The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
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 O F THE UNITED STATES D ALLAS, TEXAS 7 5 2 2 2 C ircu lar N o. 73-263 O c to b er 12, 1973 NEW OFFERING — TREASURY BILLS To All B a n k in g Institutions 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 e serv e District: Y o ur a t te n t io n is in v ite d to th e fo llo w in g s t a t e m e n t givin g d e t a il s of t w o iss u es o f T re a s u ry 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, invites te n d e rs for two series of T re a su ry b ills to th e a g g reg ate a m o u n t o f $4,300,000,000, o r th ere ab o u ts, fo r cash a n d in exchange fo r T re a su ry bills m a tu rin g O cto b er 25, 1973, in th e a m o u n t of $4,300,790,000, as follow s: 91-D A Y B IL L S ( to m a tu rity d a te ) to be issued O ctob er 25, 1973, in th e a m o u n t of $2,500,000,000, or th e re ab outs, 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 J u ly 26, 1973, a n d to m a tu re Ja n u a r y 24, 1974 ( C U S I P No. 912793 S V 9 ), o rig inally issued in th e a m o u n t of $1,701,950,000, th e a d d itio n al a n d origin al bills to be freely interch an geab le. 182-D A Y B IL L S fo r $1,800,000,000, o r th ere ab o u ts, to b e d a te d O cto b er 25, 1973, a n d to m a tu re A p ril 25, 1974 (C U S I P No. 912793 T J 5 ) . T h e bills of b o th series w ill be issued on a d isco u nt basis u n d e r c o m p e titiv 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 pro v id ed , a n d a t m a tu rity th e ir face a m o u n t w ill be p a y 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 r ity v a lu e ). T e n d e rs will b e received 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 ho ur, o n e -th irty p.m ., E a s te rn D a y lig h t S av ing T im e , F rid a y , O ctob er 19, 1973. T e n d e rs will 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 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 o ver $10,000 m u st be in m u ltip le s of $5,000. I n th e case of c o 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 o re th a n th re e decim als, e.g., 99.925. F ra c tio n s m a y n o t be used. I t is u rg e d th a t te n d e rs be m ad e on th e p rin te d form s a n d forw ard ed in th e special en velo p es w hich will b e su p p lied b y F e d e ra l R e se rv e B a n k 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 g enerally m a y su b m it te n d e rs for accou n t of custo m ers p ro v id ed th e n am es of th e custo m ers a re se t fo rth in such ten d ers. O th ers 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 te n d e rs ex cep t for th e ir ow n account. T e n d e rs will be received w ith o u t dep o sit from in co rp o ra ted b an k s and tr u s t com p an ies a n d from respo n sible a n d recognized d ealers 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 su ry b ills a p p lie d for, unless th e te n d e rs are acco 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 o r tr u s t com pany. Im m e d ia te ly a fte r th e closing hour, 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 eserv 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 w ill 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 rang e of acc ep te d bids. O n ly th ose su b m ittin g c o m p e titiv e ten d e rs w ill b e adv ised of th e acc ep ta n ce o r rejectio n th ereo f. 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 c t a n y or all ten d ers, in w hole or in p a rt, a n d his a ctio n in a n y such re sp e ct shall be final. S u b je c t to these reservations, n on co m p etitiv e te n d e rs for each issue fo r $200,000 or less w ith o u t sta te d p rice fro m a n y one b id d e r will be a ccep ted in full a t th e av erage p rice ( in th re e decim als) of accep ted c o m p e titiv e bid s for th e resp ectiv e issues. S e ttle m e n t for a cc ep te d te n d e rs in accordance w ith th e bid s m u st b e m ad 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 O ctob er 25, 1973, in cash or o th er im m e d ia tely a v ailab le fu n ds or in a lik e face a m o u n t of T re a su ry bills m a tu rin g O cto ber 25, 1973. C ash a n d exchange ten d e rs w ill receive e q u al tre a tm e n t. C ash a d ju s tm e n ts w ill b e m a d e fo r differences betw een th e p a r v alu 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 S ections 454 ( b ) a n d 1221 ( 5 ) of th e In te rn a l R e v en u e C ode of 1954 th e a m o u n t of d iscount a t w hich bills issued h e re u n d e r a re 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 fro m c o nsideratio 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 co m p an ies) issued h e re 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 betw een th e price p a id for th e bills, w h e th er on original issue or on su b seq u en t p urchase, a n d th e a m o u n t a ctu a lly received e ith e r up o n sale or re d e m p tio n a t m a tu rity d urin g th e tax a b le y e a r fo r w hich th e re tu rn is m ade. T re a s u ry D e p a rtm e n t C ircular No. 418 (c u rre n t re v isio n ) a n d th is notice, p re sc rib e th e te rm s of th e T re a su ry b ills a n d govern th e co nd itio n s of th e ir issue. C opies of th e circu lar m a y be o b tain 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 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 will 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 aso , Houston a n d S an A n to n io u p to tw e l v e - th ir ty p .m ., C e n tral D a y lig h t S av in g Time, Friday, O c to b e r 19, 197 3. T en d e rs m a y n o t b e e n t e r e d b y te l e p h o n e . Y ours v e r y truly, P. E. C oldw ell P re sid e n t Figures c o n cern in g offering of 9 1 -D ay Treasury Bills ma turing J a n u a r y 17, 1 9 7 4 a n d 1 8 2 -D a y Treasur y Bills matu ri ng April 18, 19 7 4 , n o t a v a i l a b l e w h e n this circular w a s printe d. (See 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 TREASURY BILLS 182 DAYS TO MATURITY Dated October 25,1973 Maturing April 25,1974 Tor Federal Reserve Bank, Station K, Dallas, Texas 75222 or — The_______________________ Branch El Paso 79999 Houston 77001 San Antonio 78295 (D ate) P ursu ant to the provisions of T reasury D epartm ent Circular No. 418 (current revision) and the provisions o f the public announcement issued by the T reasury Departm ent, the undersigned offers to purchase T reasury bills in the am ount shown below, and agrees to p a y for the amount allotted, on or before the issue date, by th e 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, w ill be accepted in fu ll at the av erage price (in three decim als) o f accepted com petitive bids. PLEASE OBSERVE CLOSING DATE — FRIDAY, OCTOBER 19, 1973 ^ COMPETITIVE TENDERS $_ If @ (a) $ - f1t %I ----11--■-1 - ■ 1 $ % P rices should be e x p r e s s e d on t h e basis of 100, w ith not more than th ree decimal places, e.g., 9 9 .9 2 5 . F r a c t i o n s m ust not be used. fiST1 T E N D E R S M AY N OT B E A C C E P T E D B Y T E L E P H O N E . T E N D E R S BY W IR E , IF R E C E IV E D B E F O R E T H E CLOSING H O U R A R E A C C E P T A B L E . Denom inations D esired Number of pieces P aym ent for this issue o f bills cannot be m ade by credit to Treasury T ax and Loan Account METHOD OF PAY M E N T M aturity V alue @$ @ $ 10,000 $_ 15.000 $_ 50.000 $_ 1 0 0 ,0 0 0 □ □ $_ □ Charge our reserve account on payment date | I Draft enclosed (Effectual delivery o f enclosed dra ft 500,000 $_ _@ $1,000,000 $_ 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_________________________ By maturing bills held by----------------------------------- ------Payment to be made by-------------------- . shall be on latest day which w ill permit presentm ent in order to obtain irrevocably collected funds on p ay m ent date) (Subscriber’s fu ll name or corporate title) (Address) By- (Authorized official signature and title) (For the account of, if tender is for another subscriber) (Address) IM PORTANT 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 u ltip les of $5,000 (m aturity v a lu 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 U nited States, w ith notation on the envelope reading “T E N D E R FOR T R E A S U R Y O F F E R IN G ”. Since en velopes received w ith this legend w ill not be opened u ntil after the closing time specified in the public announcement, com m uni cations relatin g to other m atters should not be enclosed. Envelopes 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 makes the tender, the form should be signed by an officer of the corporation authorized to m ake th e tender and the sign in g of the form by an officer of the corporation w ill be construed as a representation by him th a t he has been so authorized. I f the tender is made by a partnership it should be signed by a member of the firm, w ho 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 in v e s t m ent securities w ill be disregarded, unless accompanied by a deposit of 2 percent of the total amount (m aturity v a lu e ) of the T reasury bills applied for, or unless the tenders are accompanied by an express guaranty of fu ll paym ent b y an incorporated bank or tru st company. 6. I f the language of this form is changed in any respect, which, in the opinion of the Secretary of the T rea su ry is m aterial, the tender m ay be disregarded. (See reverse for announcement)
@FedFRASER