The rating assigned to the District of Columbia's series 1998A TRANs is based on an irrevocable direct-pay LOC issued severally by Union Bank of Switzerland and Morgan Guaranty Trust Co. of New York. The LOC covers principal and interest on the notes and purchase price for tendered notes. The LOC expires Oct. 5, 1998 unless earlier terminated pursuant to its terms. The notes bear interest at a weekly interest rate and may be tendered at the option of the holder on any business day with appropriate notice. The notes are subject to mandatory tender upon the occurrence of an event of default under the LOC agreement, upon conversion to a fixed interest rate, and upon substitution of the LOC. Note
