Press Release
FOR IMMEDIATE RELEASE
For additional information:
Jim Gorman 212-454-2278, Media
Jonathan Diorio 800-454-2208, Investors
Julian Reid 44-20-7233-1333, Chairman of the Board
Jim Gorman 212-454-2278, Media
Jonathan Diorio 800-454-2208, Investors
Julian Reid 44-20-7233-1333, Chairman of the Board
THE KOREA FUND, INC. ANNOUNCES FINAL
RESULTS OF TENDER OFFER AND RELEASES THE
CURRENT COMPOSITION OF ITS PORTFOLIO
RESULTS OF TENDER OFFER AND RELEASES THE
CURRENT COMPOSITION OF ITS PORTFOLIO
NEW YORK, NY, November 3, 2006 – The Korea Fund, Inc. (NYSE: KF)announced today that, in accordance with its tender offer for up to 2,696,734 of its issued and outstanding shares of common stock, which expired on Friday, October 27, 2006, the Fund has accepted, after adjusting for fractional shares in accordance with the terms of the offer, 2,696,734 shares in exchange for apro rataportion of the Fund’s portfolio securities at a price equal to 98% of the net asset value per share determined as of the close of the New York Stock Exchange on Monday, October 30, 2006. These shares represent approximately 10% of the Fund’s outstanding shares.
Approximately 5,364,205 shares were properly tendered and not withdrawn by October 27, the final date for withdrawals. In accordance with the terms of the tender offer, the Fund is purchasing shares on a pro rata basis from all tendering shareholders. Accordingly, on a pro rata basis, 50.25786% of shares for each stockholder who properly tendered shares has been accepted for payment.
The Fund released today the expected composition of the proceeds that shareholders who chose to participate in the Fund’s in-kind repurchase offer will receive. The market value and percentage of the Fund’s net assets represented by each of the portfolio securities listed below may decrease or increase before the actual receipt of the portfolio securities distributed as proceeds.
The Korea Fund, Inc. is a non-diversified, closed-end investment company. The Fund seeks long-term capital appreciation through investing primarily in equity securities trading on the Korean stock exchanges. Its shares are listed on the New York Stock Exchange under the symbol “KF.”
# # #
Investments in funds involve risks. Additional risks are associated with international investing, such as government regulations and differences in liquidity which may increase the volatility of your investment. Foreign security markets generally exhibit greater price volatility and are less liquid than the US market. Additionally, this fund focuses its investments in certain geographical regions, thereby increasing its vulnerability to developments in that region and potentially subjecting the fund’s shares to greater price volatility.
Closed-end funds, unlike open-end funds, are not continuously offered. There is a one time public offering and once issued, shares of closed-end funds are sold in the open market through a stock exchange. Shares of closed-end funds frequently trade at a discount to net asset value. The price of the fund’s shares is determined by a number of factors, several of which are beyond the control of the fund. Therefore, the fund cannot predict whether its shares will trade at, below or above net asset value.
This announcement is not an offer to purchase or the solicitation of an offer to sell shares of the Fund or a prospectus, circular or representation intended for use in the purchase or sale of Fund shares.
Portfolio holdings are as of October 30, 2006. Percentage is based upon net assets. Portfolio holdings are subject to change.
Fund shares are not FDIC-insured and are not deposits or other obligations of, or guaranteed by, any bank. Fund shares involve investment risk, including possible loss of principal.
| NOT FDIC/ NCUA INSURED | MAY LOSE VALUE | NO BANK GUARANTEE |
| NOT A DEPOSIT | NOT INSURED BY ANY FEDERAL | GOVERNMENT AGENCY |
DWS Scudder is part of Deutsche Asset Management which is the marketing name in the US for the asset management activities of Deutsche Bank AG, Deutsche Bank Trust Company Americas, Deutsche Asset Management Inc., Deutsche Asset Management Investment Services Ltd., Deutsche Investment Management Americas Inc. and DWS Scudder Trust Company.
(10/06 39958)
(10/06 39958)
- TABLE FOLLOWS -
The Korea Fund, Inc.
Schedule of Investments as of October 30, 2006 (Unaudited)
Schedule of Investments as of October 30, 2006 (Unaudited)
| Security Name | Security Type | Shares | Market Value | % of Net Assets | ||||||||||||
| ACE DIGITECH CO | COMMON STOCK | 187,935.00 | 2,596,254.37 | 0.240 | % | |||||||||||
| AHNLAB | COMMON STOCK | 80,869.00 | 1,549,493.30 | 0.143 | % | |||||||||||
| BYC | COMMON STOCK | 26,761.00 | 3,994,390.51 | 0.369 | % | |||||||||||
| CHEIL COMMUNICATION | COMMON STOCK | 46,953.00 | 10,164,493.20 | 0.938 | % | |||||||||||
| CHOONGWAE PHARM | COMMON STOCK | 1,799.00 | 74,748.05 | 0.007 | % | |||||||||||
| CJ CORP | COMMON STOCK | 67,424.00 | 7,280,207.47 | 0.672 | % | |||||||||||
| CJ CORP | PREFERRED STOCK | 176,578.00 | 9,701,368.90 | 0.896 | % | |||||||||||
| CJ CORP | PREFERRED STOCK | 20,126.00 | 1,798,162.70 | 0.166 | % | |||||||||||
| CJ CORP | PREFERRED STOCK | 34,073.00 | 3,239,036.04 | 0.299 | % | |||||||||||
| COSMAX | COMMON STOCK | 507,600.00 | 2,724,323.21 | 0.252 | % | |||||||||||
| CROWN CONFECTION | COMMON STOCK | 64,714.00 | 7,741,154.88 | 0.715 | % | |||||||||||
| DACOM CORP | COMMON STOCK | 328,200.00 | 7,521,865.16 | 0.694 | % | |||||||||||
| DAISHIN SECURITIES | PREFERRED STOCK | 399,181.00 | 5,789,212.27 | 0.534 | % | |||||||||||
| DONGKUK STEEL MILL | COMMON STOCK | 381,185.00 | 7,122,124.58 | 0.658 | % | |||||||||||
| GS ENGINEERING + C | COMMON STOCK | 153,500.00 | 11,699,571.22 | 1.080 | % | |||||||||||
| HANA FINANCIAL HOL | COMMON STOCK | 170,700.00 | 7,996,056.57 | 0.738 | % | |||||||||||
| HANA TOUR SERVICE | COMMON STOCK | 88,800.00 | 5,339,374.30 | 0.493 | % | |||||||||||
| HANKOOK TIRE MANFT | COMMON STOCK | 2,576,393.00 | 36,955,616.30 | 3.412 | % | |||||||||||
| HITE BREWERY CO | COMMON STOCK | 50,146.00 | 5,971,973.74 | 0.551 | % | |||||||||||
| HOTEL SHILLA | COMMON STOCK | 581,047.00 | 8,826,575.16 | 0.815 | % | |||||||||||
| HUMAX CO LTD | COMMON STOCK | 215,868.00 | 5,530,096.28 | 0.511 | % | |||||||||||
| HYUNDAI ENG +CONST | COMMON STOCK | 206,400.00 | 11,580,161.78 | 1.069 | % | |||||||||||
| HYUNDAI MOBIS | COMMON STOCK | 132,642.00 | 13,002,327.95 | 1.200 | % | |||||||||||
| HYUNDAI MOTOR CO | PREFERRED STOCK | 499,954.00 | 23,260,443.84 | 2.148 | % | |||||||||||
| HYUNDAI MOTOR CO | PREFERRED STOCK | 841,120.00 | 38,331,885.69 | 3.539 | % | |||||||||||
| INDL BANK OF KOREA | COMMON STOCK | 845,100.00 | 14,895,373.43 | 1.375 | % | |||||||||||
| INTOPS CO | COMMON STOCK | 82,497.00 | 2,257,500.05 | 0.208 | % | |||||||||||
| JEONBUK BANK | COMMON STOCK | 1,757,473.00 | 17,023,106.68 | 1.572 | % | |||||||||||
| JVM KRW500 | COMMON STOCK | 136,039.00 | 5,083,551.20 | 0.469 | % | |||||||||||
| KH VATEC | COMMON STOCK | 96,631.00 | 1,237,744.16 | 0.114 | % | |||||||||||
| KOOKMIN BANK | COMMON STOCK | 594,638.00 | 49,036,468.27 | 4.527 | % | |||||||||||
| KOREA EXPRESS(THE) | COMMON STOCK | 219,344.00 | 17,600,460.65 | 1.625 | % | |||||||||||
| KOREA INVESTMENT HOLDING CO | COMMON STOCK | 262,439.00 | 12,362,817.37 | 1.141 | % | |||||||||||
| KOREA ZINC | COMMON STOCK | 62,300.00 | 6,858,836.58 | 0.633 | % | |||||||||||
| KOREAN AIR LINES | COMMON STOCK | 324,800.00 | 11,415,190.52 | 1.054 | % | |||||||||||
| KOREAN REINSURANCE | COMMON STOCK | 865,426.00 | 9,756,826.57 | 0.901 | % | |||||||||||
| KT + G CORPORATION | COMMON STOCK | 396,585.00 | 24,223,738.19 | 2.236 | % | |||||||||||
| LG CARD | COMMON STOCK | 168,221.00 | 10,684,655.56 | 0.986 | % | |||||||||||
| LG CHEMICAL | COMMON STOCK | 121,334.00 | 4,932,224.19 | 0.455 | % | |||||||||||
| MEGASTUDY CO LTD | COMMON STOCK | 59,500.00 | 7,186,735.82 | 0.664 | % | |||||||||||
| MERITZ FIRE MARINE | COMMON STOCK | 3,371,030.00 | 20,947,381.53 | 1.934 | % | |||||||||||
| NAMYANG DAIRY PROD | COMMON STOCK | 21,611.00 | 18,507,700.19 | 1.709 | % | |||||||||||
| NEPES CORPORATION | COMMON STOCK | 26.00 | 225.69 | 0.000 | % | |||||||||||
| NEXEN TIRE CP | COMMON STOCK | 191,661.00 | 3,043,365.09 | 0.281 | % | |||||||||||
| NHN CORP | COMMON STOCK | 170,445.00 | 16,437,346.62 | 1.518 | % | |||||||||||
| NONG SHIM CO | COMMON STOCK | 20,680.00 | 5,593,330.85 | 0.516 | % | |||||||||||
| ON MEDIA CORPORATION | COMMON STOCK | 826,500.00 | 6,693,192.88 | 0.618 | % | |||||||||||
| PHOENIX PDE | COMMON STOCK | 582,100.00 | 3,130,331.81 | 0.289 | % | |||||||||||
| POSCO | COMMON STOCK | 215,697.00 | 60,508,870.93 | 5.586 | % | |||||||||||
| S OIL | PREFERRED STOCK | 105,626.00 | 5,758,470.31 | 0.532 | % | |||||||||||
| S OIL | COMMON STOCK | 347,601.00 | 23,660,344.28 | 2.184 | % | |||||||||||
| S1 CORP | COMMON STOCK | 306,554.00 | 12,980,638.27 | 1.198 | % | |||||||||||
| SAMHO INTL | COMMON STOCK | 141,088.00 | 1,956,547.58 | 0.181 | % | |||||||||||
| SAMSUNG CLIMATE CO | COMMON STOCK | 560,224.00 | 4,151,344.43 | 0.383 | % | |||||||||||
| SAMSUNG CO | COMMON STOCK | 288,100.00 | 9,362,906.87 | 0.864 | % | |||||||||||
| SAMSUNG ELECTRONIC | COMMON STOCK | 230,350.00 | 148,502,778.81 | 13.710 | % | |||||||||||
| SAMSUNG ELECTRONIC | PREFERRED STOCK | 44,464.00 | 21,392,989.98 | 1.975 | % | |||||||||||
| SAMSUNG FIRE + MAR | COMMON STOCK | 399,710.00 | 59,661,366.53 | 5.508 | % | |||||||||||
| SAMSUNG FIRE + MAR | PREFERRED STOCK | 360,865.00 | 25,212,607.64 | 2.328 | % | |||||||||||
| SAMSUNG SECS CO | COMMON STOCK | 89,300.00 | 4,792,790.92 | 0.442 | % | |||||||||||
| SAMSUNG TECHWIN | COMMON STOCK | 342,200.00 | 13,294,595.59 | 1.227 | % | |||||||||||
| SAMWOO EMC CO LTD | COMMON STOCK | 510,926.00 | 1,911,949.47 | 0.177 | % | |||||||||||
| SEOUL SEMICONDUCTOR | COMMON STOCK | 1,292,915.00 | 24,157,041.07 | 2.230 | % | |||||||||||
| SFA ENGINEERING CO | COMMON STOCK | 315,573.00 | 9,854,870.48 | 0.910 | % | |||||||||||
| SHINSEGAE CO LTD | COMMON STOCK | 72,864.00 | 40,340,731.43 | 3.724 | % | |||||||||||
| SIMMTECH | COMMON STOCK | 449,583.00 | 4,464,180.71 | 0.412 | % | |||||||||||
| SK CORP | COMMON STOCK | 241,017.00 | 17,579,072.84 | 1.623 | % | |||||||||||
| SK TELECOM | COMMON STOCK | 187,154.00 | 41,109,887.18 | 3.795 | % | |||||||||||
| TAEGU DEPT STORE | COMMON STOCK | 735,080.00 | 14,162,340.90 | 1.308 | % | |||||||||||
| TK CORPN | COMMON STOCK | 194,000.00 | 2,382,257.92 | 0.220 | % | |||||||||||
| WOONG JIN COWAY | COMMON STOCK | 269,700.00 | 7,080,463.50 | 0.654 | % | |||||||||||
| YOULCHON CHEMICAL | COMMON STOCK | 224,695.00 | 2,131,230.73 | 0.197 | % | |||||||||||
| YUHAN CORP | COMMON STOCK | 34,679.00 | 5,726,908.37 | 0.529 | % | |||||||||||
| KOOKMIN BK NEW | DEPOSITORY RECEIPTS | 40,412.00 | 3,192,952.12 | 0.295 | % | |||||||||||
| 0.000 | % | |||||||||||||||
| SOUTH KOREAN WON | FOREIGN CURRENCY | 4,043,885,903.00 | 4,280,829.79 | 0.395 | % | |||||||||||
| QP TRUST | CASH TRUST | 4,823,454.37 | 4,823,454.37 | 0.445 | % | |||||||||||
| 0.000 | % | |||||||||||||||
| S.E. CO. LTD* | COMMON STOCK | 636,950.00 | — | 0.000 | % | |||||||||||
| HAITAI CONFECTIONERY LOAN* | NON-SECURITY ASSETS | 6,869,719.00 | 6,662.18 | 0.001 | % | |||||||||||
| 4,083,232,751.37 | 1,083,140,106.57 | 100.000 | % | |||||||||||||
| * | Securities will not be distributed. |
-END OF PRESS RELEASE-