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F ederal r es er v e Bank of D allas
F IS C A L A G E N T O F T H E U N IT E D S T A T E S

DALLAS, TEXAS 75222
Circular No. 69-174
Ju ly 16, 1969
N E W OFFERING — TREASURY BILLS
To A ll Banking Institutions a n d Others Concerned
in the Eleventh Federal Reserve District:
Y our attention is invited to the follow ing statement giving details of tw o issues of Treasury bills:
T h e T r e a s u r y D e p a r tm e n t, b y th is p u b lic n o tic e , in v ite s te n d e r s fo r tw o series o f T r e a s u r y b ills t o th e a g g r e g a te a m o u n t
o f $ 2 ,7 0 0 ,0 0 0 ,0 0 0 , o r th e r e a b o u ts , fo r ca sh a n d in e x c h a n g e fo r T r e a su r y b ills m a tu r in g J u ly 2 4 , 1 9 6 9 , in t h e a m o u n t o f
$ 2 ,6 9 8 ,4 3 2 ,0 0 0 , a s fo llo w s :
9 1 - D A Y B I L L S ( t o m a tu r ity d a t e ) to b e is su e d J u ly 2 4 , 1 9 6 9 , in th e a m o u n t o f $ 1 ,6 0 0 ,0 0 0 ,0 0 0 , or th e r e a b o u ts,
r e p r e se n tin g a n a d d itio n a l a m o u n t o f b ills d a te d A p r il 2 4 , 1 9 6 9 , a n d to m a tu r e O c to b e r 2 3 , 1 9 6 9 , o r ig in a lly
is s u e d in th e a m o u n t o f $ 1 ,1 0 2 ,5 7 8 ,0 0 0 , t h e a d d itio n a l a n d o r ig in a l b ills t o b e fr e e ly in te r c h a n g e a b le .
1 8 2 -D A Y B I L L S fo r $ 1 ,1 0 0 ,0 0 0 ,0 0 0 , or th e r e a b o u ts, to b e d a te d J u ly 2 4 , 1 9 6 9 , a n d t o m a tu r e J a n u a r y 2 2 , 1 9 7 0 .
T h e b ills o f b o th s e r ie s w ill b e is s u e d o n a d is c o u n t b a sis u n d e r c o m p e t it iv e a n d n o n c o m p e t it iv e b id d in g a s h e r e in a fte r
p r o v id e d , a n d a t m a t u r it y th e ir fa c e a m o u n t w ill b e p a y a b le w it h o u t in te r e s t. T h e y w ill b e is s u e d in b e a r e r fo r m o n ly , a n d in
d e n o m in a tio n s o f $ 1 ,0 0 0 , $ 5 ,0 0 0 , $ 1 0 ,0 0 0 , $ 5 0 ,0 0 0 , $ 1 0 0 ,0 0 0 , $ 5 0 0 ,0 0 0 a n d $ 1 ,0 0 0 ,0 0 0 ( m a t u r it y v a l u e ) .
T e n d e r s w ill b e r e c e iv e d a t F e d e r a l R e s e r v e B a n k s a n d B r a n c h e s u p to th e c lo s in g
D a y lig h t S a v in g T im e , M o n d a y , J u ly 21, 1 9 6 9 . T e n d e r s w ill n o t b e r e c e iv e d a t th e T r e a su r y
te n d e r m u s t b e fo r a n e v e n m u lt ip le o f $ 1 ,0 0 0 , a n d in c a s e o f c o m p e t it iv e t e n d e r s t h e p r ic e
t h e b a s is o f 1 0 0 , w it h n o t m o r e t h a n t h r e e d e c i m a ls , e.g ., 9 9 .9 2 5 . F r a c t io n s m a y n o t b e u s e d . I t
o n th e p r in te d fo rm s a n d fo rw a rd ed in th e s p e c ia l e n v e lo p e s w h ic h w ill b e su p p lie d b y F e d e r a l
a p p lic a tio n th ere fo r .

h o u r , o n e - t h ir t y p .m ., E a s t e r n
D e p a r tm e n t, W a sh in g to n . E a c h
o ffered m u s t b e e x p r e sse d o n
is u r g e d th a t te n d e r s b e m a d e
R eserve B an ks or B ranches on

B a n k in g in s titu tio n s g e n e r a lly m a y s u b m it te n d e r s fo r a c c o u n t o f c u s to m e r s p r o v id e d th e n a m e s o f th e c u s to m e r s a re
s e t fo r th in su c h te n d e r s . O th e r s th a n b a n k in g in s titu tio n s w ill n o t b e p e r m itte d to s u b m it te n d e r s e x c e p t fo r th e ir o w n a c c o u n t
T e n d e r s w ill b e r e c e iv e d w ith o u t d e p o sit fr o m in c o r p o r a te d b a n k s a n d tr u st c o m p a n ie s a n d fr o m r e sp o n sib le a n d r e c o g n iz e d
d e a le r s in in v e s t m e n t se c u r itie s . T e n d e r s fr o m o th e r s m u s t b e a c c o m p a n ie d b y p a y m e n t o f 2 p e r c e n t o f t h e f a c e a m o u n t o f
T r e a s u r y b ills a p p lie d fo r, u n le s s t h e te n d e r s a r e a c c o m p a n ie d b y a n e x p r e s s g u a r a n ty o f p a y m e n t b y a n in c o r p o r a te d b a n k or
tr u st com p a n y .
Im m e d ia te ly a fte r th e clo sin g hour, ten d ers w ill b e o p en ed a t th e F e d e r a l R e s e r v e B a n k s a n d B ra n ch es, fo llo w in g w h ich
p u b lic a n n o u n c e m e n t w ill b e m a d e b y t h e T r e a s u r y D e p a r t m e n t o f t h e a m o u n t a n d p r ic e r a n g e o f a c c e p t e d b id s. T h o s e
s u b m ittin g te n d e r s w ill b e a d v is e d o f t h e a c c e p ta n c e or r e je c tio n th ere o f. T h e S e c r e ta r y o f t h e T r e a su r y e x p r e s s ly r e se r v e s th e
r i g h t t o a c c e p t o r r e j e c t a n y o r a l l te n d e r s , i n w h o l e o r i n p a r t, a n d h is a c t i o n in a n y s u c h r e s p e c t s h a ll b e fin a l. S u b j e c t t o
t h e s e r e se r v a tio n s, n o n c o m p e titiv e te n d e r s fo r e a c h is s u e fo r $ 2 0 0 ,0 0 0 o r le ss w ith o u t s ta te d p r ic e fr o m a n y o n e b id d e r w ill b e
a c c e p t e d in f u l l a t t h e a v e r a g e p r ic e ( i n t h r e e d e c i m a l s ) o f a c c e p t e d c o m p e t i t i v e b id s f o r t h e r e s p e c t i v e is s u e s . S e t t l e m e n t fo r
a c c e p te d ten d ers in a cc o r d a n c e w ith th e b id s m u s t b e m a d e o r c o m p le te d a t th e F e d e r a l R e s e r v e B a n k o n J u ly 2 4 , 1 9 6 9 ,
in c a s h or o th e r im m e d i a t e ly a v a ila b le fu n d s o r in a lik e fa c e a m o u n t o f T r e a s u r y b ills m a t u r in g J u ly 2 4 , 1 9 6 9 . C a sh a n d
e x c h a n g e t e n d e r s w ill r e c e iv e e q u a l t r e a tm e n t. C a sh a d ju s t m e n t s w ill b e m a d e fo r d iffe r e n c e s b e t w e e n t h e p a r v a lu e o f m a tu r ­
in g b ill s a c c e p t e d in e x c h a n g e a n d t h e is s u e p r ic e o f t h e n e w b ills.
T h e in c o m e d e r iv e d fr o m T r e a s u r y b ills, w h e th e r in te r e s t or g a in fr o m th e s a le o r o th e r d is p o s itio n o f th e b ills, d o e s n o t
h a v e a n y e x e m p t io n , a s su c h , a n d lo ss fr o m t h e s a le o r o th e r d is p o s itio n o f T r e a s u r y b ills d o e s n o t h a v e a n y s p e c ia l t r e a tm e n t ,
a s s u c h , u n d e r t h e I n te r n a l R e v e n u e C o d e o f 1 9 5 4 . T h e b ills a re s u b j e c t t o e s t a t e , in h e r ita n c e , g if t o r o th e r e x c is e ta x e s , w h e th e r
F e d e r a l o r S t a t e , b u t a r e e x e m p t f r o m a ll t a x a t io n n o w or h e r e a f te r im p o s e d o n t h e p r in c ip a l o r in t e r e s t t h e r e o f b y a n y S t a t e ,
or a n y o f th e p o s s e s s io n s o f t h e U n it e d S ta te s , o r b y a n y lo c a l ta x in g a u th o r ity . F o r p u r p o s e s o f ta x a tio n th e a m o u n t o f d is c o u n t
a t w h ic h T r e a s u r y b ills a r e o r ig in a lly so ld b y t h e U n i t e d S t a t e s is c o n s id e r e d to b e in te r e s t. U n d e r S e c t io n 4 5 4 ( b ) a n d
1 2 2 1 ( 5 ) o f th e I n te r n a l R e v e n u e C o d e o f 1 9 5 4 t h e a m o u n t o f d is c o u n t a t w h ic h b ills is s u e d h e r e u n d e r a r e s o ld is n o t c o n ­
s id e r e d t o a c c r u e u n t i l s u c h b ills a r e so ld , r e d e e m e d o r o th e r w is e d is p o s e d o f, a n d s u c h b ills a r e e x c lu d e d f r o m c o n s id e r a t io n a s
c a p it a l a s se ts. A c c o r d in g ly , t h e o w n e r o f T r e a s u r y b ills ( o t h e r t h a n lif e in s u r a n c e c o m p a n ie s ) is s u e d h e r e u n d e r n e e d in c lu d e
in h is in c o m e t a x r e tu r n o n ly t h e d iffe r e n c e b e t w e e n t h e p r ic e p a id fo r s u c h b ills, w h e t h e r o n o r ig in a l is s u e o r o n s u b s e q u e n t
p u r c h a se , a n d th e a m o u n t a c tu a lly r e c e iv e d e ith e r u p o n sa le or r e d e m p tio n a t m a tu r ity d u r in g t h e ta x a b le y e a r fo r w h ic h th e
r e tu r n is m a d e , a s o r d in a r y g a in o r lo ss.
T r e a s u r y D e p a r t m e n t C ir c u la r N o . 4 1 8 ( c u r r e n t r e v is io n ) a n d t h is n o t ic e , p r e s c r ib e t h e t e r m s o f t h e T r e a s u r y b ills a n d
g o v e r n t h e c o n d it io n s o f t h e ir issu e . C o p ie s o f t h e cir c u la r m a y b e o b t a in e d fr o m a n y F e d e r a l R e s e r v e B a n k or B r a n c h .

In accordance with the above announcement, tenders w ill be received at this b a n k and its branches a t El Paso,
Houston a n d San Antonio up to tw e lv e -thirty p.m., Central Daylight Saving Time, M o n d a y , July 2 1 , 1969. Tenders may
not be entered by telephone.
Yours very truly,
P. E. Coldwell
President
LAST PREVIOUS OFFERING OF TREASURY BILLS
A m o u n t, R a n g e a n d A p p ro x im a te Y ie ld o f A c c e p te d T e n d e r s
9 1 -D a y B ills
D u e O c to b e r 16, 1 9 6 9

1 8 2 -D a y B ills
D u e J an u ary 15, 1970

$ 2 , 6 0 9 , 2 9 0 , 0 0 0 -------------------------------------------------------------- - T o t a l A p p l i e d F o r ----------------------------------------------------------------$ 2 , 4 8 1 , 5 6 2 , 0 0 0
$ 1 , 6 0 0 , 2 0 0 , 0 0 0 __________________________________________ . T o t a l A c c e p t e d -------------------------------------------------------------------$ 1 , 1 0 0 , 4 9 3 , 0 0 0
P r ic e
9 8 .2 2 3
9 8 .1 9 4
9 8 .2 0 4

Y ie ld

P r ic e

Y ie ld

7 . 0 3 0 % ----------------------------------------------------H i g h --------- ---- ------------------------------ 9 6 . 2 8 7 _____________________ 7 . 3 4 4 %
7 . 1 4 5 % ----------- ----------------------------------------- L o w --------------------------------------------- 9 6 . 2 4 6 _____________________ 7 . 4 2 5 %
---------------7 . 1 0 5 % ( 1 ) ----------------------------------------- A v e r a g e ------------------------------------------9 6 . 2 5 9 ________________ 7 . 4 0 0 % ( 1 )

( 1 ) T h e s e rates are on a b ank discount basis. T h e e q u iv a le n t coupon issue y ie ld s are 7 . 3 4 % for t h e 9 1 - d a y bills, a n d 7 . 7 9 % for
t h e 18 2 -d a y bills.

(See reverse side for ten d er form )

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

TENDER FOR ADDITION TO TREASURY BILLS

91 DAYS TO MATURITY
Dated April 24,1969

Maturing October 23,1969

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

Houston 77001

San Antonio 78206

( D a te ]

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.
NONCOMPETITIVE TENDER

$

_ N O T T O E X C E E D $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.
------------- " i------------- ---------------------------------------COMPETITIVE T E N D E R S

(n)

$_
I $----------------------------- (Si------------- $-------------------------------------V
,

Prices should be ex­
pressed on the basis of
100, with not more than
th ree decim al p laces,
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.
Payment for this issue of bills cannot be made
by credit to Treasury Tax and Loan Account.
METHOD OF PAYMENT

Denominations Desired
Number of

"Matur ity V a lu e

P i e c es

(t $
f)

1 ,0 0 0 $
-

rf $
fi

5,000 $
.

(7 $
r>

1 0 ,0 0 0 $
-

(n $
i)

50,000 $
-

□

B y maturing bills
held by______________________________

□

P a y m e n t to be m a d e by______________ _

□
$
.

Charge our reserve account on paym ent
date

( ] $ 500,000 $n
Or $1:000.000 $
,

I_I D r a f t e n c l o s e d (Effectual delivery of encloaed d r a ft
s h a ll he o n la te s t d a y w h ich ■will p e r m i t p r e s e n t m e n t i n
o r d e r to o b ta in ir r e v o c a b ly c o lle c te d f u n d s o n p a y m e n t
date)

$

1 0 0 .0 0 0

Delivery Instructions:
□
□
□

( S u b s c r ib e r ' s f u ll n a m e c.r c o r p o r a t e title )

Hold in Custody Account— M e m b e r
banks for o w n account only
Pledge to secure Treasury T a x and
Loan Account
Ship to--- ----------------------

( Address)
By_
( A u t h o r i s e d official s i g n a t u r e a n d ti tle ]

( F o r th e a c c o u n t of, if t e n d e r is f o r a n o t h e r s u b s c r ib e r )

( Address]

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 (maturity
value).
2 Tenders should be forwarded in an envelope clearly addressed to this bank or appropriate branch as Fiscal Agent of the
United States, with notation on the envelope reading “TENDER FOR TREASURY OFFERING.” Since envelopes re­
ceived with this legend will not be opened until after the closing time specified in the public announcement, communi­
cations 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, by ..............................................................................................
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 tx-ust company.
6. If the language of this form is changed in any respect, which, in the opinion of the Secretary of the Treasury is m ate­
rial, the tender may be disregarded.
(S ee re v e rs e f o r a n n o u n cem en t)

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