Business Context and Reporting Period
This Form 8-K is filed by Synthetic Fixed-Income Securities, Inc. on behalf of the STRATSSM Trust for Dominion Resources, Inc. Securities, Series 2005-6. The report covers events occurring on November 5, 2008. The Trust was established to issue synthetic fixed-income securities backed by Dominion Resources, Inc. debt.
Key Financial Metrics
The filing details a specific transaction involving the exchange of STRATS certificates for underlying senior notes. No revenue, profit, cash flow, or margin data is provided as this is a special purpose vehicle filing regarding a specific asset exchange.
- Certificates Surrendered: 12,000 STRATSSM Certificates, Series 2005-6.
- Aggregate Stated Amount Surrendered: $300,000.
- Underlying Asset Received: Dominion Resources, Inc. 5.950% Series B Senior Notes due 2035.
- Principal Balance of Notes Received: $300,000.
- Outstanding Notes Held by Trust (Post-Exchange): $9,525,000.
- Outstanding Certificates (Post-Exchange): 381,000 certificates representing $9,525,000 aggregate principal balance.
Material Changes
On November 5, 2008, Synthetic Fixed-Income Securities, Inc. exercised optional exchange provisions under Section 39 of the Series Supplement. The company surrendered certificates held by it in exchange for the underlying Dominion Resources, Inc. senior notes. Consequently, the outstanding principal balance of the Trust decreased by $300,000.
Guidance, Outlook, and Risks
The filing does not contain management commentary, forward-looking guidance, or specific risk factors beyond the standard operational mechanics of the Trust. The transaction was executed in accordance with the existing Series Supplement dated November 21, 2005.
Investor Verification Checklist
- Verify the current market value of the Dominion Resources, Inc. 5.950% Series B Senior Notes due 2035 held by the Trust.
- Confirm the total outstanding principal balance of $9,525,000 for the Series 2005-6 certificates.
- Review Section 39 of the Series Supplement to understand the terms of the optional exchange provision utilized.
- Check for any subsequent filings regarding further redemptions or exchanges of the remaining 381,000 certificates.