TSMC WINS INTEL'S PREFERRED QUALITY SUPPLIER AWARD

HSINCHU, Taiwan, March 21, 2006 -- TSMC was named a recipient of Intel Corporation's Preferred Quality Supplier (PQS) award for outstanding performance in providing products and services deemed essential to Intel's success. The company was awarded for its efforts in supplying Intel with processed wafers. TSMC and 25 additional PQS award winners will be honored at a celebration in Burlingame, California on March 21.

“At TSMC, we focus on our ‘Trinity of Strengths’ – Technology Leadership, Manufacturing Excellence, and Customer Partnership,” said Rick Cassidy, President TSMC North America. “To receive validation of these strengths from a leader like Intel through the PQS award is particularly meaningful. On behalf of all of us at TSMC, I'd like to thank Intel for this coveted recognition.”

“TSMC, one of our top suppliers, has done a terrific job supporting Intel particularly on the Wireless Platform and is a performance benchmark for our Foundry Programs. TSMC demonstrated excellent quality, manufacturing capacity support and technology by driving continuous improvement throughout the year 2005, culminating in this PQS (Preferred Quality Supplier) recognition,” said Suresh Sachdev, Director of Intel's Component Materials Operation.

The PQS awards are part of Intel's Supplier Continuous Improvement (SCQI) process that encourages suppliers to strive for excellence and continuous improvement. To qualify for PQS status, suppliers must score 80 percent on a report card that assesses performance and ability to meet cost, quality, availability, delivery, technology and responsiveness goals. Suppliers must also manage and deliver on a challenging improvement plan and a quality systems assessment. Additional information about the SCQI program is available at http://supplier.intel.com/quality.

Intel will also recognize PQS award winners on March 21, 2006 with an advertisement in the U.S., Europe and Asian editions of The Wall Street Journal.

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About TSMC

TSMC is the world's largest dedicated semiconductor foundry, providing the industry's leading process technology and the foundry industry's largest portfolio of process-proven library, IP, design tools and reference flows. The company operates two advanced twelve-inch wafer fabs, five eight-inch fabs and one six-inch wafer fab. TSMC also has substantial capacity commitments at its wholly owned subsidiaries, WaferTech and TSMC (Shanghai), and its joint venture fab, SSMC. TSMC is the first foundry to run 65nm customer design prototype wafers. Its corporate headquarters are in Hsinchu, Taiwan. For more information about TSMC please see http://www.tsmc.com.