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F ederal r eser ve Bank o f Dallas
FISCAL AGENT OF THE UNITED STATES

D ALLAS, TEXAS 7 5 2 2 2
C ircu lar No. 73-327
D e c em b er 14, 1973

NEW OFFERING — TREASURY BILLS
To All B a n k in g Institutions a n d O th e rs C o n c e r n e d
in th e E leventh F e d e r a l R e serv e District:
Y o ur a t t e n t i o n is in v ited 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 tw o issu es of 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 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 ere ab o u ts, for cash a n d in exchange for T re a su ry bills m a tu rin g D e c em b er 27, 1973, in th e a m o u n t of
$4,304,230,000, as follow s:
91-D A Y B IL L S (to m a tu rity d a te ) to b e issued D e c em b er 27, 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 an a d d itio n al a m o u n t of bills d a te d S e p te m b e r 27, 1973, a n d to m a tu re M a rc h 28, 1974
(C U S I P No. 912793 T E 6 ) , orig in ally issued in th e a m o u n t of $1,802,535,000, th e a d d itio n al a n d original
bills to b e freely interchang eab le.
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 D e c em b er 27, 1973, a n d to m a tu re J u n e 27, 1974
(C U S I P No. 912793 T T 3 ) .
T h e bills of b o th series will be issued on a disco u nt basis u n d e r co 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
p ro v id ed , a n d a t m a tu rity th e ir face a m o u n t w ill b e p a y ab le w ith o u t in terest. T h e y will be issued in b e a re r form 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 w ill b e receiv ed a t F e d e ra l R e serv 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
S ta n d a rd T im e , F rid a y , D e c em b er 21, 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 ac 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 c o m p e titiv 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 ore 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 rged th a t te n 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 envelopes w hich will be su p p lied by
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 acco u nt 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 tend ers. O th e rs th a n b an k in g in stitu tio n s w ill no t be p e rm itte d to su b m it ten d e rs except for th e ir own account.
T e n d e rs w ill be received w ith o u t d e p o sit from in co rp o ra ted b an k s and tru s t co m pan ies a n d from responsible a n d recognized
d e ale rs in in v e stm e n t securities. T en d e rs from o th ers m u st be acco m p anied 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 bills a p p lie d for, unless th e te n d e rs a re acco m p an ied b y 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
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 will be o p e n ed a t the F e d e ra l R eserv e B ank s a n d B ranches, follow ing w hich
p u b lic an 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 range of acc ep te d bids. O nly those
su b m ittin g c o m p e titiv e ten d e rs will be adv ised of th e acc ep ta n ce or 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 c t a n y o r all tend ers, in whole or in p a rt, an d his actio n in a n y such re sp e ct shall be final. S u b­
je c t to th ese reservations, n o n co m p etitiv e ten d e rs fo r 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 er will
b e acc ep te d in full a t th e averag e p rice ( in th re e decim als) of accep ted c o m p e titiv e b ids for th e resp ectiv e issues. S e ttle m e n t for
acc e p te d ten d e rs in accordance w ith th e bids m u st be m ad e or com p leted a t th e F e d e ra l R eserv e B a n k on D e c em b er 27, 1973,
in cash or o th e r im m e d ia tely av ailab le funds or in a like face a m o u n t of T re a su ry bills m atu rin g D e c em b er 27, 1973, C ash and
exchange te n d e rs will receive equ al tre a tm e n t. Cash a d ju s tm e n ts will be m ad e fo r differences b etw een th e p a r valu e of m a tu rin g
b ills acc 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 e n u e C ode of 1954 th e a m o u n t of discount a t which b ills issued
h e re u n d e r are sold is considered to accrue w hen th e bills are sold, re d ee m e d or otherw ise disposed of, a n d th e bills are 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 com p an ies) issued h ere­
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 durin g
th e ta x 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, p rescrib e th e term s of th e T re a su ry b ills a n d
govern th e con d itio ns of th e ir issue. C opies of th e circu lar m ay be o b tain e d from a n y F e d e ra l R eserv 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 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 aso ,
Houston a n d San A n to n io u p to tw e lv e - th ir ty p.m ., C entral S t a n d a r d Time, Friday, D e c e m b e r 2 1, 1973. T en d e rs m a y
not b e e n t e r e d b y t e l e p h o n e .
Yours v e r y truly,
P. E. Coldw ell
P re sid e n t

Figures c o ncerning offering o f 9 1 -D ay Treasur y Bills maturi ng M arch 2 1 , 1 9 7 4 a n d 1 8 2 -D a y Treasury Bills maturing Ju n e 20,
1974, not a v a i la b l e w h e n this circular w as 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 ADDITION TO TREASURY BILLS

91 DAYS TO MATURITY
Dated September 27, 1973

Maturing March 28,1974

To: Federal Reserve Bank, Station K, Dallas, Texas 75222
or —
The
_________ _______ Branch
E l Paso 79999

H ouston 77001

San A ntonio 78295

(Date)

P ursu an t to the provisions o f T reasury D epartm ent Circular No. 418 (current revision) and the provisions of the
public announcement issued by the T reasury Departm ent, the undersigned offers to purchase T reasury 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 $_______________________ _ ________
_

JNOT TO EXCEED $200,000

PLEASE OBSERVE CLOSING DATE — FRIDAY, DECEMBER 21, 1973

N oncom petitive tenders for $200,000 or less from any bidder, without stated price, w ill be accepted in full at the average
price (in three decim als) o f accepted com petitive bids.

^

^

" ............. 'ci*
$ ______

COMPETITIVE TENDERS

\

$

%

(fi)

$ , ...-^

(n) ---- ---V✓
—
(a) ------- -“
o

T
$

-

T

-■ -

- - .

r

' ------

“
*

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

@

. ....

Prices 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.,
9 9 .9 2 5 . F r a c t io n s
m ust not be used.

T E N D E R S MAY NOT BE 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 B Y W IR E , IF R E C E IV E D B E F O R E T H E
CLOSING HO UR A R E A C C E P T A B L E .
Denom inations Desired
Number of
pieces

P aym ent for this issue o f bills cannot be made by
credit to T reasury Tax and Loan Account
METHOD OF PA Y M E N T

Maturity Value

_@ $

1 0 , 0 0 0 $_

□

_@$
_@ $

15,000 $_
50,000 $.

□

1 0 0 ,0 0 0

_@$

$_

□

500,000 $_

_ @ $ 1 ,0 0 0 ,0 0 0

□

$-

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--------------------Charge our reserve account on payment
date
Draft enclosed (Effectual delivery o f enclosed draft
shall be on latest day which will permit presentm ent
in order to obtain irrevocably collected funds on pay­
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)

IMPORTANT
1. N o tender for less than $10,000 w ill be considered and each tender over $10,000 m ust be fo r an amount in m ultiples of
$5,000 (m atu rity v a lu e).
2. Tenders should be forw arded 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 envelopes
received w ith this legend w ill not be opened until after the closing tim e specified in the public announcement, communi­
cations relating 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 make t
tender and the signing of the form by an officer of the corporation w ill be construed as a representation by him th at 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 th an incorporated banks and tru st companies or responsible and recognized dealers in in vest­
m ent securities w ill be disregarded, unless accompanied by a deposit of 2 percent of the total amount (m aturity value)
of the T reasury bills applied for, or unless the tenders are accompanied by an express guaran ty of fu ll paym ent by an
incorporated bank or tru st company.
6. I f the lan guage of th is form is changed in any respect, which, in the opinion o f the Secretary o f the T reasury is
m aterial, the tender m ay he disregarded.

(See reverse for announcement)

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