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F eder al R eser ve Ba n k 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. 73-206
August 16, 1973

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 eserve District:

Y our a t t e n t i o n is in v ite d to th e f o llo w in g s t a t e m e n t giving d e t a il s of a n iss u e of T re asu 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 e rs for $ 1 ,8 0 0 ,0 0 0 ,0 0 0 , or therea b ou ts, o f 3 6 4 -d a y T rea su ry
b ills for cash a n d in ex ch a n g e for T rea su ry b ills m a tu rin g A u g u st 28, 1973, in t h e a m o u n t o f $ 1 ,8 0 3 ,3 7 0 ,0 0 0 . T h e b ills o f th is
se ries w ill b e d a te d A u g u st 28, 19 73 , a n d w ill m atu re A u g u st 27 , 1 9 7 4 ( C U S I P N o . 9 1 2 7 9 3 T W 6 ) .
T h e b ills w ill b e issu ed o n a d isco u n t b a sis u n d 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 ce 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 l u e ) .
T e n d e r s w ill b e rece iv ed a t F e d e r a l R e s e r v e B a n k s an d B ranches u p to t h e c lo sin g hour, o n e-th irty p .m ., E a ste rn
D a y lig h t S a v in g T im e , W ed n esd a y , A u g u st 22 , 1973. T e n d e r s w ill n o t b e re c e iv e d a t th e T r ea su ry D e p a r tm e n t, W ash in gton . E a c h
ten 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 e r s o v e r $ 1 0 ,0 0 0 m u st b e in m u ltip le s o f $ 5,0 00 . In t h e case o f c o m p e titiv e t e n ­
d ers th e p rice offered m u s t b e exp ressed on th e b a sis o f 100, w ith n ot m o re th a n th r ee d ecim a ls, e.g., 9 9.9 25 . F ra ctio n s m a y n o t
b e used . I t is urged th a t ten d e rs b e m a d e o n t h e p rin te d form 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 su p p lied
b y F ed era l R e s e r v e B a n k s or B ra n ch es on a p p lic a 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 cco u n t o f cu stom ers p ro v id ed t h 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 a n k in g in stitu tio n s w ill n ot b e p er m itte d to su b m it ten d e rs e x c e p t fo r th e ir o w n accou n t.
T e n d er s w ill b e r e c e iv e d w ith o u t d e p o sit from in corp orated b an k s an d tru st co m p a n ie s an d from resp o n sib le and recog n ized
dealers in in v e stm e n t secu rities. T e n d e r s from o th ers m u s t 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 ce a m o u n t o f
T reasu 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 a n exp ress g u aran ty o f p a y m e n t b y a n in corp orated b a n k or
tru st com p an y .
I m 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 e n e d a t th e F e d e r a l R e s e r v e B a n k s a n 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 rea su ry D e p a r tm e n t o f th e a m o u n t an d p rice ran ge o f a cc e p te d b id s. O n ly th o se su 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 t h e a cc e p ta n c e or rejection th ereof. T h e S ecreta ry o f t h e T r ea su ry ex p ressly
reserves th e righ 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 r e sp ect sh a ll b e final.
S u b ject to th e se reserv atio n s, n o n c o m p e titiv e ten d e rs fo r $ 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 ccep ted in fu ll a t th e av era g e p rice ( i n th r ee d e cim a ls) o f a cc e p te d c o m p e titiv e bids. S e ttle m e n t for a cc e p te d ten d e rs in accor­
d an ce w ith th e b id s m u s t b e m a d e or c o m p le te d a t th e F e d e r a l R e s e r v e B a n k o n A u g u st 2 8, 1 9 73 , in cash 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 r ea su ry b ills m a tu rin g A u g u st 28, 1973. C ash an d ex ch a n g e ten d e rs w ill r ece iv e
eq u al trea tm en t. C ash a d ju stm en ts w ill b e m a d e fo r d ifferen ces b e tw e e n t h e par v a lu e o f m a tu rin g b ills a c c e p te d in ex ch a n g e
an d th e issu e p r ice o f t h e n e w bills.
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 al R e v e n u e C od e o f 1 95 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
hereu n d er are so ld is co n sid ered to accru e w h en th e b ills are sold, red eem ed or o th e rw ise d isp o sed of, an d t h e b ills are ex clu d ed
from co n sid er a tio n a s ca p ita l assets. A cco rd in g ly , th e o w n er o f T reasu ry b ills ( o th e r th a n lif e insu ran ce c o m p a n ie s) issu ed h ere­
un d er m u st in clu d e in h is in co m e ta x return, a s ord in ary g a in or loss, t h e d ifferen ce b e tw e e n th e p rice p aid for t h e b ills, w h eth er
o n origin al issu e or on su b seq u e n t purch ase, a n d t h e a m o u n t a c tu a lly rece iv ed e ith er u p o n sa le or r ed em p tio n a t m a tu rity du rin g
th e ta x a b le y ea r for w h ich th e retu rn is m ad e.
T rea su ry D e p a r tm e n t C ircular N o . 4 1 8 (cu rren t r e v is io n ) a n d th is n o tic e, p rescrib e t h e term s o f t h e T r ea su ry b ills an d
govern t h e c o n d itio n s o f th e ir issue. C o p ies o f th e circular m a y b e o b ta in ed from a n y F ed 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 v/il! 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 so ,
Houston a n d S an A n to n io u p to tw e lv e - th ir ty p .m ., C e n tral D ay lig h t S a v in g Time, W e d n e s d a y , A u g u s t 2 2 , 1 973. T enders
may n o t b e e n t e r e d fyy t e l e p h o n e .
Y ours v e r y truly,
P. E. C old w e ll
P re s id e n t

( S e e rev erse for ten d e r fo r m )

This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)

TENDER FOR TREASURY BILLS

364 DAYS TO MATURITY
D a te d A u g u s t 28, 1973

M a tu rin g A u g u s t 27, 1974

T o : F ed era l R e se r v e B an k , S ta tio n K, D allas, T e x a s 75222
or —
T h e _______________________________ B ran ch
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.
N O N C O M P E T IT IV E 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.
(%■
"
Prices should be
ex p ressed on th e
!
(a)
$
b asis of 100, w ith
C O M PE TITIV E T E N D E R S / $;
(5)
not more than three
$
decimal places, e.g.,
;
(a)
$
)$■
99.925. F ra c tio n s
must not be used.
:
@
t W TENDERS MAY NOT BE ENTERED 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.

Denominations Desired
N um ber of
Pieces

M aturity Value

$
_<® $
. @ $

METHOD OF PAYMENT

10,000 $■
15,000 $.

□
□

50,000 $.
$ 100,000 $.
_@ $ 500,000 $.
© $ 1 ,000,000 $-

C harge our r e se r v e acco u n t on p a y m e n t
d a te
I | D r a f t enclosed (E ffectual delivery o f enclosed d r a f t

Hold in C u stod y — In v e s tm e n t A c ­
count

□

Hold in C u stod y — T r u st A ccou n t

□

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

□

sh all be on la te st day w hich will p e rm it p re s e n tm e n t in
o rd e r to o b ta in irrevocably collected fu n d s on p a y m e n t
date)

Hold in C u sto d y — General A ccou n t

□

P a y m e n t to be m a d e b y ________________

□

D e liv e r y I n s t r u c t io n s :
□

B y m a tu r in g b ills
held b y__________________________________

O ther------------------------------------------------

(S u b scriber’s fu ll n a m e o r co rp o ra te title)
(A ddress)

Tty

(A u th orized official s ig n a tu re and title)
(F o r the a cco un t of, if te n d e r is fo r a n o th e r subscriber)
(A ddress)

IMPORTANT
No tender for less than $ 1 0 ,0 0 0 will be considered and each tender over $ 1 0 ,0 0 0 m ust be for an amount in multiples of
$ 5 ,0 0 0 (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............. —
..........................
f
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 T reasury is
material, the tender may be disregarded.
1.

(See reverse for announcement)

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