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FEDERAL RESERVE BANK OF NEW YORK
Fiscal A g e n t

•s

of

the United

States

[ sSembe^i.^s ]

Public Notice of Offering of $1,300,000,000, or thereabouts, of 91-Day Treasury Bills
Dated September 27, 1945

Maturing December 27, 1945

To all Incorporated Banks and Trust Companies in the
Second Federal Reserve District and Others
Concerned:
F o l l o w i n g is the t e x t of a n o t i c e t o d a y m a d e p u b l i c b y the T r e a s u r y D e p a r t m e n t w i t h respect t o a n e w o f f e r i n g of T r e a s u r y
bills p a y a b l e a t m a t u r i t y w i t h o u t i n t e r e s t t o b e s o l d o n a d i s c o u n t b a s i s u n d e r c o m p e t i t i v e a n d
fixed-price
bidding.
FOR RELEASE, MORNING NEWSPAPERS,
Friday, September 21, 1945.

TREASURY DEPARTMENT
Washington

The Secretary of the Treasury, by this public notice, invites tenders for $1,300,000,000, or thereabouts, of 91-day Treasury
bills, to be issued on a discount basis under competitive and fixed-price bidding as hereinafter provided. The bills of this
series will be dated September 27, 1945, and will mature December 27, 1945, when the face amount will be payable without interest.
They will be issued in bearer form only, and in denominations of $1,000, $5,000, $10,000, $100,000, $500,000, and $1,000,000
(maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the closing hour, two o'clock p.m., Eastern
war time, Monday, September 24, 1945. Tenders will not be received at the Treasury Department, Washington. Each tender
must be for an even multiple of $1,000, and the price offered must be expressed on the basis of 100, with not more than
three decimals, e. g., 99.925. Fractions may not be used. It is urged that tenders be made on the printed forms and forwarded
in the special envelopes which will be supplied by Federal Reserve Banks or Branches on application therefor.
Tenders will be received without deposit from incorporated banks and trust companies and from responsible and
recognized dealers in investment securities. Tenders from others must be accompanied by payment of 2 percent of the
face amount of Treasury bills applied for, unless the tenders are accompanied by an express guaranty of payment by an
incorporated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal Reserve Banks and Branches, following which
public announcement will be made by the Secretary of the Treasury of the amount and price range of accepted bids. Those
submitting tenders will be advised of the acceptance or rejection thereof. The Secretary of the Treasury expressly reserves
the right to accept or reject any o r all tenders, in whole or in part, and his action in any such respect shall be final. Subject
to these reservations, tenders for $200,000 or less f r o m any one bidder at 99.905 entered on a fixed-price basis will be accepted
in full. Payment of accepted tenders at the prices offered must be made or completed at the Federal Reserve Bank in cash
or other immediately available funds on September 27, 1945.
N

N

The income derived from Treasury bills, whether interest or gain from the sale or other disposition of the bills, shall
not have any exemption, as such, and loss from the sale or other disposition of Treasury bills shall not have any special
treatment, as such, under Federal tax Acts now or hereafter enacted. The bills shall be subject to estate, inheritance, gift,
or other excise taxes, whether Federal or State, but shall be exempt from all taxation now or hereafter imposed on the
principal or interest thereof by any State, or any of the possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury bills are originally sold by the United States shall be
considered to be interest. Under Sections 42 and 117 (a) (1) of the Internal Revenue Code, as amended by Section 115 of
the Revenue Act of 1941, the amount of discount at which bills issued hereunder are sold shall not be considered to accrue
until such bills shall be sold, redeemed or otherwise disposed of, and such bills are excluded from consideration as capital
assets. Accordingly, the owner of Treasury bills (other than life insurance companies) issued hereunder need include in
his income tax return only the difference between the price paid f o r such bills, whether on original issue or on subsequent
purchase, and the amount actually received either upon sale or redemption at maturity during the taxable year for which
the return is made, as ordinary gain or loss.
Treasury Department Circular No. 418, as amended, and this notice, prescribe the terms of the Treasury bills and
govern the conditions of their issue. Copies of the circular may be obtained from any Federal Reserve Bank or Branch.
I n a c c o r d a n c e w i t h the a b o v e a n n o u n c e m e n t t e n d e r s w i l l b e r e c e i v e d a t t h e S e c u r i t i e s D e p a r t m e n t o f t h i s b a n k ( 9 t h
floor, 3 3 L i b e r t y S t r e e t ) N e w Y o r k 7 , N . Y . , o r at t h e B u f f a l o B r a n c h o f t h i s b a n k ( 2 7 0 M a i n S t r e e t ) B u f f a l o 5, N . Y . ,
u p t o t w o o ' c l o c k p . m . , E a s t e r n w a r t i m e , o n M o n d a y , S e p t e m b e r 24, 1945. I t is r e q u e s t e d t h a t t e n d e r s b e s u b m i t t e d
o n special f o r m p r i n t e d o n r e v e r s e side a n d r e t u r n e d in s p e c i a l e n v e l o p e e n c l o s e d h e r e w i t h . Payment
for the
Treasury
bills cannot be made by credit through
the War Loan Deposit
Account.
Payment
must be made in cash or other
immediately available
funds.
ALLAN SPROUL,
President.
(Extract
from Treasury
results after tenders were

Department
opened for

statement
Treasury
bil

Total applied f o r

$2,093,607,000

Total accepted

$1,306,649,000 (includes $54,560,000
entered on a fixed-price basis at
99.905 and accepted in full)

Average price . . . 99.905+

Equivalent rate of discount
approx. 0.375% per annum

Range of accepted competitive b i d s :
High

99.910

Equivalent rate of discount
approx. 0.356% per annum

Low

99.905

Equivalent rate of discount
approx. 0.376% per annum

(57 percent of the amount bid f o r at the low price

was accepted)



leased for publication
September
18, 1945,
dated September
20,1945
maturing
December
Federal Reserve
District
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
Total

announcing
20,
1945)

Total
Applied for
$

18,975,000
1,526,353,000
35,416,000
16,420,000
14,730,000
9,206,000
312,599,000
32,630,000
20,555,000
25,430,000
8,960,000
72,333,000

$2,093,607,000

Total
Accepted
$

11,708,000
923,407,000
26,773,000
16,420,000
12,107,000
8,956,000
188,306,000
25,148,000
13,890,000
20,485,000
7,971,000
51,478,000

$1,306,649,000
(OVER)

13 Z
I M P O R T A N T — I f it is desired to b i d o n a competitive basis, fill in rate per 100 and
maturity value in paragraph beaded "Competitive B i d " . If it is desired to b i d on a fixedprice basis, fill in only tbe maturity value in paragraph headed "Fixed-Price B i d " .
DO NOT fill in both paragraphs on one form. A separate tender must be used for each bid.
No

TENDER FOR 91-DAY TREASURY BILLS
Dated September 27, 1945.

Maturing December 27, 1945.
Dated at
1945

T o FEDERAL RESERVE B A N K OF N E W Y O R K ,

Fiscal Agent of the United States.
COMPETITIVE BID

FIXED-PRICE BID

Pursuant to the provisions of Treasury
Department Circular No. 418, as amended, and
to the provisions of the public notice on
September 21, 1945, as issued by the Secretary of
the Treasury, the undersigned offers to pay

Pursuant to the provisions of Treasury
Department Circular No. 418, as amended, and to
the provisions of the public notice on September
21, 1945, as issued by the Secretary of the Treasury, the undersigned offers to pay a fixed-price
of 99.905 (rate per 100) for a total amount of

(Rate per 100)

* for a total amount of

$
(maturity value)
of the Treasury bills therein described, or f o r
any less amount that may be awarded, payment
therefor to be made at your bank in cash or other
immediately available funds on the date stated
in the public notice.

$

( N o t to e x c e e d $200,000)

(maturity value)

of the Treasury bills therein described, payment
therefor to be made at your bank in cash or other
immediately available funds on the date stated
in the public notice.

The Treasury bills for which tender is hereby made are to be dated September 27, 1945, and are to mature
on December 27, 1945.
This tender will be inserted in special envelope
Name of

entitled "Tender

Bidder.

By

for Treasury

bills."

(Please print)

(Official signature required)

(Title)

Street A d d r e s s

(City, T o w n or V i l l a g e , P.O. No., and State)

If this tender is submitted for the account of a customer, indicate the customer's name on line below:

(Name of Customer)

( C i t y , T o w n or V i l l a g e , P.O. No., and State)

Use a separate tender for each customer's bid.

IMPORTANT

INSTRUCTIONS:

1. N o tender f o r less than $1,000 will be considered, and each tender must be f o r an even multiple of
$1,000 (maturity v a l u e ) . A separate tender must be executed f o r each bid.
2. If the person m a k i n g the tender is a corporation, the tender should be signed by an officer of the corporation
authorized to make the tender, and the signing of the tender by an officer of the corporation will be construed as a representation by him that he has been so authorized. If the tender is made by a partnership, it should be signed by a m e m ber of the firm, w h o should sign in the f o r m "
a copartnership, by
a member of the firm."
3. Tenders will be received without deposit f r o m incorporated banks and trust companies and f r o m responsible and recognized dealers in investment securities. Tenders f r o m others must be accompanied b y payment of
2 percent of the face amount of T r e a s u r y bills applied for, unless the tenders are accompanied by an express guaranty
of payment by an incorporated bank o r trust company.
4. If the language of this tender is changed in any respect, which, in the opinion of the Secretary of the
Treasury, is material, the tender may be disregarded.

Payment by credit through War Loan Deposit Account will not be permitted.

TENTB-795-a


* Price must be expressed on the basis of 100, with not more than
three decimal places. Fractions may not be used.
(OVER)

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