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<SEC-DOCUMENT>0000950134-07-025370.txt : 20080804
<SEC-HEADER>0000950134-07-025370.hdr.sgml : 20080804
<ACCEPTANCE-DATETIME>20071213174624
<PRIVATE-TO-PUBLIC>
ACCESSION NUMBER:		0000950134-07-025370
CONFORMED SUBMISSION TYPE:	CORRESP
PUBLIC DOCUMENT COUNT:		3
FILED AS OF DATE:		20071213

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			SAN JUAN BASIN ROYALTY TRUST
		CENTRAL INDEX KEY:			0000319655
		STANDARD INDUSTRIAL CLASSIFICATION:	OIL ROYALTY TRADERS [6792]
		IRS NUMBER:				756279898
		STATE OF INCORPORATION:			TX
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		CORRESP

	BUSINESS ADDRESS:	
		STREET 1:		COMPASS BANK, TRUST DEPARTMENT
		STREET 2:		2525 RIDGMAR BOULEVARD SUITE 100
		CITY:			FORT WORTH
		STATE:			TX
		ZIP:			76116
		BUSINESS PHONE:		8668094553

	MAIL ADDRESS:	
		STREET 1:		COMPASS BANK, TRUST DEPARTMENT
		STREET 2:		2525 RIDGMAR BOULEVARD SUITE 100
		CITY:			FORT WORTH
		STATE:			TX
		ZIP:			76116
</SEC-HEADER>
<DOCUMENT>
<TYPE>CORRESP
<SEQUENCE>1
<FILENAME>filename1.htm
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<TITLE>corresp</TITLE>
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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><IMG src="d52386cd5238601.gif" alt="(Vinson&#038;Elkins LOGO)">
</DIV>


<DIV align="left" style="font-size: 8pt; margin-top: 6pt"><FONT face="Helvetica,Arial,sans-serif"><B>Michael L. Malone </B>mmalone@velaw.com<BR>
<B>Tel </B>214.220.7712 <B>Fax </B>214.999.7712</FONT>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">December&nbsp;13, 2007
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U><B>VIA EDGAR AND FAX (202)&nbsp;772-9368</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Securities and Exchange Commission<BR>
Mail Stop 7010<BR>
100 F St., N.E.<BR>
Washington, DC 20549<BR>
Attention: H. Roger Schwall

</DIV>
<DIV align="center">
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Re:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">San Juan Basin Royalty Trust</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form&nbsp;10-K for the Fiscal Year Ended December&nbsp;31, 2006</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Filed March&nbsp;1, 2007</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">File No.&nbsp;1-08032</TD>
</TR>
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</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">Dear Mr.&nbsp;Schwall:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This firm serves as legal counsel to Compass Bank in its capacity as the Trustee of the San
Juan Basin Royalty Trust (the &#147;<U>Trust</U>&#148;). In regard to the comments of the staff of the
Securities and Exchange Commission set forth in the comment letter dated November&nbsp;29, 2007, the
Trust respectfully submits the following responses. For you convenience, we have repeated each
comment of the Staff exactly as it appears in the comment letter and provided a response below each
comment.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Following is some background information concerning the Trust that you may find helpful in
reviewing the Trust&#146;s responses to the comment letter.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Trust is an express trust created under the laws of the state of Texas by the San Juan
Basin Royalty Trust Indenture entered into on November&nbsp;3, 1980, between Southland Royalty Company
and The Fort Worth National Bank.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On October&nbsp;23, 1980, the stockholders of Southland Royalty approved and authorized that
company&#146;s conveyance of a 75% net overriding royalty interest (equivalent to a net profits
interest) to the Trust for the benefit of the stockholders of Southland Royalty of record at the
close of business on the date of the conveyance (the &#147;<U>Royalty</U>&#148;) carved out of that
company&#146;s oil and gas leasehold and royalty interests in properties located in the San Juan
Basin of northwestern New Mexico. Subsequent to the conveyance of the Royalty, through a
series of assignments and mergers, Southland Royalty&#146;s successor became Burlington Resources Oil &#038;
Gas Company LP (&#147;<U>BROG</U>&#148;). BROG is the owner and principal operator of the underlying
properties. It is our understanding that ConocoPhillips is the parent of Burlington Resources,
Inc., which in turn is the parent of BROG.
</DIV>


<DIV align="center">
<TABLE style="font-size: 8pt" cellspacing="0" border="0" cellpadding="0" width="100%">
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    <TD width="6%">&nbsp;</TD>
    <TD width="47%">&nbsp;</TD>
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<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B><FONT face="Helvetica,Arial,sans-serif">Vinson &#038; Elkins LLP Attorneys at Law</FONT></B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT face="Helvetica,Arial,sans-serif">Trammell Crow Center, 2001 Ross Avenue, Suite&nbsp;3700</FONT></TD>
</TR>
<TR valign="bottom">

<TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT face="Helvetica,Arial,sans-serif">Abu
Dhabi Austin Beijing Dallas Dubai</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT face="Helvetica,Arial,sans-serif">Dallas, TX 75201-2975</FONT></TD>
</TR>
<TR valign="bottom">

<TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT face="Helvetica,Arial,sans-serif">London
Moscow New York Shanghai Tokyo</FONT>
</DIV></TD>
    <TD>&nbsp;</TD>

<TD align="left" valign="top"><FONT face="Helvetica,Arial,sans-serif"><B>Tel
</B>214.220.7700 <B>Fax </B>214.220.7716 <B>www.velaw.com</B></FONT></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><FONT face="Helvetica,Arial,sans-serif">State of Texas</FONT></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
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</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><IMG src="d52386cd5238602.gif" alt="(V&#038;E LOGO)">
</DIV>

<DIV align="right" style="font-size: 8pt; margin-top: 0pt"><B>
<FONT face="Helvetica,Arial,sans-serif">Securities and Exchange Commission</FONT></B><BR>
<FONT face="Helvetica,Arial,sans-serif">December&nbsp;13, 2007 Page 2</FONT>
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The function of the Trustee is to collect the net proceeds attributable to the Royalty, to pay
all expenses and charges of the Trust, and then distribute the remaining available income to the
unit holders of the Trust. The Trust is not empowered to carry on any business activity and has no
employees. All administrative functions are performed by the Trustee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Due to the pass-through nature of the Trust, BROG provides much of the information disclosed
in the periodic reports filed by the Trust with the Commission. The Indenture does not require
BROG to update or provide information to the Trust. Under the conveyance transferring the Royalty
to the Trust, BROG is obligated to provide the Trust with certain information concerning
calculations of net proceeds owed to the Trust, among other information.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Trustee receives periodic updates from BROG regarding activities related to the Trust.
Accordingly, the Trust&#146;s ability to timely report certain information required to be disclosed in
the Trust&#146;s periodic reports is dependent on BROG&#146;s timely delivery of that information to the
Trust. BROG is contractually obligated to deliver some but not all of the information required by
the Trust to complete its periodic reports.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On behalf of the Trust we have requested that BROG deliver the information necessary to comply
with the staff&#146;s comments. BROG has replied that it is in the process of identifying the person or
persons who would be in a position to compile and deliver that information to us. We have yet to
hear from BROG with respect to the requested information, but will continue to pursue it.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U><B>Annual Report for Fiscal Year-Ending December&nbsp;31, 2006 on Form&nbsp;10-K</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U><B>Properties, page 6</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U><B>Producing Acreage, Wells and Drilling, page 7</B></U>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>1.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>Please amend your document to disclose developed and undeveloped acreage as well as the
development wells and exploratory wells that have been drilled. You may refer to SEC Industry
Guide 2, paragraphs 4, 5 and 6 for guidance.</B></TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Response: </I>As discussed above, due to the Trust&#146;s pass-through nature, its ability to
report certain information required to be disclosed in its periodic reports is dependent on
BROG&#146;s timely delivery of such information to the Trust. The Trust has requested
the information required by this comment from BROG. Assuming that the Trust receives the
information from BROG needed to comply with the staff&#146;s comment, the Trust proposes to
include such information in its applicable future filings.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><IMG src="d52386cd5238602.gif" alt="(V&#038;E LOGO)">
</DIV>


<DIV align="right" style="font-size: 8pt; margin-top: 0pt"><B>
<FONT face="Helvetica,Arial,sans-serif">Securities and Exchange Commission</FONT></B><BR>
<FONT face="Helvetica,Arial,sans-serif">December&nbsp;13, 2007 Page 3</FONT>
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U><B>Oil and Gas Production, page 8</B></U>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>2.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>Please amend your document to disclose historical production costs. Refer to SEC Industry
Guide 2, paragraph 3.</B></TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Response: </I>The Trust believes it has available to it the information necessary to comply
with SEC Industry Guide 2, paragraph 3, with regard to the disclosure of historical
production costs. To the extent additional information is needed, the Trust will work to
obtain it from BROG. The Trust proposes to include such information in its applicable
future filings.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U><B>Oil and Gas Reserves, page 9</B></U>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>3.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>We note your description of proved reserves, proved developed reserves and proved undeveloped
reserves. Please amend your document to cite Rule&nbsp;4-</B><B>10(a)</B><B>, paragraphs (2)&nbsp;through (2)iii, (3)
and (4)&nbsp;as the applicable definitions of these quantities. This is available at our website,
http://www.sec.gov/about/forms/regs-x.pdf.</B></TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Response: </I>In applicable future filings, the Trust will revise its description of proved
reserves, proved developed reserves and proved undeveloped reserves to cite Rule&nbsp;4-10(a),
paragraphs (2)&nbsp;through (2)iii, (3)&nbsp;and (4)&nbsp;as the applicable definitions of these
quantities.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U><B>Oil and Gas Reserves, page 10</B></U>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>4.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>We note your statement, &#147;December average prices of $7.09 per Mcf of conventional gas, $5.48
per Mcf of coal seam gas and $58.65 per Bbl of oil were used at December&nbsp;31, 2006, in
determining future net revenue.&#148; For the estimation of proved reserves and the associated
standardized measure, FAS 69, paragraph </B><B>30(a)</B><B> requires the use of year-end prices, i.e. market
prices as of the last day of the year. Please amend your document to disclose the proved
reserve volumes and discounted future net income figures that are estimated with oil and gas
market prices in compliance with FAS 69.</B></TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Response: </I>Under the contracts pursuant to which gas production on the underlying
properties is sold by BROG, the Trust receives the same sale price on each day of the
month. Accordingly, December average prices for the sale of gas are also the prices at
December&nbsp;31, 2006 and therefore comply with the requirements of FAS 69,</TD>
</TR>

</TABLE>
</DIV>
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<DIV align="right" style="font-size: 8pt; margin-top: 0pt"><B>
<FONT face="Helvetica,Arial,sans-serif">Securities and Exchange Commission</FONT></B><BR>
<FONT face="Helvetica,Arial,sans-serif">December&nbsp;13, 2007 Page 4</FONT>
</DIV>



<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #textcolor#; background: #bgcolor#">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>paragraph 30(a). The proceeds of the sale of natural gas account for almost all of the
revenues to the Trust. Accordingly, revising the statement to explicitly refer to the
price as of December&nbsp;31, 2006 would not change any of the numbers disclosed. The Trust
proposes in applicable future filings to clarify that such sale prices are the prices on
December&nbsp;31<SUP style="font-size: 85%; vertical-align: text-top">st</SUP>.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U><B>Exhibit&nbsp;13, Annual Report to Unit Holders for the year ended December&nbsp;31, 2006</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U><B>Trustee&#146;s Discussion and Analysis</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><U><B>Distributable Income, page 7</B></U>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><B>5.</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><B>It appears that the primary factor in your Distributable Income between 2005 and 2006 was the
amount of your available cash. Provide disclosure why those levels changed.</B></TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Response: </I>As discussed in the Annual Report to Unit Holders for the year ended December
31, 2006 (the &#147;<U>Annual Report</U>&#148;), &#147;Distributable Income&#148; consists of Royalty Income
plus interest, less the general and administrative expenses of the Trust and any changes in
cash reserves established by the Trustee. Accordingly, the primary factor in the
calculation of Distributable Income is Royalty Income. The calculation of Royalty Income
immediately precedes the discussion of Distributable Income and sets forth in line item
detail exactly how Royalty Income is calculated. The calculation of Royalty Income is
performed on a side by side basis for last five years. This presentation allows a reader
to clearly identify where the year-to-year differences in the calculation of Royalty Income
arise.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>For example, Royalty Income received by the Trust in 2006 and 2005 was $136,311,892 and
$153,858,264, respectively. A review of the calculation of Royalty Income on page 7 of the
Annual Report clearly shows that while gross proceeds from the underlying properties were
substantially similar in 2006 and 2005 ($270,374,211 and $273,752,061, respectively),
production costs &#151; in particular capital expenditures -were approximately $20&nbsp;million
higher in 2006. The foregoing resulted in the net profits of the Trust decreasing from
approximately $205&nbsp;million in 2005 to approximately $182&nbsp;million in 2006. In addition,
pages 8 and 9 of the Annual Report contain a specific discussion of capital expenditures,
which were the most significant reason for the change in Distributable Income from 2005 to
2006.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Trust has presented the calculation of Royalty Income in tabular form and discussed, in
the third paragraph under the heading &#147;Distributable Income&#148; in the Annual Report, the
calculation of Distributable Income and the principal reasons for the decrease in
Distributable Income. The change in general and administrative expenses from 2006 to 2005
is also identified in that paragraph. No mention or</TD>
</TR>

</TABLE>
</DIV>
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<DIV align="right" style="font-size: 8pt; margin-top: 0pt"><B>
<FONT face="Helvetica,Arial,sans-serif">Securities and Exchange Commission</FONT></B><BR>
<FONT face="Helvetica,Arial,sans-serif">December&nbsp;13, 2007 Page 5</FONT>
</DIV>


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR valign="top" style="font-size: 10pt; color: #textcolor#; background: #bgcolor#">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>quantification was made regarding changes in cash reserves established by the Trustee
because there was no change in cash reserves from 2005 to 2006 and therefore this is
immaterial to the discussion of the calculation of Distributable Income. Although the
discussion of Distributable Income on pages 7 and 8 of the Annual Report does not
explicitly state that there was no change in cash reserves from 2005 to 2006, this fact is
apparent from the calculations on page 7 of the Annual Report. In addition, the fact that
there was no change in cash reserves from 2005 to 2006 is reflected in the financial
statements on page 13 of the Annual Report.<BR><BR></TD>
</TR>
<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Trust respectfully submits its belief that the reasons its levels of available cash
changed from 2005 to 2006 were sufficiently disclosed in the Annual Report. Consequently
the Trust does not believe that additional disclosure or explanation is necessary or
appropriate and there is no need to amend the Annual Report. If in the future a change in
the cash reserves established by the Trustee occurs and that change is important to an
investor&#146;s understanding of Distributable Income, the Trust will include a discussion of
the change in cash reserves in its applicable filings.</TD>
</TR>

</TABLE>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In submitting the above responses, the Trust acknowledges that:
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the Trust is responsible for the adequacy and accuracy of the disclosure in filing;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>staff comments or changes to disclosure in response to staff comments do not foreclose
the Commission from taking any action with respect to the filing; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="2%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>the Trust may not assert staff comments as a defense in any proceeding initiated by the
Commission or any person under the federal securities laws of the United States.</TD>
</TR>

</TABLE>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">If we can be of any further assistance, please do not hesitate to contact me at 214-220-7712.
</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Sincerely,<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">/s/ Michael L. Malone
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="left">Michael L. Malone&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="96%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">cc:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Lee Ann Anderson, Compass Bank</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Robert L. Kimball, Vinson &#038; Elkins L.L.P.</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">John W. Madison, Securities and Exchange Commission</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Ronald Winfrey, Securities and Exchange Commission</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
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