UNITED MICROELECTRONICS CORPORATION AND SUBSIDIARIES

Consolidated Condensed Statement of Cash Flows

For The Twelve-Month Period Ended December 31, 2013

Figures in Millions of New Taiwan Dollars (NT$) and U.S. Dollars (US$)

USD

NTD

Cash flows from operating activities :

   Net income before tax

481

14,362

   Depreciation & Amortization

1,288

38,432

   Share of profit of associates and joint ventures

(25)

(749)

   Impairment loss on financial assets

43

1,276

   Impairment loss on non-financial assets

2

57

   Gain on disposal of investments

(74)

(2,195)

   Bargain purchase gain

(240)

(7,154)

   Income tax paid

(27)

(816)

   Changes in assets, liabilities and others

8

259

Net cash provided by operating activities

1,456

43,472

Cash flows from investing activities :

   Acquisition of available-for-sales financial assets

(25)

(733)

   Proceeds from disposal of available-for-sale financial assets

99

2,965

   Acquisition of financial assets measured at cost

(42)

(1,263)

   Proceeds from capital reduction and liquidation of investment

12

373

   Acquisition of subsidiaries (net of cash acquired)

88

2,641

   Acquisition of property, plant and equipment

(1,103)

(32,911)

   Proceeds from disposal of property, plant and equipment

19

577

   Acquisition of intangible assets

(97)

(2,882)

   Others

(7)

(283)

Net cash used in investing activities

(1,056)

(31,516)

Cash flows from financing activities :

   Decrease in short-term loans

(41)

(1,222)

   Proceeds from bonds issued

335

10,000

   Redemption of bonds

(72)

(2,153)

   Proceeds from long-term loans

92

2,737

   Repayments of long-term loans

(208)

(6,200)

   Cash dividends

(170)

(5,061)

   Exercise of employee stock options

15

442

   Treasury stock acquired

(75)

(2,245)

   Acquisition of subsidiaries

(12)

(344)

   Others

5

122

Net cash used in financing activities

(131)

(3,924)

Effect of exchange rate changes on cash and cash equivalents

11

311

Net increase in cash and cash equivalents

280

8,343

Cash and cash equivalents at beginning of period

1,423

42,488

Cash and cash equivalents at end of period

1,703

50,831

Note: New Taiwan Dollars have been translated into U.S. Dollars at the December 31, 2013 exchange rate of NT $29.85 per U.S. Dollar.

All figures are prepared in accordance with TIFRSs.