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FEDERAL RESERVE BANK OF NEW YORK
Fiscal Agent of the United States
Circular No. 9326
July 21, 1982

OFFERING OF TWO SERIES OF TREASURY BILLS
$5,500,000,000 of 91-Day Bills, To Be Issued July 29, 1982, Due October 28, 1982
$5,500,000,000 of 182-Day Bills, To Be Issued July 29, 1982, Due January 27, 1983
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 tenders
for two series of Treasury bills totaling approximately $11,000 million, to
be issued July 29, 1982. This offering will provide $ 1,225 million of new
cash for the Treasury, as the maturing bills are outstanding in the amount
of $9,785 million, including $1,331 million currently held by Federal
Reserve Banks as agents for foreign and international monetary
authorities and $1,639 million currently held by Federal Reserve Banks
for their own account. The two series offered are as follows:
91-day bills (to maturity date) for approximately $5,500 million,
representing an additional amount of bills dated April 29,
1982, and to mature October 28, 1982 (CUSIP No. 912794
BR4), currently outstanding in the amount of $4,744 million,
the additional and original bills to be freely interchangeable.
182-day bills (to maturity date) for approximately $5,500 million,
representing an additional amount of bills dated January 28,
1982, and to mature January 27, 1983 (CUSIP No. 912794
BY9), currently outstanding in the amount of $5,294 million,
the additional and original bills to be freely interchangeable.
Both series of bills will be issued for cash and in exchange for Treasury
bills maturing July 29, 1982. Tenders from Federal Reserve Banks for
themselves and as agents for foreign and international monetary
authorities will be accepted at the weighted average prices of accepted
competitive tenders. Additional amounts of the bills may be issued to
Federal Reserve Banks, as agents for foreign and international monetary
authorities, to the extent that the aggregate amount of tenders for such
accounts exceeds the aggregate amount of maturing bills held by them.
The bills will be issued on a discount basis under competitive and non­
competitive bidding, and at maturity their par amount will be payable
without interest. Both series of bills will be issued entirely in book-entry
form in a minimum amount of $10,000 and in any higher $5,000 multiple,
on the records either of the Federal Reserve Banks and Branches, or of
the Department of the Treasury.
Tenders will be received at Federal Reserve Banks and Branches and at
the Bureau of the Public Debt, Washington, D.C. 20226, up to 1:30 p.m.,
Eastern Daylight Saving time, Monday, July 26, 1982. 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 maintained on the book-entry records of
the Department of the Treasury.
Each tender must be for a minimum of $10,000. Tenders over $10,000
must be in multiples of $5,000. In the case of competitive tenders, the
price offered must be expressed on the basis of 100, with three decimals,
e.g., 97.920. Fractions may not be used.
Banking institutions and dealers who make primary markets in
Government securities and report daily to the Federal Reserve Bank of
New York their positions in and borrowings on such securities may sub­
mit tenders for account of customers, if the names of the customers and
the amount for each customer are furnished. Others are only permitted to
submit tenders for their own account. Each tender must state the amount
of any net long position in the bills being offered if such position is in
excess of $200 million. This information should reflect positions held as
of 12:30 p.m., Eastern time, on the day of the auction. Such positions
would include bills acquired through “ when issued” trading, and futures
and forward transactions as well as holdings of outstanding bills with the
same maturity date as the new offering, e.g., bills with three months to

maturity previously offered as six-month bills. Dealers who make primary
markets in Government securities and report daily to the Federal Reserve
Bank of New York their positions in and borrowings on such securities,
when submitting tenders for customers, must submit a separate tender for
each customer whose net long position in the bills being offered exceeds
$200 million.
Payment for the full par amount of the bills applied for must accom­
pany all tenders submitted for bills to be maintained on the book-entry
records of the Department of the Treasury. A cash adjustment will be
made on all accepted tenders for the difference between the par payment
submitted and the actual issue price as determined in the auction.
No deposit need accompany tenders from incorporated banks and
trust companies and from responsible and recognized dealers in invest­
ment securities for bills to be maintained on the book-entry records of
Federal Reserve Banks and Branches. A deposit of 2 percent of the par
amount of the bills applied for must accompany tenders for such bills
from others, unless an express guaranty of payment by an incorporated
bank or trust company accompanies the tenders.
Public announcement will be made by the Department of the Treasury
of the amount and price range of accepted oids. Competitive bidders will
be advised of the acceptance or rejection of their tenders. The Secretary
of the Treasury expressly reserves the right to accept or reject any or all
tenders, in whole or in part, and the Secretary’s action shall be final. Sub­
ject 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 weighted average price (in three decimals) of accepted com­
petitive bids for the respective issues.
Settlement for accepted tenders for bills to be maintained on the bookentry records of Federal Reserve Banks and Branches must be made or
completed at the Federal Reserve Bank or Branch on July 29, 1982, in
cash or other immediately available funds or in Treasury bills maturing
July 29, 1982. Cash adjustments will be made for differences between the
par value of the maturing bills accepted in exchange and the issue price of
the new bills.
Under Section 454(b) of the Internal Revenue Code, the amount of
discount at which these bills are sold is considered to accrue when the bills
are sold, redeemed, or otherwise disposed of. Section 1232(a)(4) provides
that any gain on the sale or redemption of these bills that does not exceed
the ratable share of the acquisition discount must be included in the
Federal income tax return of the owner as ordinary income. The
acquisition discount is the excess of the stated redemption price over the
taxpayer’s basis (cost) for the bill. The ratable share of this discount is
determined by multiplying such discount by a fraction, the numerator of
which is the number of days the taxpayer held the bill and the
denominator of which is the number of days from the day following the
taxpayer’s date of purchase to the maturity of the bill. If the gain on the
sale of a bill exceeds the taxpayer’s ratable portion of the acquisition
discount, the excess gain is treated as short-term capital gain.
Department of the Treasury Circulars, Public Debt Series—Nos.
26-76 and 27-76, and this notice, prescribe the terms of these Treasury
bills and govern the conditions of their issue. Copies of the circulars and
tender forms may be obtained from any Federal Reserve 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, July 26, 1982, 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 “ Tender 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 written confirmation; no tenders may
be submitted by telephone. P a y m e n t f o r T reasury bills ca n n o t b e m a d e b y c red it through the Treasury Tax a n d Loan
A c c o u n t. S ettle m e n t m u st b e m a d e in cash o r o th er im m ed ia tely ava ila b le fu n d s o r in Treasury secu rities m atu rin g on or
b e fo re th e issue date.

Results of the last weekly offering of Treasury bills are shown on the reverse side of this circular.



ANTHONY

M.

SO LO M O N,

President
(OVER)

RESULTS OF LAST WEEKLY OFFERING OF TREASURY BILLS
(TWO SERIES TO BE ISSUED JULY 22, 1982)

Range of Accepted Competitive Bids
9 1 -D a y Treasury B ills
M a tu rin g O c to b e r 21, 1982

H ig h .............................. .................
Low .............................. .................
A v era g e....................... .................

182-D ay T reasury B ills
M a tu rin g J an u ary 20, 1983

P rice

D iscoun t
R a te

In vestm en t
R ate'

Price

97.214
97.169
97.184

11.022%
11.200%
11.140%

11.49%
11.69%
11.62%

94.258
94.171
94.216

D iscou n t
R ate

In vestm en t
Rate'

11.358%
11.530%
11.441 %2

12.22%
12.41%
12.31%

'Equivalent coupon-issue yield.
2The four-week average for calculating the maximum interest rate payable on money market certificates is 12.450%.

(8 percent o f the amount of 91-day bills
bid for at the low price was accepted.)

(11 percent of the amount of 182-day bills
bid for at the low price was accepted.)

Total Tenders Received and Accepted
91-D a y T reasury B ills
M a tu rin g O c to b e r 21, 1982
By F.R. District (and U.S. Treasury)

Boston...............
New York.............
Philadelphia...........
Cleveland.............
Richmond.............
Atlanta ...............
Chicago...............
St. Louis..............
Minneapolis...........
Kansas City............
Dallas ...............
San Francisco..........

Received

182-D ay T reasury Bills
M a tu rin g Jan u ary 20, 1983
Received

Accepted

$

Accepted

100,375,000
9,903,480,000
22,695,000
48,205,000
45,535,000
46,090,000
626,810,000
58,485,000
25,105,000
55,090,000
24,305,000
1,089,795,000

$ 70,375,000
3,553,480,000
22,695,000
48,205,000
45,535,000
46,090,000
241,810,000
37,485,000
25,105,000
55,090,000
24,305,000
989,795,000

57,505,000
9,756,730,000
46,250,000
84,270,000
50,210,000
62,345,000
835,560,000
48,045,000
9,960,000
53,905,000
32,090,000
812,780,000

$ 57,505,000
3,984,830,000
46,250,000
79,270,000
50,210,000
62,345,000
367,160,000
36,045,000
9,960,000
53,905,000
32,090,000
433,580,000

U.S. Treasury..........

287,480,000

287,480,000

342,580,000

342,580,000

T o t a l s ..........

$12,137,130,000

$5,500,630,000

$12,388,550,000

$5,502,550,000

$10,032,590,000
1,127,510,000

$3,496,090,000
1,127,510,000

$ 9,955,995,000
1,022,355,000

$3,169,995,000
1,022,355,000

$11,160,100,000
822,730,000
154,300,000

$4,623,600,000
722,730,000
154,300,000

$10,978,350,000
800,000,000
610,200,000

$4,192,350,000
700,000,000
610,200,000

$12,137,130,000

$5,500,630,000

$12,388,550,000

$5,502,550,000

$

By class o f bidder

Public
Competitive........
Noncompetitive......
S u b t o t a l s .....................

Federal Reserve.........
Foreign Official Institutions ..
T o t a l s ............................