What an interesting question!
My *opinion* is that the word BANANA in the sentence can be in UEB, but the permutations should be in Nemeth. Each letter will be individually capitalized in the permutations. If the UEB word contained contractions, you would not use them.
This brings up a fond memory of Dr. Nemeth's sense of humor when he suggested that the Braille Authority of North America (BANA) change its name to the Braille and Nemeth Authority of North America (BANANA).