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F ederal R eserve Ba n k 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, TE X A S 7 5 2 2 2 C ircu lar No. 74-273 O cto b er 10, 1974 N E W OFFERING — TREASURY BILLS To A ll Banking Institutions an d Others Concerned in the Eleventh Federal Reserve District: Y our attention is invited to the fo llo w ing statement giving details of an issue of Treasury bills: T h e D e p a rtm e n t of th e T rea su ry , b y th is p u b lic notice, in v ite s te n d e rs fo r $2,000,000,000, o r th ereab o u ts, of T re a s u r y bills to be d a te d O cto ber 22, 1974, a n d to m a tu re O c to b er 21, 1975 ( C U S I P No. 912793 W U 6 ). 364-day T h e b ills will be issued for cash a n d in exchange fo r T re a s u ry bills m a tu rin g O cto b er 22, 1974, o u tstan d in g in th e a m o u n t of $1,801,790,000, of w hich G o v e rn m e n t accou nts a n d F e d e ra l R e se rv e B anks, for them selves a n d as agents of foreign a n d in te r na tio n a l m o n e ta ry auth o ritie s, p re se n tly hold $1,036,180,000. T h e s e acco u n ts m ay exchange bills th e y h old for th e bills now being offered a t th e average price of a cc ep te d tenders. T h e bills w ill be issued on a d iscou nt basis u n d e r c o m p e titiv e a n d n o n c o m p e titiv e bidding, a n d a t m a tu rity th e ir face a m o u n t will be p a y a b le w ith o u t in terest. T h e y will be issued in b e a re r form in d e n o m in a tio n s of $10,000, $15,000, $50,000, $100,000, $500,000 a n d $1,000,000 (m a tu r ity v a lu e ) , a n d in bo o k -en try form to d esign ated bidders. T e n d e rs will b e receiv ed a t F e d e ra l R e se rv e B a n k s a n d B ra n ch e s u p to o n e -th irty p.m., E a s te r n D a y lig h t Saving T im e , W edn esday, O cto ber 16, 1974. T e n d e rs w ill n o t b e received a t th e D e p a rtm e n t of th e T rea su ry , W ashington. E a c h te n d e r m u st be for a m in im u m of $10,000. T e n d e rs o ver $10,000 m u st b e in m u ltip le s of $5,000. In th e case of c o m p e titiv e ten d e rs th e p rice 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 a y n o t b e used. B a n k in g in stitu tio n s a n d dealers who m a k e p rim a ry m a rk e ts in G o v e rn m e n t securities a n d re p o rt d a ily to th e F e d e ra l R e se rv e B a n k of N ew Y ork th e ir positio ns w ith re sp e ct to G o v e rn m e n t securities a n d borrow ings th e re o n m a y su b m it ten d e rs fo r a ccou nt of custom ers p ro v id ed th e n am es of th e cu sto m ers a re se t fo rth in such tend ers. O th e rs will n o t b e p e rm itte d to su b m it te n d e rs except for th e ir own account. T e n d e rs w ill b e received w ith o u t d e p o sit from inco rp o ra ted b ank s a n d tr u s t com p a n ie s a n d from respon sible a n d recognized de ale rs in in v e s tm e n t securities. T e n d e rs from o th ers m u st be a cco m panied by p a y m e n t of 2 p e rc e n t of th e face a m o u n t of bills a p p lie d for, un less th e te n d e rs a re a cco m 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. P u b lic a n n o u n c e m e n t w ill be m a d e b y th e D e p a rtm e n t of th e T re a s u ry of th e a m o u n t a n d p rice rang e of a cc ep te d bids. T h o se su b m ittin g c o m p e titiv e ten d e rs will be ad v ised of th e a ccep tan ce or re je ctio n th ereof. T h e S e c retary of th e T re a su ry expressly reserv es th e rig h t to a cc ep t or re je c t a n y o r all tenders, in w hole or in p a rt, a n d his a ction in a n y such re sp e c t shall be final. S u b je c t to these reservations, n o n c o m p e titiv e te n d e rs 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 a verage p rice ( in th re e d ecim als) of a cc ep te d c o m p e titiv e bids. S e ttle m e n t for a ccep ted ten d e rs in accor dance w ith th e bids m u st be m a d e or co m p leted a t th e F e d e ra l R eserve B a n k or B ra n c h on O cto b er 22, 1974, in cash or o th er im m e d ia te ly a v ailab le fu nds or in a lik e face a m o u n t of T re a s u ry bills m a tu rin g O cto ber 22, 1974. C ash a n d exchange te n d e rs w ill receive e q u al tre a tm e n t. C ash a d ju s tm e n ts will b e m a d e for differences b e tw ee n th e p a r v alu e of m a tu rin g bills a ccepted in exchange a n d th e issue p ric e of th e n ew bills. U n d e r S ections 454 ( b ) a n d 1221 ( 5 ) of th e I n te rn a l R e v e n u e Code o f 1954 th e a m o u n t of d isco u n t a t w hich bills issued h e re u n d e r are sold is considered to accru e w h e n th e bills a re sold, re d ee m e d o r otherw ise disposed of, a n d th e bills are excluded from c o nsideration as c ap ita l assets. Accordingly, th e ow ner of bills ( o th e r th a n life in su ran ce co m pan ies) issued he re u n d e r m u st includ e in his F e d e ra l incom e ta x re tu rn , a s o rd in a ry gain o r loss, th e difference betw een th e p rice p a id for th e bills, w h e th e r on original issue o r on su b seq u e n t p urchase, a n d th e a m o u n t a ctu a lly received e ith e r u p o n sale or re d e m p tio n a t m a tu r ity d u rin g th e tax a b le y e ar for w hich th e re tu rn is m ade. D e p a rtm e n t of th e T re a s u ry C ircular No. 418 ( c u rre n t rev isio n ) a n d th is notice, prescrib e th e te rm s of th e T re a s u ry bills a n d govern th e conditions of th e ir issue. C opies o f th e c irc u lar m a y be o b ta in e d fro m a n y F e d e ra l R e se rv e B a n k o r B ranch. In accordance w ith the above announcement, tenders w ill be received a t this b ank and its branches a t El Paso, Houston an d San Antonio up to tw e lv e-th irty p.m., Central D aylight Saving Time, W ed n esd a y, October 16, 1974. Ten ders m ay not be entered by telephone. Yours very truly, P. E. Coldwell President (S e e reverse for te n d e r fo rm ) This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org) CLOSING TIME 12:30 P.M., CENTRAL DAYLIGHT SAVING TIME, WEDNESDAY, OCTOBER 16,1974 TENDER FOR TREASURY BILLS SECURITY OFFERED 364 DAYS TO MATURITY Dated October 22, 1974 Maturing October 21, 1975 Pursuant to the provisions of Department of the Treasury Circular No. 418 (current revision) and the provisions of the public announcement issued by the Department of the Treasury, 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 a t the rate indicated. NONCOMPETITIVE TENDER $____________________________________ _NOT TO EXCEED $200,000 Noncompetitive tenders for $200,000 or less from any bidder,without stated price,willbe acceptedinfullattheaverage price (inthree decimals) of accepted competitive bids. <P Prices should be expressed on the basis of 100, with not more than three decimal places, e.g., 99.925. F ra c tio n s must not be used. $ (a) (a) QH >* £ n 2 *5 o @ $ BANKS ONLY: □ □ □ (D escription) ALL CHECKS MUST BE PAYABLE TO THE FEDERAL RESERVE BANK By charge to our reserve account on payment date By draft enclosed. By charge to our correspondent: (A written authorization for such charge should be provided from your correspondent.) FEDERAL RESERVE BANK ONLY: Bearer Securities: COST: ______ @ $ 10,000 $_ DEPOSIT: ______ @ $ 15,000 $_ DUE TO SUBSCRIBER: ______ @ $ 50,000 $_ DUE FROM SUBSCRIBER: ______ @ $ 100,000 $_ 5 2 « £ 02On (a) h OTHER THAN BANKS: □ By Cashier’s Check □ By Certified Personal Check □ By Federal Funds D raft □ By Securities Submitted © H go )$ ____ _ @ $ 500,000 $_ PLEASE PRINT OR TYPE (The information below will be used in delivery of securities.) _______@ $1,000,000 $_ Book-entry (Banks only): S3 >1 03 W > i- h J w Q H P «! □ 01 General Account □ □ $_ _ (S tre e t A d d ress) 04 Pledged to Secretary of Treasury _ (C ity, S ta te , Z ip Code) □ 12 Investment Account □ 13 Trust Account □ _ _ --------------------------------------------------------------------- - TOTAL $_ cc o 1-4 Q s O © (N am e o f Subscriber) 02 Treasury Tax and Loan Collateral (S ig n a tu re a n d title, if applicable) BANKS ONLY: F o r th e a ccount of. | if te n d e r is fo r > a n o th e r su b scriber I 1. No tender for less than $10,000 will be considered and each tender over $10,000 must be for an amount in multiples of $5,000 (m aturity 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 received with this legend will not be opened until after the closing time specified in the public announcement, communi cations relating to other m atters 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 th at 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 --------------------------------- -------------- ------------ f a member of the firm.” 5. Tenders from those other than incorporated banks and tru st 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 (m aturity 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 tru st 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)
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