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SIGNATURE PAUL SCHUBERT
TITLE TREASURER
AMENDMENT TO BY-LAWS
2002 TARGET TERM TRUST INC.
CERTIFICATE OF VICE PRESIDENT AND SECRETARY
I, Dianne E. O'Donnell, Vice President and Secretary of 2002
Target Term Trust Inc. (the "Corporation"), hereby certify that, at a
duly convenedmeeting of the Board of Directors of the Corporation
held on November 12, 1998, the Directors adopted the following
resolution, to become effective as of March 19, 1999:
RESOLVED: That the Fund's By-Laws be, and
they hereby are, amended by adding the following Sections 9
and 10 to Article II:
Section 9. Nomination. Subject to the rights of holders of any
class or series of stock having a preference over the
Corporation's common stock as to dividends or upon
liquidation, nominations for the election of directors may be
made by the Board of Directors or a committee appointed by
the Board of Directors or by any stockholder who is entitled to
vote for the election of directors. However, any such
stockholder may nominate a director only by notice in writing
delivered or mailed by first class United States mail, postage
prepaid, to the Secretary of the Corporation, and received by
the Secretary not less than (i) with respect to any nomination
to be introduced at an annual meeting of stockholders, one
hundred and twenty days in advance of the anniversary of the
date the Corporation's proxy statement was first released to
stockholders in connection with the previous year's annual
meeting, and (ii) with respect to any nomination to be
introduced at a special meeting of stockholders, the close of
business on the seventh day following the date on which notice
of such meeting is first given to stockholders. Each such notice
shall set forth: (a) the name and address of the stockholder
who intends to make the nomination and of the person or
persons to be nominated; (b) a representation that the
stockholder is a holder of record or beneficial owner of stock
of the Corporation entitled to vote at such meeting (together
with such proof thereof as would meet the requirements for
proposals that are to be included in the Corporation's proxy
statements pursuant to Rule 14a-8 under the Securities
Exchange Act of 1934, as amended, or any successor to such
Rule) and intends to appear in person or by proxy at the
meeting to nominate the person or persons specified in the
notice; (c) the class and number of shares of stock held of
record, owned beneficially and represented by proxy by such
stockholder as of the record date for the meeting (if such date
shall then have been made publicly available) and as of the
date of such notice. The chairperson of the meeting may refuse
to acknowledge a nomination by any stockholder that is not
made in compliance with the foregoing procedure.
Section 10. Stockholder Proposal. Any stockholder who is
entitled to vote in the election of directors may submit to the
Board of Directors proposals to be considered for submission
to the stockholders of the Corporation for their vote. The
introduction of any stockholder proposal that the Board of
Directors decides should be voted on by the stockholders of
the Corporation, shall be made by notice in writing delivered
or mailed by first class United States mail, postage prepaid, to
the Secretary of the Corporation, and received by the Secretary
not less than (i) with respect to any proposal to be introduced
at an annual meeting of stockholders, one hundred and twenty
days in advance of the anniversary of the date the
Corporation's proxy statement was first released to
stockholders in connection with the previous year's annual
meeting, and (ii) with respect to any proposal to be introduced
at a special meeting of stockholders, the close of business on
the seventh day following the date on which notice of such
meeting is first given to stockholders. Each such notice shall
set forth: (a) the proposal to be introduced; (b) the name and
address of the stockholder who intends to make the proposal;
(c) a representation that the stockholder is a holder of record
or beneficial owner of stock of the Corporation entitled to vote
at such meeting (together with such proof thereof as would
meet the requirements for proposals that are to be included in
the Corporation's proxy statements pursuant to Rule 14a-8
under the Securities Exchange Act of 1934, as amended, or
any successor to such Rule) and intends to appear in person or
by proxy at the meeting to introduce the proposal or proposals,
specified in the notice; and (d) the class and number of shares
of stock held of record, owned beneficially and represented by
proxy by such stockholder as of the record date for the meeting
(if such date shall then have been made publicly available) and
as of the date of such notice. The chairperson of the meeting
may refuse to acknowledge the introduction of any stockholder
proposal not made in compliance with the foregoing
procedure.
By:
/s/ Dianne E. O'Donnell
Dianne E. O'Donnell
Vice President and Secretary
2002 Target Term Trust Inc.
Dated as of November 12, 1998
Report of Independent Auditors
To the Shareholders and Board of Directors of
2002 Target Term Trust Inc.
In planning and performing our audit of the
financial statements of 2002 Target Term Trust
Inc. for the year ended November 30, 1999, we
considered its internal control, including
control activities for safeguarding securities,
in order to determine our auditing procedures
for the purpose of expressing our opinion on the
financial statements and to comply with the
requirements of Form N-SAR, not to provide
assurance on internal control.
The management of 2002 Target Term Trust Inc. is
responsible for establishing and maintaining
internal control. In fulfilling this
responsibility, estimates and judgments by
management are required to assess the expected
benefits and related costs of controls.
Generally, controls that are relevant to an
audit pertain to the entity's objective of
preparing financial statements for external
purposes that are fairly presented in conformity
with generally accepted accounting principles.
Those controls include the safeguarding of
assets against unauthorized acquisition, use or
disposition.
Because of inherent limitations in internal
control, error or fraud may occur and not be
detected. Also, projection of any evaluation of
internal control to future periods is subject to
the risk that it may become inadequate because
of changes in conditions or that the
effectiveness of the design and operation may
deteriorate.
Our consideration of internal control would not
necessarily disclose all matters in internal
control that might be material weaknesses under
standards established by the American Institute
of Certified Public Accountants. A material
weakness is a condition in which the design or
operation of one or more of the internal control
components does not reduce to a relatively low
level the risk that misstatements caused by
error or fraud in amounts that would be material
in relation to the financial statements being
audited may occur and not be detected within a
timely period by employees in the normal course
of performing their assigned functions. However,
we noted no matters involving internal control
and its operation, including controls for
safeguarding securities, that we consider to be
material weaknesses as defined above at November
30, 1999.
This report is intended solely for the
information and use of management, the Board of
Directors of 2002 Target Term Trust Inc., and
the Securities and Exchange Commission and is
not intended to be and should not be used by
anyone other than these specified parties.
ERNST & YOUNG LLP
January 14, 2000
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
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