Abstract. We discuss high-resolution, time-resolved spectra of the caustic exit of the binary microlensing event OGLE 2002-BLG-069 obtained with UVES on the VLT. The source star is a G5III giant in the Galactic Bulge. During such events, the source star is highly magnified, and a strong differential magnification around the caustic resolves its surface. Using an appropriate model stellar atmosphere generated by the PHOENIX v2.6 code we obtain a model light curve for the caustic exit and compare it with a dense set of photometric observations obtained by the PLANET microlensing follow up network. We further compare predicted variations in the Hα equivalent width with those measured from our spectra. While the model and observations agree in the gross features, there are discrepancies suggesting shortcomings in the model, particularly for the Hα line core, where we have detected amplified emission from the stellar chromosphere after the source star's trailing limb exited the caustic. This achievement became possible by the provision of the very efficient OGLE-III Early Warning System, a network of small telescopes capable of nearly-continuous round-the-clock photometric monitoring, on-line data reduction, daily near-real-time modelling in order to predict caustic crossing parameters, and a fast and efficient response of a 8 m class telescope to a "Target-of-Opportunity" observation request.