EUKOR Issues KRW 170 Billion 5-Year Corporate Bond

EUKOR Car Carriers Inc.(EUKOR) on September 8 sucessfully issued KRW 170 billion(USD 150 million) worth of 5-year corporate bonds as the first part in a wider re-financing scheme.

Through the issuance, the Company has upgraded its financial stability by saving cost through earlier repayment of the Tranche A borrowings out of the Acquisition Financing made in 2002 and earlier of the refinancing burden concerning part of the funds maturing in 2008

Mr. Lee, Jeong Soo, Executive Director and Head of the Investment Banking Division at The Korea Development Bank(KDB), which acted lead manager for the issuance, said: "This is an unprecedented deal in the history of the Korean bond market - a successful maiden issuance of 5-year bonds worth as much as KRW 170 billion. The issuance is a testimony of the market's recognition of the stability and growth potential of the issuing firm."

EUKOR President and CEO Mr. Carl-Johan Hagman commented : "We are pleased to see the great commitment and trust shown in EUKOR from leading financial institutions here in Korea. This is the first time for a five-year bond to be issued for a maiden issuer in the Korean market.

It proves that our chosen business model and corporate strategy well stands up to the performance expectations of the financial markets. This re-financing arrangement will significantly affect EUKOR's financial flexibility over the coming years."