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FEDERAL RESERVE BANK OF DALLAS
F IS C A L A G EN T O F T H E U N ITED ST A T E S

DALLAS, TEXAS

75222
Circular No. 72-263
N ovember 14, 1972

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 t h e E leventh F e d e r a l R e serv e District:
Your a t t e n t i o n is inv ited to th e f o llo w in g s t a t e m e n t g iv in g d e t a il s o f tw o iss u e s o f T re a s u ry bills:
T h e T rea su ry D e p a r tm e n t, b y th is p u b lic n o tic e, in v ite s ten d e rs for tw o series o f T reasu ry b ills to t h e a g grega te a m o u n t
o f $ 4 ,3 0 0 ,0 0 0 ,0 0 0 , or th erea b ou ts, for ca sh a n d in ex ch a n g e for T r ea su ry b ills m a tu rin g N o v e m b e r 24 , 1972, in th e a m o u n t o f
$ 4 ,1 0 2 ,6 8 0 ,0 0 0 , as follo w s:
9 0 - D A Y B I L L S ( t o m a tu r ity d a te ) to b e issu ed N o v e m b e r 24, 1 97 2, in t h e am ou n t o f $ 2 ,4 0 0 ,0 0 0 ,0 0 0 , or th e re­
a b ou ts, rep resen tin g an ad d itio n a l a m o u n t o f b ills d ated A u g u st 24 , 1972, an d to m a tu re F eb ru a ry 22, 1973
( C U S I P N o . 9 1 2 7 9 3 Q G 4 ) , o rg in a lly issu ed in t h e a m o u n t o f $ 1 ,8 0 0 ,5 4 0 ,0 0 0 , th e ad d itio n a l a n d origin al b ills
to b e freely in terch a n ga b le.
1 8 1 -D A Y B I L L S for $ 1 ,9 0 0 ,0 0 0 ,0 0 0 , or th erea b ou ts, to b e d a te d N o v e m b e r 24 , 1972, a n d t o m atu re M a y 2 4 , 1973
(C U S IP N o. 912793 Q V 1 ).
T h e b ills o f b oth se ries w ill b e issu ed on a d isco u n t b asis u n d er c o m p e titiv e a n d n o n c o m p e titiv e b id d in g as h erein a fter
p ro vid ed , and a t m a tu rity their fa ce a m o u n t w ill b e p a y a b le w ith o u t i n te r e s t T h e y w ill b e issu ed in bearer form on ly , a n d in
d en o m in a tio n s o f $ 1 0 ,0 0 0 , $ 1 5 ,0 0 0 , $ 5 0 ,0 0 0 , $ 1 0 0 ,0 0 0 , $ 5 0 0 ,0 0 0 a n d $ 1 ,0 0 0 ,0 0 0 (m a tu r ity v a lu e ) .
T e n d e r s w ill b e r e ce iv ed a t F ed e r a l R e s e r v e B a n k s a n d B ra n ch es u p t o th e clo sin g hour, o n e-th irty p.m ., E a ste rn
S tan d ard T im e , M o n d a y , N o v e m b e r 20 , 1972. T e n d e r s w ill n o t b e r e ce iv ed a t th e T r ea su ry D e p a r tm e n t, W a sh in gto n . E a ch
ten d e r m u st be fo r a m in im u m o f $1 0 ,0 0 0 . T e n d e r s o v er $ 10 ,0 0 0 m u st b e in m u ltip le s o f $ 5,0 00 . In th e case o f c o m p e titiv e
ten d e rs t h e p rice offered m u s t b e exp ressed o n t h e b asis o f 100, w ith n o t m o re th a n th r ee d ecim a ls, e.g., 9 9 .9 2 5 . F ra ctio n s m a y
n o t b e u sed . I t is urged th a t ten d e rs b e m a d e o n th e p rin te d fo rm s and forw arded in th e sp ec ia l e n v e lo p e s w h ich w ill be
su p p lie d b y F ed era l R e s e r v e B a n k s or B r a n c h e s o n a p p lica tio n therefor.
B a n k in g in stitu tio n s g en era lly m a y su b m it ten d e rs for accou n t o f cu sto m ers p ro vid ed th e n a m e s o f th e cu stom ers are
s e t fo rth in su ch ten ders. O ther th a n b an k in g in stitu tio n s w ill n o t b e p erm itted to su b m it ten d e rs e x c e p t for th e ir ow n a c c o u n t
T e n d e r s w ill b e rece iv ed w ith o u t d e p o sit from in corp orated b a n k s an d tru st c o m p a n ie s a n d from resp o n sib le a n d reco gn ized
d ea lers in in v e stm e n t secu rities. T e n d er s from others m u s t b e a cco m p a n ied b y p a y m e n t o f 2 p ercen t o f t h e fa c e a m o u n t o f
T r ea su ry b ills a p p lie d for, u n le ss t h e ten d e rs a re a cco m p a n ied b y an exp ress gu aran ty o f p a y m e n t b y an in corp o ra ted b an k or
tru st co m p a n y.
I m m e d ia te ly a fter t h e clo sin g hour, ten d e rs w ill b e o p en ed a t t h e F ed era l R e s e r v e B a n k s a n d B ra n ch es, fo llo w in g w h ich
p u b lic a n n o u n c em en t w ill b e m a d e b y th e T rea su ry D e p a r tm e n t o f th e a m o u n t and price range o f a c c e p te d bids. O n ly th o se
su b m ittin g c o m p e titiv e ten d e rs w ill b e a d v ise d o f t h e a ccep ta n ce or rejection th ereof. T h e S ecreta ry o f t h e T r ea su ry ex p ressly
reserv es th e righ t t o a c c e p t or reject a n y or a ll tenders, in w h o le or in part, and h is a c tio n in a n y su ch r e sp ect sh all b e final. S u b ­
je c t to th e se reserv ation s, n o n c o m p e titiv e ten d ers for each issu e for $ 2 0 0 ,0 0 0 or less w ith o u t sta ted p rice from a n y o n e b id d er w ill
b e a c c e p te d in fu ll a t t h e av erag e p rice ( in th r ee d e c im a ls) o f a c c e p te d c o m p e titiv e b id s for t h e r e s p e c tiv e issues. S e ttle m e n t for
a cc e p te d ten d ers in a ccord an ce w ith b id s m u s t b e m a d e or c o m p le te d a t th e F ed era l R e s e r v e B a n k o n N o v e m b e r 24 , 1972,
in cash or o th er im m e d ia te ly a v a ila b le fu n d s or in a lik e fa c e a m o u n t o f T rea su ry b ills m atu rin g N o v e m b e r 24 , 1972. Cash and
ex ch a n g e ten d ers w ill r ece iv e eq u al trea tm en t. C ash a d ju stm en ts w ill b e m a d e for d ifferen ces b e tw e e n th e par v a lu e o f m atu rin g
b ills a c c e p te d in ex ch a n g e an d t h e issu e p rice o f th e n e w b ills.
U n d er S e c tio n s 4 5 4 ( b ) a n d 1221 ( 5 ) o f t h e In tern a l R e v e n u e C o d e o f 1 9 5 4 t h e a m o u n t o f d isco u n t a t w h ich b ills issu ed
hereu n d er are sold is con sid ered to accru e w h en th e b ills are sold, red eem ed or o th erw ise d isp o sed of, a n d th e b ills are ex clu d ed
from co n sid era tion as ca p ita l assets. A ccord in gly , t h e ow n er o f T rea su ry b ills (o th e r th a n lif e in su ran ce c o m p a n ie s) issu ed h ere­
u n d er m u s t in clu d e in h is in co m e ta x return, a s ord inary gain or loss, th e d ifferen ce b e tw e e n th e p rice p a id for th e b ills, w h eth er
on orig in a l issu e or on su b seq u e n t purch ase, a n d t h e a m o u n t a ctu a lly r e ce iv ed eith er u p o n sa le or r e d e m p tio n a t m a tu rity during
t h e ta x a b le y ea r for w h ich t h e return is m ade.
T rea su ry D e p a r tm e n t Circular N o . 4 1 8 (cu rren t r e v is io n ) an d th is n o tic e, p rescrib e th e term s o f t h e T r ea su ry b ills and
go vern t h e c o n d itio n s o f th eir issue. C o p ies o f th e circular m a y b e o b ta in ed from a n y F ed e r a l R e s e r v e B a n k o r 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 w ill 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 a so ,
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 ntral S t a n d a r d Time, M o n d a y , N o v e m b e r 20, 1972 . T e n 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. C oldw ell
P re sid e n t
LAST PREVIOUS OFFERING OF TREASURY BILLS
A m o u n t, R a n g e an d A p p ro x im a te Y ie ld o f A c c e p te d T e n d er s
3 -M o n th B ills
6 -M o n th B ills
D u e F eb ru a ry 15, 1 97 3
D u e M a y 17, 1973
$ 3 ,9 2 5 ,8 2 5 ,0 0 0
.T o ta l A p p lie d F o r --------------------------------------$ 3 ,9 0 6 ,3 2 0 ,0 0 0
$ 2 ,4 0 2 ,0 9 0 ,0 0 0 ---------.T o ta l-A c c e p te d ---------------------------------------------$ 1 ,9 0 0 ,8 0 0 ,0 0 0
P r ic e
Y ie ld
P r ic e
Y ie ld
9 8 .8 0 2
4 .7 3 9 % ---------------------------------------------H ig h _________
9 7 .4 5 0 ______________ 5 .0 4 4 %
9 8 .7 8 9
- 4 .7 9 1 % ---------------------------------------------- L o w --------------------------------------- 9 7 .4 3 1 _____________ 5 .0 8 2 %
9 8 .7 9 3 ---------— 4 .7 7 5 % ( 1 ) -----------------------A v era g e------------------------- 9 7 .4 3 7 _____________ 5^070% ( 1 )
t h e 6Tm o n t h t " l s a r e ° " “ h " * d is c 0 u n t b a s is ’ T h e e q u i v a ,e n t c o u P ° n issu e y ie ld s a r e 4 . 9 0 % fo r t h e 3 - m o n th b ills a n d 5 .2 8 %

(See reverse for tender form)

for

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

TENDER FOR TREASURY BILLS

181 DAYS TO MATURITY
D ated N o v e m b er 2 4 ,1 9 7 2

M atu rin g M ay 2 4 ,1 9 7 3

T o: F ederal R e se r v e Bank, S ta tio n K, D allas, T e x a s 75222
or —
T h e____________________________ Branch
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 $__________________________________________
-N O T TO E X C E E D $200,000
Noncompetitive tenders for $200,000 or less from any one bidder, without stated price, will be accepted in full at the average
price (in three decimals) of accepted competitive bids.

1
$
C O M PE T IT IV E T E N D E R S $
$
$

f)
n
t7
,)
(
()
a
@

Prices should be
expressed on th e
basis of 100, with
not more than three
decimal places, e.g.,
99.925. F ra c tio n s
must not be used.

?
$

TENDERS MAY NOT BE ACCEPTED BY TELEPHONE. TENDERS BY WIRE, IF RECEIVED BEFORE THE
CLOSING HOUR ARE ACCEPTABLE.
Payment for this issue of bills cannot be made by
Denominations Desired
credit to Treasury Tax and Loan Account.
N u m b e r of
M a tu r ity V alue
pieces
METHOD OF PAYMENT
$
10,000 $_
□ B y m a tu r in g bills
held b y --------------------------------------------------$
15,000 $_
$
_@ $

□

100,000 $_

$ 500,000 $_

( E f f e c t u a l d e liv e ry o f e nc lose d d r a f t
s h a l l h e o n l a t e s t d a y w h i c h wil l p e r m i t p r e s e n t m e n t in
o r d e r t o o b t a i n i r r e v o c a b ly collected f u n d s on p a y m e n t
d ate)

D elivery In str u ctio n s:

P led g e to secure T r e a su r y T a x and
L oan A ccou n t

( S u b s c r i b e r 's full n a m e o r c o rp o r a te title)

Hold in C u stod y A ccou n t— M em ber
b anks fo r ow n account only

□

C harge our r eserv e accou n t on p a y m e n t
d a te

I I D r a ft enclosed

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

□

P a y m e n t to be m ade b y________________

□

50,000 $..

(A ddress)

By_
( A u t h o r i z e d of fi c ia l s i g n a t u r e a n d t i t l e )

□

Sh ip to---------------------------------------------( F o r t h e a c c o u n t o f , i f t e n d e r is f o r a n o t h e r s u b s c r i b e r )

(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 (m aturity value).
2. Tenders should be forwarded in an envelope clearly addressed to this bank or appropriate branch as Fiscal Agent of the
United States, with notation on the envelope reading “TENDER FOR TREASURY OFFERING”. Since envelopes
received with this legend will not be opened until after the closing time specified in the public announcement, communi­
cations relating to other m atters 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 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 invest­
ment securities will be disregarded, unless accompanied by a deposit of 2 percent of the total amount (m aturity value)
of the Treasury bills applied for, or unless the tenders are accompanied by an express guaranty of full payment by an
incorporated bank or tru st company.
6. If the language of this form is changed in any respect, which, in the opinion of the Secretary of the Treasury i s
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