Mr. Harvey Chang Joins TSMC as Senior VP and CFO s

December 11, 1997, Hsin-chu, Taiwan -- Taiwan Semiconductor Manufacturing Company (TSMC) (NYSE: TSM) announced today Mr. Harvey Chang will be named Senior VP and CFO.

Mr. Chang graduated from National Taiwan University, and received his MBA degree at Wharton School of University of Pennsylvania. He is currently the Chairman of China Securities Investment Trust Corporation and the Vice Chairman of KG Telecommunications Co., and formerly served as Senior Vice President of Chiao Tung Bank, President of Grand Cathay Securities Corporation and President of China Development Corporation. Mr. Chang was chosen to be a member of the International Who's Who of Professionals 1997 as a result of his prominent experience and performance in both the finance and management fields.

Dr. Morris Chang, Chairman and President of TSMC, on behalf of TSMC and its employees, welcomed Mr. Harvey Chang on board as SVP and CFO. "With Mr. Chang's superior leadership, TSMC's capital raising and financial management will become even more sophisticated and flexible, and to providing strong support to TSMC's rapid growth", stated Dr. Morris Chang.

"The semiconductor business is a cross-national industry." said Dr. Morris Chang, "Since TSMC was founded, we have been competing in the global market, and now we are a truly international player. Indeed, TSMC is the most competitive IC foundry in the world. TSMC is not only recruiting the most prominent people with engineering backgrounds, but also the top tier professionals in management field. Dr. Steve Tso, Dr. S.Y. Chiang, Dr. Ping Yang and Ms. Kok Choo Chen, the Vice Presidents who joined TSMC earlier this year, and Mr. Harvey Chang, are the elite in their respective fields. With this outstanding management team, we will continue to strengthen our competitiveness and maintain our leading position in the international IC foundry industry." BiCMOS chips.