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F ed e r a l R ese r v e Ba n k o f D a lla s
FISCAL AGENT OF THE UNITED STATES

D ALLAS, TEXAS 7 5 2 2 2
C ircu lar No. 73-306
N o v e m b er 27, 1973

NEW OFFERING — TREASURY BILLS
To All B a n k in g Institutions a n d O th ers C o n c e r n e d
in th e E leventh F e d e r a l R eserv e District:
Y our a tte n t io n is invited to th e fo 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 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 te n d e rs for two series of T re a su ry hills to th e ag greg ate a m o u n t
of $4,300,000,000, or th ereab o u ts, for cash a n d in exchange fo r T re a su ry bills m a tu rin g D e c em b er 6, 1973, in th e a m o u n t of
$4,309,715,000, as follows:
91-D A Y B IL L S (to m a tu rity d a te ) to be issued D e c em b er 6, 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 a n 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 6, 1973, a n d to m a tu re M a rc h 7, 1974
( C U S I P No. 912793 T B 2 ) , orig in ally issued in th e a m o u n t of $1,808,500,000, th e ad d itio n al a n d original
bills to be freely interch an geab le.
182-D A Y B IL L S for $1,800,000,000, or th e re a b o u ts to b e d a te d D e c em b er 6, 1973, a n d to m a tu re J u n e 6, 1974
(C U S I P No. 912793 T Q 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 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 be p a y ab le w ith o u t in terest. T h e y w ill be issued in b e a re r fo rm 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 rity v a lu e ).
T e n d e rs will be received a t F e d e ra l R eserv e B ank 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, M o n day , D e c em b er 3, 1973. T e n d e rs w ill n o t be receiv ed 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 price 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 urg ed th a t ten d e rs be m ad e on th e p rin te d form s a n d forw ard ed in th e special envelopes w hich will be su p p lied b y
F e d e ra l R e serv e B an k s or B ranch es on a p p lic atio n th erefo r.
B a n k in g in stitu tio n s g en erally m ay su b m it ten d e rs for acco u nt of custom ers p ro v id ed th e nam es of th e cu sto m ers a re
set fo rth in such tenders. O th ers th a n b a nk in g in stitu tio n s w ill 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 own account.
T e n d e rs will be received w ith o u t d ep osit from in co rp o ra ted b an ks and tr u s t co m p anies a n d from responsible a n d recognized
d e ale rs in in v estm e n t securities. T e n d e rs from o th ers m u st be a cco 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 s u ry bills a p p lie d for, unless th e ten d e rs are a cco m pan 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 rated h a n k or
t r u s t com pany.
I m m e d ia te ly a fte r th e closing hour, te n d e rs w ill b e o pen ed a t the F e d e ra l R e serv e B a n k s a n d B ranches, follow ing w hich
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 ran ge of accep ted bids. O nly those
su b m ittin g co m p e titiv e ten d e rs will be ad v ised of th e accep tan ce or rejection 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 acc ep t or re je ct a n y or all ten ders, 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 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 fo r $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 average price (in th re e d ecim als) of accep ted co m p e titiv e bids for th e respective issues. S e ttle m e n t for
a cc ep 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 6, 1973,
in cash or o th er im m e d ia tely a v ailab le fun d s or in a like face a m o u n t of T re a su ry bills m a tu rin g D e c em b er 6, 1973. C ash a n d
exchange ten d e rs will receive equal tre a tm e n t. Cash a d ju s tm e n ts will be m ad e for differences b etw een th e p a r v alu e of m a tu rin g
b ills a cc ep te d in exchange a n d th e issue p rice of th e new bills.
U n d e r S ections 454 ( b ) an 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 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 a re 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. Accordingly, 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 here­
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 b etw een th e p rice p a id fo r th e bills, w h e th er
on orig in al issue or on su b seq u en t purchase, 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 du rin g
th e tax a b le y ear 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 rescribe th e term s of th e T re a su ry bills a n d
govern th e con d itio ns of th e ir issue. C opies of th e c ircu 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 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 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 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, M o n d a y , D e c e m b e r 3, 1973. 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 .
Y ours v e r y truly,
P. E. C oldw ell
P re sid e n t
LAST PREVIOUS OFFERING OF TREASURY BILLS
A m ou n t, 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
D u e F e b ru a ry 28, 1974
$4,426,160,000..
$2,500,340,0 0 0 Yield
P ric e
-7 .6 4 3 % ______
98.068_________
-7 .7 0 2 % _______
98.053_________
-7 .6 9 5 % < !)_ _ .
98.055_________

26-W eek B ills
D u e M a y 30, 1974
..T otal A p p lied For__
_____________ $3,617,715,000
_____________ $1,800,015,000
— T o ta l A c c ep ted __
P ric e
Y ield
— H ig h —
96.148­
_______ 7.619%
-96.106L ow _
_
_______ 7.702%
_______________ 96.118_____________7.679% (1 )
-A verage..

( 1 ) T h ese rates are on a b ank d iscount basis. T h e eq u iv a le n t coupon issue yie ld s are 7 .9 6 % for th e 13-w eek bills and 8 .1 0 % for
th e 2 6 -w eek bills.

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

TENDER FOR TREASURY BILLS

182 DAYS TO MATURITY
Maturing June 6, 1974

Dated December 6,1973

To: Federal Reserve Bank, Station K, Dallas, Texas 75222
or —
The_______________________ Branch
El Paso 79999

Houston 77001

San Antonio 78295

(D ate)

P ursuan t to the provisions o f Treasury D epartm ent Circular No. 418 (current revision) and the provisions o f the
public announcement issued by the T reasury D epartment, 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 full at the average
price (in three decim als) o f accepted com petitive bids.
^

1
$

fn)

$

fn)
v_>

$

COMPETITIVE TENDERS

q.

fn)

$
T
?
$
$

—

@

-

P rices 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.

VST 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 H O UR A R E A C C E P T A B L E .
Denom inations D esired
Number of
pieces

P aym ent for this issue of bills cannot be made by
credit to Treasury Tax and Loan Account
METHOD OF PAY M E N T

Maturity V alue

_@ $
-@ $
-@ $
_@ $

10,000 $_

□

15.000 $_
50.000 $_

□

1 0 0 ,0 0 0

$_

□

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

$ 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---------------------

shall be on latest day which w ill permit presentment
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. 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).
2 Tenders should be forwarded in an envelope clearly addressed to this bank or appropriate branch as F iscal A gent of 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, communi­
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.
3. A ny qualified or conditional tender w ill be rejected.
4. 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 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 tru st companies or responsible and recognized dealers in in v est­
ment securities will be disregarded, unless accompanied by a deposit of 2 percent of the total amount (m aturity valu e)
of the T reasury bills applied for, or unless the tenders are accompanied by an express gu aran ty of fu ll paym ent by an
incorporated bank or tru st company.
6. If the langu age of this form is changed in any respect, which, in the opinion of the Secretary of the T reasury 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