United Microelectronics (UMC)

To announce the differences for 2006 financial statements between ROC GAAP and US GAAP

1. Date of occurrence of the event: 2007/05/09

2. Cause of occurrence: To announce the differences for 2006 financial statements between ROC GAAP and US GAAP

3. Content of overseas financial report required to be adjusted due to inconsistency in the accounting principles applied in the two places for:

(1) Under ROC GAAP, UMC reported consolidated net income of NT$32,619,313 thousand, basic earnings per share of NT$1.81 and diluted earnings per share of NT$1.75 in 2006, total assets of NT$367,653,461 thousand, total liabilities of NT$70,250,572 thousand, minority interest of NT$6,238,018 thousand, and total shareholders’ equity of NT$291,164,871 thousand as of December 31, 2006.

(2) Under US GAAP, UMC reported consolidated net income of NT$21,796,730 thousand, basic earnings per share of NT$1.22 and diluted earnings per share of NT$1.18 in 2006, total assets of NT$401,628,403 thousand, total liabilities of NT$71,226,181 thousand, minority interest of NT$6,240,207 thousand, and total shareholders’ equity of NT$324,162,015 thousand as of December 31, 2006.

(3) The differences between ROC GAAP and US GAAP applied by the Company mainly come from goodwill, treasury stock, compensation, derivative instruments, equity investments, convertible/exchangeable bond liabilities, income tax and pension etc.

4. Any other matters that need to be specified: For more details, please refer at: http://www.umc.com/english/investors/c.asp

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