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F ederal R eserve b a n k of Dallas 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 7 5 2 2 2 C ircu lar No. 74-33 J a n u a r y 29, 1974 NEW OFFERING — TREASURY BILLS *1Banking Institutions and Others Concerned '9 the Eleventh Federal Reserve District: ^our attention is invited to the following statement giving details of two issues of Treasury 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, inv ites ten d e rs for two series of T re a su ry bills to th e aggregate a m o u n t °f $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 F e b ru a ry 7, 1974, in th e a m o u n t of $4,302,550,000, as follows: 91-D A Y B IL L S (to m a tu rity d a te ) to b e issued F e b ru a ry 7, 1974, 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 N o v em b er 8 , 1973, a n d to m atu re M a y 9, 1974 (C U S IP No. 912793 T L 0 ) , originally issued in th e a m o u n t of $1,800,915,000, th e a d d itio n al a n d original bills to b e freely in terchangeable. 182-DA Y B IL L S for $1,800,000,000, or th ereab o u ts, to b e d a te d F e b ru a ry 7, 1974, a n d to m atu re A u g ust (C U S IP No. 912793 U J 3 ) . 8 , 1974 T h e bills of b oth series will b e issued on a d iscount basis u n d e r co m p etitiv e a n d n o nco m p etitiv e b id d in g a s h e re in a fte r Provided, 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 ithout in terest. T h e y will be issued in b e a re r form only, a n d in ^ 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 rity v a lu e ). T e n d e rs w ill b e received a t F e d e ra l R eserv e B an k s an d B ran ch es 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 on d ay, F e b ru a ry 4, 1974. T en d e rs will n o t b e received a t th e T re a su ry D e p a rtm e n t, W ashington. E ac h tender m u st be for a m in im u m of $10,000. T en d e rs over $10,000 m ust b e in m u ltip les of $5,000. In th e case of com p etitiv e tenders th e p rice offered m u st b e 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°t be used. I t is u rged t h a t ten d e rs be m ad e on th e p rin te d form s a n d forw arded in th e special envelopes w hich will b e sup p lied F e d e ral R eserv e B an k s or B ran ch es on a p p lic atio n therefo r. B a n k in g in stitu tio n s generally m a y su b m it ten d e rs for account of custom ers p ro v id ed th e n am es of th e cu stom ers are ^ fo rth in such tenders. O th ers th a n b an 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 for th e ir ow n account, len d e rs will be received w ith o u t d ep o sit from in co rp o rated b an ks and tr u s t com panies a n d from respo n sible a n d recognized Sfalers in in v estm e n t securities. T e n d e rs from o th ers 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 tre a s u ry bills a p p lie d for, unless th e te n d e rs a re accom pan ied by a n express g u a ran ty of p a y m e n t b y a n in co rp o rated b a n k or com pany. Im m e d ia te ly a fte r th e closing hour, te n d e rs will be opened a t th e F e d e ra l R eserv e B an k s a n d B ranches, follow ing Jbich p u b lic a n n o u n ce m en t w ill 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 rang e of a cc ep te d bids. O nly bc>se su b m ittin g co m p e titiv e ten d e rs will be adv ised of th e acceptance or rejection thereof. T h e S e c retary of th e T re a su ry ®*Pressly reserves th e rig h t to a cc ep t or re je ct a n y or all tenders, in w hole or in p a rt, a n d his actio n in a n y such re sp e ct shall be nal. S u b ject to th ese reservations, n o n co m p etitiv e ten d e rs for each issue fo r $ 2 0 0 , 0 0 0 or less w ith o u t sta te d p rice from an y b id d er w ill b e a ccep ted in full a t th e av erag e p rice (in th re e decim als) of acc ep te d co m p e titiv e bids for th e respective *SsUes. S e ttle m e n t fo r a ccep ted te n d e rs in accordance w ith th e bids m u st be 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 0tl F e b ru a ry 7, 1974, in cash or o th e r im m e d ia tely av ailab le fu n ds or in a like face a m o u n t of T re a su ry b ills m atu rin g F eb j^ary 1974. C ash a n d exchange ten d e rs will receive equal trea tm e n t. C ash a d ju stm e n ts will be m ad e for differences betw een th e &ar value of m a tu rin g bills a ccep ted 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 C ode of 1954 th e a m o u n t of d iscou n t a t w hich bills SsUed h e reu n d e r a re sold is co nsidered to accrue w hen th e bills a re sold, re d ee m e d or otherw ise disposed of, a n d th e b ills are j deluded from c o nsid eratio n as c ap ital assets. Accordingly, 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 pan ies) i ? Ued h e reu n d e r m u st include in h is incom e tax re tu rn , as o rd in ary gain o r loss, th e difference betw een th e p rice p a id fo r th e ” s, w h eth er on original issue or on su b seq u en t pu rch ase, 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 ah irity du rin g th e tax a b le y e a r fo r w hich th e re tu rn is m ade. e T re a su ry D e p a rtm e n t C ircu lar No. 418 (c u rre n t revisio n ) a n d th is notice, p rescrib e th e te rm s of th e T re a su ry b ills a n d °Vern th e conditions of th e ir issue. C opies of th e circular m ay b e o b tain e d fro m a n y F e d e ra l R eserve B a n k o r Branch. •n is|QQccordance with the above announcement, tenders will be received at this bank and its branches at El Paso, ) 9ot and ^on Antonio UP ,0 twelve-thirty p.m., Centre! Daylight Saving Time, Monday, February 4, 1974. Tenders be entered by telephone. Yours very truly, P. E. Coldwell President LAST PREVIOUS OFFERING OF TREASURY BILLS A m ou n t, R a n g e a n d A p prox im ate Y ie ld of A ccepted T en d e rs 13-W eek B ills 26-W eek B ills D u e M a y 2, 1974 D u e A u gu st 1, 1974 $6,395,535,000 T o ta l A p plied F o r _________________________________ $3,941,160,000 $2,506,450,000___________________________ —T o ta l A ccep ted ________________________________ $1,800,390,000 P rice Y ield P ric e Y ield H ig h _______ 96.210____ 7.497% 98.040_____________7 .7 5 4 % _______________ 98.030_____________7 .7 9 3 % ____________________________ -Low._ _......... .96.195_____________ 7.526% 98.034_____________ 7 .778% ( 1 ) ........................... A v erag e __ 96.200________ ’.516% (1 ) U ) T h e s e rates are on a bank d iscount basis. T h e eq u iva len t coupon issue y ie ld s are 8 .0 4 % for th e 13 -w eek b ills and 7 .9 2 % for the 2 6 -w eek bills. (S e e 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 November 8, 1973 Maturing May 9, 1974 T o: F ed era l R e se r v e B ank, S ta tio n K, D allas, T e x a s 75222 or — T h e _____________________________ B ranch 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 $__________________________________________ JS D T TO E X C E E D $2 00,000 Noncompetitive tenders for $200,000 or less from any bidder, without stated price, will be accepted in full at the average price (in three decimals) of accepted competitive bids. g. C O M PE T IT IV E T E N D E R S $ @ ¥ $ @ ¥ $ (a) ¥ $ Prices should be ex p ressed on the basis of 1 0 0 , with not more than three decimal places, e.g., 99.925. F ra ctio n s must not be useci. ¥ Hgr” TENDERS MAY NOT BE ACCEPTED BY TELEPHONE. TENDERS BY WIRE, IF RECEIVED BEFORE THE CLOSING HOUR ARE ACCEPTABLE. Denominations Desired N u m b er of pieces Payment for this issue of bills cannot be made by credit to Treasury Tax and Loan Account METHOD OF PAYMENT M a tu rity V alue @ ¥ 10,000 ¥- @ ¥ 15,000 ¥- @ ¥ 50,000 ¥- @ ¥ 100,000 ¥- □ B y m a tu r in g bills held by_ □ P a y m e n t to be m ade by_ □ C harge our r ese r v e accou n t on p a y m e n t date | I D r a ft enclosed (E ffectual delivery o t enclosed d ra ft @ ¥ 500,000 ¥@ ¥ l ,000,000 ¥- shall be on la te st day w hich will p e rm it p re sen tm en t in o rd e r to o b ta in irrevocably collected fu n d s on p ay m en t date) D e liv e r y I n s tr u c tio n s : □ H old in C u sto d y — G eneral A ccount (S ub scrib er’s fu ll nam e o r co rp o ra te title) □ Hold in C u sto d y — In v e stm e n t A c count (A ddress) □ H old in C ustody — T r u st A ccou n t □ P led g e to secu re T reasu ry T a x and Loan A cco u n t □ O ther------------------------------------------------ B y(A u th o rize d official s ig n a tu re and title) (F o r th e a cc o u n t of, if te n d e r is fo r a n o th e r su b scrib er) (A ddress) IMPORTANT 1. No tender for less than $10,000 will be considered and each tender over $10,000 must be for an amount in multiples of $5,000 (maturity value). _ 2 Tenders should be forwarded in an envelope clearly addressed to this bank or a p p r o b a te branch as Fiscal Agent o f the U n R ed S tates, with notation on the envelone reading “TENDER FOR TREASURY OFFERING”. Since envelopes received with this legend will not be opened until after the closing time sp ecific in the public announcement, communi cations relating to other matters 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 that he has been so authorized. If the tender is made by a partnership it should be signed by a member of the firm, who s h o u ld s ig n in t h e f o r m “ , a c o p a r tn e r s h ip , b y --------------------------------------------------------------------------- a member of the firm.” 5 T e n d e r s f r o m th o s e o t h e r t h a n i n c o r p o r a te d b a n k s a n d tru st c o m p a n ie s o r r e s p o n s ib le a n d r e c o g n iz e d d e a le r s in m e n t s e c u r itie s w ill b e d i s r e g a r d e d , u n le s s a c c o m p a n ie d b y a d e p o s it o f 2 p e r c e n t o f t h e t o t a l a m o u n t ( m a t u r i t y v a lu e ) o f t h e T r e a s u r y b ills a p p lie d f o r , o r u n le s s t h e t e n d e r s a r e a c c o m p a n ie d b y a n e x p r e s s g u a r a n t y o f f u l l p a y m e n t b y a n in c o r p o r a te d b a n k o r t r u s t c o m p a n y . 6 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)
@FedFRASER