1. The defendant's appeal is dismissed.

2. The costs of appeal shall be borne by the Defendant.

Purport of claim and appeal

1..

1. Basic facts

A. Payment guarantee and foreign exchange transaction agreement 1) The Plaintiff on August 30, 2007 (hereinafter “B”) shall be the Plaintiff Company B (hereinafter “B”).

(ii)in connection with the issuance of letters of credit, delivery and settlement of bills of exchange, and the foreign exchange transaction agreement applicable to export transactions, etc. (from the following to the “instant foreign exchange transaction agreement”).

In the case of an imported bill of exchange and substitute payment for the settlement of a local letter of credit, the Plaintiff may also claim against any one of the bill of exchange (only where a bill has been issued) or credit claims (Article 2). B transfers to the Plaintiff as collateral for the payment of the obligation owed to the Plaintiff in connection with the transaction in question and the interest, discount fees, fees, late payment damages, and other incidental expenses (Article 3). The applicable exchange rate is the relevant exchange rate determined by the Plaintiff as of the date of receipt of the application, regardless of the date of receipt of the application, etc.: Provided, That in the case of the proviso of Article 15, the relevant exchange rate may be deemed the date of disposal of the outstanding amount account of the Plaintiff or the date of disposal of the foreign currency payment guarantee account (Article 4). B is the relevant exchange rate determined by the Plaintiff as of the date of disposal of the outstanding amount account or the date of disposal of the foreign currency payment guarantee account (Article 15). B is deemed necessary for the Plaintiff’s exercise of rights, preservation of rights, expenses associated with the acquisition and disposal of collateral, expenses, insurance premium and other expenses arising from the issuance of credit (Article 1).