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FEDERAL RESERVE BANK
OF NEW YORK
Fiscal Agent of the United States

Circular No. 1888
October 24, 1938

Reconstruction Finance Corporation 7/$ Percent Notes of Series P,
Due November 1, 1941
Dated and bearing interest from November 1,1938
FULLY AND UNCONDITIONALLY GUARANTEED BOTH AS TO INTEREST AND PRINCIPAL BY THE
UNITED STATES, WHICH GUARANTY IS EXPRESSED ON THE FACE OF EACH NOTE
Exempt both as to principal and interest from all taxation (except surtaxes, estate, inheritance, and gift taxes) now
or hereafter imposed by the United States, by any Territory, dependency, or possession thereof,
or by any State, county, municipality, or local taxing authority
To all Banking Institutions and Others Concerned in the
Second Federal Reserve District:

The following press statement was today made public:
The Secretary of the Treasury, on behalf of the Reconstruction Finance Corporation,
today announced the plan for refinancing the outstanding notes of Series K of the corporation maturing December 15, 1938, through offering for subscription, at par, through the
Federal Reserve banks, notes of the corporation, designated % percent notes of Series P,
and at the same time offering to purchase on November 1, 1938, at par and accrued interest,
the outstanding notes of Series K, maturing December 15, 1938, to the extent the holders of
such maturing notes subscribe for the new notes. The amount of the present offering of notes
of Series P will be limited to the amount of Series K notes tendered for purchase.
The notes of Series P now offered will be dated November 1, 1938, and will bear interest
from that date at the rate of % percent per annum payable semiannually. They will mature
on November 1, 1941, and will not be subject to call for redemption prior to maturity. They
will be issued only in bearer form with coupons attached, in denominations of $1,000, $5,000,
$10,000 and $100,000.
The notes will be fully and unconditionally guaranteed both as to interest and principal
by the United States. They will be exempt bo,th as to principal and interest from all taxation
(except surtaxes, estate, inheritance, and gift taxes) now or hereafter imposed by the United
States, by any Territory, dependency, or possession thereof, or by any State, county, municipality, or local taxing authority.
Subscriptions will be received at the Federal Reserve banks and branches and at the
Treasury Department, Washington; they will not be received at the Reconstruction Finance
Corporation. Banking institutions generally may submit subscriptions for account of customers,
but only the Federal Reserve banks and the Treasury Department are authorized to act as
official agencies. Subscriptions should be accompanied by a like face amount of notes of Series K
tendered for purchase, the principal proceeds of which will be applied to payment for
Series P notes. Notes of Series K so tendered must have the coupon maturing December 15,
1938, attached, and accrued interest from June 15 to November 1,1938, about $5.70 for $1,000,
will be paid to the subscriber following acceptance of the notes.
The right is reserved to close the books as to any or all subscriptions or classes of subscriptions at any time without notice. Subject to the reservations set forth in the official circular
all subscriptions will be allotted in full.
About $298,972,000 Series K notes of the Reconstruction Finance Corporation will mature
December 15, 1938. The present offering affords the holders of these notes an opportunity to
acquire other notes of the corporation. Any notes of Series K not now tendered will be paid
in cash when they mature.

The terms of this offering are set forth in Treasury Circular No. 597, dated October 24,
1938, a copy of which is printed on the following pages. The subscription books are now open,
and applications will be received by this bank asfiscalagent of the United States. Subscriptions
will be received at the Government Bond Department of this bank (2nd floor, 33 Liberty Street,
New York City) or at the Buffalo Branch of this bank (272 Main Street, Buffalo, New York).
Subscriptions should be made on official subscription blanks and mailed immediately, or if filed
by telegram or letter, should be confirmed immediately by mail on the blanks provided.




GEORGE L. HARRISON,

President.

RECONSTRUCTION FINANCE CORPORATION
yg PERCENT NOTES OF SERIES P, DUE NOVEMBER 1, 1941
Dated and bearing interest from November 1, 1938
FULLY AND UNCONDITIONALLY GUARANTEED BOTH AS TO INTEREST AND PRINCIPAL BY THE
UNITED STATES, WHICH GUARANTY IS EXPRESSED ON THE FACE OF EACH NOTE
Exempt both as to principal and interest from all taxation (except surtaxes, estate, inheritance, and gift taxes) now
or hereafter imposed by the United States, by any Territory, dependency, or possession thereof,
or by any State, county, municipality, or local taxing authority
1938

Department Circular No. S97
Public Debt Service

TREASURY DEPARTMENT,
OFFICE OF THE SECRETARY,
__

, .

.

_ , ,

-•„_„„

Washington, October 24,1938.

I. OFFERING OF NOTES AND INVITATION FOR TENDERS
1. The Secretary of the Treasury, on behalf of the Reconstruction Finance Corporation,
invites subscriptions, at par, from the people of the United States for notes of the Reconstruction
Finance Corporation, designated % percent notes of Series P.
2. The Secretary of the Treasury, on behalf of the Reconstruction Finance Corporation,
offers to purchase on November 1, 1938, at par and accrued interest, the outstanding notes of
the corporation designated Series K, maturing December 15, 1938, to the extent to which the
holders thereof subscribe to the issue of Series P notes hereunder. Tenders of Series K notes
for that purpose are invited.
3. The amount of the offering of Series P notes under this circular will be limited to the
amount of Series K notes tendered for purchase in accordance herewith.
II. DESCRIPTION OF NOTES
1. The notes will be dated November 1, 1938, and will bear interest from that date at the
rate of % percent per annum, payable semiannually on May 1 and November 1 in each year until
the principal amount becomes payable. They will mature November 1, 1941, and will not be
subject to call for redemption prior to maturity.
2. The notes will be issued under authority of an act of Congress (known as "Reconstruction Finance Corporation Act") approved January 22, 1932, as amended and supplemented,
which provides that the notes shall be fully and unconditionally guaranteed both as to interest
and principal by the United States and such guaranty shall be expressed on the face thereof;
and that they shall be exempt both as to principal and interest from all taxation (except surtaxes, estate, inheritance, and gift taxes) now or hereafter imposed by the United States, by any
Territory, dependency, or possession thereof, or by any State, county, municipality, or local
taxing authority. These notes shall be lawful investments, and may be accepted as security, for
all fiduciary, trust, and public funds the investment or deposit of which shall be under the
authority or control of the United States or any officer or officers thereof.
3. The authorizing act further provides that in the event the Reconstruction Finance Corporation shall be unable to pay upon demand, when due, the principal of or interest on notes
issued by it, the Secretary of the Treasury shall pay the amount thereof, which is authorized to
be appropriated, out of any moneys in the Treasury not otherwise appropriated, and thereupon




to the extent of the amounts so paid the Secretary of the Treasury shall succeed to all the rights
of the holders of such notes.
4. The notes will be acceptable to secure deposits of public moneys, but will not bear the
circulation privilege.
5. Bearer notes with interest coupons attached will be issued in denominations of $1,000,
$5,000, $10,000 and $100,000. The notes will not be issued in registered form.
III. SUBSCRIPTION AND ALLOTMENT
1. Subscriptions will be received at the Federal Reserve banks and branches and at the
Treasury Department, Washington, and should be accompanied by notes of Series K tendered
for purchase, to a par amount equal to the par amount of notes of Series P subscribed for.
Banking institutions generally may submit subscriptions for account of customers, but only the
Federal Reserve banks and the Treasury Department are authorized to act as official agencies.
The Secretary of the Treasury reserves the right to close the books as to any or all subscriptions
or classes of subscriptions at any time without notice.
2. The Secretary of the Treasury reserves the right to reject any subscription, in whole or
in part, to allot less than the amount of notes applied for, to make allotments in full upon applications for smaller amounts and to make reduced allotments upon, or to reject, applications for
larger amounts, or to adopt any or all of said methods or such other methods of allotment and
classification of allotments as shall be deemed by him to be in the public interest; and his action
in any or all of these respeets shall be final. Subject to these reservations, all subscriptions will
be allotted in full. Allotment notices will be sent out promptly upon allotment.
IV. PAYMENT
1. Payment at par for notes subscribed for hereunder must be made on or before November 1,
1938, or on later allotment. Notes of Series K tendered for purchase must have coupons dated
December 15, 1938, attached, and payment will be made at par and accrued interest to
November 1, 1938. The principal proceeds of the Series K notes will be applied in payment
of the Series P notes, and accrued interest from June 15, 1938, to November 1, 1938, on Series K
notes ($5.696721 per $1,000) will be paid following acceptance of the notes.
V. GENERAL PROVISIONS
1. As fiscal agents of the United States, Federal Reserve banks are authorized and requested
to receive subscriptions, to make allotments on the basis and up to the amounts indicated by the
Secretary of the Treasury to the Federal Reserve banks of the respective districts, to issue allotment notices, to receive payment for notes allotted, to make delivery of notes on full-paid subscriptions allotted, and they may issue interim receipts pending delivery of the definitive notes.
2. The Secretary of the Treasury may at any time, or from time to time, prescribe supplemental or amendatory rules and regulations governing the offering, which will be communicated
promptly to the Federal Reserve banks.




HENRY MORGENTHAU, Jr.,
Secretary of the Treasury.

NR-RFC

ORIGINAL

NON-NEGOTIABLE RECEIPT
For Reconstruction Finance Corporation Obligations as Mentioned Below
Number

Issued to.

Date

Street.
Town

State.

Receipt is hereby acknowledged of $
par amount 1% Percent Eeconstruction Finance Corporation Notes of Series K,
maturing December 15, 1938, tendered for purchase by the Secretary of the Treasury, the principal proceeds of which are to cover payment of a like
amount of % Percent Reconstruction Finance Corporation Notes of Series P, maturing November 1, 1941, subscribed for and allotted in full subject
to the terms of Treasury Department Circular No. 597, dated October 24, 1938. If such new notes are to be delivered at the Federal Reserve Bank of
New York over the counter to your representative the "authority to deliver" set forth below should be duly executed and returned to us.
FEDERAL RESERVE BANK OF NEW YORK

Fiscal Agent of the United States.
Date Received

Mail Sheet No.

Refer to your letter dated

No.

Teller
DELIVERY RECEIPT

AUTHORITY TO DELIVER
FEDERAL RESERVE BANK OP N E W YORK

Fiscal Agent of the United States.
You are hereby authorized to deliver to

Received from the Federal Reserve Bank of New York Reconstruction Finance Corporation obligations at par in the amount and
as indicated in the above non-negotiable receipt.

(Name of representative)

whose signature appears below $
par amount
of Reconstruction Finance Corporation obligations subscribed for and
allotted in full as indicated in the above non-negotiable receipt.
Name

(Please print)

By
(Official signature required)
(Signature of authorized representative)




Date

DUPLICATE

FILE COPY OF NON-NEGOTIABLE RECEIPT
For Reconstruction Finance Corporation Obligations as Mentioned Below
Number

Issued to.
Street.
Town

Date
_

State.

Receipt is hereby acknowledged of $
par amount 1% Percent Reconstruction Finance Corporation Notes of Series K,
maturing December 15, 1938, tendered for purchase by the Secretary of the Treasury, the principal proceeds of which are to cover payment of a like
amount of % Percent Reconstruction Finance Corporation Notes of Series P, maturing November 1, 1941, subscribed for and allotted in full subject
to the terms of Treasury Department Circular No. 597, dated October 24, 1938. If such new notes are to be delivered at the Federal Reserve Bank of
New York over the counter to your representative the "authority to deliver" set forth below should be duly executed and returned to us.
FEDERAL RESERVE BANK OF NEW YORK

Date Received
Refer to your letter dated




Fiscal Agent of the United States.

Mail Sheet No.
No.

Teller

EA-RFC-N
FEDEEAL EESERVE B A N K OP N E W YOEK

Fiscal Agent of the United States
SUBSCRIPTION FOR RECONSTRUCTION FINANCE CORPORATION % PERCENT
NOTES OF SERIES P, DATED NOVEMBER 1, 1938, DUE NOVEMBER 1, 1941.
Dated at.
FEDERAL RESERVE BANK OF NEW YORK,

.1938

Fiscal Agent of the United States,
New York, N. Y.
)EAR SIRS :

Subject to the provisions of Treasury Department Circular No. 597, dated October 24, 1938, the undersigned hereby
subscribes for notes of the Reconstruction Finance Corporation designated % percent notes of Series P, dated November 1,
1938, as follows:
For own account

$

For our customers (for use of banking institutions) as shown on attached list

$

Total, face amount,

$

and tenders herewith for purchase at par and accrued interest by the Secretary of the Treasury, on behalf of the Reconstruction Finance Corporation, a like face amount of notes of the corporation designated Series K, maturing December 15,
1938, with December 15, 1938 coupons attached, the principal proceeds to cover payment of notes of Series P subscribed
for and allotted, and requests that the difference representing accrued interest from June 15, 1938 to November 1, 1938 be
paid to the undersigned upon acceptance of the Series K notes and that such payment be disposed of as follows:
By check to

•

By credit to our Reserve account •

By credit to our account with

Notes of Series K tendered for purchase by
the Secretary of the Treasury are, as indicated
below,—

Issue notes of Series P allotted on this subscription in the denominations and amounts as indicated below:
Number of Pieces

Denominations

•

Leave this Space Blank

Par Amount

Delivered to you herewith
X

X

X X

::: r; •

X

X

X X

X X

X X

X

X

X X

X X

$

X X

To be withdrawn by you from
our account in the
Government Bond Department (War
Loan Deposit Account)

10,000
X X

X

X

X

X

X X

$

Discount Department

5,000

: : : : : : :

$

Safekeeping Department

$1,000

$

To be delivered to you for our
account by

X X

100,000

$

Total
Hold or dispose of the securities allotted on this subscription in the amounts and as indicated below:
1. Hold for safekeeping (for member bank only)

$

2. Hold as collateral security for War Loan Deposit Account

$

3. Deliver to your Discount Department

$

4. Deliver over counter to the undersigned

$

5. Ship to the undersigned

$

6. Deliver as requested in the following special instructions

$
Dispose of such
payment as follows

Against
payment of

Par amount

TO

Credit our reserve account
$

We hereby certify (a) that such securities as you are instructed to hold or to deliver, as indicated in items numbered 1 and 3
above, are the sole property of the undersigned bank or trust company; (6) that such securities as are hereby pledged, as indicated
in item numbered 2 above, are either the sole property of the undersigned bank or trust company or are the property of its customers
who have authorized the undersigned bank or trust company in writing to cause their said securities to be so pledged; and (c) that
such securities as you are instructed to deliver, as indicated in item numbered 6 above, are either the sole property of the undersigned
bank or trust company or are the property of its customers who have authorized the undersigned bank or trust company in writing to
cause their said securities to be so delivered.
Before Signing Fill in All Bequired Spaces

Name

TO SUBSCRIBER:
Mark (X) in proper space to indicate if this is:

(Please print)

Sign here

(Official signature required)

Original subscription

Q

Confirmation of a telegram

Q

Street Address....

Confirmation of a letter

Q

Town and State

Spacea below are for the use of the Federal Reserve Bank of New York
Paid Stamp

Eeleased
Taken from Vault.
Counted

Delivery Eeceipt
Received from FEDERAL RESERVE BANK OF N E W YORK the above described

Amount

Reconstruction Finance Corporation notes of Series P in the amount indicated
above.

Checked
Delivered....



Subscriber.
By.

Date.

By.

List of customers' subscriptions and tenders entered and certified
by
(Name of bank or trust company)

Post office address

Name of Customer
(Please print or use typewriter)




Address

State.

Amount

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