1. The Defendant (Counterclaim Plaintiff) paid KRW 1,001,350,477 to the Plaintiff (Counterclaim Defendant) and its related amount from February 13, 2013 to February 11, 2015.

1.The following facts do not conflict between the Parties:

On December 24, 2008, the Plaintiff received a contract from the Defendant on December 24, 2008, for the construction cost of KRW 4,740,00,000 (including value-added tax; hereinafter the same shall apply) and December 30, 2008 through December 30, 2009, for the construction period of the building of the 3rd Elderly Dementia Hospital in Busan-si (hereinafter “the construction of the 3rd Dementia Hospital”).

(hereinafter “instant contract”). (b)

The original Defendant entered into a contract for the change of construction work more than three times thereafter as follows:

C. On September 28, 2012, the Defendant obtained a provisional use approval from the head of the Busan Shipping Authority for the instant building on September 28, 2012, and obtained a final approval for use on February 12, 2013.

The Plaintiff received the progress payment of KRW 6,674,400,000 from the Defendant up to 16 times (the progress payment up to June 2012).

2. Determination on the main claim

A. According to the facts acknowledged prior to the determination of the claim for the unpaid construction cost, the Defendant is obligated to pay the Plaintiff the unpaid construction cost of KRW 1,325,60,000 (=8,000,000 - KRW 6,674,400,00) and the delay damages.

B. (1) In full view of the purport of the argument as a result of the appraiser A’s appraisal on the claim for additional construction costs, the Plaintiff is obligated to pay the Plaintiff the additional construction costs of retaining walls of the instant Do, as follows: (a) the additional construction costs of retaining walls of the instant Do; and (b) the additional construction costs of retaining walls of the said Do can be recognized as constituting 28,576,038 as follows; and (c) the Defendant is obliged to pay the Plaintiff the additional construction costs of retaining walls of the said Do and the delay damages therefrom.

Items 5,477,415 won in direct labor expenses of 7,548,895 won in direct labor expenses of 5,475,7735 won in direct labor expenses of 5,475,773 won in contact between 6.9% in 6.9% in industrial accident insurance premium of 306,651 won (direct labor expenses) x 3.8% in direct labor expenses of 7,652,784 won in net construction expenses of 20,67,415 x 3.8% in direct labor expenses.