Bureau Of The Public Debt Announces Series EE Savings Bond Rate For May Through October 2002

FOR RELEASE AT 10:00 AM EST

May 1, 2002

The Bureau of the Public Debt today announced the rate for Series EE savings bonds issued on or after May 1, 1997.

SERIES EE SAVINGS BOND RATE: 3.96%

The 3.96 percent Series EE savings bond rate is in effect for bonds issued on or after May 1, 1997, that enter semiannual earnings periods from May 2002 through October 2002 . The rate is 90 percent of the average 5-year Treasury securities yields for the preceding six months. A new interest rate is announced effective each May 1 and November 1. A 3-month interest penalty is applied to these bonds if redeemed before five years. The Series EE bonds on sale now increase in value monthly. The bond's interest rate is compounded semiannually.

Savers and investors can now open an on-line account to purchase EE Bonds in electronic form through the website www.treasurydirect.gov. Account holders can purchase, manage, and redeem such EE Bonds over the Internet 24 hours a day, seven days a week.

Series EE Bonds Issued Before May 1997

Series EE Bonds issued before May 1997 earn various rates for semiannual earnings periods beginning between May 2002 and October 2002 , depending on dates of issue. See the Earnings Report for earnings on Series EE bonds issued from January 1980.

Matured Series E Savings Bonds and Savings Notes

Series E savings bonds continue to reach final maturity and stop earning interest. Bonds issued from May 1941 through April 1962 along with those issued from December 1965 through April 1972 have stopped earning interest. All Savings Notes, issued from May 1967 through October 1970, have stopped earning interest. Series E Bonds with issue dates shown here will reach final maturity in the next six months.

E-Bonds Issued	Stop Earning Interest
May 1962 through October 1962	May 2002 through October 2002
May 1972 through October 1972	May 2002 through October 2002

MORE INFORMATION

Information about savings bonds is available at Public Debt's website at www.treasurydirect.gov. Check out our Savings Bond Calculator to see how easy it is to find out what your bonds are worth, what they're earning, and even keep track of them. Or, download the free Savings Bond Wizard™ to keep track of your savings bond portfolio. An Earnings Report, which contains rate and yield information for bonds is available by mail. Send a postcard asking for "Earnings Report" to Bureau of the Public Debt, 200 Third Street, Parkersburg, WV 26106-1328.