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F E D E R A L R E S E R V E BA N K O F N E W Y O R K Fiscal Agent of the United States for the Tennessee Valley Authority r TVA Offering No. 16 1 U September 19, 1966 J Invitation for Bids on $50,000,000 of 119-Day TENNESSEE VALLEY AUTHORITY POWER NOTES Due January 26, 1967 Dated September 29, 1966 To Certain Commercial Banks, Trust Companies, and Dealers in Investment Securities: Following is the text of an invitation authorized by the Tennessee Valley Authority to be issued today to certain commercial banks, trust companies, and dealers in investment securities: T ennessee V a lley A u th ority ( “ T V A ” ) hereby invites bids announcem ent will be made by T V A of the am ount and price for the purchase to the aggregate am ount of $50,000,000 of its range of accepted bids. P ow er N o tes ( “ N o te s ” ) dated Septem ber 29, 1966, due Janu be informed by the Federal Reserve B ank of N e w Y o r k o f the T h o se subm itting successful bids will ary 26, 1967. T h e N o tes will be issued on a discount basis and acceptance thereof. T V A expressly reserves the right to accept at maturity their face am ount will be payable w ithout interest or reject any or all bids, in w hole or in part, and the action at the H ead Office of the Federal R eserve B ank o f N e w Y o rk . of T V A in any such respect shall be final. T h e y will be issued in bearer form in denominations of $5,000, $10,000, $100,000, and $1,000,000 (m aturity valu e). tional exchanges m ay be effected at the H ead D en om in a Office of the Settlem ent for accepted bids m ust be made at the Federal R eserve Bank of N e w Y o r k on Septem ber 29, 1966, in cash or other im m ediately available funds. Federal R eserve Bank of N e w Y ork . T h e N o tes w ill be issued to assist in providing capital for Bids will be received at the Securities D epartm ent of the H ead Office of the Federal R eserve Bank of N e w Y o r k up to the closing hour, 1 :30 p.m ., T uesday, Septem ber 27, 1966. Eastern D a yligh t Savin g time, N o bids will be accepted for a face am ount of N o te s less than $1,000,000. Bids m ust be for an even multiple of $5,000 and the price offered m ust be expressed on the basis of 100, with not m ore than three decimals, e.g., 99.925. Fractions m ay not be used. It is urged that bids be made on the printed form s and forw arded in the special enve the power p rogram of T V A . T h e y will be negotiable. They will be payable solely from T V A ’ s N e t P ow er Proceeds (but m ay, at the option of T V A , be paid from the proceeds of refunding obligations or other funds legally available for such p aym en t). N et P ow er P roceeds are defined in, and required to be applied according to, the Basic Tennessee V a lley A u th ority P ow er B ond R esolution ( “ Basic R esolution” ). T h e N o te s will not be obligations of, nor will paym ent thereof be guaranteed by, the U nited States of A m erica. lopes which will be supplied by the Federal Reserve Bank of N e w Y o r k upon application therefor. Incom e derived from the N o te s will be subject to Federal income taxation ; but in the opinion o f the General Counsel for Invitations for bids are being issued to certain com m ercial banks, trust com panies, and dealers in investm ent securities. TVA, under present law s and decisions, the N o tes will be exem pt from personal property taxes and the incom e therefrom Other com m ercial banks, trust com panies, or recognized dealers will be exem pt from incom e taxes, now or hereafter im posed, in investm ent securities desiring to bid m ay do so on bid form s by any State or local taxing authority. obtained from the Federal Reserve Bank of N e w Y o rk . Bids submitted hereunder m ust be for the principal account of the bidder and not for the account o f others. Circulars describing Tennessee V a lle y A uthority and P ow er N o te s issued by it, as well as copies of the B asic R esolution and periodic financial reports, m ay be obtained upon request Im m ediately after the closing hour, bids will be opened at the Federal Reserve Bank of N e w Y o r k , follow ing which public directed to T V A ’s D irector of Inform ation, K n ox ville, T e n nessee, or to the Federal R eserve Bank of N e w Y o rk . This Bank will receive bids in accordance with the foregoing invitation up to 1 :30 p.m., Eastern Daylight Saving time, Tuesday, September 27, 1966 at the Securities Department of its Head Office. Please use the form on the reverse side of this notice to submit bids and return them sealed in the enclosed envelope marked “ Bid for T V A Power N otes.'’ Bids may be submitted by telegraph, subject to written confirmation; they may not be submitted by telephone. Settle ment must be made in immediately available funds at this Bank on Thursday, September 29, 1966. A lfr ed H ayes, President. ( over) Bid for 119-Day Tennessee Valley Authority Power Notes Dated September 29, 1966 No.......... Due January 26, 1967 Dated a t .................................. 1966 To F e d e r a l R e serv e B a n k o f N e w Y o r k , Fiscal Agent of the United States for the Tennessee Valley Authority: Pursuant to the provisions of the Invitation for Bids issued by Tennessee Valley Authority inviting bids for the above-described Power Notes and printed on the reverse side hereof, the undersigned hereby offers to purchase such Power Notes in the amount indicated below, and agrees to make payment therefor at your Bank on or before the issue date at the price indicated below : $ (maturity value) or any lesser amount that may be awarded. P r ic e per 100 (Price must be expressed with not more than three decimal places, for example, 99.925) Subject to allotment, please issue, deliver, and accept payment for the Notes as indicated below: Pieces M aturity V alue D enom inations $ □ 1. D eliver over the counter to the undersigned □ 2. Ship to the undersigned 3. H o ld in safekeeping (for account o f m em ber bank o n ly )* 4. Special instructions: u 5,000 10,000 □ 100,000 1,000,000 T otal * If this item is checked, the undersigned hereby certifies that the N otes to be held in safekeeping w ill be owned solely by the undersigned. P aym ent will be made as follow s: □ B y check in im m ediately available funds □ B y charge to our reserve account □ B y wire transfer from another Federal Reserve Bank or Branch N am e of subscriber (Please print) By .................................... (Authorized corporation officer or partner) T itle ............................... A dd ress ........................ IN S T R U C T IO N S : 1. Subm it all bids in a sealed envelope marked “ Bid for T V A Pow er N o tes.” 2. N o bid for less than $1,000,000 will be considered maturity value. and each bid must be for an even multiple of $5,000 3. If the language o f a bid is changed from the foregoing in any respect, which, in the opinion of the Pow er Financing Officer of Tennessee V a lley Authority, is material, the bid m ay be disregarded.
@FedFRASER