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Filed Pursuant to
Rule 424(b)(3)
File No. 33-31419
PRICING SUPPLEMENT DATED
May 5, 1995 TO PROSPECTUS
DATED April 4, 1995
McDONNELL DOUGLAS FINANCE CORPORATION
Series IX Medium-Term Notes
Due Nine Months or More From Date of Issue
Except as set forth herein, the Series IX Medium-Term Notes offered
hereby (the "Notes") have such terms as are described in the accompanying
Prospectus dated April 4, 1995 (the "Prospectus").
Aggregate Principal Amount: $20,000,000
Original Issue Date
(Settlement Date): May 15, 1995
Stated Maturity: May 15, 1997
Issue Price: 100.00% of Principal Amount
Base Rate: Federal Funds Rate
Spread: plus 40 basis points
Initial Interest Rate: Base Rate (as determined on May 12, 1995)
plus Spread
Interest Payment Dates: The 15th day of February, May, August and
November, commencing August 15, 1995
Interest Reset Period: Daily
Interest Reset Dates: Each Business Day during the term of the
Note except the Stated Maturity Date
Calculation Agent: Bankers Trust Company
Interest Determination Date: The "Interest Determination Date" with
respect to any Interest Reset Date will
be the Business Day immediately preceding
such Interest Reset Date.
Type of Notes Issued: [X] Senior Notes [ ] Fixed Rate Notes
[ ] Subordinated Notes [X] Floating Rate Notes
Optional Redemption: [ ] Yes
[X] No
Form of Notes Issued: [X] Book-Entry Notes
[ ] Certificated Notes
CUSIP Number: 58017DDK3
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SUPPLEMENTAL DESCRIPTION OF NOTES
Notwithstanding anything to the contrary contained in the Prospectus, the
following shall apply to each Note offered hereby.
If any Interest Payment Date other than the Maturity for any Note
offered hereby would otherwise be a day that is not a Business Day, such
Interest Payment Date will be postponed to the next succeeding day that
is a Business Day. If the Maturity of any Note offered hereby falls on a
day that is not a Business Day, the required payment of principal,
premium, if any, and interest will be made on the next succeeding
Business Day with the same force and effect as if made on the date such
payment was due, and no interest will accrue on such payment for the
period from and after the Maturity to the date of such payment on the
next succeeding Business Day.
With respect to each Note offered hereby, accrued interest for each
Interest Accrual Period will be calculated by multiplying the principal
amount of such Note by an accrued interest factor. Such accrued interest
factor will be computed by adding the interest factor calculated for each
day in the applicable Interest Accrual Period. The interest factor for
each such day will be computed by dividing the interest rate applicable
to such day by 360.
The "Calculation Date," if applicable, pertaining to any Interest
Determination Date will be the earlier of (i) the tenth calendar day
after such Interest Determination Date or, if such day is not a Business
Day, the next succeeding Business Day or (ii) the Business Day
immediately preceding the applicable Interest Payment Date or the
Maturity, as the case may be.
"Federal Funds Rate" means, with respect to any Interest
Determination Date, the rate on such date for United States dollar
federal funds as published in H.15(519) under the heading "Federal Funds
(Effective)" or, if not published by 3:00 p.m., New York City time, on
the related Calculation Date, the rate on such Interest Determination
Date as published in Composite Quotations under the heading "Federal
Funds/Effective Rate"). If such rate is not published in H.15(519) or
Composite Quotations by 3:00 p.m., New York City time, on the related
Calculation Date, then the Federal Funds Rate on such Interest
Determination Date will be calculated by the Calculation Agent and will
be the arithmetic mean of the rates for the last transaction in overnight
United States dollar federal funds arranged by three leading brokers of
federal funds transactions in The City of New York (which may include the
Agents or their respective affiliates) selected by the Calculation Agent
prior to 9:00 a.m., New York City time, on such Interest Determination
Date; provided, however, that if the brokers so selected by the
Calculation Agent are not quoting as mentioned in this sentence the
Federal Funds Rate determined as of such Interest Determination Date will
be the Federal Funds Rate in effect on such Interest Determination Date.
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PURCHASE AS PRINCIPAL
This Pricing Supplement relates to $20,000,000 aggregate principal of
Notes that are being purchased, and may be offered, as principal, by Chase
Securities, Inc. ("Chase") from time to time to one or more investors at
varying prices related to prevailing market conditions at the time or times of
resale as determined by Chase. Net proceeds payable by Chase to McDonnell
Douglas Finance Corporation (the "Company") will be 99.89% of the aggregate
principal amount of the Notes, or $19,978,000, before deduction of expenses
payable by the Company. In connection with the sale of the Notes, Chase may
be deemed to have received compensation from the Company in the form of
underwriting discounts in the amount of .11% or $22,000.
Chase and certain of its affiliates perform investment banking and other
financial services for the Company and certain of its affiliates in the
ordinary course of business.
