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F ederal reserve Bank of Dallas
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. 72-262
November 14, 1972

NEW OFFERING — TREASURY BILLS
To All B a n k in g Institutions 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 se rv 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 t w o iss u e s o f T re a s u ry bills:
T h e T rea su ry D ep a rtm e n t, b y th is p u b lic n o tic e, in v ite s ten d e rs 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 o u n t
o f $ 4 ,3 0 0 ,0 0 0 ,0 0 0 , or therea b ou ts, for cash an d in ex ch a n g e for T rea su ry b ills m a tu rin g N o v e m b e r 2 4 , 197 2, in t h e a m o u n t o f
$ 4 ,1 0 2 ,6 8 0 ,0 0 0 , as follo w s:
9 0 - D A Y B I L L S ( t o m a tu rity d a te ) to b e issu ed N o v e m b e r 24, 1972, in t h e a m o u n t o f $ 2 ,4 0 0 ,0 0 0 ,0 0 0 , or th e r e ­
ab o u 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 A u g u st 24 , 197 2 , an d to m atu re F eb ru ary 22 , 1973
( C U S I P N o . 9 1 2 7 9 3 Q G 4 ) , o rg in a lly issu ed in th e a m o u n t o f $ 1 ,8 0 0 ,5 4 0 ,0 0 0 , t h e ad d itio n a l an d orig in al b ills
to b e fr e e ly in terch an gable.
1 8 1 -D A Y B I L L S for $ 1 ,9 0 0 ,0 0 0 ,0 0 0 , or th ereab o u ts, to b e d a ted N o v e m b e r 24 , 197 2 , a n d t o m a tu re M a y 24, 1973
(C U S IP N o. 912793 Q V 1 ).
T h e b ills o f b o th series w ill b e issu ed o n a d iscou n t b a sis un d er c o m p e titiv e a n d n o n c o m p e titiv e b id d in g a s h erein a fter
p ro v id ed , and 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 e n 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 a n 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 rece iv ed a t F ed era l R e s e r v e B a n k s an d B ranches u p to t h 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 , N o v e m b e r 20 , 1972. T e n d er s w ill n o t b e r e ce iv ed a t t h e T reasu ry D e p a r tm e n t, W ash in g to n . E a ch
ten d e r m u st be for a m in im u m o f $ 1 0 ,0 0 0 . T e n d er s o v er $ 1 0 ,0 0 0 m u st b e in m u ltip le s o f $ 5,0 00 . In th e case o f c o m p e titiv e
ten d e rs th e p rice offered m u st b e exp ressed o n th e b a sis o f 100, w ith n o t m o re th a n th r ee 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. It is urged th a t ten d ers be m a d e o n t h e p rin ted fo rm s an d forw arded in th e sp ec ia l e n v e lo p e s w h ich w ill b e
s u 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 accou n t o f cu sto m ers p ro v id ed t h e n a m e s o f t h e cu sto m ers are
s e t fo rth in such ten ders. O ther th a n b an k in g in stitu tio n s w ill n o t b e p erm itted t o su b m it ten d ers 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 r e ce iv ed w ith o u t d e p o sit from in corp orated b an k s and tru st c o m p a n ie s an d from resp o n sib le a n d reco g n ized
d ea lers in in v e stm e n t secu rities. T e n d er s from oth 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 ercen 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 th e ten d e rs are a cco m p a n ied b y an exp ress guaran ty o f p a y m e n t b y a n in corp orated b an k or
tru st com p a n y.
Im m e d ia te ly a fter t h e clo sin g hour, ten d e rs w ill b e o p en ed a t th e F ed e r a l R e s e r v e B a n k s an 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 em en t w ill b e m a d e b y t h e T reasu ry D e p a r tm e n t o f th e am ou n t and p rice range o f a cc e p te d bids. O n ly th o se
su b m ittin g c o m p e titiv e ten d e rs w ill b e a d v ised o f t h e a ccep ta n ce or rejectio n thereof. T h e S ecreta ry o f th e T rea su ry ex p ressly
reserv es th e rig h t to a c c e p t or reject a n y or all ten ders, in w h o le or in part, an d h is a ctio n in a n y such r e sp ect sh a ll 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 bid der w ill
b e a cc e p te d in fu ll a t t h e a v erag e p rice ( in th r e e d e c im a ls) o f a c c e p te d c o m p e titiv e b id s for t h e r e s p ectiv 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 b id s m u s t b e m a d e or co m p le te d a t th e F ed era l R e s e r v e B a n k on N o v e m b e r 24, 1972,
in cash or oth er im m e d ia te ly a v a ila b le fu n d s or in a lik e face a m o u n t o f T rea su ry b ills m atu rin g N o v e m b e r 24, 1972. C ash and
ex ch a n g e ten d ers w ill r e ce iv e eq 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 th e p ar v a lu e o f m atu rin g
b ills a c c e p te d in ex ch a n g e an d t h e issu e p r ice o f th e n ew b ills.
U n d er S e c tio n s 4 5 4 ( b ) an d 1221 ( 5 ) o f t h e In tern a l R e v e n u e C o d e o f 1 9 5 4 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 sold is co n sid ered to accru e w h e n th e b ills are sold, red eem ed or o th erw ise d isp osed o f, a n d t h e b ills a re ex clu d ed
fro m co n sid er a tio n a s ca p ita l assets. A ccord in gly, th 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 st in clu d e in h is in com e tax return, a s ord inary g ain or loss, th e d ifferen ce b e tw e e n th e p rice p a id for th e b ills, w h eth er
o n o rigin al issu e or on su b seq u e n t purch ase, a n d th e a m o u n t a ctu a lly rece iv ed eith er u p o n sa le or r ed em p tio n a t m a tu rity d uring
t h e ta x a b le year for w h ich t h e retu rn is m ad e.
T r ea su ry D e p a r tm e n t Circular N o . 4 1 8 (cu rren t r e v is io n ) an d th is n o tic e, p rescrib e t h e term s o f th e T r ea su ry b ills an d
g o v ern t h e co n d itio n s o f th e ir issu e. C o p ies o f t h e circular m a y b e o b ta in ed from a n y F e d e r a 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 a s o ,
Houston a n d S a n A n to n io u p to tw e l v e - th ir ty p .m .. C e n tral S t a n d a r d Time, M o n d a y , N o v e m b e r 20, 1 9 7 2 . T e n d e rs m a y
not b e e n t e r e d b y t e l e p h o n e .
Y ours v e ry truly,
P. E. C old w e ll
________________

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
3 -M o n th B ills
6 -M o n th B ills
D u e F eb ru a ry 15, 1 97 3
D u e M a y 17, 19 73
$ 3 ,9 2 5 ,8 2 5 ,0 0 0 ------------------------------------------------------T o ta l A p p lie d F o r -------------------------------------------------------$ 3 ,9 0 6 ,3 2 0 ,0 0 0
$ 2 ,4 0 2 ,0 9 0 ,0 0 0 -------------------------------------------------------- T o t a l A c c e p t e d --------------------------------------------------------- $ 1 ,9 0 0 ,8 0 0 ,0 0 0
P r ic e
Y ie ld
P r ic e
Y ie ld
9 8 .8 0 2
4 .7 3 9 % -------------------------------------------- H ig h ---------------------------------------9 7 .4 5 0 ____________ 5 0 4 4 %
9 8 .7 8 9
4 .7 9 1 % ---------------------------------------------L o w __________________________9 7 .4 .3 1 _______
q 08245,
9 8 .7 9 3
4 .7 7 5 % ( 1 ) -----------------------------------A v e r a g e ------------------------------------ 9 7 .4 3 7 _____________ 5^070% ( 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 cou p o n issu e y ie ld s a r e 4 . 9 0 % fo r th e 3 - m o n th b ills a n d S 2 8 o f

the

6 - m o n t h h ills.

/O

(S ee reverse for tender form )

fn ,

101

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

90 DAYS TO MATURITY
Dated A u gust 24,1972

Maturing February 22,197 3

T o : Federal Reserve Bank, Station K, Dallas, T exas 75222
or —
The____________________
Branch
El Paso 79999

Houston 77001

San Antonio 78295

(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 T E N D E R $_______________________________________

-NOT TO EX 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.
Prices should be
expressed on th e
basis of 100, with
not more than three
decimal places, e.g.,
99.925. F ra c tio n s
must not be used.

COMPETITIVE T E N D E R S
_(n)_

i S f TENDERS MAY NOT BE ACCEPTED 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
B y m a tu r in g b ills
h eld b y------------------------------------

Denominations Desired
N u m b e r of
pieces

M a tu r it y V alue

m

$

10,000 $

<® ?

15,000 $

$
<® $

50,000

□

□

%

100,000 ?

P a y m e n t to be m a d e by.

□ C harge our r e se r v e account on p a y m e n t
date
□ D r a f t enclosed

< > $ 500,000 $
a
<® $1 ,000,000 ?

( E f f e c t u a l d e liv e ry o f e nc lose d d r a f t
a h a l] b e o n l a t e s t d a y w h i c h wil l 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 llected f u n d s o n p a y m e n t
date)

D eliv e r y In str u c tio n s:
□
□

P le d g e to secu re T rea su ry T a x and
L oan A ccou n t

(S u b s c rib e r's full n a m e o r c o rp o r a te title )

Hold in C u stod y A cco u n t— M em ber
banks fo r ow n accoun t only

(A ddress)

B y( A u t h o r i z e d of fi 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 )

(Addreu)

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 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 a t 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 be disregarded
(See reverse for announcement)

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