<PAGE>
NUVEEN Tax-Exempt Unit Trusts
NUVEEN
MARYLAND
TRUST 305
(MARYLAND TRADITIONAL TRUST 305)
Estimated Current Return
5.46% to 5.68%
as of 03/23/95
Estimated Long Term Return
5.53% to 5.75%
35,000 units in a
diversified $3,500,000
portfolio of tax-exempt
bonds
Cusip:
67101L 852 Monthly Payment Option
67101L 860 Quarterly Payment Option
67101L 878 Semi-Annual Payment Option
Registered in Maryland
John Nuveen & Co. Incorporated
Investment Bankers
<TABLE>
<S> <C>
Chicago: Atlanta
333 W. Wacker Dr. Austin
Chicago, Illinois 60606 Boca Raton
Telephone: 312.917.7700 Boston
Columbus
New York: Dallas/Ft. Worth
Swiss Bank Tower Irvine
10 East 50th Street Philadelphia
New York, New York 10022 Phoenix
Telephone: 212.207.2000 San Francisco
Seattle
Tampa
Washington, D.C.
</TABLE>
<PAGE>
--------------------------------------------------------------------------------
NUVEEN TAX-EXEMPT UNIT TRUST--MARYLAND TRADITIONAL TRUST 305
SCHEDULE OF INVESTMENTS
DATE OF DEPOSIT MARCH 24, 1995
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings
Optional -----------------------
Aggregate Name of Issuer and Title of Issue Represented Redemption Standard
Principal by Sponsor's Contracts to Purchase Bonds Provisions & Poor's Moody's
<C> <C> <S> <C> <C> <C>
--------------------------------------------------------------------------------------------------------------------------
$ 500,000 Maryland Health and Higher Educational Facilities Authority, 2003 at 100 AA- Aa
Refunding Revenue Bonds, The Johns Hopkins Hospital Issue,
Series 1993, 5.00% Due 7/1/23. (Original issue discount
bonds delivered on or about June 22, 1993 at a price of
88.683% of principal amount.)
500,000 Maryland Health and Higher Educational Facilities Authority, 2004 at 102 AAA Aaa
Revenue Bonds, Maryland General Hospital Issue, Series
1994, 6.125% Due 7/1/19. (MBIA Insured.)
175,000 Maryland Water Quality Financing Administration, Revolving 2004 at 100 AA Aa
Loan Fund Revenue Bonds, Series 1994 A, 6.00% Due 9/1/15.
(Original issue discount bonds delivered on or about
January 11, 1995 at a price of 93.279% of principal
amount.)
500,000 Anne Arundel County, Maryland, Consolidated General 2005 at 101 AA+ Aa
Improvement Bonds, Series 1995, 6.30% Due 8/1/24. (General
Obligation Bonds.)
250,000 Baltimore City Housing Corporation, (Maryland), Mortgage 2003 at 102 AAA Aaa
Revenue Refunding Bonds, Series 1995A (FHA Insured
Mortgage Loan-Franklin Square Section 8 Assisted Project),
6.40% Due 12/1/23. (When issued.) (MBIA Insured.)
500,000 City of Baltimore, Maryland (Mayor and City Council of No Optional AAA Aaa
Baltimore), Project and Refunding Revenue Bonds (Water Call
Projects), Series 1994-A, 5.00% Due 7/1/24. (Original
issue discount bonds delivered on or about February 24,
1994 at a price of 94.055% of principal amount.)(FGIC
Insured.)
500,000 Prince George's County, Maryland, Certificates of 2004 at 102 AAA Aaa
Participation (Real Estate Acquisition Program II), Series
1994, 6.00% Due 9/15/14. (MBIA Insured.)
525,000 Washington Suburban Sanitary District, Maryland (Montgomery 2004 at 102 AA Aa1
and Prince George's Counties, Maryland), Water Supply
Refunding Bonds of 1994, 5.00% Due 6/1/14. (General
Obligation Bonds.)
50,000 Commonwealth of Puerto Rico, Public Improvement Refunding 2003 at 101 AAA Aaa
Bonds, Series 1993 (General Obligation Bonds.), 5.25% Due 1/2
7/1/18. (Original issue discount bonds delivered on or
about July 15, 1993 at a price of 93.414% of principal
amount.)(MBIA Insured.)
----------
$3,500,000
----------
----------
</TABLE>
<PAGE>
--------------------------------------------------------------------------------
UNIT PRICE, ESTIMATED CURRENT RETURN AND ESTIMATED LONG TERM RETURN DEPEND ON
AMOUNT PURCHASED AND PAYMENT OPTION The sales charges/volume discounts below
apply on all concurrent purchases of any Nuveen trust units, unless any such
purchases are made by a class of investors for which a separate sales charge is
applicable as described more fully in the Prospectus. Estimated Current Return
equals net income divided by offering price. Estimated Long Term Return
represents an average of the yields to maturity (or call) of the Bonds in the
Trust adjusted to reflect expenses and sales charges.
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Estimated Current Return (2)
-----------------------------------------------------
AMOUNT PURCHASED Public
------------------------------------- Sales Offering Monthly Quarterly Semi-Annual
Units Dollars Charge Price (1) Payment Payment Payment
---------------- ------------------- ------ ----------- ------------- ------------- -------------
<S> <C> <C> <C> <C> <C> <C>
50-499 $5,000-$49,999 4.90 % $ 99.46 5.46% 5.49% 5.51%
500-999 50,000-99,999 4.75 99.31 5.47 5.50 5.52
1,000-2,499 100,000-249,999 4.50 99.05 5.48 5.51 5.53
2,500-4,999 250,000-499,999 4.25 98.79 5.49 5.53 5.55
5,000-9,999 500,000-999,999 3.50 98.02 5.54 5.57 5.59
10,000-24,999 1,000,000- 2,499,999 3.00 97.52 5.57 5.60 5.62
25,000-49,999 2,500,000- 4,999,999 2.50 97.02 5.59 5.63 5.65
50,000 and over 5,000,000 and over 2.00 96.52 5.62 5.66 5.68
</TABLE>
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Estimated Long Term Return (3)
-----------------------------------------------------
AMOUNT PURCHASED Public
------------------------------------- Sales Offering Monthly Quarterly Semi-Annual
Units Dollars Charge Price (1) Payment Payment Payment
---------------- ------------------- ------ ----------- ------------- ------------- -------------
<S> <C> <C> <C> <C> <C> <C>
50-499 $5,000-$49,999 4.90 % $ 99.46 5.53% 5.56% 5.58%
500-999 50,000-99,999 4.75 99.31 5.53 5.57 5.59
1,000-2,499 100,000-249,999 4.50 99.05 5.55 5.59 5.61
2,500-4,999 250,000-499,999 4.25 98.79 5.56 5.60 5.62
5,000-9,999 500,000-999,999 3.50 98.02 5.61 5.65 5.67
10,000-24,999 1,000,000- 2,499,999 3.00 97.52 5.64 5.68 5.69
25,000-49,999 2,500,000- 4,999,999 2.50 97.02 5.67 5.70 5.72
50,000 and over 5,000,000 and over 2.00 96.52 5.69 5.73 5.75
</TABLE>
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
(1) As of the business day prior to the Date of Deposit. Units are offered at
the Public Offering Price plus accrued interest.
(2) All figures as of the business day prior to Date of Deposit. The estimated
current return for purchases made on such date will be as shown, as long as
the portfolio size and composition remain the same.
(3) In contrast to Estimated Current Return, Estimated Long Term Return reflects
the amortization of premium or accretion of discount, if any, on the bonds
in the Trust's portfolio.
--------------------------------------------------------------------------------
INTEREST DISTRIBUTIONS TO UNITHOLDERS Unitholders may elect to have interest
distributions made on a monthly, quarterly, or semi-annual basis. Record Dates
are May 1 and November 1 for semi-annual distributions; February 1, May 1,
August 1 and November 1 for quarterly distributions; and the first of each month
for monthly distributions. Details of interest distributions per unit under the
various plans appear in the following table based upon estimated net annual
interest income at the Date of Deposit:
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Normal
Distributions
Maryland Traditional Trust 1995 1996 per Year +
<S> <C> <C> <C> <C> <C>
---------------------------------------------------------------------------------------------------- --------------
Record Date*.......................... 5/1 8/1 11/1 2/1
Distribution Date..................... 5/15 8/15 11/15 2/15
--------------------------------------------------------------------------------------------------------------------
Monthly Distribution Plan............. $ .5575(1) $ 5.4276
-------- $.4521 every month --------
Quarterly Distribution Plan........... $ .5575(1) $ 1.3644(2) $ 1.3644 $ 1.3644 $ 5.4596
Semi-Annual Distribution Plan......... $ .5575(1) $ 2.7378(3) $ 5.4786
--------------------------------------------------------------------------------------------------------------------
<FN>
* Record Dates for semi-annual distributions are May 1 and November 1; for quarterly distributions, they are February 1, May 1,
August 1 and November 1. Record Dates for monthly distributions are the first day of each month.
(1) The first distribution will be paid to all Unitholders, regardless of the distribution plan selected. Such distribution may
be more or less than a regular monthly distribution.
(2) Regular 3-month distribution.
(3) Regular 6-month distribution.
</TABLE>
+ Interest for Unitholders of this series began to accrue as of the Date of
Deposit. Units purchased on the Date of Deposit will have $.11 of accrued
interest that will be added to the Public Offering Price on the Settlement Date.
After provision for expenses of the Fund, the daily rate of accrual from the
Date of Deposit to the first Record Date is $.01507 per unit per day.
Consequently, on the first Record Date (05/01/95), accrued interest will total
$0.5575 per unit for the 37-day period. All interest accrued from the Date of
Deposit to the first Record Date, less expenses, will be distributed on the
first Distribution Date to Unitholders of Record as of the first Record Date.
The first payment to all Unitholders of Record on 05/01/95 is $.5575 per unit.
After the first Record Date daily rates of accrual are:
Monthly - $0.01507 Quarterly - $0.01516
Semi-Annual - $0.01521
This daily rate of accrual, and the annual distributions shown above, will
remain the same as long as the portfolio size and composition remain the same.
--------------------------------------------------------------------------------
792
<PAGE>
-------------------------------------------------------
AVERAGE PORTFOLIO LIFE The average maturity of portfolio bonds is 24.9 years.
The first bond is scheduled to mature in June, 2014, with the last bond maturity
being August, 2024.
-------------------------------------------------------
QUALITY OF PORTFOLIO AS RATED BY
STANDARD & POOR'S CORPORATION
OR MOODY'S INVESTORS SERVICES
-------------------------------------------------------
<TABLE>
<S> <C> <C>
Rating Percent of Portfolio
Category Par Value
--------------------------------------------------------------------
AAA 51%
AA 49
---
100%
</TABLE>
-------------------------------------------------------
CALL PROTECTION Bonds are first subject to optional redemption by the issuers
in the years and at the prices shown under the Redemption Provisions column in
the Schedule of Investments. Unless otherwise stated, in subsequent years, bonds
are redeemable at declining prices, but not usually below par value. Some issues
or some portions of issues may also be subject to sinking fund redemption or
extraordinary redemption without premium prior to the dates shown.
-------------------------------------------------------
NO CHARGE FOR REDEMPTION The Trustee, United States Trust Company of New York,
will redeem units at net asset value. In addition, John Nuveen & Co.
Incorporated intends to maintain a secondary market for this Nuveen Tax-Exempt
Unit Trust. Inasmuch as all securities investments are subject to market price
fluctuation, net asset value at the time of redemption could be more or less
than the initial investment.
-------------------------------------------------------
REINVESTMENT OPTIONS Specify automatic reinvestment of trust income, with no
sales charge, to earn compounded dividends with Nuveen mutual funds.
-------------------------------------------------------
UNITS OF THE TRUST ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED OR ENDORSED
BY, ANY BANK AND ARE NOT FEDERALLY INSURED OR OTHERWISE PROTECTED BY THE FEDERAL
DEPOSIT INSURANCE CORPORATION, THE FEDERAL RESERVE BOARD OR ANY OTHER AGENCY AND
INVOLVE INVESTMENT RISK, INCLUDING THE POSSIBLE LOSS OF PRINCIPAL.
-------------------------------------------------------
FOR A PROSPECTUS CONTAINING MORE COMPLETE INFORMATION, INCLUDING CHARGES AND
EXPENSES, ON THIS NUVEEN TAX-EXEMPT UNIT TRUST AND ANY OTHER NUVEEN FUND, CALL
YOUR BROKER . . . OR NUVEEN AT
1-800-257-8787
READ THE PROSPECTUS CAREFULLY BEFORE YOU INVEST OR SEND MONEY.
<PAGE>
NUVEEN Tax-Exempt Unit Trusts
NUVEEN
NORTH CAROLINA
TRUST 287
(NORTH CAROLINA TRADITIONAL TRUST 287)
Estimated Current Return
First
Year: 5.44% to 5.66%
Subsequent
Years: 5.45% to 5.67%
as of 03/23/95
Estimated Long Term Return
5.52% to 5.73%
35,000 units in a
diversified $3,500,000
portfolio of tax-exempt
bonds
Cusip:
6710A2 318 Monthly Payment Option
6710A2 326 Quarterly Payment Option
6710A2 334 Semi-Annual Payment Option
Registered in North Carolina
John Nuveen & Co. Incorporated
Investment Bankers
<TABLE>
<S> <C>
Chicago: Atlanta
333 W. Wacker Dr. Austin
Chicago, Illinois 60606 Boca Raton
Telephone: 312.917.7700 Boston
Columbus
New York: Dallas/Ft. Worth
Swiss Bank Tower Irvine
10 East 50th Street Philadelphia
New York, New York 10022 Phoenix
Telephone: 212.207.2000 San Francisco
Seattle
Tampa
Washington, D.C.
</TABLE>
<PAGE>
--------------------------------------------------------------------------------
NUVEEN TAX-EXEMPT UNIT TRUST--NORTH CAROLINA TRADITIONAL TRUST 287
SCHEDULE OF INVESTMENTS
DATE OF DEPOSIT MARCH 24, 1995
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings
Optional -----------------------
Aggregate Name of Issuer and Title of Issue Represented Redemption Standard
Principal by Sponsor's Contracts to Purchase Bonds Provisions & Poor's Moody's
<C> <C> <S> <C> <C> <C>
--------------------------------------------------------------------------------------------------------------------------
$ 500,000 North Carolina Medical Care Commission, Hospital Revenue 2003 at 102 AA Aa
Refunding Bonds (Presbyterian Health Services Corp.
Project), Series 1993, 5.50% Due 10/1/20.
500,000 North Carolina Municipal Power Agency Number 1, Catawba 2003 at 100 AAA Aaa
Electric Revenue Bonds, Series 1992, 5.75% Due 1/1/20.
(Original issue discount bonds delivered on or about
December 10, 1992 at a price of 92.75% of principal
amount.)(MBIA Insured.)
500,000 Appalachian State University, Utilities System Revenue 2004 at 102 AAA Aaa
Bonds, Series 1994 of the Board of Governors of the
University of North Carolina, 6.125% Due 5/15/19. (MBIA
Insured.)
500,000 City of Charlotte, North Carolina, Refunding Certificates of 2003 at 100 AAA Aaa
Participation (Convention Facility Project), Series 1993C,
5.00% Due 12/1/21. (Original issue discount bonds
delivered on or about August 25, 1993 at a price of
90.737% of principal amount.)(AMBAC Insured.)
500,000 Craven Regional Medical Authority (North Carolina), Insured 2003 at 102 AAA Aaa
Health Care Facilities Revenue Bonds, Series 1993, 5.50%
Due 10/1/23. (MBIA Insured.)
500,000 City of Gastonia, North Carolina, Combined Utilities System 2004 at 102 AAA Aaa
Revenue Bonds, Series 1994, 6.10% Due 5/1/19. (MBIA
Insured.)
500,000 City of Thomasville, North Carolina, Certificates of 2003 at 102 AAA Aaa
Participation (City Hall and Utility Improvements
Projects), Series 1992, 6.00% Due 6/1/17. (FSA Insured.)
----------
$3,500,000
----------
----------
</TABLE>
<PAGE>
--------------------------------------------------------------------------------
UNIT PRICE, ESTIMATED CURRENT RETURN AND ESTIMATED LONG TERM RETURN DEPEND ON
AMOUNT PURCHASED AND PAYMENT OPTION The sales charges/volume discounts below
apply on all concurrent purchases of any Nuveen trust units, unless any such
purchases are made by a class of investors for which a separate sales charge is
applicable as described more fully in the Prospectus. Estimated Current Return
equals net income divided by offering price. Estimated Long Term Return
represents an average of the yields to maturity (or call) of the Bonds in the
Trust adjusted to reflect expenses and sales charges.
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Estimated Current Return (2)
AMOUNT PURCHASED Public -----------------------------------------------------------
------------------------------------- Sales Offering Monthly Quarterly Semi-Annual
Units Dollars Charge Price (1) Payment Payment Payment
---------------- ------------------- ------ ----------- --------------- --------------- ---------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
50-499 $5,000-$49,999 4.90 % $ 100.73 (5.44%) 5.45% (5.47%) 5.48% (5.49%) 5.50%
500-999 50,000-99,999 4.75 100.57 (5.45) 5.46 (5.48) 5.49 (5.50) 5.51
1,000-2,499 100,000-249,999 4.50 100.30 (5.46) 5.47 (5.49) 5.51 (5.51) 5.53
2,500-4,999 250,000-499,999 4.25 100.04 (5.48) 5.49 (5.51) 5.52 (5.53) 5.54
5,000-9,999 500,000-999,999 3.50 99.26 (5.52) 5.53 (5.55) 5.56 (5.57) 5.58
10,000-24,999 1,000,000- 2,499,999 3.00 98.75 (5.55) 5.56 (5.58) 5.59 (5.60) 5.61
25,000-49,999 2,500,000- 4,999,999 2.50 98.25 (5.58) 5.59 (5.61) 5.62 (5.63) 5.64
50,000 and over 5,000,000 and over 2.00 97.75 (5.60) 5.62 (5.64) 5.65 (5.66) 5.67
</TABLE>
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Estimated Long Term Return (3)
-----------------------------------------------------
AMOUNT PURCHASED Public
------------------------------------- Sales Offering Monthly Quarterly Semi-Annual
Units Dollars Charge Price (1) Payment Payment Payment
---------------- ------------------- ------ ----------- ------------- ------------- -------------
<S> <C> <C> <C> <C> <C> <C>
50-499 $5,000-$49,999 4.90 % $ 100.73 5.52% 5.54% 5.56%
500-999 50,000-99,999 4.75 100.57 5.52 5.55 5.57
1,000-2,499 100,000-249,999 4.50 100.30 5.54 5.57 5.59
2,500-4,999 250,000-499,999 4.25 100.04 5.55 5.58 5.60
5,000-9,999 500,000-999,999 3.50 99.26 5.60 5.63 5.65
10,000-24,999 1,000,000- 2,499,999 3.00 98.75 5.63 5.66 5.68
25,000-49,999 2,500,000- 4,999,999 2.50 98.25 5.66 5.68 5.70
50,000 and over 5,000,000 and over 2.00 97.75 5.68 5.71 5.73
</TABLE>
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
(1) As of the business day prior to the Date of Deposit. Units are offered at
the Public Offering Price plus accrued interest.
(2) All figures as of the business day prior to the Date of Deposit. Figures in
brackets represent the current return. The first year's estimated current
returns are slightly lower than those for subsequent years because a portion
of the monies received in the first year only will be treated as a return of
principal due to the inclusion in the portfolio of "when issued" or other
Bonds having delivery dates after the date of settlement for a purchase made
on the Date of Deposit.
(3) In contrast to Estimated Current Return, Estimated Long Term Return reflects
the amortization of premium or accretion of discount, if any, on the bonds
in the Trust's portfolio.
--------------------------------------------------------------------------------
INTEREST DISTRIBUTIONS TO UNITHOLDERS Unitholders may elect to have interest
distributions made on a monthly, quarterly, or semi-annual basis. Record Dates
are May 1 and November 1 for semi-annual distributions; February 1, May 1,
August 1 and November 1 for quarterly distributions; and the first of each month
for monthly distributions. Details of interest distributions per unit under the
various plans appear in the following table based upon estimated net annual
interest income at the Date of Deposit:
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Normal
Distributions
North Carolina Traditional Trust 1995 1996 per Year +
<S> <C> <C> <C> <C> <C>
---------------------------------------------------------------------------------------------------- --------------
Record Date*.......................... 5/1 8/1 11/1 2/1
Distribution Date..................... 5/15 8/15 11/15 2/15
--------------------------------------------------------------------------------------------------------------------
Monthly Distribution Plan............. $ .5642(1) $ 5.4913
-------- $.4575 every month --------
Quarterly Distribution Plan........... $ .5642(1) $ 1.3806(2) $ 1.3806 $ 1.3806 $ 5.5233
Semi-Annual Distribution Plan......... $ .5642(1) $ 2.7702(3) $ 5.5423
--------------------------------------------------------------------------------------------------------------------
<FN>
* Record Dates for semi-annual distributions are May 1 and November 1; for quarterly distributions, they are February 1, May 1,
August 1 and November 1. Record Dates for monthly distributions are the first day of each month.
(1) The first distribution will be paid to all Unitholders, regardless of the distribution plan selected. Such distribution may
be more or less than a regular monthly distribution.
(2) Regular 3-month distribution.
(3) Regular 6-month distribution.
</TABLE>
+ Interest for Unitholders of this series began to accrue as of the Date of
Deposit. Units purchased on the Date of Deposit will have $.11 of accrued
interest that will be added to the Public Offering Price on the Settlement Date.
After provision for expenses of the Fund, the daily rate of accrual from the
Date of Deposit to the first Record Date is $.01525 per unit per day.
Consequently, on the first Record Date (05/01/95), accrued interest will total
$0.5642 per unit for the 37-day period. All interest accrued from the Date of
Deposit to the first Record Date, less expenses, will be distributed on the
first Distribution Date to Unitholders of Record as of the first Record Date.
The first payment to all Unitholders of Record on 05/01/95 is $.5642 per unit.
After the first Record Date daily rates of accrual are:
Monthly - $0.01525 Quarterly - $0.01534
Semi-Annual - $0.01539
This daily rate of accrual, and the annual distributions shown above, will
remain the same as long as the portfolio size and composition remain the same.
--------------------------------------------------------------------------------
792
<PAGE>
-------------------------------------------------------
AVERAGE PORTFOLIO LIFE The average maturity of portfolio bonds is 25.1 years.
The first bond is scheduled to mature in June, 2017, with the last bond maturity
being October, 2023.
-------------------------------------------------------
QUALITY OF PORTFOLIO AS RATED BY
STANDARD & POOR'S CORPORATION
OR MOODY'S INVESTORS SERVICES
-------------------------------------------------------
<TABLE>
<S> <C> <C>
Rating Percent of Portfolio
Category Par Value
--------------------------------------------------------------------
AAA 86%
AA 14
---
100%
</TABLE>
-------------------------------------------------------
CALL PROTECTION Bonds are first subject to optional redemption by the issuers
in the years and at the prices shown under the Redemption Provisions column in
the Schedule of Investments. Unless otherwise stated, in subsequent years, bonds
are redeemable at declining prices, but not usually below par value. Some issues
or some portions of issues may also be subject to sinking fund redemption or
extraordinary redemption without premium prior to the dates shown.
-------------------------------------------------------
NO CHARGE FOR REDEMPTION The Trustee, United States Trust Company of New York,
will redeem units at net asset value. In addition, John Nuveen & Co.
Incorporated intends to maintain a secondary market for this Nuveen Tax-Exempt
Unit Trust. Inasmuch as all securities investments are subject to market price
fluctuation, net asset value at the time of redemption could be more or less
than the initial investment.
-------------------------------------------------------
REINVESTMENT OPTIONS Specify automatic reinvestment of trust income, with no
sales charge, to earn compounded dividends with Nuveen mutual funds.
-------------------------------------------------------
UNITS OF THE TRUST ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED OR ENDORSED
BY, ANY BANK AND ARE NOT FEDERALLY INSURED OR OTHERWISE PROTECTED BY THE FEDERAL
DEPOSIT INSURANCE CORPORATION, THE FEDERAL RESERVE BOARD OR ANY OTHER AGENCY AND
INVOLVE INVESTMENT RISK, INCLUDING THE POSSIBLE LOSS OF PRINCIPAL.
-------------------------------------------------------
FOR A PROSPECTUS CONTAINING MORE COMPLETE INFORMATION, INCLUDING CHARGES AND
EXPENSES, ON THIS NUVEEN TAX-EXEMPT UNIT TRUST AND ANY OTHER NUVEEN FUND, CALL
YOUR BROKER . . . OR NUVEEN AT
1-800-257-8787
READ THE PROSPECTUS CAREFULLY BEFORE YOU INVEST OR SEND MONEY.
<PAGE>
NUVEEN Tax-Exempt Unit Trusts
NUVEEN
SHORT INTERMEDIATE
INSURED
TRUST 40
Estimated Current Return
First
Year: 4.42% to 4.54%
Subsequent
Years: 4.47% to 4.59%
as of 03/23/95
Estimated Long Term Return
4.73% to 4.86%
75,000 units in a
diversified $7,500,000
portfolio of tax-exempt
bonds rated "AAA"
Cusip:
6710A0 494 Monthly Payment Option
6710A0 502 Quarterly Payment Option
6710A0 510 Semi-Annual Payment Option
Registered in all states
John Nuveen & Co. Incorporated
Investment Bankers
<TABLE>
<S> <C>
Chicago: Atlanta
333 W. Wacker Dr. Austin
Chicago, Illinois 60606 Boca Raton
Telephone: 312.917.7700 Boston
Columbus
New York: Dallas/Ft. Worth
Swiss Bank Tower Irvine
10 East 50th Street Philadelphia
New York, New York 10022 Phoenix
Telephone: 212.207.2000 San Francisco
Seattle
Tampa
Washington, D.C.
</TABLE>
<PAGE>
--------------------------------------------------------------------------------
NUVEEN TAX-EXEMPT UNIT TRUST--INSURED, SHORT INTERMEDIATE INSURED TRUST 40
SCHEDULE OF INVESTMENTS
DATE OF DEPOSIT MARCH 24, 1995
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings
Optional -----------------------
Aggregate Name of Issuer and Title of Issue Represented Redemption Standard
Principal by Sponsor's Contracts to Purchase Bonds Provisions & Poor's Moody's
<C> <C> <S> <C> <C> <C>
--------------------------------------------------------------------------------------------------------------------------
$ 400,000 North Slope Borough, Alaska, General Obligation Bonds, No Optional AAA Aaa
Series 1992A, 5.55% Due 6/30/00. Call
405,000 Kyrene Elementary School District No. 28 of Maricopa County, No Optional AAA Aaa
Arizona, Refunding Bonds, Second Series of 1992, 0.00% Due Call
7/1/99. (Original issue discount bonds delivered on or
about September 28, 1992 at a price of 69.074% of
principal amount.)(General Obligation Bonds.)
750,000 Chicago School Finance Authority, Illinois, General No Optional AAA Aaa
Obligation School Financing Bonds, Series 1994A, 4.50% Due Call
6/1/00.
750,000 The County of DuPage, Illinois, Motor Fuel Tax Revenue No Optional AAA Aaa
Bonds, Series 1995, 5.10% Due 1/1/00. (When issued.) Call
750,000 Massachusetts Health and Educational Facilities Authority, No Optional AAA Aaa
Revenue Bonds, Berkshire Health Systems Issue, Series D, Call
4.90% Due 10/1/99. (When issued.)
750,000 Regents of the University of Michigan, Student Fee Refunding No Optional AAA Aaa
Bonds, Series 1993, 4.65% Due 4/1/00. Call
750,000 Mississippi Hospital Equipment and Facilities Authority, No Optional AAA Aaa
Revenue Refunding Bonds, Series 1995 (Mississippi Baptist Call
Medical Center), 5.15% Due 5/1/00. (When issued.)
750,000 Clark County, Nevada, Las Vegas-McCarran International No Optional AAA Aaa
Airport Passenger Facility Charge Revenue Bonds, 1992 Call
Series A, 5.30% Due 7/1/99.
1,020,000 Abilene (Texas), Health Facilities Development Corporation, No Optional AAA Aaa
Hospital Revenue Refunding and Improvement Bonds (Hendrick Call
Medical Center Project), Series 1995A, 5.20% Due 9/1/00.
(When issued.)
550,000 Board of Regents of Texas Tech University, Revenue Financing No Optional AAA Aaa
System Bonds, Second Series (1995), 5.00% Due 2/15/00. Call
(When issued.)
625,000 Washington Public Power Supply System, Nuclear Project No. 2 No Optional AAA Aaa
Refunding Revenue Bonds, Series 1993B, 5.00% Due 7/1/00. Call
----------
$7,500,000
----------
----------
</TABLE>
<PAGE>
--------------------------------------------------------------------------------
UNIT PRICE, ESTIMATED CURRENT RETURN AND ESTIMATED LONG TERM RETURN DEPEND ON
AMOUNT PURCHASED AND PAYMENT OPTION The sales charges/volume discounts below
apply on all concurrent purchases of any Nuveen trust units, unless any such
purchases are made by a class of investors for which a separate sales charge is
applicable as described more fully in the Prospectus. Estimated Current Return
equals net income divided by offering price. Estimated Long Term Return
represents an average of the yields to maturity (or call) of the Bonds in the
Trust adjusted to reflect expenses and sales charges.
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Estimated Current Return (2)
AMOUNT PURCHASED Public -----------------------------------------------------------
------------------------------------- Sales Offering Monthly Quarterly Semi-Annual
Units Dollars Charge Price (1) Payment Payment Payment
---------------- ------------------- ------ ----------- --------------- --------------- ---------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
50-499 $5,000-$49,999 3.00 % $ 101.74 (4.42%) 4.47% (4.45%) 4.50% (4.47%) 4.52%
500-999 50,000-99,999 2.80 101.53 (4.43) 4.48 (4.46) 4.51 (4.48) 4.53
1,000-2,499 100,000-249,999 2.60 101.32 (4.43) 4.49 (4.47) 4.52 (4.49) 4.54
2,500-4,999 250,000-499,999 2.35 101.07 (4.45) 4.50 (4.48) 4.53 (4.50) 4.55
5,000-9,999 500,000-999,999 2.10 100.81 (4.46) 4.51 (4.49) 4.54 (4.51) 4.56
10,000-24,999 1,000,000- 2,499,999 1.85 100.55 (4.47) 4.52 (4.50) 4.55 (4.52) 4.57
25,000-49,999 2,500,000- 4,999,999 1.80 100.50 (4.47) 4.52 (4.50) 4.56 (4.52) 4.58
50,000 and over 5,000,000 and over 1.50 100.19 (4.48) 4.54 (4.52) 4.57 (4.54) 4.59
</TABLE>
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Estimated Long Term Return (3)
-----------------------------------------------------
AMOUNT PURCHASED Public
------------------------------------- Sales Offering Monthly Quarterly Semi-Annual
Units Dollars Charge Price (1) Payment Payment Payment
---------------- ------------------- ------ ----------- ------------- ------------- -------------
<S> <C> <C> <C> <C> <C> <C>
50-499 $5,000-$49,999 3.00 % $ 101.74 4.73% 4.76% 4.78%
500-999 50,000-99,999 2.80 101.53 4.74 4.77 4.79
1,000-2,499 100,000-249,999 2.60 101.32 4.75 4.78 4.80
2,500-4,999 250,000-499,999 2.35 101.07 4.76 4.79 4.81
5,000-9,999 500,000-999,999 2.10 100.81 4.78 4.81 4.83
10,000-24,999 1,000,000- 2,499,999 1.85 100.55 4.79 4.82 4.84
25,000-49,999 2,500,000- 4,999,999 1.80 100.50 4.79 4.82 4.84
50,000 and over 5,000,000 and over 1.50 100.19 4.81 4.84 4.86
</TABLE>
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
(1) As of the business day prior to the Date of Deposit. Units are offered at
the Public Offering Price plus accrued interest.
(2) All figures as of the business day prior to the Date of Deposit. Figures in
brackets represent the current return. The first year's estimated current
returns are slightly lower than those for subsequent years because a portion
of the monies received in the first year only will be treated as a return of
principal due to the inclusion in the portfolio of "when issued" or other
Bonds having delivery dates after the date of settlement for a purchase made
on the Date of Deposit.
(3) In contrast to Estimated Current Return, Estimated Long Term Return reflects
the amortization of premium or accretion of discount, if any, on the bonds
in the Trust's portfolio.
--------------------------------------------------------------------------------
REINVESTMENT OPTIONS Specify automatic reinvestment of trust income, with no
sales charge, to earn compounded dividends with Nuveen mutual funds.
--------------------------------------------------------------------------------
INTEREST DISTRIBUTIONS TO UNITHOLDERS Unitholders may elect to have interest
distributions made on a monthly, quarterly, or semi-annual basis. Record Dates
are May 1 and November 1 for semi-annual distributions; February 1, May 1,
August 1 and November 1 for quarterly distributions; and the first of each month
for monthly distributions. Details of interest distributions per unit under the
various plans appear in the following table based upon estimated net annual
interest income at the Date of Deposit:
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Normal
Distributions
Short Intermediate Insured Trust 1995 1996 per Year +
<S> <C> <C> <C> <C> <C>
---------------------------------------------------------------------------------------------------- --------------
Record Date*.......................... 5/1 8/1 11/1 2/1
Distribution Date..................... 5/15 8/15 11/15 2/15
--------------------------------------------------------------------------------------------------------------------
Monthly Distribution Plan............. $ .4673(1) $ 4.5469
-------- $.3789 every month --------
Quarterly Distribution Plan........... $ .4673(1) $ 1.1439(2) $ 1.1439 $ 1.1439 $ 4.5789
Semi-Annual Distribution Plan......... $ .4673(1) $ 2.2986(3) $ 4.5979
--------------------------------------------------------------------------------------------------------------------
<FN>
* Record Dates for semi-annual distributions are May 1 and November 1; for quarterly distributions, they are February 1, May 1,
August 1 and November 1. Record Dates for monthly distributions are the first day of each month.
(1) The first distribution will be paid to all Unitholders, regardless of the distribution plan selected. Such distribution may
be more or less than a regular monthly distribution.
(2) Regular 3-month distribution.
(3) Regular 6-month distribution.
</TABLE>
+ Interest for Unitholders of this series began to accrue as of the Date of
Deposit. Units purchased on the Date of Deposit will have $.09 of accrued
interest that will be added to the Public Offering Price on the Settlement Date.
After provision for expenses of the Fund, the daily rate of accrual from the
Date of Deposit to the first Record Date is $.01263 per unit per day.
Consequently, on the first Record Date (05/01/95), accrued interest will total
$0.4673 per unit for the 37-day period. All interest accrued from the Date of
Deposit to the first Record Date, less expenses, will be distributed on the
first Distribution Date to Unitholders of Record as of the first Record Date.
The first payment to all Unitholders of Record on 05/01/95 is $.4673 per unit.
After the first Record Date daily rates of accrual are:
Monthly - $0.01263 Quarterly - $0.01271
Semi-Annual - $0.01277
This daily rate of accrual, and the annual distributions shown above, will
remain the same as long as the portfolio size and composition remain the same.
--------------------------------------------------------------------------------
<PAGE>
-------------------------------------------------
DIVERSIFICATION OF PORTFOLIO INCOME
There are 11 Tax-exempt bond issues in this trust; this diversified portfolio
yields current income from issuers in 8 states.
-------------------------------------------------------
<TABLE>
<CAPTION>
Percent
of Total
Income
<S> <C> <C>
------------------------
%
Alaska 6.2
Illinois 20.2
Massachusetts 10.3
Michigan 9.8
<CAPTION>
Percent
of Total
Income
------------------------
<S> <C> <C>
%
Mississippi 10.9
Nevada 11.2
Texas 22.6
Washington 8.8
</TABLE>
-------------------------------------------------
AVERAGE PORTFOLIO LIFE The average maturity
of portfolio bonds is 4.9 years.
<TABLE>
<CAPTION>
Year Bonds Mature Amount Percent
------------------------------------- ---------- -----------
<S> <C> <C>
1999................................. 1,905 25.4%
2000................................. 5,595 74.6
</TABLE>
-------------------------------------------------
BONDS INSURED BY MBIA Each bond in this Nuveen Insured series has been
insured* by the Municipal Bond Investors Assurance Corporation, which guarantees
timely payments of principal and interest. Premium payments have been fully paid
by the Date of Deposit.
-------------------------------------------------
CALL PROTECTION Bonds are first subject to optional redemption by the issuers
in the years and at the prices shown under the Redemption Provisions column in
the Schedule of Investments. Unless otherwise stated, in subsequent years, bonds
are redeemable at declining prices, but not usually below par value. Some issues
or some portions of issues may also be subject to sinking fund redemption or
extraordinary redemption without premium prior to the dates shown.
-------------------------------------------------
UNITS OF THE TRUST ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED OR ENDORSED
BY, ANY BANK AND ARE NOT FEDERALLY INSURED OR OTHERWISE PROTECTED BY THE FEDERAL
DEPOSIT INSURANCE CORPORATION, THE FEDERAL RESERVE BOARD OR ANY OTHER AGENCY AND
INVOLVE INVESTMENT RISK, INCLUDING THE POSSIBLE LOSS OF PRINCIPAL.
-------------------------------------------------
* Insurance relates specifically to the bonds and not to the units or to the
market value of units. Terms of the insurance are more fully described in the
prospectus. No representation is made as to the insurer's ability to meet its
commitments. See Section 5 of the prospectus for details.
-------------------------------------------------------
FOR A PROSPECTUS CONTAINING MORE COMPLETE INFORMATION, INCLUDING CHARGES AND
EXPENSES, ON THIS NUVEEN TAX-EXEMPT UNIT TRUST AND ANY OTHER NUVEEN FUND, CALL
YOUR BROKER . . . OR NUVEEN AT
1-800-257-8787
READ THE PROSPECTUS CAREFULLY BEFORE YOU INVEST OR SEND MONEY.
792