mlkrborn
16 years ago
Interesting case study! Korean sushi!
The Korea Fund, Inc. Declares Capital Gain Distribution
Monday December 22, 4:41 pm ET
NEW YORK, Dec. 22, 2008 (GLOBE NEWSWIRE) -- The Board of Directors of The Korea Fund, Inc. (NYSE:KF - News) (the ``Fund'') announced today that it has declared a capital gain distribution of $220.3 million ($90.30 per share after the 1-for-10 reverse stock split, which was effective earlier today). On a post-split, per share basis, the distribution is comprised of long-term capital gains of $85.60 and short-term capital gains of $4.70. The distribution is inclusive of realized capital gains incurred during for the fiscal year ended June 30, 2008.
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The distribution will be payable on January 29, 2009 to shareholders of record on December 31, 2008 (the ``Record Date'') with an ex-dividend date of December 29, 2008.
The distribution will be paid in the Fund's common stock priced at the market price of the Fund's common stock determined as of the close of the New York Stock Exchange (``NYSE'') on January 26, 2009 (the ``Pricing Date''). The distribution may be reduced if the number of shares to be issued on the payable date, together with the Fund's outstanding shares on the payable date, exceeds the Fund's authorized share limit. Any reduction in the distribution will likely subject the Fund to a Fund-level tax on undistributed amounts.
Stockholders may, however, request that their distribution be paid in cash in lieu of common stock. Such requests must be for the entire distribution payable to the stockholder; however, the aggregate amount of cash distributions to all stockholders will be capped, or limited, to 20% of the aggregate dollar amount of the total distribution being paid by the Fund (excluding cash paid in lieu of fractional shares). Thus, if the cash elections would cause the total amount of cash to be distributed by the Fund to exceed the 20% cap, each stockholder who requests cash will receive a pro rata portion of the cash distributed to all stockholders who have made cash elections. Such pro rata portion will be calculated based on the total amount of the distribution to be paid to a stockholder requesting cash relative to the total amount of the distribution to be paid to all stockholders requesting cash. Stockholders who elect cash and do not receive 100% of their distribution in cash will receive the balance in common stock issued at the market price on the Pricing Date. Stockholders not electing cash will receive all of their distribution in common stock. A stockholder will receive cash in lieu of a fraction of a share unless the stockholder holds his or her shares directly with the Fund at the transfer agent and participates in the Fund's dividend reinvestment plan.
Stockholders will receive a written notice of the planned distribution with instructions for how to elect to receive the distribution in cash, which will be mailed following the Record Date. The deadline for making a cash election is January 22, 2009 if you hold shares through a financial advisor or brokerage firm, and January 23, 2009 if you hold shares directly with the Fund. Any stockholder whose request for cash is not made in the proper form or is received after the stated deadline will receive all of the distribution in common stock. Therefore, if you do not receive a notice, or you believe the transmission of your notice may have been delayed, you should contact your financial advisor or the Fund's shareholder servicing agent at (800) 331-1710. You will also be able to view the applicable notice on the Fund's website, http://www.thekoreafund.com, on or about the Record Date.
The Korea Fund, Inc. is a non-diversified, closed-end investment company that seeks long-term capital appreciation through investments in securities, primarily in equity securities, of Korean companies. Its shares are listed on the New York Stock Exchange under the symbol ``KF.''
RCM Capital Management LLC and RCM Asia Pacific Limited are the Fund's investment manager and sub-adviser, respectively. Investment in closed-end funds involves risks. Additional risks are associated with international investing, such as currency fluctuation, government regulations, economic changes 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 U.S. market. Additionally, this Fund focuses its investments in certain geographical regions, thereby increasing its vulnerability to developments in that region. All of these factors potentially subject the Fund's shares to greater price volatility. The net asset value of the Fund will fluctuate with the value of the underlying securities. Closed-end funds trade on their market value, not net asset value, and closed-end funds often trade at a discount to their net asset value.
frenchee
17 years ago
South Korea Stocks Fall on Interest-Rate Concern; Samsung Drops
By Kyung Bok Cho
June 13 (Bloomberg) -- South Korean stocks fell after former Federal Reserve Chairman Alan Greenspan predicted increased borrowing costs and U.S. bond yields gained to a five-year high, suggesting that investors are expecting higher interest rates. Samsung Electronics Co. paced the retreat.
``A short-term correction looks inevitable for global markets,'' said Chang In Whan, president of KTB Asset Management Co. in Seoul, which has about $3.8 billion in equity assets. ``There's inflation pressure all over the world, in the U.S., in China, in the Eurozone. More interest-rate increases are likely, which will put a sustained squeeze on liquidity.''
The Kospi index lost 7.39, or 0.4 percent, to 1722.49 as of 11:04 a.m. in Seoul. The Kosdaq was little changed at 762.72. Kospi 200 futures expiring in June slid 0.5 percent to 218.45, while the underlying index dropped 0.6 percent to 218.68.
Samsung Electronics, the most valuable company on the benchmark, declined 6,000 won, or 1 percent, to 572,000. Hyundai Heavy Industries Co., the world's biggest shipbuilder, retreated 9,500 won, or 3 percent, to 302,500.
Referring to historically low premiums on emerging-market debt, Greenspan said yesterday in New York that ``it ain't going to continue that way. And indeed, all the spreads you are looking at, including your spreads relative to the 10-year are going to start to open up and the 10-year is going to be moving as well.''
Hynix Semiconductor Inc., the world's second-largest computer-memory maker, slid 950 won, or 3 percent, to 30,500. Kookmin Bank, the largest South Korean lender, lost 800 won, or 0.9 percent, to 85,700.
Interest Rates
The yield on the 10-year Treasury note climbed to a five- year high following Greenspan's remarks. The yield on South Korea's benchmark five-year government bond jumped six basis points to 5.48 percent as of 10:47 a.m., the highest since December 2005.
The Bank of Korea last week left its benchmark rate at 4.5 percent, the highest in almost six years, and Governor Lee Seong Tae said the economy has performed better than policy makers expected.
``The Bank of Korea could raise rates once this year to 4.75 percent,'' said KTB Asset's Chang.
The European Central Bank raised its benchmark rate last week to a six-year high and signaled another increase is likely. Inflation in China, the world's fastest-growing major economy, accelerated in May and exceeded economists' estimates. China will probably increase lending and deposit rates at least once more in 2007, a Bloomberg News survey showed.
Shinhan Financial Group Ltd., South Korea's second-largest lender, dropped 600 won, or 1.1 percent, to 56,400. Hyundai Motor Co., which sells four out of five cars it makes overseas, declined 700 won, or 1 percent, to 72,100.
CJ, S-Oil
Separately, Hyundai Motor's labor union said yesterday it plans to strike in the last week of June to protest the government's attempts to ratify a free-trade agreement with the U.S. About 43,000 workers will walk off their jobs for between two and six hours during both daily shifts at three plants between June 25 and 27.
The following shares also rose or fell. Stock symbols are in brackets after company names.
CJ Corp. (001040 KS), South Korea's biggest grocer, advanced 1,500 won, or 1.3 percent, to 120,500. Daewoo Securities Co. raised its six-month price estimate by 26 percent to 158,000 in a report, citing CJ's decision to split into holding and operating companies.
S-Oil Corp. (010950 KS), South Korea's third-largest oil refiner, climbed 400 won, or 0.5 percent, to 75,100. The company said yesterday it will delay a 3.6 trillion won ($3.8 billion) plan to build a second refining unit because of rising construction costs and land prices.
Shinyoung Securities Co. raised its 12-month price estimate for the shares by 4.8 percent to 88,000 won, in a report. Postponing the plant will keep supply of oil products tight, increasing prices, while the company will have more money left for dividends, wrote Oh Jung Ill, an analyst.
Wooree ETI Co. (082850 KS), which makes parts for liquid- crystal displays, gained 300 won, or 2.7 percent, to 11,550. Korea Investment & Securities Co. lifted its six-month price estimate by 17 percent to 13,500 won, in a report. The company will benefit from a recovery in the LCD industry, wrote Yoo Jong Woo, an analyst.
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moores2009
16 years ago
