7005. Offering of Two Series of Treasury Bills

Name: 7005. Offering of Two Series of Treasury Bills
Creator: FRASER
Keywords: Federal Reserve Bank of New York, Federal Reserve Bank of New York, Law and legislation

PREVIOUS | NEXT

In order to view this PDF, you must have Javascript enabled in your browser.
The following is plain-text output generated by Optical Character Recognition. FEDERAL RESERVE BANK OF NEW YORK Fiscal Agent of the United States c C ircular N o I Septem ber J OFFERING OF TWO SERIES OF TREASURY BILLS of 91 Day Bills Additional Amount Series Dated July 6 1972 Due January 4 1973 To Be Issued October of 182 Day Bills Dated October 5 1972 Due April 5 1973 To A ll Incorporated B anks and T ru st Companies and O thers Concerned in the Second F ederal R eserve D istric t Following is the text of a notice issued by the Treasury Department released at 4 p m today The Treasury Department by this public notice invites tenders for two series of Treasury bills to the aggregate amount of or thereabouts for cash and in exchange for Treas ury bills maturing October in the amount of as follow s 91 day bills to maturity date to be issued October in the amount of or thereabouts representing an additional amount of bills dated July and to mature January C U S IP No 912793 PZ3 origi nally issued in the amount of the additional and original bills to be freely interchangeable 182 day bills for or thereabouts to be dated October and to mature April C U S IP No 912793 Q N 9 The bills of both series will be issued on a discount basis under competitive and noncompetitive bidding as hereinafter provided and at maturity their face amount will be payable without interest They will be issued in bearer form only and in denominations of and maturity value Tenders will be received at Federal Reserve Banks and Branches up to the closing hour one thirty p m Eastern Daylight Saving time Monday October Tenders will not be received at the Treasury Department Washington Each tender must be for a minimum of Tenders over 10 000 must be in multiples of 5 000 In the case of competitive tenders the price offered must be expressed on the basis of 100 with not more than three decimals e g 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 Banking institutions generally may submit tenders for account of customers provided the names of the customers are set forth in such tenders Others than banking institutions will not be per mitted to submit tenders except for their own account Tenders will be received without deposit from incorporated banks and trust companies and from responsible and recognized dealers in invest ment 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 Treasury Department of the amount and price range of accepted bids Only those submitting competitive 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 noncompetitive tenders for each issue for or less without stated price from any one bidder will be accepted in full at the average price in three decimals of accepted competi tive bids for the respective issues Settlement for accepted tenders in accordance with the bids must be made or completed at the Federal Reserve Bank on October in cash or other im mediately available funds or in a like face amount of Treasury bills maturing October Cash and exchange tenders will receive equal treatment Cash adjustments will be made for dif ferences between the par value of maturing bills accepted in ex change and the issue price of the new bills Under Sections 454 b and 1221 5 of the Internal Revenue Code of 1954 the amount of discount at which bills issued here under are sold is considered to accrue when the bills are sold re deemed or otherwise disposed of and the bills are excluded from consideration as capital assets Accordingly the owner of Treasury bills other than life insurance companies issued hereunder must include in his income tax return as ordinary gain or loss the dif ference between the price paid for the 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 Treasury Department Circular No 418 current revision and this notice prescribe the terms of the Treasury bills and govern the conditions of their issue Copies of the circular may be ob tained from any Federal Reserve Bank or Branch This Bank will receive tenders for both series up to 1 30 p m Eastern Daylight Saving time Monday October at the Securities Department of its Head Office and at its Buffalo Branch Tender forms for the respective series are enclosed Please use the appropriate forms to submit tenders and return them in the enclosed envelope marked Tender for Treasury Bills W eekly Tenders not requiring a deposit may be submitted by telegraph subject to written confirmation no tenders may be submitted by telephone Payment for the Treasury bills cannot be made by credit through the Treasury Tax and Loan Account Settlement must be made in cash or other immediately available funds or in maturing Treasury bills Results of the last weekly offering of Treasury bills 91 day bills to be issued September representing an additional amount of bills dated June m aturing December and 182 day bills dated September m aturing M arch are shown on the reverse side of this circular A lfred H ayes President over RESULTS OF LAST W EEK LY O FFER IN G OF TREASURY BILLS TW O SERIES TO BE ISSUED SEPTEM B ER Range of Accepted C om petitive Bids 91 Day Treasury Bills Maturing December P rice 182 Day Treasury Bills Maturing March A pprox equiv annual rate P rice A pprox equiv annual rate H ig h Low A v e r a g e J These rates are on a bank discount basis The equivalent coupon issue yields are 4 76 for the 91 day bills and 5 45 for the 182 day bills 3 percent of the amount of 91 day bills bid for at the low price was accepted 48 percent of the amount of 182 day bills bid for at the low price was accepted T otal Tenders A p p lied for and A ccepted B y Federal Reserve Districts 91 Day Treasury Bills Maturing December 28 1972 D istric t A pplied for Boston Day Treasury Bills Maturing March A ccepted A pplied for A ccepted New Y o r k Philadelphia Cleveland A tlan ta Chicago S t L o u is Minneapolis Kansas C ity D a lla s San F ran cisco Richmond T o tal a a Includes noncompetitive tenders accepted at the average price of 98 826 b Includes noncompetitive tenders accepted at the average price of b

7005. Offering of Two Series of Treasury Bills

DATE: September 26, 1972

PART OF:

Federal Reserve Bank of New York Circulars

AUTHOR:

Federal Reserve Bank of New York

Download (pdf)

Share this page:

Save & Share

less

Federal Reserve Bank of New York. "7005. Offering of Two Series of Treasury Bills," Federal Reserve Bank of New York Circulars (September 26, 1972). https://fraser.stlouisfed.org/title/466/item/540841, accessed on December 14, 2019.

More Information

less

SUBJECTS:

THEME:

Federal Reserve Bank of New York

Metadata (XML) Metadata (JSON)

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