The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
FEDERAL RESERVE BANK OF NEW YORK Fiscal A g en t o f the U nited States [ Circular N o. 5 1 0 1 1 Novem ber 2, 1961 J Treasury to Refund $7 Billion of 2 1/4 % Treasury Bonds Maturing November 15, 1961, and to Raise $800 Million in Cash To A ll B anking In stitution s, and Others Concerned, in the Second Federal R eserve D istrict: The following statement was made public today by the Treasury Department: The Treasury is offering holders of $6,963 million of 2% percent Treasury Bonds of 1961, which mature November 15, 1961, and which was originally issued on February 15, 1954, the right to exchange them for any of the following securities: A 31/4 percent note dated November 15, 1961, due February 15, 1963, at par, or A n additional amount of 3% percent Treasury Bonds of 1966, originally issued November 15, 1960, maturing May 15, 1966, in the amount of $1,213 million, at 99.75, with interest from November 15, 1961, to yield about 3.81 percent, or An additional amount of 3% percent Bonds of 1974, originally issued December 2,1957, maturing November 15, 1974, in the amount of $654 million, at 99.00, with interest from November 15, 1961, to yield about 3.97 percent. Cash subscriptions for the securities listed above will not be received. The subscription books will be open only on November 6 through November 9 for the receipt of subscriptions. Subscriptions for any issue addressed to a Federal Reserve Bank or Branch, or to the Office o f the Treasurer of the United States, and placed in the mail before midnight November 9, will be considered as timely. The securities will be delivered November 15, 1961 and will be made available in registered form, as well as bearer form. Interest on the new 3% percent 15-month Treasury note will be paid on February 15 and August 15, 1962, and February 15, 1963. Interest on the 3% percent Treasury Bonds of 1966, and the 3% per cent Treasury Bonds of 1974 is payable semiannually on May 15 and November 15. Exchanges of the 2% percent Treasury bonds maturing November 15, 1961 may be made for a like face amount of the securities included in this exchange offering. Coupons dated November 15, 1961 on the maturing 2 ^ percent Treasury bonds exchanged for the new issues should be detached by holders and cashed when due. Interest on the securities issued in exchange will be payable from November 15, 1961. Holders of the 2 ^ percent Treasury bonds maturing November 15, 1961, who exchange them for the 3% percent Treasury Bonds of 1966 will be paid the amount of $2.50 per $1,000, representing the discount on the new securities and holders of the 2% percent bonds who exchange them for the 3% percent Bonds of 1974 will be paid $10 per $1,000, representing the discount on such bonds. Treasury bills In addition to the exchange privilege open to the holders of the maturing 2% percent Treasury Bonds o f 1961, the Treasury will also receive tenders on Thursday, November 9, for approximately $800 million of a “ strip” of additional amounts of eight series of outstanding Treasury bills maturing weekly from December 7, 1961 to January 25, 1962, inclusive. The additional amount of each weekly series will be $100 million. These additional Treasury bills will be issued on November 15, 1961 and payment for them must be made in cash or other immediately available funds on that date. Payment for such bills by credit in Treasury Tax and Loan Accounts will not be permitted. Full details concerning these Treasury bills are contained in the Treasury’s announcement invit ing tenders for such bills which is being released today. Circulars and subscription forms for the exchange offerings will be mailed to reach you by Monday, November 6. A lfred H ayes, President.
@FedFRASER