THE ECONOMIC COST OF NUCLEAR THREATS: A NORTH KOREA CASE STUDY.

Abstract:

The purpose of this paper is to investigate how public announcements of a nation’s nuclear programme development influence neighbouring countries’ stock markets. The countries examined in this case study are North and South Korea. To test this relationship I conducted an event study using MacKinlay’s market model. Six announcement days were studied comprising out of three nuclear tests and three missile and satellite related tests. The findings of this research are in contrast to prior research. Empirical researches on the economic effects of terrorism suggest that acts of terrorism create large impacts on economic activity. The results of our event study show that the announcements caused both negative and positive reactions on the market.

Author: Ryan McKee

Student number: 6181066

Supervisor: Shivesh Changoer

Date: 8th of Jan, 2014

ETCS: 12

INTRODUCTION

Stock prices represent investor’s expectations about the future. News announcements effect these expectations on a day to day basis. Terrorist attacks, military invasions, nuclear threats or any other ambivalent events can alter investor’s expectations and so allow the prices of stocks and bonds to deviate from their fundamental value. Once such events have taken place investors often defer from the market in search of safer, more secure financial investments which can lead

to panic and chaos on the markets (Chen and Siems, 2004). Such chaos can also be caused by

threats from other neighbouring countries.

A perfect example of this is the relationship between North and South Korea. Ever since the

division of North and South Korea on September 8, 1945 the two bordering nations have had a

strenuous relationship, ultimately leading to the Korean war of 1950-1953. Since then the two nations have technically still been at war although no actual acts of war have taken place.

However, since 1991 North Korea has started developing its own nuclear programme and has threatened South Korea and her allies. Due to the severity of the threats (nuclear arms) North

Korea has caused a widespread stir and predominately negative reactions in the international

community. Since the beginning of North Korea’s nuclear programme in 1991, it has threatened

South Korea on several occasions comprising out of seven verbal threats and three actual nuclear

tests. The seven verbal threats occurred on October 17th, 2002, December 12th, 2002, January

10th, 2003, February 10th, 2005, May 11th, 2005, July 5th, 2006, and October 3rd, 2006. Actual tests were conducted on October 9th 2006, May 25th 2009 and February 12th 2013. All statements

were publicly announced by North Korean state officials. The markets did not seem to respond to the seven verbal threats. The markets only seemed to react to the announcements on days which actual nuclear testing occurred. This is especially noticeable on October 9th 2006. The market

pg. 2 experienced a sudden drop in value in correspondence with a depreciation of the won. However the market was quick to recover once news had come out that North Korea was not interested in starting nuclear warfare but rather signalling they were open to negotiations.

This study examines how news announcements about nuclear warfare affect stock markets and in particular the South Korean stock market. Therefore the central question of this paper is: how do announcements of North Korea’s nuclear program influence the South Korean stock market?

Although the media has frequently reported on the North Korea’s nuclear threat, there has been little investigation to the actual effects on financial markets. This article tries to shed a light on such effects. This paper adds to previous research by investigating how financial markets respond to the threat of nuclear attacks from other nations, such research is lacking in the current literature. This article is organized as follows. First I summarize the existing literature on trading styles and impacts of terrorism in section 1. Section 2 and 3 consist of the explanation of the empirical method used and provides a description of the data in the analysis. The empirical results are shown in section 4. Finally, section 5 provides a discussion and concluding remarks.

pg. 3 LITERATURE REVIEW

In recent years there has been an increase in interest on the macroeconomic effects of terrorist

attacks. A terrorist attack is a form of an external shock to an economy. The threat of nuclear

attacks or nuclear warfare can be seen as a similar form of external shock. Many studies

conducting research on the effects of terrorism use reduced-form models to describe the impact

of terrorist attacks on an economy. These studies show that terrorist attacks have a negative effect on economic activity (Blomberg et al., 2004; Tavares, 2004). A paper investigating the impact of terrorism on the behaviour of stock, bond and commodity markets around the world found that approximately two thirds of the investigated terrorist attacks lead to a significant negative impact on one of the markets. Drakos (2010) produces a similar paper in which he investigates the impact of terrorist activity on daily stock returns across a sample of 22 countries ranging from Asian, European and American. His employed methodology makes use of a

flexible version of the World CAPM model. The research also focuses on how the psychosocial

impact affects the stock returns. According to Edmans et al. (2007), theoretically, terrorism satisfies the criteria which are known to affect the moods of investors. The results show that terrorist activity indeed leads to significantly lower returns on the day a terrorist attacks occurs.

He also finds that this negative effect is larger when the terrorist attacks cause a higher psychosocial impact. This shows how terrorism affects financial markets but also provides empirical evidence supporting the sentiment effect.

There also appears to be a difference in impact across industries. The airline industry and insurance sector exhibit the highest vulnerability to terrorism while the banking industry is the least sensitive. According to their analysis the impact on the aero/defence, pharma/biotech and oil/gas sectors are both positive and negative (Chesney, Reshetar, Karaman, 2011). In their paper

pg. 4 they use an event study methodology. They estimate the daily excess returns by using the mean- adjusted-returns approach. For their longer event windows they also compute the cumulative average returns. They computed the statistical significance by using the test statistics described by Brown and Warner (1985). There is also evidence that there is a difference in resilience across countries. Cohen and Shin (2004) use an event study methodology to examine how markets from different countries respond to terrorism. They find that US markets recover sooner from terrorist attacks than any other global markets. Arina, Ciferri and Spagnolo examine how the stock returns and volatility of the markets of six specific countries (Indonesia, Israel, Spain,

Thailand, Turkey and UK) respond to terrorist activity. They also conclude that terrorism statistically affects the returns and volatility of stock prices in all the examined countries; however the amount of response is different. They find that the wealthier nations from Europe

(Spain and the UK) are less affected by terrorist activity. Kollias et al. (2011) examine how these two countries, Spain and the UK, were affected by two major terrorist attacks, the bombings of

Madrid in 2004 and London in 2005. They follow an event study methodology to investigate the impact of the events on general and sector indices. They use two models to compute the normal return. First they calculate the normal return by using the constant mean return model secondly they use the market model as described by MacKinlay. Their findings show that the reactions on the actual day of the terrorist attacks are similar but that there is a significant difference in the recovery time needed for the markets to recover. The markets in London recovered in one single trading day while the markets in Spain needed a few more days to recover. Possible explanations for the difference in recovery time were argued to be caused by differences in size, structure and liquidity of the markets involved. However, it could also have been caused due to possibility of further attacks. The terrorists responsible for the Madrid bombings were not neutralized to a few

pg. 5 days later, while the attacks in London were suicide bombers. The difference in recovery time

needed might also be caused by the different reactions of the countries’ financial institutions.

The Bank of England, HM Treasury and the Financial Services Authority had instigated

contingency plans (created after 9/11) directly after the attacks so that the UK financial markets

could keep trading. Both attacks increased market volatility significantly affecting both countries’

markets equally. Sector indices provide a varied conclusion with Spanish indices being affected

the most however not consistently. Overall conclusion is that the affect of the terrorist attacks

was fairly brief on the markets. Eldor and Melnick (2004) examine daily data to analyze the

impact of Palestinian terror attacks on the stock and foreign exchange markets of Israel. Attacks

occurred after September 27, 2000 had a permanent negative effect on the stock market but not

on the foreign exchange market. The stock market decline suggests that the terrorist attacks have

a damping effect on firms’ expected profit. The lack of response on the foreign exchange market

means the value of the Israeli shekel was not influenced by the attacks. In the paper they

distinguish differences in the types of terror attacks. They find that suicide bombing attacks have a permanent impact on the markets, other types do not. They find that attacks on transportation have a brief effect on the stock market; attacks on other targets do not have an effect. They also

find that attacks on major cities do not seem to have any special kind of effect; the amount of

causalities caused by the attack however does cause a permanent effect on both markets. The

paper concludes that the markets remain efficient and continue to perform their economic duties.

A paper by Prakarsh Singh (2013) uses micro-level data from agricultural surveys to analyze

how terrorism affects growth in developing countries. His research focuses on the effect

terrorism has on investment in agricultural technology in Punjab, India. He finds that terrorism

pg. 6 impacts investment decisions in the long run however there is no significant effect in the short term.

However, recently there has been the growing view that terrorism should not have a large impact on economic activity as a single terrorist attack only destroy a small amount of an economy’s capital (Becker, G., 2001). Empirical evidence, however, suggests that terrorism on average does create large impacts on economic activity (Abadie, 2003). The magnitude of the market reaction can thus be larger than would rationally be expected. In order to explain this one can view the stock market as being made up out of groups of individual investors. These investors impact the movement of the stock market. Currently there are two main trading styles to explain how investors can influence and undermine the markets. These are known as the positive feedback trading style and the herding trading style. Investors who buy when the price goes up and sell when the price goes down are known as positive feedback traders. This can cause miss pricing of assets and therefore increase the volatility of financial markets. This assumption has been tested by De Long, Shleifer, Summers, and Waldmann (1990). In their paper they construct a theoretical model which shows that investors who follow a positive feedback trading strategy can indeed destabilize market efficiency (Choi and Park, 2010).

Herding trading style is characterized by a group of investors trading in the same direction over a period of time. This type of trading style is caused by five reasons: institutional traders’ positive feedback trades, trades based on the trading strategy of some investor groups in the same industry or with similar firm characteristics, trades in which managers duplicate that of other managers to keep up reputation, trades based on inferred information from other investors and trades which have a trading strategy due to similar analyzing tools and correlated information

(Choi and Sias, 2009; Wermers, 1999). Herding therefore causes successive large volume trades

pg. 7 in one direction which can cause assets prices to deviate from their fundamental value and thus increasing market volatility (Choi and Park, 2010). Several studies conduct research in how positive feedback and herding strategies are implemented during financial or economic stress.

Cohen en Shin (2004) analyze how an economy performs under stress and conclude that investors become more extreme in their strategy implementation when markets become more volatile.

The argument of terrorism having a large effect on the stock market is further backed by another academic paper in which the researchers construct a simple economic model that shows that terrorist events may have large impacts on the allocation of productive capital across countries, even when it only represents a small fraction of the overall economic risk. The model shows that terrorism reduces the expected return in addition to increasing uncertainty (Abadie and

Gardeazaba, 2008). Karolyi and Martell (2006) analyze the long-term impact of terrorism. They employ standard event study methodology using MacKinlay’s market model. They investigate the impact of terrorist attacks on the stock price of certain companies. They find that the impact varies according to the country in which the attack occurs and the where the company itself is from. They conclude that firms domiciled in wealthier nations experience a greater price fluctuation and higher vulnerability, contrary to the paper published by Arina, Ciferri and

Spagnolo. The explanation of this occurrence is provided in a paper by Krueger and Laitin

(2003). In their paper they conduct a study to determine which countries are most likely to produce terrorists and which countries are most prone to terrorist attacks. Countries that are likely to produce terrorists are those that suffer from political oppression; countries they are likely to attack are in general wealthy nations that benefit from economic prosperity. Hamilton and Hamilton (1983) conclude that open societies have a harder time dealing with terrorism and

pg. 8 reducing the willingness of terrorist to further attack their nation. Karolyi and Martell (2006) thus claim that given the vulnerability of a nation to terrorist attacks is related to the probability of a terrorist attack taking place and the nation’s attributes such as political freedom, wealth and higher education are related to the incidence of the attacks they therefore conclude that firms in wealthier, better educated countries experience larger negative returns than poorer, less educated countries.

I am going to investigate whether public announcements of North Korea’s nuclear programme significantly affect South Korea’s stock market. According to the literature a terrorist attack constitutes as a negative external shock to an economy due to the nature of such an attack.

However, a terrorist attack destroys only a small amount of the total production capacity of a country. Therefore the scale of the impact should not be substantially large. Therefore I test the following hypothesis, stated in the null form:

H0: Announcements of North Korea’s nuclear program do not cause a negative impact on South

Korea’s stock market.

I also expect to see a difference in the type of tests that were conducted that day. I expect days on which nuclear test were conducted to show a larger impact that compared to days on which missile tests were conducted, due to the scale of the threat. Therefore I test my second hypothesis:

H0: Announcements of nuclear tests do not have a larger impact than announcements of missile tests.

pg. 9 METHODOLOGY AND DATA DESCRIPTION

In order to conduct my research I will perform an event study1. If investors react optimistically to an event, we would expect a positive abnormal return. If investors react pessimistically to an event we would expect a negative abnormal stock returns. By analyzing the abnormal return of a firm’s stock or of an index we can investigate the response of the market to specific events. This methodology is based on the efficient market hypothesis (Fama et al., 1969)2. In accordance to previous research methodologies used by Kollias et al. and Karolyi and Martell I will perform an event study using MacKinlay’s market model. In order to test H1, I examine the abnormal returns on the days August 31st 1998, July 5th 2006, October 9th 2006, April 5th 2009, May 25th 2009, and

February 12th 2013. I estimate the abnormal returns using the market model3. More precisely, in order to use the market model I have defined my estimation window4 starting from 230 working days prior to the event and ending 30 working days prior to the event. I have created several event windows5 ranging from 1 day before and after the event to 10 days before and after the event. I did this so I could investigate how much of an impact the announcement had and for how long the impact lasted. For any security the model is

R = α + β R + ε

it i i mt it

E(ε = 0) var(ε ) = σε 2 it it t

1 An event study is a statistical method he impact of an event on the value of a firm or index. An event study is an approach that focuses on identifying abnormal returns on a specific date. 2 This hypothesis asserts that securities are fairly priced based on their future cash flows, given all information that is available to investors (Berk and Demarzo, 2007). This means investors immediately revaluate individual firms and their ability to deal with political, economic, environmental and demographic changes. 3 The market model is a statistical model which relates the return of any given security to the return of the market portfolio (MacKinlay, 1997). 4 In the estimation window I retrieve the relevant financial data of the stock or index I wish to investigate and of its corresponding reference index in order to create a benchmark. 5 The event window signifies when the event takes place between time τ1 and τ2 and the announcement day at time τ.

pg. 10 R and R represent the period returns on the security i and the market portfolio, respectively.

it mt The disturbance term is represented by ε which has a mean of zero. The assumption here is that

it the returns on the securities are normally distributed. The α , β and σε are the parameters of the 2 i i t market model.

Previous researches, like that of Kollias et al. calculate the CARs of the individual markets. This

way you can investigate the impact of the terrorist attack on the general and sector indices. The

security i in my research is represented by all firms listed on the Korea Composite Stock Price

Index or KOSPI. It consists out of all common stocks traded on the Stock Market Division of the

Korea Exchange. The KOPSI is the representative stock market index of South Korea. For the

market portfolio I use the MSCI World index. The MSCI World is a stock market index of 1,606

‘world’ stocks. It is maintained by MSCI Inc., formerly Morgan Stanley Capital International,

and is often used as a common benchmark for 'world' or 'global' stock funds (MSCI, 2013). I have chosen to use the MSCI World Index to calculate the beta as the KOSPI Index contains country specific risk. This risk can be diversified by holding world stocks if the indexes of the countries listed in the world stock and Korea are not perfectly positively correlated. As the world index holds a large variety of stocks from over the world this is very plausible.

The parameters of the model can be estimated by using Ordinary Least Squares; the

corresponding alpha, beta and sigma coefficients. The coefficients explain the normal

relationship between the security and the reference index. By doing so, I can predict the expected

normal return of my event window. By deducting the ‘expected normal return’ from the ‘actual

return’ I get the ‘abnormal return’. The abnormal return is what I need.

pg. 11 The abnormal return can be expressed in formula form as:

AR = R E(R )

it it − it Now that I have my abnormal returns I need to measure and analyze whether or not they

statically differ from zero. I order to draw a conclusion for the event window of interest I must

aggregate the abnormal return observations. The aggregate of the abnormal returns is defined by

MacKinlay as the sample cumulative abnormal return (CAR) from time period τ1 to τ2. In formula form as:

τ

2 (τ , τ ) = AR τ τ τ 퐶퐴푅�횤 1 2 � i = 1 The variance of is defined as:

퐶퐴푅�횤 (τ , τ ) = (τ τ + 1)σε 2 2 휎푖 1 2 2 − 1 t The variance σε can be measured by Ordinary Least Squares. By multiplying the number of days 2 t in the event window with the variance of the sample provides the variance of the as shown

횤 in the formula above. 퐶퐴푅�

To test the null hypothesis I divide the cumulative abnormal return by the square root of the

variance. This allows me to calculate the significance the announcement had on the entire event

window. In formula form:

(τ , τ ) = 퐶퐴�( 푅횤 (1 , 2 )) 훷 1 2 푣푎푟 퐶퐴푅� 휏1 휏2

pg. 12 I calculated the level of significance of the event on the actual event day in a similar way. To calculate the level of significance I divided the abnormal return of the event day by the standard deviation calculated under OLS.

After having analysed the impact of North Korea’s nuclear announcements on the firms listed on the KOSPI Index, I will conduct further analysis of the impact on specific industries listed on the

KOSPI. To do so I will implement the same methodology I used in finding the relationship between the KOSPI Index and the MSCI Index. I will filter the firms according to industry by using the SIC Codes. I will then group the firms together and test the industries against the MSCI

Index which I found before. This will give me a representation of which industries were affected more or less by the announcements than others.

pg. 13 DATA

My data consist of the price indexes of the firms listed on the KOPSI Index and the price index of the MSCI World Index. I obtained my data from DataStream. I have chosen six different announcement days ranging over 15 years. On these particular days the North Korean state media announced they had conducted tests for the further technological development of their nuclear program. The table below provides a short descriptive chronology of the event days. The table shows the six event days which can be divided into two types of events: nuclear testing and missile testing. The three days in which North Korea conducted nuclear tests are October 9th

2006, May 25th 2009 and February 12th 2013. The remaining dates are days on which North

Korea tested its long range missile and satellite programme which is viewed by the international community as a further development of their overall nuclear programme.

Table 1: North Korean activity on announcement days

Announcement Day Activity

August 31st 1998 North Korean state media announces its first satellite launch named Kwangmyŏngsŏng-1.

July 5th 2006 North Korean state media announced they conducted two rounds of missile tests, including long range missile

Taepodong-2.

October 9th 2006 North Korean state media announces it has conducted an underground nuclear test near the village of

P’unggye.

April 5th 2009 North Korea state media announces launch of Unha-2 rocket, believed by the US to be a modified version of

the previous Taepodong-2 missile.

May 25th 2009 North Korea conducts its second underground nuclear test near the village of P’unggye.

February 12th 2013 Seismic activity recorded radiating from the previous nuclear tests site of 2006 and 2009, near the village of

P’unggye. Later that same day a North Korean spokesman confirmed North Korea has successfully conducted

its third nuclear test. International reactions following the testing have all been negative.

pg. 14 I had to create a unique market model for each individual event day. This means I have defined

six different estimation windows and six event windows corresponding to the aforementioned

announcement days.

The table below provides an accurate description of the estimation windows.

Table 2: Description of estimation windows for all announcement days.

Announcement Estimation Window

Start End

August 31st 1998 28/10/1997 17/07/1998

July 5th 2006 01/09/2005 23/05/2006

October 9th 2006 06/12/2005 25/08/2006

April 5th 2009 03/06/2008 20/02/2009

May 25th 2009 20/06/2008 10/04/2009

February 12th 2013 11/04/2012 13/12/2012

The table below provides the returns of the KOSPI and MSCI Index on the aforementioned event

days. As you can for see for the KOSPI Index the returns on the event days are primarily negative (4 out of 6 providing a negative return). The significance of these returns will be discussed in the ‘results and analysis’ section and ‘discussion’ section. A graph showing the returns can be seen in the appendix.

Table 3: Return on KOSP and MSCI on the event days.

Event Return on KOSPI Return on MSCI 31 August 1991 0.27% -3.37% 05 July 2006 -0.47% -1.26% 09 October 2006 -2.41% 0.12% 05 April 2009 1.10% -0.74% 25 May 2009 -0.20% 0.15% 12 February 2013 -0.26% 0.58%

pg. 15 The following table provides brief descriptive statistics of the sample data of the event windows

for each separate event day. The values in the table are general descriptions of the return on the

KOSPI during the event windows. Noticeable is how the average returns of the event windows

are fairly low in comparison to the standard deviation. This suggests that the KOSPI exhibited some volatility during the event windows. This can also be seen when observing the Min and

Max values of the week.

Table 4: Descriptive statistics of sample data on the event days.

Event Day Mean SD Min Median Max

31 August 1998 0.35% 2.14% -3.62% 0.12% -1.47% 05 July 2006 0.36% 1.28% -1.24% -0.04% 2.54% 09 October 2006 -0.09% 1.05% -2.41% 0.00% 1.26% 05 April 2009 0.74% 2.31% -3.24% 0.73% 4.30% 05 May 2009 0.16% 1.53% -2.06% -0.20% 2.99% 12 February 2013 0.15% 0.63% -0.77% 0.04% 1.56%

In order to analyse the impact of the announcements on specific industries I gathered the price

index of the firms listed on the KOSPI and used the corresponding SIC Codes to group them into

specific industries. I gathered the data for the price indexes of the firms using DataStream.

Unfortunately, due to the lack of data I won’t be able to analyse how the announcement had an effect on the specific industries on the 31st of August 1998. The SIC Codes were also obtained from DataStream. Depending on the data available I will analyse the following industries:

agriculture, mining, manufacturing, retail trade, financial, health care, arts and entertainment,

administrative services and public administration.

pg. 16 RESULTS OF THE ANALYSIS

In this section the results of the event study will be presented and analyzed. These results include the cumulative abnormal returns (CAR) of the event window and the corresponding t-values of all the event windows. The tables can be found in the appendix.

Tables 5 up until 10 shown in the appendix show the level of significance of the announcements on the South Korean stock market. I have calculated the level of significance for multiple event windows ranging from a day before and after the event day until 10 days before and after the event day. These values are identified by the variable CAR in the table. I have also calculated event windows ranging from the event day and onward. In order to prevent confusion I have named this the variable KAR in the tables. I have added this variable KAR to see whether it would yield different results from the other variable CAR. The reasoning behind it is due to the nature of a ‘nuclear attack’. Normally when conducting an event study one must create an event window consisting out of days before the event because there is often activity before the event day itself as in most cases the event day is planned and thus known about beforehand. However the nature of a terrorist attack or nuclear threat is that is unknown when or where it will happen.

The nature of such attacks/threats is to be shocking and thus unanticipated. For both variables I have calculated the level of significance. This is represented by the t-statistic. The level of significance is indicated for each variable and each event period.

According to my regression results all event days were cases on which the announcements of

North Korea’s nuclear program had effect on the KOSPI. However, the event days do not seem to exhibit an equal reaction. As shown in tables 6, 7 and 9 respectively we observe that the announcement on July 5th 2006, October 9th 2006, and May 25th 2009 caused an expected

pg. 17 negative reaction. However as shown in tables 5, 8 and 10 respectively we observe that the

announcements on the event days of August 31st 1998, April 5th 2009 and February 12th 2013 in

fact cause a contradictory positive reaction.

Therefore the findings of this research do not specifically coincide with prior research. As mentioned in the beginning of this paper, empirical research on the economic effects of terrorism suggests that acts of terrorism create large negative impacts on economic activity. Thus

according to prior research we would expect to see that North Korea’s nuclear announcements

should have a significant negative impact on South Korea’s economy which is the case in three

instances however this does not explain why we also observe three positive reactions.

Tables 11 up until 15 in the appendix provide the level of significance the announcements had on

specific industries on the aforementioned dates. The tables 11 until 15 show primarily that

agriculture, mining, manufacturing, retail trade, financials and health care are primarily affected

by the announcements. I find that the effect on arts and entertainment administrative services and

public administration varies. Table 12 shows that the announcements on October 9th, 2006 had no effect on both entertainment and administrative services. Tables 13 and 14 respectively show that the announcement in April saw no effect on public administration as did the announcements in May have no effect on public administration and the entertainment industry. However, there

does not seem to be any pattern showing that a particular industry is repeatedly more susceptible

to nuclear threats than any other as the industries affected are different depending on the

announcement day.

pg. 18 DISCUSSION & CONCLUDING REMARKS

The purpose of the event study was to investigate whether public announcements of North

Korea’s nuclear programme had any significant effect on the South Korean stock market.

Additionally, the study wanted to examine whether there was a difference between announcement that involved nuclear development and missile development. This section discusses the discovered results and interprets them in order to be able to answer whether there are such effects.

As mentioned before the results of tables 5 until 10 show that public announcements of nuclear development did have a significant impact on the stock market. On all six event days the announcements created a significant impact on the KOPSI index. However the impact was not the same for each event day, there were in fact three instances on which the impact created a negative effect and three instances where the announcement caused a positive reaction. The days on which the announcement caused a negative reaction a long range missile was tested and two nuclear tests were conducted. This supports the first hypothesis stating that announcements of

North Korea’s nuclear programme shall cause a negative impact of South Korea’s stock market.

However, on February 12th 2013 North Korea conducted its third nuclear test but this caused an apparent positive reaction on the South Korean stock market. This means that there is evidence against the first hypothesis and so it must be rejected. The same applies to hypothesis two which stated that announcements of nuclear tests have a larger impact than announcements of missile tests. This hypothesis is rejected based on the fact that on days which there were missile tests the impact created, whether it is positive or negative, had a larger significance than the impact created by nuclear tests.

pg. 19 There is however one announcement day which can be explained in further detail. Looking at the

chronology of North Korea’s arms development we find that October 9th 2006 is the first time

North Korea conducted an actual nuclear test. The seven other nuclear announcements prior to

October 9th had all been verbal, and no actual nuclear testing had been conducted. The fact that this was the first instance in which North Korea had conducted a nuclear test would have caused panic and chaos on the markets as investors would initially perceive the announcement as a signalling of North Korea’s intention to engage in warfare. This explains the level of significance and the drop of the stock market for that particular day.

However, once the actual purpose of the test was revealed, namely that North Korea was not interested in starting nuclear warfare but rather signalling they were open to negotiations, the market recovered. This can be seen in the table of October 9th 2006. Initially, the reaction was

abrupt but during the course of the week the market recovered.

The fact that North Korea had revealed the actual purpose of its nuclear tests also provides a

possible explanation as to why the reaction to the subsequent test on February 12th 2013 was

positive and thus did not create a negative impact on the South Korean stock market. Investors,

now possessing all information, no longer view the announcements as a potential threat to the

economy and thus do not alter their future expectations. In fact it might have given the investors

the idea that North Korea would want to negotiate more and perhaps improve the situation

between the two countries. However the results do provide a varied conclusion and unfortunately

do not provide hard evidence proving that North Korea’s nuclear announcement do in fact cause

exclusively a negative reaction.

pg. 20 The results from the individual industries provide a varied conclusion. We find that industries as agriculture, mining, manufacturing, retail trade, financials and health care are affected each time there was a nuclear threat. We do see some sort of a visible pattern showing that particular industries are repeatedly more susceptible to nuclear. There is some evidence that other industries are somewhat more resilient when it comes to nuclear announcements. Such industries are entertainment, administrative services and public administration however this wasn’t the case for all the announcements.

In order to expand on this topic, ongoing research could focus on other nations which have recently announced to expand their nuclear programme. From an academic point of view it would be interesting to research how Iran’s nuclear announcements affect the stock markets of her neighbouring countries. This could provide more empirical evidence of the impact nuclear announcements have on financial markets. Ongoing research could also focus on how the stock markets of allies of the neighbouring countries are affected by a nation’s nuclear announcements.

In the case of South Korea, the Unites States is an important ally. Further research could thus analyse if and how US stock markets react to North Korea’s nuclear provocations. The same analysis can be conducted using Iran’s nuclear announcements. Ongoing research could investigate how US stock markets react to threats from Iran and observe if such a study yields the same results. Improvement could also be made by implementing different research methodologies to create a more comprehensive understanding of the impact of nuclear threats on financial markets.

pg. 21 REFERENCES

Abadie, A., Gardeazabal, J., (2003) The economic cost of conflict: A case study of the Basque country. American Economic Review 93, 113–132 Abadie, A., Gardeazabal, J., (2008). Terrorism and the world economy. European Economic Review, 2008, Vol.52 (1), pp.1-27 Arina K., Ciferri D., Spagnolo N., (2008). The price of terror: The effects of terrorism on stock market returns and volatility. Economics Letters 101 (2008) pp.164–167 Arms Control Association (2013) Available at: http://www.armscontrol.org/factsheets/dprkchron (Accessed: 17 June 2013) Becker, G., Murphy, K., (2001). Prosperity will rise out of the ashes. Wall Street Journal October 29, 2001 Berk, J. and DeMarzo, P. (2007) Corporate Finance, 268. International Edition Chen, A. H. and Siems T. F. (2004), The effects of terrorism on global capital markets. European Journal of Political Economy, Vol. 20, 349–366 Chesney, M., Reshetar, G., Karaman, M. (2011). The impact of terrorism on financial markets: An empirical study. Journal of Banking and Finance, 35, 253-267 Choi, N. and R.W. Sias (2009). Institutional Industry Herding. Journal of Financial Economics, 94, 469-491. Cohen, B.H. and H.S. Shin (2004). Positive feedback trading under stress: Evidence from the US Treasury securities market. Bank for International Settlements Working Paper No. 122 De Long, B.J., Shleifer, A., Summers, L.H., and Waldman R.J. (1990). Positive Feedback Investment Strategies and Destabilizing Rational Speculation. Journal of Finance, 45, 379-395. Drakos K., (2010). Terrorism activity, investor sentiment, and stock returns” Review of Financial Economics 19 pp.128–135 Edmans, A., Garcia, D., & Norli, O. (2007). Sports sentiment and stock returns. Journal of Finance, 62(4), 1967−1998 Eldor R., Melnick R., (2004). Financial markets and terrorism. European Journal of Political Economy Volume 20, Issue 2, Pages 367–386 Fama, E.F., Fisher, L., Jensen, M.C., Roll, R., (1969), The adjustment of stock prices to new information, International Economic Review, 10, 1 – 21. Hamilton, Lawrence C. and James D. Hamilton, (1983). Dynamics of Terrorism, International Studies Quarterly, Vol. 27 (1), pp. 39-54.

pg. 22 Hwang, S. and M. Salmon (2004). Market Stress and Herding. Journal of Empirical Finance, 11, 585-616. Karolyi, G., Martell, R., (2006). Terrorism and the Stock Market. Working Paper, The Ohio State University. Kenneth R. French webpage (2013) available at: http://mba.tuck.dartmouth.edu/pages/faculty/ken.french/data_library.html (Accessed 15 July 20013) Kollias C., Papadamou S., Stagiannis A., (2011). Terrorism and capital markets: The effects of the Madrid and London bomb attacks, International Review of Economics and Finance, 20, 532– 541 Korea Exchange (2013) Available at http://eng.krx.co.kr/ (Accessed 20 August 2013) Krueger, Alan B. and David D. Laitin, (2003). Kto Kogo?: A Cross-Country Study of the Origins and Targets of Terrorism, The National Bureau of Economic Research, pp 1-24. Larocque D., Lincourt G., Normandin M., (2010). Macroeconomic effect of terrorist shocks in Israel. Defence and Peace Economics, 2010 Vol. 21 (4), August, pp.317–336 MSCI (2013) Available at: http://www.msci.com/products/indices/country_and_regional/all_country/ (Accessed 24 June 2013) Singh P., (2013). Impact of Terrorism on Investment Decisions of Farmers Evidence from the Punjab Insurgency. Journal of Conflict Resolution, 2013, Vol.57 (1), pp.143-168

pg. 23 APPENDIX

The results include the cumulative abnormal returns (CAR) of the event window and the corresponding t-values of all the event windows. These values can be found in the tables below.

Table 5: Cumulative Average Return in response to nuclear threat on August 31st, 1998

Event Day Variable Mean t-statistic Variable Mean t-statistic

August 31st 1998 CAR1 [-1;+1] 7.1154 13.54*** KAR1 [0;+1] 6.7918 15.05*** CAR2 [-2;+2] 9.7548 17.43*** KAR2 [0;+2] 7.0042 16.02***

CAR3 [-3;+3] 12.2627 20.13*** KAR3 [0;+3] 7.6991 16.61***

CAR4 [-4;+4] 12.8747 19.24*** KAR4 [0;+4] 6.7491 14.56***

CAR5 [-5;+5] 15.3575 18.69*** KAR5 [0;+5] 9.1787 18.50***

CAR6 [-6;+6] 15.4526 17.98*** KAR6 [0;+6] 7.3021 13.98***

CAR7 [-7;+7] 22.6706 23.86*** KAR7 [0;+7] 10.1149 18.88***

CAR8 [-8;+8] 29.2254 28.23*** KAR8 [0;+8] 12.8313 22.44***

CAR9 [-9;+9] 22.8442 21.04*** KAR9 [0;+9] 11.6487 18.99***

CAR10 [-10;+10] 22.1288 18.55*** KAR10 [0;+10] 11.9809 16.63*** *, **, *** indicate significance levels of 10%, 5% and 1% respectively.

Table 6: Cumulative Average Return in response to nuclear threat on July 5th, 2006

Event Day Variable Mean t-statistic Variable Mean t-statistic

July 5th 2006 CAR1 [-1;+1] -2.2284 -13.30*** KAR1 [0;+1] -1.5973 -11.83***

CAR2 [-2;+2] -1.8822 -8.67*** KAR2 [0;+2] -0.9206 -6.20***

CAR3 [-3;+3] -0.0901 -0.35 KAR3 [0;+3] -0.2183 -1.22

CAR4 [-4;+4] 0.5291 1.69 KAR4 [0;+4] -0.1661 -0.83

CAR5 [-5;+5] 0.3326 1.02 KAR5 [0;+5] 0.2548 1.15

CAR6 [-6;+6] 0.9377 2.62* KAR6 [0;+6] 0.4089 1.64

CAR7 [-7;+7] -0.2168 -0.56 KAR7 [0;+7] -0.5793 -1.99

CAR8 [-8;+8] -0.8937 -2.21 KAR8 [0;+8] -0.3522 -1.19

CAR9 [-9;+9] -2.2014 -5.11*** KAR9 [0;+9] -2.3904 -7.57 CAR10 [- 10;+10] -3.6039 -8.14*** KAR10 [0;+10] -3.5133 -10.72*** *, **, *** indicate significance levels of 10%, 5% and 1% respectively.

pg. 24 Table 7: Cumulative Average Return in response to nuclear threat on October 9th, 2006 Event Day Variable Mean t-statistic Variable Mean t-statistic

October 9th 2006 CAR1 [-1;+1] -3.6047 -22.70*** KAR1 [0;+1] -3.9379 -24.64*** CAR2 [-2;+2] -3.8006 -19.99*** KAR2 [0;+2] -3.8112 -20.18***

CAR3 [-3;+3] -4.0799 -17.90*** KAR3 [0;+3] -2.5962 -13.96***

CAR4 [-4;+4] -2.8768 -12.24*** KAR4 [0;+4] -1.5457 -7.80***

CAR5 [-5;+5] -2.4410 -8.84*** KAR5 [0;+5] -0.9918 -4.45***

CAR6 [-6;+6] -2.2114 -6.94*** KAR6 [0;+6] -1.3803 -5.79***

CAR7 [-7;+7] -1.0716 -3.08*** KAR7 [0;+7] -0.9919 -3.72***

CAR8 [-8;+8] -0.4523 -1.19 KAR8 [0;+8] -0.7445 -2.50**

CAR9 [-9;+9] -0.6289 -1.63 KAR9 [0;+9] 0.0413 0.14

CAR10 [-10;+10] -0.0728 -0.18 KAR10 [0;+10] 0.4276 1.41 *, **, *** indicate significance levels of 10%, 5% and 1% respectively.

Table 8: Cumulative Average Return in response to nuclear threat on April 5th, 2009 Event Day Variable Mean t-statistic Variable Mean t-statistic

April 5th 2009 CAR1 [-1;+1] 5.2094 20.36*** KAR1 [0;+1] 5.1356 22.77*** CAR2 [-2;+2] 5.4776 16.34*** KAR2 [0;+2] 4.5678 16.31***

CAR3 [-3;+3] 9.4631 22.58*** KAR3 [0;+3] 7.1802 21.96***

CAR4 [-4;+4] 11.4299 24.78*** KAR4 [0;+4] 8.5403 23.90***

CAR5 [-5;+5] 13.2049 26.75*** KAR5 [0;+5] 10.5797 25.36***

CAR6 [-6;+6] 14.3736 26.43*** KAR6 [0;+6] 11.5507 25.57***

CAR7 [-7;+7] 14.1639 24.12*** KAR7 [0;+7] 10.5262 22.90***

CAR8 [-8;+8] 15.1815 24.97*** KAR8 [0;+8] 10.7345 23.08***

CAR9 [-9;+9] 14.4839 23.75*** KAR9 [0;+9] 8.7258 19.29***

CAR10 [-10;+10] 16.4562 25.170*** KAR10 [0;+10] 11.3474 23.67*** *, **, *** indicate significance levels of 10%, 5% and 1% respectively.

Table 9: Cumulative Average Return in response to nuclear threat on May 25th, 2009 Event Day Variable Mean t-statistic Variable Mean t-statistic

May 25th 2009 CAR1 [-1;+1] -4.4472 -15.58*** KAR1 [0;+1] -3.8498 -17.39*** CAR2 [-2;+2] -5.4192 -12.96*** KAR2 [0;+2] -4.9307 -14.35*** CAR3 [-3;+3] -5.5770 -11.72*** KAR3 [0;+3] -5.2003 -13.74*** CAR4 [-4;+4] -4.3694 -9.51*** KAR4 [0;+4] -5.3595 -15.25*** CAR5 [-5;+5] -5.6025 -11.41*** KAR5 [0;+5] -5.2719 -14.67*** CAR6 [-6;+6] -4.9863 -9.61*** KAR6 [0;+6] -5.3773 -14.61*** CAR7 [-7;+7] -4.4582 -8.15*** KAR7 [0;+7] -4.1213 -10.69*** CAR8 [-8;+8] -4.1797 -7.45*** KAR8 [0;+8] -6.5159 -16.69*** CAR9 [-9;+9] -3.7451 -6.30*** KAR9 [0;+9] -5.8170 -14.35*** CAR10 [-10;+10] -1.9686 -3.16*** KAR10 [0;+10] -5.5521 -13.35*** *, **, *** indicate significance levels of 10%, 5% and 1% respectively.

pg. 25 Table 10: Cumulative Average Return in response to nuclear threat on February 12th, 2013 Event Day Variable Mean t-statistic Variable Mean t-statistic

February 12th 2013 CAR1 [-1;+1] 0.4652 4.14*** KAR1 [0;+1] 0.3953 3.56*** CAR2 [-2;+2] 1.1549 7.12*** KAR2 [0;+2] 0.9291 6.73*** CAR3 [-3;+3] 1.4647 7.22*** KAR3 [0;+3] 1.2244 7.22*** CAR4 [-4;+4] 2.0350 8.62*** KAR4 [0;+4] 1.3797 7.41*** CAR5 [-5;+5] 1.1462 4.63*** KAR5 [0;+5] 1.4825 7.43*** CAR6 [-6;+6] 2.2049 8.06*** KAR6 [0;+6] 2.5429 11.2*** CAR7 [-7;+7] 1.3154 4.14*** KAR7 [0;+7] 2.4005 9.44*** CAR8 [-8;+8] 1.4420 4.33*** KAR8 [0;+8] 2.5028 9.29*** CAR9 [-9;+9] 1.4397 4.10*** KAR9 [0;+9] 2.3568 8.02*** CAR10 [-10;+10] 1.3029 3.57*** KAR10 [0;+10] 2.1523 7.28*** *, **, *** indicate significance levels of 10%, 5% and 1% respectively.

Table 11: Cumulative Average Return for various industries in response to nuclear threat on July 5th, 2006

Retail Health Administrative Public Agriculture Mining Manufacturing Trade Financial Care Entertainment Service Administration

CAR1 -6.63*** -5.86*** -5.91*** -2.64*** -4.60*** -3.70*** 1.37** -2.73*** 1.33**

CAR2 -8.76*** -7.21*** -7.80*** -3.26*** -5.80*** -4.85*** 1.99** -3.63*** 1.53**

CAR3 -10.71*** -8.77*** -9.85*** -3.87*** -6.93*** -5.99*** 2.46*** -4.32*** 1.83** - CAR4 -12.54*** 11.13*** -12.59*** -4.93*** -8.25*** -7.40*** 2.47*** -5.02*** 1.94** - CAR5 -13.6*** 12.93*** -14.31*** -5.55*** -8.87*** -8.05*** 2.56*** -5.67*** 1.97** - CAR6 -13.75*** 13.02*** -14.27*** -5.41*** -8.59*** -7.81*** 3.13*** -6.27*** 2.16** - CAR7 -14.03*** 12.64*** -13.96*** -5.07*** -8.17*** -7.33*** 3.90*** -6.77*** 2.30** - CAR8 -14.47*** 12.54*** -13.92*** -4.83*** -8.03*** -6.96*** 4.49*** -7.19*** 2.12** - CAR9 -14.83*** 12.61*** -14.20*** -4.58*** -8.06*** -6.93*** 4.88*** -7.82*** 1.77** - CAR10 -14.78*** 12.06*** -13.86*** -4.03*** -7.75*** -6.60*** 5.60*** -8.13*** 1.53**

KAR1 -5.12*** -4.60*** -4.46*** -2.01** -3.64*** -2.71*** 1.17* -2.08** 1.16

KAR2 -6.63*** -5.86*** -5.91*** -2.64*** -4.60*** -3.70*** 1.37* -2.73*** 1.33**

KAR3 -7.81*** -6.66*** -6.95*** -2.97*** -5.24*** -4.39*** 1.68** -3.23*** 1.38**

KAR4 -8.76*** -7.21*** -7.80*** -3.26*** -5.80*** -4.85*** 1.99** -3.63*** 1.53**

KAR5 -9.84*** -7.97*** -8.84*** -3.59*** -6.39*** -5.43*** 2.22** -4.01*** 1.65**

KAR6 -10.71*** -8.77*** -9.85*** -3.87*** -6.93*** -5.99*** 2.46*** -4.32*** 1.83**

KAR7 -11.62*** -9.87*** -11.17*** -4.4*** -7.61*** -6.69*** 2.51*** -4.67*** 1.91** - KAR8 -12.54*** 11.13*** -12.59*** -4.93*** -8.25*** -7.40*** 2.47*** -5.02*** 1.94** - KAR9 -13.41*** 12.69*** -14.15*** -5.56*** -8.90*** -8.14*** 2.25** -5.40*** 1.91** - KAR10 -13.6*** 12.93*** -14.31*** -5.55*** -8.87*** -8.05*** 2.56*** -5.67*** 1.97** *, **, *** indicate significance levels of 10%, 5% and 1% respectively.

pg. 26 Table 12: Cumulative Average Return for various industries in response to nuclear threat on October 9th, 2006

Retail Health Agriculture Mining Manufacturing Trade Financial Care Entertainment Administrative Service Public Administration

CAR1 2.73*** 4.83*** 2.69*** 0.72 1.00 1.52* 0.20 0.91 4.75***

CAR2 3.81*** 7.02*** 4.31*** 1.15 1.56* 2.27** 0.70 1.06 5.73***

CAR3 4.50*** 8.62*** 6.03*** 1.42** 2.01** 2.99*** 1.09 1.13 6.26***

CAR4 5.38*** 10.55*** 8.16*** 1.97** 2.52*** 4.05*** 1.6* 1.36* 6.88***

CAR5 6.25*** 12.32*** 10.11*** 2.5*** 2.98*** 5.03*** 1.96** 1.66** 7.32***

CAR6 8.12*** 15.75*** 14.04*** 3.94** 3.97*** 6.96*** 2.89*** 2.10** 7.87***

CAR7 9.75*** 18.44*** 17.12*** 5.02*** 4.82*** 8.52*** 3.62*** 2.18** 8.39***

CAR8 11.09*** 20.74*** 19.59*** 5.88*** 5.47*** 9.64*** 4.19*** 2.19** 8.75***

CAR9 12.51*** 23.39*** 22.25*** 6.89*** 6.11*** 10.81*** 4.92*** 2.00** 9.04***

CAR10 13.76*** 25.4*** 24.27*** 7.55*** 6.62*** 11.61*** 5.44*** 1.8** 9.33***

KAR1 2.17** 3.66*** 1.87** 0.42 0.70 1.02 0.05 0.68 4.07***

KAR2 2.73*** 4.83*** 2.69*** 0.72 1.00 1.52* 0.20 0.91 4.75***

KAR3 3.25*** 5.84*** 3.35*** 0.89 1.23* 1.8** 0.38 1.10 5.24***

KAR4 3.81*** 7.02*** 4.31*** 1.15 1.56* 2.27** 0.70 1.06 5.73***

KAR5 4.12*** 7.78*** 5.1*** 1.2* 1.78** 2.56*** 0.88 1.09 5.97***

KAR6 4.5*** 8.62*** 6.03*** 1.42* 2.01** 2.99*** 1.09 1.13 6.26***

KAR7 4.85*** 9.43*** 6.92*** 1.62* 2.23** 3.44*** 1.29* 1.21 6.56***

KAR8 5.38*** 10.55*** 8.16*** 1.97** 2.52*** 4.05*** 1.60* 1.36* 6.88***

KAR9 5.82*** 11.52*** 9.22*** 2.28** 2.77*** 4.62*** 1.81** 1.54* 7.11***

KAR10 6.25*** 12.32*** 10.11*** 2.5** 2.98*** 5.03*** 1.96** 1.66** 7.32*** *, **, *** indicate significance levels of 10%, 5% and 1% respectively.

pg. 27 Table 13: Cumulative Average Return for various industries in response to nuclear threat on April 5th, 2009

Retail Health Entertainmen Administrative Public Agriculture Mining Manufacturing Trade Financial Care t Service Administration

CAR1 6.09*** 14.73*** 14.63*** 7.99*** 6.77*** 7.97*** 5.49*** 2.76*** 1.01

CAR2 7.57*** 18.63*** 18.57*** 9.94*** 8.46*** 10.09*** 6.84*** 3.41*** 1.15

CAR3 8.76*** 21.45*** 21.67*** 11.71*** 9.62*** 11.61*** 8.01*** 3.71*** 1.19

CAR4 9.50*** 23.34*** 23.94*** 13.05*** 10.40*** 12.49*** 8.85*** 3.95*** 1.3*

CAR5 10.02*** 24.83*** 25.64*** 14.15*** 10.94*** 13.14*** 9.45*** 4.16*** 1.46*

CAR6 10.66*** 26.53*** 27.43*** 14.99*** 11.51*** 13.93*** 10.15*** 4.65*** 1.72**

CAR7 11.16*** 27.6*** 28.49*** 15.51*** 11.87*** 14.53*** 10.61*** 4.96*** 1.94**

CAR8 11.27*** 27.88*** 28.77*** 15.49*** 11.82*** 14.54*** 10.89*** 5.01*** 2.15**

CAR9 10.97*** 27.58*** 28.48*** 15.35*** 11.47*** 14.27*** 11.00*** 4.91*** 2.24**

CAR10 10.55*** 27.13*** 28.22*** 15.20*** 11.17*** 13.95*** 11.07*** 4.85*** 2.25**

KAR1 5.00*** 12.32*** 12.11*** 6.7*** 5.71*** 6.63*** 4.66*** 2.29** 0.90

KAR2 6.09*** 14.73*** 14.63*** 7.99*** 6.77*** 7.97*** 5.49*** 2.76*** 1.01

KAR3 6.89*** 16.89*** 16.80*** 8.99*** 7.74*** 9.18*** 6.21*** 3.16*** 1.17

KAR4 7.57*** 18.63*** 18.57*** 9.94*** 8.46*** 10.09*** 6.84*** 3.41*** 1.15

KAR5 8.24*** 20.11*** 20.21*** 10.83*** 9.05*** 10.89*** 7.53*** 3.59*** 1.16

KAR6 8.76*** 21.45*** 21.67*** 11.71*** 9.62*** 11.61*** 8.01*** 3.71*** 1.19

KAR7 9.16*** 22.49*** 22.89*** 12.40*** 10.06*** 12.06*** 8.45*** 3.85*** 1.25*

KAR8 9.50*** 23.34*** 23.94*** 13.05*** 10.40*** 12.49*** 8.85*** 3.95*** 1.3*

KAR9 9.76*** 24.08*** 24.78*** 13.62*** 10.69*** 12.85*** 9.16*** 4.02*** 1.38*

KAR10 10.02*** 24.83*** 25.64*** 14.15*** 10.94*** 13.14*** 9.45*** 4.16*** 1.46* *, **, *** indicate significance levels of 10%, 5% and 1% respectively.

pg. 28 th Table 14: Cumulative Average Return for various industries in response to nuclear threat on May 25 , 2009

Retail Administrative Public Agriculture Mining Manufacturing Trade Financial Health Care Entertainment Service Administration

CAR1 -5.33*** -8.7*** -5.53*** -1.98*** -4.42*** -3.04*** 0.16 -2.34*** 1.52

CAR2 -7.83*** -12.8*** -8.84*** -3.00*** -6.18*** -4.67*** -0.6 -3.40*** 1.40 - CAR3 -9.73*** 15.93*** -11.01*** -0.38*** -7.33*** -5.68*** -1.22 -4.13*** 1.16 - CAR4 -11.35*** 18.94*** -13.20*** -4.29*** -8.20*** -6.54*** -1.87** -4.65*** 0.88

CAR5 -13.04*** -21.7*** -15.35*** -4.66*** -9.27*** -7.48*** -2.6*** -5.23*** 0.37 - - CAR6 -14.19*** 23.56*** -16.65*** -4.80*** 10.16*** -7.86*** -3.11*** -5.51*** 0.24 - - CAR7 -14.66*** 24.33*** -17.23*** -4.88*** 10.44*** -7.66*** -3.31*** -5.56*** 0.25 - - CAR8 -15.15*** 25.17*** -17.58*** -4.87*** 10.69*** -7.39*** -3.59*** -5.60*** 0.34 - - CAR9 -15.38*** 25.93*** -17.64*** -4.84*** 11.06*** -7.30*** -3.77*** -5.61*** 0.46 - CAR10 -15.4*** -26.2*** -17.30*** -4.61*** 11.32*** -6.88*** -3.72*** -5.65*** 0.71

KAR1 -4.15*** -6.96*** -4.40*** -1.57** -3.61*** -2.45*** 0.19 -2.01** 1.36*

KAR2 -5.93*** -8.70*** -5.53*** -1.98** -4.42*** -3.04*** 0.16 -2.34*** 1.52* - KAR3 -6.69*** 11.11*** -7.49*** -2.62*** -5.46*** -4.06*** -0.36 -2.87*** 1.51* - KAR4 -7.83*** 12.80*** -8.84*** -3.00*** -6.18*** -4.67*** -0.6 -3.40*** 1.40 - KAR5 -8.83*** 14.57*** -10.09*** -3.45*** -6.86*** -5.32*** -0.91 -3.86*** 1.27* - KAR6 -9.73*** 15.93*** -11.01*** -3.77*** -7.33*** -5.68*** -1.22 -4.13*** 1.16 - KAR7 -10.56*** 17.50*** -12.10*** -4.06*** -7.77*** -6.15*** -1.55** -4.42*** 1.04 - KAR8 -11.35*** 18.94*** -13.20*** -4.29*** -8.20*** -6.54*** -1.87** -4.65*** 0.88 - KAR9 -12.21*** 20.30*** -14.23*** -4.46*** -8.66*** -6.99*** -2.19** -4.85*** 0.61 - KAR10 -13.04*** 21.70*** -15.35*** -4.66*** -9.27*** -7.48*** -2.6*** -5.23*** 0.37

pg. 29 Table 15: Cumulative Average Return for various industries in response to nuclear threat on February 12th 2013

Retail Health Administrative Agriculture Mining Manufacturing Trade Financial Care Entertainment Service Public Administration

CAR1 3.6*** 8.65*** 7.58*** 1.65*** 4.38*** 5.92*** 3.83*** 2.00** 0.48

CAR2 5.06*** 11.67*** 10.49*** 2.60*** 5.69*** 8.31*** 5.30*** 2.62*** 1.08

CAR3 6.39*** 14.11*** 12.74*** 3.54*** 6.76*** 10.08*** 6.70*** 3.38*** 1.91**

CAR4 7.47*** 16.02*** 14.2*** 4.43*** 7.59*** 11.25*** 7.75*** 4.04*** 2.24**

CAR5 8.44*** 17.66*** 15.48** 5.28*** 8.27*** 12.37*** 8.56*** 4.65*** 2.55**

CAR6 9.25*** 18.97*** 16.40*** 5.93*** 8.81*** 13.14*** 9.24*** 5.04*** 2.95***

CAR7 10.04*** 20.06*** 17.00*** 6.38*** 9.15*** 13.63*** 9.69*** 5.39*** 3.36***

CAR8 10.73*** 20.93*** 17.38*** 6.48*** 9.50*** 14.10*** 9.91*** 5.64*** 3.69***

CAR9 11.42*** 21.90*** 17.72*** 6.54*** 9.86*** 14.59*** 9.92*** 5.89*** 4.05***

CAR10 12.19*** 22.83*** 18.03*** 6.71*** 10.14*** 14.85*** 9.87*** 6.17*** 4.49***

KAR1 2.83*** 6.90*** 6.00*** 1.21 3.63*** 4.61*** 2.99*** 1.72** 0.30

KAR2 3.60*** 8.65*** 7.58*** 1.65* 4.38*** 5.92*** 3.83*** 2.00** 0.48

KAR3 4.32*** 10.05*** 8.95*** 2.05** 4.93*** 7.11*** 4.50*** 2.25** 0.73

KAR4 5.06*** 11.67*** 10.49*** 2.6*** 5.69*** 8.31*** 5.30*** 2.62*** 1.08

KAR5 5.73*** 12.88*** 11.64*** 3.06*** 6.18*** 9.25*** 6.02*** 2.99*** 1.48*

KAR6 6.39*** 14.11*** 12.74*** 3.54*** 6.76*** 10.08*** 6.70*** 3.38*** 1.91**

KAR7 6.95*** 15.16*** 13.50*** 3.96*** 7.20*** 10.69*** 7.21*** 3.74*** 2.10**

KAR8 7.47*** 16.02*** 14.20*** 4.43*** 7.59*** 11.25*** 7.75*** 4.04*** 2.24**

KAR9 8.00*** 16.92*** 14.93*** 4.88*** 7.96*** 11.88*** 8.21*** 4.37*** 2.41**

KAR10 8.44*** 17.66*** 15.48*** 5.28*** 8.27*** 12.37*** 8.56*** 4.65*** 2.55** *, **, *** indicate significance levels of 10%, 5% and 1% respectively.

pg. 30 The following charts provide brief descriptive statistics of both indexes for their subsequent estimation windows. The charts show that the KOSPI and MSCI have a very similar pattern.

Graph 1: Estimation window for August 31st, 1998

August 31st 1998 1400 1200 1000 800 600 400 MSCI 200 KOSPI 0

Graph 2: Estimation window for July 5th, 2006

July 5th 2006 1500 1450 1400 1350 1300 1250 MSCI 1200 KOSPI 1150 1100 1050 1000

pg. 31 Graph 3: Estimation window for October 9th, 2006

October 9th 2006 1500 1450 1400 1350 1300 1250 1200 MSCI 1150 1100 KOSPI 1050 1000

Graph 4: Estimation window for April 5th, 2009

April 5th 2009 1600 1400 1200 1000 800 600 MSCI 400 KOSPI 200 0

pg. 32 Graph 5: Estimation window for May 25th, 2009

May 25th 2009 1600 1400 1200 1000 800 600 MSCI 400 200 KOSPI 0

Graph 6: Estimation window for February 12th, 2013

February 12th 2013 2500

2000

1500

1000 MSCI KOSPI 500

0

pg. 33 Table 16: Descriptive statistics of the estimations windows for all event days.

Date Index Mean SD Min Median Max August 31st 1998 MSCI 1066.167102 37.852178 937.092 1073.263 1142.95 KOSPI 366.8340157 69.975519 280 336.63 536.16 July 5th 2006 MSCI 1321.408406 33.247995 1243.938 1318.539 1406.275 KOSPI 1343.320234 62.933443 1203.86 1336.315 1464.7 October 9th 2006 MSCI 1336.087323 38.596394 1243.938 1337.718 1406.275 KOSPI 1326.71252 61.880082 1203.86 1325.49 1464.7 April 5th 2009 MSCI 854.6164252 66.359014 688.638 857.929 1007.645 KOSPI 1132.099449 79.974745 938.75 1128.73 1338.26 th May 25 2009 MSCI 859.9918819 66.838816 688.638 862.248 994.498 KOSPI 1217.323937 116.37268 1018.81 1179.84 1435.7 February 12th 2013 MSCI 1333.980031 43.148178 1253.305 1326.6005 1419.815 KOSPI 1953.620078 39.700146 1860.83 1954.18 2031.1

pg. 34 Table 17: Summary Cumulative Average Return per firm on August 31st, 1998

Firms CAR10 AMOREPACIFIC GROUP 0.7319489 ANAM ELECTRONICS 9.468202 ASIA CEMENT 33.38024 ASIA PAPER MNFG. 39.7361 AUK 37.54309 AUTOMOBILE & PCB 45.47725 BAEKKWANG MRL.PRDS. 9.321064 BING-GRAE 22.21329 BOHAE BREWERY 37.33018 BOLAK 47.59152 BOOKOOK SECURITIES 15.83495 BOOKOOK STEEL 18.502 BORNEO INTL.FRTR. -8.785048 BORYUNG PHARM. 16.19285 BUKWANG PHARMACEUTICAL INDUSTRIAL 43.97079 BUSAN CITY GAS 4.801938 BUSAN INDUSTRIAL 144.5082 BYC 22.11299 BYUCKSAN 28.56193 BYUCKSAN ENGR.& CON. 9.126229 CAPRO 5.979022 CENTURY -6.413226 CHARM ENGINEERING -17.18414 CHEIL INDUSTRIES 12.28667 CHEJU BANK -11.10738 CHIN HUNG INTL. 8.379176 CHIN YANG INDUSTRY 17.29218 CHINYANG POLY URETHANE 38.65115 CHO BI 44.77628 CHO KWANG LEATHER 27.95481 CHOHEUNG 28.23335 CHOIL ALUMINIUM 43.96423 CHOKWANG PAINT 66.16788 CHONBANG 65.49998 CHONGKUNDANG 5.7202 CHOSUN REFRACTORIES 35.07112 CHUNG HO COMNET 8.991701 CHUNIL EXPRESS 60.0205 CJ 7.879602

pg. 35 CJ KOREA EXPRESS 22.77245 CJ SEAFOOD -10.06954 COMTEC SYSTEMS 61.16887 COSMO ADVANCED MATERIALS & TECHNOLOGY 32.62505 COSMO CHEMICAL -30.4381 CROWN CONFECTIONERY 65.71386 CS HOLDINGS 63.97439 D I 39.41497 DAE HYUN 39.39027 DAECHANG 10.04839 DAECHANG FORGING 77.26146 DAEDONG INDUSTRIAL 30.34912 DAEDUCK ELECTRONICS 18.62165 DAEDUCK GDS 14.91454 DAEGU DEPT.STORE -8.412375 DAEHAN FLOUR MILLS -3.560673 DAEHAN SYNTHETIC FIBER 14.59314 DAEKYUNG MCH.& ENGR. 25.42917 DAELIM B&CO 72.35249 DAELIM INDUSTRIAL 15.09054 DAELIM TRADING 16.01485 DAESANG 36.56187 DAESUNG GROUP PARTNERS 20.43067 DAEWON CABLE -71.24176 DAEWONKANGUP 38.34573 DAEWOO ELT.COMPNS. 12.33786 DAEWOO SECURITIES 12.66121 DAEWOONG -11.15357 DAEYOUNG PACKAGING 11.10431 DAI YANG METAL 12.34517 DAIDONG ELECTRONICS 20.35002 DAISHIN SECURITIES 25.39888 DAOU TECHNOLOGY 18.6861 DAOUINCUBE 59.31543 DAYOU AUTOMOTIVE SEAT TECHNOLOGY -6.973487 DAYOU SMART ALUMINUM -18.43571 DONG IL 38.48977 DONG WHA PHARM. -21.48847 DONG-A SOCIO HOLDINGS 11.14804 DONGAH TIRE & RUB. 3.8264 DONGAONE 25.71013 DONGBANG AGRO 32.65212

pg. 36 DONGBANG TRAN.& LOGIST. 74.56927 DONGBU 35.60564 DONGBU CNI 47.68414 DONGBU HITEK 34.28003 DONGBU INSURANCE 22.33626 DONGBU SECURITIES 22.43289 DONGBU STEEL 29.00329 DONGIL PAPER 29.86101 DONGKOOK IND. 100.7821 DONGKUK STEEL MILL 26.22054 DONGNAM CHEMICAL 17.32354 DONGSUNG CHEMICAL 16.01651 DONGSUNG PHARM. 19.90509 DONGWON 115.7214 DONGWON FISHERIES 116.5062 DONGWON INDUSTRY 10.10157 DONGWON METAL 54.16776 DONGWON SYSTEMS 9.736417 DONGYANG ENGR. & CON. 36.66916 DONGYANG MECHATRONICS 40.63124 DONGYANG STEEL PIPE 16.29543 DOOSAN 0.7274632 DOOSAN ENGR.& CON. 5.65922 DRB HOLDING 29.79757 DUCK YANG IND. 41.70207 DUKSUNG 11.70196 DUZONBIZON 6.180321 E-STARCO 13.77739 E1 10.76325 EAGON INDL. 31.84618 ENEX -1.839785 EUGENE INV.& SECURITIES 31.43528 F&F 5.715934 FIRSTEC 43.89247 FURSYS 25.34102 GAON CABLE 27.65761 GLOBAL &YUASA BTRY. -8.448967 GOLDEN BDG.INV.& SECS. SUSP - SUSP.10/06/13 27.39303 GREEN CROSS 3.67632 GREEN CROSS HDG. 13.88137 GS ENGR. & CON. 11.30475 GS GLOBAL 7.184137 GSINSTRUMENTS 34.85131

pg. 37 HAE IN -3.888645 HALLA ENGR.& CON. 89.17872 HALLA VISTEON CLIMATE CONTROL 22.4166 HAN CHANG 16.55008 HANALL BIOPHARMA -2.958545 HANCHANG PAPER 21.65788 HANDOK 50.95435 HANDSOME 22.40072 HANEXPRESS 25.30302 HANIL CEMENT 18.55527 HANIL E-HWA 40.9036 HANIL IRON & STEEL 50.63826 HANJIN HVIND.& CON.HDG. -4.058708 HANJIN SHIPPING HDG. 12.7417 HANJIN TRANPORTATION 56.22943 HANKOOK COSMETICS MNFG. 10.64385 HANKOOK SHELL OIL 26.54544 HANKOOK STEEL 34.45727 HANKOOK TIRE WORLDWIDE -1.34746 HANKUK CARBON 12.0226 HANKUK GLASS INDUSTRIES 11.98788 HANKUK PAPER MNFG. 8.590999 HANMI SCIENCE 10.35099 HANSHIN CONSTRUCTION 6.620008 HANSHIN MACHINERY 23.79852 HANSOL ARTONE PAPER 17.07071 HANSOL CHEMICAL 25.78391 HANSOL CSN 21.61385 HANSOL PAPER MNFG. 6.967689 HANSOL PNS 12.20316 HANSOL TECHNICS 97.20813 HANSUNG ENTERPRISE 88.38101 HANWHA 20.65323 HANWHA CHEMICAL 4.820106 HANWHA GENERAL INSURANCE 12.49668 HANWHA INVESTMENT&SECS. 16.62529 HANWHA TIMEWORLD 21.31061 HANYANG SECURITIES 23.18776 HEUNG-A SHIPPING 28.79412 HEUNGKUK F&M.IN. 9.420395 HITEJINRO HOLDINGS 13.65709 HMC INVESTMENT SECS. 24.9948 HOTEL SHILLA -6.638852

pg. 38 HS INDS. 28.87101 HS R & A 39.68509 HUNEED TECHNOLOGIES 23.75011 HUSTEEL 31.06062 HWACHEON MACHINERY 8.782304 HWANGKUM STL.& TECH. 13.32086 HWASHIN 60.96615 HWASUNG INDUSTRIAL 16.92205 HYOSUNG 12.47779 HYUNDAI 12.59381 HYUNDAI BNG STEEL 13.20199 HYUNDAI CEMENT 13.60451 HYUNDAI DEV. 1.018458 HYUNDAI ELEVATOR -6.938964 HYUNDAI ENGR.& CON. 4.166767 HYUNDAI GREEN FOOD -14.42798 HYUNDAI HYSCO 27.67595 HYUNDAI MARINE & FIRE IN. 17.36242 HYUNDAI MERCHANT MARINE 5.796825 HYUNDAI MIPO DOCKYARD 1.453468 HYUNDAI MOBIS 13.71679 HYUNDAI MOTOR 10.24654 HYUNDAI P&C SUSP - 23/07/13 38.75655 HYUNDAI PHARM. 33.89008 HYUNDAI SECURITIES 8.293625 HYUNDAI STEEL 2.312196 IB WORLDWIDE 11.04497 IHQ 21.983 IL DONG PHARM. -38.95037 IL JEONG INDUSTRIAL 23.66647 IL SHIN STONE -14.04302 IL SUNG CONSTRUCTION -10.8066 ILJIN HOLDINGS 53.88354 ILSHIN SPINNING -3.625596 ILSUNG PHARMS. 0.7012669 ILYANG PHARM. 7.040098 IN THE F 16.86941 INDUSTRIAL BANK OF KOREA 9.424062 INFAC 19.7071 INZICONTROLS 64.34191 IS DONGSEO 49.33123 ISU CHEMICAL 13.94989 JEIL PHARMACEUTICAL 11.3838

pg. 39 JICO 45.76011 JW PHARMACEUTICAL 4.005587 KC GREEN HOLDINGS 10.05909 KCC 16.31452 KCTC 0.7406847 KEANG NAM ENTERPRISES 20.06956 KEC HOLDINGS 13.29181 KEUNWHA PHARM. 10.71507 KEYANG ELEC.MCH. 16.87372 KEYSTONE GLOBAL 68.87664 KG CHEMICAL 37.85242 KIA MOTORS 34.48147 KISCO HOLDINGS 30.76898 KISWIRE 5.852744 KLEANNARA 65.06294 KOLON 11.73604 KOLONGLOBALCORPORATION 20.90196 KOREA AIRPORT SER. 21.26938 KOREA CAST IRON PIPE IND. 11.68406 KOREA CIRCUIT 0.8407404 KOREA DEV.FINANCING 7.346065 KOREA DEVELOPMENT 7.939385 KOREA ELEC. TERMINAL -8.913083 KOREA ELECTRIC POWER 13.26752 KOREA EXPORT PACK.INDL. 36.91422 KOREA FLANGE 55.37488 KOREA INDL. 122.0628 KOREA KOLMAR HOLDINGS 34.24161 KOREA LINE 13.62753 KOREA PETROLEUM INDL. 56.97102 KOREA REFRACTORIES -2.739898 KOREA STEEL SHAPES 68.67089 KOREA ZINC 8.538456 KOREAN AIR LINES -2.780465 KOREAN REINSURANCE -27.83161 KP&L 56.20776 KPX CHEMICAL 19.27525 KPX FINE CHEMICAL 7.451065 KTB INVESTMENT&SECS. 2.540079 KUKBO TRSP. 64.02599 KUKDO CHEMICAL 16.81516 KUKDONG 42.69832 KUKDONG OIL & CHM. 29.80427

pg. 40 KUKJE PHARM.INDL. 20.626 KUM YANG 12.68747 KUMBI 96.58881 KUMHO ELECTRIC 47.02148 KUMHO INDUSTRIAL 18.12814 KUMHO INVESTMENT BANK -1.032392 KUMHO PETRO CHEMICAL 12.37496 KUMKANG KIND -0.502948 KUNSUL CHEMICAL INDL. 5.502645 KWANG DONG PHARM. 4.30864 KWANG MYUNG ELEC.ENGR. -2.498165 KYE-RYONG CON.INDL. 29.0697 KYUNG DONG NAVIEN 28.80961 KYUNG IN ELT. 42.62862 KYUNG NONG 25.4304 KYUNGBANG 45.85622 KYUNGDONG CITY GAS 12.14416 KYUNGIN SYNTHETIC 27.41664 KYUNGNAM ENERGY 11.55462 LEE KU INDL. -14.47083 LG 11.57954 LG INTL. 14.15996 LIG INSURANCE 18.48877 LOGISTICS ENERGY KOREA 80.38253 LOTTE CHEMICAL 3.589952 LOTTE CHILSUNG 2.458263 LOTTE CONFECTIONERY -0.002741 LOTTE FOOD 6.674119 LOTTE NON-LIFE IN. 9.669961 LS 23.01431 LS INDUSTRIAL SYS. 24.08767 LS NETWORKS -56.8461 MANHO ROPE & WIRE -35.91157 MERITZ FIRE & MAR.IN. 15.4703 MERITZ SECS. 15.58632 MHETHANOL 10.901 MICHANG OIL IND. 30.16308 MIRAE 4.257063 MIWON COMMERCIAL 37.44949 MONALISA 0.6306809 MONAMI 27.24483 MOONBAE STEEL 52.9736 MOORIM P&P 14.58144

pg. 41 MOORIM PAPER 13.42643 MOTONIC 34.44051 NAMHAE CHEMICAL 2.809104 NAMKWANG ENGR.& CON. 7.552116 NAMSUN ALUM. -1.883965 NAMSUNG 52.21057 NAMYANG DAIRY PRDS. 20.74096 NAMYEUNG VIVIEN -10.13478 NARA KIC 19.08221 NATIONAL PLASTIC 40.5866 NEXEN 18.08739 NEXEN TIRE 13.93007 NH INVESTMENT & SECS. 8.656894 NI STEEL 1.973152 NONGSHIM 3.522992 NOROO HOLDINGS 42.16027 OCI 9.558473 ORIENTBIO 25.53469 ORION 35.73211 OTTOGI 17.51784 OYANG 102.3971 PAIK KWANG IND. 24.49817 PAN-PACIFIC 31.29173 PANG RIM 22.97946 PAPERCOREA 12.69065 PHARMICELL 146.4306 POONGSAN HOLDINGS 6.351638 POSCO 3.096252 PULMUONE HOLDINGS 46.09893 PUM YANG CON. SUSP - SUSP.11/06/12 -5.545162 PUSAN CAST IRON 44.61847 PYUNG HWA HOLDINGS 36.1481 RIFA INDUSTRIAL 37.76503 ROCKET ELECTRIC 13.84518 S&T DYNAMICS 18.41174 S&T MOTORS 39.22593 S-1 4.081194 S-OIL 0.0156926 SAJO INDUSTRIES 99.56049 SAJODAERIM 46.96812 SAM HWA PAINTS INDL. 18.80025 SAM JIN PHARM. 17.94057 SAM WHAN 29.24488

pg. 42 SAM YOUNG CHM. 28.37607 SAM YOUNG ELTN. 23.80446 SAM YUNG TRADING 37.27302 SAM-A ALUMINIUM 19.01978 SAMBU CON. 7.762864 SAMCHULLY 24.15221 SAMHO INTL. 14.47219 SAMHWA CROWN & CLOSURE 42.58231 SAMICK MUSICAL INSTS. -40.35787 SAMICK THK 41.16064 SAMIL PHARM. 30.00394 SAMKWANG GLASS 28.38423 SAMLIP GEN.FOODS 10.22297 SAMSUNG C & T 7.365132 SAMSUNG CLIMATE CONTROL 21.91839 SAMSUNG ELECTRONICS 11.52016 SAMSUNG ELTO.MECHANICS 10.18952 SAMSUNG ENGINEERING 19.00452 SAMSUNG FINE CHEMICALS 11.43923 SAMSUNG FIRE & MAR.IN. 8.892872 SAMSUNG HEAVY INDS. -4.872827 SAMSUNG PHARM.IND. -8.956202 SAMSUNG SDI 7.038093 SAMSUNG SECURITIES 7.606258 SAMSUNG TECHWIN 22.13356 SAMWHA CAPACITOR 20.53513 SAMWHA ELECTRIC 20.81059 SAMWHA ELECTRONICS 45.57391 SAMWHAN CAMUS 27.92549 SAMYANG ENTECH 29.16174 SAMYANG GENEX 16.76449 SAMYANG HOLDINGS 27.24159 SAMYANG TONGSANG -7.309065 SAMYANGFOODS 17.30308 SAMYUNG HDG. 50.81939 SC ENGINEERING 28.95521 SCHNELL BIOPH. 127.2509 SEAH BESTEEL 16.60727 SEAH STEEL 42.77687 SEBANG 62.65656 SEHA 31.70875 SEMPIO FOODS -2.72843 SEONDO ELECTRIC 0.4682891

pg. 43 SEONG AN -8.351963 SEOUL CITY GAS 18.47751 SEOUL FOOD INDL. 60.49637 SEOWON 32.49884 SEWON PRECISION IND. 49.65136 SEWOO GLOBAL 28.25851 SG 21.09766 SG CHOONGNAM SPINNING 143.3481 SH ENERGY & CHEMICAL 10.00546 SHIN HAN ENGR.&CON. 5.836506 - SHIN POONG PHARM. 0.1616533 SHIN WON 12.71533 SHINDAEYANG PAPER 9.759117 SHINHAN FINL.GROUP -7.530682 SHINHUNG 18.677 SHINHWASILUP 28.30914 SHINIL ENGINEERING SUSP - SUSP.20/03/13 22.06957 SHINIL INDL. 17.70317 - SHINPOONG PAPER MNFG. 0.6931552 SHINSEGAE 12.69264 SHINSUNG SOLAR ENERGY 2.874578 SHINSUNG TONGSANG 32.87088 SHINWOO 23.28192 SHINYOUNG SECS. 7.962696 SHINYOUNG WACOAL -1.418076 SILLA 3.285952 SIMPAC 5.859711 SINDOH 7.392215 SJM HOLDINGS 11.98582 SK CHEMICALS 29.45875 SK GAS 10.6817 SK HOLDINGS 5.335994 SK HYNIX 22.45173 SK NETWORKS 10.84126 SK SECURITIES 24.48895 SK TELECOM -3.3839 SKC 9.057639 SL 31.07302 SONGWON INDL. 31.53142 SOOSAN HEAVY INDS. 10.90162 SSANGYONG CEMENT INDL. 1.867913 SSANGYONG MOTOR 1.066875

pg. 44 STX 8.555941 SUHEUNG CAPSULE 2.35799 SUNCHANG 18.64709 SUNGBO CHEMICAL 13.45626 SUNGCHANG ENTER.HDG. 21.25324 SUNGJEE CONSTRUCTION 9.094151 SUNGMOON ELTN. 26.11132 SUNGSHIN CEMENT 53.58244 SUNNY ELECTRONICS 11.29237 SY 6.981225 T'WAY HOLDINGS 21.10547 TAE KYUNG CHM. -29.97543 TAE WON MULSAN 84.75833 TAEKWANG INDL. 4.82318 TAEKYUNG INDL. 17.92525 TAEYANG METAL INDL. -25.83061 TAEYOUNG ENGR.& CON. 26.66451 TAIHAN ELECTRIC WIRE 29.75655 TAIHAN TEXTILE 122.9293 TAILIM PACK.INDL. 16.56797 TCC STEEL 33.64623 TEC&CO. 17.89382 THE WILLBES & COMPANY -4.879894 THN 48.16287 TONG YANG MOOLSAN 28.0145 TONGYANG 5.877801 TONGYANG SECURITIES 20.83211 TRANSDERMAL ASIA HDG. 32.24148 TS 11.3132 UNI CHEM 3.02748 UNION 22.66981 UNION STEEL 22.42482 VGX INTERNATIONAL 50.54454 WHAN IN PHARM. 50.22839 WISCOM 18.03965 WONLIM 53.63977 WOONGJIN CHEMICAL 17.96282 WOONGJIN HOLDINGS 41.37308 WOONGJIN THINKBIG 41.37421 WOORI FINANCIAL 2.615491 WOORI INV.& SECS. 14.74634 WOORIDUL PHARMACEUTICAL 25.274 WOOSUNG FEED 42.42696

pg. 45 YBROAD 18.78875 YEONGHWA METAL 38.02372 YESCO 37.1947 YOO SUNG ENTER. 77.49113 YOUL CHON CHEMICAL 5.417653 YOUNG POONG 12.18827 YOUNG POONG PAPER 17.79692 YOUNGBO CHEMICAL 17.46279 YOUNGONE HOLDINGS 3.040677 YUHAN 5.00518 YUHWA SECS. 5.1953 YUNGJIN PHARM IND. -27.7754 YUYANG D&U -1.994149 YUYU PHARMA 13.3111

pg. 46 Table 18: Summary Cumulative Average Return per firm on July 5th, 2006

Firms CAR10 ABLE C&C -14.64184 AK HOLDINGS 1.231287 AMOREPACIFIC GROUP -59.00294 ANAM ELECTRONICS -4.085436 ASIA CEMENT 1.760102 - ASIA PAC.NO.10 SHIP INV. 0.1788227 ASIA PAC.NO.11 SHIP INV. 0.5779675 ASIA PAC.NO.12 SHIP INV. 0.5797907 ASIA PAC.NO.13 SHIP INV. 2.480094 ASIA PAC.NO.14 SHIP INV. 1.284085 ASIA PAC.NO.15 SHIP INV. 1.872418 ASIA PAC.NO.3 SHIP INV. 0.6328761 ASIA PAC.NO.5 SHIP INV. 1.675302 ASIA PAC.NO.6 SHIP INV. 1.876738 - ASIA PAC.NO.7 SHIP INV. 0.9903824 - ASIA PAC.NO.8 SHIP INV. 0.9731835 ASIA PAC.NO.9 SHIP INV. 2.802665 ASIA PACIFIC NO.1 SHIP INV. -1.041117 ASIA PACIFIC NO.2 SHIP INV. 1.010469 ASIA PACIFIC NO.4 SHIP INV. 2.808702 ASIA PAPER MNFG. -21.3789 ASIANA AIRLINES -28.17512 AUK -1.602573 AUTOMOBILE & PCB -11.13059 BAEKKWANG MRL.PRDS. 0.1368999 BAIKSAN -4.857201 BING-GRAE -7.690035 BOHAE BREWERY -16.8327 BOLAK -3.282526 BOOKOOK SECURITIES -10.35462 BOOKOOK STEEL -3.269502 BORNEO INTL.FRTR. -8.663237 BORYUNG PHARM. -15.56085 BUKWANG PHARMACEUTICAL INDUSTRIAL 5.246848 BUSAN CITY GAS -2.306536 BUSAN INDUSTRIAL -2.161098 BYC -10.31281 BYUCKSAN 1.967178

pg. 47 BYUCKSAN ENGR.& CON. 0.3979461 - CAPRO 0.6701449 CENTURY -4.013714 CHARM ENGINEERING 7.808896 CHASYS 3.123851 CHEIL INDUSTRIES 6.608473 CHEIL WORLDWIDE -2.002507 CHEJU BANK -6.363181 CHIN HUNG INTL. 3.556015 CHIN YANG CHEMICAL -13.35546 CHIN YANG INDUSTRY -7.11413 CHINYANG POLY URETHANE -8.347817 CHO BI -8.59663 CHO KWANG LEATHER 3.742112 CHOHEUNG 2.698402 CHOIL ALUMINIUM -2.13625 CHOKWANG PAINT -11.72483 CHONBANG 0.5635679 CHONGKUNDANG 2.568649 CHOSUN REFRACTORIES -3.620137 CHUNG HO COMNET 2.87551 CHUNIL EXPRESS -22.91378 CJ -17.21311 CJ CGV 10.55696 CJ KOREA EXPRESS -13.49441 CJ SEAFOOD -31.74547 CKD BIO 0.9006851 COMTEC SYSTEMS -9.807396 COSMAX 1.311817 COSMO ADVANCED MATERIALS & TECHNOLOGY -11.794 COSMO CHEMICAL 3.243724 COWAY 9.134771 CROWN CONFECTIONERY -22.77173 - CS HOLDINGS 0.6431695 D I 4.513233 DAE HYUN -12.67664 DAECHANG 15.03949 DAECHANG FORGING -9.33818 DAEDONG INDUSTRIAL -2.708573 DAEDUCK ELECTRONICS 5.582881 DAEDUCK GDS -8.157382

pg. 48 - DAEGU DEPT.STORE 0.7422683 DAEHAN FLOUR MILLS -5.759012 - DAEHAN SYNTHETIC FIBER 0.8111548 DAEHO AL 11.40585 DAEKYO 8.384661 DAEKYUNG MCH.& ENGR. -5.329688 DAELIM B&CO -2.99626 DAELIM INDUSTRIAL 10.06434 DAELIM TRADING -6.324069 DAESANG 9.530792 - DAESANG HOLDINGS 0.3953586 DAESUNG GROUP PARTNERS -6.223888 DAESUNG HOLDINGS 1.006981 DAEWON CABLE 3.345744 DAEWON CHEMICAL -15.08409 DAEWON PHARM. 0.7193208 DAEWONKANGUP 8.799982 DAEWOO ELT.COMPNS. -22.27398 DAEWOO ENGR.& CON. 6.534048 DAEWOO INTERNATIONAL -3.096747 DAEWOO SECURITIES -19.1325 DAEWOO SHIPBLDG.& MAR. ENGR. 5.059086 DAEWOONG -9.538694 DAEWOONG PHARM. 3.722271 DAEYOUNG PACKAGING -10.42072 DAI YANG METAL 4.169758 DAIDONG ELECTRONICS -10.39943 DAISHIN SECURITIES -10.58671 DAOU TECHNOLOGY -21.64996 DAOUINCUBE -12.27167 DAYOU AUTOMOTIVE SEAT TECHNOLOGY -6.257819 DAYOU SMART ALUMINUM -17.78822 DCM -4.124277 DIGITAL POWER COMMS. 0.0034897 DONG IL -7.992365 DONG WHA PHARM. 4.494731 DONG-A SOCIO HOLDINGS 8.682445 DONG-A STEEL TECH. -10.14208 - DONGAH TIRE & RUB. 0.7585622 DONGAONE 16.60128 DONGBANG AGRO -1.518002

pg. 49 DONGBANG TRAN.& LOGIST. 9.850466 DONGBU -10.0885 DONGBU CNI -6.018851 DONGBU HITEK 14.39503 DONGBU INSURANCE -12.2694 DONGBU SECURITIES -17.86404 DONGBU STEEL 15.10857 DONGBUKA NO.10 SHIP INV. 4.508101 DONGBUKA NO.13 SHIP INV. 4.175999 - DONGBUKA NO.14 SHIP INV. 0.8840421 DONGBUKA NO.3 SHIP INV. 1.677584 DONGBUKA NO.4 SHIP INV. 2.281865 DONGBUKA NO.5 SHIP INV. 1.950064 DONGIL INDUSTRIES -2.35886 DONGIL PAPER -3.191643 DONGKOOK IND. 0.1759296 DONGKUK STEEL MILL -6.612395 DONGNAM CHEMICAL 1.566198 DONGSUNG CHEMICAL 2.379564 DONGSUNG PHARM. -1.999065 DONGWON -4.672059 DONGWON F & B -7.880518 DONGWON FISHERIES 5.526159 DONGWON INDUSTRY 24.28665 DONGWON METAL -4.553166 DONGWON SYSTEMS -3.753635 DONGYANG ENGR. & CON. 0.1051748 DONGYANG EXPRESS -13.37776 DONGYANG MECHATRONICS 1.63226 DONGYANG STEEL PIPE -3.401708 DOOSAN 10.33996 DOOSAN ENGR.& CON. -12.44116 DOOSAN HVY.INDS.AND CON. 4.595523 DOOSAN INFRACORE 4.984675 DRB HOLDING -5.437829 DSR WIRE 25.45764 DUCK YANG IND. -2.536569 DUKSUNG -5.549322 DUZONBIZON -30.03251 E-STARCO -10.73841 E-WORLD -1.948561 E1 9.419959

pg. 50 EAGON INDL. -28.90441 EN3 1.515084 ENEX -2.905047 EUGENE INV.& SECURITIES 9.39294 F&F 11.8036 FARMSCO -4.29491 FEELUX -16.49066 FIRSTEC -3.905423 FURSYS 0.3984589 G2R -1.81274 GAON CABLE 0.2241924 GLOBAL &YUASA BTRY. 4.206931 GOLDEN BDG.INV.& SECS. SUSP - SUSP.10/06/13 -40.15872 GREEN CROSS -7.718879 GREEN CROSS HDG. 9.613358 GS ENGR. & CON. 1.621956 GS GLOBAL 9.041988 GS HOLDINGS 12.45493 GSINSTRUMENTS -5.70802 GWANGJU SHINSEGAE -3.752751 HAE IN 0.5316522 HALLA ENGR.& CON. -7.443384 HALLA VISTEON CLIMATE CONTROL -9.689083 HAN CHANG -24.27139 HANA TOUR SERVICE -5.578323 HANALL BIOPHARMA -12.52235 HANCHANG PAPER -12.24934 HANDOK -2.549711 HANDSOME 2.357695 HANEXPRESS -3.871921 HANIL CEMENT 6.047111 HANIL E-HWA -3.454369 HANIL IRON & STEEL 0.8009426 HANJIN HVIND.& CON.HDG. 5.090466 HANJIN SHIPPING HDG. -22.11766 HANJIN TRANPORTATION -23.67287 HANKOOK COSMETICS MNFG. 1.304253 HANKOOK SHELL OIL -6.411735 HANKOOK STEEL -30.88095 HANKOOK TIRE WORLDWIDE -4.97043 - HANKUK CARBON 0.5662498 HANKUK GLASS INDUSTRIES -3.139969

pg. 51 HANKUK PAPER MNFG. -7.568213 HANMI SCIENCE -3.555933 HANMI SEMICONDUCTOR 17.65312 HANNONG CHEMICALS -10.07884 HANSAE YES24 HOLDINGS -19.85659 HANSHIN CONSTRUCTION -12.53311 HANSHIN MACHINERY -14.23163 HANSOL ARTONE PAPER -6.879411 HANSOL CHEMICAL -15.61227 HANSOL CSN -1.103282 HANSOL HOME DECO 0.1647872 HANSOL PAPER MNFG. 2.270518 HANSOL PNS -63.18311 HANSOL TECHNICS 21.5458 HANSSEM -8.118911 HANSUNG ENTERPRISE 0.6217085 HANWHA 1.930139 HANWHA CHEMICAL 10.65038 HANWHA GENERAL INSURANCE 3.665294 HANWHA INVESTMENT&SECS. -4.142579 HANWHA TIMEWORLD -7.608339 HANYANG SECURITIES -4.053766 - HEUNG-A SHIPPING 0.0241377 HEUNGKUK F&M.IN. 23.90108 HISTEEL 2.053784 HITEJINRO HOLDINGS -1.61201 HITRON SYSTEMS -23.0824 HMC INVESTMENT SECS. -8.910809 HOTEL SHILLA 0.893171 HS INDS. -8.724884 HS R & A 8.419962 - HUCHEMS FINE CHEMICAL 0.0738584 HUNEED TECHNOLOGIES -8.826629 HUSTEEL 9.818847 HWACHEON MACHINE TOOL -5.019015 HWACHEON MACHINERY -3.775459 HWANGKUM STL.& TECH. 12.15845 HWASHIN -6.045966 HWASUNG INDUSTRIAL -5.457572 HYOSUNG 1.523195 HYUNDAI 6.88805 HYUNDAI BNG STEEL 4.303045

pg. 52 HYUNDAI CEMENT -12.79086 HYUNDAI DEPARTMENT STORE -2.046106 HYUNDAI DEV. -7.096248 HYUNDAI ELEVATOR 1.089708 HYUNDAI ENGR.& CON. 0.1278683 HYUNDAI GREEN FOOD -10.74858 HYUNDAI HEAVY INDUSTRIES -6.164073 HYUNDAI HYSCO -7.080535 HYUNDAI MARINE & FIRE IN. -23.79829 HYUNDAI MERCHANT MARINE -39.33487 HYUNDAI MIPO DOCKYARD -11.58815 HYUNDAI MOBIS 1.666227 HYUNDAI MOTOR -6.156619 HYUNDAI P&C SUSP - 23/07/13 -30.07585 HYUNDAI PHARM. -1.711665 HYUNDAI SECURITIES -14.5896 HYUNDAI STEEL -8.513851 IB WORLDWIDE 31.71463 IHQ -4.359553 IL DONG PHARM. -7.79513 IL JEONG INDUSTRIAL -1.169534 IL SHIN STONE -1.641583 IL SUNG CONSTRUCTION 0.93754 ILJIN DIAMOND -8.232346 ILJIN DISPLAY 18.88615 - ILJIN HOLDINGS 0.8383344 ILSHIN SPINNING -5.417591 ILSUNG PHARMS. -8.24945 ILYANG PHARM. -7.162692 IN THE F 8.144616 INDUSTRIAL BANK OF KOREA -2.454089 INFAC -13.26231 INZICONTROLS -6.798751 IS DONGSEO -20.12124 - ISU CHEMICAL 0.1798944 ISUPETASYS -1.801947 JAHWA ELECTRONICS -5.419574 - JEIL PHARMACEUTICAL 0.4225497 JICO -14.64363 JW PHARMACEUTICAL -1.216337 K C TECH -18.01369

pg. 53 KANGWON LAND 2.482913 KC GREEN HOLDINGS -15.37008 KCC -2.240431 KCTC -7.71062 KEANG NAM ENTERPRISES -3.726626 KEC HOLDINGS -0.548947 KEUNWHA PHARM. -17.86826 KEYANG ELEC.MCH. -2.289382 KEYSTONE GLOBAL -8.744842 KG CHEMICAL -4.379254 KIA MOTORS -17.35042 KISCO HOLDINGS -8.186766 KISWIRE -13.06045 KIWOOM SECURITIES -5.310757 KLEANNARA 7.839947 KOAS 27.10689 - KOLON 0.4776725 KOLONGLOBALCORPORATION 6.321416 KOREA AIRPORT SER. -12.03194 KOREA CAST IRON PIPE IND. 5.760293 KOREA CIRCUIT -17.17127 KOREA DEV.FINANCING -9.03398 KOREA DEVELOPMENT -2.652477 KOREA ELEC. TERMINAL -9.182949 KOREA ELECTRIC POWER -6.965294 KOREA EXPORT PACK.INDL. -9.891725 KOREA FLANGE -4.343051 KOREA GAS 13.99213 KOREA INDL. -6.048903 KOREA INVESTMENT HDG. 8.094949 KOREA KOLMAR HOLDINGS -5.727948 - KOREA LINE 0.2117403 KOREA PETROCH.IND. 9.569514 KOREA PETROLEUM INDL. -2.206254 KOREA REFRACTORIES -16.29657 KOREA STEEL SHAPES -3.314492 KOREA UNITED PHARM. -6.87168 KOREA ZINC 16.49081 KOREAN AIR LINES -23.97589 KOREAN REINSURANCE 7.125109 KP&L -12.12737 KPX CHEMICAL 1.048349

pg. 54 KPX FINE CHEMICAL -11.92251 KT -2.65567 KT & G 8.741836 KTB INVESTMENT&SECS. -8.311815 KUKBO TRSP. 2.924954 KUKDO CHEMICAL -2.460016 KUKDONG 9.174174 KUKDONG OIL & CHM. 3.6854 KUKJE PHARM.INDL. -26.7186 KUM YANG 6.813968 KUMBI -1.82378 KUMHO ELECTRIC 9.221628 KUMHO INDUSTRIAL -18.99435 KUMHO INVESTMENT BANK 4.9134 KUMHO PETRO CHEMICAL -12.32356 KUMHO TIRES -8.352832 KUMKANG KIND 2.821334 KUNSUL CHEMICAL INDL. 3.624073 KWANG DONG PHARM. -4.92625 - KWANG MYUNG ELEC.ENGR. 0.5786834 KYE-RYONG CON.INDL. -4.064658 KYOBO SECURITIES -10.76632 - KYUNG DONG NAVIEN 0.0207132 KYUNG IN ELT. -1.059433 KYUNG NONG -4.183114 KYUNGBANG -18.04557 - KYUNGDONG CITY GAS 0.0370905 KYUNGIN SYNTHETIC 5.853165 KYUNGNAM ENERGY -4.520424 LEE KU INDL. -5.903514 LG -7.449859 LG CHEM 1.861276 LG DISPLAY 15.07712 LG ELECTRONICS -4.605025 LG HHLD.& HLTH.CARE 10.20625 LG INTL. -21.83939 - LG LIFE SCIENCES 0.6147575 LG UPLUS -33.1703 LIG INSURANCE -29.50838 LOGISTICS ENERGY KOREA -27.87415 LOTTE CHEMICAL 5.834717

pg. 55 LOTTE CHILSUNG 12.12147 LOTTE CONFECTIONERY -3.256612 LOTTE FOOD -2.481913 LOTTE NON-LIFE IN. -4.164455 LS 5.816988 LS INDUSTRIAL SYS. -4.495746 LS NETWORKS 0 MANHO ROPE & WIRE -6.175807 MANIKER -4.007306 MERITZ FIRE & MAR.IN. -23.97709 MERITZ SECS. -8.525952 MHETHANOL -15.10548 MICHANG OIL IND. -4.600023 MIRAE 6.117477 MIWON COMMERCIAL 12.03202 MONALISA 0.1703213 MONAMI -4.829926 MOONBAE STEEL 0.698449 MOORIM P&P 0 MOORIM PAPER 2.306786 MOTONIC -1.720478 MUHAK 1.815463 NAMHAE CHEMICAL -2.537197 NAMKWANG ENGR.& CON. 9.118172 NAMSUN ALUM. 14.14606 NAMSUNG -10.85882 NAMYANG DAIRY PRDS. 1.609951 NAMYEUNG VIVIEN -4.968566 NARA KIC -5.864089 NATIONAL PLASTIC -6.965667 NAVER -9.463883 NCSOFT -18.2672 NEXEN -1.136908 NEXEN TIRE 1.835854 NH INVESTMENT & SECS. -29.89811 NI STEEL 6.08835 NICE HOLDINGS 1.138564 NONG SHIM HDG. -11.79672 NONGSHIM -4.901627 NOROO HOLDINGS -14.60064 OCI 1.271639 ORIENTBIO -8.092448 ORION -5.935832

pg. 56 OTTOGI -6.62617 OYANG -1.636556 PAIK KWANG IND. -7.548941 PAN-PACIFIC -5.891584 PANG RIM -4.330549 PAPERCOREA 1.760948 PHARMICELL -6.19145 PHOENIX COMMS. -1.371212 POONGSAN HOLDINGS 6.429317 POSCO -1.5379 POSCO COATED & COO.STL. 3.768735 PULMUONE HOLDINGS -1.850454 PUM YANG CON. SUSP - SUSP.11/06/12 -12.47322 PUSAN CAST IRON -23.73315 PYUNG HWA HOLDINGS -3.747951 RIFA INDUSTRIAL -14.9161 ROCKET ELECTRIC 18.33443 S & T HOLDINGS -13.83704 S&T DYNAMICS -10.55695 S&T MOTIV 5.646512 S&T MOTORS -9.118751 S-1 2.234942 S-OIL 0.620271 SAJO INDUSTRIES 1.832454 SAJODAERIM -34.90627 SAJOHAEPYO -4.468359 SAM HWA PAINTS INDL. -3.168255 SAM JIN PHARM. 3.669955 SAM WHAN 13.99214 SAM YOUNG CHM. 5.063804 SAM YOUNG ELTN. -3.403202 SAM YUNG TRADING -1.760459 SAM-A ALUMINIUM -4.661441 SAMBU CON. -6.006966 - SAMCHULLY 0.5989075 - SAMHO DEVELOPMENT 0.0802999 SAMHO INTL. 2.818779 SAMHWA CROWN & CLOSURE 12.57994 - SAMICK MUSICAL INSTS. 0.0780879 SAMICK THK -4.688004 SAMIL PHARM. -7.369842

pg. 57 SAMKWANG GLASS -10.81011 - SAMLIP GEN.FOODS 0.6354799 SAMSUNG C & T -4.27245 SAMSUNG CLIMATE CONTROL -11.42437 SAMSUNG ELECTRONICS 2.348331 SAMSUNG ELTO.MECHANICS 4.116789 SAMSUNG ENGINEERING 4.716394 SAMSUNG FINE CHEMICALS -17.15279 SAMSUNG FIRE & MAR.IN. -9.434719 SAMSUNG HEAVY INDS. 0.6595461 SAMSUNG PHARM.IND. -2.616107 SAMSUNG PUBLISHING -8.084686 SAMSUNG SDI -4.423975 SAMSUNG SECURITIES -8.258185 SAMSUNG TECHWIN 17.22515 SAMWHA CAPACITOR -3.654826 SAMWHA ELECTRIC 10.05911 SAMWHA ELECTRONICS -1.801707 SAMWHAN CAMUS 2.119892 SAMYANG ENTECH -8.729083 SAMYANG GENEX -4.00244 SAMYANG HOLDINGS -5.391043 SAMYANG TONGSANG -2.686343 SAMYANGFOODS 5.140958 SAMYUNG HDG. -29.14211 SANGSIN BRAKE IND. -5.697189 SAVEZONE I&C 2.350358 SCHNELL BIOPH. -11.45843 SEAH BESTEEL -10.34198 SEAH HOLDINGS -3.959171 SEAH STEEL 10.09712 SEBANG -1.648175 SEHA 47.35068 SEJONG INDUSTRIAL -9.741637 SEMPIO FOODS -15.99018 SEONDO ELECTRIC -2.366838 SEONG AN -1.877804 SEOUL BROADCASTING SY. -5.845777 SEOUL CITY GAS -6.473232 SEOUL FOOD INDL. -2.944492 SEOWON 3.289459 SEWON PRECISION IND. -2.494403

pg. 58 SEWOO GLOBAL -46.91877 SG -14.06734 SG CHOONGNAM SPINNING 0 SH ENERGY & CHEMICAL 14.28065 SHIN HAN ENGR.&CON. -7.801551 SHIN POONG PHARM. 2.456893 SHIN WON -28.42395 SHINDAEYANG PAPER -5.883113 SHINHAN FINL.GROUP 0.5176128 SHINHUNG 4.876311 SHINHWASILUP 5.360172 SHINIL ENGINEERING SUSP - SUSP.20/03/13 1.328302 SHINIL INDL. -10.5392 SHINPOONG PAPER MNFG. 2.949631 SHINSEGAE 3.784343 SHINSEGAE ENGR.& CON. -9.44473 SHINSEGAE FOOD -6.906527 SHINSEGAE I&C -14.78034 SHINSUNG SOLAR ENERGY -10.99833 SHINSUNG TONGSANG -3.088406 SHINWOO -8.574912 SHINYOUNG SECS. -3.297163 SHINYOUNG WACOAL -5.11941 SILLA -2.382392 SIMPAC 10.29713 SINDOH 6.329717 SJM HOLDINGS -2.157267 SK CHEMICALS 2.83007 SK GAS 4.69435 SK HOLDINGS 5.925869 SK HYNIX 2.461116 SK NETWORKS -25.94863 SK SECURITIES -6.600214 SK TELECOM -5.152147 SKC -2.263347 SL 1.292851 SONGWON INDL. 0.1143148 SOOSAN HEAVY INDS. -11.39137 SSANGYONG CEMENT INDL. 5.009853 SSANGYONG MOTOR -11.04403 STX 6.071147 STX ENGINE 3.568686 STX OFFSHORE & SHIPBLDG. 11.5678

pg. 59 SUHEUNG CAPSULE 9.074723 SUNCHANG 2.83335 SUNGBO CHEMICAL -9.909056 SUNGCHANG ENTER.HDG. -1.652847 SUNGJEE CONSTRUCTION -18.10623 SUNGMOON ELTN. -2.941407 SUNGSHIN CEMENT -7.603533 SUNNY ELECTRONICS 4.822949 SY 8.672877 T'WAY HOLDINGS -6.928987 TAE KYUNG CHM. 0.4272979 TAE WON MULSAN -8.503801 TAEKWANG INDL. -11.43587 TAEKYUNG INDL. 5.919591 TAEYANG METAL INDL. -5.104016 TAEYOUNG ENGR. & CON. -10.68418 - TAIHAN ELECTRIC WIRE 0.9666512 TAIHAN TEXTILE -13.13099 TAILIM PACK.INDL. -1.289808 TCC STEEL -5.780464 TEC&CO. 0.2046998 TELCOWARE 7.184682 THE WILLBES & COMPANY -6.168978 THEALL MEDI BIO -17.34149 THN 27.27547 TONG YANG MOOLSAN -9.749613 TONGYANG -14.46042 TONGYANG NETWORKS -30.30666 TONGYANG SECURITIES -14.35696 TRANSDERMAL ASIA HDG. 13.41583 TS -13.01092 UANGEL -6.680064 UNI CHEM -17.53296 UNID 4.48758 UNION -1.777074 UNION STEEL -12.8856 UNIQUEST 10.55711 VGX INTERNATIONAL -35.22207 WHAN IN PHARM. 11.78452 WISCOM -5.225723 WONLIM -5.090829 WOOJIN PLAIMM -22.78229

pg. 60 WOONGJIN CHEMICAL 4.331057 WOONGJIN HOLDINGS 2.896049 WOONGJIN THINKBIG 2.896049 WOORI FINANCIAL -11.77558 WOORI INV. & SECS. -11.86913 WOORIDUL PHARMACEUTICAL -7.307341 WOORIFINANCE HOLDINGS 1.745532 WOOSHIN SYSTEMS -1.73339 WOOSUNG FEED 7.202732 YBROAD -40.4589 YEONGHWA METAL -4.124943 YESCO 1.284241 YOO SUNG ENTER. 9.331992 YOUL CHON CHEMICAL -3.744565 YOUNG POONG 14.88018 YOUNG POONG PAPER -5.34545 YOUNGBO CHEMICAL 3.992121 YOUNGONE HOLDINGS -11.78548 YUHAN -3.939242 YUHWA SECS. -8.71561 YUNGJIN PHARM IND. -1.200568 YUYANG D&U -11.44542 YUYU PHARMA 6.02076

pg. 61 Table 19: Summary Cumulative Average Return per firm on October 9th, 2006

Firms CAR10 ABLE C&C 14.7767 AK HOLDINGS -3.020924 AMOREPACIFIC GROUP 3.459852 ANAM ELECTRONICS 16.65347 ASIA CEMENT 3.680003 ASIA PAC.NO.10 SHIP INV. 2.149468 ASIA PAC.NO.11 SHIP INV. 0.8422186 ASIA PAC.NO.12 SHIP INV. 2.331961 ASIA PAC.NO.13 SHIP INV. -1.600079 ASIA PAC.NO.14 SHIP INV. 1.156834 ASIA PAC.NO.15 SHIP INV. 0.4610402 ASIA PAC.NO.3 SHIP INV. -1.502895 ASIA PAC.NO.5 SHIP INV. -1.822022 ASIA PAC.NO.6 SHIP INV. 1.46456 - ASIA PAC.NO.7 SHIP INV. 0.4694996 ASIA PAC.NO.8 SHIP INV. 7.651361 - ASIA PAC.NO.9 SHIP INV. 0.8115712 ASIA PACIFIC NO.1 SHIP INV. 0.0565159 ASIA PACIFIC NO.2 SHIP INV. -3.385089 ASIA PACIFIC NO.4 SHIP INV. -2.213244 ASIA PAPER MNFG. -9.330523 ASIANA AIRLINES -8.610107 AUK -2.961951 AUTOMOBILE & PCB -16.02458 BAEKKWANG MRL.PRDS. 0.5882484 - BAIKSAN 0.5707787 BING-GRAE 5.412661 BOHAE BREWERY -5.557109 BOLAK -5.483305 BOOKOOK SECURITIES 11.00002 BOOKOOK STEEL -2.865799 BORNEO INTL.FRTR. 12.80292 BORYUNG PHARM. -12.97952 BUKWANG PHARMACEUTICAL INDUSTRIAL 2.386091 BUSAN CITY GAS 4.705385 BUSAN INDUSTRIAL 55.76081

pg. 62 BYC -7.629276 BYUCKSAN 1.46621 BYUCKSAN ENGR.& CON. 50.80776 CAPRO 18.6691 CENTURY -2.908688 CHARM ENGINEERING 5.566575 CHASYS 26.07402 CHEIL INDUSTRIES -12.99433 CHEIL WORLDWIDE -6.253403 CHEJU BANK 6.260233 CHIN HUNG INTL. 1.040889 CHIN YANG CHEMICAL 11.14337 CHIN YANG INDUSTRY -9.499649 CHINYANG POLY URETHANE -3.960078 CHO BI -6.954108 CHO KWANG LEATHER -7.152205 CHOHEUNG -1.772135 CHOIL ALUMINIUM 0.3310018 CHOKWANG PAINT -2.46787 - CHONBANG 0.9531668 CHONGKUNDANG -7.597782 CHOSUN REFRACTORIES -5.052247 CHUNG HO COMNET -12.88058 CHUNIL EXPRESS 23.10492 CJ -8.366523 CJ CGV -12.75385 CJ KOREA EXPRESS 1.63932 CJ SEAFOOD -22.38589 CKD BIO 11.68637 COMTEC SYSTEMS 28.62692 COSMAX -6.114343 COSMO ADVANCED MATERIALS & TECHNOLOGY -1.179334 COSMO CHEMICAL 7.012873 COWAY 7.070034 CROWN CONFECTIONERY -2.483133 CS HOLDINGS 18.05429 D I 11.51739 DAE HYUN 3.669453 DAECHANG -6.981644 DAECHANG FORGING 7.113898 DAEDONG INDUSTRIAL 2.545477

pg. 63 - DAEDUCK ELECTRONICS 0.7980163 DAEDUCK GDS 4.413433 DAEGU DEPT.STORE 5.974557 DAEHAN FLOUR MILLS 4.335377 DAEHAN STEEL -3.94276 DAEHAN SYNTHETIC FIBER -26.04085 DAEHO AL -14.15567 DAEKYO 6.809415 DAEKYUNG MCH.& ENGR. -1.297602 DAELIM B&CO -3.610627 DAELIM INDUSTRIAL 8.500108 DAELIM TRADING 11.72322 DAESANG -7.56096 DAESANG HOLDINGS -5.156308 DAESUNG GROUP PARTNERS -3.161166 - DAESUNG HOLDINGS 0.6643711 DAEWON CABLE 7.141329 DAEWON CHEMICAL 6.224367 - DAEWON PHARM. 0.4004642 DAEWONKANGUP 10.09336 DAEWOO ELT.COMPNS. -10.41177 DAEWOO ENGR.& CON. 0.4742913 DAEWOO INTERNATIONAL -8.753556 DAEWOO SECURITIES 3.536653 DAEWOO SHIPBLDG.& MAR. ENGR. 4.667282 DAEWOONG 3.824913 DAEWOONG PHARM. 7.539762 DAEYOUNG PACKAGING 2.494028 DAI YANG METAL 6.258976 DAIDONG ELECTRONICS 2.131177 DAISHIN SECURITIES 4.807781 DAOU TECHNOLOGY -12.85125 DAOUINCUBE -3.260223 DAYOU AUTOMOTIVE SEAT TECHNOLOGY 1.135248 DAYOU SMART ALUMINUM -7.548117 DCM 14.50348 DIGITAL POWER COMMS. 5.323342 DONG IL 10.12837 DONG WHA PHARM. -6.021061 DONG-A SOCIO HOLDINGS 5.323508

pg. 64 - DONG-A STEEL TECH. 0.6596767 - DONGAH TIRE & RUB. 0.5622709 DONGAONE -12.87911 DONGBANG AGRO -9.043469 - DONGBANG TRAN.& LOGIST. 0.5156718 - DONGBU 0.0591613 DONGBU CNI -7.973293 DONGBU HITEK -9.655479 DONGBU INSURANCE -9.278772 DONGBU SECURITIES 14.38186 DONGBU STEEL -9.888771 - DONGBUKA NO.10 SHIP INV. 0.9007425 DONGBUKA NO.11 SHIP INV. 3.110224 DONGBUKA NO.12 SHIP INV. 1.242482 DONGBUKA NO.13 SHIP INV. 5.329395 DONGBUKA NO.14 SHIP INV. 0.8113185 DONGBUKA NO.3 SHIP INV. -2.757083 - DONGBUKA NO.4 SHIP INV. 0.3025694 DONGBUKA NO.5 SHIP INV. 0.6406478 DONGIL INDUSTRIES 1.479356 DONGIL PAPER -6.022365 DONGKOOK IND. 0.571755 DONGKUK STEEL MILL -4.289405 DONGNAM CHEMICAL 10.48321 DONGSUNG CHEMICAL 0.6004509 DONGSUNG PHARM. 16.25331 DONGWON -1.303733 DONGWON F & B 0.3113159 DONGWON FISHERIES 4.048521 DONGWON INDUSTRY 0.0639365 DONGWON METAL 21.56626 DONGWON SYSTEMS -6.833799 DONGYANG ENGR. & CON. -1.869715 DONGYANG EXPRESS 7.270396 DONGYANG MECHATRONICS -6.725181 DONGYANG STEEL PIPE 6.29113 DOOSAN -1.036693 DOOSAN ENGR.& CON. -5.208882

pg. 65 DOOSAN HVY.INDS.AND CON. -12.41142 DOOSAN INFRACORE 4.780615 DRB HOLDING -3.829155 DSR WIRE -1.961529 DUCK YANG IND. 2.446675 DUKSUNG -7.089481 DUZONBIZON -2.899901 E-STARCO 3.776661 E-WORLD 1.077104 E1 -1.872667 EAGON INDL. -15.87737 EN3 6.594009 - ENEX 0.9643254 EUGENE INV.& SECURITIES -6.57071 F&F -4.134441 FARMSCO -9.371311 FEELUX -3.222769 - FIRSTEC 0.1619871 FURSYS -16.01682 G2R 2.608778 GAON CABLE 9.613818 GLOBAL &YUASA BTRY. -3.951462 GOLDEN BDG.INV.& SECS. SUSP - SUSP.10/06/13 -24.19091 GREEN CROSS 6.960686 GREEN CROSS HDG. 2.062374 GS ENGR. & CON. -1.906261 GS GLOBAL 18.21222 GS HOLDINGS 0.3805243 GSINSTRUMENTS -21.50461 GWANGJU SHINSEGAE 7.056433 HAE IN -3.587523 HALLA ENGR.& CON. 4.271424 HALLA VISTEON CLIMATE CONTROL -4.131798 HAN CHANG -17.32681 HANA TOUR SERVICE -15.88925 HANALL BIOPHARMA 7.887859 HANCHANG PAPER -11.46102 HANDOK 6.288654 HANDSOME 0.3907247 HANEXPRESS 5.029805

pg. 66 HANIL CEMENT -1.1451 HANIL E-HWA 1.410773 HANIL IRON & STEEL 0.1778548 HANJIN HVIND.& CON.HDG. 10.24538 - HANJIN SHIPPING HDG. 0.4106038 HANJIN TRANPORTATION 23.11547 HANKOOK COSMETICS MNFG. -14.84615 - HANKOOK SHELL OIL 0.3162007 HANKOOK STEEL 0.9556836 HANKOOK TIRE WORLDWIDE 5.258759 HANKUK CARBON -7.65899 HANKUK GLASS INDUSTRIES 16.35672 HANKUK PAPER MNFG. 0.9576139 HANMI SCIENCE 5.269234 HANMI SEMICONDUCTOR 7.498319 HANNONG CHEMICALS 1.823509 - HANSAE YES24 HOLDINGS 0.1189088 HANSHIN CONSTRUCTION -9.985004 HANSHIN MACHINERY -6.642897 HANSOL ARTONE PAPER 1.044798 HANSOL CHEMICAL 1.228999 HANSOL CSN 7.914926 HANSOL HOME DECO 2.367281 HANSOL PAPER MNFG. 6.484567 HANSOL PNS -2.408913 HANSOL TECHNICS -8.186745 HANSSEM 16.0308 HANSUNG ENTERPRISE -3.597535 HANWHA 3.477324 HANWHA CHEMICAL 2.586304 HANWHA GENERAL INSURANCE -1.649072 HANWHA INVESTMENT&SECS. 1.374232 HANWHA TIMEWORLD -1.370541 HANYANG SECURITIES 19.03585 HEUNG-A SHIPPING 17.72302 HEUNGKUK F&M.IN. -16.38896 HISTEEL 3.263621 HITEJINRO HOLDINGS -5.856702 HITRON SYSTEMS 0.3011594 HMC INVESTMENT SECS. 12.90957

pg. 67 HOTEL SHILLA -4.285562 HS INDS. -2.800392 HS R & A -3.944893 HUCHEMS FINE CHEMICAL -9.485285 HUNEED TECHNOLOGIES 2.505538 HUSTEEL 2.43701 HWACHEON MACHINE TOOL -2.986352 HWACHEON MACHINERY -2.948769 HWANGKUM STL.& TECH. 13.8884 HWASHIN 0.9527062 HWASUNG INDUSTRIAL -6.192002 HYOSUNG 9.887883 HYUNDAI -17.33477 HYUNDAI BNG STEEL -6.947 HYUNDAI CEMENT 4.987453 HYUNDAI DEPARTMENT STORE 1.248784 HYUNDAI DEV. 4.442832 HYUNDAI ELEVATOR -5.075343 HYUNDAI ENGR.& CON. -1.037152 HYUNDAI GREEN FOOD 14.35417 HYUNDAI HEAVY INDUSTRIES 10.6167 HYUNDAI HYSCO 5.050986 HYUNDAI MARINE & FIRE IN. -10.91779 HYUNDAI MERCHANT MARINE -10.57185 HYUNDAI MIPO DOCKYARD 10.64986 HYUNDAI MOBIS -4.39015 HYUNDAI MOTOR -4.240629 HYUNDAI P&C SUSP - 23/07/13 -27.51579 HYUNDAI PHARM. 0.1065347 - HYUNDAI SECURITIES 0.4760879 HYUNDAI STEEL -3.635674 IB WORLDWIDE -10.73306 IHQ -7.964711 IL DONG PHARM. -3.079114 IL JEONG INDUSTRIAL 0.18832 IL SHIN STONE -3.3416 IL SUNG CONSTRUCTION -4.611382 ILJIN DIAMOND -12.12817 ILJIN DISPLAY -12.68561 ILJIN HOLDINGS 16.33299 ILSHIN SPINNING 9.211062

pg. 68 ILSUNG PHARMS. -1.267118 ILYANG PHARM. 5.970259 IN THE F -11.20165 INDUSTRIAL BANK OF KOREA -2.635277 INFAC 5.243391 INZICONTROLS -3.571983 IS DONGSEO -9.566566 - ISU CHEMICAL 0.1885234 - ISUPETASYS 0.3706783 JAHWA ELECTRONICS -3.890183 JEIL PHARMACEUTICAL 7.076756 JICO -3.315024 JW PHARMACEUTICAL -2.09212 K C TECH 2.967507 KANGWON LAND -6.104902 KC GREEN HOLDINGS 3.713285 KCC 0.9426386 KCTC 8.10809 KEANG NAM ENTERPRISES 19.81392 KEC HOLDINGS 44.1434 KEUNWHA PHARM. -5.719498 KEYANG ELEC.MCH. 4.803881 KEYSTONE GLOBAL -36.53417 KG CHEMICAL 5.843318 KIA MOTORS -6.368865 KISCO HOLDINGS -2.114539 - KISWIRE 0.4439518 KIWOOM SECURITIES -12.01602 KLEANNARA -8.18212 KOAS 13.77411 KOLON 7.834177 KOLONGLOBALCORPORATION -6.357208 KOREA AIRPORT SER. -2.770418 KOREA CAST IRON PIPE IND. -2.626463 KOREA CIRCUIT 0.900407 KOREA DEV.FINANCING 0.2045777 - KOREA DEVELOPMENT 0.4233627 KOREA ELEC. TERMINAL 0.5815231 KOREA ELECTRIC POWER -5.670937

pg. 69 KOREA EXPORT PACK.INDL. 1.487691 KOREA FLANGE -8.772703 KOREA GAS -1.900283 KOREA INDL. -8.225379 KOREA INVESTMENT HDG. -2.195504 KOREA KOLMAR HOLDINGS 6.328542 KOREA LINE 8.714523 KOREA PETROCH.IND. 10.45809 KOREA PETROLEUM INDL. 2.535401 KOREA REFRACTORIES 3.708465 - KOREA STEEL SHAPES 0.2757418 KOREA UNITED PHARM. 7.523599 KOREA ZINC 9.691838 - KOREAN AIR LINES 0.7209119 KOREAN REINSURANCE -8.909128 KP&L 3.995633 KPX CHEMICAL 4.131633 KPX FINE CHEMICAL -69.14268 KPX GREEN CHEMICAL 0.6973873 KT 0.8204565 KT & G -6.054493 KTB INVESTMENT&SECS. 3.761397 KUKBO TRSP. 0.6663529 KUKDO CHEMICAL -4.061183 KUKDONG 38.47801 KUKDONG OIL & CHM. -8.328167 KUKJE PHARM.INDL. -4.432946 - KUM YANG 0.0308071 KUMBI -8.784364 KUMHO ELECTRIC -1.619177 KUMHO INDUSTRIAL 18.3344 - KUMHO INVESTMENT BANK 0.1576863 KUMHO PETRO CHEMICAL -1.980036 KUMHO TIRES 1.216415 - KUMKANG KIND 0.7598714 KUNSUL CHEMICAL INDL. -3.819663 KWANG DONG PHARM. -2.039833 KWANG MYUNG ELEC.ENGR. 2.825152 KYE-RYONG CON.INDL. -2.75786

pg. 70 KYOBO SECURITIES -3.156583 KYUNG DONG NAVIEN 0.285156 KYUNG IN ELT. 0.0105095 KYUNG NONG -2.025845 KYUNGBANG -5.414639 KYUNGDONG CITY GAS 1.000646 KYUNGIN SYNTHETIC 8.626925 KYUNGNAM ENERGY 2.354271 LEE KU INDL. -1.149974 LG -6.199511 LG CHEM 5.188825 LG DISPLAY -11.41541 LG ELECTRONICS -7.119952 LG HHLD.& HLTH.CARE -6.868329 LG INTL. -2.332545 LG LIFE SCIENCES -6.842361 LG UPLUS -9.563896 LIG INSURANCE 0.4553684 LIVART 8.204556 LOGISTICS ENERGY KOREA -12.46034 LOTTE CHEMICAL 5.133001 LOTTE CHILSUNG -15.08074 LOTTE CONFECTIONERY -7.110536 - LOTTE FOOD 0.4559121 LOTTE NON-LIFE IN. -5.186162 LS 19.09505 LS INDUSTRIAL SYS. -4.556914 LS NETWORKS 0 MANHO ROPE & WIRE 5.895076 MANIKER 2.349636 MERITZ FIRE & MAR.IN. -1.42922 MERITZ SECS. -8.618847 MHETHANOL -7.464696 MICHANG OIL IND. 0.5956506 MIRAE -5.380824 MIWON COMMERCIAL -2.969332 MONALISA -6.949718 MONAMI -1.078033 MOONBAE STEEL 4.28158 MOORIM P&P 0 MOORIM PAPER 8.198652

pg. 71 MOTONIC 2.023987 MUHAK -2.585577 NAMHAE CHEMICAL -7.053271 NAMKWANG ENGR.& CON. -2.676925 NAMSUN ALUM. 15.35311 NAMSUNG -3.726923 NAMYANG DAIRY PRDS. 14.48058 NAMYEUNG VIVIEN 7.775879 NARA KIC -2.248918 NATIONAL PLASTIC 2.06432 NAVER -13.16763 NCSOFT 5.252286 NEXEN -4.599102 NEXEN TIRE 2.550611 NH INVESTMENT & SECS. -20.05944 NI STEEL -3.308522 NICE HOLDINGS -0.337242 NONG SHIM HDG. 1.009191 NONGSHIM -4.925282 NOROO HOLDINGS 4.177308 - OCI 0.0531761 ORIENTBIO 6.352618 ORION 7.364862 OTTOGI -6.644566 OYANG -1.098488 - PAIK KWANG IND. 0.1139373 PAN-PACIFIC 10.2698 PANG RIM 11.18232 PAPERCOREA 2.810387 PHARMICELL -8.171299 PHOENIX COMMS. 1.419127 POONGSAN HOLDINGS -1.314241 POSCO 4.523137 POSCO COATED & COO.STL. 4.204607 PULMUONE HOLDINGS -1.646685 PUM YANG CON. SUSP - SUSP.11/06/12 -2.638921 PUSAN CAST IRON -8.130914 PYUNG HWA HOLDINGS 4.554274 RIFA INDUSTRIAL 5.803547 ROCKET ELECTRIC -11.84549

pg. 72 S & T HOLDINGS -4.367834 S&T DYNAMICS 4.652097 S&T MOTIV 0.8439902 S&T MOTORS -13.17417 S-1 1.341025 S-OIL 3.552637 SAERON AUTOMOTIVE -14.06976 SAJO INDUSTRIES 11.53853 SAJODAERIM -8.651225 SAJOHAEPYO -7.075587 SAM HWA PAINTS INDL. 1.467148 - SAM JIN PHARM. 0.4374288 SAM WHAN 6.219018 SAM YOUNG CHM. 3.676113 SAM YOUNG ELTN. -1.89301 SAM YUNG TRADING -1.427709 SAM-A ALUMINIUM -2.101139 SAMBU CON. -3.299664 SAMCHULLY 3.148269 SAMHO DEVELOPMENT -2.654644 SAMHO INTL. 0.6817741 SAMHWA CROWN & CLOSURE 1.264745 SAMICK MUSICAL INSTS. -9.326962 SAMICK THK -4.423191 SAMIL PHARM. -4.509829 SAMKWANG GLASS -13.00261 SAMLIP GEN.FOODS -6.278457 SAMSUNG C & T -3.331433 SAMSUNG CLIMATE CONTROL -3.899177 SAMSUNG ELECTRONICS -7.797685 SAMSUNG ELTO.MECHANICS 4.599491 SAMSUNG ENGINEERING -13.8201 SAMSUNG FINE CHEMICALS 0.1290132 SAMSUNG FIRE & MAR.IN. 1.917623 SAMSUNG HEAVY INDS. 4.736647 SAMSUNG PHARM.IND. 25.90434 - SAMSUNG PUBLISHING 0.9328888 SAMSUNG SDI -7.926023 SAMSUNG SECURITIES -8.697582 SAMSUNG TECHWIN -7.220903

pg. 73 SAMWHA CAPACITOR -2.805001 SAMWHA ELECTRIC 6.136286 SAMWHA ELECTRONICS 7.874205 SAMWHAN CAMUS -3.222812 SAMYANG ENTECH -6.974632 SAMYANG GENEX -13.82699 SAMYANG TONGSANG -2.852679 SAMYANGFOODS 7.40449 SAMYUNG HDG. 4.292151 SANGSIN BRAKE IND. -5.238841 - SAVEZONE I&C 0.4336122 SC ENGINEERING 2.490835 SCHNELL BIOPH. -16.55633 SEAH BESTEEL 4.377572 SEAH HOLDINGS -3.575966 SEAH STEEL 6.344863 SEBANG 4.549051 SEHA -3.309691 SEJONG INDUSTRIAL 3.296228 SEMPIO FOODS 0.4643443 SEONDO ELECTRIC -1.105165 SEONG AN 0.9463464 SEOUL BROADCASTING SY. -6.470757 SEOUL CITY GAS -5.657904 SEOUL FOOD INDL. -14.90479 SEOWON -13.55956 SEWON PRECISION IND. -2.147825 SEWOO GLOBAL -6.867648 SG 0.0417796 SG CHOONGNAM SPINNING 0 SH ENERGY & CHEMICAL -18.16057 SHIN HAN ENGR.&CON. 3.039102 SHIN POONG PHARM. 10.22706 SHIN WON -2.805804 SHINDAEYANG PAPER -2.226431 SHINHAN FINL.GROUP -4.312596 SHINHUNG -1.254869 SHINHWASILUP 13.47756 SHINIL ENGINEERING SUSP - SUSP.20/03/13 2.369737 SHINIL INDL. 1.659329 SHINPOONG PAPER MNFG. 28.00107

pg. 74 SHINSEGAE 2.755856 SHINSEGAE ENGR.& CON. -12.14406 SHINSEGAE FOOD 8.584789 SHINSEGAE I&C 3.488101 SHINSUNG SOLAR ENERGY 6.900373 - SHINSUNG TONGSANG 0.6316841 SHINWOO 31.84453 SHINYOUNG SECS. 2.187301 SHINYOUNG WACOAL 0.9065338 SILLA 0.9794735 SIMPAC 14.58303 SINDOH -7.606752 SJM HOLDINGS 3.650391 SK CHEMICALS 13.64139 SK GAS 5.610633 SK HOLDINGS 1.668994 SK HYNIX -8.623536 SK NETWORKS -26.42494 SK SECURITIES 6.250569 - SK TELECOM 0.1531524 SKC 3.021771 SL 3.716889 SONGWON INDL. 5.730593 SOOSAN HEAVY INDS. 3.296257 SSANGYONG CEMENT INDL. -7.955946 SSANGYONG MOTOR 8.292196 STX 23.46992 STX ENGINE 7.419332 STX OFFSHORE & SHIPBLDG. 13.96083 SUHEUNG CAPSULE -4.50769 SUNCHANG -13.12053 SUNGBO CHEMICAL -3.529658 SUNGCHANG ENTER.HDG. -6.490193 SUNGJEE CONSTRUCTION -13.12336 SUNGMOON ELTN. -19.28087 - SUNGSHIN CEMENT 0.9313469 SUNNY ELECTRONICS 4.537034 SY -2.193141 T'WAY HOLDINGS -1.202313 TAE KYUNG CHM. 2.21729

pg. 75 TAE WON MULSAN 0.4959775 TAEKWANG INDL. -2.42067 TAEKYUNG INDL. 3.196254 TAEYANG METAL INDL. -7.673187 TAEYOUNG ENGR.& CON. 2.151122 TAIHAN ELECTRIC WIRE 8.554145 TAIHAN TEXTILE 38.45423 TAILIM PACK.INDL. -5.421302 TCC STEEL 6.693816 TEC&CO. 0.8360795 TELCOWARE -15.48744 THE WILLBES & COMPANY -1.145911 THEALL MEDI BIO 71.78026 THN -7.096395 TONG YANG MOOLSAN -2.454605 TONGYANG 3.063716 TONGYANG NETWORKS -18.47237 TONGYANG SECURITIES -13.22096 TRANSDERMAL ASIA HDG. -10.62387 TS -8.369772 UANGEL -14.91853 UNI CHEM 3.997655 UNID 0.3272184 UNION 0.4953201 UNION STEEL 0.0474022 UNIQUEST -2.205346 VGX INTERNATIONAL -14.34025 WHAN IN PHARM. -2.052752 WISCOM 2.605665 WONLIM 3.621133 WOOJIN PLAIMM -4.142158 WOONGJIN CHEMICAL 6.389279 WOONGJIN HOLDINGS -1.075447 WOONGJIN THINKBIG -1.075447 - WOORI FINANCIAL 0.3593501 WOORI INV.& SECS. -6.589144 WOORIDUL PHARMACEUTICAL -27.09118 WOORIFINANCE HOLDINGS 6.54378 WOOSHIN SYSTEMS -3.166116 WOOSUNG FEED -8.791443 YBROAD -28.91872

pg. 76 YEONGHWA METAL 5.980512 YESCO 5.750003 YOO SUNG ENTER. 1.715243 YOUL CHON CHEMICAL 7.755533 YOUNG POONG 3.179434 - YOUNG POONG PAPER 0.6478839 YOUNGBO CHEMICAL 4.3503 YOUNGONE HOLDINGS 21.20707 YUHAN 4.800811 YUHWA SECS. 5.392081 YUNGJIN PHARM IND. 0.1981823 YUYANG D&U -6.852047 YUYU PHARMA 3.24706

pg. 77 Table 20: Summary Cumulative Average Return per firm on April 5th, 2009

Firms CAR10 ABLE C&C 52.32696 AK HOLDINGS 11.90075 AMOREPACIFIC 0.5219294 AMOREPACIFIC GROUP 8.066578 ANAM ELECTRONICS 20.45729 ARTIS 43.48025 - ASIA CEMENT 0.3513596 ASIA PAC.NO.10 SHIP INV. -2.500615 ASIA PAC.NO.11 SHIP INV. -11.57469 ASIA PAC.NO.12 SHIP INV. 2.163811 - ASIA PAC.NO.13 SHIP INV. 0.1684646 ASIA PAC.NO.14 SHIP INV. 6.570988 ASIA PAC.NO.15 SHIP INV. 1.615501 ASIA PAC.NO.3 SHIP INV. -3.451666 ASIA PAC.NO.5 SHIP INV. -2.058472 ASIA PAC.NO.6 SHIP INV. -2.353448 ASIA PAC.NO.7 SHIP INV. 1.311175 ASIA PAC.NO.8 SHIP INV. 0.3929662 ASIA PAC.NO.9 SHIP INV. 3.319369 - ASIA PACIFIC NO.1 SHIP INV. 0.7919256 ASIA PACIFIC NO.2 SHIP INV. 9.224782 ASIA PACIFIC NO.4 SHIP INV. 2.597377 ASIA PAPER MNFG. 10.55549 ASIANA AIRLINES 13.21938 AUK 20.17697 AUTOMOBILE & PCB 25.7466 AVISTA 41.71557 BADARO NO.3 SHIP INV. 1.55159 BAEKKWANG MRL.PRDS. 10.59301 BAIKSAN 14.3829 BING-GRAE -12.292 BOHAE BREWERY 20.00619 BOLAK 9.394632 BOOKOOK SECURITIES 35.73039 BOOKOOK STEEL 42.04688 BORNEO INTL.FRTR. 10.88724 BORYUNG PHARM. 26.29003 BUKWANG PHARMACEUTICAL INDUSTRIAL -16.60413

pg. 78 BUSAN CITY GAS 7.742867 BUSAN INDUSTRIAL 0.4195122 BYC 19.81783 BYUCKSAN 3.518334 BYUCKSAN ENGR.& CON. 28.01689 CAPRO 5.354362 CENTURY 2.274299 CHARM ENGINEERING 18.31747 CHASYS 20.2333 CHEIL GRG.WHEEL IND. 22.53509 CHEIL INDUSTRIES 8.645938 CHEIL WORLDWIDE 19.8156 CHEJU BANK -4.794386 CHIN HUNG INTL. -9.879375 CHIN YANG CHEMICAL -14.13655 CHIN YANG INDUSTRY 17.65349 CHINYANG HOLDINGS 4.551082 CHINYANG POLY URETHANE 11.05151 CHO BI 12.01558 CHO KWANG LEATHER 14.23728 CHOHEUNG 17.21213 CHOIL ALUMINIUM 26.89693 CHOKWANG PAINT 53.16554 CHONBANG 3.599444 CHONGKUNDANG -4.660095 CHOSUN REFRACTORIES -21.84177 CHUNG HO COMNET 20.55058 CHUNIL EXPRESS 6.785011 CJ 21.56794 CJ CGV -10.96979 CJ CHEILJEDANG -3.32725 CJ KOREA EXPRESS 0.4023723 CJ SEAFOOD 48.99763 CKD BIO 55.93851 COMTEC SYSTEMS 44.00668 COSMAX 35.22844 COSMO ADVANCED MATERIALS & TECHNOLOGY 13.49156 COSMO CHEMICAL 21.95906 COWAY 1.157773 CROWN CONFECTIONERY 4.661862 CS HOLDINGS -0.351373 D I 16.24954

pg. 79 DAE HYUN 54.22974 DAE-IL 47.18911 DAECHANG 41.51119 DAECHANG FORGING 20.24488 DAEDONG INDUSTRIAL 13.83612 DAEDUCK ELECTRONICS 12.38863 DAEDUCK GDS 18.64672 DAEGU DEPT.STORE 18.59488 DAEHAN FLOUR MILLS 3.516881 DAEHAN STEEL 34.97108 DAEHAN SYNTHETIC FIBER 40.67412 DAEHO AL 32.83168 DAEKYO 20.3935 DAEKYUNG MCH.& ENGR. 21.5991 DAELIM B&CO 25.65749 DAELIM INDUSTRIAL 23.66964 - DAELIM TRADING 0.6322536 DAESANG 9.190918 DAESANG HOLDINGS 13.19785 DAESUNG GROUP PARTNERS 24.73616 DAESUNG HOLDINGS 6.08827 DAEWON CABLE 8.881527 DAEWON CHEMICAL 37.34637 DAEWON PHARM. 12.55712 DAEWONKANGUP 13.62642 DAEWOO ELT.COMPNS. 44.46177 DAEWOO ENGR.& CON. 10.6472 DAEWOO INTERNATIONAL 9.22977 DAEWOO SECURITIES 8.703503 DAEWOO SHIPBLDG.& MAR. ENGR. 0.7425462 DAEWOONG 6.818529 DAEWOONG PHARM. 3.73832 DAEYOUNG PACKAGING 31.29287 - DAI YANG METAL 0.6076223 DAIDONG ELECTRONICS 28.72396 DAISHIN SECURITIES -4.327391 DAOU TECHNOLOGY 36.91667 DAOUINCUBE 18.06806 DAYOU AUTOMOTIVE SEAT TECHNOLOGY 18.75988 DAYOU SMART ALUMINUM 36.64764 DCM 52.14108 DIGITAL POWER COMMS. 16.75445

pg. 80 DONG IL 5.722089 DONG WHA PHARM. -17.73129 DONG-A SOCIO HOLDINGS -6.473589 DONG-A STEEL TECH. 8.77376 DONGAH TIRE & RUB. 19.38594 DONGAONE 8.390646 DONGBANG AGRO -1.077905 DONGBANG TRAN.& LOGIST. 30.328 DONGBU 41.28965 DONGBU CNI 21.99981 DONGBU HITEK 79.18412 DONGBU INSURANCE 18.25323 DONGBU SECURITIES 23.90375 DONGBU STEEL 37.57243 DONGBUKA NO.10 SHIP INV. -3.318663 DONGBUKA NO.11 SHIP INV. -13.84227 DONGBUKA NO.12 SHIP INV. -1.084796 DONGBUKA NO.13 SHIP INV. -5.189208 DONGBUKA NO.14 SHIP INV. 4.570827 DONGBUKA NO.3 SHIP INV. 4.480452 DONGBUKA NO.4 SHIP INV. 2.63855 DONGBUKA NO.5 SHIP INV. 0.8025264 DONGIL INDUSTRIES 26.17627 DONGIL PAPER 15.53485 DONGKOOK IND. 14.71627 DONGKUK STEEL MILL 17.45782 DONGNAM CHEMICAL -8.953158 DONGSUNG CHEMICAL 69.36203 DONGSUNG PHARM. 15.20669 DONGWON 16.20121 DONGWON F & B 12.37611 DONGWON FISHERIES 3.89974 DONGWON INDUSTRY -4.459151 DONGWON METAL 27.04709 DONGWON SYSTEMS 8.584647 DONGYANG ENGR. & CON. 63.64792 DONGYANG EXPRESS 11.6085 DONGYANG GANGCHUL 23.90926 DONGYANG MECHATRONICS 31.9229 - DONGYANG STEEL PIPE 0.5559833 DOOSAN 28.29049 DOOSAN ENGR.& CON. 24.56211

pg. 81 DOOSAN HVY.INDS.AND CON. 18.60578 DOOSAN INFRACORE 16.56154 DRB HOLDING 13.47535 DSR WIRE 16.54464 DUCK YANG IND. 14.643 DUKSUNG 23.93425 DUZONBIZON 32.22167 E-FILM 18.57523 E-STARCO 52.47153 E-WORLD -18.84026 E1 14.97891 EAGON INDL. 39.92374 EN3 39.60645 ENEX 12.28771 EUGENE INV.& SECURITIES 2.481364 F&F 7.851538 FARMSCO 30.88763 FEELUX 16.19794 FIRSTEC 37.0186 FOOSUNG 7.320225 FURSYS -5.809059 G2R 4.46561 GAON CABLE 18.41883 GLOBAL &YUASA BTRY. 30.43459 GOLDEN BDG.INV.& SECS. SUSP - SUSP.10/06/13 38.19815 GREEN CROSS 0.5537968 GREEN CROSS HDG. 10.47334 GS ENGR. & CON. 13.17125 GS GLOBAL 56.68978 GS HOLDINGS 10.05478 GSINSTRUMENTS -5.784969 GWANGJU SHINSEGAE 8.447048 HAE IN 31.77627 HALLA ENGR.& CON. 45.1613 HALLA VISTEON CLIMATE CONTROL 13.36501 HAN CHANG 24.29908 HANA FINANCIAL GROUP 3.248546 HANA TOUR SERVICE 5.932749 HANALL BIOPHARMA 27.05077 - HANCHANG PAPER 0.9703507 HANDOK 4.774264 HANDSOME 10.95202

pg. 82 HANEXPRESS 16.04739 HANIL CEMENT 1.357694 HANIL E-HWA 43.10977 HANIL IRON & STEEL 45.29149 HANJIN HVIND.& CON.HDG. 25.69859 HANJIN HVY.INDS.& CON. 5.083801 HANJIN SHIPPING HDG. 15.0773 HANJIN TRANPORTATION -7.970059 HANKOOK COSMETICS MNFG. 3.325593 HANKOOK SHELL OIL 7.571283 HANKOOK STEEL 70.75739 HANKOOK TIRE WORLDWIDE 3.700871 HANKUK CARBON 4.824072 HANKUK GLASS INDUSTRIES 8.647219 HANKUK PAPER MNFG. 20.98841 HANMI SCIENCE -10.60219 HANMI SEMICONDUCTOR 42.40657 HANNONG CHEMICALS 31.3361 HANSAE YES24 HOLDINGS 6.514467 HANSHIN CONSTRUCTION 29.269 HANSHIN MACHINERY -13.6896 HANSOL ARTONE PAPER 21.07993 HANSOL CHEMICAL 34.41041 HANSOL CSN 36.41266 HANSOL HOME DECO 12.19703 HANSOL PAPER MNFG. 10.30369 HANSOL PNS -12.78531 HANSOL TECHNICS 1.003222 HANSSEM 24.72788 HANSUNG ENTERPRISE 18.45607 HANWHA 17.61241 HANWHA CHEMICAL 29.60502 HANWHA GENERAL INSURANCE 29.76366 HANWHA INVESTMENT&SECS. 12.56864 HANWHA TIMEWORLD 6.134809 HANYANG SECURITIES 18.88814 HEUNG-A SHIPPING 18.20645 HEUNGKUK F&M.IN. 15.3532 HISTEEL 25.065 HITEJINRO HOLDINGS 79.47903 HITRON SYSTEMS 14.37226 HMC INVESTMENT SECS. 25.61063 HOTEL SHILLA -4.196479

pg. 83 HS INDS. 17.61099 HS R & A 49.41948 HUCHEMS FINE CHEMICAL 4.572176 HUNEED TECHNOLOGIES 39.81543 HUSTEEL 14.48421 HWACHEON MACHINE TOOL 23.64245 HWACHEON MACHINERY 16.72925 HWANGKUM STL.& TECH. 26.98794 HWASHIN 24.46184 HWASUNG INDUSTRIAL 12.80459 HYOSUNG 3.78364 HYOSUNG ITX 38.16911 HYUNDAI 1.336602 HYUNDAI BNG STEEL 50.54956 HYUNDAI CEMENT 32.20953 HYUNDAI DEPARTMENT STORE 2.827744 HYUNDAI DEV. 7.718086 HYUNDAI ELEVATOR -6.059886 HYUNDAI ENGR.& CON. 6.177089 HYUNDAI ENGR.PLASTICS 23.85176 HYUNDAI GLOVIS 4.809182 HYUNDAI GREEN FOOD -5.623015 HYUNDAI HEAVY INDUSTRIES 1.597712 HYUNDAI HYSCO 29.06094 HYUNDAI MARINE & FIRE IN. 16.29579 HYUNDAI MERCHANT MARINE -3.866753 HYUNDAI MIPO DOCKYARD 1.737674 HYUNDAI MOBIS 11.52629 HYUNDAI MOTOR 20.65205 HYUNDAI P&C SUSP - 23/07/13 21.02031 HYUNDAI PHARM. 7.500752 HYUNDAI SECURITIES 3.836899 HYUNDAI STEEL 21.50978 IB WORLDWIDE 49.01045 IHQ 10.68221 IL DONG PHARM. 17.47939 IL JEONG INDUSTRIAL 17.31936 IL SHIN STONE 22.23739 IL SUNG CONSTRUCTION 15.73573 ILJIN DIAMOND 30.98776 ILJIN DISPLAY 15.893 ILJIN HOLDINGS 2.375798 ILSHIN SPINNING -1.136756

pg. 84 ILSUNG PHARMS. 10.7514 ILYANG PHARM. 6.828152 IN THE F 35.93828 INCHEON CITY GAS -1.168517 INDUSTRIAL BANK OF KOREA 21.09893 INFAC 30.15547 INZICONTROLS 42.062 IS DONGSEO 16.60228 ISU CHEMICAL 20.8525 ISUPETASYS 2.498872 JAHWA ELECTRONICS 18.53218 JEIL PHARMACEUTICAL 22.38559 JICO 16.46335 JINDO 13.84142 JOOYONTECH 18.60075 JS CABLE 67.02693 JW HOLDINGS 16.35275 JW PHARMACEUTICAL -1.583859 K C TECH 16.92823 KANGWON LAND 4.146538 KC GREEN HOLDINGS 25.23382 KCC 16.39735 KCTC 18.23791 KEANG NAM ENTERPRISES 44.30379 KEC 23.44606 KEC HOLDINGS 30.28656 KEPCO PLANT SER.& ENGR. 4.538093 KEUNWHA PHARM. 5.744556 KEYANG ELEC.MCH. 11.01838 KEYSTONE GLOBAL 54.85745 KG CHEMICAL 17.85655 KIA MOTORS 18.19035 KISCO HOLDINGS 29.68614 KISHIN 21.39894 KISWIRE 33.60828 KIWOOM SECURITIES 30.46761 KLEANNARA -2.593331 KOAS 24.04113 KOCREF REIT 8 16.64826 KOLON 3.399906 KOLONGLOBALCORPORATION 1.994157 KOREA AIRPORT SER. 22.08958 KOREA CAST IRON PIPE IND. 11.29162

pg. 85 KOREA CIRCUIT 15.71012 KOREA DEV.FINANCING -4.323682 KOREA DEVELOPMENT 24.16974 KOREA ELEC. TERMINAL 1.004007 KOREA ELECTRIC POWER -8.733721 KOREA EXPORT PACK.INDL. 12.17445 KOREA FLANGE 5.286578 KOREA GAS 0.7260011 KOREA INDL. 26.81067 KOREA INVESTMENT HDG. 16.86066 KOREA KOLMAR HOLDINGS -1.236881 KOREA LINE 26.86345 KOREA PACIFIC NO.1 SHIP INVESTMENT -5.654397 KOREA PACIFIC NO.2 SHIP INVESTMENT 0.2403758 KOREA PACIFIC NO.3 SHIP INVESTMENT 13.98136 KOREA PACIFIC NO.4 SHIP INVESTMENT -4.475981 KOREA PETROCH.IND. 28.9912 KOREA PETROLEUM INDL. 31.2613 KOREA REFRACTORIES 70.49678 KOREA STEEL SHAPES 23.17737 KOREA UNITED PHARM. 21.55795 KOREA ZINC 19.04289 KOREAN AIR LINES 12.49372 KOREAN REINSURANCE 3.58574 KP&L 3.055838 KPX CHEMICAL 3.916071 KPX FINE CHEMICAL 37.06379 KPX GREEN CHEMICAL 13.65331 KPX HOLDINGS 43.6848 KSS LINE 9.197938 KT -7.523904 KT & G -7.600052 KTB INVESTMENT&SECS. 37.72549 KUKBO TRSP. 8.607983 KUKDO CHEMICAL 6.751601 KUKDONG 17.55321 KUKDONG OIL & CHM. 44.46058 KUKJE PHARM.INDL. 16.73215 KUM YANG 28.9163 KUMBI 14.84483 KUMHO ELECTRIC 4.146698 KUMHO INDUSTRIAL 37.22152 KUMHO INVESTMENT BANK 33.13412

pg. 86 KUMHO PETRO CHEMICAL 34.38861 KUMHO TIRES 44.27014 KUMKANG KIND 19.53279 KUNSUL CHEMICAL INDL. 13.88448 KWANG DONG PHARM. 2.003643 KWANG MYUNG ELEC.ENGR. 6.243744 KYE-RYONG CON.INDL. 24.39875 KYOBO SECURITIES 16.47387 KYUNG DONG NAVIEN 18.19938 KYUNG IN ELT. 9.982594 KYUNG NONG 2.741221 KYUNGBANG 35.27724 KYUNGDONG CITY GAS 16.73167 KYUNGIN SYNTHETIC 43.46709 KYUNGNAM ENERGY 19.14441 LEE KU INDL. 33.068 LG 20.55589 LG CHEM 39.89207 LG DISPLAY 12.648 LG ELECTRONICS 20.31453 LG FASHION 1.831393 LG HHLD.& HLTH.CARE 5.462654 LG INTL. -14.29305 LG LIFE SCIENCES 6.998715 LG UPLUS 7.900349 LIG INSURANCE 14.92886 LIVART 5.644 LOGISTICS ENERGY KOREA 2.296843 LOTTE CHEMICAL 11.28301 LOTTE CHILSUNG 0.8974255 LOTTE CONFECTIONERY -11.25116 LOTTE FOOD 7.822304 LOTTE NON-LIFE IN. 15.69268 LOTTE SHOPPING 5.28931 LOTTE TOURS 26.81406 LS 7.195386 LS INDUSTRIAL SYS. 11.86359 LS NETWORKS 63.33759 MACQUARIE KOREA INFR.FD. 4.233936 MANHO ROPE & WIRE 21.66122 MANIKER 14.57383 MERITZ FIRE & MAR.IN. 48.3134 MERITZ SECS. 24.41662

pg. 87 MHETHANOL 3.550253 MICHANG OIL IND. 7.433202 MIRAE 56.8399 MIRAE ASSET SECURITIES 5.560301 MIWON COMMERCIAL 14.76873 MONALISA 23.73368 MONAMI 32.36469 MOONBAE STEEL -10.95263 MOORIM P&P 22.81489 MOORIM PAPER 1.12413 MOTONIC 12.57143 MUHAK 10.62223 NAMHAE CHEMICAL -11.29755 NAMKWANG ENGR.& CON. 49.8968 NAMSUN ALUM. 16.69559 NAMSUNG 16.35824 NAMYANG DAIRY PRDS. -1.291872 NAMYEUNG VIVIEN 17.86917 NARA KIC 7.974157 NATIONAL PLASTIC 22.87816 NAVER 7.155877 NCSOFT 28.63162 NEXEN 21.39027 - NEXEN TIRE 0.8444599 NH INVESTMENT & SECS. -8.464748 NI STEEL -21.22127 NICE HOLDINGS -5.851391 NK 53.02113 NONG SHIM HDG. -1.413616 NONGSHIM -17.64884 NOROO HOLDINGS -10.16616 NOROO PAINT & COATINGS 11.09107 OCI 17.16313 ORIENTBIO 38.49419 ORION 3.845373 OTTOGI -16.18001 OYANG 7.402596 PAIK KWANG IND. -3.489412 PAN-PACIFIC 14.71733 PANG RIM 21.85911 PAPERCOREA 6.849453 PHARMICELL 37.14992

pg. 88 PHOENIX COMMS. 6.638568 POONGSAN HOLDINGS 45.92525 POSCO 8.500786 POSCO COATED & COO.STL. 47.20366 POSCO PLANTEC 48.44223 PULMUONE HOLDINGS -5.329698 PUM YANG CON. SUSP - SUSP.11/06/12 10.43761 PUSAN CAST IRON 33.52118 PYUNG HWA HOLDINGS 40.34259 PYUNG HWA INDUSTRIAL 28.3304 RIFA INDUSTRIAL 27.15611 ROCKET ELECTRIC 8.867657 S & T HOLDINGS 51.90635 S&T 37.0184 S&T DYNAMICS 30.58307 S&T MOTIV 60.21844 S&T MOTORS 22.74335 S-1 -8.901869 SAERON AUTOMOTIVE 21.3017 SAJO INDUSTRIES 3.097821 SAJODAERIM 23.90629 SAJOHAEPYO 15.12657 SAM HWA PAINTS INDL. 6.728062 - SAM JIN PHARM. 0.7966099 SAM JUNG PULP 19.24391 SAM WHAN 22.51362 SAM YOUNG CHM. 29.5273 SAM YOUNG ELTN. 14.7934 SAM YUNG TRADING 27.83505 SAM-A ALUMINIUM 15.541 SAMBU CON. 12.12356 SAMCHULLY 17.77253 SAMHO DEVELOPMENT -4.135976 SAMHO INTL. 23.12189 SAMHWA CROWN & CLOSURE 3.553014 SAMICK MUSICAL INSTS. 38.29677 SAMICK THK 31.21929 SAMIL PHARM. 16.34246 SAMKWANG GLASS 8.426701 SAMLIP GEN.FOODS 13.70318 SAMSUNG C & T 4.950712 SAMSUNG CARD 17.80132

pg. 89 SAMSUNG CLIMATE CONTROL 15.63115 SAMSUNG ELECTRONICS 6.465106 - SAMSUNG ELTO.MECHANICS 0.3627792 SAMSUNG ENGINEERING 22.46733 SAMSUNG FINE CHEMICALS -5.349247 SAMSUNG FIRE & MAR.IN. 1.606645 SAMSUNG HEAVY INDS. 8.082495 SAMSUNG PHARM.IND. 7.952341 SAMSUNG PUBLISHING 9.629477 SAMSUNG SDI 26.06315 SAMSUNG SECURITIES 0.9011207 SAMSUNG TECHWIN 12.76415 SAMWHA CAPACITOR 18.97864 SAMWHA ELECTRIC 31.9966 SAMWHA ELECTRONICS 22.68756 SAMWHAN CAMUS 11.67372 SAMYANG ENTECH 20.9181 SAMYANG GENEX 16.73878 SAMYANG HOLDINGS -3.521688 SAMYANG TONGSANG 15.22038 SAMYANGFOODS 6.361485 SAMYUNG HDG. 44.54236 SANGSIN BRAKE IND. 26.94436 SAVEZONE I&C 19.14354 SBS MEDIA HOLDINGS 36.84504 SC ENGINEERING -1.53344 SCHNELL BIOPH. 0.2802825 SEAH BESTEEL 5.128554 SEAH HOLDINGS 20.54335 SEAH STEEL 16.47377 SEBANG 25.19234 SEHA -2.551044 SEJONG INDUSTRIAL 24.42828 SEMPIO FOODS -7.47824 SEONDO ELECTRIC 5.443216 SEONG AN 26.09135 SEOUL BROADCASTING SY. 5.158107 SEOUL CITY GAS 19.5028 SEOUL FOOD INDL. 6.745993 SEOWON 19.54897 SEWON CELLONTECH -2.330266 SEWON PRECISION IND. 27.40995

pg. 90 SEWOO GLOBAL 21.4848 SG 17.97052 SG CHOONGNAM SPINNING 8.293747 SH ENERGY & CHEMICAL 31.99694 SHIN HAN ENGR.&CON. 43.78188 SHIN POONG PHARM. 18.73146 SHIN WON 28.4384 SHINDAEYANG PAPER 24.45703 SHINHAN FINL.GROUP 18.50212 SHINHUNG 28.02584 SHINHWASILUP 14.60469 SHINIL ENGINEERING SUSP - SUSP.20/03/13 38.44026 SHINIL INDL. 39.43046 SHINPOONG PAPER MNFG. 0.3485689 - SHINSEGAE 0.8017098 SHINSEGAE ENGR.& CON. 17.17186 SHINSEGAE FOOD 0.7921716 SHINSEGAE I&C 19.62842 SHINSUNG SOLAR ENERGY 13.87005 - SHINSUNG TONGSANG 0.0889571 SHINWOO 28.54486 SHINYOUNG SECS. 19.16885 SHINYOUNG WACOAL 10.76303 SILLA 3.076585 SIMPAC -10.42252 SINDOH -4.547462 SJM HOLDINGS 26.5845 SK CHEMICALS 5.96735 SK GAS 2.433944 SK HOLDINGS 16.83426 SK HYNIX 42.57989 SK INNOVATION 5.149715 SK NETWORKS 40.81638 SK SECURITIES 13.58472 SK TELECOM -2.450462 SKC 8.668614 SL 35.75082 SONGWON INDL. 40.05779 SOOSAN HEAVY INDS. 10.70367 SSANGYONG CEMENT INDL. 30.92585 SSANGYONG MOTOR 32.24374 STX 52.98483

pg. 91 STX ENGINE 38.56478 STX OFFSHORE & SHIPBLDG. 22.81405 STX PAN OCEAN 28.70566 SUHEUNG CAPSULE 14.39658 SUNCHANG 13.7708 SUNGBO CHEMICAL 25.89253 SUNGCHANG ENTER.HDG. -7.946261 SUNGJEE CONSTRUCTION 56.07421 SUNGMOON ELTN. 5.45176 SUNGSHIN CEMENT 53.37334 SUNNY ELECTRONICS 18.91143 SY 25.25178 - T'WAY HOLDINGS 0.8897254 TAE KYUNG CHM. 24.40895 TAE WON MULSAN 11.10572 TAEKWANG INDL. -5.374806 TAEKYUNG INDL. 15.45144 TAEYANG METAL INDL. 21.21957 TAEYOUNG ENGR.& CON. 38.76907 TAIHAN ELECTRIC WIRE 38.36197 TAIHAN TEXTILE 25.63057 TCC STEEL 14.36271 TEC&CO. 74.86021 TELCOWARE 6.171884 THE BASIC HOUSE 43.7909 THE WILLBES & COMPANY 29.89509 THEALL MEDI BIO 12.77809 THN 26.83279 TONG YANG MOOLSAN 1.232615 TONGYANG 36.90733 TONGYANG NETWORKS 24.92389 TONGYANG SECURITIES 27.6152 TRANSDERMAL ASIA HDG. 33.88829 TS -13.40481 UANGEL -6.157964 UNI CHEM 20.32872 UNID -13.94283 UNION 29.91584 UNION STEEL 20.6691 UNIQUEST 12.07626 VGX INTERNATIONAL 39.87991 WHAN IN PHARM. 1.326822

pg. 92 WISCOM 6.722891 WONLIM 29.9057 WOOJIN PLAIMM 23.60346 WOONGJIN CHEMICAL 24.98996 WOONGJIN HOLDINGS 12.34544 WOONGJIN THINKBIG 14.9206 WOORI FINANCIAL 14.95722 WOORI INV.& SECS. -1.213932 WOORIDUL PHARMACEUTICAL 42.86591 WOORIFINANCE HOLDINGS 29.50513 WOOSHIN SYSTEMS 9.245035 WOOSUNG FEED 9.098106 YBROAD -29.95124 YEONGHWA METAL 35.1214 YESCO 5.049345 YOO SUNG ENTER. 26.02401 YOUL CHON CHEMICAL 11.50656 YOUNG POONG -12.40325 YOUNG POONG PAPER 8.800798 YOUNGBO CHEMICAL 18.79298 YOUNGONE HOLDINGS 6.316328 YUHAN -11.55181 YUHWA SECS. 2.508056 YUNGJIN PHARM IND. 9.540815 YUYANG D&U 12.84054 YUYU PHARMA 4.086913

pg. 93 Table 21: Summary Cumulative Average Return per firm on May 25th, 2009

Firms CAR10 ABLE C&C -40.62912 AK HOLDINGS -22.40687 AMOREPACIFIC 0.9346348 AMOREPACIFIC GROUP -4.921078 ANAM ELECTRONICS 4.828266 ARTIS 11.65567 ASIA CEMENT 0.0229091 ASIA PAC.NO.10 SHIP INV. 2.568028 ASIA PAC.NO.11 SHIP INV. 9.113477 ASIA PAC.NO.12 SHIP INV. -4.883844 ASIA PAC.NO.13 SHIP INV. 14.20476 ASIA PAC.NO.14 SHIP INV. 2.110076 ASIA PAC.NO.15 SHIP INV. -0.818265 ASIA PAC.NO.3 SHIP INV. 7.105816 ASIA PAC.NO.5 SHIP INV. 1.115875 ASIA PAC.NO.6 SHIP INV. 0.6487015 ASIA PAC.NO.7 SHIP INV. -1.473811 ASIA PAC.NO.8 SHIP INV. 0.0494567 ASIA PAC.NO.9 SHIP INV. 0.5314164 ASIA PACIFIC NO.1 SHIP INV. 1.878213 ASIA PACIFIC NO.2 SHIP INV. 5.835437 ASIA PACIFIC NO.4 SHIP INV. 2.737026 ASIA PAPER MNFG. 33.16937 ASIANA AIRLINES -16.48463 AUK -18.39594 AUTOMOBILE & PCB -14.36057 AVISTA 16.99141 BADARO NO.3 SHIP INV. -2.683325 BAEKKWANG MRL.PRDS. 2.762191 BAIKSAN -5.062017 BING-GRAE -6.449855 BOHAE BREWERY -13.59329 BOLAK 8.1225 BOOKOOK SECURITIES 12.52742 BOOKOOK STEEL -23.94806 BORNEO INTL.FRTR. 0.1707307 BORYUNG PHARM. 5.110965 BUKWANG PHARMACEUTICAL INDUSTRIAL -21.56918 BUSAN CITY GAS -5.638076

pg. 94 BUSAN INDUSTRIAL 1.484864 BYC 8.451851 BYUCKSAN 0.026789 BYUCKSAN ENGR.& CON. -9.102021 CAPRO 28.02872 CENTURY 11.73629 CHARM ENGINEERING -25.35424 CHASYS -6.120719 CHEIL GRG.WHEEL IND. 0.5888721 CHEIL INDUSTRIES 2.010626 CHEIL WORLDWIDE -1.805448 CHEJU BANK -2.01857 CHIN HUNG INTL. 21.09627 CHIN YANG CHEMICAL -2.524955 CHIN YANG INDUSTRY 11.73229 CHINYANG HOLDINGS 4.086759 CHINYANG POLY URETHANE 0.9943326 CHO BI 0.9791293 CHO KWANG LEATHER -3.080931 CHOHEUNG 29.16221 CHOIL ALUMINIUM 3.726271 CHOKWANG PAINT 27.63793 CHONBANG -4.327487 CHONGKUNDANG -13.97358 CHOSUN REFRACTORIES -16.65123 CHUNG HO COMNET 12.33495 CHUNIL EXPRESS 26.58817 CJ -17.0983 CJ CGV 10.2746 CJ CHEILJEDANG -1.937927 CJ KOREA EXPRESS -40.34611 CJ SEAFOOD -10.55915 CKD BIO -6.609906 COMTEC SYSTEMS -6.838883 COSMAX 17.94186 COSMO ADVANCED MATERIALS & TECHNOLOGY -29.02571 COSMO CHEMICAL 12.79101 COWAY -4.867336 CROWN CONFECTIONERY -7.223359 CS HOLDINGS -7.818839 D I -14.03982 DAE HYUN -7.963738

pg. 95 DAE-IL 14.51332 DAECHANG 27.22294 DAECHANG FORGING -18.60281 DAEDONG INDUSTRIAL 13.73093 DAEDUCK ELECTRONICS -14.68678 DAEDUCK GDS 13.61269 DAEGU DEPT.STORE -7.244513 DAEHAN FLOUR MILLS -12.50532 DAEHAN STEEL -12.4101 DAEHAN SYNTHETIC FIBER 8.3545 DAEHO AL 13.55786 DAEKYO -11.29706 DAEKYUNG MCH.& ENGR. 3.040421 DAELIM B&CO 8.912081 DAELIM INDUSTRIAL -11.11994 DAELIM TRADING 17.7818 DAESANG -12.1314 DAESANG HOLDINGS 27.4734 DAESUNG GROUP PARTNERS -21.66216 DAESUNG HOLDINGS 4.272939 DAEWON CABLE -27.61607 DAEWON CHEMICAL -10.51877 DAEWON PHARM. -12.32775 DAEWONKANGUP -12.35478 DAEWOO ELT.COMPNS. 2.878039 DAEWOO ENGR.& CON. -12.51538 DAEWOO INTERNATIONAL -14.32143 DAEWOO SECURITIES -20.41011 DAEWOO SHIPBLDG.& MAR. ENGR. -24.83725 DAEWOONG 0.6646397 DAEWOONG PHARM. -16.19764 DAEYOUNG PACKAGING -13.24277 DAI YANG METAL -25.63699 DAIDONG ELECTRONICS -22.67836 DAISHIN SECURITIES -15.21007 DAOU TECHNOLOGY -8.859701 DAOUINCUBE -6.094146 DAYOU AUTOMOTIVE SEAT TECHNOLOGY -17.05993 DAYOU SMART ALUMINUM -16.44702 DCM 4.144583 DIGITAL POWER COMMS. 19.37848 DONG IL -6.37922 DONG WHA PHARM. 8.383368

pg. 96 DONG-A SOCIO HOLDINGS -11.90315 DONG-A STEEL TECH. -11.43813 DONGAH TIRE & RUB. 4.816077 DONGAONE 0.7603846 DONGBANG AGRO -8.066736 DONGBANG TRAN.& LOGIST. -3.572527 DONGBU -18.34228 DONGBU CNI 23.79743 DONGBU HITEK 26.59501 DONGBU INSURANCE -12.52018 DONGBU SECURITIES -11.88399 DONGBU STEEL 15.33483 DONGBUKA NO.10 SHIP INV. 4.105603 DONGBUKA NO.11 SHIP INV. 0.5750208 DONGBUKA NO.12 SHIP INV. 1.7321 DONGBUKA NO.13 SHIP INV. 10.37046 DONGBUKA NO.14 SHIP INV. 3.045191 DONGBUKA NO.3 SHIP INV. 1.212143 DONGBUKA NO.4 SHIP INV. 0.706454 DONGBUKA NO.5 SHIP INV. 0.3415554 DONGIL INDUSTRIES 3.247877 DONGIL PAPER -15.03818 DONGKOOK IND. -4.726532 DONGKUK STEEL MILL -11.44835 DONGNAM CHEMICAL 5.225902 DONGSUNG CHEMICAL -7.982049 DONGSUNG PHARM. -12.67257 DONGWON 2.710612 DONGWON F & B -12.87427 DONGWON FISHERIES -3.472093 DONGWON INDUSTRY -6.946556 DONGWON METAL 1.229531 DONGWON SYSTEMS -13.78826 DONGYANG ENGR. & CON. 14.52657 DONGYANG EXPRESS -4.599158 DONGYANG GANGCHUL 11.65079 DONGYANG MECHATRONICS -29.24389 DONGYANG STEEL PIPE -21.87167 DOOSAN -27.16947 DOOSAN ENGR.& CON. -29.9468 DOOSAN HVY.INDS.AND CON. -25.65616 DOOSAN INFRACORE -22.33497 DRB HOLDING 5.621096

pg. 97 DSR WIRE 63.24104 DUCK YANG IND. -1.340734 DUKSUNG -2.776546 DUZONBIZON -3.031611 E-FILM -9.010527 E-STARCO 32.32771 E-WORLD 33.21546 E1 0.000091 EAGON INDL. 21.9607 EN3 29.06294 ENEX -11.20341 EUGENE INV.& SECURITIES -12.16671 F&F -8.544027 FARMSCO 3.923975 - FEELUX 0.7826731 FIRSTEC -10.29428 FOOSUNG -13.77824 FURSYS -11.9633 G2R 26.2548 GAON CABLE -5.047302 GLOBAL &YUASA BTRY. -8.083902 GOLDEN BDG.INV.& SECS. SUSP - SUSP.10/06/13 -9.224586 GREEN CROSS 4.611061 GREEN CROSS HDG. 2.608711 - GS ENGR. & CON. 0.9124833 GS GLOBAL 51.97781 GS HOLDINGS -6.785541 GSINSTRUMENTS 12.00862 GWANGJU SHINSEGAE -4.353743 HAE IN -20.70456 HALLA ENGR.& CON. -6.085302 HALLA VISTEON CLIMATE CONTROL 14.82044 HAN CHANG 2.265303 HANA FINANCIAL GROUP -2.274307 HANA TOUR SERVICE -15.25122 HANALL BIOPHARMA -48.758 HANCHANG PAPER 19.762 HANDOK 11.20419 - HANDSOME 0.9185929 HANEXPRESS 75.33329 HANIL CEMENT -13.17677

pg. 98 HANIL E-HWA -11.57268 HANIL IRON & STEEL -2.146961 HANJIN HVIND.& CON.HDG. -23.27752 HANJIN HVY.INDS.& CON. -10.70006 HANJIN SHIPPING HDG. -20.32397 HANJIN TRANPORTATION -14.85734 - HANKOOK COSMETICS MNFG. 0.6446165 HANKOOK SHELL OIL 2.496222 HANKOOK STEEL -23.52602 HANKOOK TIRE WORLDWIDE 3.963761 HANKUK CARBON 18.28007 HANKUK GLASS INDUSTRIES -23.20735 HANKUK PAPER MNFG. 11.1396 HANMI SCIENCE -14.83173 HANMI SEMICONDUCTOR -24.53757 HANNONG CHEMICALS -10.05309 HANSAE YES24 HOLDINGS -3.232489 HANSHIN CONSTRUCTION -6.311523 HANSHIN MACHINERY 36.39068 HANSOL ARTONE PAPER 22.10564 HANSOL CHEMICAL 6.24091 HANSOL CSN -14.98575 HANSOL HOME DECO -10.90905 HANSOL PAPER MNFG. -13.61546 HANSOL PNS -30.31339 HANSOL TECHNICS -19.32304 HANSSEM -3.733393 HANSUNG ENTERPRISE 79.86485 HANWHA -15.36699 HANWHA CHEMICAL -15.7874 HANWHA GENERAL INSURANCE 1.733706 HANWHA INVESTMENT&SECS. -15.80435 HANWHA TIMEWORLD 4.563293 HANYANG SECURITIES 0.9204413 HEUNG-A SHIPPING 21.94652 HEUNGKUK F&M.IN. -2.858095 HISTEEL -3.777953 HITEJINRO HOLDINGS -9.64733 HITRON SYSTEMS -1.789646 HMC INVESTMENT SECS. 19.4267 HOTEL SHILLA -17.45956 HS INDS. 8.150746

pg. 99 HS R & A 11.94222 HUCHEMS FINE CHEMICAL -3.579474 HUNEED TECHNOLOGIES 59.78368 HUSTEEL -5.836337 HWACHEON MACHINE TOOL -4.012202 HWACHEON MACHINERY -2.243952 HWANGKUM STL.& TECH. 29.40104 HWASHIN -1.550238 HWASUNG INDUSTRIAL -9.763207 HYOSUNG 19.60017 HYOSUNG ITX -26.5559 HYUNDAI -25.12422 HYUNDAI BNG STEEL -12.01731 HYUNDAI CEMENT -20.93083 HYUNDAI DEPARTMENT STORE -5.257138 HYUNDAI DEV. -4.019998 HYUNDAI ELEVATOR -22.91957 HYUNDAI ENGR.& CON. -17.11943 HYUNDAI ENGR.PLASTICS 47.441 HYUNDAI GLOVIS 9.773928 HYUNDAI GREEN FOOD -1.353172 HYUNDAI HEAVY INDUSTRIES -21.98792 HYUNDAI HYSCO 28.59783 HYUNDAI MARINE & FIRE IN. -11.27735 HYUNDAI MERCHANT MARINE -13.14809 HYUNDAI MIPO DOCKYARD -13.95941 HYUNDAI MOBIS 0.1023962 HYUNDAI MOTOR 1.123743 HYUNDAI P&C SUSP - 23/07/13 4.268338 HYUNDAI PHARM. -4.835644 HYUNDAI SECURITIES -19.71722 HYUNDAI STEEL -5.59894 IB WORLDWIDE -16.67773 IHQ 3.752573 IL DONG PHARM. -19.93782 IL JEONG INDUSTRIAL 3.41253 IL SHIN STONE -26.27615 IL SUNG CONSTRUCTION -2.480735 ILJIN DIAMOND -2.630966 ILJIN DISPLAY -28.22266 ILJIN HOLDINGS -21.43745 ILSHIN SPINNING 1.803419 ILSUNG PHARMS. -5.867066

pg. 100 ILYANG PHARM. 9.181487 IN THE F -16.61942 INCHEON CITY GAS 1.917008 INDUSTRIAL BANK OF KOREA 3.030962 INFAC -9.139815 INZICONTROLS -5.081415 IS DONGSEO -13.59387 ISU CHEMICAL 5.081067 ISUPETASYS -13.52783 JAHWA ELECTRONICS 3.764293 JEIL PHARMACEUTICAL 9.379806 JICO 1.065629 JINDO 0.2694444 JOOYONTECH 20.2215 JS CABLE 5.111495 JW HOLDINGS -2.690684 JW PHARMACEUTICAL -19.37244 K C TECH 2.859312 KANGWON LAND 3.892823 KB FINANCIAL GROUP -13.66049 KC GREEN HOLDINGS -21.09345 KCC 5.228779 KCTC -9.592828 KEANG NAM ENTERPRISES -17.26256 KEC -4.664951 KEC HOLDINGS -6.899064 KEPCO PLANT SER.& ENGR. 0.8817643 KEUNWHA PHARM. -8.916577 KEYANG ELEC.MCH. 22.02628 KEYSTONE GLOBAL 8.848051 KG CHEMICAL -11.33806 KIA MOTORS -1.962133 - KISCO HOLDINGS 0.1805591 KISHIN 11.92232 KISWIRE -10.47293 KIWOOM SECURITIES -20.26251 KLEANNARA -8.996002 KOAS 12.44425 KOCREF REIT 8 1.899056 KOLON -2.014099 KOLONGLOBALCORPORATION -13.45104 KOREA AIRPORT SER. -8.532978

pg. 101 KOREA CAST IRON PIPE IND. 27.95337 KOREA CIRCUIT -8.445224 KOREA DEV.FINANCING 6.218167 KOREA DEVELOPMENT -21.14484 KOREA ELEC. TERMINAL -14.2692 KOREA ELECTRIC POWER -3.086102 KOREA EXPORT PACK.INDL. 15.74286 KOREA FLANGE 10.03209 KOREA GAS 2.628252 KOREA INDL. 8.75838 KOREA INVESTMENT HDG. -12.8026 KOREA KOLMAR HOLDINGS -8.225216 KOREA LINE -14.51236 - KOREA PACIFIC NO.1 SHIP INVESTMENT 0.7163577 KOREA PACIFIC NO.2 SHIP INVESTMENT 2.378307 KOREA PACIFIC NO.3 SHIP INVESTMENT 0.2958635 KOREA PACIFIC NO.4 SHIP INVESTMENT -1.062383 KOREA PETROCH.IND. -3.18466 KOREA PETROLEUM INDL. 4.019861 KOREA REFRACTORIES 30.26036 KOREA STEEL SHAPES -9.664865 KOREA UNITED PHARM. 42.19476 KOREA ZINC 0.0036581 KOREAN AIR LINES -20.99032 KOREAN REINSURANCE -11.49869 KP&L 7.726666 KPX CHEMICAL -0.690879 KPX FINE CHEMICAL -25.79623 KPX GREEN CHEMICAL 1.226383 KPX HOLDINGS 22.70156 KSS LINE -2.028878 KT -4.962613 KT & G -7.731149 KTB INVESTMENT&SECS. -18.75841 KUKBO TRSP. 0.3630119 KUKDO CHEMICAL -10.9275 KUKDONG -6.949967 KUKDONG OIL & CHM. -3.810283 KUKJE PHARM.INDL. -12.70099 KUM YANG 28.06959 KUMBI 5.875469 KUMHO ELECTRIC -15.99339

pg. 102 KUMHO INDUSTRIAL -31.29699 KUMHO INVESTMENT BANK 17.78401 KUMHO PETRO CHEMICAL -18.60546 KUMHO TIRES -20.95269 KUMKANG KIND -17.40825 KUNSUL CHEMICAL INDL. 8.602926 KWANG DONG PHARM. -13.75596 KWANG MYUNG ELEC.ENGR. 3.087585 KYE-RYONG CON.INDL. -23.64862 - KYOBO SECURITIES 0.2484398 KYUNG DONG NAVIEN 42.023 KYUNG IN ELT. 7.070119 - KYUNG NONG 0.2100268 KYUNGBANG 22.2376 KYUNGDONG CITY GAS -4.916177 KYUNGIN SYNTHETIC -13.03226 KYUNGNAM ENERGY 1.557476 LEE KU INDL. 35.86069 LG 8.520496 LG CHEM 3.312615 LG DISPLAY -4.060745 LG ELECTRONICS 10.05291 LG FASHION 3.186659 LG HHLD.& HLTH.CARE 14.85022 LG INTL. 14.73561 LG LIFE SCIENCES -16.14941 LG UPLUS -19.50563 LIG INSURANCE -12.85206 LIVART 5.472606 LOGISTICS ENERGY KOREA 24.77107 LOTTE CHEMICAL 3.829926 LOTTE CHILSUNG -6.859817 LOTTE CONFECTIONERY -8.747564 LOTTE FOOD -11.40094 LOTTE NON-LIFE IN. -15.58123 LOTTE SHOPPING -7.971529 LOTTE TOURS -16.4713 LS -9.344353 LS INDUSTRIAL SYS. 4.366099 LS NETWORKS -4.223272 MACQUARIE KOREA INFR.FD. 4.606076 MANHO ROPE & WIRE -6.467453

pg. 103 MANIKER -9.268213 MERITZ FIRE & MAR.IN. 6.570638 MERITZ SECS. -9.523037 MHETHANOL -12.82399 MICHANG OIL IND. 22.16213 MIRAE -24.04068 MIRAE ASSET SECURITIES -14.89769 MIWON COMMERCIAL -7.258469 MONALISA 34.75979 MONAMI -13.944 MOONBAE STEEL -21.39111 MOORIM P&P 12.00854 MOORIM PAPER 3.187877 MOTONIC 18.54897 MUHAK 0.2397466 NAMHAE CHEMICAL -18.38018 NAMKWANG ENGR.& CON. 4.744393 NAMSUN ALUM. -6.38226 NAMSUNG 12.63897 NAMYANG DAIRY PRDS. -9.846851 NAMYEUNG VIVIEN 0.8945679 NARA KIC -14.35057 NATIONAL PLASTIC 8.218561 NAVER 8.290804 NCSOFT 1.926415 NEXEN -4.048871 NEXEN TIRE -15.3615 NH INVESTMENT & SECS. -15.43826 NI STEEL -28.11891 NICE HOLDINGS -3.726642 NK 5.15157 NONG SHIM HDG. 4.860132 NONGSHIM -2.644729 NOROO HOLDINGS -12.82588 - NOROO PAINT & COATINGS 0.9759619 OCI -16.29173 ORIENTBIO -36.57986 ORION 1.812528 OTTOGI 8.787149 OYANG 19.31705 PAIK KWANG IND. 9.741695 PAN-PACIFIC 1.681951

pg. 104 PANG RIM 0.8762951 PAPERCOREA 20.05133 PHARMICELL 23.25018 PHOENIX COMMS. 22.06879 POONGSAN HOLDINGS 2.671701 POSCO -9.733644 POSCO COATED & COO.STL. -15.73159 POSCO PLANTEC 10.98801 PULMUONE HOLDINGS -25.73801 PUM YANG CON. SUSP - SUSP.11/06/12 -8.803325 PUSAN CAST IRON -9.075964 PYUNG HWA ANTI-VIBRATION SYSTEM -6.349855 PYUNG HWA HOLDINGS -10.98327 PYUNG HWA INDUSTRIAL 49.38011 RIFA INDUSTRIAL 0.3379567 ROCKET ELECTRIC 33.53241 S & T HOLDINGS -29.07706 S&T -6.300277 S&T DYNAMICS 7.305116 S&T MOTIV -11.35556 S-1 9.838933 S-OIL -13.01817 SAERON AUTOMOTIVE -8.992671 SAJO INDUSTRIES -7.12396 SAJODAERIM 6.346762 SAJOHAEPYO 9.887192 SAM HWA PAINTS INDL. -10.47301 SAM JIN PHARM. -10.50802 SAM JUNG PULP 9.015182 - SAM WHAN 0.9235348 SAM YOUNG CHM. 8.263572 SAM YOUNG ELTN. -11.52932 SAM YUNG TRADING -11.27796 - SAM-A ALUMINIUM 0.3884471 SAMBU CON. -20.98019 SAMCHULLY 2.006407 SAMHO DEVELOPMENT -27.01029 SAMHO INTL. -5.895586 SAMHWA CROWN & CLOSURE 8.598579 SAMICK MUSICAL INSTS. 31.59847 SAMICK THK -6.423865 SAMIL PHARM. -13.39942

pg. 105 SAMKWANG GLASS -14.46871 SAMLIP GEN.FOODS 0.4631125 SAMSUNG C & T -8.633447 SAMSUNG CARD 20.41421 SAMSUNG CLIMATE CONTROL 4.512032 SAMSUNG ELECTRONICS -2.37554 SAMSUNG ELTO.MECHANICS 3.542004 SAMSUNG ENGINEERING 5.579057 SAMSUNG FINE CHEMICALS 3.939457 SAMSUNG FIRE & MAR.IN. -3.924932 SAMSUNG HEAVY INDS. -11.02125 SAMSUNG PHARM.IND. -5.163752 SAMSUNG PUBLISHING 12.74405 SAMSUNG SDI 9.45416 SAMSUNG SECURITIES -2.601198 SAMSUNG TECHWIN 9.309695 SAMWHA CAPACITOR 3.628606 SAMWHA ELECTRIC -13.10262 SAMWHA ELECTRONICS -1.650542 SAMWHAN CAMUS 2.833276 SAMYANG ENTECH -3.530091 SAMYANG GENEX -11.03258 SAMYANG HOLDINGS 1.850155 SAMYANG TONGSANG 28.36998 SAMYANGFOODS -11.8979 SAMYUNG HDG. -12.14044 SANGSIN BRAKE IND. -9.784812 SAVEZONE I&C -17.9743 SBS MEDIA HOLDINGS 30.00026 SBW -9.214987 SC ENGINEERING -20.62603 SCHNELL BIOPH. 114.0423 SEAH BESTEEL 1.085615 - SEAH HOLDINGS 0.8222262 SEAH STEEL -11.08963 SEBANG -1.166913 SEHA 24.19112 SEJONG INDUSTRIAL 2.875775 SEMPIO FOODS -2.676902 - SEONDO ELECTRIC 0.2088338 SEONG AN -7.9308 SEOUL BROADCASTING SY. 23.68087

pg. 106 SEOUL CITY GAS 4.389112 SEOUL FOOD INDL. -12.22152 SEOWON 38.30007 SEWON CELLONTECH -36.84176 SEWON PRECISION IND. 10.18126 SEWOO GLOBAL -17.02729 SG 19.2488 SG CHOONGNAM SPINNING 3.196009 SH ENERGY & CHEMICAL 5.518551 SHIN HAN ENGR.&CON. -25.78927 SHIN POONG PHARM. -12.84593 SHIN WON -5.227744 SHINDAEYANG PAPER -16.85138 SHINHAN FINL.GROUP -9.694375 SHINHUNG -3.062463 SHINHWASILUP 15.73923 SHINIL ENGINEERING SUSP - SUSP.20/03/13 -2.684753 SHINIL INDL. -7.799565 SHINPOONG PAPER MNFG. 9.411821 SHINSEGAE -9.582356 SHINSEGAE ENGR.& CON. -7.586439 SHINSEGAE FOOD 8.043025 SHINSEGAE I&C -5.755254 SHINSUNG SOLAR ENERGY -29.89675 SHINSUNG TONGSANG 5.747178 SHINWOO -1.975724 SHINYOUNG SECS. -10.80017 - SHINYOUNG WACOAL 0.1360404 SILLA -11.32888 SIMPAC -11.24073 SINDOH -10.02115 SJM HOLDINGS -16.94439 SK CHEMICALS -12.32946 SK GAS -3.248704 SK HOLDINGS -16.96148 SK HYNIX -1.679164 SK INNOVATION 2.377945 SK NETWORKS 21.87038 - SK SECURITIES 0.6506584 SK TELECOM -3.996752 SKC -10.78576 SL -3.246696

pg. 107 SONGWON INDL. 7.803508 SOOSAN HEAVY INDS. -9.634562 SSANGYONG CEMENT INDL. -29.19584 - SSANGYONG MOTOR 0.8280625 STX -27.12707 STX ENGINE -26.57983 STX OFFSHORE & SHIPBLDG. -25.53767 STX PAN OCEAN -7.886707 SUHEUNG CAPSULE 4.271476 SUNCHANG 11.49487 SUNGBO CHEMICAL 11.45403 SUNGCHANG ENTER.HDG. -15.2429 SUNGJEE CONSTRUCTION -14.86151 SUNGMOON ELTN. 29.47579 SUNGSHIN CEMENT -21.66908 SUNNY ELECTRONICS 0.2342624 SY -15.30436 T'WAY HOLDINGS -22.82335 TAE KYUNG CHM. 10.59557 TAE WON MULSAN -7.775765 TAEKWANG INDL. -1.078958 TAEKYUNG INDL. 0.9683145 TAEYANG METAL INDL. 9.064683 TAIHAN ELECTRIC WIRE -20.59434 TAIHAN TEXTILE -2.143934 TAILIM PACK.INDL. -15.47043 TCC STEEL 26.25277 TEC&CO. -3.314057 TELCOWARE 3.042449 THE BASIC HOUSE 8.321356 THE WILLBES & COMPANY 3.354032 THEALL MEDI BIO 3.683196 THN 2.246 TONG YANG MOOLSAN -2.689681 TONGYANG -11.12397 TONGYANG NETWORKS -3.631581 TONGYANG SECURITIES 15.45751 TRANSDERMAL ASIA HDG. 22.10462 TS 0.5364575 UANGEL -6.572408 UNI CHEM -10.86127 UNID -12.78273

pg. 108 UNION -10.50991 UNION STEEL -5.219502 UNIQUEST 0.6965158 VGX INTERNATIONAL 18.64057 WHAN IN PHARM. -3.171224 WISCOM 0.0482681 - WONLIM 0.3042997 WOOJIN PLAIMM 16.91223 WOONGJIN CHEMICAL 8.022905 WOONGJIN HOLDINGS -18.18375 WOONGJIN THINKBIG -22.48271 WOORI FINANCIAL 8.537238 WOORI INV.& SECS. -17.74397 WOORIDUL PHARMACEUTICAL -8.440378 WOORIFINANCE HOLDINGS -12.84701 WOOSHIN SYSTEMS -20.1283 WOOSUNG FEED -4.030018 YBROAD -7.655471 YEONGHWA METAL -25.44033 YESCO -6.694797 YOO SUNG ENTER. -7.447958 YOUL CHON CHEMICAL -8.672425 YOUNG POONG -11.99887 YOUNG POONG PAPER -4.52984 YOUNGBO CHEMICAL 3.10646 YOUNGONE HOLDINGS -7.408076 YUHAN -8.322432 YUHWA SECS. -2.891958 YUYANG D&U 1.889885 YUYU PHARMA -6.60246

pg. 109 Table 22: Summary Cumulative Average Return per firm on February 12th, 2013

Firms CAR10 ABLE C&C -14.64588 AJU CAPITAL 8.48738 AK HOLDINGS 2.18242 AMOREPACIFIC -7.746676 AMOREPACIFIC GROUP -4.297046 ANAM ELECTRONICS 3.479878 ARTIS 29.50806 ASIA CEMENT 15.92916 - ASIA PAC.NO.10 SHIP INV. 0.1740488 ASIA PAC.NO.11 SHIP INV. -3.640644 ASIA PAC.NO.12 SHIP INV. -3.483252 ASIA PAC.NO.13 SHIP INV. 0.2766233 ASIA PAC.NO.14 SHIP INV. -4.510026 ASIA PAC.NO.15 SHIP INV. -2.058564 ASIA PAC.NO.3 SHIP INV. -1.172798 ASIA PAC.NO.5 SHIP INV. -1.327563 ASIA PAC.NO.6 SHIP INV. -1.904107 ASIA PAC.NO.7 SHIP INV. -1.161898 - ASIA PAC.NO.8 SHIP INV. 0.3140508 - ASIA PAC.NO.9 SHIP INV. 0.2240074 - ASIA PACIFIC NO.1 SHIP INV. 0.4682355 ASIA PACIFIC NO.2 SHIP INV. 0.190822 - ASIA PACIFIC NO.4 SHIP INV. 0.7271027 ASIA PAPER MNFG. 0.5600922 ASIANA AIRLINES -1.683759 AUK 6.149448 AUTOMOBILE & PCB 23.09767 AVISTA 13.45203 BADARO NO.3 SHIP INV. -3.053729 BAEKKWANG MRL.PRDS. 0.5809786 BAIKSAN 1.83873 BING-GRAE -2.167749 BOHAE BREWERY 0.6687296 BOLAK 0.7537315 BOOKOOK SECURITIES -3.309822 BOOKOOK STEEL 4.088763 BORNEO INTL.FRTR. -39.10736

pg. 110 BORYUNG PHARM. -6.24472 BS FINANCIAL GROUP 4.180913 BUKWANG PHARMACEUTICAL INDUSTRIAL -3.20439 BUSAN CITY GAS 5.969992 BUSAN INDUSTRIAL 1.387431 BYC 5.387908 BYUCKSAN 0.0047214 BYUCKSAN ENGR.& CON. 0.2690418 CAPRO 12.87325 CENTURY -4.127243 CHARM ENGINEERING 12.02999 CHASYS 2.49992 CHEIL GRG.WHEEL IND. 7.054323 CHEIL INDUSTRIES 1.503776 CHEIL WORLDWIDE 11.23015 CHEJU BANK 4.244145 CHIN HUNG INTL. 1.684994 CHIN YANG CHEMICAL -1.18952 CHIN YANG INDUSTRY 7.079897 CHINYANG HOLDINGS 2.097617 CHINYANG POLY URETHANE 6.356151 CHO BI -6.224268 CHO KWANG LEATHER 5.40951 - CHOHEUNG 0.7656624 CHOIL ALUMINIUM 16.4332 CHOKWANG PAINT 14.9342 CHONBANG 1.009531 CHONGKUNDANG 0.5126085 CHOSUN REFRACTORIES 6.046838 CHOSUN WELDING POHANG 1.56878 CHUNG HO COMNET -17.8288 CHUNIL EXPRESS 3.980983 CJ 5.204938 CJ CGV 15.22238 - CJ CHEILJEDANG 0.1433082 CJ KOREA EXPRESS -6.013259 CJ SEAFOOD -1.896576 CKD BIO -5.100706 COMTEC SYSTEMS -10.32105 COSMAX -8.498255 COSMO ADVANCED MATERIALS & TECHNOLOGY 31.52662

pg. 111 COSMO CHEMICAL 3.222457 COWAY 3.118062 CROWN CONFECTIONERY -2.634212 CS HOLDINGS 2.71705 D I -29.13886 DAE HYUN 27.2309 DAE-IL 1.883544 - DAECHANG 0.5199718 DAECHANG FORGING 14.72382 DAEDONG INDUSTRIAL 0.8095752 DAEDUCK ELECTRONICS 10.65838 DAEDUCK GDS 7.162851 DAEGU DEPT.STORE 0.7485707 - DAEHAN FLOUR MILLS 0.6158976 DAEHAN STEEL -4.019496 DAEHAN SYNTHETIC FIBER -1.421865 DAEHO AL 4.013023 DAEKYO -1.954362 DAEKYUNG MCH.& ENGR. 0.6701503 DAELIM B&CO 3.514929 DAELIM INDUSTRIAL 9.192432 DAELIM TRADING 2.354995 DAESANG 4.566291 DAESANG HOLDINGS 0.0214564 - DAESUNG ENERGY 0.9673747 DAESUNG GROUP PARTNERS 8.494145 - DAESUNG HOLDINGS 0.1787269 DAESUNG INDUSTRIAL 13.98303 DAEWON CABLE 2.379872 DAEWON CHEMICAL 11.75353 DAEWON PHARM. -2.474635 DAEWONKANGUP -5.787012 DAEWOO ELT.COMPNS. -5.517235 DAEWOO ENGR.& CON. -3.820017 DAEWOO INTERNATIONAL 0.4410676 DAEWOO SECURITIES 0.250622 DAEWOO SHIPBLDG.& MAR. ENGR. 10.28372 DAEWOONG -9.014818 DAEWOONG PHARM. 0.5021537 DAEYOUNG PACKAGING 2.610895 DAI YANG METAL -4.872318

pg. 112 DAIDONG ELECTRONICS -3.479815 DAISHIN SECURITIES 3.737294 - DAOU TECHNOLOGY 0.5650256 DAOUINCUBE -5.064521 - DAYOU AUTOMOTIVE SEAT TECHNOLOGY 0.2798491 DAYOU SMART ALUMINUM -4.316122 DCM -1.60053 DGB FINANCIAL GROUP 8.68056 DIGITAL POWER COMMS. 0.6670105 DOHWA ENGINEERING 25.46106 DONG IL 3.364626 DONG WHA PHARM. -4.240275 - DONG-A SOCIO HOLDINGS 0.2474126 DONG-A STEEL TECH. 6.098218 DONG-AH GEOLOGICAL ENGR. 1.415125 DONGAH TIRE & RUB. -2.134562 DONGAONE 4.796576 DONGBANG AGRO 0.9481622 DONGBANG TRAN.& LOGIST. -6.328512 DONGBU 8.956609 DONGBU CNI 5.665477 DONGBU HITEK 6.992017 DONGBU INSURANCE 1.013334 DONGBU SECURITIES 5.71065 DONGBU STEEL 7.816761 DONGBUKA NO.10 SHIP INV. -2.141026 - DONGBUKA NO.11 SHIP INV. 0.3108028 - DONGBUKA NO.12 SHIP INV. 0.1473734 DONGBUKA NO.13 SHIP INV. -3.628747 DONGBUKA NO.14 SHIP INV. -2.406468 - DONGBUKA NO.3 SHIP INV. 0.5979654 DONGBUKA NO.4 SHIP INV. -1.071225 DONGBUKA NO.5 SHIP INV. -1.455233 DONGIL INDUSTRIES 9.069187 DONGIL PAPER -12.5161 DONGKOOK IND. 3.04648 DONGKUK STEEL MILL 1.760662 DONGNAM CHEMICAL -3.93003 DONGSUNG CHEMICAL 2.047964 DONGSUNG HOLDINGS 9.230101

pg. 113 DONGSUNG PHARM. 2.716877 DONGWON -1.612617 DONGWON F & B 19.43535 DONGWON FISHERIES -6.187561 DONGWON INDUSTRY -14.9395 DONGWON METAL -2.90798 DONGWON SYSTEMS -2.553841 DONGYANG ENGR. & CON. -41.12732 DONGYANG EXPRESS 3.046802 DONGYANG GANGCHUL 6.94426 DONGYANG MECHATRONICS 12.03686 DONGYANG STEEL PIPE 6.388159 DOOSAN 1.084395 DOOSAN ENGINE 0.5508246 DOOSAN ENGR.& CON. 12.68664 DOOSAN HVY.INDS.AND CON. -3.826844 DOOSAN INFRACORE -3.337456 DRB HOLDING -10.02668 - DSR WIRE 0.1879106 DUCK YANG IND. 5.378683 - DUKSUNG 0.4454955 DUZONBIZON -1.830752 E-COREA REIT.TST. 11.70391 E-FILM 10.79887 E-MART -4.316285 E-STARCO -23.75335 E-WORLD 12.37446 E1 -7.942572 EAGON INDL. -5.587288 ELITE BASIC 3.134402 EN3 14.56887 ENEX -7.015532 EUGENE INV.& SECURITIES 2.125428 F&F 3.17846 FARMSCO 1.15688 FEELUX -2.529332 FILA KOREA -4.428158 FIRSTEC -1.679709 FOOSUNG -0.267671 FURSYS -0.10176 G2R 13.70103 GAON CABLE 2.239459

pg. 114 GLOBAL &YUASA BTRY. 5.22631 GOLDEN BDG.INV.& SECS. SUSP - SUSP.10/06/13 2.949934 GOLDEN NARAE RLST.DEV. INV.TST. -6.187644 GRAND KOREA LEISURE -10.85145 GREEN CROSS 4.460588 GREEN CROSS HDG. 0.9866644 GS ENGR. & CON. 6.663979 GS GLOBAL 7.677019 GS HOLDINGS -1.306001 GS RETAIL 3.445122 GSINSTRUMENTS 8.733064 GWANGJU SHINSEGAE -1.385486 HAE IN 5.637803 HALLA ENGR.& CON. -8.596545 HALLA VISTEON CLIMATE CONTROL -3.016088 HAN CHANG -4.571752 HANA FINANCIAL GROUP 3.53152 HANA TOUR SERVICE -5.016675 HANALL BIOPHARMA 2.668659 HANCHANG PAPER -3.587399 HANDOK -7.646388 HANDSOME 5.057473 HANEXPRESS 0.3169931 HANIL CEMENT 17.87974 HANIL E-HWA 10.85879 HANIL IRON & STEEL 0.2950368 HANJIN HVIND.& CON.HDG. 3.900521 HANJIN HVY.INDS.& CON. 6.569602 HANJIN SHIPPING -10.90585 HANJIN SHIPPING HDG. -2.217676 HANJIN TRANPORTATION -5.815234 HANKOOK COSMETICS -8.567968 HANKOOK COSMETICS MNFG. -9.749466 HANKOOK SHELL OIL 17.31816 HANKOOK STEEL 7.761778 HANKOOK TIRE WORLDWIDE 7.859804 HANKUK CARBON 13.61041 HANKUK GLASS INDUSTRIES -1.591262 HANKUK PAPER MNFG. 1.017585 HANMI PHARM 3.417832 HANMI SCIENCE 4.280249 HANMI SEMICONDUCTOR 5.828736 HANMIGLOBAL 3.994491

pg. 115 HANNONG CHEMICALS 17.27915 HANSAE -4.046386 HANSAE YES24 HOLDINGS 4.140695 HANSHIN CONSTRUCTION 20.70789 HANSHIN MACHINERY -5.321091 HANSOL ARTONE PAPER -18.51508 HANSOL CHEMICAL -1.870654 HANSOL CSN -12.22885 HANSOL HOME DECO 6.907778 HANSOL PAPER MNFG. -7.197755 HANSOL PNS 25.61731 HANSOL TECHNICS 32.02319 HANSSEM 2.923785 HANSUNG ENTERPRISE -2.430966 HANWHA 4.785872 HANWHA CHEMICAL 3.702499 HANWHA GENERAL INSURANCE -5.608271 HANWHA INVESTMENT&SECS. 14.80797 HANWHA LIFE INSURANCE -5.385189 HANWHA TIMEWORLD 20.90323 HANYANG SECURITIES 4.183578 HEUNG-A SHIPPING -6.142469 HEUNGKUK F&M.IN. 0.5720319 HI GOLD OCEAN NO.2 SHIP INVESTMENT -1.659002 HISTEEL 6.759564 HITEJINRO 7.235003 HITEJINRO HOLDINGS -8.594029 HITRON SYSTEMS -6.956595 HMC INVESTMENT SECS. 0.7347319 HOTEL SHILLA 5.444736 HS INDS. -2.837615 HS R & A 14.41379 HUCHEMS FINE CHEMICAL -5.897407 HUNEED TECHNOLOGIES -13.56851 HUSTEEL -4.196468 HUVIS -8.984455 HWACHEON MACHINE TOOL -4.820578 HWACHEON MACHINERY 5.123804 HWANGKUM STL.& TECH. 5.350546 HWASHIN 7.781173 HWASUNG INDUSTRIAL 10.30309 HYOSUNG -4.239503 HYOSUNG ITX 2.432588

pg. 116 HYUNDAI 8.093755 HYUNDAI BNG STEEL 14.92566 HYUNDAI CEMENT 5.428716 HYUNDAI DEPARTMENT STORE -4.232667 HYUNDAI DEV. 8.521227 HYUNDAI ELEVATOR -17.66253 HYUNDAI ENGR.& CON. -2.414223 HYUNDAI ENGR.PLASTICS 13.42362 HYUNDAI GLOVIS -4.500156 HYUNDAI GREEN FOOD -4.597075 HYUNDAI HCN -6.302536 HYUNDAI HEAVY INDUSTRIES 3.635719 HYUNDAI HOME SHOP.NET. -2.821676 HYUNDAI HYSCO -9.451202 HYUNDAI MARINE & FIRE IN. -12.73772 HYUNDAI MERCHANT MARINE -14.18423 HYUNDAI MIPO DOCKYARD -2.388147 HYUNDAI MOBIS 14.26721 HYUNDAI MOTOR 10.10668 HYUNDAI P&C SUSP - 23/07/13 -20.77657 HYUNDAI PHARM. -8.747444 HYUNDAI SECURITIES 0.1868183 HYUNDAI STEEL 5.917754 HYUNDAI WIA 6.890199 IB WORLDWIDE -8.135229 IHQ 7.23265 IL DONG PHARM. -18.29058 IL JEONG INDUSTRIAL 7.689948 IL SHIN STONE 4.354712 IL SUNG CONSTRUCTION -4.397316 ILJIN DIAMOND 1.786541 ILJIN DISPLAY -1.216671 ILJIN ELECTRIC -1.539283 ILJIN HOLDINGS 4.505154 ILJIN MATERIALS 16.89748 ILSHIN SPINNING 6.633342 ILSUNG PHARMS. 4.156238 ILYANG PHARM. 3.8809 IMARKETKOREA 0.5443816 IN THE F 38.03465 INCHEON CITY GAS 2.556153 INDUSTRIAL BANK OF KOREA 7.134374 INFAC 10.15827

pg. 117 INTERGIS -4.174244 INZICONTROLS 4.494805 IS DONGSEO 6.037959 ISU CHEMICAL 2.178947 ISUPETASYS 5.178345 JAHWA ELECTRONICS 8.606445 JEIL PHARMACEUTICAL 2.697474 JICO 25.50942 JINDO -7.614014 JOOYONTECH -22.77517 JS CABLE -14.0105 JW HOLDINGS -2.365249 JW PHARMACEUTICAL -4.134112 K C TECH 12.99398 K-TOP REITS 0.6217268 KANGWON LAND 1.031729 KB FINANCIAL GROUP -3.168523 KC COTTRELL 11.03528 KC GREEN HOLDINGS 30.96576 KCC 0.7782272 KCTC -1.643532 KEANG NAM ENTERPRISES 2.503291 KEC -9.544436 KEC HOLDINGS 4.674037 KEPCO ENGR.& CON.CO. 7.952632 KEPCO PLANT SER.& ENGR. -12.09031 KEUNWHA PHARM. -22.41141 KEYANG ELEC.MCH. 1.931603 KEYSTONE GLOBAL 78.77918 KG CHEMICAL 4.507648 KIA MOTORS 14.96528 KISCO 3.383526 KISCO HOLDINGS -5.429541 KISHIN 6.311501 KISWIRE 4.247054 KIWOOM SECURITIES 0.3239236 KLEANNARA 0.0466231 KOAS -1.679114 KOCREF REIT 8 1.452333 KOCREF15CR-REIT 0.5197536 KOLON -2.592164 KOLON FASHION MATERIAL 2.692178 KOLON INDUSTRIES -3.039808

pg. 118 KOLON PLASTICS 4.974402 KOLONGLOBALCORPORATION -2.967608 KOREA AEROSPACE INDS. -3.114441 KOREA AIRPORT SER. 0.6877196 KOREA CAST IRON PIPE IND. 7.14392 KOREA CIRCUIT 5.612561 KOREA DEV.FINANCING -1.931768 KOREA DEVELOPMENT 0.3767766 KOREA DISTRICT HEATING 1.982938 KOREA ELEC. TERMINAL 1.486225 KOREA ELECTRIC POWER -14.95479 KOREA ELECTRONIC POWER INDV. -1.283191 KOREA ENGINEERING CNSLS. 33.85502 KOREA EXPORT PACK.INDL. 7.450067 KOREA FLANGE 2.217149 KOREA GAS -5.87219 KOREA GREEN PAPER MNFG. 1.556163 KOREA INDL. -2.039871 KOREA INVESTMENT HDG. 2.413843 KOREA KOLMAR HOLDINGS -8.981457 KOREA LINE 12.92593 KOREA PACIFIC NO.1 SHIP INVESTMENT 1.242887 KOREA PACIFIC NO.2 SHIP INVESTMENT -5.453618 KOREA PACIFIC NO.3 SHIP INVESTMENT -1.434321 KOREA PACIFIC NO.4 SHIP INVESTMENT -1.538753 KOREA PETROCH.IND. -6.391086 KOREA PETROLEUM INDL. 30.15041 KOREA REFRACTORIES -1.756367 KOREA STEEL SHAPES -2.03675 KOREA UNITED PHARM. 5.443869 KOREA ZINC -2.986427 KOREAN AIR LINES -1.837038 KOREAN REINSURANCE 6.076819 KP&L 17.9051 KPX CHEMICAL 8.171095 KPX FINE CHEMICAL 9.757657 KPX GREEN CHEMICAL 5.172189 KPX HOLDINGS 3.912339 KSS LINE -14.87502 KT -10.45446 KT & G 0.3435018 KT SKYLIFE -6.186862 KTB INVESTMENT&SECS. -3.570027

pg. 119 KTCS -1.434655 KTIS 0.9561902 KUKBO TRSP. 9.213857 KUKDO CHEMICAL 0.5639949 KUKDONG 11.47053 KUKDONG OIL & CHM. 3.333162 KUKJE PHARM.INDL. -28.68035 KUM YANG 0.870188 KUMBI 9.424582 KUMHO ELECTRIC -4.147492 KUMHO INDUSTRIAL -23.15032 KUMHO INVESTMENT BANK 33.95345 KUMHO PETRO CHEMICAL -9.683656 KUMHO TIRES 12.37439 KUMKANG KIND 0.1811266 KUNSUL CHEMICAL INDL. 1.246202 KWANG DONG PHARM. -11.03568 KWANG HEE DTD.SFDM.REIT. 0.3557419 KWANG MYUNG ELEC.ENGR. 1.113001 KYE-RYONG CON.INDL. 2.219537 KYOBO SECURITIES 8.966941 KYUNG DONG NAVIEN -6.002287 KYUNG IN ELT. 3.483604 KYUNG NONG 2.510712 KYUNGBANG 6.184114 KYUNGDONG CITY GAS -3.792732 KYUNGIN SYNTHETIC -2.718236 KYUNGNAM ENERGY 10.53269 LEE KU INDL. 3.11201 LG 3.18203 LG CHEM -1.379416 LG DISPLAY 8.605306 LG ELECTRONICS 7.65612 LG FASHION 6.639483 LG HAUSYS -2.452912 LG HHLD.& HLTH.CARE 3.760301 LG INNOTEK -4.316544 LG INTL. -3.136411 LG LIFE SCIENCES -7.31387 LG UPLUS 5.367963 LIG INSURANCE -12.57592 LIVART 8.083149 LOCK&LOCK 4.38848

pg. 120 LOGISTICS ENERGY KOREA -39.57536 LOTTE CHEMICAL 5.392427 LOTTE CHILSUNG -1.591139 LOTTE CONFECTIONERY 10.6943 LOTTE FOOD -1.959764 LOTTE HIMART -2.065793 LOTTE NON-LIFE IN. 1.684175 LOTTE SHOPPING 5.87408 LOTTE TOURS -14.48463 LS -5.905292 LS INDUSTRIAL SYS. 0.5896003 LS NETWORKS 2.481781 MACQUARIE KOREA INFR.FD. -1.096985 MANDO 10.15965 MANHO ROPE & WIRE -2.544785 MANIKER 2.616218 MERITZ FINANCIAL GROUP -15.1933 MERITZ FIRE & MAR.IN. -23.20404 MERITZ SECS. -5.610974 MHETHANOL -5.916785 MICHANG OIL IND. 21.50527 MIRAE -1.403777 MIWON CHEMICALS -1.65404 MIWON COMMERCIAL 12.61047 MIWON SPECIALTY CHEMICAL -1.923048 MK TREND -1.788235 MONALISA 13.77503 MONAMI 28.80658 MOONBAE STEEL -0.545923 MOORIM P&P 11.26571 MOORIM PAPER -3.023472 MOTONIC 4.285554 MUHAK 0.6579609 MYUNGMOON PHARM. 0.1923943 NAMHAE CHEMICAL 2.309952 NAMKWANG ENGR.& CON. -16.03584 NAMSUN ALUM. 7.940722 NAMSUNG 1.016098 NAMYANG DAIRY PRDS. 0.0858593 NAMYEUNG VIVIEN 1.316667 NARA KIC -10.80013 NATIONAL PLASTIC 10.07761 NAVER 8.429862

pg. 121 NCSOFT 7.483752 NEXEN -3.872659 NEXEN TIRE 18.18304 NEXOLON 4.800814 NH INVESTMENT & SECS. 4.494477 - NI STEEL 0.6776891 NICE HOLDINGS 6.402889 NK 22.93917 NONG SHIM HDG. -3.385396 NONGSHIM -1.483611 - NOROO HOLDINGS 0.4277348 NOROO PAINT & COATINGS 18.06181 OCI 1.931102 ORIENTBIO -1.769484 ORION -3.725324 OTTOGI -4.582623 OYANG -15.67307 PAIK KWANG IND. 12.65125 PAN-PACIFIC 22.44863 PANG RIM 3.338501 PAPERCOREA 0.8159504 PHARMICELL -1.942841 PHOENIX COMMS. 30.11232 POONGSAN -4.173285 POONGSAN HOLDINGS 0.2775165 POSCO 1.133013 POSCO COATED & COO.STL. 2.847139 POSCO PLANTEC 6.807137 PULMUONE HOLDINGS -5.225857 PUM YANG CON. SUSP - SUSP.11/06/12 7.710276 PUSAN CAST IRON 4.24904 PYUNG HWA ANTI-VIBRATION SYSTEM 17.97729 PYUNG HWA HOLDINGS -0.053349 PYUNG HWA INDUSTRIAL -33.86439 REYON PHARMACEUTICAL 0.8030344 RIFA INDUSTRIAL 4.164886 ROCKET ELECTRIC 11.31441 S & T HOLDINGS 4.43981 S&T -2.360146 S&T DYNAMICS 5.565985 S&T MOTIV -2.572062 S&T MOTORS -1.499277

pg. 122 S-1 -2.218335 S-OIL 2.484507 SAERON AUTOMOTIVE 11.99521 SAJO INDUSTRIES -11.83748 SAJODAERIM 0.9485823 SAJOHAEPYO -26.84297 SAM HWA PAINTS INDL. 4.396422 SAM JIN PHARM. -6.136194 SAM JUNG PULP -3.121871 SAM WHAN 3.920221 SAM YOUNG CHM. 5.130869 SAM YOUNG ELTN. 2.318069 SAM YUNG TRADING -10.72335 SAM-A ALUMINIUM 1.356553 SAMBU CON. 3.666012 SAMCHULLY -8.131533 SAMHO DEVELOPMENT 8.593347 SAMHO INTL. -6.629886 SAMHWA CROWN & CLOSURE -2.689705 SAMICK MUSICAL INSTS. -0.68498 SAMICK THK 9.298389 SAMIL PHARM. -3.407889 SAMKWANG GLASS -3.938855 SAMLIP GEN.FOODS -6.066427 SAMSUNG C & T 12.08478 SAMSUNG CARD 3.858233 SAMSUNG CLIMATE CONTROL 3.144405 SAMSUNG ELECTRONICS 10.38978 SAMSUNG ELTO.MECHANICS 4.367997 SAMSUNG ENGINEERING 3.359418 SAMSUNG FINE CHEMICALS 0.3849425 SAMSUNG FIRE & MAR.IN. 1.760238 SAMSUNG HEAVY INDS. 3.49873 SAMSUNG LIFE INSURANCE -5.756155 SAMSUNG PHARM.IND. -8.322247 SAMSUNG PUBLISHING 0.0905907 SAMSUNG SDI -2.876353 SAMSUNG SECURITIES 0.6225956 SAMSUNG TECHWIN 9.761517 SAMWHA CAPACITOR -1.832407 SAMWHA ELECTRIC 3.784582 SAMWHA ELECTRONICS 20.38975 SAMWHAN CAMUS -21.31986

pg. 123 SAMWON STEEL 3.330332 SAMYANG -3.699633 SAMYANG ENTECH 0.1291141 SAMYANG GENEX 9.279973 SAMYANG HOLDINGS 1.469956 SAMYANG TONGSANG 3.835836 SAMYANGFOODS -3.865712 SAMYUNG HDG. -3.696327 SANGSIN BRAKE IND. 9.608958 SAVEZONE I&C -5.547309 SBS MEDIA HOLDINGS -13.14149 SBW 0.6091543 SC ENGINEERING 5.885369 SCHNELL BIOPH. -4.044018 SEAH BESTEEL 28.53748 SEAH HOLDINGS 8.190896 SEAH SPECIAL STEEL 12.90559 SEAH STEEL -3.029395 SEBANG -4.125928 SEHA -7.323685 SEJONG INDUSTRIAL 4.659314 SEMPIO FOODS -18.83668 SEONDO ELECTRIC -2.109797 SEOUL BROADCASTING SY. 0.3484731 SEOUL CITY GAS 4.597779 SEOUL FOOD INDL. -4.047498 SEOWON 2.501504 SEWON CELLONTECH 2.256937 SEWON PRECISION IND. 5.537142 SEWOO GLOBAL -3.321199 SG -47.224 SG CHOONGNAM SPINNING -11.59497 SH ENERGY & CHEMICAL 3.621101 SHIN HAN ENGR.&CON. -23.14715 SHIN POONG PHARM. -2.872627 SHIN WON 0.6600762 SHINDAEYANG PAPER -16.32385 SHINHAN FINL.GROUP 0.9762482 SHINHUNG -1.817985 SHINHWASILUP 10.94357 SHINIL ENGINEERING SUSP - SUSP.20/03/13 -1.495844 SHINIL INDL. 5.737409 SHINPOONG PAPER MNFG. -5.785067

pg. 124 SHINSEGAE 7.376122 SHINSEGAE ENGR.& CON. 2.344653 SHINSEGAE FOOD -4.777369 SHINSEGAE I&C 11.69806 SHINSEGAE INTERNATIONAL -9.050873 SHINSUNG ENG 3.36006 - SHINSUNG FA 0.3666143 SHINSUNG SOLAR ENERGY 7.513153 SHINSUNG TONGSANG 2.449692 SHINWOO -3.457588 SHINYOUNG SECS. 3.51486 SHINYOUNG WACOAL 3.352458 SILLA -4.941677 SIMPAC -3.790083 SINDOH -1.798827 SJM -1.509462 SJM HOLDINGS -1.081927 SK C&C -1.306493 SK CHEMICALS -7.052758 SK GAS -9.068302 SK HOLDINGS 0.9532483 SK HYNIX 9.69453 SK INNOVATION 3.68819 SK NETWORKS -3.938956 SK SECURITIES -1.443858 SK TELECOM 1.213735 SKC -1.962249 SONGWON INDL. 11.09462 SOOSAN HEAVY INDS. -1.903894 SSANGYONG CEMENT INDL. 20.0064 SSANGYONG MATERIALS 4.752341 SSANGYONG MOTOR 10.44428 STX 4.77841 STX ENGINE 5.744368 STX HEAVY INDUSTRIES -2.444979 STX OFFSHORE & SHIPBLDG. 7.307017 STX PAN OCEAN -6.660152 SUHEUNG CAPSULE -3.870045 - SUNCHANG 0.2685089 SUNGBO CHEMICAL 0.2619635 SUNGCHANG ENTER.HDG. 3.275423 SUNGJEE CONSTRUCTION 20.53077

pg. 125 SUNGMOON ELTN. 3.952631 SUNGSHIN CEMENT 10.87017 SUNJIN -8.91459 SUNNY ELECTRONICS -30.19368 SY 6.456337 T'WAY HOLDINGS 0.6614666 TAE KYUNG CHM. 5.288833 TAE WON MULSAN 2.124269 TAEKWANG INDL. 6.671219 TAEKYUNG INDL. 3.408391 TAEYANG METAL INDL. 13.77609 TAEYOUNG ENGR.& CON. 2.199783 TAIHAN ELECTRIC WIRE 14.65375 TAIHAN TEXTILE 0.3991984 TAILIM PACK.INDL. -9.264778 TCC STEEL 2.178948 TEC&CO. -7.402357 TEEMS -14.03529 TELCOWARE -5.8348 THE BASIC HOUSE 14.11422 THE WILLBES & COMPANY -17.00527 THEALL MEDI BIO -43.32235 THN 0.3866563 TONG YANG MOOLSAN 0.2532798 TONGYANG -3.288929 TONGYANG LIFE INSURANCE 1.61946 TONGYANG NETWORKS -9.050074 TONGYANG SECURITIES 0.0744998 TRANSDERMAL ASIA HDG. 28.1808 TRUS Y 7 REIT. 0.7798328 TS -1.976281 UANGEL -5.786077 UNI CHEM -10.04215 UNID 5.404318 UNION 2.697754 UNION STEEL 4.891134 UNIQUEST 2.527438 VGX INTERNATIONAL -7.835297 VISANG EDUCATION 6.458431 WHAN IN PHARM. 5.491999 WISCOM 2.412255 WONLIM 4.788542 WOOJIN 0.7822446

pg. 126 WOOJIN PLAIMM -2.314513 WOONGJIN CHEMICAL 0.8375152 WOONGJIN ENERGY 15.89863 WOONGJIN HOLDINGS -9.997154 WOONGJIN THINKBIG 18.85003 WOORI FINANCIAL -6.777727 WOORI INV.& SECS. 1.54011 WOORIDUL LIFE SCIENCES 2.083695 WOORIDUL PHARMACEUTICAL 3.836648 WOORIFINANCE HOLDINGS 1.374124 WOOSHIN SYSTEMS 13.37261 WOOSUNG FEED 5.739616 YBROAD 4.506292 YEONGHWA METAL 1.393904 YESCO 6.209763 YOO SUNG ENTER. 18.11167 YOUL CHON CHEMICAL 4.413085 YOUNG HEUNG IRON & STEEL 0.2494084 YOUNG POONG 6.964868 YOUNG POONG PAPER 4.353005 YOUNGBO CHEMICAL 12.14048 YOUNGONE 0.2779009 YOUNGONE HOLDINGS 5.800918 YUHAN -9.127131 YUHWA SECS. 0.9540351 YUNGJIN PHARM IND. 0.5371097 YUYANG D&U -5.362568 YUYU PHARMA -6.320782

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