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FEDERAL RESERVE BANK OF N E W YORK Fiscal Agent of the U nited States TCircular No. 7 7 3 0 ~ i October 10, 1975 -I AUCTION OF $ 3 .0 BILLION OF TREASURY NOTES Series N-1977 To All Banking Institutions, and Others Concerned, in the Second Federal Reserve District: T h e fo llo w in g s ta te m e n t w as issu ed O c to b e r 9 b y th e T re a su ry D e p a rtm e n t: T he Treasury will auction to the public under com petitive and noncom petitive bidding up to $3.0 billion of 2-year notes. The coupon rate for the notes will b e determ ined after tenders are allotted. A dditional amounts of the notes m ay be issued at the average price of accepted tenders to Governm ent accounts an d to Federal Reserve Banks for themselves and as agents of foreign and international m onetary authorities. T he notes will be Treasury Notes of Series N-1977 dated O ctober 31, 1975, due October 31, 1977 (C U S IP No. 912827 FA5) w ith interest payable sem iannually on April 30 and O ctober 31. They will be issued in registered and bearer form in denom inations of $5,000, $10,000, $100,000 and $1,000,000, and they will be available for issue in book-entry form. Paym ent for the notes m ust be m ade on O ctober 31, 1975. Paym ent m ay not be m ade through tax and loan accounts. Notes in bearer form will be delivered on O ctober 31, 1975. Tenders will be received up to 1:30 p.m., Eastern D aylight Saving time, Thursday, O ctober 16, at any F ederal Reserve Bank or Branch and a t th e B ureau of the Public D ebt, W ashington, D. C. 20226; provided, however, th at noncom petitive tenders will be considered tim ely received if they are m ailed to any such agency u nder a postm ark no later than W ednesday, O ctober 15. Each tender m ust be in the am ount of $5,000 or a m ultiple thereof, and all tenders m ust state the yield desired, if a com petitive tender, or the term “noncom petitive”, if a noncom petitive tender. Fractions m ay not be used in tenders. The notation “T E N D E R FO R TREASURY N O TES” should be printed at the bottom of envelopes in which tenders are subm itted. C om petitive tenders m ust be expressed in terms of annual yield in two decim al places, e.g., 7.11, and not in term s of a price. Tenders at the lowest yields, and noncom petitive tenders, will be accepted to the extent required to attain the am ount offered. After a determ ination is m ade as to which tenders are accepted, a coupon yield will be determ ined to the nearest Vs of 1 percent necessary to make the average accepted price 100.000 or less. T hat will be the rate of interest th a t will be paid on all of the Notes. Based on such interest rate, the price on each com petitive tender allotted will be determ ined and each successful com petitive b idder will pay the price corresponding to th e yield he bid. Price calculations will be carried to th ree decim al places on the basis of price p er hundred, e.g., 99.923, and the determ inations of the Secretary of th e Treasury shall be final. Tenders at a yield th at will produce a price less than 99.501 will not be accepted. The Secretary of the Treasury expressly reserves the right to accept or reject any or all tenders, in w hole or in part, and his action in any such respect shall be final. Subject to these reservations, noncom petitive tenders for $500,000 or less will be accepted in full at the average price of accepted com petitive tenders, w hich price will be 100.000 or less. C om m ercial banks, w hich for this purpose are defined as banks accepting dem and deposits, and dealers who m ake prim ary m arkets in G overnm ent securities and report daily to the Federal Reserve Bank of N ew York their positions w ith respect to G overnm ent securities and borrowings thereon, may subm it tenders for the account of customers, provided the names of the customers are set forth in such tenders Others will not b e perm itted to subm it tenders except for their own account. Tenders will be received w ithout deposit from commercial and other banks for their own acoount, Federally-insured savings and loan associations, States, political subdivisions or instrum entalities thereof, p ublic pension and retirem ent and other public funds, international organizations in w hich the U nited States holds m em bership, foreign central banks and foreign States, dealers who m ake prim ary markets in G overnm ent securities and report daily to the Federal Reserve Bank of New York their positions w ith respect to G overnm ent securities and borrowings thereon, Federal Reserve Banks, and Governm ent accounts. Tenders from others m ust be accom panied by paym ent of 5 percent of the face am ount of notes applied for. However, bidders w ho subm it checks in paym ent on tenders subm itted directly to a Federal Reserve Bank or the Treasury m ay find it necessary to subm it full paym ent for the notes w ith their tenders in order to m eet the tim e limits pertaining to checks as hereinafter set forth. Allotment notices will not be sent to bidders who subm it noncom petitive tenders. Paym ent for accepted tenders m ust be com pleted on or before Friday, October 31, 1975, at the F ederal Reserve Bank or Branch or at th e Bureau of the Public D ebt, in cash, in other funds im mediately available to the Treasury by O ctober 31, or by check draw n to the order of the Federal Reserve Bank to w hich the tender is subm itted, or the U nited States Treasury if the tender is subm itted to it, w hich m ust be received at such Bank or at the Treasury no later than (1) Tuesday, October 28, 1975, if the check is draw n on a bank in the Federal Reserve D istrict of the Bank to w hich the check is subm itted, or the F ifth Federal Reserve D istrict in the case of the Treasury, or (2 ) Thursday, O ctober 23, 1975, if the check is draw n on a bank in another district. Checks received after the dates set forth in the preceding sentence will not be accepted unless they are payable at a Federal Reserve Bank. W here full paym ent is not com pleted on time, the allotm ent will be canceled and th e deposit w ith the tender up to 5 percent of th e am ount of notes allotted will be subject to forfeiture to the U nited States. The terms of the offering are set forth in Treasury Department Circular No. 31-75, Public Debt Series, dated October 10, 1975, a copy of which is printed on the following pages. This Bank will receive tenders up to 1:30 p.m., Eastern Daylight Saving time, Thursday, October 16, 1975, at the Securities Department of its Head Office and at its Buffalo Branch; provided, however, that noncompetitive tenders will be considered timely received if they are mailed to this Bank or its Branch under a postmark no later than October 15,1975. Please use the enclosed tender form to submit a tender and return it in the enclosed envelope marked “Tender for Treasury Notes or Bonds.” 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 or other immediately available funds, under the conditions and procedures set forth in Section IV of Treasury Department Circular No. 31-75; settlement cannot be made by credit in Treasury Tax and Loan Accounts. If pay ment is made by check, the check must be a certified personal check or an official bank check, payable on its face to the Federal Reserve Bank of New York; checks endorsed to this Bank will not be accepted. The notes will be auctioned on a yield basis, as set forth in Section III of the official offering circular. Tenders at a yield that will produce a price less than 99.501 will not be accepted. Noncompetitive bidders will be required to pay the average price of accepted competitive tenders. Telephone inquiries regarding this offering may be made by calling Telephone No. 212-791-5823, 212-791-6616, or 212-791-5465. Paul 2 A. V olcker , President. UNITED STATES OF AMERICA TREASURY NOTES OF SERIES N-1977 Dated and bearing interest from October 31, 1975 Due October 31, 1977 DEPARTMENT CIRCULAR DEPARTMENT OF THE TREASURY, Office of the Secretary, Washington, October 10,1975. Public D ebt Series — No. 31 -7 5 I. IN V ITATION FO R TEND ERS 5. The notes will be subject to the general regula tions of the D epartm ent of the Treasury, now or hereafter prescribed, governing U nited States notes. 1. The Secretary of the Treasury, pursuant to the authority of the Second Liberty Bond Act, as am ended, invites tenders on a yield basis for $3,000,000,000, or thereabouts, of notes of the U nited States, designated Treasury Notes of Series N-1977. The interest rate for the notes will be determ ined as set forth in Section III, paragraph 3, hereof. A dditional amounts of these notes may be issued at the average price of accepted tenders to Governm ent accounts and to Federal Reserve Banks for themselves and as agents of foreign and international m onetary authorities. Tenders will be received up to 1:30 p.m., E astern D aylight Saving time, Thursday, October 16, 1975, under com petitive and noncom petitive bidding, as set forth in Section III hereof. II. III. 1. Tenders will be received at Federal Reserve Banks and Branches and at the Bureau of the Public Debt, W ashington, D. C. 20226, up to the closing hour 1:30 p.m., E astern D aylight Saving time, Thursday, October 16, 1975. Each tender m ust state the face am ount of notes bid for, which m ust be $5,000 or a m ultiple thereof, and the yield desired, except th at in the case of noncompetitive tenders the term “non com petitive” should be used in lieu of a yield. In the case of com petitive tenders, the yield m ust be expressed in terms of an annual yield, w ith two decimals, e.g., 7.11. Fractions m ay not be used. Non com petitive tenders from any one bidder may not exceed $500,000. D ESC R IPTIO N O F NOTES 1. The notes will be dated O ctober 31, 1975, and will bear interest from that date, payable sem iannually on April 30, 1976, October 31, 1976, April 30, 1977, and October 31, 1977. They will m ature October 31, 1977, and will not be subject to call for redem ption prior to m aturity. 2. Commercial banks, which for this purpose are defined as banks accepting dem and deposits, and deal ers who make prim ary markets in Governm ent secu rities and report daily to the Federal Reserve Bank of New York their positions w ith respect to Governm ent securities and borrowings thereon, may subm it tenders for account of customers provided the names of the customers are set forth in such tenders. Others will not be perm itted to subm it tenders except for their own account. Tenders will be received w ithout deposit from banking institutions for their own account, Federally-insured savings and loan associa tions, States, political subdivisions or instrum entalities thereof, public pension and retirem ent and other public funds, international organizations in w hich the United States holds membership, foreign central banks and foreign States, dealers who m ake prim ary m arkets in Governm ent securities and report daily to the Federal Reserve Bank of New York their positions with respect to Governm ent securities and borrowings thereon, and Governm ent accounts. Tenders from others m ust be accom panied by paym ent of 5 percent of the face am ount of notes applied for. 2. The income derived from the notes is subject to all taxes imposed under the Internal Revenue Code of 1954. The notes are subject to estate, inheritance, gift or other excise taxes, w hether Federal or State, b u t are exempt from all taxation now or hereafter im posed on the principal or interest thereof by any State, or any of the possessions of the U nited States, or by any local taxing authority. 3. T he notes will be acceptable to secure deposits of public moneys. They will not be acceptable in paym ent of taxes. 4. Bearer notes w ith interest coupons attached, and notes registered as to principal and interest, will be issued in denom inations of $5,000, $10,000, $100,000 and $1,000,000. Book-entry notes will be available to eligible bidders in m ultiples of those amounts. In ter changes of notes of different denom inations and of coupon and registered notes, and the transfer of regis tered notes will be perm itted. TEN D ERS AND ALLOTM ENTS 3. Im m ediately after the closing hour tenders will be opened, following w hich public announcem ent will be m ade by the D epartm ent of the Treasury of the 3 Bank or a t the Treasury no later than: (1 ) Tuesday, O ctober 28, 1975, if the check is draw n on a bank in the Federal Reserve D istrict of the Bank to w hich the check is. subm itted, or the F ifth F ederal Reserve D istrict in the case of the Treasury, or (2 ) Thursday, O ctober 23, 1975, if the check is draw n on a bank in another district. Checks received after the dates set forth in the preceding sentence will not be accepted unless they are payable at a Federal Reserve Bank. Paym ent will not be deem ed to have been com pleted w here registered notes are requested if the appropriate identifying num ber as required on tax returns and other documents subm itted to the Internal Revenue Service (a n individual’s social security num ber or an em ployer identification num ber) is not furnished. In every case where full paym ent is not com pleted, the paym ent w ith the tender up to 5 percent of the am ount of notes allotted shall, upon declaration m ade by the Secretary of the Treasury in his discretion, be forfeited to the U nited States. am ount and yield range of accepted bids. Those subm itting com petitive tenders will be advised of the acceptance or rejection thereof. In considering the acceptance of tenders, those w ith th e lowest yields will b e accepted to th e extent required to attain the am ount offered. Tenders at the highest accepted yield will be pro rated if necessary. After the determ ination is m ade as to w hich tenders are accepted, an interest ra te will be established a t the nearest Vs of one percent necessary to m ake the average accepted price 100.000 or less. T h at will be the rate of interest th at will be paid on all of the notes. Based on such interest rate, the price on each com petitive tender allotted will be determ ined and each successful com petitive b id d er will be required to pay the price corresponding to the yield bid. Price calculations will be carried to th ree decim al places on the basis of price per hundred, e.g., 99.923, and the determ inations of the Secretary of the Treasury shall be final. T he Secretary of the T reasury expressly reserves the right to accept or reject any or all tenders, in whole or in part, includ ing th e right to accept tenders for m ore or less than the $3,000,000,000 of notes offered to the public, and his action in any such respect shall b e final. Subject to these reservations, noncom petitive tenders for $500,000 or less w ithout stated yield from any one b id d er will be accepted in full at the average price ( in three decim als) of accepted com petitive tenders. V. IV. PAYMENT 1. Settlem ent for accepted tenders in accordance w ith the bids m ust be m ade or com pleted on or before O ctober 31, 1975, at th e F ederal Reserve Bank or B ranch or at the Bureau of the Public Debt, W ashing ton, D. C. 20226. Paym ent m ust be in cash, in other funds im m ediately available to the Treasury by O ctober 31, 1975, or by check draw n to the order of the Federal Reserve Bank to which the tender is subm itted, or the U nited States Treasury if the tender is subm itted to it, w hich m ust be received at such 4 GENERAL PROVISIONS 1. As fiscal agents of the U nited States, Federal Reserve Banks are authorized and requested to receive tenders, to make such allotments as may be prescribed by the Secretary of th e Treasury, to issue such notices as m ay be necessary, to receive paym ent for and make delivery of notes on full-paid tenders allotted, and they may issue interim receipts pending delivery of the definitive notes. 2. T he Secretary of the Treasury m ay at any time, or from tim e to time, prescribe supplem ental or am endatory rules and regulations governing the offer ing, w hich will be com m unicated prom ptly to the Federal Reserve Banks. STEPHEN S. GARDNER, Acting Secretary of the Treasury. FORM NA IMPORTANT — Closing time for receipt of this tender is 1:30 p.m., Thursday, October 16, 1975. TENDER FOR TREASURY NOTES OF SERIES N-1977 Dated October 31, 1975 F ed e r a l R eserve B a n k o f N ew Due October 31, 1977 D ated at York, Fiscal Agent of the U nited States, N e w York, N . Y. 10045 19. Pursuant to the provisions of Treasury D epartm ent Circular No. 31-75, Public D ebt Series, dated O ctober 10, 1975, the undersigned hereby offers to purchase U nited States of America Treasury Notes of Series N-1977 in the am ount indicated below, and agrees to make paym ent therefor at your Bank on or before the issue date at the price aw arded on this tender. COMPETITIVE TEN D ER Do not fill in both Competitive and Noncompetitive tenders on one form $ ......................................................... ( m aturity v alu e) or any lesser am ount that m ay be awarded. NONCOMPETITIVE TENDER $ ....................................................... (m aturity value) (N ot to exceed $500,000 for one bidder through all sources) at the average price of accepted competitive bids. Y ie ld :........... (Yield must be expressed with not more than two decimal places, for example, 7.11) Subject to allotment please issue, deliver, and accept paym ent for the securities as indicated below and on the reverse side (if registered securities are desired, please also complete schedule on reverse side): Pieces Denomination $ Maturity value 5,000 10,000 □ 1. Deliver over the counter to the undersigned □ 2. Ship to the undersigned □ 3. Hold in safekeeping (for mem ber bank only) in — L J 100,000 1,000,000 Totals u iv r a u i itm Payment will be made as follows: □ By charge to our reserve account □ By cash or check in immediately available funds l j — □ General Account □ Trust Account □ 4. Hold as collateral for Treasury Tax and Loan Account* ( No changes in delivery instructions will be accepted) * The undersigned certifies that the allotted securities will be owned solely by the undersigned. (If a commercial bank or dealer 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 th at we have received tenders from our customers in the amounts set forth opposite the customers’ names on the list which is m ade a p art of this tender, and th at we have either received and are holding for the Treasury or we guarantee paym ent to the Treasury of deposits stipulated in the official offering circular. W e F u r t h e r C e r t i f y th at 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 Notes or Bonds' (Address — incl. City and State) (Tel. No.) (Signature of subscriber or authorized signature) (T itle of authorized signer) ( Banking institutions submitting tenders for customer account must list customers’ names on lines below or on an attached rider) ( Name of customer) (Name of customer) INSTRUCTIONS: 1. No tender for less than $5,000 will be considered; and each tender must be for a multiple of $5,000 (maturity value). 2. Only banking institutions, and dealers who make primary markets in Government securities and report daily to this Bank their positions with respect to Government securities and borrowings thereon, may submit tenders for customer account; in doing so, they may consolidate competitive tenders at the same yield and may consolidate noncompetitive tenders, provided a list is attached showing the name of each bidder and the amount bid for his account. Others will not be permitted to submit tenders except for their own account. 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 the securities 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. ( over) SCHEDULE FOR ISSUE OF REGISTERED TREASURY NOTES OF SERIES N-1977 SUBSCRIPTION NO. SUBSCRIBER. SIGNATURE_ DELIVERY INSTRUCTIONS PAYMENT INSTRUCTIONS □ D E L IV E R O V E R T H E C O U N T E R □ □ S H IP T O S U B S C IB E R BY C H A R G E T O O U R R ESERV E ACCOUNT 1 □ O T H E R IN S T R U C T IO N S : FOR FRB USE ONLY TRANS. ACCOUNTING DATE BY C A SH O R C H E C K IN IMMEDIATELY AVAILABLE FUNDS ISSUE AGENT 12 ADDRESS___ LOAN CODE October 31, 1975 Z IP . INTEREST COMP. DATE NO. OF PIECES REGISTRATION INSTRUCTIONS DENOM. AMOUNT SERIAL NOS. (LEAVE BLANK) 1 1 0 -0 1 FOR FRB USE ONLY NAME(S) ID OR S.S. NO. ADDRESS ZIP 32 5,000 34 10,000 38 100,000 42 1,000,000 99 TOTAL TR. CASE NO. NAME(S) 32 ID OR S.S. NO. ADDRESS ZIP 5,000 34 10,000 38 100,000 42 1,000,000 99 TOTAL TR CASE NO. NAME(S) 32 ID OR S.S. NO. ADDRESS ZIP 5,000 34 10,000 38 100,000 42 1,000,000 99 TOTAL TR. CASE NO. NAME(S) ID OR S.S. NO. ADDRESS ZIP 32 5,000 34 10,000 38 100,000 42 1,000,000 99 TOTAL TR. CASE NO. NAME(S) 32 34 ID OR S.S. NO. ADDRESS ZIP 5,000 10,000 38 100,000 42 1,000,000 99 TOTAL TR. CASE NO.
@FedFRASER