OTHER NEWS - Jan. 12, 1994

Treasury to Call In Bonds Early: The action is being taken on long-term bonds that pay 8.5% interest in order to save money, the fourth bond issue since 1962 that the Treasury has redeemed early. The government’s decision to do so reflects the same plunge in interest rates that has made it cheaper for the average homeowner to refinance mortgages. The Treasury said that on May 15 it will call $2.4 billion worth of 25-year bonds that were scheduled to mature May 15, 1999. Any bonds not turned in on May 15 will no longer earn interest. About $961 million of the bonds are held by private investors and the rest are in government accounts.