UMC to Cut Capital by 30%.

(From Taiwan Economic News)

Taipei, Jan. 24, 2007 (CENS)--United Microelectronics Corp. (UMC), the world's second largest IC foundry, announced yesterday (Jan. 23) reducing its capital by NT$57.39 billion, or around 30%, as a result of which shareholders will receive NT$3 per share of cash payout. In response, price of UMC' ADR (American Depository Receipts) surged 12% to US$3.7 in mid-session on Jan. 23, leading to a 20% price differential with UMC share price on the Taiwan Stock Exchange, which closed at NT$19.6 yesterday. Institutional investors in Taipei welcomed the move, saying it's an overdue response to their repeated suggestion, and predicted that UMC's share …