclosure of annual report to discuss the relationship between coporate governance mechanism and annual report information transparency, and the company market performance. We adopt deviation right, variables of ownership structure dimension, and controlled variables to measure the effect of coporate governance mechanisms on total annual report information disclosure, information transparency of finance and operation, ownership structure and board of directors, voluntary information disclosure, mandatory information disclosure,, and market performance. The impirical results find that shareholdings of directors, shareholdings of blockholders, shareholdings of government, shareholdings of domestic financial institution, and ratio of foreign investment have positive impact on annual report information disclosures. Deviation of voting right and cash flow right, shareholdings of supervisors, shareholdings of domestic trust funds, shareholdings of chairman, shareholdings of CEO, ratio of pledging of directors and supervisors, and firm size have negative impact on annual report information disclosures. Deviation of voting right and cash flow right, shareholdings of supervisors, and shareholdings of chairman have negative impact on market performance. Shareholdings of blockholders, shareholdings of managers, shareholdings of government, shareholdings of domestic trust funds, ratio of foreign investment, shareholdings of CEO, firm size, and annual report information disclosure have positive impact on market performance. The highest direct and total effect of information disclosure is shareholdings of domestic trust funds on Tobin’s Q, while the lowest direct and total effect of information disclosure is firm size on Tobin’s Q. The highest indirect effect of information disclosure are ratio of foreign investment and shareholdings of blockholders on Tobin’s Q, while the lowest indirect effect of information disclosure is firm size on Tobin’s Q.