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FEDERAL RESERVE BANK OF NEW YORK Fiscal Agent of the United States r Circular No. 7 0 2 7 "1 U October 26, 1972 J Auction of Additional $3 Billion of 6 lA Percent Treasury Notes Maturing November 15, 1976 To A ll Banking Institutions, and Others Concerned, in the Second Federal Reserve D istric t: As announced in our Circular No. 7026, dated October 25, 1972, the Treasury will sell at auction, on Wednesday, November 1, under competitive and noncompetitive bidding, an additional $3 billion of 61/4 percent Treasury Notes of Series D-1976, dated September 8, 1971, with interest from November 15, 1972, due November 15, 1976. The terms of the offering are set forth in Treasury Department Circular No. 11-72, Public Debt Series, dated October 26, 1972, a copy of which is printed below. This Bank will receive tenders up to 1:30 p.m., Eastern Standard time, Wednesday, November 1, 1972, at the Securities Department of its Head Office and at its Buffalo Branch, except that noncompetitive tenders mailed to this Bank or its Branch postmarked no later than Tuesday, October 31, will be considered timely. Please use the enclosed tender forms to submit tenders, and return them in the enclosed envelope marked “ Tender for Treasury N otes.” Tenders not requiring a deposit may be submitted by telegraph, subject to written confirmation; no tenders may be submitted by telephone. Settlement for accepted tenders may be made in cash, 6 percent Treasury Notes of Series F-1972, or other immediately available funds, except that any qualified depositary may make settlement by credit in its Treasury Tax and Loan Account for not more than 75 percent of the amount of notes allotted to it for itself and its customers. A lfred H a y es, President. UNITED STATES OF AMERICA m PERCENT TREASURY NOTES OF SERIES D-1976 D ated S ep tem b er 8, 1 9 7 1 , w ith in terest fr o m N ovem b er 15 , 1 9 7 2 d epa rtm en t c irc u la r P u b lic D e b t S e rie s — N o. 1 1-72 D u e N ovem b er 15, 1 9 7 6 THE DEPARTMENT OF THE TREASURY, Office of the Secretary, Washington, October 26, 1972. I. OFFERING OF NOTES 1 The Secretary of the Treasury, pursuant to the authority of the Second Liberty Bond Act, as amended, invites tenders at a price not less than 99.01 percent of their face value for $3,000,000,000, or thereabouts, of notes of the United States, designated 614 percent Treasury Notes of Series D-1976. An additional amount of the notes will be allotted by the Secretary of the Treasury to Government accounts and Federal Reserve Banks at the average price of accepted tenders in exchange for 6 percent Treasury Notes of Series F-1972, maturing November 15, 1972. Tenders will be received up to 1 :30 p.m., Eastern Standard time, Wednesday, November 1, 1972, under competitive and noncompetitive bidding, as set forth in Section III hereof. The 6 percent Treasury Notes of Series F-1972, maturing November 15, 1972, will be accepted at par in payment, in whole or in part, to the extent tenders are allotted by the Treasury. II. D E S C R IP T IO N OF N O TES 1. The notes now offered will be identical in all respects with the 6x/± percent Treasury Notes of Series D-1976 issued pursuant to Department Circu lar, Public Debt Series— No. 9-71, dated August 26, 1971, and supplement dated August 27, 1971, speci fying an interest rate of 61/4 percent per annum, except that interest will accrue from November 15, 1972. With this exception the notes are described in the following quotation from Department Circular No. 9-71: “ 1. The notes will be dated September 8, 1971, and will bear interest from that date, pay able on a semiannual basis on May 15 and November 15, 1972, and thereafter on May 15 and November 15 in each year until the principal amount becomes payable. They will mature November 15, 1976, and will not be subject to call for redemption prior to maturity. “ 2. The income derived from the notes is subject to all taxes imposed under the Internal Rev enue Code of 1954. The notes are subject to estate, inheritance, gift or other excise taxes, whether Federal or State, but are ex empt from all taxation now or hereafter im posed on the principal or interest thereof by any State, or any of the possessions of the United States, or by any local taxing authority. “ 3. The notes will be acceptable to secure de posits of public moneys. They will not be acceptable in payment of taxes. “ 4. Bearer notes with interest coupons attached, and notes registered as to principal and in terest, will be issued in denominations of $1,000, $5,000, $10,000, $100,000 and $1,000,000. Provision will be made for the interchange of notes of different denomina tions and of coupon and registered notes, and for the transfer of registered notes, under rules and regulations prescribed by the Secretary of the Treasury. “ 5. The notes will be subject to the general regulations of The Department of the Treas ury, now or hereafter prescribed, governing United States notes.” III. TENDERS AND ALLOTMENTS 1. Tenders will be received at Federal Reserve Banks and Branches and at the Office of the Treasurer of the United States, Washington, D. C. 20220, up to the closing hour, 1 :30 p.m., Eastern Standard time, Wednesday, November 1,1972. Each tender must state the face amount of notes bid for, which must be $1,000 or a multiple thereof, and the price offered, ex cept that in the case of noncompetitive tenders the term “ noncompetitive” should be used in lieu of a price. In the case of competitive tenders, the price must be expressed on the basis of 100, with two decimals, e.g., 100.00. Tenders at a price less than 99.01 will not be accepted. Fractions may not be used. Noncompetitive tenders from any one bidder may not exceed $400,000. * Average price may be at, or more or less than 100.00. It is urged that tenders be made on the printed forms and forwarded in the special envelopes marked “ Tender for Treasury Notes” , which will be supplied by Federal Reserve Banks on application therefor. 2. Commercial banks, which for this purpose are defined as banks accepting demand deposits, may sub mit tenders for account of customers provided the names of the customers are set forth in such tenders. Others than commercial banks will not be permitted to submit tenders except for their own account. Tenders will be received without deposit from banking institu tions for their own account, Federally-insured savings and loan associations, States, political subdivisions or instrumentalities thereof, public pension and retire ment and other public funds, international organiza tions in which the United States holds membership, foreign central banks and foreign States, dealers who make primary markets in Government securities and report daily to the Federal Reserve Bank of New York their positions with respect to Government securities and borrowings thereon, and Government accounts. Tenders from others must be accompanied by payment (in cash or the 6 percent Treasury Notes of Series F-1972, which will be accepted at par) of 5 percent of the face amount of notes applied for. 3. Immediately after the closing hour tenders will be opened, following which public announcement will be made by The Department of the Treasury of the amount and price range of accepted bids. Those sub mitting tenders will be advised of the acceptance or rejection thereof. In considering the acceptance of tenders, those at the highest prices will be accepted to the extent required to attain the amount offered. Tenders at the lowest accepted price will be prorated if necessary. The Secretary of the Treasury expressly reserves the right to accept or reject any or all tenders, in whole or in part, and his action in any such respect shall be final. Subject to these reservations, noncom petitive tenders for $400,000 or less without stated price from any one bidder will be accepted in full at the average price* (in two decimals) of accepted competitive tenders. 4. All bidders are required to agree not to pur chase or to sell, or to make any agreements with re spect to the purchase or sale or other disposition of any notes of this issue at a specific rate or price, until after 1 :30 p.m., Eastern Standard time, Wednes day, November 1, 1972. 5. Commercial banks in submitting tenders will be required to certify that they have no beneficial interest in any of the tenders they enter for the account of their customers, and that their customers have no beneficial interest in the banks’ tenders for their own account. IV. PAYMENT 1. Settlement for accepted tenders in accordance with the bids must be made or completed on or before November 15, 1972, at the Federal Reserve Bank or Branch or at the Office of the Treasurer of the United States, Washington, D. C. 20220, in cash, 6 percent Treasury Notes of Series F-1972 (interest coupons dated November 15, 1972, should be detached), or other funds immediately available by that date. Payment will not be deemed to have been completed where reg istered notes are requested if the appropriate identi fying number as required on tax returns and other documents submitted to the Internal Revenue Service (an individual’s social security number or an em ployer identification number) is not furnished. In every case where full payment is not completed, the payment with the tender up to 5 percent of the amount of notes allotted shall, upon declaration made by the Secretary of the Treasury in his discretion, be forfeited to the United States. Any qualified deposi tary will be permitted to make settlement by credit in its Treasury Tax and Loan Account for not more than 75 percent of the amount of notes allotted to it for itself and its customers. When payment is made with securities, a cash adjustment will be made to or required of the bidder for any difference between the face amount of securities submitted and the amount payable on the notes allotted. V. ASSIGNMENT OF REGISTERED SECURITIES 1. Registered securities tendered as deposits and in payment for notes allotted hereunder should be assigned by the registered payees or assignees thereof, in accordance with the general regulations of The Department of the Treasury, in one of the forms hereafter set forth. Securities tendered in payment should be surrendered at the Federal Reserve Bank or Branch or at the Office of the Treasurer of the United States, Washington, D. C. 20220. The securi ties must be delivered at the expense and risk of the holder. If the notes are desired registered in the same name as the securities surrendered, the assign ment should be to “ The Secretary of the Treasury for 6 ^ percent Treasury Notes of Series D-1976” ; if the notes are desired registered in another name, the assignment should be to “ The Secretary of the Treasury for d1/^ percent Treasury Notes of Series D-1976 in the name of .............................................. if notes in coupon form are desired, the assignment should be to “ The Secretary of the Treasury for 61A percent Treasury Notes of Series D-1976 in cou pon form to be delivered to ...................................... ’ \ VI. GENERAL PROVISIONS 1. As fiscal agents of the United States, Federal Reserve Banks are authorized and requested to receive tenders, to make such allotments as may be prescribed by the Secretary of the Treasury, to issue such notices as may be necessary, to receive payment for and make delivery of notes on full-paid tenders allotted, and they may issue interim receipts pending delivery of the definitive notes. 2. The Secretary of the Treasury may at any time, or from time to time, prescribe supplemental or amendatory rules and regulations governing the offer ing, which will be communicated promptly to the Federal Reserve Banks. CHARLS E. WALKER, Acting Secretary of the Treasury. .. x — imie iu i receipt or tins tenaer is i:JU p .m ., W ednesday, N ovem ber 1 , 1 9 7 2 . T E N D E R FO R 6V4 PE R C E N T TREASURY NOTES O F SERIES D-1976, A D D ITIO N A L AM OUNT Dated September 8,1971, With Interest From November 15, 1972, Due November 15, 1976 F Dated a t ........................................ R e s e r v e B a n k o f N e w York, Fiscal Agent of the United States, N ew York, N. Y. 10045 ederal 1972 Pursuant to the provisions of Treasury Department Circular No. 11-72, Public Debt Series, dated October 26, 1972, the undersigned hereby offers to purchase United States of America 6 V4 percent Treasury Notes of Series D-1976 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 Do not fill in both Com petitive and Noncom petitive tenders on one form NONCOMPETITIVE TENDER $ ...................................................... (maturity value), or any lesser amount that may be awarded. $ ........................................................ ( maturity value) Price: ........................per 100 (minimum of 99.01). at the average price of accepted competitive bids. ( N ot to exceed $400,000 for one bidder through all sources) (Price must be expressed w ith not more than two decimal places, for example, 100.00) Subject to allotment, please issue, deliver, and accept payment for the notes as indicated below (if registered notes are desired, please also complete schedule on reverse side): Pieces Denomination $ Maturity value 1,000 5,000 10,000 □ 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. Hold as collateral for Treas ury Tax and Loan Account* □ 5. Special instructions: 100,000 1,000,000 (N o Totals will be a ccepted) Payment will be made as follows: □ □ □ By charge to our account on your books By cash or check in im mediately available funds on delivery By credit in Treasury Tax and Loan Account (not more than 75% of purchase price, rounded to next higher $ 1,00 0 ). Please complete Advice of Deposit on reverse side. By surrender of 6 % Treasury □ Notes of Series F-1972 0 The undersigned certifies that the allotted notes will be owned solely by the undersigned. 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 notes of this issue at a specific rate or price, until after one-thirty p.m., Eastern Standard time, W ednesday, N ovem ber 1,1972. ( If a commercial bank is subscribing for its own account or for account of customers, the following certifications are made a part of this tender.) W e H e r e b y C e r t i f y that we have received tenders from our customers in the amounts set opposite the customers’ names on the list which is made a part of this tender; that there has been paid to us by each such customer as required by the official offering circular, not subject to withdrawal until after allotment, not less than 5 percent of the amount bid for; that we have not made unsecured loans, or loans collateralized in whole or in part by the notes bid for, to supply the amounts of such payments to any of such customers; that we have no beneficial interest in the tenders of such customers; and that none of our customers has any beneficial interest in the amount bid for our own account. W e F u r t h e r C e r t i f y that tenders received by us, if any, from other commercial banks for their own account and for the account of their customers have been entered with us under the same conditions, agree ments, and certifications as set forth in this form. (Name of subscriber — please print or type) Insert this tender in special envelope marked “Tender for Treasury N otes ” (Address — please print or type) (Tel. No.) (Signature of subscriber or authorized signature) (Title of authorized signer) ( Banks submitting tenders for customer account must indicate names, and amounts desired by each, on a separate list attached hereto) INSTRUCTIONS: 1. value). No tender for less than $1,000 will be considered and each tender must be for an even multiple of $1,000 (maturity 2. Others than commercial banks 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. 3. If the person making the tender is a corporation, the tender should be signed by an officer of the corporation author ized 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 commercial and other banks for their own account, Federally-insured savings and loan associations, States, political subdivisions or instrumentalities thereof, public pension and retirement and other public funds, international organizations in which the United States holds membership, foreign central banks and foreign States, dealers who make primary markets in Government securities and report daily to the Federal Reserve Bank of New York their positions with respect to Government securities and borrowings thereon, and Government accounts. Tenders from others must be accompanied by payment of 5 percent of the face amount of notes applied for. All checks must be drawn to the order of the Federal Reserve Bank of New York; checks endorsed to this Bank will not be accepted. 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. o $£ SCHEDULE FOR ISSUE OF REGISTERED 61/4 PERCENT TREASURY NOTES OF SERIES D-1976, ADDITIONAL AMOUNT H 0 p-t-> p SUBSCRIPTION NO. F O R F R B USE O N L Y DEL I VE RY I NSTRUCTI ONS ®a ^ B » ^ w K‘ g o S £L£ o> <- 2. C/> > r P Er cu 03 2 B cw/5 tpo «-*■ M P o n> ^ on SUBSCRIBER | i DELIVER OVER TH E COUNTER S I G N A T U R E __ I I SHIP T O S U B S C R I B E R Q ADDRESS a .1 , p r+ r-h o d O T H ER INS TR UC TIO NS : ISSUE A G E N T 12 LOAN CODE ZIP o‘g a sr? 0 -o 2 cd g* k $ *a. I<TD 2g s ox h 0_i p 1?3h o *£> o b to i-s r TRANS. ACCOUNTING D A TE R E G I S T R A T I O N & o CD Ti NO. OF PIECES I N S TR UC TI O NS DENOM . 30 1. 00 0 » 3 32 5.000 CD 34 ax > NAME(S) p ^ ► I D O R S.S. NO. §• o (D ADDRESS I—. ZIP 38 100.000 42 1.000.0 00 99 TOTAL AMOUNT SERIAL NOS. (LEAVE BLANK) FOR FRB USE O N L Y TR C A S E NO. TR C A S E NO. 0 CD 1 w 30 1, 0 00 ■C/85 o G Q rf M« 32 5.000 34 10 .0 00 ^ CD P? B3CD 38 100.00 0 42 1.000,000 99 TOTAL gB. oCD SQ_, > K NAME(S) ^a> n c-s ° > H ^ cd C/5>at _-< c r p P ID O R S.S. N O . ADDRESS P ^cd a> b "C k> o cd H O ' r*- p £«« ^S,Sp o ^>a> h 3 cn>x3 p 8 b x ®‘ o trP£5 p M v> i a. ya t" ZIP J? X NAME(S) 05 <§TD —. *-< 8 3 a cd p £3 > O 2 B 3 '",' o 0-3 rt O ep I D O R S.S. NO . o> ADDRESS ZIP NA ME (S ) Hf g o ZIP NA ME(S) 3" ■ —- cl 99 TOTAL 30 1 .00 0 32 5.000 34 10 ,00 0 38 10 0,0 00 42 1,000,000 99 TOTAL 30 •* ID O R S.S. N O . J-* CD CD_ 1 .0 0 0 , 0 0 0 T R . . C A S E NO. T R . C A S E NO. 1,000 32 CD § 4? ID O R S.S. N O . ADDRESS 10,000 10 0,0 00 - B tr ° pT * “ ora J73 -se- o ' 32 34 °3 §B x a- 1 ,000 5 .0 0 0 Cl o ., 30 ADDRESS ZIP : iXM! iK 100.00 0 42 1.000,000 99 TOTAL T R . C A S E NO .
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