<PAGE>
                                                         1998
--------------------------------------------------------------------------------
World Monitor Trust--Series C                            Annual
                                                         Report
 <PAGE>
<PAGE>
                         LETTER TO LIMITED OWNERS FOR
                         WORLD MONITOR TRUST--SERIES C
 
 
                                       1
 <PAGE>
<PAGE>
PricewaterhouseCoopers (LOGO)
 
                                            PricewaterhouseCoopers LLP
                                            1177 Avenue of the Americas
                                            New York, NY 10036
                                            Telephone (212) 596 8000
                                            Facsimile (212) 596 8910
 
                       Report of Independent Accountants
 
January 26, 1999
To the Managing Owner and
Limited Owners of
World Monitor Trust--Series C
 
In our opinion, the accompanying statements of financial condition and the
related statements of operations and changes in trust capital present fairly, in
all material respects, the financial position of World Monitor Trust--Series C
at December 31, 1998 and 1997, and the results of its operations for the period
from June 10, 1998 (commencement of operations) to December 31, 1998 in
conformity with generally accepted accounting principles. These financial
statements are the responsibility of the Managing Owner; our responsibility is
to express an opinion on these financial statements based on our audits. We
conducted our audits of these statements in accordance with generally accepted
auditing standards which require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements, assessing the
accounting principles used and significant estimates made by the Managing Owner,
and evaluating the overall financial statement presentation. We believe that our
audits provide a reasonable basis for the opinion expressed above.
 
/s/ PricewaterhouseCoopers LLP
 
                                       2
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<PAGE>
                         WORLD MONITOR TRUST--SERIES C
                          (a Delaware Business Trust)
                       STATEMENTS OF FINANCIAL CONDITION
<TABLE>
<CAPTION>
                                                                                December 31,
                                                                          -------------------------
                                                                              1998           1997
<S>                                                                       <C>               <C>
---------------------------------------------------------------------------------------------------
ASSETS
Equity in commodity trading accounts:
Cash                                                                       $10,653,709      $ 1,000
Net unrealized gain on open commodity positions                                730,421           --
                                                                          -------------     -------
Total assets                                                               $11,384,130      $ 1,000
                                                                          -------------     -------
                                                                          -------------     -------
LIABILITIES AND TRUST CAPITAL
Liabilities
Commissions payable                                                        $    71,305      $    --
Management fee payable                                                          19,620           --
                                                                          -------------     -------
Total liabilities                                                               90,925           --
                                                                          -------------     -------
Commitments
 
Trust capital
Limited interests (107,003.103 and 0 interests outstanding)                 11,151,465           --
General interests (1,360 and 10 interests outstanding)                         141,740        1,000
                                                                          -------------     -------
Total trust capital                                                         11,293,205        1,000
                                                                          -------------     -------
Total liabilities and trust capital                                        $11,384,130      $ 1,000
                                                                          -------------     -------
                                                                          -------------     -------
 
Net asset value per limited and general interests ('Interests')            $    104.22      $100.00
                                                                          -------------     -------
                                                                          -------------     -------
---------------------------------------------------------------------------------------------------
                 The accompanying notes are an integral part of these statements.
</TABLE>
                                       3
<PAGE>
                         WORLD MONITOR TRUST--SERIES C
                          (a Delaware Business Trust)
                            STATEMENT OF OPERATIONS
                       For the period from June 10, 1998
                          (commencement of operations)
                           through December 31, 1998
<TABLE>
<CAPTION>
---------------------------------------------------------------------------------------------------
<S>                                                                            <C>
REVENUES
Net realized gain on commodity transactions                                         $   26,790
Net unrealized gain on open commodity positions                                        730,421
Interest income                                                                        253,993
                                                                               --------------------
                                                                                     1,011,204
                                                                               --------------------
EXPENSES
Commissions                                                                            365,442
Management fees                                                                         94,417
Incentive fees                                                                          85,488
                                                                               --------------------
                                                                                       545,347
                                                                               --------------------
Net income                                                                          $  465,857
                                                                               --------------------
                                                                               --------------------
ALLOCATION OF NET INCOME
Limited interests                                                                   $  458,452
                                                                               --------------------
                                                                               --------------------
General interests                                                                   $    7,405
                                                                               --------------------
                                                                               --------------------
NET INCOME PER WEIGHTED AVERAGE LIMITED AND GENERAL INTEREST
Net income per weighted average limited and general interest                        $     5.80
                                                                               --------------------
                                                                               --------------------
Weighted average number of limited and general interests outstanding                    80,300
                                                                               --------------------
                                                                               --------------------
---------------------------------------------------------------------------------------------------
</TABLE>
 
                     STATEMENT OF CHANGES IN TRUST CAPITAL
<TABLE>
<CAPTION>
                                                              LIMITED        GENERAL
                                             INTERESTS       INTERESTS      INTERESTS        TOTAL
<S>                                         <C>             <C>             <C>           <C>
-----------------------------------------------------------------------------------------------------
Trust capital--December 31, 1997                 10.000     $        --     $  1,000      $     1,000
Contributions                               109,709.375      10,828,547      133,335       10,961,882
Net income                                           --         458,452        7,405          465,857
Redemptions                                  (1,356.272)       (135,534)          --         (135,534)
                                            -----------     -----------     ---------     -----------
Trust capital--December 31, 1998            108,363.103     $11,151,465     $141,740      $11,293,205
                                            -----------     -----------     ---------     -----------
                                            -----------     -----------     ---------     -----------
-----------------------------------------------------------------------------------------------------
                  The accompanying notes are an integral part of these statements.
</TABLE>
                                       4
<PAGE>
                         WORLD MONITOR TRUST--SERIES C
                          (a Delaware Business Trust)
                         NOTES TO FINANCIAL STATEMENTS
 
A. General
 
The Trust, Trustee, Managing Owner and Affiliates
 
   World Monitor Trust (the 'Trust') is a business trust organized under the
laws of Delaware on December 17, 1997. The Trust commenced trading operations on
June 10, 1998 and will terminate on December 31, 2047 unless terminated sooner
as provided in the Second Amended and Restated Declaration of Trust and Trust
Agreement. The Trust was formed to engage in the speculative trading of a
diversified portfolio of futures, forward and options contracts and may, from
time to time, engage in cash and spot transactions. The trustee of the Trust is
Wilmington Trust Company. The managing owner is Prudential Securities Futures
Management Inc. (the 'Managing Owner'), a wholly owned subsidiary of Prudential
Securities Incorporated ('PSI') which, in turn, is a wholly owned subsidiary of
Prudential Securities Group Inc. PSI is the selling agent for the Trust as well
as the commodity broker ('Commodity Broker') of the Trust.
 
The Offering
 
   Beneficial interests in the Trust ('Interests') are being offered pursuant to
Rule 415 of Regulation C under the Securities Act of 1933 in three separate and
distinct series ('Series'): Series A, B and C. The assets of each Series are
segregated from the other Series, separately valued and independently managed.
 
   Up to $100,000,000 of Interests ('Subscription Maximum'), $34,000,000 for
Series A and $33,000,000 each for Series B and C, are being offered to investors
who meet certain established suitability standards, with a minimum initial
subscription of $5,000 per subscriber or, for any investment made on behalf of
an individual retirement account, the minimum initial subscription is $2,000. A
subscriber may purchase Interests in any one or a combination of Series although
the minimum purchase for any single Series is $1,000. On June 10, 1998, Series C
completed its initial offering with gross proceeds of $5,706,177 from the sale
of 56,301.77 limited interests and 760 general interests.
 
   Thereafter, or until the Subscription Maximum for each Series is sold, each
Series' Interests will continue to be offered on a weekly basis at the net asset
value per Interest ('Continuous Offering Period'). Additional purchases may be
made in $100 increments.
 
   The Managing Owner is required to maintain at least a 1% interest in the
capital, profits and losses of each Series so long as it is acting as the
Managing Owner, and it will make such contributions (and in return will receive
such general interests) as are necessary to effect this requirement.
 
The Trading Advisor
 
   Each Series has its own independent commodity trading advisor that makes that
Series' trading decisions. The Managing Owner, on behalf of the Trust, entered
into an advisory agreement with Hyman Beck & Company, Inc. ('Trading Advisor')
to make the trading decisions for Series C. The advisory agreement may be
terminated at the discretion of the Managing Owner. The Managing Owner has
allocated 100% of the proceeds from the initial and continuous offering of
Series C to the Trading Advisor and it is currently contemplated that the
Trading Advisor will continue to be allocated 100% of additional capital raised
for Series C during the Continuous Offering Period.
 
Exchanges, Redemptions and Termination
 
   Interests owned in one Series may be exchanged, without any charge, for
Interests of one or more other Series on a weekly basis for as long as Interests
in those Series are being offered to the public. Exchanges are made at the
applicable Series' then current net asset value per Interest as of the close of
business on the Friday immediately preceding the week in which the exchange
request is effected. The exchange of Interests is treated as a redemption of
Interests in one Series (with the related tax consequences) and the simultaneous
purchase of Interests in the Series exchanged into.
 
   Redemptions are permitted on a weekly basis. Interests redeemed on or before
the end of the first and second successive six-month periods after their
effective dates of purchase are subject to a redemption fee
 
                                       5
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of 4% and 3%, respectively, of the net asset value at which they are redeemed.
Redemption fees are paid to the Managing Owner.
 
   In the event that the estimated net asset value per Interest of a Series at
the end of any business day, after adjustments for distributions, declines by
50% or more since the commencement of trading activities or the first day of a
fiscal year, the Series will terminate.
 
B. Summary of Significant Accounting Principles
 
Basis of accounting
 
   The books and records of Series C are maintained on the accrual basis of
accounting in accordance with generally accepted accounting principles.
 
   Commodity futures transactions are reflected in the accompanying statements
of financial condition on trade date. The difference between the original
contract amount and market value is reflected as net unrealized gain or loss.
The market value of each contract is based upon the closing quotation on the
exchange, clearing firm or bank on, or through, which the contract is traded.
 
   The weighted average number of limited and general interests outstanding was
computed for purposes of disclosing net income per weighted average limited and
general interest. The weighted average limited and general interests are equal
to the number of Interests outstanding at period end, adjusted proportionately
for Interests subscribed and redeemed based on their respective time outstanding
during such period.
 
   Series C has elected not to provide a Statement of Cash Flows as permitted by
Statement of Financial Accounting Standards No. 102, 'Statement of Cash
Flows--Exemption of Certain Enterprises and Classification of Cash Flows from
Certain Securities Acquired for Resale.'
 
Income taxes
 
   Series C is treated as a partnership for Federal income tax purposes. As
such, Series C is not required to provide for, or pay, any federal or state
income taxes. Income tax attributes that arise from its operations are passed
directly to the individual Interest holders including the Managing Owner. Series
C may be subject to other state and local taxes in jurisdictions in which it
operates.
 
Profit and loss allocations and distributions
 
   Series C allocates profits and losses for both financial and tax reporting
purposes to its Interest holders weekly on a pro rata basis based on each
owner's Interests outstanding during the week. Distributions (other than
redemptions of Interests) may be made at the sole discretion of the Managing
Owner on a pro rata basis in accordance with the respective capital balances of
the Interest holders; however, the Managing Owner does not presently intend to
make any distributions.
 
New Accounting Guidance
 
   In June 1998, the Financial Accounting Standards Board issued Statement No.
133, Accounting for Derivative Instruments and Hedging Activities ('SFAS 133'),
which Series C is required to adopt effective January 1, 2000. SFAS 133
establishes accounting and reporting standards for derivative instruments and
for hedging activities and requires that an entity recognize all derivatives as
assets or liabilities measured at fair value. Series C does not believe the
effect of adoption will be material.
 
C. Fees
 
Organizational, offering, general and administrative costs
 
   PSI or its affiliates pay the costs of organizing Series C and offering its
Interests as well as administrative costs incurred by the Managing Owner or its
affiliates for services it performs for Series C. These costs include, but are
not limited to, those discussed in Note D below. Routine legal, audit, postage
and other routine third party administrative costs also are paid by PSI or its
affiliates.
 
Management and incentive fees
 
   Series C pays its Trading Advisor a management fee at an annual rate of 2% of
Series C's net asset value allocated to its management. The management fee is
determined weekly and the sum of such weekly amounts is paid monthly. Series C
also pays its Trading Advisor a quarterly incentive fee equal to 23% of
 
                                       6
<PAGE>
such Trading Advisor's 'New High Net Trading Profits' (as defined in the
advisory agreement). The incentive fee also accrues weekly.
 
Commissions
 
   The Managing Owner and the Trust entered into a brokerage agreement (the
'Brokerage Agreement') with PSI to act as Commodity Broker for each Series
whereby Series C pays a fixed fee for brokerage services rendered at an annual
rate of 7.75% of Series C's net asset value. The fee is determined weekly and
the sum of such weekly amounts is paid monthly. From this fee, PSI pays
execution costs (including floor brokerage expenses, give-up charges and NFA,
clearing and exchange fees), as well as compensation to employees who sell
Interests.
 
D. Related Parties
 
   The Managing Owner or its affiliates perform services for Series C which
include but are not limited to: brokerage services, accounting and financial
management, investor communications, printing and other administrative services.
As further described in Note C, except for costs related to brokerage services,
PSI or its affiliates pay the costs of these services in addition to costs of
organizing the Trust and offering its Interests as well as the routine
operational, administrative, legal and auditing fees.
 
   The costs charged to Series C for brokerage services for the period from June
10, 1998 (commencement of operations) to December 31, 1998 were $365,442.
 
   All of the proceeds of the offering of Series C are received in the name of
Series C and are deposited in trading or cash accounts at PSI. Series C's assets
are maintained either with PSI or, for margin purposes, with the various
exchanges on which Series C is permitted to trade. PSI credits Series C monthly
with 100% of the interest earned on the average net assets on deposit at PSI.
 
   Series C, acting through its Trading Advisor, may execute over-the-counter,
spot, forward and/or option foreign exchange transactions with PSI. PSI then
engages in back-to-back trading with an affiliate, Prudential-Bache Global
Markets Inc. ('PBGM'). PBGM attempts to earn a profit on such transactions. PBGM
keeps its prices on foreign currency competitive with other interbank currency
trading desks. All over-the-counter currency transactions are conducted between
PSI and each Series pursuant to a line of credit. PSI may require that
collateral be posted against the marked-to-market position of Series C.
 
   As of December 31, 1998, a non-U.S. affiliate of the Managing Owner owns
103.156 limited interests of Series C.
 
E. Income Taxes
 
   There have been no differences between the tax basis and book basis of
Interest holders' capital since inception of the Trust.
 
F. Credit and Market Risk
 
   Since Series C's business is to trade futures, forward (including foreign
exchange transactions) and options contracts, its capital is at risk due to
changes in the value of these contracts (market risk) or the inability of
counterparties to perform under the terms of the contracts (credit risk).
 
   Futures, forward and options contracts involve varying degrees of off-balance
sheet risk; and changes in the level or volatility of interest rates, foreign
currency exchange rates or the market values of the contracts (or commodities
underlying the contracts) frequently result in changes in unrealized gain (loss)
on open commodity positions reflected in the statements of financial condition.
Series C's exposure to market risk is influenced by a number of factors
including the relationships among the contracts held by Series C as well as the
liquidity of the markets in which the contracts are traded.
 
   Futures and options contracts are traded on organized exchanges and are thus
distinguished from forward contracts which are entered into privately by the
parties. The credit risks associated with futures and options contracts are
typically perceived to be less than those associated with forward contracts
because exchanges typically provide clearinghouse arrangements in which the
collective credit (subject to certain limitations) of the members of the
exchanges is pledged to support the financial integrity of the exchange. On the
other hand, Series C must rely solely on the credit of its broker (PSI) with
respect to forward
 
                                       7
<PAGE>
transactions. Series C presents unrealized gains and losses on open forward
positions, if any, as a net amount in the statements of financial condition
because it has a master netting agreement with PSI.
 
   The Managing Owner attempts to minimize both credit and market risks by
requiring the Trading Advisor to abide by various trading limitations and
policies. The Managing Owner monitors compliance with these trading limitations
and policies which include, but are not limited to, executing and clearing all
trades with creditworthy counterparties (currently, PSI is the sole counterparty
or broker); limiting the amount of margin or premium required for any one
commodity or all commodities combined; and generally limiting transactions to
contracts which are traded in sufficient volume to permit the taking and
liquidating of positions. The Managing Owner may impose additional restrictions
(through modifications of such trading limitations and policies) upon the
trading activities of the Trading Advisor as it, in good faith, deems to be in
the best interests of Series C.
 
   PSI, when acting as the futures commission merchant in accepting orders for
the purchase or sale of domestic futures and options contracts, is required by
Commodity Futures Trading Commission ('CFTC') regulations to separately account
for and segregate as belonging to Series C all assets of Series C relating to
domestic futures and options trading and is not to commingle such assets with
other assets of PSI. At December 31, 1998, such segregated assets totalled
$8,916,284. Part 30.7 of the CFTC regulations also requires PSI to secure assets
of Series C related to foreign futures and options trading which totalled
$2,467,846 at December 31, 1998. There are no segregation requirements for
assets related to forward trading.
 
   As of December 31, 1998, all open futures contracts mature within one year.
 
   As of December 31, 1998, gross contract amounts of open futures contracts for
Series C are:
 
Financial Futures Contracts:
  Commitments to purchase                          $ 48,489,458
  Commitments to sell                               117,063,496
Currency Futures Contracts:
  Commitments to purchase                             4,412,265
  Commitments to sell                                 7,040,770
Other Futures Contracts:
  Commitments to purchase                               414,073
  Commitments to sell                                 6,486,721
 
   The gross contract amounts represent Series C's potential involvement in a
particular class of financial instrument (if it were to take or make delivery on
an underlying futures contract). The gross contract amounts significantly exceed
the future cash requirements as Series C intends to close out open positions
prior to settlement and thus is generally subject only to the risk of loss
arising from the change in the value of the contracts. As such, Series C
considers the 'fair value' of its futures contracts to be the net unrealized
gain or loss on the contracts. Thus, the amount at risk associated with
counterparty nonperformance of all contracts is the net unrealized gain included
in the statements of financial condition. The market risk associated with Series
C's commitments to purchase commodities is limited to the gross contract amounts
involved, while the market risk associated with its commitments to sell is
unlimited since its potential involvement is to make delivery of an underlying
commodity at the contract price; therefore, it must repurchase the contract at
prevailing market prices.
 
                                       8
<PAGE>
   The following table presents the fair value of futures and forward contracts
at December 31, 1998, and also presents their average fair value and trading
revenues for the period from June 10, 1998 (commencement of operations) through
December 31, 1998.
 
<TABLE>
<CAPTION>
                                              Fair Value                 Average Fair Value
                                     ----------------------------     ------------------------      Trading
                                        Assets        Liabilities      Assets      Liabilities      Revenues
                                     ------------     -----------     --------     -----------     ----------
<S>                                  <C>              <C>             <C>          <C>             <C>
Futures Contracts:
  Domestic exchanges
     Financial                         $ 51,374        $    7,494     $ 95,510      $   55,272     $  184,927
     Currencies                         101,585            76,033      136,249          31,162       (696,724)
     Other                              106,122             6,522       91,090          25,068        (35,884)
  Foreign exchanges
     Financial                          525,504            26,524      278,286          32,296      1,459,486
     Other                               74,713            12,304       27,793          45,081        (18,197)
Forward Contracts:
  Currencies                                 --                --       37,124          43,588       (136,397)
                                     ------------     -----------     --------     -----------     ----------
                                       $859,298        $  128,877     $666,052      $  232,467     $  757,211
                                     ------------     -----------     --------     -----------     ----------
                                     ------------     -----------     --------     -----------     ----------
</TABLE>
                                       9
<PAGE>
                         WORLD MONITOR TRUST--SERIES C
                          (a Delaware Business Trust)
               MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
                      CONDITION AND RESULTS OF OPERATIONS
 
Liquidity and Capital Resources
 
   Series C commenced operations on June 10, 1998 with gross proceeds of
$5,706,177 allocated to commodities trading. Additional contributions raised
through the continuous offering for the period June 10, 1998 (commencement of
operations) through December 31, 1998 resulted in additional gross proceeds to
Series C of $5,256,705. Additional Interests of Series C will continue to be
offered on a weekly basis at the net asset value per Interest until the
Subscription Maximum of $33,000,000 is sold.
 
   At December 31, 1998, 100% of Series C's net assets were allocated to
commodities trading. A significant portion of the net assets was held in cash
which is used as margin for Series C's trading in commodities. Inasmuch as the
sole business of Series C is to trade in commodities, Series C continues to own
such liquid assets to be used as margin. PSI credits Series C monthly with 100%
of the interest it earns on the average net assets in Series C's accounts.
 
   The commodities contracts are subject to periods of illiquidity because of
market conditions, regulatory considerations and other reasons. For example,
commodity exchanges limit fluctuations in certain commodity futures contract
prices during a single day by regulations referred to as 'daily limits.' During
a single day, no trades may be executed at prices beyond the daily limit. Once
the price of a futures contract for a particular commodity has increased or
decreased by an amount equal to the daily limit, positions in the commodity can
neither be taken nor liquidated unless traders are willing to effect trades at
or within the limit. Commodity futures prices have occasionally moved the daily
limit for several consecutive days with little or no trading. Such market
conditions could prevent Series C from promptly liquidating its commodity
futures positions.
 
   Since Series C's business is to trade futures, forward and options contracts,
its capital is at risk due to changes in the value of these contracts (market
risk) or the inability of counterparties to perform under the terms of the
contract (credit risk). Series C's exposure to market risk is influenced by a
number of factors including the volatility of interest rates and foreign
currency exchange rates, the liquidity of the markets in which the contracts are
traded and the relationship among the contracts held. The inherent uncertainty
of Series C's speculative trading as well as the development of drastic market
occurrences could result in monthly losses considerably beyond Series C's
experience to date and could ultimately lead to a loss of all or substantially
all of investors' capital. The Managing Owner attempts to minimize these risks
by requiring Series C's Trading Advisor to abide by various trading limitations
and policies. See Note F to the financial statements for a further discussion on
the credit and market risks associated with Series C's futures, forward and
options contracts.
 
   Series C does not have, nor does it expect to have, any capital assets.
 
   Redemptions of limited interests for the period from June 10, 1998
(commencement of operations) through December 31, 1998 were $135,534. Future
redemptions and contributions will impact the amount of funds available for
investment in commodity contracts in subsequent periods.
 
Results of Operations
 
   Series C commenced trading operations on June 10, 1998, and as such, no
comparative information to prior periods is available.
 
   The net asset value per Interest as of December 31, 1998 was $104.22, an
increase of 4.22% from the June 10, 1998 initial net asset value per Interest of
$100.00. The MAR (Managed Account Reports) Fund/Pool Index return was 4.69%
during June through December 1998. MAR tracked the performance of 281 futures
funds in 1998.
 
   Series C recorded profits in 1998 as gains in the financial, energy, grain,
and meat sectors outpaced losses in the currency, index, and metal sectors.
 
   Economic turmoil in Russia and Japan drove Series C's performance in 1998.
After the U.S. intervention to support the Japanese yen in June caused
disturbances across financial and commodity markets, the
 
                                       10
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<PAGE>
third quarter began with optimistic reports regarding signs of recovery in
Japan. Consequently, Japanese interest rates began to stabilize with signs of
strength emerging in the Japanese stock market. Encouraging words quickly turned
into concern as Japan's commitment to a unified recovery plan was lacking.
Instability in Russia compounded Asian turmoil. In August, Russia devalued the
ruble and suspended debt payments in an effort to avoid default. European and
U.S. stock markets fell sharply as political and economic instability threatened
global financial markets. The resulting chaos drove many investors to seek the
safe haven of fixed income instruments. As a result, gains from long financial
and short index sector positions made for a profitable third quarter.
 
   Fourth quarter losses detracted from third quarter gains. After the U.S.
dollar's decline in October, the currency markets traded with little direction
throughout the remainder of the quarter with considerable losses sustained.
Increased stock market activity added to Series C's losses. However, short
Japanese government bond (JGB) positions late in the quarter contributed gains.
In November JGB prices fell sharply on worries of oversupplies as Japan prepared
to finance its stimulus package by issuing additional debt, thus profiting short
positions. Declining commodity prices in cocoa and light crude oil in the soft
and energy sectors, respectively, also provided profits.
 
   Interest income is earned on the average net assets held at PSI and,
therefore, varies monthly according to interest rates, trading performance,
contributions and redemptions. Interest income was approximately $254,000 for
the period from June 10, 1998 to December 31, 1998.
 
   Commissions are calculated on Series C's net asset value at the end of each
week and therefore, vary according to weekly trading performance, contributions
and redemptions. Commissions were approximately $365,000 for the period from
June 10, 1998 to December 31, 1998.
 
   All trading decisions for Series C are made by Hyman Beck & Company, Inc.
(the 'Trading Advisor'). Management fees are calculated on Series C's net asset
value at the end of each week and therefore, are affected by weekly trading
performance, contributions and redemptions. Management fees were approximately
$94,000 for the period from June 10, 1998 to December 31, 1998.
 
   Incentive fees are based on the New High Net Trading Profits generated by the
Trading Advisor, as defined in the Advisory Agreement among the Trust, the
Managing Owner and the Trading Advisor. Incentive fees were approximately
$85,000 for the period from June 10, 1998 to December 31, 1998.
 
New Accounting Guidance
 
   In June 1998, the Financial Accounting Standards Board issued Statement No.
133, Accounting for Derivative Instruments and Hedging Activities ('SFAS 133'),
which Series C is required to adopt effective January 1, 2000. SFAS 133
establishes accounting and reporting standards for derivative instruments and
for hedging activities and requires that an entity recognize all derivatives as
assets or liabilities measured at fair value. Series C does not believe the
effect of adoption will be material.
 
Year 2000 Risk
 
   Investment funds, like financial and business organizations and individuals
around the world, depend on the smooth functioning of computer systems. The year
2000, however, holds the potential for a significant disruption in the operation
of these systems. Many computer systems in use today cannot distinguish the year
2000 from the year 1900 because of the way in which dates are encoded. This is
commonly known as the 'Year 2000 Problem.' Series C could be adversely affected
if computer systems used by it or any third party with whom it has a material
relationship do not properly perform date comparisons and calculations
concerning dates on or after January 1, 2000, which in turn could have a
negative impact on the handling or determination of trades and prices and the
services provided to Series C.
 
   Series C has engaged third parties to perform primarily all of the services
it needs. Accordingly, Series C's Year 2000 Problems, if any, are not its own
but those that center around the ability of the Trustee, Managing Owner,
Prudential Securities Incorporated, its Trading Advisor and any other third
party with whom Series C has a material relationship (individually, a 'Service
Provider,' and collectively, the 'Service Providers') to address and correct
problems that may cause their systems not to function as intended as a result of
the Year 2000 Problem.
 
   Series C has received assurances from its Managing Owner, Prudential
Securities Incorporated and its Trading Advisor that they anticipate being able
to continue their operations without any material adverse
 
                                       11
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<PAGE>
impact from the Year 2000 Problem. Although other Service Providers, such as
Series C's Trustee, have not made similar representations to Series C, Series C
has no reason to believe that these Service Providers will not take steps
necessary to avoid any material adverse impact on Series C, though there can be
no assurance that this will be the case. The costs or consequences of incomplete
or untimely resolution of the Year 2000 Problem by the Service Providers, or by
governments, exchanges, clearinghouses, regulators, banks and other third
parties, are unknown to Series C at this time, but could have a material adverse
impact on the operations of Series C. The Managing Owner will promptly notify
Series C's limited owners in the event it determines that the Year 2000 Problem
will have a material adverse impact on Series C's operations.
 
   Series C has considered various alternatives as a contingency plan. If the
Year 2000 Problems are systemic, for example, the federal government, the
banking system, exchanges or utilities are affected materially, there may be no
adequate contingency plan for Series C to follow other than to suspend
operations. If the Year 2000 Problems are related to one or more of the other
Service Providers selected by Series C, Series C believes that each such Service
Provider is prepared to address any Year 2000 Problems which arise that could
have a material adverse impact on Series C's operations.
 
Inflation
 
   Inflation has had no material impact on operations or on the financial
condition of Series C from inception through December 31, 1998.
 
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   I hereby affirm that, to the best of my knowledge and belief, the information
contained herein relating to World Monitor Trust--Series C is accurate and
complete.
 
     PRUDENTIAL SECURITIES
     FUTURES MANAGEMENT INC.
     (Managing Owner)
 
     By: Barbara J. Brooks
     Chief Financial Officer
--------------------------------------------------------------------------------
 
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                               OTHER INFORMATION
 
   The actual round-turn equivalent of brokerage commissions paid per contract
for the period from June 10, 1998 (commencement of operations) to December 31,
1998 was $46.
 
   Series C's Annual Report on Form 10-K as filed with the Securities and
Exchange Commission is available to limited owners without charge upon written
request to:
 
        World Monitor Trust--Series C
        P.O. Box 2016
        Peck Slip Station
        New York, New York 10272-2016
 
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Peck Slip Station                                   BULK RATE
P.O. Box 2016                                      U.S. POSTAGE
New York, NY 10272                                     PAID
                                                   Automatic Mail