August 1, 1989
TO: UNIT INVESTMENT TRUST COMMITTEE NO. 45-89
RE: LATE BREAKING NEWS RE PERFORMANCE NUMBERS FOR
PRIMARY TRUSTS
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We have just had news from the SEC staff (5:40 p.m.) that
they are rethinking the proposal of July 31 because of an
anomalous situation where the yield on a premium trust computed
in accordance with the Wesolowski formula exceeds both the ECR
and the internal rate of return on that trust. It is possible
that the staff's problem can be taken care of by some fairly
minor adjustment to the July 31 proposal. However, until further
notice the July 31 proposal is off the table.
We should know more tomorrow. We will keep you informed of
developments.
Mary K. Bellamy
Associate General Counsel