The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
REVISED TR E A SU R Y BILL TENDER FORM The tender form for Treasury bills which appears on the reverse side of the enclosed circular has been revised so that bidders may supply with their original tender the delivery and payment instructions, which up to this time have been furnished on a “ Letter of Instructions” form mailed to successful bidders by the Federal Reserve Bank of New York after allotments have been made. It is believed that bidders on the noncompetitive basis, in particular, will find this a convenience. Bidders on the competitive basis also may fill in the delivery and payment instructions in the spaces provided on the tender form, although in the event o f a partial allotment it may be necessary for this Bank to request additional instructions. If special circumstances make it inconvenient to supply the delivery and payment instructions when the tender form is prepared, these spaces may be left blank. In such instances the usual Letter of Instructions, to be filled in and returned by the bidder, will be furnished by this Bank following allotment. However, if mail schedules or possible mail delays might prevent receipt by this Bank of a Letter of Instructions by the payment date, bidders are urged to supply complete instructions with the tender. FEDERAL RESERVE BANK 9F NEW YORK Circular N o. 4 4 9 2 Fiscal Agent o f the United States A u g u s t 1, 1957 Offering of $1,700,000,000 of 91-Day Treasury Bills Dated August 8, 1957 Maturing N ovem ber 7, 1957 T o all In corporated Banks and T rust Companies, and Others Concerned, in the Second Federal R eserv e D istrict: F ollow in g is the text o f a notice published to d a y : TREASU RY DEPARTM EN T W a s h in g to n 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 u rsd a y , A u g u s t 1, 1957. T h e T r e a s u ry D epa rtm en t, b y this pu blic n otice, invites ten ders fo r $1,700,000,000, o r th ereabouts, o f 91-day T rea su ry bills, f o r cash and in e x ch a n g e fo r T rea su ry bills m atu rin g A u g u st 8, 1957, in the a m ou n t o f $1,699,381,000, to be issued on a d isco u n t basis u nder co m p etitive and n on com p etitiv e b id d in g as h ereinafter provid ed . T h e bills o f this series w ill b e dated A u g u s t 8, 1957, and w ill m ature N o v e m b e r 7, 1957, w h en the face a m ou n t w ill be pa ya b le w ith ou t interest. T h e y w ill be issued in bearer fo r m o n ly, and in den om in a tion s o f $1,000, $5,000, $10,000, $100,000, $500,000 and $1,000,000 (m a tu rity v a lu e ). T e n d e rs w ill be re ce iv ed at F ed eral R es e rv e B anks and B ra n ch es up to the clo s in g h our, on e-th irty o ’ c lo c k p.m ., E astern D a y lig h t S a vin g tim e, M on d a y , A u g u st 5, 1957. T en d ers w ill n ot be receiv ed at the T r e a s u ry D epartm en t, W a s h in g to n . E ach ten der m u st b e fo r an even m u ltiple o f $1,000, and in th e ca se o f com p etitiv e ten ders the p r ice o ffe re d m u st be ex p re s se d o n th e basis o f 100, w ith n ot m o re than th ree decim als, e.g., 99.925. F ra ction s m a y n ot be used. I t is u rg ed that ten ders be m a d e o n the p rin ted fo rm s a n d fo rw a rd e d in the special en v elop es w h ich w ill b e supplied b y F ed eral R eserve B anks o r B ra n ch es o n a p p lica tion th e re fo r. O th e rs than b ank in g in stitu tions w ill n ot b e perm itted to subm it tenders e x ce p t fo r th eir o w n a ccou n t. T e n d e rs w ill be re ce iv e d w ith ou t d ep o sit fr o m in corp ora ted banks and trust com p a n ies and fro m resp on sib le and re co g n iz e d dealers in in vest m en t securities. T e n d e rs fr o m oth ers m u st b e a ccom p a n ied b y p a y m en t o f 2 p ercen t o f the face a m ou n t o f T r e a s u ry bills app lied fo r, unless th e ten ders are a ccom p a n ied b y an exp ress gu a ra n ty o f p a y m en t b y an in corp ora ted bank o r trust com p a n y . Im m e d ia te ly a fter th e c lo s in g h ou r, ten ders w ill b e o p en ed at th e F ed era l R e s e rv e B anks and B ra n ch es, fo llo w in g w h ich p u b lic a n n ou n cem en t w ill b e m ade b y th e T r e a s u ry D epa rtm en t o f th e a m ou n t a n d p rice ra n ge o f a ccep ted bids. T h o s e su b m ittin g ten ders w ill b e a d vised o f the a ccep ta n ce o r re je ctio n th ereof. T h e S ecreta ry o f the T r e a s u ry e x p re s sly reserves the righ t t o a cce p t o r re je c t a n y o r all tenders, in w h o le or in part, and his a ction in a n y such resp ect shall b e final. S u b je ct t o th ese reserva tion s, n o n com p etitiv e ten ders fo r $200,000 o r less w ith ou t stated p rice fr o m a n y on e b idd er w ill be a ccep ted in full at the average price (in three decim a ls) o f a cce p te d com p etitive bids. S ettlem ent fo r a ccep ted ten ders in a ccord a n ce w ith the bids m u st b e m ade o r com p le te d at the Federal R eserve B ank on A u g u s t 8, 1957, in cash or oth er im m ediately available fu n ds o r in a like fa c e am ou nt o f T rea su ry bills m atu rin g A u g u st 8, 1957. Cash and ex ch a n g e ten ders w ill receive equal treatm en t. C ash a dju stm en ts w ill b e m ade fo r d ifferen ces b etw een th e par valu e o f m atu rin g bills a ccep ted in ex ch a n g e an d the issue p rice o f th e n e w bills. T h e in co m e derived fr o m T r e a s u ry bills, w h eth er interest o r gain fr o m the sale o r oth er d isp osition o f th e bills, d o e s n o t have a n y e x e m p tio n , as such, and loss fr o m th e sale o r oth er d isp osition o f T rea su ry bills d oes n ot have a n y special treat m en t, as such, u nder th e In tern al R even u e C o d e o f 1954. T h e bills are su b ject t o estate, inheritance, g ift o r oth er e x cis e taxes, w h eth er F ed era l o r State, b u t are exem p t fr o m all ta xation n o w o r hereafter im p osed on the principal o r interest th e re o f b y any State, o r a n y o f the p ossession s o f the U n ited States, or b y any local ta x in g authority. F o r pu rp oses o f taxation the a m o u n t o f d is co u n t at w h ich T r e a s u ry bills are o rig in a lly s o ld b y th e U n ited States is c o n s id e re d t o b e in terest. U n d er S e ctio n s 4 5 4 (b ) and 1221(5) o f th e In tern al R even u e C o d e o f 1954 the a m ou n t o f d iscou n t at w h ich bills issued hereunder are s o ld is n o t co n sid e re d t o a ccru e u ntil such bills are sold, red eem ed o r oth erw ise disp osed o f, and such bills are exclu ded fr o m con sid era tion as capita l assets. A c c o r d in g ly , the o w n e r o f T rea su ry bills (o th e r than life insurance co m p a n ie s ) issued hereun der need in clu d e in his in co m e ta x return o n ly th e differen ce b etw een the p rice paid fo r such bills, w h eth er on origin al issue o r o n subsequen t pu rch ase, and th e a m ou n t actu a lly received eith er u pon sale o r red em p tion at m atu rity d u rin g the ta x ab le yea r f o r w h ich the return is m ade, as ord in a ry gain o r loss. T r e a s u ry D ep a rtm en t C ircu la r N o . 418, R evised , and th is n otice, p rescrib e the term s o f th e T rea su ry bills and g o v e rn the co n d itio n s o f their issue. C op ies o f th e circu la r m a y b e ob ta in ed fr o m a n y F ed eral R es e rv e B a n k o r B ran ch. This Bank will receive tenders up to 1 :30 p.m., Eastern Daylight Saving time, Monday, August 5, 1957, 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.” Tenders may be sub mitted by telegraph, subject to written confirmation; they may not be submitted by telephone. Payment f o r the Treasury bills cannot be made by a edit 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 lfred H ayes , President. Results o f last offering o f Treasury bills (9 1 -d a y bills dated A u gu st 1, 1957, m aturing O ctober 31, 1957) T o t a l applied fo r ...$2,415,458,000 T o ta l a cce p te d .........$1,700,472,000 (in clu d es $361,317,000 en tered on a n on com p etitiv e basis and a ccep ted in fu ll at th e average p rice sh ow n b e lo w ) R a n g e o f a cce p te d com p etitive bids (e x ce p tin g five ten ders tota lin g $545,000): E quivalent rate o f discou n t H ig h ........... 99.191 a p p rox . 3.200% per annum 99.142 E quivalent rate o f d iscou n t L o w ........... a p p rox. 3.394% per annum E quivalent rate o f discou n t A v e r a g e . . . . . . 99.150 a p p rox . 3.363% per annum (92 percen t o f the a m ou n t b id fo r at the lo w p rice w as a ccep ted ) Federal R eserve D istrict B o s to n ........................ N ew Y o r k ............... Philadelphia ............. C leveland .................. R ich m o n d .................. A tlanta ...................... C h ica g o ...................... St. L ou is .................... M in n ea p olis ............. K ansas C ity ............. D allas ......................... San F r a n cis co ......... T o ta l ......... Total A pplied f o r $ 37,549,000 1,703,304,000 43,632,000 57,191,000 19,422,000 41,424,000 248,270,000 38,377,000 22,676,000 56,765,000 45,717,000 101,131,000 $2,415,458,000 A ccep ted $ 27,549,000 1,088,674,000 28,632,000 52,191,000 19,422,000 41,424,000 197,270,000 33,377,000 22,576,000 56,685,000 36,717,000 95,955,000 $1,700,472,000 ( over) N o.................... A 1 TEN D ER FO R 91-D A Y T R E A S U R Y BILLS Dated August 8, 1957 T o F ederal R eserve B a n k o f N e w Y Fiscal Agent o f the United States. Maturing N ovem ber 7, 1957 Dated a t ....................................... ork, 19. Pursuant to the provisions o f Treasury Department Circular No. 418, Revised, and to the provisions o f the public notice issued by the Treasury Department and printed on the reverse side o f this tender, the under signed hereby offers to purchase the above described Treasury bills in the amount indicated below, and agrees to make payment therefor at your Bank on or before the issue date at the price indicated b elow : C O M P E T IT IV E TE N D E R E D o not fill in both Competitive and | Noncompetitive tenders on one form J Noncompetitive tenders on one form I N O N C O M PE TITIV E TE N D E R $ ............................................................( maturity value ) , or any lesser amount that may be awarded. $ ............................................................ (maturity value). (Not to exceed $200,000 for one bidder through all sources) P r i c e : .....................................per 100. (Price must be expressed with not tnore than three decimal plates, for example, 99.925) A t the average price o f accepted competitive bids. Subject to allotment, please issue, deliver, and accept payment for the bills as indicated below: Pieces Denomination $ Maturity value 1,000 □ D □ 5,000 10,000 □ 100,000 □ 500,000 1. Deliver over the counter to the undersigned 2. Ship to the undersigned 3. Hold in safekeeping (for ac count of member bank only) 4. Allotment transfer (see list attached) 5. Special instructions: Payment will be made as follows: □ By charge to our reserve account □ By cash or other immediately avail able funds □ By surrender of $ ...................... (maturity value) of maturing Treasury bills. Pay cash adjust ment, if any— □ 1 ,000,000 (No changes in delivery instructions will be accepted) Totals----- By check □ By credit to our reserve account (Payment cannot be made through Treasury Tax and Loan Account) The undersigned ( i f a bank or trust com pany) hereby certifies that the Treasury bills which you are hereby instructed to dispose o f in the manner indicated in item 3 above are solely owned by the undersigned. Name of subscriber Insert this tender in special en velop e m a rk ed “ T e n d e r _ fo r Treasury Bills” _ (Please print) By ........................... By (Official signature(s) required) T itle ............................................................... , T i t l e .......... Address ..................................................................................... (Banks submitting tenders for customer account must indicate name on line below, or attach a list) (Name of customer) (Address) 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. Others than banking institutions will not be permitted to submit tenders except for their own account. Banks submitting tenders for customer account may consolidate competitive tenders at the same price and may consolidate noncompetitive tenders, provided a list is attached showing the name of each bidder, the amount bid for his account, and method of payment. Forms for this purpose will be furnished on request. 3. 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 representation by him that 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.” 4. 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. 5. 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. ( over)
@FedFRASER