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F ederal R eserve Bank

of

Dallas

FISC AL AG ENT OF THE UNITED STA TES

DALLAS, TEXAS

75222
C ircular No. 67-247
D e c e m b e r 11, 1967

NEW OFFERING — TREASURY BILLS
To All Banking Institutions an d Others Concerned
in the Eleventh Federal Reserve District:
Your attention is invited to the f ollow in g sta te m e n t giving details of tw o issu e s of Treasury bills:
T h e T re a su ry D e p a rtm e n t, by th is p u b lic notice, invites te n d e rs for two series of T re a s u ry b ills to th e aggregate a m o u n t
of $2,500,000,000, or th ere ab o u ts, for cash a n d in exchange for T re a su ry bills m a tu rin g D e c e m b e r 21, 1967, in th e a m o u n t of
$2,400,015,000, as follow s:
91-D A Y B IL L S (to m a tu rity d a te ) to be issued D ecem b er 21, 1967, in th e a m o u n t of $1,500,000,000, or th e re ­
abouts, re p re se n tin g a n a d d itio n a l a m o u n t of bills da te d S e p te m b e r 21, 1967, a n d to m a tu re M a rc h 21, 1968,
originally issued in th e a m o u n t of $1,000,249,000, th e ad d itio n al a n d original bills to be freely interchangeable.
19 Y
6

T e n d e rs will be received a t F e d e ra l R eserv e B anks a n d B ran ch es u p to th e closing hour, o n e -th irty p.m ., E a s te rn
S ta n d a rd T im e , F rid a y , D e c e m b e r 15, 1967. T e n d e rs will n o t be received a t th e T re a su ry D e p a rtm e n t, W ashington. E ac h
te n d e r m u st be for a n even m u ltip le of $1,000, a nd in th e case of co m p e titiv e ten d e rs th e price offered m u st be expressed on
th e basis of 100, w ith n o t m ore th a n th re e decim als, e.g., 99.925. F ra c tio n s m ay n o t be used. I t is u rged th a t ten d e rs be m ad e
on th e p rin te d form s a n d forw arded in th e special envelopes w hich will be su p p lied by F e d e ra l R e se rv e B an k s or B ra n ch e s
on a p p lic atio n therefor.

PLEASE

OBSERVE

CLOSING

D ATE

FRIDAY,

DECEMBER

IS,

182-D A Y B IL L S for $1,000,000,000, or th ere ab o u ts, to be d a te d D e c em b er 21, 1967, a n d to m a tu re J u n e 20, 1968.
T h e bills of b o th series will be issued on a discount basis u n d e r c o m p e titiv e an d n o n c o m p e titiv e b id d in g as h e re in a fte r
provided, a n d a t m a tu rity th e ir face a m o u n t will be p a y ab le w ith o u t interest. T h e y will b e issued in b e are r fo rm only, a n d in
d en o m in atio n s of $1,000, $5,000, $10,000, $50,000, $100,000, $500,000 a n d $1,000,000 ( m a tu rity v a lu e ).

B a n k in g in stitu tio n s generally m a y su b m it ten d e rs for a cc o u n t of custom ers p ro v id ed th e n a m e s of th e custom ers a re
se t fo rth in such tenders. O th ers th a n ban k in g in stitu tio n s will not be p e rm itte d to su b m it ten d e rs ex ce p t for th e ir own a c c o u n t
T e n d e rs will be received w ith o u t deposit from incorporated banks a n d tr u s t com panies an d from responsible a n d recognized
d e ale rs in in v e stm e n t securities. T e n d e rs from others m u st b e a ccom panied by p a y m e n t of 2 p e rc e n t of tire face a m o u n t of
T re a su ry bills a p p lie d for, unless th e ten d e rs a re a ccom panied b y a n express g u a ran ty of p a y m e n t b y a n in co rp o ra ted b a n k or
tr u s t com pany.
Im m e d ia te ly a f te r th e closing hour, ten d e rs w ill be o p e n ed a t th e F e d e ra l R e se rv e B a n k s an d B ranches, follow ing w hich
p u b lic an n o u n ce m en t will be m ade by th e T re a su ry D e p a rtm e n t of th e a m o u n t a n d p rice range of accep ted bids. T hose
su b m ittin g ten d e rs will be advised of th e accep ta n ce or re je ctio n thereof. T h e S e c retary of th e T re a su ry expressly reserves th e
rig h t to a cc ep t or re je c t any or all tenders, in whole or in p a rt, a n d his action in a n y such re sp e ct shall be final. S u b je c t to
th ese reservations, n o n co m p etitiv e ten d e rs for each issue for $200,000 or less w ith o u t sta te d p rice from a n y one b id d e r will be
a cc ep te d in full a t th e average price (in th re e decim als) of a cc ep te d co m p e titiv e bids for th e re spective issues. S e ttle m e n t for
a cc ep te d ten d e rs in accordance w ith th e bids m u st be m ad e or c o m pleted a t th e F e d e ra l R e se rv e B a n k on D e c em b er 21, 1957, in
cash or o th er im m e d ia tely a v a i'a b le funds or in a like face a m o u n t of T re a su ry bills m atu rin g D e c e m b e r 21, 1967. C ash a n d
exchange ten d e rs will receive e q u al tre a tm e n t. Cash a d ju stm e n ts will b e m ad e for differences be tw ee n th e p a r value of m a tu r­
ing bills a cc ep te d in exchange a n d the issue price of th e new bills.
T h e incom e d eriv ed from T re a su ry bills, w h e th er in te re st or gain from th e sale or o th e r disposition of th e bills, does n o t
h a v e an y exem ption, as such, an d loss from th e sale or o th er d isposition of T re a su ry bills does n o t h a v e a ny special tre a tm e n t,
as such, u n d e r the In te rn a l R e v en u e C ode of 1954. T h e bills a re su b je ct to estate, in heritance, gift or o th e r excise taxes, w h e th er
F e d e ra l or State, b u t a re e xem pt from all tax a tio n now or h e re a fte r im posed on th e prin cip a l or in te re st th ere o f b y a n y S tate,
o r a n y of the possessions of th e U n ite d S tates, or by a n y local tax in g au th o rity . F o r purposes of tax a tio n th e a m o u n t of discount
a t w hich T re a su ry bills are originally sold by th e U n ited S ta te s is considered to be interest. U n d e r Sections 454 ( b ) a n d
1221 (5 ) of th e In te rn a l R e v en u e C ode of 1954 th e a m o u n t o f discount a t which bills issued h e re u n d e r are sold is n o t con­
sid e red to accrue u n til such bills a re sold, re d ee m e d or otherw ise disposed of, a n d such bills a re excluded from consideration as
c ap ital assets. Accordingly, the ow ner of T re a su ry bills (o th e r th a n life insurance co m p a n ies) issued h e re u n d e r need include
in his incom e ta x re tu rn only th e difference betw een th e price p a id for such bills, w h e th er on original issue or on su b seq u e n t
purchase, a n d the a m o u n t a ctu a lly received e ith e r u p o n sale o r re d e m p tio n a t m a tu rity d u ring th e tax a b le y e a r for w hich th e
re tu rn is m ade, as o rd in ary gain or loss.
T re a su ry D e p a rtm e n t C ircular No. 418 (c u rre n t re v isio n ) a n d th is notice, p re sc rib e th e te rm s of th e T re a su ry bills a n d
govern th e conditions of th e ir issue. C opies of th e circu lar m a y be o b tain e d from a n y F e d e ra l R e se rv e B a n k or B ranch.

In accordance with the a b o v e a n n o u n c em en t, tenders will be received at this b an k an d its branches at El Paso,
Houston an d San Antonio up to twelve-thirty p.m., Central Standard Time, Friday, D ecem ber 15, 1 9 67 . Tenders m ay
not b e en tered by t e le p h o n e .
Yours very truly,
Watrous H. Irons
President

Figures concerning offering of 9 1 -Day Treasury Bills maturing March 14, 1968, an d

182-Day Treasury Bills maturing

June 13, 1968, not available when this circular was printed.

(S e e reverse for tender form )

I

This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)

47

TENDER FOR ADDITION TO TREASURY BILLS

91 DAYS TO MATURITY
Dated September 21,1967

Maturing March 21,1968

To: Federal Reserve Bank, Station K, Dallas, Texas 75222
or —
The
Branch
El Paso 79999

Houston 77001

________________________________________

San Antonio 78206

(D ate)

Pursuant to the provisions of Treasury Department Circular No.418(current revision) and the provisions of the
public announcement issued by the Treasury Department, the undersigned offers to purchase Treasury bills in the amount
shown below, and agrees to pay for the amount allotted, on or before the issue date, by the method and at the rate indicated.

PLEASE

OBSERVE

CLOSING

DATE — FRIDAY, DECEMBER

15, 1967

NONCOM PETITIVE T E N D E R $________________________________ NOT TO EXCEED $200,000
Noncompetitive tenders for $200,000 or less from any one bidder, without stated price, will be accepted in full at the average
price (in three decimals) of accepted competitive bids.
f
Prices should be ex_
pressed on the basis of
(a)
$
COMPETITIVE T E N D E R S ( $ _________________ @ ________ $
$

...........................

$

-

t h r e ^ d m ™ p!ace£
e. g., 99.925. Fractions'
must not be used.

.....

E X T E N D E R S MAY NOT BE ENTERED BY TELEPHONE. TENDERS BY WIRE, IF RECEIVED BEFORE THE
CLOSING HOUR, ARE ACCEPTABLE.
Denominations Desired
N u m b er o f
Pieces

Payment for this issue of bills cannot be made
by credit to Treasury Tax and Loan Account.

M a tu rity V alue

(5) $
(a) $
- <® $
(5) $

METHOD OF PAYMENT

1,000 $
□

5,000 $
10,000 $

□

50,000 $
(cb $ 100,000 $
...(a) ? 500,000 $

By maturing bills
held by____________________
Payment to be made by_

□

Charge our reserve account on paym ent
date
| | Draft enclosed ( E f f e c t u a l d e l i v e r y o f enclo sed
d r a f t sh all be on la te st day w hich will p e rm it p r e s e n t­
m e n t in ord er to o b ta in irrevocably collected fu n d s on
p a y m e n t date)

(cb $1,000,000 $

Delivery Instructions:
(S u b sc rib e r’s fu ll n a m e o r c o rp o rate title )

□

Hold in Custody Account— Member
banks for own account only

□

Pledge to secure Treasury Tax and_____________ _____________________________________
L oan

□

(A ddress)

A cC O U nt

Ship to-----------------------------------------

(A uthorized official s ig n a tu re a n d title)

-----

(F o r th e a cco u n t of, if te n d e r is fo r a n o th e r sub scrib er)

(A ddress)

IMPORTANT
1. No tender for less than $1,000 will be considered and each tender must be for an amount in multiples of $1,000 (m aturity
value).
2. Tenders should be forwarded in an envelope clearly addressed to this bank or appropriate branch as Fiscal A gent of the
United States, with notation on the envelope reading “TENDER FOR TREASURY BILLS”. Since envelopes received
with this legend will not be opened until after the closing time specified in the public announcement, communications
relating to other matters should not be enclosed. Envelopes for submitting tenders may be obtained from this bank
or appropriate branch.
3. Any qualified or conditional tender will be rejected.
4. If a corporation makes the tender, the form should be signed by an officer of the corporation authorized to make the
tender and the signing of the form 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, b y ................................................................................... t
a member of the firm”.
5. Tenders from those other than incorporated banks and trust companies or responsible and recognized dealers in invest­
ment securities will be disregarded, unless accompanied by a deposit of 2 percent of the total amount (maturity value)
of the Treasury bills applied for, or unless the tenders are accompanied by an express guaranty of full payment by an
incorporated bank or trust company.
6. If the language of this form is changed in any respect, which, in the opinion of the Secretary of the Treasury is
material, the tender may be disregarded.
(See reverse for announcement)

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