South Korea's president says he and President Barack Obama have agreed to offer North Korea a "grand bargain" aimed at ending the North's nuclear program.

Speaking at a joint news conference with Obama, President Lee Myung-bak (lee myuhng bahk) said the deal would be similar to his proposal for a package of political and economic incentives in exchange for the one-step, irreversible dismantling of North Korea's nuclear program.

Lee's grand bargain proposal stems from concerns that North Korea would continue to backtrack on promises after winning concessions in negotiations.

The Lee and Obama meeting comes as Washington prepares to send an envoy for the first U.S.-North Korea bilateral talks since Obama took office.