-Issue amount: 570 billion won, weighted average coupon rate: 4.5% On August 17th, KHFC issued KHFC MBS 2004-3 using mortgages originated from May 31st to July 7th by four participating lenders as underlying assets. The weighted average coupon rate is 4.5% (spread of 61 bp against 5 year KTB), and there are six senior tranches with maturities ranging from three to 20 years and one junior tranche. The coupon rates for tranches with maturities of three, five, 10, and 20 years are 3.89%, 4.14%, 4.59%, and 4.73%, respectively. In preparation for possible prepayment, a call option is attached to tranches with maturities of five years and more. The underlying assets for the MBS are mortgages originated by four participating lenders (Hana Bank, Korea Exchange Bank, Korea First Bank, and Samsung Life Insurance) KHFC will hold a ceremony for the MBS issuance in the grand ballroom of the Seoul Hilton Hotel on August 18th.