Rule No. 424(b)(5)
Registration No. 33-49947
PROSPECTUS SUPPLEMENT
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(TO PROSPECTUS SUPPLEMENT DATED OCTOBER 4, 1993 AND PROSPECTUS DATED AUGUST 27,
1993)
MERRILL LYNCH & CO., INC.
MEDIUM-TERM NOTES, SERIES B
DUE FROM AND EXCEEDING 9 MONTHS FROM DATE OF ISSUE
CONSTANT MATURITY TREASURY RATE INDEXED NOTES
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Original Issue Date: January 14, 1994 Interest Reset Dates: Each Interest Payment
Maturity Date: January 14, 1999 Date
Redemption Date: Not Applicable Principal Amount: $67 million
Optional Repayment Dates: Not Applicable Interest Rate Basis: Two-Year Constant
Maturity Treasury Rate
Interest Payment Dates: Each January 14, April Spread: -0.20%
14, July 14 and October Initial Interest Rate: 4.05%
14, commencing April 14,
1994
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DESCRIPTION OF THE NOTES
GENERAL
The Medium-Term Notes, Series B of Merrill Lynch & Co., Inc. (the
"Company"), offered hereby are "Constant Maturity Treasury Rate Indexed Notes"
and are referred to in this Prospectus Supplement as the "Notes". The Notes are
Floating Rate Notes and certain provisions of the Notes are more fully described
in the accompanying Prospectus and Prospectus Supplement.
This Prospectus Supplement relates to $67,000,000 aggregate principal
amount of Notes which the Company has agreed to sell to Merrill Lynch, Pierce,
Fenner & Smith Incorporated (the "Underwriter"), and which the Underwriter has
agreed to purchase from the Company, at a price of 99.525% of the principal
amount thereof. The Underwriter has advised the Company that it proposes
initially to offer the Notes to the public at a public offering price equal to
100% of the principal amount thereof. After the initial public offering, such
public offering price may be changed.
The Notes will not be subject to redemption by the Company in whole or in
part prior to the Maturity Date.
INTEREST
The Notes will bear interest from and including January 14, 1994 to but
excluding the Maturity Date. Interest will be payable on the Interest Payment
Dates specified above at a per annum rate equal to the Interest Rate Basis
specified above minus 0.20%, as determined by Merrill Lynch Capital Services,
Inc. (the "Calculation Agent"), a subsidiary of the Company; provided, however,
that the per annum rate of interest payable prior to the initial Interest Reset
Date will equal the Initial Interest Rate specified above. The "Interest
Determination Date" pertaining to an Interest Reset Date will be the second
Business Day preceding such Interest Reset Date.
The date of this Prospectus Supplement is January 13, 1994.
"Two-Year Constant Maturity Treasury Rate" means for any Interest
Determination Date:
(i) The one-week average yield on 2-year United States Treasury securities
at "constant maturity", as published in the most recent H.15(519) (as
defined below) available on the applicable Interest Determination Date,
with respect to such Interest Reset Date, provided that such H.15(519) was
first available not earlier than ten calendar days prior to such Interest
Determination Date, in the column entitled "Week Ending" for the most
recent date opposite the heading "Treasury constant maturities, 2-year."
(ii) If the latest H.15(519) available on the applicable Interest
Determination Date with respect to such Interest Reset Date was first
available earlier than ten calendar days prior to such Interest
Determination Date, the Two-Year Constant Maturity Treasury Rate will be
such 2-year United States Treasury constant maturity rate (or other 2-year
United States Treasury rate) for such Interest Determination Date (a) as
may then be published by either the Board of Governors of the Federal
Reserve System or the United States Department of Treasury, and (b) that
the Calculation Agent determines to be comparable to the rate formerly
published in H.15(519).
(iii) If the Two-Year Constant Maturity Treasury Rate as described in
clause (ii) is not published on the Interest Determination Date, the Two-
Year Constant Maturity Treasury Rate will be a yield to maturity for direct
noncallable fixed rate obligations of the United States ("Treasury Notes")
most recently issued with an original maturity of approximately two years
and a remaining term to maturity of not less than one year based on the
yield (which yield is based on asked prices) for such issue of Treasury
Notes for such Interest Determination Date, as published by the Federal
Reserve Bank of New York in its daily statistical release entitled
"Composite 3:30 P.M. Quotations for U.S. Government Securities" (or any
successor or similar publication selected by the Calculation Agent
published by the Board of Governors of the Federal Reserve System, the
Federal Reserve Bank of New York or any other Federal Reserve Bank or
affiliated entity).
(iv) If the Two-Year Constant Maturity Treasury Rate as described in
clause (iii) is not published on the Interest Determination Date, the Two-
Year Constant Maturity Treasury Rate will be calculated by the Calculation
Agent and will be a yield to a maturity (expressed as a bond equivalent
and as a decimal rounded, if necessary, to the nearest one hundred-
thousandth of a percentage point with five one-millionths of a percentage
point rounded up, on the basis of a year of 365 or 366 days, as applicable,
and applied on a daily basis) based on the arithmetic mean of the secondary
market bid prices as of approximately 3:30 p.m., New York City Time, on
such Interest Determination Date of three primary United States government
securities dealers in The City of New York selected by the Calculation
Agent (from five such dealers and eliminating the highest quotation (or, in
the event of equality, one of the highest) and the lowest quotation (or, in
the event of equality, one of the lowest) for Treasury Notes with an
original maturity of approximately two years and a remaining term to
maturity of not less than one year. If three or four (and not five) of
such dealers are quoting as described in this clause (iv), then the Two-
Year Constant Maturity Treasury Rate will be based on the arithmetic mean
of the bid prices obtained and neither the highest nor the lowest of such
quotations will be eliminated.
(v) If fewer than three dealers selected by the Calculation Agent are
quoting as described in clause (iv), the Two-Year Constant Maturity
Treasury Rate will be calculated by the Calculation Agent and will be a
yield to maturity (expressed as a bond equivalent and as a decimal rounded,
if necessary, to the nearest one hundred-thousandth of a percentage point
with five one-millionths of a percentage point rounded up, on the basis of
a year of 365 or 366 days, as applicable, and applied on a daily basis)
based on the arithmetic mean of the secondary market bid prices as of
approximately 3:30 p.m., New York City Time, on the applicable Interest
Determination Date of three leading primary United States government
securities dealers in The City of New York selected by the Calculation
Agent (from five such dealers and eliminating the highest quotation (or, in
the event of equality, one of the highest) and the lowest quotation (or, in
the event of equality, one of the lowest)) for Treasury Notes with an
original maturity of approximately ten
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years and a remaining term to maturity closest to two years. If three or
four (and not five) of such dealers are quoting as described in this clause
(v), then the Two-Year Constant Maturity Treasury Rate will be based on the
arithmetic mean of the bid prices obtained and neither the highest nor the
lowest of such quotations will be eliminated.
(vi) If fewer than three dealers selected by the Calculation Agent are
quoting as described in clause (v), the Two-Year Constant Maturity Treasury
Rate will be the Two-Year Constant Maturity Treasury Rate in effect on the
preceding Interest Reset Date (or, in the case of the initial Interest
Determination Date, the one-week average yield on 2-year United States
Treasury securities at "constant maturity", as published in the most recent
H.15(519)).
In the case of clause (v), if two Treasury Notes with an original
maturity of approximately ten years have remaining terms to maturity
equally close to two years, the quotes for the Treasury Note with the
shorter remaining term to maturity will be used.
"H.15(519)" means the weekly statistical release designated as such,
published by the Board of Governors of the Federal Reserve System.
All other capitalized terms used but not defined herein shall have the
meanings assigned to such terms in the accompanying Prospectus and Prospectus
Supplement.
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