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F ederal Reserve Bank of Dallas
F IS C A L A G EN T O F T H E U N ITED S T A T E S

DALLAS, TEX AS

75222
C ircular N o . 72 -66
A p ril 4 , 1972

NEW OFFERING — TREASURY BILLS
To All B a n k in g Institutio ns a n d O th e r s C o n c e r n e d
in t h e E leventh F e d e r a l R e serv e District:
Y our a t t e n t i o n is in v ite d to t h e f o llo w in g s t a t e m e n t g iv in g d e t a il s of tw o issu es of T re as u ry bills:
T h e T r ea su ry 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 ten d ers for tw o series o f T rea su ry b ills t o t h e a g g reg a te a m ou n t
o f $ 4 ,1 0 0 ,0 0 0 ,0 0 0 , or therea b ou ts, for cash and in ex ch a n g e for T rea su ry b ills m a tu rin g A p ril 13, 19 72 , in th e a m o u n t o f
$ 4 ,1 0 6 ,9 0 0 ,0 0 0 , a s follow s:
9 1 - D A Y B I L L S (to m a tu rity d a te ) t o b e issu ed A p ril 13, 1972, in th e a m o u n t o f $ 2 ,3 0 0 ,0 0 0 ,0 0 0 , or th e re­
a b ou ts, rep resen 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 J an u a ry 13, 197 2, and to m a tu re J u ly 13, 1972
( C U S I P N o . 9 1 2 7 9 3 N U 6 ) , o rig in a lly issu ed in t h e a m o u n t o f $ 1 ,6 0 0 ,2 0 0 ,0 0 0 , th e a d d itio n a l an d origin al b ills
t o b e fr e e ly in terch an g eab le.
1 8 2 -D A Y B I L L S for $ 1 ,8 0 0 ,0 0 0 ,0 0 0 , or th ereab o u ts, to b e d a ted A p ril 13, 197 2 , an d to m atu re O cto b er 12, 1972
( C U S I P N o . 9 1 2 7 9 3 P G S ).
T h e b ills o f b o th series w ill b e issu ed o n a d isco u n t b a sis und er c o m p e titiv e an d n o n c o m p e titiv e b id d in g a s h erein a fter
p rov id ed , a n d a t m a tu rity th eir fa c e a m o u n t w ill b e p a y a b le w ith o u t in terest. T h e y w ill b e issu ed in b earer form o n ly , a n d in
d en o m in a tio n s o f $ 1 0 ,0 0 0 , $ 1 5 ,0 0 0 , $ 5 0 ,0 0 0 , $ 1 0 0 ,0 0 0 , $ 5 0 0 ,0 0 0 an d $ 1 ,0 0 0 ,0 0 0 (m a tu r ity v a lu e ) .
T e n d e r s w ill b e r e ce iv ed a t F ed era l R e s e r v e B a n k s and B ranches up to th e clo sin g hour, o n e-th irty p.m . E a ste rn
S tan d ard T im e , M o n d a y , A p ril 10, 1972. T e n d e r s w ill n o t b e r e ce iv ed a t t h e T rea su ry D e p a r tm e n t, W ash in g to n . E ach
te n d e r m u st b e for a m in im u m o f $1 0,0 0 0 . T e n d er s ov er $ 1 0 ,0 0 0 m u s t b e in m u ltip le s o f $ 5 ,00 0. In t h e c a se o f c o m p e titiv e
ten d e rs th e p rice offered m u st b e ex p ressed on th e b a sis o f 100, w ith n o t m ore th a n th ree d ecim a ls, e.g., 9 9 .9 2 5 . F ra ctio n s m a y
n o t b e used. I t is urged th a t ten d ers b e m a d e on th e p rin te d form s and forw arded in th e sp ec ia l e n v e lo p e s w h ich w ill be
su p p lie d b y F ed era l R e s e r v e B a n k s or B r a n c h e s on a p p lica tio n therefor.
B a n k in g in stitu tio n s g en era lly m a y su b m it ten d e rs for a ccou n t o f cu sto m ers p ro vid ed th e n a m e s o f t h e cu sto m ers are
se t forth in su ch tenders. O thers th a n b an k in g in stitu tio n s w ill n o t b e p erm itted to su b m it ten d e rs e x c e p t for th eir ow n accou n t.
T e n d e r s w ill b e receiv ed w ith o u t d ep o sit from incorp orated b a n k s a n d tru st c o m p a n ie s an d from resp o n sib le a n d recogn ized
d ea lers in in v e stm e n t secu rities. T e n d e r s from o th ers m u st b e a cco m p a n ied b y p a y m e n t o f 2 p er c e n t o f th e fa c e a m o u n t o f
T r ea su ry b ills a p p lie d for, u n less t h e ten d e rs are a cco m p a n ied b y an ex p ress gu aran ty o f p a y m e n t b y an in corp orated b a n k or
tru st co m p a n y .
I m m e d ia te ly a fte r th e c lo sin g hour, ten d e rs w ill b e o p e n e d a t th e F ed era l R e s e r v e B a n k s and B ranches, fo llo w in g w h ich
p u b lic a n n o u n c em en t w ill b e m a d e b y th e T rea su ry D e p a r tm e n t o f t h e a m o u n t an d p rice range o f a cc e p te d bids. O n ly th o se
s u b m ittin g c o m p e titiv e ten d ers w ill b e a d v ise d o f th e a ccep ta n ce or rejectio n th ereof. T h e S ecreta ry o f t h e T reasu ry ex p ressly
r eserv es th e rig h t to a c c e p t or reject a n y or a ll ten d ers, in w h o le or in part, a n d h is a ctio n in a n y su ch resp ect sh all b e final. S u b ­
j e c t to th e se reservations, n o n c o m p e titiv e ten d e rs for each issu e for $ 2 0 0 ,0 0 0 or less w ith o u t sta ted p rice from a n y o n e b id d er w ill
b e a cc e p te d in fu ll a t t h e a vera ge p rice ( in th r ee d e c im a ls) o f a cc e p te d c o m p e titiv e b id s for th e re sp e c tiv e issu es. S e ttle m e n t for
a c c e p te d ten d e rs in a ccord an ce 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 t h e F ed era l R e s e r v e B a n k on A p ril 13, 1972,
in ca sh or o th er im m e d ia te ly a v a ila b le fu n d s or in a lik e fa c e a m o u n t o f T rea su ry b ills m atu rin g A p ril 13, 1972. C ash and
ex ch a n g e ten d ers w ill r e ce iv e e q u a l trea tm en t. C ash a d ju stm en ts w ill b e m a d e for d ifferen ces b e tw e e n t h e p ar v a lu e o f m atu rin g
b ills a cc e p te d in ex ch a n g e and th e issu e p rice o f t h e n ew bills.
U n d er S e c tio n s 4 5 4 ( b ) an d 1221 ( 5 ) o f th e In tern al R e v e n u e C o d e o f 19 54 th e a m o u n t o f d isco u n t a t w h ich b ills issu ed
h ereu n d er are so ld is con sid ered to accrue w h en t h e b ills are sold, red eem ed or o th erw ise d isp osed of, and t h e b ills are exclu d ed
from con sid era tio n a s ca p ita l a ssets. A cco rd in g ly , t h e ow n er o f T rea su ry b ills ( o th e r th a n life insu ran ce c o m p a n ie s) issu ed h ere­
u n d er m u s t in clu d e in h is in co m e tax return, a s ord in ary g ain or loss, th e d ifferen ce b etw een t h e p rice p a id for th e b ills, w h eth er on
orig in al issu e or on su b seq u e n t p u rch ase, an d t h e a m o u n t a ctu a lly rece iv ed e ith er u p o n sa le or red em p tio n a t m a tu rity du rin g th e
t a x a b le y ea r for w h ich t h e return is m ade.
T r ea su ry D e p a r tm e n t C ircular N o . 4 1 8 (cu rren t re v is io n ) an d th is n o tice, p rescrib e th e term s o f th e T rea su ry b ills and
g ov ern t h e c o n d itio n s o f their issue. C o p ie s o f t h e circular m a y b e o b ta in ed from a n y F ed era l R e s e r v e B a n k or B ranch.

In a c c o r d a n c e w ith t h e a b o v e a n n o u n c e m e n t , t e n d e r s will b e r e c e iv e d a t this b a n k a n d its b r a n c h e s a t El P aso ,
H o u sto n a n d S an A n to n io u p to tw e l v e - th ir ty p .m ., C e ntral S t a n d a r d Time, M o n d a y , April 10, 1 972 . T e n d e rs m a y n o t
b e en tered by te lephone.
Y ours v ery truly,
P. E. C o ld w ell
P re sid e n t
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 er s
9 1 - D a y B ills
D u e J u ly 6, 1972
$ 3 ,9 8 2 ,1 1 5 ,0 0 0 __________________
$ 2 ,3 0 0 ,1 7 0 ,0 0 0 __________________
P r ic e
Y ie ld
9 9 .0 6 0 _____________ 3 .7 1 9 % _____
9 9 .0 3 4 _____________ 3 .8 2 2 % _____
9 9 .0 4 0 _____________ 3 .7 9 8 % (1 )

..T o ta l A p p lie d For_
T o ta l A c c e p te d .__
...H ig h ....
L o w ___
-A v e r a g e .

1 8 2 -D a y B ills
D u e O cto b er 5, 1972
----------------------------$ 3 ,5 0 7 ,9 9 5 ,0 0 0
----------------------------$ 1 ,8 0 0 ,2 9 5 ,0 0 0
P r ic e
Y ie ld
.9 7 .8 2 0 _____________ 4 .3 1 2 %
9 7 .7 8 0 _____________ 4 .3 9 1 %
-97.792______________ 4 .3 6 7 % (1 )

( 1 ) T h e s e r a t e s a r e o n a b a n k d is c o u n t b a sis. T h e e q u iv a le n t c o u p o n issu e y ie ld s a r e 3 . 8 9 % fo r th e 9 1 - d a y b ills a n d 4 . 5 3 % fo r th e
1 8 2 -d a y b ills.

(S ee reverse for tender 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 January 1 3,1 9 7 2

Maturing July 13,1972

To: Federal Reserve Bank, Station K, Dallas, T exas 75222
or —
The___________________________ Branch
El Paso 79999 Houston 77001

San Antonio 78295

(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 a t the rate indicated.

NONCOMPETITIVE T E N D E R $_________________________________________ NOT TO 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.
a.
Prices should be ex­
*----------------------------------pressed on the basis of
<
»
100, with not more than
COMPETITIVE T EN D E R S
-@ v----------------------------------th re e decim al places,
$
e. g., 99.925. Fractions
^
m ust not be used.
jg lP TENDERS MAY NOT BE ACCEPTED BY TELEPHONE. TENDERS BY WIRE, IF RECEIVED BEFORE THE
CLOSING HOUR, ARE ACCEPTABLE.
Denominations Desired
N u m b e r of
pieces

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

M a tu rity V alue

<> $
g

10,000 $

<> $
§

15,000 $

@ $

50,000 $

□
□

@ $ 100,000 $

By m aturing bills
held by________________________________
Paym ent to be made by________________

□

Charge our reserve account on paym ent
date
[ 1 D raft enclosed (E ffectnal delivery o f enclosed d r a f t

< > $ 500,000 $
3
@ $1,000,000 $

s h a ll be on l a t e s t d a y w h i c h will p e r m i t p r e s e n t m e n t in
o r d e r to o b t a i n i r r e v o c a b l y c o lle c te d f u n d s o n p a y m e n t
d ate)

D elivery Instructions:
□
□

Pledge to secure Treasury Tax and
Loan Account

(S u b s c r i b e r 's full n a m e o r c o r p o r a t e title)

Hold in Custody Account— Member
banks fo r own account only

(A dd ress)

By_
( A u t h o r i z e d o f f i c ia l s i g n a t u r e a n d t i t l e )

□

Ship to------------------------------------------( F o r t h e a c c o u n t o f , i f t e n d e r is f o r a n o t h e r s u b s c r i b e r )

(A d d ress)

IMPORTANT
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 a fter 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.
8. 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, by---------------------------------------------------------------- ,
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 de disregarded.
(See reverse fo r announcement)

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