JAPAN LONG-TERM PRIME SEEN CUT TO RECORD LOW SOON

  Japan's long-term banks will soon cut
  their prime rate, now at a record low 5.5 pct, by 0.2 or 0.3
  percentage point in response to falling secondary market yields
  on their five-year debentures, long-term bankers said.
      The long-term prime rate is customarily set 0.9 percentage
  point above the coupon on five-year bank debentures issued by
  the long-term banks every month.
      The latest bank debentures, at 4.6 pct, have met strong
  end-investor demand on the prospect of further declines in yen
  interest rates, dealers said. The current 5.5 pct prime rate
  has been in effect since February 28.
  

