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AMEX Lists $41 Million Issue Linked to the Common Stock of Honda Motor Co., Inc

4 June 1998

AMEX Lists $41 Million Issue Linked to the Common Stock of Honda Motor Co., Inc

- Merrill Lynch Honda Motor Co., Ltd. 3% Stock Linked Notes Due June 9, 2000 -

    NEW YORK, June 4, -- The American Stock Exchange today began
trading Honda Motor Co., Ltd. 3% Stock Linked Notes.
The two-year, $41 million debt issue is listed under the ticker symbol HML and
will mature on June 9, 2000.
    The Notes, which have a face value of $1016.40, make two payments per year
totaling $30.49, or 3% of the Face Value.  At maturity, holders of the Notes
will receive cash or shares of Honda Motor Co., Ltd. American Depositary
Receipts (ADRs).  The Notes are not redeemable prior to maturity.
    As the initial pricing of HML was fixed at the dollar/yen exchange rate of
138.35 Japanese Yen per U.S. Dollar, this instrument allows investors to
participate in price fluctuations of the common stock without being affected
by future changes in the Japanese Yen/U.S. Dollar exchange rate.  Therefore,
if the stock delivery is elected in lieu of cash, investors will receive Honda
Motor Co. ADRs based upon the fixed rate, as opposed to the traditional
floating rate utilized to price the ADRs.
    The Medium-Term Notes were issued by Merrill Lynch & Co., Inc.  The sole
underwriter for the Notes is Merrill Lynch & Co.  The Amex specialist unit for
the Notes is Spear, Leeds & Kellogg.
    The Amex is a leader in listing hybrid debt instruments, as well as
warrants on foreign currencies, indexes and other structured products.