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F e d e r a l r e s e r v e Ba n k o f D a lla s
FISCAL AGENT OF THE UNITED STATES

DALLAS, TEXAS 7 5 2 2 2
C ircu la r No. 73-229
S e p te m b e r 11, 1973

NEW OFFERING — TREASURY BILLS
To All B a n k in g Institutions a n d O th ers 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 vited to th e fo llo w in g s t a t e m e n t g iving d e ta ils of tw o issu es of T re as u ry bills:
T h e T re a su ry D e p a rtm e n t, by th is p u b lic notice, in vites ten d e rs for tw o series of T re a su ry bills to th e aggregate 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 S e p tem b e r 20, 1973, in th e a m o u n t of
$4,302,420,000, as follows:
91-D A Y B IL L S (to m a tu rity d a te ) to be issued S e p tem b e r 20, 1973, in th e a m o u n t of $2,500,000,000, or th e re ­
abouts, re p rese n tin g a n a d d itio n al a m o u n t of bills d a te d Ju n e 21, 1973, a n d to m a tu re D e c em b er 20, 1973
( C U S IP No. 912793 S J 6 ) , o riginally issued in th e a m o u n t of $1,700,870,000, th e ad d itio n al a n d original bills
to be freely in terch an g eable.
182-D A Y B IL L S for $1,800,000,000, or th ereab o u ts, to be d a te d S e p tem b e r 20, 1973, an d to m a tu re M a rc h 21, 1974
( C U S IP No. 912793 T D 8 ) .
T h e b ills of b o th series will be issued on a d isco un t basis u n d e r co m p e titiv e a n d n o nco m p etitiv 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 am o u n t will be p a y ab le w ith o u t interest. T h e y w ill be issued in b e a re 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 r ity v a lu e ).
T e n d e rs will be received a t F e d e ra l R eserv 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 Saving T im e , M o nday, S e p tem b e r 17, 1973. T e n d e rs will n o t be received 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. In th e case of co m p etitiv e
ten 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 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 be used. It is urged th a t tend ers be m ad e on th e p rin te d form s and fo rw arded in th e special envelopes w hich will b e
su p p lied by F e d e ra l R eserve B ank s or B ran ch es on a p p lic a tio 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 sto m ers are
set fo rth in such tenders. O thers th a n b a n 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 fo r th e ir own account.
T e n d e rs will be received w ith ou t d ep o sit from in co rp o ra ted b ank s and tru s t co m p anies a n d from resp on sib le a n d recognized
d e ale rs in in v estm e n t securities. T e n d e rs from o thers m u st be acco m p an 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 re a su ry bills a p p lie d for, unless th e ten d e rs a re a cco m pan ied by a n express g u a ran ty of p a y m e n t by 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 h our, te n d e rs will be o p en 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 ranches, follow ing w hich
p u b lic a n n o u n ce m en t will be m ad e by 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 ccep ted bids. O nly those
su b m ittin g c o m p e titiv e te n d e rs will be ad v ised of th e accep tan ce o r rejectio n thereof. T h e S e c retary of th e T re a su ry expressly
reserv es th e rig h t to a cc ep t or re je ct a n y or all tenders, in whole 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 ub ­
je c t to these reservations, n o n co m p etitiv e ten d e rs for each issue for $200,000 or less w ith o u t sta te d p rice from a n y one b id d e r will
be a ccep ted in full a t th e av erag e price (in th re e decim als) of acc ep te d co m p e titiv e bids for th e resp ectiv e issues. S e ttle m e n t for
a cc ep te d 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 e serv e B a n k on S e p tem b e r 20, 1973,
in cash or o th er im m e d ia tely av ailable funds or in a like face a m o u n t of T re a su ry bills m atu rin g S e p te m b e r 20, 1973. C ash a n d
exchange ten d e rs will receive equal trea tm e n t. Cash a d ju stm e n ts will be m ad e for differences b etw een th e p a r valu e of m a tu rin g
b ills 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 Sections 454 (b ) a n d 1221 (5 ) of th e In te rn a l R e v en u e Code of 1954 th e a m o u n t of d iscount a t w hich bills issued
h e reu n d e r are sold is considered to accrue w h en th e bills are sold, red eem ed or otherw ise disposed of, a n d th e bills a re excluded
from c o n sideration 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 in su ran ce co m pan ies) issued here­
u n d e r m u st include in his incom e tax re tu rn , as o rd in ary gain or loss, th e difference b etw een th e p rice p a id for th e bills, w h e th er
on original issue or on su b sequ ent p u rchase, a n d th e a m o u n t a ctu a lly received e ith e r u p o n sale or re d em p tio n a t m a tu rity d u rin g
th e tax a b le y ear 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 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 bills a n d
g overn th e c on d itio ns of th e ir issue. C opies of th e circ u lar m ay be o b tain e d fro m a n y F e d e ra l R e serv e B a n k or B ranch.

In a c c o r d a n c e w ith th 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 re 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 San A n to n io u p to tw e lv e - th ir ty p.m ., C entral D ay light S av in g Time, M o n d a y , S e p t e m b e r 17, 1973. T end ers
may not b e e n t e r e d by t e l e p h o n e .
Y ours v e r y truly,
P. 1. Co ldw ell
P re sid e n t
LAST PREVIOUS OFFERING OF TREASURY BILLS
A m o un t, R an g e a n d A p p ro x im ate Y ield of A ccep ted T en d e rs
3 -M o n th B ills
D u e D e c em b er 13, 1973

6-M on th B ills
D u e M a rc h 14, 1974

$3,951,080,000
$2,500,250,000___________________
P ric e

97.786
97.714
97.721

-T otal A p p lied F o r _______________________________ $4,226,210,000
T o ta l_A c c ep ted ________________________________ $1,800,315,000
Y ie ld
P ric e
Y ield
8.759%____________________
- H i g h - __
- ________95.503____________ 8.895%
9.044%_____________________
X o w _____________
95.485____________ 8.931%
9.016% ( 1 ) ______________
A v erag e ________ __________
95.490__ 8.921% (1 )

( 1 ) T h ese rates are on a b ank d iscount basis. T h e eq u ivalen t coupon issue yie ld s are 9 .3 5 % for th e 3-m on th b ills and 9 .4 7 % for
th e 6 -m on th b ills.
'
'

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

TENDER FOR TREASURY BILLS

182 DAYS TO MATURITY
Maturing March 21, 1974

Dated September 20,1973

To: Federal Reserve Bank, Station E, Dallas, Texas 75222
or —
The_______________________ Brandi
El Paso 79999

Houston 77001

San Antonio 78295

(D ate)

Pursuant to the provisions of Treasury Departm ent Circular No. 418 (current revision) and the provisions of the
public announcement issued by the Treasury Department, the undersigned offers to purchase T reasury bills in the amount
shown below, and agrees to pay for the am ount allotted, on or before the issue date, by the method and at the rate indicated.

NONCOMPETITIVE TENDER $_____________________________________ NOT TO EXCEED $200,000
Noncom petitive tenders for $200,000 or less from any bidder, without stated price, will be accepted in full at the average
price (in three decim als) of accepted com petitive bids.
«
1$

COMPETITIVE TENDERS

(a)

$

?

(a)
........v _ v

$

$
T

.......
-------

" ---- *

?

_____

@
@

P rices should be
e x p r e s s e d on th e
basis of 100, w ith
not more than three
decimal places, e.g.,
99.925. F r a c tio n s
m ust not be used.

Hgr* T E N D E R S MAY NOT BE ACCEPTED BY TELEPHO NE. T E N D E R S BY W IRE, IF RECEIVED BEFO RE TH E
CLOSING HOUR ARE ACCEPTABLE.

Denominations Desired
Number of
pieces

P aym ent for this issu e of bills cannot be made by
credit to Treasury Tax and Loan Account.

M aturity Value

METHOD OF P A Y M E N T

10,000 $_
_@ $

□

15.000 $_
50.000 $_

_@ $

1 0 0 ,0 0 0

-@ ?

□

500,000 $_

$ 1 ,0 0 0 ,0 0 0

$­

By maturing bills
held by____________________________
Payment to be made by____________

□

Charge our reserve account on payment
date
I 1 Draft enclosed (Effectual delivery o f enclosed draft

$_

shall be on latest day which w ill 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
□ Other--------------------------------------

(Subscriber’s fu ll nam e or corporate title)

(Address)

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

-------------------------------------------------------------------------------------------------------------

(Address)

IMPORTANT
1. No tender for less than $10,000 w ill be considered and each tender over $10,000 m ust be for an amount in m ultiples o f
$5,000 (m aturity valu e).
2. Tenders should be forwarded in an envelope clearly addressed to this bank or appropriate branch as F iscal A gen t o f the
United States, w ith notation on the envelope reading “T E N D E R FOR T R E A SU R Y O FFE R IN G ”. Since envelopes
received with this legend w ill not be opened until after the closing tim e specified in the public announcement, com m uni­
cations relating to other m atters should not be enclosed. E nvelopes for subm itting tenders m ay be obtained from th is
bank or appropriate branch.
3. A ny qualified or conditional tender w ill be
rejected.
4. If a corporation m akes the tender, the form should
be
signed by an officer
of the corporation authorized
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 trust companies or responsible and recognized dealers in in v est­
m ent securities w ill be disregarded, unless accompanied by a deposit of 2 percent of the total amount (m aturity v alu e)
of the Treasury bills applied for, or unless the tenders are accompanied by an express guaranty of full paym ent b y an
incorporated bank or trust company.

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