<PAGE>
As filed with the Securities and Exchange Commission on April 18, 1997
Registration No. 33-66102*
==========================================================================
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
___________________
POST-EFFECTIVE AMENDMENTS NO. 3 TO
FORM S-6
FOR REGISTRATION UNDER THE SECURITIES ACT
OF 1933 OF SECURITIES OF UNIT INVESTMENT
TRUSTS REGISTERED ON FORM N-8B-2
___________________
A. Exact Name of Trust:
NATIONAL MUNICIPAL TRUST,
Series 165
Multistate Series 62
B. Name of depositor:
PRUDENTIAL SECURITIES INCORPORATED
C. Complete address of depositor's principal executive office:
One Seaport Plaza
199 Water Street
New York, New York 10292
D. Name and complete address of agent for service:
Copy to:
LEE B. SPENCER, JR., ESQ. KENNETH W. ORCE, ESQ.
PRUDENTIAL SECURITIES INCORPORATED CAHILL GORDON & REINDEL
One Seaport Plaza 80 Pine Street
199 Water Street New York, New York 10005
New York, New York 10292
It is proposed that this filing will become effective (check appropriate
box.)
___
/ / immediately upon filing on (date) pursuant to
paragraph (b);
___
/X / on April 30, 1997 pursuant to paragraph (b);
___
/__/ 60 days after filing pursuant to paragraph (a);
___
/__/ on (date) pursuant to paragraph (a) of rule 485.
_______________
* This Registration Statement combines two Registration Statements
(File Nos. 33-51039 and 33-66102) pursuant to Rule 429.
<PAGE>
CUSIPS: 63701J439R;63701J447R;63701J454R;63701J462R MAIL CODE A
Prospectus--PART A
NOTE: PART A of this Prospectus may not be distributed unless accompanied by
Part B.
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NATIONAL MUNICIPAL TRUST
Series 165
NMT Multistate Series 62
- --------------------------------------------------------------------------------
The initial public offering of Units in each Trust has been completed. The Units
offered hereby are issued and outstanding Units which have been acquired by the
Sponsor either by purchase from the Trustee of Units tendered for redemption or
in the secondary market.
National Municipal Trust, Series 165 designated as the National Trust (Laddered
Maturities) ('National Trust (Uninsured))' and Multistate Series 62 which
consists of three separate underlying unit investment trusts designated as the
California Trust (Laddered Maturities), the Florida Trust (Insured (Laddered
Maturities)) and the New York Trust (Laddered Maturities) (the 'California
Trust'), the 'Florida Trust (Insured)'and the 'New York Trust (Uninsured)',
collectively, the 'State Trusts', or singularly, the 'State Trust') (the
'Trusts' or the 'Trust' or in the case of the Florida Trust (Insured) the
'Insured Trust' as the context requires) are composed of interest-bearing
municipal bonds and contracts and funds for the purchase thereof (the
'Securities.') The Securities in the State Trusts are issued primarily by or on
behalf of the State for which the State Trust is named and counties,
municipalities, authorities and political subdivisions thereof. The interest on
these bonds, in the opinion of bond counsel to the issuing governmental
authorities is, under existing law, excludable from gross income for Federal
income tax purposes (except in certain instances depending on the Unit Holder)
and, as respects the underlying State Trusts, exempt from State and any local
income taxes to individual Unit Holders resident in the State for which the
State Trust is named.
The objectives of each Trust are the providing of interest income which, in the
opinion of counsel is, under existing law, excludable from gross income for
Federal income tax purposes (except in certain instances depending on the Unit
Holder), through investment in a fixed portfolio consisting primarily of
investment grade intermediate-term state, municipal and public authority debt
obligations, and the conservation of capital. In addition, in the opinion of
bond counsel to the issuers of the obligations, the interest income on the
obligations held by a State Trust is exempt from state and any local income
taxes to individual Unit Holders resident in the State for which the State Trust
is named. There is, of course, no guarantee that the Trusts' objectives will be
achieved. The value of the Units of each Trust will fluctuate with the value of
the portfolio of underlying Securities. Each municipal bond in the Insured Trust
is covered by an irrevocable insurance policy as a result of which the Units of
the Insured Trust were rated AAA by Standard & Poor's Corporation as of the Date
of Deposit. Insurance guaranteeing the scheduled payment of principal of and
interest on the securities in the Florida Trust (Insured) to the maturity of
such Securities has been obtained at the cost of the issuer at the time of
issuance. No representation is made as to the insurers' ability to meet their
commitments. The National Trust (Uninsured), the California Trust, the Florida
Trust (Insured) and the New York Trust (Uninsured) are structured to return to
Unit Holders each year beginning in approximately the seventh year of each
Trust, approximately 20% of the per Unit principal amount of the Securities
included in each Trust. The Securities in Series 165 and the New York Trust
(Uninsured) are not insured. The Securities in the Trusts are not insured by The
Prudential Insurance Company of America. The Prospectus indicates the extent to
which interest income of each Trust is subject to alternative minimum tax under
the Internal Revenue Code of 1986, as amended. See 'Schedule of Portfolio
Securities' and 'Portfolio Summary.'
Minimum Purchase: 1 Unit
PUBLIC OFFERING PRICE of the Units of each Trust is equal to the aggregate bid
side evaluation of the underlying Securities in each Trust's Portfolio divided
by the number of Units outstanding in such Trust, plus a sales charge as set
forth in the table herein. (See Part B--'Public Offering of Units--Volume
Discount.') Units are offered at the Public Offering Price plus accrued
interest. (See Part B--'Public Offering of Units.')
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Sponsor:
Prudential Securities (LOGO)
- --------------------------------------------------------------------------------
THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SECURITIES AND
EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION NOR HAS THE SECURITIES
AND EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION PASSED UPON THE
ACCURACY OR ADEQUACY OF THIS PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS
A CRIMINAL OFFENSE.
- --------------------------------------------------------------------------------
Please read and retain Prospectus dated
this Prospectus for future reference April 30, 1997
<PAGE>
<PAGE>
NATIONAL MUNICIPAL TRUST
Series 165
Multistate Series 62
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TABLE OF CONTENTS
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<TABLE>
<CAPTION>
Page
<S> <C> <C>
Summary................................................................................. Part A A-i
Summary of Essential Information........................................................ A-iii
Independent Auditors' Report............................................................ A-1
Statement of Financial Condition........................................................ A-2
Schedule of Portfolio Securities........................................................ A-7
The Trust............................................................................... Part B 1
Portfolio Summary.................................................................. 2
Insurance on the Securities in the Portfolio of an Insured Trust--General.......... 9
Insurance on the Securities in the Portfolio of an Insured Trust--Insurers......... 9
Objectives and Securities Selection................................................ 14
Estimated Annual Income Per Unit................................................... 14
Tax Status.............................................................................. 15
Public Offering of Units................................................................ 18
Public Offering Price.............................................................. 18
Public Distribution................................................................ 19
Secondary Market................................................................... 20
Sponsor's and Underwriters' Profits................................................ 20
Secondary Market Sales Charge...................................................... 20
Volume Discount.................................................................... 21
Employee Discount.................................................................. 21
Exchange Option......................................................................... 21
Tax Consequences................................................................... 23
Reinvestment Program.................................................................... 23
Expenses and Charges.................................................................... 23
Expenses........................................................................... 23
Fees............................................................................... 23
Other Charges...................................................................... 25
Rights of Unit Holders.................................................................. 25
Certificates....................................................................... 25
Distribution of Interest and Principal............................................. 25
Reports and Records................................................................ 27
Redemption......................................................................... 27
Sponsor................................................................................. 28
Limitations on Liability........................................................... 29
Responsibility..................................................................... 30
Resignation........................................................................ 30
Trustee................................................................................. 30
Limitations on Liability........................................................... 31
Responsibility..................................................................... 31
Resignation........................................................................ 31
Evaluator............................................................................... 31
Limitations on Liability........................................................... 31
Responsibility..................................................................... 31
Resignation........................................................................ 31
Amendment and Termination of the Indenture.............................................. 32
Amendment.......................................................................... 32
Termination........................................................................ 32
Legal Opinions.......................................................................... 32
Auditors................................................................................ 32
Bond Ratings............................................................................ 32
</TABLE>
<PAGE>
<PAGE>
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This Prospectus does not contain all of the information with respect to the
investment company set forth in its registration statement and exhibits relating
thereto which have been filed with the Securities and Exchange Commission,
Washington, D.C. under the Securities Act of 1933 and the Investment Company Act
of 1940, and to which reference is hereby made.
- --------------------------------------------------------------------------------
No person is authorized to give any information or to make any representations
with respect to this investment company not contained herein; and any
information or representations not contained herein must not be relied upon as
having been authorized. This Prospectus does not constitute an offer to sell, or
a solicitation of an offer to buy, securities in any state to any person to whom
it is not lawful to make such offer in such state.
- --------------------------------------------------------------------------------
SUMMARY
INSURANCE guaranteeing the scheduled payments of principal of and interest
on the Securities in the portfolio of the Insured Trust has been obtained by the
issuer at the cost of the issuer at the time of issuance of the Securities from
AMBAC Indemnity Corporation ('AMBAC'), Capital Market Assurance Corporation
('CapMAC'), Connie Lee Insurance Company ('Connie Lee'), Financial Security
Assurance ('FSA'), MBIA Insurance Corporation ('MBIA'), Municipal Bond Investors
Assurance Corporation ('MBIAC'), and/or Financial Guaranty Insurance Company
('Financial Guaranty' or 'FGIC') (singularly, each an 'Insurance Company' and,
collectively, the 'Insurance Companies.') (See Part B--'The Trust--Insurance on
the Securities in the Portfolio of an Insured Trust.') As a result of the
insurance, the Securities and the Units of the Insured Trust have received a
rating of 'AAA' by Standard & Poor's Corporation. There can be no assurance that
Units of the Insured Trust will retain this 'AAA' rating. There is, of course,
no guarantee that the objectives of the Insured Trust will be achieved since an
issuer may be unable to meet its principal and interest payment obligations and,
in such event, the Insurance Company involved may be unable to satisfy its
insurance obligation. Insurance is not a substitute for the basic credit of an
issuer, but supplements the issuer's existing credit and provides additional
security therefor. NO REPRESENTATION IS MADE AS TO THE ABILITY OF THE INSURANCE
COMPANIES TO MEET THEIR COMMITMENTS.
THE CALIFORNIA TRUST. Insurance guaranteeing the scheduled payments of
principal of and interest on seven of the Securities in the Portfolio of the
California Trust has been obtained by the issuer at the cost of the issuer at
the time of issuance of the Securities from one of the above-listed insurance
companies. The remaining two Securities in the Portfolio of the California Trust
are not insured but are collateralized by a mortgage-backed security of the
modified pass-through type, fully guaranteed as to principal and interest by the
Government National Mortgage Association ('Ginnie Mae'), as a result of which
the Securities are rated Aaa by Moody's Investors Service. Ginnie Maes are
backed by the full faith and credit of the United States. The mortgage loan
which backs the Ginnie Mae is insured by the Federal Housing Administration.
There is, of course, no guarantee that the objectives of the California Trust
will be achieved since those Securities that are insured are subject to the
risks stated above under 'INSURANCE' and those issues that are collateralized
subject a Unit Holder to the risk that in the event that the mortgage loan is
prepaid redemptions of the Securities would result in a return of principal
earlier than scheduled which principal may be able to be reinvested by a Unit
Holder at such time only at lower rates of interest.
MONTHLY DISTRIBUTIONS of principal, premium, if any, and interest received
by each Trust will be made on or shortly after the twenty-fifth day of each
month to Unit Holders of record as of the immediately preceding Record Date.
(See Part B--'Rights of Unit Holders--Distribution of Interest and Principal.')
Alternatively, Unit Holders may elect to have their distributions reinvested in
the Reinvestment Program of the Sponsor, as, if and when such program is
available to Unit Holders. (See Part B--'Reinvestment Program.')
THE SPONSOR, although not obligated to do so, presently intends to maintain
a secondary market for the Units in each Trust based on the aggregate bid side
evaluation of the underlying Securities, as more fully described under Part
B--'Public Offering of Units--Secondary Market--Public Offering Price.' If such
a market is not maintained, a Unit Holder may be able to dispose of his Units
only through redemption at prices based on the aggregate bid side evaluation of
the underlying Securities. (See Part B--'Rights of Unit
Holders--Redemption--Computation of Redemption Price per Unit.')
SPECIAL CONSIDERATIONS. An investment in Units of each Trust should be made
with an understanding of the risks which an investment in fixed rate
intermediate term debt obligations may entail, including the risk that the value
of the Units will decline with increases in interest rates. Insurance obtained
by the Security issuer does not guarantee the
A-i
<PAGE>
<PAGE>
market value of the Securities or the value of the Units. Any such insurance
obtained by the issuer may be considered to represent an element of market value
in regard to the Securities thus insured. The insurance on the Securities in the
Insured Trust does not protect Unit Holders from the risk that the value of the
units may decline. (See Part B--'The Trust--Portfolio Summary.') The ratings of
the Securities set forth in Part A--'Schedule of Portfolio Securities' may have
declined due to, among other factors (including a decline in the
creditworthiness of an insurer in the case of an insured trust which may also
result in a decline in the AAA rating of the Units of an insured trust), a
decline in creditworthiness of the issuer of said Securities.
LADDERED MATURITIES. The National Trust (Uninsured), the California Trust,
the Florida Trust (Insured) and the New York Trust (Uninsured) are structured to
return to Unit Holders each year beginning in approximately the seventh year of
each Trust approximately 20% of the per Unit principal amount of the Securities
included in each Trust. (See 'Schedule of Portfolio Securities.') The timing and
percentage amount of principal return may vary from the estimated cash flow
schedule on the Date of Deposit if Securities are sold for credit reasons or as
a result of redemptions or if an issuer calls or fails to call a Security. Such
sale, call or failure to call may result in an increase in, a decrease in, or
the elimination of, a return of principal in one or more years. If interest
rates rise, Unit Holders may be able to reinvest their principal distributions
as received in higher-yielding obligations. Conversely, however, if interest
rates decline, Unit Holders will be receiving payments of principal at times
when only lower-yielding investments of comparable quality are available.
Reinvesting at such time may result in an over-all lower yield than would result
from a single investment maturing at the close of the life of the Trust.
Note: In Part B 'Trustee' the location of the unit investment trust office
of The Chase Manhattan Bank is amended to read 4 New York Plaza, New York, New
York 10004.
Portfolio Summary
National Trust (Uninsured)
The Portfolio contains 9 issues of Securities of issuers located in 8 states
and the District of Columbia. Three of the issues (22.5%* of the Trust) are
general obligations of governmental entities and are backed by the general
taxing powers of those entities. The remaining issues are payable from the
income of specific projects or authorities and are not supported by the issuer's
power to levy taxes. Although income to pay such Securities may be derived from
more than one source, the primary sources of such income and the percentage of
issues deriving income from such sources are as follows: health and hospital
facilities: 4.8%* of the Trust; education facilities: 34.0%* of the Trust;
pollution control facilities: 9.7%* of the Trust; power facilities: 16.7%* of
the Trust; water and sewer facilities: 12.3%* of the Trust. The Trust is
concentrated in education facilities Securities.
53.8%* of the Securities in the Trust are rated by Standard & Poor's
Corporation (19.8%* being rated AAA, 26.8%* being rated A and 7.2%* being rated
BBB). 46.2%* of the Securities in the Trust are rated by Moody's (33.6%* being
rated Aa and 12.6%* being rated Ba). For a description of the meaning of the
applicable rating symbols as published by Standard & Poor's, see Part B--'Bond
Ratings'. It should be emphasized, however, that the ratings of Standard &
Poor's represent its opinion as to the quality of the Securities which it
undertakes to rate and that these ratings are general and are not absolute
standards of quality.
Five Securities in the Trust have been issued with an 'original issue
discount'. (See Part B--'Tax Status.')
Of these original issue discount bonds, approximately 4.3% of the aggregate
principal amount of the Securities in the Trust (although only 2.7%* of the
aggregate bid price of all Securities in the Trust) are zero coupon bonds
(including bonds known as multiplier bonds, money multiplier bonds, capital
appreciation bonds, capital accumulator bonds, compound interest bonds, and
discount maturity payment bonds).
Alternative Minimum Tax
As of the date of the Summary of Essential Information, the Sponsor's
affiliate, The Prudential Investment Corporation, estimates that 35.0% of the
estimated annual income per Unit consists of interest on private activity bonds,
which interest is to be treated as a tax preference item for alternative minimum
tax purposes (See 'Tax Status' and 'Schedule of Portfolio Securities.')
- ------------
* Percentages computed on the basis of the aggregate bid price of the
Securities in the Trust on March 17, 1997.
A-ii
<PAGE>
<PAGE>
The Sponsor participated as sole underwriter or manager or member of
underwriting syndicates from which approximately 7.2%* of the Trust was
acquired.
California Trust
The Portfolio contains 9 issues of Securities of issuers located in the
State of California. All of the issues are payable from the income of specific
projects or authorities and are not supported by the issuer's power to levy
taxes. Although income to pay such Securities may be derived from more than one
source, the primary sources of such income and the percentage of issues deriving
income from such sources are as follows: certificates of participation: 16.5%*
of the Trust; health and hospital facilities: 44.6%* of the Trust; housing
facilities: 16.8%* of the Trust; tax allocation bonds: 22.1%* of the Trust. The
Trust is concentrated in health and hospital facilities securities.
83.2%* of the Securities in the Trust are rated AAA by Standard & Poor's
Corporation and 16.8%* of the Securities in the Trust are rated Aaa by Moody's
Investors Service. For a description of the meaning of the applicable rating
symbols as published by Standard & Poor's and Moody's, see Part B--'Bond
Ratings'. It should be emphasized, however, that the ratings of Standard &
Poor's and Moody's represent their opinions as to the quality of the Securities
which they undertake to rate and that these ratings are general and are not
absolute standards of quality.
Four Securities in the Trust have been issued with an 'original issue
discount'. (See Part B--'Tax Status.')
Of these original issue discount bonds, approximately 1.9% of the aggregate
principal amount of the Securities in the Trust (although only 1.5%* of the
aggregate bid price of all Securities in the Trust) are zero coupon bonds
(including bonds known as multiplier bonds, money multiplier bonds, capital
appreciation bonds, capital accumulator bonds, compound interest bonds, and
discount maturity payment bonds).
83.2%* of the Securities in the Trust are insured to maturity by the
insurance obtained by the issuer from the following insurance companies: AMBAC:
16.8%*; Connie Lee: 16.8%*; FGIC: 1.5%*; MBIA & MBIAC: 48.1%*. 16.8%* of the
Securities in the Trust are backed by Ginnie Mae.
Florida Trust (Insured)
The Portfolio contains 7 issues of Securities of issuers located in the
State of Florida. Two of the issues (17.0%* of the Trust) are general
obligations of governmental entities and are backed by the general taxing powers
of those entities. The remaining issues are payable from the income of specific
projects or authorities and are not supported by the issuer's power to levy
taxes. Although income to pay such Securities may be derived from more than one
source, the primary sources of such income and the percentage of issues deriving
income from such sources are as follows: education facilities: 15.3%* of the
Trust; health and hospital facilities: 17.1%* of the Trust; lease facilities:
16.9%* of the Trust; utility facilities: 16.9%* of the Trust; water and sewer
facilities: 16.8%* of the Trust.
100%* of the Securities in the Trust are rated AAA by Standard & Poor's
Corporation. For a description of the meaning of the applicable rating symbols
as published by Standard & Poor's, see Part B--'Bond Ratings'. It should be
emphasized, however, that the ratings of Standard & Poor's represent its opinion
as to the quality of the Securities which it undertakes to rate and that these
ratings are general and are not absolute standards of quality.
Four Securities in the Trust have been issued with an 'original issue
discount'. (See Part B--'Tax Status.')
Of these original issue discount bonds, approximately 0.3% of the aggregate
principal amount of the Securities in the Trust (although only 0.2%* of the
aggregate bid price of all Securities in the Trust) are zero coupon bonds
(including bonds known as multiplier bonds, money multiplier bonds, capital
appreciation bonds, capital accumulator bonds, compound interest bonds, and
discount maturity payment bonds).
The Securities in the Trust are insured to maturity by the insurance
obtained by the issuer from the following insurance companies: AMBAC: 34.2%*;
FSA: 48.9%*; MBIA & MBIAC: 16.9%*.
The Sponsor participated as sole underwriter or manager or member of
underwriting syndicates from which approximately 49.0%* of the Trust was
acquired.
- ------------
* Percentages computed on the basis of the aggregate bid price of the
Securities in the Trust on March 17, 1997.
A-iii
<PAGE>
<PAGE>
New York Trust (Uninsured)
The Portfolio contains 8 issues of Securities of issuers located in the
State of New York. Two of the issues (16.9%* of the Trust) are general
obligations of governmental entities and are backed by the general taxing powers
of those entities. The remaining issues are payable from the income of specific
projects or authorities and are not supported by the issuer's power to levy
taxes. Although income to pay such Securities may be derived from more than one
source, the primary sources of such income and the percentage of issues deriving
income from such sources are as follows: health and hospital facilities: 33.4%*
of the Trust; lease facilities: 15.4%* of the Trust; capital improvement bonds:
16.6%* of the Trust; transportation facilities: 16.7%* of the Trust;
miscellaneous: 1.0%* of the Trust. The Trust is concentrated in health and
hospital facilities Securities.
The Portfolio also contains Securities representing 16.8%* of the Trust
(single-family housing securities) which are subject to the requirements of
Section 103A of the Internal Revenue Code of 1954, as amended, or Section 143 of
the Internal Revenue Code of 1986.
66.7%* of the Securities in the Trust are rated by Standard & Poor's
Corporation. (33.0%* being rated AAA, 33.7%* being rated BBB) and 33.3%* of the
Securities in the Trust are rated by Moody's Investors Service (16.6%* being
rated A and 16.7%* being rated Baa). For a description of the meaning of the
applicable rating symbols as published by Standard & Poor's and Moody's, see
Part B--'Bond Ratings'. It should be emphasized, however, that the ratings of
Standard & Poor's and Moody's represent their opinions as to the quality of the
Securities which they undertake to rate and that these ratings are general and
are not absolute standards of quality.
Six Securities in the Trust have been issued with an 'original issue
discount'. (see Part B--'Tax Status.')
Of these original issue discount bonds, approximately 0.2% of the aggregate
principal amount of the Securities in the Trust (although only 0.1%* of the
aggregate bid price of all Securities in the Trust) are zero coupon bonds
(including bonds known as multiplier bonds, money multiplier bonds, capital
appreciation bonds, capital accumulator bonds, compound interest bonds, and
discount maturity payment bonds).
The Sponsor participated as sole underwriter or manager or member of
underwriting syndicates from which approximately 34.4%* of the Trust was
acquired.
- ------------
* Percentages computed on the basis of the aggregate bid price of the
Securities in the Trust on March 17, 1997.
A-iv
<PAGE>
<PAGE>
SUMMARY OF ESSENTIAL INFORMATION
NATIONAL MUNICIPAL TRUST
SERIES 165
(UNINSURED)
As of March 17, 1997
<TABLE>
<S> <C>
FACE AMOUNT OF SECURITIES.......................... $4,930,000.00
NUMBER OF UNITS.................................... 4,929
FRACTIONAL UNDIVIDED INTEREST IN THE TRUST
REPRESENTED BY EACH UNIT......................... 1/4,929th
PUBLIC OFFERING PRICE
Aggregate bid side evaluation of Securities in
the Trust...................................... $4,824,107.41
Divided by 4,929 Units........................... $ 978.72
Plus sales charge of 3.250% of Public Offering
Price (3.359% of net amount invested in
Securities).................................... $ 32.88
-------------
Public Offering Price per Unit(2)(4)............. $ 1,011.60
-------------
-------------
REDEMPTION PRICE AND SPONSOR'S REPURCHASE PRICE PER
UNIT (based on bid side evaluation of underlying
Securities, $32.88 less than Public Offering
Price per Unit)(4)............................... $ 978.72
-------------
-------------
MINIMUM PRINCIPAL DISTRIBUTION: No distribution need be made from
the Principal Account if the balance therein is less than $1
per Unit.
SPONSOR'S ANNUAL PORTFOLIO SUPERVISION FEE: Maximum $.25 per
$1,000 face amount of underlying Securities.
PREMIUM AND DISCOUNT ISSUES IN PORTFOLIO:
Face amount of Securities with bid side evaluation:
over par--40.3%; at par--0%; at a discount from par--59.7%
EVALUATOR'S FEE FOR EACH EVALUATION: Maximum of $14.
EVALUATION TIME: 3:30 P.M. New York time
MANDATORY TERMINATION DATE: The Trust must be terminated no later
than one year after the maturity date of the latest maturing
Security listed under the Trust's Schedule of Portfolio
Securities.
MINIMUM VALUE OF TRUST: The Trust may be terminated if the value
of the Trust is less than $3,016,000.
Percentage of Unit Holders required to consent in order to amend
(as permitted) the Trust Indenture and Agreement (except under
certain circumstances when Unit Holder consent is not
required).................................................. 51%
Percentage of Unit Holders required to consent in order to
terminate the Trust........................................ 51%
DATE OF DEPOSIT: January 26, 1994(1)
</TABLE>
<TABLE>
<CAPTION>
Monthly
-------
<S> <C>
CALCULATION OF ESTIMATED NET ANNUAL INCOME PER UNIT
Estimated Annual Income per Unit............................................................... $48.10
Less estimated annual expenses per Unit(3)..................................................... (1.99)
-------
Estimated Net Annual Income per Unit........................................................... $46.11
-------
-------
Trustee's Annual Fee per $1,000 principal amount of underlying Securities........................ $ 1.24
Daily Rate of Income Accrual per Unit............................................................ $.1281
Estimated Current Return (based on Public Offering Price)(5)(6).................................. 4.56%
Estimated Long-Term Return(6).................................................................... 4.44%
INTEREST DISTRIBUTION
Estimated Net Annual Income per Unit / 12...................................................... $ 3.84
Record Dates--Monthly: tenth day of each month
Distribution Dates--Monthly: twenty-fifth day of each month
</TABLE>
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(1) The Date of Deposit is the date on which the Indenture was signed and
the deposit of Securities with the Trustee was made.
(2) This Public Offering Price is computed as of March 17, 1997 and may vary
from the Public Offering Price on the date of this Prospectus or any subsequent
date.
(3) Includes Trustee's fee, Sponsor's Portfolio supervision fee, estimated
expenses and Evaluator's fees.
(4) Exclusive of accrued interest which to March 20, 1997, the expected date
of settlement for the purchase of Units on March 17, 1997 was $2.32.
(5) The estimated current return is increased for transactions entitled to a
reduced sales charge. (See Part B--'The Trust'--'Estimated Annual Income and
Current Return per Unit.')
(6) The Estimated Current Return is calculated by dividing the Estimated Net
Annual Income per Unit by the Public Offering Price per Unit. The Estimated Net
Annual Income per Unit will vary with changes in fees and expenses of the
Trustee and the Evaluator and with the principal prepayment, redemption,
maturity, exchange or sale of Securities while the Public Offering Price will
vary with changes in the bid price of the underlying Securities; therefore,
there is no assurance that the present Estimated Current Return indicated above
will be realized in the future. The Estimated Long-Term Return is calculated on
a pre-tax basis using a formula which takes into consideration, and factors in
the relative weightings of, the market values, yields (which takes into account
the amortization of premiums and the accretion of discounts) and estimated
retirements of all of the Securities in the Trust and takes into account the
expenses and sales charge associated with each Unit. Since the market values and
estimated retirements of the Securities and the expenses of the Trust will
change, there is no assurance that the present Estimated Long-Term Return as
indicated above will be realized in the future. The after-tax Estimated
Long-Term Return will be lower to the extent of any taxation on the disposition
of Securities. The after-tax Estimated Long-Term Return will be lower to the
extent of any taxation on the disposition of Securities. The Estimated Current
Return and Estimated Long-Term Return are expected to differ because the
calculation of the Estimated Long-Term Return reflects the estimated date and
amount of principal returned while the Estimated Current Return calculations
include only Net Annual Interest Income and Public Offering Price as of the
above indicated calculation date of the Summary of Essential Information.
A-v
<PAGE>
<PAGE>
SUMMARY OF ESSENTIAL INFORMATION
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
CALIFORNIA TRUST
As of March 17, 1997
<TABLE>
<S> <C>
FACE AMOUNT OF SECURITIES.......................... $2,070,000.00
NUMBER OF UNITS.................................... 2,079
FRACTIONAL UNDIVIDED INTEREST IN THE TRUST
REPRESENTED BY EACH UNIT......................... 1/2,079th
PUBLIC OFFERING PRICE
Aggregate bid side evaluation of Securities in
the Trust...................................... $2,043,513.77
Divided by 2,079 Units........................... $ 982.93
Plus sales charge of 3.796% of Public Offering
Price (3.946% of net amount invested in
Securities).................................... $ 38.79
-------------
Public Offering Price per Unit(2)(4)............. $ 1,021.72
-------------
-------------
REDEMPTION PRICE AND SPONSOR'S REPURCHASE PRICE PER
UNIT (based on bid side evaluation of underlying
Securities, $38.79 less than Public Offering
Price per Unit(4)................................ $ 982.93
-------------
-------------
MINIMUM PRINCIPAL DISTRIBUTION: No distribution need be made from
the Principal Account if the balance therein is less than $1
per Unit.
SPONSOR'S ANNUAL PORTFOLIO SUPERVISION FEE: Maximum $.25 per
$1,000 face amount of underlying Securities.
PREMIUM AND DISCOUNT ISSUES IN PORTFOLIO:
Face amount of Securities with bid side evaluation:
over par--0%; at par--0%; at a discount from par--100%
EVALUATOR'S FEE FOR EACH EVALUATION: Maximum of $14.
EVALUATION TIME: 3:30 P.M. New York time
MANDATORY TERMINATION DATE: The Trust must be terminated no later
than one year after the maturity date of the latest maturing
Security listed under the Trust's Schedule of Portfolio
Securities.
MINIMUM VALUE OF TRUST: The Trust may be terminated if the value
of the Trust is less than $1,200,000.
Percentage of Unit Holders required to consent in order to amend
(as permitted) the Trust Indenture and Agreement (except under
certain circumstances when Unit Holder consent is not
required).................................................. 51%
Percentage of Unit Holders required to consent in order to
terminate the Trust........................................ 51%
DATE OF DEPOSIT: January 26 1994(1)
</TABLE>
<TABLE>
<CAPTION>
Monthly
-------
<S> <C>
CALCULATION OF ESTIMATED NET ANNUAL INCOME PER UNIT
Estimated Annual Income per Unit............................................................... $45.61
Less estimated annual expenses per Unit(3)..................................................... (2.08)
-------
Estimated Net Annual Income per Unit........................................................... $43.53
-------
-------
Trustee's Annual Fee per $1,000 principal amount of underlying Securities........................ $ 1.22
Daily Rate of Income Accrual per Unit............................................................ $.1209
Estimated Current Return (based on Public Offering Price)(5)(6).................................. 4.26%
Estimated Long-Term Return(6).................................................................... 4.018%
INTEREST DISTRIBUTION
Estimated Net Annual Income per Unit / 12...................................................... $ 3.62
Record Dates--Monthly: tenth day of each month
Distribution Dates--Monthly: twenty-fifth day of each month
</TABLE>
- ------------
(1) The Date of Deposit is the date on which the Indenture was signed and
the deposit of Securities with the Trustee was made.
(2) This Public Offering Price is computed as of March 17, 1997 and may vary
from the Public Offering Price on the date of this Prospectus or any subsequent
date.
(3) Includes Trustee's fee, Sponsor's Portfolio supervision fee, estimated
expenses and Evaluator's fees.
(4) Exclusive of accrued interest which to March 20, 1997, the expected date
of settlement for the purchase of Units on March 17, 1997 was $1.75.
(5) The estimated current return is increased for transactions entitled to a
reduced sales charge. (See Part B--'The Trust'--'Estimated Annual Income and
Current Return per Unit.')
(6) The Estimated Current Return is calculated by dividing the Estimated Net
Annual Income per Unit by the Public Offering Price per Unit. The Estimated Net
Annual Income per Unit will vary with changes in fees and expenses of the
Trustee and the Evaluator and with the principal prepayment, redemption,
maturity, exchange or sale of Securities while the Public Offering Price will
vary with changes in the bid price of the underlying Securities; therefore,
there is no assurance that the present Estimated Current Return indicated above
will be realized in the future. The Estimated Long-Term Return is calculated on
a pre-tax basis using a formula which takes into consideration, and factors in
the relative weightings of, the market values, yields (which takes into account
the amortization of premiums and the accretion of discounts) and estimated
retirements of all of the Securities in the Trust and takes into account the
expenses and sales charge associated with each Unit. Since the market values and
estimated retirements of the Securities and the expenses of the Trust will
change, there is no assurance that the present Estimated Long-Term Return as
indicated above will be realized in the future. The after-tax Estimated
Long-Term Return will be lower to the extent of any taxation on the disposition
of Securities. The Estimated Current Return and Estimated Long-Term Return are
expected to differ because the calculation of the Estimated Long-Term Return
reflects the estimated date and amount of principal returned while the Estimated
Current Return calculations include only Net Annual Interest Income and Public
Offering Price as of the above indicated calculation date of the Summary of
Essential Information.
A-vi
<PAGE>
<PAGE>
SUMMARY OF ESSENTIAL INFORMATION
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
FLORIDA TRUST
(INSURED)
As of March 17, 1997
STANDARD & POOR'S CORPORATION RATING: AAA
<TABLE>
<S> <C>
FACE AMOUNT OF SECURITIES.......................... $1,890,000.00
NUMBER OF UNITS.................................... 1,893
FRACTIONAL UNDIVIDED INTEREST IN THE TRUST
REPRESENTED BY EACH UNIT......................... 1/1,893st
PUBLIC OFFERING PRICE
Aggregate bid side evaluation of Securities in
the Trust...................................... $1,851,619.68
Divided by 1,893 Units........................... $ 978.14
Plus sales charge of 3.692% of Public Offering
Price (3.834% of net amount invested in
Securities).................................... $ 37.50
-------------
Public Offering Price per Unit(2)(4)............. $ 1,015.64
-------------
-------------
REDEMPTION PRICE AND SPONSOR'S REPURCHASE PRICE PER
UNIT (based on bid side evaluation of underlying
Securities, $37.50 less than Public Offering
Price per Unit(4)................................ $ 978.14
-------------
-------------
MINIMUM PRINCIPAL DISTRIBUTION: No distribution need be made from
the Principal Account if the balance therein is less than $1
per Unit.
SPONSOR'S ANNUAL PORTFOLIO SUPERVISION FEE: Maximum $.05 per
$1,000 face amount of underlying Securities.
PREMIUM AND DISCOUNT ISSUES IN PORTFOLIO:
Face amount of Securities with bid side evaluation:
over par--0%; at par--0%; at a discount from par--100%
EVALUATOR'S FEE FOR EACH EVALUATION: Maximum of $14.
EVALUATION TIME: 3:30 P.M. New York time
MANDATORY TERMINATION DATE: The Trust must be terminated no later
than one year after the maturity date of the latest maturing
Security listed under the Trust's Schedule of Portfolio
Securities.
MINIMUM VALUE OF TRUST: The Trust may be terminated if the value
of the Trust is less than $1,200,000.
Percentage of Unit Holders required to consent in order to amend
(as permitted) the Trust Indenture and Agreement (except under
certain circumstances when Unit Holder consent is not
required).................................................. 51%
Percentage of Unit Holders required to consent in order to
terminate the Trust........................................ 51%
DATE OF DEPOSIT: January 26, 1994(1)
</TABLE>
<TABLE>
<CAPTION>
Monthly
-------
<S> <C>
CALCULATION OF ESTIMATED NET ANNUAL INCOME PER UNIT
Estimated Annual Income per Unit............................................................... $44.47
Less estimated annual expenses per Unit(3)..................................................... (2.08)
-------
Estimated Net Annual Income per Unit........................................................... $42.39
-------
-------
Trustee's Annual Fee per $1,000 principal amount of underlying Securities........................ $ 1.21
Daily Rate of Income Accrual per Unit............................................................ $.1178
Estimated Current Return (based on Public Offering Price)(5)(6).................................. 4.17%
Estimated Long-Term Return(6).................................................................... 4.062%
INTEREST DISTRIBUTION
Estimated Net Annual Income per Unit / 12...................................................... $ 3.53
Record Dates--Monthly: tenth day of each month
Distribution Dates--Monthly: twenty-fifth day of each month
</TABLE>
- ------------
(1) The Date of Deposit is the date on which the Indenture was signed and
the deposit of Securities with the Trustee was made.
(2) This Public Offering Price is computed as of March 17, 1997 and may vary
from the Public Offering Price on the date of this Prospectus or any subsequent
date.
(3) Includes Trustee's fee, Sponsor's Portfolio supervision fee, estimated
expenses and Evaluator's fees.
(4) Exclusive of accrued interest which to March 20, 1997, the expected date
of settlement for the purchase of Units on March 17, 1997 was $1.76.
(5) The estimated current return is increased for transactions entitled to a
reduced sales charge. (See Part B--'The Trust'--'Estimated Annual Income and
Current Return per Unit.')
(6) The Estimated Current Return is calculated by dividing the Estimated Net
Annual Income per Unit by the Public Offering Price per Unit. The Estimated Net
Annual Income per Unit will vary with changes in fees and expenses of the
Trustee and the Evaluator and with the principal prepayment, redemption,
maturity, exchange or sale of Securities while the Public Offering Price will
vary with changes in the bid price of the underlying Securities; therefore,
there is no assurance that the present Estimated Current Return indicated above
will be realized in the future. The Estimated Long-Term Return is calculated on
a pre-tax basis using a formula which takes into consideration, and factors in
the relative weightings of, the market values, yields (which takes into account
the amortization of premiums and the accretion of discounts) and estimated
retirements of all of the Securities in the Trust and takes into account the
expenses and sales charge associated with each Unit. Since the market values and
estimated retirements of the Securities and the expenses of the Trust will
change, there is no assurance that the present Estimated Long-Term Return as
indicated above will be realized in the future. The after-tax Estimated
Long-Term Return will be lower to the extent of any taxation on the disposition
of Securities. The Estimated Current Return and Estimated Long-Term Return are
expected to differ because the calculation of the Estimated Long-Term Return
reflects the estimated date and amount of principal returned while the Estimated
Current Return calculations include only Net Annual Interest Income and Public
Offering Price as of the above indicated calculation date of the Summary of
Essential Information.
A-vii
<PAGE>
<PAGE>
SUMMARY OF ESSENTIAL INFORMATION
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
NEW YORK TRUST
(UNINSURED)
As of March 17, 1997
<TABLE>
<S> <C>
FACE AMOUNT OF SECURITIES.......................... $2,855,000.00
NUMBER OF UNITS.................................... 2,847
FRACTIONAL UNDIVIDED INTEREST IN THE TRUST
REPRESENTED BY EACH UNIT......................... 1/2,847th
PUBLIC OFFERING PRICE
Aggregate bid side evaluation of Securities in
the Trust...................................... $2,822,134.04
Divided by 2,847 Units........................... $ 991.26
Plus sales charge of 3.670% of Public Offering
Price (3.810% of net amount invested in
Securities).................................... $ 37.77
-------------
Public Offering Price per Unit(2)(4)............. $ 1,029.03
-------------
-------------
REDEMPTION PRICE AND SPONSOR'S REPURCHASE PRICE PER
UNIT (based on bid side evaluation of underlying
Securities, $37.77 less than Public Offering
Price per Unit)(4)............................... $ 991.26
-------------
-------------
MINIMUM PRINCIPAL DISTRIBUTION: No distribution need be made from
the Principal Account if the balance therein is less than $1
per Unit.
SPONSOR'S ANNUAL PORTFOLIO SUPERVISION FEE: Maximum $.25 per
$1,000 face amount of underlying Securities.
PREMIUM AND DISCOUNT ISSUES IN PORTFOLIO:
Face amount of Securities with bid side evaluation:
over par--0%; at par--0%; at a discount from par--100%
EVALUATOR'S FEE FOR EACH EVALUATION: Maximum of $14.
EVALUATION TIME: 3:30 P.M. New York time
MANDATORY TERMINATION DATE: The Trust must be terminated no later
than one year after the maturity date of the latest maturing
Security listed under the Trust's Schedule of Portfolio
Securities.
MINIMUM VALUE OF TRUST: The Trust may be terminated if the value
of the Trust is less than $1,206,000.
Percentage of Unit Holders required to consent in order to amend
(as permitted) the Trust Indenture and Agreement (except under
certain circumstances when Unit Holder consent is not
required).................................................. 51%
Percentage of Unit Holders required to consent in order to
terminate the Trust........................................ 51%
DATE OF DEPOSIT: January 26, 1994(1)
</TABLE>
<TABLE>
<CAPTION>
Monthly
-------
<S> <C>
CALCULATION OF ESTIMATED NET ANNUAL INCOME PER UNIT
Estimated Annual Income per Unit............................................................... $49.46
Less estimated annual expenses per Unit(3)..................................................... (1.91)
-------
Estimated Net Annual Income per Unit........................................................... $47.55
-------
-------
Trustee's Annual Fee per $1,000 principal amount of underlying Securities........................ $ 1.05
Daily Rate of Income Accrual per Unit............................................................ $.1321
Estimated Current Return (based on Public Offering Price)(5)(6).................................. 4.62%
Estimated Long-Term Return(6).................................................................... 4.386%
INTEREST DISTRIBUTION
Estimated Net Annual Income per Unit / 12...................................................... $ 3.96
Record Dates--Monthly: tenth day of each month
Distribution Dates--Monthly: twenty-fifth day of each month
</TABLE>
- ------------
(1) The Date of Deposit is the date on which the Indenture was signed and
the deposit of Securities with the Trustee was made.
(2) This Public Offering Price is computed as of March 17, 1997 and may vary
from the Public Offering Price on the date of this Prospectus or any subsequent
date.
(3) Includes Trustee's fee, Sponsor's Portfolio supervision fee, estimated
expenses and Evaluator's fees.
(4) Exclusive of accrued interest which to March 20, 1997, the expected date
of settlement for the purchase of Units on March 17, 1997 was $1.98.
(5) The estimated current return is increased for transactions entitled to a
reduced sales charge. (See Part B--'The Trust'--'Estimated Annual Income and
Current Return per Unit.')
(6) The Estimated Current Return is calculated by dividing the Estimated Net
Annual Income per Unit by the Public Offering Price per Unit. The Estimated Net
Annual Income per Unit will vary with changes in fees and expenses of the
Trustee and the Evaluator and with the principal prepayment, redemption,
maturity, exchange or sale of Securities while the Public Offering Price will
vary with changes in the bid price of the underlying Securities; therefore,
there is no assurance that the present Estimated Current Return indicated above
will be realized in the future. The Estimated Long-Term Return is calculated on
a pre-tax basis using a formula which takes into consideration, and factors in
the relative weightings of, the market values, yields (which takes into account
the amortization of premiums and the accretion of discounts) and estimated
retirements of all of the Securities in the Trust and takes into account the
expenses and sales charge associated with each Unit. Since the market values and
estimated retirements of the Securities and the expenses of the Trust will
change, there is no assurance that the present Estimated Long-Term Return as
indicated above will be realized in the future. The after-tax Estimated
Long-Term Return will be lower to the extent of any taxation on the disposition
of Securities. The Estimated Current Return and Estimated Long-Term Return are
expected to differ because the calculation of the Estimated Long-Term Return
reflects the estimated date and amount of principal returned while the Estimated
Current Return calculations include only Net Annual Interest Income and Public
Offering Price as of the above indicated calculation date of the Summary of
Essential Information.
A-viii
<PAGE>
<PAGE>
Risk Factors
Potential purchasers of the Units of a State Trust should consider the fact
that the Trust's Portfolio consists primarily of Securities issued by the state
for which such State Trust is named or its municipalities or authorities and
realize the substantial risks associated with an investment in such Securities.
Each State Trust is subject to certain additional risk factors:
The Sponsor believes the information summarized below describes some of the
more significant aspects of the State Trust. The sources of such information are
the official statements of issuers as well as other publicly available
documents. While the Sponsor has not independently verified this information, it
has no reason to believe that such information is not correct in all material
respects.
California Trust
Since the start of the 1990-91 fiscal year, California (the 'State') has
faced the worst economic, fiscal and budget conditions since the 1930s.
Construction, manufacturing (especially aerospace), exports and financial
services, among others, have all been severely affected. Job losses have been
the worst of any post-war recession and have been estimated to exceed 800,000.
While the most severe point of the recession has been estimated to have occurred
in late 1993, pre-recession job levels are not expected to be reached for
several more years.
The recession has affected State tax revenues, which mirror economic
conditions. It has also caused increased expenditures for health and welfare
programs. The State has also been facing a structural imbalance in its budget
with the largest programs supported by the General Fund (K-12 schools and
community colleges, health, welfare and corrections) growing at rates higher
than the growth rates for the principal revenue sources of the General Fund.
(The General Fund, the State's main operating fund, consists of revenues which
are not required to be credited to any other fund.) As a result, the State has
experienced recurring budget deficits.
Employment, income, and retail sales in the State have shown modest
increases over the past two years, indicating some recovery from recessionary
conditions. These increases notwithstanding, pre-recession job levels are not
expected to be reached until 1997.
Together with the federal government, which is providing over $9.5 billion
in aid, the State is committed to assisting local governments, individuals and
businesses suffering damage caused by the Northridge earthquake, as well as to
assisting in the repair and replacement of State-owned facilities.
On December 6, 1994, Orange County, California (the 'County'), together with
its pooled investment funds (the 'Pools'), filed for protection under Chapter 9
of the federal Bankruptcy Code.
On May 2, 1995, the Bankruptcy Court approved a settlement agreement
covering claims of the other participating entities against the County and the
Pools. Most participants have received in cash 80% (90% for school districts) of
their Pools' investments with the balance to be paid in the future.
The State bears no existing obligation in connection with any of the
outstanding obligations or securities of the County or any of the other
participating entities. It may, however, be necessary for the State to intervene
if the County lacks sufficient resources to maintain County administered State
programs. In this regard, the State cannot predict what, if any, action may
occur. The Legislature is considering the County's new financial plan and other
proposals relating to the County bankruptcy, including possible State oversight
of County finances. None of the proposals, however, presently involve any direct
State financial support of the County.
1995-96 Budget
The State began the 1995-96 fiscal year with strengthening revenues based on
an improving economy and the smallest nominal 'budget gap' to be closed in many
years.
The 1995-96 Budget Act, signed by the Governor on August 3, 1995, projects
General Fund revenues and transfers of $44.1 billion, about $2.2 billion higher
than projected revenues in 1994-95. The Budget Act projects Special Fund
revenues of $12.7 billion, an increase from $12.1 billion projected in 1994-95.
The 1995-96 Budget Act projects General Fund expenditures and transfers of
$43.4 billion, an increase of $168 million over 1994-95. The Budget Act also
projects Special Fund expenditures of $13.4 billion, a decrease of $700 million
from 1994-95 projected expenditures. The principal features of the Budget Act
were the following:
A-ix
<PAGE>
<PAGE>
1. Proposition 98 funding for schools and community colleges will increase
by about $1 billion (General Fund) and $1.2 billion total above revised 1994-95
levels. Because of higher than projected revenues in 1994-95, an additional $543
million is appropriated to the 1994-95 Proposition 98 entitlement. A significant
component of this amount is a block grant of about $54 per pupil for any
one-time purpose. Per-pupil expenditures are projected to increase by another
$126 in 1995-96 to $4,435. A full 2.7% cost of living allowance is funded for
the first time in several years. The budget compromise anticipates a settlement
of the CTA v. Gould litigation.
2. Cuts in health and welfare costs totaling about $900 million, some of
which would require federal legislative approval.
3. A 3.5% increase in funding for the University of California ($90 million
General Fund) and the California State University system ($24 million General
Fund).
4. The Budget assumes receipt of $473 million in new federal aid for costs
of illegal immigrants, in excess of federal government commitments. This amount
is considerably less than the summer 1994 two-year budget proposal estimate, and
is somewhat lower than the estimate in the January 1995 Governor's Budget.
5. General Fund support for the Department of Corrections is increased by
about 8 percent over 1994-95, reflecting estimates of increased prison
population. This amount is less than was proposed in the Governor's Budget.
THE FOREGOING DISCUSSION OF THE 1995-96 FISCAL YEAR BUDGET IS BASED IN LARGE
PART ON STATEMENTS MADE IN A RECENT 'PRELIMINARY OFFICIAL STATEMENT' DISTRIBUTED
BY THE STATE OF CALIFORNIA. IN THAT DOCUMENT, THE STATE INDICATED THAT ITS
DISCUSSION OF THE FISCAL YEAR BUDGET IS BASED ON ESTIMATES AND PROJECTIONS OF
REVENUES AND EXPENDITURES FOR THE CURRENT FISCAL YEAR AND MUST NOT BE CONSTRUED
AS STATEMENTS OF FACT. THE STATE NOTED FURTHER THAT THE ESTIMATES AND
PROJECTIONS ARE BASED UPON VARIOUS ASSUMPTIONS WHICH MAY BE AFFECTED BY NUMEROUS
FACTORS, INCLUDING FUTURE ECONOMIC CONDITIONS IN THE STATE AND THE NATION, AND
THAT THERE CAN BE NO ASSURANCE THAT THE ESTIMATES WILL BE ACHIEVED.
State Appropriations Limit
The State is subject to an annual appropriations limit imposed by Article
XIIIB of the State Constitution (the 'Appropriations Limit'), and is prohibited
from spending 'appropriations subject to limitation' in excess of the
Appropriations Limit. Article XIIIB, originally adopted in 1979, was modified
substantially by Propositions 98 and 111 in 1988 and 1990, respectively.
'Appropriations subject to limitation' are authorizations to spend 'proceeds of
taxes,' which consist of tax revenues and certain other funds, including
proceeds from regulatory licenses, user charges or other fees to the extent that
such proceeds exceed the reasonable cost of providing the regulation, product or
service. The Appropriations Limit is based on the limit for the prior year,
adjusted annually for certain changes, and is tested over consecutive two-year
periods. Any excess of the aggregate proceeds of taxes received over such
two-year period above the combined Appropriation Limits for those two years is
divided equally between transfers to K-14 districts and refunds to taxpayers.
Exempted from the Appropriations Limit are debt service costs of certain
bonds, court or federally mandated costs, and, pursuant to Proposition 111,
qualified capital outlay projects and appropriations or revenues derived from
any increase in gasoline taxes and motor vehicle weight fees above January 1,
1990 levels. Some recent initiatives were structured to create new tax revenues
dedicated to specific uses and expressly exempted from the Article XIIIB limits.
The Appropriations Limit may also be exceeded in cases of emergency arising from
civil disturbance or natural disaster declared by the Governor and approved by
two-thirds of the Legislature. If not so declared and approved, the
Appropriations Limit for the next three years must be reduced by the amount of
the excess.
Because of the complexities of Article XIIIB, the ambiguities and possible
inconsistencies in its terms, the applicability of its exceptions and exemptions
and the impossibility of predicting future appropriations, the Sponsor cannot
predict the impact of this or related legislation on the bonds in the California
Trust Portfolio. Other Constitutional amendments affecting state and local taxes
and appropriations have been proposed from time to time. If any such initiatives
are adopted, the State could be pressured to provide additional financial
assistance to local governments or appropriate revenues as mandated by such
initiatives. Propositions such as Proposition 98 and others that may be adopted
in the future, may place increasing pressure on the State's budget over future
years, potentially reducing resources available for
A-x
<PAGE>
<PAGE>
other State programs, especially to the extent that the Article XIIIB spending
limit would restrain the State's ability to fund such other programs by raising
taxes.
State Indebtedness
As of August 1, 1995, the State had over $18.93 billion aggregate amount of
its general obligation bonds outstanding. General obligation bond authorizations
in an aggregate amount of approximately $2.81 billion remained unissued as of
August 1, 1995. The State also builds and acquires capital facilities through
the use of lease purchase borrowing. As of August 1, 1995, the State had
approximately $5.56 billion of outstanding Lease-Purchase Debt.
In addition to the general obligation bonds, State agencies and authorities
had approximately $18.98 billion aggregate principal amount of revenue bonds and
notes outstanding as of June 30, 1995. Revenue bonds represent both obligations
payable from State revenue-producing enterprises and projects, which are not
payable from the General Fund, and conduit obligations payable only from
revenues paid by private users of facilities financed by such revenue bonds.
Such enterprises and projects include transportation projects, various public
works and exposition projects, educational facilities (including the California
State University and University of California systems), housing, health
facilities and pollution control facilities.
Litigation
The State is a party to numerous legal proceedings, many of which normally
occur in governmental operations. In addition, the State is involved in certain
other legal proceedings that, if decided against the State, might require the
State to make significant future expenditures or impair future revenue sources.
Ratings
On July 15, 1994, Standard & Poor's Corporation ('Standard & Poor's'),
Moody's Investors Service, Inc. ('Moody's'), and Fitch Investors Service, Inc.
('Fitch') all downgraded their ratings of California's general obligation bonds.
These bonds are usually sold in 20- to 30-year increments and used to finance
the construction of schools, prisons, water systems and other projects. The
ratings were reduced by Standard & Poor's from 'A+' to 'A,' by Moody's from 'Aa'
to 'A1,' and by Fitch from 'AA' to 'A.' Since 1991, when it had a 'AAA' rating,
the State's rating has been downgraded three times by all three ratings
agencies. All three agencies cite the 1994-95 Budget Act's dependence on a
'questionable' federal bailout to pay for the cost of illegal immigrants, the
Proposition 98 guaranty of a minimum portion of State revenues for kindergarten
through community college, and the persistent deficit requiring more borrowing
as reasons for the reduced rating. Another concern was the State's reliance on a
standby mechanism which could trigger across-the-board reductions in all State
programs, and which could disrupt State operations, particularly in fiscal year
1995-96. However, a Standard & Poor's spokesman stated that, although the
lowered-ratings means California is a riskier borrower, Standard & Poor's
anticipates that the State will pay off its debts and not default. There can be
no assurance that such ratings will continue for any given period of time or
that they will not in the future be further revised.
Fitch upgraded its rating of California's general obligation bonds from 'A'
to 'A+' on February 26, 1996. No rating change was made, however, by either
Moody's or Standard & Poor's as of that date.
As a result of Orange County's Chapter 9 bankruptcy filing on December 6,
1994, Moody's suspended the county's bond ratings until January 6, 1995, when it
reinstated them at a rating of 'Caa.' On December 6, 1994, Standard & Poor's cut
its rating of all Orange County debt from 'AA-' to 'CCC,' a level below
investment grade and an indication of high risk and uncertainty, and on December
8, 1994, Standard & Poor's further reduced its rating to 'D' indicating default
status. Fitch does not rate Orange County bonds. It is anticipated that as
Orange County's credit and bond ratings fall, it will have difficulty in getting
loans or selling its bonds to raise money. Additionally, the County's bankruptcy
filing could affect about 180 municipalities, school districts, and other
municipal entities which entrusted billions of dollars to Orange County to
invest. Standard & Poor's has informed such entities that they have been placed
on negative credit watch, the usual step prior to a downgrade of credit rating.
The Sponsor believes the information summarized above describes some of the
more significant aspects relating to the California Trust. The sources of such
information are Preliminary Official Statements and Official Statements relating
to the State's general obligation bonds and the State's revenue anticipation
notes, or obligations of other issuers located in the State of California, or
other publicly available documents. Although the Sponsor has not independently
verified this information, it has no reason to believe that such information is
not correct in all material respects.
A-xi
<PAGE>
<PAGE>
Florida Trust
Population
In 1980, Florida was the seventh most populous state in the U.S. The State
has grown dramatically since then and as of April 1, 1995, ranks fourth stimated
population of 14.1 million. Florida's attraction, as both a growth and
retirement state, has kept net migration at an average of 227,000 new residents
a year from 1985 through 1995. The U.S. average population increase since 1984
is about 1% annually, while Florida's average annual rate of increase is about
2.3%. Florida continues to be the fastest growing of the eleven largest states.
This strong population growth is one reason the State's economy is performing
better than the national economy as a whole. In addition to attracting senior
citizens to Florida as a place for retirement, the State is also recognized as
attracting a significant number of working age individuals. Since 1985, the
prime working age population (18 - 44) has grown at an average annual rate of
2.2%. The share of Florida's total working age population (18 - 59) to total
State population is approximately 54%. This share is not expected to change
appreciably into the twenty-first century.
Income
The State's personal income has been growing strongly the last several years
and has generally outperformed both the U.S., as a whole, and the southeast
United States in particular, according to the U.S. Department of Commerce and
the Florida Consensus Economic Estimating Conference. This is because Florida's
population has been growing at a very strong pace and, since the early 70's, the
State's economy has diversified so as to provide a broader economic base. As a
result, Florida's real per capita personal income has tracked closely with the
national average and has tracked above the southeast. From 1985 through 1995,
the State's real per capita income rose an average 5.0% a year, while the
national real per capita income increased at an average 4.9%.
Because Florida has a proportionately greater retirement age population,
property income (dividends, interest, and rent) and transfer payments (Social
Security and pension benefits, among other sources of income) are relatively
more important sources of income. For example, Florida's total wages and
salaries and other labor income in 1994 was 60.6% of total personal income,
while a similar figure for the nation was 70.8%. Transfer payments are typically
less sensitive to the business cycle than employment income and, therefore, act
as stabilizing forces in weak economic periods.
The State's per capita personal income in 1995 of $22,916 was slightly above
the national average of $22,788 and significantly ahead of that for the
southeast United States, which was $20,645. Real personal income in the State is
expected to increase 4.2% in 1996-97 and 4.4% in 1997-98. Real personal income
per capita in the State is projected to grow at 2.3% in 1996-97 and 2.6% in
1997-98. The Florida economy appears to be performing in line with the U.S.
economy and is expected to experience steady if unspectacular growth over the
next few years.
Employment
Since 1985, the State's population has increased an estimated 26.1%. In that
same period, Florida's total non-farm employment has grown by over 36%. Since
1985, the job creation rate in the State is more than twice that of the nation
as a whole. Contributing to this is the State's rapid rate of growth in
employment and income in international trade. Changes to the Florida economy
have also contributed to the State's strong performance. The State is now less
dependent on employment from construction, construction related manufacturing,
and resource based manufacturing, which have declined as a proportion of total
State employment. The State's service sector employment is nearly 87% of total
non-farm employment. While the southeast and the nation have a greater
proportion of manufacturing jobs, which tend to pay higher wages, service jobs
tend to be less sensitive to swings in the business cycle. The State has a
concentration of manufacturing jobs in high-tech and high value-added sectors,
such as electrical and electronic equipment, as well as printing and publishing.
These type of manufacturing jobs tend to be less cyclical. The State's
unemployment rate throughout the 1980's tracked below the nation's. As the
State's economic growth has slowed, its unemployment rate has tracked above the
national average. The average rate in the State since 1986 is 6.2%. The national
average also is 6.2%. According to the U.S. Department of Commerce, the Florida
Department of Labor and Employment Security, and the Florida Consensus Economic
Estimating Conference (together the 'Organization') the State's unemployment
rate was 5.5% during 1995. As of November 1996, the Organization estimates that
the unemployment rate will be 5.3% for 1996 and 5.3% in 1997.
The State's economy is expected to decelerate along with the nation, but is
expected to outperform the nation as a whole. Total non-farm employment in
Florida is expected to increase 2.9% in 1996-97 and 2.9% in 1997-98. Trade and
services, the two largest employment sectors, account for more than half of the
total non-farm employment. Employment
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in the service sectors should experience an increase of 4.3% in 1996-97 and 4.3%
in 1997-98. Trade is expected to expand 3.1% in 1997 and 2.9% in 1998. The
service sector is now the State's largest employment category.
Construction
The State's economy has in the past been highly dependent on the
construction industry and construction related manufacturing. This dependency
has declined in recent years and continues to decline as a result of continued
diversification of the State's economy. For example, in 1980, total contract
construction employment as a share of total non-farm employment was about 7.5%,
and in 1995, the share edged downward to 5%. This trend is expected to continue
as the State's economy continues to diversify. Florida, nevertheless, has a
dynamic construction industry, with single and multi-family housing starts
accounting for about 8.5% of total U.S. housing starts in 1995 while the State's
population is 5.4% of the U.S. total population. Florida's housing starts in
1995 were 115,000 and since 1985 have averaged 148,500 a year.
A driving force behind the State's construction industry has been the
State's rapid rate of population growth. Although the State currently is the
fourth most populous state, its annual population growth is now projected to
slow somewhat as the number of people moving into the State is expected to grow
close to 230,000 a year throughout the 1990's. This population trend should
provide fuel for business and home builders to keep construction active in
Florida for some time to come. However, other factors do influence the level of
construction in the State. For example, federal tax reform in 1986 and other
changes to the federal income tax code have eliminated tax deductions for owners
of more than two residential real estate properties and have lengthened
depreciation schedules on investment and commercial properties. Economic growth
and existing supplies of homes and buildings also contribute to the level of
construction in the State.
Single and multi-family housing starts in 1996-97 are projected to reach a
combined level of 113,200 while increasing to 116,000 next year. Lingering
recessionary effects on consumers and tight credit are some of the reasons for
relatively slow core construction activity, as well as lingering effects from
the 1986 tax reform legislation discussed above. Total construction expenditures
are forecasted to increase 5.9% this year and increase 2.7% next year.
The State has continuously been dependent on the highly cyclical
construction and construction related manufacturing industries. While that
dependency has decreased, the State is still somewhat subject to the
construction and construction related manufacturing industries. The construction
industry is driven to a great extent by the State's rapid growth in population.
There can be no assurance that population growth will continue throughout the
1990's in which case there could be an adverse impact on the State's economy
through the loss of construction and construction related manufacturing jobs.
Also, increases in interest rates could significantly adversely impact the
financing of new construction within the State, thereby adversely impacting
unemployment and other economic factors within the State. In addition, available
commercial office space has tended to remain high over the past few years. So
long as this glut of commercial rental space continues, construction of this
type of space will likely continue to remain slow.
Tourism
Tourism is one of the State's most important industries. Approximately 40.7
million tourists visited the State in 1995, as reported by the Florida
Department of Commerce. In terms of business activities and State tax revenues,
tourists in Florida in 1995 represented an estimated 4.5 million additional
residents. Visitors to the State tend to arrive slightly more by air than by
car. The State's tourist industry over the years has become more sophisticated,
attracting visitors year-round and, to a degree, reducing its seasonality.
Tourist arrivals are expected to increase by 2.7% in the 1996 fiscal year and
3.2% next fiscal year. Tourist arrivals to Florida by air are expected to
decrease by 5.2% this year and increase by 3.1% next year, while arrivals by car
are expected to fall by 0.3% in 1996-97 but increase 3.2% in 1997-98. By the end
of the State's current fiscal year, 42.6 million domestic and international
tourists are expected to have visited the State. In 1996-97, tourist arrivals
should approximate 43.9 million.
Revenues and Expenses
Estimated fiscal year 1995-96 General Revenue plus Working Capital and
Budget Stabilization funds available to the State total $15,419.3 million, a
4.0% increase over 1994-95. Of the total General Revenue plus Working Capital
and Budget Stabilization funds available to the State, $14,651.7 million of that
is Estimated Revenues which represents an increase of 7.4% over the previous
year's Estimated Revenues. With effective General Revenues plus Working Capital
Fund and Budget Stabilization appropriations at $14,710.4 million, unencumbered
reserves at the end of 1995-96 are
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estimated at $697.8 million. Estimated fiscal year 1996-97 General Revenue plus
Working Capital and Budget Stabilization funds available total $16,601.7
million, a 7.7% increase over 1995-96. The $15,566.9 million in Estimated
Revenues (including recent Measures Affecting Revenues) represents an increase
of 6.2% over the previous year's Estimated Revenues. With Combined General
Revenues, Working Capital Fund, and Budget Stabilization Fund appropriations at
$15,582.2 million, unencumbered reserves as of the end of 1996-97 are estimated
at $1,019.5 million.
In fiscal year 1994-95, approximately 66% of the State's total direct
revenue to its three operating funds were derived from State taxes and fees,
with Federal grants and other special revenue accounting for the balance. State
sales and use tax, corporate income tax, intangible personal property tax, and
beverage tax amounted to 69%, 7%, 4%, and 4%, respectively, of total General
Revenue Funds available during fiscal 1994-95. In that same year, expenditures
for education, health and welfare, and public safety amounted to approximately
51%, 31%, and 14%, respectively, of total expenditures from the General Revenue
Fund.
The State's sales and use tax (6%) currently accounts for the State's single
largest source of tax receipts. Slightly less than 10% of the State's sales and
use tax is designated for local governments and is distributed to the respective
counties in which collected for use by the counties, and the municipalities
therein. In addition to this distribution, local governments may (by referendum)
assess a 0.5% or a 1.0% discretionary sales surtax within their county. Proceeds
from this local option sales tax are earmarked for funding local infrastructure
programs and acquiring land for public recreation or conservation or protection
of natural resources as provided under applicable Florida law. Certain charter
counties have other taxing powers in addition, and non-consolidated counties
with a population in excess of 800,000 may levy a local option sales tax to fund
indigent health care. It alone cannot exceed 0.5% and when combined with the
infrastructure surtax cannot exceed 1.0%. For the fiscal year ended June 30,
1996, sales and use tax receipts (exclusive of the tax on gasoline and special
fuels) totalled $11,461 million, an increase of 7.4% over fiscal year 1994-95.
The second largest source of State tax receipts is the tax on motor fuels.
However, these revenues are almost entirely dedicated trust funds for specific
purposes and are not included in the State's General Revenue Fund.
The State imposes an alcoholic beverage, wholesale tax (excise tax) on beer,
wine, and liquor. This tax is one of the State's major tax sources, with
revenues totalling $441.5 million in fiscal year ending June 30, 1996. Alcoholic
beverage tax receipts increased about 1.0% from the previous year's total.
Ninety-eight percent of the revenues collected from this tax are deposited into
the State's General Revenue Fund.
The State imposes a corporate income tax. All receipts of the corporate
income tax are credited to the General Revenue Fund. For the fiscal year ended
June 30, 1996, receipts from this source were $1,162.7 million, an increase of
9.3% from fiscal year 1994-95.
The State imposes a documentary stamp tax on deeds and other documents
relating to realty, corporate shares, bonds, certificates of indebtedness,
promissory notes, wage assignments, and retail charge accounts. The documentary
stamp tax collections totalled $775.2 million during fiscal year 1995-96, an
11.5% increase from the previous fiscal year. For fiscal year 1994-95, 62.63% of
these taxes were deposited to the General Revenue Fund.
The State imposes a gross receipts tax on electric, natural gas, and
telecommunications services. All gross receipts utilities tax collections are
credited to the State's Public Education Capital Outlay and Debt Service Trust
Fund. In fiscal year 1994-95, this amounted to $543.3 million, an increase of
6.9% over the previous fiscal year.
The State imposes an intangible personal property tax on stocks, bonds,
including bonds secured by liens on Florida real property, notes, governmental
leaseholds, and certain other intangibles not secured by a lien on Florida real
property. The annual rate of tax is 2 mils (a mil is $1.00 of tax per $1,000.00
of property value). Second, the State imposes a non-recurring 2 mil tax on
mortgages and other obligations secured by liens on Florida real property. In
fiscal year 1995-96, total intangible personal property tax collections were
$895.9 million, a 9.5% increase from the prior year. Of the net tax proceeds,
66.5% are distributed to the General Revenue Fund.
The State's severance tax taxes oil, gas, and sulphur production, as well as
the severance of phosphate rock and other solid minerals. Total collections from
severance taxes total $77.2 million during fiscal year 1995-96, up 26.1% from
the previous year. Currently, 58% of this amount is transferred to the General
Revenue Fund.
The State began its own lottery in 1988. State law requires that lottery
revenues be distributed 50% to the public in prizes, 38.0% for use in enhancing
education, and the balance, 12.0%, for costs of administering the lottery.
Fiscal year 1995-96 lottery ticket sales totalled $2.07 billion, providing
education with approximately $788.1 million.
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Debt-Balanced Budget Requirement
At the end of fiscal 1995, approximately $6.83 billion in principal amount
of debt secured by the full faith and credit of the State was outstanding. In
addition, since July 1, 1995, the State issued about $1.3 billion in principal
amount of full faith and credit bonds.
The State Constitution and statutes mandate that the State budget, as a
whole, and each separate fund within the State budget, be kept in balance from
currently available revenues each fiscal year. If the Governor or Comptroller
believes a deficit will occur in any State fund, by statute, he must certify his
opinion to the Administrative Commission, which then is authorized to reduce all
State agency budgets and releases by a sufficient amount to prevent a deficit in
any fund. Additionally, the State Constitution prohibits issuance of State
obligations to fund State operations.
Litigation
Currently under litigation are several issues relating to State actions or
State taxes that put at risk substantial amounts of General Revenue Fund monies.
Accordingly, there is no assurance that any of such matters, individually or in
the aggregate, will not have a material adverse affect on the State's financial
position.
Florida law provides preferential tax treatment to insurers who maintain a
home office in the State. Certain insurers challenged the constitutionality of
this tax preference and sought a refund of taxes paid. Recently, the Florida
Supreme Court ruled in favor of the State. This case and others, along with
pending refund claims, total about $150 million in possible liability for the
State.
Previously the State imposed a $295 fee on the issuance of certificates of
title for motor vehicles previously titled outside the State. Plaintiffs sued
the State alleging that this fee violated the Commerce Clause of the U.S.
Constitution. The Circuit Court in which the case was filed has granted summary
judgment for the plaintiffs, enjoined further collection of the impact fee and
ordered refunds to all those who have paid the fee since the collection of the
fee went into effect. In the State's appeal of the lower Court's decision, the
Florida Supreme Court ruled that this fee was unconstitutional under the
Commerce Clause. Thus, the Florida Supreme Court approved the lower court's
order enjoining further collection of the fee and requiring refund of the
previously collected fees. The refund exposure of the State has been estimated
to be in excess of $188 million.
The State maintains a bond rating of 'Aa,' 'AA,' and 'AA' from Moody's
Investors Service, Standard & Poors Corporation, and Fitch, respectively, on the
majority of its general obligation bonds, although the rating of a particular
series of revenue bonds relates primarily to the project, facility, or other
revenue source from which such series derives funds for repayment. While these
ratings and some of the information presented above indicate that the State is
in satisfactory economic health, there can be no assurance that there will not
be a decline in economic conditions or that particular Florida municipal
obligations purchased by the Trust will not be adversely affected by any such
changes.
The sources for the information presented above include official statements
and financial statements of the State of Florida. While the Sponsor has not
independently verified this information, the Sponsor has no reason to believe
that the information is not correct in all material respects.
New York Trust
New York State
The 1996-97 Executive Budget proposes $3.9 billion in actions to balance the
1996-97 Financial Plan. Before reflecting any actions proposed by the Governor
to restrain spending, General Fund disbursements for 1996-97 were projected at
$35 billion, an increase of $2.3 billion or 7 percent from 1995-96. This
increase would have resulted from growth in Medicaid, inflationary increases in
school aid, higher fixed costs such as pensions and debt service, collective
bargaining agreements, inflation, and the loss of non-recurring resources that
offset spending in 1995-96. Receipts would have been expected to fall by $1.6
billion. This reduction would have been attributable to modest growth in the
State's economy and underlying tax base, the loss of non-recurring revenues
available in 1995-96 and implementation of previously enacted tax reduction
programs.
In recent years, State actions affecting the level of receipts and
disbursements, as well as the relative strength of the State and regional
economy, actions of the Federal government and other factors, have created
structural budget gaps for the State. These gaps resulted from a significant
disparity between recurring revenues and the cost of maintaining or increasing
the level of support for State programs. The 1995-96 enacted budget combines
significant tax and program
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reductions which will, in the current and future years, lower both the recurring
receipts base (before the effect of any economic stimulus from such tax
reductions) and the historical annual growth in state program spending.
Notwithstanding these changes, the State can expect to continue to confront
structural deficits in future years.
The 1995-96 State Financial Plan includes actions that will have an effect
on the budget outlook for State fiscal year 1996-97 and beyond. The net amount
of nonrecurring resources used in the 1995-96 State Financial Plan is estimated
by the Division of the Budget at over $600 million. In addition to this use of
nonrecurring resources, the 1995-96 State Financial Plan reflects actions that
will directly affect the State's 1996-97 fiscal year baseline receipts and
disbursements. The three-year plan to reduce State personal income taxes will
decrease State tax receipts by an estimated $1.7 billion in State fiscal year
1996-97, in addition to the amount of reduction in State fiscal year 1995-96.
Further significant reductions in the personal income tax are scheduled for the
1997-98 State fiscal year. Other tax reductions enacted in 1994 and 1995 are
estimated to cause an additional reduction in receipts of over $500 million in
1996-97, as compared to the level of receipts in 1995-96. Similarly, many
actions taken to reduce disbursements in the State's 1995-96 fiscal year are
expected to provide greater reductions in State fiscal year 1996-97. These
include actions to reduce the State work force, reduce Medicaid and welfare
expenditures and slow community mental hygiene program development.
The net impact of these and other factors is expected to produce a potential
imbalance in receipts and disbursements in State fiscal year 1996-97. The
Governor has indicated that in the 1996-97 Executive Budget he will propose to
close this potential imbalance primarily through General Fund expenditure
reductions and without increases in taxes or deferrals of scheduled tax
reductions.
To address a potential imbalance in any given fiscal year, the State would
be required to take actions to increase receipts and/or reduce disbursements as
it enacts the budget for that year, and under the State Constitution, the
Governor is required to propose a balanced budget each year. To correct
recurring budgetary imbalances, the State would need to take significant actions
to align recurring receipts and disbursements in future fiscal years. There can
be no assurance, however that the Legislature will enact the Governor's
proposals or that the State's actions will be sufficient to preserve budgetary
balance in a given fiscal year or to align recurring receipts and disbursements
in future fiscal years.
The State is a defendant in numerous legal proceedings and the monetary
damages sought are substantial. These proceedings could affect adversely the
financial condition of the State in the 1995-96 fiscal year or thereafter.
The economic and financial condition of the State may be affected by various
financial, social, economic and political factors. Those factors can be very
complex, can vary from fiscal year to fiscal year, and are frequently the result
of actions taken not only by the State but also by entities, such as the federal
government, that are outside the State's control. Because of the uncertainty and
unpredictability of changes in these factors, their impact cannot be fully
included in the assumptions underlying the State's projections. There can be no
assurance that the State economy will not experience results that are worse than
predicted, with corresponding material and adverse effects on the State's
financial projections.
From time to time, Federal expenditure reductions could reduce, or in some
cases eliminate, Federal funding of some local programs and accordingly might
impose substantial increased expenditure requirements on affected localities. If
the State, the City or any of the public authorities were to suffer serious
financial difficulties jeopardizing their respective access to the public credit
markets, the marketability of notes and bonds issued by localities within the
State could be adversely affected. Localities also face anticipated and
potential problems resulting from certain pending litigation, judicial decisions
and long-range economic trends. Long-range potential problems of declining urban
population, increasing expenditures and other economic trends could adversely
affect localities and require increasing State assistance in the future.
New York City
The fiscal health of the State is closely related to the fiscal health of
its localities, particularly The City of New York (the 'City'), which has
required and continues to require significant financial assistance from the
State which financial assistance could be affected by State revenue short-falls
or spending increases beyond its projections. For each of its 1981 through 1995
fiscal years, the City, as required by State law, achieved balanced operating
results, in accordance with GAAP.
The New York State Financial Emergency Act for The City of New York (the
'Financial Emergency Act'), among other things, established the New York State
Financial Control Board (the 'Control Board') to oversee the City's financial
affairs. The City operates under a four-year financial plan which is prepared
annually and is updated quarterly. The City submits its financial plans as well
as the updates quarterly to the Control Board for its review. The Municipal
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Assistance Corporation for The City of New York ('MAC') and the Office of the
State Deputy Comptroller for The City of New York ('OSDC') assist the Control
Board in exercising its powers and responsibilities and exercise various
monitoring functions relating to the City's financial position.
During recent fiscal years, as a result of the slowing economy, the City
experienced significant shortfalls from earlier projections in almost all of its
major tax sources, and was required to take exceptional measures to close
substantial budget gaps in order to maintain balanced budgets. There can be no
assurance that the City will continue to maintain a balanced budget as required
by State law without additional tax or other revenue increases or additional
reductions in City services or entitlement programs, which could adversely
affect the City's economic base. The City's Financial Plan for the 1996-99
fiscal years, sets forth actions to close a projected budget gap of $3.1 billion
for the 1996 fiscal year. The Financial Plan also outlines projected budget gaps
of $2.0 billion, $3.3 billion and $4.1 billion for the 1997 through 1999 fiscal
years, respectively.
As of June 30, 1995, the City estimated that its potential future liability
on account of outstanding claims against it amounted to approximately $2.5
billion and while the outcome of the proceedings and claims are not currently
predictable, adverse determinations in certain of them might have a material
adverse effect upon the City's ability to carry out the 1996-1999 Financial
Plan.
On July 10, 1995, Standard and Poor's revised its rating of City bonds
downward to 'BBB+' and continued its negative rating outlook assessment. In
February 1991, Moody's Investors Service lowered its rating on the City's
general obligation bonds from 'A' to 'Baa1.'
Over the long term, serious potential economic problems may continue to
aggravate State and local financial conditions. For decades, the State economy
has grown more slowly than the nation as a whole, resulting in the gradual
erosion of the State's relative economic affluence and tax base, and the
relocation of certain manufacturing operations and executive offices outside the
State. The causes of this relative decline are varied and complex, in many cases
involving national and international developments beyond the State's control.
Part of the reason for the long-term relative decline in the State economy has
been attributed to the combined state and local tax burden, which is among the
highest in the nation. The existence of this tax burden limits the State's
ability to impose higher taxes in the event of future financial difficulties.
If during the existence of the New York Trust, the City, the State, or any
of its agencies or municipalities, because of its or their own financial
difficulties, become unable to meet regular commitments or if there should be a
default, moratorium or other interruption of payments of interest or principal
on any obligation issued by the City, the State, or a municipality or other
authority in New York State, the market value and marketability of Bonds in the
New York Trust, the asset value of Units of the New York Trust and the interest
income to the New York Trust, could be adversely affected.
SUPPLEMENT TO PART B--TAX STATUS
California Trust
On the Date of Deposit, special California counsel for the Sponsor rendered
an opinion under the then existing California state income tax law which read as
follows:
The Trust is not an association taxable as a corporation under the income
tax laws of the State of California;
The income, deductions and credits against tax of the Trust will be
treated as the income, deductions and credits against tax of the holders of
Units in the Trust under the income tax laws of the State of California;
Interest on the bonds held by the Trust to the extent that such interest
is exempt from taxation under California law will not lose its character as
tax-exempt income merely because that income is passed through to the
holders of Units; however, a corporation subject to the California franchise
tax is required to include that interest income in its gross income for
purposes of determining its franchise tax liability;
Each holder of a Unit in the Trust will have a taxable event when the
Trust disposes of a bond (whether by sale, exchange, redemption, or payment
at maturity) or when the Unit holder redeems or sells his Units. The total
tax cost of each Unit to a holder of a Unit in the Trust is allocated among
each of the bond issues held in the Trust (in accordance with the proportion
of the Trust comprised by each bond issue) in order to determine the
holder's per
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Unit tax cost for each bond issue, and the tax cost reduction requirements
relating to amortization of bond premium will apply separately to the per
Unit tax cost of each bond issue. Therefore, under some circumstances, a
holder of a Unit may realize taxable gain when the Trust disposes of a bond
or the holder's Units are sold or redeemed for an amount equal to or less
than his original cost of the bond or Unit;
Each holder of a Unit in the Trust is deemed to be the owner of a pro
rata portion of the Trust under the personal property tax laws of the State
of California;
Each Unit holder's pro rata ownership of the bonds held by the Trust, as
well as the interest income therefrom, is exempt from California personal
property taxes; and
Amounts paid in lieu of interest on defaulted bonds held by the Trustee
under policies of insurance issued with respect to such bonds will be
excludable from gross income for California income tax purposes if, and to
the same extent as, those amounts would have been so excludable if paid as
interest by the respective issuer.
In the opinion of Messrs. Kopesky & Welke, LLP, special California counsel to
the Sponsor, no change in law has occurred since the Date of Deposit which would
require a change in the above opinion.
Florida Trust
In the opinion of Messrs. Carlton, Fields, Ward, Emmanuel, Smith &
Cutler, P.A, special Florida Counsel on Florida tax matters, under existing law:
The Florida Trust will not be subject to the Florida income tax
imposed by Chapter 220. In addition, political subdivisions of Florida do
not impose any income taxes.
Non-Corporate Unit Holders will not be subject to any Florida income
taxation on income realized by the Florida Trust. Corporate Unit Holders
with commercial domiciles in Florida will be subject to Florida income
taxation on income realized by the Trust. Other corporate Unit holders will
be subject to Florida income taxation on income realized by the Florida
Trust only to the extent that the income realized is other than
'non-business income' as defined by Chapter 220.
Florida Trust Units will be subject to Florida estate tax only if
owned by Florida residents and may be subject to Florida estate tax if owned
by other decedents at death. However, the Florida estate tax is limited to
the amount of the credit allowable under the applicable Federal Revenue Act
(currently Section 2011 [and in some cases Section 2102] of the Internal
Revenue Code of 1986, as amended) for death taxes actually paid to the
several states.
Neither the Bonds nor the Units will be subject to the Florida ad
valorem property tax or Florida sales or use tax.
Neither the Florida Trust nor the Units of the Florida Trust will be
subject to Florida intangible personal property tax.
Neither the issuance and sale of the Units by the Florida Trust nor
the transfer of Units by a Unit Holder will subject either the Florida Trust
or the Unit Holders to Florida documentary stamp tax.
In the event Bonds issued by the government of Puerto Rico, the
government of Guam, or the government of the United States Virgin Islands
are included in the Florida Trust, the opinions expressed above will be
unchanged.
In the case of an insured Florida Trust, the tax consequences
discussed in the above paragraphs will remain the same with respect to
amounts paid in lieu of interest on defaulted bonds held by the Trustee
under policies of municipal bond insurance.
For the purposes of the foregoing opinion, the following terms have
the following meanings:
(a) 'Non-Corporate Unit Holder' - a Unit Holder of the Florida Trust
who is an individual not subject to the Florida state income tax on
corporations, under Chapter 220, Florida Statutes ('Chapter 220').
(b) 'Corporate Unit Holder' - a Unit Holder of the Florida Trust that
is a corporation subject to the Florida state income tax on corporations
under Chapter 220.
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New York Tax Status
In the opinion of Messrs. Cahill Gordon & Reindel, special New York
counsel on New York tax matters, as of the date of this Prospectus, under
existing law:
Interest on the underlying debt obligations which is exempt from tax
under the laws of the State and City of New York when received by the New
York Trust will retain its status as tax-exempt interest to its Unit
Holders. (Interest on the underlying obligations in the New York Trust is,
however, not excludable from income in determining the amount of the
income-based (i) New York State franchise taxes on business and financial
corporations or (ii) the New York City general corporation tax and the New
York City financial corporation tax.) The minimum income taxes imposed by
New York State and New York City on individuals, estates and trusts exclude
from their taxable bases the Federal tax preference item with respect to
tax-exempt interest.
Non-residents of New York City will not be subject to the City personal
income tax on gains derived with respect to their Units. Non-residents of
the State will not be subject to New York State personal income tax on such
gains unless the Units are employed in a business, trade or occupation
carried on in New York State. A New York State or City resident should
determine his basis and holding period for his Units in the same manner for
New York State and City personal income tax purposes as for Federal income
tax purposes.
A-xix
<PAGE>
<AUDIT-REPORT>
INDEPENDENT AUDITORS' REPORT
THE UNIT HOLDERS, SPONSOR AND TRUSTEE
NATIONAL MUNICIPAL TRUST
SERIES 165 (UNINSURED)
MULTISTATE SERIES 62
consisting of:
California Trust
Florida Trust (Insured)
New York Trust (Uninsured)
We have audited the statements of financial condition and schedules of
portfolio securities of the National Municipal Trust Series 165 (Uninsured)
and Multistate Series 62 consisting of the California Trust, the Florida
Trust (Insured) and the New York Trust (Uninsured) as of December 31, 1996,
and the related statements of operations and changes in net assets for the
years ended December 31, 1996 and 1995 and for the period from January 26,
1994 (date of deposit) to December 31, 1994. These financial statements are
the responsibility of the Trustee (see Footnote (a)(1)). Our responsibility
is to express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free
of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements.
Our procedures included confirmation of the securities owned as of
December 31, 1996 as shown in the statements of financial condition and
schedules of portfolio securities by correspondence with The Chase Manhattan
Bank, the Trustee. An audit also includes assessing the accounting
principles used and the significant estimates made by the Trustee, as well
as evaluating the overall financial statement presentation. We believe that
our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly,
in all material respects, the financial position of the National Municipal
Trust Series 165 (Uninsured) and Multistate Series 62 consisting of the
California Trust, the Florida Trust (Insured) and the New York Trust
(Uninsured) as of December 31, 1996, and the results of their operations and
the changes in their net assets for the years ended December 31, 1996 and
1995 and the period from January 26, 1994 (date of deposit) to December 31,
1994 in conformity with generally accepted accounting principles.
DELOITTE & TOUCHE LLP
DELOITTE & TOUCHE LLP
April 1, 1997
New York, New York
</AUDIT-REPORT>
A-1
<PAGE>
STATEMENT OF FINANCIAL CONDITION
NATIONAL MUNICIPAL TRUST
SERIES 165
(UNINSURED)
December 31, 1996
TRUST PROPERTY
<TABLE>
<S> <C>
Investments in municipal bonds at market value (amortized
cost $5,181,851) (Note (a) and Schedule of Portfolio
Securities Notes (4) and (5)) $5,103,707
Accrued interest receivable 62,353
Total 5,166,060
LIABILITIES AND NET ASSETS
Less Liabilities:
Due to Trustee 39,268
Accrued Trust fees and expenses 5,377
Total liabilities 44,645
Net Assets:
Balance applicable to 5,198 Units of fractional
undivided interest outstanding (Note (c)):
Capital, less net unrealized market depreciation
of $78,144 $5,103,707
Undistributed net investment income (Note (b)) 17,708
Net assets $5,121,415
Net asset value per Unit ($5,121,415 divided by 5,198 Units) $ 985.27
</TABLE>
See notes to financial statements
A-2
<PAGE>
STATEMENTS OF OPERATIONS
NATIONAL MUNICIPAL TRUST
SERIES 165
(UNINSURED)
<TABLE>
<CAPTION>
For the period from
For the years ended January 26, 1994
December 31, (date of deposit) to
1996 1995 December 31, 1994
<S> <C> <C> <C>
Investment income - interest $277,150 $ 354,137 $334,807
Less Expenses:
Trust fees and expenses 11,176 14,261 10,405
Total expenses 11,176 14,261 10,405
Investment income - net 265,974 339,876 324,402
Net (loss) gain on investments:
Realized loss on Securities sold or
redeemed (38,806) (71,116) -
Unrealized market appreciation
(depreciation) 23,899 758,350 (860,393)
Net (loss) gain on invest-
ments (14,907) 687,234 (860,393)
Net increase (decrease) in net assets
resulting from operations $251,067 $1,027,110 $(535,991)
</TABLE>
See notes to financial statements
A-3
<PAGE>
STATEMENTS OF CHANGES IN NET ASSETS
NATIONAL MUNICIPAL TRUST
SERIES 165
(UNINSURED)
<TABLE>
<CAPTION>
For the period from
For the years ended January 26, 1994
December 31, (date of deposit) to
1996 1995 December 31, 1994
<S> <C> <C> <C>
Operations:
Investment income - net $ 265,974 $ 339,876 $ 324,402
Realized loss on securities sold or
redeemed (38,806) (71,116) -
Unrealized market appreciation
(depreciation) 23,899 758,350 (860,393)
Net increase (decrease) in
net assets resulting from
operations 251,067 1,027,110 (535,991)
Less Distributions to Unit Holders:
Investment income - net (261,857) (333,932) (297,000)
Total distributions (261,857) (333,932) (297,000)
Less Capital Share Transactions:
Redemption of 832 Units and 1,470
Units, respectively (805,181) (1,429,090) -
Accrued interest on redemption (2,338) (1,413) -
Total capital share transac-
tions (807,519) (1,430,503) -
Net decrease in net assets (818,309) (737,325) (832,991)
Net assets:
Beginning of period (Note (c)) 5,939,724 6,677,049 7,510,040
End of period (including undistrib-
uted net investment income of
$17,708, $14,999 and $19,712,
respectively) $5,121,415 $5,939,724 $6,677,049
</TABLE>
See notes to financial statements
A-4
<PAGE>
NOTES TO FINANCIAL STATEMENTS
NATIONAL MUNICIPAL TRUST
SERIES 165
(UNINSURED)
December 31, 1996
(a) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Trust is registered under the Investment Company Act of 1940 as a
Unit Investment Trust. The following is a summary of the significant
accounting policies of the Trust:
(1) Basis of Presentation
The Trustee has custody of and responsibility for all accounting and
financial books, records, financial statements and related data of
the Trust and is responsible for establishing and maintaining a
system of internal controls directly related to, and designed to
provide reasonable assurance as to the integrity and reliability
of, financial reporting of the Trust. The Trustee is also
responsible for all estimates and accruals reflected in the Trust's
financial statements. The Evaluator determines the price for each
underlying Security included in the Trust's Schedule of Portfolio
Securities on the basis set forth in Part B of this Prospectus,
"Public Offering of Units - Public Offering Price". Under the
Securities Act of 1933 ("the Act"), as amended, the Sponsor is
deemed to be an issuer of the Trust Units. As such, the Sponsor
has the responsibility of an issuer under the Act with respect to
financial statements of the Trust included in the Registration
Statement under the Act and amendments thereto.
(2) Investments
Investments are stated at market value as determined by the
Evaluator based on the bid side evaluations on the last day of
trading during the period, except that value on the date of deposit
(January 26, 1994) represents the cost of investments to the Trust
based on the offering side evaluations as of the date of deposit.
(3) Income Taxes
The Trust is not an association taxable as a corporation for Federal
income tax purposes; accordingly, no provision is required for such
taxes.
(4) Expenses
The Trust pays an annual Trustee's fee, estimated expenses,
Evaluator's fees, and an annual Sponsor's portfolio supervision
fee, and may incur additional charges as explained under "Expenses
and Charges" in Part B of this Prospectus.
(b) DISTRIBUTIONS
Interest received by the Trust is distributed to the Unit Holders on or
shortly after the twenty-fifth day of the month after deducting
applicable expenses. Receipts other than interest are distributed as
explained in "Rights of Units Holders - Distribution of Interest and
Principal" in Part B of this Prospectus.
A-5
<PAGE>
NOTES TO FINANCIAL STATEMENTS
NATIONAL MUNICIPAL TRUST
SERIES 165
(UNINSURED)
December 31, 1996
(c) ORIGINAL COST TO INVESTORS
The original cost to investors represents the aggregate initial public
offering price as of the date of initial deposit (January 26, 1994)
exclusive of accrued interest.
A reconciliation of the original cost of Units to investors to the net
amount applicable to investors as of December 31, 1996 follows:
<TABLE>
<S> <C>
Original cost to investors $7,762,265
Less: Gross underwriting commissions (sales charge) (252,225)
Net cost to investors 7,510,040
Cost of securities sold or redeemed (2,351,557)
Net unrealized market depreciation (78,144)
Accumulated interest accretion 23,368
Net amount applicable to investors $5,103,707
</TABLE>
(d) OTHER INFORMATION
Selected data for a Unit of the Trust during each period:
<TABLE>
<CAPTION>
For the period from
For the years ended January 26, 1994
December 31, (date of deposit) to
1996 1995 December 31, 1994
<S> <C> <C> <C>
Net investment income
distributions during
period $ 46.85 $ 46.37 $ 39.60
Net asset value at end
of period $985.27 $985.03 $890.27
Trust Units outstanding
at end of period 5,198 6,030 7,500
</TABLE>
A-6
<PAGE>
SCHEDULE OF PORTFOLIO SECURITIES
NATIONAL MUNICIPAL TRUST
SERIES 165
(UNINSURED)
December 31, 1996
<TABLE>
<CAPTION>
Port- Optional
folio Rating Face Coupon Maturity Sinking Fund Refunding Market
No. Title of Securities <F1> Amount Rate Date Redemptions<F3> Redemptions<F2> Value
<F4><F5>
<C> <S> <C> <C> <C> <C> <C> <C> <C>
1. Apache County (Arizona)
Public Finance Corporation,
Certificates of Participa-
tion, Series 1994, Arizona
Department of Corrections. A $ 230,000 5.250% 05/01/04 11/01/02@100 05/01/00@102 $ 234,467
2. District of Columbia,
(Washington, D.C.), General
Obligation Refunding Bonds,
Series 1994A-3. Ba<F7> 660,000 5.500 06/01/06 NONE NONE 642,490
3. Kentucky Higher Education
Student Loan Corporation,
Insured Student Loan Revenue
Bonds, 1993 Series B. <F6> Aa<F7> 865,000 5.000 06/01/02 NONE NONE 863,789
4. Massachusetts Water
Resources Authority General
Revenue Refunding Bonds,
1993 Series B. A 635,000 5.125 03/01/04 NONE 03/01/03@102 646,189
5. The City of New York, Gen-
eral Obligation Bonds,
Fiscal 1994, Series F. BBB+ 345,000 5.125 08/01/01 NONE NONE 346,173
6. The Student Loan Funding
Corporation, Cincinnati,
Ohio, Student Loan Revenue
Bonds, Series 1988B-3, (AMBAC
Insured). <F6><F8> AAA 865,000 5.125 12/01/05 NONE 06/01/02@100 876,175
7. Socorro Independent School
District, (El Paso County,
Texas), Unlimited Tax Refund-
ing Bonds, Series 1994. AAA 220,000 0.000 09/01/06 NONE NONE 133,938
8. Washington Public Power
Supply System, Nuclear Proj-
ect No. 2 Refunding Revenue
Bonds, Series 1994A. Aa1<F7> 865,000 4.700 07/01/03 NONE NONE 851,593
9. Platte County, Wyoming,
Pollution Control Refunding
Revenue Bonds, Series 1994
(Basin Electric Power Coop-
erative - Laramie River Sta-
tion Project). A 510,000 4.500 01/01/01 NONE NONE 508,893
$5,195,000 $5,103,707
</TABLE>
See notes to schedule of portfolio securities
A-7
<PAGE>
NOTES TO SCHEDULE OF PORTFOLIO SECURITIES
NATIONAL MUNICIPAL TRUST
SERIES 165
(UNINSURED)
December 31, 1996
<F1> All ratings are provided by Standard & Poor's Corporation, unless
otherwise indicated. A brief description of applicable Security
ratings is given under "Bond Ratings" in Part B of this Prospectus.
<F2> There is shown under this heading the date on which each issue of
Securities is redeemable by the operation of optional call
provisions and the redemption price for that date; unless otherwise
indicated, each issue continues to be redeemable at declining
prices thereafter but not below par. Securities listed as non-
callable, as well as Securities listed as callable, may also be
redeemable at par under certain circumstances from special
redemption payments.
<F3> There is shown under this heading the date on which an issue of
Securities is subject to scheduled sinking fund redemption and the
redemption price on such date.
<F4> The market value of the Securities as of December 31, 1996 was
determined by the Evaluator on the basis of bid side evaluations
for the Securities at such date.
<F5> At December 31, 1996, the net unrealized market depreciation of all
Securities was comprised of the following:
<TABLE>
<S> <C>
Gross unrealized market appreciation $ 7,252
Gross unrealized market depreciation (85,396)
Net unrealized market depreciation $(78,144)
</TABLE>
The amortized cost of the Securities for Federal income tax purposes
was $5,181,851 at December 31, 1996.
<F6> In the opinion of bond counsel to the issuing governmental
authorities, interest payments on these bonds will be a tax
preference item for individuals and corporations for alternative
minimum tax purposes. Normally, the bonds pay interest
semiannually. The payment dates can generally be determined based
on the date of maturity, i.e., a bond maturing on December 1 will
pay interest semiannually on June 1 and December 1. See "Tax
Status" in Part B of this Prospectus.
<F7> Moody's Investors Service, Inc. rating.
<F8> Insurance to maturity has been obtained by the Issuer from the
listed Insurance Company. The "AAA" rating on this Security is
based in part on the creditworthiness and claims-paying ability of
the Insurance Company insuring such Security to maturity.
A-8
<PAGE>
STATEMENT OF FINANCIAL CONDITION
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
CALIFORNIA TRUST
December 31, 1996
TRUST PROPERTY
<TABLE>
<S> <C>
Investments in municipal bonds at market value (amortized
cost $2,219,197) (Note (a) and Schedule of Portfolio
Securities Notes (4) and (5)) $2,204,469
Accrued interest receivable 28,356
Total 2,232,825
LIABILITIES AND NET ASSETS
Less Liabilities:
Due to Trustee 23,474
Accrued Trust fees and expenses 1,762
Total liabilities 25,236
Net Assets:
Balance applicable to 2,228 Units of fractional undivided
interest outstanding (Note (c)):
Capital, less net unrealized market depreciation
of $14,728 $2,204,469
Undistributed net investment income (Note (b)) 3,120
Net assets $2,207,589
Net asset value per Unit ($2,207,589 divided by 2,228 Units) $ 990.84
</TABLE>
See notes to financial statements
A-9
<PAGE>
STATEMENTS OF OPERATIONS
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
CALIFORNIA TRUST
<TABLE>
<CAPTION>
For the period from
For the years ended January 26, 1994
December 31, (date of deposit) to
1996 1995 December 31, 1994
<S> <C> <C> <C>
Investment income - interest $131,281 $139,159 $126,375
Less Expenses:
Trust fees and expenses 5,874 6,232 5,640
Total expenses 5,874 6,232 5,640
Investment income - net 125,407 132,927 120,735
Net (loss) gain on investments:
Realized loss on securities sold
or redeemed (21,561) (748) -
Unrealized market appreciation (depre-
ciation) 12,706 374,409 (401,843)
Net (loss) gain on investments (8,855) 373,661 (401,843)
Net increase (decrease) in net assets
resulting from operations $116,552 $506,588 $(281,108)
</TABLE>
See notes to financial statements
A-10
<PAGE>
STATEMENTS OF CHANGES IN NET ASSETS
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
CALIFORNIA TRUST
<TABLE>
<CAPTION>
For the period from
For the years ended January 26, 1994
December 31, (date of deposit) to
1996 1995 December 31, 1994
<S> <C> <C> <C>
Operations:
Investment income - net $ 125,407 $ 132,927 $ 120,735
Realized loss on securities sold or
redeemed (21,561) (748) -
Unrealized market appreciation
(depreciation) 12,706 374,409 (401,843)
Net increase (decrease) in
net assets resulting from
operations 116,552 506,588 (281,108)
Less Distributions to Unit Holders:
Investment income - net (125,585) (130,953) (111,750)
Total distributions (125,585) (130,953) (111,750)
Less Capital Share Transactions:
Redemption of 760 Units and 12
Units, respectively (745,580) (11,718) -
Accrued interest on redemption (1,429) (12) -
Total capital share trans-
actions (747,009) (11,730) -
Net (decrease) increase in net assets (756,042) 363,905 (392,858)
Net assets:
Beginning of period (Note (c)) 2,963,631 2,599,726 2,992,584
End of period (including undistrib-
uted net investment income of
$3,120, undistributed principal
and net investment income of
$10,272, and undistributed net
investment income of $7,381,
respectively) $2,207,589 $2,963,631 $2,599,726
</TABLE>
See notes to financial statements
A-11
<PAGE>
NOTES TO FINANCIAL STATEMENTS
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
CALIFORNIA TRUST
December 31, 1996
(a) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Trust is registered under the Investment Company Act of 1940 as a
Unit Investment Trust. The following is a summary of the significant
accounting policies of the Trust:
(1) Basis of Presentation
The Trustee has custody of and responsibility for all accounting and
financial books, records, financial statements and related data of
the Trust and is responsible for establishing and maintaining a
system of internal controls directly related to, and designed to
provide reasonable assurance as to the integrity and reliability
of, financial reporting of the Trust. The Trustee is also
responsible for all estimates and accruals reflected in the Trust's
financial statements. The Evaluator determines the price for each
underlying Security included in the Trust's Schedule of Portfolio
Securities on the basis set forth in Part B of this Prospectus,
"Public Offering of Units - Public Offering Price". Under the
Securities Act of 1933 ("the Act"), as amended, the Sponsor is
deemed to be an issuer of the Trust Units. As such, the Sponsor
has the responsibility of an issuer under the Act with respect to
financial statements of the Trust included in the Registration
Statement under the Act and amendments thereto.
(2) Investments
Investments are stated at market value as determined by the
Evaluator based on the bid side evaluations on the last day of
trading during the period, except that value on the date of deposit
(January 26, 1994) represents the cost of investments to the Trust
based on the offering side evaluations as of the date of deposit.
(3) Income Taxes
The Trust is not an association taxable as a corporation for Federal
income tax purposes; accordingly, no provision is required for such
taxes.
(4) Expenses
The Trust pays an annual Trustee's fee, estimated expenses,
Evaluator's fees, and an annual Sponsor's portfolio supervision
fee, and may incur additional charges as explained under "Expenses
and Charges" in Part B of this Prospectus.
(b) DISTRIBUTIONS
Interest received by the Trust is distributed to the Unit Holders on or
shortly after the twenty-fifth day of the month after deducting
applicable expenses. Receipts other than interest are distributed as
explained in "Rights of Units Holders - Distribution of Interest and
Principal" in Part B of this Prospectus.
A-12
<PAGE>
NOTES TO FINANCIAL STATEMENTS
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
CALIFORNIA TRUST
December 31, 1996
(c) ORIGINAL COST TO INVESTORS
The original cost to investors represents the aggregate initial public
offering price as of the date of initial deposit (January 26, 1994)
exclusive of accrued interest.
A reconciliation of the original cost of Units to investors to the net
amount applicable to investors as of December 31, 1996 follows:
<TABLE>
<S> <C>
Original cost to investors $3,093,114
Less: Gross underwriting commissions (sales charge) (100,530)
Net cost to investors 2,992,584
Cost of securities sold or redeemed (778,264)
Net unrealized market depreciation (14,728)
Accumulated interest accretion 4,877
Net amount applicable to investors $2,204,469
</TABLE>
(d) OTHER INFORMATION
Selected data for a Unit of the Trust during each period:
<TABLE>
<CAPTION>
For the period from
For the years ended January 26, 1994
December 31, (date of deposit) to
1996 1995 December 31, 1994
<S> <C> <C> <C>
Net investment income
distributions during
period $ 44.23 $ 43.68 $ 37.25
Net asset value at
end of period $990.84 $991.84 $866.58
Trust Units outstand-
ing at end of period 2,228 2,988 3,000
</TABLE>
A-13
<PAGE>
SCHEDULE OF PORTFOLIO SECURITIES
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
CALIFORNIA TRUST
December 31, 1996
<TABLE>
<CAPTION>
Port- Optional
folio Rating Face Coupon Maturity Sinking Fund Refunding Market
No. Title of Securities <F9> Amount Rate Date Redemptions<F11> Redemptions<F10> Value<F12><F13>
<C> <S> <C> <C> <C> <C> <C> <C> <C>
1. California Health Facili-
ties Financing Authority,
Insured Health Facility
Refunding Revenue Bonds,
(Catholic Healthcare West),
1994 Series B, (AMBAC
Insured). <F15> AAA $ 370,000 4.750% 07/01/04 NONE NONE $ 372,786
2. City of Oakland, Califor-
nia, Insured Refunding Reve-
nue Bonds, (Children's Hos-
pital Medical Center of
Northern California), 1994
Series A, (Connie Lee
Insured). <F15> AAA 370,000 4.900 05/01/05 NONE 05/01/04@102 370,477
3. City and County of San
Francisco, Redevelopment
Financing Authority, 1991
Series A, Tax Allocation
Revenue Bonds, (San Francis-
co Redevelopment Projects),
(FGIC Insured). <F15> AAA 40,000 0.000 08/01/02 NONE NONE 30,623
4. Palomar Pomerado Health
System, Insured Revenue
Bonds, Series 1993, (MBIA
Insured). <F15> AAA 250,000 4.625 11/01/02 NONE NONE 250,403
5. Rancho Cucamonga Redevel-
opment Agency, Rancho Rede-
velopment Project, 1994 Tax
Allocation Refunding Bonds,
(MBIA Insured). <F15> AAA 370,000 4.500 09/01/03 NONE NONE 368,420
6. Rancho Cucamonga Redevel-
opment Agency, Rancho Rede-
velopment Project, 1994 Tax
Allocation Refunding Bonds,
(MBIA Insured). <F15> AAA 80,000 4.400 09/01/02 NONE NONE 79,009
7. Redevelopment Agency of
the City and County of San
Francisco, Multifamily
Housing Refunding Revenue
Bonds, Series 1994 (GNMA
Collateralized-South Beach
Marina Project). Aaa<F14> 265,000 4.600 09/01/01 NONE NONE 264,104
8. Redevelopment Agency of
the City and County of San
Francisco, Multifamily
Housing Refunding Revenue
Bonds, Series 1994 (GNMA
Collateralized-South Beach
Marina Project). Aaa<F14> 105,000 4.600 03/01/01 NONE NONE 104,915
9. San Joaquin County Public
Facilities Financing Corpo-
ration, Series 1993 Certifi-
cates of Participation,
(Capital Facilities Project),
(MBIA Insured). <F15> AAA 370,000 4.700 11/15/06 NONE NONE 363,732
$2,220,000 $2,204,469
</TABLE>
See notes to schedule of portfolio securities
A-14
<PAGE>
NOTES TO SCHEDULE OF PORTFOLIO SECURITIES
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
CALIFORNIA TRUST
December 31, 1996
<F9> All ratings are provided by Standard & Poor's Corporation, unless
otherwise indicated. A brief description of applicable Security
ratings is given under "Bond Ratings" in Part B of this Prospectus.
<F10> There is shown under this heading the date on which each issue of
Securities is redeemable by the operation of optional call
provisions and the redemption price for that date; unless otherwise
indicated, each issue continues to be redeemable at declining
prices thereafter but not below par. Securities listed as non-
callable, as well as Securities listed as callable, may also be
redeemable at par under certain circumstances from special
redemption payments.
<F11> There is shown under this heading the date on which an issue of
Securities is subject to scheduled sinking fund redemption and the
redemption price on such date.
<F12> The market value of the Securities as of December 31, 1996 was
determined by the Evaluator on the basis of bid side evaluations
for the Securities at such date.
<F13> At December 31, 1996, the net unrealized market depreciation of all
Securities was comprised of the following:
<TABLE>
<S> <C>
Gross unrealized market appreciation $ 1,402
Gross unrealized market depreciation (16,130)
Net unrealized market depreciation $(14,728)
</TABLE>
The amortized cost of the Securities for Federal income tax purposes
was $2,219,197 at December 31, 1996.
<F14> Moody's Investors Service, Inc. rating.
<F15> Insurance to maturity has been obtained by the Issuer from the
listed Insurance Company. The "AAA" rating on this Security is
based in part on the creditworthiness and claims-paying ability of
the Insurance Company insuring such Security to maturity.
A-15
<PAGE>
STATEMENT OF FINANCIAL CONDITION
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
FLORIDA TRUST
(INSURED)
December 31, 1996
TRUST PROPERTY
<TABLE>
<S> <C>
Investments in municipal bonds at market value (amortized
cost $2,034,396) (Note (a) and Schedule of Portfolio
Securities Notes (4) and (5)) $2,009,083
Accrued interest receivable 35,648
Total 2,044,731
LIABILITIES AND NET ASSETS
Less Liabilities:
Due to Trustee 31,531
Accrued Trust fees and expenses 3,647
Total liabilities 35,178
Net Assets:
Balance applicable to 2,040 Units of fractional
undivided interest outstanding (Note (c)):
Capital, less unrealized market depreciation
of $25,313 $2,009,083
Undistributed net investment income (Note (b)) 470
Net assets $2,009,553
Net asset value per Unit ($2,009,553 divided by 2,040 Units) $ 985.08
</TABLE>
See notes to financial statements
A-16
<PAGE>
STATEMENTS OF OPERATIONS
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
FLORIDA TRUST
(INSURED)
<TABLE>
<CAPTION>
For the period from
For the years ended January 26, 1994
December 31, (date of deposit) to
1996 1995 December 31, 1994
<S> <C> <C> <C>
Investment income - interest $103,333 $127,790 $121,328
Less Expenses:
Trust fees and expenses 4,819 5,968 5,187
Total expenses 4,819 5,968 5,187
Investment income - net 98,514 121,822 116,141
Net (loss) gain on investments:
Realized loss on Securities sold or
redeemed (33,694) (21,105) -
Unrealized market (depreciation)
appreciation on investments (450) 395,981 (420,843)
Net (loss) gain on investments (34,144) 374,876 (420,843)
Net increase (decrease) in net assets
resulting from operations $ 64,370 $496,698 $(304,702)
</TABLE>
See notes to financial statements
A-17
<PAGE>
STATEMENTS OF CHANGES IN NET ASSETS
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
FLORIDA TRUST
(INSURED)
<TABLE>
<CAPTION>
For the period from
For the years ended January 26, 1994
December 31, (date of deposit) to
1996 1995 December 31, 1994
<S> <C> <C> <C>
Operations:
Investment income - net $ 98,514 $ 121,822 $ 116,141
Realized loss on Securities sold
or redeemed (33,694) (21,105) -
Unrealized market (depreciation)
appreciation (450) 395,981 (420,843)
Net increase (decrease) in
net assets resulting from
operations 64,370 496,698 (304,702)
Less Distributions to Unit Holders:
Investment income - net (100,841) (121,638) (108,660)
Total distributions (100,841) (121,638) (108,660)
Less Capital Share Transactions:
Redemption of 811 Units and 149
Units, respectively (787,660) (128,024) -
Accrued interest on redemption (2,596) (16) -
Total capital share trans-
actions (790,256) (128,040) -
Net (decrease) increase in net assets (826,727) 247,020 (413,362)
Net assets:
Beginning of period (Note (c)) 2,836,280 2,589,260 3,002,622
End of period (including undistrib-
uted net investment income of
$470, undistributed principal and
net investment income of $7,395,
and undistributed net investment
income of $7,061, respectively) $2,009,553 $2,836,280 $2,589,260
</TABLE>
See notes to financial statements
A-18
<PAGE>
NOTES TO FINANCIAL STATEMENTS
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
FLORIDA TRUST
(INSURED)
December 31, 1996
(a) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Trust is registered under the Investment Company Act of 1940 as a
Unit Investment Trust. The following is a summary of the significant
accounting policies of the Trust:
(1) Basis of Presentation
The Trustee has custody of and responsibility for all accounting and
financial books, records, financial statements and related data of
the Trust and is responsible for establishing and maintaining a
system of internal controls directly related to, and designed to
provide reasonable assurance as to the integrity and reliability
of, financial reporting of the Trust. The Trustee is also
responsible for all estimates and accruals reflected in the Trust's
financial statements. The Evaluator determines the price for each
underlying Security included in the Trust's Schedule of Portfolio
Securities on the basis set forth in Part B of this Prospectus,
"Public Offering of Units - Public Offering Price". Under the
Securities Act of 1933 ("the Act"), as amended, the Sponsor is
deemed to be an issuer of the Trust Units. As such, the Sponsor
has the responsibility of an issuer under the Act with respect to
financial statements of the Trust included in the Registration
Statement under the Act and amendments thereto.
(2) Investments
Investments are stated at market value as determined by the
Evaluator based on the bid side evaluations on the last day of
trading during the period, except that value on the date of deposit
(January 26, 1994) represents the cost of investments to the Trust
based on the offering side evaluations as of the date of deposit.
(3) Income Taxes
The Trust is not an association taxable as a corporation for Federal
income tax purposes; accordingly, no provision is required for such
taxes.
(4) Expenses
The Trust pays an annual Trustee's fee, estimated expenses,
Evaluator's fees, and an annual Sponsor's portfolio supervision
fee, and may incur additional charges as explained under "Expenses
and Charges" in Part B of this Prospectus.
(b) DISTRIBUTIONS
Interest received by the Trust is distributed to the Unit Holders on or
shortly after the twenty-fifth day of the month after deducting
applicable expenses. Receipts other than interest are distributed as
explained in "Rights of Units Holders - Distribution of Interest and
Principal" in Part B of this Prospectus.
A-19
<PAGE>
NOTES TO FINANCIAL STATEMENTS
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
FLORIDA TRUST
(INSURED)
December 31, 1996
(c) ORIGINAL COST TO INVESTORS
The original cost to investors represents the aggregate initial public
offering price as of the date of initial deposit (January 26, 1994)
exclusive of accrued interest.
A reconciliation of the original cost of Units to investors to the net
amount applicable to investors as of December 31, 1996 follows:
<TABLE>
<S> <C>
Original cost to investors $3,103,482
Less: Gross underwriting commissions (sales charge) (100,860)
Net cost to investors 3,002,622
Cost of securities sold or redeemed (969,386)
Unrealized market depreciation (25,313)
Accumulated interest accretion 1,160
Net amount applicable to investors $2,009,083
</TABLE>
(d) OTHER INFORMATION
Selected data for a Unit of the Trust during each period:
<TABLE>
<CAPTION>
For the period from
For the years ended January 26, 1994
December 31, (date of deposit) to
1996 1995 December 31, 1994
<S> <C> <C> <C>
Net investment income
distributions
during period $ 44.17 $ 42.48 $ 36.22
Net asset value at
end of period $985.08 $994.84 $863.09
Trust Units outstand-
ing at end of
period 2,040 2,851 3,000
</TABLE>
A-20
<PAGE>
SCHEDULE OF PORTFOLIO SECURITIES
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
FLORIDA TRUST
(INSURED)
December 31, 1996
<TABLE>
<CAPTION>
Port- Optional Market
folio Rating Face Coupon Maturity Sinking Fund Refunding Value
No. Title of Securities<F21> <F16> Amount Rate Date Redemptions<F18> Redemptions<F17> <F19><F20>
<C> <S> <C> <C> <C> <C> <C> <C> <C>
1. Certificates of Participa-
tion, (School Board of Polk
County, Florida, Master
Lease Program), Series 1994,
Master Lease-Purchase Agree-
ment by the School Board of
Polk County, Florida, (FSA
Insured). AAA $ 285,000 4.250% 01/01/-01 NONE NONE $ 284,068
2. City of Lake Worth, Flori-
da, Sewer System, Refunding
Revenue Bonds, Series 1994,
(FSA Insured). AAA 350,000 4.600 10/01/-05 NONE 10/01/03@102 343,553
3. City of Miami, Florida,
Health Facilities Authority,
Health Facilities Revenue
Refunding Bonds, (Mercy Hos-
pital Project), Series
1994A, (AMBAC Insured). AAA 350,000 4.875 08/15/-06 NONE 08/15/04@102 349,584
4. City of Palm Bay, Florida,
Utility System Refunding
Revenue Bonds, Series 1994,
(Palm Bay Utility Corpora-
tion Project), (MBIA Insured). AAA 350,000 4.250 10/01/-02 NONE NONE 342,881
5. Dade County, Florida, Guar-
anteed Entitlement Revenue
Bonds, Series 1990, (AMBAC
Insured). AAA 5,000 0.000 02/01/-06 NONE NONE 3,099
6. School District of Alachua
County, Florida, General
Obligation Refunding Bonds,
Series 1994, (FSA Insured). AAA 350,000 4.300 07/01/-03 NONE NONE 342,447
7. State of Florida, Depart-
ment of Environmental Pro-
tection, Save Our Coast
Refunding Revenue Bonds,
Series 1993A, (AMBAC Insured). AAA 350,000 4.500 07/01/-04 NONE 07/01/03@101 343,451
$2,040,000 $2,009,083
</TABLE>
See notes to schedule of portfolio securities
A-21
<PAGE>
NOTES TO SCHEDULE OF PORTFOLIO SECURITIES
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
FLORIDA TRUST
(INSURED)
December 31, 1996
<F16> All ratings are provided by Standard & Poor's Corporation. A brief
description of applicable Security ratings is given under "Bond
Ratings" in Part B of this Prospectus.
<F17> There is shown under this heading the date on which each issue of
Securities is redeemable by the operation of optional call
provisions and the redemption price for that date; unless otherwise
indicated, each issue continues to be redeemable at declining
prices thereafter but not below par. Securities listed as non-
callable, as well as Securities listed as callable, may also be
redeemable at par under certain circumstances from special
redemption payments.
<F18> There is shown under this heading the date on which an issue of
Securities is subject to scheduled sinking fund redemption and the
redemption price on such date.
<F19> The market value of the Securities as of December 31, 1996 was
determined by the Evaluator on the basis of bid side evaluations
for the Securities at such date.
<F20> At December 31, 1996, the unrealized market depreciation of all
Securities was comprised of the following:
<TABLE>
<S> <C>
Gross unrealized market appreciation $ -
Gross unrealized market depreciation (25,313)
Unrealized market depreciation $(25,313)
</TABLE>
The amortized cost of the Securities for Federal income tax purposes
was $2,034,396 at December 31, 1996.
<F21> Insurance to maturity has been obtained by the Issuer from the
listed Insurance Company. The "AAA" ratings on these Securities
are based in part on the creditworthiness and claims-paying ability
of the Insurance Company insuring such Security to maturity. No
premium is payable therefore by the Trust.
A-22
<PAGE>
STATEMENT OF FINANCIAL CONDITION
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
NEW YORK TRUST
(UNINSURED)
December 31, 1996
TRUST PROPERTY
<TABLE>
<S> <C>
Investments in municipal bonds at market value (amortized
cost $2,859,661) (Note (a) and Schedule of Portfolio
Securities Notes (4) and (5)) $2,834,942
Accrued interest receivable 62,091
Total 2,897,033
LIABILITIES AND NET ASSETS
Less Liabilities:
Due to Trustee 53,106
Accrued Trust fees and expenses 3,383
Total liabilities 56,489
Net Assets:
Balance applicable to 2,847 Units of fractional
undivided interest outstanding (Note (c)):
Capital, less unrealized market depreciation
of $24,719 $2,834,942
Undistributed principal and net investment income
(Note (b)) 5,602
Net assets $2,840,544
Net asset value per Unit ($2,840,544 divided by 2,847 Units) $ 997.73
</TABLE>
See notes to financial statements
A-23
<PAGE>
STATEMENTS OF OPERATIONS
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
NEW YORK TRUST
(UNINSURED)
<TABLE>
<CAPTION>
For the period from
For the years ended January 26, 1994
December 31, (date of deposit) to
1996 1995 December 31, 1994
<S> <C> <C> <C>
Investment income - interest $144,404 $148,678 $134,784
Less Expenses:
Trust fees and expenses 5,590 5,759 6,272
Total expenses 5,590 5,759 6,272
Investment income - net 138,814 142,919 128,512
Net (loss) gain on investments:
Realized loss on securities sold
or redeemed (9,139) - -
Unrealized market appreciation
(depreciation) 3,802 326,745 (355,266)
Net (loss) gain on investments (5,337) 326,745 (355,266)
Net increase (decrease) in net assets
resulting from operations $133,477 $469,664 $(226,754)
</TABLE>
See notes to financial statements
A-24
<PAGE>
STATEMENTS OF CHANGES IN NET ASSETS
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
NEW YORK TRUST
(UNINSURED)
<TABLE>
<CAPTION>
For the period from
For the years ended January 26, 1994
December 31, (date of deposit) to
1996 1995 December 31, 1994
<S> <C> <C> <C>
Operations:
Investment income - net $ 138,814 $ 142,919 $ 128,512
Realized loss on securities sold or
redeemed (9,139) - -
Unrealized market appreciation
(depreciation) 3,802 326,745 (355,266)
Net increase (decrease) in
net assets resulting from
operations 133,477 469,664 (226,754)
Less Distributions to Unit Holders:
Investment income - net (141,649) (142,080) (120,270)
Total distributions (141,649) (142,080) (120,270)
Less Capital Share Transactions:
Redemption of 153 Units (146,371) - -
Accrued interest on redemption (80) - -
Total capital share trans-
actions (146,451) (142,080) (120,270)
Net (decrease) increase in net assets (154,623) 327,584 (347,024)
Net assets:
Beginning of period (Note (c)) 2,995,167 2,667,583 3,014,607
End of period (including undistrib-
uted principal and net investment
income of $5,602, and undistrib-
uted net investment income of
$8,230 and $7,819, respectively) $2,840,544 $2,995,167 $2,667,583
</TABLE>
See notes to financial statements
A-25
<PAGE>
NOTES TO FINANCIAL STATEMENTS
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
NEW YORK TRUST
(UNINSURED)
December 31, 1996
(a) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Trust is registered under the Investment Company Act of 1940 as a
Unit Investment Trust. The following is a summary of the significant
accounting policies of the Trust:
(1) Basis of Presentation
The Trustee has custody of and responsibility for all accounting and
financial books, records, financial statements and related data of
the Trust and is responsible for establishing and maintaining a
system of internal controls directly related to, and designed to
provide reasonable assurance as to the integrity and reliability
of, financial reporting of the Trust. The Trustee is also
responsible for all estimates and accruals reflected in the Trust's
financial statements. The Evaluator determines the price for each
underlying Security included in the Trust's Schedule of Portfolio
Securities on the basis set forth in Part B of this Prospectus,
"Public Offering of Units - Public Offering Price". Under the
Securities Act of 1933 ("the Act"), as amended, the Sponsor is
deemed to be an issuer of the Trust Units. As such, the Sponsor
has the responsibility of an issuer under the Act with respect to
financial statements of the Trust included in the Registration
Statement under the Act and amendments thereto.
(2) Investments
Investments are stated at market value as determined by the
Evaluator based on the bid side evaluations on the last day of
trading during the period, except that value on the date of deposit
(January 26, 1994) represents the cost of investments to the Trust
based on the offering side evaluations as of the date of deposit.
(3) Income Taxes
The Trust is not an association taxable as a corporation for Federal
income tax purposes; accordingly, no provision is required for such
taxes.
(4) Expenses
The Trust pays an annual Trustee's fee, estimated expenses,
Evaluator's fees, and an annual Sponsor's portfolio supervision
fee, and may incur additional charges as explained under "Expenses
and Charges" in Part B of this Prospectus.
(b) DISTRIBUTIONS
Interest received by the Trust is distributed to the Unit Holders on or
shortly after the twenty-fifth day of the month after deducting
applicable expenses. Receipts other than interest are distributed as
explained in "Rights of Units Holders - Distribution of Interest and
Principal" in Part B of this Prospectus.
A-26
<PAGE>
NOTES TO FINANCIAL STATEMENTS
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
NEW YORK TRUST
(UNINSURED)
December 31, 1996
(c) ORIGINAL COST TO INVESTORS
The original cost to investors represents the aggregate initial public
offering price as of the date of initial deposit (January 26, 1994)
exclusive of accrued interest.
A reconciliation of the original cost of Units to investors to the net
amount applicable to investors as of December 31, 1996 follows:
<TABLE>
<S> <C>
Original cost to investors $3,115,857
Less: Gross underwriting commissions (sales charge) (101,250)
Net cost to investors 3,014,607
Cost of securities sold or redeemed (156,009)
Unrealized market depreciation (24,719)
Accumulated interest accretion 1,063
Net amount applicable to investors $2,834,942
</TABLE>
(d) OTHER INFORMATION
Selected data for a Unit of the Trust during each period:
<TABLE>
<CAPTION>
For the period from
For the years ended January 26, 1994
December 31, (date of deposit) to
1996 1995 December 31, 1994
<S> <C> <C> <C>
Net investment income
distributions during
period $ 48.48 $ 47.36 $ 40.09
Net asset value at end
of period $997.73 $998.39 $889.19
Trust Units outstanding
at end of period 2,847 3,000 3,000
</TABLE>
A-27
<PAGE>
SCHEDULE OF PORTFOLIO SECURITIES
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
NEW YORK TRUST
(UNINSURED)
December 31, 1996
<TABLE>
<CAPTION>
Port- Optional Market
folio Rating Face Coupon Maturity Sinking Fund Refunding Value
No. Title of Securities <F22> Amount Rate Date Redemptions<F24> Redemptions<F23> <F25><F26>
<C> <S> <C> <C> <C> <C> <C> <C> <C>
1. County of Nassau, New York,
General Obligation Refunding
Serial Bonds, Serial Com-
bined Sewer Districts,
Series 1994B, (FGIC Insured).
<F28> AAA $ 30,000 4.500% 05/01/03 NONE NONE $ 29,651
2. Dormitory Authority of the
State of New York, Le Moyne
College, Insured Revenue
Bonds, Series 1994, (Connie
Lee Insured). <F28> AAA 445,000 4.500 07/01/03 NONE NONE 437,595
3. Grand Central District
Management Association, Inc.,
Grand Central Business Im-
provement District, Capital
Improvement Refunding Bonds,
Series 1994. A1<F27> 475,000 4.900 01/01/05 NONE 01/01/04@102 469,680
4. Metropolitan Transporta-
tion Authority Commuter
Facilities 1987 Service Con-
tract Bonds, Series 7. Baa1<F27> 475,000 4.900 07/01/02 NONE NONE 471,167
5. New York State Medical
Care Facilities Finance
Agency, Mental Health Serv-
ices Facilities Improvement
Revenue Bonds, 1993 Series F
Refunding. BBB+ 475,000 5.000 08/15/01 NONE NONE 475,556
6. New York State Medical
Care Facilities Finance
Agency, Mental Health Serv-
ices Facilities Improvement
Revenue Bonds, 1993 Series F
Refunding, (FSA Insured). <F28> AAA 475,000 4.750 08/15/04 NONE 02/15/04@102 472,278
7. The City of New York, Gen-
eral Obligation Bonds,
Fiscal 1994 E. BBB+ 475,000 5.600 08/01/06 NONE 08/01/[email protected] 476,092
8. The City of New York, Gen-
eral Obligation Bonds,
Fiscal 1994, Series E. BBB+ 5,000 0.000 08/01/06 NONE NONE 2,923
$2,855,000 $2,834,942
</TABLE>
See notes to schedule of portfolio securities
A-28
<PAGE>
NOTES TO SCHEDULE OF PORTFOLIO SECURITIES
NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
NEW YORK TRUST
(UNINSURED)
December 31, 1996
<F22> All ratings are provided by Standard & Poor's Corporation, unless
otherwise indicated. A brief description of applicable Security
ratings is given under "Bond Ratings" in Part B of this Prospectus.
<F23> There is shown under this heading the date on which each issue of
Securities is redeemable by the operation of optional call
provisions and the redemption price for that date; unless otherwise
indicated, each issue continues to be redeemable at declining
prices thereafter but not below par. Securities listed as non-
callable, as well as Securities listed as callable, may also be
redeemable at par under certain circumstances from special
redemption payments.
<F24> There is shown under this heading the date on which an issue of
Securities is subject to scheduled sinking fund redemption and the
redemption price on such date.
<F25> The market value of the Securities as of December 31, 1996 was
determined by the Evaluator on the basis of bid side evaluations
for the Securities at such date.
<F26> At December 31, 1996, the unrealized market depreciation of all
Securities was comprised of the following:
<TABLE>
<S> <C>
Gross unrealized market appreciation $ -
Gross unrealized market depreciation (24,719)
Unrealized market depreciation $(24,719)
</TABLE>
The amortized cost of the Securities for Federal income tax purposes
was $2,859,661 at December 31, 1996.
<F27> Moody's Investors Service, Inc. rating.
<F28> Insurance to maturity has been obtained by the Issuer from the
listed Insurance Company. The "AAA" rating on this Security is
based in part on the creditworthiness and claims-paying ability of
the Insurance Company insuring such Security to maturity.
A-29
<PAGE>
(MODULE)
[NAME] NMT-PUT-PTB-996
[CIK] 0000941856
[CCC] 3ttrjz#m
(/MODULE)
<PAGE>
This Post-Effective Amendment to the Registration Statement on
Form S-6 comprises the following papers and documents:
The facing sheet on Form S-6.
The Prospectus.
Signatures.
Consent of Kopesky & Welke, LLP (included in Exhibit 8),
independent public accountants and consent of evaluator; all
other consents were previously filed.
UNDERTAKING
The Sponsor undertakes that it will not instruct the
Trustee to accept from (i) Financial Guaranty Insurance
Company, Municipal Bond Insurance Association or any other
insurance company affiliated with Sponsor, in settlement of any
claim, less than an amount sufficient to pay any principal or
interest (and, in the case of a taxability redemption, premium)
then due on any Security in accordance with the municipal bond
guaranty insurance policy attached to such Security or (ii) any
affiliate of the the Sponsor who has any obligation with
respect to any Security, less than the full amount due pursuant
to the obligation, unless such instructions have been approved
by the Securities and Exchange Commission pursuant to Rule
17d-1 under the Investment Company Act of 1940.
The following Exhibits:
****Ex-3.(i) - Restated Certificate of Incorporation of
Prudential Securities Incorporated dated
March 29, 1993.
*****Ex-3.(ii) - Revised By-Laws of Prudential Securities
Incorporated as amended through June 21,
1997.
+Ex-4 - Trust Indenture and Agreement dated
September 6, 1989.
*Ex-8 - Opinion of Kopesky & Welke, LLP.
*Ex-23 - Consent of Kenny S&P Evaluation Services, a
division of J.J. Kenny Co., Inc. (as
evaluator).
***Ex-24 - Powers of Attorney executed by a majority of
the Board of Directors of Prudential
Securities Incorporated.
*Ex-27 - Financial Data Schedule for Series 165.
*Ex-27.1 - Financial Data Schedule for Multistate
Series 62 (California).
*Ex-27.2 - Financial Data Schedule for Multistate
Series 62 (Florida)
II-1
<PAGE>
*Ex-27.3 - Financial Data Schedule for Multistate
Series 62 (New York).
Ex-99 Information as to Officers and Directors of
Prudential Securities Incorporated is
incorporated by reference to Schedules A and
D of Form BD filed by Prudential Securities
Incorporated pursuant to Rules l5b1-1 and
l5b3-1 under the Securities Exchange Act of
1934 (1934 Act File No. 8-16267).
**Ex-99.2 - Affiliations of Sponsor with other investment
companies.
**Ex-99.3 - Broker's Blanket Policies, Standard Form No. 14
in the aggregate amount of $62,500,000.
+Ex-99.4 - Investment Advisory Agreement.
_________________________
* Filed herewith.
** Incorporated by reference to exhibit of same designation filed with
the Securities and Exchange Commission as an exhibit to the
Registration Statement under the Securities Act of 1933 of Prudential
Unit Trusts, Insured Tax-Exempt Series 1, Registration No. 2-89263.
*** Incorporated by reference to exhibits of same designation filed with
the Securities and Exchange Commission as an exhibit to the
Registration Statement under the Securities Act of 1933 of National
Municipal Trust Series, Series 172, Registration No. 33-54681 and
National Equity Trust, Top Ten Portfolio Series 3, Registration No.
333-15919.
**** Incorporated by reference to exhibit of same designation filed with
the Securities and Exchange Commission as an exhibit to the
Registration Statement under the Securities Act of 1933 of Government
Securities Equity Trust Series 5, Registration No. 33-57992.
***** Incorporated by reference to exhibit of same designation filed with
the Securities and Exchange Commission as an exhibit to the
Registration Statement under the Securities Act of 1933 of National
Municipal Trust, Series 186, Registration No. 33-54697.
+ Incorporated by reference to exhibit of same designation filed with
the Securities and Exchange Commission as an exhibit to the
Registration Statement under the Securities Act of 1933 of National
Municipal Trust, Insured Series 43, Registration No. 33-29314.
II-2
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, the
registrant, National Municipal Trust, Series 165 and Multistate Series 62
certifies that it meets all of the requirements for effectiveness of this
Registration Statement pursuant to Rule 485(b) under the Securities Act of
1933 and has duly caused this Registration Statement or amendments thereto
to be signed on its behalf by the undersigned thereunto duly authorized, in
the City of New York, and State of New York on the 17th day of April,
1997.
NATIONAL MUNICIPAL TRUST,
Series 165
Multistate Series 62
(Registrant)
By PRUDENTIAL SECURITIES INCORPORATED
(Depositor)
By the following persons,* who
constitute a majority of the
Board of Directors of Prudential
Securities Incorporated
Robert C. Golden
Alan D. Hogan
A. Laurence Norton, Jr.
Leland B. Paton
Martin Pfinsgraff
Vincent T. Pica II
Hardwick Simmons
Lee B. Spencer, Jr.
By /s/ Kenneth Swankie
------------------------------------
(Kenneth Swankie,
Senior Vice President,
Manager--Unit Investment
Trust Department,
as authorized
signatory for Prudential Securities
Incorporated and Attorney-
in-Fact for the persons
listed above)
_____________________
* Pursuant to Powers of Attorney previously filed.
II-3
<PAGE>
CONSENT OF COUNSEL
The consents of counsel to the use of their names in the
Prospectus included in this Registration Statement are contained in their
opinions filed as Exhibit 5, 8-CA and 8-FL to the Registration Statement.
II-4
<PAGE>
CONSENT OF INDEPENDENT AUDITORS
We consent to the use of our report dated April 1, 1997, accompanying the
financial statements of the National Municipal Trust Series 165 (Uninsured)
and Multistate Series 62 consisting of the California Trust, the Florida
Trust (Insured) and the New York Trust (Uninsured) included herein and to
the reference to our Firm as experts under the heading "Auditors" in the
prospectus which is a part of this registration statement.
DELOITTE & TOUCHE LLP
DELOITTE & TOUCHE LLP
April 16, 1997
New York, New York
II-5
<PAGE>
Ex-8
Letterhead of Kopesky & Welke, LLP
April 18, 1997
Prudential Securities Incorporated
One New York Plaza
New York, NY 10292
Re: National Municipal Trust
Multistate Series 62
Gentlemen:
Pursuant to your request, we have reviewed the opinion included
in the Prospectus for the captioned Series expressed by prior California
counsel to the Sponsor regarding the California income and property tax
status of the above-captioned Series of the National Municipal Trust. We
are of the opinion that such opinion, a copy of which is included in the
Prospectus for the above-captioned Series, remains valid and that no change
has occurred which would require a change to such opinion and you may rely
on it in connection with the filing of a Post Effective Amendment to such
Series.
We consent to the use of our name under the caption "Supplement
to Part B - Tax Status" in the Prospectus comprising a part of the above-
captioned Post Effective Amendment and we consent to the filing of this
opinion as an exhibit to said Post Effective Amendment.
Very truly yours,
Kopesky & Welke
<PAGE>
Letterhead of Kenny S&P Evaluation Services
(a division of J.J. Kenny Co., Inc.)
April 18, 1997
Prudential Securities Incorporated
1 New York Plaza
New York, NY 10292
Re: National Municipal Trust,
Post-Effective Amendment No. 3
Series 165
Gentlemen:
We have examined the post-effective Amendment to the Registration
Statement File No. 33-51039 for the above-captioned trust. We hereby
acknowledge that Kenny S&P Evaluation Services, a division of J.J. Kenny
Co., Inc., is currently acting as the evaluator for the trust. We hereby
consent to the use in the Registration of the references to Kenny S&P
Evaluation Services, a division of J.J. Kenny Co., Inc., as evaluator.
In addition, we hereby confirm that the ratings indicated in the
above-referenced Amendment to the Registration Statement for the respective
bonds comprising the trust portfolio are the ratings currently indicated in
our KENNYBASE database as of the date of the evaluation report.
You are hereby authorized to file a copy of this letter with the
Securities and Exchange Commission.
Sincerely,
Frank A. Ciccotto
Frank A. Ciccotto
Vice President
<PAGE>
Exhibit 23
Letterhead of Kenny S&P Evaluation Services
(a division of J.J. Kenny Co., Inc.)
April 18, 1997
Prudential Securities Incorporated
1 New York Plaza
New York, NY 10292
Re: National Municipal Trust,
Post-Effective Amendment No. 3
Multistate Series 62
Gentlemen:
We have examined the post-effective Amendment to the Registration
Statement File No. 33-66102 for the above-captioned trust. We hereby
acknowledge that Kenny S&P Evaluation Services, a division of J.J. Kenny
Co., Inc. is currently acting as the evaluator for the trust. We hereby
consent to the use in the Registration Statement of the references to Kenny
S&P Evaluation Services, a division of J.J. Kenny Co., Inc. as evaluator.
In addition, we hereby confirm that the ratings indicated in the
above-referenced Amendment to the Registration Statement for the respective
bonds comprising the trust portfolio are the ratings currently indicated in
our KENNYBASE database as of the date of the evaluation report.
You are hereby authorized to file a copy of this letter with the
Securities and Exchange Commission.
Sincerely,
Frank A. Ciccotto
Frank A. Ciccotto
Vice President
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND> THE SCHEDULE CONTAINS SUMMARY FINANCIAL
INFORMATION EXTRACTED FROM THE FINANCIAL
STATEMENTS FOR NMT SERIES 165 (UNINSURED)
AND IS QUALIFIED IN ITS ENTIRETY BY
REFERENCE TO SUCH FINANCIAL STATEMENTS
</LEGEND>
<RESTATED>
<CIK> 0000904358
<NAME> NATIONAL MUNICIPAL TRUST
SERIES 165
(UNINSURED)
<SERIES>
<NAME> NMT SERIES 165
(UNINSURED)
<NUMBER> 1
<MULTIPLIER> 1
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> Dec-31-1996
<PERIOD-START> Jan-1-1996
<PERIOD-END> Dec-31-1996
<INVESTMENTS-AT-COST> 5,181,851
<INVESTMENTS-AT-VALUE> 5,103,707
<RECEIVABLES> 62,353
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 5,166,060
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 44,645
<TOTAL-LIABILITIES> 44,645
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 5,189,214
<SHARES-COMMON-STOCK> 5,198
<SHARES-COMMON-PRIOR> 6,030
<ACCUMULATED-NII-CURRENT> 10,345
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (78,144)
<NET-ASSETS> 5,121,415
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 269,547
<OTHER-INCOME> 7,603
<EXPENSES-NET> 11,176
<NET-INVESTMENT-INCOME> 265,974
<REALIZED-GAINS-CURRENT> (38,806)
<APPREC-INCREASE-CURRENT> 23,899
<NET-CHANGE-FROM-OPS> 251,067
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 261,857
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 0
<NUMBER-OF-SHARES-REDEEMED> 832
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> (818,309)
<ACCUMULATED-NII-PRIOR> 16,168
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 0
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 0
<AVERAGE-NET-ASSETS> 0
<PER-SHARE-NAV-BEGIN> 0
<PER-SHARE-NII> 0
<PER-SHARE-GAIN-APPREC> 0
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 0
<EXPENSE-RATIO> 0
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND> THE SCHEDULE CONTAINS SUMMARY FINANCIAL
INFORMATION EXTRACTED FROM THE FINANCIAL
STATEMENTS FOR NMT M/S SERIES 62 CALIF
TRUST AND IS QUALIFIED IN ITS
ENTIRETY BY REFERENCE TO SUCH FINANCIAL
STATEMENTS
</LEGEND>
<RESTATED>
<CIK> 0000904351
<NAME> NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
CALIFORNIA TRUST
<SERIES>
<NAME> NATIONAL MUNICIPAL TRUST
MULTISTATE SERIES 62
CALIFORNIA TRUST
<NUMBER> 1
<MULTIPLIER> 1
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> Dec-31-1996
<PERIOD-START> Jan-1-1996
<PERIOD-END> Dec-31-1996
<INVESTMENTS-AT-COST> 2,219,197
<INVESTMENTS-AT-VALUE> 2,204,469
<RECEIVABLES> 28,356
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 2,232,825
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 25,236
<TOTAL-LIABILITIES> 25,236
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 2,217,856
<SHARES-COMMON-STOCK> 2,228
<SHARES-COMMON-PRIOR> 2,988
<ACCUMULATED-NII-CURRENT> 4,461
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (14,728)
<NET-ASSETS> 2,207,589
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 129,687
<OTHER-INCOME> 1,594
<EXPENSES-NET> 5,874
<NET-INVESTMENT-INCOME> 125,407
<REALIZED-GAINS-CURRENT> (21,561)
<APPREC-INCREASE-CURRENT> 12,706
<NET-CHANGE-FROM-OPS> 116,552
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 125,585
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 0
<NUMBER-OF-SHARES-REDEEMED> 760
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> (756,042)
<ACCUMULATED-NII-PRIOR> 7,663
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 0
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 0
<AVERAGE-NET-ASSETS> 0
<PER-SHARE-NAV-BEGIN> 0
<PER-SHARE-NII> 0
<PER-SHARE-GAIN-APPREC> 0
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 0
<EXPENSE-RATIO> 0
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND> THE SCHEDULE CONTAINS SUMMARY FINANCIAL
INFORMATION EXTRACTED FROM THE FINANCIAL
STATEMENTS FOR NMT SERIES 62 FL TRUST
(INSURED) AND IS QUALIFIED IN ITS ENTIRETY
BY REFERENCE TO SUCH FINANCIAL STATEMENTS
</LEGEND>
<RESTATED>
<CIK> 0000904351
<NAME> NMT MULTISTATE SERIES 62
FLORDIA TRUST (INSURED)
<SERIES>
<NAME> NMT MULTISTATE SERIES 62
FLORDIA TRUST(INSURED)
<NUMBER> 2
<MULTIPLIER> 1
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> Dec-31-1996
<PERIOD-START> Jan-1-1996
<PERIOD-END> Dec-31-1996
<INVESTMENTS-AT-COST> 2,034,396
<INVESTMENTS-AT-VALUE> 2,009,083
<RECEIVABLES> 35,648
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 2,044,731
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 35,178
<TOTAL-LIABILITIES> 35,178
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 2,033,300
<SHARES-COMMON-STOCK> 2,040
<SHARES-COMMON-PRIOR> 2,851
<ACCUMULATED-NII-CURRENT> 1,565
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (25,313)
<NET-ASSETS> 2,009,553
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 103,015
<OTHER-INCOME> 318
<EXPENSES-NET> 4,819
<NET-INVESTMENT-INCOME> 98,514
<REALIZED-GAINS-CURRENT> (33,694)
<APPREC-INCREASE-CURRENT> (450)
<NET-CHANGE-FROM-OPS> 64,370
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 100,841
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 0
<NUMBER-OF-SHARES-REDEEMED> 811
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> (826,727)
<ACCUMULATED-NII-PRIOR> 6,806
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 0
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 0
<AVERAGE-NET-ASSETS> 0
<PER-SHARE-NAV-BEGIN> 0
<PER-SHARE-NII> 0
<PER-SHARE-GAIN-APPREC> 0
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 0
<EXPENSE-RATIO> 0
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND> THE SCHEDULE CONTAINS SUMMARY FINANCIAL
INFORMATION EXTRACTED FROM THE FINANCIAL
STATEMENTS FOR NMT M/S SERIES 62 NY TRUST
(UNINSURED) AND IS QUALIFIED IN ITS ENTIRETY
BY REFERENCE TO SUCH FINANCIAL STATEMENTS
</LEGEND>
<RESTATED>
<CIK> 0000904351
<NAME> NMT MULTISTATE SERIES 62
NEW YORK TRUST (UNINSURED)
<SERIES>
<NAME> NMT MULTISTATE SERIES 62
NEW YORK TRUST (UNINSURED)
<NUMBER> 3
<MULTIPLIER> 1
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> Dec-31-1996
<PERIOD-START> Jan-1-1996
<PERIOD-END> Dec-31-1996
<INVESTMENTS-AT-COST> 2,859,661
<INVESTMENTS-AT-VALUE> 2,834,942
<RECEIVABLES> 62,091
<ASSETS-OTHER> 0
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 2,897,033
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 56,489
<TOTAL-LIABILITIES> 56,489
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 2,860,161
<SHARES-COMMON-STOCK> 2,847
<SHARES-COMMON-PRIOR> 3,000
<ACCUMULATED-NII-CURRENT> 5,101
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (24,719)
<NET-ASSETS> 2,840,544
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 144,192
<OTHER-INCOME> 212
<EXPENSES-NET> 5,590
<NET-INVESTMENT-INCOME> 138,814
<REALIZED-GAINS-CURRENT> (9,139)
<APPREC-INCREASE-CURRENT> 3,802
<NET-CHANGE-FROM-OPS> 133,477
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 141,649
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 0
<NUMBER-OF-SHARES-REDEEMED> 153
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> (154,623)
<ACCUMULATED-NII-PRIOR> 8,230
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 0
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 0
<AVERAGE-NET-ASSETS> 0
<PER-SHARE-NAV-BEGIN> 0
<PER-SHARE-NII> 0
<PER-SHARE-GAIN-APPREC> 0
<PER-SHARE-DIVIDEND> 0
<PER-SHARE-DISTRIBUTIONS> 0
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 0
<EXPENSE-RATIO> 0
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
