The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
FED ER A L RESERVE BAN K O F NEW YORK Fiscal Agent of the United States r Circular No. 7 5 6 0 - 1 L January 31, 1975 -I Offering of $2,100,000,000 of 364-Day Treasury Bills Dated February 11, 1975 Due February 10, 1976 T o A l l Incorporated B a n k s and T r u s t C om panies, and O thers Concerned, in the S eco n d F ederal R eserve D istric t: Following is the text of a notice issued today by the Treasury Department: T he T re a su ry D epartm ent, by this public notice, invites tenders for $2,100,000,000, o r thereabouts, of 364-day T re a su ry bills to be dated F e b ru a ry 11, 1975, and to m atu re F e b ru a ry 10, 1976 ( C U S I P N o. 912793 Y F 7 ). T h e bills w ill be issued for cash and in exchange for T re a su ry bills m atu rin g F e b ru a ry 11, 1975, outstanding in the am ount of $1,802,095,000, of w hich G overnm ent accounts and F ed eral R eserve Banks, for them selves and as agents of foreign and international m onetary authorities, p resently hold $1,180,300,000. T hese accounts m ay exchange bills they hold for the bills now being offered a t the average price of accepted tenders. T h e bills will be issued on a discount basis under com petitive and noncom petitive bidding as herein after provided, and a t m atu rity their face am ount will be payable w ithout interest. T hey w ill be issued in b e are r form in denom inations of $10,000, $15,000, $50,000, $100,000, $500,000 and $1,000,000 (m a tu rity value) and in booke n try form to designated bidders. T en d ers will be received a t F ed eral R eserve B anks and B ranches up to the closing hour, o n e-th irty p.m., E a s te rn S ta n d ard time, W ednesday, F e b ru a ry 5, 1975. T en d ers will not be re ceived a t the T re a su ry D epartm ent, W ashington. E ach tender m ust be for a m inim um of $10,000. T en d ers over $10,000 m ust be in m ultiples of $5,000. In the case of com petitive tenders the price offered m ust be expressed on the basis of 100 , w ith not m ore than three decim als, e.g., 99.925. F ra c tio n s m ay not be used. I t is urged th a t tenders be m ade on the prin ted form s and fo rw ard ed in the special envelopes w hich will be supplied by F ed eral R eserve B anks or B ranches on application therefor. B anking institutions and dealers w ho m ake p rim a ry m ark ets in G overnm ent securities and re p o rt daily to the F ed eral R eserve B ank of N ew Y o rk th eir positions w ith respect to G overnm ent securities and b orrow ings thereon m ay subm it tenders fo r account of custom ers, provided the nam es of the custom ers are set fo rth in such tenders. O th e rs will not be perm itted to subm it tenders except for th eir own account. T en d ers will be received w ithout deposit from incorporated banks and tru s t com panies and from resp o n sib le and recognized dealers in investm ent securities. T en d ers from oth ers m u st be accom panied by paym ent of 2 percent of the face am ount of T re a su ry bills applied for, unless the tenders are accom panied by a n ex p ress g u a ra n ty of paym ent by an incorporated bank o r tru s t com pany. Im m ediately a fte r the closing hour, tenders w ill be opened a t the F ed eral R eserve B anks and B ranches, follow ing w hich public announcem ent w ill be m ade by the T re a su ry D ep artm en t of the am ount and price range of accepted bids. O nly those subm itting com petitive tenders w ill be advised of the acceptance o r rejection thereof. T h e S e c re ta ry of the T re a su ry e xpressly reserves the rig h t to accept o r re je c t any o r all tenders, in w hole o r in p art, and his action in any such respect shall be final. S u b je ct to these reservations, noncom petitive tenders fo r $ 200,000 o r less w ithout stated price from any one bidder will be accepted in full a t the a v erage price (in three decim als) of accepted com petitive bids. S ettlem ent fo r accepted tenders in accordance w ith the bids m ust be m ade o r com pleted a t the F e d e ral R eserve B ank on F e b ru a ry 11, 1975, in cash o r o th er im m ediately available funds o r in a like face am ount of T re a su ry bills m a tu rin g F e b ru a ry 11, 1975. Cash and exchange tenders w ill receive equal trea tm e n t. C ash a d ju s t m ents will be m ade for differences betw een the p a r value of m a tu r ing bills accepted in exchange and the issue price of the new bills. U nder Sections 4 5 4 (b ) and 1221(5) of the In te rn a l Revenue Code of 1954, the am ount of discount a t w hich bills issued h e re under a re sold is considered to accrue w hen the bills are sold, re deem ed o r otherw ise disposed of, and the bills are excluded from consideration as capital assets. A ccordingly, the ow ner of T rea su ry bills (o th e r th an life insurance com panies) issued h ereunder m ust include in his incom e ta x re tu rn , as o rd in ary gain o r loss, the dif ference betw een the price paid fo r the bills, w h eth er on original issue o r on subsequent purchase, and the am ount actually received eith er upon sale o r redem ption a t m a tu rity d u rin g the taxable year for w hich the re tu rn is made. T re a su ry D ep artm en t C ircu la r N o. 418 (c u rre n t revision) and this notice prescribe the term s of the T re a su ry bills and govern the conditions of th eir issue. Copies of the c irc u la r m ay be obtam ed from any F e d e ral R eserve B ank o r B ranch. This Bank will receive tenders up to 1 :30 p.m., Eastern Standard time, Wednesday, February 5, 1975, at the Securities Department of its Head Office and at its Buffalo Branch. Please use the form on the reverse side of this notice to submit a tender and return it in the enclosed envelope marked “Tender for Treasury Bills.” Tenders not requiring a deposit may be submitted by telegraph, subject to written confirmation; no tenders may be submitted by telephone. Payment for 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 funds or in maturing Treasury bills. A lfred H a yes, President. TENDER FOR 364-DAY TREASURY BILLS Dated February 11, 1975 To Due February 10, 1976 Dated at F ederal R eserve B a n k of N e w Y o r k , Fiscal Agent of the United States. 19_ Pursuant to the provisions of Treasury Department Circular No. 418 (current revision) and to the provi sions of the public notice issued by the Treasury Department inviting tenders for the above-described Treasury bills, the undersigned hereby offers to purchase such 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 below: D o not fill in both C om petitive and N o n co m p etitive tenders on one fo rm COMPETITIVE TENDER $........................................................ (maturity value) or any lesser amount that may be awarded. Price: ..................................................per 100. (P rice m u st be expressed w ith n o t m ore than three decim al places, fo r exam ple, 99.925) NONCOMPETITIVE TENDER $....................................................... (maturity value) ( N o t to exceed $200,000 fo r one bidder through all sources) at the average price of accepted competitive bids. Subject to allotment, please issue, deliver, and accept payment for the bills as indicated below: Pieces D enom ination $ M a tu rity value □ 1. D eliver over the counter to the undersigned 10,000 □ 2. S hip to the undersigned P ay m en t will be m ade as fo llo w s: □ By charge to o u r reserve account □ By cash o r check in im m ediately available fu n d s on delivery 15,000 □ 3. H o ld in safekeeping (fo r m em ber bank only) in— 50,000 □ 100,000 (P a y m e n t cannot be made through T rea su ry T a x and L oan A c c o u n t) Investm ent A ccount □ 5. Special in stru ctio n s: 500,000 □ 1,000,000 T ru s t A ccount □ 4. A llotm ent tra n sfe r (see list a tta ch e d ) (N o changes in delivery instructions w ill be accepted) T o ta ls The undersigned (member bank) hereby certifies that the Treasury bills which you are hereby instructed to dispose of in the manner indicated in item 3 above are owned solely by the undersigned. (N am e of subscriber— please print or type) In sert this ten der in special en velo p e m a rk ed “T en d er fo r T reasu ry B ills ” (Address— incl. City and State) (Tel. N o.) (Signature of subscriber or authorized signature) (T itle of authorized signer) (B a n k in g institutions subm itting tenders for custom er account m u st list cu sto m e rs’ nam es on lines below o r on an attached rid e r) ____ _______ (N am e o f„ customer). (Nam e of customer) INSTRUCTIONS • 1. N o ten d er for less th an $10,000 will be considered, and each tender m ust be fo r an even m ultiple of $5,000 (m a 2Uri O n ly 1b a lk in g institutions, an d dealers w ho m ake p rim a ry m ark ets in G overnm ent securities and re p o rt daily to this B ank thpiV nositiotis w ith respect to G overnm ent securities and b o rro w in g s thereon, m ay subm it tenders fo r custom er a cc o u n t; in th e ir positions w it ye com oetitive tenders at the sam e price and m ay consolidate noncom petitive tenders, provided a uT fs t n t S b kkier and the a m o j bid fo r his account. O th e rs will not be perm itted to subm it tenders except fOT th e ir ^ w n a c c o u n t.^ n d ^ r ^ corporationi ,he ten d er should be signed by a n officer of the c orporation . • J * the tender and the signing of the ten d e r by an officer of the co rp o ratio n will be construed as a re p resen tatio n by him th at he 'has been so authorized. I f the tender is m ade by a p a rtnership. ,t should be signed1 by a m em ber o f the firm , w ho shou.d s.g o m th e form _ _ _ _ _ _ _ ........................................................... copartnersh.p, by ........7.....T e n d e r^ will be received w ithout deposit from in co rp o ra te d banks and tru s t com panies and from responsible a d ealers in investm ent securities. T en d ers fro m o thers m ust be accom panied by paym ent of 2 percent of and recognized dealers applied for, unless the ten d e rs a re accom panied by an e x p ress g u a ran ty of paym ent 'by a iT T n c ^ p o ra te d b S o r ' r u s f c o m p l y A ll checks m ust be draw n to the o rd e r of the F ed eral R eserve B ank of N ew Y o r k - checks endorsed to this B ank w ill not be accepted. ^ ^ 5. If the language of this ten d e r is changed in any respect, w hich, in the opinion of the S e c retary of the Treasury, is m aterial, the ten d er m ay be disregarded. TENDER FOR 364-DAY TREASURY BILLS Dated February 11, 1975 To Due February 10, 1976 Dated at F ederal R eser v e B a n k of N e w Y o r k , Fiscal Agent of the United States. 19_ Pursuant to the provisions of Treasury Department Circular No. 418 (current revision) a n d to the provi sions of the public notice issued by the Treasury Department inviting tenders for the above-described Treasury bills, the undersigned hereby offers to purchase such 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 below: D o not fill in both C om petitive and N o n co m p etitive tenders on one fo rm COMPETITIVE TENDER $........................................................ (maturity value) or any lesser amount that may be awarded. Price: ..................................................per 100. (P rice m u st be expressed w ith not m ore than three decim al places, fo r exam ple, 99.925) NONCOMPETITIVE TENDER $....................................................... (maturity value) ( N o t to exceed $200,000 fo r one bidder through all sources) at the average price of accepted competitive bids. Subject to allotment, please issue, deliver, and accept payment for the bills as indicated below: P ieces D enom ination $ M a tu rity value □ 1. D eliver over the counter to the undersigned 10,000 □ 2. Ship to the undersigned P ay m en t will be m ade as fo llo w s: □ By charge to o ur reserve account □ By cash o r check in im m ediately available fu n d s on delivery 15,000 □ 3. H o ld in safekeeping (fo r m em ber bank only) in— 50,000 □ (P a y m e n t cannot be m ade through T rea su ry T a x and L oan A cc o u n t) Investm ent A ccount 100,000 □ 5. Special in stru c tio n s: 500,000 □ 1,000,000 T ru s t A ccount □ 4. A llotm ent tra n sfe r (see list a tta ch e d ) (N o changes in delivery instructions w ill be accepted) T o ta ls The undersigned (member bank) hereby certifies that the Treasury bills which you are hereby instructed to dispose of in the manner indicated in item 3 above are owned solely by the undersigned. (N am e of subscriber— please print or type) In sert th is ten der in special en velope m ark ed “T en d er for T reasury B ills” (Address— incl. City and State) (Signature of subscriber or authorized signature) (T el. N o.) (T itle of authorized signer) (B a n k in g institutions subm itting tenders fo r custom er account m u st list c u sto m e rs’ nam es on lines below o r on an attached rid e r) ____ _______ (N am e of. customer). I N S T R U C T IO N S . ^ r ^ ^ ^ (N am e of customer) m ^ ^ considered( and each tender m ust be fo r an even m ultiple of $5,000 (m a tu rn y vakie^k and dealers w ho m ake p rim a ry m ark e ts in G overnm ent securities and re p o rt daily to this B ank u m y Danxm s m ai , , qprurities and bo rro w in g s thereon, m ay subm it tenders fo r custom er acco u n t; in th e ir positions w lt com petitive tenders a t the sam e price and m ay consolidate noncom petitive tenders, provided a H s U s Itk c h Y d T h o w ta g * e ^ ^ n L e T e S b | S r L d the a m o u j bid fo r his account. O th e rs will not be perm itted to subm it ten d ers except for th e ir own| h a c orporation th e tender should be signed by an officer of the corporation J. II tne per <s signing of the ten d e r by a n officer o f the corp o ratio n w ill be construed as a rep resen tatio n by him th a t he has b e e n so au thorized. I f the ten d er is m ade by a p a rtn e rsh ip , it shouM ^ n e c 1 by a m em ber of th e firm , w h . should sign m the fo rm ............................................. p a rtnership, by ........ 4 .....T e n d e r s will be received w ithout deposit from in co rp o rated banks and tru s t com panies and from responsible j Z l I r , in investm ent securities. T en d ers fro m o thers m ust be accom panied by paym ent of 2 percent of and reGOgnized dealers applied for, unless the ten d ers are accom panied by an ex p ress g u aran ty of paym ent bv% n“ fn c C o ” \e 5 b“ U s f c o ^ P A li checks m ust be d raw n to the o rd er of the F ed eral R eserve Baric of New Y o r k - checks endorsed to this B ank will not be accepted. 5.’ If the language of this ten d er is changed in any respect, which, in the opinion of the S ecretary of the T reasu ry , is m aterial, the ten d er m ay be disregarded.
@FedFRASER