The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
F E D E R A L R E S E R V E BANK OF NEW YORK F i s c a l A g e n t of t h e U n i t e d States [Circular No. 26761 L August 27, 1943 J Public Notice of Offering of $1,000,000,000. or thereabouts, of 91-Day Treasury Bills Dated September 2, 1943 Maturing December 2, 1943 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 t h e t e x t of a n o t i c e t o d a y m a d e public b y t h e T r e a s u r y D e p a r t m e n t w i t h r e s p e c t t o a new offering 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 sold on a d i s c o u n t basis u n d e r c o m p e t i t i v e a n d fixed-price bidding. TREASURY DEPARTMENT Washington FOR RELEASE, MORNING NEWSPAPERS, Friday, August 27, 1943. The Secretary of the Treasury, by this public notice, invites tenders for 51,000,000,000, 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 2, 1943, and will mature December 2, 1943, 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, August 30, 1943. 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 or all tenders, in whole or in part, and his action in any such respect shall be final. Subject to these reservations, tenders for §100,000 or less from 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 2, 1943. T h e 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 for 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 t h e a b o v e a n n o u n c e m e n t t e n d e r s will be 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 of this 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 C i t y ) o r a t t h e Buffalo B r a n c h of this b a n k ( 2 7 2 M a i n Street, Buffalo, N e w Y o r k ) up t o two o'clock p.m., E a s t e r n w a r time, on M o n d a y , August 30, 1943. 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 on r e v e r s e side a n d r e t u r n e d in special envelope enclosed herewith. Attention the War Loan is invited Deposit to the fact Account. that Payment payment must for be made the Treasury bills cannot be made in cash or other immediately by credit available through funds. ALLAN SPROUL, President. (OTtt) 9V I M P O R T A N T — I t will be noted that the offering is for 91-day Treasury bills. If it is desired to bid on a competitive basis, fill in rate per 100 and maturity value in paragraph headed "Competitive Bid". If it is desired to bid on a fixed-price basis, fill in only the maturity value in paragraph headed "Fixed-Price Bid." 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 2, 1943. Maturing December 2, 1943. Dated at To THE FEDERAL RESERVE B A N K OF N E W F i s c a l A g e n t of the United States, New Y o r k City, N . Y . YORK, .1943 COMPETITIVE BID FIXED-PRICE BID P u r s u a n t to the provisions of T r e a s u r y Department Circular No. 4 1 8 , as amended, and to the provisions of the public notice on August 2 7 , 1943, as issued by the S e c r e t a r y of the T r e a s u r y , the undersigned offers to pay ( R a t e per 100) $ of the T r e a s u r y bills any less amount that t h e r e f o r to be made at immediately available in the public notice. * for a total amount of (maturity value) therein described, or f o r may be awarded, payment your bank in cash or other funds on the date stated Pursuant to the provisions of Treasury Department Circular No. 4 1 8 , as amended, and to the provisions of the public notice on August 27, 1943, as issued by the Secretary of the Treasury, the undersigned offers to pay a fixed-price of 9 9 . 9 0 5 ( r a t e per 1 0 0 ) f o r a total amount of $ (maturity value) (Not to exceed $100,000) of the T r e a s u r y 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. T h e T r e a s u r y bills for which tender is hereby made are to be dated September 2, 1943, and are to mature on December 2, 1943. This tender will be inserted in special envelope entitled "Tender for Treasury Name of Bidder. By bills." (Please print) (Official signature required) (Title) Street Address (City, Town or Village, l'.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) (City, Town or Village, P.O. No. and State) Use a separate tender for each customer's bid. IMPORTANT INSTRUCTIONS: 1. No tender for less than $1,000 will be considered, and each tender must be for an even multiple of $1,000 (maturity value). A separate tender must be executed for each bid. 2. If the person making 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 member of the firm, who should sign in the form " a copartnership, by a member of the firm." 3. 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. 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 TENTB-G87-a by credit through War Loan Deposit Account will not be / permitted. * Price must be expressed on the basis of 100, with not more than three decimal places. Fractions may not be used. (oVER) y FEDERAL RESERVE B N OF N W YORK AK E F i s c a l Agent of the United States TREASURY DEPARTMENT Washington FOR RELEASE, M R I G NEWSPAPERS, O NN Tuesday, August 31, 1943> Press Service The Secretary of the Treasury announced l a s t evening that the tenders for $1,000,000,000, or thereabouts, of 91-day Treasury b i l l s to be dated September 2 and to mature December 2 , 1943, which were offered on August 27, were opened a t the Federal Reserve Banks on August 30. The details of this issue are as follows: Total applied for - $ 1 , 1 7 7 , 6 3 1 , 0 0 0 Total accepted - 1 , 0 0 1 , 8 7 9 , 0 0 0 (includes $59,548,000 entered on a fixed-price basis at 99.905 and accepted in f u l l ) Range of accepted bids: High Low - 99.925 Equivalent r a t e of discount approx. 0.297$ per annum - 99.905 Equivalent r a t e of discount approx. 0»376$ per annum Average price - 99.905*- Equivalent r a t e of discount approx, 0.375$ per annum (96 percent of the amount bid for at the low price was accepted) Federal Reserve Bank Boston New York Philadelphia Cleveland Richmond Atlanta Chicago S t . Louis Minneapolis Kansas City Dallas San Francisco To t a l Total Applied for $ 29,330,000 750,119,000 31,767,000 34,732,000 16,045,000 7,354,000 183,570,000 11,210,000 6,020,000 21,270,000 6,795,000 79,419,000 fcl,177,631,000 —0O0- Total Accepted & 26,785,000 607,907,000 30,494,000 30,428,000 13,907,000 6,836,000 168,455,000 10,434,000 5,624,000 17,850,000 5,994,000 77,165,000 $1,001,879,000