The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
FEDERAL RESERVE BANK OF NEW YORK Fiscal Agent of the United States [ September 17, 1980 J C ircular N o .8 9 1 8 "1 O F F E R I N G O F T W O S E R IE S O F T R E A S U R Y B IL L S $ 3 ,8 0 0 ,0 0 0 ,0 0 0 o f 9 2 -D a y B ills , T o B e Issu e d S e p te m b e r 2 5 , 1 9 8 0 , D u e D e c e m b e r 2 6 , 1 9 8 0 $ 3 ,8 0 0 ,0 0 0 ,0 0 0 o f 1 8 2 -D a y B ills , T o B e I ssu e d S ep te m b e r 2 5 , 1 9 8 0 , D u e M arch 2 6 , 1 9 8 1 To A ll 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: The Department of the Treasury, by this public notice, invites position in the bills being offered if such position is in excess of $200 tenders for two series of Treasury bills totaling approximately million. This information should reflect positions held at the close of $7,600 million, to be issued September 25, 1980. This offering will business on the day prior to the auction. Such positions would in provide $650 million of new cash for the Treasury as the maturing clude bills acquired through "when issued” trading, and futures and bills are outstanding in the amount of $6,950 million, including forward transactions as well as holdings of outstanding bills with $522 million currently held by Federal Reserve Banks as agents the same maturity date as the new offering, e.g., bills with three for foreign and international monetary authorities, and $1,945 mil months to maturity previously offered as six month bills. Dealers lion currently held by Federal Reserve Banks for their own account. who make primary markets in Government securities and report daily to the Federal Reserve Bank of New York their positions in The two series offered are as follows: 92-day bills (to maturity date) for approximately $3,800 and borrowings on such securities, when submitting tenders for cus million, representing an additional amount of bills dated tomers, must submit a separate tender for each customer whose net June 26, 1980, and to mature December 26,1980 (CUSIP long position in the bill being offered exceeds $200 million. Payment for the full par amount of the bills applied for must No. 912793 5T9), currently outstanding in the amount of $3,502 million, the additional and original bills to be accompany all tenders submitted for bills to be maintained on the book-entry records of the Department of the Treasury. A cash freely interchangeable. 182-day bills (to maturity date) for approximately $3,800 adjustment will be made on all accepted tenders for the difference million, representing an additional amount of bills dated between the par payment submitted and the actual issue price as April 1, 1980, and to mature March 26, 1981 (CUSIP determined in the auction. No deposit need accompany tenders from incorporated banks No. 912793 5Z5), currently outstanding in the amount of $4,016 million, the additional and original bills to be and trust companies and from responsible and recognized dealers in investment securities for bills to be maintained on the book-entry freely interchangeable. of Federal Reserve Banks and Branches. Both series of bills will be issued for cash and in exchange for records Public announcements will be made by the Department of the Treasury bills maturing September 25, 1980. Tenders from Federal Treasury of the amount and price range of accepted bids. Competi Reserve Banks for themselves and as agents for foreign and inter bidders will be advised of the acceptance or rejection of their national monetary authorities will be accepted at the weighted tive The Secretary of the Treasury expressly reserves the right average prices of accepted competitive tenders. Additional amounts tenders. accept or reject any or all tenders, in whole or in part, and the of the bills may be issued to Federal Reserve Banks, as agents for to Secretary’s action shall be final. Subject to these reservations, foreign and international monetary authorities, to the extent that noncompetitive tenders for each issue for $500,000 or less without the aggregate amount of tenders for such accounts exceeds the stated price from any one bidder will be accepted in full at the aggregate amount of maturing bills held by them. weighted average price (in three decimals) of accepted competitive The bills will be issued on a discount basis under competitive and bids for the respective issues. noncompetitive bidding, and at maturity their par amount will be Settlement for accepted tenders for bills to be maintained on the payable without interest. Both series of bills will be issued entirely book-entry of Federal Reserve Banks and Branches must in book-entry form in a minimum amount of $10,000 and in any be made or records completed at the Federal Reserve Bank or Branch on higher $5,000 multiple, on the records either of the Federal Reserve September 25, 1980, in cash or other immediately available funds or Banks and Branches, or of the Department of the Treasury. Treasury bills maturing September 25, 1980. Cash adjustments Tenders will be received at Federal Reserve Banks and Branches in be made for differences between the par value of the maturing and at the Bureau of the Public Debt, Washington, D.C. 20226, up will to 1:30 p.m., Eastern Daylight Saving time, Monday, September 22, bills accepted in exchange and the issue price of the new bills. Under Sections 454(b) and 1221(5) of the Internal Revenue 1980. Form PD 4632-2 (for 26-week series) or Form PD 4632-3 (for 13-week series) should be used to submit tenders for bills to be Code of 1954 the amount of discount at which these bills are sold maintained on the book-entry records of the Department of the is considered to accrue when the bills are sold, redeemed or other wise disposed of, and the bills are excluded from consideration as Treasury. Each tender must be for a minimum of $10,000. Tenders over capital assets. Accordingly, the owner of these bills (other than $10,000 must be in multiples of $5,000. In the case of competitive life insurance companies) must include in his or her Federal in tenders the price offered must be expressed on the basis of 100, come tax return, as ordinary gain or loss, the difference between with not more than three decimals, e.g., 99.925. Fractions may not the price paid for the bills, whether on original issue or on sub sequent purchase, and the amount actually received either upon sale be used. Banking institutions and dealers who make primary markets in or redemption at maturity during the taxable year for which the Government securities and report daily to the Federal Reserve return is made. Bank of New York their positions in and borrowings on such Department of the Treasury Circulars, Public Debt Series—Nos. securities may submit tenders for account of customers, if the 26-76 and 27-76, and this notice, prescribe the terms of these Treas names of the customers and the amount fcr each customer are ury bills and govern the conditions of their issue. Copies of the furnished. Others are only permitted to submit tenders for their circulars and tender forms may be obtained from any Federal Re own account. Each tender must state the amount of any net long serve Bank or Branch, or from the Bureau of the Public Debt. This Bank will receive tenders for both series up to 1 :30 p.m., Eastern Daylight Saving time, Monday, Septem ber 22, 1980, at the Securities Department of its Head Office and at its Buffalo Branch. Tender forms for both series are enclosed. Please use the appropriate forms to submit tenders and return them in the enclosed envelope marked “Ten der for Treasury Bills.” Forms for submitting tenders directly to the Treasury are available from the Government Bond Division of this Bank. Tenders not requiring a deposit may be submitted by telegraph, subject to writ ten confirmation; no tenders may be submitted by telephone. Payment for Treasury bills cannot be made by credit through the Treasury T ax and Loan Account. Settlem ent must be made in cash or other immediately available funds or in Treasury securities maturing on or before the issue date. Results of the last weekly offering of Treasury bills are shown on the reverse side of this circular. A n t h o n y M . S olom on , P lease n o te th a t th e T re a su ry b ills m a tu rin g D ecem ber 26, 1980 w ill be 92-day bills. President. ( over) R E S U L T S O F L A S T W E E K L Y O F F E R IN G O F T R E A S U R Y B IL L S (T W O S E R IE S T O B E IS S U E D S E P T E M B E R 1 8 , 1 9 8 0 ) R an g e of A ccepted C o m p etitiv e B ids 9 i-D ay Treasury Bills Maturing December 18, 1980 Price H ig h ............................... ............... L ow ................................ ............... A verage......................... ............... 97.333a 97.288 97.311 182-Day Treasury Bills Maturing March 19, 1981 Discount Rate Investment R ate 1 Price Discount Rate Investment R ate 1 10.551% 10.729% 10.638% 10.99% 11.18% 11.08% 94.565 94.464 94.502 10.751% 10.950% 10.875% 11.53% 11.75% 11.67% 1Equivalent coupon-issue yield. a Excepting two tenders totaling $5,990,000. (7 percent of the amount of 91-day bills bid for the low price was accepted.) (84 percent of the amount of 182-day bills bid for at the low price was accepted.) T o ta l T en d ers R eceived an d A ccepted 91-Day Treasury Bills M aturing December 18, 1980 B y F .R . D is tr ic t ( an d U S . T r e a s u r y ) B o s to n ........................................... New Y o r k .................................... P h ila d elp h ia................................. C lev elan d ...................................... R ic h m o n d ..................................... A tla n ta .......................................... C h icag o ......................................... St. L o u is ........ ............................... M in n eap o lis................................. K ansas C ity .................................. D a lla s ............................................. San F ra n c is c o ............................. 66,295,000 5,637,020,000 34,190,000 49,340,000 54,205,000 55,365,000 321,705,000 26,630,000 16,825,000 54,360,000 22,635,000 350,215,000 R e c e iv e d A c c e p te d R e c e iv e d $ 182-Day Treasury Bills Maturing March 19,1981 - $ 66,295,000 3,041,625,000 34,190,000 49,340,000 54,205,000 55,365,000 167,405,000 18,630,000 16,825,000 54,360,000 22,635,000 109,250,000 $ 48,875,000 4,973,220,000 21,090,000 30,100,000 44,955,000 47,135,000 340,540,000 30,720,000 16,470,000 54,930,000 24,155,000 305,530,000 A c c e p te d $ 48,875,000 3,080,850,000 21,090,000 30,100,000 44,955,000 47,135,000 153,540,000 22,720,000 16,460,000 54,930,000 24,155,000 100,530,000 U .S. T r e a s u r y ............................. 110,500,000 110,500,000 156,655,000 156,655,000 T o t a l s ................................. $6,799,285,000 $3,800,625,000 $6,094,375,000 $3,801,995,000 $4,420,150,000 825,685,000 $1,421,490,000 825,685,000 $3,881,855,000 720,535,000 $1,589,475,000 720,535,000 S ubtotals .......................... Federal R e s e r v e .......................... F o reig n Official In stitu tio n s .... $5,245,835,000 1,083,235,000 $2,247,175,000 1,083,235,000 $4,602,390,000 1,075,000,000 $2,310,010,000 1,075,000,000 470,215,000 470,215,000 416,985,000 416,985,000 T otals ................................... $6,799,285,000 $3,800,625,000 $6,094,375,000 $3,801,995,000 B y cla ss of b id d er Public Com petitive ............................ N oncom petitive ..................... An additional $8,655,000 of 13-week bills and an additional $9,215,000 of 26-week bills will be issued to foreign official institutions for new cash.
@FedFRASER