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F ederal Reserve Ba nk o f D allas
F IS C A L A G E N T O F T H E UNITED S T A T E S

DALLAS, TEXAS 7 5 2 2 2
Circular No. 73-257
October 9, 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 ra l R e serve District:
Y our a t te n t io n is inv ited to th e fo llo w in g s t a t e m e n t g iving d e t a il s of tw o issues of T re as 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 agg regate a m o u n t
of $4,300,000,000, or th ereab o u ts, fo r cash a n d in exchange for T re a su ry bills m a tu rin g O ctob er 18, 1973, in th e a m o u n t of
$4,301,210,000, as follows:
91-D A Y B IL L S (to m a tu rity d a te ) to be issued O cto ber 18, 1973, in th e a m o u n t of $2,500,000,000, or th e re ­
a b outs, re p rese n tin g a n ad d itio n al a m o u n t of bills d a te d J u ly 19, 1973, a n d to m a tu re J a n u a r y 17, 1974
(C U S I P No. 912793 S U 1 ), orig in ally issued in th e a m o u n t of $1,700,715,000, th e ad d itio n al a n d original bills
to be 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 b e d a te d O cto ber 18, 1973, a n d to m a tu re A p ril 18, 1974
( C U S I P No. 912793 T H 9 ) .
T h e bills of b o th series will be issued on a d iscount basis u n d e r c o m p e titiv e a n d n o nco m p etitiv e b id d in g as h e re in a fte r
p rov ided , a n d a t m a tu rity th e ir face a m o u n t will be p a y ab le w ith o u t in terest. T h e y will be issued in b e are r form 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 w ill b e received 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
D a y lig h t S aving T im e , M o nday, O cto ber 15, 1973. T e n d e rs w ill no t be 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 b e 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. I n th e case of co m p etitiv 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 ore th a n th re e decim als, e.g., 99.925. F ra c tio n s m ay
n o t be used. I t is u rged th a t ten 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 w ill be
su p p lied b y F e d e ra l R e serv e B ank s or B ran ch es on a p p lic a tio n th erefo r.
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 custom 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 ders. O thers 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 except fo r th e ir ow n account.
T e n d e rs w ill be received w ith o u t d ep o sit from in co rp o ra ted b an k s and tr u s t co m pan ies a n d from responsible a n d recognized
d ealers in in v e stm e n t securities. T e n d e rs from o thers 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 bills a p p lie d for, unless th e ten d e rs a re acco m p anied 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 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 ened a t th e F e d e ra l R e serv e B a n k s a n d B ran ch es, follow ing w hich
p u b lic a n n o u n ce m en t w ill be m ade 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 ran ge 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 a ccep tan ce or rejectio n thereof. T h e S e c retary of th e T re a su ry expressly
reserves th e rig h t to a cc ep t or re je ct a n y or a ll tend ers, in whole or in p a rt, a n 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 for 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 w ill
be acc ep te d in full a t th e average p rice ( in th re e d ecim als) of a ccep ted co m p etitiv e bids 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 bids m u st be m ad e or com p leted a t th e F e d e ra l R eserve B a n k on O cto b er 18, 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 b ills m a tu rin g O ctob er 18, 1973. C ash and
exchange ten d e rs w ill receive equal tre a tm e n t. C ash a d ju stm e n ts will be m ad e for 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 ) an d 1221 ( 5 ) of th e In te rn a l R e v en u e Code of 1954 th e a m o u n t of d iscount a t w hich b ills issued
h e re u n d e r are sold is considered to accrue w hen th e b ills are sold, red eem ed or otherw ise disposed of, a n d th e bills a re excluded
from 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 c o m p an ies) issued h e re ­
u n d e r m u st in clude in his incom e tax re tu rn , as o rd in ary gain or loss, th e difference b etw een th e p rice p a id for th e bills, w h e th er
on original issue or on su b seq u en t p u rchase, 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 m a tu rity d urin g
th e tax a b le y e a r 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 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 conditions of th e ir issue. C opies of th e c ircu lar m ay b e o b ta in e d from a n y F e d e ra l R e serv e B a n k or 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 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 S an A n to n io u p to tw e lv e - th ir ty p . m . , C entral D ay lig ht Sav ing Time, M o n d a y , O c to b e r 15, 1973. T en de rs
may 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 e ll
P re sid e n t
LAST PREVIOUS OFFERING OF TREASURY BILLS
A m ount, R a n g e a n d A p p ro x im ate Y ield of A ccep ted T e n d e rs
13-W eek B ills
.
26-W eek B ills
D u e J a n u a r y 10, 1974
D u e A p ril 11, 1974
$4,543,645,000
-T otal A p p lied F o r _____________________
$3,265,260,000
$2,501,175,000__________________________________ T o ta l A c c ep ted _______________________
1,800,230,000
P ric e
Y ield
P ric e
Y ield
98.161____________ 7 .2 7 5 % ____________________________H ig h _____________________ ^ 9 6 .3 4 5 _________
7.230%
98.145_____________7 .3 3 8 % ____________________________ L ow _______________________ 96.313____________ 7.293%
98.149— __________7.323% ( X)a ______ ;___________ A verag e__________________
96.330_________
7.259% ( 1 )
( 1 ) T hese rates are on a ban k discount basis. T h e equivalent coupon issue yields are 7 .5 6 % for the 13-week bills and 7 .6 4 % for
th e 26-week bills.

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

TENDER FOR ADDITION TO TREASURY BILLS

91 DAYS TO MATURITY
Maturing January 17,1974

Dated July 19,1973

To: Federal Reserve Bank, Station K, Dallas, Texas 75222
or —
The_______________________ Branch
E l P aso 79999

Houston 77001

San Antonio 78295

(D ate)

P u rsuan t to the provisions of Treasury 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 pay for the amount allotted, on or before the issue date, by the method and at the rate indicated.

NONCOMPETITIVE TENDER $__________________________________

_NOT TO EXCEED $200,000

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

^

?-

-<§>.

COMPETITIVE TENDERS <$-

-@ -

$_
$-

-@ -

q
»
^
------------? --------------------------------------________$ __________________________
£
~
------------*

Prices should he
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 M A Y N O T 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 B Y 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 .
P aym en t fo r th is issu e of bills cannot be made by
credit to T reasury T ax and Loan Account
M ETH OD OF P A Y M E N T

D enom inations D esired
Number of
pieces

M aturity V alue

10,000 $_
-@ $
-@ $

1 0 0 , 0 0 0 $_

-@ $

□

15.000 $_
50.000 $_
500,000 $_

_@ $

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

□
□

Charge our reserve account on payment
date
I I Draft enclosed (Effectual delivery o f enclosed draft

$_

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 nam e or corporate title)

(Address)

By-

(Authorized official signature and title)
(For the account of, if tender is for another subscriber)

(Address)

IM PORTANT
l

2.

3.
4.

5.

6.

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 ultiples of
$5,000 (m atu rity v a lu e).
Tenders should be forwarded in an envelope clearly addressed to this bank or appropriate branch as F iscal A g en 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 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.
A n y qualified or conditional tender w ill be rejected.
I f a corporation makes the tender, the form should be signed by an officer of the corporation authorized to make the
tender and the sign in g of the form by an officer o f 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.”
Tenders from those other than incorporated banks and tru st companies or responsible and recognized dealers in in v e s t­
ment securities w ill be disregarded, unless accompanied by a deposit of 2 percent of the total amount (m atu rity v a lu e )
of the T reasury bills applied for, or unless the tenders are accompanied by an express g uaranty of fu ll paym ent b y an
incorporated bank or tru st company.
If the langu age of th is form is changed in any respect, which, in the opinion of the Secretary of the T reasu ry is
m aterial, the tender m ay be disregarded.

(See reverse for announcement)

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