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FEDERAL RESERVE BANK O F NEW YORK Fiscal A g en t o f the ,U nited States r CircularNo. 5084 T L. September 12, 1961 J Offering of $2,500,000,000 of 268-Day Tax Anticipation Treasury Bills Dated September 27, 1961 Maturing June 22, 1962 To A ll Incorporated Banks and Trust Companies, and Others Concerned, in the Second Federal Reserve District: Following isthe text of a notice issued by the Treasury Department, released for publication today: T h e T r e a s u r y D e p a r tm e n t , b y th is p u b lic n o t ic e , in v ite s t e n d e r s f o r $2,500,000,000, o r th e r e a b o u ts , o f 2 6 8 -d a y T r e a s u r y b ills , t o b e is s u e d o n a d is c o u n t b a sis u n d e r c o m p e t it iv e a n d n o n c o m p e t it iv e b id d in g as h e r e in a fte r p r o v id e d . T h e b ills o f th is s e r ie s w ill b e d e s ig n a t e d T a x A n t ic ip a t io n S e r ie s , t h e y w ill b e d a te d S e p t e m b e r 27, 1961, a n d t h e y w ill m a tu r e J u n e 22, 1962. T h e y w ill b e a c c e p t e d at fa c e v a lu e in p a y m e n t o f in c o m e a n d p r o fit s ta x e s d u e o n J u n e 15, 1962, a n d t o th e e x te n t t h e y a re n o t p r e s e n t e d f o r th is p u r p o s e th e fa c e a m o u n t o f th e s e b ills w ill b e p a y a b le w it h o u t in te r e s t a t m a tu r ity . T a x p a y e r s d e s ir in g t o a p p ly t h e s e b ills in p a y m e n t o f J u n e 15, 1962, in c o m e a n d p r o fit s ta x e s h a v e th e p r iv ile g e o f s u r r e n d e r in g th e m t o a n y F e d e r a l R e s e r v e B a n k o r B r a n c h o r to th e O ffic e o f th e T r e a s u r e r o f th e U n it e d S ta te s , W a s h in g t o n , n o t m o r e th a n fifte e n d a y s b e f o r e J u n e 15, 1962, a n d r e c e iv in g r e c e ip t s t h e r e fo r s h o w i n g th e fa c e a m o u n t o f th e b ills s o s u rr e n d e r e d . T h e s e r e c e ip t s m a y b e s u b m itte d in lie u o f th e b ills o n o r b e f o r e J u n e 15, 1962, t o th e D is t r ic t D i r e c t o r o f I n t e r n a l R e v e n u e f o r th e D i s t r ic t in w h ic h s u c h ta x e s a re p a y a b le . T h e b ills w ill b e is s u e d in b e a r e r fo r m o n ly , a n d in d e n o m in a t io n s o f $1,000, $5,000, $10,00 0, $100,000, $500,000 a n d $1,000,000 (m a t u r ity v a lu e ). T e n d e r s w ill b e r e c e iv e d at F e d e r a l R e s e r v e B a n k s a n d B r a n c h e s u p t o th e c l o s i n g h o u r , o n e -t h ir t y o ’ c l o c k p .m ., E a s t e rn D a y lig h t S a v in g tim e , W e d n e s d a y , S e p te m b e r 20, 1961. T e n d e r s w ill n o t b e r e c e iv e d a t th e T r e a s u r y D e p a r tm e n t , W a s h in g t o n . E a c h t e n d e r m u s t b e f o r an e v e n m u lt ip le o f $1,000, a n d in th e c a s e o f c o m p e t it iv e te n d e r s th e p r ic e o ff e r e d m u s t b e e x p r e s s e d o n th e b a sis o f 100, w ith n o t m o r e th a n th re e d e c im a ls , e .g ., 99.925. F r a c t io n s m a y n o t b e u se d . I t is u r g e d th a t te n d e rs b e m a d e o n th e p r in te d fo r m s a n d fo r w a r d e d in th e s p e c ia l e n v e lo p e s w h ic h w ill b e su p p lie d b y F e d e r a l R e s e r v e B a n k s o r B r a n c h e s o n a p p lic a t io n th e r e fo r . O t h e r s th a n b a n k in g in s titu tio n s w ill n o t b e p e r m itt e d to s u b m it te n d e r s e x c e p t fo r th e ir o w n a c c o u n t . T e n d e r s w ill b e r e c e iv e d w it h o u t d e p o s it fr o m i n c o r p o r a t e d b a n k s a n d tru st c o m p a n ie s a n d fr o m r e s p o n s ib le a n d r e c o g n i z e d d e a le r s in in v e s t m e n t se c u r itie s . T e n d e r s fr o m o t h e r s m u s t b e a c c o m p a n ie d b y p a y m e n t o f 2 p e r c e n t o f th e fa c e a m o u n t o f T r e a s u r y b ills a p p lie d fo r , u n le ss th e te n d e r s a re a c c o m p a n ie d b y an e x p r e s s g u a r a n t y o f p a y m e n t b y a n i n c o r p o r a t e d b a n k o r tru st com pany. A l l b id d e r s a re r e q u ir e d t o a g r e e n o t t o p u r c h a s e o r t o sell, o r t o m a k e a n y a g r e e m e n ts w it h r e s p e c t t o th e p u r c h a s e o r sa le o r o t h e r d is p o s itio n o f a n y b ills o f th is issu e , u n til a fte r o n e - t h ir t y o ’ c l o c k p .m ., E a s t e r n D a y lig h t S a v in g tim e , W e d n e s d a y , S e p te m b e r 20, 1961. I m m e d ia t e ly a fte r th e c lo s in g h o u r , te n d e r s w ill b e o p e n e d a t th e F e d e r a l R e s e r v e B a n k s a n d B r a n c h e s , fo l l o w i n g w h ic h p u b lic a n n o u n c e m e n t w ill b e m a d e b y th e T r e a s u r y D e p a r t m e n t o f th e a m o u n t a n d p r ic e r a n g e o f a c c e p t e d b id s. T h o s e s u b m itt in g te n d e r s w ill b e a d v is e d o f th e a c c e p t a n c e o r r e je c t io n th e r e o f. T h e S e c r e t a r y o f th e T r e a s u r y e x p r e s s ly r e s e r v e s th e r ig h t t o a c c e p t o r r e je c t a n y o r a ll te n d e rs , in w h o le o r in p a rt, a n d h is a c t io n in a n y s u c h r e s p e c t sh a ll b e fin al. S u b je c t t o th e s e r e s e r v a tio n s , n o n c o m p e t it iv e te n d e r s fo r $400,000 o r less w it h o u t s ta te d p r ic e fr o m a n y o n e b id d e r w ill b e a c c e p t e d in fu ll a t th e a v e r a g e p r ic e (in t h r e e d e c im a ls ) o f a c c e p t e d c o m p e titiv e b id s . P a y m e n t o f a c c e p t e d te n d e rs at th e p r ic e s o ff e r e d m u s t b e m a d e o r c o m p le t e d a t th e F e d e r a l R e s e r v e B a n k in c a s h o r o t h e r im m e d ia t e ly a v a ila b le fu n d s o n S e p t e m b e r 27, 1961, p r o v id e d , h o w e v e r , a n y q u a lifie d d e p o s it a r y w ill b e p e r m itt e d t o m a k e p a y m e n t b y c r e d it in its T r e a s u r y T a x a n d L o a n A c c o u n t f o r T r e a s u r y b ills a llo t te d t o it fo r it s e lf a n d its c u s t o m e r s up t o a n y a m o u n t f o r w h ic h it sh a ll b e q u a lifie d in e x c e s s o f e x is t in g d e p o s it s w h e n s o n o t ifie d b y th e F e d e r a l R e s e r v e B a n k o f its D is t r ic t . T h e in c o m e d e r iv e d fr o m T r e a s u r y b ills , w h e th e r in t e r e s t o r g a in f r o m th e s a le o r o t h e r d is p o s it io n o f th e b ills , d o e s n o t h a v e a n y e x e m p t io n , a s su ch , a n d lo s s f r o m th e s a le o r o t h e r d is p o s it io n o f T r e a s u r y b ills d o e s n o t h a v e a n y s p e c ia l t re a t m e n t, a s s u ch , u n d e r th e I n t e r n a l R e v e n u e C o d e o f 1954. T h e b ills are s u b je c t t o e s ta te , in h e rita n ce , g if t o r o t h e r e x c is e t a x e s , w h e th e r F e d e r a l o r S ta te, b u t a r e e x e m p t f r o m a ll t a x a t io n n o w o r h e r e a fte r im p o s e d o n th e p r in c ip a l o r in te r e s t t h e r e o f b y a n y S ta te , o r a n y o f th e p o s s e s s io n s o f th e U n it e d S ta te s , o r b y a n y lo c a l t a x in g a u th o r ity . F o r p u r p o s e s o f t a x a t io n th e a m o u n t o f d is c o u n t a t w h ic h T r e a s u r y b ills a re o r ig in a lly s o ld b y th e U n it e d S ta te s is c o n s id e r e d t o b e in te r e s t. U n d e r S e c t io n s 4 5 4 ( b ) a n d 1 2 2 1 (5 ) o f th e I n t e r n a l R e v e n u e C o d e o f 1954 th e a m o u n t o f d is c o u n t a t w h ic h b ills is s u e d h e r e u n d e r a r e s o ld is n o t c o n s id e r e d t o a c c r u e u n til s u c h b ills a re s o ld , r e d e e m e d o r o t h e r w is e d is p o s e d o f , a n d s u c h b ills a re e x c lu d e d f r o m c o n s id e r a t io n a s ca p ita l a ss e ts. A c c o r d i n g l y , th e o w n e r o f T r e a s u r y b ills ( o t h e r th a n life in s u r a n c e c o m p a n ie s ) is s u e d h e r e u n d e r n e e d in c lu d e in h is in c o m e t a x r e tu rn o n l y th e d iffe r e n c e b e t w e e n th e p r ic e p a id f o r s u c h b ills, w h e th e r o n o r ig in a l issu e o r o n s u b s e q u e n t p u r c h a s e , a n d th e a m o u n t a c t u a lly r e c e iv e d e ith e r u p o n sa le o r r e d e m p t io n a t m a tu r ity d u r in g th e t a x a b le y e a r f o r w h ic h th e r e tu r n is m a d e , as o r d in a r y g a in o r lo s s . T r e a s u r y D e p a r tm e n t C ir c u la r N o . 418, R e v is e d , a n d th is n o t ic e , p r e s c r ib e th e t e r m s o f th e T r e a s u r y b ills a n d g o v e r n th e c o n d it io n s o f th e ir issu e. C o p ie s o f th e c ir c u la r m a y b e o b t a in e d fr o m a n y F e d e r a l R e s e r v e B a n k o r B r a n c h . This Bank will receive tenders up to 1:30 p.m., Eastern Daylight Saving time,Wednesday, September 20,1961, atthe Securities Department of its Head Office and at its Buffalo Branch. Please use the form on the reverse side of this circular to submit a tender, and return itin the enclosed blue envelope marked “Tender for Treasury Bills— Tax Anticipation Series.” Tenders may be submitted by telegraph, subject to written confirmation; they may not be sub mitted by telephone. Settlement for accepted tenders must be made in cash or other immediately available funds, except that any qualified depositary may make payment by credit in itsTreasury Tax and Loan Account for Treasury bills allotted to it for itself and its customers, up to any amount for which it shall be qualified in excess of existing deposits. A lfred H ayes, President. ( over ) No................................. TENDER FOR 268-DAY TREASURY BILLS T O B E D E S I G N A T E D “T A X A N T I C I P A T I O N SERIES” Dated September 27, 1961 Maturing June 22, 1962 To F e d e r a l R e s e r v e B a n k o f N e w Y o r k , Fiscal Agent of the United States. Dated at .................... ...................... 1961 t Pursuant to the provisions of Treasury Department Circular No. 418, Revised, and to the provisions of the public notice issued by the Treasury Department and printed on the reverse side of this tender, the under signed hereby offers to purchase the above described Treasury bills in the amount indicated below, and agrees to make payment therefor at your Bank on or before the issue date atthe price indicated below: COMPETITIVE TENDER f D° not fiU in both Competitive and 1 NONCOMPETITIVE TENDER xjmti [_ Noncompetitive tenders on one form J $.................... (maturity value), or any lesser amount that may be awarded. Price:............. per 100. ‘w ^ w i j a r j s i x x i T i i $.................... (maturity value). (N ot to exceed $400,000 for one bidder through all sources) . At the averaSe Pnc« °f accepted competitive bids. (Price must be expressed with not more than three decimal places, for example, 99.925) Subject to allotment, payment for these billswill be made atyour Bank on September 27, 1961, by cash or other immediately available funds, or (in the case of a qualified depositary) by credit in Treasury Tax and Loan Account. Weherebyagreenottobuyortosell,ortomakeanyagreementswithrespecttothepurchaseorsale orotherdispositionofanybillsofthisissue,untilafterone-thirtyo’clockp.m.,EasternDaylightSavingtime, Wednesday,September20,1961. N am e o f su b scrib er (Please print) Insert this tender in blue envelope marked “ Tender for Treasury Bills — Tax Anticipation Series” By .................. ....................................................................................... B y (Official T itle signature (s ) required) .................................................................................. T itle A d d re ss ....................................................................................................................... (B a n k s su bm itting tenders f o r cu stom er a cco u n t m ust in d icate nam e on line b elow , o r atta ch a lis t) (N am e of customer) (N o t e . S u cce ssfu l bid d ers w ill r e ce iv e a letter o f instruction s fo r m w ith their allotm en t n otice to instruct us as t o the d isposition o f, and m eth od o f paym en t fo r , the bills a llotted t o th em .) IN S T R U C T IO N S : 1. No tender fo r less than $1,000 w ill be con sid ered , an d each tender m ust be f o r an even m u ltip le o f $1,000 (m a tu r ity v a lu e ). 2. O th ers than ba n k in g institutions w ill n o t be p erm itted to subm it tenders e x c e p t f o r their o w n accou n t. su bm itting tenders n on com p etitiv e fo r cu stom er a cco u n t tenders, p ro v id e d a list m ay is c o n solid a te attach ed com p etitiv e tenders B anks at the same price and m ay con solid a te s h o w in g the nam e o f each bid d er, the am ou n t b id fo r h is a ccou n t, and m eth od o f paym en t. F o rm s fo r this p u rp o se w ill b e fu rn ish ed o n r e q u e s t 3. If au th orized t o the p erson m a k in g th e tender is a c o rp o r a tio n , the tender sh ould be signed b y an officer o f the c o rp o r a tio n m ake the tender, an d the sig n in g o f th e ten d er b y an officer o f the c o r p o r a tio n w ill b e c on stru ed as a represen tation b y h im that he has been s o au th orized . I f th e tender is m ade b y a partnership, it sh ou ld b e sig n ed b y a a m em ber o f the firm , w h o sh ould sign in the fo r m “ ........................................................................................................... .................................................................................................................. . 4. sible and T e n d e rs w ill r e co g n iz e d be r e ce iv e d dealers in 2 p ercen t o f the fa c e am oun t o f w ith o u t investm ent d ep osit a copa rtn ersh ip, by m em ber o f the firm .” fr o m securities. in corp ora ted T en d e rs fr o m banks oth ers and tru st m ust be com p an ies an d a ccom p an ied by fr o m resp on p ay m en t of T re a s u r y bills ap p lied fo r , unless the tenders are a ccom p a n ied b y an ex p ress g u a ra n ty o f p a y m e n t b y a n in c o r p o r a t e d b a n k o r tru s t c o m p a n y . 5. If the lan gu ag e of this tender is ch a n g ed T re a su ry , is m aterial, the tender m ay be disregard ed . in any respect, w h ich , in the op in ion of the S e cre ta ry of the F ed eral R eserv e B ank of N ew Y o rk NOTICE OF ALLOTMENT OF UNITED STATES OF AMERICA TREASURY BILLS TAX ANTICIPATION SERIES September 21, 1961. Your □ competitive □ noncompetitive tender for— UNITED STATES OF AMERICA 268-DAY TREASURY BILLS— T A X ANTICIPATION SERIES DATED SEPTEMBER 27, 1961, DUE JUNE 22, 1962 (per 100), in the amount of— has been accepted at the price of $ (maturity value) Settlement therefor must be made in cash or other immediately available funds at the Federal Reserve Bank of N e w York on or before September 27, 1961. However, a qualified deposi tary may make settlement by credit to its Treasury Tax and Loan Account, provided the advice of deposit on the enclosed letter of instructions form is executed and returned immediately. If settlement is to be made by check on a bank other than the Federal Reserve Bank of New York, such check should be received by us in time for collection on September 27, 1961; otherwise it will be necessary for the bidder to pay for the securities allotted at the accepted price, plus interest to the date of collection at the equivalent rate of discount. On the enclosed letter of instructions form, please fillin instructions as to payment and dis position for the of Treasury bills of this issue awarded to you, and return the letter immediately to our Government Bond Division. totalamount F e d er al R eserve B a n k of New Y ork Fiscal Agent of the United States Checked by P E N D I N G D E L I V E R Y T I C K E T F O R G O V E R N M E N T B O N D DIVISION 2 □ competitive □ noncompetitive UNITED STATES OF AMERICA 268-DAY TREASURY BILLS— T A X ANTICIPATION SERIES DATED SEPTEMBER 27, 1961, DUE JUNE 22, 1962 price of PRINCIPAL MASTER MATURITY VALUE PRINCIPAL DISPOSITION □ Over the Counter □ Safekeeping SPLIT DISPOSITION METHOD OF PAYMENT □ Treas. T . & L. A cc. □ Reserve Account □ Check or Cash □ Delivery Teller □ Ship □ Treasury Tax & Loan □ Foreign Oper. Div. □ Allotment Transfer □ Form 12 A L L O T M E N T N O T I C E F O R SECURITIES D E P A R T M E N T □ competitive □ noncompetitive UNITED STATES OF AMERICA 268-DAY TREASURY BILLS— T A X ANTICIPATION SERIES DATED SEPTEMBER 27, 1961, DUE JUNE 22, 1962 price of $ A L L O T M E N T N O T I C E F O R S E C U R I T Y FILES □ competitive □ noncompetitive UNITED STATES OF AMERICA 268-DAY TREASURY BILLS— T A X ANTICIPATION SERIES DATED SEPTEMBER 27, 1961, DUE JUNE 22, 1962 price of kcfi !er °* instructions, accompanied by attached duplicate copy, should be tilled in for the total amount o f Treasury bills o f this issue awarded, and returned to Federal Reserve Bank of New Y ork) LETTER OF INSTRUCTIONS T o F e d e r a l R eserve B a n k of N e w Y o rk , Fiscal Agent of tlie United States, Federal Reserve P. 0. Station, New York 45, N. Y. Attention: Government Bond Division— 2nd Floor Dated at.... 1961 On our competitive and noncompetitive tenders for— UNITED STATES OF AMERICA 268-DAY TREASURY BILLS— TAX ANTICIPATION SERIES DATED SEPTEMBER 27, 1961, DUE JUNE 22, 1962 accepted in tlie aggregate amount of— $ (maturity value) Please issue and make delivery of the bills as instructed below: P ieces D en om ination $ M atu rity Value P l e a s e D o N ot U s e T h i s S p a c e 1 ,0 0 0 5,000 10,000 100,000 500,000 1,000,000 Totals— □ 1. Deliver over the counter to the undersigned □ 2. Ship to the undersigned □ 3. Hold in safekeeping (for account of member bank only) □ 4. Hold as collateral for Treasury Tax and Loan Account □ 5. Special instructions: Payment will be made as follows: □ By charge to our reserve account □ By cash or other immediately available funds □ By credit to Treasury Tax and Loan Account on our books as indicated on the attached Advice of Deposit (Nochangesindeliveryinstructionswillbeaccepted) The undersigned (if a bank or tru«t company) hereby certifies that the Treasury bills which you are hereby instructed to dispose o f in the manner indicated in item numbered 3 or 4 above are owned solely by the undersigned. This letter o f instructions must be signed officially in the space provided and returned immediately to Federal Reserve Bank o f New York, Subm itted by (Please print) ...... . By ..... By ............ T itle (Authorized signature (a) required) ................................................................................. T itle F isca l A g en t o f the U nited States. A d d r e s s ............................................................................................................ (Spaces below are for the use of the Federal Reserve Bank of New York) S afek eepin g D ivision Governm ent B on d D ivision D eliver ag ain st paym ent o f D E L I V E R Y R E C E IP T R eceived fr o m F ed eral Reserve B an k o f N ew Y ork , F isca l A g en t o f the U nited States, the above described securities allotted in the amount in d ica ted above. WT if payment is to be made by credit to Treasury Tax and Loan Account, an advice of the deposit should be furnished this Bank on the form below. Advice of Deposit in Treasury Tax and Loan Account To Federal Reserve Bank of New York Government Bond Division We will deposit on September 27, 1961, $ (purchase price) to the credit of the Federal Reserve Bank of New York, Fiscal Agent of the United States, in the Treasury Tax and Loan Account, to be held subject to withdrawal on demand in payment for $ (maturity value) 268-day Tax Anticipation Treasury bills dated September 27, 1961, due June 22, 1962. (Nam e of depositary) A ddress (C ity and State) (DUPLICATE F O R USE OF F E D E R A L R E S E R V E F A N K O F N E W YORK) LETTER OF INSTRUCTIONS To F e d e r a l R e s e r v e B a n k o f N e w Y o r k , Fiscal Agent of the United States, Federal Reserve P. 0. Station, New York 45, N. Y. Attention: Government Bond Division— 2nd Floor Dated at..... .1961 On our competitive and noncompetitive tenders for— UNITED STATES OF AMERICA 268-DAY TREASURY BILLS— T A X ANTICIPATION SERIES DATED SEPTEMBER 27, 1961, DUE JUNE 22, 1962 accepted in the aggregate amount of— $ (maturity value) Please issue and make delivery of the bills as instructed below: P ie ce s D en om in a tion $ P l e a s e D o N ot U s e T h i s S pace M a tu r ity V a lu e 1,000 5,000 10,000 100,000 500,000 1 ,000,000 Totals— □ 1. Deliver over the counter to the undersigned □ 2. Ship to the undersigned □ 3. Hold in safekeeping (for account of member bank only) □ 4. Hold as collateral for Treasury Tax and Loan Account □ 5. Special instructions: Payment will be made as follows: □ By charge to our reserve account □ By cash or other immediately available funds □ By credit to Treasury Tax and Loan Account on our books as indicated on the attached Advice of Deposit (Nochangesindeliveryinstructionswillbeaccepted) The undersigned (i f a bank or trust company) hereby certifies that the Treasury bills which you are hereby instructed to dispose o f in the manner indicated in item numbered 3 or 4 above are owned solely by the undersigned. This letter o f instructions must be signed officially in the space provided and returned immediately to Federal Reserve Bank o f New York, S u b m itted b y (Please print) By ..... By (Authorized signature(s) required) ........................ T itle T itle ................... F is c a l A g e n t o f th e U n ite d States. A d d r e s s ................................................................................................................. (Spaces below are for the use o f the Federal Reserve Bank o f New Y ork) S a fe k e e p in g D iv isio n G overn m en t B o n d D iv isio n Payment received ....... C h e c k e d .. Deliver against payment of $. D e liv e r e d . D E L IV E R Y R E C E IP T R e ce iv e d fr o m F e d e r a l R eserve B a n k o f N ew Y o rk , F is c a l A g e n t o f th e U n ited S ta tes, the a b ov e d escrib ed secu rities a llo tte d in the am ou n t in d ic a te d a b ove . Date................... Subscriber............................... By............................ Federal Reserve Bank o f N e w York Securities D e p a r t m e n t (9 t h Floor) 33 Li b e r t y Street T E N D E R F O R T R E A S U R Y BILLS T A X ANTICIPATION SERIES ,<DO NOT USB TH IS ENVELOPE FOR OTHER PURPOSES) N e w Y o r k 45, N . Y .
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