UMC practices social responsibility based on LOHAS (Lifestyle of Health and Sustainability), which includes caring for minorities, building a healthy workplace, sustainable environment, and maintaining a solid financial structure. UMC's CSR Committee was established to implement corporate social responsibility practices in five categories: corporate governance, green production, energy conservation, ESH (environmental protection, safety & health), and public interest.

2008 was a fruitful year for UMC's corporate social responsibility efforts. UMC was named as a Global Index Component for Dow Jones Sustainability World Indexes, indicating that UMC's accomplishments in sustainability and social responsibility are on par with global leaders and recognized by international assessment organizations. In addition, UMC was also awarded with several domestic awards, including the "CSR Award" from Global Views Magazine, "Happy & Healthy Company Award" from Common Health Magazine, and the "the Environmental honor trophy" due to the third consecutive year of receiving "Enterprise Environmental Protection Award" from Environmental Protection Administration of Executive Yuan.

Looking back to 2008, the global economic downturn caused significant impact to the world economy and the industrial sector. UMC responded to these challenges with flexibility, consistency, and dynamic adjustments to our operating scale. Economic uncertainty is a constant reality, and UMC has prepared itself to be continuously ready to meet any challenges or opportunities that these uncertainties may bring. Since the management team and I assumed our leadership positions last July, we have always taken into consideration the well being of our employees during our decision making process. We have taken several measures since the second half of 2008 to adjust to the ever changing industry situation, such as streamlining human resource allocation, improving production efficiency to lower capital expenditure, salary cuts for executives and unpaid leaves. However, we also provide timely incentives to our employees to show our appreciation for their hard work. This is what a responsible enterprise should do.

Looking forward, UMC will continue to implement programs through its CSR Committee to enhance corporate governance and green innovation. At a UMC Board Meeting earlier this year, a proposal to add another independent director (raising the number from 3 to 4) was approved, along with bringing in an additional outside director and establishing an Audit Committee to improve corporate governance structure. In the future, since the number of independent and outside directors will account for more than half of the 9 board seats, this action will significantly help to increase operating transparency as well as maintain interaction and balance between the board and management team. By continuing to enhance the board and corporate governance structure, UMC hopes to further increase the board's efficiency and supervision to protect shareholders' interests. As for green innovation, with the focus on responding to climate change and reducing carbon emission and energy consumption, UMC will aggressively promote projects such as Green Building and carbon footprint management to help build a sustainable environment.

Social problems and labor rights become highlighted during economic downturns; however, environmental deterioration does not slow during these times. Green innovation will become the key factor for an enterprise to differentiate itself, and I am well aware of the importance of CSR competitiveness as an indicator of sustainable growth. During economic downturns, CSR is what leads enterprises through the challenging times. UMC will embrace the new opportunities that CSR brings, in order to create a brighter future with sustainable growth.

The organization of UMC's CSR committee is as below: and will be revised if needed.

To effectively realize UMC's commitments in corporate social responsibility and sustainable growth and achieve the goal of Green Foundry, UMC CSR committee will adjust its structure as it sees fits.