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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)

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