FAS #106                                     5/25/95

 We are planning to include the annual FAS #106 expense in our fringe benefit
pool.  As I understand it, this will only be an allowable cost as long as the
plan is funded, so we are currently looking at different funding mechanisms.

In addition, we have modified our benefit plan for future retirees to help
mitigate the huge cost of this benefit.

Kim Witmer
xxxxxx@salk.edu
Director of Finance
The Salk Institute for Biological Studies
La Jolla, California