[Code of Federal Regulations]
[Title 31, Volume 2]
[Revised as of July 1, 2008]
From the U.S. Government Printing Office via GPO Access
[CITE: 31CFR351.28]

[Page 322-323]
 
                  TITLE 31--MONEY AND FINANCE: TREASURY
 
         CHAPTER II--FISCAL SERVICE, DEPARTMENT OF THE TREASURY
 
PART 351_OFFERING OF UNITED STATES SAVINGS BONDS, SERIES EE--Table of Contents
 
Subpart B_Maturities, Redemption Values, and Investment Yields of Series 
 
Sec. 351.28  How are redemption values calculated for bonds with issue dates 

from May 1, 1995, through April 1, 1997?

    We determine the redemption value of a bond on the accrual date 
immediately following each semiannual earning period as follows:
    (a) We convert the applicable long-term or short-term savings bond 
rate for the semiannual earning period to decimal form by dividing by 
100, and adjust it to a semiannual rate by dividing by 2.
    (b) Using redemption values for the base denomination, as defined in 
Sec. 351.16, we then multiply this rate by the redemption value of the 
bond at

[[Page 323]]

the beginning of the semiannual earning period.
    (c) We add the resulting interest amount, rounded to the nearest 
cent, to the redemption value of the bond at the beginning of the 
earning period to produce the redemption value at the next semiannual 
accrual date. The redemption value of a bond remains constant between 
accrual dates.

 Series EE Savings Bonds With Issue Dates of May 1, 1997, Through April 
                                 1, 2005