KOREA EXCHANGE BANK OKAYS MERGER WITH ITS CREDIT CARD UNIT.

AsiaPulse News, January, 2004

SEOUL, Jan 16 Asia Pulse - Korea Exchange Bank (KEB) (KSE:004940), South Korea's sixth-largest lender, said Friday it has approved a merger with its cash-strapped credit card unit.

The decision came at an emergency shareholders meeting presided over by Lee Joo-hoon, acting president of KEB Credit Service Co.

"With the approval of more than two-thirds of the shareholders attending the meeting, the merger plan was resolved," Lee said.

Under the terms of the deal, one share of KEB Credit will be valued at 0.533689 of each KEB share on the market. The merger will take place on Feb. 28, according to KEB officials.

"As the necessary legal procedure for the merger has already taken place, management will start taking steps toward the merger...