The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
F E D E R A L R E S E R V E BAN K O F N E W Y O R K £ CiAugusU9 *95®8 } F isca l A gen t o f the U n ited States O ffering o f $ 1 ,5 0 0 ,0 0 0 ,0 0 0 o f 92-Day Treasury Bills Dated August 26, 1954 Maturing November 26, 1954 T o all Incorporated Banks and Trust Companies, and Others Concerned, in the Second F ederal R eserv e D istrict: F o llo w in g is the text o f a notice published t o d a y : 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 , T h ursday, A u gu st 19, 1954. TREASURY DEPARTM ENT W ash in gton T h e T reasu ry Departm ent, by this public notice, invites tenders for $1,500,000,000, or thereabouts, o f 92-day T reasu ry bills, fo r cash and in exch an ge for T reasu ry bills m aturing A u gu st 26, 1954, in the am ount o f $1,502,782,000, to be issued on a discou n t basis under com petitive and noncom petitive bid d in g as h ereinafter provided. T he bills o f this series w ill be dated A u gu st 26, 1954, and w ill mature N ovem ber 26, 1954, when the face amount w ill be payable without interest. T h ey w ill be issued in bearer form only, and in denom inations o f $1,000, $5,000, $10,000, $100,000, $500,000, and $1,000,000 (m aturity va lu e). T en ders w ill be received at Federal Reserve Banks and B ran ches up to the clo s in g hour, tw o o ’clo ck p.m., E astern D a y light S avin g time, M on day, A u gu st 23, 1954. T en ders w ill not be received at the T reasu ry Departm ent, W ash ington. E ach tender must be fo r an even m ultiple o f $1,000, and in the case o f com petitive tenders the price offered must be expressed on the basis o f 100, w ith not m ore than three decim als, e. g., 99.925. F raction s m ay not be used. It is urged that tenders be m ade on the printed form s and forw a rd ed in the special envelopes w hich w ill be supplied by F ed eral R eserve Banks o r B ranches on application therefor. O thers than banking institutions w ill not be perm itted to subm it tenders excep t fo r their ow n account. T en ders w ill be received w ithout deposit from in corporated banks and trust com panies and from responsible and recogn ized dealers in in vestm ent securities. T en ders from others m ust be accom panied by paym ent o f 2 percent o f the fa ce am ount o f T reasu ry bills applied fo r, unless the tenders are accom panied by an express guaranty o f paym ent by an in corporated bank o r trust com pany. Im m ediately a fter the clo s in g hour, tenders w ill be opened at the F ed eral Reserve Banks and B ranches, fo llo w in g w hich public announcem ent w ill be made by the T reasu ry D epartm ent o f the am ount and price range o f a ccepted bids. T h ose subm itting tenders w ill be advised o f the acceptance or rejection thereof. T h e Secretary o f the T reasu ry expressly reserves the righ t to accept o r reject any o r all tenders, in w h ole or in part, and his action in any such respect shall be final. S ubject to these reservations, noncom petitive tenders for $200,000 or less w ithout stated price from any one bidder w ill be accepted in fu ll at the average price (in three decim als) o f a ccepted com petitive bids. Settlem ent for accepted tenders in a ccord a n ce w ith the bids m ust be m ade or com pleted at the Federal R eserve Bank on A u gust 26, 1954, in cash or other im m ediately available funds o r in a like face am ount o f T reasu ry bills m aturing A u gust 26, 1954. Cash and exch a n ge tenders w ill re ceive equal treatment. Cash adjustm ents w ill be made for differences between the par value o f m aturing bills a ccepted in exch a n ge and the issue price o f the new bills. T h e incom e derived from T reasu ry bills, w hether interest or gain from the sale o r oth er disp osition o f the bills, shall not have any exem ption, as such, and loss from the sale or other disposition o f T reasu ry bills shall not have any special treatment, as such, under the Internal Revenue C ode, or law s am endatory o r supplem entary thereto. T h e bills shall be subject to estate, inheritance, gift, or oth er excise taxes, w hether F ed eral o r State, but shall be exem pt from all taxation now o r hereafter im posed on the principal or interest th ereof by any State, or any o f the possessions o f the U nited States, o r by any loca l ta x in g authority. F o r purposes o f taxation the amount o f discou nt at w hich T reasu ry bills are origin a lly so ld by the U nited States shall be con sid ered to be interest. U n der S ections 42 and 1 1 7 (a )(1 ) o f the Internal Revenue C ode, as am ended by S ection 115 o f the Revenue A ct o f 1941, the am ou nt o f discou n t at w hich bills issued hereunder are so ld shall not be con sidered to accru e until such bills shall be sold, redeem ed or otherw ise disposed of, and such bills are exclu ded from con sideration as capital assets. A cco rd in g ly , the ow ner o f T reasu ry bills (oth er than life insurance co m pan ies) issued hereunder need include in his incom e tax return on ly the difference between the price paid fo r such bills, whether on origin al issue o r on subsequent purchase, and the am ount actu a lly received either upon sale o r redem ption at m aturity du rin g the taxable year fo r w hich the return is made, as ord in a ry gain o r loss. T reasu ry D epartm ent C ircu lar N o . 418, Revised, and this notice, prescribe the terms o f the T reasu ry bills and govern the con ditions o f their issue. Copies o f the circu la r m ay be obtained from any Federal R eserve Bank or Branch. T h is B ank w ill receive tenders up to 2 p.m ., E astern D a y lig h t S a v in g time, M on d ay, A u g u st 23, 1954, at the S ecu ri ties D epartm ent o f its H ead O ffice and at its B u ffa lo B ranch. P lease use the form on the reverse side o f this circu lar to subm it a tender, and return it in an en velop e m ark ed “ T en d er fo r T rea su ry B ills.” T en d ers m ay be subm itted by telegraph, subject to written confirm ation; they may n ot be submitted by telephone. Paym ent for the Treasury bills cannot be made by credit through the Treasury Tax and Loan Account. immediately available funds or in maturing Treasury bills. Settlement must be made in cash or other A llan S froul, President. Results of last offering of Treasury bills (91-day bills dated August 19, 1954, maturing November 18, 1954) T o ta l applied f o r ........ $2,353,757,000 T ota l a c c e p t e d ............. $1,501,100,000 (in clu des $257,496,000 entered on a noncom petitive basis and accepted in full at the a ver age price show n b elow ) A v era ge p r ic e ........... 99.773+ E qu ivalent rate o f discount app rox. 0.898% per annum R ange o f accepted com petitive b id s : (E x ce p tin g one tender o f $150,000) H i g h ............................ 99.780 E quivalent rate o f discount approx. 0.8709c per annum L o w ............................. 99.771 E quivalent rate o f discount approx. 0.906% per annum (5 percent o f the am ount bid fo r at the low price was accepted) Federal R eserve D istrict Total Applied fo r .... N ew Y o r k ................. P h ila d e lp h ia ............ C leveland ................. R ich m on d ................. C h ica go ................... St. L o u i s ................... M in n e a p o lis ............. K ansas C ity ........... San F r a n c i s c o ........ T o t a l ...................... ... $ 48,101,000 1,697,690,000 31,319.000 51,829,000 25,018,000 29,957,000 216,206.000 42.929.000 20,025.000 43,635,000 54,780,000 92,268,000 $2,353,757,000 http://fraser.stlouisfed.org/ Please note that the current offering is for 92-day Treasury bills. Federal Reserve Bank of St. Louis Total A ccep ted $ 46,601,000 968,040,000 21,319,000 51,829,000 24,318,000 25,257,000 166,619,000 31,979,000 19,925,000 39,235,000 31,030,000 74,948,000 $1,501,100,000 ( over ) 31 W IM PORTANT— Please note that this offering is for 92-day Treasury bills, which will mature on Friday, November 26, 1954, because Thursday, November 25, will be Thanksgiving Day. IM PORTAN T— If you desire to bid on a com petitive basis, fill in rate per 100 and maturity value in paragraph headed “ Competitive Bid.” If you desire to bid on a noncompetitive basis, fill in only the maturity value in paragraph headed “ Noncompetitive Bid.” DO NOT fill in both paragraphs on one form. A separate tender must be used for each bid, except that banks submitting bids on a competitive basis for their own and their customers’ accounts may submit one tender for the total amount bid at each price, provided a list is attached showing the name o f each bidder, the amount bid for his account, and method o f payment. Forms for this purpose will be furnished upon request. N o............................. T E N D E R FOR 92-D A Y T R E A SU R Y BILLS Dated August 26, 1954 To F ed era l R eserve B an k o f N ew Maturing November 26, 1954 Dated a t ........................ Y ork , Fiscal Agent of the United States. 1954 COMPETITIVE BID Pursuant to the provisions o f Treas ury Department Circular No. 418, Revised, and to the provisions o f the public no tice on August 19, 1954, as issued by the Treasury Department, the undersigned offers NONCOMPETITIVE BID Pursuant to the provisions of Treasury De partment Circular No. 418, Revised, and to the provisions of the public notice on August 19, 1954, as issued by the Treasury Department, the undersigned offers a noncompetitive tender ..........................................* for a total amount of for a total amount of $ ............................................ (Rate per 100) (Not to exceed $200,000) $ ....................................................(maturity value) o f the Treasury bills therein described, or for any less amount that may be awarded, settlement therefor to be made at your Bank, on the date stated in the public notice, as indicated below: (maturity value) of the Treasury bills therein described, at the average price (in three deci mals) of accepted competitive bids, settlement therefor to be made at your Bank, on the date stated in the public notice, as indicated below : □ □ By surrender o f maturing Treasury bills amounting t o ..................$______________________ □ By cash or other immediately available funds By surrender of maturing Treasury bills amounting t o ..................$______________________ □ By cash or other immediately available funds * Price must be expressed on the basis of 100, with not more than three decimal places, for example, 99.925. The Treasury bills for which tender is hereby made are to be dated August 26, 1954, and are to mature on November 26, 1954. This tender will be inserted in special envelope marked “ Tender for Treasury Bills.” Name of Bidder ................................................................................................................................ (Please print) By ..................................................... (Official signature required) (Title) Street Address ....................................... (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: (City, Town or Village, P. O. No., and State) (Name of Customer) IM PORTANT INSTRUCTIONS: 1. No tender for less than $1,000 will be considered, and each tender must be for an even multiple of $1,000 (maturity value). 2. If the person making the tender is a corporation, the tender should be signed by an officer of the corporation authorized to make the tender, and the signing of the tender by an officer of the corporation will be construed as a rep resentation by him that he has been so authorized. If the tender is made by a partnership, it should be signed by a mem ber of the firm, who should sign in the form “ ....................................................................................................... . a copartnership, by a member of the firm.” 3. Tenders will be received without deposit from incorporated banks and trust companies and from respon sible and recognized dealers in investment securities. Tenders from others must be accompanied by payment of 2 percent of the face amount of Treasury bills applied for, unless the tenders are accompanied by an express guaranty of payment by an incorporated bank or trust company. 4. If the language of this tender is changed in any respect, which, in the opinion of the Secretary of the Treasury, is material, the tender may be disregarded. Payment by credit through Treasury Tax and Loan Account will not be permitted. TENTB—1260-a ( oveb)