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F E D E R A L R E S E R V E B AN K O F N E W Y O R K
Fiscal Agent o f the United States

[ Cioctober2 ius^3 ]

Offering of $1,400,000,000 of 91-Day Treasury Bills
Dated October 9, 1952

Maturing January 8, 1953

To all Incorporated Banks and Trust Companies, and Others
Concerned, in the Second Federal Reserve D istrict :

Following is the text o f a notice published today:
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 ,
T h u rsd a y, O c to b e r 2, 1952.

TREASU RY DEPARTM ENT
W a sh in g ton

T h e S ecreta ry o f the T reasu ry, b y this pu blic n otice, invites tenders fo r $1,400,000,000, o r th ereabouts, o f 91-day T re a s ­
ury bills, fo r cash and in exch a n ge fo r T rea su ry bills m atu rin g O c to b e r 9, 1952, in the a m ou n t o f $1,400,368,000, to be issued
on a discou n t basis under com p etitive and n on -com p etitiv e bid d in g as h ereinafter provided . T h e bills o f this series w ill be
dated O c to b e r 9, 1952, and w ill m ature January 8, 1953, w hen the face am ou nt w ill be payable w ith ou t interest. T h e y w ill be
issued in bearer fo rm on ly , and in den om in ation s o f $1,000, $5,000, $10,000, $100,000, $500,000, and $1,000,000 (m a tu rity v a lu e ).
T e n d e rs w ill be received at F ed eral R e serv e B anks and B ran ches up to the clo s in g hour, tw o o ’ c lo ck p.m ., E astern
Standard tim e, M on d a y, O c to b e r 6, 1952. T e n d e rs w ill n ot be received at the T rea su ry D epartm en t, W a s h in g to n . E ach
ten der m u st be fo r an even m u ltiple o f $1,000, and in the case o f com p etitive tenders the price o ffe re d m ust be exp ressed on
the basis o f 100, w ith n ot 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 rged that ten ders be
m ade on the printed fo rm s and forw a rd ed in the special en velopes w hich w ill be supplied b y Federal R eserve B anks o r
B ran ch es o n application th erefor.
O th e rs than b a n k in g institutions w ill n ot be perm itted to subm it tenders e x cep t fo r their ow n a ccou n t. T e n d e rs w ill be
receiv ed w ith ou t dep osit fro m in corp ora ted banks and trust com pa n ies and from respon sible and recog n ized dealers in invest­
m en t securities. T e n d ers fro m oth ers m u st be a ccom p a n ied b y paym ent o f 2 p ercen t o f the face am ou nt o f T rea su ry bills
a pp lied fo r, unless the tenders are a ccom p a n ied b y an exp ress gu a ra n ty o f paym ent b y an in corpora ted bank o r trust com p a n y .
Im m ed ia tely a fter the clo s in g h our, tenders w ill be op en ed at the Federal R eserve B anks and B ranches, fo llo w in g w h ich
pu b lic a n n ou n cem en t w ill be m ade b y the S ecretary o f the T rea su ry o f the a m ou n t and price ran ge o f a ccep ted bids. T h o s e
su b m ittin g tenders w ill be advised o f the a ccep ta n ce o r rejection th ereof. T h e S ecreta ry o f the T rea su ry e x p ressly reserves
the righ t t o a cce p t o r re je ct any o r all tenders, in w h ole o r in part, and his a ction in a n y such resp ect shall be final. S u b je ct
to these reservations, n on -com p etitiv e ten ders f o r $200,000 o r less w ith ou t stated p rice fro m any one b idder w ill be a ccep ted
in full at the a vera ge price (in th ree d ecim a ls) o f a ccep ted com petitive bids. Settlem ent fo r a ccep ted tenders in a ccord a n ce
w ith the bids m u st be m ade o r com p leted at the Federal R eserve B ank on O c to b e r 9, 1952, in cash or oth er im m ediately
available funds o r in a like face a m ou n t o f T rea su ry bills m atu rin g O c to b e r 9, 1952. Cash and exch an ge tenders w ill receiv e
equal treatm ent. Cash adjustm ents w ill be m ade fo r differences betw een the par value o f m aturing bills a ccep ted in exch a n ge
and the issue price o f the new bills.
T h e in co m e derived fr o m T rea su ry bills, w hether interest o r ga in fro m the sale o r oth er d isp osition o f th e bills, shall n ot
have a n y exem ption , as such, and lo s s fro m the sale or oth er disp osition o f T rea su ry bills shall n ot have a n y special treat­
m en t, as such, under the In tern al R even u e C ode, o r law s a m en da tory or sup plem entary th ereto. T h e bills shall be su b je ct
to estate, inheritance, gift, o r oth er excise taxes, w hether F ed eral or State, but shall be exem p t fro m all taxation npw o r h ere­
after im p osed o n the principal o r interest th e re o f b y a n y State, or a n y o f the possession s o f th e U n ited States, o r b y any lo ca l
ta x in g authority. F o r pu rp oses o f taxation the a m ou n t o f discou n t at w h ich T rea su ry bills are origin a lly s o ld b y the U n ited
States shall be considered to be interest. Under Sections 42 and 1 1 7 (a )(1 ) o f the Internal R even u e C ode, as a m en ded b y
S ection 115 o f the R even u e A c t o f 1941, the a m ou n t o f discou n t at w hich bills issued hereunder are sold shall n ot be con sidered
to accrue until such bills shall be sold, redeemed or otherwise disp osed o f, and such bills are exclu d ed fro m con sidera tion as
capital assets. A c co r d in g ly , the ow n er o f T rea su ry bills (o th e r than life insurance com p a n ies) issued hereun der need in ­
clu de in his in co m e ta x return on ly th e differen ce betw een th e price paid fo r such bills, w hether on origin a l issue o r on sub­
sequen t purchase, and the am ou nt actu a lly received either u pon sale or redem ption at m aturity d u rin g the taxable yea r fo r
w h ich the return is m ade, as ord in a ry gain o r loss.
T re a su ry D epa rtm en t Circular N o . 418, as am en ded, and this n otice, p rescrib e the term s o f the T rea su ry bills and g o v e rn
the conditions o f their issue. Copies o f the circular m ay be obtained fro m any Federal R eserve B ank o r B ranch.

This Bank will receive tenders up to 2 p.m., Eastern Standard time, Monday, October 6, 1952, at the Securities
Department o f its Head Office and at its Buffalo Branch. Please use the form on the reverse side o f this circular to sub­
mit a tender, and return it in an envelope marked “ Tender for Treasury Bills.” Tenders may be submitted by telegraph,
subject to written confirmation; they may not be submitted by telephone. Payment fo r the Treasury 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.
A l l a n S p r o u l , President.

Results o f last offering o f Treasury bills (92-day bills dated October 2, 1952, maturing January 2, 1953)
T o ta l applied fo r .......... $1,915,928,000
T o ta l a c c e p te d ...............$1,200,090,000 (in clu des $195,361,000
entered on a n on -com p etitiv e basis
and a ccep ted in full at the average
price sh ow n b e lo w )
A ve ra g e price ........

9 9 .5 5 0 +

E quivalent rate o f discou nt
a p p rox. 1.760% per annum

R a n g e o f a ccep ted com p etitive b ids:
H ig h .......................
99.617
E quivalent rate
a p p rox. 1.499%
L o w .......................... 99.543
E quivalent rate
a pp rox. 1.788%

o f discou nt
per annum
o f discount
per annum

(32 percent o f the am ou nt bid fo r at the low
price w as a ccep ted)




Federal Reserve
District

Total
Applied fo r
....

N ew Y o r k ................... ....
Philadelphia ..............
C leveland ...................
R ich m on d ...................
C h ica g o .......................
St. L ou is .....................
M in n eap olis ...............
K ansas City ...............
San F ra n cisco ..........
T otal

......................... ....

$

26,887,000
1,278,535,000
25,102,000
30,255,000
21,038,000
26,660,000
250,334,000
35,789,000
15,613.000
45,550.000
58,146,000
102,019,000

$1,915,928,000

Total
Accepted
$

26,887,000
596,085,000
10,102,000
29,255,000
21,038,000
26.660,000
240,284.000
33,841.000
15.613.000
45.200,000
58,146,000
96,979,000

$1,200,090,000
( over)

28C
IM PORTANT— If you desire to bid on a com petitive basis, fill in rate per 100 and maturity
value in paragraph headed "Competitive Bid.” If you desire to bid on a non-com petitive
basis, fill in only the maturity value in paragraph headed "Non-competitive Bid.” D O
N O T fill in both paragraphs on one form . A separate tender must be used fo r each bid,
except that banks submitting bids on a competitive basis fo r their own and their customers’
accounts may submit one tender fo r the total amount bid at each price, provided a list is
attached showing the name o f each bidder, the amount bid fo r his account, and method
of payment. Forms fo r this purpose w ill be furnished upon request.
N o ...................................

TENDER FOR 91 -D A Y TREASURY BILLS
Dated October 9, 1952
T o F e d e r a l R eser v e B a n k o f N e w Y
Fiscal A gent o f the United States.

Maturing January 8, 1953
Dated at.,

ork,

.1952

COMPETITIVE BID

NON-COMPETITIVE BID

Pursuant to the provisions o f Treasury
Department Circular N o. 418, as amended, and
to the provisions o f the public notice on
October 2, 1952, as issued by the Secretary
of
the
Treasury,
the
undersigned
offers

Pursuant to the provisions o f Treasury De­
partment Circular N o. 418, as amended, and to the
provisions o f the public notice on October 2,
1952, as issued by the Secretary o f the Treasury,
the undersigned offers a non-competitive tender

— * for a total amount o f

fo r a total amount o f $....

(R ate per 100)

(N ot to exceed $200,000)

$---------------------------------------------- (maturity value)
o f the Treasury bills therein described, or for
any less amount that may be awarded, settlement
therefor to be made at your Bank, on the date
stated in the public notice, as indicated below:
□

By surrender o f

maturing Treasury bills

(maturity value) o f the Treasury bills therein
described, at the average price (in three deci­
mals) o f accepted competitive bids, settlement
therefor to be made at your Bank, on the date
stated in the public notice, as indicated b e lo w :
□

By surrender o f

maturing Treasury bills

amounting t o ..................... $______________________

amounting t o ..................... $______________________

□

□

B y cash or other immediately available funds

By cash or other immediately available funds

*Price must be expressed on the basis o f 100, with not
more than three decimal places, fo r example, 99.925.

The Treasury bills for which tender is hereby made are to be dated October 9, 1952, and are to mature
on January 8, 1953.
This tender will be inserted in special envelope marked “ Tender f o r Treasury B ills”
N a m e o f B id d er ........
By

(Please p rin t)

(Official signature required)

(Title)

Street A d d ress ................................................
(C ity, T ow n o r V illage, P.O. No., and State)

I f this tender is submitted b y a bank for the account o f a customer, indicate the custom er’s name on line below :
(Name o f Custom er)

(C ity, T ow n or Village, P.O. N o., and State)

IMPORTANT INSTRUCTIONS:
1. N o tender fo r less than $1,000 w ill be considered, and each ten der m u st be fo r an even m u ltiple o f $1,000
(m a tu rity v a lu e ).
2. I f the p erson m a k in g the ten der is a corp ora tion , the ten der should be sign ed b y an officer o f the co rp o ra ­
tion authorized to m ake the tender, and the sig n in g o f the ten der b y an officer o f the corp ora tion w ill be con stru ed as a
representation b y h im that he has been so authorized. I f the ten der is m ade b y a partnership, it sh ou ld be sign ed b y a
m em b er o f the firm , w h o sh ou ld sign in the fo r m “ ....................................................................................................... a copartn ersh ip, b y
....................................................................................................................... a member o f the firm.”
3. T e n d e rs w ill be receiv ed w ith ou t deposit from in corpora ted banks and trust com pa n ies and from resp o n ­
sible and re co g n ize d dealers in investm ent securities. T e n d e rs fro m oth ers m ust be a ccom p a n ied b y p a ym en t o f 2 percent
o f the face am ou nt o f T r e a s u ry bills applied fo r, unless the tenders are a ccom p a n ied b y an exp ress gu aranty o f paym ent
b y an in corp ora ted b a n k or trust com pan y.
4. I f the language o f this ten der is ch a n ged in any respect, w hich, in the op in ion o f the S ecretary o f the
T rea su ry, is m aterial, th e ten der m ay be disregarded.

'Payment b y cred it through Treasury T a x and Loan A cco u n t -will n ot b e perm itted.

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TEXTB—1162-a
Federal Reserve Bank of St. Louis

( over)

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