TSMC sets new record for quality system certification in IC foundry industry

HSIN-CHU, Taiwan—Sep. 24, 2002—Taiwan Semiconductor Manufacturing Company (TAIEX: 2330, NYSE: TSM) has set new record in quality system certification in IC foundry industry while becoming the first IC manufacturer in Taiwan to obtain the ISO/TS 16949:2002 certificate. The certification was achieved only 5 months after certification specifications were issued, reassuring TSMC’s leadership in quality management in IC foundry industry.

The ISO/TS 16949:2002 certification system seeks to actively incorporate quality management policies and objectives into the operation flows of the Company. This certification stresses the supervision and measurement of both process and performance, to ensure a concrete fulfillment of customer needs and the pursuit of sustainable operation. The new certification system became effective in March 2002. TSMC initiated the certification process soon afterwards and managed to complete the process in only five months.

The Company is the first IC manufacturer in Taiwan as well as one of the few IC manufacturers in the world to be certified by ISO/TS 16949:2002.

Dr. Yeng Peng, Senior Director of TSMC’s Quality and Reliability Organization, indicated that, “Quality is the responsibility of every employee at TSMC. The Company demands continuous improvement and perfection in routine operations from all systems in the Company, to maintain total customer satisfaction. This achievement is the concrete realization of our business philosophy —‘building quality into all aspects of our business.’”

August W. Schaefer, VP and GM of Underwriters Laboratories USA and Canada, pointed out that, “TSMC has already obtained the certificates of QS 9000, ISO 14001 and OHSAS 18001. By being the first to complete the ISO/TS 16949:2002 certification, TSMC demonstrates the Company’s persistence in the pursuit of quality. The efforts will no doubt win over greater customer support for the Company, while laying down a solid bedrock for the Company’s position as the leading IC foundry company.

The ISO/TS 16949:2002 certificate was awarded to all of TSMC’s fabs. Among them, in July this year, TSMC’s Fab 12 became the first fab in the world to obtain the AAA Damage Prevention and Fire Safety certificate, the ISO-14001 certificate and the OHSAS-18001 certificate. Fab 12 was also the first 12-inch fab in the world to obtain both the QS-9000 and the ISO/TS 16949:2002 quality system certificates, achieving the shortest time between fab completion and the acquisition of quality system certificates among all of TSMC’s fabs. In addition, in terms of information systems, TSMC-Online and eSupply were also certified to be ISO 9001:2000 compliant, demonstrating TSMC’s commitment to quality in every aspect of its service.

Milestones of TSMC’s Quality Management System Certification

TSMC obtained the ISO-9001 certificate in 1993 and the Ford Q1 Quality Award in 1995 and achieved the Ford Total Quality Excellence(TQE)standard in 1996. In 1998, the Company became the first IC manufacturer in Taiwan to obtain the QS-9000 certificate, which contains more demanding standards on the health of business management and quality system. In 2001, TSMC obtained the ISO 9001:2000 certificate after only five months, again making it Taiwan’s first IC manufacturer to have done so. In 2002, TSMC set yet another record in quality system certification in the IC foundry industry by obtaining the ISO/TS 16949:2002 certificate at the end of August, which only became officially effective in March the same year. The latest certification offers yet another substantial guarantee of the best IC foundry services available to customers.

ISO/TS 16949:2002 Quality Certification System

ISO/TS 16949:2002 quality certification system was the result of coordinated efforts by members of the International Automotive Task Force (IATF). It was submitted to the International Organization for Standardization (ISO) for approval and publicly issued as a Technical Specification. Core contents of the specifications included in ISO/TS 16949:2002 are based on the specification framework of ISO 9001:2000. The new version integrated the quality system requirements set by the automotive industries in various countries such as AVSQ(Italy), EAQF(France), QS-9000(US) and VDA6.1(Germany)and developed into a quality management system standard shared by the global automotive industry.

International Automotive Task Force (IATF)

Members of the International Automotive Task Force (IATF) include the Big Three in North America—GM, Ford and Daimler Chrysler—as well as major automotive trade unions in Europe such as VDA/QMC (Germany), SMMT (Great Britain), ANFIA (Italy) and FIEV (France).