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FE D ER A L R E SE R V E BANK O F N E W YORK Fiscal Agent of the United States No. 4 9 4 6 ~l [ Circular October 11, 1960 J Offering of $3,500,000,000 of 244-Day Tax Anticipation Treasury Bills Dated October 21, 1960 Maturing June 22, 1961 T o A ll Incorporated B anks and Tru st Companies, and Others Concerned, in the Second Federal R eserv e D istrict: Following is the text of a notice issued by the Treasury Department, released for publication today: T h e T r e a s u ry D epa rtm en t, b y this p u b lic n otice, invites ten ders fo r $3,500,000,000, or th ereabouts, o f 244-day T reasu ry bills, to be issued o n a d iscou n t basis under com p etitive and n on co m p e titiv e b id d in g as h ereinafter provid ed . T h e bills o f this series w ill be design a ted T a x A n ticip a tion Series, th ey w ill be dated O c t o b e r 21, 1960, and th ey w ill m ature June 22, 1961. T h e y w ill be a cce p te d at face valu e in p a ym en t o f in com e and p rofits ta xes du e o n June 15, 1961, and to the exten t th ey are n o t p resen ted f o r this pu rpose the face a m ou n t o f these bills w ill be p ayable w ith ou t interest at m aturity. T a x p a y e rs desir in g to a pply these bills in pa ym en t o f June 15, 1961, in com e and p rofits taxes have the p rivilege o f su rren d erin g th em to any F ed era l R e se rv e B ank o r B ra n ch or to the O ffice o f the T r e a s urer o f th e U n ited States, W a s h in g to n , n ot m o re than fifteen da ys b e fo r e June 15, 1961, and receiv in g receip ts th erefor s h o w in g the face a m ou n t o f the bills s o surrendered. T h e s e receipts m a y be subm itted in lieu o f the bills o n o r b efore June 15, 1961, t o the D istrict D ir e c to r o f Internal R even u e fo r the D istrict in w h ich such ta xes are payable. T h e bills w ill be issued in bearer fo r m o n ly, and in den om in ation s o f $1,000, $5,000, $10,000, $100,000, $500,000 and $1,000,000 (m a tu rity va lu e). T e n d e rs w ill be receiv ed at F ed eral R eserve B a n k s and B ra n ch es up to the clo s in g h our, tw o o ’ c lo c k p.m ., E astern D a y lig h t S a vin g tim e, T u e sd a y , O cto b e r 18, 1960. T e n d e rs w ill n o t be receiv ed at the T rea su ry D epartm en t, W a s h in g to n . E a ch ten der m u st be fo r an even m ultiple o f $1,000, and in the case o f co m p etitive ten ders the price offered m u st be exp ressed on the ba sis o f 100, w ith n ot m ore than th ree decim als, e.g., 99.925. F ra ctio n s m a y n o t be used. It is u rg ed that ten ders be m ade o n the printed fo rm s and forw a rd ed in the special en v e lo p e s w h ich w ill be supplied b y F ed eral R eserve B an ks or B ran ch es o n a pp lication th erefor. O th ers than b ank in g in stitu tions w ill n ot be perm itted to su b m it ten ders e x ce p t fo r their o w n a ccou n t. T e n d e rs w ill be rece iv e d w ith ou t d ep o sit fro m in corp ora ted banks and trust com p a n ie s and fr o m resp on sib le and re co g n iz e d dealers in in vestm ent securities. T e n d ers fr o m oth ers m u st b e a c c o m panied b y p a ym en t o f 2 p ercen t o f the face a m ou n t o f T rea su ry bills applied for, unless the ten ders are a ccom p a n ied b y an exp re ss gu a ra n ty o f pa ym en t b y an in corp ora ted ba n k or trust com p a n y . A ll bidd ers are required to a gree n ot t o pu rch ase or to sell, o r t o m ake a n y agreem en ts w ith resp ect to the pu rch ase or sale o r o th e r disp osition o f a n y bills o f this issue, until after t w o o ’ c lo ck p.m ., E astern D a y lig h t S a vin g tim e, T u esda y, O c t o b e r 18, 1960. Im m ed ia tely a fter the clo s in g h our, ten ders w ill b e o p e n e d at the F ed eral R e serv e B anks and B ran ches, fo llo w in g w h ich pu blic a n n ou n cem en t w ill be m ade b y the T rea su ry D ep a rtm en t o f the a m ou n t and price ra n ge o f a ccep ted bids. T h o s e sub m itting tenders w ill be advised o f the a ccep ta n ce o r reje ctio n thereof. T h e S ecreta ry o f the T rea su ry ex p ressly reserves the righ t to a ccep t o r re je ct any o r all tenders, in w h ole o r in part, and his a ction in a n y such resp ect shall be final. S u b je ct t o these reservations, n on com p etitive tenders for $500,000 o r less w ith ou t stated price fr o m a n y on e b idder w ill be a ccep te d in full at the a verage price (in three decim a ls) o f a ccep ted c o m petitive bids. P a ym en t o f a ccep ted tenders at th e prices o ffe re d m u st be m ade o r com p leted at the F ed era l R e s e rv e B a n k in cash o r oth er im m ediately available fu n d s o n O c to b e r 21, 1960, provid ed , h ow ev er, a n y qualified d ep osita ry w ill b e perm itted t o m ake p a ym en t b y cred it in its T rea su ry T a x and L o a n A c c o u n t fo r T rea su ry bills a llotted t o it fo r itself and its cu s tom ers up t o a n y a m ou n t f o r w h ich it shall be qualified in excess o f e xistin g dep osits w hen s o notified b y the F ed eral R eserve Bank o f its D istrict. T h e in com e derived fr o m T rea su ry bills, w h eth er interest o r ga in fr o m the sale o r oth er d isp osition o f the bills, d o e s n ot have a n y ex em p tion , as such, and loss fr o m the sale o r oth er disp osition o f T rea su ry bills d o e s n ot have a n y special treat m ent, as such, under the In tern al R even u e C od e o f 1954. T h e bills are s u b je ct t o estate, inheritance, g ift o r o th e r excise taxes, w h eth er F ed eral o r State, but are e x e m p t fr o m a ll taxa tion n o w or hereafter im p osed on the principal o r interest th ereof b y a n y State, o r a n y o f the p ossession s o f the U n ited States, o r b y a n y lo ca l ta x in g authority. F o r p u rp ose s o f taxation the a m ou n t o f d iscou n t at w h ich T rea su ry bills are origin a lly sold b y the U n ited States is con sid ered t o b e interest. U n d er S ection s 4 5 4 (b ) and 1221(5) o f the In tern al R even u e C od e o f 1954 the a m ou n t o f d iscou n t at w h ich b ills issued hereunder are sold is n ot con sidered to a ccru e u ntil su ch bills are sold , red eem ed o r oth erw ise d isp osed o f, and su ch bills are ex clu d ed fr o m con sidera tion as capital assets. A c c o r d in g ly , the o w n e r o f T rea su ry bills (oth er than life insurance co m pan ies) issued hereunder n eed in clu d e in his in com e ta x return o n ly the differen ce betw een the price paid fo r such bills, w hether o n origin al issue or on subsequen t purchase, and the am ou n t actu a lly receiv ed either u p on sale o r red em p tion at m aturity d u rin g th e taxable yea r fo r w h ich the return is m ade, as ord in a ry gain o r loss. T rea su ry D ep a rtm en t C ircu lar N o. 418, R evised , and this n otice, p rescrib e the term s o f the T rea su ry bills and govern the con d ition s o f their issue. C op ies o f the circu la r m a y be obtain ed fro m a n y F ed era l R eserve B a n k o r Branch. This Bank will receive tenders up to 2 p.m., Eastern Daylight Saving time, Tuesday, October 18, 1960, at the Securities Department of its Head Office and at its Buffalo Branch. Please use the form on the reverse side of this circular to submit a tender, and return it in the enclosed blue envelope marked “ Tender for Treasury Bills—Tax Anticipation Series.” Tenders may be submitted by telegraph, subject to written confirmation; they may not be sub mitted by telephone. Settlement for accepted tenders must be made in cash or other immediately available funds, except that any qualified depositary may make payment by credit in its Treasury Tax and Loan Account for Treasury bills allotted to it for itself and its customers, up to any amount for which it shall be qualified in excess of existing deposits. A lfred H ayes, President. ( over) No.................................. TENDER FOR 244-DAY TREASURY BILLS TO BE DESIGNATED “ T A X ANTICIPATION SERIES” Dated October 21, 1960 To F ed eral R eserve B a n k of N ew Maturing June 22, 1961 Dated at ................................................... .......................................................... 1960 Y ork, Fiscal Agent of the United States. Pursuant to the provisions of Treasury Department Circular No. 418, Revised, and to the provisions of the public notice issued by the Treasury Department and printed on the reverse side of this tender, the under signed hereby offers to purchase the above described T reasury 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 below: COMPETITIVE TENDER f D ° not fl11 in both Com petitive and 1 Noncom petiH ve tenders on one fo rm J $ ...................................................... (maturity value), or any lesser amount that may be awarded. P r ic e :................................. per 100. (P r ic e m ust be exp ressed w ith not m ore than three decimal places, f o r exam ple, 99.925) NONCOMPETITIVE TENDER $ .............................................. ....... (maturity value). (N o t to exceed $500,000 f o r one bidder through all sou rces) At the average price of accepted competitive bids. Subject to allotment, payment for these bills will be made at your Bank on October 21, 1960, by cash or other immediately available funds or (in the case of a qualified depositary) by credit in Treasury Tax and Loan Account. W e hereby agree not to buy or to sell, or to make any agreements with respect to the purchase or sale or other disposition of any bills of this issue, until after two o’clock p.m., Eastern Daylight Saving time, Tuesday, October 18, 1960. N am e o f subscriber .......................................................................................................................................... Insert this tender in blue envelope marked “ Tender for Treasury Bills— _Tax Anticipation Series (Please print) B y ........................................................................B y ............................ (Official signature(s) required) T itle ............................................................................ . T itle ............. Address ............................................................................................................ (B anks submitting tenders for customer account must indicate name on line below, or attach a list) (Name of customer) (Address) ( N o t e . Successful bidders w ill receive a letter o f instructions fo rm with their allotment notice to instruct us as to the disposition o f , and method o f payment for, the bills allotted to them.) IN S T R U C T IO N S : 1. N o tender for less than $1,000 w ill be considered, and each tender must be for an even multiple o f $1,000 (m aturity va lu e). 2. Others than banking institutions w ill not be permitted to submit tenders except for their ow n account. Banks submitting tenders fo r custom er account may consolidate com petitive tenders at the sam e price and m ay consolidate noncompetitive tenders, provided a list is attached showing the name o f each bidder, the amount bid fo r his account, and method o f payment. Form s for this purpose w ill be furnished on request. 3. I f the person making the tender is a corporation, the tender should be signed by an officer o f the corporation authorized to make the tender, and the signing o f the tender b y an officer o f the corporation w ill be construed as a representation b y him that he has been s o authorized. I f the tender is made b y a partnership, it should be signed b y a member o f the firm, w ho should sign in the form “ ...................................................................................................... . a copartnership, by .......................................................................................................................a member o f the firm ." 4. Tenders w ill be received without deposit fro m incorporated banks and trust companies and from respon sible and recognized dealers in investment securities. Tenders from others must be accom panied by payment o f 2 percent o f the face amount o f Treasury bills applied for, unless the tenders are accompanied b y an express guaranty o f payment by an incorporated bank or trust company. 5. I f the language o f this tender is changed Treasury, is material, the tender may be disregarded. in any respect, which, in the opinion o f the Secretary o f the 1 F ederal R eserve B a n k of N e w Y ork NOTICE OF ALLOTMENT OF UNITED STATES OF AMERICA TREASURY BILLS TAX ANTICIPATION SERIES October 19, 1960. Your □ competitive □ noncompetitive tender for— UN ITED S T A T E S O F A M E R IC A 2 4 4 -D A Y T R E A S U R Y BILLS— T A X A N T IC IP A T IO N D A T E D O C T O B E R 2 1 , 1 9 6 0 , D U E JUNE 2 2 , 1961 has been accepted at the price of SERIES (per 100), in the amount of— $ (maturity value) Settlement therefor must be made in cash or other immediately available funds at the Federal Reserve Bank of New York on or before October 21, 1960. However, a qualified deposi tary may make settlement by credit to its Treasury Tax and Loan Account, provided the advice of deposit on the enclosed letter of instructions form is executed and returned immediately. If settlement is to be made by check on a bank other than the Federal Reserve Bank of New York, such check should be received by us in time for collection on October 21, 1960; otherwise it will be necessary for the bidder to pay for the securities allotted at the accepted price, plus interest to the date of collection at the equivalent rate of discount. On the enclosed letter of instructions form, please fill in instructions as to payment and dis position for the total amount of Treasury bills of this issue awarded to you, and return the letter immediately to our Government Bond Division. F ed eral R eserve B a n k o f N e w Y ork Fiscal Agent of the United States Checked by. PENDING DELIVERY TICKET FOR GOVERNMENT BOND DIVISION 2 □ competitive □ noncompetitive U N IT E D S T A T E S O F A M E R IC A 2 4 4 - D A Y T R E A S U R Y BILLS— T A X A N T IC IP A T IO N D A T E D O C T O B E R 2 1 , 1 9 6 0 , D U E JU N E 2 2 , 1 9 6 1 SERIES price of P R IN C IP A L MASTER M A T U R IT Y V A L U E P R IN C IP A L DISPOSITION □ Over the Counter □ Safekeeping: □ Ship □ Treasury Tax & Loan □ Allotment Transfer S P L IT D IS P O S IT IO N M ETH O D O F PAYM ENT □ Treas. T. & L. Acc. □ Reserve Account □ Check or Cash □ Delivery Teller □ Foreign Oper. Div. □ Form 12 ALLOTMENT NOTICE FOR SECURITIES DEPARTMENT □ c o m p etitiv e □ n on co m p etitiv e U N IT E D S T A T E S O F A M E R IC A 2 4 4 - D A Y T R E A S U R Y BILLS— T A X A N T IC IP A T IO N SE R IE S D A T E D O C T O B E R 2 1 , 1 9 6 0 , D U E JU N E 2 2 , 1 9 6 1 p r ic e o f $ 3 ALLOTMENT NOTICE FOR SECURITY FILES □ competitive □ noncompetitive U N IT E D S T A T E S O F A M E R IC A 2 4 4 - D A Y T R E A SU R Y BILLS— T A X A N T IC IP A T IO N SERIES D A T E D O C T O B E R 2 1 , 1 9 6 0 , D U E JU N E 2 2 , 1 9 6 1 price of (This letter o f instructions, accompanied by attached duplicate copy, should be filled in for the total amount o f Treasury bills o f this issue awarded, and returned to Federal Reserve Bank o f New Y ork) LETTER OF INSTRUCTIONS To F ederal R eserve B a n k of N ew Y ork, Fiscal Agent of the United States, Federal Reserve P. 0. Station, New York 45, N. Y. Attention: Government Bond Division—2nd Floor Dated a t .......... ..I960 On our competitive and noncompetitive tenders for— UN ITED S T A T E S O F A M ER IC A 2 4 4 -D A Y TREA SURY BILLS— T A X A N T IC IP A T IO N SERIES D A T E D O C T O B E R 2 1 , 1 9 6 0 , DU E JU N E 2 2 , 1 9 6 1 accepted in the aggregate amount of— (maturity value) Please issue and make delivery of the bills as instructed below Pieces Denomination $ Maturity Value P l e a s e D o N ot U se T h is S pace 1 ,0 0 0 5 ,0 0 0 1 0 ,0 0 0 1 0 0 ,0 0 0 5 0 0 ,0 0 0 1 ,0 0 0 ,0 0 0 Totals— □ 1. Deliver over the counter to the undersigned □ 2. Ship to the undersigned □ 3. Hold in safekeeping (for account of member bank only) □ 4. Hold as collateral for Treasury Tax and Loan Account ^ 5. Special instructions: Payment will be made as follows: □ By charge to our reserve account □ By cash or other immediately available funds □ By credit to Treasury Tax and Loan Account on our books as indicated on the attached Advice of Deposit (No changes in delivery instructions will be accepted) T h e u n d e rsig n e d (if a b a n k o r tr u s t c o m p a n y ) h e re b y certifies th a t th e T re a s u ry bills w hich y o u a r e h e re b y in stru c te d to dispose ‘n th e m a n n e r in d ic a te d in item n u m b e re d 3 o r 4 above a r e o w ned solely by th e u n d ersig n ed . i letter o f instructions must be signed ially in the space provided and reed immediately to To Federal Reserve Bank o f New York, Submitted by (Please print) ^ By (Authorized signature(s) required) .......................... Title Title ............. (S p a c e s below a re fo r th e use of F e d e ral R eserve B ank o f N ew Y o rk ) Re* Safekeeping Division Government Bond Division 0 D E L IV E R Y RE C E IP T leceived from Federal Reserve Bank o f New York. Fiscal Agent o f the United States, the above described securities allotted in the amount ndicated above. If payment is to be made by credit to Treasury Tax and Loan Account, an advice of the deposit should be (furnished this Bank on the form below. Advice of Deposit in Treasury Tax and Loan Account iFederal Reserve Bank of New York Government Bond Division . We will deposit 011 October 21, 1960, $ (purchase price) to the credit of the Federal [erve Bank of New York, Fiscal Agent of the United States, in the Treasury Tax and Loan Account, to be held subject withdrawal on demand in payment for $ (maturity value) 244-day Tax Anticipation ^•easury bills dated October 21, 1960, due June 22, 1961. (Name of depositary) Address (City and State) (DUPLICATE FOR USE OF FEDERAL RESERVE BANK OF NEW YORK) LETTER OF INSTRUCTIONS T o F ed er al R eserve B a n e op New Y ork, Fiscal Agent of the United States, Federal Reserve P. 0 . Station, New York 45, N. Y. Attention: Government Bond Division—2nd Floor Dated a t .................................................... ............................................................. 1960 On our competitive and noncompetitive tenders for— U N IT E D S T A T E S O F A M E R IC A 2 4 4 -D A Y T R E A S U R Y BILLS— T A X A N T IC IP A T IO N D A T E D O C T O B E R 2 1 , 1 9 6 0 , D U E JU N E 2 2 , 1 9 6 1 SERIES accepted in the aggregate amount of— $ (maturity value) Please issue and make delivery of the bills as instructed below: Pieces 1 Denomination $ M aturity Value P l e a s e D o N ot U s e T h i s S pace 1,000 5 ,0 0 0 1 0 ,0 0 0 1 0 0 ,0 0 0 5 0 0 ,0 0 0 1 ,0 0 0 ,0 0 0 Totals— □ 1. Deliver over the counter to the undersigned □ 2. Ship to the undersigned □ 3. Hold in safekeeping (for account of member bank only) □ 4. Hold as collateral for Treasury Tax and Loan Account □ 5. Special instructions: Payment will be made as follows: □ By charge to our reserve account □ By cash or other immediately available funds □ By credit to Treasury Tax and Loan Account on our books as indicated on the attached Advice of Deposit (No changes in delivery instructions wiU be accepted) T h e u n d e rs ig n e d ( i f a b a n k o r t r u s t c o m p a n y ) h e re b y c ertifie s th a t th e T r e a s u r y b ills w h ic h y o u a r e h e re b y in s tr u c te d to d isp o se >f in th e m a n n e r in d ic a te d in ite m n u m b e re d 3 o r 4 a b o v e a r e o w n e d so lely b y th e u n d e rsig n e d . rhis letter o f instructions must be signed >mcially m the space provided and reumed immediately to Federal Reserve Bank o f New York, F isca l A gen t o f the United States. Submitted b y ................................................................... ........................ (Please print) (A uthorized signature (s) required) T itle ............................................................................... Address Title ....................................................................................... (S p a c e s b e lo w a r e f o r th e u se o f F e d e ra l R e se rv e B a n k o f N ew Y o r k ) Government B ond D ivision Safekeeping Division D E L IV E R Y R E C E IP T deceived from Federal Reserve Bank o f New Y ork, Fiscal A gen t o f the United States, the above described securities allotted in the amount idicated above. >ate.......................... Subscriber.............................................................. By..................................................................... Federal Reserve Bank of New York Securities Department (9th Floor) 33 Liberty Street TENDER FOR TREASURY BILLS TAX ANTICIPATION SERIES (D O N O T U S B T H I S E N V E L O P S F O R O T H E B P U R P O S E S ) New York 45, N . Y.
@FedFRASER