FROM THE OFFICE OF PUBLIC AFFAIRS

The United States and Canada will consult regarding modifications to the current U.S.-Canadian Tax Treaty in Washington, beginning on October 20, 1998. These consultations are contemplated by Article 20 of the Protocol to the U.S.-Canadian Income Tax Treaty that was signed on March 17, 1995 and entered into force on November 9, 1995. Discussions are to include potential reductions in the withholding tax rates provided in the Convention and modifications to the rules in Article XXIXA of the Treaty regarding Limitation on Benefits.

The Treasury Department invites comments from the public regarding the upcoming negotiations. Persons wishing to comment on the negotiations are invited to send their written comments to Philip R. West, International Tax Counsel, Room 4206 Main Treasury, Washington, D.C. 20220. They may also submit comments by fax to (202) 622-1772 or by e-mail to Phil.West @ treas.sprint.com.