1. The Defendant (Counterclaim Plaintiff) paid KRW 8,376,816 to the Plaintiff (Counterclaim Defendant) and its related amount from July 20, 2013 to June 23, 2016.

A principal lawsuit and counterclaim shall also be deemed a principal lawsuit and counterclaim.

1. Basic facts

A. On July 22, 2011, the Defendant entered into a supply contract B with the Public Procurement Service (hereinafter “supply contract with the Public Procurement Service”).

The actual terms of the contract: The actual terms of contract from July 22, 2011 to October 31, 2011: the actual terms of contract shall be 1,350,000 tons of fake B6,000 tons per package of 1,752,000 g a foot B8,000 tons per package of 1,350,000 won per unit of contract and per unit of contract amount: The actual terms of payment shall be 30 days after each procuring entity requests the delivery: 0.15%/1 day of the contract amount.

B. On August 31, 2011, between the Plaintiff and the Defendant, the Plaintiff supplied B to the Public Procurement Service pursuant to the supply contract of the Public Procurement Service and concluded a supply contract with the following terms (hereinafter “the instant primary contract”) upon which the Defendant would receive the payment from the Defendant:

Article 1 (Supply Period) A (Plaintiff) is responsible for B 14,00 tons contracted with the Public Procurement Service from September 1, 201 to October 31, 201, and complete the supply within the contract period with each end-user institution.

Article 2 (Supply Price and Settlement Method)

(a) A shall supply 1,821,60,000 tons in packaging units for KRW 1,821,60,000 and KRW 6,000 in packaging units for KRW 1,428,90,000 in packaging units for KRW 1,428,90,000;

(b) Eul shall pay Gap 3,250,500,000 won for the goods B as follows:

Down payment of KRW 350,000,000,000 at the same time as the conclusion of a contract,

9. To pay the remainder of 350,000,000 won before June.

After completion of the supply of B, A shall immediately request the delivery center to conduct an examination, and B shall issue a tax invoice immediately, and A shall transfer the deposit passbook for the price of goods to A.

A shall pay the amount of the B goods deposited in the passbook of the transferred B to the head of the Tong, and pay the amount of the transferred goods to the head of the Tong.

C. The Plaintiff supplied B totaling KRW 1,112,531,200 to October 31, 201 after the instant first contract was concluded.

The defendant shall pay 350,000,000 won to the plaintiff out of the down payment on September 1, 2011.