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F ED ERAL RESERVE BANK O F N E W YORK

F sc l Agent of the United States
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O fferin g o f $ 1 ,2 0 0 ,0 0 0 ,0 0 0 o f 9 1-D ay T reasury B ills
Dated September 13, 1951

Maturing December 13, 1951

T o all In corporated B anks and Trust Com panies in the
Second Federal R eserv e D istrict and O thers C on cern ed:

Following i the t xt of a n ti e published today:
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e
o c
F O R R E L E A S E , M O R N IN G N E W S P A P E R S ,
Thursday, September 6, 1951.

TREASURY DEPARTM ENT
W ashington

T h e Secretary o f the Treasury, by this public notice, invites tenders fo r $1,200,000,000, or thereabouts, o f 91-day Treasury
bills, fo r cash and in exchange f o r Treasury bills maturing September 13, 1951, in the amount o f $1,001,228,000, to be issued on a
discount basis under competitive and non-com petitive bidding as hereinafter provided.
T he bills o f this series will be dated
September 13, 1951, and w ill mature D ecem ber 13, 1951, when the fa ce amount will be payable without interest. T h ey w ill be issued
in bearer fo rm only, and in denominations o f $1,000, $5,000, $10,000, $100,000, $500,000, and $1,000,000 (m aturity valu e).
T e n d e rs w ill b e receiv ed at F ed eral R eserve B anks and B ra n ch es up t o th e c lo s in g h ou r, tw o o ’ c lo c k p.m ., E astern
D aylight Saving time, M onday, September 10, 1951. Tenders w ill not be received at the Treasury Department, W ashington. Each
ten der m u st be fo r an even m u ltiple o f $1,000, and in the ca se o f com p etitiv e ten ders the price offered m u st be ex p ressed on
the basis o f 100, w ith n o t m ore than th ree decim als, e.g., 99.925. F ra ction s m a y n ot be used. It is u rg ed that ten ders be
m ade o n the printed fo rm s and fo rw a rd e d in the special en velop es w h ich w ill be sup plied b y F ed era l R eserve B anks o r
B ra n ch e s o n a pp lica tion th erefor.
O th e rs than b a n k in g institutions w ill n ot be perm itted t o subm it ten ders e x cep t fo r their o w n a ccou n t. T e n d e rs w ill be
receiv ed w ith ou t d ep o sit fro m in corp ora ted banks and trust com p a n ies and fr o m resp on sib le and re co g n iz e d dealers in in vest­
m e n t securities. T e n d e rs fr o m oth ers m u st b e a ccom p a n ied b y pa ym en t o f 2 p ercen t o f the fa ce a m ou n t o f T rea su ry bills
a pplied fo r, unless the tenders are a ccom p a n ied b y an express gu a ra n ty o f p a y m en t b y an in corp ora ted b a n k or trust com p a n y .
Im m ed ia tely after th e clo s in g h ou r, ten ders w ill be op en ed at the F ed eral R e serv e B an ks and B ra n ch es, fo llo w in g w h ich
p u b lic a n n ou n cem en t w ill b e m ade b y the S ecreta ry o f the T rea su ry o f the a m ou n t and price ran ge o f a cce p te d b ids. T h o s e
su b m ittin g ten ders w ill be advised o f the a ccep ta n ce o r re je ctio n th ereof. T h e S ecreta ry o f th e T r e a s u ry ex p ressly reserves
the righ t to a cce p t o r re je ct a n y or all tenders, in w h ole o r in part, and his a ction in a n y such re s p e ct shall be final. S u b je ct
to these reserva tion s, n o n -co m p e titiv e ten ders fo r $200,000 o r less w ith ou t stated p rice fro m a n y o n e b idd er w ill be a ccep ted
in fu ll at th e a vera ge p rice (in th ree decim a ls) o f a ccep ted com p etitive bids. S ettlem ent for a ccep ted ten ders in a ccord a n ce
w ith the bids must be made or completed at the Federal Reserve Bank on September 13, 1951, in cash or other immediately avail­
able funds o r in a like face amount o f Treasu ry bills maturing September 13, 1951. Cash and exchange tenders w ill receive equal
treatm ent. C ash ad ju stm en ts w ill be m ade fo r d ifferen ces betw een the par value o f m atu rin g bills a cce p te d in ex ch a n g e and
th e issue p rice o f the n ew bills.
T h e in co m e derived fr o m T rea su ry b ills, w h eth er interest o r gain fr o m the sale o r oth er d isp osition o f the bills, shall
n o t have a n y exem ption , as such, and lo s s fr o m the sale o r oth er d isp osition o f T r e a s u ry bills shall n ot have a n y special
treatm ent, as such, under the In tern al R even u e C ode, o r law s a m en da tory o r su p plem en ta ry th ereto. T h e bills shall be
su b je ct to estate, inheritance, gift, o r oth er e x cis e taxes, w h eth er F ed eral o r State, but shall b e ex em p t fro m all taxation
n o w o r hereafter im p o se d on the principal o r interest th ereof b y any State, o r a n y o f the p ossession s o f the U n ited States,
o r b y a n y lo ca l ta x in g authority. F o r p u rp oses o f taxation the a m ou n t o f d iscou n t at w h ich T r e a s u ry bills are origin a lly
s o ld b y th e U n ited States shall be co n sid e re d to be interest. U n d er S ection s 42 and 1 1 7 (a )(1 ) o f the Internal R even u e
C o d e , as a m en ded b y S e ction 115 o f the R e v en u e A c t o f 1941, the a m ou n t o f d iscou n t at w h ich bills issued h ereun der are
so ld shall n o t b e co n sid e red to a ccru e u ntil such bills shall be sold , red eem ed o r oth erw ise disp osed o f, and su ch bills are
ex clu d e d fr o m con sid era tion as capital assets. A c c o r d in g ly , the ow n er o f T r e a s u ry bills (oth er than life in su rance com p a n ie s)
issued h ereun der n e e d in clu d e in his in com e ta x return o n ly the differen ce betw een th e price paid fo r such bills, w hether
o n origin a l issue o r o n subsequen t p u rch a se, and the a m ou n t actu ally receiv ed eith er u p on sale o r red em p tion at m aturity
d u rin g th e ta x ab le yea r f o r w h ich th e return is m a d e, as o rd in a ry ga in o r loss.
T r e a s u ry D ep a rtm en t C ircu lar N o . 418, as am en ded, and this n otice, p rescrib e the term s o f th e T r e a s u ry bills and g o v e rn
the co n d itio n s o f th eir issue. C op ies o f th e circu la r m a y b e ob ta in ed fr o m a n y F ed era l R eserve B ank o r B ran ch.

This Bank w l rec v tenders up t 2 p. . Eastern Daylight Saving t m , Monday, September 1 , 1951, a t
i l ei e
o
m,
ie
0
t he
S c r t e Department of is Head O f c and a i s Buffalo Branch. Please use the form on the reverse s d of t i
euiis
t
fie
t t
ie
hs
c r u a t submit a t d r and return i i an envelope marked “Tender for Treasury B l s ” Payment for the Treasury
iclr o
en e ,
t n
il.
bills cannot be made by credit through the Treasury Tax and Loan Account. Settlement must be made in cash or other
immediately available funds or in maturing Treasury bills.
Allan Sproul, President.
Results of last offering of Treasury bills (91-day bills dated September 6, 1951, maturing December 6, 1951)
T otal applied fo r . . .$1,917,893,000
T otal accepted .............$1,102,635,000 (includes $110,369,000
entered on a non-com petitive basis
and accepted in fu ll at the average
price show n b elow )
A vera ge price . . . .
99.584
Equivalent rate o f discount
approx. 1.646% per annum
4.t.
Range o f accepted compeUUve b id s :
H igh .......................
99.601
Equivalent rate o f discount
approx. 1.578% per annum

Federal R eserv e
T otal
D istrict
A pplied f o r
Boston .................................... ?
21,240.000
N ew Y o rk ............................
1,436,082,000
Philadelphia ..........................
22,492,000
Cleveland ..............................
41,330,000
Richm ond ..............................
12,355,000
Atlanta . . : ............................
11,991,000
Chicago ..................................
192,859,000
St. L ouis ................................
15,606,000
Minneapolis ..........................
4,727,000

L° "

dX

w-583

approx. 1 .6bU% per annum
(96 percent o f the amount bid fo r at the low
price w as accepted)




s

San Francisco .....................
T o t a l ..............................

88,117,000
---------------------$1,917,893,000

Total
A ccepted
$
12,620,000
756,580,000
5,144,000
33,838,000
10,223,000
9,971,000
127,762,000
11,010,000
4,725,000

$ g jS K
64,720,000
---------------------$1,102,635,000
(o v u )

25 Y
IMPORTANT— If you desire to bid on a competitive basis, fill in rate per 100 and maturity
value in paragraph headed "Competitive Bid.” If you desire to bid on a non-competitive
basis, fill in only the maturity value in paragraph headed "Non-competitive Bid.” DO
N O T fill in both paragraphs on one form. A separate tender must be used for each bid,
except that banks submitting bids on a competitive basis for their own and their customers’
accounts may submit one tender for the total amount bid at each price, provided a list is
attached showing the name of each bidder, the amount bid for his account, and method
of payment. Forms for this purpose will be furnished upon request.
No.................................

T E N D E R F O R 91 - D A Y T R E A S U R Y BILLS
Dated September 13, 1951

To

F

ederal

R

eserve

Ban

k

of

N

ew

Y

Maturing December 13, 1951

Dated at..............

ork,

F sc l Agent of the United S a e .
i a
tts
COMPETITIVE BID
Pursuant t the provisions of Treasury
o
Department Circular No. 418, as amended, and
t the provisions of the public n ti e on September
o
o c
6 , 1951, as issued by the Secretary of the Treas­
ury, the undersigned offers............. *
(Rate per 100)

for a t t l amount of $.................
oa
(maturity value) of the Treasury b l s the i
il
re n
desc i d or fo any l s amount t a may be
r be ,
r
es
ht
awarded, settlement therefor t be made a your
o
t
Bank, on the date s a e i the public n t c , a
ttd n
oie s
i
ndicated below:
□ By surrender of maturing Treasury b l s
il

1951
NON-COMPETITIVE BID

Pursuant t the provisions of Treasury
o
Department Circular No. 418, as amended, and
t the provisions of the public n i e on September
o
ot c
6 , 1951, as issued by the Secretary of the Treas­
ury, the undersigned o f r a non-competitive
fes
tender for a t t l amount of $............
oa
(Not to exceed $200,000)

(maturity value) of the Treasury b l s therein
il
d cr b , a the average price (in three d c ­
es i ed t
ei
mals) of accepted competitive b d , sett em n
is
l et
therefor t be made a your Bank, on the date
o
t
s a e i the public n t c , as indicated below:
ttd n
oie
n By surrender of maturing Treasury b l s
il

amounting to....... $________________

amounting to....... $________________

□

□

By cash or other immediately a a l b e funds
vial

By cash or other immediately a a l b e funds
vial

* P r ic e must be exp ressed on the basis o f 100, w ith not
m ore than three decimal places, f o r exam ple, 99.925.

The Treasury b l s for which tender i hereby made are t be dated September 1 , 1951, and are t
il
s
o
3
o
mature on December 1 , 1951.
3
This tender will be inserted in special envelope marked “Tender for Treasury Bills.”
N a m e o f B id der
(Please print)

By

...
(Official signature required)

(Title)

Street A dd ress

(City, Town or Village, P.O. No., and State)

I f this ten der is subm itted b y a bank fo r the a cco u n t o f a cu stom er, in dicate the cu sto m e r’ s nam e o n line b e lo w :

(Name of Customer)

(City, Town or Village, P.O. No., and State)

IMPORTANT INSTRUCTIONS:
1. N o ten der fo r less than $1,000 w ill b e con sidered, and each ten der m ust be fo r an even m ultiple o f $1,000
(m atu rity v a lu e ).
2. I f the person m a k in g the tender is a corp ora tion , the tender sh ou ld b e signed b y an officer o f the c o r p o r a ­
tion authorized to m ake the tender, and the sig n in g o f the tender b y an officer o f the corp o ra tio n w ill be con stru ed as a
represen tation b y him that he has been s o authorized. I f the ten der is m ade b y a partnership, it shou ld be sign ed b y a
m em ber o f the firm , w h o sh ou ld sign in the fo r m “ .................................................................................................. . a cop artn ersh ip, b y
........................................................................................................................ a m em b er o f th e firm .”
3. T en d ers w ill b e receiv ed w ith ou t dep osit fr o m in corp ora ted banks and trust com p a n ies and fro m re s p o n ­
sible and re co g n iz e d dealers in in vestm ent securities. T e n d e rs fro m oth ers m u st b e a ccom p a n ied b y paym ent o f 2 p ercen t
o f th e face a m ou n t o f T r e a s u ry bills applied fo r, unless th e ten ders are a ccom p a n ied b y an exp ress gu aranty o f paym ent
b y an in co rp o ra ted bank o r trust com p a n y .
4. I f the la n g u a ge o f this ten der is ch a n ged in a n y respect, w hich, in th e op in ion o f the S ecreta ry o f the
T re a su ry , is m aterial, the ten der m a y be disregarded.

Payment by credit through Treasury Tax and Loan Account will not be permitted.
T FRASER
Digitized for E N T B — 1 1 0 6 -a


(o v w t)


Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102