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FEDERAL RESERVE BANK OF NEW YORK Fiscal Agent of the United States Circular No. 9056 April 16, 1981 T R E A S U R Y T O A U C T IO N $4,250 M IL L IO N OF 2-Y E A R N O TES T o A l l B a n k in g In stitu tio n s, a n d O th er s C o n c e r n e d , in th e S e c o n d F e d e r a l R e s e r v e D istr ic t: T h e fo llo w in g statem ent was issued yesterday b y the T reasu ry D ep artm en t: The Department o f the Treasury will auction $4,250 million o f 2-year notes to refund $2,752 million o f notes maturing April 30, 1981, and to raise $1,498 million new cash. The $2,752 million o f maturing notes are those held by the public, including $1,060 million currently held by Federal Reserve Banks as agents for foreign and international monetary authorities. In addition to the public holdings, Government accounts and Federal Reserve Banks, for their own accounts, hold $261 million o f the maturing securities that may be refunded by issuing additional amounts o f the new notes at the average price o f accepted competitive tenders. Additional amounts o f the new security may also be issued at the average price to Federal Reserve Banks, as agents for foreign and international monetary authorities, to the extent that the aggregate amount o f tenders for such accounts exceeds the aggregate amount o f maturing securities held by them. P rin ted o n the reverse side is a table sum m arizing the highlights o f the o ffe r in g . C o p ie s o f the o ffic ia l o ffe r in g circu lar w ill b e furn ish ed u p o n request directed to o u r G o v e rn m e n t B o n d D ivision (T el. N o . 212 -7 91 -6 6 19 ). E n clo se d is a c o p y o f a standard fo r m fo r y o u r use in su bm itting tenders fo r this o ffe r in g (o r fo r any su bsequ en t o ffe r in g o f 2-year n otes). T h is Bank w ill receive tenders up to 1:30 p .m ., Eastern S tandard tim e, W e d n e sd a y , A p ril 22, 1981, at the Securities D epartm en t o f its H ead O ffic e and at its B u ffa lo B ran ch . A ll competitive tenders, w hether transm itted b y m ail o r b y oth er m eans, m ust reach this B ank o r its B ran ch b y that tim e. H o w e v e r, fo r investors w h o wish to subm it n o n co m p e titiv e tenders and w h o fin d it m o re con v en ien t to m ail their tenders than to present them in p erson , the o ffic ia l o ffe r in g circu la r p rovid es that noncompetitive tenders will be co n sid ered tim ely received i f they are m ailed to this Bank o r its B ranch un der a postm ark no later than A pril 21. B idders subm itting n o n co m p e titiv e tenders sh ou ld realize that it is p ossible that the average price m ay b e a b o v e par, in w h ich case they w o u ld have to p ay m ore than the fa ce value fo r the securities. P a ym en t w ith a tender m ay b e in the fo r m o f a p erson al ch e ck , w h ich need n ot be certified , an o ffic ia l b a n k ch e ck , o r a Federal fun ds ch eck (a ch eck draw n b y a d e p o s ito ry institution o n its Federal Reserve a c c o u n t). A ll ch eck s m ust be draw n p aya b le to the Federal R eserve B ank o f N ew Y o r k ; checks endorsed to this Bank will not be accepted. P a ym en t m ay also be m ade in cash o r in Treasu ry securities m aturing o n or b e fo r e the issue date o f the securities b ein g pu rch ased . R e c o r d e d m essages p ro v id e in fo rm a tio n a b o u t Treasu ry o ffe r in g s and a b o u t a u ctio n results: at the H e a d O f fic e — T el. N o . 212-791-7773 (o ffe rin g s ) and T el. N o . 212-791-5823 (results); at the B u ffa lo B ran ch — T el. N o . 7 16-849-5046. A d d itio n a l inquiries regarding this o ffe r in g m ay be m ade b y calling, at the H ead O ffic e , T el. N o . 2 12-791-6619, o r, at the B u ffa lo B ran ch , T el. N o . 716-849-5016. ANTHONY M . SOLOMON, President. (Over) HIGHLIGHTS OF TREASURY OFFERING TO THE PUBLIC OF 2-YEAR NOTES TO BE ISSUED APRIL 30, 1981 (Delivery date f o r coupon securities is M ay 15, 1981) Amount Offered: T o the public $4,250 million Description of Security: Term and type o f security............. 2-year notes Series and CUSIP designation .'.. Series Q-1983 (CUSIP N o. 912827 LU4) Maturity d a te ................................... April 30, 1983 Call d a te ........................................... N o provision Interest cou p on r a t e ...................... T o be determined, based on the average o f accepted bids Investment yield.............................. T o be determined at auction Premium or discount...................... T o be determined after auction Interest payment d a t e s ................. O ctober 31 and April 30 Minimum denomination available $5,000 Terms of Sale: Method o f s a le ......................................................................................................... Yield auction Accrued interest payable by investor................................................................... None Preferred allotm ent................................................................................................. Noncompetitive bid for $1,000,000 or less Payment by non-institutional in v e s to rs ............................................................ Full payment to be submitted with tender Deposit guarantee by designated institutions.................................................... Acceptable Key Dates: Deadline for receipt o f tenders............................................................................. Settlement date (final payment due from institutions) a) cash or Federal funds b) readily collectible ch eck ......... Delivery date for coupon securities Wednesday, April 22, 1981, by 1:30 p.m ., EST Thursday, April 30, 1981 Tuesday, April 28, 1981 Friday, May 15, 1981 Form 2N-n IMPORTANT—This is a standard form. Its terms are subject to change at any time by the Treasury. This tender will be construed as a bid to purchase the 2-year notes for which the Treasury has outstanding an invitation for tenders. Dated a t................................................................ T o F e d e r a l R e s e r v e B a n k o f N ew Y o r k Fiscal Agent o f the United States New York, N .Y . 10045 ..............................................................’ 19.......... Pursuant to the provisions o f the public notice issued by the Treasury Department inviting tenders for the current offering o f 2-year Treasury notes, the undersigned hereby offers to purchase such currently offered Treasury notes in the amount indicated below, and agrees to make payment therefor at your Bank in accordance with the provisions o f the official offering circular. D o n o t f i l l in b o t h C o m p e t i t iv e a n d COMPETITIVE TENDER N o n c o m p e t i ti v e ten d ers o n o n e f o r m used in inscribing the securities and establishing and servicing the ownership and interest records. The transaction will not be completed unless all required data is furnished. The individually identifiable information required on this form is necessary to permit the subscription to be processed and the securities to be issued. If registered securities PRIV AC Y AC T ST A T E M E N T are requested, the regulations governing United States securities (Department Circular No. 300) and the offering circular require submission of social security numbers; the numbers and other information are TE N D E R FOR 2-Y E A R T R E A S U R Y NOTES $ ................. ............................................ (maturity value) or any lesser amount that may be awarded. NONCOMPETITIVE TENDER $ ..............................................................(maturity value) ( N o t to e x c e e d $ 1 ,0 0 0 ,0 0 0 f o r o n e b id d er th rou g h all so u r c e s ) at the average price o f accepted competitive bids. Y ie ld :................... ( Y i e l d m u s t b e e x p r e s s e d w ith n o t m o r e than tw o d ec im a l p la c es, f o r e x a m p le, 1 1 .0 6 ) Subject to allotment, please issue, deliver, and accept payment for the securities as indicated below and on the reverse side ( if registered securities are desired, please also com plete schedule on reverse side): Pieces Denomination XXX xxxxxx □ Deliver over the counter to the □ undersigned (1) Ship to the undersigned (2) □ Hold in safekeeping (for member Maturity value XXX XXX XX X Payment will be made as follows: By charge to our reserve account (D) Q 0 bank only) in — $ 5,000 $ 10,000 $ 100,000 □ □ Investment Account (4) □ General Account (5) □ Trust Account (6) By cash or check in im m e d ia tely availa ble f u n d s (F) 0 By surrender of maturing securities (E) By charge to my correspondent bank........................................................(D) (Name of bank) Hold as collateral for Treasury Tax and □ Special instructions (3) Loan Account* (7) $ 1,000,000 □ Wire to ..................................................................................................................(8) (Exact Receiving Bank Wire Address/Account) Totals *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 HEREBY C E RTIFY that we have not made and will not make any agreements for the sale or purchase o f any securities o f this issue prior to the closing time for receipt o f this tender. W E FU RTH ER CERTIFY that we have received tenders from customers in the amounts set forth opposite their names on the list which is made a part o f this tender and that we have received and are holding for the Treasury, or that we guarantee payment to the Treasury o f , the payments required by the official offering circular. W E FURTHER CERTIFY that tenders received by us, if any, from other commercial banks or primary dealers for their own account, and for the account o f their customers, have been entered with us under the same conditions, agreements, and certifications set forth in this form . NAME OF SUBSCRIBER (PLEASE PRINT OR TYPE) Insert this tender in special envelope marked “ Tender fo r Treasury Notes or Bonds ” CITY PHONE (INCLUDE AREA CODE) SIGNATURE OF SUBSCRIBER OR AUTHORIZED SIGNATURE TITLE OF AUTHORIZED SIGNER (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 th e s a m e y i e l d and may consolidate noncompetitive tenders, provided a list is attached showing the name of each bidder and the amount bid for his or her account. Others will not be permitted to submit tenders except for their own account. 3. 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 full payment of the face amount o f the securities applied for. 4. Payment with a tender may be in the form o f a personal check, which need not be check (a check drawn by a commercial bank on its Federal Reserve account). All checks of New York; c h e c k s e n d o r s e d to this B a n k will n o t b e a cc ep ted . Payment may also be before the issue date of the securities being purchased. certified, an official bank must be drawn payable to made in cash or Treasury check, or aFederal funds the FederalReserve Bank securities maturing on or 5. For information on currently available Treasury o ffe r in g s , call our 24-hour recorded message at (212) 791-7773 at the Head Office or (716) 849-5046 at the Buffalo Branch. For resu lts of recent Treasury auctions, call (212) 791-5823 at the Head Office or (716) 849-5046 at the Buffalo Branch. For other information about Treasury securities, call (212) 791-6619 at the Head Office or (716) 849-5016 at the Buffalo Branch during normal business hours. 6. If the language o f this tender is changed in any respect that, in the opinion of the Secretary of the Treasury, is material, the tender may be disregarded. (OVER) SUBSCRIPTION NO SCHEDULE FOR ISSUE OF REGISTERED TREASURY SECURITIES DELIVERY INSTRUCTIONS PAYMENT INSTRUCTIONS S U B S C R I B E R ’S N A M E . n DELIVER OVER THE COUNTER □ ADDRESS □ SHIP TO SUBSCRIBER n □ OTHER INSTRUCTIONS: □ _______________ FO R F R B USE O N L Y BY CHARGE TO OUR RESERVE ACCOUNT BY CASH OR CHECK IN TRANS. A CCOUNT I NG DATE IM M ED IA TELY A V A IL A B L E FU N D S CITY _____________________ .STA TE . ZIP SIG N ATURE. R E G ISTR A TIO N NO. OF PI ECES INSTRUCTIONS NA ME( S) I D O R S. S. NO . DENOM. 32 5,00 0 34 10,000 38 100,000 42 1,000,000 99 TOTAL AMOUNT SERI AL NOS. (LEAVE BLANK) BY SURRENDER QF MATURING SECURITIES [~1 BY CHARGE TO MY CORRESPONDENT BANK FOR FR B I S S U E A G E N T 12 110-01 USE O N LY - ADDRESS CITY „ STATE ZIP NAME(S) TR. CASE NO. 32 5,000 34 10,000 38 100,000 42 1,000,000 99 TOTAL I D O R S. S. N O . ADDRESS CITY STATE ZIP N AME(S) TR. CASE NO. 32 5,000 34 10,000 38 100,000 42 1,000,000 99 TOTAL I D O R S. S. N O . ADDRESS CITY STATE ZIP LOAN CODE T R . CASE NO. U N I T E D S T A T E S OF A M E R I C A T R E A S U R Y N O T E S OF A P R I L 30, 1983 SERIES Q-1983 CIRCULAR P u b l i c D e b t S e r i e s - No. DEPARTMENT OF THE TREASURY, O F F I C E OF THE S E C R E T A R Y , W a s h i n g t o n , A p r i l 16, 1981. DEPARTMENT 1. 1. of the 1. 11-81 INVITATION FOR TENDERS The S e c r e t a r y of the T r e a s u r y , S e c o n d L i b e r t y B o n d Ac t , as am e n d e d , under the a u t h o r i t y invites te n d e r s a p p r o x i m a t e l y $4,2 50 ,0 00 ,0 00 of United States securities, n a t e d T r e a s u r y N o t e s of A p r i l 912827 on LU 4). 30, 1983, Series Q-1983 desig (C USIP No. Th e s e c u r i t i e s w i l l be sold at a u c t i o n , the b a s i s of y i e l d . for with bidding P a y m e n t w i l l be r e q u i r e d at the p r i c e e q u i v a l e n t of the bid y i e l d of e a c h a c c e p t e d te nd er . The interest r a t e on the s e c u r i t i e s and b i d w i l l be d e t e r m i n e d in the m a n n e r d e s c r i b e d b e lo w. A d d i t i o n a l a m o u n t s of th es e the p r i c e e q u i v a l e n t of ea ch a c c e p t e d s e c u r i t i e s m a y be is sued and- F e d e r a l R e s e r v e B a n k s for t h e i r o w n a c c o u n t maturing Treasury securities. s e c u r i t i e s m a y a l s o be Reserve B a nk s, such accounts as a g e n t s held by exceeds 2. on for A d d i t i o n a l a m o u n t s of the new for f o r e i g n and to F e d e r a l international monetary t h a t the a g g r e g a t e a m o u n t of the a g g r e g a t e a m o u n t of m a t u r i n g t e nd er s for securities t hem. 2. will in e x c h a n g e i s s u e d at the a v e r a g e p r i c e to the e x t e n t authorities, to G o v e r n m e n t a c c o u n t s 1. bear The s e c u r i t i e s w i l l be d a t e d A p r i l interest 31, October O c t o b e r 31, D E S C R I P T I O N OF S E C U R I T I E S 1981, un ti l April 30, 1983, prior to m a t u r i t y . m a tu ri ty date fr om th at date, [Ref. Cir. No. 9056] 1981, the p r i n c i p a l and p a y a b l e on a s e m i a n n u a l ba si s and e a c h s u b s e q u e n t 6 m o n t h s on A p r i l becomes payable. and w i l l n o t be s u b j e c t to c a ll 30 and T h e y w i ll m a t u r e for r e d e m p t i o n In the e v e n t an i n t e r e s t p a y m e n t d a t e or the is a S a t u r d a y , i n t e r e s t or p r i n c i p a l day. 30, Su nd ay , or o t h e r n o n b u s i n e s s day, the is p a y a b l e o n the n e x t - s u c c e e d i n g b u s i n e s s 2 . ail 2. • *- The income derived f r o m the s e c u r i t i e s is s u b j e c t to zby.es i m p o s e d u n d e r the I n t e r n a l R e v e n u e Code of 1954 . The securities excise are taxes, subject whether to e s t a t e , F e d e r a l o r St at e, t a x a t i o n n o w or h e r e a f t e r t h e r e o f by an y St at e, local inheritance, gift, or o t h e r but are e x e m p t fr o m all i m p o s e d on the p r i n c i p a l or i n t e r e s t an y p o s s e s s i o n of the U n i t e d S t a t e s , or any taxing authority. 2. 3. T h e s e c u r i t i e s w i l l be a c c e p t a b l e of pu bl ic mo ni es . T h e y w i l l n o t be a c c e p t a b l e to s e c u r e d e p o s i t s in p a y m e n t of taxes . 2. 4. securities Bearer securities with registered as to p r i n c i p a l in d e n o m i n a t i o n s of $ 5 , 0 0 0 , Book-entry multiples the $10,000, of those amounts. i n t e re st , $100,000, 5. and of c o u p o n , States registered, s e c u r i t i e s wi ll be p e r m i t t e d . securities in e f f e c t , as t h o s e and 1. Tenders will Branches D. C. 20226, April 22, in c l u d e thos e c u r r e n t l y t h a t m a y be is su ed at a l a t e r date. SALE PROCEDURES be r e c e i v e d at F e d e r a l R e s e r v e 3a nk s and at the B u r e a u of the P u b l i c Debt, W a s h i n g t o n , up to 1: 30 p . m ., E a s t e r n S t a n d a r d 1981 . considered regulations a p p l y to the s e c u r i t i e s o f f e r e d These general regulations 3. in and b o o k - e n t r y s e c u r i t i e s , in t h i s c i r c u l a r . as w e l l issued and $ 1 , 0 0 0 , 0 0 0 . The D e p a r t m e n t of the T r e a s u r y ’s g e n e r a l governing United 3. w i l l be and I n t e r c h a n g e s of s e c u r i t i e s of d i f f e r e n t t r a n s f e r of r e g i s t e r e d 2. and s e c u r i t i e s w i l l be a v a i l a b l e to e l i g i b l e b i d d e r s denominations and interest coupons attached, Noncompetitive timely if p o s t m a r k e d time, Wednesday, t e n d e r s as d e f i n e d b e l o w w i l l be no la te r than T u e s d a y , April 21, 1981 . 3. 2. securities m u s t be be with used. tive" bid for. state the face a m o u n t of The m i n i m u m bid the y i e l d d e s i r e d , two d e c i m a l s , Noncompetitive on the is $ 5 , 0 0 0 . and Competitive expressed e . g ., 7 . 1 1 % . l a r g e r bi ds tenders must in terms of an a n n u a l Common f r a c t i o n s m a y not t e n d e r s m u s t s h o w the te rm " n o n c o m p e t i t e n d e r f o r m in l i e u of a s p e c i f i e d y i e l d . may submit more not exceed tender must in m u l t i p l e s of t h a t a m o u n t . also show yield Each than one n o nc om pe ti ti ve $1,000,000. t e n d e r and No b i d d e r the a m o u n t may «<>-: -cA * 3. 3. will 3. Al l b i d d e r s m u s t c e r t i f y that t h ey ha ve no t m a d e and not make securities of S e c t i o n 3.1. tenders issue p r i o r to the d e a d l i n e e s t a b l i s h e d for r e c e i p t of t e n d e r s . 3. defined in to s u b m i t to c e r t i f y agree as t e n d e r s s u b m i t t e d d i r e c t l y by for t h e i r own a c c o u n t . 4. C o m m e r c i a l b a n k s , w h i c h for this p u r p o s e are as b a n k s accepting demand deposits, for th is p u r p o s e are d e f i n e d markets Those authorized t e n d e r s are s u b m i t t e d u n d e r the same c o n d i t i o n s , and c e r t i f i c a t i o n s bidders which this for the sale or p u r c h a s e of any for the a c c o u n t of c u s t o m e r s w i l l be r e q u i r e d that such ments, any a g r e e m e n t s and p r i m a r y d e a l e r s , as d e a l e r s w h o m a k e p r i m a r y in G o v e r n m e n t s e c u r i t i e s and r e p o r t d a i l y to the F e d e r a l R e s e r v e B a n k of N e w Y o r k t h e i r p o s i t i o n s such securities, may submit tenders in and b o r r o w i n g s on for a c c o u n t of c u s t o m e r s the n a m e s of the c u s t o m e r s and the a m o u n t furnished. O t h e r s are o n l y p e r m i t t e d if for e a c h c u s t o m e r are to s u b m i t t e n d e r s for their own account. 3. 5. own account T e n d e r s w i l l be r e c e i v e d w i t h o u t d e p o s i t for t h e i r from commercial primary dealers, as d e f i n e d b a n k s and o t h e r b a n k i n g above; institutions; Federally-insured and loan associations; St at es , instrumentalities; p u b l i c p e n s i o n and r e t i r e m e n t and o t h e r p u b l i c fu n d s ; and t h e i r p o l i t i c a l savings international organizations membership; and G o v e r n m e n t a c c o u n t s . panied by full p a y m e n t the in w h i c h the U n i t e d S t a t e s ho ld s f o r e i g n c e n t r a l b a n k s and B a nk s; s u b d i v i s i o n s or f o r e i g n states; Tenders Federal Reserve fr om o t h e r s m u s t be a c c o m for the a m o u n t of s e c u r i t i e s a p p l i e d f o r m of cash, m a t u r i n g T r e a s u r y s e c u r i t i e s , 3. opened, applied 6. for, f r om a c o m m e r c i a l Immediately after S e c t i o n 4, noncompetitive then c o mp et it iv e b a n k or a p r i m a r y d e a l e r . the c l o s i n g hour, t e n d e r s w i l l be required S u b j e c t to the r e s e r v a t i o n s e x p r e s s e d t e n d e r s w i l l be a c c e p t e d t e n d e r s w i l l be a c c e p t e d , the l o w e s t y i e l d s , highest the face f o l l o w e d by a p u b l i c a n n o u n c e m e n t of the a m o u n t and y i e l d r a n g e of a c c e p t e d bi ds . extent (in or r e a d i l y c o l l e c t ible ch ec ks ) , or by a p a y m e n t g u a r a n t e e of 5 p e r c e n t of amount for starting with through successively higher yields to a t t a i n the a m o u n t o f f e r e d . a c c e p t e d y i e l d w i l l be p r o r a t e d in full, Tenders if n e c e s s a r y . in and those at to the at the After the 4 is m a d e as to w h i c h determination rate will which increment, close established, be to 1 0 0 . 0 0 0 issue di sc o u n t paid results and in an e q u i v a l e n t a v e r a g e a c c e p t e d pr ic e a lowest accepted price above l i m i t of 9 9 . 5 0 0 . price on each c o mp et it iv e successful ti ve B a s e d on such to the y i e l d bid. be c a r r i e d per hundred, S e c r e t a r y of competitive sufficient received 99.923, received would to p r o v i d e tenders will at the p r i c e e q u i v a l e n t of accepted competitive tenders. will their only or w h e n full, tenders. be n o t i f i e d the p r i c e the 1. right in p a r t , specified siders t h is The in S e c t i o n 1, and Section 1. Federal in an a m o u n t Tenders to the w e i g h t e d Those a v e r a g e yi el d the a c c e p t a n c e submitting noncompetitive if the t e n d e r is not a c c e p t e d in RESERVATIONS to a l l o t m o r e or le ss than in w h o l e or the a m o u n t of s e c u r i t i e s to m a k e d i f f e r e n t p e r c e n t a g e a l l o t c l a s s e s of a p p l i c a n t s w h e n the S e c r e t a r y c o n interest. The S e c r e t a r y ' s a c t i o n u n d e r is f i n a l . 5. the be a c c e p t e d the S e c r e t a r y of the T r e a s u r y e x p r e s s l y r e s e r v e s it in the p u b l i c 5. a b s o r b all or m o s t of to a c c e p t or r e j e c t any or all t e n d e r s to v a r i o u s ments If the a m o u n t of n o n is o v e r par. 4. 4. final. C o m p e t i t i v e b i d d e r s w i l l be a d v i s e d of o r r e j e c t i o n of tenders Price ca lc ul a a c c o u n t s and F e d e r a l R e s e r v e B a n k s w i ll be a c c e p t e d 7. tenders. a f a i r d e t e r m i n a t i o n of the y i e l d . from Government 3. to the w e i g h t e d and the d e t e r m i n a t i o n s of the the T r e a s u r y s h a l l be competitive offering, to p a y the to t h r e e d e c i m a l p l a c e s on the b a s i s of e.g., tenders the Those submitting noncompeti a v e r a g e y i e l d of a c c e p t e d c o m p e t i t i v e price i n t e r e s t rate, t e n d e r a l l o t t e d w i l l be d e t e r m i n e d and t e n d e r s w i l l p a y the p r i c e e q u i v a l e n t tions will the o r i g i n a l T h a t ra te of i n t e r e s t w i ll be c o m p e t i t i v e b i d d e r w i l l be r e q u i r e d price equivalent a c o up on on the b a s i s of a 1/8 of one p e r c e n t on all of the s e c u r i t i e s . each t e n d e r s are a c c e p t e d , PAYMENT AND DELIVERY S e t t l e m e n t for a l l o t t e d s e c u r i t i e s m u s t be m a d e at R e s e r v e B a n k or B r a n c h or at the B u r e a u of the P u b l i c Debt, w h e r e v e r the tender was submitted. Settlement on s e c urities allotted to institutional investors and to others whose tenders are accompanied by a payment guarantee as provided in Section 3.5., m u s t be made or completed on or before Thursday, April 30, 1981. Payment in full m ust accompany tenders submitted by all other investors. Payment m ust be in cash; i m m e d i a t e l y available to the Treasury; or bonds in other funds in Treasury bills, notes, (with all coupons detached) maturing on or before the s e t t l e m e n t date but which are not overdue as defined in the g e n e r a l regulations governing United States securities; or by check drawn to the order of the institution to which the tender was submitted, which m ust be received from institutional investors no later than Tuesday, April 28, 1981. When payment has been submitted w i t h the tender and the purchase price of allotted securities is over par, settlement for the premium must be c o mpleted timely, as specified in the preceding sentence. When p a y m e n t has been submitted with the tender and the purchase price is under par, the disco u n t will be remitted to the bidder. Payment will not be considered complete where registered securities are requested if the a p p r opriate identifying number as required on tax retu r n s and other documents submitted to the Internal Revenue Service (an individual's social security number or an employer i d e n t i f i c a t io n number) securities, is not furnished. When payment is made a cash adjustment will be made to or required of the b i d d e r for any difference between the face amount of securities prese n t e d and the amount payable on the securities allotted. 5. 2. In every case where full payment has not been completed on time, an amount of up to 5 percent of the face amount of securities allotted, shall, at the discretion of the Secre t a r y of the Treasury, be forfeited to the.United States. 5. 3. Registered securities tendered in payment for a l l o t t e d securities are not required to be assigned if the new secur i t i e s are to be registered in the same names and forms as a p pear in the registrations or assignments of the securities s u r r e ndered. When the new securities are to be registered names and forms d i fferent from those in the inscriptions or in in 6 a s s i g n m e n t s of the securities presented, the assignment should be tc "The S e c r e t a r y of the T r e a s u r y for (securities offered by this circular) n umber)." in the name of (name and taxpayer identifying If new securities in coupon form are desired, the a s s i g n m e n t should be to "The Secretary of the Treasury for c o upon (securities offered by this circular) (name and address)." to be delivered to Specific instructions for the issuance and d e l i v e r y of the new securities, signed by the owner or a u t h o r i z e d r epresentative, must accompany the securities presented. S e c urities tendered in payment should be surrendered to the Federal Reserve Bank or Branch or to the Bureau of the Public Debt, W a s h ington, D. C. 20226. The securities must be d e l i v e r e d at the expense and risk of the holder. 5. 4. If bearer securities are not ready for delivery on the settl e m e n t date, purc h a s e r s may elect to receive interim c e r t i f i c a t e s. These c ertificates shall be issued in bearer form and shall be e x c h a n g e a b l e for defi n i t i v e securities of this issue, w h e n such securities are available, at any Federal Reserve Bank or Branch or at the Bureau of the Public Debt, Washington, 20226. D. C. The interim c e r t i ficates must be returned at the risk and e x p ense of the holder. 5. 5. D elivery of securities in registered form will be made after the requested form of registration has been validated, the registered interest account has been established, and the s ecu r i t i e s have been inscribed. 6. 6. 1. G E N E R A L PROVISIONS As fiscal agents of the United States, R e s erve Banks are authorized and requested Federal to receive tenders, to make allo t m e n t s as directed by the Secretary of the Treasury, to issue such notices as may be necessary, to receive payment for and make d e l i v e r y of securities on full-paid allotments, and to issue interim certi f i c a t e s pending delivery of the definitive securities . 7. 2 . The Secretary of the Treasury may at any time issue s u p p l e m e n t a l or amen d a t o r y rules and regulations governing the offering* Public announcement of such changes will be promptly provided . Paul H. Taylor, Fiscal Assistant Secretary.