ANNOUNCEMENT UPDATE -  1:00pm 9/27 (Taiwan time)

  UMC Group has completed its initial appraisal of the damages caused by the Sept. 21 earthquake that struck Taiwan. Generally speaking, we can report that the damages were significantly less severe than originally estimated. We would like to announce the following:

1. Power at UMC Group has been restored, and 90% of the machinery in UMC Group's fabs has already returned to production. We expect to return to full capacity production in the coming days, in response to extremely strong demand from our international customer base.
    
2. Based on our initial investigation, all of the fab installations and equipment are in good condition. However, there was some damage caused to certain materials required for the operation of some production equipment. NT$300 million has been allocated for the replacement of these materials, including the procurement of quartz furnace tubes. Most of these materials have already been installed in the appropriate equipment and are being used in production now.
    
3. As a result of the power loss associated with the earthquake, the overall monthly revenues for UMC Group will drop by approximately 25% for the month of September, or approximately NT$1.37 billion. However, since UMC Group has insurance coverage for natural disasters and the interruption of business operations, the actual financial loss will be below the above figure.

UMC Group would also like to thank the government and general public for their support and consideration. We thank everyone for helping us to keep our losses to the bare minimum, allowing us to quickly return to production.