SANTA CLARA, May 12, 2000 - At its annual technology forum today, UMC announced it has successfully produced fully functional 2MB SRAM chips using its Worldlogic™ 0.13-micron logic technology. The state-of-art SRAM chips were taped-out during the first quarter of the year and were verified with natural good die yield on May 2. This milestone makes UMC the first foundry to deliver what is considered the semiconductor industry's most advanced technology. These chips feature full copper interconnect technology, 0.10 micron gate length devices, and the world's smallest SRAM bitcell (6T) at 2.28um². UMC expects to enter pilot production for its 0.13 micron technology before the end of the year.

In recent years, UMC has led the foundry industry with the introduction of 0.25-, 0.22-, 0.18-, and 0.15-micron logic technologies. UMC's ability to consistently lead its competition with the introduction and ramp up of leading-edge technologies has enabled its customers to maintain performance and price advantages in a wide range of markets.

"Technology leadership is an important service that we offer our customers. Only through our commitment to long-term technology leadership can we guarantee our customers' competitive advantages. This is the nature of the foundry industry. Our customers' success and our own success are inseparable," said Jim Kupec, senior vice president of worldwide marketing and sales, UMC (USA).

NOTE CONCERNING FORWARD-LOOKING STATEMENTS
Some of the statements in the foregoing announcement are forward looking within the meaning of the U.S. Federal Securities laws, including statements about future outsourcing, wafer capacity, technologies, business relationships and market conditions. Investors are cautioned that actual events and results could differ materially from these statements as a result of a variety of factors, including conditions in the overall semiconductor market and economy; acceptance and demand for products from UMC; and technological and development risks.