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FED ER AL RESERVE BANK O F NEW YORK Fiscal Agent of the United States Circular No. 6 1 9 0 1 July 18, 1968 J OFFERING OF TW O SERIES OF TREASURY BILLS $500,000,000 of 273-Day Bills, Additional Amount, Series Dated April 30, 1968, Due April 30, 1969 (To Be Issued July 31, 1968) $1,000,000,000 of 365-Day Bills, Dated July 31, 1968, Due July 31, 1969 To All Incorporated Banks and Trust Companies, and Others Concerned, in the Second Federal Reserve District: Following is the text of a notice issued by the Treasury Department, released for publication today at 4 p.m., Eastern Daylight Saving time: T h e T re a su ry D epartm en t, b y this p u b lic n otice, invites ten ders fo r tw o series o f T rea su ry bills to the a ggreg a te am ou nt o f $1,500,000,000, o r th ereabouts, for cash and in ex ch a n ge for T re a su ry bills m aturing July 31, 1968, in the a m ou n t o f $1,501,080,000, as fo llo w s : 273-day bills (to m aturity date) to be issued July 31, 1968, in the am ou nt o f $500,000,000, o r thereabouts, rep re sen tin g an additional am ou nt o f bills dated A p ril 30, 1968, and to m ature A p ril 30, 1969, origin a lly issued in the am ou nt o f $1,000,784,000, the additional and origin al bills to be freely in terch angeable. 365-day bills, for $1,000,000,000, or th ereabouts, to be dated Ju ly 31, 1968, and to m ature July 31, 1969. T h e bills o f b oth series w ill be issued on a discou n t basis under co m p etitive and n on com p etitiv e b id d in g as hereinafter pro v id e d , and at m aturity their face a m ou n t w ill be payable w ith ou t interest. T h e y w ill be issued in bearer fo rm on ly, and in den om in ation s o f $1,000, $5,000, $10,000, $50,000, $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 receiv ed at F ed eral R eserve B anks and B ra n ch es up to the clo s in g hour, on e-th irty p.m ., E astern D a y ligh t S a vin g tim e, W e d n e s d a y , July 24, 1968. T en d ers w ill n ot be receiv ed at the T rea su ry D epa rtm en t, W a s h in g to n . E a ch ten der m ust be fo r an even m ultiple o f $1,000, and in the case o f com p etitive tenders the p rice o ffe re d m u st be exp ressed on the basis o f 100, w ith n ot m ore than three decim als, e.g., 99.925. F ra ctio n s m ay n ot be used. (N otw ith sta n d in g the fact that the on e -y e a r bills w ill run for 365 days, the d iscou n t rate w ill be com p u ted on a bank discou n t basis o f 360 days, as is cu rrently the practice on all issues o f T rea su ry b ills.) It is u rged that ten ders be m ade on the printed form s and forw a rd ed in the special e n velop es w h ich w ill be supplied b y F ederal R eserve B anks or B ran ches on a pp lication th erefor. B a n k in g institutions g en era lly m a y subm it tenders for a ccou n t o f cu stom ers, p rov id ed the nam es o f the cu stom ers are set forth in such tenders. O th ers than ban kin g institutions w ill n ot be perm itted to subm it tenders e x cep t fo r their ow n a ccou nt. T e n d e rs w ill be receiv ed w ith ou t dep osit fro m in corp ora ted banks and trust com pa n ies and from respon sib le and recog n ized dealers in in vestm ent securities. T e n d e rs fro m oth ers m ust be a ccom p a n ied b y pa ym en t o f 2 percen t o f the face a m ou n t o f T re a su ry bills applied for, unless the tenders are a ccom p a n ied b y an exp ress gu aranty o f paym ent b y an in corp ora ted bank or trust com p a n y . Im m edia tely after the clo s in g hour, ten ders w ill be op e n e d at the F ed era l R eserve B anks and B ra n ch es, 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 re a s u ry D e p a rtm e n t o f the am ou nt and price ran ge o f a cce p te d bids. T h o s e su b m ittin g tenders w ill be a dvised 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 re a s u ry e x p re s sly reserves the righ t to a ccep t or re je ct any or all ten ders, in w h ole o r in part, and his a ction in any such resp ect shall be final. S u b je ct to these reservations, n on com p etitiv e ten ders fo r each issue fo r $200,000 or less w ith ou t stated price fr o m any on e b idd er w ill be a ccep ted in full at the a vera ge p rice (in three d e cim a ls) o f a ccep ted com p etitive bids fo r the resp ectiv e issues. S ettlem ent fo r a ccep ted tenders in a ccord a n ce w ith the bids m u st b e m ade or com p leted at the F ederal R eserv e B an k on July 31, 1968, in cash or oth er im m ediately available fun ds or in a like face am ou nt o f T rea su ry bills m atu rin g J u ly 31, 1968. Cash and ex ch a n ge tenders w ill receive equal treatm ent. Cash a d ju st m ents w ill be m ade fo r differences betw een the par value o f m atu rin g bills a ccep ted in exch a n ge and the issue p rice o f the new bills. T h e in com e derived fro m T rea su ry bills, w h eth er in terest o r gain fro m the sale or oth er disp osition o f the bills, d oes n o t have any exem p tion , as such, and loss fro m the sale o r oth er disp osition o f T rea su ry bills does n ot have any special trea t m ent, as such, under the In tern a l R even u e C od e o f 1954. T h e bills are su b ject to estate, inheritance, g ift o r oth er excise taxes, w hether F ederal or State, but are ex em p t fr o m all ta x a tion n ow or hereafter im posed on the p rincip al o r in terest th ereof b y any State, or a n y o f the p ossession s o f the U n ited States, or b y a n y loca l ta x in g authority. F o r p u rp oses o f taxation the a m ou n t o f d iscou n t at w h ich T re a s u ry b ills are origin a lly sold b y the U n ited States is con sid ered to be interest. U n der S ection s 4 5 4 (b ) and 1221(5) o f the In tern al R ev e n u e C od e o f 1954, the am ou nt o f d iscou n t at w h ich bills issued h ereunder are sold is n ot con sid ered to accru e until such bills are sold, red eem ed or oth erw ise d isp osed o f, and such bills are ex clu d ed fro m con sidera tion as capital assets. A c c o r d in g ly , the ow n er o f T rea su ry bills (o th e r than life in su rance c o m panies) issued hereunder need in clude in his in co m e tax return on ly the differen ce b etw een the p rice paid fo r such bills w h eth er on origin al issue or on su b seq u en t pu rch ase, and the am ou nt a ctu ally receiv ed either u pon sale or red e m p tio n at m aturity du rin g the taxable yea r fo r w h ich the return is m ade as ord in a ry gain or loss. ’ T rea su ry D ep a rtm en t C ircu lar N o . 418 (cu rren t re v is io n ) and this n otice p rescrib e the term s o f the T r e a s u ry bills and g o v e rn the con d ition s o f their issue. C op ies o f the circu la r m a y be ob ta in ed fro m any F ed era l R es e rv e B an k o r B ra n ch This Bank w l receive tenders for both series up to 1:30 p.m., Eastern Daylight Saving time, Wednesday Tulv 24 il 1968, at the Securities Department of i s Head Office and at i s Buffalo Branch. Tender forms for the respective t t series are enclosed. Please use the appropriate forms to submit tenders and return them in the enclosed envelon* marked “Tender for Special Treasury B l s ” Tenders may be submitted by telegraph, subject to written confirmationil. they may not be submitted by telephone. Payment j or the Treasury bills cannot be made by credit through the Treasury Tax and Loan Account. Settlement must be made in cash or other immediately available junds or in maturing Treasur A lfred H ayes, President. (Closing date for receipt of this tender is Wednesday, July 24, 1968) No. TENDER FOR SPECIAL 273-DAY TREASURY BILLS Additional Amount, Series Dated April 30, 1968, Due April 30, 1969 (To Be Issued July 31, 1968) To F e d e ra l R eserve Bank o f N ew Dated at .... Y ork, Fiscal Agent of the United States. ................................................ 19 Pursuant t the provisions of Treasury Department Circular No. 418 (current revision) and to the o provisions of the public notice issued by the Treasury Department inviting tenders for the above-described Treasury b l s the undersigned hereby offers t purchase the above-described Treasury b l s in the amount il, o il indicated below, and agrees to make payment therefor at your Bank on or before the settlement date spec f d i ie i the public notice a the price indicated below: n t COMPETITIVE TENDER Do not Ull in both Competitive and Noncompetitive tenders on one form $ ............... ......... (maturity value), or any lesser amount that may be awarded. Price:............... per 100. (Price must be expressed with not more than three decimal places, for example, 99.925) NONCOMPETITIVE TENDER $ ............................................................ (maturity value). (N ot to exceed $200,000 for one bidder through all sources) A t the average price of accepted competitive bids. Subject to allotment, please iss e d u , eliver, and accept payment for the b l s as indicated below: il Pieces Denomination $ M aturity value 1,000 □ □ □ 5,000 □ 10,000 □ 50,000 1. D eliver over the counter to the undersigned 2. Ship to the undersigned 3. H old in safekeeping (fo r ac count o f member bank o n ly )* 4. Allotm ent transfer (see list attached) 5. Special instructions: Payment w ill be made as fo llo w s : □ B y charge to our reserve account D B y cash or check in immediately available funds □ B y surrender o f $ ................................ (m aturity value) o f maturing Treasury bills. P ay cash adjust ment, if any— 100,000 □ B y check 500,000 □ B y credit to our reserve account 1,000,000 (No changes in delivery instructions will be accepted) Total (Payment cannot be made through Treasury Tax and Loan Account) If t is item i checked, the undersigned c r i i s that the allotted b l s will be owned solely by the undersigned. h s etfe il N a m e o f s u b s c r ib e r .............. Insert this tender in yellow envelope marked “ Tender for Special Treasury Bills (Please print) B y ............................................... By (Official signature(s) required) T itle ........................................... .................... T i t l e ............ A d d ress (B a n k s su b m ittin g ten ders fo r cu stom er a cco u n t m u st in dicate nam es b e lo w , o r attach a list) (Name of customer) (Name of customer) IN S T R U C T IO N S : 1. N o ten der fo r less than $1,000- w ill b e con sid ered , an d each ten der m u st b e fo r an even m ultiple o f $1,000 (m a tu rity v a lu e ). 2. O th ers than b a n k in g in stitu tions w ill n o t b e perm itted to subm it ten ders e x ce p t fo r their o w n a ccou n t. B anks su b m ittin g ten ders fo r cu stom er a cco u n t m a y con solid a te com p etitiv e ten ders at the same price and m a y con solid a te n on co m p e titiv e tenders, p ro v id e d a list is a tta ch ed s h o w in g the nam e o f each bidder, the a m ou n t b id fo r his a ccou n t, and m e th o d o f paym ent. F o r m s fo r this p u rp ose w ill be fu rn ish ed on request. 3. I f the person m a k in g the ten der is a corp ora tion , the ten der sh ou ld be sign ed b y an officer o f the corp ora tio n a uthorized to m ake the tender, and the sig n in g o f the ten der b y an officer o f the corp ora tion w ill be con stru ed as a represen tation b y him that he has b een so authorized. I f th e ten der is m ade b y a pa rtn ersh ip,-it sh ou ld be sign ed b y a m e m b e r o f the firm , w h o sh ou ld sign in the fo rm “ .................... ............................................................................. . a copartn ersh ip, b y ................................................................................................................ . m e m b e r o f th e firm . 4. T e n d e rs w ill be receiv ed w ith ou t dep osit fro m in corp ora ted banks and trust com pa n ies and fro m respon sib le and re co g n iz e d dealers in in vestm en t securities. T e n d e rs fro m oth ers m u st be a ccom p a n ied 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 re a su ry bills applied for, unless the tenders are a ccom p a n ied b y an exp ress gu a ra n ty o f p a ym en t b y an in co rp o ra te d bank o r trust com p a n y . 5. I f the language o f this ten der is ch a n ged in any respect, w h ich , in the op in ion o f the S ecreta ry o f the T reasu ry, is m aterial, the tender m ay be disregarded. (Closing date for receipt of this tender is Wednesday, July 24, 1968) N o. TENDER FOR SPECIAL 365-DAY TREASURY BILLS Dated July 31, 1968 To F ed e r a l R eserve B a n k of Due July 31, 1969 N ew Y ork, Fiscal Agent of the United States. Dated at........................ ........................ , 19___ Pursuant t the provisions of Treasury Department Circular No. 418 (current revision) and to the o provisions of the public notice issued by the Treasury Department inviting tenders for the above-described Treasury b l s the undersigned hereby offers to purchase the above-described Treasury b l s in the amount il, il indicated below, and agrees to make payment therefor at your Bank on or before the settlement date specified in the public notice at the price indicated below: COMPETITIVE TENDER [ ] $ ............... ......... (maturity value), or any lesser amount that may be awarded. Price:............... per 100. (Price must be expressed with not more than three decimal places, for example, 99.925) NONCOMPETITIVE TENDER $ ..................... ... (maturity value). (N ot to exceed $200,000 for one bidder through all sources) At the average price of accepted competitive bids. Subject to allotment, please is u , deliver, and accept payment for the b l s as indicated below: se il Pieces Denomination $ M aturity value 1,000 □ □ □ 5,000 □ 10,000 □ 50,000 1. D eliver over the counter to the undersigned 2. Ship to the undersigned 3. H old in safekeeping (fo r a c count o f member bank o n ly )* 4. Allotm ent transfer (see list attached) 5. Special instructions: Payment w ill be made as fo llo w s : □ B y charge to our reserve account □ B y cash or check in immediately available funds □ By surrender o f $ ................................ (m aturity value) o f ' maturing Treasury bills. P ay cash adjust ment, if any— 100,000 □ By check 500,000 □ B y credit to our reserve account 1,000,000 (No changes in delivery instructions will be accepted) Total ( Payment cannot be made through Treasury Tax and Loan Account) * If t i item i checked, the undersigned c r i i s that the allotted b l s will be owned solely by the undersigned. hs s etfe il N a m e o f subscriber Insert this tender in yellow envelope marked “ Tender for Special Treasury Bills’ (Please print) B y ................................. T itle ............................. By. (Official signature(s) required) T i t l e ............ A d d ress (B a n k s su b m ittin g ten ders fo r cu stom er a cco u n t m ust in dicate nam es b elow , or attach a list) (Name of customer) (Name of customer) IN S T R U C T IO N S : 1. N o ten der fo r less than $1,000 w ill be con sid ered , and each tender m u st b e fo r an even m u ltiple o f $1,000 (m a tu rity v a lu e ). 2. O th e rs than b a n k in g in stitu tions w ill n ot be perm itted to subm it tenders e x ce p t fo r their o w n a ccou n t. B an k s su b m ittin g ten ders fo r cu stom er a ccou n t m a y con solid a te com p etitive ten ders at the same price an d m a y con solid a te n o n com p e titiv e tenders, p rov id ed a list is attached sh o w in g the nam e o f each b idder, the a m ou n t b id fo r his a ccou n t, and m e th o d o f paym ent. F orm s fo r this pu rpose w ill be fu rn ish ed on request. 3. I f the person m a k in g the ten der is a corp ora tion , the ten der sh ou ld be sign ed b y an officer o f the corp o ra tio n au th orized to m ake the tender, and the sign in g o f the ten der b y an officer o f the co rp o ra tio n w ill b e con stru ed as a rep resen tation b y him that he has b een so authorized. I f the ten der is m ade b y a partnersh ip - it should he m em b er o f the firm, w h o sh ou ld sign in the fo rm “ ..................... . .. ......................................... a copartnership, b y ..................................................................................................................a m em b er o f th e firm . * 4. T e n d e rs w ill be receiv ed w ith ou t dep osit fro m in corp ora ted banks and trust com p a n ies an d fro m resp on sib le and re co g n ize d dealers in in vestm ent securities. T en d ers fro m oth ers m u st be a ccom p a n ied b y p a y m en t o f 2 p ercen t o f the face am ou nt o f T rea su ry bills applied for, unless the ten ders are a cco m p a n ie d b y an exp ress s u a ra n tv o f o a v m e n t h v an in co rp o ra te d bank or trust com p a n y . p y y 5. I f the language o f this tender is ch a n ged in any respect, w hich, in the op in ion o f the S ecreta ry o f the T rea su ry , is m aterial, the tender m a y be disregarded.
@FedFRASER