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F E D E R A L R E S E R V E B A N K OF D A LL A S
F IS C A L A G E N T O F T H E UNIT ED ST A T E S

DALLAS, TEXAS 7 5 2 2 2
C ircu la r No. 73-203
A u gust 14, 1973

NEW OFFERING — TREASURY BILLS
To All Banking Institutions a n d Others Concerned
in the Eleventh Federal Reserve District:
Your attentio n is invited to the following sta te m e n t giving details of tw o issues of Treasury hills:
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, inv ites ten d e rs for tw o series of T re a su ry bills to th e ag gregate a m o u n t
of $4,300,000,000, or th ereab o u ts, for cash a n d in exchange for T re a su ry bills m a tu rin g A ug ust 23, 1973, in th e a m o u n t of
$4,302,280,000, as follow s:
92-D A Y B IL L S (to m a tu rity d a te ) to be issued A ugust 23, 1973, in th e a m o u n t of $2,500,000,000, or th ere ab o u ts,
re p rese n tin g a n ad d itio n al a m o u n t of bills d a te d M ay 24, 1973, a n d to m a tu re N o v em b er 23, 1973 (C U S IP
No. 912793 S E 7 ) , orig in ally issued in th e a m o u n t of $1,700,955,000, th e ad d itio n al a n d original bills to be
fre ely interch an geable.
182-D A Y B IL L S for $1,800,000,000, or th ere ab o u ts, to be d a te d A ugu st 23, 1973, a n d to m a tu re F e b ru a ry 21, 1974
(C U S I P No. 912793 S Z 0 ).
T h e bills of b o th series will be issued on a d iscoun t basis u n d e r c o m p etitiv e a n d n o n co m p etitiv e b id d in g as h e re in a fte r
p ro vid ed, a n d a t m a tu rity th e ir face am o u n t will be p ay ab le w ith o u t interest. T h e y w ill be issued in b e are r fo rm only, a n d in
d en o m in atio n s of $10,000, $15,000, $50,000, $100,000, $500,000 a n d $1,000,000 (m a tu rity v a lu e ).
T e n d e rs w ill be received a t F e d e ra l R eserve B anks an d B ranch 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 Sav ing T im e , M ond ay , A ugu st 20, 1973. T e n d e rs will n o t be receiv ed a t th e T re a su ry D e p a rtm e n t, 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 over $10,000 m u st be in m u ltip les 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 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 ay
n o t be used. I t is urged th a t ten d e rs be m ad e on th e p rin te d form s a n d fo rw ard ed in th e special envelo pes w hich w ill be
su p p lied by F e d e ra l R eserv e B an k s or B ran ch es on a p p lic atio n th erefor.
B a n k in g in stitu tio n s generally m ay su b m it ten d e rs for a cc o u n t of custom ers p ro v id ed th e nam es of th e cu stom ers a re
se t fo rth in such tenders. O th e rs th a n b an k in g in stitu tio n s will n o t be p e rm itte d to su b m it ten d e rs ex cep t for th e ir own a c c o u n t
T en d e rs w ill be received w ithou t d ep o sit from in co rp o ra ted b an k s an d tr u s t co m panies a n d from resp onsible 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 st be accom pan ied 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
T rea su ry bills a p p lie d for, unless th e ten 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
tru st com pany.
Im m e d ia te ly a fte r th e closing hour, te n d e rs will b e op ened a t th e F e d e ra l R eserv e B a n k s a n d B ranches, follow ing w hich
p u b lic an n o u n ce m en t will be 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 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 will b e ad vised of th e a ccep tan ce or re jectio n thereof. T h e S e c retary of th e T re a su ry expressly
reserves th e rig h t to a cc ep t or re je c t a n y or a ll tend ers, in w hole or in p a rt, a n d his actio n in a n y such re sp e ct shall b e final. S u b ­
jec t to th ese reservations, n o n c o m p e titiv e ten d e rs for each issue for $200,000 or less w ith o u t sta te d price fro m a n y one b id d er will
be a ccep ted in full a t th e av erage p rice (in th re e decim als) of acc ep te d co m p e titiv e bid s for th e resp ectiv e issues. S e ttle m e n t for
a ccep ted ten d e rs in accordance w ith th e bids m u st be m ad e or co m p leted a t th e F e d e ra l R eserv e B a n k on A ugust 23, 1973,
in cash or o th e r im m e d ia tely av ailab le fu nds or in a like face am o u n t of T re a su ry bills m a tu rin g A ugust 23, 1973. C ash a n d
exchange te n d e rs will receive eq ual tre a tm e n t. C ash a d ju stm e n ts w ill be m ad e for differences b etw een th e p a r value of m a tu rin g
bills a cc ep te d in exchange a n d th e issue p rice of th e new bills.
U n d e r Section s 454 (b ) a n d 1221 ( 5 ) of th e In te rn a l R ev en u e Code of 1954 th e a m o u n t of discoun t a t w hich b ills issued
h e reu n d e r a re sold is con sidered to accrue w hen th e bills a re sold, re d eem ed or o therw ise disposed of, a n d th e b ills a re excluded
from c o n sid eratio n as c ap ital assets. A ccordingly, th e ow ner of T rea su ry bills (o th e r th a n life insurance co m p an ies) issued here­
u n d e r m u st inclu de in his incom e tax re tu rn , as o rd in ary gain or loss, th e difference b etw een th e price p a id for th e bills, w h e th er
on o riginal issue or on su b seq u e n t pu rchase, 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 or re d e m p tio n a t m a tu rity d u rin g
th e tax a b le y e ar for w hich th e re tu rn is m ade.
T re a su ry D e p a rtm e n t C ircu lar No. 418 (c u rre n t rev isio n ) a n d th is notice, pre sc rib e th e te rm s of th e T re a su ry bills a n d
govern th e cond ition s of th e ir issue. C opies of th e circu lar m ay 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 or B ranch.

In a ccordance with the a b o v e a n n o u n c e m e n t, ten ders will b e received a t this b a n k a n d its b ranches a t El Paso,
Houston a n d San Antonio up to twelve-thirty p.m., Central Daylight Saving Time, M o nd ay, A ugust 20, 1973. Tenders may
not be e n te re d by te leph on e.
Yours very truly,
P. E. Coldwell
President
LAST PREVIOUS OFFERING OF TREASURY BILLS
A m ount, R a n g e a n d A p p ro x im ate Y ield of A ccep ted T e n d e rs
3 -M onth B ills
6-M o n th B ills
D u e N o v em b er 15, 1973
D u e F e b ru a ry 14, 1974
$3,752,205,000
-T otal A p p lied F o r_________________________________ $3,685,525,000
$2,500,205,000__________________________________ T o ta l A c c ep ted ___________________________________$1,805,380,000
P ric e
Y ie ld
P ric e
Y ield
9 7.763 _____________ 8 .8 5 0 % ___________________
H ig h ________________95.527____________ 8.848%
97.720_____________ 9 .0 2 0 % __________________
L ow _______________ 95.473____________ 8.955%
97 .731 -------------------- 8.976% ( 1 ) ------------------------------- .A verag e______________________ 95.479____________ 8.943% ( 1 )
( 1 ) T h e s e rates are on a b ank d iscount basis. T h e eq u ivalen t coupon issue y ield s are 9 .3 1 % for th e 3 -m on th bills an d 9 .5 0 % for
t h e 6-m o n th bills.

This publication was digitized and made available by the rev erse fo r te n d eBank of Dallas' Historical Library (FedHistory@dal.frb.org)
(S e e Federal Reserve r fo rm )

TENDER FOR ADDITION TO TREASURY BILLS

92 DAYS TO MATURITY
Dated May 24,1973

Maturing November 23,1973

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.

NONCOMPETITIVE TENDER $_______________________________________ NOT TO EXCEED $200,000
Noncompetitive tenders for $200,009 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
exp ressed on th e
$ .
.
(a)
.
.
.
1$ - - ..
basis of 100, with
.
Sv ----------------------------@ ------------------¥ ----------------------------------------- not more than th ree
' ... ■■
(a)
COMPETITIVE TENDERS <$
$
¥
■
O
decimal places, e.g.,
rn)
$_
. ....
1$
T
- ” -99.925. F ra c tio n s
¥
@
¥
must not be used.
TENDERS MAY NOT BE ACCEPTED BY TELEPHONE. TENDERS BY WIRE, IF RECEIVED BEFORE TH E
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
O Draft enclosed (E ffectual delivery of enclosed d r a f t

______ @ $ 500,000 $---------------------______ (l $1,000,000 $______________
(

shall be on la te st day w hich w ill p e rm it p r e s e n tm e n t
in o rd er to o b tain irrevocably collected fun d s o n p a y -

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

m date)
ent
(S u b scriber's fu ll n a m e o r co rp o rate title)

(A ddress)

By

(A u th orized official s ig n a tu re an d title)
(F o r th e acco u n t of, if te n d e r is fo r a n o th e r su b scriber)

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

(A ddress)

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 m ake 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 trust company.
8. 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