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FEDERAL RESERVE BANK OF N EW YORK Fiscal Agent of the United States for the Tennessee Valley Authority r T V A Offering No. 4:2,1 L November 18, 1968 j Invitation for Bids on $85,000,000 of 118-Day TENNESSEE VALLEY AUTHORITY POWER NOTES Dated November 29, 1968 Due March 27, 1969 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: an n ou n cem en t w ill be m ade b y T V A o f the a m ou n t and price T en n essee V a lle y A u th o rity ( “ T V A ” ) h ereby invites bids for the purchase to the a ggreg a te am ou nt o f $85,000,000 o f its P o w e r N otes ( “ N o te s ” ) dated N o v e m b e r 29, 1968, due M arch 27, ran ge o f a ccep ted bids. T h o s e su b m ittin g su ccessfu l bids w ill be in form ed b y the F ederal R eserve B ank o f N e w Y o r k o f the 1969. T h e N o te s w ill be issued on a discou n t basis and at m aturity their face am ou nt w ill be payable w ith ou t interest at the H e a d O ffice o f the F ed eral R eserve B ank o f N ew Y o rk . a ccep ta n ce th ereof. T V A exp ressly reserves the righ t to a cce p t or reject any or all bids, in w h ole or in part, and the a ction o f T V A in any such resp ect shall be final. T h e y w ill be issued in bearer fo rm in den om in a tion s o f $5,000, $10,000, $100,000, and $1,000,000 (m atu rity v a lu e ). D e n o m in a tional e xch a n ges m a y be effected at the H ead O ffice o f the F ederal R e se rve B ank o f N ew Y o rk . B ids w ill be receiv ed at the Securities D ep a rtm en t o f the H ead O ffice o f the F ed era l R eserve B ank o f N ew Y o r k up to the clo sin g hour, 1:30 p.m ., E astern Standard time, T u esda y, N o v e m b e r 26, 1968. N o bids w ill be a ccep ted fo r a face am ou nt o f N otes less than $1,000,000. B ids m ust be for an even m ultiple o f $5,000 and the price o ffe red m ust be exp ressed on the basis o f 100, w ith n ot m ore than three decim als, e.g., 99.925. F r a c tions m ay n ot be used. It is u rged that bids be m ade on the printed fo rm s and fo rw a rd e d in the special en velop es w hich w ill be supplied b y the F ederal R eserve Bank o f N ew Y o r k upon a pplication therefor. In vitation s for bids are b ein g issued to certain com m ercia l banks, trust com panies, and dealers in in vestm ent securities. O th er co m m e rcia l banks, trust com panies, or re cog n ized dealers in in vestm ent securities desiring to bid m ay d o so on bid form s obtain ed fro m the F ederal R eserve B ank o f N e w Y o rk . Bids subm itted hereunder m ust be for the principal a ccou n t o f the bidder and n ot fo r the a ccou n t o f others. Im m ed ia tely after the clo s in g hour, bids w ill be op en ed at the Federal R eserve B ank o f N ew Y o rk , fo llo w in g w hich pu blic Settlem en t for a ccep ted bids m ust be m ade at the F ederal R eserve Bank o f N ew Y o r k on N ov em b er 29, 1968 in cash or oth er im m ediately available funds. T h e N otes w ill be issued to assist in p ro v id in g capital fo r the p o w e r p rog ra m o f T V A . T h e y w ill be n egotiable. T h e y w ill be payable s olely from T V A ’ s N et P o w e r P ro ce e d s (b u t m ay, at the op tion o f T V A , be paid fro m the p roceed s o f refu n din g o b lig a tion s or other funds lega lly available fo r such p a y m en t). N et P o w e r P ro ce e d s are defined in, and requ ired to be a pplied a c c o r d in g to, the B asic T en n essee V a lle y A u th o rity P o w e r B on d R esolu tion ( “ B asic R e s o lu tio n ” ) . T h e N otes w ill n ot be o b lig a tion s o f, n or w ill paym ent th ereof be gu aranteed by, the U n ited States o f A m erica . In co m e derived fro m the N otes w ill be su b ject to F ed era l in com e ta x a tion ; but in the opin ion o f the G eneral C ou n sel fo r T V A , under present law s and decisions, the N otes w ill be ex em p t from person al p rop erty taxes and the in com e th erefrom w ill be ex em p t fro m in com e taxes, n ow or hereafter im posed, b y any State or loca l taxing authority. Circulars describ in g T en n essee V a lley A u th ority and P o w e r N otes issued b y it, as w ell as cop ies o f the B a sic R esolu tio n and p eriod ic financial rep orts, m a y be obtain ed u pon requ est directed to T V A ’ s D ire cto r o f In form a tion , K n o x v ille , T e n nessee, o r to the F ed eral R eserve B ank o f N ew Y o rk . This Bank will receive bids in accordance with the foregoing invitation up to 1 :30 p.m., Eastern Standard time, Tuesday, November 26, 1968, 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 Notes.” 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 Friday, November 29, 1968. A lfred H ayes, President. ( over) Bid for 118-Day Tennessee Valley Authority Power Notes Dated November 29, 1968 No............. Due March 27, 1969 Dated at 1968 To F e d e r a l R e s e r v 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 alu e D en om in ation s $ 5,000 10,000 □ i. □ 2. 3. □ 4. n D eliver ov e r the cou nter to the undersigned Ship to the undersigned H o ld in safek eeping (fo r accou nt o f m em ber bank o n ly )* Special in stru ction s: 100,000 1,000,000 T o ta l * I f this item is ch eck ed, the u ndersig ned h ereby certifies that the N otes to be held in safekeeping w ill be ow n ed so le ly b y the u ndersigned. P a ym en t will be made as fo llo w s : □ B y ch eck in im m ediately available funds □ B y ch arge to our reserve accou nt □ B y w ire transfer fro m another Federal R eserve B ank or B ranch N am e o f subscriber (Please print) By .................................. (Authorized corporation officer or partner) T itle ............................. A d d ress ....................... IN S T R U C T IO N S : 1. S u b m it all bids sealed in an en velop e m arked “ B id for T V A P o w e r N otes ” / a tu rity \ Nv °ailu e ). f ° r leSS than S 1,000’000 w ill be con sid ered and each bid mu fnrr an even m ultiple o f $5,000 (m Dia m u st st be be fo 3. I f the la n gu a ge o f a bid is ch a n ged from the foretroine- in anv ♦ . . . F in a n cin g O ffice r o f T en n essee V a lle y A u th ority , is m aterial, t L b?d m a y be disregarded . “ ^ ° pinion o f the P o w e r
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