The convertible bonds with 5 years term can be converted into shares at 7,620 won per share after a year of issuance. Dongbu has to finance for 129.1 billion won of liabilities due by the end of 2004. The firm also targets it reduces the liability ratio to 140% for equity by the end of 2005 from 185.2% at the end of 2003.

Dongbu tries to secure smooth procurement of hot band with the tie-up. Sumitomo Metals said it would keep traditional hot band supply and they had no immediate idea to expand relation ship including more hot band supply. Sumitomo Corp. has already 38.5 billion won of preferred share. JFE Steel has around 3% of Dongbu's common share and Metal One has 500 million yen of Dongbu's convertible bonds.

Dongbu purchases hot band from POSCO, Nippon Steel, Sumitomo Metals, Kobe Steel and others while it buys raw materials sheet for tin plate from JFE Steel.

Dongbu produced 2.622 million tonnes of steel products in 2003. The firm posted 62.5 billion won of recurring profit with 1.759 trillion won of sales in 2003. The firm plans to produce 2.729 million tonnes of products with 26% more export at 1.145 million tonnes in 2004.