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FEDERAL RESERVE BANK OF DALLAS
F I S 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, October 26,1953

PRELIMINARY ANNOUNCEMENT
CASH OFFERING

To All Banking Institutions and Others Concerned
in the Eleventh Federal Reserve District:
There is quoted below a press statement issued today by the Treasury
Department in regard to a new cash offering:
“ Secretary of the Treasury Humphrey announced today that
on Wednesday, October 28, the Treasury will offer for cash sub­
scription an issue of $2,000,000,000, or thereabouts, of fully market­
able 2% percent Treasury Bonds, to be dated November 9,1953, and
to mature September 15, 1961.
“ Subscriptions from commercial banks, which for this purpose
are defined as banks accepting demand deposits, for their own ac­
count will be received without deposit. A payment of 10 percent of
the amount of bonds subscribed for, not subject to withdrawal until
after allotment, must be made on all other subscriptions.
“ Commercial banks and other lenders are requested to refrain
from making unsecured loans, or loans collateralized in whole or in
part by the bonds subscribed for to cover the 10 percent deposits
required to be paid when subscriptions are entered, and a certifica­
tion by the submitting bank that no such loan has been made will
be required on each subscription entered by it for account of its
customers.
“ The Treasury reserves the right to reject or reduce any sub­
scription, and to make different percentage allotments to various
classes of subscribers.”
The official circular and subscription forms for the cash offering will
be mailed to reach all banking institutions on Wednesday, October 28, the
date the books open. If the circular and forms are not received in sufficient
time, however, subscriptions may be entered by mail or by telephone, sub­
ject to confirmation with an official application blank.
Yours very truly,
W. D. GENTRY
First Vice President

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


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