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F ederal Reserve Bank o f 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 7 5 2 2 2
C ircu la r N o. 73-119
M a y 18, 1973

NEW OFFERING — TREASURY BILLS
To All Banking Institutions a n d Others Concerned
in th e Eleventh Federal Reserve District:
Your atte n tio n is invited to the following s ta te m e n t giving details of two issues of Treasury bills:
T h e T re a su ry D e p a rtm e n t, b y th is p u b lic notice, in v ite s te n d e rs fo r tw o series of T re a su ry bills to th e ag g reg ate a m o u n t
of $4,200,000,000, o r th ere ab o u ts, for cash a n d in exchange for T re a su ry b ills m a tu rin g M a y 31, 1973, in th e a m o u n t of
$6,004,980,000, as follow s:
91-D A Y B IL L S (to m a tu rity d a te ) to b e issued M a y 31, 1973, in th e a m o u n t o f $2,500,000,000, o r th ere ab o u ts,
re p re se n tin g a n a d d itio n al a m o u n t of bills d a te d M a rc h 1, 1973, a n d to m a tu re A u g u st 30, 1973 (C U S I P
No. 912793 R S 7 ) , o riginally issued in th e a m o u n t of $1,800,425,000, th e a d d itio n a l a n d original bills to be
fre e ly interchang eable.
182-D A Y B IL L S fo r $1,700,000,000, o r th ere ab o u ts, to be d a te d M a y 31, 1973, a n d to m a tu re N o v e m b er 29, 1973
( C U S IP N o. 912793 S F 4 ).
T h e b ills of b o th series w ill b e issued on a d isc o u n t basis u n d e r co m p e titiv e a n d n o n co m p e titiv e b id d in g as h e re in a fte r
p ro v id ed , a n d a t m a tu rity th e ir face a m o u n t w ill b e p a y ab le w ith o u t in terest. T h e y w ill b e issued in b e a re r form only, a n d in
de 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 ).
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 ran ch es u p to th e closing hour, o n e -th irty p.m ., E a s te rn
D a y lig h t S av in g tim e, F rid a y , M a y 25, 1973. T e n d e rs w ill n o t b e receiv ed a t th e T re a su ry D e p a rtm e n t, W ashing ton . E a c h
te n d e r m u st b e for a m in im u m of $10,000. T e n d e rs over $10,000 m u st be in m u ltip le s of $5,000. In th e case of co m p e titiv e
te n d e rs th e p rice offered m u st be exp ressed o n 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 b e used. I t is u rg e d t h a t te n d e rs b e m ad e o n th e p rin te d form s a n d fo rw arded in th e special e n v elopes w hich w ill b e
su p p lied b y F e d e ra l R e se rv e B a n k s o r B ra n ch e s on a p p lic a tio n th erefor.
B a n k in g in stitu tio n s gen erally m ay s u b m it te n d e rs for acc o u n t of cu sto m ers p ro v id ed th e na m e s of th e cu sto m ers are
set fo rth in such ten d ers. O th ers th a n b a n k in g in stitu tio n s w ill n o t be p e rm itte d to su b m it te n d e rs ex cep t for th e ir ow n account.
T e n d e rs w ill b e re ce iv e d w ith o u t d e p o sit fro m in co rp o ra ted b a n k s a n d tr u s t c o m pan ies a n d from respon sible a n d recognized
dealers in in v e stm e n t securities. T e n d e rs from o th ers m u s t be a cco m p an ied b y 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
T re a su ry b ills a p p lie d for, unless th e te n d e rs a re a cco m p an ied 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 fte r th e closing hou r, te n d e rs will b e 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 a n d B ran ch es, follow ing w hich
p u b lic a n n o u n c e m e n t w ill b e m ad e b y 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 o f a cc ep te d bids. O n ly th o se
su b m ittin g c o m p e titiv e te n d e rs w ill b e ad v ised o f th e acc ep ta n ce o r re je ctio n th ereo f. T h e S e c re ta ry of th e T re a su ry expressly
reserves th e rig h t to a c c e p t o r re je c t a n y o r a ll ten d e rs, in w hole or in p a rt, a n d his a ctio n in a n y such re sp e c t shall b e final. S u b ­
je c t to th e se reserv atio n s, n o n co m p e titiv e te n d e rs fo r each issue fo r $200,000 or less w ith o u t sta te d p rice from a n y o n e b id d e r will
be acc ep te d in fu ll a t th e av erag e p rice (in th re e de cim als) o f acc ep te d co m p e titiv e b ids fo r th e re sp e ctiv e issues. S e ttle m e n t for
a cc ep te d te n d e rs in acco rdan ce w ith th e b id s m u st b e m ad e o r c o m p le te d a t tb e F e d e ra l R e se rv e B a n k o n M a y 31, 1973,
in cash o r o th e r im m e d ia te ly a v ailab le fu n d s or in a lik e face a m o u n t of T re a su ry b ills m a tu rin g M a y 31, 1973. C ash a n d
exchange te n d e rs w ill receive eq u al tre a tm e n t. C ash a d ju s tm e n ts w ill be m ad e for differences b e tw ee n th e p a r v a lu e of m a tu rin g
bills a cc ep te d in exchange a n d th e issue p rice o f th e new bills.
U n d e r S ectio ns 454 ( b ) a n d 1221 ( 5 ) o f th e In te rn a l R e v e n u e C ode of 1954 th e a m o u n t of d isco u n t a t w hich b ills issued
h e re u n d e r a re sold is considered to accrue w hen th e bills a re sold, re d ee m e d o r oth erw ise disposed of, a n d th e b ills a re excluded
fro m co n sid era tio n as c a p ita l assets. A ccordingly, th e ow ner of T re a su ry bills (o th e r th a n life in su ran ce c o m p a n ies) issued h e re ­
u n d e r m u st includ e in h is incom e ta x re tu rn , a s o rd in a ry gain or loss, th e difference b e tw ee n th e p ric e p a id fo r th e bills, w h e th er
on orig in al issue o r o n su b seq u e n t p urch ase, a n d th e a m o u n t a c tu a lly received e ith e r up on sale o r re d e m p tio n a t m a tu rity du rin g
th e ta x a b le y e a r fo r w hich th e re tu r n is m ade.
T re a su ry D e p a rtm e n t C ircu la r N o. 418 (c u rre n t re v isio n ) a n d th is notice, p rescrib e th e te rm s of th e T re a su ry b ills a n d
govern th e con ditio ns of th e ir issue. C opies o f th e c irc u lar m a y b e o b tain e d from a n y F e d e ra l R e se rv e B a n k o r B ranch.

In acco rd a n c e with th e a b o v e a n n o u n c e m e n t, tenders will b e received a t this b a n k a n d its bra n c h e s a t El Paso,
Houston a n d San Antonio up to tw elve-thirty p.m., Central Daylight Saving Time, Friday, M ay 25, 1973. Tenders m a y
not b e e n tere d by te le p h o n e .
Yours very truly,
P. E. Coldwell
President

Figures c o n c e rn in g offering o f 9 1 -D ay Treasury Bills maturing A ugust 2 3 , 1 9 7 3 , a n d 1 8 3 -D a y Treasury Bills m aturing N o v em ­
ber 2 3 , 1 9 7 3 , not a v a i la b l e w h e n this circular w a s prin ted .

( S e e 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
Maturing August 30, 1973

Dated March 1,1973
To: Federal Reserve Bank, Station K, Dallas, Texas 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 at the rate indicated.

CLOSING

DATE — FRIDAY, M Y
A

25, 1973

NONCOMPETITIVE TENDER $_______________

Noncompetitive tenders for $200,000 or less from any bidder, without stated price, will be accepted in full at the average
price (in three decimals) of accepted competitive bids.
Prices should be
_<g'_
exp ressed on th e
basis of 100, with
not more than three
COMPETITIVE TENDERS <$
decimal places, e.g.,
-(a )99.925. F ra c tio n s
must not be used.
nggp TENDERS MAY NOT BE ACCEPTED BY TELEPHONE. TENDERS BY WIRE, IF RECEIVED BEFORE THE
CLOSING HOUR ARE ACCEPTABLE.

OBSERVE

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

Denominations Desired
Number of
pieces

M aturity Value

$

10,000 $

Jt $
'
Jn $

□

50,000 $_

By maturing bills
held by------------------------------------------- Payment to be made by___________ __

15,000 $_
□

$ 100,000 $_

□

_@$ 500,000 $_

|

$1,000,000 $_

I

Charge our reserve account on payment
date
Draft enclosed (E ffectual delivery of enclosed d ra ft
shall be on latest day which will permit presentm ent
in order to obtain irrevocably collected funds on p ay­
m ent date)

Delivery Instructions:
□

Hold in Custody — General Account

□

PLEASE

NOT TO EXCEED $200,000

Hold in Custody — Investment Ac­
count
Hold in Custody — Trust Account
Pledge to secure Treasury Tax and
Loan Account
Other.—. ------------------------------------

□
□
□

(Subscriber’s full name or corporate title)

(Address)

By-

(A u th o rized official s ig n a tu re a n d title )
(F or the account of* if tender is for another subscriber)

(Address)

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.
Any qualified or conditional tender will be rejected.
If a corporation makes the tender, the form should be signed by an officer of the corporation authorized to make th e
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 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 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