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Dallas, Texas, October 27, 1965


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 current
Treasury Announces November Refinancing Terms
T he Treasury will borrow $9.7 billion, or thereabouts, through the issuance of 18-month 4 *A%
Treasury notes, at a price of 99.83 (to yield about 4.37% ), for the purpose of paying off in cash a like
amount of the following Treasury notes maturing November 15, 1965:
$1,617 million of 3 % % notes of Series B-1965, dated November 15, 1962; and
$8,099 million of 4 % notes of Series E-1965, dated M ay 15, 1964.
The new notes will be dated November 15, 1965, and will mature M ay 15, 1967. Interest will be
payable semiannually on M ay 15 and November 15, 1966, and on M ay 15, 1967.
The notes will be made available in registered as well as bearer form. All subscribers requesting
registered notes will be required to furnish appropriate identifying numbers as required on tax returns
and other documents submitted to the Internal Revenue Service.
Payment and delivery date for the notes will be November 15. Payment may be made in cash,
or in 3 1 /2 % notes of Series B-1965 or 4 % notes of Series E-1965, which will be accepted at par, in
payment or exchange, in whole or in part, for the notes subscribed for, to the extent such subscriptions
are allotted by the Treasury. The new issue may not be paid for by credit in Treasury Tax and Loan
T he subscription books will be open only on Monday, November 1. Any subscriptions with the
required deposits addressed to a Federal Reserve Bank or Branch, or to the Treasurer of the United
States, and placed in the mail before midnight, November 1, 1965, will be considered timely.
Subscriptions from commercial banks, for their own account, will be restricted in each case to an
amount not exceeding 50 percent of the combined capital (not including capital notes or debentures),
surplus and undivided profits of the subscribing bank.
Subscriptions from commercial and other banks for their own account, Federally-insured savings
and loan associations, States, political subdivisions or instrumentalities thereof, public pension and
retirement and other public funds, international organizations in which the United States holds mem­
bership, foreign central banks and foreign States, dealers who make primary markets in Government
securities and report daily to the Federal Reserve Bank of New York their positions with respect to
Government securities and borrowings thereon, Government Investment Accounts, and the Federal
Reserve Banks will be received without deposit.

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Subscriptions from all others must be accompanied by the payment of deposits (in cash, or
Treasury notes of Series B-1965 or Series E-1965, maturing November 15, 1965, at par), not subject
to withdrawal until after allotment, as follows:
( 1 ) 10% for subscriptions in an amount of $200,000 or less, or
( 2 ) 2 % for subscriptions in an amount in excess of $200,000 with a minimum deposit of

T he Secretary of the Treasury reserves the right to reject or reduce any subscription, to allot
less than the amount of notes applied for, and to make different percentage allotments to various
classes of subscribers; and any action he may take in these respects shall be final Subject to these
reservations subscriptions will be allotted:
1. In full
( A ) For amounts up to and including $200,000, and
( B ) For States, political subdivisions or instrumentalities thereof, public pension and
retirement and other public funds, international organizations in which the United
States holds membership, foreign central banks and foreign States, Government
Investment Accounts, and the Federal Reserve Banks, if a statement is submitted
certifying that the amount of the subscription does not exceed the amount of the
two maturing securities owned or contracted for purchase for value by the sub­
scriber, at 4 p.m., Eastern Daylight Saving Time, October 27, 1965; or
2. On a percentage basis, to be publicly announced, if they (other than those covered in Item 1
above) are over $200,000, but such allotment will not be less than $200,000.
Allotment notices will be sent out promptly upon allotment.
All subscribers are required to agree not to purchase or to sell, or to make any agreements with
respect to the purchase or sale or other disposition of any of the new 4 l % notes at a specific rate
or price until after midnight, November 1, 1965.
Commercial banks in submitting subscriptions will be required to certify that they have no bene­
ficial interest in any o f the subscriptions they enter for the account of their customers, and that their
customers have no beneficial interest in the banks’ subscriptions for their own account.
The official circular and subscription forms for the Treasury notes will be mailed Thursday, October 28;
however, if the forms are not received by Monday, November 1, subscriptions may be entered by letter or
telegram, subject to confirmation on official subscription blanks.
Yours very truly,
Watrous H. Irons

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