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F E D ERAL R E SE R V E B AN K O F N E W Y O R K
rcircuiar No. 37461

Fiscal Agent o f the United States

I A ugust 28,' 1951 J

Offering o f $1,100,000,000 o f 91-Day Treasury Bills
Dated September 6 1951
,
Maturing D^celhber 6 1951
,
T o all Incorporated Banks and Trust Companies in the
Second Federal R eserve D istrict and O thers Concerned:

Following is the text o f a notice published today:
F O R R E L E A S E , M O R N IN G N E W S P A P E R S ,
Tuesday, August 28, 1951.

TREASU RY DEPARTM ENT
W ashington

.

T he Secretary o f the Treasury, b y this public notice, invites tenders fo r $1,100,000,000, or -theriaahouts, o f 91-day Treasury
bills, fo r cash and in exchange fo r Treasury bills maturing September 6, 1951, to be issued on a discount basis under competitive and
non-competitive bidding as hereinafter provided. T he bills o f this series will be dated September 6, 1951, and will mature Decem ber
6, 1951, when the face amount will be payable without interest. T h ey will be issued in bearer form only, and :ih denominations o f
$1,000, $5,000, $10,000, $100,000, $500,000, and $1,000,000 (m aturity valu e).
Tenders will be received at Federal Reserve Banks and Branches up to the closing hour, tw o o ’clock p.m., Eastern Daylight
Saving time, Friday, August 31, 1951. Tenders w ill not be received at the Treasury Department, W ashington. Each tender must
be fo r an even multiple o f $1,000, and in the case o f competitive tenders the price offered must be expressed on the basis o f 100, with
not more than three decimals, e.g., 99.925. Fractions may not be used. It is urged that tenders be made on the printed form s and f o r ­
warded in the special envelopes which w ill be supplied by Federal Reserve Banks or Branches on application therefor.
Others than banking institutions w ill not be permitted to submit tenders except fo r their own account. Tenders w ill be received
without deposit fro m incorporated banks and trust companies and from responsible and recognized dealers in investment securities.
Tenders from others must be accompanied by payment o f 2 percent o f the face amount o f Treasury bills applied fo r, unless the
tenders are accompanied b y an express guaranty o f payment by an incorporated bank or trust company.
Immediately after the closing hour, tenders will be opened at the Federal Reserve Bank and Branches, follow in g which public
announcement will be made by the Secretary o f the Treasury o f the amount and price range o f accepted bids. T h ose submitting
tenders will be advised o f the acceptance or rejection thereof. T he Secretary o f the Treasury expressly reserves the right to accept
o r reject any o r all tenders, in whole or in part, and his action in any such respect shall be final. Subject to these reservations,
non-competitive tenders fo r $200,000 or less without stated price fr o m any one bidder will be accepted in full at the average price (in
three decim als) o f accepted competitive bids. Settlement fo r accepted tenders in accordance with the bids must be made o r completed
at the Federal Reserve Bank on September 6, 1951, in cash or other immediately available funds or in a like face amount o f Treasury
bills maturing September 6, 1951. Cash and exchange tenders will receive equal treatment. Cash adjustments will be made fo r differ­
ences between the par value o f maturing bills accepted in exchange and the issue price o f the new bills.
T h e income derived from Treasury bills, whether interest or gain from the sale or other disposition o f the bills, shall not have any
exemption, as such, and loss from the sale or other disposition o f Treasury bills shall not have a n y special treatment; as such, under
the Internal Revenue Code, or laws amendatory or supplementary thereto. T he bills shall be subject to estate, inheritance, gift, or
other excise taxes, whether Federal or State, but shall be exempt from all taxation n ow or hereafter imposed on the principal or
interest thereof by any State, or any o f the possessions o f the United States, or by any local taxing authority. F or purposes o f taxa­
tion the amount o f discount at which Treasury bills are originally sold by the United States shall be considered to be interest.
Under Sections 42 and 117(a) ( 1 ) o f the Internal Revenue Code, as amended by Section 115 o f the Revenue A ct o f 1941, the amount
o f discount at which bills issued hereunder are sold shall not be considered to accrue until such bill shall be sold, redeemed o r other­
wise disposed o f, and such bills are excluded fro m consideration as capital assets. A ccordin gly, the ow ner o f Treasury bills (other
than life insurance com panies) issued hereunder need include in his income tax return only the difference betwen the price paid fo r
such bills, whether on original issue or on subsequent purchase, and the amount actually received either upon sale or redemption at
maturity during the taxable year f o r which the return is made, as ordinary gain or loss.
Treasury Department Circular N o. 418, as amended, and this notice, prescribe the terms o f the Treasury bills and govern the
conditions o f their issue. Copies o f the circular may be obtained fro m any Federal Reserve Bank or Branch.

This Bank will receive tenders up to 2 p.m., Eastern Daylight Saving time, Friday, August 31, 1951, at the Securities
Department o f its Head Office and at its Buffalo Branch. Please use the form on the reverse side o f this circular to submit
a tender, and return it in an envelope marked “ Tender for Treasury Bills.” Payment f o r the Treasury bills cannot be made
by credit through the Treasury T ax and Loan Account. Settlement must be made in cash or other immediately available
funds or in maturing Treasury bills.
A l l a n S p r o u l , President.
(C L O S I N G D A Y F O R R E C E I P T O F T E N D E R S




IS

F R ID A Y , A U G U ST 31, 1951)
.

T O U f l 71

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R E S U L T S O F B I D D I N G F O R T R E A S U R Y B IL L S
D A T E D A U G U S T 30, 1951 W E R E N O T A V A IL ­
A B LE W H E N T H IS C IR C U L A R W A S P R IN T E D .

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25X
I M P O R T A N T — Please n o te t h a t tenders f o r th is issue m u s t be receiv ed n o t la te r th a n
p .m ., E a ste rn D a y li g h t S a v in g tim e , F r id a y , A u g u s t 3 1 , 1 9 5 1 .

fO f

2

I M P O R T A N T — I f y o u desire t o b id on a competitive basis, fill in r a te p er 1 0 0 a n d m a t u r it y
v a lu e in p a r a g r a p h h ead ed "C o m p e t it iv e B id .” I f y o u desire t o b id o n a non-competitive
basis fill in o n ly th e m a t u r it y v a lu e in p a r a g ra p h head ed " N o n -c o m p e t i t i v e B id .” Do
lyCXF; fiH in- both, paragraphs on one form . A sep arate ten d e r m u s t b e u sed f o r ea ch b id ,
e x c e p t t h a t b a n k s s u b m ittin g bids on a c o m p e titiv e basis f o r th eir o w n a n d th eir c u sto m ers’
a cc o u n ts m a y s u b m it one ten d e r f o r th e t o t a l a m o u n t b id a t ea ch p r ic e , p r o v id e d a list is
a tta c h e d s h o w in g th e n a m e o f ea ch b id d e r, th e a m o u n t b id f o r his a c c o u n t, a n d m eth od
o f p a y m e n t. F o rm s f o r th is pu rp o se w ill be fu r n ish e d u p o n req u est.

No_ _
_ _
TENDER
J

iv

FOR

9 1 -D A Y

D a t e d S ep tem b er 6 , 1 9 5 1
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Dated a ...... —
t

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To F ederal R eserve B a n k of N e w Y ork ,
F s a Agent of the United S a e .
icl
tts
C O M P E T IT IV E

B IL L S

M a tu r in g D e c e m b e r 6 , 1 9 5 1

bf s i i e m o t bi • £ I n
ni v i f q o sn
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t o r lt m o s G 3 ir};;r> 7 ; i « . v h a s

TREASU RY

1951

B ID

N O N - C O M P E T I T I V E B ID

Pursuant to the provisions of Treasury
Department Circular No. 418, as amended, and
to t provisions of the public no e on
he
tic
August 28, 1951, as issued by the Secretary
. . f the tTreasury, the undersigned o f r
o
fes
d 289! .
a
....... ........ for a t t l amount o
oa
f

Pursuant t the provisions of Treasury De­
o
partment Circular No. 418, as amended, and t t
o he
provisions of the public n ce on August 2 ,
oti
8
1951, as is ed by the Secretary of the Treasury,
su
the undersigned o f r a non-competitive tender
fes
for a t t l amount of $.
oa
._____ ___________ _

(Rate per 100)

(Not to exceed $200,000)

$.
.... ... _............ (maturity value)
of the Treasury b l s ther
il
ein d s r d, or for
e c ibe
any l s amount t a may be awarded, settlement
es
ht
therefor to be made a your Bank, on the date
t
s a e i the public n t c , as in at below:
ttd n
oie
dic ed
□ By surrender of maturing Treasury b ls
il
amounting t _______ $...............
o

(maturity value) of the Treasury b l s the n
il
rei
d s r b d a the average p ic ( n three deci­
ecie, t
r e i
mals) of accepted competitive b d , settlement
is
therefor t be made a your Bank, on the date
o
t
s a e i the public n t c , as indicated below:
ttd n
oie
□ By surrender of maturing Treasury b l s
il
amounting t ........$.............. .
o

□ By cash or other immediately a a l b e funds
vial

□ By cash or other immediately a a l b e funds
vial

*P rice must be expressed on the basis o f 100, w ith not
m ore than three decimal places, f o r example, 99.925.

The Treasury b l s for which tender i hereby made are t be dated September 6 1951, and are t mature
il
s
o
,
o
on December 6 1951.
,
This tender will be inserted in special envelope marked “ Tender fo r Treasury Bills.”
Nam e o f Bidder
9 :ir

i:“

V

(Please print)

:■

B y .........

,-r, ijnj

(Official signature required)

(Title)

Street Address ................................................

ht;-

(City, Town or Village, P. O. No., and State)
If this tender is submitted by a bank for the account of a customer, indicate the customer’s name on line below:

(Name of Customer) (City, Town or Village, P. O. No., and State)
IM P O R T A N T

IN S T R U C T IO N S :

1. N o tender fo r
(maturity value).
2. I f the person
authorized to make the tender,
tion by him that he has been so

less than $1,000 will be considered, and each tender must be fo r an even multiple o f $1,000
making the tender is a corporation, the tender should be signed by an officer o f the corporation
and the signing o f the tender b y an officer o f the corporation will be construed as a representa­
authorized. I f the tender is made by a partnership, it should be signed by a member o f the firm,

w ho should sign in the fo rm “ ...................................................................................................................................................... a copartnership, by
......................................................................................................................... a member o f the firm.”
3. Tenders w ill be received without deposit fro m incorporated banks and trust companies and fro m responsible
and recognized dealers in investment securities. Tenders fr o m others must be accompanied by payment o f 2 percent o f the
face amount o f Treasury bills applied for, unless the tenders are accompanied by an express guaranty o f payment b y an incor­
porated bank or trust company.
4. I f the language o f this tender is changed in any respect, which, in the opinion o f the Secretary o f the Treasury,
is material, the tender m ay be disregarded.


http://fraser.stlouisfed.org/ Payment by credit through Treasury Tax and Loan Account will not be permitted.
T Reserve 1105-a
Federal E t t T B —Bank of St. Louis

(o v e r )

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