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FEDERAL RESERVE BANK OF NEW YORK
[ Circular No. 2 9 9 5
I September 7, 1 9 4 5

Fiscal A g e n t o f the U n i t e d States

Public Notice of Offering of $1,300,000,000, or thereabouts, of 91-Day Treasury Bills
Dated September 13, 1945

Maturing December 13, 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 t h e t e x t o f a n o t i c e t o d a y m a d e p u b l i c 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 n e w o f f e r i n g o f T r e a s u r y bills p a y a b l e at 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 be s o l d o n 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 f i x e d - p r i c e b i d d i n g .
FOR RELEASE, MORNING NEWSPAPERS,
Friday, September 7, 1945.

TREASURY DEPARTMENT
Washington

The Secretary of the Treasury, by this public notice, invites tenders f o r $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 13, 1945, and will mature December 13, 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, $1,00,000, $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 10, 1945. Tenders will not be received at the Treasury Department, Washington. Each tender
must be f o r an even multiple o i $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 f r o m incorporated banks and trust companies and f r o m 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 f o r , 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 o f 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 f o r $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 13, 1945.
The income derived from Treasury bills, whether interest or gain f r o m the sale or other disposition of the bills, shall
not have any exemption, as such, and loss f r o m 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,
o r 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.
F o r 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 A c t o f 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 o f , and such bills are excluded f r o m 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 f o r which
the return is made, as ordinary gain or loss.
Treasury Department
govern the conditions o f

Circular No. 418, as amended, and this notice, prescribe the terms of the Treasury bills and
their issue. Copies of the circular may be obtained f r o m 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 w i l l b e r e c e i v e d at 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 this 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 10, 1 9 4 5 . 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 s p e c i a l f o r m p r i n t e d o n r e v e r s e s i d e a n d r e t u r n e d i n 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 tnade in cash or other
immediately
(available funds.
ALLAN
(Extract
from
Treasury
results
after
tenders
were

Department
opened
for

statement
Treasury

Total applied f o r

$1,932,337,000

Total accepted

$1,306,033,000 (includes $48,420,000
entered on a fixed-price basis at
99.905 and accepted in f u l l )

Average price

99.905+

Equivalent rate of discount
approx. 0.375% per annum

Range of accepted competitive bids:
High

99.909

Equivalent rate of discount
0.360% per annum

Low

99.905

Equivalent rate o f discount
approx. 0.376% per annum

(64 percent o f the amount bid f o r at the low price
was accepted)




SPROUL,

released
for publication
September
1, 1945,
bills dated September
6,1945
maturing
December
Federal Reserve
District
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
TOTAL

President.

announcing
6,1945)

Total
Applied for
$

12,735,000
1,451,752.000
35,950,000
17,245,000
21,135,000
2,650,000
282,760,000
9,630,000
3,110,000
11,965,000
14,890,000
68,515,000

$1,932,337,000

Total
Accepted
$

9,099,000
952,240,000
28,462,000
17,245,000
18,651,000
2,650,000
189,268,000
7,686,000
3,110,000
10,777,000
14,530,000
52,315,000

$1,306,033,000
(OVEH)

13X
I M P O R T A N T — I f 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 fixedprice 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

T E N D E R FOR 91 -DAY TREASURY BILLS
Dated September 13, 1945.

Maturing December 13, 1945.
Dated at.

To

FEDERAL RESERVE B A N K

OF N E W

.1945

YORK,

Fiscal A g e n t of the United States.
COMPETITIVE BID

FIXED-PRICE BID

Pursuant to the provisions of Treasury
Department Circular N o . 418, as amended, and
to the provisions o f the public notice o n
September 7, 1945, as issued by the Secretary of
the Treasury, the undersigned offers to pay
(Rate per 100)

* f o r a total amount of

$
(maturity value)
of the Treasury bills therein described, o r 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.

Pursuant

to the provisions o f

Treasury

Department Circular N o . 418, as amended, and to
the provisions of the public notice on September
7, 1945, as issued by the Secretary of the Treasury, the undersigned offers to pay a

fixed-price

of 99.905 (rate per 100) f o r a total amount of
$

(maturity value)
(Not to exceed $200,000)
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.

T h e Treasury bills f o r which tender is hereby made are to be dated September 13, 1945, and are to mature
on December 13, 1945.
This tender zvill 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, 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)

(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 "
copartnership, by

a
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


http://fraser.stlouisfed.org/
TENTB-793-a
Federal Reserve Bank of St. Louis

by credit

through

War Loan Deposit Account ivill not be

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

permitted.

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