AUSTRALIAN OPEN

January 24, 2003

Young-Suk Koh

Paul McNamee

Geoff Pollard

GEOFF POLLARD: Thanks, John. Mr. Koh, Mr. Hong and Paul, it's certainly a great thrill for us today, and I'm sure for Kia Motors, as well, that we are now signing the five-year contract between Tennis Australia and the Australian Open for our major sponsorship of The Open for the next five years. As I think most of you know, it's become a wonderful partnership. We had initially a two-year contract with a two-year option. We were very pleased that the discussions centered around making that a five-year extension rather than a two-year extension to the existing sponsorship. We look forward, in partnership with Kia, to five more years of growth for the Australian Open and growth for Kia, which as you know has an objective of becoming one of the top five global car makers in the not too distant future. We have our own objective, to make the Australian Open a global marquee event, the Grand Slam of the Asia/Pacific region, and probably nothing symbolizes it more to have as your major sponsor a major Asian-based company that is now, of course, a worldwide company. We're pleased with the initial reaction and growth in Australia and around the world to the progress that we've made and the sport of tennis has made in the Asian region. We believe that will continue. The major sponsorship with Kia epitomizes very much where we are both heading in the next five years. I'm very pleased to announce, to confirm, and today to sign the contract for Kia as the major sponsor of the Australian Open for the next five years.

YOUNG-SUK KOH: Yes. Kia Motors Corporation is the main sponsor of the 2003 Australian Open, the second year that we have been involved with the event since we signed our initial agreement with Tennis Australia in December year 2001. The contract had a two-year term with an option to renew for another two years. The Australian Open is an exceptional event, and we have been very proud to be associated with it. The Australian people have been very welcoming and indeed Australia is now our sixth largest export market with our Carnival and Rio models proving exceptional here. The objectives we have had from our sponsorship of the Australian Open have already exceeded our most optimistic expectations. Kia Motors Corporation is therefore very pleased to extend our sponsorship of The Open beyond the scope of the original contract and to maintain our relationship with this prestigious event for another five years. This agreement is part of a long-term plan to develop Kia's sports marketing activities in support of the company's plan to become a top five global auto maker by the end of the decade. Tennis is a sport that perfectly matches our aspirations for the Kia brand and one that appeals to young people with a sporty, active approach to life. Kia Motors has enjoyed an exceptional working relationship with Tennis Australia, the organizers of the Australian Open, and we look forward to developing that relationship further in the years to come. Thank you very much. (Applause.)

YOUNG-SUK KOH: Actually, tennis is a sport that closely matches the values we want associated with Kia. It is also one of the most widely watched sports in the world. We really enjoy to upgrade our brand through this with a sponsorship.

GEOFF POLLARD: No. I think to be fair to ourselves and to Kia, the dollars must remain confidential. I see many people are having guesses at it. We can say confidently this five-year sponsorship is the biggest sporting sponsorship that's ever been done in Australia. I think it recognizes the position of the Australian Open, not just now as Australia's biggest sporting event, but Grand Slam of the Asia/Pacific region, and a true world global marquee event.

GEOFF POLLARD: May well have been our previous sponsorship.

GEOFF POLLARD: No. No, we don't put figures. I think they're commercial confidence. I'm sure you'd all respect that.

PAUL McNAMEE: I think there's been a number of initiatives. Obviously the wildcard has been very well-received, having many Japanese and Chinese players receive wildcards. The efforts we went to in Shanghai to co-host a forum and also do a clinic for the Chinese juniors. We're doing inflight advertising on Qantas and Singapore Airlines. We've run press ads in various markets, including Shanghai and Beijing, promoting the TV coverage. We're working really hard. I think the symbolism of Paradorn Srichaphan opening the tournament on Rod Laver Arena was important. In a sense, we're really regarding this Grand Slam as, in a sense, becoming in a way a second home I guess for the Asian players, and also for this facility with Peter McNamara's role now to become a center of excellence for the region, to players and ball kids from the region. There are a lot of initiatives, but it's a matter of reaching out and trying to take a leadership role in the region. We should be a good tennis citizen in this region. At the end of the day, that's all we're trying to be.

PAUL McNAMEE: I think it's safe to say we could not sustain the growth spurt and prize money to US $10 million without the sport of Kia and other companies like Heineken who are really investing in the tournament through their brand strategy in Asia/Pacific. I don't think Australia would have the critical mass for us to sustain that growth. It is true, we need to depend on the region. I think it's no use shying away from that. We need the region from a business perspective, as well. I mean, we shouldn't shy away from that. It's been very, very important. But I think from a tennis point of view, we certainly have a role to play. That's the business side. But, my goodness, on the tennis side, we have a lot of expertise here. We should be trying to help as much as we can.

PAUL McNAMEE: No, not at all, no.

GEOFF POLLARD: We will look at options. I think it's fair to say we haven't closed our mind to addressing the options. But I think we can also safely say, at least until 2007, we will be in January. We're doing a pretty good job in January.

PAUL McNAMEE: It certainly wasn't integral to this agreement. This is about brand fit, both of our aims to reach ambitions we want to do globally. It certainly wasn't a factor in the discussions and is not. We're very happy with Kia, Kia is very happy with us whatever time of the year we're in. But we're very happy in January.

YOUNG-SUK KOH: Well, I agree to him.

GEOFF POLLARD: Certainly very astute selectors of, let me say, events to support and players to support.

YOUNG-SUK KOH: We are very fortunate to select Agassi for a two-year contract. Very fortunate for us.

PAUL McNAMEE: It can happen if it rains. It happened with Chrissy and Steffi the first year. So, no. I think it's fundamentally part of this tournament now. You know, we have the women's doubles right now and it's under the roof. You know, it's really out of our hands. It's a decision everyone relates to the players. But to be honest, it's just as important for the staff and particularly the ball kids that we have a responsible policy so that they're not put in extreme conditions. The fittest people here are the players. Actually, it's really done primarily for the staff and particularly the ball kids, as well as the players, to make sure that the conditions are fair for play. You know, it will be just one of those things. If it happens tomorrow like it did today, I think the referee is predicting that might be the case, but Melbourne's whether can change quickly. We'll have to see what tomorrow brings. No, we'll take it as it comes.