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F ederal R ese r v e Bank





Circular No. 67-25
January 25, 1967

To All Banking institutions and Others Concerned
in the Eleventh Federal Reserve District:

There is quoted below a press statement issued today by the Treasury Department in regard to current
Treasury Announces February Refunding Terms

The Treasury will borrow $7.5 billion, or thereabouts, through the issuance of 15-month and
5-year Treasury notes for the purpose of paying off in cash a like amount of Treasury securities
maturing February 15, 1967. The amount of the maturing issues held by the public is $3.8 billion.
The notes to be issued are:
$5.5 billion of 4%% Treasury Notes of Series B-1968, to be dated February 15, 1967,
and to mature M ay 15, 1968, at a price of 99.875 (to yield about 4.85% ); and
$2 billion of 4 3 % Treasury Notes of Series A-1972, to be dated February 15, 1967,
and to mature February 15, 1972, at a price of 99.625 (to yield about 4.84% ).
The maturing securities are:
$2,358 million of 3%% Treasury Notes of Series B-1967, dated March 15, 1963; and
$5,151 million of 4% Treasury Notes of Series C-1967, dated August 13, 1965.
Interest will be payable on the 15-month notes on May 15 and November 15, 1967, and May 15,
1968, and on the 5-year notes semiannually on February 15 and August 15.
The notes will be made available in registered as well as bearer form. All subscribers requesting
registered notes will be required to furnish appropriate identifying numbers as required on tax
returns and other documents submitted to the Internal Revenue Service.
Payment and delivery date for the notes will be February 15. Payment may be made in cash,
or in 3%% notes of Series B-1967, or 4% notes of Series C-1967, which will be accepted at par, in
payment or exchange, in whole or in part, for the notes subscribed for, to the extent such subscriptions
are allotted by the Treasury. The notes may not be paid for by credit in Treasury Tax and Loan
The subscription books will be open only on Monday, January 30. Subscriptions with the required
deposits addressed to a Federal Reserve Bank or Branch, or to the Treasurer of the United States,
and placed in the mail before midnight, January 30, 1967, will be considered timely.
Subscriptions from commercial banks, for their own account, will be restricted in each case to
an amount not exceeding 50 percent of the combined capital (not including capital notes or
debentures), surplus and undivided profits of the subscribing bank.
Subscriptions from commercial and other banks for their own account, Federally-insured savings
and loan associations, States, political subdivisions or instrumentalities thereof, public pension and
retirement and other public funds, international organizations in which the United States holds mem­
bership, foreign central banks and foreign States, dealers who make primary markets in Government
securities and report daily to the Federal Reserve Bank of New York their positions with respect to
Government securities and borrowings thereon, Government Investment Accounts, and the Federal
Reserve Banks will be received without deposit.

This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (

Subscriptions from all others must be accompanied by payment of 2% (in cash, or Treasury
notes of Series B-1967 or C-1967, maturing February 15, 1967, at par) of the amount of notes applied
for not subject to withdrawal until after allotment
The Secretary of the Treasury reserves the right to reject or reduce any subscription, to allot
less than the amount of notes applied for, and to make different percentage allotments to various
classes of subscribers; and any action he may take in these respects shall be final. The bases of the
allotments will be publicly announced, and allotment notices will be sent out promptly upon allotment.
Subject to the reservations in the preceding paragraph, all subscriptions from States, political
subdivisions or instrumentalities thereof, public pension and retirement and other public funds, inter­
national organizations in which the United States holds membership, foreign central banks and foreign
States, Government Investment Accounts, and Federal Reserve Banks, will be allotted in full if a
statement is submitted certifying that the amount of the subscription does not exceed the amount of
the two maturing notes owned or contracted for purchase for value, at 4 pjn., Eastern Standard Time,
January 25, 1967. Any such subscriber may enter an additional subscription subject to a percentage
allotm ent
All subscribers are required to agree not to purchase or to sell or to make any agreements with
respect to the purchase or sale or other disposition of any of the notes subscribed for under this offering
at a specific rate or price, until after midnight, January 30, 1967.
Commercial banks in submitting subscriptions will be required to certify that they have no
beneficial interest in any of the subscriptions they enter for the account of their customers, and that
their customers have no beneficial interest in the banks’ subscriptions for their own account
The official circulars and subscription forms for the new issues of Treasury notes will be mailed Thursday,
January 26; however, if the forms do not reach you by Monday, January 30, subscriptions may be entered
by mail or telegram, subject to confirmation on official subscription blanks.
Yours very truly,
Watrous H. Irons

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