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FED ER A L RESERVE BANK O F N E W YORK Fiscal Agent of the United States No. August 18, 1976 [ Circular 7 9 3 8 1 J OFFERING OF TWO SERIES OF TR EA SU R Y BILLS $2,600,000,000 of 92-Day B ills, A dditional Am ount, Series Dated May 27, 1976, Due Novem ber 26, 1976 (To Be Issued August 2 6 ,1 9 7 6 ) $3,600,000,000 of 182-Day B ills, Dated August 2 6 ,1 9 7 6 , Due February 2 4 ,1 9 7 7 T o A l l I n c o r p o r a te d B a n k s a n d T r u s t C o m p a n ie s, a n d O th e r s C o n c e r n e d , in th e S e c o n d F e d e ra l R e s e r v e D is tr ic t: Following is the text of a notice issued by the Treasury Department, released yesterday: The Treasury Department, by this public notice, invites tenders for two series of Treasury bills to the aggregate amount of $6,200 million, or thereabouts, to be issued August 26, 1976, as fol lows : 92-day bills (to maturity date) in the amount of $2,600 million, or thereabouts, representing an additional amount of bills dated May 27, 1976, and to mature November 26, 1976 (C U SIP No. 912793 C38), originally issued in the amount of $3,602 million, the additional and original bills to be freely interchangeable. 182-day bills for $3,000 million, or thereabouts, to be dated August 26, 1976, and to mature February 24, 1977 (C U SIP No. 912793 E77). The bills will be issued for cash and in exchange for Treasury bills maturing August 26, 1976, outstanding in the amount of $6,230 million, of which Government accounts and Federal Reserve Banks, for themselves and as agents of foreign and international monetary authorities, presently hold $2,789 million. These accounts may exchange bills they hold for the bills now being offered at the average prices of accepted tenders. The bills of both series will be issued on a discount basis under competitive and noncompetitive bidding as hereinafter provided, and at maturity their face amount will be payable without interest. They will be issued in bearer form in denominations of $10,000, $15,000, $50,000, $100,000, $500,000 and $1,000,000 (maturity value) and in book-entry form to designated bidders. Tenders will be received at Federal Reserve Banks and Branches up to the closing hour, one-thirty p.m., Eastern Daylight Saving time, Monday, August 23, 1976. Tenders will not be received it the Treasury Department, Washington. Each tender must be o r a minimum of $10,000. Tenders over $10,000 must be in nultiples of $5,000. In the case of competitive tenders the price >ffered must be expressed on the basis of 100, with not more than hree decimals, e.g., 99.925. Fractions may not be used. It is urged hat tenders be made on the printed forms and forwarded in the pecial envelopes which will be supplied by Federal Reserve Banks r Branches on application therefor. Banking institutions and dealers who make primary markets i Government securities and report daily to the Federal Reserve lank of New York their positions with respect to Government 'curities and borrowings thereon may submit tenders for account f customers, provided the names of the customers are set forth in such tenders. Others will not be permitted to submit tenders except for their own account. Tenders will be received without deposit from incorporated banks and trust companies and from responsible and recognized dealers in investment securities. Tenders from others must be accompanied by payment of 2 percent of the face amount of Treasury bills applied for, unless the tenders are accompanied by an express guaranty of payment by an incorporated bank or trust company. Immediately after the closing hour, tenders will be opened at the Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price range of accepted bids. Only 'those submitting competitive tenders will be advised of the acceptance or rejection thereof. 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, noncompetitive tenders for each issue for $500,000 or less without stated price from any one bidder will be accepted in full at the average price (in three decimals) of accepted competi tive bids for the respective issues. Settlement for accepted tenders in accordance with the bids must be made or completed at the Federal Reserve Bank on August 26, 1976, in cash or other immedi ately available funds or in a like face amount of Treasury bills maturing August 26, 1976. Cash and exchange tenders will receive equal treatment. Cash adjustments will be made for differences between the par value of maturing bills accepted in exchange and the issue price of the new bills. Under Sections 454(b) and 1221(5) of the Internal Revenue Code of 1954, the amount of discount at which bills issued here under are sold is considered to accrue when the bills are sold, redeemed or otherwise disposed of, and the bills are excluded from consideration as capital assets. Accordingly, the owner of Treasury bills (other than life insurance companies) issued hereunder must include in his income tax return, as ordinary gain or loss, the difference between the price paid for the bills, whether on original issue or on subsequent purchase, and the amount actually received either upon sale or redemption at maturity during the taxable year for which the return is made. Treasury Department Circular No. 418 (current revision) and this notice prescribe the terms of the Treasury bills and govern the conditions of their issue. Copies of the circular may be obtained from any Federal Reserve Bank or Branch. This Bank will receive tenders for both series up to 1 :30 p.m., Eastern Daylight Saving time, Monday, August 23, 976, at the Securities Department of its Head Office and at its Buffalo Branch. Tender forms for the respective ■ries are enclosed. Please use the appropriate forms to submit tenders and return them in the enclosed envelope marked Fender for Treasury Bills.” Tenders not requiring a deposit may be submitted by telegraph, subject to written con-mation; no tenders may be submitted by telephone. Payment for Treasury bills cannot be made by credit through e Treasury Tax and Loan Account. Settlement must be made in cash or other immediately available funds or in aturing Treasury bills. Results of the last weekly offering of Treasury bills (91-day bills to be issued August 19, 1976, representing an ditional amount of bills dated May 20, 1976, maturing November 18, 1976; and 182-day bills dated August 19, '76, maturing February 17, 1977) are shown on the reverse side of this circular. _1 P aul A. V olcker, President. Please note that the Treasury hills maturing November 26, 1976 will be 92-day bills. ( over) RESULTS OF LAST W EEKLY OFFERING OF TR EA SUR Y BILLS (TW O SERIES TO BE ISSUED AUGUST 19, 1976) Range o f A ccepted Com petitive Bids pi-Day Treasury Bills Maturing November 18 , 1976 High ........................... ................. Low ............................. ................. Average ..................... ................. 18 2 -Day Treasury Bills Maturing February 17 , 1977 Price Discount Rate Investment Rate 1 Price Discount Rate Investment Rate 1 98.706a 98.698 98.700 5.119% 5.151% 5.143% 5.26% 5.29% 5.28% 97.290 97.271 97.275 5.360% 5.398% 5.390% 5.59% 5.63% 5.62% 1 E q u iv a le n t c o u p o n -issu e y ield . a E x c e p tin g tw o te n d e rs to ta lin g $4,000,000. (23 percent of the amount of 182-day bills bid for at the low price was accepted.) (67 percent of the amount of 91-day bills bid for at the low price was accepted.) Total Tenders R eceived and A ccepted (B y Federal Reserve D istrict) 18 2 -Day Treasury Bills Maturing February 17 ,19 7 7 9 1 -Day Treasury Bills Maturing November 18 ,19 7 6 Boston........... New Y o rk ..... Philadelphia . Cleveland ..... R i c h m o n d ..... Atlanta ........ Chicago......... St. L ouis....... Minneapolis . Kansas City . Dallas .......... San Francisco T otals . $ 29,705,000 3,787,925,000 30,840,000 33,340,000 55,145,000 28,630,000 295,220,000 46,115,000 39,100,000 80,320,000 20,315,000 304,325,000 $4,750,980,000 $ 22,705,000 2,128,015,000 17,405,000 30,670,000 21,345,000 28,105,000 109,045,000 26,835,000 8,715,000 50,560,000 19,315,000 39,525,000 $2,502,240,000 b In c lu d e s $370,905,000 n o n c o m p e titiv e te n d e rs fro m th e public. C In c lu d e s $171,995,000 n o n c o m p e titiv e te n d e rs fro m th e public. Accepted Received Accepted Received District $ 26,045,000 5,751,415,000 8,915,000 258,630,000 76,640,000 48,000,000 560,435,000 61,745,000 50,665,000 29,400,000 29,855,000 339,245,000 $7,240,990,000 $ 8,045,000 2,799,115,000 5,715,000 138,630,000 28,490,000 47,500,000 392,185,000 25,745,000 11,665,000 23,200,000 18,085,000 104,245,000 $3,602,620,000 IMPORTANT (£ los,ne daLte f" »ceip« »f ^ .s tender is Monday. Augnst 23. 1976) IMPORTANT -Because the usual Thursday maturity date of 3-month Treasury bills to be issued August 26, 1976, would fall on Thanksgiving Day. November 25, 1976, such bills w ill mature Friday, November 26, 1976. and therefore be 92-day bills. TENDER FOR 92-DAY TREASURY BILLS Additional Amount. Series Dated May 27. 1976. Maturing November 26, 1976 (To Be Issued August 26, 1976) T o F ederal R eserve B a n k o f N e w Y o r k , F iscal A g en t o f the U n ited States Dated a t ....................................................... ..............................................................., 19-— P ursuant to the provisions o f T reasury D epartm ent Circular N o . 4 1 8 (current rev isio n ) and to the provi sions of the public notice issued by the T reasury D epartm ent inviting tenders for the above-described Treasury bills, the undersigned hereby offers to purchase such T reasury bills 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 indicated b e lo w : Do not fill in both Competitive and Noncompetitive tenders on one form COMPETITIVE TENDER $ ..................................................................... (m aturity value) or any lesser am ount that m ay be awarded. NONCOMPETITIVE TENDER $ ..................................................................... (m aturity valu e) (Not to exceed $500fl00 for one bidder through all sources) P r ic e : ....................... ......................................per 100. at the average price of accepted com petitive bids, (Price must be expressed ivith not more than three decimal places, for example, 99.925) Subject to allotm ent, please issue, deliver, and accept paym ent for the bills as indicated below : Pieces Denomination $ Maturity value □ 1. Deliver over the counter to the 15,000 50,000 □ 2. Ship to the undersigned By cash or check in immediately available funds on delivery □ □ 3. Hold in safekeeping (for mem ber bank only) in— (Payment cannot be made through Treasury Tax and Loan Account) □ Investment Account 100,000 □ 5. Special instructions: 500,000 1,000,000 Payment will be made as follow s : □ By charge to our reserve account undersigned 10,000 □ Trust Account □ 4. Allotment transfer (see list attached) (No changes in delivery instructions will be accepted) Totals T he undersigned (m em ber bank) hereby certifies that the T reasury bills w hich you are hereby instructed to dispose of in the m anner indicated in item 3 above are ow ned solely by the undersigned. Insert this tender in special envelope marked “Tender for Treasury Bills” (Name of subscriber—please print or type) (Address—ind. City and State) (T d. No.) (Signature of subscriber or authorized signature) (Title 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; * o i1 iF- f° r- CSS than $10*000 wlU ** considered, and each tender must be for a multiple of $5,000 (maturity value) •L y banS ? * 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 lot customer account' in doing so they may consolidate competitive tenders at the same price and may consolidate noncompetitive t e X s proTd d bidd" “ d the amount Wd for his ~ o,h' " member of the firm, who should sign in the form “ ....................... ~ * pt“ mcrs,lip> 11 snouia oe signed Dy a 6 ............. v....... .......... ....... ........................................................., a copartnership, by ........................................................................................... , a member ot the firm. and ^cognized* d e i l U ^ i n X v l ^ ^ ^ L S f *T jncorpo™ted banks and trust companies and from responsible th e face A m o u n t o f T r e a s u r y b ills a rJ J S ^ W 3 by anfncm wrated b a^ k ortn rs r n m n in v All f'i0™, 0thers must be accompanied by payment of 2 percent of a r e a c c ? m Pa n i^ by a n e x p r e s s g u a r a n ty of payment t0 ^ ° rder ° f the Federal Reservc Bank of New u V York ; is m a t e r i i u L S ? m y t e hd i s ^ X Digitized for *w. FRASER 3/76 ChM8ed “ respect’ which’ in * * opinion r , the Secretary of the Treasury, l 35 J (Closing date for receipt of this tender is Monday, August 23, 1976) TENDER FOR 182-DAY TREASURY BILLS Dated August 26, 1976 To F ederal R eserv e Bank op N Maturing February 24, 1977 ew Y ork, D ated at Fiscal Agent of the United States 19. P ursuant to the provisions of T reasury D epartm ent Circular N o. 4 1 8 (current revision ) and to the provi sions of the public notice issued by the T reasury Departm ent inviting tenders for the above-described trea su ry bills, the undersigned hereby offers to purchase such T reasury bills 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 indicated b e lo w : Do not fill in both Competitive and Noncompetitive tenders on one form COMPETITIVE TENDER $................................................ (maturity value) NONCOMPETITIVE TENDER or any lesser am ount that m ay be awarded. $ ..................................................................... (m aturity value) (N ot to exceed $500,000 for one bidder through all sources) P ric e : ......................... ...... ............................ per 100. (Price must be expressed with not more than three decimal places, for example, 99.925) at the average price of accepted com petitive bids, Subject to allotment, please issue, deliver, and accept Pieces Denomination $ Maturity value paym ent for the bills as indicated below : □ 1. Deliver over the counter to the undersigned 10,000 □ 2. Ship to the undersigned 15,000 50,000 □ 3. Hold in safekeeping (for mem ber bank only) in— □ Investment Account 100,000 Treasury Tax and Loan Account) □ 5. Special instructions: 500,000 1,000,000 Payment will be made as follows : □ By charge to our reserve account □ By cash or check in immediately available funds on delivery ( Payment cannot be made through □ Trust Account □ 4. Allotment transfer (see list attached) (No changes in delivery instructions will be accepted) Totals T he undersigned (m em ber bank) hereby certifies that the T reasury bills which you are hereby instructed to dispose of in the m anner indicated in item 3 above are ow ned solely by the undersigned. Insert this tender in special envelope marked “Tender for Treasury Bills** (Name of zubzcriber—please print or type) (Address—incl. City and State) (Tel. No.) (Signature of subscriber or authorized signature) (Title 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) ' ............................................(N m e 'o f ^ stom w j........................................... IN ST R U C T IO N S : 1. No tender for less than $10,000 will be considered, and each tender must be for a multiple of $5,000 (maturity value) 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 price and may consolidate noncompetitive tenders provided a ist,15 attached showing the name of each bidder and the amount bid for his account. Others will not be pem itted to ubmit tenders except for their own account. pcrmiuea io suDmit a ,3' - ^ !he Pe.rso", makir)g the t ^ e r is a corporation, the tender should be signed by an officer of the corporation authorized to make thf tender and the signing of the tender by an officer of the corporation wifi £ c r a s h e d £ 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 4. Tenders will be received without deposit from incorporated banks and trust companies and from responsible a^d recognized dealers m investment securities. Tenders from others must be accompanied fey payment of 2 £ r « n t of the face amount of Treasury bills applied for, unless the tenders are accompanied by an express guaranty of paymem Vnrt0 !n|f ° ruPOrat5d ° I . t r oSt f 0111?*11*'- All checks must be drawn to the order of the Federal Reserve Bank of New Y ork, checks endorsed to this Bank will not be accepted. . 5 - ?f. tJ1,e 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. 7 * tw. 3/76 35
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