United Microelectronics Corp (UMC) 6-K, filed Nov 17, 2021

UNITED STATESSECURITIES AND EXCHANGE COMMISSIONWashington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934

November 17, 2021

Commission File Number: 001-15128

United Microelectronics Corporation<br>———————————————————————————————————
(Translation of registrant’s name into English)
No. 3 Li Hsin Road II<br>Science Park<br>Hsinchu, Taiwan, R.O.C.
———————————————————————————————————<br>(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F: [x] Form 20-F [ ] Form 40-F
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Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): [ ]
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): [ ]

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
		United Microelectronics Corporation
---	---	---
Date: November 17, 2021	By:	Chitung Liu<br><br><br> <br>* * *
	Name:	Chitung Liu
	Title:	CFO

EXHIBIT INDEX

Exhibit No.	Description
99.1	CONSOLIDATED FINANCIAL STATEMENTS

UNITED MICROELECTRONICS CORPORATION

AND SUBSIDIARIES

CONSOLIDATED FINANCIAL STATEMENTS

WITH REPORT OF INDEPENDENT AUDITORS

FOR THE NINE-MONTH PERIODS ENDED

SEPTEMBER 30, 2021 AND 2020

Address: No. 3 Li-Hsin Road II, Hsinchu Science Park, Hsinchu City, Taiwan, R.O.C.

Telephone: 886-3-578-2258

The reader is advised that these consolidated financial statements have been prepared originally in Chinese. In the event of a conflict between these financial statements and the original Chinese version or difference in interpretation between the two versions, the Chinese language financial statements shall prevail.

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Review Report of Independent Auditors

To United Microelectronics Corporation

Introduction

We have reviewed the accompanying consolidated balance sheets of United Microelectronics Corporation and its subsidiaries (collectively, the “Company”) as of September 30, 2021 and 2020, the related consolidated statements of comprehensive income for the three-month and nine-month periods ended September 30, 2021 and 2020 and consolidated statements of changes in equity and cash flows for the nine-month periods ended September 30, 2021 and 2020, and notes to the consolidated financial statements, including the summary of significant accounting policies (together “the consolidated financial statements”). ^^Management is responsible for the preparation and fair presentation of these consolidated financial statements in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34, “Interim Financial Reporting” as endorsed and became effective by Financial Supervisory Commission of the Republic of China. Our responsibility is to express a conclusion on these consolidated financial statements based on our reviews.

Scope of Review

We conducted our reviews in accordance with Statement of Auditing Standards No. 65, “Review of Financial Information Performed by the Independent Auditor of the Entity” of the Republic of China. A review of consolidated financial statements consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with auditing standards generally accepted in the Republic of China and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our reviews and the review reports of other independent auditors (please refer to the Other Matter paragraph of our report), nothing has come to our attention that causes us to believe that the accompanying consolidated financial statements do not present fairly, in all material respects, the consolidated financial position of the Company as of September 30, 2021 and 2020, and its consolidated financial performance for the three-month and nine-month periods ended September 30, 2021 and 2020, and its consolidated cash flows for the nine-month periods ended September 30, 2021 and 2020, in accordance with the Regulations Governing the Preparation of Financial Reports by Securities Issuers and International Accounting Standard 34, “Interim Financial Reporting” as endorsed and became effective by Financial Supervisory Commission of the Republic of China.

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Other Matter – Making Reference tothe Reviews of Other Independent Auditors

We did not review the financial statement of certain associates and joint ventures accounted for under the equity method. Our review, insofar as it related to the investments accounted for under the equity method balances of NT$36,168 million and NT$23,465 million, which represented 8.43% and 6.37% of the total consolidated assets as of September 30, 2021 and 2020, respectively, the related shares of profit or loss from the associates and joint ventures in the amount of NT$3,335 million, NT$2,788 million, NT$5,926 million and NT$2,851 million, which represented 17.14%, 30.29%, 13.58%, and 17.08% of the consolidated income from continuing operations before income tax for the three-month and nine-month periods ended September 30, 2021 and 2020, respectively, and the related shares of other comprehensive income from the associates and joint ventures in the amount of NT$608 million, NT$850 million, NT$2,138 million and NT$809 million, which represented 3.58%, 8.17%, 5.30%, and 4.72% of the consolidated total comprehensive income for the three-month and nine-month periods ended September 30, 2021 and 2020, respectively, are based solely on the reports of other independent auditors.

/s/ Chiu, Wan-Ju

/s/ Hsu, Hsin-Min

Ernst & Young, Taiwan

October 27, 2021

Notice to Readers

The accompanying consolidated financial statements are intended only to present the consolidated financial position, results of operations and cash flows in accordance with accounting principles and practices generally accepted in the Republic of China and not those of any other jurisdictions. The standards, procedures and practices to review such consolidated financial statements are those generally accepted and applied in the Republic of China.

Accordingly, the accompanying consolidated financial statements and report of independent auditors are not intended for use by those who are not informed about the accounting principles or auditing standards generally accepted in the Republic of China, and their applications in practice.

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| --- | | English Translation of Consolidated Financial Statements Originally Issued in Chinese | | | | | | --- | --- | --- | --- | --- | | UNITED MICROELECTRONICS CORPORATION AND SUBSIDIARIES | | | | | | CONSOLIDATED BALANCE SHEETS | | | | | | September 30, 2021, December 31, 2020 and September 30, 2020 (September 30, 2021 and 2020 are unaudited) | | | | | | (Expressed in Thousands of New Taiwan Dollars) | | | | | | | | As of | | | | Liabilities and Equity | Notes | September 30, 2021 | December 31, 2020 | September 30, 2020 | | Current liabilities | | | | | | Short-term loans | 6(11), 6(27) | $ 2,134,625 | $ 11,057,132 | $ 7,571,645 | | Financial liabilities at fair value through profit or loss, current | 6(12) | 1,425,772 | 2,326 | - | | Contract liabilities, current | 6(20) | 3,362,279 | 2,040,989 | 1,930,785 | | Notes and accounts payable | | 8,263,439 | 7,862,137 | 7,699,086 | | Other payables | 7 | 19,129,009 | 17,877,736 | 16,758,004 | | Payables on equipment | | 6,723,647 | 5,448,921 | 7,381,834 | | Current tax liabilities | | 2,683,988 | 1,050,965 | 1,217,739 | | Provisions, current | | - | - | 1,749,003 | | Lease liabilities, current | 6(9), 6(27) | 549,414 | 550,147 | 552,145 | | Other financial liabilities, current | 6(27), 9(6) | 12,546,927 | - | - | | Current portion of long-term liabilities | 6(13), 6(14), 6(27) | 22,128,096 | 26,985,078 | 8,825,516 | | Other current liabilities | 6(16), 6(17), 6(27), 7 | 5,598,165 | 5,368,095 | 5,464,867 | | Total current liabilities | | 84,545,361 | 78,243,526 | 59,150,624 | | Non-current liabilities | | | | | | Contract liabilities, noncurrent | 6(20) | 432,295 | 456,480 | 466,400 | | Bonds payable | 6(13), 6(27) | 20,082,851 | 16,690,474 | 16,689,830 | | Long-term loans | 6(14), 6(27) | 31,006,101 | 8,080,938 | 32,766,717 | | Deferred tax liabilities | | 1,687,372 | 1,631,459 | 1,627,140 | | Lease liabilities, noncurrent | 6(9), 6(27) | 4,621,991 | 5,026,717 | 5,183,579 | | Net defined benefit liabilities, noncurrent | 6(15) | 3,698,216 | 4,162,654 | 3,976,120 | | Guarantee deposits | 6(27) | 11,486,165 | 235,199 | 224,387 | | Other noncurrent liabilities-others | 6(16), 6(27), 9(6) | 13,628,555 | 27,215,826 | 27,244,169 | | Total non-current liabilities | | 86,643,546 | 63,499,747 | 88,178,342 | | Total liabilities | | 171,188,907 | 141,743,273 | 147,328,966 | | Equity attributable to the parent company | | | | | | Capital | 6(18) | | | | | Common stock | | 124,232,695 | 124,224,015 | 124,224,015 | | Additional paid-in capital | 6(18), 6(19) | | | | | Premiums | | 36,809,962 | 36,809,962 | 36,809,962 | | Treasury stock transactions | | 3,680,804 | 3,340,664 | 3,340,664 | | The differences between the fair value of the consideration paid or received from acquiring or disposing subsidiaries and the carrying amounts of the subsidiaries | | 466,457 | 466,457 | 466,457 | | Recognition of changes in subsidiaries’ ownership | | 6,839 | - | 2,770 | | Share of changes in net assets of associates and joint ventures accounted for using equity method | | 84,935 | 93,880 | 86,539 | | Employee stock options | | - | 88,504 | 13,804 | | Restricted stock for employees | | 2,226,830 | 2,170,666 | 2,170,666 | | Other | | 16,723 | 241,081 | 12,208 | | Retained earnings | 6(18) | | | | | Legal reserve | | 15,734,416 | 12,536,526 | 12,536,526 | | Special reserve | | 8,164,648 | 11,022,314 | 11,022,314 | | Unappropriated earnings | | 76,351,410 | 56,617,520 | 46,394,200 | | Other components of equity | 6(19) | | | | | Exchange differences on translation of foreign operations | | (15,916,829) | (11,890,876) | (11,385,068) | | Unrealized gains or losses on financial assets measured at fair value through other comprehensive income | | 8,307,797 | 3,726,229 | (766,663) | | Unearned employee compensation | | (2,598,084) | (3,667,395) | (4,047,137) | | Treasury stock | 6(18), 6(19) | (119,801) | (119,801) | (119,801) | | Total equity attributable to the parent company | | 257,448,802 | 235,659,746 | 220,761,456 | | Non-controlling interests | 6(18) | 154,922 | 113,356 | 153,507 | | Total equity | | 257,603,724 | 235,773,102 | 220,914,963 | | Total liabilities and equity | | $ 428,792,631 | $ 377,516,375 | $ 368,243,929 | | The accompanying notes are an integral part of the consolidated financial statements. | | | | |

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| --- | | English Translation | --- | --- | --- | --- | --- | --- | | UNITED MICROELECTRONICS | UNAUDITED CONSOLIDATED | For the three-month | (Expressed | | | For | | Notes | 2021 | Operating | Operating | Gross profit | | Operating | Sales and marketing | General and administrative | Research and development | Expected credit impairment | Subtotal | | (6,635,817) | Net | Operating income | | Non-operating | Interest income | | Other income | | Other gains and | Finance costs | | Share of profit | Exchange gain, | Exchange loss, | Subtotal | | 4,316,724 | Income from continuing | Income | Net | Other | Items | Unrealized gains | Share of other | Income tax related | Items | Exchange differences | Share of other comprehensive | Income tax | Total | Total comprehensive income | Net income (loss) | Shareholders | Non-controlling | | | $17,351,943 | Comprehensive income | Shareholders | Non-controlling | | | $16,981,870 | Earnings | Earnings | Earnings per share-diluted | | The accompanying of Consolidated Financial Statements Originally Issued in Chinese | | | | | | CORPORATION AND SUBSIDIARIES | | | | | | STATEMENTS OF COMPREHENSIVE INCOME | | | | | | and nine-month periods ended September 30, 2021 and 2020 | | | | | | in Thousands of New Taiwan Dollars, Except for Earnings per Share) | | | | | | the three-month periods ended September 30, | | For the nine-month periods ended September 30, | | | 2020 | 2021 | 2020 | revenues | 6(20), 7 | $55,906,677 | $44,870,454 | $ 153,911,430 | $ 131,524,561 | costs | 6(5), 6(10), 6(15), 6(19), 6(20), 6(21), 7 | (35,362,666) | (35,101,185) | (104,965,145) | (103,375,552) | | 20,544,011 | 9,769,269 | 48,946,285 | 28,149,009 | expenses | 6(4), 6(10), 6(15), 6(19), 6(21), 7 | | | | | expenses | | (1,211,861) | (1,009,400) | (3,431,977) | (2,977,707) | expenses | | (2,118,592) | (1,614,465) | (5,825,523) | (4,696,929) | expenses | | (3,303,295) | (3,314,223) | (9,520,603) | (9,701,766) | gains (losses) | | (2,069) | 429,373 | 8,973 | 468,099 | | (5,508,715) | (18,769,130) | (16,908,303) | other operating income and expenses | 6(16), 6(22) | 1,226,942 | 2,872,330 | 3,892,826 | 5,151,915 | | 15,135,136 | 7,132,884 | 34,069,981 | 16,392,621 | income and expenses | | | | | | | 152,137 | 144,704 | 421,764 | 610,334 | | 772,409 | 523,649 | 1,359,703 | 681,635 | losses | 6(23), 6(28) | 442,673 | (1,145,992) | 3,056,166 | (1,883,352) | 6(23) | (570,159) | (486,376) | (1,455,397) | (1,655,357) | or loss of associates and joint ventures | 6(6) | 3,355,858 | 2,778,475 | 6,003,910 | 2,845,848 | net | | 163,806 | 259,212 | 173,173 | - | net | | - | - | - | (299,280) | | 2,073,672 | 9,559,319 | 299,828 | operations before income tax | | 19,451,860 | 9,206,556 | 43,629,300 | 16,692,449 | tax expense | 6(25) | (2,099,917) | (196,968) | (4,521,858) | (401,538) | income | | 17,351,943 | 9,009,588 | 39,107,442 | 16,290,911 | comprehensive income (loss) | 6(24) | | | | | that will not be reclassified subsequently to profit or loss | | | | | | or losses from equity instruments investments measured at fair value through other comprehensive income | | (657,159) | 882,102 | 3,135,224 | 2,246,483 | comprehensive income (loss) of associates and joint ventures which will not be reclassified subsequently to profit or loss | | 660,665 | 918,815 | 2,259,582 | 877,716 | to items that will not be reclassified subsequently | 6(25) | (57,127) | (17,016) | (117,822) | 39,883 | that may be reclassified subsequently to profit or loss | | | | | | on translation of foreign operations | | (314,200) | (434,477) | (4,002,655) | (2,352,083) | income (loss) of associates and joint ventures which may be reclassified subsequently to profit or loss | | (3,520) | 25,859 | (44,344) | 13,686 | related to items that may be reclassified subsequently | 6(25) | 1,268 | 15,122 | 21,028 | 28,322 | other comprehensive income (loss) | | (370,073) | 1,390,405 | 1,251,013 | 854,007 | (loss) | | $16,981,870 | $10,399,993 | $40,358,455 | $17,144,918 | attributable to: | | | | | | of the parent | | $17,460,235 | $ 9,106,271 | $39,831,225 | $17,993,985 | interests | | (108,292) | (96,683) | (723,783) | (1,703,074) | | $ 9,009,588 | $39,107,442 | $16,290,911 | (loss) attributable to: | | | | | | of the parent | | $17,090,163 | $10,496,677 | $41,082,256 | $18,721,336 | interests | | (108,293) | (96,684) | (723,801) | (1,576,418) | | $10,399,993 | $40,358,455 | $17,144,918 | per share (NTD) | 6(26) | | | | | per share-basic | | $ 1.43 | $ 0.75 | $ 3.26 | $ 1.50 | | $ 1.41 | $ 0.75 | $ 3.21 | $ 1.44 | notes are an integral part of the consolidated financial statements. | | | | | |

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| --- | | English Translation of Consolidated Financial Statements Originally Issued in Chinese | | | | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | UNITED MICROELECTRONICS CORPORATION AND SUBSIDIARIES | | | | | | | | | | | | | | | | UNAUDITED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY | | | | | | | | | | | | | | | | For the nine-month periods ended September 30, 2021 and 2020 | | | | | | | | | | | | | | | | (Expressed in Thousands of New Taiwan Dollars) | | | | | | | | | | | | | | | | | | Equity Attributable to the Parent Company | | | | | | | | | | | | | | | | Capital | | | Retained Earnings | | | Other Components of Equity | | | | | | | | | Notes | Common Stock | Collected in Advance | Additional Paid-in Capital | Legal Reserve | Special Reserve | Unappropriated Earnings | Exchange Differences on Translation of Foreign Operations | Unrealized Gains or Losses on Financial Assets Measured at Fair Value through Other Comprehensive Income | Unearned Employee Compensation | Treasury Stock | Total | Non- Controlling Interests | Total Equity | | Balance as of January 1, 2020 | 6(18) | $ 117,243,187 | $ 332,611 | $39,550,394 | $11,572,579 | $14,513,940 | $34,733,761 | $ (8,948,337) | $ (2,073,977) | $ - | $ (119,801) | $ 206,804,357 | $ 410,065 | $207,214,422 | | Appropriation and distribution of 2019 retained earnings | 6(18) | | | | | | | | | | | | | | | Legal reserve | | - | - | - | 963,947 | - | (963,947) | - | - | - | - | - | - | - | | Cash dividends | | - | - | - | - | - | (9,765,155) | - | - | - | - | (9,765,155) | - | (9,765,155) | | Special reserve reversed | | - | - | - | - | (3,491,626) | 3,491,626 | - | - | - | - | - | - | - | | Net income (loss) for the nine-month period ended September 30, 2020 | 6(18) | - | - | - | - | - | 17,993,985 | - | - | - | - | 17,993,985 | (1,703,074) | 16,290,911 | | Other comprehensive income (loss), for the nine-month period ended September 30, 2020 | 6(18), 6(24) | - | - | - | - | - | - | (2,436,731) | 3,164,082 | - | - | 727,351 | 126,656 | 854,007 | | Total comprehensive income (loss) | | - | - | - | - | - | 17,993,985 | (2,436,731) | 3,164,082 | - | - | 18,721,336 | (1,576,418) | 17,144,918 | | Share-based payment transaction | 6(19) | 2,000,300 | - | 2,553,360 | - | - | - | - | - | (4,047,137) | 1,678,272 | 2,184,795 | - | 2,184,795 | | Conversion of convertible bonds | 6(13), 6(18) | 4,980,528 | (332,611) | 1,862,366 | - | - | - | - | - | - | - | 6,510,283 | - | 6,510,283 | | Treasury stock acquired | 6(18) | - | - | - | - | - | - | - | - | - | (1,678,272) | (1,678,272) | - | (1,678,272) | | Share of changes in net assets of associates and joint ventures accounted for using equity method | | - | - | (36,728) | - | - | 31,403 | - | (31,403) | - | - | (36,728) | - | (36,728) | | The differences between the fair value of the consideration paid or received from acquiring or disposing subsidiaries and the carrying amounts of the subsidiaries | 6(18) | - | - | (106,879) | - | - | - | - | - | - | - | (106,879) | 106,879 | - | | Changes in subsidiaries’ ownership | 6(18) | - | - | 1,552 | - | - | - | - | - | - | - | 1,552 | 1,291 | 2,843 | | Adjustments for dividends subsidiaries received from parent company | | - | - | 12,927 | - | - | - | - | - | - | - | 12,927 | - | 12,927 | | Disposal of equity instruments investments measured at fair value through other comprehensive income | 6(3) | - | - | - | - | - | 1,825,365 | - | (1,825,365) | - | - | - | - | - | | Non-Controlling Interests | 6(18) | - | - | - | - | - | - | - | - | - | - | - | (570,188) | (570,188) | | Others | 6(18) | - | - | (933,922) | - | - | (952,838) | - | - | - | - | (1,886,760) | 1,781,878 | (104,882) | | Balance as of September 30, 2020 | 6(18) | $ 124,224,015 | $ - | $42,903,070 | $12,536,526 | $11,022,314 | $46,394,200 | $(11,385,068) | $ (766,663) | $ (4,047,137) | $ (119,801) | $ 220,761,456 | $ 153,507 | $220,914,963 | | Balance as of January 1, 2021 | 6(18) | $ 124,224,015 | $ - | $43,211,214 | $12,536,526 | $11,022,314 | $56,617,520 | $(11,890,876) | $3,726,229 | $ (3,667,395) | $ (119,801) | $ 235,659,746 | $ 113,356 | $235,773,102 | | Appropriation and distribution of 2020 retained earnings | 6(18) | | | | | | | | | | | | | | | Legal reserve | | - | - | - | 3,197,890 | - | (3,197,890) | - | - | - | - | - | - | - | | Cash dividends | | - | - | - | - | - | (19,875,842) | - | - | - | - | (19,875,842) | - | (19,875,842) | | Special reserve reversed | | - | - | - | - | (2,857,666) | 2,857,666 | - | - | - | - | - | - | - | | Net income (loss) for the nine-month period ended September 30, 2021 | 6(18) | - | - | - | - | - | 39,831,225 | - | - | - | - | 39,831,225 | (723,783) | 39,107,442 | | Other comprehensive income (loss), for the nine-month period ended September 30, 2021 | 6(18), 6(24) | - | - | - | - | - | 2,101 | (4,025,953) | 5,274,883 | - | - | 1,251,031 | (18) | 1,251,013 | | Total comprehensive income (loss) | | - | - | - | - | - | 39,833,326 | (4,025,953) | 5,274,883 | - | - | 41,082,256 | (723,801) | 40,358,455 | | Share-based payment transaction | 6(19) | 8,680 | - | 282,076 | - | - | - | - | - | 1,069,311 | - | 1,360,067 | - | 1,360,067 | | Share of changes in net assets of associates and joint ventures accounted for using equity method | | - | - | (8,945) | - | - | 693,315 | - | (693,315) | - | - | (8,945) | - | (8,945) | | Changes in subsidiaries’ ownership | 6(18) | - | - | 6,839 | - | - | - | - | - | - | - | 6,839 | (6,835) | 4 | | Adjustments for dividends subsidiaries received from parent company | | - | - | 25,724 | - | - | - | - | - | - | - | 25,724 | - | 25,724 | | Non-Controlling Interests | 6(18) | - | - | - | - | - | - | - | - | - | - | - | 11,928 | 11,928 | | Others | 6(18) | - | - | (224,358) | - | - | (576,685) | - | - | - | - | (801,043) | 760,274 | (40,769) | | Balance as of September 30, 2021 | 6(18) | $ 124,232,695 | $ - | $43,292,550 | $15,734,416 | $ 8,164,648 | $76,351,410 | $(15,916,829) | $8,307,797 | $ (2,598,084) | $ (119,801) | $ 257,448,802 | $ 154,922 | $257,603,724 | | The accompanying notes are an integral part of the consolidated financial statements. | | | | | | | | | | | | | | |

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| --- | | English Translation of Consolidated Financial Statements Originally Issued in Chinese | | | | --- | --- | --- | | UNITED MICROELECTRONICS CORPORATION AND SUBSIDIARIES | | | | UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS | | | | For the nine-month periods ended September 30, 2021 and 2020 | | | | (Expressed in Thousands of New Taiwan Dollars) | | | | | For the nine-month periods ended September 30, | | | | 2021 | 2020 | | Cash flows from operating activities: | | | | Net income before tax | $ 43,629,300 | $ 16,692,449 | | Adjustments to reconcile net income before tax to net cash provided by operating activities: | | | | Depreciation | 33,109,026 | 34,897,228 | | Amortization | 2,148,681 | 2,017,807 | | Expected credit impairment gains | (8,973) | (468,099) | | Net gain of financial assets and liabilities at fair value through profit or loss | (2,987,600) | (130,288) | | Interest expense | 1,371,064 | 1,599,073 | | Interest income | (421,764) | (610,334) | | Dividend income | (1,359,703) | (681,635) | | Share-based payment | 1,360,102 | 504,776 | | Share of profit of associates and joint ventures | (6,003,910) | (2,845,848) | | Gain on disposal of property, plant and equipment | (71,404) | (1,100,764) | | Loss on disposal of investments | 10,977 | 44,088 | | Exchange gain on financial assets and liabilities | (140,392) | (530,867) | | Gain on lease modification | - | (1,753) | | Amortization of deferred government grants | (3,027,832) | (2,995,847) | | Income and expense adjustments | 23,978,272 | 29,697,537 | | Changes in operating assets and liabilities: | | | | Financial assets and liabilities at fair value through profit or loss | 353,209 | 324,417 | | Contract assets | (7,269) | (122,583) | | Notes receivable and accounts receivable | (6,259,001) | (1,128,699) | | Other receivables | (92,475) | (58,479) | | Inventories | (951,081) | (1,320,743) | | Prepayments | 103,602 | 2,763,925 | | Other current assets | 1,600 | (73,121) | | Contract fulfillment costs | (239,138) | (299,348) | | Contract liabilities | 1,352,232 | 963,071 | | Notes and accounts payable | 549,512 | (1,106,233) | | Other payables | 1,487,032 | 1,535,130 | | Provisions | - | 1,749,003 | | Other current liabilities | (100,592) | (452,260) | | Net defined benefit liabilities | (464,438) | (41,296) | | Other noncurrent liabilities-others | 46,973 | - | | Cash generated from operations | 63,387,738 | 49,122,770 | | Interest received | 367,907 | 624,192 | | Dividend received | 2,368,857 | 982,750 | | Interest paid | (879,686) | (1,181,855) | | Income tax refunded (paid) | (1,715,121) | 125,028 | | Net cash provided by operating activities | 63,529,695 | 49,672,885 | | (continued) | | |

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| --- | | English Translation of Consolidated Financial Statements Originally Issued in Chinese | | | | --- | --- | --- | | UNITED MICROELECTRONICS CORPORATION AND SUBSIDIARIES | | | | UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS | | | | For the nine-month periods ended September 30, 2021 and 2020 | | | | (Expressed in Thousands of New Taiwan Dollars) | | | | | For the nine-month periods ended September 30, | | | | 2021 | 2020 | | Cash flows from investing activities: | | | | Acquisition of financial assets at fair value through profit or loss | $ (650,732) | $(571,565) | | Proceeds from disposal of financial assets at fair value through profit or loss | 397,826 | 153,501 | | Acquisition of investments accounted for under the equity method | - | (59,900) | | Proceeds from disposal of investments accounted for under the equity method | - | 30,609 | | Increase in prepayment for investments | - | (107,208) | | Proceeds from capital reduction and liquidation of investments | 42,117 | - | | Disposal of subsidiary | 714,358 | (417) | | Acquisition of property, plant and equipment | (33,328,093) | (14,607,603) | | Proceeds from disposal of property, plant and equipment | 166,855 | 1,757,441 | | Increase in refundable deposits | (251,441) | (159,930) | | Decrease in refundable deposits | 145,067 | 267,403 | | Acquisition of intangible assets | (1,824,537) | (1,715,772) | | Government grants related to assets acquisition | 2,466,146 | 171,814 | | Increase in other financial assets | (23,078,770) | (10,760,203) | | Decrease in other financial assets | 6,501,136 | 2,947,730 | | Increase in other noncurrent assets-others | (124,443) | (20,128) | | Net cash used in investing activities | (48,824,511) | (22,674,228) | | Cash flows from financing activities: | | | | Increase in short-term loans | 6,582,552 | 8,248,011 | | Decrease in short-term loans | (15,332,595) | (12,531,982) | | Proceeds from bonds issued | 20,760,800 | - | | Bonds issuance costs | (50,758) | - | | Redemption of bonds | (2,000,000) | (13,702,875) | | Proceeds from long-term loans | 14,590,508 | 13,070,300 | | Repayments of long-term loans | (9,367,201) | (6,582,691) | | Increase in guarantee deposits | 11,913,332 | 289,182 | | Decrease in guarantee deposits | (589,240) | (358,845) | | Cash payments for the principal portion of the lease liability | (525,296) | (549,252) | | Cash dividends | (19,870,459) | (9,765,242) | | Treasury stock acquired | - | (1,678,272) | | Treasury stock sold to employees | - | 1,677,900 | | Change in non-controlling interests | 11,928 | (567,188) | | Others | 18 | 2,120 | | Net cash provided by (used in) financing activities | 6,123,589 | (22,448,834) | | Effect of exchange rate changes on cash and cash equivalents | (1,771,949) | (1,203,221) | | Net increase in cash and cash equivalents | 19,056,824 | 3,346,602 | | Cash and cash equivalents at beginning of period | 94,048,036 | 95,492,477 | | Cash and cash equivalents at end of period | $ 113,104,860 | $98,839,079 | | The accompanying notes are an integral part of the consolidated financial statements. | | |

| 9 |

| --- |

UNITED MICROELECTRONICS CORPORATION AND SUBSIDIARIES

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

For the Nine-Month Periods Ended September 30, 2021 and 2020

(Expressed in Thousands of New Taiwan Dollars unless Otherwise Specified)

1.	HISTORY AND ORGANIZATION

United Microelectronics Corporation (UMC) was incorporated in Republic of China (R.O.C.) in May 1980 and commenced operations in April 1982. UMC is a full service semiconductor wafer foundry, and provides a variety of services to satisfy customer needs. UMC’s ordinary shares were publicly listed on the Taiwan Stock Exchange (TWSE) in July 1985 and its American Depositary Shares (ADSs) were listed on the New York Stock Exchange (NYSE) in September 2000.

The address of its registered office and principal place of business is No. 3, Li-Hsin Road II, Hsinchu Science Park, Hsinchu City, Taiwan. The principal operating activities of UMC and its subsidiaries (“the Company”) are described in Notes 4(3) and 14.

2.	DATE AND PROCEDURES OF AUTHORIZATION OF FINANCIAL STATEMENTS FOR ISSUE

The consolidated financial statements of the Company were authorized for issue in accordance with a resolution of the Board of Directors’ meeting on October 27, 2021.

3.	NEWLY ISSUED OR REVISED STANDARDS AND INTERPRETATIONS
(1)	The Company applied International Financial Reporting Standards, International Accounting Standards, and<br>Interpretations issued, revised or amended which are endorsed by Financial Supervisory Commission (“FSC”) and become effective<br>for annual periods beginning on or after January 1, 2021. There were no newly adopted or revised standards and interpretations that have<br>material impact on the Company’s financial position and performance.
---	---
(2)	Standards issued by International Accounting Standards Board (“IASB”) which are endorsed by<br>FSC, but not yet adopted by the Company are listed below:
---	---
New, Revised or Amended Standards and Interpretations	Effective Date issued by IASB
---	---
Narrow-scope amendments of IFRS, including Amendments to IFRS 3, Amendments to IAS 16, Amendments to IAS 37	January 1, 2022
Annual Improvements to IFRS Standards 2018 - 2020:	January 1, 2022
Amendments to IFRS 1 “First-time Adoption of International Financial Reporting Standards”
Amendments to IFRS 9 “Financial Instruments”
Amendments to IFRS 16 “Leases”

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| --- | | a. | Narrow-scope amendments of IFRS, including Amendments to IFRS 3, Amendments to IAS 16, Amendments to IAS 37 | | --- | --- | | i. | Updating a Reference to the Conceptual Framework (Amendments to IFRS 3) | | --- | --- |

The amendments updated IFRS 3 by replacing a reference to an old version of the Conceptual Framework for Financial Reporting with a reference to the latest version, which was issued in March 2018. The amendments also added an exception to the recognition principle of IFRS 3 to avoid the issue of potential “day 2” gains or losses arising for liabilities and contingent liabilities. Besides, the amendments clarify existing guidance in IFRS 3 for contingent assets that would not be affected by replacing the reference to the Conceptual Framework.

ii.	Property, Plant and Equipment: Proceeds before Intended Use (Amendments to IAS 16)

The amendments prohibit a company from deducting from the cost of property, plant and equipment amounts received from selling items produced while the company is preparing the asset for its intended use. Instead, a company will recognise such sales proceeds and related cost in profit or loss.

iii.	Onerous Contracts - Cost of Fulfilling a Contract (Amendments to IAS 37)

The amendments clarify what costs a company should include as the cost of fulfilling a contract when assessing whether a contract is onerous.

b.	Annual Improvements to IFRS Standards 2018 – 2020
i.	Amendment to IFRS 1 First-time Adoption of International Financial Reporting Standards
---	---

The amendment simplifies the application of IFRS 1 by a subsidiary that becomes a first-time adopter after its parent in relation to the measurement of cumulative translation differences.

ii.	Amendment to IFRS 9 Financial Instruments

The amendment clarifies the fees a company includes when assessing whether the terms of a new or modified financial liability are substantially different from the terms of the original financial liability.

iii.	Amendment to Illustrative Examples Accompanying IFRS 16 Leases

The amendment to Illustrative Example 13 accompanying IFRS 16 modifies the treatment of lease incentives relating to lessee’s leasehold improvements.

The abovementioned standards and interpretations were issued by IASB and endorsed by FSC so that they are applicable for annual periods beginning on or after January 1, 2022. The standards and interpretations listed (a)~(b) have no material impact on the Company’s financial position and performance.

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| --- | | (3) | Standards issued by IASB but not yet endorsed by FSC (the effective dates are to be determined by FSC) are listed below: | | --- | --- | | New, Revised or Amended Standards and Interpretations | Effective Date issued by IASB | | --- | --- | | IFRS 10 “Consolidated Financial Statements” and IAS 28 “Investments in Associates and Joint Ventures” – Sale or Contribution of Assets between an Investor and its Associate or Joint Ventures | To be determined by IASB | | Amendments to IAS 1 “Presentation of Financial Statements” – Classification of Liabilities as Current or Non-current | January 1, 2023 | | Amendments to IAS 1 “Presentation of Financial Statements” – Disclosure Initiative - Accounting Policies | January 1, 2023 | | Amendments to IAS 8 “Accounting Policies, Changes in Accounting Estimates and Errors” – Definition of Accounting Estimates | January 1, 2023 | | Amendment to IAS 12 “Income Taxes” –Deferred Tax related to Assets and Liabilities arising from a Single Transaction | January 1, 2023 |

The potential effects of adopting the standards or interpretations issued by IASB but not yet endorsed by FSC on the Company’s financial statements in future periods are summarized as below:

c.	IFRS 10 “Consolidated Financial Statements” (“IFRS 10”) and IAS 28 “Investments<br>in Associates and Joint Ventures” - Sale or Contribution of Assets between an Investor and its Associate or Joint Ventures (Amendment)<br>(“IAS 28”)

The amendments address the inconsistency between the requirements in IFRS 10 and IAS 28, in dealing with the loss of control of a subsidiary that is contributed to an associate or a joint venture. IAS 28 restricts gains and losses arising from contributions of non-monetary assets to an associate or a joint venture to the extent of the interest attributable to the other equity holders in the associate or joint venture. IFRS 10 requires full profit or loss recognition on the loss of control of a subsidiary. IAS 28 was amended so that the gain or loss resulting from the sale or contribution of assets that constitute a business as defined in IFRS 3 “Business Combinations” (IFRS 3) between an investor and its associate or joint venture is recognized in full.

IFRS 10 was also amended so that the gain or loss resulting from the sale or contribution of a subsidiary that does not constitute a business as defined in IFRS 3 between an investor and its associate or joint venture is recognized only to the extent of the unrelated investors’ interests in the associate or joint venture.

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| --- | | d. | IAS 1 “Presentation of Financial Statements” (“IAS 1”) - Classification of Liabilities as Current or Non-current (Amendment) | | --- | --- |

These are the amendments to paragraphs 69-76 of IAS 1 presentation of financial statements and the amended paragraphs related to the classification of liabilities as current or non-current.

e.	IAS 1 “Presentation of Financial Statements” (“IAS 1”) - Disclosure Initiative<br>- Accounting Policies (Amendment)

The amendments improve accounting policy disclosures that to provide more useful information to investors and other primary users of the financial statements.

f.	IAS 8 “Accounting Policies, Changes in Accounting Estimates and Errors” (“IAS 8”)<br>- Definition of Accounting Estimates (Amendment)

The amendments introduce the definition of accounting estimates and included other amendments to IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors to help companies distinguish changes in accounting estimates from changes in accounting policies.

g.	IAS 12 “Income Taxes” (“IAS 12”) - Deferred Tax related to Assets and Liabilities<br>arising from a Single Transaction (Amendment)

The amendments narrow the scope of the recognition exemption in paragraphs 15 and 24 of IAS 12 so that it no longer applies to transactions that, on initial recognition, give rise to equal taxable and deductible temporary differences.

The Company is currently evaluating the potential impact of the aforementioned standards and interpretations listed (c) ~ (g) to the Company’s financial position and performance, and the related impact will be disclosed when the evaluation is completed.

4.	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(1)	Statement of Compliance
---	---

The Company’s consolidated financial statements were prepared in accordance with Regulations Governing the Preparation of Financial Reports by Securities Issuers (Regulations) and IAS 34 “Interim Financial Reporting” which is endorsed and become effective by FSC.

(2)	Basis of Preparation

The consolidated financial statements have been prepared on a historical cost basis, except for financial instruments measured at fair value.

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| --- | | (3) | General Description of Reporting Entity | | --- | --- | | a. | Principles of consolidation | | --- | --- |

The same principles of consolidation have been applied in the Company’s consolidated financial statements as those applied in the Company’s consolidated financial statements for the year ended December 31, 2020. For the principles of consolidation, please refer to Note 4(3) of the Company’s consolidated financial statements for the year ended December 31, 2020.

b.	The consolidated entities are as follows:

As of September 30, 2021, December 31, 2020 and September 30, 2020

			Percentage of ownership (%)<br><br> <br>As of
Investor	Subsidiary	Business nature	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020
UMC	UMC GROUP (USA)	IC Sales	100.00	100.00	100.00
UMC	UNITED MICROELECTRONICS (EUROPE) B.V.	Marketing support activities	100.00	100.00	100.00
UMC	UMC CAPITAL CORP.	Investment holding	100.00	100.00	100.00
UMC	GREEN EARTH LIMITED (GE)	Investment holding	100.00	100.00	100.00
UMC	TLC CAPITAL CO., LTD. (TLC)	Venture capital	100.00	100.00	100.00
UMC	UMC INVESTMENT (SAMOA) LIMITED	Investment holding	100.00	100.00	100.00
UMC	FORTUNE VENTURE CAPITAL CORP. (FORTUNE)	Consulting and planning for venture capital	100.00	100.00	100.00
UMC	UMC GROUP JAPAN	IC Sales	-	-	100.00
UMC	UMC KOREA CO., LTD.	Marketing support activities	100.00	100.00	100.00
UMC	OMNI GLOBAL LIMITED (OMNI)	Investment holding	100.00	100.00	100.00
UMC	SINO PARAGON LIMITED	Investment holding	100.00	100.00	100.00
UMC	BEST ELITE INTERNATIONAL LIMITED (BE)	Investment holding	100.00	100.00	100.00
UMC	UNITED SEMICONDUCTOR JAPAN CO., LTD.	Sales and manufacturing of integrated circuits	100.00	100.00	100.00
UMC, FORTUNE and TLC	NEXPOWER TECHNOLOGY CORP. (NEXPOWER)	Sales and manufacturing of solar power batteries	-	-	93.36

| 14 |

| --- | | UMC and FORTUNE | WAVETEK MICROELECTRONICS CORPORATION (WAVETEK) | Sales and manufacturing of integrated circuits | 80.88 | 81.40 | 82.10 | | --- | --- | --- | --- | --- | --- | | TLC | SOARING CAPITAL CORP. | Investment holding | 100.00 | 100.00 | 100.00 | | SOARING CAPITAL CORP. | UNITRUTH ADVISOR (SHANGHAI) CO., LTD. | Investment holding and advisory | 100.00 | 100.00 | 100.00 | | GE | UNITED MICROCHIP CORPORATION | Investment holding | 100.00 | 100.00 | 100.00 | | FORTUNE | TERA ENERGY DEVELOPMENT CO., LTD. (TERA ENERGY) | Energy technical services | 100.00 | 100.00 | 100.00 | | TERA ENERGY | EVERRICH ENERGY INVESTMENT (HK) LIMITED (EVERRICH-HK) | Investment holding | 100.00 | 100.00 | 100.00 | | EVERRICH-HK | EVERRICH (SHANDONG) ENERGY CO., LTD. | Solar engineering integrated design services | 100.00 | 100.00 | 100.00 | | OMNI | UNITED MICROTECHNOLOGY CORPORATION (NEW YORK) | Research and development | - | - | 100.00 | | OMNI | UNITED MICROTECHNOLOGY CORPORATION (CALIFORNIA) | Research and development | 100.00 | 100.00 | 100.00 | | OMNI | ECP VITA PTE. LTD. | Insurance | 100.00 | 100.00 | 100.00 | | OMNI | UMC TECHNOLOGY JAPAN CO., LTD. | Semiconductor manufacturing technology development and consulting services | - | 100.00 | 100.00 | | WAVETEK | WAVETEK MICROELECTRONICS INVESTMENT (SAMOA) LIMITED (WAVETEK-SAMOA) | Investment holding | 100.00 | 100.00 | 100.00 | | WAVETEK- SAMOA | WAVETEK MICROELECTRONICS CORPORATION (USA) | Marketing service | 100.00 | 100.00 | 100.00 | | BE | INFOSHINE TECHNOLOGY LIMITED (INFOSHINE) | Investment holding | 100.00 | 100.00 | 100.00 |

| 15 |

| --- | | INFOSHINE | OAKWOOD ASSOCIATES LIMITED (OAKWOOD) | Investment holding | 100.00 | 100.00 | 100.00 | | --- | --- | --- | --- | --- | --- | | OAKWOOD | HEJIAN TECHNOLOGY (SUZHOU) CO., LTD. (HEJIAN) | Sales and manufacturing of integrated circuits | 99.9985 | 99.9985 | 99.9985 | | HEJIAN | UNITEDDS SEMICONDUCTOR (SHANDONG) CO., LTD. | Integrated circuits design services | 100.00 | 100.00 | 100.00 | | UNITED MICROCHIP CORPORATION and HEJIAN | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | Sales and manufacturing of integrated circuits | 67.76 | 67.76 | 65.22 | | (4) | Other Significant Accounting Policies | | --- | --- |

Apart from the accounting policies which are described below, the same accounting policies of consolidation have been applied in the Company’s consolidated financial statements as those applied in the Company’s consolidated financial statements for the year ended December 31, 2020. For the summary of significant accounting policies, please refer to Note 4 of the Company’s consolidated financial statements for the year ended December 31, 2020.

Exchangeable bonds

In accordance with IFRS 9 “Financial Instruments”, if the economic characteristics and risks of the embedded derivative are not closely related to the economic characteristics and risks of the host, the derivative financial instruments embedded in exchangeable bonds would be separated from the host and accounted for as financial assets or liabilities at fair value through profit or loss.

UMC has exchangeable bonds where the bondholders may exchange the bonds into ordinary shares of certain public entities which UMC holds as financial assets (“reference shares”). When exchangeable bondholders exercise their right to exchange their bonds for reference shares, the carrying amount of the bonds and the related assets or liabilities accounts will be derecognized, and the difference will be recognized in profit or loss.

Both the host and embedded derivative financial instrument in exchangeable bonds are classified as current liabilities as the bondholders have the right to demand settlement by exercising the exchange option of the bonds within 12 months.

| 16 |

| --- | | 5. | SIGNIFICANT ACCOUNTING JUDGMENTS, ESTIMATES AND ASSUMPTIONS | | --- | --- |

The same significant accounting judgments, estimates and assumptions have been applied in the Company’s consolidated financial statements for the nine-month period ended September 30, 2021 as those applied in the Company’s consolidated financial statements for the year ended December 31, 2020. For significant accounting judgments, estimates and assumptions, please refer to Note 5 of the Company’s consolidated financial statements for the year ended December 31, 2020.

6.	CONTENTS OF SIGNIFICANT ACCOUNTS
(1)	Cash and Cash Equivalents
---	---
	As of
---	---	---	---
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020
Cash on hand and petty cash	$5,976	$5,765	$5,776
Checking and savings accounts	32,083,517	20,163,007	22,749,618
Time deposits	70,906,502	66,939,601	66,620,686
Repurchase agreements collateralized by government bonds and corporate notes	10,108,865	6,939,663	9,462,999
Total	$113,104,860	$94,048,036	$98,839,079
(2)	Financial Assets at Fair Value through Profit or Loss
---	---
	As of
---	---	---	---
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020
Financial assets mandatorily measured at fair value through profit or loss
Common stocks	$11,175,964	$9,654,682	$8,377,086
Preferred stocks	2,886,963	3,299,004	3,399,163
Funds	3,671,038	2,674,476	2,316,450
Convertible bonds	491,877	412,175	353,470
Forward contracts	-	2,384	1,345
Total	$18,225,842	$16,042,721	$14,447,514
Current	$939,421	$1,216,634	$916,078
Noncurrent	17,286,421	14,826,087	13,531,436
Total	$18,225,842	$16,042,721	$14,447,514

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| --- | | (3) | Financial Assets at Fair Value through Other Comprehensive Income | | --- | --- | | | As of | | | | --- | --- | --- | --- | | | September 30, 2021 | December 31, 2020 | September 30, 2020 | | Equity instruments | | | | | Common stocks | $13,519,470 | $10,355,999 | $7,844,826 | | Preferred stocks | 141,897 | 170,145 | 112,439 | | Total | $13,661,367 | $10,526,144 | $7,957,265 | | Current | $6,452,239 | $- | $- | | Non-current | 7,209,128 | 10,526,144 | 7,957,265 | | Total | $13,661,367 | $10,526,144 | $7,957,265 | | a. | These investments in equity instruments are held for medium to long-term purposes and therefore are accounted for as fair value through other comprehensive income. | | --- | --- | | b. | Dividend income recognized in profit or loss from equity instruments designated as fair value through other comprehensive income were listed below: | | --- | --- | | | For the three-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Held at end of period | $465,679 | $286,795 | | Derecognized during the period | - | - | | Total | $465,679 | $286,795 | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Held at end of period | $465,679 | $286,795 | | Derecognized during the period | - | - | | Total | $465,679 | $286,795 | | c. | In consideration of the Company’s investment strategy, the Company disposed and derecognized certain investments designated as fair value through other comprehensive income. Details on derecognition of such investments for the nine-month periods ended September 30, 2021 and 2020 are as follow: | | --- | --- | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Fair value on the date of disposal | $- | $9,012,450 | | Cumulative gains (losses) reclassified to retained earnings due to derecognition | $- | $1,825,365 |

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| --- | | d. | UMC issued unsecured exchangeable bonds where the bondholders may exchange the bonds at any time on or after October 8, 2021 and prior to June 27, 2026 into Novatek common shares which UMC holds and accounts for as equity instruments investments measured at fair value through other comprehensive income. Please refer to Note 6(13) for the Company’s unsecured exchangeable bonds. | | --- | --- | | (4) | Accounts Receivable, Net | | --- | --- | | | As of | | | | --- | --- | --- | --- | | | September 30, 2021 | December 31, 2020 | September 30, 2020 | | Accounts receivable | $32,930,659 | $27,300,439 | $26,817,475 | | Less: loss allowance | (193,024) | (206,084) | (232,779) | | Net | $32,737,635 | $27,094,355 | $26,584,696 |

Aging analysis of accounts receivable:

	As of
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020
Neither past due	$29,652,119	$23,801,905	$23,746,399
Past due:
≤ 30 days	2,527,432	2,730,865	2,090,227
31 to 60 days	153,293	95,398	269,321
61 to 90 days	12,225	13,258	1,960
91 to 120 days	4,899	23,774	29,108
≥ 121 days	580,691	635,239	680,460
Subtotal	3,278,540	3,498,534	3,071,076
Total	$32,930,659	$27,300,439	$26,817,475

Movement of loss allowance for accounts receivable:

	For the nine-month periods<br><br> <br>ended September 30,
	2021	2020
Beginning balance	$206,084	$697,590
Net recognize (reversal) for the period	(13,060)	(464,811)
Ending balance	$193,024	$232,779

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| --- |

The collection periods for third party domestic sales and third party overseas sales were month-end 30~60 days and net 30~60 days, respectively.

An impairment analysis is performed at each reporting date to measure expected credit losses (ECLs) of accounts receivable. For the receivables past due within 60 days, including not past due, the Company estimates an expected credit loss rate to calculate ECLs. For the nine-month periods ended September 30, 2021 and 2020, the expected credit loss rates are not greater than 0.2%. The rate is determined based on the Company’s historical credit loss experience and customer’s current financial condition, adjusted for forward-looking factors such as customer’s economic environment. For the receivables past due over 60 days, the Company applies the aforementioned rate and assesses individually whether to recognize additional expected credit losses by considering customer’s operating condition and debt-paying ability.

(5)	Inventories, Net
	As of
---	---	---	---
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020
Raw materials	$4,003,039	$5,507,002	$5,789,390
Supplies and spare parts	4,776,513	4,290,672	4,409,770
Work in process	13,793,221	11,872,971	11,611,815
Finished goods	576,919	881,841	1,052,435
Total	$23,149,692	$22,552,486	$22,863,410
a.	For the three-month periods ended September 30, 2021 and 2020, the Company recognized NT$34,019 million<br>and NT$33,882 million, respectively, in operating cost, of which NT$277 million and NT$22 million were related to reversal of write-down<br>of inventories. For the nine-month periods ended September 30, 2021 and 2020, the Company recognized NT$101,314 million and NT$100,025<br>million, respectively, in operating cost, of which NT$412 and NT$249 million were related to reversal of write-down of inventories.
---	---
b.	None of the aforementioned inventories were pledged.
---	---

| 20 |

| --- | | (6) | Investments Accounted for Under the Equity Method | | --- | --- | | a. | Details of investments accounted for under the equity method are as follows: | | --- | --- | | | As of | | | | --- | --- | --- | --- | | | September 30, 2021 | December 31, 2020 | September 30, 2020 | | Investee companies | Amount | Amount | Amount | | Listed companies | | | | | FARADAY TECHNOLOGY CORP. (FARADAY) (Note A) | 1,715,969 | 1,589,448 | 1,500,343 | | UNIMICRON TECHNOLOGY CORP. (UNIMICRON) (Note B) | 9,790,131 | 9,107,377 | 8,843,183 | | Unlisted companies | | | | | MTIC HOLDINGS PTE. LTD. (Note C) | - | 26,966 | 8,669 | | PURIUMFIL INC. | 6,838 | 6,206 | 7,441 | | UNITECH CAPITAL INC. | 829,086 | 823,185 | 741,353 | | TRIKNIGHT CAPITAL CORPORATION | 3,459,988 | 2,488,169 | 2,256,411 | | HSUN CHIEH CAPITAL CORP. | 225,473 | 195,675 | 185,749 | | HSUN CHIEH INVESTMENT CO., LTD. | 13,378,381 | 10,165,563 | 6,917,663 | | YANN YUAN INVESTMENT CO., LTD. | 8,710,349 | 6,551,136 | 4,706,077 | | UNITED LED CORPORATION HONG KONG LIMITED | 97,235 | 96,026 | 98,515 | | VSENSE CO., LTD. (Note C) | - | 941 | 4,682 | | TRANSLINK CAPITAL PARTNERS I, L.P. (Note D) | 108,361 | 174,985 | 175,470 | | WINAICO IMMOBILIEN GMBH (Note E) | - | - | - | | Total | 38,321,811 | 31,225,677 | 25,445,556 |

All values are in US Dollars.

| 21 |

| --- |

Note A: Beginning from June 2015, the Company accounts for its investment in FARADAY as an associate given the fact that the Company obtained the ability to exercise significant influence over FARADAY through representation on its Board of Directors.

Note B: Beginning from June 2020, the Company accounts for its investment in UNIMICRON as an associate given the fact that the Company obtained the ability to exercise significant influence over UNIMICRON through representation on its Board of Directors. UNIMICRON was previously measured at fair value through other comprehensive income and reclassified as investments accounted for under the equity method. Cumulative fair value changes that was previously recognized in other comprehensive income up to reclassification date was reclassified to retained earnings in the current period.

Note C: When the Company’s share of losses of an associate or joint venture equals or exceeds its interest in that associate or joint venture, the Company discontinues recognizing its share of further losses. Additional losses and liabilities are recognized only to the extent that the Company has incurred legal or constructive obligations or made payments on behalf of that associate.

Note D: The Company follows international accounting practices in equity accounting for limited partnerships and uses the equity method to account for these investees.

Note E: WINAICO IMMOBILIEN GMBH was a joint venture to the Company disposed in December 2020.

The carrying amount of investments accounted for using the equity method for which there are published price quotations amounted to NT$11,506 million, NT$10,697 million and NT$10,344 million, as of September 30, 2021, December 31, 2020 and September 30, 2020, respectively. The fair value of these investments were NT$29,828 million, NT$18,885 million and NT$16,094 million, as of September 30, 2021, December 31, 2020 and September 30, 2020, respectively.

Certain investments accounted for under the equity method were reviewed by other independent accountants. Shares of profit or loss of these associates and joint ventures amounted to NT$3,335 million, NT$2,788 million, NT$5,926 million and NT$2,851 million for the three-month and nine-month periods ended September 30, 2021 and 2020, respectively. Share of other comprehensive income of these associates and joint ventures amounted to NT$608 million, NT$850 million, NT$2,138 million and NT$809 million for the three-month and nine-month periods ended September 30, 2021 and 2020, respectively. The balances of investments accounted for under the equity method were NT$36,168 million, NT$29,507 million and NT$23,465 million as of September 30, 2021, December 31, 2020 and September 30, 2020, respectively.

| 22 |

| --- |

Although the Company is the largest shareholder of some associates; after comprehensive assessment, the Company does not own the major voting rights as the remaining voting rights holders are able to align and prevent the Company from ruling the relevant operation. Therefore, the Company does not control but owns significant influence over the aforementioned associates.

None of the aforementioned associates and joint ventures were pledged.

b.	Financial information of associates and joint ventures:

There is no individually significant associate or joint venture for the Company. When an associate or a joint venture is a foreign operation, and the functional currency of the foreign entity is different from the Company, an exchange difference arising from translation of the foreign entity will be recognized in other comprehensive income (loss). Such exchange differences recognized in other comprehensive income (loss) in the financial statements for the three-month and nine-month periods ended September 30, 2021 and 2020 were NT$0 million, NT$(13) million, NT$(22) million and NT$(25) million, respectively, which were not included in the following table.

i.	The aggregate amount of the Company’s share of all its individually immaterial associates that are<br>accounted for using the equity method is as follows:
	For the three-month periods ended September 30,
---	---	---
	2021	2020
Income (loss) from continuing operations	$3,355,858	$2,778,475
Other comprehensive income (loss)	656,706	960,783
Total comprehensive income (loss)	$4,012,564	$3,739,258
	For the nine-month periods ended September<br>30,
---	---	---
	2021	2020
Income (loss) from continuing operations	$6,003,910	$2,845,848
Other comprehensive income (loss)	2,237,570	922,444
Total comprehensive income (loss)	$8,241,480	$3,768,292
ii.	The aggregate amount of the Company’s share of all its individually immaterial joint ventures that<br>are accounted for using the equity method were both nil for the three-month and the nine-month periods ended September 30, 2021 and 2020.
---	---

| 23 |

| --- | | c. | One of UMC’s associates, HSUN CHIEH INVESTMENT CO., LTD., held 441 million shares of UMC’s stock as of September 30, 2021, December 31, 2020 and September 30, 2020, respectively. Another associate, YANN YUAN INVESTMENT CO., LTD., held 170 million shares, 201 million and 201 million shares of UMC’s stock as of September 30, 2021, December 31, 2020 and September 30, 2020, respectively. | | --- | --- | | (7) | Other current assets | | --- | --- | | | As of | | | | --- | --- | --- | --- | | | September 30, 2021 | December 31, 2020 | September 30, 2020 | | Time deposits with original maturities of over three months to a year | $30,560,960 | $14,305,779 | $9,878,188 | | Costs to fulfill a contract | 778,987 | 548,986 | 852,222 | | Others | 69,966 | 71,566 | 73,121 | | Total | $31,409,913 | $14,926,331 | $10,803,531 | | (8) | Property, Plant and Equipment | | --- | --- |

For the nine-month period ended September 30, 2021:

a.	Assets Used by the Company:

Cost:

	Land	Buildings	Machinery<br><br> <br>and equipment	Transportation equipment	Furniture<br><br> <br>and fixtures	Leasehold improvement	Construction in progress and equipment awaiting inspection	Total
As of January 1, 2021	$1,690,613	$37,257,510	$871,569,325	$54,898	$6,908,778	$63,774	$16,529,296	$934,074,194
Additions	-	-	-	-	-	-	25,432,895	25,432,895
Disposals	-	(112)	(2,746,763)	(791)	(4,055)	-	(18,440)	(2,770,161)
Transfers and reclassifications	(97,688)	60,320	26,102,425	2,171	298,921	-	(24,124,646)	2,241,503
Exchange effect	(78,870)	(489,255)	(5,663,423)	(351)	(34,138)	(2,090)	(214,950)	(6,483,077)
As of September 30, 2021	$1,514,055	$36,828,463	$889,261,564	$55,927	$7,169,506	$61,684	$17,604,155	$952,495,354

| 24 |

| --- |

Accumulated Depreciation and Impairment:

	Land	Buildings	Machinery<br><br> <br>and equipment	Transportation equipment	Furniture<br><br> <br>and fixtures	Leasehold improvement	Construction in progress and equipment awaiting inspection	Total
As of January 1, 2021	$-	$19,851,288	$777,687,345	$42,732	$5,715,339	$49,963	$-	$803,346,667
Depreciation	-	1,113,661	30,961,191	4,044	398,556	5,762	-	32,483,214
Disposals	-	(112)	(2,739,721)	(791)	(4,050)	-	-	(2,744,674)
Transfers and reclassifications	-	1,666	125,413	-	-	-	-	127,079
Exchange effect	-	(110,848)	(4,292,569)	(197)	(20,240)	(1,576)	-	(4,425,430)
As of September 30, 2021	$-	$20,855,655	$801,741,659	$45,788	$6,089,605	$54,149	$-	$828,786,856
Net carrying amount:
As of September 30, 2021	$1,514,055	$15,972,808	$87,519,905	$10,139	$1,079,901	$7,535	$17,604,155	$123,708,498
b.	Assets Subject to Operating Leases:
---	---

Cost:

	Land	Buildings	Machinery<br><br> <br>and equipment	Furniture<br><br> <br>and fixtures	Total
As of January 1, 2021	$459,622	$2,451,311	$125,413	$1,315,633	$4,351,979
Transfers and reclassifications	97,688	(19,978)	(125,413)	-	(47,703)
Exchange effect	(4,835)	(10,057)	-	(4,170)	(19,062)
As of September 30, 2021	$552,475	$2,421,276	$-	$1,311,463	$4,285,214

Accumulated Depreciation and Impairment:

	Land	Buildings	Machinery<br><br> <br>and equipment	Furniture<br><br> <br>and fixtures	Total
As of January 1, 2021	$-	$1,007,545	$125,413	$1,171,885	$2,304,843
Depreciation	-	70,603	-	50,964	121,567
Transfers and reclassifications	-	(1,666)	(125,413)	-	(127,079)
Exchange effect	-	(4,335)	-	(3,193)	(7,528)
As of September 30, 2021	$-	$1,072,147	$-	$1,219,656	$2,291,803
Net carrying amount:
As of September 30, 2021	$552,475	$1,349,129	$-	$91,807	$1,993,411

| 25 |

| --- |

For the nine-month period ended September 30, 2020:

a.	Assets Used by the Company:

Cost:

	Land	Buildings	Machinery<br><br> <br>and equipment	Transportation equipment	Furniture<br><br> <br>and fixtures	Leasehold improvement	Construction in progress and equipment awaiting inspection	Total
As of January 1, 2020	$1,692,123	$38,437,588	$865,547,572	$65,909	$6,842,124	$65,883	$5,583,516	$918,234,715
Additions	-	-	-	-	-	-	17,111,041	17,111,041
Disposals	-	(1,316,833)	(4,320,496)	(10,770)	(168,241)	-	(12,938)	(5,829,278)
Transfers and reclassifications	-	80,819	9,665,359	-	208,192	94	(8,704,173)	1,250,291
Exchange effect	(3,623)	(132,321)	(5,205,327)	(310)	(21,697)	(1,420)	(58,356)	(5,423,054)
As of September 30, 2020	$1,688,500	$37,069,253	$865,687,108	$54,829	$6,860,378	$64,557	$13,919,090	$925,343,715

Accumulated Depreciation and Impairment:

	Land	Buildings	Machinery<br><br> <br>and equipment	Transportation equipment	Furniture<br><br> <br>and fixtures	Leasehold improvement	Construction in progress and equipment awaiting inspection	Total
As of January 1, 2020	$-	$18,950,520	$745,722,965	$47,794	$5,383,434	$46,147	$-	$770,150,860
Depreciation	-	1,285,114	32,572,131	4,016	383,160	5,906	-	34,250,327
Disposals	-	(788,342)	(4,318,727)	(10,326)	(168,206)	-	-	(5,285,601)
Transfers and reclassifications	-	-	-	-	1,915	(1,915)	-	-
Exchange effect	-	(11,665)	(4,321,047)	(124)	(15,191)	(1,369)	-	(4,349,396)
As of September 30, 2020	$-	$19,435,627	$769,655,322	$41,360	$5,585,112	$48,769	$-	$794,766,190
Net carrying amount:
As of September 30, 2020	$1,688,500	$17,633,626	$96,031,786	$13,469	$1,275,266	$15,788	$13,919,090	$130,577,525

| 26 |

| --- | | b. | Assets Subject to Operating Leases: | | --- | --- |

Cost:

	Land	Buildings	Machinery<br><br> <br>and equipment	Furniture<br><br> <br>and fixtures	Total
As of January 1, 2020	$459,635	$2,637,271	$125,413	$1,315,180	$4,537,499
Transfers and reclassifications	-	(179,132)	-	-	(179,132)
Exchange effect	(30)	(8,065)	-	(3,236)	(11,331)
As of September 30, 2020	$459,605	$2,450,074	$125,413	$1,311,944	$4,347,036

Accumulated Depreciation and Impairment:

	Land	Buildings	Machinery<br><br> <br>and equipment	Furniture<br><br> <br>and fixtures	Total
As of January 1, 2020	$-	$1,019,036	$125,413	$1,102,809	$2,247,258
Depreciation	-	76,514	-	51,980	128,494
Transfers and reclassifications	-	(107,240)	-	-	(107,240)
Exchange effect	-	(3,932)	-	(2,152)	(6,084)
As of September 30, 2020	$-	$984,378	$125,413	$1,152,637	$2,262,428
Net carrying amount:
As of September 30, 2020	$459,605	$1,465,696	$-	$159,307	$2,084,608

In order to improve operations, reduce fixed costs and obtain the funds required for the company future operation, the subsidiary of new business segment (NEXPOWER) disposed of it building and facility equipment located in Taichung City in accordance with a resolution of the Board of Directors’ meeting. The Company completed the disposal in the third quarter of 2020 and recorded a gain on disposal of NT$1,081 million in the other operating income and expenses.

Please refer to Note 8 for property, plant and equipment pledged as collateral.

(9)	Leases

The Company leases various properties, such as land (including land use right), buildings, machinery and equipment, transportation equipment and other equipment with lease terms of 1 to 30 years, except for the land use rights with lease term of 50 years. Most lease contracts of land located in R.O.C state that lease payments will be adjusted based on the announced land value. The Company does not have purchase options of leased land at the end of the lease terms.

| 27 |

| --- | | a. | The Company as a lessee | | --- | --- | | (a) | Right-of-use Assets | | --- | --- | | | As of | | | | --- | --- | --- | --- | | | September 30, 2021 | December 31, 2020 | September 30, 2020 | | Land (including land use right) | $4,940,327 | $5,146,342 | $5,192,719 | | Buildings | 269,300 | 352,119 | 376,874 | | Machinery and equipment | 1,999,879 | 2,227,035 | 2,309,962 | | Transportation equipment | 21,505 | 12,252 | 9,842 | | Other equipment | 7,514 | 10,294 | 11,791 | | Net | $7,238,525 | $7,748,042 | $7,901,188 | | | For the three-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Depreciation | | | | Land (including land use right) | $80,990 | $86,892 | | Buildings | 30,308 | 29,704 | | Machinery and equipment | 52,121 | 55,246 | | Transportation equipment | 2,790 | 2,058 | | Other equipment | 1,131 | 1,167 | | Total | $167,340 | $175,067 | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | Depreciation | 2021 | 2020 | | Land (including land use right) | $244,091 | $251,246 | | Buildings | 91,251 | 89,999 | | Machinery and equipment | 158,444 | 167,476 | | Transportation equipment | 7,072 | 6,228 | | Other equipment | 3,387 | 3,458 | | Total | $504,245 | $518,407 | | i. | For the nine-month periods ended September 30, 2021 and 2020, the Company’s addition to right-of-use assets amounted to NT$159 million and NT$564 million, respectively. | | --- | --- | | ii. | Please refer to Note 8 for right-of-use assets pledged as collateral. | | --- | --- |

| 28 |

| --- | | (b) | Lease Liabilities | | --- | --- | | | As of | | | | --- | --- | --- | --- | | | September 30, 2021 | December 31, 2020 | September 30, 2020 | | Current | $549,414 | $550,147 | $552,145 | | Noncurrent | 4,621,991 | 5,026,717 | 5,183,579 | | Total | $5,171,405 | $5,576,864 | $5,735,724 |

Please refer to Note 6(23) for the interest expenses on the lease liabilities.

b.	The Company as a lessor

The Company entered into leases on certain property, plant and equipment which are classified as operating leases as they did not transfer substantially all of the risks and rewards incidental to ownership of the underlying assets. The main contracts are to lease the dormitory to the employees with cancellation clauses. Please refer to Note 6(8) for relevant disclosure of property, plant and equipment for operating leases.

(10)	Intangible Assets

For the nine-month period ended September 30, 2021:

Cost:

	Goodwill	Software	Patents and technology license fees	Others	Total
As of January 1, 2021	$15,012	$4,264,558	$4,530,465	$3,497,252	$12,307,287
Additions	-	1,277,415	56,323	247,851	1,581,589
Write-off	-	(461,770)	-	(366,672)	(828,442)
Reclassifications	-	188	-	-	188
Exchange effect	-	(130,556)	(187,293)	(16,087)	(333,936)
As of September 30, 2021	$15,012	$4,949,835	$4,399,495	$3,362,344	$12,726,686

| 29 |

| --- |

Accumulated Amortization and Impairment:

	Goodwill	Software	Patents and technology license fees	Others	Total
As of January 1, 2021	$7,398	$2,035,028	$2,852,037	$2,534,911	$7,429,374
Amortization	-	1,167,746	404,245	550,362	2,122,353
Write-off	-	(461,770)	-	(366,672)	(828,442)
Exchange effect	-	(76,390)	(100,397)	(11,537)	(188,324)
As of September 30, 2021	$7,398	$2,664,614	$3,155,885	$2,707,064	$8,534,961
Net carrying amount:
As of September 30, 2021	$7,614	$2,285,221	$1,243,610	$655,280	$4,191,725

For the nine-month period ended September 30, 2020:

Cost:

	Goodwill	Software	Patents and technology license fees	Others	Total
As of January 1, 2020	$15,012	$3,347,148	$4,183,505	$3,548,006	$11,093,671
Additions	-	1,085,925	212,229	506,894	1,805,048
Write-off	-	(236,828)	(11,023)	(807,989)	(1,055,840)
Reclassifications	-	(8,886)	-	-	(8,886)
Exchange effect	-	22,531	(103,635)	2,566	(78,538)
As of September 30, 2020	$15,012	$4,209,890	$4,281,076	$3,249,477	$11,755,455

Accumulated Amortization and Impairment:

	Goodwill	Software	Patents and technology license fees	Others	Total
As of January 1, 2020	$7,398	$951,176	$2,299,223	$2,637,627	$5,895,424
Amortization	-	1,009,736	401,757	580,249	1,991,742
Write-off	-	(236,828)	(11,023)	(807,989)	(1,055,840)
Exchange effect	-	24,935	(55,169)	2,327	(27,907)
As of September 30, 2020	$7,398	$1,749,019	$2,634,788	$2,412,214	$6,803,419
Net carrying amount:<br><br> <br>As of September 30, 2020	$7,614	$2,460,871	$1,646,288	$837,263	$4,952,036

| 30 |

| --- |

The amortization amounts of intangible assets are as follows:

	For the three-month periods ended September 30,
	2021	2020
Operating costs	$194,567	$220,815
Operating expenses	$535,007	$464,580
	For the nine-month periods ended September<br>30,
---	---	---
	2021	2020
Operating costs	$607,019	$657,448
Operating expenses	$1,515,334	$1,334,294
(11)	Short-Term Loans
---	---
	As of
---	---	---	---
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020
Unsecured bank loans	$2,134,625	$11,057,132	$7,571,645
	For the nine-month periods<br><br> <br>ended September 30,
---	---	---
	2021	2020
Interest rates applied	0.15%~3.60%	0.00%~4.05%

The Company’s unused short-term lines of credit amounted to NT$70,728 million, NT$63,177 million and NT$59,958 million as of September 30, 2021, December 31, 2020 and September 30, 2020, respectively.

(12)	Financial Liabilities at Fair Value through Profit or Loss, Current
	As of
---	---	---	---
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020
Embedded derivatives in exchangeable bonds	$1,417,422	$-	$-
Forward contracts	8,350	2,326	-
Total	$1,425,772	$2,326	$-

| 31 |

| --- | | (13) | Bonds Payable | | --- | --- | | | As of | | | | --- | --- | --- | --- | | | September 30, 2021 | December 31, 2020 | September 30, 2020 | | Unsecured domestic bonds payable | $26,300,000 | $18,700,000 | $18,700,000 | | Unsecured exchangeable bonds payable | 10,817,047 | - | - | | Less: Discounts on bonds payable | (1,654,536) | (9,616) | (10,314) | | Total | 35,462,511 | 18,690,384 | 18,689,686 | | Less: Current or exchangeable portion due within one year | (15,379,660) | (1,999,910) | (1,999,856) | | Net | $20,082,851 | $16,690,474 | $16,689,830 | | a. | UMC issued domestic unsecured corporate bonds. The terms and conditions of the bonds are as follows: | | --- | --- | | Term | Issuance date | Issued amount | Coupon rate | Repayment | | --- | --- | --- | --- | --- | | Seven-year | In mid-March 2013 | NT$2,500 million | 1.50% | Interest was paid annually and the principal was fully repaid in March 2020. | | Seven-year | In mid-June 2014 | NT$2,000 million | 1.70% | Interest will be paid annually and the principal was fully repaid in June 2021. | | Ten-year | In mid-June 2014 | NT$3,000 million | 1.95% | Interest will be paid annually and the principal will be repayable in June 2024 upon maturity. | | Five-year | In late March 2017 | NT$6,200 million | 1.15% | Interest will be paid annually and the principal will be repayable in March 2022 upon maturity. | | Seven-year | In late March 2017 | NT$2,100 million | 1.43% | Interest will be paid annually and the principal will be repayable in March 2024 upon maturity. | | Five-year | In early October 2017 | NT$2,000 million | 0.94% | Interest will be paid annually and the principal will be repayable in October 2022 upon maturity. | | Seven-year | In early October 2017 | NT$3,400 million | 1.13% | Interest will be paid annually and the principal will be repayable in October 2024 upon maturity. | | Five-year | In late April 2021 | NT$5,500 million | 0.57% | Interest will be paid annually and the principal will be repayable in April 2026 upon maturity. | | Seven-year | In late April 2021 | NT$2,000 million | 0.63% | Interest will be paid annually and the principal will be repayable in April 2028 upon maturity. | | Ten-year (green bond) | In late April 2021 | NT$2,100 million | 0.68% | Interest will be paid annually and the principal will be repayable in April 2031 upon maturity. |

| 32 |

| --- | | b. | On May 18, 2015, UMC issued SGX-ST listed currency linked zero coupon convertible bonds. In accordance with IAS 32 “Financial Instruments Presentation”, the value of the conversion right of the convertible bonds was determined at issuance and recognized in additional paid-in capital-stock options amounting to NT$1,894 million, after reduction of issuance costs amounting to NT$9 million. The effective interest rate on the liability component of the convertible bonds was determined to be 2.03%. The terms and conditions of the bonds are as follows: | | --- | --- | | i. | Issue Amount: US$600 million | | --- | --- | | ii. | Period: May 18, 2015 ~ May 18, 2020 (Maturity date) | | --- | --- | | iii. | Redemption: | | --- | --- | | (i) | UMC may redeem the bonds, in whole or in part, after 3 years of the issuance and prior to the maturity date, at the principal amount of the bonds with an interest calculated at the rate of -0.25% per annum (the Early Redemption Amount) if the closing price of the ordinary shares of UMC on the TWSE, for a period of 20 out of 30 consecutive trading days, the last of which occurs not more than 5 days prior to the date upon which notice of such redemption is published, is at least 125% of the conversion price. The Early Redemption Price will be converted into NTD based on the Fixed Exchange Rate (NTD 30.708=USD 1.00), and this fixed NTD amount will be converted using the prevailing rate at the time of redemption for payment in USD. | | --- | --- | | (ii) | UMC may redeem the bonds, in whole, but not in part, at the Early Redemption Amount if at least 90% in principal amount of the bonds has already been converted, redeemed or repurchased and cancelled. | | --- | --- | | (iii) | UMC may redeem all, but not part, of the bonds, at the Early Redemption Amount at any time, in the event of certain changes in the R.O.C.’s tax rules which would require UMC to gross up for payments of principal, or to gross up for payments of interest or premium. | | --- | --- | | (iv) | All or any portion of the bonds will be redeemable at Early Redemption Amount at the option of bondholders on May 18, 2018 at 99.25% of the principal amount. | | --- | --- | | (v) | Bondholders have the right to require UMC to redeem all of the bonds at the Early Redemption Amount if UMC’s ordinary shares cease to be listed on the Taiwan Stock Exchange. | | --- | --- | | (vi) | In the event that a change of control as defined in the indenture of the bonds occurs to UMC, the bondholders shall have the right to require UMC to redeem the bonds, in whole but not in part, at the Early Redemption Amount. | | --- | --- |

| 33 |

| --- | | iv. | Terms of Conversion: | | --- | --- | | (i) | Underlying Securities: Ordinary shares of UMC | | --- | --- | | (ii) | Conversion Period: The bonds are convertible at any time on or after June 28, 2015 and prior to May 8, 2020, into UMC ordinary shares; provided, however, that if the exercise date falls within 5 business days from the beginning of, and during, any closed period, the right of the converting holder of the bonds to vote with respect to the shares it receives will be subject to certain restrictions. | | --- | --- | | (iii) | Conversion Price and Adjustment: The conversion price was originally NT$17.50 per share. The conversion price will be subject to adjustments upon the occurrence of certain events set out in the indenture. | | --- | --- | | v. | Conversion of Bonds: | | --- | --- |

The last conversion date of the bonds was on March 31, 2020. As of the date, the outstanding principal amount of the convertible bonds totaling US$231 million had been converted into 498 million shares.

Upon the maturity date of May 18, 2020, UMC fully redeemed the remaining unconverted bonds at 98.76% of the principal amount. The principal amount of redemption amounted to US$369 million. UMC reclassified cancelled convertible rights of NT$1,166 million from additional paid in capital-stock options to additional paid in capital-others.

c.	On July 7, 2021, UMC issued SGX-ST listed currency linked zero coupon exchangeable bonds. In accordance<br>with IFRS 9 “Financial Instruments”, the value of the exchange right, call option and put option (together referred to as<br>Option) of the exchangeable bonds was separated from the host and accounted for as “financial liabilities at fair value through<br>profit or loss, current”. The effective rate of the host bond was 3.49%. The terms and conditions of the bonds were as follows:
i.	Issue Amount: US$400 million
---	---
ii.	Period: July 7, 2021 ~ July 7, 2026 (Maturity Date)
---	---
iii.	Redemption:
---	---
(i)	UMC may, at its option, redeem in whole or in part at the principal amount of the bonds with an interest<br>calculated at the rate of -0.625% per annum (the Early Redemption Amount) at any time after the third anniversary from the issue date<br>and prior to the Maturity Date, if the closing price of the common shares of Novatek Microelectronics Corporation (“Novatek”)<br>on the Taiwan Stock Exchange (the “TWSE”), converted into U.S. dollars at the prevailing exchange rate, for 20 out of 30 consecutive<br>trading days prior to the publication of the redemption notice is at least 130% of the quotient of the Early Redemption Amount multiplied<br>by the then exchange price (converted into U.S. dollars at the Fixed Exchange Rate), divided by the principal amount of the bonds. The<br>Early Redemption Amount will be converted into NTD based on the Fixed Exchange Rate (NTD 27.902=USD 1.00), and this fixed NTD amount will<br>then be converted using the prevailing exchange at the time of redemption for payment in USD.
---	---

| 34 |

| --- | | (ii) | UMC may redeem the outstanding bonds in whole, but not in part, at the Early Redemption Amount, in the event that over 90% of the bonds have been previously redeemed, repurchased and cancelled or exchanged. | | --- | --- | | (iii) | In the event of any change in ROC taxation resulting in increase of tax obligation or the necessity to pay additional interest expense or increase of additional costs to UMC, UMC may redeem the outstanding bonds in whole, but not in part, at the Early Redemption Amount. Bondholders may elect not to have their bonds redeemed but with no entitlement to any additional amounts or reimbursement of additional taxes. | | --- | --- | | (iv) | All or any portion of the bonds will be redeemable at put price at the option of bondholders on July 7, 2024 at 98.14% of the principal amount. | | --- | --- | | (v) | In the event that the common shares of Novatek cease to be listed or are suspended from trading for a period equal to or exceeding 30 consecutive trading days on the TWSE, each bondholder shall have the right to require UMC to redeem the bonds, in whole but not in part, at the Early Redemption Amount. | | --- | --- | | (vi) | Upon the occurrence of a change of control (as defined in the indenture) of UMC, each bondholder shall have the right to require UMC to redeem the bonds, in whole but not in part, at the Early Redemption Amount. | | --- | --- | | iv. | Terms of Exchange: | | --- | --- | | (i) | Underlying Securities: Common Shares of Novatek | | --- | --- | | (ii) | Exchange Period: The bonds are exchangeable at any time on or after October 8, 2021 and prior to June 27, 2026, into Novatek common shares. If for any reason UMC does not have sufficient Novatek common shares to deliver upon the exchange of any bond, then, UMC will pay to the exchanging bondholder an amount in U.S. dollars equal to the product of the volume-weighted average closing price per Novatek common share on the TWSE for five consecutive trading days starting from and including the applicable exercise date (as defined in the indenture) (or such fewer number of trading days as are available within ten days starting from and including the applicable exercise date) each converted into USD at the prevailing rate on the day preceding the applicable trading day and the number of Novatck common shares that UMC is unable to deliver. Provided, however, that if the exercise date falls within 5 business days from the beginning of, and during, any closed period, the right of the converting holder of the bonds to vote with respect to the shares it receives will be subject to certain restrictions. | | --- | --- | | (iii) | Exchange Price and Adjustment: The exchange price was originally NT$731.25 per Novatek common share. The exchange price will be subject to adjustments upon the occurrence of certain events set out in the indenture. The exchange price was NT$709.2 per Novatek common share on September 30, 2021. | | --- | --- |

| 35 |

| --- | | v. | Redemption on the Maturity Date: | | --- | --- |

The bonds will be redeemed with 96.92% principal amount on the maturity date unless:

(i)	UMC shall have redeemed the bonds at the option of UMC, or the bonds shall have been redeemed at option<br>of the bondholder;
(ii)	The bondholders shall have exercised the exchange right before maturity; or
---	---
(iii)	The bonds shall have been redeemed or repurchased by UMC and cancelled.
---	---
(14)	Long-Term Loans
---	---
a.	Details of long-term loans as of September 30, 2021, December 31, 2020 and September 30, 2020 were as<br>follows:
---	---
	As of
---	---	---	---	---
Lenders	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020	Redemption
Secured Long-Term Loan from Mega International Commercial Bank (1)	$-	$1,640	$2,187	Effective July 3, 2017 to July 5, 2021. Interest-only payment for the first year. Principal is repaid in 17 quarterly payments with monthly interest payments.
Secured Long-Term Loan from Mega International Commercial Bank (2)	15,814	19,464	20,680	Effective October 24, 2019 to October 24, 2024. Interest-only payment for the first year. Principal is repaid in 17 quarterly payments with monthly interest payments.
Secured Long-Term Loan from Taiwan Cooperative Bank (1)	50,541	59,459	62,432	Effective October 19, 2015 to October 19, 2025. Interest-only payment for the first year. Principal is repaid in 37 quarterly payments with monthly interest payments.
Secured Long-Term Loan from Taiwan Cooperative Bank (2)	15,312	21,146	24,062	Repayable monthly from June 30, 2019 to May 31, 2023 with monthly interest payments.
Secured Long-Term Loan from Taiwan Cooperative Bank (3)	47,000	56,000	59,000	Repayable monthly from September 13, 2020 to August 13, 2025 with monthly interest payments.
Secured Long-Term Loan from Taiwan Cooperative Bank (4)	24,310	28,965	-	Repayable monthly from November 29, 2020 to August 29, 2025 with monthly interest payments.
Secured Long-Term Loan from Taiwan Cooperative Bank (5)	101,000	-	-	Effective April 15, 2021 to April 15, 2026. Interest-only payment for the first year. Principal is repaid in 48 monthly payments with monthly interest payments.

| 36 |

| --- | | | As of | | | | | --- | --- | --- | --- | --- | | Lenders | September 30, 2021 | December 31, 2020 | September 30, 2020 | Redemption | | Secured Syndicated Loans from China Development Bank and 6 others (1) (Note A) | $20,000,506 | $22,236,343 | $24,263,169 | Effective October 20, 2016 to October 20, 2024. Interest-only payment for the first and the second year. Principal is repaid in 13 semi-annual payments with semi-annual interest payments. | | Secured Syndicated Loans from China Development Bank and 6 others (2) | 12,126,800 | - | - | Effective March 19, 2021 to March 18, 2031. Interest-only payment for the first and the second year. Principal is repaid in 17 semi-annual payments with semi-annual interest payments. | | Unsecured Long-Term Loan from ICBC Bank | - | 1,702,589 | 1,660,847 | Effective September 20, 2019 to September 9, 2021, Interest-only payment for the semi-annually year. Principal is repaid in 4 semi-annual payments with quarterly interest payments. | | Unsecured Long-Term Loan from Xiamen Bank | 432,667 | 440,500 | - | Effective November 24, 2020 to May 24, 2022. Interest-only payment for the first semi-annually year. The principal will be repaid semi-annually of RMB 0.1 million and the remaining principal will be repaid once at maturity, and the interest will be paid monthly. | | Unsecured Long-Term Loan from Bank of China | 440,587 | - | - | Effective June 24, 2023 to June 24, 2026. Principal is repaid in 7 semi-annual payments with quarterly interest payments. | | Unsecured Long-Term Loan from Bank of Taiwan (1) | 500,000 | 2,000,000 | 2,000,000 | Effective March 10, 2022 to December 10, 2024. Principal is repaid in 12 quarterly payments with monthly interest payments. | | Unsecured Long-Term Loan from Bank of Taiwan (2) | 300,000 | - | - | Effective March 24, 2023 to March 24, 2025. Principal is repaid in 12 quarterly payments with monthly interest payments. | | Unsecured Long-Term Loan from Taiwan Cooperative Bank | - | 2,000,000 | 3,000,000 | Effective May 5, 2023 to May 5, 2025. Principal is repaid in 9 quarterly payments with monthly interest payments. | | Unsecured Revolving Loan from Mega International Commercial Bank (Note B) | 500,000 | 1,500,000 | 2,000,000 | Repayable semi-annually from October 16, 2020 to April 16, 2022 with monthly interest payments. |

| 37 |

| --- | | | As of | | | | --- | --- | --- | --- | | Lenders | September 30, 2021 | December 31, 2020 | September 30, 2020 | | Unsecured Revolving Loan from Taipei Fubon Bank (Note C) | $400,000 | $700,000 | 1,500,000 | | Unsecured Revolving Loan from Chang Hwa Commercial Bank (Note D) | 700,000 | 1,000,000 | 1,400,000 | | Unsecured Revolving Loan from KGI Bank (Note E) | 500,000 | 1,000,000 | 2,000,000 | | Unsecured Revolving Loan from CTBC Bank (Note F) | - | - | 1,000,000 | | Unsecured Revolving Loan from First Commercial Bank (1) (Note G) | - | 300,000 | 600,000 | | Unsecured Revolving Loan from First Commercial Bank (2) (Note H) | 300,000 | - | - | | Unsecured Revolving Loan from First Commercial Bank (3) (Note H) | 300,000 | - | - | | Unsecured Revolving Loan from First Commercial Bank (4) (Note H) | 200,000 | - | - | | Unsecured Revolving Loan from Yuanta Commercial Bank (Note I) | 800,000 | - | - | | Subtotal | 37,754,537 | 33,066,106 | 39,592,377 | | Less: Current portion | (6,748,436) | (24,985,168) | (6,825,660) | | Total | $31,006,101 | $8,080,938 | 32,766,717 |

All values are in US Dollars.

	For the nine-month periods ended<br><br> <br>September 30,
	2021	2020
Interest rates applied	0.85%~4.66%	0.84%~4.67%

| 38 |

| --- |

Note A: USCXM, the subsidiary of UMC failed to comply with the loan covenant to maintain its financial ratio at certain level and therefore the loan is reclassified to current liabilities as of December 31, 2020. USCXM has notified the bank and executed the exemption application process. The exemption has been obtained as of April 21, 2021.

Note B: UMC entered into a 5-year loan agreement with Mega International Commercial Bank, effective from October 17, 2016. The agreement offered UMC a revolving line of credit of NT$3 billion. This line of credit will be reduced starting from the end of the two years and six months after the first use and every six months thereafter, with a total of six adjustments. The expiration date of the agreement is April 16, 2022. As of September 30, 2021, December 31, 2020 and September 30, 2020, the unused line of credit were NT$0.5 billion, nil and nil, respectively.

Note C: UMC entered into a 5-year loan agreement with Taipei Fubon Bank, effective from February 9, 2018. The agreement offered UMC a revolving line of credit of NT$2 billion. This line of credit will be reduced starting from the end of the two years after the first use and every twelve months thereafter, with a total of four adjustments. The expiration date of the agreement is August 9, 2023. As of September 30, 2021, December 31, 2020 and September 30, 2020, the unused line of credit were NT$0.6 billion, NT$0.8 billion and nil, respectively.

Note D: UMC entered into a 5-year loan agreement with Chang Hwa Commercial Bank, effective from November 2, 2016. The agreement offered UMC a revolving line of credit of NT$3 billion. This line of credit will be reduced starting from the end of the third year after the first use and every three months thereafter, with a total of nine adjustments. The expiration date of the agreement is October 27, 2022. As of September 30, 2021, December 31, 2020 and September 30, 2020, the unused line of credit were NT$1 billion, NT$1.7 billion and NT$1.6 billion, respectively.

Note E: UMC entered into a 5-year loan agreement with KGI Commercial Bank, effective from September 11, 2018. The agreement offered UMC a revolving line of credit of NT$2.5 billion. This line of credit will be reduced starting from the end of the second year after the first use and every twelve months thereafter, with a total of four adjustments. The expiration date of the agreement is December 11, 2023. As of September 30, 2021, December 31, 2020 and September 30, 2020, the unused line of credit were NT$1.5 billion, NT$1 billion and NT$0.5 billion, respectively.

| 39 |

| --- |

Note F: CTBC Bank approved the 5-year credit loan on December 31, 2019, which offered UMC a revolving line of credit of NT$2.9 billion starting from the approval date to December 31, 2024. As of September 30, 2021, December 31, 2020 and September 30, 2020, the unused line of credit were NT$2.9 billion, NT$2.9 billion and NT$1.9 billion, respectively.

Note G: First Commercial Bank approved the 1-year credit loan on December 30, 2019, which offered UMC a revolving line of credit of NT$2 billion starting from the approval date to December 30, 2020. As of December 31, 2020 and September 30, 2020, the unused line of credit were nil and NT$1.4 billion, respectively.

Note H: First Commercial Bank approved the 1-year credit loan on January 18, 2021, which offered UMC a revolving line of credit of NT$2 billion starting from the approval date to January 17, 2022. As of September 30, 2021, the unused line of credit was NT$1.2 billion.

Note I: UMC entered into a 5-year loan agreement with Yuanta Commercial Bank, effective from March 3, 2021. The agreement offered UMC a revolving line of credit of NT$4 billion. This line of credit will be reduced starting from the end of the second year after the contract date and every twelve months thereafter, with a total of four adjustments. The expiration date of the agreement is March 2, 2026. As of September 30, 2021, the unused line of credit was NT$3.2 billion.

b.	Please refer to Note 8 for property, plant and equipment and right-of-use assets pledged as collateral<br>for long-term loans.
(15)	Post-Employment Benefits
---	---
a.	Defined contribution plan
---	---

The employee pension plan under the Labor Pension Act of the R.O.C. is a defined contribution plan. Pursuant to the plan, UMC and its domestic subsidiaries make monthly contributions of 6% based on each individual employee’s salary or wage to employees’ pension accounts. Pension benefits for employees of the Singapore branch and subsidiaries overseas are provided in accordance with the local regulations. Total pension expenses of NT$419 million, NT$380 million, NT$1,221 million and NT$1,098 million are contributed by the Company for the three-month and nine-month periods ended September 30, 2021 and 2020, respectively.

| 40 |

| --- | | b. | Defined benefit plan | | --- | --- |

The employee pension plan mandated by the Labor Standards Act of the R.O.C. is a defined benefit plan. The pension benefits are disbursed based on the units of service years and average monthly salary prior to retirement according to the Labor Standards Act. Two units per year are awarded for the first 15 years of services while one unit per year is awarded after the completion of the 15th year and the total units will not exceed 45 units. The Company contributes an amount equivalent to 2% of the employees’ total salaries and wages on a monthly basis to the pension fund deposited with the Bank of Taiwan under the name of a pension fund supervisory committee. The pension fund is managed by the government’s designated authorities and therefore is not included in the Company’s consolidated financial statements. For the three-month and nine-month periods ended September 30, 2021 and 2020, total pension expenses of NT$6 million, NT$10 million, NT$17 million and NT$30 million, respectively, were recognized by the Company.

(16)	Deferred Government Grants
	As of
---	---	---	---
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020
Beginning balance	$10,207,109	$13,551,553	$13,551,553
Arising during the period	2,466,153	578,844	482,389
Recorded in profit or loss:
Other operating income	(3,027,832)	(3,994,818)	(2,995,847)
Exchange effect	(170,530)	71,530	(178,048)
Ending balance	$9,474,900	$10,207,109	$10,860,047
Current (classified under other current liabilities)	$4,136,795	$3,836,211	$3,778,175
Noncurrent (classified under other noncurrent liabilities-others)	5,338,105	6,370,898	7,081,872
Total	$9,474,900	$10,207,109	$10,860,047

The significant government grants related to equipment acquisitions received by the Company are amortized as income over the useful lives of related equipment and recorded in the net other operating income and expenses.

| 41 |

| --- | | (17) | Refund Liabilities (classified under other current liabilities) | | --- | --- | | | As of | | | | --- | --- | --- | --- | | | September 30, 2021 | December 31, 2020 | September 30, 2020 | | Refund liabilities | $832,031 | $1,252,451 | $1,489,962 | | (18) | Equity | | --- | --- | | a. | Capital stock: | | --- | --- | | i. | UMC had 26,000 million common shares authorized to be issued as of September 30, 2021, December 31, 2020 and September 30, 2020, of which 12,423 million shares, 12,422 million shares, and 12,422 million shares were issued as of September 30, 2021, December 31, 2020 and September 30, 2020, respectively, each at a par value of NT$10. | | --- | --- | | ii. | UMC had 154 million, 127 million and 127 million ADSs, which were traded on the NYSE as of September 30, 2021, December 31, 2020 and September 30, 2020, respectively. The total number of common shares of UMC represented by all issued ADSs were 769 million, 636 million shares and 633 million shares as of September 30, 2021, December 31, 2020 and September 30, 2020, respectively. One ADS represents five common shares. | | --- | --- | | iii. | Please refer to Note 6(13) for the Company’s conversion of unsecured convertible bonds into ordinary shares of UMC for the year ended December 31, 2020. | | --- | --- | | iv. | On June 9, 2021 and September 1, 2020, UMC issued restricted stocks for its employees in a total of 1 million shares and 200 million shares with a par value of NT$10 each, respectively. The aforementioned issuance of new shares was approved by the competent authority and the registration was completed. Please refer to Note 6(19) for the information of restricted stocks. | | --- | --- | | v. | As of September 30, 2021, UMC has recalled and cancelled 0.4 million shares of restricted stocks issued for employees according to the issuance plan. | | --- | --- |

| 42 |

| --- | | b. | Treasury stock: | | --- | --- | | i. | UMC carried out a treasury stock program and repurchased its shares from the centralized securities exchange market. The purpose for the repurchase and changes in treasury stock during the nine-month periods ended September 30, 2021 and 2020 were as follows: | | --- | --- |

For the nine-month period ended September 30, 2021: None.

For the nine-month period ended September 30, 2020

(In thousands of shares)

Purpose	As of<br><br> <br>January 1,<br><br> <br>2020	Increase	Decrease	As of<br><br> <br>September 30,<br><br> <br>2020
For transfer to employees	-	105,000	105,000	-
ii.	According to the Securities and Exchange Law of the R.O.C., the total shares of treasury stock shall not<br>exceed 10% of UMC’s issued stock, and the total purchase amount shall not exceed the sum of the retained earnings, additional paid-in<br>capital-premiums and realized additional paid-in capital. As such, the number of shares of treasury stock that UMC held as of September<br>30, 2021, December 31, 2020 and September 30, 2020, did not exceed the limit.
---	---
iii.	In compliance with Securities and Exchange Law of the R.O.C., treasury stock held by the parent company<br>should not be pledged, nor should it be entitled to voting rights or receiving dividends. Stock held by subsidiaries is treated as treasury<br>stock. These subsidiaries have the same rights as other shareholders except for subscription to new stock issuance and voting rights.
---	---
iv.	UMC’s subsidiary, FORTUNE VENTURE CAPITAL CORP., held shares of UMC’s stock through acquiring<br>shares of UNITED SILICON INC. in 1997, and these shares were converted to UMC’s stock in 2000 as a result of the Company’s<br>5 in 1 merger. As of September 30, 2021, December 31, 2020 and September 30, 2020, UMC’s subsidiary, FORTUNE VENTURE CAPITAL CORP.,<br>held 16 million shares of UMC’s stock. The closing price on September 30, 2021, December 31, 2020 and September 30, 2020, were NT$64.00,<br>NT$47.15 and NT$28.55, respectively.
---	---

| 43 |

| --- | | c. | Retained earnings and dividend policies: | | --- | --- |

According to UMC’s Articles of Incorporation, current year’s earnings, if any, shall be distributed in the following order:

i.	Payment of taxes.
ii.	Making up loss for preceding years.
---	---
iii.	Setting aside 10% for legal reserve, except for when accumulated legal reserve has reached UMC’s<br>paid-in capital.
---	---
iv.	Appropriating or reversing special reserve by government officials or other regulations.
---	---
v.	The remaining, if applicable, may be distributed preferentially as preferred shares dividends for the<br>current year, and if there is still a remaining balance, in addition to the previous year’s unappropriated earnings, UMC shall distribute<br>it according to the distribution plan proposed by the Board of Directors according to the dividend policy and submitted to the shareholders’<br>meeting for approval.
---	---

Because UMC conducts business in a capital intensive industry and continues to operate in its growth phase, the dividend policy of UMC shall be determined pursuant to factors such as the investment environment, its funding requirements, domestic and overseas competitive landscape and its capital expenditure forecast, as well as shareholders’ interest, balancing dividends and UMC’s long-term financial planning. The Board of Directors shall propose the distribution plan and submit it to the shareholders’ meeting every year. The distribution of shareholders’ dividend shall be allocated as cash dividend in the range of 20% to 100%, and stock dividend in the range of 0% to 80%.

According to the regulations of Taiwan FSC, UMC is required to appropriate a special reserve in the amount equal to the sum of debit elements under equity, such as unrealized loss on financial instruments and debit balance of exchange differences on translation of foreign operations, at every year-end. Such special reserve is prohibited from distribution. However, if any of the debit elements is reversed, the special reserve in the amount equal to the reversal may be released for earnings distribution or offsetting accumulated deficits.

The appropriation of earnings for 2020 and 2019 was approved by the shareholders’ meeting held on July 7, 2021 and June 10, 2020, respectively. The details of distribution are as follows:

	Appropriation of earnings<br><br> <br>(in thousand NT dollars)
	2020	2019	2019
Legal reserve	$3,197,890	963,947
Special reserve	(2,857,666)	(3,491,626)
Cash dividends	19,875,842	9,765,155	$0.75

All values are in US Dollars.

| 44 |

| --- |

The aforementioned 2020 and 2019 appropriation approved by shareholders’ meeting were consistent with the resolutions of the Board of Directors meeting held on February 24, 2021 and April 27, 2020, respectively.

The appropriation of earnings for 2019 approved by the shareholders’ meeting on June 10, 2020 is different from the amounts disclosed in the consolidated and parent company only financial statements for the year ended December 31, 2019 because of the additional legal reserve appropriated for the reversal of special reserve in accordance with the Rule No. 10902005780 subsequently issued by the Ministry of Economic Affairs, R.O.C. on March 3, 2020.

The cash dividend per share for 2020 was adjusted to NT$1.59988820 per share. The adjustment was due to the net increase of outstanding common shares from cancellation and issuance of the restricted stocks.

The cash dividend per share for 2019 was adjusted to NT$0.80395653 per share. The adjustment was made for the net decrease in outstanding common shares due to the share repurchase program and the conversion of convertible bonds into ordinary shares of UMC.

Please refer to Note 6(21) for information on the employees and directors’ compensation.

d.	Non-controlling interests:
	For the nine-month periods<br><br> <br>ended September 30,
---	---	---
	2021	2020
Beginning balance	$113,356	$410,065
Attributable to non-controlling interests:
Net loss	(723,783)	(1,703,074)
Other comprehensive income (loss)	(18)	126,656
The differences between the fair value of the consideration paid or received from acquiring or disposing subsidiaries and the carrying amounts of the subsidiaries	-	106,879
Changes in subsidiaries’ ownership	(6,835)	1,291
Non-controlling interests	11,928	(570,188)
Others	760,274	1,781,878
Ending balance	$154,922	$153,507

| 45 |

| --- | | (19) | Share-Based Payment | | --- | --- | | a. | Treasury stock plan for employees | | --- | --- |

In August 2018, the Company executed a compensation plan to offer 200 million shares of treasury stock to qualified employees of UMC. The compensation cost for the share-based payment was measured at fair value, having recognized in expense the difference between the closing quoted market price of the shares at the grant date and the cash received from employees. The closing quoted market price of the Company’s shares on the grant date was NT$16.95 per share. For the stocks vested on the date of grant, the Company recognized the entire compensation cost once granted, whereas for the stocks with requisite service conditions to vest at the end of one or two years from the date of grant, the Company recognizes the compensation cost over the vesting period in which the services conditions are fulfilled, together with a corresponding increase in equity. The compensation plan had expired in September 2020. For the three-month and nine-month periods ended September 30, 2020, the compensation costs of NT$32 million and NT$107 million, respectively, were recognized in expenses by the Company.

In September 2020, the Company executed a compensation plan to offer 105 million shares of treasury stock to qualified employees of the Company. The compensation cost for the share-based payment was measured at fair value, having recognized in expense the difference between the closing quoted market price of the shares at the grant date and the cash received from employees. The closing quoted market price of the Company’s shares on the grant date was NT$21.45 per share. For the stocks vested on the date of grant, the Company recognized the entire compensation cost once granted, whereas for the stocks with requisite service conditions to vest at the end of one year from the date of grant, the Company recognizes the compensation cost over the period in which the services conditions are fulfilled, together with a corresponding increase in equity. The compensation plan had expired in September 2021. For the three-month and nine-month periods ended September 30, 2021 and 2020, the compensation costs of NT$79 million, NT$274 million NT$226 million and NT$274 million, respectively, were recognized in expenses by the Company.

b.	Restricted stock plan for employees

On June 10, 2020, the shareholders approved a compensation plan in their meeting to issue restricted stocks to qualified employees of UMC without consideration. The maximum shares to be issued are 233 million common shares. The Company is authorized to issue restricted stocks in one tranche or in installments, under the custody of trust institution, within one year from the date of receiving the effective registration from the competent authority.

| 46 |

| --- |

The issuance plan was authorized for effective registration by the Securities and Futures Bureau of the FSC and accordingly, 1 million shares and 200 million shares of restricted stock for employees were issued without consideration on June 9, 2021 and September 1, 2020, respectively. The life of the plan is four years. Beginning from the end of two years since the date of grant, those employees who fulfill both service period and performance conditions set by the Company are gradually eligible to the vested restricted stocks at certain percentage and time frame. For those employees who fail to fulfill the vesting conditions, the Company will recall and cancel their stocks without consideration. During the vesting period, the restricted stock holders are entitled the same rights as those of common stock holders including the right to receive dividends, but are restricted to sell, pledge, set guarantee, transfer, grant, or dispose the restricted stocks in any other ways. Related information can be obtained from the “Market Observation Post System” on the website of the TWSE.

The aforementioned compensation costs for the equity-settled share-based payment were measured at fair value based on the closing quoted market price of the shares on the grant date, NT$53.0 and NT$21.8 per share, respectively. The unvested restricted stocks issued on the grant date for employees are recognized in unearned employee compensation as a transitional contra equity account and such account shall be amortized as compensation expense over the vesting period. For the three-month and nine-month periods ended September 30, 2021 and 2020, the compensation costs of NT$386 million, NT$124 million, NT$1,134 million and NT$124 million, respectively, were recognized in expenses by the Company.

c.	Stock appreciation right plan for employees

In June 2021 and September 2020, the Company executed a compensation plan to grant 1 million units and 26 million units of cash-settled stock appreciation right to qualified employees of the Company without consideration, respectively. One unit of stock appreciation right to employees represents a right to the intrinsic value of one common share of UMC. The life of the plan is four years. Beginning from the end of two years since the date of grant, those employees who fulfill both service period and performance conditions set by the Company are gradually eligible to the vested stock appreciation right at certain percentage and time frame. For those employees who fail to fulfill the vesting conditions, the Company will withdraw their rights without consideration. During the vesting period, the holders of the stock appreciation right are not entitled the same rights as those of common stock holders of UMC.

| 47 |

| --- |

The compensation cost for the cash-settled share-based payment was measured at fair value on the grant date by using Black-Scholes Option Pricing Model and will be remeasured at the end of each reporting period until settlement. As of September 30, 2021, the assumptions used are as below:

	Granted<br> in<br><br> <br>June 2021	Granted in September 2020
Share price of measurement date (NT$/ per share)	$64.00	$64.00
Expected volatility	37.99%~46.13%	39.48%~49.31%
Expected life	1.69~3.69 years	0.92~2.92 years
Expected dividend yield	5.27%	5.27%
Risk-free interest rate	0.22%~0.30%	0.19%~0.28%

For the three-month and nine-month periods ended September 30, 2021 and 2020, the compensation costs of NT$57 million, NT$16 million, NT$205 million and NT$16 million, respectively, were recognized in expenses by the Company. The liabilities for stock appreciation right recognized amounted to NT$284 million, NT$81 million and NT$16 million as of September 30, 2021, December 31, 2020 and September 30, 2020, respectively. The intrinsic value for the liabilities of vested rights was nil.

(20)	Operating Revenues
a.	Disaggregation of revenue
---	---
i.	By Product
---	---
	For the three-month periods ended September 30,
---	---	---
	2021	2020
Wafer	$53,635,288	$43,012,632
Others	2,271,389	1,857,822
Total	$55,906,677	$44,870,454
	For the nine-month periods ended September<br>30,
---	---	---
	2021	2019
Wafer	$147,874,101	$126,504,900
Others	6,037,329	5,019,661
Total	$153,911,430	$131,524,561

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| --- | | ii. | By geography | | --- | --- | | | For the three-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Taiwan | $21,051,092 | $15,754,604 | | Singapore | 7,687,543 | 7,263,787 | | China (includes Hong Kong) | 8,217,815 | 6,150,405 | | Japan | 3,695,049 | 3,461,668 | | USA | 6,337,559 | 5,491,526 | | Europe | 1,384,098 | 2,578,878 | | Others | 7,533,521 | 4,169,586 | | Total | $55,906,677 | $44,870,454 | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Taiwan | $57,538,173 | $48,646,272 | | Singapore | 21,501,077 | 19,107,943 | | China (includes Hong Kong) | 22,124,839 | 16,160,546 | | Japan | 10,110,553 | 12,938,723 | | USA | 17,834,727 | 18,250,342 | | Europe | 4,121,772 | 4,868,267 | | Others | 20,680,289 | 11,552,468 | | Total | $153,911,430 | $131,524,561 |

The geographic breakdown of the Company’s operating revenues was based on the location of the Company’s customers.

iii.	By the timing of revenue recognition
	For the three-month periods ended September 30,
---	---	---
	2021	2020
At a point in time	$55,382,914	$43,945,947
Over time	523,763	924,507
Total	$55,906,677	$44,870,454
	For the nine-month periods ended September<br>30,
---	---	---
	2021	2020
At a point in time	$152,495,014	$129,719,598
Over time	1,416,416	1,804,963
Total	$153,911,430	$131,524,561

| 49 |

| --- | | b. | Contract balances | | --- | --- | | i. | Contract assets, current | | --- | --- | | | As of | | | | | --- | --- | --- | --- | --- | | | September 30, 2021 | December 31, 2020 | September 30, 2020 | December 31, 2019 | | Sales of goods and services | $609,207 | $625,222 | $706,136 | $599,491 | | Less: Loss allowance | (359,279) | (367,381) | (373,711) | (385,248) | | Net | $249,928 | $257,841 | $332,425 | $214,243 |

The loss allowance was assessed by the Company primarily at an amount equal to lifetime expected credit losses. The loss allowance was mainly resulted from the suspension of the joint technology development agreement as disclosed in Note 9(7).

ii.	Contract liabilities
	As of
---	---	---	---	---
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020	December 31,<br><br> <br>2019
Sales of goods and services	$3,794,574	$2,497,469	$2,397,185	$1,470,195
Current	$3,362,279	$2,040,989	$1,930,785	$988,115
Noncurrent	432,295	456,480	466,400	482,080
Total	$3,794,574	$2,497,469	$2,397,185	$1,470,195

The movement of contract liabilities is mainly caused by the timing difference of the satisfaction of a performance of obligation and the consideration received from customers.

The Company recognized NT$1,111 million and NT$615 million, respectively, in revenues from the contract liabilities balance at the beginning of the period as performance obligations were satisfied for the nine-month periods ended September 30, 2021 and 2020.

The Company’s transaction price allocated to unsatisfied performance obligations amounted to NT$140 million and NT$2,838 million as of September 30, 2021 and 2020, respectively. The Company will recognize revenue as the Company satisfies its performance obligations over time that aligns with progress toward completion of a contract in the future. As of the report date, partial contract was due in May 2021. The estimate of the transaction price does not include any estimated amounts of variable consideration that are constrained.

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| --- | | d. | Asset recognized from costs to fulfill a contract with customer | | --- | --- |

As of September 30, 2021, December 31, 2020 and September 30, 2020, the Company recognized costs to fulfill engineering service contracts eligible for capitalization as other current assets which amounted to NT$779 million, NT$549 million and NT$852 million, respectively. Subsequently, the Company will expense from costs to fulfill a contract to operating costs when the related obligations are satisfied.

(21)	Operating Costs and Expenses

The Company’s employee benefit, depreciation and amortization expenses are summarized as follows:

	For the three-month periods ended September 30,
	2021			2020
	Operating costs	Operating expenses	Total	Operating costs	Operating expenses	Total
Employee benefit expenses
Salaries	$6,157,189	$3,071,123	$9,228,312	$5,304,707	$2,455,202	$7,759,909
Labor and health insurance	318,373	119,293	437,666	272,364	118,059	390,423
Pension	323,439	101,436	424,875	292,226	98,055	390,281
Other employee benefit expenses	74,639	30,678	105,317	64,186	30,454	94,640
Depreciation	10,468,188	476,477	10,944,665	10,948,799	463,582	11,412,381
Amortization	205,464	537,003	742,467	225,453	465,162	690,615
	For the nine-month periods ended September 30,
---	---	---	---	---	---	---
	2021			2020
	Operating costs	Operating expenses	Total	Operating costs	Operating expenses	Total
Employee benefit expenses
Salaries	$17,181,506	$8,565,319	$25,746,825	$15,134,952	$6,667,412	$21,802,364
Labor and health insurance	892,549	355,072	1,247,621	808,954	348,074	1,157,028
Pension	937,769	300,218	1,237,987	843,903	284,054	1,127,957
Other employee benefit expenses	205,603	84,123	289,726	183,181	87,010	270,191
Depreciation	31,483,928	1,423,580	32,907,508	33,236,045	1,460,850	34,696,895
Amortization	630,632	1,518,049	2,148,681	679,733	1,338,074	2,017,807

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| --- |

According to UMC’s Articles of Incorporation, the employees and directors’ compensation shall be distributed in the following order:

UMC shall allocate no less than 5% of profit as employees’ compensation and no more than 0.2% of profit as directors’ compensation for each profitable fiscal year after offsetting any cumulative losses. The aforementioned employees’ compensation will be distributed in shares or cash. The employees of UMC’s subsidiaries who fulfill specific requirements stipulated by the Board of Directors may be granted such compensation. Directors may only receive compensation in cash. UMC may, by a resolution adopted by a majority vote at a meeting of the Board of Directors attended by two-thirds of the total number of directors, distribute the aforementioned employees and directors’ compensation and report to the shareholders’ meeting for such distribution.

The Company recognizes the employees and directors’ compensation in the profit or loss during the periods when earned for the nine-month periods ended September 30, 2021 and 2020. The Board of Directors estimates the amount by taking into consideration the Articles of Incorporation, government regulations and industry averages. If the Board of Directors resolves to distribute employee compensation through stock, the number of stock distributed is calculated based on total employee compensation divided by the closing price of the day before the Board of Directors meeting. If the Board of Directors subsequently modifies the estimates significantly, the Company will recognize the change as an adjustment in the profit or loss in the subsequent period.

The distributions of employees and directors’ compensation for 2020 and 2019 were reported to the shareholders’ meeting on July 7, 2021 and June 10, 2020, respectively. The details of distribution are as follows:

	2020	2019
Employees’ compensation – Cash	$2,581,675	$1,132,952
Directors’ compensation	32,369	10,259

The aforementioned 2020 and 2019 employees and directors’ compensation reported during the shareholders’ meeting were consistent with the resolutions of meeting of Board of Directors held on February 24, 2021 and February 26, 2020.

Information relevant to the aforementioned employees and directors’ compensation can be obtained from the “Market Observation Post System” on the website of the TWSE.

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| --- | | (22) | Net Other Operating Income and Expenses | | --- | --- | | | For the three-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Government grants | $1,229,381 | $1,777,582 | | Rental income from property | 44,095 | 51,067 | | Gain on disposal of property, plant and equipment | 46,856 | 1,087,260 | | Others | (93,390) | (43,579) | | Total | $1,226,942 | $2,872,330 | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Government grants | $3,947,701 | $4,104,871 | | Rental income from property | 141,485 | 151,387 | | Gain on disposal of property, plant and equipment | 71,404 | 1,100,764 | | Others | (267,764) | (205,107) | | Total | $3,892,826 | $5,151,915 | | (23) | Non-Operating Income and Expenses | | --- | --- | | a. | Other gains and losses | | --- | --- | | | For the three-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Gain on valuation of financial assets and liabilities at fair value through profit or loss | $406,243 | $642,980 | | Loss on disposal of investments | - | (659) | | Others | 36,430 | (1,788,313) | | Total | $442,673 | $(1,145,992) | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Gain on valuation of financial assets and liabilities at fair value through profit or loss | $2,987,600 | $130,288 | | Loss on disposal of investments | (10,977) | (44,088) | | Others | 79,543 | (1,969,552) | | Total | $3,056,166 | $(1,883,352) |

The Company recognized the losses for the charges brought by the U.S. Department of Justice regarding allegation of conspiracy to engage in theft of trade secrets.

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| --- | | b. | Finance costs | | --- | --- | | | For the three-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Interest expenses | | | | Bonds payable | $149,266 | $63,461 | | Bank loans | 334,485 | 348,756 | | Lease liabilities | 35,718 | 40,133 | | Others | 27 | 6,510 | | Financial expenses | 50,663 | 27,516 | | Total | $570,159 | $486,376 | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Interest expenses | | | | Bonds payable | $286,468 | $313,732 | | Bank loans | 974,247 | 1,115,673 | | Lease liabilities | 110,236 | 115,980 | | Others | 113 | 53,688 | | Financial expenses | 84,333 | 56,284 | | Total | $1,455,397 | $1,655,357 |

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| --- | | (24) | Components of Other Comprehensive Income (Loss) | | --- | --- | | | For the three-month period ended September 30, 2021 | | | | | | --- | --- | --- | --- | --- | --- | | | Arising during the period | Reclassification adjustments during the period | Other comprehensive income (loss), before tax | Income tax effect | Other comprehensive income (loss), net of tax | | Items that will not be reclassified subsequently to profit or loss: | | | | | | | Unrealized gains or losses from equity instruments investments measured at fair value through other comprehensive income | $(657,159) | $- | $(657,159) | $(57,127) | $(714,286) | | Share of other comprehensive income (loss) of associates and joint ventures which will not be reclassified subsequently to profit or loss | 660,665 | - | 660,665 | - | 660,665 | | Items that may be reclassified subsequently to profit or loss: | | | | | | | Exchange differences on translation of foreign operations | (314,200) | - | (314,200) | 1,356 | (312,844) | | Share of other comprehensive income (loss) of associates and joint ventures which may be reclassified subsequently to profit or loss | (3,520) | - | (3,520) | (88) | (3,608) | | Total other comprehensive income (loss) | $(314,214) | $- | $(314,214) | $(55,859) | $(370,073) | | | For the three-month period ended September 30, 2020 | | | | | | --- | --- | --- | --- | --- | --- | | | Arising during the period | Reclassification adjustments during the period | Other comprehensive income (loss), before tax | Income tax effect | Other comprehensive income (loss), net of tax | | Items that will not be reclassified subsequently to profit or loss: | | | | | | | Unrealized gains or losses from equity instruments investments measured at fair value through other comprehensive income | $882,102 | $- | $882,102 | $(17,016) | $865,086 | | Share of other comprehensive income (loss) of associates and joint ventures which will not be reclassified subsequently to profit or loss | 918,815 | - | 918,815 | - | 918,815 | | Items that may be reclassified subsequently to profit or loss: | | | | | | | Exchange differences on translation of foreign operations | (434,477) | - | (434,477) | 11,900 | (422,577) | | Share of other comprehensive income (loss) of associates and joint ventures which may be reclassified subsequently to profit or loss | 25,859 | - | 25,859 | 3,222 | 29,081 | | Total other comprehensive income (loss) | $1,392,299 | $- | $1,392,299 | $(1,894) | $1,390,405 |

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| --- | | | For the nine-month period ended September 30, 2021 | | | | | | --- | --- | --- | --- | --- | --- | | | Arising during the period | Reclassification adjustments during the period | Other comprehensive income (loss), before tax | Income tax effect | Other comprehensive income (loss), net of tax | | Items that will not be reclassified subsequently to profit or loss: | | | | | | | Unrealized gains or losses from equity instruments investments measured at fair value through other comprehensive income | $3,135,224 | $- | $3,135,224 | $(117,822) | $3,017,402 | | Share of other comprehensive income (loss) of associates and joint ventures which will not be reclassified subsequently to profit or loss | 2,259,582 | - | 2,259,582 | - | 2,259,582 | | Items that may be reclassified subsequently to profit or loss: | | | | | | | Exchange differences on translation of foreign operations | (4,004,938) | 2,283 | (4,002,655) | 16,638 | (3,986,017) | | Share of other comprehensive income (loss) of associates and joint ventures which may be reclassified subsequently to profit or loss | (43,963) | (381) | (44,344) | 4,390 | (39,954) | | Total other comprehensive income (loss) | $1,345,905 | $1,902 | $1,347,807 | $(96,794) | $1,251,013 |

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| --- | | | For the nine-month period ended September 30, 2020 | | | | | | --- | --- | --- | --- | --- | --- | | | Arising during the period | Reclassification adjustments during the period | Other comprehensive income (loss), before tax | Income tax effect | Other comprehensive income (loss), net of tax | | Items that will not be reclassified subsequently to profit or loss: | | | | | | | Unrealized gains or losses from equity instruments investments measured at fair value through other comprehensive income | $2,246,483 | $- | $2,246,483 | $39,883 | $2,286,366 | | Share of other comprehensive income (loss) of associates and joint ventures which will not be reclassified subsequently to profit or loss | 877,716 | - | 877,716 | - | 877,716 | | Items that may be reclassified subsequently to profit or loss: | | | | | | | Exchange differences on translation of foreign operations | (2,352,083) | - | (2,352,083) | 21,999 | (2,330,084) | | Share of other comprehensive income (loss) of associates and joint ventures which may be reclassified subsequently to profit or loss | 2,207 | 11,479 | 13,686 | 6,323 | 20,009 | | Total other comprehensive income (loss) | $774,323 | $11,479 | $785,802 | $68,205 | $854,007 | | (25) | Income Tax | | --- | --- | | a. | The major components of income tax expense (benefit) for the three-month and nine-month periods ended September 30, 2021 and 2020 were as follows: | | --- | --- | | i. | Income tax expense (benefit) recorded in profit or loss | | --- | --- | | | For the three-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Current income tax expense (benefit): | | | | Current income tax charge | $1,896,652 | $580,654 | | Adjustments in respect of current income tax of prior periods | 316 | (62,332) | | Deferred income tax expense (benefit): | | | | Deferred income tax related to origination and reversal of temporary differences | (9,109) | (576,298) | | Deferred income tax related to recognition and derecognition of tax losses and unused tax credits | 211,560 | 256,525 | | Adjustment of prior year’s deferred income tax | 344 | (1,574) | | Deferred income tax arising from write-down or reversal of write-down of deferred tax assets | 154 | (7) | | Income tax expense recorded in profit or loss | $2,099,917 | $196,968 |

| 57 |

| --- | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Current income tax expense (benefit): | | | | Current income tax charge | $3,457,508 | $1,012,251 | | Adjustments in respect of current income tax of prior periods | 86,308 | (852,682) | | Deferred income tax expense (benefit): | | | | Deferred income tax related to origination and reversal of temporary differences | 302,888 | (286,955) | | Deferred income tax related to recognition and derecognition of tax losses and unused tax credits | 1,000,917 | 808,141 | | Adjustment of prior year’s deferred income tax | (308,116) | (296,332) | | Deferred income tax arising from write-down or reversal of write-down of deferred tax assets | (17,647) | 17,115 | | Income tax expense recorded in profit or loss | $4,521,858 | $401,538 | | ii. | Income tax related to components of other comprehensive income (loss) | | --- | --- | | (i) | Items that will not be reclassified subsequently to profit or loss: | | --- | --- | | | For the three-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Unrealized gains or losses from equity instruments investments measured at fair value through other comprehensive income | $(57,127) | $(17,016) | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Unrealized gains or losses from equity instruments investments measured at fair value through other comprehensive income | $(117,822) | $39,883 |

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| --- | | (ii) | Items that may be reclassified subsequently to profit or loss: | | --- | --- | | | For the three-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Exchange differences on translation of foreign operations | $1,356 | $11,900 | | Share of other comprehensive income (loss) of associates and joint ventures which may be reclassified subsequently to profit or loss | (88) | 3,222 | | Income tax related to items that may be reclassified subsequently to profit or loss | $1,268 | $15,122 | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Exchange differences on translation of foreign operations | $16,638 | $21,999 | | Share of other comprehensive income (loss) of associates and joint ventures which may be reclassified subsequently to profit or loss | 4,390 | 6,323 | | Income tax related to items that may be reclassified subsequently to profit or loss | $21,028 | $28,322 | | iii. | Deferred income tax charged directly to equity | | --- | --- | | | For the three-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Recognition of temporary difference arising from initial recognition of the equity component of the compound financial instrument | $- | $- | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Recognition of temporary difference arising from initial recognition of the equity component of the compound financial instrument | $- | $3,691 |

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| --- | | b. | The Company is subject to taxation in Taiwan and other foreign jurisdictions. As of September 30, 2021, income tax returns of UMC and its subsidiaries in Taiwan have been examined by the tax authorities through 2018, while in other foreign jurisdictions, relevant tax authorities have completed the examination through 2012. There is an uncertain tax position that the outcome of the income tax returns of certain companies within the Company may not be accepted by the tax authorities of the respective countries of operations. For the recognition and measurement of deferred income tax and current income tax which involved significant accounting judgments, estimates and assumptions, please refer to Note 5(5) of the Company’s consolidated financial statements for the year ended December 31, 2020. | | --- | --- | | (26) | Earnings Per Share | | --- | --- | | a. | Earnings per share-basic | | --- | --- | | | For the three-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Net income attributable to the parent company | $17,460,235 | $9,106,271 | | Weighted-average number of ordinary shares for basic earnings per share (thousand shares) | 12,206,293 | 12,107,651 | | Earnings per share-basic (NTD) | $1.43 | $0.75 | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Net income attributable to the parent company | $39,831,225 | $17,993,985 | | Weighted-average number of ordinary shares for basic earnings per share (thousand shares) | 12,206,293 | 12,028,204 | | Earnings per share-basic (NTD) | $3.26 | $1.50 | | b. | Earnings per share-diluted | | --- | --- | | | For the three-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Net income attributable to the parent company | $17,460,235 | $9,106,271 | | Weighted-average number of common stocks for basic earnings per share (thousand shares) | 12,206,293 | 12,107,651 | | Effect of dilution | | | | Restricted stocks for employees | 155,228 | 10,358 | | Employees’ compensation | 49,580 | 61,552 | | Weighted-average number of common stocks after dilution (thousand shares) | 12,411,101 | 12,179,561 | | Earnings per share-diluted (NTD) | $1.41 | $0.75 |

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| --- | | | For the nine-month periods ended September 30, | | | --- | --- | --- | | | 2021 | 2020 | | Net income attributable to the parent company | $39,831,225 | $17,993,985 | | Effect of dilution | | | | Unsecured convertible bonds | - | 69,019 | | Income attributable to shareholders of the parent | $39,831,225 | $18,063,004 | | Weighted-average number of common stocks for basic earnings per share (thousand shares) | 12,206,293 | 12,028,204 | | Effect of dilution | | | | Restricted stocks for employees | 150,968 | 3,478 | | Employees’ compensation | 58,732 | 76,115 | | Unsecured convertible bonds | - | 405,578 | | Weighted-average number of common stocks after dilution (thousand shares) | 12,415,993 | 12,513,375 | | Earnings per share-diluted (NTD) | $3.21 | $1.44 | | (27) | Reconciliation of Liabilities Arising from Financing Activities | | --- | --- |

For the nine-month period ended September 30, 2021:

			Non-cash changes
Items	As of<br><br> <br>January 1, 2021	Cash Flows	Foreign exchange	Others<br><br> <br>(Note A)	As of<br><br> <br>September 30,<br><br> <br>2021
Short-term loans	$11,057,132	$(8,750,043)	$(172,464)	$-	$2,134,625
Long-term loans (current portion included)	33,066,106	5,223,307	(534,876)	-	37,754,537
Bonds payable (current portion included)	18,690,384	18,710,042	-	(1,937,915)<br><br> <br>(Note B)	35,462,511
Guarantee deposits (current portion included)	235,992	11,324,092	(3,524)	-	11,556,560
Lease liabilities	5,576,864	(525,296)	(134,699)	254,536	5,171,405
Other financial liabilities	20,746,624	-	(349,444)	286,005	20,683,185

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| --- |

For the nine-month period ended September 30, 2020:

			Non-cash<br> changes
Items	As of<br><br> <br>January 1, 2020	Cash<br> Flows	Foreign<br> exchange	Others<br><br> <br>(Note A)	As of<br><br> <br>September 30,<br><br> <br>2020
Short-term<br> loans	$12,015,206	$(4,283,971)	$(210,429)	$50,839	$7,571,645
Long-term<br> loans (current portion included)	33,902,074	6,487,609	(797,306)	-	39,592,377
Bonds<br> payable<br><br> <br>(current portion included)	38,781,416	(13,702,875)	-	(6,388,855)<br><br> <br>(Note C)	18,689,686
Guarantee<br> deposits (current portion included)	296,694	(69,663)	(1,870)	-	225,161
Lease<br> liabilities	6,031,025	(549,252)	(63,680)	317,631	5,735,724
Other<br> financial liabilities	20,093,441	-	(225,553)	276,666	20,144,554

Note A: Other non-cash changes mainly consisted of discount amortization measured by the effective interest method.

Note B: Please refer to Note 6(13) for the Company’s exchangeable bonds.

Note C: Please refer to Note 6(13) for the Company’s convertible bonds.

Note D: Please refer to Note 9(6) for more details on other financial liabilities.

(28)	Deconsolidation of Subsidiaries

NEXPOWER TECHNOLOGY CORP. (NEXPOWER)

NEXPOWER, the subsidiary of UMC, was resolved for dissolution and liquidation by the shareholder’s meeting on November 11, 2020 and the liquidator took control on the same day. According to IFRS 10 and related questions and answers issued, the Company has lost control over NEXPOWER and therefore derecognized its relevant assets and liabilities at the date when the control was lost.

a.	Derecognized assets and liabilities mainly consisted of:
Assets
---	---
Cash and cash equivalents	$776,586
Others current assets	18
	776,604
Liabilities
Other payables	(194)
	(194)
Net assets of deconsolidation	$776,410

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| --- | | b. | Consideration received and gain recognized from the deconsolidation: | | --- | --- | | Cash received (Note A) | $722,559 | | --- | --- | | Less: Net assets of the deconsolidation | (776,410) | | Add: Non-controlling interests | 51,565 | | Other comprehensive income from equity reclassified to profit or loss due to derecognition | 4,061 | | Gain on deconsolidation (Note B) | $1,775 |

Note A: NEXPOWER was deconsolidated when the control was lost.

Note B: Gain on deconsolidation was recognized as other gains and losses in the consolidated statement of comprehensive income.

c.	Analysis of net cash outflow arising from deconsolidation of the subsidiary:
Cash received	$722,559
---	---
Net cash of subsidiary derecognized	(776,586)
Net cash outflow from deconsolidation	$(54,027)
7.	RELATED PARTY TRANSACTIONS
---	---

The following is a summary of transactions between the Company and related parties during the financial reporting periods:

(1)	Name and Relationship of Related Parties
Name of related parties	Relationship with the Company
---	---
FARADAY TECHNOLOGY CORP. and its Subsidiaries	Associate
HSUN CHIEH INVESTMENT CO., LTD.	Associate
UNIMICRON TECHNOLOGY CORP.	Associate
SILICON INTEGRATED SYSTEMS CORP.	The Company’s director
PHOTRONICS DNP MASK CORPORATION	Other related parties
UNITEDVISION SEMICONDUCTOR CO., LTD.	Other related parties
UPI SEMICONDUCTOR CORP.	Other related parties

| 63 |

| --- | | (2) | Significant Related Party Transactions | | --- | --- | | a. | Operating transactions | | --- | --- |

Operating revenues

	For the three-month periods ended September 30,
	2021	2020
Associates	$638,428	$669,007
Others	7,688	9,197
Total	$646,116	$678,204
	For the nine-month periods ended September<br>30,
---	---	---
	2021	2020
Associates	$1,797,271	$1,585,342
Others	25,762	17,781
Total	$1,823,033	$1,603,123

Accounts receivable, net

	As of
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020
Associates	$241,725	$172,808	$367,839
Others	6,117	6,110	6,123
Total	$247,842	$178,918	$373,962

The sales price to the above related parties was determined through mutual agreement in reference to market conditions. The collection period for domestic sales to related parties were month-end 30~60 days, while the collection period for overseas sales was net 30~60 days.

Refund liabilities (classified under other current liabilities)

	As of
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020
Associates	$ 1,887	$1,186	$891
Others	34	36	25
Total	$ 1,921	$1,222	$916

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| --- | | b. | Significant asset transactions | | --- | --- |

Acquisition of financial assets at fair value through profit or loss, noncurrent

For the three-month period ended September 30, 2021 and 2020: None.

			Purchase price
	Trading Volume<br><br> <br>(In thousands<br><br> <br>of shares)	Transaction<br><br> <br>underlying	For the nine-month period<br><br> <br>ended September 30, 2021
Associates	82	Stock of ARTERY TECHNOLOGY CORPORATION (CAYMAN)	$13,929
			Purchase price
---	---	---	---
	Trading Volume<br><br> <br>(In thousands<br><br> <br>of shares)	Transaction<br><br> <br>underlying	For the nine-month period<br><br> <br>ended September 30, 2020
Associates	1,000	Stock of WELLYSUN INC.	$25,000

Acquisition of intangible assets

	Purchase price
	For the three-month periods ended September 30,
	2021	2020
Associates	$8,350	$32,121
	Purchase price
---	---	---
	For the nine -month periods ended September 30,
	2021	2020
Associates	$123,321	$223,682

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| --- | | c. | Others | | --- | --- |

Mask expenditure

	For the three-month periods ended September 30,
	2021	2020
Others	$475,317	$368,195
	For the nine-month periods ended September<br>30,
---	---	---
	2021	2020
Others	$1,410,366	$1,374,830

Other payables of mask expenditure

	As of
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020
Others	$572,155	$532,810	$421,973
d.	Key management personnel compensation
---	---
	For the three-month periods ended September 30,
---	---	---
	2021	2020
Short-term employee benefits	$176,783	$131,927
Post-employment benefits	527	310
Share-based payment	272,502	83,974
Others	143	282
Total	$449,955	$216,493
	For the nine-month periods ended September<br>30,
---	---	---
	2021	2020
Short-term employee benefits	$487,587	$326,906
Post-employment benefits	1,525	1,500
Termination benefits	-	283
Share-based payment	868,946	97,190
Others	433	426
Total	$1,358,491	$426,305

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| --- | | 8. | ASSETS PLEDGED AS COLLATERAL | | --- | --- |

The following table lists assets of the Company pledged as collateral:

As of September 30, 2021, December 31, 2020 and September 30, 2020

	Carrying Amount
	As of
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br> 2020	Purpose of pledge
Refundable Deposits<br><br> <br>(Time deposit)	$811,660	$811,072	811,072	Customs duty guarantee
Refundable Deposits<br><br> <br>(Time deposit)	232,895	234,286	234,286	Collateral for land lease
Refundable<br> Deposits<br><br> <br>(Time deposit)	20,619	18,215	18,215	Collateral for dormitory lease
Refundable<br> Deposits<br><br> <br>(Time deposit)	31,354	41,785	41,785	Energy resources guarantee
Refundable<br> Deposits<br><br> <br>(Time deposit)	1,149,835	1,000,000	1,000,000	Bank performance guarantee
Refundable<br> Deposits<br><br> <br>(Bank deposit)	7,544	-	-	Collateral for letter of credit
Refundable<br> Deposits<br><br> <br>(Cash)	-	-	137,597	Court security
Buildings	5,032,554	5,310,769	5,137,005	Collateral for long-term loans
Machinery and equipment	27,900,685	21,370,450	14,562,867	Collateral for long-term loans
Transportation equipment	2,119	3,174	-	Collateral for long-term loans
Furniture and fixtures	189,324	281,663	-	Collateral for long-term loans
Right-of-use assets	280,319	289,552	283,975	Collateral for long-term loans
Total	$35,658,908	$29,360,966	22,226,802

All values are in US Dollars.

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| --- | | 9. | SIGNIFICANT CONTINGENCIES AND UNRECOGNIZED CONTRACT COMMITMENTS | | --- | --- | | (1) | As of September 30, 2021, amounts available under unused letters of credit for importing machinery and equipment were NT$0.8 billion. | | --- | --- | | (2) | As of September 30, 2021, the Company entrusted financial institutes to open performance guarantee, mainly related to the litigations and customs tax guarantee, amounting to NT$ 1.8 billion. | | --- | --- | | (3) | The Company entered into several patent license agreements and development contracts of intellectual property for a total contract amount of approximately NT$ 3.1 billion. As of September 30, 2021, the portion of royalties and development fees not yet recognized was NT$ 0.9 billion. | | --- | --- | | (4) | The Company entered into several construction contracts for the expansion of its operations. As of September 30, 2021, these construction contracts amounted to approximately NT$ 15.4 billion and the portion of the contracts not yet recognized was approximately NT$ 12.5 billion. | | --- | --- | | (5) | The Company entered into several wafer-processing contracts with its customers. According to the contracts, the Company shall provide agreed production capacity with the customers after they prepay the deposits. | | --- | --- | | (6) | The Board of Directors of UMC resolved in October 2014 to participate in a 3-way agreement with Xiamen Municipal People’s Government and FUJIAN ELECTRONIC & INFORMATION GROUP to form a company which will focus on 12’’ wafer foundry services. The Company obtained R.O.C. government authority’s approval for the investment and invested RMB 8.3 billion in USCXM in instalments from January 2015 to September 2018, according to the agreement that the Company obtained the ability to exercise control. Furthermore, based on the agreement, UMC recognized a financial liability in other financial liabilities, current and other noncurrent liabilities-others, respectively for the purchase from the other investors of their investments in USCXM at their original investment cost plus interest totally amounting to RMB 4.9 billion, beginning from the seventh year (2022) following the last instalment payment made by the other investors. Accordingly, the Company recognizes non-controlling interests as required by IFRS 10 during the reporting period. At the end of each reporting period, the Company recognizes a financial liability for its commitment to the other investors in accordance with IFRS 9, at the same time derecognizing the non-controlling interests. Any difference between the financial liability and the non-controlling interests balance is recognized in equity. | | --- | --- |

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| --- | | (7) | On August 31, 2017, the Taichung District Prosecutors Office indicted UMC based on the Trade Secret Act of R.O.C., alleging that employees of UMC misappropriated the trade secrets of MICRON TECHNOLOGY, INC. (“MICRON”). On June 12, 2020, an adverse ruling issued by the District Court of Taichung in a suit alleged that UMC, two of its current employees and a former employee engaged in the misappropriation of trade secrets. The Company does not expect material financial impact resulting from this claim. UMC appealed against the sentence. | | --- | --- |

On December 5, 2017, MICRON filed a civil action with similar cause against UMC with the United States District Court, Northern District of California. MICRON claimed entitlement to the actual damages, treble damages and relevant fees and requested the court to issue an order that enjoins UMC from using its trade secrets in question. UMC has appointed counsels to prepare answers against these charges. Currently the civil complaint has been stayed by the court.

On January 12, 2018, UMC filed three patent infringement actions with the Fuzhou Intermediate People’s Court against, among others, MICRON (XI’AN) CO., LTD. and MICRON (SHANGHAI) TRADING CO., LTD., requesting the court to order the defendants to stop manufacturing, processing, importing, selling, and committing to sell the products deploying the infringing patents in questions, and also to destroy all inventories and related molds and tools. On July 3, 2018, the Fuzhou Intermediate People’s Court granted preliminary injunction against the aforementioned two defendants, holding that the two defendants must immediately cease to manufacture, sell, and import products that infringe the patent rights of UMC. The court approved withdrawal of one of the patent infringement actions on our motion while the other two actions are still on trial.

(8)

On March 14, 2019, a putative class action styled Kevin D. Meyer v. United Microelectronics Corporation and several executives, was filed under Securities Exchange Act of 1934 and Rule 10b-5 in the United States District Court for the Southern District of New York. The court approved the settlement reached between the plaintiffs and the defendants on May 3, 2021 EST. According to the court approved settlement, UMC shall pay USD 3 million as the settlement fund to be allocated to the class plaintiffs and reimbursed of the expenses and class counsel fees. The reimbursement, which was recorded in non-operating other losses, has no material effect on finances and business.

10.

SIGNIFICANT DISASTER LOSS

---

None.

11.	SIGNIFICANT SUBSEQUENT EVENTS

None.

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| --- | | 12. | OTHERS | | --- | --- | | (1) | Categories of financial instruments | | --- | --- | | | As of | | | | --- | --- | --- | --- | | Financial Assets | September 30, 2021 | December 31, 2020 | September 30, 2020 | | Financial assets at fair value through profit or loss | $18,225,842 | $16,042,721 | $ 14,447,514 | | Financial assets at fair value through other comprehensive income | 13,661,367 | 10,526,144 | 7,957,265 | | Financial assets measured at amortized cost | | | | | Cash and cash equivalents (excludes cash on hand) | 113,098,884 | 94,042,271 | 98,833,303 | | Receivables | 34,120,512 | 28,942,147 | 27,709,718 | | Refundable deposits | 2,410,884 | 2,310,961 | 2,492,246 | | Other financial assets | 30,639,713 | 14,386,131 | 9,960,095 | | Total | $212,157,202 | $166,250,375 | $161,400,141 | | | As of | | | | --- | --- | --- | --- | | Financial Liabilities | September 30, 2021 | December 31, 2020 | September 30, 2020 | | Financial liabilities at fair value through profit or loss | $1,425,772 | $2,326 | $- | | Financial liabilities measured at amortized cost | | | | | Short-term loans | 2,134,625 | 11,057,132 | 7,571,645 | | Payables | 34,116,095 | 31,188,794 | 31,838,924 | | Provisions | - | - | 1,749,003 | | Guarantee deposits (current portion included) | 11,556,560 | 235,992 | 225,161 | | Bonds payable (current portion included) | 35,462,511 | 18,690,384 | 18,689,686 | | Long-term loans (current portion included) | 37,754,537 | 33,066,106 | 39,592,377 | | Lease liabilities | 5,171,405 | 5,576,864 | 5,735,724 | | Other financial liabilities | 20,683,185 | 20,746,624 | 20,144,554 | | Total | $148,304,690 | $120,564,222 | $125,547,074 |

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| --- | | (2) | Financial risk management objectives and policies | | --- | --- |

The Company’s risk management objectives are to manage the market risk, credit risk and liquidity risk related to its operating activities. The Company identifies, measures and manages the aforementioned risks based on policy and risk preference.

The Company has established appropriate policies, procedures and internal controls for financial risk management. Before entering into significant financial activities, approval process by the Board of Directors and Audit Committee must be carried out based on related protocols and internal control procedures. The Company complies with its financial risk management policies at all times.

(3)	Market risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risks comprise currency risk, interest rate risk and other price risk (such as equity price risk).

Foreign currency risk

The Company’s exposure to the risk of changes in foreign exchange rates relates primarily to the Company’s operating activities (when revenue or expense is denominated in a different currency from the Company’s functional currency) and the Company’s net investments in foreign subsidiaries.

The Company applies natural hedges on the foreign currency risk arising from purchases or sales, and utilizes spot or forward exchange contracts to manage foreign currency risk and the net effect of the risks related to monetary financial assets and liabilities is minor. The notional amounts of the foreign currency contracts are the same as the amount of the hedged items. In principle, the Company does not carry out any forward exchange contracts for uncertain commitments. Furthermore, as net investments in foreign subsidiaries are for strategic purposes, they are not hedged by the Company.

The foreign currency sensitivity analysis of the possible change in foreign exchange rates on the Company’s profit is performed on significant monetary items denominated in foreign currencies as of the end of the reporting period. When NTD strengthens/weakens against USD by 10%, the profit for the nine-month periods ended September 30, 2021 and 2020 decreases/increases by NT$1,284 million and NT$987 million, respectively. When RMB strengthens/weakens against USD by 10%, the profit for the nine-month periods ended September 30, 2021 and 2020 increases/decreases by NT$723 million and NT$1,832 million, respectively. When JPY strengthens/weakens against USD by 10%, the profit for the nine-month periods ended September 30, 2021 and 2020 decreases/increases by NT$473 million and NT$553 million, respectively.

| 71 |

| --- |

Interest rate risk

The Company is exposed to interest rate risk arising from borrowing at floating interest rates. All of the Company’s bonds have fixed interest rates and are measured at amortized cost. As such, changes in interest rates would not affect the future cash flows. On the other hand, as the interest rates of the Company’s short-term and long-term bank loans are floating, changes in interest rates would affect the future cash flows but not the fair value. Please refer to Note 6(11), 6(13) and 6(14) for the range of interest rates of the Company’s bonds and bank loans.

At the reporting dates, a change of 10 basis points of interest rate in a reporting period could cause the profit for the nine-month periods ended September 30, 2021 and 2020 to decrease/increase by NT$30 million and NT$35 million, respectively.

Equity price risk

The Company’s listed and unlisted equity securities and exchange right of the exchangeable bonds issued are susceptible to market price risk arising from uncertainties about future performance of equity markets. The Company’s equity investments are classified as financial assets at fair value through profit or loss and financial assets at fair value through other comprehensive income, while exchange right of the exchangeable bonds issued is classified as financial liabilities at fair value through profit or loss as it does not satisfy the definition of an equity component.

The sensitivity analysis for the equity instruments is based on the change in fair value as of the reporting date. A change of 5% in the price of the aforementioned financial assets at fair value through profit or loss of listed companies could increase/decrease the Company’s profit for the nine-month periods ended September 30, 2021 and 2020 by NT$324 million and NT$238 million, respectively. A change of 5% in the price of the aforementioned financial assets at fair value through other comprehensive income of listed companies could increase/decrease the Company’s other comprehensive income for the nine-month periods ended September 30, 2021 and 2020 by NT$570 million and NT$337 million, respectively.

Please refer to Note 12(7) for sensitivity analysis information of other equity instruments or derivatives that are linked to such equity instruments whose fair value measurement is categorized under Level 3.

(4)	Credit risk management

The Company only trades with approved and creditworthy third parties. Where the Company trades with third parties which have less credit, it will request collateral from them. It is the Company’s policy that all customers who wish to trade on credit terms are subject to credit verification procedures. In addition, notes and accounts receivable balances are monitored on an ongoing basis to decrease the Company’s exposure to credit risk.

| 72 |

| --- |

The Company mitigates the credit risks from financial institutions by limiting its counter parties to only reputable domestic or international financial institutions with good credit standing and spreading its holdings among various financial institutions. The Company’s exposure to credit risk arising from the default of counter-parties is limited to the carrying amount of these instruments.

As of September 30, 2021, December 31, 2020 and September 30, 2020, accounts receivable from the top ten customers represent 59%, 62% and 60% of the total accounts receivable of the Company, respectively. The credit concentration risk of other accounts receivable is insignificant.

(5)	Liquidity risk management

The Company’s objectives are to maintain a balance between continuity of funding and flexibility through the use of cash and cash equivalents, bank loans, bonds and lease.

The table below summarizes the maturity profile of the Company’s financial liabilities based on the contractual undiscounted payments and contractual maturity:

	As of September 30, 2021
	Less than<br><br> <br>1 year	2 to 3<br><br> <br>years	4 to 5<br><br> <br>years	> 5 years	Total
Non-derivative financial liabilities
Short-term loans	$2,150,832	$-	$-	$-	$2,150,832
Payables	33,637,132	-	-	-	33,637,132
Guarantee deposits	70,395	264,890	1,686,868	9,534,407	11,556,560
Bonds payable (Note)	6,590,309	7,438,063	9,002,820	4,184,728	27,215,920
Long-term loans	8,018,882	14,754,345	12,942,649	7,767,197	43,483,073
Lease liabilities	683,354	1,198,551	1,013,221	3,018,582	5,913,708
Other financial liabilities	12,624,563	8,416,675	-	-	21,041,238
Total	$63,775,467	$32,072,524	$24,645,558	$24,504,914	$144,998,463
Derivative financial liabilities
Forward exchange contracts
Gross settlement
Inflow	$1,884,728	$-	$-	$-	$1,884,728
Outflow	(1,893,078)	-	-	-	(1,893,078)
Net	$(8,350)	$-	$-	$-	$(8,350)

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| --- |

Note： UMC issued unsecured exchangeable bonds where the bondholders may exchange the bonds at any time on or after October 8, 2021 and prior to June 27, 2026 into Novatek common shares which UMC holds and accounts for as equity instruments investments measured at fair value through other comprehensive income. The balances of equity instruments investments measured at fair value through other comprehensive income was NT$6,452 million as of September 30, 2021. All or any portion of the bonds will be redeemable at put price at the option of bondholders on July 7, 2024 at 98.14% of the principal amount.

	As of December 31, 2020
	Less than<br><br> <br>1 year	2 to 3<br><br> <br>years	4 to 5<br><br> <br>years	> 5 years	Total
Non-derivative financial liabilities
Short-term loans	$11,240,785	$-	$-	$-	$11,240,785
Payables	31,008,010	-	-	-	31,008,010
Guarantee deposits	793	163,618	-	71,581	235,992
Bonds payable	2,374,587	8,484,393	8,563,021	-	19,422,001
Long-term loans	25,885,932	5,889,382	2,424,965	-	34,200,279
Lease liabilities	695,790	1,280,476	1,102,021	3,354,217	6,432,504
Other financial liabilities	-	17,120,418	4,280,333	-	21,400,751
Total	$71,205,897	$32,938,287	$16,370,340	$3,425,798	$123,940,322
Derivative financial liabilities
Forward exchange contracts
Gross settlement
Inflow	$393,442	$-	$-	$-	$393,442
Outflow	(395,768)	-	-	-	(395,768)
Net	$(2,326)	$-	$-	$-	$(2,326)
	As of September 30, 2020
---	---	---	---	---	---
	Less than<br><br> <br>1 year	2 to 3<br><br> <br>years	4 to 5<br><br> <br>years	> 5 years	Total
Non-derivative financial liabilities
Short-term loans	$7,659,954	$-	$-	$-	$7,659,954
Payables	31,470,934	-	-	-	31,470,934
Provisions	1,749,003	-	-	-	1,749,003
Guarantee deposits	774	87,516	67,045	69,826	225,161
Bonds payable	2,377,544	8,506,918	8,594,758	-	19,479,220
Long-term loans	7,908,402	20,718,861	14,213,951	2,976	42,844,190
Lease liabilities	702,093	1,301,348	1,124,345	3,506,982	6,634,768
Other financial liabilities	-	16,700,667	4,175,390	-	20,876,057
Total	$51,868,704	$47,315,310	$28,175,489	$3,579,784	$130,939,287

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| --- | | (6) | Foreign currency risk management | | --- | --- |

UMC entered into forward exchange contracts for hedging the exchange rate risk arising from the net monetary assets or liabilities denominated in foreign currency. The details of forward exchange contracts entered into by UMC are summarized as follows:

As of September 30, 2021

Type	Notional Amount	Contract Period
Forward exchange contracts	Sell USD 68 million	September 8, 2021~October 26, 2021

As of December 31, 2020

Type	Notional Amount	Contract Period
Forward exchange contracts	Sell USD 82 million	December 11, 2020~February 05, 2021

As of September 30, 2020

Type	Notional Amount	Contract Period
Forward exchange contracts	Sell USD 6 million	September 18, 2020~October 15, 2020
(7)	Fair value of financial instruments
---	---

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either in the principal market for the asset or liability, or in the absence of a principal market, in the most advantageous market for the asset or liability.

The principal or the most advantageous market must be accessible by the Company.

The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest.

A fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use.

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| --- |

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or liabilities;

Level 2 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable;

Level 3 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable.

For assets and liabilities that are recognized in the financial statements on a recurring basis, the Company determines whether transfers have occurred between levels in the hierarchy by re-assessing categorization (based on the lowest level input that is significant to the fair value measurement as a whole) at the end of each reporting period.

a.	Assets and liabilities measured and recorded at fair value on a recurring basis:
	As of September 30, 2021
---	---	---	---	---
	Level 1	Level 2	Level 3	Total
Financial assets:
Financial assets at fair value through profit or loss, current	$715,489	$-	$223,932	$939,421
Financial assets at fair value through profit or loss, noncurrent	7,499,746	413,440	9,373,235	17,286,421
Financial assets at fair value through other comprehensive income, current	6,452,239	-	-	6,452,239
Financial assets at fair value through other comprehensive income, noncurrent	4,957,368	-	2,251,760	7,209,128
Financial liabilities:
Financial liabilities at fair value through profit or loss, current	-	8,350	1,417,422	1,425,772

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| --- | | | As of December 31, 2020 | | | | | --- | --- | --- | --- | --- | | | Level 1 | Level 2 | Level 3 | Total | | Financial assets: | | | | | | Financial assets at fair value through profit or loss, current | $1,049,334 | $2,384 | $164,916 | $1,216,634 | | Financial assets at fair value through profit or loss, noncurrent | 5,546,320 | 393,856 | 8,885,911 | 14,826,087 | | Financial assets at fair value through other comprehensive income, noncurrent | 9,058,372 | - | 1,467,772 | 10,526,144 | | Financial liabilities: | | | | | | Financial liabilities at fair value through profit or loss, current | - | 2,326 | - | 2,326 | | | As of September 30, 2020 | | | | | --- | --- | --- | --- | --- | | | Level 1 | Level 2 | Level 3 | Total | | Financial assets: | | | | | | Financial assets at fair value through profit or loss, current | $793,014 | $1,345 | $121,719 | $916,078 | | Financial assets at fair value through profit or loss, noncurrent | 4,548,562 | 262,618 | 8,720,256 | 13,531,436 | | Financial assets at fair value through other comprehensive income, noncurrent | 6,738,616 | - | 1,218,649 | 7,957,265 |

Fair values of financial assets at fair value through profit or loss and financial assets at fair value through other comprehensive income that are categorized into level 1 are based on the quoted market prices in active markets. If there is no active market, the Company estimates the fair value by using the valuation techniques (income approach and market approach) in consideration of cash flow forecast, recent fund raising activities, valuation of similar companies, individual company’s development, market conditions and other economic indicators.

If there are restrictions on the sale or transfer of a financial asset, which are a characteristic of the asset, the fair value of the asset will be determined based on similar but unrestricted financial assets’ quoted market price with appropriate discounts for the restrictions. To measure fair values, if the lowest level input that is significant to the fair value measurement is directly or indirectly observable, then the financial assets are classified as Level 2 of the fair value hierarchy, otherwise as Level 3.

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| --- |

During the nine-month periods ended September 30, 2021 and 2020, there were no significant transfers between Level 1 and Level 2 fair value measurements.

Reconciliation for fair value measurement in Level 3 fair value hierarchy is as follows:

	Financial assets at fair value through profit or loss					Financial assets at fair value through<br><br> <br>other comprehensive income
	Common stock	Preferred stock	Funds	Convertible bonds	Total	Common stock	Preferred stock	Total
As of January 1, 2021	$3,241,478	$3,279,003	$2,314,016	$216,330	$9,050,827	$1,297,627	$170,145	$1,467,772
Recognized in profit (loss)	72,108	(584,794)	912,142	1,433	400,889	-	-	-
Recognized in other comprehensive income (loss)	-	-	-	-	-	812,236	(28,248)	783,988
Acquisition	219,016	496,195	179,367	83,381	977,959	-	-	-
Disposal	(261,485)	(285,646)	-	(11,900)	(559,031)	-	-	-
Return of capital	(184)	-	(58,930)	-	(59,114)	-	-	-
Transfer out of Level 3	(121,177)	-	-	-	(121,177)	-	-	-
Exchange effect	(18,225)	(39,920)	(33,505)	(1,536)	(93,186)	-	-	-
As of September 30, 2021	$3,131,531	$2,864,838	$3,313,090	$287,708	$9,597,167	$2,109,863	$141,897	$2,251,760
	Financial liabilities at fair value<br><br> <br>through profit or loss
---	---
	Derivatives
As of January 1, 2021	$-
Recognized in profit (loss)	(602,683)
Issuance	2,020,105
As of September 30, 2021	$1,417,422
	Financial assets at fair value through profit or loss					Financial assets at fair value through<br><br> <br>other comprehensive income
---	---	---	---	---	---	---	---	---
	Common stock	Preferred stock	Funds	Convertible bonds	Total	Common stock	Preferred stock	Total
As of January 1, 2020	$2,880,688	$3,279,294	$2,011,025	$104,708	$8,275,715	$1,130,430	$175,494	$1,305,924
Recognized in profit (loss)	(82,819)	65,519	(22,948)	37,577	(2,671)	-	-	-
Recognized in other comprehensive income (loss)	-	-	-	-	-	(24,220)	(63,055)	(87,275)
Acquisition	523,838	266,375	178,006	293,777	1,261,996	-	-	-
Disposal	(255,544)	(171,839)	-	(108,162)	(535,545)	-	-	-
Return of capital	(1,903)	-	-	-	(1,903)	-	-	-
Transfer out of Level 3	(35,000)	-	-	-	(35,000)	-	-	-
Exchange effect	(21,873)	(60,061)	(36,473)	(2,210)	(120,617)	-	-	-
As of September 30, 2020	$3,007,387	$3,379,288	$2,129,610	$325,690	$8,841,975	$1,106,210	$112,439	$1,218,649

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| --- |

The total profit of NT$143 million and loss of NT$(111) million for the nine-month periods ended September 30, 2021 and 2020, were included in profit or loss that is attributable to the change in unrealized gains or losses relating to those financial assets without quoted market prices held at the end of the reporting period.

The total profit of NT$603 million and nil for the nine-month periods ended September 30, 2021 and 2020, were included in profit or loss that is attributable to the change in unrealized gains or losses relating to those financial liabilities without quoted market prices held at the end of the reporting period.

The Company’s policy to recognize the transfer into and out of fair value hierarchy levels is based on the event or changes in circumstances that caused the transfer.

Significant unobservable inputs of fair value measurement in Level 3 fair value hierarchy are as follows:

As of September 30, 2021
Category	Valuation technique	Significant unobservable inputs	Quantitative information	Interrelationship between inputs and fair value	Sensitivity analysis of interrelationship between inputs and fair value
Unlisted stock	Market Approach	Discount for lack of marketability	0%~50%	The greater degree of lack of marketability, the lower the estimated fair value is determined.	A change of 5% in the discount for lack of marketability of the aforementioned fair values of unlisted stocks could decrease/increase the Company’s profit (loss) for the nine-month period ended September 30, 2021 by NT$283 million and NT$246 million, respectively, and decrease/increase the Company’s other comprehensive income (loss) for the nine-month period ended September 30, 2021 by NT$166 million.
Embedded derivatives in exchangeable bonds	Binomial tree valuation model	Volatility	44.80%	The higher the volatility, the higher the estimated fair value is determined.	A change of 5% in the volatility could decrease/increase the Company’s profit (loss) for the nine-month period ended September 30, 2021 by NT$213 million and NT$228 million, respectively.

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| --- | | As of September 30, 2020 | | | | | | | --- | --- | --- | --- | --- | --- | | Category | Valuation technique | Significant unobservable inputs | Quantitative information | Interrelationship between inputs and fair value | Sensitivity analysis of interrelationship between inputs and fair value | | Unlisted stock | Market Approach | Discount for lack of marketability | 0%~50% | The greater degree of lack of marketability, the lower the estimated fair value is determined. | A change of 5% in the discount for lack of marketability of the aforementioned fair values of unlisted stocks could decrease/increase the Company’s profit (loss) for the nine-month period ended September 30, 2020 by NT$274 million and NT$223 million, respectively, and decrease/increase the Company’s other comprehensive income (loss) for the nine-month period ended September 30, 2020 by NT$89 million. |

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| --- | | b. | Assets and liabilities not recorded at fair value but for which fair value is disclosed: | | --- | --- |

The fair value of bonds payable is estimated by the market price or using a valuation model. The model uses market-based observable inputs including share price, volatility, credit spread and risk-free interest rates. The fair value of long-term loans is determined using discounted cash flow model, based on the Company’s current incremental borrowing rates of similar loans.

The fair values of the Company’s short-term financial instruments including cash and cash equivalents, receivables, refundable deposits, other financial assets, short-term loans, payables and guarantee deposits approximate their carrying amount due to their maturities within one year.

As of September 30, 2021

		Fair value measurements during<br><br> <br>reporting period using
Items	Fair value	Level 1	Level 2	Level 3	Carrying amount
Bonds payables (current portion included)	$36,994,924	$26,482,566	$10,512,358	$-	$35,462,511
Long-term loans (current portion included)	37,754,537	-	37,754,537	-	37,754,537

As of December 31, 2020

		Fair value measurements during<br><br> <br>reporting period using
Items	Fair value	Level 1	Level 2	Level 3	Carrying amount
Bonds payables (current portion included)	$18,861,597	$18,861,597	$-	$-	$18,690,384
Long-term loans (current portion included)	33,066,106	-	33,066,106	-	33,066,106

As of September 30, 2020

		Fair value measurements during<br><br> <br>reporting period using
Items	Fair value	Level 1	Level 2	Level 3	Carrying amount
Bonds payables (current portion included)	$18,815,012	$18,815,012	$-	$-	$18,689,686
Long-term loans (current portion included)	39,592,377	-	39,592,377	-	39,592,377

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| --- | | (8) | Significant financial assets and liabilities denominated in foreign currencies | | --- | --- |

The following information was summarized by the foreign currencies other than the functional currency of the Company. The exchange rates disclosed were used to translate the foreign currencies into the functional currency. The significant financial assets and liabilities denominated in foreign currencies are as follows:


			December 31, 2020
	Exchange Rate	NTD (thousand)	Foreign Currency (thousand)	Exchange Rate	NTD (thousand)
Financial Assets
Monetary items
:NTD	27.79	$28,380,721	$711,855	28.43	$20,238,047
:NTD	32.14	1,585,194	3,027	34.86	105,511
RMB:NTD	4.281	7,040	1,957	4.355	8,525
SGD:	0.7337	1,718,867	48,101	0.7559	1,033,694
:RMB	6.4854	11,007,645	182,252	6.5249	5,178,866
:	111.95	5,278,409	195,035	103.52	5,544,168
Non-Monetary items
:NTD	27.79	4,907,353	143,991	28.43	4,093,667
Financial Liabilities
Monetary items
:NTD	27.89	15,540,368	241,111	28.53	6,878,910
RMB:NTD (Note C)	4.331	20,684,240	4,710,181	4.405	20,748,348
SGD:	0.7375	2,005,148	87,190	0.7596	1,893,220
:RMB	6.4854	18,352,444	763,407	6.5249	21,941,982
:	111.95	761,441	29,542	103.52	852,317
			As of
			September 30, 2020
			Foreign Currency (thousand)	Exchange Rate	NTD (thousand)
Financial Assets
Monetary items
:NTD			$685,117	29.05	$19,902,647
:NTD			3,101	33.98	105,369
RMB:NTD			1,955	4.247	8,302
SGD:			44,917	0.7294	951,743
:RMB			239,076	6.8101	6,914,675
:			210,673	105.81	6,105,576

All values are in US Dollars.

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| --- | | | As of | | | | --- | --- | --- | --- | | | September 30, 2020 | | | | | Foreign Currency (thousand) | Exchange Rate | NTD (thousand) | | Non-Monetary items | | | | | USD:NTD | $138,215 | 29.05 | $4,015,146 | | Financial Liabilities | | | | | Monetary items | | | | | USD:NTD | 344,031 | 29.15 | 10,028,518 | | RMB:NTD (Note C) | 4,688,304 | 4.297 | 20,145,642 | | SGD:USD | 93,461 | 0.7331 | 1,997,254 | | USD:RMB | 869,703 | 6.8101 | 25,450,127 | | USD:JPY | 22,135 | 105.81 | 651,118 |

Note A：The foreign currency transactions mentioned above are expressed in terms of the amount before elimination.

Note B：Please refer to the consolidated statements of comprehensive income for the total of realized and unrealized foreign exchange gain and loss. Since there were varieties of foreign currency transactions and functional currencies within the subsidiaries of the Company, the Company was unable to disclose foreign exchange gain (loss) towards each foreign currency with significant impact.

Note C：Please refer to Note 9(6) for more details on other financial liabilities.

(9)	Significant intercompany transactions among consolidated entities for the nine-month periods ended September<br>30, 2021 and 2020 are disclosed in Attachment 1.
(10)	Capital management
---	---

The primary objective of the Company’s capital management is to ensure that it maintains a strong credit rating and healthy capital ratios to support its business and maximize the shareholders’ value. The Company also ensures its ability to operate continuously to provide returns to shareholders and the interests of other related parties, while maintaining the optimal capital structure to reduce costs of capital.

To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital to shareholders, issue new shares or dispose assets to redeem liabilities.

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| --- |

Similar to its peers, the Company monitors its capital based on debt to capital ratio. The ratio is calculated as the Company’s net debt divided by its total capital. The net debt is derived by taking the total liabilities on the consolidated balance sheets minus cash and cash equivalents. The total capital consists of total equity (including capital, additional paid-in capital, retained earnings, other components of equity and non-controlling interests) plus net debt.

The Company’s strategy, which is unchanged for the reporting periods, is to maintain a reasonable ratio in order to raise capital with reasonable cost. The debt to capital ratios as of September 30, 2021, December 31, 2020 and September 30, 2020 were as follows:

	As of
	September 30,<br><br> <br>2021	December 31,<br><br> <br>2020	September 30,<br><br> <br>2020
Total liabilities	$171,188,907	$141,743,273	$147,328,966
Less: Cash and cash equivalents	(113,104,860)	(94,048,036)	(98,839,079)
Net debt	58,084,047	47,695,237	48,489,887
Total equity	257,603,724	235,773,102	220,914,963
Total capital	$315,687,771	$283,468,339	$269,404,850
Debt to capital ratios	18.40%	16.83%	18.00%
13.	ADDITIONAL DISCLOSURES
---	---
(1)	The following are additional disclosures for the Company and its affiliates as required by the R.O.C.<br>Securities and Futures Bureau:
---	---
a.	Financing provided to others for the nine-month period ended September 30, 2021: Please refer to Attachment<br>2.
---	---
b.	Endorsement/Guarantee provided to others for the nine-month period ended September 30, 2021: Please refer<br>to Attachment 3.
---	---
c.	Securities held as of September 30, 2021 (excluding subsidiaries, associates and joint venture): Please<br>refer to Attachment 4.
---	---
d.	Individual securities acquired or disposed of with accumulated amount exceeding the lower of NT$300 million<br>or 20 percent of the capital stock for the nine-month period ended September 30, 2021: Please refer to Attachment 5.
---	---

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| --- | | e. | Acquisition of individual real estate with amount exceeding the lower of NT$300 million or 20 percent of the capital stock for the nine-month period ended September 30, 2021: Please refer to Attachment 6. | | --- | --- | | f. | Disposal of individual real estate with amount exceeding the lower of NT$300 million or 20 percent of the capital stock for the nine-month period ended September 30, 2021: Please refer to Attachment 7. | | --- | --- | | g. | Related party transactions for purchases and sales amounts exceeding the lower of NT$100 million or 20 percent of the capital stock for the nine-month period ended September 30, 2021: Please refer to Attachment 8. | | --- | --- | | h. | Receivables from related parties with amounts exceeding the lower of NT$100 million or 20 percent of capital stock as of September 30, 2021: Please refer to Attachment 9. | | --- | --- | | i. | Names, locations and related information of investees as of September 30, 2021 (excluding investment in Mainland China): Please refer to Attachment 10. | | --- | --- | | j. | Financial instruments and derivative transactions: Please refer to Note 12. | | --- | --- | | k. | Information of major shareholders as of September 30, 2021: Please refer to Attachment 12. | | --- | --- | | (2) | Investment in Mainland China | | --- | --- | | a. | Investee company name, main businesses and products, total amount of capital, method of investment, accumulated inflow and outflow of investments from Taiwan, net income (loss) of investee company, percentage of ownership, investment income (loss), carrying amount of investments, cumulated inward remittance of earnings and limits on investment in Mainland China: Please refer to Attachment 11. | | --- | --- | | b. | Directly or indirectly significant transactions through third regions with the investees in Mainland China, including price, payment terms, unrealized gain or loss, and other events with significant effects on the operating results and financial condition: Please refer to Attachment 1, 2, 3, 8 and 9. | | --- | --- |

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| --- | | 14. | OPERATING SEGMENT INFORMATION | | --- | --- |

The Company determined its operating segments based on business activities with discrete financial information regularly reported through the Company’s internal reporting protocols to the Company’s chief operating decision maker. The Company only has wafer fabrication operating segment as the single reporting segment. The primary operating activity of the wafer fabrication segment is the manufacture of chips to the design specifications of our customers by using our own proprietary processes and techniques. The Company maintains a diversified customer base across industries, including communication, consumer electronics, computer, memory and others, while continuing to focus on manufacturing for high growth, large volume applications, including networking, telecommunications, internet, multimedia, PCs and graphics. There was no material difference between the accounting policies of the operating segment and those described in Note 4. Please refer to the Company’s consolidated financial statements for the related segment revenue and operating results.

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| --- | | ATTACHMENT 1 (Significant intercompany transactions between consolidated entities) | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | For the nine-month period ended September 30, 2021 | | | | | | | | | | Related party | Counterparty | Relationship with the Company (Note 2) | Transactions | | | | | No. (Note 1) | | | | Account | Amount | Collection periods (Note 3) | Percentage of consolidated operating revenues or consolidated total assets (Note 4) | | 0 | UNITED MICROELECTRONICS CORPORATION | UMC GROUP (USA) | 1 | Sales | $35,546,661 | Net 60 days | 23% | | 0 | UNITED MICROELECTRONICS CORPORATION | UMC GROUP (USA) | 1 | Accounts receivable | 6,290,803 | - | 1% | | 0 | UNITED MICROELECTRONICS CORPORATION | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | 1 | Sales | 916,980 | Net 30 days | 1% | | | | | | | (Note 5) | | | | 0 | UNITED MICROELECTRONICS CORPORATION | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | 1 | Accounts receivable | 20,102 | - | 0% | | 1 | UNITED SEMICONDUCTOR JAPAN CO., LTD. | UMC GROUP (USA) | 3 | Sales | 2,250,844 | Net 60 days | 1% | | 1 | UNITED SEMICONDUCTOR JAPAN CO., LTD. | UMC GROUP (USA) | 3 | Accounts receivable | 560,468 | - | 0% | | 2 | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | UMC GROUP (USA) | 3 | Sales | 1,099,945 | Net 60 days | 1% | | 2 | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | UMC GROUP (USA) | 3 | Accounts receivable | 208,517 | - | 0% | | 3 | WAVETEK MICROELECTRONICS CORPORATION | UMC GROUP (USA) | 3 | Sales | 361,191 | Net 60 days | 0% | | 3 | WAVETEK MICROELECTRONICS CORPORATION | UMC GROUP (USA) | 3 | Accounts receivable | 80,997 | - | 0% | | 4 | HEJIAN TECHNOLOGY (SUZHOU) CO., LTD. | UMC GROUP (USA) | 3 | Sales | 275,221 | Net 60 days | 0% | | 4 | HEJIAN TECHNOLOGY (SUZHOU) CO., LTD. | UMC GROUP (USA) | 3 | Accounts receivable | 58,311 | - | 0% | | For the nine-month period ended September 30, 2020 | | | | | | | | | | Related party | Counterparty | Relationship with the Company (Note 2) | Transactions | | | | | No. (Note 1) | | | | Account | Amount | Collection periods (Note 3) | Percentage of consolidated operating revenues or consolidated total assets (Note 4) | | 0 | UNITED MICROELECTRONICS CORPORATION | UMC GROUP (USA) | 1 | Sales | $37,403,247 | Net 60 days | 28% | | 0 | UNITED MICROELECTRONICS CORPORATION | UMC GROUP (USA) | 1 | Accounts receivable | 6,060,399 | - | 2% | | 0 | UNITED MICROELECTRONICS CORPORATION | UMC GROUP JAPAN | 1 | Sales | 1,217,498 | Net 60 days | 1% | | 0 | UNITED MICROELECTRONICS CORPORATION | UMC GROUP JAPAN | 1 | Accounts receivable | 862 | - | 0% | | 0 | UNITED MICROELECTRONICS CORPORATION | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | 1 | Sales | 889,211 | Net 30 days | 1% | | | | | | | (Note 5) | | | | 0 | UNITED MICROELECTRONICS CORPORATION | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | 1 | Accounts receivable | 14,936 | - | 0% | | 1 | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | UMC GROUP (USA) | 3 | Sales | 615,732 | Net 60 days | 0% | | 1 | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | UMC GROUP (USA) | 3 | Accounts receivable | 168,763 | - | 0% | | 2 | HEJIAN TECHNOLOGY (SUZHOU) CO., LTD. | UMC GROUP JAPAN | 3 | Sales | 105,599 | Net 60 days | 0% | | 3 | UNITED SEMICONDUCTOR JAPAN CO., LTD. | UMC GROUP (USA) | 3 | Sales | 673,410 | Net 60 days | 1% | | 3 | UNITED SEMICONDUCTOR JAPAN CO., LTD. | UMC GROUP (USA) | 3 | Accounts receivable | 458,808 | - | 0% | | Note 1: | UMC and its subsidiaries are coded as follows: | | --- | --- | | | 1. UMC is coded "0". | | | 2. The subsidiaries are coded consecutively beginning from "1" in the order presented in the table above. | | Note 2: | Transactions are categorized as follows: | | | 1. The holding company to subsidiary. | | | 2. Subsidiary to holding company. | | | 3. Subsidiary to subsidiary. | | Note 3: | The sales price to the above related parties was determined through mutual agreement in reference to market conditions. | | Note 4: | The percentage with respect to the consolidated asset/liability for transactions of balance sheet items are based on each item's balance at period-end. | | | For profit or loss items, cumulative balances are used as basis. | | Note 5: | UMC authorized technology licenses to its subsidiary, UNITED SEMICONDUCTOR (XIAMEN) CO., LTD., in the amount of USD 0.35 billion which was recognized as deferred revenue. | | | Since it was a downstream transaction, the deferred revenue would be realized over time. |

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| --- | | ATTACHMENT 2 (Financing provided to others for the nine-month period ended September 30, 2021) | | | | | | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | | | | | | | UNITED MICROELECTRONICS CORPORATION | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Collateral | | | | | No. (Note 1) | Lender | Counter-party | Financial statement account | Related Party | Maximum balance for the period | Ending balance | Actual amount provided | Interest rate | Nature of financing | Amount of sales to (purchases from) counter-party | Reason for financing | Loss allowance | | | Limit of financing amount for individual counter-party (Note2) | Limit of total financing amount (Note2) | | | | | | | | | | | | | | | Item | Value | | | | 0 | UNITED MICROELECTRONICS CORPORATION | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | Other receivables - related parties | Yes | $10,282,300 | $4,724,300 | $- | - | The need for short-term financing | $- | Business turnover | $- | None | $- | $25,744,880 | $102,979,521 | | 0 | UNITED MICROELECTRONICS CORPORATION | WAVETEK MICROELECTRONICS CORPORATION | Other receivables - related parties | Yes | 500,000 | 500,000 | 500,000 | 1.20% | The need for short-term financing | - | Business turnover | - | None | - | 25,744,880 | 102,979,521 | | Note 1: The parent company and its subsidiaries are coded as follows: | | | | | | | | | | | | | | | | | | (i) The parent company is coded "0". | | | | | | | | | | | | | | | | | | (ii) The subsidiaries are coded consecutively beginning from "1" in the order presented in the table above. | | | | | | | | | | | | | | | | | | Note 2: Limit of financing amount for individual counter-party shall not exceed 10% of the lender's net assets value as of the period. | | | | | | | | | | | | | | | | | | Limit of total financing amount shall not exceed 40% of the Company’s net asset value. | | | | | | | | | | | | | | | | |

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| --- | | ATTACHMENT 3 (Endorsement/Guarantee provided to others for the nine-month period ended September 30, 2021) | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | UNITED MICROELECTRONICS CORPORATION | | | | | | | | | | | | No. (Note 1) | Endorsor/Guarantor | Receiving party | | Limit of guarantee/endorsement amount for receiving party (Note 3) | Maximum balance for the period | | | | Percentage of accumulated guarantee amount to net assets value from the latest financial statement | Limit of total guarantee/endorsement amount (Note 4) | | | | Company name | Releationship (Note 2) | | | Ending balance | Actual amount provided | Amount of collateral guarantee/endorsement | | | | 0 | UNITED MICROELECTRONICS CORPORATION | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | 2 | $115,851,961 | $18,739,379 | $17,905,679 (Note 5) | $15,685,127 (Note 5) | $- | 6.96% | $115,851,961 | | HEJIAN TECHNOLOGY (SUZHOU) CO., LTD. | | | | | | | | | | | | No. (Note 1) | Endorsor/Guarantor | Receiving party | | Limit of guarantee/endorsement amount for receiving party (Note 6) | Maximum balance for the period | | | | Percentage of accumulated guarantee amount to net assets value from the latest financial statement | Limit of total guarantee/endorsement amount (Note 6) | | | | Company name | Releationship (Note 2) | | | Ending balance | Actual amount provided | Amount of collateral guarantee/endorsement | | | | 1 | HEJIAN TECHNOLOGY (SUZHOU) CO., LTD. | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | 6 | $11,202,781 | $6,754,228 | $6,394,103 | $5,838,471 | $- | 25.68% | $11,202,781 | | Note 1: | The parent company and its subsidiaries are coded as follows: | | --- | --- | | | 1. | | | 2. | | Note 2: | According to the "Guidelines Governing the Preparation of Financial Reports by Securities Issuers" issued by the R.O.C. Securities and Futures Bureau, receiving parties should be disclosed as one of the following: | | | 1. | | | 2. | | | 3. | | | 4. | | | 5. | | | 6. | | | 7. | | Note 3: | The amount of endorsements/guarantees shall not exceed 45% of the net worth of endorsor/guarantor; and the ceilings on the amount of endorsements/guarantees for any single entity are as follows: | | | 1. | | | 2. | | | The aggregate amount of endorsements/guarantees that the Company as a whole is permitted to make shall not exceed 45% of the Company's net worth, and the aggregate amount of endorsements/guarantees for any single entity shall not exceed 45% of the Company's net worth. | | Note 4: | Limit of total guarantee/endorsement amount shall not exceed 45% of UMC's net assets value as of September 30, 2021. | | Note 5: | On Feburary 22, 2017, the board of directors resolved to guarantee UNITED SEMICONDUCTOR (XIAMEN) CO., LTD.'s syndicated loan from banks including China Development Bank in the amount up to 310 million. | | | On March 7, 2018, the board of directors resolved to increase the endorsement for syndicated loan amounted to 152 million, on October 24, 2018, the board of directors resolved to increase the endorsement for syndicated loan amounted to 41 million. | | | On July 24, 2019, the board of directors resolved to decrease the endorsement for syndicated loan amounted to 26 million, on December 18, 2019, the board of directors resolved to decrease the endorsement for syndicated loan amounted to 13 million. | | | On July 29, 2020, the board of directors resolved to decrease the endorsement for syndicated loan amounted to 32 million and to increase the endorsement for short-term loans agreement amounted to CNY 900 million. | | | On October 29, 2020, the board of directors resolved to decrease the endorsement for syndicated loan amounted to 32 million. | | | On December 16, 2020, the board of directors resolved to decrease the endorsement for syndicated loan amounted to 29 million, to decrease the endorsement for short-term loans agreement amounted to CNY 900 million and to increase the endorsement for loans agreement amounted to CNY 1.97 billion. | | | On July 28, 2021, the board of directors resolved to decrease the endorsement for syndicated loan amounted to 30 million. | | | Total endorsement amount is up to 341 million and CNY 1.97 billion. As of September 30, 2021, actual amount provided was NT15.69 billion. | | Note 6: | Limit of total endorsed/guaranteed amount shall not exceed 45% of HEJIAN TECHNOLOGY (SUZHOU) CO., LTD.'s net assets value as of September 30, 2021. | | | The amount of endorsements/guarantees for any single entity shall not exceed 45% of net worth of HEJIAN TECHNOLOGY (SUZHOU) CO., LTD.'s net assets value as of September 30, 2021. | | | The aggregate amount of endorsements/guarantees that the Company as a whole is permitted to make shall not exceed 45% of the Company's net worth, and the aggregate amount of endorsements/guarantees for any single entity shall not exceed 45% of the Company's net worth. |

All values are in US Dollars.

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| --- | | ATTACHMENT 4 (Securities held as of September 30, 2021) (Excluding subsidiaries, associates and joint ventures) | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | UNITED MICROELECTRONICS CORPORATION | | | | | | | | | | | | | | | | September 30, 2021 | | | | | | | | Type of securities | Name of securities | Relationship | Financial statement account | Units (thousand)/ bonds/ shares (thousand) | Carrying amount | | Percentage of ownership (%) | Fair value/ Net assets value | | Shares as collateral (thousand) | | Fund | MILLERFUL NO.1 REAL ESTATE INVESTMENT TRUST | - | Financial assets at fair value through profit or loss, current | 17,883 | | $190,454 | 1.69 | | $190,454 | None | | Stock | PIXART IMAGING, INC. | - | Financial assets at fair value through profit or loss, current | 1,600 | | 248,000 | 1.13 | | 248,000 | None | | Stock | KING YUAN ELECTRONICS CO., LTD. | - | Financial assets at fair value through profit or loss, current | 2,675 | | 109,541 | 0.22 | | 109,541 | None | | Fund | RED ARC GLOBAL INVESTMENTS (IRELAND) ICAV TERM LIQUIDITY FUND | - | Financial assets at fair value through profit or loss, current | 57 | | 167,495 | 0.15 | | 167,495 | None | | Stock | PIXTECH, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 9,883 | | - | 17.63 | | - | None | | Stock | UNITED FU SHEN CHEN TECHNOLOGY CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 17,511 | | - | 15.75 | | - | None | | Stock | HOLTEK SEMICONDUCTOR INC. | - | Financial assets at fair value through profit or loss, noncurrent | 22,144 | | 2,513,373 | 9.79 | | 2,513,373 | None | | Stock | UNITED INDUSTRIAL GASES CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 16,680 | | 1,249,559 | 7.66 | | 1,249,559 | None | | Stock | OCTTASIA INVESTMENT HOLDING INC. | - | Financial assets at fair value through profit or loss, noncurrent | 4,530 | | 416,692 | 6.29 | | 416,692 | None | | Stock | AMIC TECHNOLOGY CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 1,412 | | - | 4.71 | | - | None | | Stock | SUBTRON TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 12,521 | | 400,663 | 4.28 | | 400,663 | None | | Stock | KING YUAN ELECTRONICS CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 20,483 | | 838,767 | 1.68 | | 838,767 | None | | Stock | ENNOSTAR INC. | - | Financial assets at fair value through profit or loss, noncurrent | 5,357 | | 380,382 | 0.78 | | 380,382 | None | | Stock | PROMOS TECHNOLOGIES INC. | - | Financial assets at fair value through profit or loss, noncurrent | 324 | | - | 0.72 | | - | None | | Stock-Preferred stock | TONBU, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 938 | | - | - | | - | None | | Stock-Preferred stock | AETAS TECHNOLOGY INC. | - | Financial assets at fair value through profit or loss, noncurrent | 1,166 | | - | - | | - | None | | Stock-Preferred stock | TA SHEE GOLF & COUNTRY CLUB | - | Financial assets at fair value through profit or loss, noncurrent | 0 | | 22,125 | - | | 22,125 | None | | Stock | NOVATEK MICROELECTRONICS CORP. | - | Financial assets at fair value through other comprehensive income, current | 15,737 | | 6,452,239 | 2.59 | | 6,452,239 | None | | Stock | SILICON INTEGRATED SYSTEMS CORP. | The Company's director | Financial assets at fair value through other comprehensive income, noncurrent | 129,577 | | 3,278,309 | 19.02 | | 3,278,309 | None | | Stock | UNIMICRON HOLDING LIMITED | Associate | Financial assets at fair value through other comprehensive income, noncurrent | 20,000 | | 1,339,478 | 12.67 | | 1,339,478 | None | | Stock | ITE TECH. INC. | - | Financial assets at fair value through other comprehensive income, noncurrent | 13,960 | | 1,389,018 | 8.67 | | 1,389,018 | None | | Stock | NOVATEK MICROELECTRONICS CORP. | - | Financial assets at fair value through other comprehensive income, noncurrent | 708 | | 290,041 | 0.11 | | 290,041 | None | | Stock-Preferred stock | MTIC HOLDINGS PTE. LTD. | Associate | Financial assets at fair value through other comprehensive income, noncurrent | 12,000 | | 141,897 | - | | 141,897 | None |

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| --- | | ATTACHMENT 4 (Securities held as of September 30, 2021) (Excluding subsidiaries, associates and joint ventures) | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | FORTUNE VENTURE CAPITAL CORP. | | | | | | | | | | | | | | | | September 30, 2021 | | | | | | | | Type of securities | Name of securities | Relationship | Financial statement account | Units (thousand)/ bonds/ shares (thousand) | Carrying amount | | Percentage of ownership (%) | Fair value/ Net assets value | | Shares as collateral (thousand) | | Stock | DARCHUN VENTURE CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 1,514 | | $2,499 | 19.65 | | $2,499 | None | | Stock | SOLARGATE TECHNOLOGY CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 957 | | - | 15.94 | | - | None | | Fund | TRENDFORCE CAPITAL FUND SPC-TRENDFORCE CAPITAL FUND I SP | - | Financial assets at fair value through profit or loss, noncurrent | 15 | | 83,232 | 15.06 | | 83,232 | None | | Stock | TRONC-E CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 1,800 | | - | 14.49 | | - | None | | Stock | EVERGLORY RESOURCE TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 2,500 | | 17,550 | 10.23 | | 17,550 | None | | Stock | CENTERA PHOTONICS INC. | - | Financial assets at fair value through profit or loss, noncurrent | 3,750 | | 26,663 | 10.07 | | 26,663 | None | | Stock | ADVANCE MATERIALS CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 10,719 | | 91,324 | 9.12 | | 91,324 | None | | Stock | MONTJADE ENGINEERING CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 1,800 | | 13,338 | 8.18 | | 13,338 | None | | Stock | EXCELSIUS MEDICAL CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 1,500 | | 14,925 | 7.50 | | 14,925 | None | | Stock | TAIWAN REDEYE BIOMEDIAL INC. | - | Financial assets at fair value through profit or loss, noncurrent | 743 | | 11,218 | 7.43 | | 11,218 | None | | Stock | WIN WIN PRECISION TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 3,150 | | 39,281 | 6.93 | | 39,281 | None | | Stock | RISELINK VENTURE CAPITAL CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 11 | | 730 | 6.67 | | 730 | None | | Stock | HYE TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 1,200 | | 36,000 | 5.45 | | 36,000 | None | | Stock | LICO TECHNOLOGY CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 6,609 | | - | 5.32 | | - | None | | Stock | AMPAK TECHNOLOGY INC. | - | Financial assets at fair value through profit or loss, noncurrent | 3,050 | | 240,340 | 5.06 | | 240,340 | None | | Stock | EMPASS TECHNOLOGY INC. | - | Financial assets at fair value through profit or loss, noncurrent | 330 | | 5,455 | 4.50 | | 5,455 | None | | Stock | NEW SMART TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 900 | | 8,568 | 4.50 | | 8,568 | None | | Stock | ACT GENOMICS HOLDINGS CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 4,600 | | 66,474 | 4.24 | | 66,474 | None | | Stock | MERIDIGEN BIOTECH CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 3,838 | | - | 4.20 | | - | None | | Stock | TAIWAN AULISA MEDICAL DEVICES TECHNOLOGIES, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 1,114 | | 7,320 | 4.01 | | 7,320 | None | | Stock | SOLID STATE SYSTEM CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 2,400 | | 81,120 | 3.71 | | 81,120 | None | | Stock | EXCELLENCE OPTOELECTRONICS INC. | - | Financial assets at fair value through profit or loss, noncurrent | 6,374 | | 177,831 | 3.49 | | 177,831 | None | | Stock | SUBTRON TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 10,059 | | 321,881 | 3.44 | | 321,881 | None | | Stock | TOPOINT TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 4,416 | | 176,204 | 3.11 | | 176,204 | None | | Fund | TRANSLINK CAPITAL PARTNERS IV, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | | 202,803 | 2.96 | | 202,803 | None | | Stock | BRIGHT SHELAND INTERNATIONAL CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 1,200 | | 38,280 | 2.87 | | 38,280 | None |

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| --- | | ATTACHMENT 4 (Securities held as of September 30, 2021) (Excluding subsidiaries, associates and joint ventures) | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | FORTUNE VENTURE CAPITAL CORP. | | | | | | | | | | | | | | | | September 30, 2021 | | | | | | | | Type of securities | Name of securities | Relationship | Financial statement account | Units (thousand)/ bonds/ shares (thousand) | Carrying amount | | Percentage of ownership (%) | Fair value/ Net assets value | | Shares as collateral (thousand) | | Stock | CLIENTRON CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 1,761 | | $31,697 | 2.77 | | $31,697 | None | | Stock | TAIWAN SEMICONDUCTOR CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 6,741 | | 391,315 | 2.54 | | 391,315 | None | | Stock | CHITEC TECHNOLOGY CORP., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 627 | | 23,324 | 2.15 | | 23,324 | None | | Stock | FORMOSA PHARMACEUTICALS, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 2,100 | | 41,244 | 2.12 | | 41,244 | None | | Fund | VERTEX V (C.I.) FUND L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | | 121,114 | 2.07 | | 121,114 | None | | Stock | TERASILIC CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 600 | | 12,000 | 2.05 | | 12,000 | None | | Fund | VERTEX VI FUND L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | | 28,046 | 1.69 | | 28,046 | None | | Stock | YUEN FOONG YU CONSUMER PRODUCTS CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 4,000 | | 214,000 | 1.63 | | 214,000 | None | | Stock | ACER E-ENABLING SERVICE BUSINESS INC. | - | Financial assets at fair value through profit or loss, noncurrent | 550 | | 121,000 | 1.51 | | 121,000 | None | | Stock | M3 TECHNOLOGY INC. | - | Financial assets at fair value through profit or loss, noncurrent | 440 | | 97,020 | 1.20 | | 97,020 | None | | Stock | LINTES TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 615 | | 71,955 | 1.08 | | 71,955 | None | | Stock | WALTOP INTERNATIONAL CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 65 | | 373 | 1.07 | | 373 | None | | Stock | CRYSTALWISE TECHNOLOGY INC. | - | Financial assets at fair value through profit or loss, noncurrent | 888 | | 19,983 | 1.01 | | 19,983 | None | | Stock | CUBTEK INC. | - | Financial assets at fair value through profit or loss, noncurrent | 850 | | 80,920 | 0.93 | | 80,920 | None | | Stock | UNICTRON TECHNOLOGIES CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 396 | | 59,202 | 0.90 | | 59,202 | None | | Stock | POWERTEC ELECTROCHEMICAL CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 9,930 | | - | 0.70 | | - | None | | Stock | TAIWANJ PHARMACEUTICALS CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 514 | | 5,705 | 0.68 | | 5,705 | None | | Stock | ROARING SUCCESS LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 317 | | 6,881 | 0.64 | | 6,881 | None | | Stock | FITIPOWER INTEGRATED TECHNOLOGY INC. | - | Financial assets at fair value through profit or loss, noncurrent | 500 | | 97,750 | 0.27 | | 97,750 | None | | Stock | TIGERAIR TAIWAN CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 598 | | 16,983 | 0.21 | | 16,983 | None | | Stock | SOLAR APPLIED MATERIALS TECHNOLOGY CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 1,173 | | 60,065 | 0.20 | | 60,065 | None | | Stock | RAYDIUM SEMICONDUCTOR CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 120 | | 44,460 | 0.18 | | 44,460 | None | | Stock | CHANG WAH ELECTROMATERIALS INC. | - | Financial assets at fair value through profit or loss, noncurrent | 1,055 | | 34,335 | 0.15 | | 34,335 | None | | Stock | FORTEMEDIA, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 21 | | 31 | 0.02 | | 31 | None | | Stock | YANG MING MARINE TRANSPORT CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 224 | | 26,768 | 0.01 | | 26,768 | None | | Stock-Preferred Stock | EJOULE INTERNATIONAL LIMITED | - | Financial assets at fair value through profit or loss, noncurrent | 23,909 | | 116,468 | - | | 116,468 | None |

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| --- | | ATTACHMENT 4 (Securities held as of September 30, 2021) (Excluding subsidiaries, associates and joint ventures) | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | FORTUNE VENTURE CAPITAL CORP. | | | | | | | | | | | | | | | | September 30, 2021 | | | | | | | | Type of securities | Name of securities | Relationship | Financial statement account | Units (thousand)/ bonds/ shares (thousand) | Carrying amount | | Percentage of ownership (%) | Fair value/ Net assets value | | Shares as collateral (thousand) | | Stock-Preferred Stock | FLOADIA CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 2 | | $103,188 | - | | $103,188 | None | | Stock-Preferred Stock | FORTEMEDIA, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 311 | | 2,278 | - | | 2,278 | None | | Stock-Preferred Stock | ACEPODIA, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 2,055 | | 60,877 | - | | 60,877 | None | | Stock-Preferred Stock | BRAVOTEK CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 2,250 | | 69,023 | - | | 69,023 | None | | Stock-Preferred Stock | GEAR RADIO LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 3,400 | | 57,968 | - | | 57,968 | None | | Stock-Preferred Stock | SONATUS, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 249 | | 27,790 | - | | 27,790 | None | | Stock-Preferred Stock | CENTERA PHOTONICS INC. | - | Financial assets at fair value through profit or loss, noncurrent | 526 | | 15,782 | - | | 15,782 | None | | Convertible bonds | YEONG GUAN ENERGY TECHNOLOGY GROUP CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 100 | | 10,000 | - | | 10,000 | None | | Convertible bonds | BRIGHT SHELAND INTERNATIONAL CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 250 | | 24,718 | - | | 24,718 | None | | Convertible bonds | MERCURIES & ASSOCIATES HOLDING, LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 250 | | 29,600 | - | | 29,600 | None | | Convertible bonds | CHANG WAH TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 750 | | 95,250 | - | | 95,250 | None | | Convertible bonds | LOTES CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 300 | | 34,740 | - | | 34,740 | None | | Stock | SHIN-ETSU HANDOTAI TAIWAN CO., LTD. | - | Financial assets at fair value through other comprehensive income, noncurrent | 10,500 | | 770,385 | 7.00 | | 770,385 | None | | Stock | UNITED MICROELECTRONICS CORP. | Parent company | Financial assets at fair value through other comprehensive income, noncurrent | 16,079 | | 1,029,039 | 0.13 | | 1,029,039 | None | | TLC CAPITAL CO., LTD. | | | | | | | | | | | | | | | | September 30, 2021 | | | | | | | | Type of securities | Name of securities | Relationship | Financial statement account | Units (thousand)/ bonds/ shares (thousand) | Carrying amount | | Percentage of ownership (%) | Fair value/ Net assets value | | Shares as collateral (thousand) | | Convertible bonds | EJOULE INTERNATIONAL LTD. | - | Financial assets at fair value through profit or loss, current | - | | $149,177 | - | | $149,177 | None | | Convertible bonds | JSAB HOLDING LTD. | - | Financial assets at fair value through profit or loss, current | - | | 69,475 | - | | 69,475 | None | | Fund | EVERYI CAPITAL ASIA FUND, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | | 217,056 | 18.18 | | 217,056 | None | | Stock | BEAUTY ESSENTIALS INTERNATIONAL LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 150,500 | | 58,554 | 13.99 | | 58,554 | None | | Fund | OAK HILL OPPORTUNITIES FUND, SEGREGATED PORTFOLIO | - | Financial assets at fair value through profit or loss, noncurrent | 13 | | 337,675 | 13.00 | | 337,675 | None | | Stock | WINKING ENTERTAINMENT LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 5,983 | | 140,208 | 10.23 | | 140,208 | None | | Fund | EVERYI CAPITAL ASIA FUND II, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | | 122,586 | 9.09 | | 122,586 | None | | Stock | EVERGLORY RESOURCE TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 1,200 | | 8,424 | 4.91 | | 8,424 | None | | Fund | TRANSLINK CAPITAL PARTNERS III, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | | 172,273 | 4.24 | | 172,273 | None | | Stock | ADVANCE MATERIALS CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 4,855 | | 41,363 | 4.13 | | 41,363 | None |

| 93 |

| --- | | ATTACHMENT 4 (Securities held as of September 30, 2021) (Excluding subsidiaries, associates and joint ventures) | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | TLC CAPITAL CO., LTD. | | | | | | | | | | | | | | | | September 30, 2021 | | | | | | | | Type of securities | Name of securities | Relationship | Financial statement account | Units (thousand)/ bonds/ shares (thousand) | Carrying amount | | Percentage of ownership (%) | Fair value/ Net assets value | | Shares as collateral (thousand) | | Stock | SUNDIA MEDITECH GROUP | - | Financial assets at fair value through profit or loss, noncurrent | 78 | | $- | 3.20 | | $- | None | | Stock | WELLYSUN INC. | - | Financial assets at fair value through profit or loss, noncurrent | 1,000 | | 35,000 | 2.34 | | 35,000 | None | | Stock | EXCELLENCE OPTOELECTRONICS INC. | - | Financial assets at fair value through profit or loss, noncurrent | 3,183 | | 88,808 | 1.74 | | 88,808 | None | | Stock | HANDA PHARMACEUTICALS, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 1,000 | | 40,600 | 0.82 | | 40,600 | None | | Stock | SIMPLO TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 1,422 | | 410,386 | 0.77 | | 410,386 | None | | Stock | TXC CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 1,978 | | 207,689 | 0.64 | | 207,689 | None | | Stock | LINTES TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 365 | | 42,705 | 0.64 | | 42,705 | None | | Stock | POWTEC ELECTROCHEMICAL CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 6,470 | | - | 0.46 | | - | None | | Stock | YUEN FOONG YU CONSUMER PRODUCTS CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 1,000 | | 53,500 | 0.41 | | 53,500 | None | | Stock | EVERGREEN STEEL CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 1,000 | | 50,200 | 0.24 | | 50,200 | None | | Stock | VALUE VALVES CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 40 | | 3,448 | 0.10 | | 3,448 | None | | Stock | CHANG WAH ELECTROMATERIALS INC. | - | Financial assets at fair value through profit or loss, noncurrent | 506 | | 16,481 | 0.07 | | 16,481 | None | | Stock | ADVANCED ENERGY SOLUTION HOLDING CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 12 | | 9,657 | 0.01 | | 9,657 | None | | Convertible bonds | TECHCENTIAL INTERNATIONAL LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 99 | | 9,860 | - | | 9,860 | None | | Capital-Preferred stock | GUANGXI CHIPBETTER MICROELECTRONICS INC. | - | Financial assets at fair value through profit or loss, noncurrent | 672 | | 59,231 | - | | 59,231 | None | | Capital-Preferred stock | CANAANTEK CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 190 | | 39,827 | - | | 39,827 | None | | Capital-Preferred stock | HEFEI TBSTEST TECHNOLOGIES CO., LTD | - | Financial assets at fair value through profit or loss, noncurrent | 168 | | 24,585 | - | | 24,585 | None | | Stock-Preferred stock | YOUJIA GROUP LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 2,685 | | 3,261 | - | | 3,261 | None | | Stock-Preferred stock | ALO7 LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 2,377 | | 91,203 | - | | 91,203 | None | | Stock-Preferred stock | ADWO MEDIA HOLDINGS LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 5,332 | | - | - | | - | None | | Stock-Preferred stock | IMO, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 8,519 | | - | - | | - | None | | Stock-Preferred stock | GAME VIDEO LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 279 | | 15,514 | - | | 15,514 | None | | Stock-Preferred stock | PLAYNITRIDE INC. | - | Financial assets at fair value through profit or loss, noncurrent | 717 | | 56,974 | - | | 56,974 | None | | Stock-Preferred stock | EJOULE INTERNATIONAL LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 35,863 | | 174,701 | - | | 174,701 | None | | Stock-Preferred stock | TURNING POINT LASERS LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 2,000 | | 59,034 | - | | 59,034 | None | | Stock-Preferred stock | ARTERY TECHNOLOGY CORPORATION(CAYMAN) | Associate | Financial assets at fair value through profit or loss, noncurrent | 852 | | 116,447 | - | | 116,447 | None | | Stock-Preferred stock | JSAB HOLDING LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 667 | | 21,155 | - | | 21,155 | None |

| 94 |

| --- | | ATTACHMENT 4 (Securities held as of September 30, 2021) (Excluding subsidiaries, associates and joint ventures) | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | TLC CAPITAL CO., LTD. | | | | | | | | | | | | | | | | September 30, 2021 | | | | | | | | Type of securities | Name of securities | Relationship | Financial statement account | Units (thousand)/ bonds/ shares (thousand) | Carrying amount | | Percentage of ownership (%) | Fair value/ Net assets value | | Shares as collateral (thousand) | | Stock-Preferred stock | SILC TECHNOLOGIES, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 1,697 | | $76,423 | - | | $76,423 | None | | Stock-Preferred stock | SINO APPLIED TECHNOLOGY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 855 | | 12,505 | - | | 12,505 | None | | Stock-Preferred stock | RAMON SPACE LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 249 | | 55,580 | - | | 55,580 | None | | Stock-Preferred stock | XMEMS LABS, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 2,990 | | 55,580 | - | | 55,580 | None | | UMC CAPITAL CORP. | | | | | | | | | | | | | | | | September 30, 2021 | | | | | | | | Type of securities | Name of securities | Relationship | Financial statement account | Units (thousand)/ bonds/ shares (thousand) | Carrying amount | | Percentage of ownership (%) | Fair value/ Net assets value | | Shares as collateral (thousand) | | Convertible bonds | CLOUDWORDS, INC. | - | Financial assets at fair value through profit or loss, current | - | USD | 190 | - | USD | 190 | None | | Capital | TRANSLINK MANAGEMENT III, L.L.C. | - | Financial assets at fair value through profit or loss, noncurrent | - | USD | 1,090 | 14.33 | USD | 1,090 | None | | Fund | TRANSLINK CAPITAL PARTNERS III, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | USD | 16,760 | 11.47 | USD | 16,760 | None | | Stock | OCTTASIA INVESTMENT HOLDING INC. | - | Financial assets at fair value through profit or loss, noncurrent | 7,035 | USD | 23,286 | 9.76 | USD | 23,286 | None | | Fund | TRANSLINK CAPITAL PARTNERS IV, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | USD | 21,893 | 8.87 | USD | 21,893 | None | | Stock | ALL-STARS SP IV LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 7 | USD | 6,887 | 5.03 | USD | 6,887 | None | | Fund | TRANSLINK CAPITAL PARTNERS II, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | USD | 4,427 | 4.53 | USD | 4,427 | None | | Fund | GROVE VENTURES II, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | USD | 1,966 | 3.25 | USD | 1,966 | None | | Fund | SIERRA VENTURES XI, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | USD | 12,316 | 1.76 | USD | 12,316 | None | | Fund | STORM VENTURES FUND V, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | USD | 5,606 | 1.69 | USD | 5,606 | None | | Fund | SIERRA VENTURES XII, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | USD | 2,245 | 1.38 | USD | 2,245 | None | | Stock | NEUROBLADE LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 37 | USD | 1,540 | 0.90 | USD | 1,540 | None | | Stock | ACHIEVE MADE INTERNATIONAL LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 80 | USD | 5 | 0.46 | USD | 5 | None | | Stock | APPIER GROUP INC. | - | Financial assets at fair value through profit or loss, noncurrent | 320 | USD | 4,115 | 0.32 | USD | 4,115 | None | | Stock-Preferred stock | ACHIEVE MADE INTERNATIONAL LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 2,644 | USD | 1,054 | - | USD | 1,054 | None | | Stock-Preferred stock | CNEX LABS, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 454 | USD | 6,066 | - | USD | 6,066 | None | | Stock-Preferred stock | GLYMPSE, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 1,349 | USD | 3,837 | - | USD | 3,837 | None | | Stock-Preferred stock | ATSCALE, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 8,520 | USD | 6,516 | - | USD | 6,516 | None | | Stock-Preferred stock | SENSIFREE LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 614 | USD | 1,022 | - | USD | 1,022 | None |

| 95 |

| --- | | ATTACHMENT 4 (Securities held as of September 30, 2021) (Excluding subsidiaries, associates and joint ventures) | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | UMC CAPITAL CORP. | | | | | | | | | | | | | | | | September 30, 2021 | | | | | | | | Type of securities | Name of securities | Relationship | Financial statement account | Units (thousand)/ bonds/ shares (thousand) | Carrying amount | | Percentage of ownership (%) | Fair value/ Net assets value | | Shares as collateral (thousand) | | Stock-Preferred stock | DCARD HOLDINGS LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 30,075 | USD | 6,255 | - | USD | 6,255 | None | | Stock-Preferred stock | GCT SEMICONDUCTOR, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 175 | USD | 105 | - | USD | 105 | None | | Stock-Preferred stock | FORTEMEDIA, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 12,241 | USD | 6,921 | - | USD | 6,921 | None | | Stock-Preferred stock | SIFOTONICS TECHNOLOGIES CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 3,500 | USD | 8,382 | - | USD | 8,382 | None | | Stock-Preferred stock | NEVO ENERGY, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 4,980 | | - | - | | - | None | | Stock-Preferred stock | NEXENTA SYSTEMS, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 6,555 | | - | - | | - | None | | Stock-Preferred stock | CLOUDWORDS, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 9,461 | USD | 5,338 | - | USD | 5,338 | None | | Stock-Preferred stock | EAST VISION TECHNOLOGY LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 2,770 | | - | - | | - | None | | Stock-Preferred stock | RENIAC, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 1,287 | USD | 794 | - | USD | 794 | None | | Stock-Preferred stock | BLUESPACE.AI, INC. | - | Financial assets at fair value through profit or loss, noncurrent | 533 | USD | 1,606 | - | USD | 1,606 | None | | Stock-Preferred stock | REED SEMICONDUCTOR CORP. | - | Financial assets at fair value through profit or loss, noncurrent | 3,352 | USD | 1,075 | - | USD | 1,075 | None | | Stock-Preferred stock | A.A.A TARANIS VISUAL LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 4 | USD | 4,785 | - | USD | 4,785 | None | | Stock-Preferred stock | NEUROBLADE LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 33 | USD | 2,000 | - | USD | 2,000 | None | | Convertible bonds | GLYMPSE, INC. | - | Financial assets at fair value through profit or loss, noncurrent | - | USD | 1,845 | - | USD | 1,845 | None | | Convertible bonds | RENIAC, INC. | - | Financial assets at fair value through profit or loss, noncurrent | - | USD | 450 | - | USD | 450 | None | | TERA ENERGY DEVELOPMENT CO., LTD. | | | | | | | | | | | | | | | | September 30, 2021 | | | | | | | | Type of securities | Name of securities | Relationship | Financial statement account | Units (thousand)/ bonds/ shares (thousand) | Carrying amount | | Percentage of ownership (%) | Fair value/ Net assets value | | Shares as collateral (thousand) | | Stock | TIAN TAI PHOTOELECTRICITY CO., LTD. | - | Financial assets at fair value through profit or loss, noncurrent | 357 | | $5,374 | 1.18 | | $5,374 | None | | SINO PARAGON LIMITED | | | | | | | | | | | | | | | | September 30, 2021 | | | | | | | | Type of securities | Name of securities | Relationship | Financial statement account | Units (thousand)/ bonds/ shares (thousand) | Carrying amount | | Percentage of ownership (%) | Fair value/ Net assets value | | Shares as collateral (thousand) | | Fund | SPARKLABS GLOBAL VENTURES FUND I, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | | $96,137 | 11.13 | | $96,137 | None | | Fund | SPARKLABS KOREA FUND II, L.P. | - | Financial assets at fair value through profit or loss, noncurrent | - | | 39,187 | 5.00 | | 39,187 | None | | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | | | | | | | | | | | | | | | | September 30, 2021 | | | | | | | | Type of securities | Name of securities | Relationship | Financial statement account | Units (thousand)/ bonds/ shares (thousand) | Carrying amount | | Percentage of ownership (%) | Fair value/ Net assets value | | Shares as collateral (thousand) | | Fund | LANHOR FUND | - | Financial assets at fair value through profit or loss, noncurrent | - | RMB | 21,656 | 9.71 | RMB | 21,656 | None |

| 96 |

| --- | | ATTACHMENT 5 (Individual securities acquired or disposed of with accumulated amount exceeding the lower of NT300 million or 20 percent of the capital stock for the nine-month period ended September 30, 2021) | | | | | | | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | | | | | | | | Type of securities | Financial statement account | Counter-party | Relationship | | Beginning balance | | | Addition | | | Disposal | | | | | Ending balance | | | | | | | Units (thousand)/ bonds/shares (thousand) | | Amount | Units (thousand)/ bonds/shares (thousand) | | Amount | Units (thousand)/ bonds/shares (thousand) | | Amount | Cost | Gain (Loss) from disposal | Units (thousand)/ bonds/shares (thousand) | | Amount | | None | | | | | | | | | | | | | | | | | |

All values are in US Dollars.

| 97 |

| --- | | ATTACHMENT 6 (Acquisition of individual real estate with amount exceeding the lower of NT300 million or 20 percent of the capital stock for the nine-month period ended September 30, 2021) | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | | | | | | | Where counter-party is a related party, details of prior transactions | | | | | | | | Name of properties | Transaction amount | Payment status | Counter-party | Relationship | Former holder of property | Relationship between former holder and acquirer of property | Date of transaction | Transaction amount | Price reference | Date of acquisition and status of utilization | Other commitments | | None | | | | | | | | | | | |

All values are in US Dollars.

| 98 |

| --- | | ATTACHMENT 7 (Disposal of individual real estate with amount exceeding the lower of NT300 million or 20 percent of the capital stock for the nine-month period ended September 30, 2021) | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | Names of properties | Date of original acquisition | Carrying amount | Transaction amount | Status of proceeds collection | Gain (Loss) from disposal | Counter-party | Relationship | Reason of disposal | Price reference | Other commitments | | None | | | | | | | | | | |

All values are in US Dollars.

| 99 |

| --- | | ATTACHMENT 8 ( Related party transactions for purchases and sales amounts exceeding the lower of NT100 million or 20 percent of capital stock for the nine-month period ended September 30, 2021) | | | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | | | | UNITED MICROELECTRONICS CORPORATION | | | | | | | | | | | | | | | | Transactions | | | | | | Details of non-arm's length transaction | | Notes and accounts receivable (payable) | | | | Note | | Counter-party | Purchases (Sales) | Amount | | Percentage of total purchases (sales) | | Term | Unit price | Term | Balance | | | | | | UMC GROUP (USA) | Sales | | $35,546,661 | 31 | % | Net 60 days | N/A | N/A | | 6,290,803 | 26 | % | | | FARADAY TECHNOLOGY CORPORATION | Sales | | 1,433,681 | 1 | % | Month-end 60 days | N/A | N/A | | 196,958 | 1 | % | | | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | Sales | | 916,980 | 1 | % | Net 30 days | N/A | N/A | | 20,102 | 0 | % | | | UMC GROUP (USA) | | | | | | | | | | | | | | | | Transactions | | | | | | Details of non-arm's length transaction | | Notes and accounts receivable (payable) | | | | Note | | Counter-party | Purchases (Sales) | Amount | | Percentage of total purchases (sales) | | Term | Unit price | Term | Balance | | | | | | UNITED MICROELECTRONICS CORPORATION | Purchases | USD | 1,220,566 | 90 | % | Net 60 days | N/A | N/A | USD | 226,801 | 87 | % | | | UNITED SEMICONDUCTOR JAPAN CO., LTD. | Purchases | USD | 75,874 | 5 | % | Net 60 days | N/A | N/A | USD | 20,261 | 8 | % | | | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | Purchases | USD | 38,518 | 3 | % | Net 60 days | N/A | N/A | USD | 7,519 | 3 | % | | | WAVETEK MICROELECTRONICS CORPORATION | Purchases | USD | 12,526 | 1 | % | Net 60 days | N/A | N/A | USD | 2,915 | 1 | % | | | HEJIAN TECHNOLOGY (SUZHOU) CO., LTD. | Purchases | USD | 9,782 | 1 | % | Net 60 days | N/A | N/A | USD | 2,100 | 1 | % | | | UNITED SEMICONDUCTOR JAPAN CO., LTD. | | | | | | | | | | | | | | | | Transactions | | | | | | Details of non-arm's length transaction | | Notes and accounts receivable (payable) | | | | Note | | Counter-party | Purchases (Sales) | Amount | | Percentage of total purchases (sales) | | Term | Unit price | Term | Balance | | | | | | UMC GROUP (USA) | Sales | JPY | 8,720,820 | 17 | % | Net 60 days | N/A | N/A | JPY | 2,268,183 | 13 | % | | | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | | | | | | | | | | | | | | | | Transactions | | | | | | Details of non-arm's length transaction | | Notes and accounts receivable (payable) | | | | Note | | Counter-party | Purchases (Sales) | Amount | | Percentage of total purchases (sales) | | Term | Unit price | Term | Balance | | | | | | UMC GROUP (USA) | Sales | RMB | 253,467 | 8 | % | Net 60 days | N/A | N/A | RMB | 48,708 | 9 | % | | | FARADAY TECHNOLOGY CORPORATION | Sales | RMB | 58,676 | 2 | % | Net 60 days | N/A | N/A | RMB | 7,980 | 1 | % | | | WAVETEK MICROELECTRONICS CORPORATION | | | | | | | | | | | | | | | | Transactions | | | | | | Details of non-arm's length transaction | | Notes and accounts receivable (payable) | | | | Note | | Counter-party | Purchases (Sales) | Amount | | Percentage of total purchases (sales) | | Term | Unit price | Term | Balance | | | | | | UMC GROUP (USA) | Sales | | $361,191 | 18 | % | Net 60 days | N/A | N/A | | 80,997 | 20 | % | | | HEJIAN TECHNOLOGY (SUZHOU) CO., LTD. | | | | | | | | | | | | | | | | Transactions | | | | | | Details of non-arm's length transaction | | Notes and accounts receivable (payable) | | | | Note | | Counter-party | Purchases (Sales) | Amount | | Percentage of total purchases (sales) | | Term | Unit price | Term | Balance | | | | | | UMC GROUP (USA) | Sales | RMB | 63,421 | 3 | % | Net 60 days | N/A | N/A | RMB | 13,621 | 3 | % | |

All values are in US Dollars.

| 100 |

| --- | | ATTACHMENT 9 (Receivables from related parties with amounts exceeding the lower of NT100 million or 20 percent of capital stock as of September 30, 2021) | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | UNITED MICROELECTRONICS CORPORATION | | | | | | | | | | | | | Ending balance | | | | Turnover rate (times) | Overdue receivables | | Amount received in subsequent period | | | | Counter-party | Notes receivable | | Other receivables | | | Amount | Collection status | | | | UMC GROUP (USA) | - | $6,290,803 | 5,950 | $6,296,753 | 8.12 | $- | - | | 2,990,093 | $11,990 | | FARADAY TECHNOLOGY CORP. | - | 196,958 | - | 196,958 | 12.20 | - | - | | 47,823 | 170 | | SILICON INTEGRATED SYSTEMS CORP. | - | 6,117 | 95,983 (Note) | 102,100 | 5.62 | 2,212 | Collection in subsequent period | | 98,195 | 5 | | Note: Dividends receivable. | | | | | | | | | | | | UNITED SEMICONDUCTOR JAPAN CO., LTD. | | | | | | | | | | | | | Ending balance | | | | Turnover rate (times) | Overdue receivables | | Amount received in subsequent period | | | | Counter-party | Notes receivable | | Other receivables | | | Amount | Collection status | | | | UMC GROUP (USA) | - | 2,268,183 | - | 2,268,183 | 5.91 | JPY - | - | JPY | 1,207,203 | - | | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | | | | | | | | | | | | | Ending balance | | | | Turnover rate (times) | Overdue receivables | | Amount received in subsequent period | | | | Counter-party | Notes receivable | | Other receivables | | | Amount | Collection status | | | | UMC GROUP (USA) | RMB - | 48,708 | RMB - | 48,708 | 6.37 | RMB - | - | RMB | - | 55 |

All values are in US Dollars.

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| --- | | ATTACHMENT 10 (Names, locations and related information of investee companies as of September 30, 2021) (Not including investment in Mainland China) | | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | | | UNITED MICROELECTRONICS CORPORATION | | | | | | | | | | | | | | Investee company | Address | Main businesses and products | Initial Investment | | | | Investment as of September 30, 2021 | | | | | | | | | | Ending balance | | Beginning balance | | Number of shares (thousand) | Percentage of ownership (%) | Carrying amount | | | | | UMC GROUP (USA) | USA | IC Sales | USD | 16,438 | USD | 16,438 | 16,438 | 100.00 | | 1,746,057 | 67,864 | 67,864 | | UNITED MICROELECTRONICS (EUROPE) B.V. | The Netherlands | Marketing support activities | USD | 5,421 | USD | 5,421 | 9 | 100.00 | | 135,822 | 3,126 | 3,126 | | UMC CAPITAL CORP. | Cayman Islands | Investment holding | USD | 81,500 | USD | 81,500 | 71,663 | 100.00 | | 5,051,306 | 1,066,613 | 1,066,613 | | GREEN EARTH LIMITED | Samoa | Investment holding | USD | 977,000 | USD | 977,000 | 977,000 | 100.00 | | 8,891,988 | (1,114,787) | (1,114,787) | | TLC CAPITAL CO., LTD. | Taipei City, Taiwan | Venture capital | | 4,610,000 | | 4,610,000 | 421,983 | 100.00 | | 4,648,151 | 131,786 | 131,786 | | UMC INVESTMENT (SAMOA) LIMITED | Samoa | Investment holding | USD | 1,520 | USD | 1,520 | 1,520 | 100.00 | | 39,056 | (905) | (905) | | FORTUNE VENTURE CAPITAL CORP. | Taipei City, Taiwan | Consulting and planning for venture capital | | 3,440,053 | | 3,440,053 | 444,752 | 100.00 | | 5,989,720 | 526,239 | 500,515 | | UMC KOREA CO., LTD. | Korea | Marketing support activities | KRW | 550,000 | KRW | 550,000 | 110 | 100.00 | | 20,602 | 993 | 993 | | OMNI GLOBAL LIMITED | Samoa | Investment holding | USD | 4,300 | USD | 4,300 | 4,300 | 100.00 | | 600,977 | 27,488 | 27,488 | | SINO PARAGON LIMITED | Samoa | Investment holding | USD | 2,600 | USD | 2,600 | 2,600 | 100.00 | | 137,905 | (4,448) | (4,448) | | BEST ELITE INTERNATIONAL LIMITED | British Virgin Islands | Investment holding | USD | 309,102 | USD | 309,102 | 664,966 | 100.00 | | 25,518,611 | 3,031,572 | 3,031,572 | | UNITED SEMICONDUCTOR JAPAN CO., LTD. | Japan | Sales and manufacturing of integrated circuits | JPY | 64,421,068 | JPY | 64,421,068 | 116,247 | 100.00 | | 17,935,914 | 2,133,698 | 2,133,698 | | WAVETEK MICROELECTRONICS CORPORATION | Hsinchu County, Taiwan | Sales and manufacturing of integrated circuits | | 1,903,741 | | 1,903,741 | 148,112 | 80.23 | | 546,145 | 188,554 | 150,893 | | MTIC HOLDINGS PTE. LTD. | Singapore | Investment holding | SGD | 12,000 | SGD | 12,000 | 12,000 | 45.44 | | - | (214,334) | (26,295) | | UNITECH CAPITAL INC. | British Virgin Islands | Investment holding | USD | 21,000 | USD | 21,000 | 21,000 | 42.00 | | 829,086 | 339,457 | 142,572 | | TRIKNIGHT CAPITAL CORPORATION | Taipei City, Taiwan | Investment holding | | 2,342,800 | | 2,342,800 | 234,280 | 40.00 | | 3,459,988 | 3,115,194 | 1,246,078 | | HSUN CHIEH INVESTMENT CO., LTD. | Taipei City, Taiwan | Investment holding | | 336,241 | | 336,241 | 858,851 | 36.49 | | 13,378,381 | 9,530,173 | 3,477,367 | | YANN YUAN INVESTMENT CO., LTD. | Taipei City, Taiwan | Investment holding | | 2,300,000 | | 2,300,000 | 46,000 | 28.22 | | 8,710,349 | 540,827 | 153,092 | | FARADAY TECHNOLOGY CORPORATION | Hsinchu City, Taiwan | Design of application-specific integrated circuit | | 38,918 | | 38,918 | 34,240 | 13.78 | | 1,715,969 | 553,517 | 76,252 | | UNIMICRON TECHNOLOGY CORP. | Taoyuan City, Taiwan | Manufacturing of PCB | | 2,438,565 | | 2,438,565 | 196,136 | 13.30 | | 9,790,131 | 6,804,786 | 906,923 |

All values are in US Dollars.

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| --- | | ATTACHMENT 10 (Names, locations and related information of investee companies as of September 30, 2021) (Not including investment in Mainland China) | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | | FORTUNE VENTURE CAPITAL CORP. | | | | | | | | | | | | | Investee company | Address | Main businesses and products | Initial Investment | | | Investment as of September 30, 2021 | | | | | | | | | | Ending balance | | | Number of shares (thousand) | Percentage of ownership (%) | Carrying amount | | | | | TERA ENERGY DEVELOPMENT CO., LTD. | Hsinchu City, Taiwan | Energy Technical Services | | 100,752 | $100,752 | 18,655 | 100.00 | | 84,709 | 22,766 | 22,766 | | PURIUMFIL INC. | Hsinchu City, Taiwan | Chemicals and filtration products & Microcontamination control service | | 10,000 | 10,000 | 1,000 | 44.45 | | 6,838 | 1,422 | 632 | | UNITED LED CORPORATION HONG KONG LIMITED | Hongkong | Investment holding | USD | 22,500 | 22,500 | 22,500 | 25.14 | | 97,235 | 11,003 | 2,766 | | WAVETEK MICROELECTRONICS CORPORATION | Hsinchu County, Taiwan | Sales and manufacturing of integrated circuits | | 8,856 | 8,856 | 1,194 | 0.65 | | 5,224 | 188,554 | 1,216 | | TLC CAPITAL CO., LTD. | | | | | | | | | | | | | Investee company | Address | Main businesses and products | Initial Investment | | | Investment as of September 30, 2021 | | | | | | | | | | Ending balance | | | Number of shares (thousand) | Percentage of ownership (%) | Carrying amount | | | | | SOARING CAPITAL CORP. | Samoa | Investment holding | USD | 900 | 900 | 900 | 100.00 | | 9,330 | 1,346 | 1,346 | | HSUN CHIEH CAPITAL CORP. | Samoa | Investment holding | USD | 8,000 | 8,000 | 8,000 | 40.00 | | 225,473 | 85,057 | 34,023 | | VSENSE CO., LTD. | Taipei City, Taiwan | Medical devices, measuring equipment, reagents and consumables | | 95,916 | 95,916 | 4,251 | 23.98 | | - | (14,137) | (942) | | UMC CAPITAL CORP. | | | | | | | | | | | | | Investee company | Address | Main businesses and products | Initial Investment | | | Investment as of September 30, 2021 | | | | | | | | | | Ending balance | | | Number of shares (thousand) | Percentage of ownership (%) | Carrying amount | | | | | TRANSLINK CAPITAL PARTNERS I, L.P. | Cayman Islands | Investment holding | USD | 3,934 | 4,036 | - | 10.38 | USD | 3,899 | (7,060) | (305) | | TERA ENERGY DEVELOPMENT CO., LTD. | | | | | | | | | | | | | Investee company | Address | Main businesses and products | Initial Investment | | | Investment as of September 30, 2021 | | | | | | | | | | Ending balance | | | Number of shares (thousand) | Percentage of ownership (%) | Carrying amount | | | | | EVERRICH ENERGY INVESTMENT (HK) LIMITED | Hongkong | Investment holding | USD | 750 | 750 | 750 | 100.00 | | 42,225 | 1,615 | 1,615 | | WAVETEK MICROELECTRONICS CORPORATION | | | | | | | | | | | | | Investee company | Address | Main businesses and products | Initial Investment | | | Investment as of September 30, 2021 | | | | | | | | | | Ending balance | | | Number of shares (thousand) | Percentage of ownership (%) | Carrying amount | | | | | WAVETEK MICROELECTRONICS INVESTMENT (SAMOA) LIMITED | Samoa | Investment holding | USD | 1,650 | 1,650 | 1,650 | 100.00 | | 2,862 | (102) | (102) |

All values are in US Dollars.

| 103 |

| --- | | ATTACHMENT 10 (Names, locations and related information of investee companies as of September 30, 2021) (Not including investment in Mainland China) | | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | | | WAVETEK MICROELECTRONICS INVESTMENT (SAMOA) LIMITED | | | | | | | | | | | | | | Investee company | Address | Main businesses and products | Initial Investment | | | | Investment as of September 30, 2021 | | | | | | | | | | Ending balance | | Beginning balance | | Number of shares (thousand) | Percentage of ownership (%) | Carrying amount | | | | | WAVETEK MICROELECTRONICS CORPORATION (USA) | USA | Marketing service | USD | 60 | USD | 60 | 60 | 100.00 | | 2,663 | (54) | (54) | | BEST ELITE INTERNATIONAL LIMITED | | | | | | | | | | | | | | Investee company | Address | Main businesses and products | Initial Investment | | | | Investment as of September 30, 2021 | | | | | | | | | | Ending balance | | Beginning balance | | Number of shares (thousand) | Percentage of ownership (%) | Carrying amount | | | | | INFOSHINE TECHNOLOGY LIMITED | British Virgin Islands | Investment holding | USD | 354,000 | USD | 354,000 | - | 100.00 | | 25,574,818 | 3,036,168 | 3,036,168 | | INFOSHINE TECHNOLOGY LIMITED | | | | | | | | | | | | | | Investee company | Address | Main businesses and products | Initial Investment | | | | Investment as of September 30, 2021 | | | | | | | | | | Ending balance | | Beginning balance | | Number of shares (thousand) | Percentage of ownership (%) | Carrying amount | | | | | OAKWOOD ASSOCIATES LIMITED | British Virgin Islands | Investment holding | USD | 354,000 | USD | 354,000 | - | 100.00 | | 25,574,818 | 3,036,168 | 3,036,168 | | OMNI GLOBAL LIMITED | | | | | | | | | | | | | | Investee company | Address | Main businesses and products | Initial Investment | | | | Investment as of September 30, 2021 | | | | | | | | | | Ending balance | | Beginning balance | | Number of shares (thousand) | Percentage of ownership (%) | Carrying amount | | | | | UNITED MICROTECHNOLOGY CORPORATION (CALIFORNIA) | USA | Research & Development | USD | 1,000 | USD | 1,000 | 0 | 100.00 | | 34,913 | 1,048 | 1,048 | | ECP VITA PTE. LTD. | Singapore | Insurance | USD | 9,000 | USD | 9,000 | 9,000 | 100.00 | | 565,274 | 36,858 | 36,858 | | UMC TECHNOLOGY JAPAN CO., LTD. | Japan | Semiconductor manufacturing technology development and consulting services | | - | JPY | 35,000 | - | - | | - | (182) | (182) | | Note: UMC TECHNOLOGY JAPAN CO., LTD. was dissolved and liquidated on March 29, 2021. | | | | | | | | | | | | | | GREEN EARTH LIMITED | | | | | | | | | | | | | | Investee company | Address | Main businesses and products | Initial Investment | | | | Investment as of September 30, 2021 | | | | | | | | | | Ending balance | | Beginning balance | | Number of shares (thousand) | Percentage of ownership (%) | Carrying amount | | | | | UNITED MICROCHIP CORPORATION | Cayman | Investment holding | USD | 974,050 | USD | 974,050 | 974,050 | 100.00 | | 8,867,211 | (1,114,179) | (1,114,179) |

All values are in US Dollars.

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| --- | | ATTACHMENT 11 (Investment in Mainland China as of September 30, 2021) | | | | | | | | | | | | | | | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | (Amount in thousand; Currency denomination in NTD or in foreign currencies) | | | | | | | | | | | | | | | | | Investee company | Total amount of paid-in capital | | Accumulated outflow of investment from Taiwan as of January 1, 2021 | | Investment flows | | | Accumulated outflow of investment from Taiwan as of September 30, 2021 | | | Percentage of ownership | Investment income (loss) recognized (Note 2) | | | | | | | Outflow | | | | | | | | | | | UNITRUTH ADVISOR (SHANGHAI) CO., LTD. | (USD | 22,232 800) | (USD | 22,232 800) | | - | $- | (USD | 22,232 800) | $1,350 | 100.00% | | 1,350 (iii) | 9,165 | $- | | EVERRICH (SHANDONG) ENERGY CO., LTD. | (USD | 20,843 750) | (USD | 20,843 750) | | - | - | (USD | 20,843 750) | 1,624 | 100.00% | | 1,624 (iii) | 41,795 | 122,054 4,392) | | UNITED LED CORPORATION | (USD | 2,334,360 84,000) | (USD | 562,748 20,250) | | - | - | (USD | 562,748 20,250) | 11,084 2,589) | 25.14% | (RMB | 2,791 652) (ii) | 94,203 22,005) | - | | HEJIAN TECHNOLOGY (SUZHOU) CO., LTD. | (RMB | 13,465,004 3,145,294) | (USD | 8,589,945 309,102) | | - | - | (USD | 8,589,945 309,102) | 3,011,589 703,478) | 99.9985% (Note 4) | (RMB | 3,011,542 703,467) (ii) | 24,894,691 5,815,158) | - | | UNITEDDS SEMICONDUCTOR (SHANDONG) CO., LTD. | (RMB | 128,430 30,000) | | - | | - | - | | - | 87,778 20,504) | 99.9985% | (RMB | 87,778 20,504) (iii) | 375,414 87,693) | - | | UNITED SEMICONDUCTOR (XIAMEN) CO., LTD. | (RMB | 58,640,256 13,697,794) | (USD | 26,816,405 964,966) (Note5) | | - | - | (USD | 26,816,405 964,966) (Note5) | (2,326,090) (543,352)) | 67.76% | (RMB | (1,576,072) (368,155)) (ii) | 12,766,392 2,982,105) | - | | Accumulated investment in Mainland China as of September 30, 2021 | Investment amounts authorized by Investment Commission, MOEA | | Upper limit on investment | | | | | | | | | | | | | | 36,012,173 ( 1,295,868) | | 59,129,283 ( 2,127,718) | | 154,469,281 | | | | | | | | | | | |

All values are in US Dollars.

Note 1:	The methods for engaging in investment in Mainland<br> China include the following:
	(i)<br> Direct investment in Mainland China.
	(ii)<br> Indirectly investment in Mainland China through companies registered in a third region (Please specify the name of the company in<br> third region).
	(iii)<br> Other methods.
Note 2:	The investment income (loss) recognized in current<br> period, the investment income (loss) were determined based on the following basis:
	(i)<br> The financial report was reviewed by an international certified public accounting firm in cooperation with an R.O.C. accounting firm.
	(ii)<br> The financial statements were reviewed by the auditors of the parent company.
	(iii)<br> Others.
Note 3:	Initial investment amounts denominated in foreign currencies<br> are translated into New Taiwan Dollars using the spot rates at the financial report date.
Note 4:	The Company indirectly invested in HEJIAN TECHNOLOGY<br> (SUZHOU) CO., LTD. via investment in BEST ELITE INTERNATIONAL LIMITED, an equity investee. The investment has been approved<br> by the Investment Commission, MOEA
	in the total amount of USD 383,569 thousand. As<br> of September 30, 2021, the amount of investment has been all remitted.
Note 5:	The investment to UNITED SEMICONDUCTOR (XIAMEN)<br> CO., LTD. (USCXM) from HEJIAN TECHNOLOGY (SUZHOU) CO., LTD. and indirectly invested in USCXM via investment in GREEN EARTH<br> LIMITED.
	The consent to invest in USCXM's investment has been<br> approved by the Investment Commission, MOEA in the total amount of USD 1,722,349 thousand. As of September 30, 2021, the<br> amount of investment USD 357,138 thousand has not yet been remitted.

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| --- | | ATTACHMENT 12 (Information of major shareholders as of September 30, 2021) | | | | --- | --- | --- | | UNITED MICROELECTRONICS CORPORATION | | | | Name | Number of shares | Percentage of ownership (%) | | JPMorgan Chase Bank, N.A. acting in its capacity as depositary and representative to the holders of ADRs | 769,008,005 | 6.19 |

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United Microelectronics Corp 6-K, filed Nov 17, 2021

About this 6-K