-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
Originator-Key-Asymmetric:
 MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen
 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 KnwSYqDcZhVH48OymkPyDe30y5cx6mrDqg6ftM05DHIqM8V93DzWowVwgIOSC6iZ
 2nX2npAw23t5uaE+roU91w==

<SEC-DOCUMENT>0000088053-06-000305.txt : 20060310
<SEC-HEADER>0000088053-06-000305.hdr.sgml : 20060310
<ACCEPTANCE-DATETIME>20060310103141
ACCESSION NUMBER:		0000088053-06-000305
CONFORMED SUBMISSION TYPE:	N-CSRS
PUBLIC DOCUMENT COUNT:		8
CONFORMED PERIOD OF REPORT:	20051231
FILED AS OF DATE:		20060310
DATE AS OF CHANGE:		20060310
EFFECTIVENESS DATE:		20060310

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			KOREA FUND INC
		CENTRAL INDEX KEY:			0000748691
		IRS NUMBER:				133226146
		STATE OF INCORPORATION:			MD
		FISCAL YEAR END:			0630

	FILING VALUES:
		FORM TYPE:		N-CSRS
		SEC ACT:		1940 Act
		SEC FILE NUMBER:	811-04058
		FILM NUMBER:		06677828

	BUSINESS ADDRESS:	
		STREET 1:		345 PARK AVE
		STREET 2:		C/O DEUTSCHE ASSET MANAGEMENT
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10154
		BUSINESS PHONE:		617-295-3986

	MAIL ADDRESS:	
		STREET 1:		DEUTSCHE ASSET MANAGEMENT
		STREET 2:		TWO INTERNATIONAL FUND
		CITY:			BOSTON
		STATE:			MA
		ZIP:			02110
</SEC-HEADER>
<DOCUMENT>
<TYPE>N-CSRS
<SEQUENCE>1
<FILENAME>sr123105kor.htm
<DESCRIPTION>SEMIANNUAL REPORT
<TEXT>
<HTML>
<HEAD>
<TITLE> </TITLE>
</HEAD>
<BODY bgcolor="#ffffff" style='font-family:"Times New Roman"'>

<div style='width:600;'>



<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font SIZE=2>UNITED STATES</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font SIZE=2>SECURITIES AND EXCHANGE COMMISSION</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font SIZE=2>WASHINGTON, D. C. 20549</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font SIZE=2>FORM N-CSRS</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>Investment Company Act file number 811-4058</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><U><font SIZE=2>THE KOREA FUND, INC.</font></U></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font size=2>(Exact Name of Registrant as Specified in Charter)</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font size=2>345 Park Avenue</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><u><font size=2>New York, New York 10154</font></u></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font size=2> (Address of Principal Executive Offices) (Zip Code)</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font size=2>Registrant's Telephone Number, including Area Code: </font><u><font size=2>(212) 454-7190</font></u></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font size=2>Paul Schubert</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font size=2>345 Park Avenue</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><u><font size=2>New York, NY 10154</font></u></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font size=2>(Name and Address of Agent for Service)</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="189" style='border-collapse:collapse'>
    <tr >
        <td width="147" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Date of fiscal year end:</font></p> </td>
        <td width="43" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><u><font size=2>6/30</font></u></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="227" style='border-collapse:collapse'>
    <tr >
        <td width="147" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Date of reporting period:</font></p> </td>
        <td width="80" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><u><font size=2>12/31/2005</font></u></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="309" style='border-collapse:collapse'>
    <tr >
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>ITEM 1.</font></B></p> </td>
        <td width="213" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>REPORT TO STOCKHOLDERS</font></B></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


</div>





<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_17">
<TD CLASS="CLASS_152" ALIGN="LEFT" VALIGN="TOP" COLSPAN="3">
<P ALIGN="LEFT"><FONT SIZE="+3" COLOR="#3300d9">The Korea Fund, Inc.</FONT>
</P>
<H1 CLASS="CLASS_157" ALIGN="LEFT"><FONT COLOR="#000000">Semiannual Report to Stockholders</FONT></H1>
<H1 CLASS="CLASS_157" ALIGN="LEFT"><FONT COLOR="#000000">December 31, 2005</FONT></H1>
<P ALIGN="LEFT"><FONT COLOR="#000000">A closed-end investment company seeking long-term&nbsp;capital appreciation
through investment in&nbsp;Korean securities.</FONT>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">The Korea Fund, Inc.</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">Investment Objective and Policies</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  long-term capital appreciation through investment in Korean securities</FONT>
</P>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">Investment Characteristics</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  a closed-end investment company investing in a broad spectrum of Korean
securities</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  first United States investment company authorized to invest in Korean securities</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  a vehicle for international diversification through participation in the stock market</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  a vehicle providing investments in some less liquid Korean opportunities</FONT>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_67" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_16">
<TD CLASS="CLASS_143" ALIGN="LEFT" VALIGN="TOP">
<H3 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Executive Offices</FONT></H3>
</TD>
<TD CLASS="CLASS_144" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT COLOR="#000000">The Korea Fund, Inc.<BR>
345 Park Avenue<BR>
New York, NY 10154</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_16">
<TD CLASS="CLASS_143" ALIGN="LEFT" VALIGN="TOP">
<H3 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Automated <BR>
Information Line</FONT></H3>
</TD>
<TD CLASS="CLASS_144" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT COLOR="#000000">DWS Scudder Closed-End Fund Info Line<BR>
1-800-349-4281</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_16">
<TD CLASS="CLASS_143" ALIGN="LEFT" VALIGN="TOP">
<H3 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Web Site</FONT></H3>
</TD>
<TD CLASS="CLASS_144" ALIGN="LEFT" VALIGN="TOP">
<H3 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">www.TheKoreaFund.com</FONT></H3>
<P ALIGN="LEFT"><FONT COLOR="#000000">Obtain monthly fact sheets, financial reports,
press releases and webcasts when available.</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_16">
<TD CLASS="CLASS_143" ALIGN="LEFT" VALIGN="TOP">
<H3 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Transfer Agent and Registrar</FONT></H3>
</TD>
<TD CLASS="CLASS_144" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT COLOR="#000000">DWS Scudder Investments Service
Company<BR>
P.O. Box 219066<BR>
Kansas City, MO 64121-9066</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">For account information: 1-800-294-4366</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_16">
<TD CLASS="CLASS_143" ALIGN="LEFT" VALIGN="TOP">
<H3 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Dividend Reinvestment <BR>
Plan Agent</FONT></H3>
</TD>
<TD CLASS="CLASS_144" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT COLOR="#000000">UMB Bank, N.A.</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_16">
<TD CLASS="CLASS_143" ALIGN="LEFT" VALIGN="TOP">
<H3 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Legal Counsel</FONT></H3>
</TD>
<TD CLASS="CLASS_144" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT COLOR="#000000">Debevoise &amp; Plimpton LLP</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_16">
<TD CLASS="CLASS_143" ALIGN="LEFT" VALIGN="TOP">
<H3 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Custodian</FONT></H3>
</TD>
<TD CLASS="CLASS_144" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT COLOR="#000000">Brown Brothers Harriman &amp; Co.</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_16">
<TD CLASS="CLASS_143" ALIGN="LEFT" VALIGN="TOP">
<H3 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Subcustodian </FONT></H3>
</TD>
<TD CLASS="CLASS_144" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT COLOR="#000000">Citibank Korea Inc.</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_16">
<TD CLASS="CLASS_143" ALIGN="LEFT" VALIGN="TOP">
<H3 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Independent Registered
Public&nbsp;Accounting Firm</FONT></H3>
</TD>
<TD CLASS="CLASS_144" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT COLOR="#000000">PricewaterhouseCoopers LLP</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_16">
<TD CLASS="CLASS_142" ALIGN="LEFT" VALIGN="TOP" COLSPAN="2">
<H3 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">New York Stock Exchange Symbol &#151; KF</FONT></H3>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION260"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Contents</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_15">
<TD CLASS="CLASS_121" ALIGN="LEFT" VALIGN="TOP" COLSPAN="3">
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#pl">Click Here</A></FONT><FONT COLOR="#000000">        Letter from the Chairman of the Board</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#letter">Click Here</A></FONT><FONT COLOR="#000000">    Portfolio Management Review</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#other">Click Here</A></FONT><FONT COLOR="#000000">    Other Information</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#invsum">Click Here</A></FONT><FONT COLOR="#000000">   Investment Summary</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#portsum">Click Here</A></FONT><FONT COLOR="#000000">  Portfolio Summary</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#portfolio">Click Here</A></FONT><FONT COLOR="#000000">        Investment Portfolio</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#fins">Click Here</A></FONT><FONT COLOR="#000000">     Financial Statements</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#high">Click Here</A></FONT><FONT COLOR="#000000">     Financial Highlights</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#notes">Click Here</A></FONT><FONT COLOR="#000000">    Notes to Financial Statements</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#drip">Click Here</A></FONT><FONT COLOR="#000000">     Dividend Reinvestment and Cash Purchase Plan</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#smr">Click Here</A></FONT><FONT COLOR="#000000">      Stockholder Meeting Results</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#ima">Click Here</A></FONT><FONT COLOR="#000000">      Investment Management Agreement Approval</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#3300d9">  <A HREF="#ps">Click Here</A></FONT><FONT COLOR="#000000">       Privacy Statement</FONT>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_13">
<TR CLASS="CLASS_14">
<TD CLASS="CLASS_120" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">Investments in funds involve risks. The fund focuses its investments in Korean issuers,
thereby increasing its vulnerability to developments in Korea and its geographic regions.
Investing in foreign securities presents certain unique risks not associated with domestic
investments, such as currency fluctuation and political and economic changes and
market risks. This may result in greater share price volatility. 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.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">This report is sent to the stockholders of The Korea Fund, Inc. for their information. It is not a
prospectus, circular, or representation intended for use in the purchase or sale of shares of the fund
or of any securities mentioned in the report.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">NOT FDIC/NCUA INSURED NO BANK GUARANTEE MAY LOSE VALUE NOT&nbsp;A&nbsp;DEPOSIT
NOT&nbsp;INSURED BY ANY FEDERAL GOVERNMENT AGENCY</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="BOTTOM"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION250"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="pl" ID="pl"></A>Letter from the Chairman of the Board</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><FONT COLOR="#000000">Dear Stockholders,</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">It is with pleasure that I write this, my first letter to you as Chairman of
The Korea Fund, Inc. For those many stockholders that I have not as yet
had the pleasure to meet, my experience spans some 35 years in the
financial services industry, mainly in Asia. I have been involved in the
closed-end fund industry since the 1970s, and have promoted, launched,
administered, directed and/or chaired investment companies listed on
the stock exchanges of New York, London, Hong Kong, Singapore and
Sydney. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">For a review and details of the investment performance of the fund
over&nbsp;the past one-, three-, five- and 10-year periods, as well as the
performance of the fund's benchmark over those periods I refer you to
page <A HREF="#invsum"></A><A HREF="#invsum">18</A> of this report.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">In the summer, the fund conducted a successful in-kind tender offer for
up to 50% of its outstanding shares. Further, and in accordance with the
Board's previously announced plan of making six semiannual tender
offers after the initial 50% offer, the Board announced in the fourth
quarter of 2005 a measurement period to determine if the fund should
make an offer to repurchase up to 10% of its outstanding shares. Each of
these subsequent offers will be made, subject to regulatory approvals,
fiduciary and other applicable requirements, if the fund's shares trade on
the New York Stock Exchange at an average weekly discount from net
asset value greater than 5% during the respective 13-week measurement
periods. After trading at an average discount of 5.63% during the recent
measurement period, the fund launched a tender offer this January for
10% of its outstanding shares at a price per share equal to 98% of the
next asset value per share as of the business day after the day the offer
expires. The tender offer is scheduled to close as this document goes to
print, so the final results of the tender will be available through press
releases issued by the fund towards the end of February. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Although the repurchase program as originally announced contemplated
in-kind repurchase offers, in which tendering stockholders would receive
a pro rata share of the fund's portfolio rather than cash, the Board
determined that a cash tender offer will be more beneficial to fund
stockholders at this time. The Board intends to evaluate on a
case-by-case basis the consideration for any future offers under the
repurchase program, in light of its experience and the then-prevailing
market and economic conditions.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">As you may be aware, the intention of this ongoing exercise is to
maintain a share price that deviates less from the fund's net asset value
and thereby provides enhanced value to all stockholders. As announced
in December, the Board is conducting a further review of mechanisms
intended to manage the discount on which we shall update you.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Over the recent past your Board has taken significant actions to improve
the fund's corporate governance and streamline its own functioning
which, it believes, further demonstrates your Board's long-term
commitment to the fund and to the highest level of corporate
governance. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">In October and effective from the time of the December annual meeting
of stockholders, the Board voted to reduce its size from seven members
to five in connection with the reduction of the fund's size through the
proposed tender offers. Then-Chairman Robert J. Callander tendered his
resignation as director effective as of the close of business on October 12.
At the December meeting of stockholders, Director Kesop Yun was
reelected, and Director William H. Luers retired from the Board. I
would like to take this opportunity to express the Board's thanks to both
Mr. Callander and Mr. Luers for their contributions to the fund over the
years. After the October meeting the Board's directors, all of whom are
independent of the fund's investment manager, elected me to serve as
Chairman of the Board. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">In December, the Board reconfirmed its commitment to pursue best
practices of corporate governance, investor relations and the
enhancement of stockholder value. Among issues agreed upon were:</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  A clarification of the fund's investment policy to &quot;seek long-term capital
growth through seeking to outperform the fund's benchmark by active
management across the large-, medium- and small-cap sectors of the
Korean equity market&quot;; </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  That the benchmark be retained as the Korea Stock Price Index (KOSPI)
adjusted to include income;</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  Recognizing the preeminent role of stockholders in determining the
future of the fund, the percentage of shares required to demand a Special
Meeting has been reduced to 33% from 50%;</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  While reaffirming the previously announced tender offer program, the
Board instigated a further review of mechanisms to manage the discount
and ways to further enhance investor relations and stockholder value;</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  The formation of an investment committee to monitor performance of
the fund and a broad peer group; and</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  The establishment of a proactive investor relations program aimed at
improving the direct relationship with stockholders</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">In response to several stockholder queries of the fund's fair valuation
methodology, I draw your attention to the statement of the fund's
valuation policy set out on page <A HREF="#notes">32</A> of this report.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">These changes, combined with the fund's good performance in 2005,
have made this past period, we believe, a special one for your fund. We
thank you for your ongoing support. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Yours very sincerely,</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Julian Reid, Chairman</FONT>
</P>
<P ALIGN="LEFT">
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION240"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="letter" ID="letter"></A>Portfolio Management Review</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><FONT SIZE="-1" COLOR="#000000">In the following interview, Lead Portfolio Manager Terrence Gray discusses the market
environment, fund performance and the strategy for managing The Korea Fund, Inc.,
during the six-month period ended December 31, 2005. </FONT>
</P>
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#3300d9">Q:&nbsp;&nbsp;How did South Korea's stock market perform during
the semiannual period?</FONT></B>
</P>
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#3300d9">A:</FONT></B><FONT COLOR="#000000">&nbsp;&nbsp;</FONT><FONT COLOR="#000000">Korea<FONT SIZE="-1"><SUP>1</SUP></FONT> delivered an outstanding performance during
the period, capping a year in which it was not only the
top-performing market in Asia but also one of the leading
markets in the world. The KOSPI index returned 40.23%
for the six-month period and 59.04% for the year, closing
at an all-time high of 1,379.37.<FONT SIZE="-1"><SUP>2</SUP></FONT>  Korea's six- and
12-month returns were far ahead of both the MSCI
Emerging Markets Index (26.62%, 34.54%) and the
MSCI World Index (10.25%, 9.49%).<FONT SIZE="-1"><SUP>3 </SUP></FONT>US dollar
investors were also helped by the rising value of the
Korean won. While at the beginning of the year 1,047.50
won were required to purchase one dollar, the exchange
rate improved to 1,032.10 at midyear and 1,010.85 by
year-end.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Korea has long traded at a discount to other global
markets for a variety of reasons, including the influence
of&nbsp;the industrial conglomerates, opaque management
practices and the lack of stockholder-friendly corporate
policies. Although the process of resolving these issues
has&nbsp;been under way for years, a more recent problem has
been the high level of consumer credit card debt, which
dampened consumption and weighed on market
sentiment. Once it became clear that this problem had
begun to dissipate, Korea, with its low valuations and
attractive fundamentals, was a natural beneficiary of the
liquidity-fueled surge of investment flows into emerging
markets in 2005. The result was that the long-standing
&quot;Korea discount&quot; began to narrow, with the market's
price-to-earnings ratio climbing from about eight times
earnings at the start of the year to 10.5 times by the
close.&nbsp;Together with sharply rising corporate earnings,
this&nbsp;multiple expansion led to a robust gain in Korea's
stock market.</FONT>
</P>
<P ALIGN="LEFT">
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000"><SUP>1</SUP><I> Please note that for the purposes of this report, the term &quot;Korea&quot; refers to South Korea. North
Korea is identified as such.</I></FONT>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000"><SUP>2</SUP><I> KOSPI is an unmanaged, capitalization-weighted index of all common shares on the Stock Market
Division of the Korea Exchange (formerly the &quot;Korea Stock Exchange&quot;). Index returns from June 30,
1995 forward assume reinvestment of all dividends.  Prior to that date, the return is price change
only. The index is calculated using closing local market prices and converts to US&nbsp;dollars using the
London close foreign exchange rates. Index returns, unlike fund returns, do not reflect any fees or
expenses. It&nbsp;is not possible to invest directly into an index.</I></FONT>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000"><SUP>3</SUP><I> The Morgan Stanley Capital International (MSCI) Emerging Markets Index is an unmanaged,
capitalization-weighted index of companies in a universe of 26 emerging markets. </I></FONT>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">     The Morgan Stanley Capital International (MSCI) World Index is an unmanaged, capitalization-
weighted measure of global stock markets, including the United States, Canada, Europe, Australia
and the Far East.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">     MSCI indices are calculated using closing market prices and convert to US dollars using the London
close foreign exchange rates. Index returns assume reinvestment of dividends and, unlike fund
returns, do not reflect any fees or expenses. It is not possible to invest directly into an index.</FONT></I>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Another notable development during 2005 was the
increased participation of retail investors. Relatively
unattractive yields on fixed-income securities, along with
rising investor confidence, sparked heavy inflows of retail
money into the market. Koreans are accessing the market
in a variety of ways: through mutual funds, directly via
brokerage accounts, and through automatic participation
programs in which money is deducted from paychecks and
invested in the market. We believe these trends indicate
the continued development of an &quot;investor class&quot; in Korea,
which over time should shift even greater power into the
hands of stockholders. </FONT>
</P>
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#3300d9">Q:&nbsp;&nbsp;How did the fund perform?</FONT></B>
</P>
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#3300d9">A:</FONT></B><FONT COLOR="#000000">&nbsp;&nbsp;</FONT><FONT COLOR="#000000">For the six months ended December 31, 2005, the
net&nbsp;asset value (NAV) total return of The Korea Fund
was&nbsp;37.69%. Its share price &#151; quoted on the NYSE &#151;
returned 32.99% to close at $35.60 per share,
representing a discount of (9.21)% to NAV. The
fund&nbsp;underperformed the benchmark by a slight margin
during&nbsp;the semiannual period. (Please see pages <A HREF="#invsum">18</A>
through <A HREF="#invsumend">19</A> for&nbsp;more complete performance information.
Past performance is no guarantee of future results.)
However, we continue to take advantage of the fund's
closed-end structure by looking for stocks we can hold for
at least a three- to five-year period. This is the most
important aspect of our investment process, and it has
held the fund in good stead over time. As a result, we
believe the fund's long-term track record is, and will
continue to be, a better measure of its performance than
its results during a six-month time frame. </FONT>
</P>
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#3300d9">Q:&nbsp;&nbsp;What factors helped and hurt performance?</FONT></B>
</P>
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#3300d9">A:</FONT></B><FONT COLOR="#000000">&nbsp;&nbsp;</FONT><FONT COLOR="#000000">The fund was hurt by its underweight position in
banks and brokers, the top-performing area of the market
during the period. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">While we saw a fundamental rerating of Korean equities in
2005, we believe these sectors moved ahead of
fundamentals, given that many stocks reached all-time
highs on a price-to-book basis. This leaves limited upside,
in our view. Given the fund's long-term investment
approach, we have not repositioned the portfolio to take
advantage of the short-term market environment.
However, we did capitalize on the rally in financials
through our holdings in Jeonbuk Bank Ltd., a regional
bank, as well as Korea Investment Holdings Co., Ltd. and
Daishin Securities Co., Ltd, both of which capitalized on
the rising participation of retail investors. All three stocks
delivered outstanding returns and outperformed the
benchmark during the second half of the year. Also in
financials, the fund's positions in the insurance stocks
Meritz Fire &amp; Marine Insurance Co. Ltd. and Samsung
Fire &amp; Marine Insureance Co. Ltd. both delivered
market-beating returns. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">We continue to look for opportunities among small- and
mid-cap stocks. Approximately 36% of the fund's assets
are now invested outside of the large-cap area. In our view,
this is another benefit of the fund's closed-end status &#151;
the ability to take long-term positions in less liquid
equities. A notable winner for the fund among smaller
companies was Taegu Department Store Co. Ltd., a
regional retailer benefiting from rising consumer
purchasing. Phicom Corp., which returned nearly 95% for
the period, was another top performer. The company,
which makes fabrication equipment for liquid crystal
displays, benefited from the surge in capital spending as
companies ramp up their production capacity for LCDs. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">A notable detractor from performance was S-Oil Corp., an
oil refiner that had performed well in the past but took a
breather in 2005. We believe S-Oil, which has a high
dividend yield, is one of the most efficiently run refining
companies in the global markets, and we continue to hold
it in the portfolio. Other notable detractors from
performance were the fund's holdings in Interflex Co.
Ltd., a printed circuit board manufacturer that has
experienced rising competition, and Crown Confectionary
Co. Ltd., one of Korea's leading snack food companies.
Crown experienced some issues with labor unions due to
the recent acquisition of a competitor, but we felt this was
a short-term phenomenon with no impact on the
long-term investment case.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#3300d9">Q:&nbsp;&nbsp;What is your broad view on the Korean stock market?</FONT></B>
</P>
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#3300d9">A:</FONT></B><FONT COLOR="#000000">&nbsp;&nbsp;</FONT><FONT COLOR="#000000">After three years of exceptional gains for Korean
equities, we are naturally more cautious on the short-term
market outlook. While earnings momentum remains
strong, and the market as a whole is still attractively valued
within both a global and a regional context, certain sectors
have begun to look more expensive. That said, we retain
our long-standing positive view on the long-term potential
of Korean stocks. All of the factors we have cited in the
past &#151; such as improved corporate performance, the
expansion of the retail investor base and Korea's
entrepreneurial spirit &#151; continue to support strong
long-term market performance. Despite these positives, as
well as the strong performance of the market in 2005, the
valuation gap between Korea and other global markets
continues to exist. We believe the foundation is firmly in
place for this gap to close still further in the years ahead,
and we will seek to take advantage of this by maintaining
our long-term approach to investing. </FONT>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">The views expressed in this report reflect those of the portfolio managers only through the
end of the period of the report as stated on the cover. The managers' views are subject to
change at any time based on market and other conditions and should not be construed as
a recommendation.</FONT></I>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION230"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="other" ID="other"></A>Other Information</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">Investment Manager</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000">Deutsche Investment Management Americas Inc. (&quot;DeIM&quot;), with
headquarters at 345 Park Avenue, New York, NY, is the investment manager
for the fund. DeIM and its predecessors have more than 80 years of experience
managing mutual funds. DeIM provides a full range of investment advisory
services to institutional and retail clients. DeIM is also responsible for selecting
brokers and dealers and for negotiating brokerage commissions and dealer
charges.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Deutsche Asset Management is the marketing name in the US for the
asset&nbsp;management activities of Deutsche Bank AG, Deutsche Bank Trust
Company Americas, Deutsche Asset Management, Inc., Deutsche Investment
Management Americas Inc. and DWS Trust Company.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Deutsche Asset Management is a global asset management organization that
offers a wide range of investing expertise and resources, including hundreds of
portfolio managers and analysts and an office network that reaches the world's
major investment centers. This well-resourced global investment platform
brings together a wide variety of experience and investment insight across
industries, regions, asset classes and investing styles.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">DeIM is an indirect, wholly owned subsidiary of Deutsche Bank AG.
Deutsche Bank AG is a major global banking institution that is engaged in a
wide range of financial services, including investment management, mutual
fund, retail, private and commercial banking, investment banking and
insurance.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Deutsche Asset Management also manages the assets of other closed-end
investment companies which invest primarily in foreign securities: Scudder
New Asia Fund, Inc., The Brazil Fund, Inc., DWS Global High Income Fund,
Inc., DWS Global Commodities Stock Fund, Inc., The European Equity
Fund, Inc., The New Germany Fund, Inc. and The&nbsp;Central Europe and
Russia Fund, Inc. In addition, Deutsche Asset Management manages
open-end mutual funds which invest in domestic and international markets.</FONT>
</P>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">Korean Advisor</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000">Deutsche Investment Trust Management Company Limited (&quot;DeITMC&quot;),
located at 19F, Youngpoong Building, 33, Seorin-Dong, Chongro-ku, Seoul,
Korea, serves as subadvisor to the fund. DeITMC renders investment advisory
and management services with regard to the fund's portfolio. From time to
time, DeITMC makes specific investment recommendations, which then are
evaluated by DeIM's portfolio managers in light of their own expertise and
information from other sources in making investment decisions for the fund.</FONT>
</P>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">Tender Offers and Fee Reductions</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000">The fund's Board of Directors has recently approved a series of measures
designed to enhance stockholder value and to maintain the fund's viability.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">On December 15, 2004, the fund announced its approval, subject to fiduciary
and other applicable requirements and regulatory approvals, of a purchase of
50% of outstanding shares at a price equal to 98% of the NAV per share as of
the day after the date such offer expired. The fund also announced its approval
of a plan to conduct six subsequent semiannual purchase offers in accordance,
each for 10% of the then-outstanding shares at a price equal to 98% of NAV
per share as of the day after the date each such offer expires, if shares trade on
the NYSE at an average weekly discount from NAV greater than 5% during a
13-week measuring period ending the last day of the preceding half-year.
Payment for any shares purchased pursuant to the repurchase program would
be made in-kind through a <I>pro rata</I> distribution of securities from the fund's
portfolio on the day after the date such offer expires. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The Board also announced a reduction, effective December 1, 2004, in the
fees payable to the fund's manager. Previously, the annual management fee had
ranged from 1.15% on the first $50 million of net assets to 0.85% of net
assets over $1.050 billion. Under the amended advisory agreement, the
management fee ranges from 0.60% on the first $250 million of net assets to
0.50% of net assets in excess of $1 billion. On the fund's current assets as of
June 30, 2005, this represents an overall reduction of approximately 42% in
the management fee.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">On July 8, 2005, the fund commenced a tender offer for up to 22,350,747
shares, representing approximately 50% of its issued and outstanding shares of
common stock in exchange for portfolio securities of the fund at a price per
share equal to 98% of the net asset value per share as of the day after the day
the offer expires. On August 25, 2005, the fund announced that it had
accepted, after adjusting for fractional shares in accordance with the terms of
the offer, the tender of 14,737,788 shares. This represented approximately
33% of the fund's outstanding shares.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The average weekly discount of the fund during the 13-week measuring
period ending December 31, 2005 was 5.63%. On January 11, 2006, the
Board met to consider a 10% repurchase offer pursuant to the repurchase
program. The Board determined that although the repurchase program
originally contemplated in-kind purchase offers in which tendering
stockholders would receive a pro rata share of the fund's portfolio, rather than
cash, the fund would conduct this tender offer for cash consideration. The
Board believes that using cash consideration will facilitate participation by
smaller stockholders and result in lower transaction costs. The Board intends
to evaluate on a case-by-case basis the consideration for any future offers under
the repurchase program, in light of its experience and then-prevailing market
and economic conditions.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">On January 19, 2006, the fund commenced a tender offer for cash for up to
2,996,371 of its shares of common stock, representing approximately 10% its
outstanding shares, at a price per share equal to 98% of the net asset value per
share as of the day after the day the offer expires. The tender offer will remain
open through February 16, 2006, unless extended. <A NAME="ElojcO" ID="ElojcO"></A></FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The fund's report is not an offer to purchase or the solicitation of an offer to
sell shares of the fund. The tender offers referred to in the fund's report will be
made only by the offer to purchase and related letter of transmittal.
Stockholders should review these documents carefully when they are available,
because they will contain important information. These documents will be
available to investors free at the Web site of the Securities and Exchange
Commission (www.sec.gov), as well as on the fund's Web site at
www.TheKoreaFund.com. An offer to purchase will not be made to, nor will
tenders pursuant to an offer to purchase be accepted from or on behalf of,
holders of shares in any jurisdiction in which making or accepting the offer to
purchase would violate the jurisdiction's laws. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">There can be no assurance that this offer or any other actions taken by the
Board will reduce or eliminate any market price discount from NAV of the
fund's shares. The market price of the fund shares will also be determined by,
among other things, the relative demand for and supply of fund shares in the
market, the fund's investment performance, the fund's dividends and yield,
and investor perception of the fund's overall attractiveness as an investment as
compared with other investment alternatives.</FONT>
</P>
<H2 ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="subevent" ID="subevent"></A>Annual Meeting of Stockholders</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000">On July 26, 2005, the Board of Directors of the fund announced that the
annual meeting of stockholders of the fund, normally held in October, would
be held on December 14, 2005. The later meeting date reflected a decision by
the board to defer action on the Board's nominees for election at the meeting
until the results of the then-pending tender offer, with the attendant possible
changes in the fund's ownership, were known.</FONT>
</P>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">Changes in Officers</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000">On December 14, 2005, the Board of Directors elected Vincent Esposito as
President and Chief Executive Officer, replacing Julian Sluyters. Additionally,
Elisa Metzger was elected as Chief Legal Officer of the fund, replacing Daniel
Hirsch and John Millette was elected as Secretary of the fund, replacing
Carole&nbsp;Coleman.</FONT>
</P>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">Changes in the Board of Directors</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000">On October 11, 2005, the Board of Directors of the fund voted to reduce the
number of Directors of the fund from seven to five and to reduce the number
of Class II Directors from three to one, effective as of the annual meeting.
On&nbsp;that date the Board also voted to nominate Kesop Yun, a current Class II
Director, for reelection at the annual meeting. Robert J. Callander resigned
as&nbsp;chairman of the Board and director on October 12, 2005. William H. Luers
retired from the Board as of the 2005 annual meeting of stockholders of
the&nbsp;fund. Stockholders reelected Kesop Yun to the Board at the annual
meeting. Julian Reid was elected as the new chairman of the Board as of
December 14, 2005.</FONT>
</P>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">Dividend Reinvestment and Cash Purchase Plan</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000">The fund's Dividend Reinvestment and Cash Purchase Plan offers you a
convenient way to have your dividends and capital gain distributions
reinvested in shares of the fund. We believe this Plan is attractive for
stockholders. Its features are more fully described on page <A HREF="#drip">41</A>. You may obtain
more detailed information by requesting a copy of the Plan from the Transfer
Agent. All correspondence (including notifications) should be directed to:
The&nbsp;Korea Fund Dividend Reinvestment and Cash Purchase Plan,
c/o&nbsp;Scudder Investments Service Company, P.O. Box 219066, Kansas City,
MO 4121-9066, 1-800-294-4366.</FONT>
</P>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">Proxy Voting </FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000">A description of the fund's policies and procedures for voting proxies for
portfolio securities and information about how the fund voted proxies related
to its portfolio securities during the 12-month period ended June&nbsp;30 is
available on our Web site &#151; www.dws-scudder.com (click on &quot;proxy voting&quot;at
the bottom of the page) &#151; or on the SEC's Web site &#151; www.sec.gov. To
obtain a written copy of the fund's policies and procedures without charge,
upon request, call us toll free at 1-800-621-1048.</FONT>
</P>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">Share Repurchases</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000">The Board of Directors of The Korea Fund, Inc. has authorized the fund to
effect periodic repurchases of its shares in the open market from time to time
when the fund's shares trade at a discount to their NAV. Subject to periodic
review by the Board, repurchases may be made at such time and in such
amounts as the fund's Manager believes will further the achievement of the
fund's objectives. Depending on market conditions, available funds, regulatory
requirements and alternative investment opportunities, such repurchases are
limited to (1) 5% of the shares outstanding at the beginning of the calendar
year, plus (2) an estimate of shares to be issued in connection with the current
calendar year's dividends, plus (3) the number of shares authorized for
purchase in the previous calendar year that have not been purchased. In
measuring the number of shares authorized for repurchase, the shares relating
to the current calendar year's dividends are estimated at 50% of&nbsp;the number of
shares issued in connection with the prior calendar year's dividends or until
such time during the calendar year that the fund's Manager has a more
accurate projection of the calendar year's dividends. Repurchases made based
on this estimate shall continue to have been authorized, even if the actual
dividend or related share issuance is lower. During the twelve months ended
December 31, 2005, the fund repurchased no shares pursuant to this&nbsp;share
repurchase plan as described above.</FONT>
</P>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">Net Asset Value</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000">The fund's NAV is available daily on our Web site at
<B><FONT SIZE="-1">www.TheKoreaFund.com</FONT></B>. The fund's NAV is published weekly on Monday
and the fund's Market Value is published every weekday in <I>The Wall Street
Journal</I> under the heading &quot;Closed End Funds.&quot; The fund's market value is
also published daily in <I>The New York Times</I> and weekly in <I>Barron's.</I> The fund's
NAV is also published weekly in <I>Barron's.</I> </FONT>
</P>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">DWS Scudder</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000">Effective February 6, 2006, Scudder Investments changed its name to DWS
Scudder and certain Scudder funds were renamed DWS funds. The DWS
Scudder name represents the alignment of Scudder with all of Deutsche Bank's
mutual fund operations around the globe. In addition, the Web site for The
Korea Fund, Inc. will remain <B><FONT SIZE="-1">www.TheKoreaFund.com</FONT></B>.</FONT>
</P>
<P ALIGN="LEFT">
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION220"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="invsum" ID="invsum"></A>Investment Summary      </FONT><FONT COLOR="#000000">as of December 31, 2005</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_140" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">All performance shown is historical, assumes reinvestment of all dividend and
capital gain distributions, and does not guarantee future results. Investment
return and principal value fluctuate with changing market conditions so that,
when sold, shares may be worth more or less than their original cost. Current
performance may be lower or&nbsp;higher than the performance data quoted. Please
visit www.theKoreaFund.com for the Fund's most recent performance.</FONT></B>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_1">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_67" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="12">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Historical Information </FONT></B><FONT SIZE="-2" COLOR="#ffffff">as of 12/31/05</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_83" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_132" ALIGN="CENTER" VALIGN="BOTTOM" COLSPAN="11">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Total Return (%)<SUP>d</SUP></FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_83" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_130" ALIGN="CENTER" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Market Value<SUP>a</SUP></FONT></B>
</P>
</TD>
<TD CLASS="CLASS_131" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_130" ALIGN="CENTER" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Net Asset
Value<SUP>a</SUP></FONT></B>
</P>
</TD>
<TD CLASS="CLASS_131" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_130" ALIGN="CENTER" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Index<SUP>b</SUP></FONT></B>
</P>
</TD>
<TD CLASS="CLASS_131" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_130" ALIGN="CENTER" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Index<SUP>c</SUP></FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_83" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_129" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Cumulative</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_129" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Average
Annual</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_55" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_129" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Cumulative</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_129" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Average
Annual</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_55" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_129" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Cumulative</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_129" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Average
Annual</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_55" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_129" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Cumulative</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_129" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Average
Annual</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_82" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Current
Quarter</FONT>
</P>
</TD>
<TD CLASS="CLASS_99" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">9.10</FONT>
</P>
</TD>
<TD CLASS="CLASS_99" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_100" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_99" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">14.66</FONT>
</P>
</TD>
<TD CLASS="CLASS_99" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_100" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_99" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">16.79</FONT>
</P>
</TD>
<TD CLASS="CLASS_99" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_100" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_99" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">13.09</FONT>
</P>
</TD>
<TD CLASS="CLASS_99" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_81" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">One Year</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">51.18</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_98" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">55.28</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_98" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">59.04</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_98" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">54.13</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_81" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Three Year</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">173.89</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">39.91</FONT>
</P>
</TD>
<TD CLASS="CLASS_98" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">152.14</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">36.11</FONT>
</P>
</TD>
<TD CLASS="CLASS_98" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">161.52</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">37.73</FONT>
</P>
</TD>
<TD CLASS="CLASS_98" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">121.07</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">30.24</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_81" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Five Year</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">332.86</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">34.05</FONT>
</P>
</TD>
<TD CLASS="CLASS_98" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">293.63</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">31.53</FONT>
</P>
</TD>
<TD CLASS="CLASS_98" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">257.38</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">28.97</FONT>
</P>
</TD>
<TD CLASS="CLASS_98" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">187.96</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">23.53</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_81" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Ten Year</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">122.95</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">8.35</FONT>
</P>
</TD>
<TD CLASS="CLASS_98" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">169.58</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">10.43</FONT>
</P>
</TD>
<TD CLASS="CLASS_98" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">30.65</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">2.71</FONT>
</P>
</TD>
<TD CLASS="CLASS_98" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">71.85</FONT>
</P>
</TD>
<TD CLASS="CLASS_97" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">5.56</FONT>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_1">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_67" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="12">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Per Share Information and Returns (a)</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_80" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_56" ALIGN="CENTER" VALIGN="BOTTOM" COLSPAN="10">
<P ALIGN="CENTER"><FONT SIZE="-2" COLOR="#000000">Yearly periods ended December 31</FONT>
</P>
</TD>
<TD CLASS="CLASS_55" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD COLSPAN="12" ALIGN="RIGHT" VALIGN="BOTTOM"><IMG SRC="kor_psi20.gif" ALT="kor_psi20"></TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_80" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_128" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">1996</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_128" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">1997</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_128" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">1998</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_128" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">1999</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_128" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">2000</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_128" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">2001</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_128" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">2002</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_128" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">2003</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_128" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">2004</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_128" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">2005</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_55" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_79" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net Asset
Value&nbsp;($)</FONT>
</P>
</TD>
<TD CLASS="CLASS_96" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">13.55</FONT>
</P>
</TD>
<TD CLASS="CLASS_96" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">4.44</FONT>
</P>
</TD>
<TD CLASS="CLASS_96" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">9.59</FONT>
</P>
</TD>
<TD CLASS="CLASS_96" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">23.13</FONT>
</P>
</TD>
<TD CLASS="CLASS_96" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">12.79</FONT>
</P>
</TD>
<TD CLASS="CLASS_96" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">15.89</FONT>
</P>
</TD>
<TD CLASS="CLASS_96" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">16.56</FONT>
</P>
</TD>
<TD CLASS="CLASS_96" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">20.97</FONT>
</P>
</TD>
<TD CLASS="CLASS_96" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">25.80</FONT>
</P>
</TD>
<TD CLASS="CLASS_96" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">39.21</FONT>
</P>
</TD>
<TD CLASS="CLASS_95" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_78" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Income
Dividends ($)</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">.17</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">.01</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">.18</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">.30</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">.45</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">.50</FONT>
</P>
</TD>
<TD CLASS="CLASS_93" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_78" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Capital Gains
Distributions ($)</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">.60</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">1.53</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">.67</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">&#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">.20</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">.35</FONT>
</P>
</TD>
<TD CLASS="CLASS_93" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_77" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Total Return&nbsp;(%)</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">-30.01</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">-66.50</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">115.99</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">141.19</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">-44.24</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">42.71</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">9.39</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">28.84</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">26.03</FONT>
</P>
</TD>
<TD CLASS="CLASS_94" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">55.28</FONT>
</P>
</TD>
<TD CLASS="CLASS_93" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000"><SUP>a</SUP> Total return based on net asset value reflects changes in the Fund's net asset value during each
period. Total return based on market value reflects changes in market value. Each figure assumes
that dividend and capital gains, if any, were reinvested. These figures will differ depending upon
the level of any discount from or premium to NAV at which the Fund's shares traded during the
period.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000"><SUP>b</SUP> Korea Stock Price Index (&quot;KOSPI&quot;) in US dollars.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000"><SUP><A NAME="invsumend" ID="invsumend"></A>c</SUP>  KOSPI in local terms.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000"><SUP>d</SUP> Returns less than one year are not annualized.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">KOSPI is an unmanaged capitalization-weighted index of all common shares on the Stock Market
Division of the Korea Exchange (formerly the &quot;Korea Stock Exchange&quot;). Index returns from June 30,
1995 forward assume reinvestment of all dividends. Prior to that date, the return is price change only.
The index is calculated using closing local market prices and converts to US dollars using the London
close foreign exchange rates. Index returns, unlike Fund returns, do not reflect any fees or expenses. It
is not possible to invest directly into an index.</FONT></I>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION210"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="portsum" ID="portsum"></A>Portfolio Summary     </FONT><FONT COLOR="#000000">as of December 31, 2005</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_1">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_68" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Asset Allocation<BR>
</FONT></B><FONT SIZE="-2" COLOR="#ffffff">(Excludes Securities Lending Collateral)</FONT>
</P>
</TD>
<TD CLASS="CLASS_51" BGCOLOR="#000000" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#ffffff">12/31/05</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_51" BGCOLOR="#000000" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#ffffff">6/30/05</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_47" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_46" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Common Stocks</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">81%</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">84%</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_46" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Preferred Stocks</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">19%</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">16%</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_91" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_89" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">100%</FONT>
</P>
</TD>
<TD CLASS="CLASS_89" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">100%</FONT>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_1">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_68" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Sector Diversification<BR>
</FONT></B><FONT SIZE="-2" COLOR="#ffffff">(Sector breakdown of the Fund's equity securities)</FONT>
</P>
</TD>
<TD CLASS="CLASS_51" BGCOLOR="#000000" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#ffffff">12/31/05</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_51" BGCOLOR="#000000" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#ffffff">6/30/05</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_47" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_46" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Information Technology</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">27%</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">28%</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_46" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Financials</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">21%</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">17%</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_46" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Consumer Discretionary</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">20%</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">19%</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_46" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Consumer Staples</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">10%</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">11%</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_46" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Materials</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">8%</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">9%</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_46" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Energy</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">5%</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">8%</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_46" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Industrials</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">5%</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">4%</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_46" ALIGN="LEFT" VALIGN="TOP">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Telecommunications Services</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">3%</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">3%</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_7">
<TD CLASS="CLASS_46" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Health Care</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">1%</FONT>
</P>
</TD>
<TD CLASS="CLASS_92" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">1%</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_91" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_89" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">100%</FONT>
</P>
</TD>
<TD CLASS="CLASS_89" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">100%</FONT>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">Asset allocation and sector diversification are subject to change.</FONT></I>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_1">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_67" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Ten Largest Equity Holdings at December 31, 2005 </FONT></B><FONT SIZE="-2" COLOR="#ffffff">(60.5% of Net Assets)</FONT><B><FONT SIZE="-2" COLOR="#ffffff"> </FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_24" ALIGN="JUSTIFY" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     1.      Samsung Electronics Co., Ltd.</FONT></B>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Manufacturer of electronic parts</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#3300d9">18.1%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_24" ALIGN="JUSTIFY" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     2.      Samsung Fire &amp; Marine Insurance Co., Ltd.</FONT></B>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Provider of insurance products</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#3300d9">9.6%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_24" ALIGN="JUSTIFY" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     3.      Hyundai Motor Co.</FONT></B>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Manufacturer of motor vehicles</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#3300d9">8.4%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_24" ALIGN="JUSTIFY" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     4.      Kookmin Bank</FONT></B>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Provider of commercial banking services</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#3300d9">4.4%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_24" ALIGN="JUSTIFY" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     5.      POSCO</FONT></B>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Manufacturer of steel </FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#3300d9">4.3%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_24" ALIGN="JUSTIFY" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     6.      S-Oil Corp.</FONT></B>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Refines crude oil and sells petroleum and related products</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#3300d9">3.8%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_24" ALIGN="JUSTIFY" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     7.      Hankook Tire Co., Ltd.</FONT></B>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Manufacturer of tires, tire tubes and aluminum alloy wheels</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#3300d9">3.6%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_24" ALIGN="JUSTIFY" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     8.      Shinsegae Co., Ltd.</FONT></B>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Operator of discount stores</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#3300d9">3.4%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_24" ALIGN="JUSTIFY" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     9.      SK Telecom Co., Ltd.</FONT></B>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Provider of mobile telecommunication services</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#3300d9">2.7%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_24" ALIGN="JUSTIFY" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     10.     Seoul Semiconductor Co., Ltd.</FONT></B>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Manufactures parts for electric products</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="RIGHT" VALIGN="TOP">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#3300d9">2.2%</FONT></B>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">Portfolio holdings are subject to change.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">For more complete details about the Fund's investment portfolio, see page <A HREF="#portfolio">22</A>. A quarterly Fact Sheet
is&nbsp;available upon request. Please call 1-800-349-4281.</FONT></I>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Following the Fund's fiscal first and third quarter-end, a complete portfolio
holdings listing is filed with the SEC on Form N-Q. The form will be
available on the SEC's Web site at www.sec.gov, and it also may be reviewed
and copied at the SEC's Public Reference Room in Washington, D.C.
Information on the operation of the SEC's Public Reference Room may be
obtained by calling (800)&nbsp;SEC-0330.</FONT>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION200"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="portfolio" ID="portfolio"></A>Investment Portfolio </FONT><FONT COLOR="#000000">as of December 31, 2005 (Unaudited)</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_42" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_52" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000"><BR>
Shares</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_52" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">Value ($)</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_88" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_67" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Common Stocks 81.0%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Consumer Discretionary 12.1%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Auto Components 6.3%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Hankook Tire Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">3,021,893</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">42,289,003</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Hyundai Mobis </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">237,242</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">21,547,231</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Nexen Tire Corp. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">270,761</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">5,648,994</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samsung Climate Control Co., Ltd. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">560,224</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">4,244,759</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">73,729,987</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Hotels Restaurants &amp; Leisure 2.3%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Hotel Shilla Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">581,047</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">7,400,977</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Kangwon Land, Inc. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">996,081</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">20,094,925</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">27,495,902</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Internet &amp; Catalog Retail 0.4%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">GS Home Shopping, Inc. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">38,044</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">4,820,126</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Media 1.3%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Cheil Communications, Inc. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">54,153</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">11,759,697</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Yedang Entertainment Co., Ltd.* </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">360,584</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">4,107,250</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">15,866,947</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Multiline Retail 1.5%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Taegu Department Store Co., Ltd.* (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">904,880</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">17,076,598</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Textiles, Apparel &amp; Luxury Goods 0.3%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">BYC Co., Ltd. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">26,761</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">3,124,849</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Consumer Staples 8.9%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Beverages 0.4%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Hite Brewery Co., Ltd. (b) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">33,846</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">4,791,207</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Food &amp; Staples Retailing 3.4%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Shinsegae Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">91,914</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">40,034,618</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Food Products 3.1%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">CJ Corp. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">67,424</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">6,925,977</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Crown Confectionary Co., Ltd. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">64,714</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">9,376,246</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Nam Yang Dairy Products Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">22,771</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">12,842,464</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Nhong Shim Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">25,880</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">7,152,771</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">36,297,458</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Tobacco 2.0%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">KT&amp;G Corp. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">514,085</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">22,888,722</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Energy 4.5%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Oil, Gas &amp; Consumable Fuels </FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">S-Oil Corp. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">560,001</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">38,973,449</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">SK Corp. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">276,717</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">14,237,523</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">53,210,972</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Financials 18.3%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Banks 6.0%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Jeonbuk Bank Ltd. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">1,962,473</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">18,888,591</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Kookmin Bank </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">615,438</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">46,031,378</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Kookmin Bank (ADR) (b) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">68,312</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">5,103,590</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">70,023,559</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Capital Markets 1.6%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Korea Investment Holdings Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">295,739</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">12,357,799</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samsung Securities Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">111,500</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">6,756,295</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">19,114,094</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Consumer Finance 0.9%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">LG Card Co., Ltd.* </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">204,221</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">10,121,823</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Insurance 9.8%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Korean Reinsurance Co. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">1,112,357</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">11,664,425</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Meritz Fire &amp; Marine Insurance Co. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">395,893</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">20,603,618</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samsung Fire &amp; Marine Insurance Co., Ltd. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">663,110</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">83,387,581</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">115,655,624</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Health Care 0.7%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Pharmaceuticals </FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Choongwae Pharma Corp. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">61,774</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">2,390,758</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Yuhan Corp. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">34,679</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">6,218,351</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">8,609,109</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Industrials 4.7%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Air Freight &amp; Logistics 1.4%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Korea Express Co., Ltd.* </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">219,344</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">17,288,388</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Building Products 0.2%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samwoo EMC Co., Ltd. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">510,926</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">2,241,753</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Commercial Services &amp; Supplies 1.7%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Insun ENT Co., Ltd. (c)</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">255,329</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">3,393,419</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">S1 Corp. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">381,954</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">16,469,502</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">19,862,921</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Construction &amp; Engineering 0.2%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samho International Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">141,088</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">2,267,456</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Electrical Equipment 0.8%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">KL Tech, Inc.* </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">91,600</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">1,724,927</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">LG.Philips LCD Co., Ltd. (ADR)* (b) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">347,947</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">7,466,943</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">9,191,870</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Machinery 0.4%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Korea Iron &amp; Steel Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">153,793</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">4,733,761</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Information Technology 21.7%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Communications Equipment 0.3%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">INTOPS Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">109,997</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">3,676,574</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Electronic Equipment &amp; Instruments 3.7%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Ace Digitech Co. Ltd.* </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">286,535</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">2,941,541</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Interflex Co., Ltd. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">452,035</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">6,255,425</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Jahwa Electronics Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">527,917</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">4,468,961</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">NEPES Corp.* </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">3,404</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">61,592</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Phoenix PDE Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">582,100</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">3,101,837</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samsung SDI Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">142,119</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">16,259,238</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">SE Co., Ltd. (a) (c) (d) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">636,950</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">1,978,556</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Simm Tech Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">739,583</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">5,554,160</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Wooree ETI Co., Ltd.* </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">194,200</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">3,069,655</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">43,690,965</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Internet Software &amp; Services 0.8%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">NHN Corp.* </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">34,115</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">9,004,377</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Semiconductors &amp; Semiconductor Equipment 16.7%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Mtekvision Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">56,318</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">1,973,478</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Phicom Corp. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">1,010,716</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">12,456,044</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samsung Electronics Co., Ltd. (e) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">230,350</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">148,381,700</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Seoul Semiconductor Co., Ltd. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">650,192</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">25,204,807</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">SFA Engineering Corp. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">315,573</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">7,885,375</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">195,901,404</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Software 0.2%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Ahnlab, Inc. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">80,869</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">2,258,127</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Materials 7.5%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Chemicals 1.5%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">LG Chemical Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">143,834</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">8,075,955</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samsung Fine Chemicals Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">287,682</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">9,395,854</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">17,471,809</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Construction Materials 0.3%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Sungshin Cement Co., Ltd. (a) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">186,957</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">3,721,409</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Containers &amp; Packaging 0.3%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Youlchon Chemical Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">237,795</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">2,786,853</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Metals &amp; Mining 5.4%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Dongkuk Steel Mill Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">792,585</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">12,467,538</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">POSCO</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">254,977</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">50,656,536</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">SODIFF Advanced Materials Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">35,227</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">702,980</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">63,827,054</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Telecommunication Services 2.6%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Wireless Telecommunication Services </FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">SK Telecom Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">174,924</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">31,126,870</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_44" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000"><B>Total Common Stocks</B> (Cost $257,431,261)</FONT>
</P>
</TD>
<TD CLASS="CLASS_86" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">951,913,186</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_67" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Preferred Stock 19.7%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Consumer Discretionary 8.4%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Automobiles </FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Hyundai Motor Co. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">1,022,120</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">65,222,419</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Hyundai Motor Co. (2nd) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">499,954</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">33,803,827</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">99,026,246</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Consumer Staples 1.5%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Food Products </FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">CJ Corp. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">201,178</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">12,585,232</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">CJ Corp. (2nd) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">34,073</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">2,826,980</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">CJ Corp. (3rd) (Convertible) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">20,446</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">1,667,884</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_45" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_87" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">17,080,096</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Energy 0.5%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Oil, Gas &amp; Consumable Fuels </FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">S-Oil Corp. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">105,626</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">6,120,649</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Financials 3.2%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Diversified Financial Services 0.6%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Daishin Securities Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">450,481</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">7,511,885</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Insurance 2.6%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samsung Fire &amp; Marine Insurance Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">361,365</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">29,857,502</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Information Technology 5.7%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Electronic Equipment &amp; Instruments 0.2%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samsung SDI Co., Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">23,231</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">1,781,254</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Semiconductors &amp; Semiconductor Equipment 5.5%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samsung Electronics Co., Ltd. (e) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">134,164</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">64,722,624</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Materials 0.4%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_49" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#3300d9">Chemicals </FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">LG Chemical Ltd. </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">130,644</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">5,144,647</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_44" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000"><B>Total Preferred Stocks (Cost $26,166,910)</B> </FONT>
</P>
</TD>
<TD CLASS="CLASS_86" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">231,244,903</FONT></B>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_42" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_52" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">Principal
Amount ($)</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_52" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">Value ($)</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_88" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_67" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Convertible Bond 0.0%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Consumer Staples </FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Haitai Confectionery Loan Certificates, Zero Coupon,
11/28/2009 (c) (f) (g) (Cost $0) </FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">9,577,892</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">8,307</FONT></B>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_42" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_52" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000"><BR>
Shares</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_52" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">Value ($)</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_88" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_67" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Securities Lending Collateral 1.2%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_43" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Daily Assets Fund Institutional, 4.28% (h) (i)
(Cost&nbsp;$14,667,700) </FONT>
</P>
</TD>
<TD CLASS="CLASS_84" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">14,667,700</FONT>
</P>
</TD>
<TD CLASS="CLASS_84" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">14,667,700</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_150" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_67" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Cash Equivalents 0.1%</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_9">
<TD CLASS="CLASS_43" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Cash Management QP Trust, 4.26% (j) (Cost $920,397) </FONT>
</P>
</TD>
<TD CLASS="CLASS_84" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><FONT SIZE="-2" COLOR="#000000">920,397</FONT>
</P>
</TD>
<TD CLASS="CLASS_84" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">920,397</FONT></B>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_42" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_52" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">% of
Net&nbsp;Assets</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_52" ALIGN="RIGHT" VALIGN="BOTTOM">
<P ALIGN="RIGHT"><B><FONT SIZE="-2" COLOR="#000000">Value ($)</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_88" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_39" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000"><B>Total Investment Portfolio</B> (Cost $299,186,268)<SUP>+</SUP></FONT>
</P>
</TD>
<TD CLASS="CLASS_108" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        102.0</FONT>
</P>
</TD>
<TD CLASS="CLASS_108" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     1,198,754,493</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_41" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Other Assets and Liabilities, Net </FONT></B>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (2.0)</FONT>
</P>
</TD>
<TD CLASS="CLASS_85" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     (23,963,718)</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_38" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000"><B>Net Assets</B></FONT>
</P>
</TD>
<TD CLASS="CLASS_86" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        100.0</FONT>
</P>
</TD>
<TD CLASS="CLASS_86" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     1,174,790,775</FONT></B>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">*    Non-income producing security.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000"><SUP>+</SUP> The cost for federal income tax purposes was $300,447,150. At December 31, 2005, net
unrealized appreciation for all securities based on tax cost was $898,307,343. This consisted of
aggregate gross unrealized appreciation for all securities in which there was an excess of value
over tax cost of $904,070,918 and aggregate gross unrealized depreciation for all securities in
which there was an excess of tax cost over value of $5,763,575.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">(a)  Affiliated issuer (see Notes to Financial Statements).</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">(b)  All or a portion of these securities were on loan (See Notes to Financial Statements). The value of
all securities loaned at December 31, 2005 amounted to $14,241,232 which is 1.2% of net assets.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">(c)  Securities valued at fair value by management and approved in good faith following procedures
approved by the Directors, amounted to $5,380,282 (0.5% of net assets at December 31, 2005).
Their values have been estimated by management in the absence of readily ascertainable market
values. However, because of the inherent uncertainty of valuation, those estimated values may
differ significantly from the values that would have been used had a ready market for the securities
existed, and the difference could be material. The cost of these securities at December 31, 2005
aggregated $5,359,894. The securities may also have certain restrictions as to resale.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">(d)  The Fund may purchase securities that are subject to legal or contractual restrictions on resale
(&quot;restricted securities&quot;). Restricted securities are securities which have not been registered with the
Securities and Exchange Commission under the Securities Act of 1933. The fund may be unable to
sell a restricted security and it may be more difficult to determine a market value for a restricted
security. Moreover, if adverse market conditions were to develop during the period between the
Fund's decision to sell a restricted security and the point at which the Fund is permitted or able to
sell such security, the Fund might obtain a price less favorable than the price that prevailed when it
decided to sell. This investment practice, therefore, could have the effect of increasing the level of
illiquidity of the Fund. The future value of these securities is uncertain and there may be changes in
the estimated value of these securities.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">     A Shareholder of SE Co. Ltd. has given the Fund a put option at cost, payable on demand until it
has an initial public offering. Information concerning the private placement security at
December&nbsp;31, 2005 is as follows:</FONT></I>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_1">
<TR CLASS="CLASS_2">
<TD CLASS="CLASS_123" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Restricted
Securities</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_123" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Acquisition
Date</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_127" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Cost ($)</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_127" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Value ($)</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_127" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">As a % of
Net&nbsp;Assets</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_76" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">SE Co., Ltd.</FONT>
</P>
</TD>
<TD CLASS="CLASS_76" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        12/22/2000</FONT>
</P>
</TD>
<TD CLASS="CLASS_116" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,616,637</FONT>
</P>
</TD>
<TD CLASS="CLASS_116" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,978,556</FONT>
</P>
</TD>
<TD CLASS="CLASS_116" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        0.2</FONT>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">(e)  At December 31, 2005, 18.1% of the Fund's net assets is invested in Samsung Electronics Co., Ltd.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">(f)  Company in restructuring process, principal only subject to repayment.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">(g)  Principal amount stated in Korean Won.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">(h)  Daily Assets Fund Institutional, an affiliated fund, is managed by Deutsche Asset Management, Inc.
The rate shown is the annualized seven-day yield at period end.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">(i)  Represents collateral held in connection with securities lending.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">(j)  Cash Management QP Trust, an affiliated fund, is managed by Deutsche Investment Management
Americas Inc. The rate shown is the annualized seven-day yield at period end.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">ADR: American Depositary Receipt</FONT></I>
</P>
<P ALIGN="LEFT">
</P>
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">The accompanying notes are an integral part of the financial statements.</FONT></I>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION1F0"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="fins" ID="fins"></A>Financial Statements</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_1">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_67" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Statement of Assets and Liabilities</FONT><FONT SIZE="-2" COLOR="#000000"> </FONT></B><FONT SIZE="-2" COLOR="#ffffff">as of December 31, 2005 (Unaudited)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_3">
<TD CLASS="CLASS_145" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Assets</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_36" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Investments in securities, at value:</FONT>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Unaffiliated issuers (cost $216,684,577) &#151; including $14,241,232 of
securities&nbsp;loaned</FONT>
</P>
</TD>
<TD CLASS="CLASS_116" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">$       959,794,808</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Affiliated issuers &#151; Note I (cost $66,913,594)</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        223,371,588</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Investment in Daily Assets Fund Institutional (cost&nbsp;$14,667,700)*</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        14,667,700</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Investment in Cash Management QP Trust (cost&nbsp;$920,397)</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        920,397</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Total investments in securities, at value (cost $299,186,268)</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,198,754,493</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Korean won, at value (cost $4,288,041)</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        4,395,951</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Dividends receivable</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        13,462,650</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Interest receivable</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        5,330</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Other assets</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        30,739</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_57" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Total assets</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,216,649,163</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_12">
<TD CLASS="CLASS_149" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Liabilities</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_36" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Accrued management fee</FONT>
</P>
</TD>
<TD CLASS="CLASS_116" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        652,796</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Distributions payable</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        25,469,149</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Payable upon return of securities loaned</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        14,667,700</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Other accrued expenses and payables</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,068,743</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_57" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Total liabilities</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        41,858,388</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_57" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Net assets, at value</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    1,174,790,775</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_12">
<TD CLASS="CLASS_149" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Net Assets</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_36" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net assets consist of:</FONT>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Undistributed net investment income</FONT>
</P>
</TD>
<TD CLASS="CLASS_116" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        3,568,428</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_35" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net unrealized appreciation (depreciation) on:</FONT>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Investments</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        899,568,225</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Won related transactions</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        129,746</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Accumulated net realized gain (loss)</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        318,636,905</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Cost of 20,045,197 shares held in treasury</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (573,343,231)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_34" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Paid-in capital</FONT>
</P>
</TD>
<TD CLASS="CLASS_119" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        526,230,702</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_57" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Net assets, at value</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    1,174,790,775</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_57" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Net Asset Value</FONT></B><FONT SIZE="-2" COLOR="#000000"> per share ($1,174,790,775 &divide; 29,963,705 shares of common
stock issued and outstanding, $.01 par value, 200,000,000 shares
authorized)</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    39.21</FONT></B>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">*    Represents collateral on securities loaned.</FONT></I>
</P>
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">The accompanying notes are an integral part of the financial statements.</FONT></I>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_1">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_67" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Statement of Operations </FONT></B><FONT SIZE="-2" COLOR="#ffffff">for the six months ended December 31, 2005 (Unaudited)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_3">
<TD CLASS="CLASS_147" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Investment Income</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_74" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Income:</FONT>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Dividends &#151; unaffiliated issuers (net of foreign taxes withheld
of&nbsp;$2,654,379)</FONT>
</P>
</TD>
<TD CLASS="CLASS_118" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">$       13,478,608</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Dividends &#151; affiliated issuers (net of foreign taxes withheld of $257,199)</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,410,314</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Interest </FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        84,002</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Interest &#151; Cash Management QP Trust</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        24,304</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Securities lending income, including income from Daily Assets Fund
Institutional, net of borrower rebates</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        202</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_32" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Total Income </FONT>
</P>
</TD>
<TD CLASS="CLASS_107" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        14,997,430</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_32" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Expenses:</FONT>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Management fee</FONT>
</P>
</TD>
<TD CLASS="CLASS_107" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        3,206,767</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Services to shareholders</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        17,664</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Custodian and accounting fees</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        893,080</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Auditing</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        60,960</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Legal</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        419,920</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Directors' fees and expenses</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        154,160</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Reports to shareholders and annual meeting</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        224,045</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Stock exchange listing fees</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        71,280</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Other</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        178,258</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_32" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Total expenses, before expense reductions</FONT>
</P>
</TD>
<TD CLASS="CLASS_107" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        5,226,134</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Expense reductions</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (6,984)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_32" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Total expenses, after expense reductions</FONT>
</P>
</TD>
<TD CLASS="CLASS_107" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        5,219,150</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_32" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Net investment income (loss)</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_107" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     9,778,280</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_3">
<TD CLASS="CLASS_145" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Realized and Unrealized Gain (Loss) on Investment Transactions</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_33" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net realized gain (loss) from:</FONT>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Investments &#151; Unaffiliated issuers</FONT>
</P>
</TD>
<TD CLASS="CLASS_118" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        278,213,684</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Investments &#151; Affiliated issuers</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        43,440,045</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Won related transactions</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (597,828)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_32" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_107" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        321,055,901</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_32" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net unrealized appreciation (depreciation) during the period on:</FONT>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Investments</FONT>
</P>
</TD>
<TD CLASS="CLASS_107" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        27,427,530</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_31" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Won related transactions</FONT>
</P>
</TD>
<TD CLASS="CLASS_117" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        769,220</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_32" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_107" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        28,196,750</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_32" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Net gain (loss) on investment transactions</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_107" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     349,252,651</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_6">
<TD CLASS="CLASS_32" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Net increase (decrease) in net assets resulting from operations</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_107" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    359,030,931</FONT></B>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">The accompanying notes are an integral part of the financial statements.</FONT></I>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_1">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_67" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Statement of Changes in Net Assets</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_3">
<TD CLASS="CLASS_148" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Increase (Decrease) in Net Assets</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_126" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Six Months
Ended
December 31,
2005
(Unaudited)</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_126" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Year Ended
June 30, 2005</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_71" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Operations:</FONT>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net investment income (loss)</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">$       9,778,280</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">$       17,984,136</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_71" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net realized gain (loss) on investment transactions</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        321,055,901</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        21,533,645</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_71" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net unrealized appreciation (depreciation) during the
period on investment transactions </FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        28,196,750</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        327,247,329</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_73" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net increase (decrease) in net assets resulting from
operations</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        359,030,931</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        366,765,110</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_73" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Distributions to shareholders from:</FONT>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net investment income</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (14,981,852)</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (20,115,675)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_73" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net realized gains</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (10,487,297)</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (8,940,299)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_71" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Fund share transactions:</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_71" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Cost of shares tendered</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (459,612,656)</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_73" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net increase (decrease) in net assets from Fund share
transactions</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (459,612,656)</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_73" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Increase (decrease) in net assets</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (126,050,874)</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        337,709,136</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_71" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net assets at beginning of period</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,300,841,649</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        963,132,513</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_73" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net assets at end of period (including undistributed
net investment income of $3,568,428 and $8,772,000,
respectively)</FONT>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    1,174,790,775</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_106" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    1,300,841,649</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_3">
<TD CLASS="CLASS_147" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="3">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Other Information</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_72" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Shares outstanding at beginning of period</FONT>
</P>
</TD>
<TD CLASS="CLASS_116" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        44,701,493</FONT>
</P>
</TD>
<TD CLASS="CLASS_116" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        44,701,493</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_71" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Shares tendered</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (14,737,788)</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_71" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Shares outstanding at end of period</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        29,963,705</FONT>
</P>
</TD>
<TD CLASS="CLASS_115" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        44,701,493</FONT>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT">
</P>
<P ALIGN="CENTER"><I><FONT SIZE="-2" COLOR="#000000">The accompanying notes are an integral part of the financial statements.</FONT></I>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION1E0"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="high" ID="high"></A>Financial Highlights</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_1">
<TR CLASS="CLASS_4">
<TD CLASS="CLASS_65" BGCOLOR="#000000" ALIGN="LEFT" VALIGN="MIDDLE">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#ffffff">Years Ended June 30,</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_50" BGCOLOR="#000000" ALIGN="CENTER" VALIGN="MIDDLE">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#ffffff">2005<SUP>a</SUP></FONT></B>
</P>
</TD>
<TD CLASS="CLASS_50" BGCOLOR="#000000" ALIGN="CENTER" VALIGN="MIDDLE">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#ffffff">2005</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_50" BGCOLOR="#000000" ALIGN="CENTER" VALIGN="MIDDLE">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#ffffff">2004</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_50" BGCOLOR="#000000" ALIGN="CENTER" VALIGN="MIDDLE">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#ffffff">2003</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_50" BGCOLOR="#000000" ALIGN="CENTER" VALIGN="MIDDLE">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#ffffff">2002</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_50" BGCOLOR="#000000" ALIGN="CENTER" VALIGN="MIDDLE">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#ffffff">2001</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_3">
<TD CLASS="CLASS_145" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="7">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Per Share Operating Performance</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_70" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Net asset value, beginning of period</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    29.10</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    21.55</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    17.62</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    20.20</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    13.01</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    20.04</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_27" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">Income (loss) from investment
operations</FONT></I>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net investment income (loss)<SUP>b</SUP></FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .29</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .40</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .20</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .17</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .11</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .17</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_28" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net realized and unrealized gain
(loss) on investment transactions</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        10.40</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        7.80</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        3.90</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (1.90)</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        7.20</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (5.61)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_27" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Total from investment operations</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        10.69</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        8.20</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        4.10</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (1.73)</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        7.31</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (5.44)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_26" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">Less distributions from:</FONT></I>
</P>
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net investment income</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.50)</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.45)</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.30)</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.18)</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.18)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_28" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net realized gains on investment
transactions</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.35)</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.20)</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.67)</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.12)</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (1.41)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_26" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Total distributions</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.85)</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.65)</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.30)</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.85)</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (.12)</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (1.59)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_26" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">NAV accretion resulting from
repurchases, shares tendered and
reinvestment of distributions for shares
at value</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .27</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .13</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .00<SUP>c</SUP></FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .00<SUP>c</SUP></FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_27" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Net asset value, end of period</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    39.21</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    29.10</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    21.55</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    17.62</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    20.20</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    13.01</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_26" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Market value, end of period</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    35.60</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    27.35</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    18.85</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    14.99</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    16.44</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">$    10.58</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_3">
<TD CLASS="CLASS_145" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="7">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Total Return</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_70" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Per share net asset value (%)<SUP>d</SUP></FONT>
</P>
</TD>
<TD CLASS="CLASS_114" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        37.69<SUP>**</SUP></FONT>
</P>
</TD>
<TD CLASS="CLASS_114" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        38.66</FONT>
</P>
</TD>
<TD CLASS="CLASS_114" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        24.15</FONT>
</P>
</TD>
<TD CLASS="CLASS_114" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (8.34)</FONT>
</P>
</TD>
<TD CLASS="CLASS_114" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        56.39</FONT>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (25.01)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_26" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Per share market value (%)<SUP>d</SUP></FONT>
</P>
</TD>
<TD CLASS="CLASS_113" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        32.99</FONT>
</P>
</TD>
<TD CLASS="CLASS_113" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        49.06</FONT>
</P>
</TD>
<TD CLASS="CLASS_113" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        27.66</FONT>
</P>
</TD>
<TD CLASS="CLASS_113" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (4.29)</FONT>
</P>
</TD>
<TD CLASS="CLASS_113" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        56.71</FONT>
</P>
</TD>
<TD CLASS="CLASS_104" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (13.16)</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_3">
<TD CLASS="CLASS_145" ALIGN="LEFT" VALIGN="BOTTOM" COLSPAN="7">
<P ALIGN="LEFT"><B><FONT SIZE="-1" COLOR="#000000">Ratios to Average Net Assets and Supplemental Data</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_70" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Net assets, end of period ($&nbsp;millions)</FONT>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,175</FONT>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,301</FONT>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        963</FONT>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        879</FONT>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,009</FONT>
</P>
</TD>
<TD CLASS="CLASS_105" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        651</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_28" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Ratio of expenses&nbsp;(%)</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .86<SUP>*</SUP></FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1.13</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1.27</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1.26</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1.21</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1.23<SUP>e</SUP></FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_28" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Ratio of net investment income
(loss)&nbsp;(%)</FONT>
</P>
</TD>
<TD CLASS="CLASS_112" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1.62<SUP>*</SUP></FONT>
</P>
</TD>
<TD CLASS="CLASS_112" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1.58</FONT>
</P>
</TD>
<TD CLASS="CLASS_112" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .94</FONT>
</P>
</TD>
<TD CLASS="CLASS_112" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .99</FONT>
</P>
</TD>
<TD CLASS="CLASS_112" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        .69</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1.18</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_11">
<TD CLASS="CLASS_28" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Portfolio turnover rate&nbsp;(%)</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        2<SUP>f</SUP></FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        10</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        20</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        7</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        18</FONT>
</P>
</TD>
<TD CLASS="CLASS_111" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        40</FONT>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000"><SUP>a</SUP> For the six months ended December 31, 2005 (Unaudited).</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000"><SUP>b</SUP> Based on average shares outstanding during the period.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000"><SUP>c</SUP> Amount is less than $.005 per share.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000"><SUP>d</SUP> Total return based on net asset value reflects changes in the Fund's net asset value during the
period. Total return based on market value reflects changes in market value. Each figure includes
reinvestments of distributions. These figures will differ depending upon the level of any discount
from, or premium to, net asset value at which the Fund's shares trade during the period.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000"><SUP>e</SUP> Ratio of expenses before expense reductions was 1.24%.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000"><SUP>f</SUP> Excludes securities delivered as a result of processing in-kind transactions.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">*    Annualized.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">**   Not annualized.</FONT></I>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION1D0"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="notes" ID="notes"></A>Notes to Financial Statements     </FONT><FONT COLOR="#000000">(Unaudited)</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">A. Significant Accounting Policies</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The Korea Fund, Inc. (the &quot;Fund&quot;) is registered under the Investment Company Act
of 1940, as amended (the &quot;1940 Act&quot;), as a closed-end, non-diversified management
investment company organized as a Maryland corporation.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The Fund's financial statements are prepared in accordance with accounting
principles generally accepted in the United States of America which require the use of
management estimates. Actual results could differ from those estimates. The policies
described below are followed consistently by the Fund in the preparation of its
financial statements.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><B><FONT SIZE="-1">Security Valuation.</FONT></B> Investments are stated at value determined as of the close of
regular trading on the New York Stock Exchange on each day the exchange is open
for trading. Equity securities are valued at the most recent sale price or official closing
price reported on the exchange (US or foreign) or over-the-counter market on which
the security is traded most extensively. Securities for which no sales are reported are
valued at the calculated mean between the most recent bid and asked quotations on
the relevant market or, if a mean cannot be determined, at the most recent bid
quotation. Debt securities are valued by independent pricing services approved by the
Directors of the Fund. If the pricing services are unable to provide valuations,
securities are valued at the most recent bid quotation or evaluated price, as applicable,
obtained from a broker-dealer. Such services may use various pricing techniques
which take into account appropriate factors such as yield, quality, coupon rate,
maturity, type of issue, trading characteristics and other data, as well as broker quotes.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Money market instruments purchased with an original or remaining maturity of sixty
days or less, maturing at par, are valued at amortized cost. Investments in open-end
investment companies and Cash Management QP Trust are valued at their net asset
value each business day.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Securities and other assets for which market quotations are not readily available or for
which the above valuation procedures are deemed not to reflect fair value are valued
in a manner that is intended to reflect fair value as determined in accordance with
procedures approved by the Directors. The Fund uses a fair valuation model to value
Korean equity securities that takes into account events which have happened
subsequent to the Korea market closing up to the close of the New York Stock
Exchange.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><B><FONT SIZE="-1">Securities Lending.</FONT></B> Effective December 14, 2005, the Fund may lend securities to
financial institutions. The Fund retains beneficial ownership of the securities it has
loaned and continues to receive interest and dividends paid by the securities and to
participate in any changes in their market value. The Fund requires the borrowers of
the securities to maintain collateral with the Fund consisting of liquid,
unencumbered assets having a value at least equal to the value of the securities
loaned. The Fund may invest the cash collateral into a joint trading account in an
affiliated money market fund pursuant to Exemptive Orders issued by the SEC. The
Fund receives compensation for lending its securities either in the form of fees or by
earning interest on invested cash collateral net of fees paid to a lending agent. Either
the Fund or the borrower may terminate the loan. The Fund is subject to all
investment risks associated with the value of any cash collateral received, including,
but not limited to, interest rate, credit and liquidity risk associated with such
investments. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><B><FONT SIZE="-1">Foreign Currency Translations.</FONT></B> The books and records of the Fund are maintained
in US dollars. Investment securities and other assets and liabilities denominated in a
foreign currency are translated into US dollars at the prevailing exchange rates at
period end. Purchases and sales of investment securities, income and expenses are
translated into US dollars at the prevailing exchange rates on the respective dates of
the transactions.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Net realized and unrealized gains and losses on foreign currency transactions
represent net gains and losses between trade and settlement dates on securities
transactions, the disposition of forward foreign currency exchange contracts and
foreign currencies, and the difference between the amount of net investment income
accrued and the US dollar amount actually received. That portion of both realized
and unrealized gains and losses on investments that results from fluctuations in
foreign currency exchange rates is not separately disclosed but is included with net
realized and unrealized gains and losses on investment securities.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">At December 31, 2005, the exchange rate for Korean won was W 1,010.85 to US $1.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><B><FONT SIZE="-1">Taxes.</FONT></B> The Fund's policy is to comply with the requirements of the Internal Revenue
Code, as amended, which are applicable to regulated investment companies and to
distribute all of its taxable income to its shareholders. Accordingly, the Fund paid no
federal income taxes and no federal income tax provision was required. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Under the United States-Korea Income Tax Treaty (the &quot;Treaty&quot;), as presently in
effect, the government of Korea imposes a nonrecoverable withholding tax and
resident tax aggregating 16.5% on dividends and 13.2% on interest earned by the
Fund from Korean issuers. Under the Treaty, there is no Korean withholding tax on
realized capital gains.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The Fund was subject to a securities transaction tax aggregating $2,239,363, due to
the tender offer and redemption-in-kind of the Fund's Korean securities that expired
on August 19, 2005. This tax was charged to realized gain (loss) on investments.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><B><FONT SIZE="-1">Distribution of Income and Gains.</FONT></B> Net investment income of the Fund is declared
and distributed to shareholders annually. Net realized gains from investment
transactions, in excess of available capital loss carryforwards, would be taxable to the
Fund if not distributed, and, therefore, will be distributed to shareholders at least
annually.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The timing and characterization of certain income and capital gains distributions are
determined annually in accordance with federal tax regulations which may differ
from accounting principles generally accepted in the United States of America. These
differences primarily relate to investments in passive foreign investment companies,
foreign denominated securities and certain securities sold at a loss. As a result, net
investment income (loss) and net realized gain (loss) on investment transactions for a
reporting period may differ significantly from distributions during such period.
Accordingly, the Fund may periodically make reclassifications among certain of its
capital accounts without impacting the net asset value of the Fund. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The tax character of current year distributions, if any, will be determined at the end
of the Fiscal year.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><B><FONT SIZE="-1">Dividend Income.</FONT></B> Dividend income is recorded on the ex-dividend date net of
foreign withholding taxes. Korean-based corporations have generally adopted
calendar year-ends, and their interim and final corporate actions are normally
approved, finalized and announced by their boards of directors and shareholders
in&nbsp;the first and third quarters of each calendar year. Generally, estimates of their
dividends are accrued by management on the ex-dividend date in the prior December
and/or June period end. These dividend announcements are recorded by the Fund on
such ex-dividend dates. Any subsequent adjustments thereto by Korean corporations
are recorded when announced. Presently, dividend income from Korean equity
investments is earned primarily in the last calendar quarter of each year, and will be
received primarily in the first calendar quarter of each year. Certain other dividends
and related withholding taxes, if applicable, from Korean securities may be recorded
subsequent to the ex-dividend date as soon as the Fund is informed of such dividends
and taxes.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><B><FONT SIZE="-1">Contingencies.</FONT></B> In the normal course of business, the Fund may enter into contracts
with service providers that contain general indemnification clauses. The Fund's
maximum exposure under these arrangements is unknown as this would involve
future claims that may be made against the Fund that have not yet been made.
However, based on experience, the Fund expects the risk of loss to be remote.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><B><FONT SIZE="-1">Other.</FONT></B> Investment transactions are accounted for on a trade date plus one basis for
daily net asset value calculations. However, for financial reporting purposes,
investment security transactions are reported on trade date. Interest income is
recorded on the accrual basis. Realized gains and losses from investment transactions
are recorded on an identified cost basis.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">B. Purchases and Sales of Securities</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">During the six months ended December 31, 2005, purchases and sales of investment
securities (excluding short-term investments and in-kind redemptions) aggregated
$21,283,485 and $13,331,587, respectively.  </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">In connection with the tender offer (see Note K), the Fund distributed portfolio
securities and cash as payment for the tendered shares (in-kind redemption). For
financial reporting purposes, the Fund recognizes a gain on in-kind redemptions to
the extent the value of the distributed securities exceeds their cost. Gains realized on
in-kind redemptions are not recognized for tax purposes, and are reclassified from
accumulated net realized gain/loss at year-end. During the six month period ending
December 31, 2005, the Fund realized $9,373,233 of net gain.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">C. Related Parties</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><B><FONT SIZE="-1">Management Agreement.</FONT></B> Under the Management Agreement with Deutsche
Investment Management Americas Inc. (&quot;DeIM&quot; or the &quot;Manager&quot;), an indirect,
wholly owned subsidiary of Deutsche Bank AG, the Manager directs the investments
of the Fund in accordance with its investment objectives, policies and restrictions.
The Manager determines the securities, instruments and other contracts relating to
investments to be purchased, sold or entered into by the Fund. In addition to
portfolio management services, the Manager provides certain administrative services
in accordance with the Management Agreement. The management fee payable is
equal to an annual rate of 0.60% on the first $250,000,000 of the Fund's month-end
net assets, 0.575% on the next $250,000,000 of such net assets, 0.55% on the next
$250,000,000 of such net assets, 0.525% on the next $250,000,000 of such net
assets, and 0.50% of such net assets in excess of $1,000,000,000. For the six months
ended December 31, 2005, the fee pursuant to the management agreement was
equivalent to an annualized effective rate of 0.53%&nbsp;of the Fund's average month-end
net assets.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Deutsche Investment Trust Management Company Limited (&quot;DeITMC&quot;), also a
wholly owned subsidiary of Deutsche Bank AG, serves as subadvisor to the Fund.
DeITMC renders investment advisory and management services with regard to the
Fund's portfolio. From time to time, DeITMC makes specific investment
recommendations, which then are evaluated by DeIM's portfolio managers in light of
their own expertise and information from other sources in making investment
decisions for the Fund.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><B><FONT SIZE="-1">Service Provider Fees.</FONT></B> DWS Scudder Investments Service Company
(&quot;DWS-SISC&quot;), an affiliate of the Manager, is the&nbsp;transfer, dividend-paying and
shareholder service agent for the Fund. Pursuant to a sub-transfer agency agreement
between DWS-SISC and DST Systems, Inc. (&quot;DST&quot;), DWS-SISC has delegated
certain transfer agent and dividend-paying agent functions to DST. DWS-SISC
compensates DST out of the shareholder servicing fee it receives from the Fund. For
the six months ended December 31, 2005, the amount charged to the Fund by
DWS-SISC aggregated $8,100, of which $1,350 is unpaid.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">DWS Scudder Service Corporation (&quot;DWS-SSC&quot;), a subsidiary of the Manager, is
the shareholder communications agent of the Fund. For the six months ended
December 31, 2005 the amount charged to the Fund by DWS-SSC aggregated
$7,500, of which $1,250 is unpaid.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">DWS Scudder Fund Accounting Corporation (&quot;DWS-SFAC&quot;), also a subsidiary of
the Manager, is responsible for determining the daily net asset value per share and
maintaining the&nbsp;portfolio and general accounting records of the Fund. Pursuant to a
sub-accounting agreement between DWS-SFAC and State Street Bank and Trust
Company (&quot;SSB&quot;), DWS-SFAC has delegated all accounting functions to SSB.
DWS-SFAC compensates SSB out of the accounting fee it receives from the Fund.
For the six months ended December 31, 2005, the amount charged to the Fund by
DWS-SFAC aggregated $228,880, of which&nbsp;$45,735 is unpaid.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><B><FONT SIZE="-1">Directors' Fees and Expenses.</FONT></B> The Fund pays each Director not affiliated with the
Manager retainer fees plus specified amounts for attended board and committee
meetings.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><B><FONT SIZE="-1">Cash Management QP Trust.</FONT></B> Pursuant to an Exemptive Order issued by the SEC,
the Fund may invest in the Cash Management QP Trust (the &quot;QP&nbsp;Trust&quot;) and other
affiliated funds managed by the Manager. The QP Trust seeks to provide as high a
level of current income as is consistent with the preservation of capital and the
maintenance of liquidity. The QP Trust does not pay the Manager a management fee
for the affiliated funds' investments in the QP Trust.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">D. Foreign Investment and Exchange Controls in Korea</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The Foreign Exchange Transaction Act, the Presidential Decree relating to such Act
and the regulations of the Minister of Finance and Economy issued thereunder
impose certain limitations and controls which generally affect foreign investors in
Korea. The Fund obtained from the Minister of Finance and Economy a license to
invest in Korean securities and to repatriate income received from dividends and
interest earned on, and net realized capital gain from, its investments in Korean
securities or to repatriate from investment principal up to 10% of the net asset value
(taken at current value) of the Fund (except upon termination of the Fund, or for
expenses in excess of Fund income, in which case the foregoing restriction shall not
apply). Under the Foreign Exchange Transaction Act, the Minister of Finance and
Economy has the power, with prior public notice of scope and duration, to suspend
all or a part of foreign exchange transactions when emergency measures are deemed
necessary in case of radical change in the international or domestic economic
situation. The Fund could be adversely affected by delays in, or the refusal to grant,
any required governmental approval for such transactions.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">In order to complete its tender offer (See Note K), however, the Fund relinquished its
license from the Korean Ministry of Finance and Economy effective August 19,
2005. The Fund had engaged in negotiations with the Korean Ministry of Finance
and Economy concerning the feasibility of the Fund's license being amended to allow
the Fund to repatriate more than 10% of Fund capital. However, the Ministry of
Finance and Economy advised the Fund that the license cannot be amended as a
result of a change in the Korean regulations. As a result of the relinquishment of the
license, the Fund is subject to the Korean securities transaction tax equal to 0.3% of
the fair market value of any portfolio securities transferred by the Fund on the Korea
Exchange and 0.5% of the fair market value of any portfolio securities transferred
outside of the Korea Exchange. The relinquishment will not otherwise affect the
Fund's operations. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Various restrictions currently apply with respect to investing in equity securities of
Korean banks and certain designated public corporations and telecommunications
corporations listed on the Korea Exchange. As of December 31, 2005, the Fund and
its affiliates would require the approval of the Financial Supervisory Commission
(the&nbsp;&quot;FSC&quot;) before obtaining aggregate beneficial ownership of more than 10% of
the outstanding voting shares of a national bank such as Kookmin Bank or 15% of
the&nbsp;outstanding voting shares of a regional bank such as Jeonbuk Bank, and
additional FSC approvals would be required before specified higher ownership
percentages could be exceeded. With respect to certain public and
telecommunications corporations, the Fund's holdings in each of GS Home
Shopping, Inc. and SK&nbsp;Telecom Co., Ltd. were subject to a foreign ownership limit
of 49% as of December 31,&nbsp;2005.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">E. Investing in the Korean Market</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Investing in the Korean market may involve special risks and considerations not
typically associated with investing in the United States of America. These risks
include revaluation of currency, high rates of inflation, Korean taxes, repatriation
restrictions on income and capital, corporate bankruptcy and future adverse political,
social and economic developments. Moreover, securities issued in this market may be
less liquid, subject to government ownership controls, delayed settlements and their
prices more volatile than those of comparable securities in the United States of
America.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">F. Ownership of the Fund</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">At December 31, 2005, the City of London Investment Group PLC held
approximately 18% of the outstanding shares of the Fund.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">G. Line of Credit</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The Fund and several other affiliated funds (the &quot;Participants&quot;) share in a $1.1&nbsp;billion
revolving credit facility administered by J.P. Morgan Chase Bank for temporary or
emergency purposes that otherwise might require the untimely disposition of
securities. The Participants are charged an annual commitment fee which is allocated,
based upon net assets, among each of the Participants. Interest is calculated at the
Federal Funds Rate plus 0.5 percent. The Fund may borrow up to a maximum of
5&nbsp;percent of its net assets under the agreement.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">H. Expense Reductions</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">For the six months ended December 31, 2005, the Manager agreed to reimburse the
Fund $6,984, which represents a portion of the fee savings expected to be realized by
the Manager related to the outsourcing by the Manager of certain administrative
services to an unaffiliated service provider.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">I. Transactions in Securities of Affiliated Issuers</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">An affiliated issuer is a company in which the Fund has ownership of at least 5% of
the voting securities. A summary of the Fund's transactions during the six months
ended December 31, 2005 with companies which are or were affiliates is as follows:</FONT>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_1">
<TR CLASS="CLASS_2">
<TD CLASS="CLASS_122" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Affiliate</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_125" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Value at
June 30,
2005 ($)</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_124" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Common/
Preferred
Shares</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_125" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Total</FONT></B>
</P>
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Purchase
Cost&nbsp;($)</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_125" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000"> Total
Sales</FONT></B>
</P>
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Cost&nbsp;($)</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_122" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Total</FONT></B>
</P>
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Realized
Gain/
(Loss)&nbsp;($)</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_124" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Dividend
Income
($)*</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_122" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Value at
December
31, </FONT></B>
</P>
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">2005 ($)</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Anycell</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        2,020,774</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (2,020,774)</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        -</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">BYC Co.,
Ltd.</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        2,257,028</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        26,761</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        667,318</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        168,994</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        15,449</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        3,124,849</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">CJ Corp</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        7,380,024</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        67,424</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        430,102</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,737,352</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        91,751</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        6,925,977</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Crown
Confection</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        14,702,465</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        64,714</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        4,149,890</FONT>
</P>
</TD>
<TD CLASS="CLASS_110" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (336,246)</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        53,372</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        9,376,246</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Daeyang
E&amp;C Ltd.</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        9,144,525</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        5,360,494</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        2,450,762</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Interflex
Co., Ltd.</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        13,148,793</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        452,035</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        4,139,087</FONT>
</P>
</TD>
<TD CLASS="CLASS_110" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        (800,995)</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        55,921</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        6,255,425</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Jeonbuk
Bank</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        15,311,560</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,962,473</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        3,300,224</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        2,590,158</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        155,465</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        18,888,591</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Meritz Fire
&amp; Marine
Insurance
Co.</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        12,983,002</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        395,893</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,653,236</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        3,511,307</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        20,603,618</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Phicom
Corp.</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        6,831,582</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,010,716</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        2,382,867</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,422,055</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,339,211</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        124,907</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        12,456,044</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samsung
Climate
Control Co.,
Ltd.</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        4,467,342</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        560,224</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        934,798</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        633,879</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        13,861</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        4,244,759</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samsung
Fire &amp;
Marine
Insurance
Co. Ltd.</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        79,187,981</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        663,110</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        2,321,700</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        25,637,896</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        83,387,581</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Samwoo
EMC Co.,
Ltd.</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        2,995,292</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        510,926</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        676,041</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        476,082</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        63,141</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        2,241,753</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">SE Co. Ltd.</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,933,323</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        636,950</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,978,556</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Seoul Semi-
conductor
Co., Ltd.</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        29,385,634</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        650,192</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        4,529,701</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        4,014,409</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        158,189</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        25,204,807</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">SFA
Engineering
Co.</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        12,005,567</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        315,573</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,713,145</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,940,423</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        195,197</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        7,885,375</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Sung Shin
Cement</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        5,232,964</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        186,957</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,775,966</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        194,047</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        192,736</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        3,721,409</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Taegu
Department
Store Co.,
Ltd.</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        12,345,615</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        904,880</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        &#151;</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        2,712,882</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        1,903,540</FONT>
</P>
</TD>
<TD CLASS="CLASS_109" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        290,325</FONT>
</P>
</TD>
<TD CLASS="CLASS_69" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">        17,076,598</FONT>
</P>
</TD>
</TR>

<TR CLASS="CLASS_10">
<TD CLASS="CLASS_102" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_103" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_103" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_103" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     2,382,867</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_103" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     37,807,413</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_102" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     43,440,045</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_103" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">     1,410,314</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_102" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">223,371,588</FONT></B>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">*    Net of foreign taxes withheld.</FONT></I>
</P>
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">**   Not an affiliate at December 31, 2005</FONT></I>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">J. Share Repurchases</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The Fund has a share repurchase plan to effect periodic repurchases of its shares in
the open market from time to time when the Fund's shares trade at a discount to
their net asset value per share. The Fund did not repurchase shares during the six
months ended December 31, 2005 and the year ended June 30, 2005.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">K. Tender Offer </FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">In accordance with the Fund's Board of Directors approval on December 15, 2004,
of an offer to repurchase 50% of the Fund's outstanding shares, on July 8, 2005, the
Fund commenced a tender offer for up to 22,350,747 of its shares, representing
approximately 50% of its issued and outstanding shares of common stock, in
exchange for portfolio securities of the Fund at a price per share equal to 98% of the
net asset value per share as of the day after the offer expires. Shareholders exchanging
their shares in the offer received a pro rata share of the Fund's portfolio. The tender
offer remained open through August 19, 2005. The shares tendered were
14,737,788. The tender offer was conducted in order to provide shareholders with an
alternative source of liquidity for their investment in Fund shares and as part of the
Fund's continuous efforts to provide additional value to shareholders.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The program for future tender offers consists of semiannual offers, each to repurchase
10% of the Fund's shares then outstanding, at a price of 98% of net asset value on
the day after expiration of the offer, in the three calendar years following completion
of the initial offer. Each of these subsequent offers would be made, subject to
regulatory approvals, fiduciary and other applicable requirements, if the Fund's shares
traded on the New York Stock Exchange at an average weekly discount from net asset
value greater than 5% during a 13-week measuring period ending the last day of the
preceding half-year.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">On January 11, 2006, the Board met to consider a 10% repurchase offer pursuant to
the repurchase program. The Board has determined that although the repurchase
program originally contemplated in-kind purchase offers in which tendering
shareholders would receive a pro rata share of the Fund's portfolio, rather than cash,
the Fund would conduct this tender offer for cash consideration. The Board believes
that using cash consideration will facilitate participation by smaller shareholders and
result in lower transaction costs. The Board intends to evaluate on a case-by-case
basis the consideration for any future offers under the repurchase program, in light of
its experience and then-prevailing market and economic conditions.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">On January 19, 2006, the Fund commenced a tender offer for cash for up to
2,996,371 of its shares of common stock, representing approximately 10% its
outstanding shares, at a price per share equal to 98% of the net asset value per share
as of the day after the day the offer expires. The tender offer will remain open
through February 16, 2006, unless extended.</FONT>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION1C0"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="drip" ID="drip"></A>Dividend Reinvestment and Cash
Purchase Plan</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">The Plan</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The fund's Dividend Reinvestment and Cash Purchase Plan (the &quot;Plan&quot;) offers&nbsp;you
an automatic way to reinvest your dividends and capital gains distributions in shares
of the fund. The Plan also provides for cash investments in fund shares of $100 to
$3,000 semiannually through Scudder Investments Service Company or its delegate
(the &quot;Transfer Agent&quot;) and UMB Bank, N.A. (the &quot;Plan Agent&quot;). The Transfer Agent
provides record keeping services for participants in the Plan. If you would like a copy
of the Plan, please call the Transfer Agent at 1-800-294-4366.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">Automatic Participation</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Each stockholder of record is automatically a participant in the Plan unless the
stockholder has instructed the Transfer Agent in writing otherwise. Such a notice
must be received by the Transfer Agent not less than 10 days prior to the record date
for a dividend or distribution in order to be effective with respect to that dividend or
distribution. A notice which is not received by that time will be effective only with
respect to subsequent dividends and distributions. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Stockholders who do not participate in the Plan will receive all distributions in cash
paid by check in dollars mailed directly to the stockholder by the Transfer Agent, as
dividend paying agent.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">Shares Held by a Nominee</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">If your shares are held in the name of a brokerage firm, bank, or other nominee as
the stockholder of record, please consult your nominee (or any successor nominee) to
determine whether it is participating in the Plan on your behalf. Many nominees are
generally authorized to receive cash dividends unless they are specifically instructed
by a client to reinvest. If you would like your nominee to participate in the Plan on
your behalf, you should give your nominee instructions to that effect as soon as
possible.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">Pricing of Dividends and Distributions</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">If the market price per share on the payment date for the dividend or distribution
(the &quot;Valuation Date&quot;) equals or exceeds net asset value per share on that date, the
fund will issue (i) shares of the fund's common stock that are issued but not
outstanding (&quot;Treasury Stock&quot;) to the extent shares of Treasury Stock are available,
and then (ii) to the extent shares of Treasury Stock are not available, newly issued
shares of the fund's common stock to participants at the greater of the following on
the Valuation Date: (a) net asset value or (b)&nbsp;95% of the market price. The Valuation
Date will be the dividend or distribution payment date or, if that date is not a
New&nbsp;York Stock Exchange trading date, the next preceding trading date. If the net
asset value exceeds the market price of fund shares at such time, the Plan Agent will
use the dividend or distribution (less each participant's pro rata share of brokerage
commissions) to buy fund shares in the open market for the participants' account.
Such purchases will be made on or shortly after the payment date for such dividend
or distribution, and in no event more than 45 days after such date except where
temporary curtailment or suspension of purchase is necessary to comply with federal
securities law. In either case, for Federal income tax purposes, the stockholder receives
a distribution equal to the market value on the Valuation Date of new shares issued.
State and local taxes may also apply. If the fund should declare an income dividend or
net capital gains distribution payable only in cash, the Plan Agent will, as agent for
the participants, buy fund shares in the open market, on the New York Stock
Exchange or elsewhere, for the participants' account on, or shortly after, the payment
date.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">Voluntary Cash Purchases</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Participants in the Plan have the option of making additional cash payments to the
Transfer Agent, semiannually, in any amount from $100 to $3,000, for investment in
the fund's shares. The Plan Agent will use all such monies received from participants
to purchase fund shares in the open market on or about February 15 and August 15.
Any voluntary cash payments received more than 30 days prior to these dates will be
returned by the Transfer Agent, and interest will not be paid on any uninvested cash
payments. To avoid unnecessary cash accumulations, and also to allow ample time for
receipt and processing by the Transfer Agent, it is suggested that participants send in
voluntary cash payments to be received by the Transfer Agent approximately ten days
before February 15, or August 15, as the case may be. A participant may withdraw a
voluntary cash payment by written notice, if the notice is received by the Transfer
Agent not less than 48 hours before such payment is to be invested.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">Participant Plan Accounts</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The Transfer Agent maintains all participant accounts in the Plan and furnishes
written confirmation of all transactions in the account, including information needed
by participants for personal and tax records. Shares in the account of each plan
participant will be held by the Transfer Agent in non-certificated form in the name of
the participant, and each participant will be able to vote those shares purchased
pursuant to the Plan at a stockholder meeting or by proxy. </FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">No Service Fee to Reinvest</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">There is no service fee charged to participants for reinvesting dividends or
distributions from net realized capital gains. The Plan Agent's and/or Transfer Agent's
fees for the handling of the reinvestment of dividends and capital gains distributions
will be paid by the fund. There will be no brokerage commissions with respect to
shares issued directly by the fund as a result of dividends or capital gains distributions
payable either in stock or in cash. However, participants will pay a pro rata share of
brokerage commissions incurred with respect to the Plan Agent's open market
purchases in connection with the reinvestment of any dividends or capital gains
distributions.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">Costs for Cash Purchases</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">With respect to purchases of fund shares from voluntary cash payments, each
participant will be charged $0.75 for each such purchase. Each participant will pay a
pro rata share of brokerage commissions incurred with respect to the Plan Agent's
open market purchases of fund shares in connection with voluntary cash payments
made by the participant.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Brokerage charges for purchasing small amounts of stock for individual accounts
through the Plan are expected to be less than the usual brokerage charges for such
transactions, because the Plan Agent will be purchasing stock for all participants in
blocks and pro-rating the lower commission thus attainable.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">Amendment or Termination</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">The fund reserves the right to terminate the Plan. Notice of the termination will be
sent to the participants of the Plan at least 30 days before the record date for a
dividend or distribution. The Plan also may be amended by the fund, but (except
when necessary or appropriate to comply with applicable law, rules or policies of a
regulatory authority) only by giving at least 30 days' written notice to participants in
the Plan.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">A participant may terminate his account under the Plan by written notice to the
Transfer Agent. If the written notice is received 10 days before the record day of any
distribution, it will be effective immediately. If received after that date, it will be
effective as soon as possible after the reinvestment of the dividend or distribution.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">If a participant elects to sell his shares before the Plan is terminated, the Plan Agent
will deduct a $2.50 fee plus brokerage commissions from the sale transaction.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000">Transfer Agent Address and Telephone Number</FONT></B>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">You may obtain more detailed information by requesting a copy of the Plan from the
Transfer Agent. All correspondence (including notifications) should be directed to:
The Korea Fund Dividend Reinvestment and Cash Purchase Plan, c/o DWS Scudder
Investments Service Company, P.O. Box 219066, Kansas City, MO 64121-9066,
1-800-294-4366. </FONT>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION1B0"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="smr" ID="smr"></A>Stockholder Meeting Results</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><FONT COLOR="#000000">The Annual Meeting of Stockholders (the &quot;Meeting&quot;) of The Korea Fund, Inc.
(the &quot;fund&quot;), was held on December 14, 2005, at the offices of Deutsche
Investment Management Americas Inc. (part of Deutsche Asset Management),
345 Park Avenue, New York, NY 10154. At the Meeting, the candidate
nominated for election as Director, Mr. Kesop Yun, was reelected as a Class II
Director of the fund.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">1.        To elect one Director of the fund to hold office for a term of three years
and until his successor shall have been duly elected and qualified:</FONT>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_1">
<TR CLASS="CLASS_3">
<TD CLASS="CLASS_53" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
<TD CLASS="CLASS_18" ALIGN="CENTER" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Number of Votes:</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_101" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><B><FONT SIZE="-2" COLOR="#000000">Director</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_101" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">For</FONT></B>
</P>
</TD>
<TD CLASS="CLASS_101" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><B><FONT SIZE="-2" COLOR="#000000">Withheld</FONT></B>
</P>
</TD>
</TR>

<TR CLASS="CLASS_2">
<TD CLASS="CLASS_101" ALIGN="LEFT" VALIGN="BOTTOM">
<P ALIGN="LEFT"><FONT SIZE="-2" COLOR="#000000">Kesop Yun</FONT>
</P>
</TD>
<TD CLASS="CLASS_101" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><FONT SIZE="-2" COLOR="#000000">22,627,926</FONT>
</P>
</TD>
<TD CLASS="CLASS_101" ALIGN="CENTER" VALIGN="BOTTOM">
<P ALIGN="CENTER"><FONT SIZE="-2" COLOR="#000000">583,285</FONT>
</P>
</TD>
</TR>


</TABLE>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION1A0"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="ima" ID="ima"></A>Investment Management Agreement
Approval</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="TOP" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="TOP" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<H2 ALIGN="LEFT"><FONT COLOR="#000000">Board Considerations</FONT></H2>
<P ALIGN="LEFT"><FONT COLOR="#000000">On July 6, 2005, the Board approved the continuance of the Investment
Advisory, Management and Administration Agreement with DeAM as the
Fund's manager effective as of October 1, 2005. In December 2004, the Board
commenced a comprehensive review of the Fund's current investment
management arrangements with DeAM, including consideration of possible
alternative managers for the Fund. The Board's review included engaging an
independent consultant to advise the Board while conducting a request for
proposals process for potential new managers for the Fund. In June 2005, the
Board announced that the Directors had unanimously agreed to continue the
Fund's relationship with its current manager, and in July 2005, the Board took
formal action to continue the existing Investment Advisory, Management and
Administration Agreement.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">In reaching this decision, the Board was encouraged by the new investment
team responsible for managing the Fund and the anticipated changes in
investment process. The Board also expressed its intention to monitor the
progress of the new management team and the results of its investment
process, recognizing that the Board would have the opportunity to review
these arrangements again in 2006.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">In reaching its decision to continue its relationship with DeAM and to renew
the Investment Advisory, Management and Administration Agreement, the
Board considered the following factors, among others:</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  The advisory fees paid by the Fund were substantially reduced and the
overall scope of services provided to the Fund and the standard of care
applicable to those services was unchanged. Effective December 1, 2004, the
Board approved a reduction in the fees payable to DeAM. Previously, the
annual management fee had ranged from 1.15% on the first $50 million of
net assets to 0.85% of net assets over $1.050 billion. Under the amended
advisory agreement, the management fee ranges from 0.60% on the first
$250 million of net assets to 0.50% of net assets in excess of $1 billion. On
the Fund's current assets, this represents an overall reduction of
approximately 45% in the management fee.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  The Fund's proposed tender offer for up to 50% of its outstanding shares.
The Board also considered fees paid by DeAM under the Investment
Advisory and Management Agreement in light of the services DeAM will
continue to provide and its estimated costs of providing such services and
concluded that such fees are fair and reasonable. The Board noted that the
reduction in management fees and the tender offer would substantially
reduce DeAM's profitability in providing advisory services to the Fund.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  The resources and operations of DeAM, including the experience and
professional qualifications of DeAM personnel that would be providing
compliance and other services to the Fund. The Board noted that, pursuant
to the Investment Advisory, Management and Administration Agreement,
DeAM will continue to provide the same services that it currently provides. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  With regard to the Investment Advisory, Management and Administration
Agreement, the Board considered that its terms, as discussed above (other
than lower fee rates) are substantially identical to the terms of the previous
Investment Advisory, Management and Administration Agreement. The
Board concluded that any existing economies of scale enjoyed by DeAM
were properly reflected in the reduced fee arrangements, and that in light of
the Fund's closed-end structure there were limited opportunities for future
material asset growth. In particular, the Board considered the Fund's tender
offer for up to 50% of the Fund's outstanding shares that was expected to
reduce the Fund's assets. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  The investment performance of the Fund and DeAM, both absolute and
relative to various benchmarks and industry peer groups. In this regard, the
Board observed that the Fund had outperformed its benchmark in each of
the three month, six month, one year and five year periods ended June 30,
2005. The Board also observed that the Fund had performed well relative to
other funds in its Lipper peer group, including second quartile performance
for the year ended December 31, 2004.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  DeAM's personnel (including particularly those personnel with
responsibilities for providing services to the Fund), resources, policies and
investment processes. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  The nature, scope and quality of the services provided by DeAM to the
Fund. In this regard, the Board considered, among other things, that the
types of services to be provided under the previous Investment Advisory,
Management and Administration Agreement were comparable to those
typically found in agreements of such type. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  The costs of the services to, and profits realized by, DeAM and its affiliates
from their relationships with the Fund. In this regard, the Board considered
that DeAM's future profitability would likely be lower than its estimated
historic profitability as a result of the reduction in the Fund's investment
management fee and reduction in the Fund's assets as a result of the tender
offer noted above. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  The investment management fee rates paid to DeAM relative to those
payable for similar institutional accounts advised by DeAM, including
differences in the scope of services typically provided to mutual funds
relative to institutional accounts. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  The practices of DeIM regarding the selection and compensation of brokers
and dealers executing portfolio transactions for the Fund, including DeIM's
soft dollar practices. In this regard, the Board observed that DeIM had
voluntarily terminated the practice of allocating brokerage commission to
acquire research services from third-party service providers. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000"><FONT SIZE="-2"></FONT>  DeIM's commitment to and record of compliance, including its written
compliance policies and procedures. In this regard, the Board considered the
significant attention and resources dedicated by DeIM to documenting and
enhancing its compliance processes in recent years. The Board noted in
particular (i) the experience and seniority of DeIM's chief compliance
officer, who reports to the Board; (ii) the large number of compliance
personnel who report to DeIM's chief compliance officer; and (iii) the
substantial commitment of resources by DeAM to compliance matters.</FONT>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="TOP"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION190"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000"><A NAME="ps" ID="ps"></A>Privacy Statement</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT"><FONT COLOR="#000000">This privacy statement is issued by DWS Scudder Distributors, Inc., Deutsche
Investment Management Americas, Inc., Deutsche Asset Management, Inc.,
Investment Company Capital Corporation, DeAM Investor Services, Inc., DWS
Trust Company and the DWS Funds, including The Brazil Fund, Inc. and The
Korea Fund, Inc.</FONT>
</P>
<P ALIGN="LEFT"><B><FONT COLOR="#000000"><FONT SIZE="-1">We never sell customer lists or individual client information. We consider
privacy fundamental to our client relationships and adhere to the policies
and practices described below to protect current and former clients'
information.</FONT> </FONT></B><FONT COLOR="#000000">Internal policies are in place to protect confidentiality, while allowing
client needs&nbsp;to&nbsp;be served. Only individuals who need to do so in carrying out their
job responsibilities may access client information. We maintain physical, electronic
and procedural safeguards that comply with federal and state standards to protect
confidentiality. These safeguards extend to all forms of interaction with us, including
the Internet.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">In the normal course of business, clients give us nonpublic personal information on
applications and other forms, on our websites, and through transactions with us or
our affiliates. Examples of the nonpublic personal information collected are name,
address, Social Security number and transaction and balance information. To be able
to serve our clients, certain of this client information is shared with affiliated and
nonaffiliated third party service providers such as transfer agents, custodians, and
broker-dealers to assist us in processing transactions and servicing your account with
us. In addition, we may disclose all of the information we collect to companies that
perform marketing services on our behalf or to other financial institutions with
which we have joint marketing agreements. The organizations described above that
receive client information may only use it for the purpose designated by the
companies listed above.</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">We may also disclose nonpublic personal information about you to other parties as
required or permitted by law. For example, we are required or we may provide
information to government entities or regulatory bodies in response to requests for
information or subpoenas, to private litigants in certain circumstances, to law
enforcement authorities, or any time we believe it necessary to protect the firm. </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">Questions on this policy may be sent to: </FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">DWS Scudder<BR>
Attention: Correspondence &#151; Chicago<BR>
P.O. Box 219415<BR>
Kansas City, MO 64121-9415</FONT>
</P>
<P ALIGN="LEFT"><FONT COLOR="#000000">February 2006</FONT>
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="BOTTOM"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION180"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Notes</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT">
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="BOTTOM"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION170"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Notes</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT">
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="BOTTOM"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION160"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Notes</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT">
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="BOTTOM"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION150"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Notes</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT">
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="BOTTOM"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION140"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Notes</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT">
</P>
<TABLE BORDER="1" CELLPADDING=0 CELLSPACING=0 CLASS="CLASS_8">
<TR CLASS="CLASS_4">
<TD ALIGN="LEFT" VALIGN="BOTTOM"><IMG SRC="new_section.gif" ALT="kor_NEW_SECTION130"></TD>
<TD CLASS="CLASS_141" ALIGN="LEFT" VALIGN="BOTTOM">
<H1 CLASS="CLASS_9" ALIGN="LEFT"><FONT COLOR="#000000">Notes</FONT></H1>
</TD>
</TR>

<TR CLASS="CLASS_5">
<TD CLASS="CLASS_139" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>

<TR CLASS="CLASS_4">
<TD CLASS="CLASS_137" ALIGN="RIGHT" VALIGN="BOTTOM" COLSPAN="2">
<P ALIGN="RIGHT"><I><FONT SIZE="-2" COLOR="#000000">&nbsp;</FONT></I>
</P>
</TD>
</TR>


</TABLE>
<P ALIGN="LEFT">
</P>
<P ALIGN="LEFT"><IMG SRC="kor_backcover0.gif" ALT="kor_backcover0">
</P>






<div style='width:600;'>



<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="248" style='border-collapse:collapse'>
    <tr >
        <td width="16" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>ITEM 2.</font></B></p> </td>
        <td width="136" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>CODE OF ETHICS.</font></B></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="196" style='border-collapse:collapse'>
    <tr >
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="100" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Not applicable.</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="402" style='border-collapse:collapse'>
    <tr >
        <td width="16" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>ITEM 3.</font></B></p> </td>
        <td width="291" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>AUDIT COMMITTEE FINANCIAL EXPERT.</font></B></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="196" style='border-collapse:collapse'>
    <tr >
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="100" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Not applicable.</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="445" style='border-collapse:collapse'>
    <tr >
        <td width="16" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>ITEM 4.</font></B></p> </td>
        <td width="333" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>PRINCIPAL ACCOUNTANT FEES AND SERVICES.</font></B></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="196" style='border-collapse:collapse'>
    <tr >
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="100" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Not applicable.</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="437" style='border-collapse:collapse'>
    <tr >
        <td width="16" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>ITEM 5.</font></B></p> </td>
        <td width="325" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>AUDIT COMMITTEE OF LISTED REGISTRANTS</font></B></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="197" style='border-collapse:collapse'>
    <tr >
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="101" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Not Applicable</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="326" style='border-collapse:collapse'>
    <tr >
        <td width="16" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>ITEM 6.</font></B></p> </td>
        <td width="215" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>SCHEDULE OF INVESTMENTS</font></B></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="197" style='border-collapse:collapse'>
    <tr >
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="101" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Not Applicable</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='margin-left:0pt;border-collapse:collapse'>
    <tr >
        <td width="96" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>ITEM 7. </font></B></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.</font></B></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="196" style='border-collapse:collapse'>
    <tr >
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="100" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Not applicable.</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='margin-left:0pt;border-collapse:collapse'>
    <tr >
        <td width="96" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>ITEM 8. </font></B></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.</font></B></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="196" style='border-collapse:collapse'>
    <tr >
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="100" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Not applicable.</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>
<br>
<HR noshade align="center" width="100%" size="2">

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>



<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="96" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>ITEM 9. </font></B></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS</font></B></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="745" style='margin-left:4.65pt;border-collapse:collapse'>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><b><font size=2>Korea Fund</font></b></p> </td>
        <td width="120" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="168" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="144" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="120" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="168" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="144" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td  nowrap colspan="2" valign=bottom style='padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Item 9 of Form N-CSR - Repurchase Disclosure</font></p> </td>
        <td width="96" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="168" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="144" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="120" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="168" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="144" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style='border-top:solid black 1.0pt; border-left:solid black 1.0pt;border-bottom:none;border-right:none;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="120" nowrap valign=bottom style='border:solid black 1.0pt;border-color:gray; border-bottom:none;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(a)</font></p> </td>
        <td width="96" nowrap valign=bottom style='border-top: solid black 1.0pt;padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(b)  </font></p> </td>
        <td width="168" nowrap valign=bottom style='border:solid black 1.0pt;border-color:gray; border-bottom:none;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(c)</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-top:solid black 1.0pt; border-left:none;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(d)  </font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style=' border-left:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="120" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Total Number of</font></p> </td>
        <td width="96" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Average Price </font></p> </td>
        <td width="168" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Total Number of </font></p> </td>
        <td width="144" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Maximum Number of</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style=' border-left:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Period</font></p> </td>
        <td width="120" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Shares Purchased*</font></p> </td>
        <td width="96" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Paid per Share</font></p> </td>
        <td width="168" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Shares Purchased as</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Shares that May Yet Be</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style=' border-left:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="120" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="168" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Part of Publicly Announced</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Purchased Under the</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:solid black 1.0pt; border-right:none;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="120" nowrap valign=bottom style='border:solid black 1.0pt;border-color:gray; border-top:none;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=bottom style='border-bottom: solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="168" nowrap valign=bottom style='border:solid black 1.0pt;border-color:gray; border-top:none;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Plans or Programs</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-top:none; border-left:none;border-bottom:solid black 1.0pt;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Plans or Programs</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style=' border-left:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="120" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=bottom style='padding:0in 5.4pt 0in 5.4pt; height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="168" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style=' border-left:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>July 1 through July 31, 2005</font></p> </td>
        <td width="120" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>0</font></p> </td>
        <td width="96" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>$0.0</font></p> </td>
        <td width="168" nowrap valign=bottom style=' border-right:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>n/a</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>n/a</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style=' border-left:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>August 1 through August 31</font></p> </td>
        <td width="120" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>14,737,788</font></p> </td>
        <td width="96" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>$31.1860</font></p> </td>
        <td width="168" nowrap valign=bottom style=' border-right:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>14,737,788</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>0</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style=' border-left:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>September 1 through September 30</font></p> </td>
        <td width="120" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>0</font></p> </td>
        <td width="96" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>$0.0</font></p> </td>
        <td width="168" nowrap valign=bottom style=' border-right:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>n/a</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>n/a</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style=' border-left:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>October 1 through October 31</font></p> </td>
        <td width="120" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>0</font></p> </td>
        <td width="96" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>$0.0</font></p> </td>
        <td width="168" nowrap valign=bottom style=' border-right:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>n/a</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>n/a</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style=' border-left:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>November 1 through November 30</font></p> </td>
        <td width="120" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>0</font></p> </td>
        <td width="96" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>$0.0</font></p> </td>
        <td width="168" nowrap valign=bottom style=' border-right:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>n/a</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>n/a</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style=' border-left:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>December 1 through December 31</font></p> </td>
        <td width="120" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:none;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>0</font></p> </td>
        <td width="96" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>$0.0</font></p> </td>
        <td width="168" nowrap valign=bottom style=' border-right:solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>n/a</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-right: solid black 1.0pt;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>n/a</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:solid black 1.0pt; border-right:none;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="120" nowrap valign=bottom style='border:solid black 1.0pt;border-color:gray; border-top:none;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=bottom style='border-bottom: solid black 1.0pt; padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="168" nowrap valign=bottom style='border:solid black 1.0pt;border-color:gray; border-top:none;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-top:none; border-left:none;border-bottom:solid black 1.0pt;border-right:solid black 1.0pt;  padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>&nbsp;</font></p> </td> </tr>
    <tr style='height:15.75pt'>
        <td width="217" nowrap valign=bottom style='border-top:none; border-left:solid black 1.0pt;border-bottom:solid black 1.0pt; border-right:none;padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Total </font></p> </td>
        <td width="120" nowrap valign=bottom style='border:solid black 1.0pt;border-color:gray; border-top:none;padding: 0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>14,737,788</font></p> </td>
        <td width="96" nowrap valign=bottom style='border-top:none; border-left:none;border-bottom:solid black 1.0pt;border-right:solid black 1.0pt;   padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>$31.1860</font></p> </td>
        <td width="168" nowrap valign=bottom style='border-top:none; border-left:none;border-bottom:solid black 1.0pt;border-right:solid black 1.0pt;   padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>14,737,788</font></p> </td>
        <td width="144" nowrap valign=bottom style='border-top:none; border-left:none;border-bottom:solid black 1.0pt;border-right:solid black 1.0pt;   padding:0in 5.4pt 0in 5.4pt;height:15.75pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:center;margin-top:0pt;margin-bottom:0pt'><font size=2>0</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font face="Arial" size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="36" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>*</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>14,737,788 shares were tendered in exchange for a pro rata portion of the Fund&#146;s portfolio securities pursuant to a tender offer, which commenced on July 8, 2005, and expired on August 19, 2005.  The Fund had approved the tender offer for up to 22,350,747 of its issued and outstanding shares.  These shares represent approximately 33% of the Fund's outstanding shares.</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:0.38in; text-indent:-0.38in;text-align:left;'><font size=2>&nbsp;</font></p>
<br>
<HR noshade align="center" width="100%" size="2">

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>



<table border="0" cellspacing=0 cellpadding=0 width="549" style='border-collapse:collapse'>
    <tr >
        <td width="16" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>ITEM 10.</font></B></p> </td>
        <td width="437" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.</font></B></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>The Committee on Independent Trustees/Directors selects and nominates Independent Trustees/Directors.  Fund shareholders may also submit nominees that will be considered by the committee when a Board vacancy occurs.  Submissions should be mailed to the attention of the Secretary of the Fund at 345 Park Avenue New</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>York, NY 10154</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="337" style='border-collapse:collapse'>
    <tr >
        <td width="16" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>ITEM 11.</font></B></p> </td>
        <td width="225" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>CONTROLS AND PROCEDURES.</font></B></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(a) </font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>The Chief Executive and Financial Officers concluded that the Registrant's Disclosure Controls and Procedures are effective based on the evaluation of the Disclosure Controls and Procedures as of a date within 90 days of the filing date of this report.</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:0.5in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(b) </font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>There have been no changes in the registrant's internal control over financial reporting that occurred during the registrant's last half-year (the registrant's second fiscal half-year in the case of the annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal controls over financial reporting.</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="198" style='border-collapse:collapse'>
    <tr >
        <td width="16" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="96" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>ITEM 12.</font></B></p> </td>
        <td width="87" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><B><font SIZE=2>EXHIBITS.</font></B></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(a)(1)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT.</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:0.5in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(b)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)) is furnished and attached hereto as Exhibit 99.906CERT.</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


</div>




<div style='width:600;'>



<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>Form N-CSR Item F</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><font size=3>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:center;'><B><font SIZE=3>SIGNATURES</font></B></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='margin-left:0pt;border-collapse:collapse'>
    <tr >
        <td width="192" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Registrant: </font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>The Korea Fund, Inc.</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="349" style='border-collapse:collapse'>
    <tr >
        <td width="192" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>By:</font></p> </td>
        <td  nowrap colspan="2" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><u><font size=2>/s/Vincent J. Esposito</font></u></p> </td> </tr>
    <tr >
        <td width="192" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="143" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Vincent J. Esposito</font></p> </td>
        <td  width="15">
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:1.5in; text-indent:0.5in;text-align:left;'><font size=2>President</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="305" style='border-collapse:collapse'>
    <tr >
        <td width="192" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Date:</font></p> </td>
        <td width="113" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>March 2, 2006</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=3>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='margin-left:0pt;border-collapse:collapse'>
    <tr >
        <td width="192" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Registrant: </font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>The Korea Fund, Inc.</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="349" style='border-collapse:collapse'>
    <tr >
        <td width="192" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>By:</font></p> </td>
        <td  nowrap colspan="2" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><u><font size=2>/s/Vincent J. Esposito</font></u></p> </td> </tr>
    <tr >
        <td width="192" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="143" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Vincent J. Esposito</font></p> </td>
        <td  width="15">
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:1.5in; text-indent:0.5in;text-align:left;'><font size=2>President</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="305" style='border-collapse:collapse'>
    <tr >
        <td width="192" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Date:</font></p> </td>
        <td width="113" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>March 2, 2006</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="315" style='border-collapse:collapse'>
    <tr >
        <td width="192" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>By:</font></p> </td>
        <td  nowrap colspan="2" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><u><font size=2>/s/Paul Schubert</font></u></p> </td> </tr>
    <tr >
        <td width="192" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="108" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Paul Schubert</font></p> </td>
        <td  width="15">
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:1.5in; text-indent:0.5in;text-align:left;'><font size=2>Chief Financial Officer and Treasurer</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="305" style='border-collapse:collapse'>
    <tr >
        <td width="192" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Date:</font></p> </td>
        <td width="113" nowrap valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>March 2, 2006</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


</div>



</body>
</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>2
<FILENAME>kor_backcover0.gif
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 kor_backcover0.gif
M1TE&.#EADP%T`N<!`````/____?W]^_O[]_?W[^_OW]_?T!`0$Q,3```_P``
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M`````````````````/___RP`````DP%T`D`(_@`#"!Q(L*#!@P@3*ES(L*'#
MAQ`C2IQ(L:+%BQ@S:MS(L:/'CR!#BAQ)LJ3)DRA3JES)LJ7+ES!CRIQ)LZ;-
MFSASZMS)LZ?/GR0!`$TH=*C1HTA[%ET)H*G3@TZ7(I2:M*K5JRJI3GQ:L:E%
MK5C#BAV+$:Q!KV"C;O7ZE:S;MW`=FAW(UBS:@E&YXA6J->_<`'_C"AY\-?!"
MJ7/UT@7,^*Q<PI`C8S6<%Z]`OA*7IE5+5++GST`-*ZR\=33COZ)!JUZ=M27:
MU)U9RYY-N[;MV[ASZ][-N[?OW\"#"Q].O+CQX\B3*U_.O+GSY]"C2Y].O;KU
MZ]BS:]_.O;OW[^##_HL?3[Z\^?/HTZM?S[Z]^_?PX\N?3[^^_?OX\^O?S[^_
M__\`!BC@@`06:."!"":HX((,-NC@@Q!&*.&$%%9HX8489JCAAAQVZ.&'((8H
MXH@DEFCBB2BFJ.**9RG&HH&(O;@@;#*"YB)IEEU6%%N.!:5CC;C=R"-=/&J&
M8XY`VF<D9P35E1&322+G%Y,T_EC6:4A&:=N1CST$Y5<N:AG<E#AJ=EE)?HE)
MW)0W#=FDFIYQ^66+8<ZY5Y5060F5FW!Z.2=??([$Y9UD%CK:EW9F!IA=>/:Y
M6&,Y!AI4HAP-ZFAHEDJ*4IH:67JI46'N5.BHAGYJZJFHIJKJJJRVZNJK_K#&
M*NNLM'K8:*=O=E6K8+?6U.NN/%&V:)[#PL8I1;\"JY.PPV9):)UZWGF8LF\E
MNRAJ?%I[)K5D":OI5,<Z*RZQW(H56(RQ082970UI6^Y,[GX4;H_O3F9OO?CF
MJ^^^_/;K[[\`!RSPP`07;/#!"">L\,(,-^SPPQ!'+/'$%%=L\<489ZSQQAQW
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M[TYYEKM_GWKW\$.N?U+T6YQK;J>][!5F=`A,H`(7R,`&.O"!$(R@!"=(P0I:
M\((8S*`&-\C!#GKP@R`,H0A'2,(2FO"$*$RA"E?(PA:Z\(4PC*$,9TC#&MKP
MACC,H0YWR,,>^O"'_D`,HA"'2,0B&O&(2$RB$I?(Q"8Z\8E0C*(4ITC%*EKQ
MBEC,HA:WR,4N>O&+8`RC&,=(QC(>#7%F3*,:+W:_-;I154-CD]C@-C;AU<QM
M@"M2I,:&/9I1J4YZ5-=&UH4_GH5+3E,AEK;8UD:4-;*/U"-AV_B6-?$)RHZJ
MDR.DUH?&0SDO9VU3WO7BUY7DW?%JK@/<GCKYI,UA#6[.6R2@+!/`B4V2:]NJ
M';U:F4C^63!>A*13+46$R:.@LBRL7*4I935*F#`REMEZW#)UETQ3,:J:\HNF
M^D+5.%F^+U^/O"33;IFW3`$S+=QJYDG"UQ%VIF^.U!MFB-29$G<>3I[X_NH:
MO,*)O&E:#)LZX^=A!%JQS?A3<`2M'C[]I:D=+529Y!S5RKZ5T#=:]*(8S:A&
M-\K1CGKTHR`-J4A'2M*2FO2D*$VI2E?*TK%$]*4PC>E#*3;30?X/*3656$YY
M:4#314M1Q',-[6ZZ3GC&<WI>V^F5@FH3AT*MI\C:GOQ\.2Y#PFLO78)JXDB)
M/G)1E*A:V\Q/D5I`PWG+>I!\)U-+$S3OI<NL_FNK7.P4S*BN-7V(-*K_J*I7
MJY*5EGUA'%>-!=8^TDB3R-NK5I7IU<3UI:]\]6LIP?>GA"I5;O<4*Z,BJ=;%
M[A*O`S7H_`J;UBY],EM?^ZMD#\593R+*GE4%_F57P]JH8D;VLTUC'J((F!E)
MD8^T7P,H9<6J6+@.;WA<6Q]P!=G/R;6VM*L%*K(\%;OE#E"JN+5:3O29W>A>
MUZZ>U=F9\G=7IW'52]8U6B9ERM[V(K:E\(VO?.=+W_K:][[XS:]^]\O?_OKW
MOP`.L(`'3.`"&_C`"$ZP@A?,X`8[^,$0CK"$)TSA"EOXPAC.L(8WS.$.>_C#
M(`ZQB$=,XA*;^,0H3K&*5\SB%KOXQ3".L8QG3.,:V_C&.,ZQCG?,XQ[[^,=`
M#K*0ATSD(AOYR$A.LI*7S.0F._G)4(ZRE*=,Y2I;^<I8SK*6M\SE+GOYRV`.
MLYC'3.8RF_G,:$ZS_IK7S.8VN_G-<(ZSG.=,YSK;^<YXSC-.(:OG"EW6@68"
M8D57..@^!XB[AO:S$.EI0^&>3)N]9.X&E2986$)3)'\[8Y&>MDGJ.OISKT6,
M7JIT4+P6NFQN`F2@'Y682:<:TMT;Y:=_%-A9SZY4FLRC)Z<J3$/F>FC8:V@M
M_PPQ2N)V=8^]K2N;J\'W/C6U:+I1;D,9:433$9G<+'7*;AELV*XEDL3^)Y4Z
MN[5::WNBI"IM`/%HZ_:1L[NM;B?F."W*4^\ZW`VC=[JLC=VE[LEJQ\R5*H,W
MRWGGNMMO1:B]'7GP?MH4H@"?)*NO#2YL[_IF`:^V;:%-S6SC.V`+#^BKW[\9
M*V_;:)$_Y<K'*13RK.A[NKR4Z[N<"D!JE[6L*^_0QO>IF'F]EW+T._>G<AY<
MA89VY+\5)[5V"]U)J1IZYF9?IJ6UJXVW?*X>ASK$*Q[MYRK+Y!WW;=PH=75:
M4K;JYAQFX&+J6E6VFVI"3UO!N3?L;L+TZ*+^]-3%]W89,3K:<7<LT5$=^.8.
MGE5E+V7AH7[X5?D\\6W_'=@QN_AV)A[R`_/YM0A>>:,[4E0AQ_S!1)O3R1/J
K\YNOGM<=-VO1=\Z]9D.]M'591]AW/M&XS[WN=\_[WOO^]\`/OO#A%!``.S\_
`
end
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>3
<FILENAME>kor_psi20.gif
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 kor_psi20.gif
M1TE&.#EA5P%D`.<!`````/____?W]^_O[]_?W[^_OW]_?T!`0#,`V0``_P``
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M`````````````````/___R'Y!`$```$`+`````!7`60`0`C^``,('$BPH,&"
M```(5+@P@,*'#@]*G$BQHL6+&#-JW,BQH\>/($.*'$E2),.2*%-.1,"RI<N6
M*F/*G$FSILV!)V^6?,D3YL6>/'4*'4JT*,V<1CT"#?ISJ<^D4*-*E9BP*L:<
M#*TB13BUHU.7&+^R[$JV;-&J6V6F-2M1[-BF7]G*G:LRH<.U*?'2%>@605BQ
M1=WN%=IW<$6]>PO#=1H8\%#%%B%3E!SR).*#EAM2O!Q`\&+&AMMZ#DVZ]$?.
MHRM2-KW:M.O75!^G=MT:MFW8G'?.OLV[M^_?P(,+)ZDULV;$N8<K7\Z<8_+F
MNYM+M_V\;&V#T:=K+UV=[/6"V;?^B\^(MGM'\U._$PP_OKU9]%+5#V3OGJW\
MO?"CWN_L6'9<__]%1A]?`Y*'TT80)7B8;?L5F)*#]S58X'X68743:OVIYJ!<
M%-;G884`@@9;AQ^6B%F(2YFHHG!966C5@BO&*"-Q!"EX%T0SYJCC7/D!M^&.
M0&K4XV\_!FDDC"86>>22!@UIE(0!,BFED`Q"F.&46"))FY519BDCCA&!&=N(
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MK-S`/Q5YTC?Q+MK@;:.^$+U'-?^6\*1'K_RHU/MN/=>HUIOKX>%#'VKZZF_K
M^[#5B[NI@06O6;ODT[]/-_O#Y_]^A!C#WE52EZH;J>V`"$R@`A?(P`8Z\($0
MC*`$)TC!"EKP@@RL4./RUKOVN0]_I+'>Q!S&0?]Y<%G?:U8*1_8YVCVO?R8\
MX6!$6#B3:`YYR2N>=:17P_*]L'M=,81A"'G80P.]3H?>(6(1+S(W&AY1?TL$
M'8IDF!@E1O%\WEOA%8W41"MNL3Y=U.(7=Q1&)(YQ266$XAFUPR\;87&-.)O7
:L7`B1SK.#XY$2Y.^5H?'/OKQCX#,44```#L_
`
end
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>4
<FILENAME>new_section.gif
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 new_section.gif
M1TE&.#EA%0`7`.<!`````/____?W]^_O[]_?W[^_OW]_?T!`0#,`V0``_P``
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M`````````````````/___R'Y!`$```$`+``````5`!<`0`A4``,('$BPH,$`
M"!`43(CPH,.'$!$FG`B1X4.*$3->M*B1XT"%%0F"%.CQ(\:%$T=J7,GR8DN2
@*5ER+'FP)$V4"S^ZC"F2YDF#/$VF'!KTI=&C&0,"`#L_
`
end
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.CERT
<SEQUENCE>5
<FILENAME>cert-kor.htm
<DESCRIPTION>CERTIFICATION
<TEXT>
<HTML>
<HEAD>
<TITLE> </TITLE>
</HEAD>
<BODY bgcolor="#ffffff" style='font-family:"Times New Roman"'>

<div style='width:600;'>



<p style=' margin-bottom:3pt; margin-top:12pt;text-align:right;'><img src="img1.gif"><br> <b><font face="Arial" size=4></font></b></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:3pt; margin-top:12pt;text-align:left;'><b><font size=2>President</font></b></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><b><font size=2>Form N-CSR Certification under Sarbanes Oxley Act</font></b></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>I, Vincent J. Esposito, certify that: </font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='margin-left:0pt;border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>1.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>I have reviewed this report, filed on behalf of The Korea Fund, Inc., on Form N-CSR;</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:0.5in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='margin-left:0pt;border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>2.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:0.5in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>3.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:0.5in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>4.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(a)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<pAGE>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(b)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:1in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(c)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:1in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(d)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal half-year (the registrant's second fiscal half-year in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>5.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(a)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(b)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="564" style='margin-left:5.4pt;border-collapse:collapse'>
    <tr style='page-break-inside:avoid;height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>March 2, 2006</font></p> </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><u><font size=2>/s/Vincent J. Esposito</font></u></p> </td> </tr>
    <tr style='page-break-inside:avoid;height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0in;margin-bottom:3pt'><font size=1>&nbsp;</font></p>  </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0in;margin-bottom:3pt'><font size=2>Vincent J. Esposito</font></p>  </td> </tr>
    <tr style='page-break-inside:avoid;height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:right;margin-top:0in;margin-bottom:5pt'><font size=1>&nbsp;</font></p>  </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0in;margin-bottom:5pt'><font color="#454545"><font size=2>President</font></font></p>  </td> </tr>
    <tr style='page-break-inside:avoid; height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:right;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>The Korea Fund, Inc.</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<pAGE>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:3pt; margin-top:12pt;text-align:right;'>
<img src="img2.gif"><br> <b><font face="Arial" size=4></font></b></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:3pt; margin-top:12pt;text-align:left;'><b><font size=2>Chief Financial Officer and Treasurer</font></b></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><b><font size=2>Form N-CSR Certification under Sarbanes Oxley Act</font></b></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>I, Paul Schubert, certify that: </font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>1.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>I have reviewed this report, filed on behalf of The Korea Fund, Inc., on Form N-CSR;</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:0.5in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>2.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:0.5in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>3.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:0.5in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>4.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(a)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<pAGE>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(b)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:1in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(c)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:1in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(d)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal half-year (the registrant's second fiscal half-year in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>5.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(a)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and </font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:1in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>(b)</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="564" style='margin-left:5.4pt;border-collapse:collapse'>
    <tr style='page-break-inside:avoid;height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>March 2, 2006</font></p> </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><u><font size=2>/s/Paul Schubert</font></u></p> </td> </tr>
    <tr style='page-break-inside:avoid;height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0in;margin-bottom:3pt'><font size=1>&nbsp;</font></p>  </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0in;margin-bottom:3pt'><font size=2>Paul Schubert </font></p>  </td> </tr>
    <tr style='page-break-inside:avoid;height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:right;margin-top:0in;margin-bottom:5pt'><font size=1>&nbsp;</font></p>  </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0in;margin-bottom:5pt'><font color="#454545"><font size=2>Chief Financial Officer and Treasurer</font></font></p>  </td> </tr>
    <tr style='page-break-inside:avoid; height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:right;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>The Korea Fund, Inc.</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


</div>
</BODY>
</HTML>

</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>6
<FILENAME>img1.gif
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 img1.gif
M1TE&.#EA30%``'<`,2'^&E-O9G1W87)E.B!-:6-R;W-O9G0@3V9F:6-E`"'Y
M!`$`````+`````!-`4``AP``````````,P``9@``F0``S```_P`S```S,P`S
M9@`SF0`SS``S_P!F``!F,P!F9@!FF0!FS`!F_P"9``"9,P"99@"9F0"9S`"9
M_P#,``#,,P#,9@#,F0#,S`#,_P#_``#_,P#_9@#_F0#_S`#__S,``#,`,S,`
M9C,`F3,`S#,`_S,S`#,S,S,S9C,SF3,SS#,S_S-F`#-F,S-F9C-FF3-FS#-F
M_S.9`#.9,S.99C.9F3.9S#.9_S/,`#/,,S/,9C/,F3/,S#/,_S/_`#/_,S/_
M9C/_F3/_S#/__V8``&8`,V8`9F8`F68`S&8`_V8S`&8S,V8S9F8SF68SS&8S
M_V9F`&9F,V9F9F9FF69FS&9F_V:9`&:9,V:99F:9F6:9S&:9_V;,`&;,,V;,
M9F;,F6;,S&;,_V;_`&;_,V;_9F;_F6;_S&;__YD``)D`,YD`9ID`F9D`S)D`
M_YDS`)DS,YDS9IDSF9DSS)DS_YEF`)EF,YEF9IEFF9EFS)EF_YF9`)F9,YF9
M9IF9F9F9S)F9_YG,`)G,,YG,9IG,F9G,S)G,_YG_`)G_,YG_9IG_F9G_S)G_
M_\P``,P`,\P`9LP`F<P`S,P`_\PS`,PS,\PS9LPSF<PSS,PS_\QF`,QF,\QF
M9LQFF<QFS,QF_\R9`,R9,\R99LR9F<R9S,R9_\S,`,S,,\S,9LS,F<S,S,S,
M_\S_`,S_,\S_9LS_F<S_S,S___\``/\`,_\`9O\`F?\`S/\`__\S`/\S,_\S
M9O\SF?\SS/\S__]F`/]F,_]F9O]FF?]FS/]F__^9`/^9,_^99O^9F?^9S/^9
M___,`/_,,__,9O_,F?_,S/_,____`/__,___9O__F?__S/___P$"`P$"`P$"
M`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"
M`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"
M`P$"`P$"`P$"`P$"`P$"`P$"`PC_``$('$BPH,&#"!,J7,BPH<.'$"-*G$BQ
MHL6+#A5HW,BQH\>/(#TFPDBRI,F3*%.J7,FRH`(:+Q5`B`D3YLR:,6_2E+G3
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M.+UD'P#2)0;@@@QFQ)%V#`U"&4?4`?!=@QAF2%Q-KS5$"V4X?='*0>C-IN&)
M&-)W8$'Y<42#0OVA*.-_`BKDVW,5#I1@CC/VB%QV"R4RX4;FM1:CCTA61UY,
M11Z42!;/O0BC7!KQF.25J:F8$)0=0<?0D5B&N5J-!6$SB%6*-+2CF&RJ5AI"
MBGS49$(7MFDG9J[-.="-(68DFY5W!IJ6E@4-J5$-(SJXT8J"-AH6F8[1D`"'
M7CZT(RVMN)*I*\.UQ6E*G&8*5JB<KE<0J8ZZ]"9!@_RUD6\0B?_T10TN4$D#
M%J:*-4AO>EJ4"'=S@26A7,S-^ANC=BX)TYQ0PO17#;DVU-Y?NVXT5U(U*!+M
M1;U&-`@$P9K4(@3=IO1%N2W>51"7=Y7['S:)="H1H?AYM)]$Q6&QK&*(I4E2
MN!;-JH"[$=$B4ZT##Z4(3`F=:9,+!+F2TWLGQDDPG2%V%2>5;UU\T([Y17=H
MQ(-0]^E`KM`B;WZMT$)0*R4GLJTK)1?TK90TNVR0(B5O>Y"$@#4K[T"TE#S(
MMF;6;%"G\G+Z5\H'Y>=LD<W6-&?)B:)L*LT'F9J(SA'S[+-`7`,P=*YF#CV(
MOP1A0_/:!=$"-@"MF.IV35_C^Z"J`>;_RS!!OW9(=V]9_.;*>JV`00/;"\,F
MI&?!2=G;7%E4"O-O<VDK6<?!N7!NQ+5&#FC'(^W%XN3!!79NY)\+].MO7V`A
MD(3.!A?U75AT/%PK6;Q&PTQ=8<&KX;,K+N'D7X"-.G=-?E%X#3402-#J<\4N
M$#;.8_%X<(D,2]=NRTL)@!>]"<FK>0L[ZSFR)'+H<40E5CM3H2^9)K5S7K8R
MTQ>F8J'1YJ^"3KWJEQY3(28_7@):>RCCE%;4I'`:<=>R`-"J@:$E9#>*GF1N
M8A<(.*8N-<%"*^9B+0VR2`$N$)*Z`*#"<[5+('^!37IFAZV84.Q^E.F*"F'B
M`@C,)('IT=<+_Q%T*(Y`[T8)8V'5("B^5^6$!MB;D&_89Q!"5>4L0A0?<8)5
M$[(5L(*#2!1W/`@O`NGP)0#`AID6-Z(NFHTN`O%"QQ)5`\'5I%-<4LA;KI=#
M'27`-&::"\W>DH6N%&XX7TA`I2Q4'Q8F$CK8R-I`S@0=N:01.-CH(X):!ZP/
MZ@:&@IM5\@3BQD>Z#EB2$UP%"=%&C:0I3OLCY?S,)A/VU,`+H(1D!;.0J-[5
M8!"8@E^()%D2D/V/?B^"(.4`X*PW)A$`>73,,5GH&<?AL6,$N1<SGPD3[<Q0
M,ODY4+UJT*DS/9-+CSF<0-!YKL.MQP4O,<]&@(*]:1I$>HGH&#8\4_]/VZ61
M9MJC#'0DY$'B*`!"KA#2KIH)`'B*3V#0J0D-O*FN$0Y,9Y:<W3&E)I`L0O-W
M$&+H-A?Y$'M92`$"06E*5:K2DZ;4H"LMCG/NJ:X646E^^12<9%8(`$*@<2`"
M.Y24H&1"%NU11TF,"96J=+L(HI0O`Q'287I#-LI$X*!2^N&T)F6:5D@/(91\
M44S""DVF`E`ZP1(80;`IS2+^U*QOA,"+$G!5CBGRDC]EYE%WJE("36LC>J78
M-JDV,$!]##U%Y-A?%<O8OSJK2F-L*35?,IR.#:)[)4NH`P?6OV/64[+KH=VA
M1L)6F_UF3P>E8'J,UKU$$#.-Z7(57!/JG"'_.A*)*TT,:P>!1WN>4'(N`@`M
M@&4>MO9&2MY#K7:L!INO1G"M;[4@:^-%Q);63J,J]9\+C'99I4UPI>0D)4\C
MDIN-E%<CY^6)1]*KD40(L5($3>HMKR>\HU501-+$69QH@$L`*.(+_H*9Z4Z+
M5VC)\9Q)/:C7>C,WQZ"R<).3"7*%XTFC"6=$]T603IF)7\E,JF$K!-H$L>$_
MP-2SD3OUDL"HUB&)<5:6$/-P_C8FI;<X)8J*:.-5]^0;\WQAEHJX*U"_T-^W
M>*?#4'J?0;;"Y*PX^2K5BF?EB"00B_Z2@M]%##/-V=+\%,DSXGV1*X@%P!?=
M+)NIW:F"RJI%]CP3_ZDT&-$!5PH;-T+0-.;L"F4Z94:$?'6;T\DO;)H%%!5"
MP)NP$B]T-JL=CO+UERTRC2N$!EZZ[96(\#UF/I.8'Z`4CEP&#>\V)SH1LYAZ
M*>[E"`02H!%"J*Z.<X$)&,S#9>D4M*Q%Q#6M8DE!7U+F<VI%:I&D5H,!7-D@
MFIS><^/D5BDQVSTT&`XMLC`3=JG.+[>K5)`U8BIJJ=:I=0$@A-CJ&T7:99I!
M'9CIL+&P](Q6N'\32`^[/,W*F9O7=@E,M1-UIA\:5E4R8;5Z`XY>\PK\,*LN
M.'H/SFK>+F8Q:VO=])Q'\8(HHG+"P2R+LF">7R&O>T/F>"$'`C.>31)NT__+
M0B%':;/6^GE7@W->ZHR:NJ9MCN-F&_*Y)!Y5E,_N"TY1&8"=\E_H\59I"37Y
M[%!.,PC'"^@"D5OI8`-FV)XK>K#9&F<HN+:NX(<Y$N)XCD\N24+(K,J#X#B%
M(?)?"[N]9!#?U=OE#O>YQSUY=AM;Q*)^$/Q<SV=FNF=_R\3W@0`>\(`:FD'4
M>$_J8*._8RL;0L;&^#*A[7I$DUT:]6[X>][85!:[WL8&CS+'$R0:B_>9Y`T/
M^+9%7?$-J;SL\_[WVF_>]K.W?:K`<S\$PG[WP$].<*:5!2H&__BIZ12ID<_\
MYCO_^="/OO2G3_WJ6__ZV,^^]K?/_?_`_'049C?_SQG";J559%?EXNV`SI4(
MXT=D_`W;.=LKY-74N;_[T)W3=5W8YH6XPJ?_IA#<41"MH'10QQ"P4U@.\5_2
MTG\(\1M)UA"NL'PB0U0.B'];\A+1IBIF%A.S@VPJ]5"P4B3QYB2&MVDI!VK5
MDT3R$BUTH2F_TSQ.TF<IY2\0XE(M=28'X1L)=50DM4VS<V6"]19I,EQ:U$1`
MI1BHA7U8AW/LP1W#-5,?`F$"02X)"!V$\$>1LSET(4-5]SJS\CC/M##@HE>>
M\QYAMSC9Y&.TPH6?<V6S\B$O@2EXT5R3`Q2*!#T0\SH`(V_AIEJ\PDS#)T"`
M`3WFL4_(Q8#W!897!@:R_X,%8$!*R%-]B0`8$L,_!I5V/<8=W7-0->!!3)5F
M"E!/)7-0#I08:;9FJD4WOI%)DB49:V8[B=$*[5*""*)\8C5\%*1!<"2(*>5/
ME%4S=S$<@,$\B09GO\%N)/2+-&,@-2%)`[A3$',FL.$P"!)MP>%5$>4E%"A]
M836,2TA$54@^[6$:,T&,WB1@AS-1!O,BP3)>E9-2ZI%(Z](ZC:0`.19!M;*&
M="16>/%&S55CSO8;@V!L+"0[*P08L-*'#?48IO@%9RA>,`0Q,3$T=#$B(S0`
MFR,[LX)+NC$7F41UP%5]A54M38)2U.ABJW@N+O,>G/4_S%.)63!F`Y,%:6)/
ME?^X&'*%#5!B6MLX'`JB&ULW6-)#%\7W&+&66A/(/8L!1Q"6,/_S/PZS&)*T
M+`0R@;^$1L>$4N;3AD!U4*N#4M%(C1(",>]8'[_Q7=+W=54U-"I69[`1A<<6
M7H6429(6.2:W4),Q)X2C>0MC,[,R"%C`2M"$2`1)$,(3'%03B."$=9%""T\2
M'(TV<[9#5:U`"(IY.L&A><=#`[3`DR]B.]/V*V`0&`4(.V96)(TSD+.B")O&
M*_?G*+`W-.7D%(%1?"@S.SICFD6R-9,4-8F24`:!=*:2-0<(./9A?ITB*A1D
K'C"S-+\YG#YS6<-9FP+!-I/7*=3%0H9''>JG5R/Q>Q@(.)XMX3S8%Q``.S\_
`
end
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>7
<FILENAME>img2.gif
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 img2.gif
M1TE&.#EA30%``'<`,2'^&E-O9G1W87)E.B!-:6-R;W-O9G0@3V9F:6-E`"'Y
M!`$`````+`````!-`4``AP``````````,P``9@``F0``S```_P`S```S,P`S
M9@`SF0`SS``S_P!F``!F,P!F9@!FF0!FS`!F_P"9``"9,P"99@"9F0"9S`"9
M_P#,``#,,P#,9@#,F0#,S`#,_P#_``#_,P#_9@#_F0#_S`#__S,``#,`,S,`
M9C,`F3,`S#,`_S,S`#,S,S,S9C,SF3,SS#,S_S-F`#-F,S-F9C-FF3-FS#-F
M_S.9`#.9,S.99C.9F3.9S#.9_S/,`#/,,S/,9C/,F3/,S#/,_S/_`#/_,S/_
M9C/_F3/_S#/__V8``&8`,V8`9F8`F68`S&8`_V8S`&8S,V8S9F8SF68SS&8S
M_V9F`&9F,V9F9F9FF69FS&9F_V:9`&:9,V:99F:9F6:9S&:9_V;,`&;,,V;,
M9F;,F6;,S&;,_V;_`&;_,V;_9F;_F6;_S&;__YD``)D`,YD`9ID`F9D`S)D`
M_YDS`)DS,YDS9IDSF9DSS)DS_YEF`)EF,YEF9IEFF9EFS)EF_YF9`)F9,YF9
M9IF9F9F9S)F9_YG,`)G,,YG,9IG,F9G,S)G,_YG_`)G_,YG_9IG_F9G_S)G_
M_\P``,P`,\P`9LP`F<P`S,P`_\PS`,PS,\PS9LPSF<PSS,PS_\QF`,QF,\QF
M9LQFF<QFS,QF_\R9`,R9,\R99LR9F<R9S,R9_\S,`,S,,\S,9LS,F<S,S,S,
M_\S_`,S_,\S_9LS_F<S_S,S___\``/\`,_\`9O\`F?\`S/\`__\S`/\S,_\S
M9O\SF?\SS/\S__]F`/]F,_]F9O]FF?]FS/]F__^9`/^9,_^99O^9F?^9S/^9
M___,`/_,,__,9O_,F?_,S/_,____`/__,___9O__F?__S/___P$"`P$"`P$"
M`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"
M`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"`P$"
M`P$"`P$"`P$"`P$"`P$"`P$"`PC_``$('$BPH,&#"!,J7,BPH<.'$"-*G$BQ
MHL6+#A5HW,BQH\>/(#TFPDBRI,F3*%.J7,FRH`(:+Q5`B`D3YLR:,6_2E+G3
M9LY!+8,*'4JTJ%&5,T,J7:ITY-&G4*-*G7JRIU6<6*]JK0F4JM>O8,-"94JV
M+$>G8M.J7<LV8@V>.-_6H"&7KH*Y=?/>M8N7YUL%7=L*'DQ8;5*--+I^4<Q8
MX&+'C0$\AGFVL.7+F(WN?(SR+=?,H$.+QM@Q2TJ1HU.K7HV09H(OIW5"",RZ
MMNW,A^^B??B%!EW?-+ZX&MAQ]^WCR-=NIMVP]\X:!3V_9)Z\NO6H'DU#_/*1
M-NKKX,,7_WVK$_9VN!JS8"-XMSU@\?#CK\Q=PWA"5]P[TK!?7+[__Q<MYQ!W
M.+UD'P#2)0;@@@QFQ)%V#`U"&4?4`?!=@QAF2%Q-KS5$"V4X?='*0>C-IN&)
M&-)W8$'Y<42#0OVA*.-_`BKDVW,5#I1@CC/VB%QV"R4RX4;FM1:CCTA61UY,
M11Z42!;/O0BC7!KQF.25J:F8$)0=0<?0D5B&N5J-!6$SB%6*-+2CF&RJ5AI"
MBGS49$(7MFDG9J[-.="-(68DFY5W!IJ6E@4-J5$-(SJXT8J"-AH6F8[1D`"'
M7CZT(RVMN)*I*\.UQ6E*G&8*5JB<KE<0J8ZZ]"9!@_RUD6\0B?_T10TN4$D#
M%J:*-4AO>EJ4"'=S@26A7,S-^ANC=BX)TYQ0PO17#;DVU-Y?NVXT5U(U*!+M
M1;U&-`@$P9K4(@3=IO1%N2W>51"7=Y7['S:)="H1H?AYM)]$Q6&QK&*(I4E2
MN!;-JH"[$=$B4ZT##Z4(3`F=:9,+!+F2TWLGQDDPG2%V%2>5;UU\T([Y17=H
MQ(-0]^E`KM`B;WZMT$)0*R4GLJTK)1?TK90TNVR0(B5O>Y"$@#4K[T"TE#S(
MMF;6;%"G\G+Z5\H'Y>=LD<W6-&?)B:)L*LT'F9J(SA'S[+-`7`,P=*YF#CV(
MOP1A0_/:!=$"-@"MF.IV35_C^Z"J`>;_RS!!OW9(=V]9_.;*>JV`00/;"\,F
MI&?!2=G;7%E4"O-O<VDK6<?!N7!NQ+5&#FC'(^W%XN3!!79NY)\+].MO7V`A
MD(3.!A?U75AT/%PK6;Q&PTQ=8<&KX;,K+N'D7X"-.G=-?E%X#3402-#J<\4N
M$#;.8_%X<(D,2]=NRTL)@!>]"<FK>0L[ZSFR)'+H<40E5CM3H2^9)K5S7K8R
MTQ>F8J'1YJ^"3KWJEQY3(28_7@):>RCCE%;4I'`:<=>R`-"J@:$E9#>*GF1N
M8A<(.*8N-<%"*^9B+0VR2`$N$)*Z`*#"<[5+('^!37IFAZV84.Q^E.F*"F'B
M`@C,)('IT=<+_Q%T*(Y`[T8)8V'5("B^5^6$!MB;D&_89Q!"5>4L0A0?<8)5
M$[(5L(*#2!1W/`@O`NGP)0#`AID6-Z(NFHTN`O%"QQ)5`\'5I%-<4LA;KI=#
M'27`-&::"\W>DH6N%&XX7TA`I2Q4'Q8F$CK8R-I`S@0=N:01.-CH(X):!ZP/
MZ@:&@IM5\@3BQD>Z#EB2$UP%"=%&C:0I3OLCY?S,)A/VU,`+H(1D!;.0J-[5
M8!"8@E^()%D2D/V/?B^"(.4`X*PW)A$`>73,,5GH&<?AL6,$N1<SGPD3[<Q0
M,ODY4+UJT*DS/9-+CSF<0-!YKL.MQP4O,<]&@(*]:1I$>HGH&#8\4_]/VZ61
M9MJC#'0DY$'B*`!"KA#2KIH)`'B*3V#0J0D-O*FN$0Y,9Y:<W3&E)I`L0O-W
M$&+H-A?Y$'M92`$"06E*5:K2DZ;4H"LMCG/NJ:X646E^^12<9%8(`$*@<2`"
M.Y24H&1"%NU11TF,"96J=+L(HI0O`Q'287I#-LI$X*!2^N&T)F6:5D@/(91\
M44S""DVF`E`ZP1(80;`IS2+^U*QOA,"+$G!5CBGRDC]EYE%WJE("36LC>J78
M-JDV,$!]##U%Y-A?%<O8OSJK2F-L*35?,IR.#:)[)4NH`P?6OV/64[+KH=VA
M1L)6F_UF3P>E8'J,UKU$$#.-Z7(57!/JG"'_.A*)*TT,:P>!1WN>4'(N`@`M
M@&4>MO9&2MY#K7:L!INO1G"M;[4@:^-%Q);63J,J]9\+C'99I4UPI>0D)4\C
MDIN-E%<CY^6)1]*KD40(L5($3>HMKR>\HU501-+$69QH@$L`*.(+_H*9Z4Z+
M5VC)\9Q)/:C7>C,WQZ"R<).3"7*%XTFC"6=$]T603IF)7\E,JF$K!-H$L>$_
MP-2SD3OUDL"HUB&)<5:6$/-P_C8FI;<X)8J*:.-5]^0;\WQAEHJX*U"_T-^W
M>*?#4'J?0;;"Y*PX^2K5BF?EB"00B_Z2@M]%##/-V=+\%,DSXGV1*X@%P!?=
M+)NIW:F"RJI%]CP3_ZDT&-$!5PH;-T+0-.;L"F4Z94:$?'6;T\DO;)H%%!5"
MP)NP$B]T-JL=CO+UERTRC2N$!EZZ[96(\#UF/I.8'Z`4CEP&#>\V)SH1LYAZ
M*>[E"`02H!%"J*Z.<X$)&,S#9>D4M*Q%Q#6M8DE!7U+F<VI%:I&D5H,!7-D@
MFIS><^/D5BDQVSTT&`XMLC`3=JG.+[>K5)`U8BIJJ=:I=0$@A-CJ&T7:99I!
M'9CIL+&P](Q6N'\32`^[/,W*F9O7=@E,M1-UIA\:5E4R8;5Z`XY>\PK\,*LN
M.'H/SFK>+F8Q:VO=])Q'\8(HHG+"P2R+LF">7R&O>T/F>"$'`C.>31)NT__+
M0B%':;/6^GE7@W->ZHR:NJ9MCN-F&_*Y)!Y5E,_N"TY1&8"=\E_H\59I"37Y
M[%!.,PC'"^@"D5OI8`-FV)XK>K#9&F<HN+:NX(<Y$N)XCD\N24+(K,J#X#B%
M(?)?"[N]9!#?U=OE#O>YQSUY=AM;Q*)^$/Q<SV=FNF=_R\3W@0`>\(`:FD'4
M>$_J8*._8RL;0L;&^#*A[7I$DUT:]6[X>][85!:[WL8&CS+'$R0:B_>9Y`T/
M^+9%7?$-J;SL\_[WVF_>]K.W?:K`<S\$PG[WP$].<*:5!2H&__BIZ12ID<_\
MYCO_^="/OO2G3_WJ6__ZV,^^]K?/_?_`_'049C?_SQG";J559%?EXNV`SI4(
MXT=D_`W;.=LKY-74N;_[T)W3=5W8YH6XPJ?_IA#<41"MH'10QQ"P4U@.\5_2
MTG\(\1M)UA"NL'PB0U0.B'];\A+1IBIF%A.S@VPJ]5"P4B3QYB2&MVDI!VK5
MDT3R$BUTH2F_TSQ.TF<IY2\0XE(M=28'X1L)=50DM4VS<V6"]19I,EQ:U$1`
MI1BHA7U8AW/LP1W#-5,?`F$"02X)"!V$\$>1LSET(4-5]SJS\CC/M##@HE>>
M\QYAMSC9Y&.TPH6?<V6S\B$O@2EXT5R3`Q2*!#T0\SH`(V_AIEJ\PDS#)T"`
M`3WFL4_(Q8#W!897!@:R_X,%8$!*R%-]B0`8$L,_!I5V/<8=W7-0->!!3)5F
M"E!/)7-0#I08:;9FJD4WOI%)DB49:V8[B=$*[5*""*)\8C5\%*1!<"2(*>5/
ME%4S=S$<@,$\B09GO\%N)/2+-&,@-2%)`[A3$',FL.$P"!)MP>%5$>4E%"A]
M836,2TA$54@^[6$:,T&,WB1@AS-1!O,BP3)>E9-2ZI%(Z](ZC:0`.19!M;*&
M="16>/%&S55CSO8;@V!L+"0[*P08L-*'#?48IO@%9RA>,`0Q,3$T=#$B(S0`
MFR,[LX)+NC$7F41UP%5]A54M38)2U.ABJW@N+O,>G/4_S%.)63!F`Y,%:6)/
ME?^X&'*%#5!B6MLX'`JB&ULW6-)#%\7W&+&66A/(/8L!1Q"6,/_S/PZS&)*T
M+`0R@;^$1L>$4N;3AD!U4*N#4M%(C1(",>]8'[_Q7=+W=54U-"I69[`1A<<6
M7H6429(6.2:W4),Q)X2C>0MC,[,R"%C`2M"$2`1)$,(3'%03B."$=9%""T\2
M'(TV<[9#5:U`"(IY.L&A><=#`[3`DR]B.]/V*V`0&`4(.V96)(TSD+.B")O&
M*_?G*+`W-.7D%(%1?"@S.SICFD6R-9,4-8F24`:!=*:2-0<(./9A?ITB*A1D
K'C"S-+\YG#YS6<-9FP+!-I/7*=3%0H9''>JG5R/Q>Q@(.)XMX3S8%Q``.S\_
`
end
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.906CERT
<SEQUENCE>8
<FILENAME>cert906-kor.htm
<DESCRIPTION>906 CERTIFICATION
<TEXT>
<HTML>
<HEAD>
<TITLE> </TITLE>
</HEAD>
<BODY bgcolor="#ffffff" style='font-family:"Times New Roman"'>

<div style='width:600;'>



<p style=' margin-bottom:3pt; margin-top:12pt;text-align:right;'><img src="img1.gif"><br> <b><font face="Arial" size=4></font></b></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><b><font size=2>President</font></b></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><b><font size=2>Section 906 Certification under Sarbanes Oxley Act</font></b></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>I, Vincent J. Esposito, certify that: </font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='margin-left:0pt;border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>1.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>I have reviewed this report, filed on behalf of The Korea Fund, Inc., on Form N-CSR;</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:0.5in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='margin-left:0pt;border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>2.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Based on my knowledge and pursuant to 18 U.S.C. &sect; 1350, the periodic report on Form N-CSR (the &#147;Report&#148;) fully complies with the requirements of &sect; 13 (a) or &sect;15 (d), as applicable, of the Securities Exchange Act of 1934 and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="564" style='margin-left:5.4pt;border-collapse:collapse'>
    <tr style='page-break-inside:avoid;height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>March 2, 2006</font></p> </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><u><font size=2>/s/Vincent J. Esposito</font></u></p> </td> </tr>
    <tr style='page-break-inside:avoid;height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0in;margin-bottom:3pt'><font size=1>&nbsp;</font></p>  </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0in;margin-bottom:3pt'><font size=2>Vincent J. Esposito </font></p>  </td> </tr>
    <tr style='page-break-inside:avoid;height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:right;margin-top:0in;margin-bottom:5pt'><font size=1>&nbsp;</font></p>  </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0in;margin-bottom:5pt'><font color="#454545"><font size=2>President</font></font></p>  </td> </tr>
    <tr style='page-break-inside:avoid; height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:right;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>The Korea Fund, Inc.</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<pAGE>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'>
</p>

<p style=' margin-bottom:3pt; margin-top:12pt;text-align:right;'><img src="img2.gif"><br> <b><font face="Arial" size=4></font></b></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:3pt; margin-top:12pt;text-align:left;'><b><font size=2>Chief Financial Officer and Treasurer</font></b></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><b><font size=2>Section 906 Certification under Sarbanes Oxley Act</font></b></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>I, Paul Schubert, certify that: </font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>1.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>I have reviewed this report, filed on behalf of The Korea Fund, Inc., on Form N-CSR;</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt; margin-left:0.5in; text-indent:-0.5in;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="100%" style='border-collapse:collapse'>
    <tr >
        <td width="48" valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>2.</font></p> </td>
        <td  valign=top >
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>Based on my knowledge and pursuant to 18 U.S.C. &sect; 1350, the periodic report on Form N-CSR (the &#147;Report&#148;) fully complies with the requirements of &sect; 13 (a) or &sect;&nbsp;15 (d), as applicable, of the Securities Exchange Act of 1934 and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.</font></p> </td> </tr></table>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<table border="0" cellspacing=0 cellpadding=0 width="564" style='margin-left:5.4pt;border-collapse:collapse'>
    <tr style='page-break-inside:avoid;height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>March 2, 2006</font></p> </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><u><font size=2>/s/Paul Schubert</font></u></p> </td> </tr>
    <tr style='page-break-inside:avoid;height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0in;margin-bottom:3pt'><font size=1>&nbsp;</font></p>  </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0in;margin-bottom:3pt'><font size=2>Paul Schubert </font></p>  </td> </tr>
    <tr style='page-break-inside:avoid;height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:right;margin-top:0in;margin-bottom:5pt'><font size=1>&nbsp;</font></p>  </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0in;margin-bottom:5pt'><font color="#454545"><font size=2>Chief Financial Officer and Treasurer</font></font></p>  </td> </tr>
    <tr style='page-break-inside:avoid; height:16.5pt'>
        <td width="276" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:right;margin-top:0pt;margin-bottom:0pt'><font size=1>&nbsp;</font></p> </td>
        <td width="288" valign=top style='padding:0in 5.4pt 0in 5.4pt; height:16.5pt'>
            <p style='margin-left:0pt;text-indent:0pt;text-align:left;margin-top:0pt;margin-bottom:0pt'><font size=2>The Korea Fund, Inc.</font></p> </td> </tr></table>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>

<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


<p style=' margin-bottom:0pt; margin-top:0pt;text-align:left;'><font size=2>&nbsp;</font></p>


</div>
</BODY>
</HTML>

</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
-----END PRIVACY-ENHANCED MESSAGE-----
