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1 " Recent achievement in KOREA " March 18, 2008 In-Soo Chung Executive Director, KORAIL March

2 Contents Ⅰ. Results of KTX Operation 1. KTX realized a "Half-day Life Zone 2. Expansion of volume 3. Modal shift 4. Stable operation Ⅱ. Status of the 2 nd Phase in Gyeongbu high-speed line 1. 2nd Phase construction is expected to be completed in Introduction of KTX-Ⅱ 3. Saving on journey time Ⅲ. New high-speed line (Honam line) 1. Status of new project 2. R&D for the next generation high-speed train March

3 Ⅰ. Results of KTX operation 1.KTX realized a Half-day Life Zone Section Seoul Goyang Deport Before KTX Siheung Expansion of Commuter Belt Seoul-Cheonanasan(96.0km) : 34min Seoul-Daejeon(159.8km) : 49min GwangMyung CheonanAsan After KTX 200km In 1 Hour Savings Seoul-Dongdaegu Seoul-Busan Seoul-Gwangju Seoul-Mokpo 3:03 Daejonjochajang 4:10 SeoDaejon Daejon 1:38 2:40 Okchun 3:53 2:40 Iksan Shindong 4:32 2:58 1:25 1:30 Dongdaegu 1:13 Gyeongju 1:29 450km In 3 hours Mokpo Sonjungri Gwangju Busan March

4 Ⅰ. Results of KTX operation 2. Expansion of volume thousand passengers million $ 51,401 74,040 1,403 Passenger 620 Revenue March

5 Ⅰ. Results of KTX operation 3. Modal shift thousand 5,220 Kimpo-Kimhae Kimpo-Daegu Kimpo-Kwangju -27% -25% 3,815 2,862 1,436 1, Airline -18% Seoul - Cheonan Seoul - Daejon Seoul - Busan 309 Average -6.3 % -2.6 % -8.2 % Bus % Seoul -2.6 % -8.2 % Cheonan Daejon Busan Car % % 126 in thousand Seoul - Daegu Seoul - Busan March

6 Ⅰ. Results of KTX operation 4. Stable operation Unit : % 145 Unit : case % Punctuality KTX failures % March

7 Ⅱ. Status of the 2 nd Phase in Gyungbu high-speed line 1. 2nd Phase construction is expected to be completed by 2010 Project : Daejeon & Daegu area, Daegu~Busan km high-speed line construction Necessity : Industrial competitiveness was weakened by road friendly transportation policy Goyang Deport KwangMyung CheonanAsan Seoul Siheung Period : 2002~2010 (Daejeon & Daegu area : 2008~2014) Total amount : $7.6 billion (Daejeon & Daegu area : $2.8 billion) 23.9 km km Daejonjochajang Daejeon SeoDaejon Okchun Shindong Iksan Dongdaegu Gyeongju Expected effect : improve national competitiveness Sonjungri GWangju Mokpo Busan March

8 Ⅱ. Status of the 2 nd Phase in Gyungbu high-speed line 2. Savings on journey time Gyeongbu Line Goyang Deport Seoul KwangMyung CheonanAsan Daejonjochajang SeoDaejeon Siheung Iksan Daejeon Okchun Shindong Dongdaegu Gyeongju 1 st Stage Completion (2004) Running Time (Reduction Time) 34Min ( 18) 49Min ( 43) 159.8km 1:39Min( 1:24) 2 nd Stage Completion (2010) 34Min ( 26) 47Min ( 44) 1:20Min ( 1:43) 1:36Min GWangju Sonjungri Mokpo Busan 2:40Min ( 1:30) 408.5km 1:56Min ( 2:14) Total expected high-speed line Conventional line New Line Construction at the 2 nd Stage Remarks KTX Stations March Turning point of KTX

9 Ⅱ. Status of the 2 nd Phase in Gyeongbu high-speed line 3. Introduction of KTX-Ⅱ G7, Experimental Korean HST Project Completed Commercializing Korean High Speed Railway (KTX- Ⅱ) ο Maximum speed : 350km/h ο Localization : 87% ο Commercial operation expected in 2010 Now, 19 trainsets are being manufactured for Gyeongbu 2 nd phase Difference between KTX and KTX- Ⅱ ο Adopting induction motor & IGBT technology ο Rotating passenger seats ο Lower noise and higher energy efficiency due to aluminum rolling stock car body ο 10cars in one trainset, additional cars can be added for providing more coach seating. ο Increased customer convenience such as, family room, wireless internet, satellite TV news March

10 Ⅲ. New high-speed line (Honam line) 1. Status of new project Goyang Deport Seoul To construct dedicated high speed railway for Honam line 6 new stations & 1 depot are expected to be built 36 trainsets are being manufactured for this line (Seoul ~ Mokpo 2:58 1:46 72min) To Expand High speed railway service to Jeolla Line : 2011 Jungeup Siheung KwangMyung CheonanAsan Osong Daejonjochajang Daejeon Gongju Okchun SeoDaejon Iksan Shindong Dongdaegu Gyeongju Sonjungri Gwangju Yeosu Busan Mokpo (Imsungri) Conventional Line High-speed line Expected Honam high-speed line March

11 Ⅲ. New high-speed line (Honam line) 2. R&D for the next generation high-speed train Target To develop 400km/h, EMU- type high-speed train & related core technology R & D Summary Period : Jul ~ Jul (6 yrs) Budget : $102 million Developing a related core technology Technology Developing a prototype trainset Track facility & track maintenance technology March

12 Thank you for your attention! March

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