FIRST TRUST SPECIAL SITUATIONS TRUST SERIES 160
497, 1997-01-31
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     The First Trust Special Situations Trust, Series 160

       McDonald Equity Research Investment Trust "MERIT"
               Financial Institutions, Series 1

     Supplement to the Prospectus dated September 17, 1996

Effective January 31, 1997, the portfolio of McDonald Equity Research
Investment Trust "MERIT" Financial Institutions, Series 1 no longer
includes shares of common stock of Mercury Finance Co.

January 31, 1997





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