View PDF

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

F ederal Reserve Bank o f 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. 73-133
June 5, 1973

NEW OFFERING — TREASURY BILLS
To All Banking Institutions a n d Others Concerned
in th e Eleventh Federal Reserve District:
Your atten tion is invited to the following sta 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 ites te n d e rs fo r tw o series of T re a su ry bills to th e agg reg ate a m o u n t
o f $4,200,000,000, o r th ereab o u ts, fo r cash a n d in exchange for T re a su ry bills m a tu rin g J u n e 14, 1973, in th e a m o u n t of
$4,302,365,000, a s follow s:
91-D A Y B IL L S (to m a tu rity d a te ) to b e issued J u n e 14, 1973, in th e a m o u n t of $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 b ills d a te d M arch 15, 1973, a n d to m a tu re S e p te m b e r 13, 1973 (C U S I P
N o. 912793 R U 2 ) , o riginally issued in th e a m o u n t of $1,801,040,000, th e a d d itio n a l a n d o rig in al b ills to b e
fre ely in terch an g eab le.
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 J u n e 14, 1973, a n d to m a tu re D e c em b er 13, 1973
(C U S I P No. 912793 S H 0 ) .
T h e b ills of b o th series will b e issued o n a disc o u n t 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 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 will 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 fo rm only, a n d 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 ).
T e n d e rs will b e re ce iv e d a t F e d e ra l R e se rv e B a n k s a n d B ranches 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 Savin g T im e , M o n d ay , J u n e 11, 1973. T e n d e rs w ill n o t be received 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 be 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. I n th e case of co m p e titiv e
te n d e rs th e p rice offered m u s t b e expressed o n th e basis of 100, w ith n o t m o re 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 th 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 forw arded in th e special envelopes w hich w ill be
su p p lie d 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 o n a p p lic a tio n th erefor.
B a n k in g in stitu tio n s g en erally m a y su b m it te n d e rs fo r a cco u n t of custom ers p ro v id ed th e n am es of th e c u sto m e rs a re
s e t fo rth in such ten d ers. O th e rs th a n b an 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 fo r th e ir ow n account.
T e n d e rs w ill b e receiv ed w ith o u t d ep o sit fro m in co rp o ra ted b a n k s a n d tr u s t com panies a n d fro m respon sible a n d recognized
d e ale rs in in v e stm e n t securities. T e n d e rs from o th ers m u st be acco 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 s u ry b ills a p p lie d for, un less th e te n d e rs a re acc o m p an ied b y a n express g u a ra n ty of p a y m e n t b y a n in c o rp o ra ted b a n k or
tr u s t com pany.
Im m e d ia te ly a f te r th e closing hou r, te n d e rs w ill 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 ches, 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 ric e range of a cc ep te d bids. O nly those
su b m ittin g co m p e titiv e te n d e rs w ill b e a d v ised of th e acc ep ta n ce o r reje ctio n thereof. T h e S e c retary of th e T re a su ry expressly
re se rv e s th e rig h t to a cc ep t or 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 h is a ctio n in a n y such re sp e ct shall b e final. S u b ­
je c t to th e s e reservation s, n o n c o m p e titiv e te n d e rs fo r each issue for $200,000 o r less w ith o u t sta te d p rice from a n y o ne b id d e r will
b e a cc ep te d in fu ll a t th e a v erag e p rice ( in th re e de cim als) of a cc 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 c c e p te d te n d e rs in acco rdan ce w ith th e b ids m u s t b e m a d e or c o m p leted a t th e F e d e ra l R e se rv e B a n k on J u n e 14, 1973,
in cash o r o th e r im m e d ia tely 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 J u n e 14, 1973. C ash a n d
e xch ang e te n d e rs w ill receive eq u al t r e a t m e n t C ash a d ju s tm e n ts w ill be m ad e fo r differences b etw een th e p a r v a lu e of m a tu rin g
b ills 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 45 4 ( b ) a n d 1221 ( 5 ) of 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 bills issued
h e re u n d e r a re sold is considered to accru e w h en th e bills a re sold, re d ee m e d or oth erw ise disposed of, a n d th e b ills a re excluded
fro m co n sid era tio n a s c a p ita l assets. A ccordingly, th e ow ner o f T re a su ry bills (o th e r th a n life in surance c o m p a n ies) issued h e re ­
u n d e r m u s t include in h is incom e ta x re tu rn , a s o rd in a ry gain or loss, th e d ifference b etw een th e p rice p a id fo r th e bills, w h e th er
o n o rig in a l issue o r on su b seq u e n t pu rch ase, a n d th e a m o u n t a c tu a lly received e ith e r u p o n sale o r re d e m p tio n a t m a tu rity d u rin g
th e ta x a b le y e a r fo r w hich th e r e 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. 41 8 (c u rre n t re v isio n ) a n d th is n otice, p re sc rib e th e te rm s of th e T re a su ry b ills a n d
go v ern th e con ditio ns of th e ir issue. C o pies o f th e c irc u lar m a y b e 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 acc o 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, tend ers will b e received a t this b a n k a n d its b ra n ch e s a t El Paso,
Houston a n d San Antonio up to twelve-thirty p.m., Central Daylight Saving Time, M o nday, J u n e 11, 1973. Tenders m ay
lot be e n te re d by tele p h o n e.
Yours very truly,
P. E. Coldwell
President
LAST PREVIOUS OFFERING OF TREASURY BILLS
A m oun t, R a n g e a n d A p p ro x im ate Y ie ld of A c cep ted T e n d e rs
3-M o n th B ills
6 -M o n th B ills
D u e S e p te m b e r 6, 1973
D u e D e c em b er 6, 1973
$3,422,900,000--------------------------------------------------.T o ta l A p p lied F o r --------------------------------------------------- $3,398,055,000
$2,500,370,000__________________________________ T o ta l A c c ep ted ___________________________________$1,706,780,000
P ric e
Y ie ld
P ric e
Y ield
98.229____________ 7.0 0 6 % ------------------------------------------- H ig h _______________________ 96.386____________ 7.149%
98.185____________ 7 .1 8 0 % --------------------------------------------L ow _______________________ 96.350____________ 7.220%
98.197------------------ 7.133% ( 1 ) --------------------------------- A v erag e_____________________ 96.355____________ 7.210% (1 )
( 1 ) T h e s e ra tes are on a b ank d iscou nt basis. T h e eq u iv a le n t coupon issue y ie ld s are 7 .3 6 % for th e 3 -m on th b ills an d 7 .5 9 % for
th e 6 -m o n th bills.

(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 September 13,1973

Dated March 15,1973
To: Federal Reserve Bank, Station E, Dallas, Texas 75222
or —
The________________________ Branch
El Paso 79999

Houston 77001

San Antonio 78295

(Date)

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.

N ON COMPETITIVE TENDER $_______________________________________ NOT TO EXCEED $200,000
Noncompetitive tenders for $200,000 or less from any bidder, without stated price, will be accepted in full a t the average
price (in three decimals) of accepted competitive bids.
^

^

IS

(n)

$

$

(ft)

|$

(ft)

?
$

$

@

$

(^

COMPETITIVE TENDERS
\

Prices should be
ex p ressed on th e
basis of 100, w ith
not more than three
decimal places, e.g.,
99.925. F ra c tio n s
must not be used.

t S T TENDERS MAY NOT BE ACCEPTED BY TELEPHONE. TENDERS BY WIRE, IF RECEIVED BEFORE THE

CLOSING HOUR ARE ACCEPTABLE.
Denominations Desired
Number of
pieces

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

Maturity Value

10,000 $_
_® $

□

15.000 $_
□

50.000 $_
100,000

$_

By maturing bills
held by_____________________________
Payment to be made by_____________

□

Charge our reserve account on payment
date
| [ Draft enclosed (Effectual delivery of enclosed d r a ft

500,000 $_
_ @ $ 1 ,0 0 0 ,0 0 0 $_

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

□

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

□
□
□

(Subscriber’s full name or corporate title)

(Address)

By-

(Authorized official signature and title)
( For the account of, if tender is for another subscriber)

Other----------------------------------------

(Address)

IMPORTANT
1. No tender for less than $10,000 will be considered and each tender over $10,000 m ust 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 th e
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 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 (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