UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549


                                    FORM 10-K

[X]     ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
        ACT OF 1934 for the fiscal year ended December 31, 2007
                                       OR
[ ]     TRANSITION REPORT  PURSUANT TO  SECTION  13 OR 15(d) OF  THE  SECURITIES
        EXCHANGE ACT OF 1934 for the transition period from           to


                        Commission File Number: 000-17202


                              GOVERNMENT TRUST 1-D
             (Exact name of registrant as specified in its charter)

         Illinois                                            36-6889513
(State or other jurisdiction of                           (I.R.S. Employer
incorporation or organization)                            Identification No.)

The Bank of New York Trust Company, N.A.
(formerly J.P. Morgan Trust Company, N.A.), Trustee
2 North LaSalle Street, Suite 1020
Chicago, Illinois                                               60602
(Address of Principal Executive Offices)                     (Zip Code)

Registrant's telephone number, including area code: (312) 827-8617

Securities registered pursuant to Section 12(b) of the Act: None
Securities registered pursuant to Section 12(g) of the Act: None

Indicate by check mark if the registrant is a well-known seasoned issuer, as
defined in Rule 405 of the Securities Act.  Yes [ ]  No [X]

Indicate by check mark if the registrant is not required to file reports
pursuant to Section 13 or Section 15(d) of the Act.  Yes [ ]  No [X]

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (or for such  shorter  period that the  registrant  was
required  to file  such  reports),  and  (2) has  been  subject  to such  filing
requirements for the past 90 days.  Yes [X]  No [ ]

Indicate by check mark if disclosure of delinquent  filers  pursuant to Item 405
of Regulation  S-K (229.405 of this chapter) is not contained  herein,  and will
not be contained,  to the best of registrant's knowledge, in definitive proxy or
information  statements  incorporated by reference in Part III of this Form 10-K
or any amendment to this Form 10-K.  Not Applicable.

Indicate by check mark whether the registrant is a large accelerated filer,
an accelerated filer, a non-accelerated filer, or a smaller reporting company.
See the definitions of "large accelerated filer," "accelerated filer" and
"smaller reporting company" in Rule 12b-2 of the Exchange Act.

       Large accelerated filer [ ]
       Accelerated filer   [ ]
       Non-accelerated filer [X] (Do not check if a smaller reporting company)
       Smaller reporting company [ ]

Indicate by check mark whether the registrant is a shell company (as defined in
Rule 12b-2 of the Act).  Yes [ ]  No [X]

State the aggregate market value of the voting and non-voting common equity held
by non-affiliates  computed by reference to the price at which the common equity
was last sold, or the average bid and asked price of such common  equity,  as of
the last business day of the registrant's most recently  completed second fiscal
quarter.  Not Applicable

Indicate the number of shares outstanding of each of the registrant's classes of
common stock, as of the latest practicable date.  Not Applicable

                      DOCUMENTS INCORPORATED BY REFERENCE

List hereunder the following documents if incorporated by reference and the part
of the Form 10-K  (e.g.,  Part I, Part II,  etc.)  into  which the  document  is
incorporated:   (1  Any  annual  report  to  security  holders;  (2)  Any  proxy
information statement;  and, (3) Any prospectus filed pursuant to Rule 424(b) or
(c) under the  Securities Act of 1933.  The listed  documents  should be clearly
described for identification  purposes (e.g.,  annual report to security holders
for fiscal year ended date December 24, 1980).    None



<PAGE>

                                     PART I

Item 1.  Business.

         Not Applicable.

Item 1A. Risk Factors.

         Not Applicable.

Item 1B. Unresolved Staff Comments.

         None.

Item 2.  Properties.

         Not Applicable.

Item 3.  Legal Proceedings.

         None.

Item 4.  Submission of Matters to a Vote of Security Holders.

         None.

                                    PART II

Item 5.  Market for Registrant's Common Equity,  Related Stockholder Matters
         and Issuer Purchases of Equity Securities.

         Certificate Holders as of December 31, 2007, Trust 1-D: 1,168

Item 6.  Selected Financial Data.

         Not Applicable.

Item 7.  Management's Discussion and Analysis of Financial Condition and
         Results of Operations.

         Not Applicable.

Item 7A. Quantitative and Qualitative Disclosures About Market Risk.

         Not Applicable.

Item 8.  Financial Statements and Supplementary Data.

         See Item 15. Exhibits, Financial Statement Schedules.

Item 9.  Changes in and Disagreements with Accountants on Accounting and
         Financial Disclosure.

         None.

Item 9A. Controls and Procedures.

         As indicated in the  certifications in Exhibit 31.1 of this report, the
         Trustee has evaluated the  Trust's  disclosure  controls and procedures
         as of  December  31,  2007.  Based  on  that  evaluation,  the  Trustee
         concluded  that the Trust's  disclosure  controls  and  procedures  are
         effective in ensuring that material information required  to be in this
         annual report is made known to it on a timely basis.

Item 9B. Other Information.

         None.


<PAGE>

                                    PART III

Item 10. Directors, Executive Officers and Corporate Governance.

         Not Applicable.

Item 11. Executive Compensation.

         Not Applicable.

Item 12. Security Ownership of Certain Beneficial Owners and Management and
         Related Stockholder Matters.

         Not Applicable.

Item 13. Certain Relationships and Related Transactions, and Director
         Independence.

         None.

Item 14. Principal Accounting Fees and Services.

         Deloitte & Touche LLP 2007 Audit Expense = $ $25,689.06


                                    PART IV

Item 15. Exhibits, Financial Statement Schedules.

         The following documents are filed as part of this report:

         (1)   The information presented in each semi-annual report.

         (2)   The report of the  independent registered  public accounting firm
               regarding  the annual audit of the  financial  statements  of the
               Trust  required  under  the  Declaration  of  Trust  stating  the
               financial  statements are presented in accordance with accounting
               principles generally accepted in the United States of America.

         (3)   Exhibits:

               31.1    Certification  by  Trustee  pursuant  to  Rule 13a-14  or
                       15d-14 of the Securities Exchange Act of 1934, as adopted
                       pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

<PAGE>

SIGNATURE

Pursuant to the  requirements of Section 13 or 15(d) of the Securities  Exchange
Act of 1934,  the  registrant  has duly  caused  this report to be signed on its
behalf by the undersigned, thereunto duly authorized.


               GOVERNMENT TRUST CERTIFICATES

          By:  The Bank of New York Trust Company,  N.A.
               (formerly J.P. Morgan Trust Company, N.A.)
               Not in its individual capacity but solely
               as Trustee on behalf of the Trust 1-D


          By:  /s/ Lawrence M. Kusch
               -----------------------------------------
        Name:  Lawrence M. Kusch
       Title:  Assistant Vice President

        Date:  March 31, 2008



<PAGE>
                                  EXHIBIT 31.1
                                 ---------------
                     Rule 13a-14(d)/15d-14(d) Certification


1.  I have reviewed this annual report on Form 10-K of Government
    Trust 1-D, for which The Bank of New York Trust Company, N.A.
    acts as Trustee;

2.  Based on my knowledge, this annual report does not contain any
    untrue statement of a material fact or omit to state a material
    fact necessary to make the statements made, in light of the
    circumstances under which such statements were made, not
    misleading with respect to the period covered by this annual
    report,

3.  Based on my knowledge, the financial statements, and other
    financial information included in this annual report, fairly
    present in all material respects the financial condition,
    distributable income and changes in trust corpus of the
    registrant as of, and for, the period presented in this annual
    report;

4.  I am responsible for establishing and maintaining disclosure
    controls and procedures (as defined in Exchange Act Rules
    13a-15(e) and 15d-15(e)) and internal control over financial
    reporting (as defined in Exchange Act Rules 13a-15(f) and
    15d-15(f)), or for causing such procedures to be established and
    maintained, for the registrant and I have:

    a)  designed such disclosure controls and procedures, or caused such
        controls and procedures to be designed, to ensure that material
        information relating to the registrant, including its
        consolidated subsidiaries, is made known to me by others within
        those entities, particularly during the period in which this
        annual report is being prepared;

    b)  designed such internal control over financial reporting, or
        caused such internal control over financial reporting to be
        designed under our supervision, to provide reasonable assurance
        regarding the reliability of financial reporting and the
        preparation of financial statements for external purposes in
        accordance with generally accepted accounting principles;

    c)  evaluated the effectiveness of the registrant's disclosure
        controls and procedures as of a date within 90 days prior to the
        filing date of this annual report (the "Evaluation Date") and
        presented in this annual report my conclusions about the
        effectiveness of the disclosure controls and procedures based on
        my evaluation as of the Evaluation Date; and

   d)  disclosed in this report any change in the registrant's internal
       control over financial reporting that occurred during the
       registrant's last fiscal quarter that has materially affected,
       or is reasonably likely to materially affect, the registrant's
       internal control over financial reporting; and;

5.  I have disclosed, based on my most recent evaluation of internal
    control over financial reporting, to the registrant's auditors:

    a)  All significant deficiencies and material weaknesses in the
        design or operation of internal control over financial reporting
        which are reasonably likely to adversely affect the registrant's
        ability to record, process, summarize and report financial
        information; and

    b)  Any fraud, whether or not material, that involves persons who
        have a significant role in the registrant's internal control
        over financial reporting.

Date:   March 31, 2008

By:    /s/ Lawrence M. Kusch
       --------------------------------
Name:  Lawrence M. Kusch
Title: Assistant Vice President
       The Bank of New York Trust Company, N.A.
       (formerly J.P. Morgan Trust Company, N.A.)


<page>


                     REPORTS TO HOLDERS OF GOVERNMENT TRUST
                                  May 15, 2007


                                        The Bank of New York Trust Company, N.A.
                                        2 N LaSalle Street, Suite 1020
                                        Chicago, IL 60602
                                        1-800-254-2826

                                        May 15, 2007


To The Holders of
Government Trust Certificates
Zero Coupon Class 1-D



In accordance with Section 4.1 of the Declaration of Trust ("Trust"),  The Bank
of New York Trust Company, N.A. (formerly J.P. Morgan Trust Company, N.A.), as
Trustee and not in its individual capacity ("Trustee"), hereby provides the
holders of the above-mentioned certificates this Semi-annual Report relating to
the May 15, 2007 Certificate Payment Date.

Any capitalized terms used herein shall have the meaning assigned to them in the
Trust.

1.   The aggregate dollar amount distributed to holders of Class 1-D
     Certificates:  $74,966,315.56

2.   The Principal Balance of the Class 1-D Note after the May 3, 2007
     Note Payment Date:  $677,080,000.00

3.   The Deficient amount of the Note Payment:  $-0-

Neither a delinquency in payment under any of the Notes nor an Event of Default
has occurred and is continuing.

I, Lawrence M. Kusch, a Responsible Officer of the Trustee, to the best of my
knowledge and belief, certify that this Semi-annual Report is complete and
accurate. If you have any questions regarding this notice please contact our
Customer Service group directly at (800) 254-2826 for further assistance.


                                  /s/ Lawrence M. Kusch
                                  -------------------------
                                  Lawrence M. Kusch
                                  AVP, Relationship Manager

                                  For The Bank of New York Trust Company, N.A.
                                  (formerly J.P. Morgan Trust Company, N.A.), as
                                  Trustee and not in its individual capacity.


<PAGE>

                     REPORTS TO HOLDERS OF GOVERNMENT TRUST
                                November 15, 2007


                                        2 N LaSalle Street, Suite 1020
                                        Chicago, IL 60602

                                        November 15, 2007


To The Holders of
Government Trust Certificates
Zero Coupon Class 1-D



In accordance with Section 4.1 of the Declaration of Trust ("Trust"),  The Bank
of New York Trust Company, N.A. (formerly J.P. Morgan Trust Company, N.A.), as
Trustee and not in its individual capacity ("Trustee"), hereby provides the
holders of the above-mentioned certificates this Semi-annual Report relating to
the November 15, 2007 Certificate Payment Date.

Any capitalized terms used herein shall have the meaning assigned to them in the
Trust.

1.   The aggregate dollar amount distributed to holders of Class 1-D
     Certificates:  $100,809,332.50

2.   The Principal Balance of the Class 1-D Note after the November 2, 2007
     Note Payment Date:  $609,236,000.00

3.   The Deficient amount of the Note Payment:  $-0-

Neither a delinquency in payment under any of the Notes nor an Event of Default
has occurred and is continuing.

I, Lawrence M. Kusch, a Responsible Officer of the Trustee, to the best of my
knowledge and belief, certify that this Semi-annual Report is complete and
accurate. If you have any questions regarding this notice please contact our
Customer Service group directly at (800) 254-2826 for further assistance.


                                  /s/ Lawrence M. Kusch
                                  -------------------------
                                  Lawrence M. Kusch
                                  AVP, Relationship Manager

                                  For The Bank of New York Trust Company, N.A.
                                  (formerly J.P. Morgan Trust Company, N.A.), as
                                  Trustee and not in its individual capacity.



<PAGE>

                              GOVERNMENT TRUST 1-D
                  Financial Statements as of December 31, 2007
           and Report of Independent Registered Public Accounting Firm
           ----------------------------------------------------------

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

Government Trust 1-D

We have audited the accompanying balance sheets of Government Trust 1-D (the
"Trust") as of  December 31, 2007, and the related statements of income, cash
flows and changes in Trust balance for the year then ended. These financial
statements are the responsibility of the Trust's management. Our
responsibility is to express an opinion on these financial statements based
on our audit.

We conducted our audit in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we
plan and perform the audit to obtain reasonable assurance about whether
the financial statements are free of material misstatement. The Trust is
not required to have, nor were we engaged to perform, an audit of its internal
control over financial reporting. Our audit included consideration of internal
control over financial reporting as a basis for designing audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Trust's internal control over financial
reporting. Accordingly, we express no such opinion. An audit also 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 management, as well as evaluating the overall
financial statement presentation. Our procedures included confirmation of the
securities held by the Depository as of December 31, 2007 for the account of
the Government of Israel, for the purpose described in Note 4 of the notes to
financial statements, by correspondence with the Depository. We believe
that our audit provides a reasonable basis for our opinion.

In our opinion, such financial statements present fairly, in all material
respects, the financial position of Government Trust 1-D at December 31, 2007,
the results of its operations, cash flows and changes in Trust balance for the
year then ended, in conformity with accounting principles generally accepted
in the United States of America.

/s/ Deloitte & Touche LLP
-------------------------
Deloitte & Touche LLP

Chicago, IL
March 28, 2008


<PAGE>

GOVERNMENT TRUST 1-D
BALANCE SHEET
DECEMBER 31, 2007
--------------------------------------

ASSETS

LOAN NOTE RECEIVABLE - at amortized cost,
   inclusive of unamortized premium of $1,877,845              $ 611,113,845

ACCRUED INTEREST RECEIVABLE                                        9,730,092
                                                     ------------------------

TOTAL                                                          $ 620,843,937
                                                     ========================


LIABILITIES AND TRUST BALANCE

ACCRUED EXPENSES PAYABLE                                       $       7,488

TRUST BALANCE - Comprised of owners'
equity in Government Trust Certificates                          620,836,449
                                                     ------------------------

TOTAL                                                          $ 620,843,937
                                                     ========================

See notes to financial statements.


<PAGE>

GOVERNMENT TRUST 1-D
STATEMENT OF INCOME
YEAR ENDED DECEMBER 31, 2007
--------------------------------------

INTEREST INCOME ON THE LOAN NOTE                                $ 65,468,302

TRUSTEE FEES AND OTHER EXPENSES                                      (51,107)
                                                       ----------------------
NET INCOME                                                      $ 65,417,195
                                                       ======================

See notes to financial statements.


<PAGE>

GOVERNMENT TRUST 1-D
STATEMENT OF CASH FLOWS
YEAR ENDED DECEMBER 31, 2007
--------------------------------------

CASH FLOWS FROM OPERATING ACTIVITIES:
 Principal and interest received on the Loan Notes             $ 175,827,931
 Trustee fees and other expenses paid                                (52,283)
                                                        ---------------------

    Net cash flows from operating activities                      175,775,648
                                                        ---------------------

CASH FLOWS USED IN FINANCING ACTIVITIES:
 Distributions to certificate owners                             (175,775,648)
                                                        ---------------------
    Net cash flows used in financing activities                  (175,775,648)

NET INCREASE IN CASH                                                       -

CASH BALANCE - Beginning of year                                           -
                                                        ---------------------
CASH BALANCE - End of year                                               $ -
                                                        =====================

Reconciliation of net income to net cash flows from
 operating activities:
  Net income                                                    $ 65,417,195
  Amortization of premium on Loan Note receivable                    935,566
  Decrease in Loan Note receivable                               107,895,000
  Decrease in interest receivable                                  1,529,064
  Decrease in accrued expenses                                        (1,177)
                                                        ---------------------
Net cash flows from operating activities                       $ 175,775,648
                                                        =====================

See notes to financial statements.


<PAGE>

GOVERNMENT TRUST 1-D
STATEMENT OF CHANGES IN TRUST BALANCE
YEAR ENDED DECEMBER 31, 2007
--------------------------------------

    Trust                                                           Trust
   Balance,                              Distributions to          Balance,
January 1, 2007        Net Income       Certificate Owners     December 31, 2007

$   731,194,902      $   65,417,195     $    (175,775,648)     $    620,836,449
===============      ==============     ==================     =================


See notes to financial statements.



<PAGE>

GOVERNMENT TRUST 1-D
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31, 2007
--------------------------------------

1.   ORGANIZATION AND OPERATIONS

      Government Trust 1-D (the "Trust") is a limited purpose trust established
      under the laws of the state of Illinois pursuant to a Declaration of Trust
      (the "Declaration") between the Trust and The Bank of New York Trust
      Company, N.A. (formerly, JPMorgan Trust Company, N.A., formerly, Bank One
      Trust Company, N.A., formerly, First National Bank of Chicago), as Trustee
      (the "Trustee"). The Trust was created for the sole purpose of the
      issuance and sale of a single class of Zero Coupon Certificates (the
      "Certificates"). The assets of the Trust consist of a Promissory Note (a
      "Loan Note") from the Government of Israel ("Israel").  The Loan Note is
      backed by a full faith and credit guaranty (the "Guaranty") issued by
      the United States of America, acting through the Defense Security
      Assistance Agency of the Department of Defense (the "DSA"), of the due
      and punctual payment of 90% of all payments of principal and interest
      due on the Loan Note (the "Guaranteed Portion") and a security interest
      in certain collateral, consisting of non-callable securities issued or
      guaranteed by the United States Government, sufficient to pay the
      remaining 10% of all payments of principal and interest due on the
      Loan Note (the "Unguaranteed Secured Portion"). The Loan Note and
      Certificates will not be subject to prepayment or acceleration.


2.   LOAN NOTE

      The Loan Note in the original principal amount of $1,300,000,000 evidences
      a loan made by the Trust to  Israel subject to the terms and conditions
      of a Loan Agreement (the "Loan Agreement") dated as of September 29, 1988
      between the Trust and Israel. The Loan Note is carried at amortized cost
      on the accompanying Balance Sheet because of the Trust's intent and
      ability to hold the Loan Note to maturity. The proceeds from the Loan Note
      were used to prepay certain loans made to Israel from the Federal
      Financing Bank. Semi-annual payments of interest at an annual rate
      of 9.7450% are due on the Loan Note on each May 3 and November 3 (each a
      "Note Payment Date"). On May 3, 2007 and November 3, 2007 Note Payment
      Dates, Israel made its scheduled payments of principal on the Loan Note in
      the amounts of $40,051,000 and $67,844,000, respectively. Scheduled
      principal payments are due on each Note Payment Date as follows:

            Payment         Principal            Payment            Principal
             Date            Payment              Date               Payment

            May 3, 2008    $89,940,000           May 3, 2011       $47,368,000
       November 3, 2008     93,710,000      November 3, 2011        29,248,000
            May 3, 2009     92,701,000           May 3, 2012        22,773,000
       November 3, 2009     93,710,000      November 3, 2012        16,877,000
            May 3, 2010     41,800,000           May 3, 2013        16,877,000
       November 3, 2010     47,368,000      November 3, 2013        16,864,000

      The Government of the United States, acting through the DSA, has agreed
      to guarantee the repayment of the Guaranteed Portion due to the Trust
      under the Note. Israel has agreed to pledge certain collateral as
      security for the repayment of the Unguaranteed Secured Portion, as
      more fully described in Note 4. The estimated fair value of the Loan Note
      approximates the fair value of the Certificates. The estimated fair
      value of the Certificates at December 31, 2007 was approximately
      $693,194,000. The estimate of the fair value of the Certificates is
      based upon the present values of the cash flows using risk-adjusted
      spreads to the U.S. Treasury curve.

3.   THE ZERO COUPON CERTIFICATES

      On  September 29, 1988, the Trust issued 51 separate series of
      Certificates, Class 1-D. Thirty-nine of such series of Certificates
      matured prior to  December 31, 2007.  Each of the remaining series of
      Certificates will mature on one of the semiannual certificate payment
      dates from  May 15, 2008 to November 15, 2013 (each, a "Maturity
      Date"). Scheduled distributions are due on the Maturity Dates as follows:

            Maturity       Distribution          Maturity        Distribution
              Date            Amount               Date             Amount

            May 15, 2008   $119,602,178           May 15, 2011    $54,671,466
       November 15, 2008    118,993,224      November 15, 2011     34,245,236
            May 15, 2009    113,421,718           May 15, 2012     26,346,224
       November 15, 2009    109,917,338      November 15, 2012     19,341,464
            May 15, 2010     53,444,833           May 15, 2013     18,519,765
       November 15, 2010     56,977,695      November 15, 2013     17,685,066

      Each of the Certificates evidences an undivided fractional interest in the
      Trust, and represents the right to receive a portion of the semiannual
      payments due on the Loan Note held by the Trust.


4.   THE COLLATERAL

      In accordance with the Collateral Depository Agreement (the "Depository
      Agreement") between Israel, the Trustee, and The Bank of New York, as
      depository (the "Depository"), and in order to provide security for the
      payment of the Unguaranteed Secured Portion, Israel has pledged certain
      collateral, consisting of non-callable securities issued or guaranteed by
      the United States Government (together with the proceeds thereof, the
      "Collateral"). The Collateral is of such amounts and has such payment
      dates as to enable the Trustee to receive on or immediately prior to each
      semiannual Maturity Date an amount sufficient to pay the Unguaranteed
      Secured Portion if timely payment on the Loan Note has not been received
      by the related Note Payment Date. All of the Collateral was deposited with
      the Depository on the date that the loans evidenced by the Loan Note were
      made by the Trust to Israel.


5.   THE TRUSTEE

      Pursuant to the Declaration, the Trustee established a separate trust
      account for the Trust. All payments received with respect to the Loan
      Notes, the Guaranty and any relevant Collateral are deposited in the trust
      account for the benefit of the holders of the Certificates after deducting
      fees of the Trustee and any additional expenses of the Trust. Any excess
      funds remaining in the trust account after the payment of principal on the
      Certificates will revert back to Israel to the extent such funds were
      provided by Israel but not needed for the above purpose.

6.   INCOME TAXES

      The Trust is classified as a Grantor Trust and will not be subject to
      Federal income taxes. Each Certificateholder will be treated for Federal
      income tax purposes as the owner of a pro rata undivided fractional
      interest in the assets held by the Trust. The difference between the
      financial reporting and income tax bases of the Trust's assets and
      liabilities is not significant.

      In July 2006, the FASB released "Accounting for Uncertainty in Income
      Taxes" ("FIN 48"), which is effective for fiscal years beginning after
      December 15, 2006. FIN 48 clarifies accounting for income taxes
      recognized in the financial statements in accordance with
      FASB Statement 109, "Accounting for Income Taxes." This interpretation
      prescribes a comprehensive model for how an entity should recognize,
      measure, present and disclose in its financial statements uncertain tax
      positions that the entity has taken or expects to take on a tax return.
      The Trust adopted FIN 48 effective January 1, 2007 for all open tax years
      and has determined that no material uncertain tax positions exist.
      As a result, the Trust has not recorded any liabilities for material
      unrecognized tax benefits as of December 31, 2007.

7.   RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS

      In September 2006, the Financial Accounting Standards Board ("FASB")
      issued Interpretation No. 157 entitled Statement of Financial Accounting
      Standards No. 157, Fair Value Measurements ("SFAS 157"). SFAS 157 is
      effective for fiscal years beginning after November 15, 2007.
      SFAS 157 defines fair value, establishes a framework for measuring
      fair value, and expands disclosure requirements about fair value
      measurements. The Trust is currently evaluating the impact of adopting
      SFAS 157 on its financial statements. At this time, the impact to the
      Trust's financial statements has not been determined.


                                     ******