1 Exhibit 99(c) POSCO HULS CO., LTD. Statements of Operations Years ended December 31, 1998, 1997 and 1996 (in thousands of U.S. dollars, except per share data) - -------------------------------------------------------------------------------------------------------------------------- 1998 1997 1996 - -------------------------------------------------------------------------------------------------------------------------- Sales (note 10) $ 120,980 215,938 275,096 Cost of goods sold (note 10) 122,267 169,388 176,833 - -------------------------------------------------------------------------------------------------------------------------- Gross profit (loss) (1,287) 46,550 98,263 Selling, general and administrative expenses 8,713 10,143 10,719 - -------------------------------------------------------------------------------------------------------------------------- Operating income (loss) (10,000) 36,407 87,544 - -------------------------------------------------------------------------------------------------------------------------- Other income (deductions): Interest income 5,687 5,634 4,910 Interest expense (17,362) (16,894) (18,213) Foreign currency translation and exchange gain (loss), net 2,845 5,887 (9,230) Amortization of deferred foreign currency translation loss (6,247) (15,139) - Loss of inventory valuation (7,299) (3,953) - Other, net 387 (4,640) (2,215) - -------------------------------------------------------------------------------------------------------------------------- (21,989) (29,105) (24,748) - -------------------------------------------------------------------------------------------------------------------------- Earnings (loss) before income taxes (31,989) 7,302 62,796 Income taxes (note 15) - 1,332 5,771 - -------------------------------------------------------------------------------------------------------------------------- Net earnings (loss) $ (31,989) 5,970 57,025 ========================================================================================================================== Earnings (loss) per share of common stock in U.S. dollars (note 17) $ (1.86) 0.35 3.32 ========================================================================================================================== See accompanying notes to financial statements.