Investors News

Notification and Details of the Convocation of General Meeting of Shareholders

2005.02.16 No. 303

1. Date of Shareholder's Meeting : March 04, 2005 10:00 AM

2. Place of Shareholder's Meeting :
- 2nd Floor Grand conference room of the Hyundai Motor Company
Headquarters, 231 Yangjae-dong, Seocho-ku, Seoul, Korea.

3. Agenda and Key Issues :
Reports :
- Audit Report
- Business Report
- Retirement of shares out of profits

Agenda :
- Approval of the financial statements of the 37th Business Year
(1/1/2004 ~ 12/31/2004)

(1) BALANCE SHEET(unit : KRW 100 million)
			2004	2003
Assets	I. Current Assets		87,334	83,481
	1) Quick Assets		74,663	70,291
	2) Inventories		12,671	13,190
	II. Non-current Assets		163,361	159,021
	1) Investment assets		69,463	64,778
	2) Tangible assets		87,334	84,758
	3) Intangible assets		6,565	9,485
	Total Assets		250,695	74,091
Liabilities and Shareholders' Equity	Liabilities	I. Current Liabilities	67,081	74,091
		II. Non-current Liabilities	46,277	43,431
		Total Liabilities	113,357	117,522
	Shareholders'Equity	I. Capital Stock	14,808	14,786
		II. Capital Surplus	53,596	53,843
		III. Retained Earnings	65,683	51,701
		IV. Capital Adjustments	3,252	4,650
		Total Shareholder's Equity	137,338	124,980
	Total Liabilities and Shareholder's Equity		250,695	242,501

(2) STATEMENT OF INCOME(unit : KRW 100 million)
	2004	2003
I. Sales	274,725	249,673
II. Cost of Sales	207,980	182,486
III. Gross Profit	66,745	67,187
IV. Selling & Administrative Expenses	46,930	44,830
V. Operating Income	19,814	22,357
VI. Non-operating Income	17,868	9,192
VII. Non-operating Expenses	12,793	8,076
VIII. Ordinary Income	24,890	23,474
IX. Extraordinary Gains	-	-
X. Extraordinary Losses	-	-
XI. Income before Income Tax Expenses	24,890	23,474
XII. Income Tax Expenses	7,044	5,980
XIII. Net Income	17,846	17,494

(3) STATEMENT OF APPROPRIATIONS OF RETAINED EARNINGS(unit : KRW 100 million)
	Amount	Remark
I. Unappropriated Retained Earnings		* Dividends per share (%) of the 37th Business year : - Common shares : KRW 1,150(23%) - Series 1 Preferred shares : KRW 1,200(24%) - Series 2 Preferred shares : KRW 1,250(25%) - Series 3 Preferred shares : KRW 1,200(24%)
1. Unappropriated Retained Earnings carried over from prior period	9
1. Retirement of treasury stock	-651
3. Adjustment in investment securities using equity method	-35
4. Net Income for the year	17,846
Total	16,848
II. Appropriation of Retained Earnings
1. Legal Reserve	330
2. Reserve for Research Development	6,000
3. Reserve for Technology Development	7,240
4. Dividends	3,268
Total	16,838
III. Unappropriated Retained Earnings carried over to subsequent year	9

- Appointment of Director(s) : Nominees (2 persons)

Name	Date-Of-Birth	Major Career	Transactions With Company	Relationship with major shareholder
	Recommended by
Mong Koo Chung (Internal Director)	03-19-1938	-Chairman, Korea Standard Association -Ambassador of Economic Trade -Chairman & CEO, Hyundai Motor Company	-Possession Of 11,395,859 Common shares	Management of Affiliate
	Board of Director
Kwang Nyun Kim (External Director)	09-04-1939	-Director of the legislative office, Korean Bar Association -Member of Grievance settlement Committee, Korea Consumer Protection board -Lawyer	-Possession of 10,000common shares -Possession of stockoption 7,000 for common shares	n/a
	Outside Director Nomination Committee

- Appointment of Member of the Audit Committee

Name	Date-Of-Birth	Major Career	Transactions With Company	Relationship with major shareholder
	Recommended by
Kwang Nyun Kim (External Director)	09-04-1939	-Director of the legislative office, Korean Bar Association -Member of Grievance settlement Committee, Korea Consumer Protection board-Lawyer	-Possession of 10,000common shares -Possession of stockoption 7,000 for common shares	n/a
	Outside Director Nomination Committee

- Limit on Remuneration for Board of Directors

Year	Number of Directors (Number of External Directors)	Limit on Remuneration
2004	8 members (4 members)	KRW 5 Billion
2005	7 members(4 members)	KRW 7 Billion

- Amendment of the Articles of Incorporation

Article	Reason for amendment	Current	Revised(tentative)
Article 2	Addition of business objective	(Addition of airplane and parts sales business) Clause 26 To engage in all kinds of additional telecommunication business and special category telecommunication business including information provision business for vehicle, and sale and lease business of equipments relating thereto (newly established on March 15, 2002); and Clause 27 Any and all businesses which are incidental to any of the foregoing objectives Revised (tentative)	Clause 26 Airplane and parts sales business Clause 27 Toengagein all kinds of additional telecommunication business and special category telecommunication business including information provision business for vehicle, and sale and lease business of equipments relating thereto (newly established on March 15, 2002); and Clause 28 Any and all businesses which are incidental to any of the foregoing objectives

(1) BALANCE SHEET(unit : KRW 100 million)
			2004	2003
Assets	I. Current Assets		87,334	83,481
	1) Quick Assets		74,663	70,291
	2) Inventories		12,671	13,190
	II. Non-current Assets		163,361	159,021
	1) Investment assets		69,463	64,778
	2) Tangible assets		87,334	84,758
	3) Intangible assets		6,565	9,485
	Total Assets		250,695	74,091
Liabilities and Shareholders' Equity	Liabilities	I. Current Liabilities	67,081	74,091
		II. Non-current Liabilities	46,277	43,431
		Total Liabilities	113,357	117,522
	Shareholders'Equity	I. Capital Stock	14,808	14,786
		II. Capital Surplus	53,596	53,843
		III. Retained Earnings	65,683	51,701
		IV. Capital Adjustments	3,252	4,650
		Total Shareholder's Equity	137,338	124,980
	Total Liabilities and Shareholder's Equity		250,695	242,501

(2) STATEMENT OF INCOME(unit : KRW 100 million)
	2004	2003
I. Sales	274,725	249,673
II. Cost of Sales	207,980	182,486
III. Gross Profit	66,745	67,187
IV. Selling & Administrative Expenses	46,930	44,830
V. Operating Income	19,814	22,357
VI. Non-operating Income	17,868	9,192
VII. Non-operating Expenses	12,793	8,076
VIII. Ordinary Income	24,890	23,474
IX. Extraordinary Gains	-	-
X. Extraordinary Losses	-	-
XI. Income before Income Tax Expenses	24,890	23,474
XII. Income Tax Expenses	7,044	5,980
XIII. Net Income	17,846	17,494

(3) STATEMENT OF APPROPRIATIONS OF RETAINED EARNINGS(unit : KRW 100 million)
	Amount	Remark
I. Unappropriated Retained Earnings		* Dividends per share (%) of the 37th Business year : - Common shares : KRW 1,150(23%) - Series 1 Preferred shares : KRW 1,200(24%) - Series 2 Preferred shares : KRW 1,250(25%) - Series 3 Preferred shares : KRW 1,200(24%)
1. Unappropriated Retained Earnings carried over from prior period	9
1. Retirement of treasury stock	-651
3. Adjustment in investment securities using equity method	-35
4. Net Income for the year	17,846
Total	16,848
II. Appropriation of Retained Earnings
1. Legal Reserve	330
2. Reserve for Research Development	6,000
3. Reserve for Technology Development	7,240
4. Dividends	3,268
Total	16,838
III. Unappropriated Retained Earnings carried over to subsequent year	9

Name	Date-Of-Birth	Major Career	Transactions With Company	Relationship with major shareholder
	Recommended by
Mong Koo Chung (Internal Director)	03-19-1938	-Chairman, Korea Standard Association -Ambassador of Economic Trade -Chairman & CEO, Hyundai Motor Company	-Possession Of 11,395,859 Common shares	Management of Affiliate
	Board of Director
Kwang Nyun Kim (External Director)	09-04-1939	-Director of the legislative office, Korean Bar Association -Member of Grievance settlement Committee, Korea Consumer Protection board -Lawyer	-Possession of 10,000common shares -Possession of stockoption 7,000 for common shares	n/a
	Outside Director Nomination Committee

Name	Date-Of-Birth	Major Career	Transactions With Company	Relationship with major shareholder
	Recommended by
Kwang Nyun Kim (External Director)	09-04-1939	-Director of the legislative office, Korean Bar Association -Member of Grievance settlement Committee, Korea Consumer Protection board-Lawyer	-Possession of 10,000common shares -Possession of stockoption 7,000 for common shares	n/a
	Outside Director Nomination Committee

Year	Number of Directors (Number of External Directors)	Limit on Remuneration
2004	8 members (4 members)	KRW 5 Billion
2005	7 members(4 members)	KRW 7 Billion

Article	Reason for amendment	Current	Revised(tentative)
Article 2	Addition of business objective	(Addition of airplane and parts sales business) Clause 26 To engage in all kinds of additional telecommunication business and special category telecommunication business including information provision business for vehicle, and sale and lease business of equipments relating thereto (newly established on March 15, 2002); and Clause 27 Any and all businesses which are incidental to any of the foregoing objectives Revised (tentative)	Clause 26 Airplane and parts sales business Clause 27 Toengagein all kinds of additional telecommunication business and special category telecommunication business including information provision business for vehicle, and sale and lease business of equipments relating thereto (newly established on March 15, 2002); and Clause 28 Any and all businesses which are incidental to any of the foregoing objectives