<PAGE>
NUVEEN
NUVEEN NATIONAL
INSURED UNIT TRUST 318 861
- --------------------------------------------------------------------------------
<TABLE>
<S> <C>
RATED: "AAA" NUVEEN TAX-FREE UNIT TRUSTS:
ESTIMATED CURRENT RETURN: For the tax-sensitive, conservative investor.
5.44 - 5.66% - Tax-Free
ESTIMATED LONG-TERM RETURN: - Dependable Income
5.49 - 5.76% - Diversified Portfolios
DATE OF DEPOSIT: May 2, 1996 - Top-Rated Municipal Bonds
</TABLE>
UNITS OF THE TRUST ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED OR ENDORSED
BY, ANY BANK AND ARE NOT FEDERALLY INSURED OR OTHERWISE PROTECTED BY THE FDIC OR
ANY OTHER FEDERAL AGENCY AND INVOLVE INVESTMENT RISK, INCLUDING THE POSSIBLE
LOSS OF PRINCIPAL.
- --------------------------------------------------------------------------------
QUICK FACTS ABOUT THIS UNIT TRUST
<TABLE>
<S> <C>
Tax Status Income is exempt from federal income tax but may
be subject to state and local tax. Capital gains
are taxable.
Total Principal $10,000,000 in 100,000 units
Average Life 27.2 years
Call Protection Earliest ordinary optional call is 2004
Minimum $5,000 or 50 units, whichever is lower
Investment
Offering Price $100.36 to $97.39 depending on the purchase amount
Cusip 6710A4 736 monthly payment plan
Numbers 6710A4 744 quarterly payment plan
6710A4 751 semi-annual payment plan
Insurance Individual bonds (not units) are fully insured by
MBIA Insurance Corporation, which guarantees
timely payment of interest and principal.
Registration Registered in all states
</TABLE>
<TABLE>
<S> <C>
Payment Investors may choose to receive monthly, quarterly
Plans or semi-annual interest payments.
Bond Calls Most municipal bonds are subject to optional bond
calls. Bonds are usually called at a premium price
and generally not below par value.
Sales Charge The sales charge is a one-time expense included in
the Public Offering Price.
Letter Investors may use a Letter of Intent to get
of Intent reduced sales charges on purchases made over a
(LOI) 13-month period (and to take advantage of dollar
cost averaging). Minimum LOI investment $50,000.
Redemptions Units can be redeemed on any business day at no
charge. Units are redeemed at their current market
value.
Reinvestment Interest income and returned principal can be
reinvested with no sales charge into Nuveen tax-
free mutual or money market funds. For more
information obtain a prospectus.
</TABLE>
- --------------------------------------------------------------------------------
PORTFOLIO INCOME DIVERSIFICATION
<TABLE>
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Iowa 9.8 % Illinois 20.4 % Indiana 10.7 %
Louisiana 9.8 Massachusetts 10.1 Michigan 9.7
New York 10.9 Texas 9.8 Utah 8.8
</TABLE>
<TABLE>
<S> <C>
MATURITY DATES (Descrtiption of Chart)
2015-18 9.2%
2019-22 30.9%
2023-26 49.9%
</TABLE>
<PAGE>
<TABLE>
<S> <C>
2027+ 10.0
The earliest ordinary optional call date is 2004
YIELD COMPARISON AS OF 05/01/96*
(Descrition of Yield Comparison Chart)
Nuveen UIT
Pre-Tax 8.50%
Tax Equivalent Yield 5.44%
Treasury Bonds
Pre-Tax 7.26%
Tax Equivalent Yield 6.90%
Corporate Bonds
Yield 7.84%
</TABLE>
*COMPARES TRUST WITH 30-YEAR TREASURY BONDS AND LEHMAN BROTHERS INVESTMENT
GRADE LONG CORPORATE BOND INDEX. ASSUMES 36.0% FEDERAL AND 5.0% STATE INCOME
TAX RATES. TREASURY BONDS ARE SUBJECT TO FEDERAL BUT NOT STATE INCOME TAXES;
CORPORATE BONDS ARE GENERALLY SUBJECT TO BOTH. TREASURY BONDS, UNLIKE
MUNICIPAL BONDS, ARE GUARANTEED BY THE U.S. GOVERNMENT. THE LEHMAN BROTHERS
INVESTMENT GRADE LONG CORPORATE BOND INDEX IS CALCULATED AS OF 4/30/96.
CALL 1.800.257.8787 FOR A PROSPECTUS CONTAINING MORE COMPLETE INFORMATION
INCLUDING CHARGES AND EXPENSES.
READ THE PROSPECTUS CAREFULLY BEFORE INVESTING.
<PAGE>
- --------------------------------------------------------------------------------
BONDS THIS NATIONAL INSURED UNIT TRUST CONTAINS
<TABLE>
<CAPTION>
RATINGS
PRINCIPAL EARLIEST CALL ----------
AMOUNT BOND ISSUE DATE AND PRICE S&P MOODY'S
<C> <S> <C> <C><C>
----------------------------------------------------------------------------------------------------------------
$ 1,000,000 Metropolitan Pier and Exposition Authority (Illinois), McCormick Place AAA Aaa
Expansion Project Refunding Bonds, Series 1994A, 6.00% Due 6/15/27.
(Original issue discount bonds delivered on or about June 23, 1994 at a
price of 93.881% of principal amount.) 2004 at 102
1,000,000 Regional Transportation Authority (Cook, DuPage, Kane, Lake, McHenry and AAA Aaa
Will Counties, Illinois), General Obligation Refunding Bonds, Series 1996,
5.60% Due 6/1/25. 2005 at 102
1,000,000 Indiana Health Facility Financing Authority, Hospital Revenue Bonds, Series AAA Aaa
1995 (Marion General Hospital Project), 6.10% Due 7/1/25. 2005 at 102
1,000,000 Woodbury County, Iowa, Health System Revenue Refunding Bonds (St. Luke's AAA Aaa
Obligated Group), Series 1995A, 5.55% Due 9/1/20. (Original issue discount
bonds delivered on or about October 26, 1995 at a price of 94.217% of
principal amount.) 2005 at 102
1,000,000 Ernest N. Morial-New Orleans (Louisiana), Exhibition Hall Authority, AAA Aaa
Special Tax Bonds, Series 1996-C, 5.60% Due 7/15/25. 2006 at 101
1,000,000 Massachusetts Health and Educational Facilities Authority, Revenue Bonds, AAA Aaa
Suffolk University Issue, Series C, 5.75% Due 7/1/26. 2006 at 102
1,000,000 City of Detroit, Michigan, Water Supply System Revenue Second Lien Bonds, AAA Aaa
Series 1995-A, 5.50% Due 7/1/25. 2005 at 101
1,085,000 Dormitory Authority of the State of New York, Revenue Bonds, Upstate AAA Aaa
Community Colleges, Series 1994A, 5.70% Due 7/1/21. 2004 at 102
915,000 Abilene Health Facilities Development Corporation (Texas), Hospital Revenue AAA Aaa
Refunding and Improvement Bonds (Hendrick Medical Center Project), Series
1995C, 6.10% Due 9/1/15. 2005 at 102
1,000,000 Intermountain Power Agency (Utah), Power Supply Revenue Refunding Bonds, AAA Aaa
1996 Series D, 5.00% Due 7/1/21. (Original issue discount bonds delivered
on or about February 27, 1996 at a price of 94.504% of principal amount.) 2006 at 102
----------------------------------------------------------------------------------------------------------------
$10,000,000 TOTAL 10 BONDS FROM 9 STATES
</TABLE>
- --------------------------------------------------------------------------------
HOW TO DETERMINE YOUR INCOME AND YIELD
HOW TO CALCULATE YOUR RETURN
<TABLE>
<S> <C>
The estimated current return is the net income the sales charge, and returns are as of 05/01/96.
divided by the offering price. Estimated long-term As of this date, Units are offered at the public
return is a measure of the return to the investor offering price plus accrued interest to the
expected to be earned over the estimated life of settlement date of $.08. Returns and prices will
the Unit Trust. The public offering prices, which fluctuate.
include
</TABLE>
<TABLE>
<CAPTION>
Public Estimated Return (CURRENT/Long Term)
Breakpoints Offering Sales -------------------------------------------------
Units / Dollars Price Charge Monthly Plan Quarterly Plan Semi-Annual Plan
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
50 / $5,000 $ 100.36 4.90 % 5.44% 5.49% 5.47% 5.52% 5.49% 5.54 %
500 / $50,000 100.20 4.75 5.45 5.50 5.48 5.53 5.50 5.55
1,000 / $100,000 99.94 4.50 5.46 5.52 5.49 5.55 5.51 5.57
2,500 / $250,000 99.68 4.25 5.48 5.54 5.51 5.57 5.53 5.59
5,000 / $500,000 98.90 3.50 5.52 5.60 5.55 5.63 5.57 5.65
10,000 / $1,000,000 98.39 3.00 5.55 5.63 5.58 5.66 5.60 5.69
25,000 / $2,500,000 97.89 2.50 5.58 5.67 5.61 5.70 5.63 5.72
50,000 / $5,000,000 97.39 2.00 5.60 5.71 5.64 5.74 5.66 5.76
</TABLE>
HOW TO DETERMINE YOUR
TAXABLE EQUIVALENT YIELD
The table shows the approximate yield an investor must get from a taxable
investment to match the estimated current return from this Unit Trust.
<TABLE>
<CAPTION>
Taxable Equivalent Yield (by
UNIT TRUST tax bracket)
RETURN 28.0% 31.0% 36.0% 39.6%
<C> <S> <C> <C> <C> <C>
5.44 % 7.56% 7.88% 8.50% 9.01%
5.45 7.57 7.90 8.52 9.02
5.46 7.58 7.91 8.53 9.04
5.48 7.61 7.94 8.56 9.07
5.52 7.67 8.00 8.63 9.14
5.55 7.71 8.04 8.67 9.19
5.58 7.75 8.09 8.72 9.24
5.60 7.78 8.12 8.75 9.27
</TABLE>
JOHN NUVEEN & CO. INCORPORATED
333 WEST WACKER DRIVE, CHICAGO, IL 60606
HOW TO CALCULATE YOUR INCOME
The table shows expected interest payments for monthly, quarterly and
semi-annual plans. Payments will remain relatively constant as long as the Unit
Trust's size, composition and expenses remain the same. The first record date is
06/01/96.
<TABLE>
<CAPTION>
Annual
First Payment Payment Income
Payment Plan Date (per unit) (per unit)
<S> <C> <C> <C> <C>
Initial partial
payment (all
plans) 6/15/96 $ .4396
Monthly plan 7/15/96 .4548 $ 5.4586
Quarterly plan 8/15/96 .9150
11/15/96 1.3725 5.4906
Semi-annual plan 11/15/96 2.2950
5/15/97 2.7540 5.5096
EXAMPLE OF HOW TO CALCULATE YOUR ESTIMATED INCOME:
$10,000 DIVIDED BY 100.44 = 99.561
investment offering price # of units
(as of and accrued purchased
05/01/96) interest
99.561 X $5.4586 = $543.46
# of units annual income annual income
purchased per unit
(monthly plan)
</TABLE>
