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IMPENDING GLOBAL MARKET STUMBLE^§

We believe that the global market will take its downturn, a result of unnecessary luxury we have enjoyed last 20 years, initiated by US market recession starting from sub-prime defaults and will continue for next several years. We believe the tribulation is a course of current economy, where a price no longer represents the value of corresponding goods. It therefore requires major market correction. Any human attempts, i.e. government spending or rationally expected consumer spending, will not a key component of its correction, but may cause delay (or speed up unlikely) of its natural correction process and result unpleasant events as we learned from past.

As our business partner, Beyond Financial, has addressed this view throughout various conferences, we are focus on Global Macro based on correlation-neutral. We expect the market will be merged to two large economy communities: European Union and Pacific Ring.

§ Our market view addressed here is not an offer to buy or sell securities, and it should not be construed as an offer to buy or sell securities. The information contained therein is intended for information purposes and does not contemplate the specific investment objectives, financial situation, or needs of a specific recipient. The information contained therein does not constitute nor should it be construed as investment advice or an invitation to conduct investment business.

Korean project financing market experiences low return and saturation and participants look for new opportunities worldwide. We are recognized by markets in China, Vietnam, Cambodia and Korea.

A new way of financing, “securitization”, has been developed in early 1980’s as a vehicle to finance mortgage loans in the US with the first CMO by Fannie Mae in 1983 and the first CLO by National Westminster Bank Plc in 1996.

Since then, the market exploded to other areas such as auto loans, leases, credit cards and any other financial assets that generate cash flows.

Today (as of the end of 2005), Assets Backed Securities (ABS) market alone in the US, excluding Mortgage Backed Securities (MBS), is estimated to be approx. $1.92 trillion in outstanding bond balances since the first ABS was issued by Sperry Lease Finance Corporation in 1985.

Korean market quickly picked up the world financial market trends in securitization to various markets like Auto Loan, Corporate Bonds, Loans, Receivables and Construction Linked Debts. We however have found that 80% of construction projects experiences financing problem due to several reasons.

KOREAN PROJECT FINANCING MARKET (Overview)