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fh*b &/«••«*

LIBRARY
ROOM 5030
JUN 141972
TREASURY DEPARTMENT

c
(
DEPARTMENT
TREASUR
WASHINGTON, D.C.
ELEASE A. M. NEWSPAPERS,
jiesday, July 1, 1958,

A-269

The Treasury Department announced last evening that the tenders for $1,700,000,000,

r thereabouts, of 91-day Treasury bills to be dated July 3 and to mature October 2, 1958
filch were offered on June 26, were opened at the Federal Reserve Banks on June 30.
The details of this issue are as follows:
./>

Total applied for - $2,329,811,000
Total accepted
- 1,700,356,000

(includes $220,963,000 entered on a
noncompetitive basis and accepted in
full at the average price shown below)

Range of accepted competitive bids;
High - 99.815 Equivalent rate of discount approx. 0.732$ per annum
low
- 99.800
«
«
n
n
w
0.791$
Average - 99.806

n n » « 0.768$ » *

(82 percent of the amount bid for at the low price was accepted)
Federal Reserve
District

Total
Applied for

Total
Accepted

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

$
32,638,000
1,697,826,000
32,899,000
1*6,1*73,000
lh,lliO,000
21,897,000
250,1*79,000
28,35U,000
11,890,000
1*6,317,000
33,693,000
113,205,000

$
22,566,000
1,11*1,2*26,000
25,899,000
1*5,173,000
H*,l2*0,000
21,753,000
208,759,000
$8,213,000
11,890,000
1*5,1*77,000
32,233,000
102,827,000

$2,329,811,000

$1,700,356,000

TOTAL

- 3-

mm 2
or by any local taxing authority. For purposes of taxation the amount of discount
at which Treasury bills are originally sold by the United States is considered to
be interest. Under Sections \\$\\ (b) and 1221 ($) of the Internal Revenue Code of
195U the amount of discount at which bills issued hereunder are sold is not
considered to accrue until such bills are sold, redeemed or otherwise disposed of,
and such bills are excluded from consideration as capital assets. Accordingly,
the owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
for such bills, whether on original issue or on subsequent purchase, and the
amount actually received either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. lilft, Revised, and this notice, prescribe
the terms of the Treasury bills and govern the conditions of their issue. Copies
of the circular may be obtained from any Federal Reserve Bank or Branch.

-2 -

o
KJ

mm*

2 percent of the face amount of Treasury bills applied for, unless the tenders ar
accompanied by an express guaranty of payment by an incorporated bank or trust
company.
Immediately after the closing hour, tenders will be opened at the Federal Re-

serve Banks and Branches, following which public announcement will be made by the
Treasury Department of the amount and price range of accepted bids. Those submitting tenders will be advised of the acceptance or rejection thereof. The

Secretary of the Treasury expressly reserves the right to accept or reject any or
all tenders, in whole or in part, and his action in any such respect shall be

final. Subject to these reservations, noncompetitive tenders for $200,000 or less
without stated price from any one bidder will be accepted in full at the average
price (in three decimals) of accepted competitive bids. Settlement for accepted
tenders in accordance with the bids must be made or completed at the Federal Reserve Bank on July 10, 1958 , in cash or other immediately available funds
or in a like face amount of Treasury bills maturing July 10, 1958 . Cash
and exchange tenders will receive equal treatment. Cash adjustments will be made

for differences between the par value of maturing bills accepted in exchange and
the issue price of the new bills.
The income derived from Treasury bills, whether interest or gain from the

sale or other disposition of the bills, does not have any exemption, as such, an
loss from the sale or other disposition of Treasury bills does not have any
special treatment, as such, under the Internal Revenue Code of 1951*. The bills
are subject to estate, inheritance, gift or other excise taxes, whether Federal

or State, but are exempt from all taxation now or hereafter imposed on the princ

or interest thereof by any State, or any of the possessions of the United States

TREASURY DEPARTMENT
Washington

-^^--s^***-****^^

A. M.
K3K RELEASE/ HBHHIHS NEWSPAPERS,
Wednesday. July 2. 1958
•

m
The Treasury Department, by this public notice, invites tenders for
$1,700,OOPt000 , or thereabouts, of 91 -day Treasury bills, for cash and
in exchange for Treasury bills maturing .Tniy in IQFSA , i11 the amount of
$1.700.140,000 , to be issued on a discount basis under competitive and noncompetitive bidding as hereinafter provided. The bills of this series will be
dated July 10 1958 , and will mature October 9, 1958 , when the face

amount will be payable without interest. They will be issued in bearer form only

and in denominations of $1,000, $5,000, $10,000, $100,000, $500,000 and $1,000,0
(maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
one-thirty
Daylight Saving
closing hour,/ts«f o'clock p.m., Eastern/SJonofeOBl time, Monday, July 7, 1958

Tenders will not be received at the Treasury Department, Washington. Each tender
must be for an even multiple of $1,000, and in the case of competitive tenders
the price offered must be expressed on the basis of 100, with not more than thre
decimals, e. g., 99.92$. Fractions may not be used. It is urged that tenders

be made on the printed forms and forwarded in the special envelopes which will b
supplied by Federal Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit tenders
except for their own account. Tenders will be received without deposit from

incorporated banks and trust companies and from responsible and recognized deal
in investment securities. Tenders from others must be accompanied by payment of

TREASURY DEPARTMENT
^.-..t^^,ssKss.isessjLiJt.aai

*JBSxsataanzuKn..iaK'?cws«KW;KrKZ3Rrs!aiSB*s.7.'.<asc?~;.'

WASHINGTON, D.C

RELEASE A.M. NEWSPAPERS,
Wednesday, July 2. 1958

A-2?0

p^ <feT^^e^S^.Pepartment* by thls P^lic notice, Invites tenders
for $ 1,J00,000,000 or thereabouts, of 91-day Treasury bills, for
cash and in exchange for Treasury bills maturing July 10, 1958,
in the amount of $1,700,140,000, to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of this series will be dated July 10, 1958,
and will mature October 9, 1958,
when the face amount will be
payable without interest. They will be issued In bearer form only,
and in denomination of $1,000, .$5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, one-thirty o'clock p.m., Eastern Daylight
Saving time, Monday, July 7, 1958.
Tenders will not be
received at the Treasury Department, Washington. Each tender must
be for an even multiple of $1,000, and in the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e. g., 99.925. Fractions may not
be used. It is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit
tenders except for their own account. Tenders will be received
without deposit from incorporated banks and trust companies and from
responsible and recognized dealers In investment securities. Tenders
from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank
or trust company.
Immediately after the closing hour, tenders will be opened at the
Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
range of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereof. The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
in whole or in part, and his action in any such respect shall be
final. Subject to these reservations, non-competitive tenders for
$200,000 or less without stated price from any one bidder will be
accepted in full at the average price (in three decimals) of accepted

- 2 competitive bids. Settlement for accepted tenders in accordance
with the bids must be made or completed at the Federal Reserve Bank
on July 10, 1958,,
in cash or other immediately available funds
or in a like face amount of Treasury bills maturing July 10, 1958.
Cash and exchange tenders will receive equal treatment* Cash
adjustments will be made for differences between the par value of
maturing bills accepted in exchange and the issue price of the new
bills.
The income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, does not have
any exemption, as such, and loss from the sale or other disposition
of Treasury bills does not have any special treatment, as such,
under the Internal Revenue Code of 1954, The bills are subject
to estate, inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the
possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury
bills are originally sold by the United States is considered to
be Interest. Under Sections 454 (b) and 1221 (5) of the Internal
Revenue Code of 1954 the amount of discount at which bills issued
hereunder are sold is not considered to accrue until such bills
are sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets. Accordingly, the
owner of Treasury bills (other than life insurance companies)
issued hereunder need include in his income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount actuallyreceived either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or
loss.
Treasury Department Circular No. 4l8, Revised, and this
notice, prescribe the terms of the Treasury bills and govern the
conditions of their Issue. Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.

oOo

(In thousands of dollars)

.
i
Mar.
4,
,
Dec. 31,
:
;
1958 t 1957

i
: iter. 14,
1 1957

: Increase or decrease * Increase or decrease
;since Dee. 31. 1957 » »ince Mar. l4, 1957
i Amount
1 Percent * Amount
t Percent

LIABILITIES
• sposlts of individual e, partnerships, and corporations:
Demand
55.043,742 58,715.522 56,7^7.930 -3.671.7SO
-6.25 -1,704,188
Time
29.882,23^ 29.138,727 27,164,833
7^3.507
2.55
2,717,^1
sposlts of U, S. Government
2,163,907
2,412,867
1,443,786
-248,960 -10.32
720,121
istal savings deposit*
10,786
11,270
11,771
- W
-**.29
-985
eposits of States and political
subdivisions
8,018,to5
7.876.315
7,202,638
1*10,090
1.78
815,767
Deposits of banks
8,688,328
9.^3.%6
8,091,767
-795.108
-8.38
596,561
Other deposits (certified and
cashiers' checks, etc.)
1,418,851
1,796,174
1.541,358
-377.323 -21.01
-122,507
Total deposits
105,226,253 109.436,311 102,204,083 -4,210,058
^85
3.022,170
Bills payable, rediscounts, and
other liabilities for borrowed
money
610,019
3*3.324
9^3.278
571.695 X.kQX.Ik
-333.259
Other liabilities
2,163,042
1.95*1.788
1.809,907
208,25*1
IO.65
353.135
Total liabilities, excluding
•apital accounts
107.999.3l1* 111,429,423 104,957.268 -3,430,109
-3.08
3.0^2,046
CAPITAL ACCOUNTS
Capital stocks
Preferred
2,7^3
3.760
3.791
-1.017 -27.05
-X.0»K
Common
2,#IO,l60
2,802,1*53
2,686,674
37.707
1.35
153.^6
Total
,
2,842,903
2,806,213
2,690,465
36,690
1.31
152,438
Surplus
4,44g,129
4,416,426
4,178,293
31.703
7l2
269,836
Undivided profits
1.694,533
1.618,857
1,458,631
75.676
4.67
235.902
Reserves
257.257
251.721
g33.986
5.536
2.20
23,271
Total surplus, profits and
reserves
6,399.919
6,287,004
5.870,910
112,915
1*80
529,009
Total capital accounts
9.242,822
9.093.217
8,561.375
1^,605
1.65
681,447
Total liabilities and
capital accounts
117.242,136 120.522.6fr) 113,518.643 -3,280.504
-2.72 3.723.493
j^j0g.
percent
Percent
Percent
U. S.Oov11 securities to total assets 27.12
26.00
27.*I0
Capital
Loans & accounts
discountsto
tototal
totaldeposits
assets
42.38
8*78
4l.90
8.31
42.28
8.38
HOTB, Minus sign denotes decrease.

-3.00
10.00
1*9*88
-8.37
11.33
7.37
-7.95
2.96

-35.33
19.51
2.90

-27.64
5.71
5.6T"
575ST
16.17
9.95
9.01
7*5G~
3.28
~~

Statement showing comparison of principal Items of assets and liabilities of active national banks

as of Mar. 4, 1958, Dec. 31, 1957 and Mar. 14, X957
**" (In thousands of dollars)
!

v.* k

r.mm vt,

«« ik J Increase or decrease s Increase or decrease
1
1958 !
1957 *
1957 ;«**<>« P " . 31. 1957
t since Mar. l4, X957
s
:
;
*
*
Amount
t Percent Amount
; Percent
imber of banks 4,622 4,627 M57 -5 -35
ASSETS
•mmercial and industrial loans.... 21,074,075
22,208,647 20,880,138 -1.X34.572
-5.11
X93.937
.93
>ans on real estate
12,517.201
12,480,542 12,039.813
36,659
.29
477,388
3.97
LI other loans, including overdraf 8
*
•
•
17,076.092
16.777,509 15.957.353
298.583
1.78 1,118.739
7.01
Total gross loans
50,667,3®!
51.466,698 48,877.3*
-799.330
3755
1.790,064
37oT~
Less valuation reserves
97g,5U
964,421
876,184
14,090
1.46
102,327
11.68
Hat loans
99,688,857
50,502,277 48,001,120
-813,120
=Ol
1,687,737
3.52
V. S. Government securities:
Direct obligations
3L795.87**
3L335.767 31.098,160
460,107
1.47
697,714
2.24
Obligations fully guaranteed
2,393
2,309
4,354
84
3.64
-1,961
-45.04
Total U. s. securities
31.798,267
31.338,076 31.102,51**
460,191
1.47
695,753
2.24
Obligations of States and politi—
—
_
,
cal subdivisions
7,626,441
7,495.878
7.124,288
130,563
X.74
502,153
7.05
Other bonds, notes and debentures.. X,927,8XS
X,880,706
X,6l3,360
47,112
2.51
314,458
19.119
Corporate stocks, including stocks
of Federal Reserve banks
271,708
267,0^9
239.585
*».659
1*7**
32,123
13.4l
Total securities
il,bWtffl:
30,981,709 30,079,7^7
642.525
1.57 X,$&Ml
3.85
Total loans and securities.... 9L313.091
91.483,986 88,080,867
-170,895
-.19 3,2g2,224
3.67
Currency and coin
1.377.387
1.73^.533
1.505.390
«*357.1%
-20.59
-128,003
-g.50
Reserve with federal Reserve banks. 11,336.198
11,479,820 11,249,926
-143,622
-1.25
86,272
.77
Balances with other banks
10.919.891
13,650,781 10,710,688 -2,730,890
-20.01
209,203
1.95
Total cash, balances with
—
_
.
---—--—-_—__
—-^
other banks, including reserve
balances and cash items in
process of collection
23,633,4g6
26,865,134 23.^66,004 -3,231,658
-12.03
167,472
.71
Other Total
assetsassets
•....
2,295.569 120,522,6^0
2,173,520" 113,518,643
1,971,772 -3,280,504
122,QTJ$H
5*62
323,797
XoM
....117,242,136
-2.72
3.723,^93
3.28 '

8
purchasing or carrying stocks, bonds, and other securities increased $4,420,000
to $1,805,000,000. Other loans, including loans to farmers, loans to banks,
and other loans to individuals (repair and modernization and installment cash
loans, and single-payment loans) of over $10,000,000,000 increased about 5 percent
in the two months period. The percentage of net loans and discounts to total
assets on March 4, 1958 was 42,38 in comparison with 41.90 in December and
42.28 in March 195?.
Investments of the banks in United States Government obligations on
March 4 aggregated $31,800,000,000 (including $2,393,000 guaranteed obligations),
an increase of $460,000,000 in the period. These investments were 27.12 percent
of total assets. Other bonds, stocks and securities of $9,800,000,000, which
included obligations of States and political subdivisions of $7,600,000,000.
were $180,000,000 more than in December. Total securities held amounting to
$41,600,000,000 increased $640,000,000.
Cash of $1,377,000,000, reserve with Federal Reserve banks of $11,336,000,000
and balances with other banks (including cash items in process of collection) of
$10,920,000,000, a total of $23,633,000,000, showed a decrease of $3,200,000,000.
Borrowed money of $610,000,000 was up $570,000,000 since December.
The capital stock of the banks on March 4 was $2,843,000,000, including
$2,743,000 of preferred stock. Surplus was $4,W,000,000, undivided profits
$1,695,000,000 and capital reserves $257,000,000, or a total of $6,400,000,000.
Total capital accounts of $9,243,000,000, which were 8.78 percent of total
deposits, were $150,000,000 more than in December when they were 8.31 percent
of total deposits.

TREASURY DEPARTMENT
Comptroller of the Currency
Washington

RELEASE A. M. NEWSPAPERS,

Monday, July 7, 1958.

A-271

The total assets of national banks on March 4, 1958 amounted to

$117,200,000,000, it was announced today by Comptroller of the Currency Ray M.
Gidney. The returns covered the 4,622 active national banks in the United
States and possessions. The assets were $3,300,000,000 below the amount
reported by the 4,627 active banks on December 31, 1957, the date of the
previous call.
The deposits of the banks on March 4 were $105,200,000,000, a decrease
of $4,200,000,000 since December. Included in the recent deposit figures were

demand deposits of individuals, partnerships, and corporations of $55,000,000,

which decreased $3,700,000,000, and time deposits of individuals, partnerships
and corporations of $29,900,000,000, up $750,000,000. Deposits of the United

States Government of $2,200,000,000 decreased $250,000,000 in the period; dep

of States and political subdivisions of $8,000,000,000 increased $140,000,000,
and deposits of banks amounting to $8,700,000,000 showed a decrease of
$800,000,000. Postal savings were nearly $10,800,000 and certified and
cashiers1 checks, etc., were $1,400,000,000.
Net loans and discounts on March 4, 1958 were $49,700,000,000, which was
a decrease of $800,000,000 since December. Commercial and industrial loans of
$21,100,000,000 were down $1,135,000,000, while loans on real estate of
$12,517,000,000 were up $36,659,000. Retail automobile installment loans
decreased $57,000,000 and amounted to nearly $3,850,000,000. Other types of
retail installment loans of $1,400,000,000 showed a decrease of $122,869,000.

Loans to brokers and dealers in securities, and other loans for the purpose of

TREASURY DEPARTMENT
Controller of the Currency
Washington

RELEASE A. M. NEWSPAPERS,

Monday, July 7, 1958.

A-a7i

The total assets of national banks on March 4, 1958 amounted to
$117,200,000,000, it was announced today by Comptroller of the Currency Ray M.
Gidney. The returns covered the 4,622 active national banks in the United
States and possessions. The assets were $3,300,000,000 below the amount
reported by the 4,62? active banks on December 31, 1957, the date of the
previous call.
The deposits of the banks on March 4 were $105,200,000,000, a decrease
of $4,200,000,000 since December. Included in the recent deposit figures were

demand deposits of individuals, partnerships, and corporations of $55,000,000,00
which decreased $3,700,000,000, and time deposits of individuals, partnerships,
and corporations of $29,900,000,000, up $750,000,000. Deposits of the United

States Government of $2,200,000,000 decreased $250,000,000 in the period; deposi
of States and political subdivisions of $8,000,000,000 increased $140,000,000,
and deposits of banks amounting to $8,700,000,000 showed a decrease of
$800,000,000. Postal savings were nearly $10,800,000 and certified and
cashiers8 checks, etc., were $1,400,000,000.
Net loans and discounts on March 4, 1958 were $49,700,000,000, which was
a decrease of $800,000,000 since December. Commercial and industrial loans of
$21,100,000,000 were down $1,135,000,000, while loans on real estate of
$12,517,000,000 were up $36,659,000. Retail automobile installment loans
decreased $57,000,000 and amounted to nearly $3,850,000,000. Other types of
retail installment loans of $1,400,000,000 showed a decrease of $122,869,000.
loans to brokers and dealers in securities, and other loans for the purpose of

purchasing or carrying stocks, bonds, and other securities increased $4,420,000
to $1,805,000,000. Other loans, including loans to farmers, loans to banks,
and other loans to individuals (repair and modernization and installment cash

loans, and single-payment loans) of over $10,000,000,000 increased about 5 percen
in the two months period. The percentage of net loans and discounts to total
assets on March 4, 1958 was 42.38 in comparison with 41.90 in December and
42.28 in March 195?.
Investments of the banks in United States Government obligations on

March 4 aggregated $31,800,000,000 (including $2,393,000 guaranteed obligations),
an increase of $460,000,000 in the period. These investments were 27.12 percent
of total assets. Other bonds, stocks and securities of $9,800,000,000, which
included obligations of States and political subdivisions of $7,600,000,000,
were $180,000,000 more than in December. Total securities held amounting to
$41,600,000,000 increased $640,000,000.
Cash of $1,377,000,000, reserve with Federal Reserve banks of $11,336,000,000,
and balances with other banks (including cash items in process of collection) of

$10,920,000,000, a total of $23,633,000,000, showed a decrease of $3,200,000,000.
Borrowed money of $610,000,000 was up $570,000,000 since December.
The capital stock of the banks on March 4 was $2,843,000,000, including
$2^743,000 of preferred stock. Surplus was $4,448,000,000, undivided profits
$1,695,000,000 and capital reserves $257,000,000, or a total of $6,400,000,000.
Total capital accounts of $9,243,000,000, which were 8.78 percent of total
deposits, were $150,000,000 more than in December when they were 8.31 percent
of total deposits.

Statement showing comparison of principal items of assets and liabilities of active national banks
as of Mar. 4, 1958, Dec. 31, 1957 and Mar. l4, 1957

(in thousands of dollars)
Mar. 4,
1958
Number of banks.

4,622

ASSETS
Commercial and industrial loans.... 21,074,075
Loans on real estate
••
12,517*201
All other loans, including overdrafts
17,076,092
Total gross loans...»
50,667,36s
Less valuation reserves......
973,511
Net loans
49,688,857
U. S. Government securities:
Direct obligations..
31,795,874
Obligations fully guaranteed
2,393
Total U. S. securities.
31,798,267
Obligations of States and politi7,626,441
cal subdivisions....•••••••,•••••
1,927,818
Other bonds, notes and debentures.•
Corporate stocks, including stocks
of Federal Reserve banks......... 271,70S !
Total securities.............. 4i,62g7§3 T
Total loans and securities.... 91.313.091
Currency and coin....
1,377,337
Reserve with Federal Reserve banks. 11,336,198
Balances with other banks.
«• 10,919.891
Total cash, balances with
other banks, including reserve
balances and cash items in
process of collection
^,633,476
Other assets...
2,295,569"
Total assets
117,242,136

Dec. 31,
X957

M27

X4,
1957
^.657

:Increase or decrease
J Increase or decrease
l since Dec. 31, 1957
t since Mar. 14, 1957
5
Amount
2 Percent
Amount
Percent

-5

-35

22,208,647
12,1*60,542

20,880,138
12,039.813

.1,134,572
36,659

—5.11
.29

193,937
477.388

.93
3.97

16,777,509
"5i7t66,1p"
964,4gl
50,502,277

15.957,353 298,583
-799,330
48,877355"
14,090
sjs.isk
-813,420""
48,001,120

1.78
-1.55
1.46
-1.0X

1,118,739
1,790,064
102,327
1.037.73T

7.01

31.335,767
2,309
31,338,076

31,098,160
4,354
31,102,514

*460,107
84
460,191

1.47
3.64
1.47

697,714
-1,961
695,753

2.24
-45.04
2.24

7.^5.878
1,880,706

7.124,288
1.613.360

130,563
47,112

1.74
2.51

502,153
314,U58

7.05
19.^

1.74
32,123
1.57
1,544,467
-.19'3,232,224
-128,003
-20.59
86,272
-1.25
209,203
-20.OX

13.41
3.85

267,0*49
"40,981,7QF
9X?i83.9sSr
1,734,533
11,479,820
13,650,781

239,585

4,659
^07§7W" 642,525"
88,080,867
-170,^95
-357.146
1.505.390
-143,622
11,249,926
10,710,688 -2,730,890

AM65.134
23,466,004 -3,231,658
2,173,520
1,971,772
122, (
120,522,6^10 113,513,643 -3,2S'0,504

-12.0
-2.72

167,472
323,797
3,723,493

11.6s
3.52

-8.50
.77 ro
1.95

.71
16^2
3.2S

Comparison of principal items of assets and
(in thousands
*
. *
8
* "•fjJ}* : ^IQKT 1 * : ^
:
X95« t 1957 :

liabilities of active national hanks — Continued
**
of dollars)
. J Increase or decrease t Increase or decrease
m
: since Dec. ,31, 1957 * since Mar. l4, 1957
1957 : Amount
: Percent t Amount
t Percent

LIABILITIES
Deposits of individuals, partnerships, and corporations:
Demand
55,043,742 58,715,522 56,747,930 -3,671.780
-6.25 -1,704,188 -3.00
Time
29,882,234 29,138,727 27,164,833
743,507
2.55 2,7l7,Uoi
10.00
Deposits of U. S. Government
2,163,907
2,412,867
1.1&3.786
-248,960 -10.32
720,121
1*9.88
Postal savings deposits
10,786
11,270
11,771
- ^ 4 -4.29
-985 -8.37
Deposits of States and political
subdivisions
8,013,1*05
7.878,315
7,202,638
1*10,090
1.78
8X5,767
XX.33
Deposits of banks
8,688,328
9.^3.436
8,091,767
-795.108
-8.38
596.561
7.37
Other deposits (certified and
cashiers' checks, etc.)
1,418,851
1,796,174
1,541,353
-377.323 -21.01
-122,507 -7.95
Total deposits
105,226,253 109,436,311 102,204,083 -4,210,058
-3.85 3,022,170
2.96
Bills payable, rediscounts, and
other liabilities for borrowed
money
610,019
38.324
943,278
571.695 l . ^ l . ^
-333,259
-35.33
Other liabilities
2,l63,o42
1,954.788
1,809,907
208,254
IO.65
353,135
19.51
Total liahillties, excluding --------------------------------------------- ----------_---____-----__--_-__^__««_.
capital accounts
107,999,31^ 111,429,423 104,957.268 -3,430,109
-3.O8 3,042,046
2.90
CAPITAL ACCOUNTS
Capital stock:
Preferred.
2,743
3.760
3,791
-1,017 -27.05
-1,048
-27.64
Common.
2,8^0,160
2,802,453
2,686,674
37,707
1.35
153,^6
5.71
Total.
2,842,903
29BOb9d\
2,6S0,4S5
3^TS§0
1.31
152,438
5.^7
Surplus
4,448,129
4,416,426
W.11Z.235
3L703
772
269,836
6.46
Undivided profits
1.694,533
1,613,857
1,453,631
75.676
4.67
235.902
16.17
Reserves
257.257
251.721
233.986
5.536
2.20
23,271
9.95
Total surplus, profits and'
-----------------------_-_-----_-----_--.___
---__»—_-__-»«-_____«««_«».
reserves.. 6,399,919 6,237.004 5,870,910 112,915 1.30 529,009 9.01
Total capital accounts
9.242,822
9.093.217
3,561,375
149,605
1.65
681,447
7.96
Total liahillties and
RATIOS:
U.S.Gov't
Capital
Loanscapital
& accounts
discounts
securities
accounts
totototal
to
total
total
deposits
assets
assets
117.242,136
Percent
27*12
42.33
8*78 120,522,6*10
Percent
4l.90
26.00
8*31 113.518,643
Percent
42.2S
27.40
8.38 -3,280,504
2J0TS: Minus sign
-2.72
denotes
3.723.493
decrease.* 3.23
CO
**

RELEASE A. H. SEWSPAPBSS,
Tu«»d. y . .fair 8. 19S8.

fh® treasury Department announced last evening that the tenders for

U97O090O090mt

or thereabouts, ot'fX^my treasury bills to fee dated July 10 and to mature October 99
X9§B9 which were offered on ^uly 2, were opened at the Federal Xtmmmrr* Wmk® on SuXy 7«
the details of this issue are at followss
Total applied for - fg#320,t65*OQ0
total accepted
- 1,700,060,000 (includes #233,101,0)0 entered on a
noncompetitive basis and accepted in
lull at the average price shown below)
Range of accepted eosjpttitiv* blitet
Hif*
Low

- 99*793 EqniwmXmnt rate of discount mpprmx. 0.9X9% per annus
- 9f*7kB
•
.* •
•
m
0*991% «. B

Average

- HMft

•

0«93fejl '

{§1 percent of the amount hid for at the low prim® was accepted)
Federal leserve
District

total
Applied for

Total
Accepted

Boston
lew York
Philadelphia
Cleveland
Bietatond
Atlanta
Chicago
St. Louis
Minneapolis
Sansas City
Dallas
San Francisco

I 43,884,000

I
43,884,000
1,069,886,000
39,004,000
b6,6?$,000
24,203,000
24,337,000
22i,06f,000
22,350,000
14,705,000
45,882,000
25,020,000
• •• ^^O13 f f Q00
11,700,060,000

X96h99m90m

TOTAL

39,004,000
116,625,000
24,283,000
24,337,000
267,065^000
22,455,000
l4,9<$,000
15*612,000
25,020,000
118,013,000
12,320,^5,000

TREASURY DEPARTMENT
WASHINGTON, D.C.
RELEASE A. M. NEWSPAPERS,
xtesday, July 8, 1958.

\Jv^^/

A-272

The Treasury Department announced last evening that the tenders for $1,700,000,000,

r thereabouts, of 91-day Treasury bills to be dated July 10 and to mature October 9

?58, which were offered on July 2, were opened at the Federal Reserve Banks on July
The details of this issue are as follows:
Total applied for - $2,320,865,000
Total accepted
- 1,700,060,000 (includes $233,108,000 entered on a
noncompetitive basis and accepted in
full at the average price shown below)
Range of accepted competitive bids;
High - 99.793 Equivalent rate of discount approx. 0.8192 per annum
Low
- 99.748
"
«
it
«
it
0.9972
Average - 99.764

M w M M

" 0.9342 " «

(81 percent of the amount bid for at the low price was accepted)
Federal Reserve Total Total
District
— --

Applied for

Accepted

$
43,884,000
1,649,388,000
39,004,000
46,625,000
24,283,000
24,337,000
267,069,000
22,455,000
14,905,000
45,882,000
25,020,000
118,013,000

$
43,884,000
1,069,888,000
39,004,000
46,625,000
24,283,000
24,337,000
226,069,000
22,350,000
14,705,000
45,882,000
25,020,000
118,013,000

—*

Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
TOTAL $2,320,865,000 $1,700,060,000

TREASURY DEPARTMENT
Washington

IMMEDIATE RELEASE,

Wednesday, July 9, 1958.

A-273

The Bureau of Customs announced today that of the absolute
quota of 182,280,000 pounds on Canadian rye which opened on
July 1, 1958, as provided in the President's Proclamation of
June 27, 1957, there have been charged thereto 163,248,604
pounds as of the close of business July 8, 1958.
Thus far no entries have been filed under the absolute
quota of 3,720,000 pounds of rye allocated to "Other Countries".

TREASURY DEPARTMENT
Washington

IMMEDIATE RELEASE,

Wednesday, July 9, 1958.

A-273

The Bureau of Customs announced today that of the absolute
quota of 182,280,000 pounds on Canadian rye which opened on
July 1, 1958, as provided in the President's Proclamation of
June 27, 1957, there have been charged thereto 163,248,604
pounds as of the close of business July 8, 1958Thus far no entries have been filed under the absolute
quota of 3,720,000 pounds of rye allocated to "Other Countries".

- 3 -

or by any local taxing authority. For purposes of taxation the amount of discount
at which Treasury bills are originally sold by the United States is considered to
be interest. Under Sections 454 (b) and 1221 (5) of the Internal Revenue Code of
195U the amount of discount at which bills issued hereunder are sold is not
considered to accrue until such bills are sold, redeemed or otherwise disposed of,
and such bills are excluded from consideration as capital assets. Accordingly,
the owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
for such bills, whether on original issue or on subsequent purchase, and the
amount actually received either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 4l8, Revised, and this notice, prescribe
the terms of the Treasury bills and govern the conditions of their issue. Copies
of the circular may be obtained from any Federal Reserve Bank or Branch.

13
XXXXBL
2 percent of the face amount of Treasury bills applied for, unless the tenders
accompanied by an express guaranty of payment by an incorporated bank or trust
company.
Immediately after the closing hour, tenders will be opened at the Federal Re-

serve Banks and Branches, following which public announcement will be made by t
Treasury Department of the amount and price range of accepted bids. Those submitting tenders will be advised of the acceptance or rejection thereof. The
Secretary of the Treasury expressly reserves the right to accept or reject any
all tenders, in whole or in part, and his action in any such respect shall be

final. Subject to these reservations, noncompetitive tenders for $200,000 or le

without stated price from any one bidder will be accepted in full at the averag

price (in three decimals) of accepted competitive bids. Settlement for accepted

tenders in accordance with the bids must be made or completed at the Federal Re
serve Bank on July 17, 1958 , in cash or other immediately available funds
or in a like face amount of Treasury bills maturing July 17. 1958 • Cash

and exchange tenders will receive equal treatment. Cash adjustments will be mad

for differences between the par value of maturing bills accepted in exchange an
the issue price of the new bills.
The income derived from Treasury bills, whether interest or gain from the

sale or other disposition of the bills, does not have any exemption, as such, a
loss from the sale or other disposition of Treasury bills does not have any
special treatment, as such, under the Internal Revenue Code of 1954. The bills

are subject to estate, inheritance, gift or other excise taxes, whether Federal

or State, but are exempt from all taxation now or hereafter imposed on the prin

or interest thereof by any State, or any of the possessions of the United States

20
anataxin
TREASURY DEPARTMENT
Washington

j
^ ***?• f

n ~ w ri

A. M.
BOB RELEASE / S&SJS& NEWSPAPERS,
Thursday, July 10, 1958

%\m%

The Treasury Department, by this public notice, invites tenders for
$1,700,000,000 , or thereabouts, of

&k—

-day Treasury bills, for cash and

~m~

in exchange for Treasury bills maturing fl*V»y 17. 1958

* I11 the amount of

y5
$1,701,500,000 , to be issued on a discount basis under competitive and noncompetitive bidding as hereinafter provided. The bills of this series will be
dated July 17, 1958
, and will mature
October IS, 1958
, when the face
amount will be payable without interest. They will be issued in bearer form only,
and in denominations of $1,000, $5,000, $10,000, $100,000, $500,000 and $1,000,000
(maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
one-thirty
Daylight Saving
closing hour,/*aoxo'clock p.m., Eastern^&aotiaotictime, Monday, July 14, 1958
Tenders will not be received at the Treasury Department, Washington. Each tender
must be for an even multiple of $1,000, and in the case of competitive tenders
the price offered must be expressed on the basis of 100, with not more than three
decimals, e. g., 99.92$. Fractions may not be used.

It is urged that tenders

be made on the printed forms and forwarded in the special envelopes which will be
supplied by Federal Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit tenders
except for their own account. Tenders will be received without deposit from
incorporated banks and trust companies and from responsible and recognized dealers
in investment securities. Tenders from others must be accompanied by payment of

RELEASE A.M. NEWSPAPERS,
Thursday, July 10, 1958

A-274

The Treasury Department, by this public notice, invites tenders
for $1,700,000,000, or thereabouts, of 91-day Treasury bills, for
cash and in exchange for Treasury bills maturing July 17, 1958,
in the amount of $1,701,300,000, to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of this series will be dated July 17, 1958,
and will mature October 16, 1958,
when the face amount will be
payable without interest. They will be issued in bearer form only,
and in denomination of $1,000, $5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, one-thirtv o*clock p.m., Eastern Daylight
Saving time, Monday, July 14, 1958.
Tenders will not be
received at the Treasury Department, V.'ashington. Each tender must
be for an even multiple of $1,000, and in the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e. g., 99.925. Fractions may not
be used. It is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking institutions will not be pemitted to submit
tenders except for their own account. Tenders will be received
without deposit from incorporated banks and trust companies and from
responsible and recognized dealers in investment securities. Tenders
from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank
or trust company.
Immediately after the closing hour, tenders vill be opened at the
Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
range of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereof. The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
in whole or in part, and his action in any such respect shall be
final. Subject to these reservations, non-competitive tenders for
$200 000 or less without stated price from any one bidder will be
accepted in full at the average price (in tni-ee decimals) of accepted

22
IMMEDIATE RELEASE
Wednesday, July 9, 1958

A-275

During the period from June 19 through July 9, the Treasury
purchased in the market $589.5 million face amount of 2-5/8$
Treasury Bonds maturing February 15, 1965, which was one of the
new issues offered in exchange for the securities which matured on
June 15, 1958. Holders of the maturing issues elected to take
$7,356 million of the 2-5/8$ Treasury Bonds of 1965, an amount in
excess of the anticipated exchanges at the time of the offering.
The weight of an issue of this size, which was primarily adapted
to commercial bank investors, together with large acquisitions of
this issue by temporary holders, exerted a disturbing effect on the
price structure in the market for outstanding public debt issues.
Under these circumstances, and inasmuch as cash balances in
the general fund of the Treasury resulting from the collection of
the June 15 income tax installment aggregated nearly $10 billion,
Secretary Anderson authorized purchases of this issue for retirement
so as to reduce it to an amount which can be more readily absorbed
by the market. Such purchases for retirement under Section 19 of the
Second Liberty Bond Act, as amended, amounted to $456 million.

addition, purchases of $133*5 million of the 2-5/8$ bond of 1965 were
made for account of Treasury investment funds.
During this same period, $4.8 million of the 3-1/4$ Bonds of
1985, issued on June 3, 1958, were also acquired for Treasury
investment accounts. In addition, net purchases of other issues
for Treasury investment accounts amounted to $3.9 million.
-0O0-

23
*--?76

W ^ g d j i y , July 9 t V*}$

Baring tfae peri@4 trm Jwm 19 tta»i#i 2%%Xy % the trmmmry
in the market | 5 # f r / i i U i « fa#« amount ©f 2~5/a$ ffcMmqr Bonds wturiisg

Issues mlmtwLi to %ak» #7,356 ®Uli©n of the %*>%/%% frmmmy

Sand® of 1965,

an amount £a-r 1 B excess @t the anticipated exchanges at the time ©f the
*££®$ing«

Hit n@i#t of 4a issue of this rnim, ^mUmh w

primarily adapted

to eom©ercial bank investors, together with large acquisitions by temporary
holders, exerted a disturbing effect on the pries structure in the market p&
outstanding public debt issues.
under these circujastances, and inasmuch as cash balances in the general
fund of the treasury resulting turn the collection of the June 15 income tax
installment aggregated nearly #10 billion^ Secretary Anderson authorized
tor retirement <^o e£^ -&& A A ' ^ u ^ & ^ ^
purchases of this i^umff^^^ln»«^m^om'--^^^^m^m^B^ liiiu U i m i to an aifcmnt
^ i c h can be more rmMly

absorbed by %bm market.^ Porchnsm for retirement^

under Section 19 of the Second I&berty Bond Act, as asaended, amounted to
$ VSi

aOliSB. In « M l U « i t p m n f t a m of H3S.5 mimm

bend of 1965 were made for moomt

mt tmmmry

of the %-$fm

inwfsts»»«t tmi*.

Shirlug turn mmm p#ri«*d, #4*8 adllita of* ta* 3-1/4$ %®®$* *t 1985,
i«**i*d on $vm 39 1958, «sr« also acquired for fr*a*snry iniresta»nt accounts.
In addition, m l purchases of mm** immmm for frmmmwy investment accounts
araounted to $3.9 million*

- @Q# -

TREASURY DEPARTMENT
WASHINGTON, D.C
IIVIMEDIATE RELEASE
Wednesday, July 9, 1958

A-275

During the period from June 19 through,July 9, the Treasury
purchased in the market $589.5 million face amount of 2-5/8$
Treasury Bonds maturing February 15, 1965, which was one of the
new issues offered in exchange for the securities which matured on
June 15,. 1958. Holders of the maturing issues elected to take
$7,356 million of the 2-5/8$ Treasury Bonds of 1965, an amount in
excess of the anticipated exchanges at the time of the offering.
The weight of an issue of this size, which was primarily adapted
to commercial bank investors, together with large acquisitions of
this Issue by temporary holders, exerted a disturbing effect on the
price structure in the market for outstanding public debt Issues.
Under these circumstances, and inasmuch as cash balances in
the general fund of the Treasury resulting from the collection of
the June 15 income tax Installment aggregated nearly $10 billion,
Secretary Anderson authorized purchases of this issue for retirement
so as to reduce it to an amount which can be more readily absorbed
by the market.

Such purchases for retirement under Section 19 of the

Second Liberty Bond Act, as amended, amounted to $456 million.

addition, purchases of $133»5 million of the 2-5/8$ bond of 1965 were
made for account of Treasury investment funds.
During this same period, $4.8 million of the 3-1/4$ Bonds of
1985, Issued on June 3, 1958, were also acquired for Treasury
investment accounts.

In addition, net purchases of other issues

for Treasury investment accounts amounted to $3.9 million.
-0O0-

STATUTORY DEBT LIMITATION
AS

OF..J}&*.MI.MZ
Washington, ,,,Jw«b*»«""Wd»M»*™<»M»

Section
of that Act.
anteed obliga

gu«f

the
shall be considered as us face amount." T h e Act or February a . i w o . i r i u OJ ?->" , ^ 1 " "r^"6'" ',fn* . „ ._ tmmoottTrilv
period beginning on February 26, 1958 and ending June 30, 1959, the above limitation (8275,000,000,000) shall be temporarily
increased by $5,000,000,000.
.
The following table shows the face amount of obligations outstanding and the face amount which can still be issued under
this limitation:
$280,000,000,000
Total face amount that may be outstanding at any one time
OutstandingObligations issued under Second Liberty Bond Act, as amended
Interest-bearing:

Treasury bills $ 22,406,332,000
Certificates of indebtedness.
Treasury notes
BondsTreasury
Savings (current redemp. value)
Depositary.
Investment series

175,742,582,000

90, 882, $77,45©
51,984,322,059
170,816,500
9*621,493,000 352,659,209,009

Special FundsCertificates of indebtedness
Treasury notes
Treasury bonds
Total interest-bearing
Matured, interest-ceased

32,919,944,000
20,4l6,306,000

23,541,480,000
15,766,989,000
6,937,500,000
-

Bearing no interest:
United States Savings Stamps
Excess profits tax refund bonds ....
Special notes of the United States:
Internat'l Monetary Fund series
Total
Guaranteed obligations (not held by Treasury):
Interest-bearing:
Debentures: F.H.A
Matured, interest-ceased
Grand total outstanding ._

46,245,969,000
27U,647,760,009
594,149,699

51,419,842
889,472
618,000,000

100,565,25©
655,350
.

670*309*314
$1f>99Xi>9h$9Q$2

101,220J600

276,013*439*622
3,986,560,37*

Balance face amount of obligations issuable under above authority
Reconcilement with Statement of the Public Debt
(Daily Statement of the United States Treasury,
OutstandingTotal gross public debt
.,,,„
Guaranteed obligations not owned by the Treasury.
Total gross public debt and guaranteed obligations.

!?9i9?...i??.H...rK.§S.,
(Date)
$1?5^....?:?.'...1?5??.,
<Date)

Deduct - other outstanding public debt obligations not subject to Bebt limitation..

A-276

c>>#

276,343,217,746
101,220,600
276,444,438,32
430,998, _
276,013,439,622

26
STATUTORY DEBT LIMITATION
.« n F June 30, 1958
AS
l
°F
Washington, . J ^ J & J 2 5 &
Section 21 of Second Liberty Bond Act, as amended provides that the face amount= ^ t £ 1 ' ? « ' 1 ' ? " ^ ^ 1 ^ " i ^ W u M of that Act, and the face amount of obligations guaranteed as to principal and interest by the United^S ates < « « P ' ^ J l " " ^
,nteed obligations as may be held by the Secretary of the Treasury), ''shall not exceed in the aggregate »2 7 5,OOO i OWAIOU
(Act of June 26, 1946; U.S.C., title 31, sec. 757b), outstanding at any one time. For purposes of th» » e c " « » » « » £ h o U «
demption value of any obligat on issued on a discount basis which is redeemable prior to maturity at the option of the Uo'det
3
be considered as its i c e amount." T h e Act of February 26, 1958, (P.L. 85 -336 85th^Congress) provides A a t during the
period beginning on February 26, 1958 and ending June 30, 1959, the above limitation (8275,000,000,000) shall be temporarily
increased by $5,000,000,000.
The following table shows the face amount of obligations outstanding and the face amount which can$280,000,000,000
still be issued under
this limitation:
Total face amount that may be outstanding at any one time
OutstandingObligations issued under Second Liberty Bond Act, as amended
Interest-bearing:

Treasury bills
Certificates of indebtedness
Treasury notes
BondsTreasury
Savings (current redemp. value)
Depositary.
Investment series
Special FundsCertificates of indebtedness
Treasury notes
Treasury bonds
Total interest-bearing
Matured, interest-ceased
Bearing no interest:
United States Savings Stamps
Excess profits tax refund bonds .
Special notes of the United States:
Internat'l Monetary Fund series
Total

$ 22,406,332,000
32,919,9tl4,000
20,4l6,306,000 175,742,582,000
90,882,577,450
51,984,322,059
170,816,500
9*621,493,000 352,659,209,009
23,541,480,000
15,766,989,000
6,937*500*000

46,245*969*000
274,647,760,009
594,1U9,699

51,419,842
889,472
618,000,000
670*309*314
.:.:.:.!
275,9i$,£&,re*

Guaranteed obligations (not held by Treasury):
Interest-bearing:
ioo,565,25o
Debentures: F.H.A
655,350
Matured, interest-ceased
Grand total outstanding ._
Balance face amount of obligations issuable under above authority,

101,220,600
276,013*439*622
3,986,560,378

Reconcilement with Statement of the Public Debt

«^?...j2"»...r*f.£5..

(Dailv Statement of the United States Treasury

J™??.-..35*...?S§r..

( Da t e )
1

(Date)

OutstandingTotal gross public debt
Guaranteed obligations not owned by the Treasury.
Total gross public debt and guaranteed obligations.
Deduct - other outstaying public debt obligations not subject to Hebt limitation.

A-276

276,343,217,746
101,220,600
276,444,438,346
430,998,724
275^13,439,622

yzy

HELE&SE k. U. 1 W S F A P M S ,
Tuesday, July 15, 1950,

The treasury Department aaBOuiieed last evening that the tenders for 11,700,000,000,

or thereabouts, of 91-day Treasury bill® to fee dated July 17 and to mature October 16
1958, whieh were offered e» July 10, were opened at the Federal leserve Banks on July
The details of this issue are as follows*
total applied for - #2,653,127,00?
Total accepted
- 1,700,003,000

(iMoXwims 1297,791,000 entered oa a
noncompetitive basis and accepted in
full at the average prise shown below)

Range of accepted competitive bidst (Ixeeptiiig five tenders totaling 13,165,000)
Rl# - 99#724 SgulTaletit rate of discount approx. 1.092$ per annua
Im
- 99.706
*
» •
e
«
i„i63# *
Average - 99.713 *

« * * 1.137$ « •

(22 pereeai of the amust bid for at the low pries was accepted J
Federal fteserve total Total
SI8Met ,
*»*» I 44,033,000 % 43,033,000
* " 2 ? x.4
Philadelphia

Applied for

x Accepted

1,860,585,000
42,526,000

1,060 405 000
24 186,000

VS^**f

74,757,000

67A97 000

K5S2?

^*Pi'°°°

15,731,000

62,915,000
268,761,000
35,822,000
23,989,000

62,681,000
182,981,000
35622,000
23*889^000

fMI 5 ' 0 0 0

51 645 000

^ **
2?****>
" J l 1 ? ^
Kiimeapolis

mSSl

S
^
^
San franelsoo
TOIAL 12,653,127,000 H, 7O0,O03,000

26,661,000
_., 134,702,000

20,661,000
lll.ffsioOO

TREASURY DEPARTMENT
WASHINGTON, D.C
XELEiSS A. h. NEWSPAPERS,
^Tuesday, July 15, 1958.

A-277

The Treasury Department announced last evening that the tenders for $1,700,000,000,
^r thereabouts, of 91-day Treasury bills to be dated July 17 and to mature October

1958, which were offered on July 10, were opened at th® Federal Reserve Banks on Ju
The details of this issue are as followss
Total applied for - $2,653,127,000
Total accepted
- 1,700,003,000

(includes $297,798,000 entered on a
noncompetitive basis and accepted in
full at the average price shown below)

Range of accepted competitive bids? (Excepting five tenders totaling $3,165,000)
High
Low

- 99*724 Equivalent rate of discount approx. X.092% per annum
- 99.706
»
»
»
«
n
1.163# *
*

Average

- 99.713

1.137$ «

(22 percent of the amount bid for at the low price was accepted)
Federal Reserve
District

Total
Applied for

Total
Accepted

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

$
44,033,000
1,860,585,000
42,526,000
74,757,000
16,731,000
62,915,000
268,761,000
35,822,000
23,989,000
61,645,000
26,661,000
134,702,000

$
43,033,000
1,060,405,000
24,186,000
67,197,000
15,731,000
62,681,000
182,981,000
35,622,000
23,889,000
51,645,000
20,661,000
111,972,000

$2,653,127,000

$1,700,003,000

TOTAL

July 3, 1958

23
mommm TO ME. imvm L. tmomt
The following transactions ware awl® in direct and guaranteed securities
Of the Government for Treasury Investments and other account® during the
month of June, 1958*
Fwrohmm $144,601,450.00
•%iygi9opfqg
$ 73,296,450.00

(SgdJ CWi'las £• Breouaa
Chief, Investments Branch
Division of %posits 4 investments

TREASURY DEPARTMENT
WASHINGTON, D.C.

30
IMMEDIATE RELEASE,
MQMQOP, June l6j 195%-

During Mas/ 1953, market transactions
in direct and guaranteed securities of the
government for Treasury investment and other
accounts resulted in net sales by the
Treasury Department of pikfQQWjfy®0.

oOo

TREASURY DEPARTMENT
WASHINGTON, D.C.

CORRECTED COPY
IMMEDIATE RELEASE,
Tuesday, July 15, 1953.

A-278

During June 1958, market transactions in
direct and guaranteed securities of the government
for Treasury investment and other accounts
resulted in net purchases by the Treasury
Department of $73,296,450.

oOo

-3-

or by any local taxing authority. For purposes of taxation the amount of discount
at which Treasury bills are originally sold by the United States is considered to
be interest. Under Sections h$h (b) and 1221 {$) of the Internal Revenue Code of
195U the amount of discount at which bills issued hereunder are sold is not
considered to accrue until such bills are sold, redeemed or otherwise disposed of,
and such bills are excluded from consideration as capital assets. Accordingly,
the owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
for such bills, whether on original issue or on subsequent purchase, and the
amount actually received either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 4l8, Revised, and this notice, prescribe
the terms of the Treasury bills and govern the conditions of their issue. Copies
of the circular may be obtained from any Federal Reserve Bank or Branch.

- 2-

&at

2 percent of the face amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank or trust
company.
Immediately after the closing hour, tenders will be opened at the Federal Reserve Banks and Branches, following which public announcement will be made by the
Treasury Department of the amount and price range of accepted bids.

Those sub-

mitting tenders will be advised of the acceptance or rejection thereof. The
Secretary of the Treasury expressly reserves the right to accept or reject any or
all tenders, in whole or in part, and his action in any such respect shall be
final. Subject to these reservations, noncompetitive tenders for $200,000 or less
without stated price from any one bidder will be accepted in full at the average
price (in three decimals) of accepted competitive bids.

Settlement for accepted

tenders in accordance with the bids must be made or completed at the Federal Reserve Bank on

July 2k, 1958

, in cash or other immediately available funds

or in a like face amount of Treasury bills maturing

July 24, 1958

Cash

and exchange tenders will receive equal treatment. Cash adjustments will be made
for differences between the par value of maturing bills accepted in exchange and
the issue price of the new bills.
The income derived from Treasury bills, whether interest or gain from the
sale or other disposition of the bills, does not have any exemption, as such, and
loss from the sale or other disposition of Treasury bills does not have any
special treatment, as such, under the Internal Revenue Code of 1954. The bills
are subject to estate, inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter imposed on the principal
or interest thereof by any State, or any of the possessions of the United States,

O-

TREASURY DEPARTMENT ' ^~
Washington
A. M.
W&k RELEASE^ WmWem
NEWSPAPERS,
Thursday, July 17, 1958
.
The Treasury Department, by this public notice, invites tenders for
$ 1,700,000,000 , or thereabouts, of

m—

~OT~

-day Treasury bills, for cash and

, „

in exchange for Treasury bills maturing
July 24> 1958
, in the amount of
$ 1,699,865*000 , to be issued on a discount basis under competitive and non-

WL
competitive bidding as hereinafter provided.

The bills of this series will be

dated July 24, 1958 , and will mature October 23, 1958 , when the face

amount will be payable without interest. They will be issued in bearer form only,
and in denominations of $1,000, $5,000, $10,000, $100,000, $500,000 and $1,000,
(maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
one-thirty
Daylight Saving
closing hour, tws/o'clock p.m., Eastern/fflnnntaA time, Monday, July 21, 1958
Tenders will not be received at the Treasury Department, Washington. Each tender
must be for an even multiple of $1,000, and in the case of competitive tenders

the price offered must be expressed on the basis of 100, with not more than thr
decimals, e. g., 99.92$. Fractions may not be used. It is urged that tenders
be made on the printed forms and forwarded in the special envelopes which will
supplied by Federal Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit tenders
except for their own account. Tenders will be received without deposit from

incorporated banks and trust companies and from responsible and recognized dea

in investment securities. Tenders from others must be accompanied by payment of

RELEASE A.M. NEWSPAPERS,
Thursday, July 17, 1958.

A-279

The Treasury Department, by this public notice, invites tenders
for $ 1,700,000,000 or thereabouts, of 91-day Treasury bills, for
cash and in exchange for Treasury bills maturing July 24, 1958,
in the amount of $1,699,865,000 to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of this series will be dated July 24, 1958,
and will mature October 23, 1958,
when the face amount will be
payable without interest. They will be issued in bearer form only,
and in denomination of $1,000, $5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour,, one-thirty o*clock p.m., Eastern Daylight
Saving time, Monday, July 21, 1958.
Tenders will not be
received at the Treasury Department, Washington, Each tender must
be for an even multiple of $1,000, and in the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e. g., 99.925. Fractions may not
be used. It Is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit
tenders except for their own account. Tenders will be received
without deposit from Incorporated banks and trust companies and from
responsible and recognized dealers in investment securities. Tenders
from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank
or trust company.
Immediately after the closing hour, tenders will be opened at the
Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
range of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereofa The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
in whole or In part, and his action in any such respect shall be
final. Subject to these reservations, non-competitive tenders for
$200,000 or le3S without stated price from any one bidder will be
accepted in full at the average price (in three decimals) of accepted

- 2
competitive bids. Settlement for accepted tenders in accordance
with the bids must be made or completed at the Federal Reserve Bank
on July 24, 1958,
in cash or other immediately available funds
or in a like face amount of Treasury bills maturing July 24, 1958.
Cash and exchange tenders will receive equal treatment. Cash
adjustments will be made for differences between the par value of
maturing bills accepted in exchange and the Issue price of the new
bills.
The Income derived from Treasury bills, whether Interest or
gain from the sale or other disposition of the bills, does not have
any exemption, as such, and loss from the sale or other disposition
of Treasury bills does not have any special treatment, as such,
under the Internal Revenue Code of 1954. The bills are subject
to estate, inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter imposed
on the principal or Interest thereof by any State, or any of the
possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury
bills are originally sold by the United States is considered to
be Interest. Under Sections 454 (b) and 1221 (5) of the Internal
Revenue Code of 1954 the amount of discount at which bills Issued
hereunder are sold is not considered to accrue until such bills
are sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets. Accordingly, the
owner of Treasury bills (other than life insurance companies)
issued hereunder need include in his income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount actuallyreceived either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or
loss.
Treasury Department Circular No. 4l8, Revised, and this
notice, prescribe the terms of the Treasury bills and govern the
conditions of their Issue. Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.

oOo

-2COTTON WASTES
(In pounds)
COTTON CARD STRIPS made from cotton having-a staple--of less than 1-3/16 inches in length, COMBER
WASTE, LAP WASTE, SLIVER WASTE, AND ROVING WASTE, 'WHETHER OR NOT MANUFACTURED OR OTHERWISE
ADVANCED IN VALUEt Provided, however, that not more than -33-1/3 percent of the quotas shall
be filled by cotton wastes other than comber wastes made from cottons of 1-3/16 inches or more
in staple length in the case of the following countriest United Kingdom, France, Netherlands,
Switzerland, Belgium, Germany, and Italys

Country of Origin
United Kingdom •
Canada
France . . . . . .
British India •
Netherlands
Switzerland
Belgium . .
Japan • . •
China . . .
Egypt . • .
Cuba . . . .
Germany . .
Italy . • .

Established ' .: . Total Imports
: Established :
"
Imports
TJ
TOTAL QUOTA
% Sept. 20, 1957, to % 33-1/356 of i Sept. 20,. 1957
: July 15, 1958
s Total Quota s to July 15, 1958
4,323,457
239,690
227,420
69,627
68,240
44,388
38,559
341,535
17,322
8,135
6,544
76,329
21,263

977,062
239,690

24,788
6,915

25,443
7,088

24,788
6.915

5,482,509

1,314,720

1,599,886

1,008,765

1/ Included in total imports, column 2,
Prepared in the Bureau of Customs.

1,441,152

977,062

75,807
66,265
22,747
14,796
12,853

TREASURY DEPARTMENT
Washington
IMMEDIATE RELEASE
THURSDAY, JULY 17,1958

A-280

Preliminary data on imports for consumption of cotton and cotton waste chargeable to the quotas
established by the President'e Proclamation of September 5, 1939, as amended
COTTON (other than linters) (in pounds)
Cotton under 1-1/8 inches other than rough or harsh under 3/4u
Imports Sept. 20, 1957» to July 15, 1958
Country of Origin

Established Quota

Egypt and the AngloEgyptian Sudan • • ,
r6ru

« • • « . . . . <

British India . . . .
v/iuna . . . . . . . .
Mexico . . . . . . .
Brazil . . . . . . . <
Union of Soviet
Socialist Republics
Argentina
Haix»i . . . . . .

Ecuador

.......

783,816
247,952
2,003,483
1,370,791
8,883,259
618,723
475,124
5,203
237
9,333

Imports
7,296

Country of Origin
Honduras ..... .
Paraguay . . . . . . .
Colombia . . . . . . »
Xiaq

8,883,259
600,000
3,649

Established Quota

9 0 9 9 . 9 9 .

752
871
124
195
2,240
71,388

British East Africa . .
Netherlands E. Indies.
Barbados . . . . . . .
l/0ther British W. Indies
Nigeria
,
2/0ther British W. Africa
J3/0ther French Africa . .
Algeria and Tunisia •

21,321
5,377
16,004
689

1/ Other than Barbados, Bermuda, Jamaica, Trinidad, and Tobago*
2/ Other than Gold Coast and Nigeria.
2f Other than Algeria, Tunisia, and Madagascar.

Imports

Cotton 1-1/8" or more
1, 1957 to Peg. U . 1957. incl.

Established Quota (Global)
^5,656,420

Imports
45,656,420

CO
.-4

TREASURY DEPARTMENT
Washington
IMMEDIATE RELEASE
_
A-280
THURSDAY, JULY 17,1958
Preliminary data on imports for consumption of cotton and cotton waste chargeable to the quotas
established by the President^-Proclafflation of September 5, 1939, as amended

GO
CD

COTTON (other than linters) (in pounds)
Cotton under 1-1/8 inches other "than rough or harsh under 3/4"
Imports Sept. 20. 1957. to July 15, 1958
Country of Origin Established Oiota Imports Country of Origin .Established Quota Imports
Egypt and the Anglo- . Honduras ...... • 752 Egyptian Sudan . . .
783,816
7,296
Peru . . . . . . . . .
247,952
British India . . . . .
2,003,483
„, 7
n -170 701
StaSL*.".'.'.'.".'.'•'
8$B>%
0,883,259
„_..„.! i *
.
618,723
600,000
S'of
So^et
'
Socialist Republics . 475,124 " ^tferlrltish W. «rica ll'.Ool
Argentina
?**v-'~>>^ y
„ ?..
237
-

It^::::::::

9,333

- Paraguay . . . . . . .
Colombia . . . . . . .
? ? ? . \ V I 1/-*.' *
British East Africa . «
Netherlands E. Indies.
Barbados
l/Other.British W. Indies

871
1^4
? 2AO
2,«£4U
71,388

V/^., «
!.«*•«.,.
3/0ther French Africa . .

Aao
o£5V

21,21

**•** «* * » ^ •

1/ Other than Barbados, Bermuda, Jamaica, Trinidad, and Tobago.
2/ Other than Gold Coast and Nigeria.
2/ Other than Algeria, Tunisia, and Madagascar.
Cotton 1-1/8" or more .
Imports August 1. 1957. to Dec. U . 1957. incl.
Established Quota (Global) Imports

45,656,420

~£COTTON WASTES
(In pounds)
COTTON CARD STRIPS made: from cotton having-a staple-of less than 1-3/16 inches in length, COMBER
WASTE, LAP WASTE, SLIVER WASTE, AND ROVING WASTE, WHETHER OR NOT MANUFACTURED OR OTHERWISE
ADVANCED IN VALUEs Provided, however, that not more than 33-1/3-percent of the quotas shall
be filled by cotton wastes other.than comber wastes made from cottons of 1-3/16 inches or more
in staple length in the case of the following countries? United Kingdom, France, Netherlands,
Switzerland, Belgium, Germany, and Italy.

Country of Origin
United Kingdom
Canada . . . .
France . . . .
British India ,
Netherlands • «
Switzerland . «
Belgium . . . .
Japan • . • • ,
China • . • • .
Egypt
Cuba . . . .
Germany • . • •
Italy . . . .

Established
TOTAL QUOTA

Total Imports
: Established .
Imports
1/
Sept. 20, 1957, to s 33-1/3% of . Sept. 20, 1957
July 15, 1958
g Total Quota ; to July 15, I95S

4,323,457
239,690
227,420
69,627
68,240
44*388
38,559
341,535
17,322
8,135
6,544
76,329
- 21,263

977,062
239,690

24,788
6,91?

25,443
7,088

24,788
°,?15

5,482,509

1,314,720

1,599,886

1,008,765

1/ Included in total imports, column 2.
Prepared in the Bureau of Customs.

1,441,152

977,062

75,807
66,265
22,747
14,796
12,853

TREASURY DEPARTMENT
Washington
IMMEDIATE RELEASE,
A-281

THURSDAY, JULY 17, 1958.

The Bureau of Customs announced today preliminary figures showing the
quantities of wheat and wheat flour authorized to be entered, or withdrawn
from warehouse, for consumption under the import quotas established in the
President's proclamation of May 28, l°la, as modified by the president's
proclamation of April 13, 19*42, for the 12 months commencing May 29, 1958,
as followss

Wheat
Country
of
Origin

;
:
: Established :
Imports
«
Quota
iMay 29, 1958, to
•
: July 5, 1958
(Bushels)
(Bushels)

Canada
China
Hungary
Hong'Kong
Japan
United Kingdom
Australia
Germany
Syria
New Zealand
Chile
Netherlands
Argentina
Italy
Cuba^
France
Greece
Mexico
Panama
Uruguay
Poland and Danzig
Sweden
Yugoslavia
Norway
Canary Islands
Rumania
Guatemala
Brazil
Union of Soviet
Socialist Republics
Belgium

795,000

_
_
_
_
_
_
_

100
—

100
100
ra

100
2,000

100
=

1,000
mm

100
—
-.
~
mm

mm.

1,000

100
100
100
100

_
_
_
_
_
_
_
_
_
_

Wheat flour, semolina,
crushed or cracked
wheat, and similar
wheat 1>roducts

m Established

Quota

(Pounds)
3,815,000
2lt,000
13,000
13,000
8,000
75,000
1,000
5,000
5,000
1,000
1,000
1.000
ll+,000
2,000
12,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000

Imports
t May 29, 1958,
: to July 5, 195
(P0unds)
0

3,815,000
_
_
„

_
_
^
_
^
^
_
„

_
«.

220
mm

^
_
mm

_
_
_
^

_
mm

„

—
—

_
mm

TREASURY DEPARTMENT
Washington

IMMEDIATE RELEASE,

THURSDAY, JULY 17, 1958.

A-281

The Bureau of Customs announced today preliminary figures showing the
quantities of wheat and wheat flour authorized to be entered, or withdrawn
from warehouse, for consumption under the import quotas established in the
President's proclamation of May 23, 19kl9 as modified by the President's
proclamation of April 13, 19H2, for the 12 months commencing May 29, 1958,
as follows?

Wheat
Country
of
Origin

Canada 795,000
China
Hungary
Hong'Kong
Japan
United Kingdom
Australia
Germany
Syria
New Zealand
Chile
Netherlands
Argentina
Italy
Cuba,
France
Greece
Mexico
Panama
Uruguay
Poland and Danzig
Sweden
Yugoslavia
Norway
Canary Islands
Rumania
Guatemala
Brazil
Union of Soviet
Socialist Republics
Belgium

Established s
Imports
Quota
sMay 29, 1958, to
sJuly 5, 1958
(Bushels)
(Bushels)
795,000

—
100
100
100

100
2,000
100
1,000
100

1,000
100
100
• 100
100

Wheat flour, semolina,
crushed or cracked
wheat, and similar
wheat products
Established
Quota
(Pounds)
3,815,000
2U,000
13,000
13,000
8,000
75,000
1,000

Imports
May 29, 1958?
to July 5. 1958
(pounds)
3,815,000

5,ooo
5,000
• 1,000
' 1,000
1,000
111, 000
2,000
12,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000

220

TREASURY DEPARTMENT
Washington

IMMEDIATE RELEASE

THURSDAY, JULY 17, 1958.

A-282

The Bureau of Customs announced today preliminary figures showing the imports
for consumption of the commodities listed below within fuota limitations from the
beginning of the ^uota periods to July 5, 1958, inclusive, as follows:

Commodity

: Period

Unit
:
of
: Imports as of
Quantity :July 5, 1956

and

Quantity

Cream, fresh or sour

Calendar Year

1,500,000

Whole milk, fresh or sour

Calendar Year 3,000,00'0

Tariff-Rate Quotas:
Gallon

Gallon

Cattle, less than 200 lbs. each 12
.. mos. from
April 1, 1958

200,000

Head

12,430

Cattle, 700 lbs. or more each
(other than dairy cows)

120,000

Head

55,221

Head

1,369

Fish, fresh or frozen, filleted,
etc., cod, haddock, hake,
pollock, cusk, and rosefish

April 1, 1958June 30, 1958
July 1, 1958Sept. 30, 1958

Pound

23,900,8l6(1

Tu*a fish Calendar Year 44,693,874

Pound

20,407,245

White or Irish potatoes:
Certified seed
Other

Pound
Pound

Quota Filled
Quota Filled

Pound

2,206,892

4,918,349

Calendar Year

35,892,221

12 mos. from 114,000,000
Sept. 15, 1957 36,000,000

Walnuts Calendar Year 5,000,000
Almonds, shelled, blanched,
roasted, or otherwise prepared
or preserved

Oct. 23, 1957Sept. 30, 1958

5,000,000

Pound

July 1, 1958

3,000,000

Pound

July 1, 1958

80,000,000

Pound

Alsike clover seed 12 mos. from
Peanut oil 12

m0s.

from

Woolen fabrics Calendar Year 14,200,000

Pound Quota Filled'

(1) Imports for consumption at the quota rate are limited to 26,919,165 lbs. durim
the first nine months of the calendar year.
(continued)

TREASURY DEPARTMENT
Washington
'IMMEDIATE RELEASE

A-282

HURSDAY, JULY 17, 1958.

The Bureau of Customs announced today preliminary figures showing the imports
yc consumption of the commodities listed below within quota limitations from the
sginning of the quota periods to July 5, 1953, inclusive, as follows:

Unit
:
of
:Imports as of
Quantity :July 5, 1958

Commodity

ariff-Rate Quotas:
ream, fresh or sour

Calendar Year

1,500,000

Gallon

hole milk, fresh or sour

Calendar Year 3,000,000

Gallon

attle, less than 200 lbs. each 12
.. mos. from
April 1, 1958

200,000

Head

12,430

"attle, 700 lbs. or more each
/other than dairy cows)

120,000

Head

55,221

Head

1,369

,ish, fresh or frozen, filleted,
etc., cod, haddock, hake,
pollock, cusk, and rosefish

April 1, 1958June 30, 1958
July 1, 1958Sept. 30, 1958

Calendar Year

35,892,221

una fish Calendar Year 44,693,874

Pound

23,900,8l6(1)

Pound

20,407,245

Pound
Pound

Quota Filled
Quota Filled

Pound

2,206,892

hite or Irish potatoes:
Certified seed
Other

12 mos. from 114,000,000
Sept. 15, 1957 3^,000,000

alnuts Calendar Year 5,000,000
lmonds, shelled, blanched,
roasted, or otherwise prepared
or preserved

Oct. 23, 1957Sept. 30, 1958

5,000,000

Pound 4,918,349

July 1, 1958

3,000,000

Pound

July 1, 1958

80,000,000

Pound

lsike clover seed 12 mos. from

eanut oil 12 mos, from

oolen fabrics Calendar Year 14,200,000

Pound Quota Filled

l) Imports for consumption at the quota rate are limited to 26,919,1^5 lbs. during
the first nine months of the calendar year.
(continued)

- 2-

Commodity

Period

and

Quantity

: Unit :
:
of
: Imports as of
:Quantity: July 5, 1958

Absolute Quotas:
Peanuts, shelled, unshelled,
blanched, salted, prepared, or
preserved (incl. roasted peanuts but not peanut butter)....

12 mos. from
Aug. 1, 1957

1,709,000

Pound

Quota Filled

12 mos. from
July 1, 1958
Canada
182,280,000
Other Countries
3,720,000

Pound
Pound

1^8,844,006

Calendar Year

1,200,000

Pound

1,199,952

Feb. 1 - Oct. 31, 1958
Argentina
18,475,901
Paraguay
2,437,128
Other Countries
739,366

Pound
Pound
Pound

Quota Filled
Quota Filled
Quota Filled

Rye, rye flour, and rye meal ...

Butter substitutes, including
butter oil, containing 45$
or more(butterfat ..........
Tung oil

- 2-

Commodity

Period

and

Quantity

Unit :
of
: Imports as of
Quantity: July 5, 1958

Absolute Quotas:
Peanuts, shelled, unshelled,
blanched, salted, prepared, or
preserved (incl. roasted peanuts but not peanut butter)...,

12 mos. from
Aug. 1, 1957

1,709,000

Pound

Quota Filled

12 mos. from
July 1, 1958
Canada
,
182,280,000
Other Countries
3,720,000

Pound
Pound

168,844,006

1,200,000

Pound

1,199,952

Feb. 1 - Oct. 31, 1958
Argentina
18,475,901
Paraguay
2,437,128
Other Countries
739,3^6

Pound
Pound
Pound

Quota Filled
Quota Filled
Quota Filled

Rye, **ye flour, and rye meal ..,

Butter substitutes, including
butter oil, containing 45$
or moretbutterfat
Tung oil

Calendar Year

- 2-

43
Commodity

Period

and

Quantity

: Unit :
^
:
of
: Imports as of
:Quantity: July 5, 1958

Absolute Quotas:
Peanuts, shelled, unshelled,
blanched, salted, prepared, or
preserved (incl. roasted peanuts but not peanut butter)....
Rye, rye flour, and rye meal ..

Butter substitutes, including
butter oil, containing 45$
or more butterfat
Tung oil

12 mos. from
Aug. 1, 1957

1,709,000

Pound

Quota Filled

12 mos. from
July 1, 1958
Canada
182,280,000
Other Countries
3,720,000

Pound
Pound

168,844,006

Calendar Year

1,200,000

Pound

1,199,952

Feb. 1 - Oct. 31, 1958
Argentina
18,475,901
Paraguay
2,437,128
Other Countries
739,366

Pound
Pound
Pound

Quota Filled
Quota Filled
Quota Filled

TREASURY DEPARTMENT
Washington
IMMEDIATE RELEASE

THURSDAY. JULY 17, 1958

A-283

The Bureau of Customs announced today the following preliminary
figures showing the imports for consumption from January 1, 1958, to
July 5, 1958, inclusive, of commodities for which quotas were established pursuant to the Philippine Trade Agreement Revision Act of
1955:

Commodity

Established Annual
Quota Quantity

Buttons

807,500

: Unit of
: Quantity
Gross

Imports as of
July 5, 1958

227,275

Cigars 190,000,000

Number

1,950,290

Coconut oil 425,600,000

Pound

91,832,916

Cordage 6,000,000

Pound

2,451,705

(Refined
Sugars
(Unrefined ....
Tobacco 6,175,000

14,028,320
1,904,000,000

Pound
1,103,120,272
Pound

1,734,822

45
TREASURY DEPARTMENT
Washington
IMMEDIATE RELEASE

THURSDAY, JULY 17, 1958

A-283

Commodity

Buttons

Established Annual
Quota Quantity
807,500

: Unit of
: Quantity
Gross

Imports as of
July 5, 1958

227,275
1,950,290

01gars ..........

190,000,000

Number

Coconut oil

425,600,000

Pound

91,832,916

Cordage

6,000,000

Pound

2,451,705

(Refined ....
Sugars
(Unrefined ..

1,904,000,000

Pound

Tobacco .........

6,175,000

14,028,320
1,103,120,272
Pound

1,734,822

- 2-

46
In considering future projects to be undertaken by the
Joint Committee, review was made of the Governors1
Conference resolution which called for expanding the
Committee1s scope of activity. Governors Dwinell and
Collins, in discussing this suggestion, told the federal
representatives the Joint Committee could well direct
its efforts along the following lines:
1. Returning where practical, those functions now
performed by the Federal Government which can
and will be performed adequately by the States.
2. Improving the efficiency of cooperative
Federal-State programs to lessen the burdens
of complicated Federal Administrative
procedures.
3. Developing ways that the States, through
independent action or regional cooperative
action, may without Federal grants become
more aware of and responsive to new or
"emerging" problems.
The Co-Chairmen instructed the Joint staffs on the
preparation of information and action recommendation
papers for the next meeting. This was set for
September 8 and 9 in New Hampshire with Governor Dwinell
serving as host.

oOo

IMMEDIATE RELEASE,
Thursday, July 17, 1958.

A-284

Secretary of the Treasury Robert B. Anderson and
Governor Lane Dwinell of New Hampshire, Co-Chairmen of the
Joint Federal-State Action Committee, conferred Wednesday
to plan the next steps to be undertaken by the Committee.
Meeting with them were Floridafs Governor LeRoy Collins,
new Chairman of the National Governors' Conference and
ex officio member of the Joint Committee, and Howard Pyle,
Deputy Assistant to the President for Intergovernmental
Relations.
Governor Collins announced that the number of Governor
representatives to the Joint Committee is being increased
to eleven by the appointment of Governor Luther H. Hodges
of North Carolina and Governor William G. Stratton of
Illinois, immediate past Chairman of the National Governors1
Conference. (Other Governors on the Joint Committee are
Governor Victor E. Anderson of Nebraska, Governor Price
Daniel of Texas, Governor George Docking of Kansas,
Governor George M. Leader of Pennsylvania, Governor
Theodore R. MeKeldin of Maryland, Governor Dennis J.
Roberts of Rhode Island, and Governor Robert E. Smiley
of Idaho plus Governor Collins and Governor Dwinell.)
In reviewing the status of the Joint Committee's initial
recommendations, which the President endorsed and
transmitted to Congress two months ago, particular
attention was given to a resolution passed at the recent
Governors' Conference in Bal Harbour, Florida. In this
resolution last May, the Governors agreed to carry
forward three of the six specific recommendations as
soon as possible. The other recommendations were
referred back to the Joint Committee for revision so
that no State would suffer significant financial loss in
assuming complete responsibility for two existing Federal
programs. Discussion today centered on methods by which
this condition might be met and the staff was directed
to prepare recommendations for consideration by the full
membership of the Joint Committee at its next meeting.

TREASURY DEPARTMENT
WASHINGTON, D.C.
IMMEDIATE RELEASE,
Thursday, July 17, 1958.

A-284

Secretary of the Treasury Robert B. Anderson and
Governor Lane Dwinell of New Hampshire, Co-Chairmen of the
Joint Federal-State Action Committee, conferred Wednesday
to plan the next steps to be undertaken by the Committee.
Meeting with them were Florida's Governor LeRoy Collins,
new Chairman of the National Governors' Conference and
ex officio member of the Joint Committee, and Howard Pyle,
Deputy Assistant to the President for Intergovernmental
Relations.
Governor Collins announced that the number of Governor
representatives to the Joint Committee is being increased
to eleven by the appointment of Governor Luther H. Hodges
of North Carolina and Governor William G. Stratton of
Illinois, immediate past Chairman of the National Governors'
Conference. (Other Governors on the Joint Committee are
Governor Victor E. Anderson of Nebraska, Governor Price
Daniel of Texas, Governor George Docking of Kansas,
Governor George M. Leader of Pennsylvania, Governor
Theodore R. McKeldin of Maryland, Governor Dennis J.
Roberts of Rhode Island, and Governor Robert E. Smiley
of Idaho plus Governor Collins and Governor Dwinell.)
In reviewing the status of the Joint Committee's initial
recommendations, which the President endorsed and
transmitted to Congress two months ago, particular
attention was given to a resolution passed at the recent
Governors' Conference in Bal Harbour, Florida. In this
resolution last May, the Governors agreed to carry
forward three of the six specific recommendations as
soon as possible. The other recommendations were
referred back to the Joint Committee for revision so
that no State would suffer significant financial loss In
assuming complete responsibility for two existing Federal
programs. Discussion today centered on methods by which
this condition might be met and the staff was directed
to prepare recommendations for consideration by the full
membership of the Joint Committee at its next meeting.

- 2 In considering future projects to be undertaken by the
Joint Committee, review was made of the Governors'
Conference resolution which called for expanding the
Committee's scope of activity. Governors Dwinell and
Collins, in discussing this suggestion, told the federal
representatives the Joint Committee couUwell direct
its efforts along the following lines:
1. Returning where practical, those functions now
performed by the Federal Government which can
and will be performed adequately by the States.
2. Improving the efficiency of cooperative
Federal-State programs to lessen the burdens
of complicated Federal Administrative
procedures.
3. Developing ways that the States, through
independent action or regional cooperative
action, may without Federal grants become
more aware of and responsive to new or
"emerging" problems.
The Co-Chairmen instructed the Joint staffs on the
preparation of information and action recommendation
papers for the next meeting. This was set for
September 8 and 9 In New Hampshire with Governor Dwinell
serving as host.

oOo

50
TREASURY DEPARTMENT
WASHINGTON, D.C.
IMMEDIATE RELEASE,
Thursday, July 17, 1958.

A-285

The Treasury Department announced today that subscription books will
be opened on Monday, July 21, for refunding the certificates of indebtedness
maturing August 1, and the two issues of Treasury bonds called for redemption on September 15. The exchange offering will consist of a new 1-5/8
percent certificate of indebtedness to be dated August 1, 1958, and to mature
August 1, 1959.
Exchanges will be made par for par in the case of the maturing certificates. In the case of the celled bonds, interest at their respective rates
will be allowed to September 15 and coupons due September 15, 1958, should
be detached from the bonds when surrendered and cashed when due. All remaining coupons should be attached to the bonds when surrendered. Accrued interest on the new certificates from August 1 to September 15, 1958 ($1.98709
per $1,000) should be paid with subscriptions where coupon bonds are to be
exchanged. In the case of registered bonds, the accrued interest will be
deducted from the check in payment of final interest.
The subscription books will be open July 21 through July 23 for this
exchange offering. Any subscription addressed to a Federal Reserve Bank or
Branch, or to the Treasurer of the United States, and placed in the mail
before midnight Wednesday, July 23, will be considered as timely.
The 2-1/4 percent and 2-3/8 percent bonds called for payment on September 15 which the holders do not elect to exchange for the new certificates
will be paid on their due date.
The Treasury also announced that within the next three weeks it will
offer for subscription a security due in a year or less to cover its cash
requirements during the next couple of months.
The securities maturing are:
4 percent certificates of indebtedness dated August 1,
1957, due August 1, 1958 - $11,519 million
2-1/4 percent bonds dated February 1, 1944, called for
redemption September 15, 1958 - $3,818 million
2-3/8 percent bonds dated March 1, 1952, called for
redemption September 15, 1958 - $927 million

BBftP*.

"•^UJcUm.. A4*. \i, l^t

7' * /

PRCMJS' 'RjSiiiBiiBiSiS1 —»

Technical discussions are scheduled to commence in Washington
in the near future between representatives of the governments of
India and the United States, looking toward the conclusion of an
income tax convention between the two countries for the avoidance
of double taxation and the elimination of other tax obstacles to
the international flow of trade and investment.
If bases for agreement are found, drafts of a proposed
agreement will be prepared and submitted to the respective governments
for consideration.
Interested persons in the United States who desire to submit
suggestions for possible inclusion in such a convention should
forward them to Mr. Dan Throop Smith, Deputy to the Secretary of
the Treasury, Treasury Department, Washington 25, D. C.

gJJx^

TREASURY DEPARTMENT
WASHINGTON, D.C.
IMMEDIATE RELEASE,
Friday, July 18, 1958.

A-286

Technical discussions are scheduled to commence
in Washington in the near future between representatives
of the governments of India and the United States,
looking toward the conclusion of an income tax
convention between the two countries for the avoidance
of double taxation and the elimination of other tax
obstacles to the international flow of trade and
investment.
If bases for agreement are found, drafts of a
proposed agreement will be prepared and submitted to
the respective governments for consideration.
Interested persons in the United States who
desire to submit suggestions for possible inclusion
in such a convention should forward them to
Mr. Dan Throop Smith, Deputy to the Secretary of the
Treasury, Treasury Department, Washington 25, D, C.

oOo

A. U. IMSJftJ!*81t$f

».,.»»yf»«,mf»,*The I'reaeury DipftrtMMit announced last wmmAm

th^t the V m f t m for ^1,700, 000,00!

or thereabouts, of 9i-dey Treasury bills to be dated July 2k to mt&r* October 2),
Wi whifh w#re ®££*r#i on Jbly If, v«r» opened «t the Faggr*!

The detaUs of this issue are as follows*
ftttl -applied for m 52,593,351,000
fetel M M p t t *
* l,?00,^l,OJ0 (includes ^8ii,85£,

on ft
in full at

the

)

ftugft of accepted competitive bidet (^cepting 2 te^ers

nth

** 99.1S7 ^ i w l e n t mU

~ n.m
Armrmt*

** ff.m

UUUMM U*OO,OQO)

*t discount

• »
*

•

* •

(2 yromt mi m* mmm*% bid tm *% the leu price

mux

fe4#rml

0.?41!p*r

o.m% • •
)

Total

Applied iter
# $1^09,000

#
51,409,CK)0
l»©H f j*S f 0OO
lftJff»4*
1*6,378,000
13,13^,000

F&il&itipliit
i&c&no&l
AtHmtft
Chicago
It. Iff**

32,0U*,000
iSt,fTf,0©@
Jt»i0ti00©

:^^a$ gup
21,912,000
Sam frmmUoo

(MHiru, its?jSHifBS

toms tt4t>»*)Moo

| M . wrv.'

3I,2H»,QGO

210,012,000
31,072,000
33,656,000
16,912,000
tww.wiw&SMi'^Bati^Sp

H,?oo,3U,o«)

TREASURY DEPARTMENT
WASHINGTON, D.C.
REIEASE A. M, NEWSPAPERS,
Tuesday, July 22, 1958,

A-287

The Treasury Department announced last evening that the tenders for $1,700,000,000,
or thereabouts, of 91-day Treasury bills to be dated July 2k and to mature October 23,
l°58i which were offered on July 17, were opened at the Federal Reserve Banks on
July 21.
The details of this issue are as followss
Total applied for - $2,593,331,000
Total accepted
- 1,700,31*1,000 (includes $281*,852,000 entered on a noncompetitive basis and accepted in full at
the average price shown below)
Range of accepted competitive bids: (Excepting 2 tenders totaling $1*00,000)
High - 99.757 Equivalent rate of discount appro*. 0.961$ per annum
Low
- 99*71*6
»
« "
"
*
1.005#
Average - 99.750

n H • « n o.988#

(2 percent of the amount bid for at the low price was accepted)
Federal Reserve
District

Total
Applied for

Total
Accepted

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

$
51,1*09,000
1,81*7,1*98,000
37,355,000
51,378,000
17,lH*,000
32,Oil*,000
252,772,000
32,909,000
32,072,000
1*8,616,000
21,912,000
168,282,000

$
51,1*09,000
1,078,31*8,000
18,395,000
1*8,378,000
13,13l*,000
31,2U*,000
210,012,000
32,709,000
32,072,000
33,656,000
16,912,000
13l*,102,000

$2,593,331,000

$1,700,31*1,000

TOTAL

- 3 -

or by any local taxing authority. For purposes of taxation the amount of discount
at which Treasury bills are originally sold by the United States is considered to
be interest. Under Sections h$h (b) and 1221 ($) of the Internal Revenue Code of
195U the amount of discount at which bills issued hereunder are sold is not
considered to accrue until such bills are sold, redeemed or otherwise disposed of,
and such bills are excluded from consideration as capital assets. Accordingly,
the owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
for such bills, whether on original issue or on subsequent purchase, and the
amount actually received either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. )bl8, Revised, and this notice, prescribe
the terms of the Treasury bills and govern the conditions of their issue. Copies
of the circular may be obtained from any Federal Reserve Bank or Branch.

- 2 -

mm*

2 percent of the face amount of Treasury bills applied for, unless the tenders a
accompanied by an express guaranty of payment by an incorporated bank or trust
company.
Immediately after the closing hour, tenders will be opened at the Federal Re-

serve Banks and Branches, following which public announcement will be made by th
Treasury Department of the amount and price range of accepted bids. Those submitting tenders will be advised of the acceptance or rejection thereof. The

Secretary of the Treasury expressly reserves the right to accept or reject any o
all tenders, in whole or in part, and his action in any such respect shall be

final. Subject to these reservations, noncompetitive tenders for $200,000 or les

without stated price from any one bidder will be accepted in full at the average
price (in three decimals) of accepted competitive bids. Settlement for accepted

tenders in accordance with the bids must be made or completed at the Federal Reserve Bank on July 51, 1958 , in cash or other immediately available funds
or in a like face amount of Treasury bills maturing July 51, 195S Cash

and exchange tenders will receive equal treatment. Cash adjustments will be made

for differences between the par value of maturing bills accepted in exchange and
the issue price of the new bills.
The income derived from Treasury bills, whether interest or gain from the

sale or other disposition of the bills, does not have any exemption, as such, an
loss from the sale or other disposition of Treasury bills does not have any
special treatment, as such, under the Internal Revenue Code of 195U. The bills
are subject to estate, inheritance, gift or other excise taxes, whether Federal

or State, but are exempt from all taxation now or hereafter imposed on the princ

or interest thereof by any State, or any of the possessions of the United States

TREASURY DEPARTMENT
WASHINGTON, D.
RELEASE A'.M. NEWSPAPERS,
Thursday, July 24, 1958.

A-288

The Treasury Department, by this public notice, invites tenders
for $ 1,700,000,000 or thereabouts, of 91-day Treasury bills, for
cash and in exchange for Treasury bills maturing July 31* 1958
In the amount of $ 1,701,714,00(£to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of this series will be dated July 31, 1958,
and will mature October 30, 1958, when the face amount will be
payable without interest. They will be issued in bearer form only,
and in denomination of $1,000, .$5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, one-thirty o'clock p.m., Eastern Daylight
Saving time, Monday, July 28, 1958.
Tenders will not be
received at the Treasury Department, Washington. Each tender must
be for an even multiple of $1,000, and in the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e. g., 99.925. Fractions may not
be used. It is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit
tenders except for their own account. Tenders will be received
without deposit from Incorporated banks and trust companies and from
responsible and recognized dealers In investment securities. Tenders
from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank
or trust company.
Immediately after the closing hour, tenders will be opened at th<
Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
range of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereof. The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
in whole or in part, and his action in any such respect shall be
final. Subject to these reservations, non-competitive tenders for
$200,000 or less without stated price from any one bidder will be
accepted in full at the average price (in three decimals) of accepted

- 2 competitive bids. Settlement for accepted tenders in accordance
with the bids must be made or completed at the Federal Reserve Bank
on July 31, 1958 ,
in cash or other immediately available funds
or in a like face amount of Treasury bills maturing July 31, 1958.
Cash and exchange tenders will receive equal treatment. Cash
adjustments will be made for differences between the par value of
maturing bills accepted in exchange and the issue price of the new
bills.
The income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, does not have
any exemption, as such, and loss from the sale or other disposition
of Treasury bills does not have any special treatment, as such,
under the Internal Revenue Code of 1954. The bills are subject
to estate, Inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter Imposed
on the principal or interest thereof by any State, or any of the
possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury
bills are originally sold by the United States is considered to
be interest. Under Sections 454 (b) and 1221 (5) of the Internal
Revenue Code of 1954 the amount of discount at which bills issued
hereunder are sold is not considered to accrue until such bills
are sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets. Accordingly, the
owner of Treasury bills (other than life insurance companies)
issued hereunder need include in his income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount actuallyreceived either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or
loss.
Treasury Department Circular No. 4l8, Revised, and this
notice, prescribe the terms of the Treasury bills and govern the
conditions of their Issue. Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.
0O0

TREASURY DEPARTMENT

WASHINGTON, D.C.

IMMEDIATE RELEASE,
Friday, July 25, 1958.

A-289

Preliminary figures show that about $13,500 million of
the certificates maturing August 1 and the bonds called for
redemption on September 15 have been exchanged for the new
1-5/8 percent one-year certificates.
The unexchanged portion of the outstanding issues
totaled about $2,770 million. Of this about $830 million are
the certificates maturing August 1 and $1,880 million are the
called bonds.
Final figures regarding the exchange will be announced
after final reports are received from the Federal Reserve Banks.

TREASURY DEPARTMENT
W A S H I N G T O N , D.C

IMMEDIATE RELEASE,
Friday, July 25, 1958.

A-290

The Treasury Department announced today that on Tuesday, July 29,
It will offer for cash subscription |3~l/g billion of 1*1/2 percent Tax
Anticipation Certificates of Indebtedness, to be dated August 6, 1958,
maturing March 24, 1959, and receivable at par plus accrued interest to
maturity in payxaent of Inecaae and profits taxes d&e on Harch 15, 1959.
The books w i H be open only tor one day, on July 29.
Subscription® from commercial bank®, which for this purpose are
defined as banks accepting demand deposits, for their own account, w i H
be received without deposit. A payment of 2 percent of the amount of
certificates subscribed for ieust be made on all other subscriptions.
The new certificates may be paid for by credit in Treasury tax and loan
accounts.
Commercial banks and other lenders are requested to refrain from
making unsecured loans, or loans collateralized in whole or in part by
the certificates subscribed for, to cover the 8 percent deposits required
to b© paid when subscriptions are entered.
Any subscription addressed to a Federal Reserve Bank or Branch, or
to the Treasurer of the United States, and placed in the mail before
midnight, July £9, will be considered as timely.

TREASURY DEPARTMENT

WASHINGTON, D.C.

IMMEDIATE RELEASE
Friday, July 25, 1958

A-291

STATEMENT BY THE TREASURY DEPARTMENT
The Treasury announced today that holders of $2,770 million
of the Treasury certificates maturing on August 1st and Treasury
bonds called for payment on September 15th, had not presented
them for exchange.
The Treasury had anticipated that the amount of securities
not turned in for exchange would be more than usual due, first,
to the international situation and, second, to the fact that it
had included the two bond issues called for September 15, many
of which were held by corporations which had acquired them in
recent months with the intention of using the proceeds for
payment of income taxes due on September 15.
Knowing this, the Treasury still chose to bring in these
September bonds so that, except for the cash offering being
announced today, the Treasury, barring unforeseen circumstances,
could be out of the market for a two months1 period until
early October.
The timing of the cash offering is designed to take
advantage of about $2.3 billion of investment funds that
will be made available to the market on August 1st. This
figure represents the total of the attrition payable August 1
of $890 million; the proceeds of Federal Reserve Open Market
purchases of the when issued August 1st certificates of
$1,090 million, and proceeds of about $350 million of Commodity
Credit Corporation bank loans being paid off at this time.

0O0

62
81LE4SI A. H. KIWSPAPEIIS,
Tuesday, July 29, 1958.

The treasury Department announced last evening that the tenders for 11,700,000,000,

or thereabouts, of 91*day Treasury bills to be dated July 31 and to mature October

1958, which were offered on July 2k9 were opened at the Federal Reserve Banks on J
The details of this issue are as follows:
fotal applied for - If ,7^,152,000
Total accepted
- 1,700,1*97,000 {includes 1255,801,000 entered on m
noncompetitive basis and accepted in
full at tlie average price shown below)
Range of accepted competitive bidet
Hi# - 99.767 Equivalent rate of discount approx. 0.922% per annum
w
Low
- 99.7k®: »
*
•
•
1.005^ "
Average - 99.751

•

• • • « O.HkS « •

(hi percent of the mount bid for at the low price was accepted)
federal Reserve
District

Total
Applied for

Total
Accepted

Boston
lew fork
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco

1
37,»k t 000
l,r?8,iij?,0G0
40,033,000
72,071,000

• 2$,29h90Q0
X9Qk99X929Q0Q
23,hk3,QQQ
67,1*21,000
16,528,000
30,172,00©
22*4,2^,000
35,728,000
16,723,000
1*3,002,000
17,1*36,000
151,209,000

i7,saa,ooo

30,472,000
304,329,000
35,726,000
16,823,000
43,082,000
26,1*36,000
152,209,000
TOTAL

12,7514,152,000

$1,700,1*97,000

C sy

TREASURY DEPARTMENT
WASHINGTON. D.C.
RELEASE A. M. NEWSPAPERS,
Tuesday, July 29. 1958.

A-292

The Treasury Department announced last evening that the tenders for 11,700,000,000,
or thereabouts, of 91-day Treasury bills to be dated July 31 and to mature October 30,
1958, which were offered on July 2l*, were opened at the Federal Reserve Banks on July 28.
The details of this issue are as follows t
Total applied for - $2,751*,l52,OOQ
Total accepted
- 1,700,1*97,000

(includes $255,801,000 entered on a
noncompetitive basis and accepted in
full at the average price shown below)

Range of accepted competitive bids;
High - 99.767 Equivalent rate of discount approx. 0.922% per annum
w
Low
~ 99.71*6
M
«
«
n
Average - 99.751

1.005^

•

H «( « w 0.981$ * »

(1*7 percent of the amount bid for at the low price was accepted)
Federal Reserve
District

Total
Applied for

Total
Accepted

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

$
31,29k,000
1,978,11*7,000
1*0,033,000
72,071,000
17,528,000
30,1*72,000
30l*,329,000
35,728,000
16,823,000
1*3,082,000
26,1*36,000
152,209,000

$
25,29l*,000
i,0l*9,192,00O
23,1*1*3,000
67,1*21,000
16,528,000
30,172,000
22l*,269,000
35,728,000
16,723,000
1*3,082,000
17,1*36,000
151,209,000

$2,75i*,l52,000

$1,700,1*97,000

TOTAL

BASED ON TENTATIVE
— SUBJECT TO REVISION

tESTIMA33ES

FORECAST OF CASH POSITION AND DEBT, FISCAL YEAR 1959
(in billions)
1

Change in general fund balance

•

Nov.

Subtotal
Jan.
Dec. July-Dec. 1959

Feb.

Mar.

Apr.

May

June

Tota\

+ .1

-1-3

+1.1

-5-2

+1-7

-1.0

-1-7

+ .2

+1.4

-.2

-4.8

July
1958

Aug. Sept.

Oct.

-4.7

+1.2 ' -1.6

9-7

5-0

6.2

4.6

4.7

3.4

9-7

4.5

6.2

5.2

3-5

3-7

5-1

9-7

General fund balance at end

5-0

6.2

4.6

4.7

3.4

4.5

^•5

6.2

5.2

3-5

3-7

5.1

4.9

Operating cash balance at end
(including gold) a/
—•

4.3

5.6

4.0

4.1

2.8

3-9

5-5

4.6

2.9

3-0

^•5

4.2

276.3 275.9
-.4 +2.9

278.8
-2.4

276.4 280.2 280.0
-.2 +2.2
+3-8

276.3
+5-9

282.2 285.2 284.4 280.8
+3.0
-.8
-3-6 +3-1

283.9
+2.2

286.1
-2.5

276.3
+
7«3

275-9 .278.8 276.4

280.2 280.0 282.2

282.2

285.2 284.4 280.8 283.9

286.1

283.6

281.9

284.9

284.1 280.5

285.8

283.3

5.7
285.1

3.4
2.8
4.2
283.7 283.7 283.7

Public debt outstanding:

""*-"

Mid-month figures:
Operating cash balance (including gold) a/ -.

275.6

278.5

6.0
275.J

5.2
2.2
277.8 276.3

276.1 279-9

279-7 281.9

3-0
5-5
280.2 279.6

2.9
282.0

283.6

3-8
2.2
284.8 285-5
.

. .1

This balance differs from the General Fund Balance as it includes
only Treasury accounts in Federal Reserve Banks (collected),
Treasury Tax and Loan Accounts and gold in General Fund.
July 30, 1958

ACTUAL CASH BALANCE AND DEBT JANUARY - JUNE 1958,
AND FORECAST JULY, 195*3 - JUNE 1959 BASED ON CONSTANT
OPERATING CASH BALANCE OF $3. 5kBILLION (excluding free gold)
(Based on tentative estimates - subject to revision)
(in billions)
Operating Balance
Federal Reserve Banks Public Debt
subject to
and Depositaries
(excluding free gold) limitation
ACTUAL
January 15, 1958 —
January 31
February 15
February 2§*

Allowance to provide flexibility
in financing and
for
contingencies

Total public
debt limitation required

$1.7
2.2
1.7
3.4

$274.1
274.2
274.0
274.3

March 15 — 2.8 275-3
March 31
-,
April 15
April 30 — —

5.1
5.0
5.2

272.3
274.9
274-7

May 15 - 4.6 274.6
May 31
June 15 —
June 30

5.1
3-3
8.6

275-3
27^-9
- 276.O

ESTIMATED
July 15 (actual) — July 31
August 15 — — — —
August 31
—

5.5
3-5
3-5
3-5

275-2
275-2
276.5
276.8

$3-0
3-0
3.0

$278.2
279-5
279-8

September 15 3-5 277.6 ' 3.0 280.1
September 30
3-5
October 15
3-5
October 31 —
3.5

275.6
278.6
279-7

3.0
3-0
3-0

2$0\6
281.6
282.7

November 15 ------ 3.5 280.5 3.0 283.5
November 30
—-3-5
December 15
3.5
December 31 - — — —
3-5

280.8
283.0
281.9

3.0
3.0
3.0

283.8
286.0
284.9

January 15, 1959 — 3-5 283.3 3.0 286.3
January 31 — —
3-5
February 15
3.5
February 28 — —
3.5

283.3
284.2
283.4

3-0
3.0
3.0

286.3
287.2
286.4

March 15 —— 3-5 284.8 3.0 287.8
March 31
— —
3-5
April 15 — —
3-5
April 30 — —
3-5

281.5
283.1*
284.5

3.0
3-0
3.0

284-5
286.4
287.5

May 15 - 3-5 284.9 3.0 287.9
May 31
— —
June 15
June 30 —
--—

285.2
287.2
283.0

3.0
3.0
3.0

288.2
290.2
286.0

3-5
3-5
3-5

* Statutory debt limitation of $275 billion was temporarily increased on February 26,
1958 to $280 billion until June 30, 1959.
NOTE; When the 15th of a month falls on Saturday or Sunday, the figures relate to the
following business day.

bb
- k from tax collections prior to the expiration of the temporary increases
in the debt limit, and in fact they were. In the situation we now face,
that is not the case.
It would appear that the only sound course at the present time is to
permanently increase the statutory limit to $285 billion. In addition, a
further temporary increase of $3 billion will afford us a margin to take
care of contingencies. Furthermore, a regular limit of $285 billion may
present problems to the Treasury before the end of the fiscal year because
there are still substantial seasonal fluctuations in the collection of
revenues. We will have to look at the situation again before the end of
the fiscal year to determine our course of action beyond that date in the
light of developments. When budget surpluses are again in prospect, the
matter of the permanent limit can be reviewed.
The figures we are using today do not include any changes in estimated
expenditures which could eventuate due to recent developments in the
international situation. These developments do, however, point up the
need for being in a position to take care of contingencies.
I am appending a table setting forth our forecast of cash balances
and outstanding public debt for the period ending June 30, 1959, including
actual figures for the period from January to June 1958.

0O0

67
- 3-

The

lower balance a year ago was due to the fact that a large part of the tax
collections in that month was used to retire public debt obligations.
These reductions (of tax anticipation issues) amounted to $4,650,000,000
in June 1957* while in June 1958 there were no maturing tax anticipation
issues, and outstanding marketable public debt obligations increased about
$650,000,000. However, the lower 1957 balance made it necessary for the
Treasury to borrow $3 billion on July 3, 1957/ to cover the heavy outlays
during July last year. With the higher balances on June 30, 1958, the
Treasury did not have to do any cash financing this July, even though
expenditures are expected to exceed receipts by $4.7 billion during the month.
We are borrowing $3.5 billion in early August for cash requirements of the
next couple of months.
The statutory debt limit should be amended to give recognition to the
current outlook for the year. During the period since 1954, while the
Treasury has been operating under temporary increases in the public debt
limit, and public debt obligations were issued in excess of the permanent
debt limit, it could be reasonably estimated that the excess could be repaid

0 y
- 2 profits, which are such an important source of revenue, and the extent of
the duration of the interruption in the growth of personal income were
hard to foresee for a period extending 18 months into the future.
Instead of a budget deficit of $388 million for the year ended June 30,

we incurred a deficit of $2.8 billionT This deficit was brought about because
our net revenues amounted to $69.1 billion, against the January estimates
of $72.4 billion.
Instead of entering the current fiscal year ending June 3°, 1959*
with an anticipated budget surplus of $466 million, we are now faced with
an estimated budget deficit of about $12-billion. This amount is based on
estimates of $79-billion for, expenditures and $67 billion for receipts. In

giving these estimates we recognize the difficulty of making predictions this
far ahead. They are our best estimates, and as such, provide a reasonable
approach to consideration of the debt limit.
This substantial change in the outlook of our fiscal situation for the
current year makes it imperative that we again review the statutory debt
limit. We can no longer operate with a $5 billion temporary extension of

the $275 billion limit because we cannot look forward to a debt of $275 billi
or less on June 30, 1959* The estimated deficit will result in the public
debt outstanding on June 30, 1959* of nearly $285 billion. It is estimated
that our cash working balance will amount to between $4 to $5 billion on
that date.
An increase in the debt limit is needed even though the general fund
balance in the Treasury on June 30, 1958, amounted to about $9,750,000,000,
as compared to $5,590*000,000 on June 30, 1957. On June 30, 1958, the gross

TREASURY DEPARTMENT
Washington

69
Statement by Secretary of the Treasury Robert B. Anderson before
the House Ways and Means Committee on H.R. I358O and H.R. 13581,
bills to increase the public debt limit, 10 A.M., E.D.T.,
July 30, 1958.
I am appearing this morning in support of the President's request for
legislation to increase the regular statutory debt limit to $285 billion
and to provide an additional temporary increase of $3 billion to expire
June 30, I960. About six months ago, January 17, 1958, I appeared before
this Committee to urge enactment of a bill to provide a temporary increase
of $5 billion in the statutory limit on the public debt. The bill was
enacted and approved on February 26, 1958, and provides a temporary increase
from $275 billion to $280 billion until June 30, 1959* in the limit on the
public debt.
When I appeared in January, the need for a debt-limit increase was
predicated on the following factors:
1. The fact that cash balances should be maintained at a more
adequate and prudent level.
2. There was need for more flexibility to allow efficient and
economical management of the debt.
3. Even with a balanced budget there would still be large
seasonal fluctuations in receipts which would make operations
under the $275 billion limit most difficult.
The budget estimates on which we made our recommendation anticipated a
deficit for the fiscal year ending June 30, 1958, of $388 million, and a
surplus for the fiscal year ending June 30, 1959, of about $466 million.
At that time, it was particularly difficult to estimate the extent of the
change in economic conditions. The impact of the recession on corporate

A-293

I
TREASURY DEPARTMENT
Washington
Statement by Secretary of the Treasury Robert B. Anderson before
the House Ways and Means Committee on H.R. 13580 and H.R. I358I,
bills to increase the public debt limit, 10 A.M., E.D.T.,
July 30, 1958.

I am appearing this morning in support of the President's request for
legislation to increase the regular statutory debt limit to $285 billion
and to provide an additional temporary increase of $3 billion to expire
June 30, i960. About six months ago, January 17, 1958, I appeared before
this Committee to urge enactment of a bill to provide a temporary increase
of $5 billion in the statutory limit on the public debt* The bill was
enacted and approved on February 26, 1958, and provides a temporary increase
from $275 billion to $280 billion until June 30, 1959* in the limit on the
public debt.
When I appeared in January, the need for a debt-limit increase was
predicated on the following factors:
1. The fact that cash balances should be maintained at a more
adequate and prudent level.
2. There was need for more flexibility to allow efficient and
economical management of the debt.
3. Even with a balanced budget there would still be large
seasonal fluctuations in receipts which would make operations
under the $275 billion limit most difficult.
The budget estimates on which we made our recommendation anticipated a
deficit for the fiscal year ending June 30, 1958, of $388 million, and a
surplus for the fiscal year ending June 30, 1959* of about $466 million.
At that time, it was particularly difficult to estimate the extent of the
change in economic conditions. The impact of the recession on corporate

Af393

the $275 billion limit because we cannot look forward to a debt of $275 billion
or less on June 30, 1959* The estimated deficit will result in the public
debt outstanding on June 30, 1959* of nearly $285 billion. It is estimated
that our cash working balance will amount to between $4 to $5 billion on
that date.
An increase in the debt limit is needed even though the general fund
balance in the Treasury on June 30, 1958, amounted to about $9,750,000,000,
as compared to $5,590,000,000 on June 30, 1957• On June 30, 1958, the gross

72
- 3 -

expenditures are expected to exceed receipts by $4.7 billion during the month.
We are borrowing $3.5 billion in early August for cash requirements of the
next couple of months.
The statutory debt limit should be amended to give recognition to the
current outlook for the year. During the period since 195^* while the
Treasury has been operating under temporary increases in the public debt
limit, and public debt obligations were issued in excess of the permanent
debt limit, it could be reasonably estimated that the excess could be repaid

- 4 -

from tax collections prior to the expiration of the temporary increases
in the debt limit, and in fact they were. In the situation we now face,
that is not the case.
It would appear that the only sound course at the present time is to
permanently increase the statutory limit to $285 billion. In addition, a
further temporary increase of $3 billion will afford us a margin to take
care of contingencies. Furthermore, a regular limit of $285 billion may
present problems to the Treasury before the end of the fiscal year because
there are still substantial seasonal fluctuations in the collection of
revenues. We will have to look at the situation again before the end of
the fiscal year to determine our course of action beyond that date in the
light of developments. When budget surpluses are again in prospect, the
matter of the permanent limit can be reviewed.
The figures we are using today do not include any changes in estimated
expenditures which could eventuate due to recent developments in the
international situation. These developments do, however, point up the
need for being in a position to take care of contingencies.
I am appending a table setting forth our forecast of cash balances
and outstanding public debt for the period ending June 30, 1959* including
actual figures for the period from January to June 1958.

0O0

ACTUAL CASH BALANCE AND DEBT JANUARY - JUNE 1958,
AND FORECAST JULY, 195^ - JUNE 1959 BASED ON CONSTANT
OPERATING CASH BALANCE OF $3-5^BILLION (excluding free gold)
(Based on tentative estimates - subject to revision)
(in billions)
Operating Balance

Allowance to provide flexibility
Federal Reserve Banks Public Debt in financing and
and Depositaries
subject to
for
(excluding free gold) limitation
contingencies

Total public
debt limitation required

ACTUAL
"Ta^ary 15, 1958 —
January 31
February 15
February 2§*

$1-7
2.2
1-7
3-4

$274.1
274.2
274.0
274.3

March 15 2.8 275-3
March 31
April 15
April 30

5.1
5-0
5-2

272.3
274.9
274.7

May 15 4.6 274.6
May 31
June 15
June 30

5-1
3-3
8.6

275-3
274.9
• 276.O

ESTIMATED
July 15 (actual) — July 31
August 15
August 31

5.5
3-5
3.5
3.5

275-2
275.2
276.5
276.8

$3.0
3.0
3.0

$278.2
279-5
279.8

September 15 3-5 277.6 3.0 280.6
September 30
3-5
October 15 - —
3.5
October 31 ^
3.5

275.6
278.6
279-7

3.0
3.0
3-0

288.6
281.6
282.7

November
November
December
December

280.8
283.0
281.9

3.0
3.0
3.0

283.8
286.0
284.9

January 15, 1959 — 3.5 283.3 3-0 286.3
January 31
3.5
February 15
3.5
February 28
3.5

283.3
284.2
283-4

3-0
3.0
3.0

286.3
287.2
286.4

March
^^h
A ri
P l
April

281.5
283.4
284.5

3.0
3-0
3.0

284.5
286.4
287.5

285.2
287.2
283.0

3.0
3.0
3-0

288.2
290.2
286.0

15 3.5 280.5 3.0 283.5
30
—-3.5
15
3.5
31
3.5

15 - 3.5 284.8 3.0 287.8
31
3.5
15
3-5
30
3.5

May 15 3-5 284.9 3-0 287.9
May 31 June
15
June
30

3-5
3-5
3.5

* Statutory debt limitation of $275 billion was temporarily increased on February 26,
1958 to $280 billion until June 30, 1959.
NOTE: When the 15th of a month falls on Saturday or Sunday, the figures relate to the
following business day.
July 30, 1958

ABASED ON TENTATIVE
ESTIMATES -- SUBJECT TO REVISION

FORECAST OF CASH POSITION AND DEBT, FISCAL YEAR 1959
(in billions)

Change in general fund balance

General fund balance at end

•

—•---

Sept. ' Oct.

Nov.

Subtotal
Jan.
Dec. July-Dec. 1959

+ .1

-1-3

+1.1

-5.2

+1.7

-1.0

-1-7

+ .2

+1.4

-.2

-4.8

July
1958

Aug.

-4.7

+1.2 '-1.6

Feb.

Mar.

Apr.

May

June

Total

9-7

5-0

6.2

4.6

4.7

3.4

9-7

4.5

6.2

5-2

3-5

3-7

5-1

9-7

5.0

6.2

4.6

4.7

3.4

4-5

4.5

6.2

5.2

3-5

3-7

5.1

4.9

4.3

5-6

4.0

4.1

2.8

3-9

5-5

4.6

2.9

3.0

4-5

4.2

276.3 275-9
-.4 +2.9

278.8
-2.4

276.4 280.2
-.2
+3.8

280.0
+2.2

276.3
+5-9

282.2
+3-0

285.2
-.8

284.4
-3-6

280.8
+3.1

283.9
+2.2

286.1
-2.5

276.3
+7-3

280.2

280.0

282.2

285-2

284.4

280.8

283.9

286.1

283.6

276.1 279-9

279-7

281.9

284.9

284.1

280.5

283.6

285.8

283.3

283-3

3-0
279-6

2.9
282.0

5-7
285.I

3.4
283.7

2.8
283.7

4.2
283-7

3.8
284.8

2.2
285-5

Operating cash, balance at end

Public debt outstanding:

TP-nfl

Debt subject to limit

.__

•

Mid-month figures:
Operating cash balance (including gold) a/ Debt subject to limit

275-9

278.8 276.4

275.6

278.5

6.0
275-7

5-2
2.2
277.8 276.3

5-5
280.2

This balance differs from the General Fund Balance as it includes
only Treasury accounts in Federal Reserve Banks (collected),
Treasury Tax and Loan Accounts and gold in General Fund.

July 30, 1958

- 3 -

or by any local taxing authority. For purposes of taxation the amount of discou
at which Treasury bills are originally sold by the United States is considered

be interest. Under Sections Wk (b) and 1221 ($) of the Internal Revenue Code of
195h the amount of discount at which bills issued hereunder are sold is not
considered to accrue until such bills are sold, redeemed or otherwise disposed
and such bills are excluded from consideration as capital assets. Accordingly,

the owner of Treasury bills (other than life insurance companies) issued hereun

need include in his income tax return only the difference between the price pai
for such bills, whether on original issue or on subsequent purchase, and the
amount actually received either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 1*1&, Revised, and this notice, prescribe

the terms of the Treasury bills and govern the conditions of their issue. Copie
of the circular may be obtained from any Federal Reserve Bank or Branch,

- 2 -

>&&£$&
2 percent of the face amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank or trust
company.
Immediately after the closing hour, tenders will be opened at the Federal Re-

Secretary of the Treasury expressly reserves the right to accept or reject any o
all tenders, in whole or in part, and his action in any such respect shall be

final. Subject to these reservations, noncompetitive tenders for $200,000 or les

without stated price from any one bidder will be accepted in full at the average
price (in three decimals) of accepted competitive bids. Settlement for accepted

tenders in accordance with the bids must be made or completed at the Federal Reserve Bank on August 1. 1958 , in cash or other immediately available funds

or in a like face amount of Treasury bills maturing
August 7. 1958
Cash
and exchange tenders will receive equal treatment. Cash adjustments will be made

for differences between the par value of maturing bills accepted in exchange and
the issue price of the new bills.
The income derived from Treasury bills, whether interest or gain from the

sale or other disposition of the bills, does not have any exemption, as such, an
loss from the sale or other disposition of Treasury bills does not have any
special treatment, as such, under the Internal Revenue Code of 1951*. The biHs
are subject to estate, inheritance, gift or other excise taxes, whether Federal

or State, but are exempt from all taxation now or hereafter imposed on the princ

or interest thereof by any State, or any of the possessions of the United States

73
ssra&ra
TREASURY DEPARTMENT
Washington
A. M.
M S : RELEASE/ M8KKXN& NEWSPAPERS,
Thursday, July 51, 19,58
•
The Treasury Department, by this public notice, invites tenders for
$1,700,000,000 , or thereabouts, of 91 -day Treasury bills, for cash and
in exchange for Treasury bills maturing August 7 1958 _* in the amount of
$1,700,410,000 , to be issued on a discount basis under competitive and noncompetitive bidding as hereinafter provided. The bills of this series will be
dated

Aiigimt. 7.1QSR and will mature November 6^ 1958 , when the face

amount will be payable without interest. They will be issued in bearer form only,
and in denominations of $1,000, $5,000, $10,000, $100,000, $500,000 and $1,000,000
(maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
one-thirty
Daylight Saving
closing hour 9 /km o'clock p.m., Eastern/frtonrcfarri time, Monday, August 4, 1958
Tenders will not be received at the Treasury Department, Washington.

Each tender

must be for an even multiple of $1,000, and in the case of competitive tenders
the price offered must be expressed on the basis of 100, with not more than three
decimals, e. g., 99*92$. Fractions may not be used. It is urged that tenders
be made on the printed forms and forwarded in the special envelopes which will be
supplied by Federal Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit tenders
except for their own account. Tenders will be received without deposit from
incorporated banks and trust companies and from responsible and recognized dealers
in investment securities. Tenders from others must be accompanied by payment of

79
TREASURY DEPARTMENT
WASHINGTON, D.C.
RELEASE A.M. NEWSPAPERS,
Thursday, July 31, 1958.

A-294

The Treasury Department, by this public notice, Invites tenders
for $1,700,000,000, or thereabouts, of 91-day Treasury bills, for
cash and in exchange for Treasury bills maturing August 7, 1958,
In the amount of $1,700,410,000, to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of this series will be dated August 7, 1958,
and will mature November 6, 1958,
when the face amount will be
payable without interest. They will be issued in bearer form only,
and in denomination of $1,000, $5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, one-thirty o'clock p.m., Eastern Daylight
Saving time, Monday, August 4, 1958.
Tenders will not be
received at the Treasury Department, Washington. Each tender must
be for an even multiple of $1,000, and in the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e. g., 99.925. Fractions may not
be used. It is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit
tenders except for their own account. Tenders will be received
without deposit from Incorporated banks and trust companies and from
responsible and recognized dealers in investment securities. Tenders
from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank
or trust company.
Immediately after the closing hour, tenders will be opened at the
Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
range of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereof. The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
in whole or In part, and his action in any such respect shall be
final. Subject to these reservations, non-competitive tenders for
$200,000 or less without stated price from any one bidder will be
accepted In full at the average price (in three decimals) of accepted

- 2 competitive bids. Settlement for accepted tenders in accordance
with the bids must be made or completed at the Federal Reserve Bank
on August 7, 1958,
in cash or other immediately available funds
or in a like face amount of Treasury bills maturing August 7, 1958.
Cash and exchange tenders will receive equal treatment. Cash
adjustments will be made for differences between the par value of
maturing bills accepted in exchange and the issue price of the new
bills.
The Income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, does not have
any exemption, as such, and loss from the sale or other disposition
of Treasury bills does not have any special treatment, as such,
under the Internal Revenue Code of 1954. ©le bills are subject
to estate, inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the
possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury
bills are originally sold by the United States is considered to
be interest. Under Sections 454 (b) and 1221 (5) of the Internal
Revenue Code of 1954 the amount of discount at which bills issued
hereunder are sold is not considered to accrue until such bills
are sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets. Accordingly, the
owner of Treasury bills (other than life insurance companies)
issued hereunder need include in his income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount actuallyreceived either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or
loss.
Treasury Department Circular No. 4l8, Revised, and this
notice, prescribe the terms of the Treasury bills and govern the
conditions of their Issue. Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.
0O0

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81
TREASURY DEPARTMENT
WASHINGTON, D.C.
IMMEDIATE RELEASE,
Thursday, July 31, 1953.

A-295

Under Secretary of the Treasury Julian B. Baird and
Ambassador Juan Plate of Paraguay today signed a one-year
extension of the exchange agreement initiated in 1957 between
the U. S. Treasury and the Government and Central Bank of
Paraguay.
Under the exchange agreement, Paraguay may request the
United States Exchange Stabilisation Fund to purchase
Paraguayan guaranies up to the equivalent of $5.5 million,
should the occasion for such purchases arise. Any guaranies
acquired by the Treasury would subsequently be repurchased by
Paraguay for dollars.
The Government and Central Bank of Paraguay have reiterated
their intention to continue to operate a free exchange market in
which the value of the currency unit, the guarani, is determined
by basic supply arid demand forces. They state that exchange
operations on the part of the authorities will not be undertaken to counter the fundamental trend of the market, but
solely to minimize excessive fluctuations arising from
temporary factors.
The International Monetary Fund has also announced extension
of its stand-by arrangement with Paraguay.
agreement supplements this arrangement.

oOo

The Treasury exchange

i\M
IMMEDIATE RELEASE,
Thursday, July 51, 1958.

\>C
\

The Treasury today announced a 59 percent allotawnt on
subscriptions in excess of $100,000 for the current cash offer*
ing of $5-l/E billion of 1-1/2 percent Tax Anticipation Certificates. Subscriptions for $100,000 or less will be allotted in
full. Subscriptions for more than $100,000 will be allotted not
less than $100,000.
Reports received thus far from the Federal Reserve Banks
show that subscriptions total about $5,960 million. Details
by Federal Reserve Districts as to subscriptions and allot*
inents will be announced when final reports are received from
the Federal Reserve Banks.

.f~
^

•

"X M~

TREASURY DEPARTMENT
WASHINGTON, D.C.

IMMEDIATE RELEASE,
Thursday, July 51, 1958,

A-296

The Treasury today announced a 59 percent allotment on
subscriptions in excess of $100,000 for the current cash offering of $3-1/2 billion of 1-1/2 percent Tax Anticipation Certificates. Subscriptions for $100,000 or less will be allotted in
full. Subscriptions for more than $100,000 will be allotted not
less than $100,000.
Reports received thus far from the Federal Reserve Banks
show that subscriptions total about $5,960 million. Details
by„Federal Reserve Districts as to subscriptions and allotments will be announced when final reports are received from
the Federal Reserve Banks.

84
m^DIATy mXMBE,
Trite?. August 4 f 1958.
Th* Treasury Department today announced the results of the current exchange
offering of 1-5/8 percent Treasury Certificates of Indebtedness of Series C~l£59,
dated August I, 1958, doe August X, 1959, open to holders of $11,519,077,000 of
4 percent Treasury Certificates of Indebtedness of Series C-1958, aaturing August 1,
1938, and $3,818,002,500 of 2-1/4 percent Treasury Bonds of 1956-59 end $926,811,000
of 2-3/8 percent treasury Bonds of 1957-59, called for redeagfcioa en September IS,
1958. Subscriptions for the new certificates amounted to $13,500,516,000, leaving
$2,763,374,500 of the maturing issues for cash redemption.
Amounts exchanged were divided aaaong the several federal Reserve Districts and
the Treasury as follows:
Federal Beserve C-3358 CertifiBistriet
cates Exchanged

Bonds of 1956-59

Bonds of 1957*59

total
wm'iMtmmmmmmmmmmmmmmmmm

Boston
lew tork
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
Treasury

$ 106,580,000 $ 30,015,000
S,?2O,1S4,000
1,035,361,000
94,069,000
63,974,000
134,125,000
85,473,000
70,751,000
29,88S,000
171,028,000
69,234,000
525,092,000
578,879,000
132,030,000
45,631,000
U7,523,000
38,532,500
138,007,000
S3,152,500
74,422,000
$5,149,500
229,962,000
232,261,500
10,555,000
2,462,000

$ 11,127,000
476,133,000
4,598,000
13,901,000
4,035,000
6,082,000
32,566,000
6,300,000
9,845,500
8,089,500
7,087,900
78,455,500

$ 107,733,000
10,231,701,009
162,641,000
293,499,000
104,674,000
247,144,000
935,337,000
23S,S@9,000
165,901,000
207,241,000
146,639,000
560,679,000

S0SAL

$10,634,525,000 $2,206,034,000

$660,157,000

$13,500,516,000

TREASURY DEPARTMENT
WASHINGTON, D.C.
IMMEDIATE RELEASE,
TPrHfl«y, August 1, 1938« _

A-297

The Treasury Department today announced the results of the current exchange
offering of 1-5/8 percent Treasury Certificates of Indebtedness of Series C-1959,
dated August 1, 1958, due August 1, 1959, open to holders of $11,519,077,000 of
4 percent Treasury Certificates of Indebtedness of Series C-1958, maturing August 1,
1958, and $3,818,002,500 of 2-1/4 percent Treasury Bonds of 1956-59 and $926,811,000
of 2-3/8 percent Treasury Bonds of 1957-59, called for redemption on September 15,
1958. Subscriptions for the new certificates amounted to $13,500,516,000, leaving
$2,763,374,500 of the maturing issues for cash redemption.
Amounts exchanged were divided among the several Federal Reserve Districts and
the Treasury as follows:
Federal Reserve C-1958 Certifi- Bonds of 1956-59 Bonds of 1957-59 Total
District
cates Exchanged Exchanged
Exchanged
Exchanges
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
Treasury
TOTAL

106,589,000
8,720,164,000
94,069,000
194,125,000
70,751,000
171,828,000
525,892,000
182,638,000
117,523,000
136,007,000
74,422,000
229,962,000
10,555,000

$
80,016,000
1,035,361,000
63,974,000
85,473,000
29,888,000
69,234,000
376,879,000
43,631,000
38,532,500
63,152,500
65,149,500
252,261,500
2,482,000

$ 11,127,000
476,183,000
4,598,000
13,901,000
4,035,000
6,082,000
32,566,000
6,300,000
9,845,500
8,089,500
7,067,500
78,455,500
1,907,000

^ 197,732,000
10,231,708,000
162,641,000
293,499,000
104,674,000
247,144,000
935,337,000
232,569,000
165,901,000
207,249,000
146,639,000
560,679,000
14,744,000

$10,634,325,000

$2,206,034,000

$660,157,000

$13,500,516,000

- 8 -

not unman us, we will find the means to cope witb what must
be met, we will not only preserve but strengthen our American
system, we are determined our children will remain free and
shall inherit an even greater nation in which to live and
prosper and enjoy their being. It is time the men in the Kremlin
understand this, and I think our prompt action in upholding the.
legitimata-@oatfijnm,ta,nt--«^ Lebanon against oitornal subvert?

JH»W

has done much to improve their understanding.
It is appropriate, I believe, that I should mention our
problems, foreign and domestic, on this occasion. They lie close
to the thoughts of all of us. And it is from such an occasion as
this, when our minds travel back over the roads of time, reviewing
as they go the proud records of brave Americans who loved this
country as we do, and worked and fought and died for it, that we
draw the inspiration and reassurance and experience to meet our
problems and crises as they met theirs, with good heart and complete
faith.
So it is that as we stand here, perhaps on the very ground
where "Massachusetts" slid down her ways and was waterborne, this
spot where a service, great in peace and war alike, the United
States Coast G-uard, had its birth, each of us draws into himself a
new conviction, an added firmness, a clearer vision. We have come
here to honor a gallant ship and the men who sailed her\ we honor

I
as well the long rol^of the United States Coast Guard, the living
as well as the dead. Remembering them, we will go from here with
new honor in ourselves.
*» <- ( J « ©

- 7-

comes over my desk, and sometimes wondering how things will work
out, the sudden remembrance of such experiences is a sustaining
force and a spur to the spirit.
These are days of trouble and crises for all Americans.
Happily, on our internal front, we see a recovery forming
that will come in strength as the year wears on. It is a recovery
that develops out of the inner strengths of our economy, not from
hasty, ill-advised and quack remedies, which may jerk the patient
out of his present indispositon but end by impairing his immunities
against more serious ills. I think that any American, when he
sits down to think it through, will be glad that moderation and
courage and foresight have prevailed in government counsels as
our president and his advisors, and the leaders in Congress from
both our political parties, have wrestled with the economic
problems of the past few months.
But on our external front we see always the threat of the
Communist bloc of countries, a threat that recedes one moment
in one area only to wax greater in the next moment and in another
area. In your lifetime and mine, this ebb and flow of external
threat and crisis may well be a way of life. We will hope it
will not be that way, we will work in every way we can and through
every available medium to see that it is not, but if that is the
way it must be, then we will accept the situation and go on
from there. We will not get hysterical about it, our fears will

- 6 -

the startling increase in the number of small boat owners,
not only along our coasts but on every available body of water
throughout the country. We know, of course, that the Coast
Guard has neither the personnel nor equipment to be everywhere.
It has to disperse and dispose its forces as its commanding
officers deem best. You know that it will do the best job
possible under the circumstances and with the means available.
New Englanders must take pride in the fact that in Newburyport
it not only has the birthplace of the Coast Guard, but that in
New London it possesses the training school for future Coast Guard
officers. I wish that all of you may have an opportunity to visit
the fine Coast Guard Academy located in New London, if you haven1t
done so already. In June I spoke at the Commencement exercises for
the Academy's graduating class. As I saw and met those young
men, embarking now on their Coast Guard careers, I could only
think, "What nation can match these young men, keen and eager,
sturdy of body, superbly trained, as they are?" It made me proud
to be an American just looking at them. And when I saw the entire
cadet corps pass in review I felt the reassurance that America
will always live and be great so long as men such as these are
its watch and ward.
That experience and that sentiment have been repeated for me
many times as I have gotten about on Coast Guard matters. When
I am in Washington, engaged in the business of government that

- 5 -

8.Q
our merchant marine, in the constant inspection of watercraft
from large merchant ships to motorboats, and the enforcement
of regulations concerning them, in the operation of the aids
to navigation, from buoys and lighthouses to the loran stations,
in the keeping of a lonely vigil on ocean station and ice patrol.
Coast Guard ships and personnel carried a heavy part of the
load when the Northwest Passage was recently discovered and
charted, with all that this means ini)£ keeping the supply lines
open to the defenses Canada and the United States have developed
to protect against attacks across the Arctic wastes. The
Coast Guard has worked with its sister services to uncover the
/ secrets of Anar^tica. It maintains bases on our coastlines and
along the shores of our inland waterways: and other bases, such
as in Hawaii and Puerto Rico, to give protection to shipping in
the farther reaches of the sea. While its surface craft ply
the waters, its aircraft roam the skies above, both always ready
for the search and rescue mission that may develop at any moment.
To warn of dangers and to call assistance, its communication net,
ashore and afloat, covers a great portion of the globe.
New assignments are constantly being added to the old.
It may be an advisory and training mission to a foreign country
that would like to establish and maintain a similar organization.
Thus far, Portugal, the Philippines, Formosa, Thailand, Brazil,
y Argentina, Costa Ricft, Liberia, Spain and Greece have received
such help. Or the new job may simply be to try to find ways
and means to cope with the additional problems presented by

- kwe
But/may be sure she was a sound and worthy ship.

V>» V-.J

Indeed,

a Coast Guard painting of her, based on the records as we know
them, portrays her as a quick and saucy cutter. She and her
sister cutters must have done a highly effective job in combatting
the smuggling operations of her time, as the smuggling problem^
was quickly brought under control. In so doing, these first cutters
played important roles in securing the success of Hamilton's
financial program. From that day to this, the good credit of
our country has been firmly established.
From its small beginnings the United States Coast Guard
has grown to a service which comprises some 30,000 officers, cadets,
and enlisted men. In addition it employs roughly ;, 5j>000r ^
civilians. It has 350 ships of all types, ranging from the big
cutters to small patrol boats. It operates 128 aircraft of many
types, including amphibians and helicopters. At Curtis Bay,
Maryland, it has a shipyard that builds and repairs not only
for Coast, Yard needs but sometimes for the Navy as well.
Today your Coast Guard has far-flung duties that in scope
and magnitude would surely amaze even such an imaginative
individual as Alexander Hamilton. The daring rescue at sea,
or the rescue and succour of victims of hurricane or inland
flood, may capture the headlines, but every day there are a
multitude of more prosaic jobs to get done, mn^y of which are y
of great importance and significance. There is the patient
and hard work done in promoting the safety and efficiency of

- 3 -

Fittingly enough, her first captain was a battle-famed
veteran of the Massachusetts State Navy, John Foster Williams.
He had had an exciting career at sea during the Revolution
and possessed a reputation as a skillful and doughty captain.
Having been commissioned in the Revenue Marine Service in
March of that year, he came to Newburyport to supervise and
assist in the construction of the Massachusetts.
A far cry from the cost of modern ships, the estimated
cost of the cutter, fully equipped, was S1000.00. Her ship's
complement called for a captain, a lieutenant, and six seamen.
Another interesting note concerns the pay scale of her
crew. A captain received $^0.00 per month, lieutenants $25.00
and seamen $8.00. The price paid for rations was not to exceed
12 cents per day per man. But I expect Alexander Hamilton
worried as much over paying such bills as the construction costs
and crew wages of the Massachusetts as Robert Anderson, our present
Secretary of the Treasury, does over meeting the multifold expenses
of our. government today.
*<e do not know much about the subsequent service of the
"Massachusetts". Somewhere, amid the files of time, her records
have been lost. We only know that when the need for larger and
longer-ranging cutters arose, she was decommissioned and put on
the auction-block. It is reported that she was sold for $900.00
on June 2k, 180^. After that, she vanished from history.

Q9
yj Cm

- 2 were no income taxes then, and import duties comprised a
substantial portion of the public revenue. Comparatively
speaking, the losses through smuggling were severe. Hence
Secretary Hamilton's great and particular interest in seeing
that such illicit traffic was stopped.
At the instigation of Hamilton, Congress on August k, 1790,
just 168 years ago today, passed a bill authorizing the construction of "ten boats" for the specific purpose of guarding
our coasts against smugglers. President Washington signed
the bill at once. So it has come about that each August £*th
is known as "Coast Guard Day".
And now Newburyport enters into Coast Guard history.
Searle and Tyler, a shipbuilding concern of this city, was
commissioned to build one of the vessels. As events proved,
it was the largest of the ten authorized. The site of the
building yard, while not known now exactly, was approximately
located where we are gathered today.
Some time in 1791, this vessel was launched and commissioned.
She was given the proud name of "Massachusetts", the first of
a number of government ships to bear that illustrious name.
A description of her has come down to us. She was a schooner
measuring 50 feet from the Indian on her figurehead to her
squared stern. She had a long quarter-deck and a deep waist.
With a beam of 17 feet 7 inches and a depth of 7 feet 3 inches,
she "measured" 70|r tons. Armed as she was with six swivel guns,
she was a formidable deterrent to would-be smugglers.

DRAFT - AGF

°^

7/31/58
Admiral Richmond, Songreaemiui Dafeco, other honored guests,
ladies and gentlemen:
It is an honor and a pleasure for me to be with you in an
observance of Coast Guard Day. This is a beautiful as well as
a historic community and I am thoroughly enjoying my visit.
To the good citizens of Newburyport, to the officials in charge
of its celebration, and to your congressman, Bill Bates, I say
"thank you" for the kind invitation given me to come here.
One of my jobs as an Assistant-Secretary of the Treasury
is to keep a paternal eye on the United States Coast Guard.
It may seem odd to many of you that the Treasury Department
should have jurisdiction over the Coast Guard. Yet this has
been so all during the long history of the Coast Guard, except
for those intervals of war, when by law the Coast Guard becomes
an arm of the Navy. In fact, the father of the Coast Guard
was Alexander Hamilton, the great first Secretary of the Treasury
and the first cabinet officer to be appointed by President
Washington. It was Hamilton who brought about the creation in
1790 of the "Revenue Marine Service", as the Coast Guard was
first known.
The impelling force behind Hamilton's action was the
widespread smuggling then plaguing our infant government. In
those early days, every dollar of revenue was vitally needed
to support the bold sound money program of Hamilton. There

Addr^ss^by A. Gilmore Flues, Assistant Secretary
of the Treasury, at the dedication of a monument
on the site of the original launching of the
first Coast Guard Cutter, USS MASSACHUSETTS, at
Newburport, Massachusetts, August k9 1958, k p.m.

TREASURY DEPARTMENT
Washington

REMARKS BY A. GILMORE FLUES, ASSISTANT
SECRETARY OP THE TREASURY, AT THE DEDICATION
OF A MONUMENT ON THE SITE OP THE ORIGINAL
LAUNCHING OP THE FIRST COAST GUARD CUTTER,
USS MASSACHUSETTS, AT NEWBURYPORT,
MASSACHUSETTS, AUGUST 4, 1958, 4 P.M.

Admiral Richmond, Lieutenant Governor Murphy, other
honored guests, ladies and gentlemen:
It is an honor and a pleasure for me to be with you in
an observance of Coast Guard Day. This is a beautiful as
well as a historic community and I am thoroughly enjoying
my visit. To the good citizens of Newburyport, to the
officials in charge of its celebration, and to your
congressman, Bill Bates, I say "thank you" for the kind
Invitation given me to come here.
One of my jobs as an Assistant-Secretary of the
Treasury is to keep a paternal eye on the United States
Coast Guard. It may seem odd to many of you that the
Treasury Department should have jurisdiction over the
Coast Guard. Yet this has been so all during the long
history of the Coast Guard, except for those Intervals
of war, when by law the Coast Guard becomes an arm of the
Navy. In fact, the father of the Coast Guard was
Alexander Hamilton, the great first Secretary of the
Treasury and the first cabinet officer to be appointed by
President Washington. It was Hamilton who brought about
the creation in 1790 of the "Revenue Marine Service", as
the Coast Guard was first known.
The Impelling force behind Hamilton's action was the
widespread smuggling then plaguing our Infant government.
In those early days, every dollar of revenue was vitally
needed to support the bold sound money program of Hamilton.
There were no income taxes then, and import duties comprised
a substantial portion of the public revenue. Comparatively
speaking, the losses through smuggling were severe. Hence
Secretary Hamilton's great and particular Interest in
A-298
seeing that such illicit traffic was stopped.

- 2 At the instigation of Hamilton, Congress on August 4,
1790, just 168 years ago today, passed a bill authorizing
the construction of "ten boats" for the specific purpose
of guarding our coasts against smugglers. President
Washington signed the bill at once. So it has come about
that each August 4th is known as "Coast Guard Day".
And now Newburyport enters into Coast Guard history.
Searle and Tyler, a shipbuilding concern of this city, was
commissioned to build one of the vessels. As events
proved, it was the largest of the ten authorized. The
site of the building yard, while not known now exactly,
was approximately located where we are gathered today.
Some time in 1791* this vessel was launched and
commissioned. She was given the proud name of
"Massachusetts", the first of a number of government ships
to bear that Illustrious name. A description of her has
come down to us. She was a schooner measuring 50 feet
from the Indian on her figurehead to her squared stern.
She had a long quarter-deck and a deep waist. With a
beam of 17 feet 7 inches and a depth of 7 feet 3 inches,
she "measured" 70i tons. Armed as she was with six
swivel guns, she was a formidable deterrent to would-be
smugglers.
Fittingly enough, her first captain was a battle-famed
veteran of the Massachusetts State Navy, John Poster
Williams. He had had an exciting career at sea during the
Revolution and possessed a reputation as a skillful and
doughty captain. Having been commissioned in the Revenue
Marine Service in March of that year, he came to
Newburyport to supervise and assist in the construction
of the Massachusetts.
A far cry from the cost of modern ships, the estimated
cost of the cutter, fully equipped, was $1000.00. Her
ship's complement called for a captain, a lieutenant, and
six seamen.
Another interesting note concerns the pay scale of her
crew. A captain received $40.00 per month, lieutenants
$25.00 and seamen $8.00. The price paid for rations was
not to exceed 12 cents per day per man. But I expect
Alexander Hamilton worried as much over paying such bills
as the construction costs and crew wages of the Massachusetts
as Robert Anderson, our present Secretary of the Treasury,
does over meeting the multifold expenses of our national
government today.

Q7
y i

- 3We do not know much about the subsequent service of the
"Massachusetts". Somewhere, amid the files of time, her
records have been lost. We only know that when the need
for larger and longer-ranging cutters arose, she was
decommissioned and put on the auction-block. It is
reported that she was sold for $900.00 on June 24, 1804.
After that, she vanished from history.
But we may be sure she was a sound and worthy ship.
Indeed, a Coast Guard painting of her, based on the
records as we know them, portrays her as a quick and saucy
cutter. She and her sister cutters must have done a highly
effective job in combatting the smuggling operations of
her time, as the smuggling problem was quickly brought under
control. In so doing, these first cutters played important
roles in securing the success of Hamilton's financial
program. Prom that day to this, the good credit of our
country has been firmly established.
Prom Its small beginnings the United States Coast
Guard has grown to a service which comprises some 30,000
officers, cadets, and enlisted men. In addition it employs
roughly 5*000 civilians. It has 350 ships of all types,
ranging from the big cutters to small- patrol boats. It
operates 128 aircraft of many types, including amphibians
and helicopters. At Curtis Bay, Maryland, it has a shipyard
that builds and repairs not only for Coast Guard Yard needs
but sometimes for the Navy as well.
Today your Coast Guard has far-flung duties that in
scope and magnitude would surely amaze even such an
imaginative individual as Alexander Hamilton. The daring
rescue at sea, or the rescue and succour of victims of
hurricane or Inland flood, may capture the headlines, but
every day there are a multitude of more prosaic jobs to
get done, many of which are of great importance and
significance. There is the patient and hard work done In
promoting the safety and efficiency of our merchant marine,
in the constant inspection of watercraft from large merchant
ships to motorboats, and the enforcement of regulations
concerning them, in the operation of the aids to navigation,
from buoys and lighthouses to the loran stations, in the
keeping of a lonely vigil on ocean station and Ice patrol.
Coast Guard ships and personnel carried a heavy part of
the load when the Northwest Passage was recently discovered
and charted, with all that this means in keeping the supply
lines open to the defenses Canada and the United States

- 4 have developed to protect against attacks across the
Arctic wastes. The Coast Guard has worked with Its sister
services to uncover the secrets of Antarctica. It maintains
bases on our coastlines and along the shores of our inland
waterways: and other bases, such as In Hawaii and
Puerto Rico, to give protection to shipping in the farther
reaches of the sea. While its surface craft ply the waters,
its aircraft roam the skies above, both always ready for
the search and rescue mission that may develop at any
moment. To warn of dangers and to call assistance, its
communication net, ashore and afloat, covers a great
portion of the globe.
New assignments are constantly being added to the old.
It may be an advisory and training mission to a foreign
country that would like to establish and maintain a
similar organization. Thus far, Portugal, the Philippines,
Formosa, Thailand, Brazil, Argentina, Costa Rica, Liberia,
Spain and Greece have received such help. Or the new job
may simply be to try to find ways and means to cope with
the additional problems presented by the startling increase
in the number of small boat owners, not only along our
coasts but on every available body of water throughout the
country. We know, of course, that the Coast Guard has
neither the personnel nor equipment to be everywhere.
It has to disperse and dispose its forces as its commanding
officers deem best, You know that it will do the best job
possible under the circumstances and with the means
available.
New Englanders must take pride In the fact that in
Newburyport it not only has the birthplace of the Coast
Guard, but that in New London It possesses the training
school for future Coast Guard officers. I wish that all
of you may have an opportunity to visit the fine Coast
Guard Academy located in New London, If you haven't done
so already. In June I spoke at the Commencement exercises
for the Academy's graduating class. As I saw and met
those young men, embarking now on their Coast Guard careers,
I could only think, "What nation can match these young
men, keen and eager, sturdy of body, superbly trained, as
they are?" It made me proud to be an American just looking
at them. And when I saw the entire cadet corps pass in
review I felt the reassurance that America will always
live and be great so long as men such as these are its
watch and ward.

QQ
w y

- 5 That experience and that sentiment have been repeated
for me many times as I have gotten about on Coast Guard
matters. When I am in Washington, engaged in the business
of government that comes over my desk, and sometimes wondering how things will work out, the sudden remembrance of such
experiences is a sustaining force and a spur to the spirit.
These are days of trouble and crises for all Americans.
Happily, on our internal front, we see a recovery forming
that will come in strength as the year wears on. It is a
recovery that develops out of the inner strengths of our
economy, not from hasty, ill-advised and quack remedies,
which may jerk the patient out of his present indisposition
but end by impairing his immunities against more serious
ills. I think that any American, when he sits down to
think it through, will be glad that moderation and courage
and foresight have prevailed in government counsels as our
president and his advisors, and the leaders in Congress
from both our political parties, have wrestled with the
economic problems of the past few months.
But on our external front we see always the threat of
the Communist bloc of countries, a threat that recedes one
moment in one area only to wax greater in the next moment
and in another area. In your lifetime and mine, this ebb
and. flow of external threat and crisis may well be a way
of life. We will hope it will not be that way, we will
work in every way we can and through every available medium
to see that it is not, but If that Is the way it must be,
then we will accept the situation and go on from there.
We will not get hysterical about it, our fears will not
unman us, we will find the means to cope with what must
be met, we will not only preserve but strengthen our
American system, we are determined our children will remain
free and shall inherit an even greater nation in which to
live and prosper and enjoy their being. It is time the men
in the Kremlin understand this, and I think our prompt
action in Lebanon has done much to improve their understanding.
It is appropriate, I believe, that I should mention our
problems, foreign and domestic, on this occasion. They lie
close to the thoughts of all of us. And it is from such an
occasion as this, when our minds travel back over the roads
of time, reviewing as they go the proud records of brave
Americans who loved this country as we do, and worked and
fought and died for it, that we draw the inspiration and
reassurance and experience to meet our problems and crises
as they met theirs, with good heart and complete faith.

- 6-

-i- W v^

So it is that as we stand here, perhaps on the very
ground where "Massachusetts" slid down her ways and was
waterborne, this spot where a service, great in peace and
war alike, the United States Coast Guard, had its birth,
each of us draws into himself a new conviction, an added
firmness, a clearer vision. We have come here to honor a
gallant ship and the men who sailed her; we honor as well
the long roll of the United States Coast Guard, the living
as well as the dead. Remembering them, we will go from
here with new honor in ourselves.

oOo

i ^_aff

1ELEASE A . M . JEWSFAFEHS
Tuesday, August $. X9$B*

The Treasury Department announced last evening that the tenders for 11,700,000,00^
or thereabouts, of 91-day Treasury bills to be dated August ? and to mature ffovasiber 6,
1958, which were offered on July 31, were opened at thm Federal Reserve Banks on August
The details of this issue are as follows?
Total applied for - *&9k29,112,0OQ
Total accepted
- 1,700,412,000 (includes |g£2,029#OGO entered on a
noncompetitive basis and accepted in
.full at the average price shown below)
flange of accepted competitive bidsi (Excepting five tenders totaling &L,li25,000)
High - 99*729 Equivalent rate ©f discount approx. 1.072% pmr annum
X.OW
- 99*696
n
w
«
«
w

1*203*

Average - 99.706 « » « « « l#i65* * •
'^(86 percent of ihe amount bid for at the low price was accepted)
Federal Heserve
District

total
Applied for

total
Accepted

Boston
lew fork
Philadelphia
Cleveland
Hichistond
Atlanta
Chicago
St. touim
Minneapolis
Kansas City
Dallas
San Francisco

I
$7,864,000
1,667,983,000
32,249,000
73,772,000
14,1^29,000
38,701,000
282,818,000
28,028,000
20,961,000
55,599,000
21,1*2*4,000
115,6614,000

|
i*7,58I,,00G
1,032,783,000
214,5^9,000
68,772,000
1*4,1429,000
38,701,000
2142,768,000
28,028,000
20,981,000
55,599,000
21,lt2l4,000
10h,79i*,000

$2,429,712,000

^1,700,1412,000

TOTAL

TREASURY DEPARTMENT
WASHINGTON, D.C.
jIJSASE A. M. NEWSPAPERS
geday, August $9 1958*

A-299

The Treasury Department announced last evening that the tenders for $1,700,000,000,
thereabouts, of 91-day Treasury bills to be dated August 7 and to mature November 6,
»J8, which were offered on July 31, were opened at the Federal Reserve Banks on August h*
The details of this issue are as follows?
Total applied for - $2,1429,712,000
Total accepted
• 1,700,1*12,000 (includes $252,029,000 entered on a
noncompetitive basis and accepted in
full at the average price shown below)
Range of accepted competitive bidsj (Excepting five tenders totaling $1,1425*000)
High » 99.729 Equivalent rate of discount approx* 1.072* per annum
Low
- 99*696
«
» «
w
«
1.203* " tt
Average - 99.706 « i% n " M 1*165* " w
(86 percent of the amount bid for at the low price was accepted)
Federal Reserve
District

Total
Applied for

Total
Accepted

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

57,8614,000
1,687,983,000
32,2149,000
73,772,000
114,1429,000
38,701,000
282,818,000
28,028,000
20,981,000
55,599,000
21,li2l4,000
115,8614,000

$
147,5814,000
1,032,783,000
214,51*9,000
68,772,000
114,1429,000
38,701,000
21*2,768,000
28,028,000
20,981,000
55,599,000
2l,l42l4,OOQ
IOI4,7914,000

$2,1429,712,000

$1,700,1*12,000

TOTAL

103

3<*>
BMBDIAXE IHLBASB,
Tuesday, August 5, 193.
She Treasury Itepartroat today announced the subscris*ioa and allotment
figures wita respect to the current cash offering of $3,500 million, or
thereabouts, ot 1-1/2 percent Tax Anticipation Certificates of Indebtedness
of Series D-1959. These certificates will be dated August 6, 1958, and
will mture March 24, 1959. They will bo accepted at far plus accrued interest to maturity in payaent of income and profits taxes due on March 15,
1959.
Subscriptions and allotments were divided among the several Federal
Reserve Districts and the Treasury as follows:
Federal Reserve
District

Total Subscriptions Received

Total Subscriptions Allotted

Boston
lew tork
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City

$ 207,634,000
2,gl4,060,000
209,838,000
503,344,000
191,204,000
243,008,000
931,344,000
174,898,000
310,749,000
179,951,000
299,756,000
696,516,000

$ 135,251,000
1,309,296,000
125,629,000
299,649,000
116,483,000
147,945,000
562,834,000
107,361,000
70,808,000
111,399,000
178,091,000
412,303,000

San Francisco
Treasury

—

TOTAL

*»

#5,962,300,000

•

«•

$3,567,049,000

fA. \y'

TREASURY DEPARTMENT
WASHINGTON, D.C. N^

IMMEDIATE RELEASE,
Tuesday, August 5, 1958.

A-300

The Treasury Department today announced the subscription and allotment
figures with respect to. the current cash offering of $3,500 million, or
thereabouts, of 1-1/2 percent Tax Anticipation Certificates of indebtedness
of Series D-1959. These certificates will be dated August 6, 1958, and
will mature March 24, 1959. They will be accepted at par plus accrued interest to maturity in payment of income and profits taxes due on March 15,
1959.
Subscriptions and allotments were divided among the several Federal
Reserve Districts and the Treasury as follows:
Federal Reserve Total Subscrip- Total SubscripDistrict
tions Received
Boston $ 207,634,000 $ 125,251,000
New York
2,214,060,000
Philadelphia
209,838,000
Cleveland
503,344,000
Richmond
191,204,000
Atlanta
243,006,000
Chicago
931,344,000
St. Louis
174,898,000
Minneapolis
110,749,000
Kansas City
179,951,000
Dallas
299,756,000
San Francisco
696,516,000
Treasury
TOTAL

$5,962,300,000

tions Allotted
1,309,296,000
125,629,000
299,649,000
U6,483,000
147,945,000
562,834,000
107,361,000
70,808,000
111,399,000
178,091,000
'412,303,000
$3,567,049,000

105

or by any local taxing authority. For purposes of taxation the amount of discount
at which Treasury bills are originally sold by the United States is considered to
be interest. Under Sections l45ii (b) and 1221 (5) of the Internal Revenue Code of
195U the amount of discount at which bills issued hereunder are sold is not
considered to accrue until such bills are sold, redeemed or otherwise disposed of,
and such bills are excluded from consideration as capital assets. Accordingly,
the owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
for such bills, whether on original issue or on subsequent purchase, and the
amount actually received either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. kl&$ Revised, and this notice, prescribe
the terms of the Treasury bills and govern the conditions of their issue. Copies
of the circular may be obtained from any Federal Reserve Bank or Branch „

- 2 -

2 percent of the face amount of Treasury bills applied for, unless the tenders a
accompanied by an express guaranty of payment by an incorporated bank or trust
company.
^Immediately after the closing hour, tenders will be opened at the Federal Re-

Secretary of the Treasury expressly reserves the right to accept or reject any o
all tenders, in whole or in part, and his action in any such respect shall be

final. Subject to these reservations, noncompetitive tenders for $200,000 or les

without stated price from any one bidder will be accepted in full at the average
price (in three decimals) of,accepted competitive bids. Settlement for accepted

tenders in accordance with the bids must be made or completed at the Federal Reserve Bank on August 14, 1958 , in cash or other immediately available funds
or in a like face amount of Treasury bills maturing August 14, 1958 Cash
and exchange tenders will receive equal treatment. Cash adjustments will be made

for differences between the par value of maturing bills accepted in exchange and
the issue price of the new bills.
The income derived from Treasury bills, whether interest or gain from the

sale or other disposition of the bills, does not have any exemption, as such, an
loss from the sale or other disposition of Treasury bills does not have any
special treatment, as such, under the Internal Revenue Code of 1951i. The bills
are subject to estate, inheritance, gift or other excise taxes, whether Federal

or State, but are exempt from all taxation now or hereafter imposed on the princ

or interest thereof by any State, or any of the possessions of the United States

TREASURY DEPARTIffiNT
Washington
A. M.
8SR RELEASE/ BBKKXHX NEWSPAPERS,
Tnursday, August 7, 1958
.
The Treasury Department, by this public notice, invites tenders for
$1,700,000,000 , or thereabouts, of 91 -day Treasury bills, for cash and

—m—

in exchange for Treasury bills maturing
August 14, 1958
m in the amount of
$1,700,027,000 , to be issued on a discount basis under competitive and noncompetitive bidding as hereinafter provided. The bills of this series will be
dated August 14, 1958 , and will mature November 13, 1958

when the face

amount will be payable without interest. They will be issued in bearer form only

and in denominations of $1,000, $5,000, $10,000, $100,000, $500,000 and $1,000,0
(maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
one-thirty
Daylight Saving
closing hour,/teeso'clock p.m., Eastern/flhanbbasck time, Monday, August 11, 1958

Tenders will not be received at the Treasury Department, Washington. Each tender
must be for an even multiple of $1,000, and in the case of competitive tenders

the price offered must be expressed on the basis of 100, with not more than thre
decimals, e. g., 99*92$. Fractions may not be used. It is urged that tenders

incorporated banks and trust companies and from responsible and recognized deal
in investment securities. Tenders from others must be accompanied by payment of

TREASURY DEPARTMENT
WASHINGTON, D.
RELEASE A.M. NEWSPAPERS,
Thursday, August 7* 1958.

A-301

The Treasury Department, by this public notice, invites tenders
for $1,700,000,000, or thereabouts, of 91-day Treasury bills, for
cash and in exchange for Treasury bills maturing August lk9 1958,
in the amount of $1,700,027,000, to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of this series will be dated August lks 1958,
and will mature November 13, 1958,
when the face amount will be
payable without interest. They will be issued in bearer form only,
and in denomination of $1,000, $5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, one-thirty o*clock p.m., Eastern Daylight
Saving time, Monday, August 11, 1958.
Tenders will not be
received at the Treasury Department, Washington. Each tender must
be for an even multiple of $1,000, and in the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e. g., 99.925. Fractions may not
be used. It is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit
tenders except for their own account. Tenders will be received
without deposit from incorporated banks and trust companies and from
responsible and recognized dealers in investment securities. Tenders
from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank
or trust company.
Immediately after the closing hour, tenders will be opened at the
Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
range of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereof. The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
in whole or In part, and his action in any such respect shall be
final. Subject to these reservations, non-competitive tenders for
$200,000 or less without stated price from any one bidder will be
accepted in full at the average price (in three decimals) of accepted

- 2 competitive bids. Settlement for accepted tenders in accordance
with the bids must be made or completed at the Federal Reserve Bank
on August 14, 1958, in cash or other immediately available funds
or in a like face amount of Treasury bills maturing August 14, 1958.
Cash and exchange tenders will receive equal treatment. Cash
adjustments will be made for differences between the par value of
maturing bills accepted in exchange and the issue price of the new
bills.
The Income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, does not have
any exemption, as such, and loss from the sale or other disposition
of Treasury bills does not have any special treatment, as such,
under the Internal Revenue Code of 1954. The bills are subject
to estate, inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter imposed
on the principal or Interest thereof by any State, or any of the
possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury
bills are originally sold by the United States is considered to
be interest. Under Sections 454 (b) and 1221 (5) of the Internal
Revenue Code of 1954 the amount of discount at which bills issued
hereunder are sold is not considered to accrue until such bills
are sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets,, Accordingly, the
owner of Treasury bills (other than life insurance companies)
issued hereunder need include in his income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount actuallyreceived either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or
loss.
Treasury Department Circular No. 418, Revised, and this
notice, prescribe the terms of the Treasury bills and govern the
conditions of their issue. Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.
0O0

STATUTORY DEBT LIMITATION

AS OT-jEE-SaLiS*

Washington, *^*..JLfc«..5E£
gnat-

of that

(Act of June 26, 1946; U.S.C., title 31, sec. 757b), outstanding at any one time. For purposes of this section toe current redemption value of any obligation issued on a discount basis which is redeemable prior to maturity at the option of the holder
shaft be considered as its lace amount." The Act of February 26, 1958, (P.L. 85-336 85th Congress) provides that during the
period beginning on February 26, 1958 and ending June 30, 1959, the above limitation (1275,000,000,000) shall be temporarily
increased by $5,000,000,000.
The following table shows the face amount of obligations outstanding and the face amount which can still be issued under
this limitation:
. _

$280,000,000,000

Total face amount that may be outstanding at any one time
OutstandingObligations issued under Second Liberty Bond Act, as amended
Interest-bearing:

^«.ww,vw

vv,www

Treasury bills .
$ 22,403,014,000
Certificates of indebtedness.
3 2 ,938 .134" .000
Treasury notes
....
20.499.138.000 1 75.8*0.286.000
BondsTreasury .„
..„
90,501.301.450
• Savings (current redemp. value)
51*913.07".*rf*r
Depositary..
....
204,266.500
Investment series
9.524.539.000
152.143.333.424
Special FundsCertificates of indebtedness
.....
23»142,412,000
Treasury notes
„
15,796.733,000
Treasury bonds
6.937.500.000
4^876.645.000
Total interest-bearing.
„
273.860,114,424
Matured, interest-ceased
494,210,449
Bearing no interest:
United States Savings Stamps
...
Excess profits tax refund bonds ......
Special notes of the United States:
Internat'l Monetary Fund series
Total ,~ ~ ~ ~

49,804,117
888,117
632.000.000

Guaranteed obligations (not held by Treasury):
Interest-bearing:
101,142,300
Debentures: F.H.A
952.100
Matured, interest-ceased
_
Grand total outstanding ._..„
,
Balance face amount of obligations issuable under above authority,

682.692.234
275,037,017,107

102.094.400
97^9.111.507
4,860,888,493

Reconcilement with Statement of the Public Debt ,.!~J?tt..J.£.l.~'z!2z.
(Date)
(Daily Statement of the United States Treasury,
«!5-W...s£r.?....„?5®...
..

OutstandingTotal gross public debt..
„
„
Guaranteed obligations not owned by the Treasury...
..
,
Total gross public debt and guaranteed obligations.
„
„
Deduct - other outstanding public debt obligations not subject to Bebt limitation

A-302

(Date)

„

275.466,164,424
102.094.400
275.568.258.824
429.147.317
275.139.111,507

i /

STATUTORY DEBT LIMITATION
As OF JUEI 31. 1958
As 0F
'

*L,

-i. v«/

.. ,

Aug* 7, 1958

to
Washington,
:..?. ».».••«
Section 21 of Second Liberty Bond Act, as amended, provides that the face amount of obligations issued under authority

..hall be considered as its face amount." T h e Act of February 26, 1958, (P.L. 85-336 85th Congress) provides that during the
period beginning on February 26, 1958 and ending June 30, 1959, the above limitation ($275,000,000,000) shall be temporarily
increased by $5,000,000,000.
The following table shows the face amount of obligations outstanding and the face amount which can still be issued under
this limitation:
Total face amount that m a y be outstanding at any one time
$ 2 8 0 , 0 0 0 ,QUO ,O U U
OutstandingObligations issued under Second Liberty Bond Act, as amended
Interest-bearing:
Treasury bills
Certificates of indebtedness
Treasury notes.BondsTreasury
* Savings (current redemp. value)
Depositary.
,
Investment series
Special FundsCertificates of indebtedness
Treasury notes......
Treasury bonds
Total interest-bearing
Matured, interest-ceased
Bearing no interest:
United States Savings Stamps
Excess profits tax refund bonds ....
Special notes of the United States:
Internat'l Monetary Fund series <
Total

$ 22,403,014,000
32.938.134,000
20.499.138,000 1 75.8^K) .286,000
90,501,301,450

51,913.076,474
204,266,500
9.524.539.000 152.143.183.424
23,142,412,000
15,796,733,000
6.937.500.000

45.876.645.000
273,8£0,114,424
494,210,449

49,80^,117
888,117
632.000.000

Guaranteed obligations (not held by Treasury):
Interest-bearing:
101,142,300
Debentures: F.M.A.
Matured, interest-ceased
952.100
mmm
Grand total outstanding ._
,
Balance face amount of obligations issuable under above authority,

682.692.234
275,037,017,107

102.094.400

Reconcilement with Statement of the Public Debt ...r.^^....r..„.t..Zi!P,....
(Date)
(Daily Statement of the United States Treasury,
«FX!te..2.*A...i:?.5?
„
,.
hate)
OutstandingTotal gross public debt
Guaranteed obligations not owned by the Treasury,
Total gross public debt and guaranteed obligations.
Deduct - other outstanding public debt obligations not subject to Hebt limitation

A-302

275.139,111.507
4,860,888,493

)

275,466,164,424
102.094.400
275.568,258,824
429,1^7.312
275.139.111,50?

i 11
jC

m\m mm.

MUABt A. If. mMBfAfmmM, ' A (7 \
Tuesday, August 12, 1953*

---**

The jpreasury Department announced last evening that the tender* tor #1,?00,000,0(
or thereabouts, of 9X*4*y Treasury bills to be dated August 14 and to mature Hovemoer
1958, which were offered on August 7, were opened at the Federal Reserve Banks on
August 11.
the details of this issue are as followst
Total applied for - 12,482,982,000
Total accepted
- 1,700,382,000

(includes 1285,941,000 entered on a noncompetitive basis and accepted in fall
at the average price shown below)

Range of accepted competitive bids: (Excepting two tenders totaling #610,000)
High - 99*640 Equivalent rate of discount approx. 1.424$ pmr annum
Low
- 99.602
«
«
«
u
«.
Average - 99.615 « " » » « 1.524$

x.$l$%

w w

(26 percent of the amount bid for at the low price was accepted)

Federal Eeserve
District

Total
Applied for

Total
Accepted

Boston
Mew York
Philadelphia
Cleveland
Eichwond
Atlanta
Chicago
St, Louis
Minneapolis
Kansajs City
Dallas
San Francisco

$ 30,916,000
1,740,635,000
44,378,000
68,141,000
18,390,000
42,313,000
294,210,000
18,751,000
22,900,000
50,131,000
20,55i|000
131,666,000

I 20,916,000
1,039,235,000
31,378,000
68,141,000
18,390,000
42,313,000
257,510,000
18,751,000
22,900,000
48,131,000
20,551,000
112,166,000

"2,1*82,982,000

$1,700,382,000

TOTAL

TREASURY DEPARTMENT
WASHINGTON, D.C.
RELEASE A. M. NEWSPAPERS,
Tuesday, August 12, 1958*

N ^ ^ /

A-3Q3

The Treasury Department announced last evening that the tenders for $1,700,000,000,
or thereabouts, of 91-day Treasury bills to be dated August 14 and to mature November 13,
1958, which were offered on August 7, were opened at the Federal Reserve Banks on
August lie
The details of this issue are as follows.
Total applied for - $2,482,982,000
Total accepted
- 1,700,382,000

(includes $285,941,000 entered on a noncompetitive basis and accepted in full
at the average price shown below)
Range of accepted competitive bidst (Excepting two tenders totaling $610,000)
Hieh - 99.640 Equivalent rate of discount approx. 1.424$ per annum
Low
- 99.602
»
e « «
«

1.575$ •

Average - 99-615 * • • • « 1.524$ • *
(26 percent of the amount bid for at the low price was accepted)
Federal Reserve
District
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco

TOTAL

Total
Applied for

Total
Accepted

$
30,916,000
1,7140,635,000
44,378,000
68,141,000
18,390,000
42,313,000
294,210,000
18,751,000
22,900,000
50,131,000
20,551,000
131f666,000

$
20,916,000
1,039,235,000
31,378,000
68,l4L,000
18,390,000
42,313,000
257,510,000
18,751,000
22,900,000
48,131,000
20,551,000
112,166,000

$2,482,982,000

$1,700,382,000

-£COTTON WASTES
(In pounds)

V-*
COTTON CARD STRIPS made from cotton having-* staple-of less than 1-3/16 inches in length,-COMBER
WASTE, LAP WASTE, SLIVER WASTE, AND ROVING WASTE, WHETHER OR NOT MANUFACTURED OR OTHERWISE
ADVANCED IN VALUE* Provided, however, that not more than 33-1/3 percent of the quotas shall
be filled by cotton wastes other than comber wastes made from cottons of 1-3/16 inches or more
in staple length in the case- of the following-countries: United Kingdom, France, Netherlands,
Switzerland, Belgium, Germany, and Italy*

Country of Origin

Established
TOTAL QUOTA

United Kingdom . . . • .
4,323,457
Canada
....
239,690
France .......
..
227>420
British India . . . . . .
69*627
Netherlands . . . . . . .
68,240
Switzerland • . . o • • •
44,388
Belgium
38,559
Japan • • . • . • • • •• .•
341,535
China . , . . . . . « « •
17>322
Egypt
8,135
Cuba
6,544
Germany . - • • • • • • • .
76,329
Italy . . . .
......
21.263
5,482,509
1/ Included in total imports, column 2.
Prepared in the Bureau of Customs.

%
Total Imports
: Sept. 20, 1957, to
; August 12, 1958
1,025,225
239,690

Established % I m p o r t s i f
33-1/3$ of s Sept. 20, 1957,
Total Quota ; to August 12, 1958
1,441,152

1,025,225

75,807
66,265
22,747
14,796
12,853

24,788
6,915

25,443
7,088

24,788
6,915

1,362,883

1,599,886

1,056,928

TREASURY DEPARTMENT
Washington, D. C.
IMMEDIATE RELEASE

A-304

Wednesday, August 13, 1958.

Preliminary data on imports for consumption of cotton and cotton waste chargeable to the quotas
established "by the President's Proclamation of September 5, 1939, as amended
COTTON (other than linters) (in pounds)
Cotton under 1-1/8 inches other than rough or harsh under 3/4"
Imports September 20, 1957 - August 12, 1958

783,816
247,952
2,003,483
1,370,791
8,883,259
618,723
475,124
5,203

237
9,333

Imports

10,896
-

8,883,259
600,000
_

3,649
-

Country of Origin
Honduras
Paraguay
Colombia ..............
Iraq
British East Africa ...
Netherlands E. Indies .
Barbados
l/Other British W. Indies
Nigeria
2/Other British W. Africa
3/Other French Africa ...
Algeria and Tunisia «,..

l/ Other than Barbados, Bermuda, Jamaica, Trinidad, and Tobago.
2/ Other than Gold Coast and Nigeria.
3/ Other than Algeria, Tunisia, and Madagascar.
Cotton 1-l/8" or more
Imports August 1, 1958 - August 12, 1958
Established Quota (Global) - 4^,656,420 Lbs.
Allocation
Staple Imports
Length
1-3/8" or more
1-5/32" or more and under
1-3/8" (Tanguis)
1-1/8" or more and under
1-3/8"

39,590,778

37,478,933

1,500,000 ,957,778
Ju§65,642 4,565,642

Established Quota

Imports

752
• 871
124
195
2,240
71,388

21,321
5,377
16,004
689

1 1

Egypt and the AngloEgyptian Sudan ....
Peru
British India
China
Mexico
Brazil
Union of Soviet
Socialist Republics
Argentina
Haiti
,
Ecuador
,

Established Quota

Country of Origin

TREASURY DEPARTMENT

Washington, D. C.
IMMEDIATE RELEASE

A-304

Wednesday, August 13* 195o.
t

Preliminary'' data on imports for consumption of cotton and cotton waste chargeable to the quotas
established by the President's Proclamation of September 5, 1939, as amended
COTTON (other than linters) (in pounds)
Cotton under 1-1/8 inches other than rough or harsh under 3/4"
Imports September 20, 1957 - August 12, 1958
Country of Origin
E.rypt and the AngloEgyptian Sudan
Peru
British India
China
,
Mexico
Brazil
Union of Soviet
Socialist Republics
Argentina
,

Established Quota

783,816
247,952
2,003,483
1,370,791
8,883,259
618,723
475,124
5,203

237
Ecuador

9,333

Country of Origin

Imports

10,896
-

8,883,259
600,000
00

3,649
»
-

Honduras
Paraguay
Colombia
Iraq
British East Africa ...
Netherlands E. Indies .
Barbados
l/Other British W. Indies
Nigeria
2/Other British W. Africa
3/0ther French Africa ...
Algeria and Tunisia ...

1/ Other than Barbados, Bermuda, Jamaica, Trinidad, and Tobago.
2/ Other than Gold Coast and Nigeria.
3/ Other than Algeria, Tunisia, and Madagascar.
Cotton 1-l/8" or more
1
Imports August 1, 19 5^ - August 127*1958 1 - - Established Quota (Global) - 45,656,420 Lbs.
Staple Length
1-3/8" or more
1-5/32" or more and under
1-3/8" (Tanguis)
l-l/8" or more and under

1-3/8"

Allocation

Imports

39,590,778

37,478,933

1,500,000 ,957,778
4,565,642 4,565,642

Established Quota

Imports

752
• 871
124
195
2,240
71,388

21,321
5,377
16,004
689

COTTON WASTES
Xln pounds)
COTTON CARD STRIPS made:from cotton having-*'staple--of less than 1-3/16 inches in length, COMBER
WASTE, LAP WASTE, SLIVER WASTE, AND ROVING WASTE, WHETHER OR NOT MANUFACTURED OR OTHERWISE
ADVANCED IN VALUEt Provided, however., that not more than 33-1/3 percent of the quotas shall
be filled by cotton -wastes other than comber wastes made from cottons of 1-3/16 inches or more
in staple length in the case- of the- following countries % United Kingdom, France, Netherlands,
Switzerland, Belgium, Germany, and Italys
Established
TOTAL QUOTA

Country of Origin

United Kingdom
Canada . . . .
France . . . .
British India -,
Netherlands . ,
Switzerland . ,
Belgium -. • . ,
Japan • » • « <
China . • • . ,
Egypt « • • • .
Cuba . . . .
Germany •- • • .
lx>axy « • » »

•

9 •
» 9
9 9
9 .

. .
9 .

« .

Total Imports
Sept. 20, 1957, to
August 12, 1958

Established
33-1/2* of
Total Quota
1,441,152

Imports
l/
Sept. 20, 19 57,
to August 12, 1958
1,025,225

4,323,457
239,690
227,420
69,627
68,240
44,388
38,559
341,535
17,322
8,135
6,544
76,329
. 21,263

1,025,225
239,690

24,788
6.915

25,443
7,088

24,788
6,915

5,482,509

1,362,883

1,599,886

1,056,928

if Included in total imports, column 2<
Prepared in the Bureau of Customs.

75,807
66,265
22,747
14,796
12,853

- 2 -

Unit :
of : Imports as of
Quantity: Aug. 2, 1958

Commodity

Absolute Quotas:
Peanuts, shelled, unshelled,
blanched, salted, prepared, or
12raos.from
preserved (incl. roasted peanuts but not peanut butter) ... Aug. 1, 1958
12 mos. from
Rye, rye flour, and rye meal ...
July 1, 1958
Canada
Other Countries
Butter substitutes, including
butter oil, containing 45$
or more butterfat
Tung oil •

Calendar Year

1,709,000

Pound

, 1,310,794*

182,280,000 Pound
3,720,000 Pound

179,258,186*

1,200,000

Pound

Feb. 1 - Oct. 31, 1958
Argentina
18,475,901 Pound
Paraguay
2,437,128 Pound
Other Countries
739,366 Pound

* - Imports through August 11, 1958

1,199,991
Quota Filled
Quota Filled
Quota Filled

TREASURY DEPARTMENT
Washington, D. C.

IMMEDIATE RELEASE

Wednesday, August 13, 1958.

A-305

11?

The Bureau of Customs announced today preliminary figures showing the imports
for consumption of the commodities listed below within quota limitations from the
beginning of the quota periods to August 2, 1958, inclusive, as follows:

Unit
:
of
: Imports as of
Quantity: Aug. 2, 1958

Commodity

Tariff-Rate Quotas:
1,500,000

Gallon

118

3,000,000

Gallon

148

200,000

Head

14,065

July 1, 1958 120,000
Sept. 30, 1958

Head

29,024

Cream, fresh or sour

Calendar Year

Whole milk, fresh or sour

Calendar Year

Cattle, less than 200 lbs. each12 mosi from
April 1, 1958
Cattle, 700 lbs. or more each
(other than dairy cows)

Fish, fresh or frozen, filleted,
etc., cod, haddock, hake,
pollock, cusk, and rosefish ... Calendar Year

35,892,221

Pound

Quota Filled'

Tuna fish Calendar Year

44,693,874

Pound

26,636,243

• 12 mos. from
114,000,000
. „ Sept. 15, 1957 36,000,000

Pound
Pound

Quota Filled!
Quota Filled!

Pound

2,347,688

5,000,000

Pound

4,927,869

3,000,000

Pound

80,000,000

Pound 782,204

14,200,000

Pound Quota Filled

White or Irish potatoes:
Certified seed
Other
Walnuts Calendar Year

Almonds, shelled, blanched,
roasted, or otherwise prepared
or preserved •

5,000,000
Oct. 23, 1957 Sept. 30, 1958

Alsike clover seed 12 mos. from
July 1, 1958
Peanut oil 12 mos. from
July 1, 1958
Woolen fabrics Calendar Year

(l) Imports for consumption at the quota rate are limited to 26,919,165 lbs. during
the first nine months of the calendar year.
(continued)

JL i ^
TREASURY DEPARTMENT
Washington, D. C.
MEDIATE RELEASE

ednesday, August 13, 1958.

A-305

The Bureau of Customs announced today preliminary figures showing the imports
)r consumption of the commodities listed below within quota limitations from the
jginning of the quota periods to August 2, 1958, inclusive, as follows:

Unit
:
of
: Imports as of
Quantity: Aug. 2, 1958

Commodity

ariff-Rate Quotas:
Gallon

118

3,000,000

Gallon

148

Vittle, less than 200 lbs. each 12 mos. from
April 1, 1958

200,000

Head

14,065

kittle, 700 lbs. or more each
[other than dairy cows)

120,000

Head

29,024

Ish, fresh or frozen, filleted,
trite, cod, haddock, hake,
jollock, cusk, and rosef ish ..« Calendar Year

35,892,221

Pound

Quota Filled^ 1 )

Calendar Year

44,693,874

Pound

26,636,243

12 mos. from
Sept. 15, 1957

11*+, 000, 000
36,000,000

Pound
Pound

Quota Filled
Quota Filled

Calendar Year

5,000,000

Pound

2,347,688

Pound

4,927,869

ream, fresh or sour

Calendar Year

lole milk, fresh or sour

Calendar Year

ina fish
:a:,ite or Irish potatoes:
;aiiertified seed
ther
lnuts

July 1, 1958
Sept. 30, 1958

nonds, shelled, blanched,
pasted, or otherwise prepared Oct. 23, 1957 •
r preserved •
., Sept. 30, 1958
3ike clover seed

;anut oil ..

>len fabrics

1,500,000

5,000,000

12 mos. from
July 1, 1958

3,000,000

Pound

12 mos. from
July 1, 1958

80,000,000

Pound

Calendar Year

14,200,000

Pound

782,204
Quota Filled

Imports for consumption at the quota rate are limited to 26,919,165 lbs. during
the first nine months of the calendar year.

(continued)

- 2-

Unit :
of
: Imports as of
Quantity: Aug. 2, 1938

Commodity

"Absolute Quotas:
Peanuts, shelled, unshelled,
blanched, salted, prepared, or
12 mos. from
preserved (incl. roasted peaAug.
1, 1958
nuts but not peanut butter) ...
12 mos. from
Rye, rye flour, and rye meal ...
July 1, 1958
Canada
Other Countries
Butter substitutes, Including
butter oil, containing 45$
or more butterfat
Tung oil

Calendar Year

1,709,000

Pound

1,310,794*

182,280,000
3,720,000

Pound
Pound

179,258,186*

1,200,000

Pound

1,199,991

Feb. 1 - Oct. 31, 1958
Argentina
18,475,901 Pound
Paraguay
2,437,128 Pound
Other Countries
739,366 Pound

* - Imports through August 11, 1958

Quota Filled
Quota Filled
Quota Filled

TREASURY DEPARTMENT
Washington, D. C.

* Q
i-*-^

IMMEDIATE RELEASE

A-306

Wednesday, August 13. 1958.

The Bureau
figures showing
August 2, 1958,
lished pursuant
1955:

of Customs announced today the following preliminary
the imports for consumption from January 1, 1958, to
inclusive, of commodities for which quotas were estabto the Philippine Trade Agreement Revision Act of

Commodity

Buttons

Established Annual
Quota Quantity
807,500

: Unit of
: Quantity
Gross

Imports as of
August 2, 1958

261,778

Cigars

190,000,000

Number

2,231,063

Coconut oil

425,600,000

Pound

112,260,728

Cordage

6,000,000

Pound

2,964,835

(Refined
Sugars
(Unrefined ....

1,904,000,000

Pound "

Tobacco

6,175,000

_19,231,870
1,291,7757895
Pound

2,254,033

imH
TREASURY DEPARTMENT
Washington, D. C.

IMMEDIATE RELEASE

Wednesday, August 13, 1958.

The Bureau
figures showing
August 2, 1958,
lished pursuant
1955:

Commodity

A-306

: Established Annual : Unit of
: Quota Quantity
: Quantity

Buttons

807,500

Gross

Imports as of
August 2, 1958
261,778

Cigars

190,000,000

Number

2,231,063

Coconut oil .......

425,600,000

Pound

112,260,728

Cordage

6,000,000

Pound

2,964,835

(Refined ......
Sugars'
(Unrefined •.•,

1,904,000,000

Pound

Tobacco .

6,175,000

19,231,870
1,291,776,895
Pound

2,254,033

TREASURY DEPARTMENT
Washington, D. C.

12:
IMMEDIATE RELEASE,

Wednesday, August 13, 1958.

A-307

The Bureau of Customs announced today preliminary figures showing the
quantities of wheat and wheat flour entered, or withdrawn from warehouse, for
consumption under the import quotas established in the President's proclamation
of May 28, lQlil, as modified by the President's proclamation of April 13, 191*2,
for the 12 months commencing May 29, 1958, as follows:

1
TSheat flour, semolina,
\
crushed or cracked
\
wheat, and similar
:
wheat products
ii Established •
Imports
s Established j
Imports
Quota
Quota
tMay 291 1958, to j
t May 29, 1958,
sAugust 2, 1958
j
s to Aug. Z. 1958
(Bushels)
(Bushels)
(Pounds)
(Pounds)
;

Country

of
Origin

7/heat

Canada
795,000
China
Hungary
Hong Kong
Japan
United Kingdom
100
Australia
Germany
100
Syria
*100
New Zealand
Chile
100
Netherlands
2,000
Argentina
Italy
100
Cuba
1,000
France
Greece
Mexico
100
Panama
Uruguay
Poland and Danzig
Sweden
Yugoslavia
Norway
Canary Islands
1,000
Rumania
Guatemala
100
100
Brazil
Union of Soviet
Socialist Republi cs
100
Belgium
100
mm

•J.

795,000
_
_
_
_
_
_
_
_
_
_.
_
_
_
_
„

mm
mm

3,815,000
2U,00©
13,000
13,000
8,000
75,000
1,000
5,000
5,000
1,000
1,000
1,000
111 ,000
2,000
12,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
—
—
-

3,815,000
_
_
_
_
_
mi

_
_'
_
„

_
800_

220
mm

_
mm
mm

«.
mn
mm
wm
m.

„

TREASURY DEPARTMENT
V/ashington, D. C.

IMMEDIATE RELEASE,

Wednesday, August 13, 1958.

A-307

The Bureau of Customs announced today preliminary figures showing the
quantities of wheat and wheat flour entered, or withdrawn from warehouse, for
consumption under the import quotas established in the President's proclamation
of May 28, 19^1, as modified by the President's proclamation of April 13, 191*2,
for the 12 months commencing May 29, 1958, as follows s

«
•

Wheat

Country

of
Origin

s Established s
«
•

Imports
sMay 29,, 1958, to
jAugust 2, 1958
(Bushels)
(Bushels)
Quota

•

Canada
795,000
China
Hungary
Hong Kong
Japan
United Kingdom
100
Australia
100
Germany
*100
Syria
New Zealand
Chile
100
Netherlands
2,000
Argentina
Italy
100
Cuba
1,000
France
Greece
100
Mexico
Panama
_
Uruguay
Poland and Danzig
Sweden
Yugoslavia
Norway
Canary Islands
1,000
Rumania
Guatemala
100
100
Braail
Union of Soviet
Socialist Republics
100
Belgium
100
mm

795,,000
_
_
_
_
_
_
-

j Wheat flour, semolina,
s
crushed or cracked
j
wheat, and similar
:
wheat products
s Established' %
Imports
:
Quota
s May 29, 1958,
8 to Aug. 2, 1958
j
(Pounds)
(Pounds)
3,815,000
2li,000
13,000
13,000
8,000
75,000
1,000
5,000
5,000
1,000
1,000
1,000
Ui,000
2,000
12,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
1,000
—
—
—

3,815,000
-

800-

220
_
_
_
_
~
-

- 3-

mm
< i
or by any local taxing authority.

For purposes of taxation the amount of discount

at which Treasury bills are originally sold by the United States is considered

be interest. Under Sections k$h (b) and 1221 (5) of the Internal Revenue Code o
195U the amount of discount at which bills issued hereunder are sold is not
considered to accrue until such bills are sold, redeemed or otherwise disposed
and such bills are excluded from consideration as capital assets. Accordingly,

the owner of Treasury bills (other than life insurance companies) issued hereun

the terms of the Treasury bills and govern the conditions of their issue. Copie
of the circular may bo obtained from any Federal Reserve Bank or Branch.

- 2 XXUSA

Secretary of the Treasury expressly reserves the right to accept or reject any o
all tenders, in whole or in part, and his action in any such respect shall be

final. Subject to these reservations, noncompetitive tenders for $200,000 or les

without stated price from any one bidder will be accepted in full at the average
price (in three decimals) of accepted competitive bids. Settlement for accepted

tenders in accordance with the bids must be made or completed at the Federal Reserve Bank on August 21, 1958 , in cash or other immediately available funds
or in a like face amount of Treasury bills maturing August 21, 1958 . Cash

30LW
and exchange tenders will receive equal treatment. Cash adjustments will be made

for differences between the par value of maturing bills accepted in exchange and
the issue price of the new bills.
The income derived from Treasury bills, whether interest or gain from the

sale or other disposition of the bills, does not have any exemption, as such, an
loss from the sale or other disposition of Treasury bills does not have any
special treatment, as such, under the Internal Revenue Code of 19$k. The bills
are subject to estate, inheritance, gift or other excise taxes, whether Federal

or State, but are exempt from all taxation now or hereafter imposed on the princ

or interest thereof by any State, or any of the possessions of the United States

TREASURY DEPARTMENT
Washington

A. M.
BfiR RELEASE^ XKKHSHS NEWSPAPERS,
Thursday, August Xk9 1958
.
The Treasury Department, by this public notice, invites tenders for
$1,800,000,000

, or thereabouts, of

in exchange for Treasury bills maturing

-day Treasury bills, for cash and
August 21, 1958

, in the amount of

m
$ 1,800,750,000 , to be issued on a discount basis under competitive and noncompetitive bidding as hereinafter provided. The bills of this series will be
dated August 21, 1958
, and will mature November 20, 1958
w n e n the face

\Kg}

rr*

amount will be payable without interest. They will be issued in bearer form only,
and in denominations of $1,000, $5,000, $10,000, $100,000, $500,000 and $1,000,000
(maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
one-thirty
Daylight Saving
closing hour, xtaa/o'clock p.m., Eastern/s*ffl58S3&t time, Monday, August 18, 1958

IP
Tenders will not be received at the Treasury Department, Washington. Each tender
must be for an even multiple of $1,000, and in the case of competitive tenders
the price offered must be expressed on the basis of 100, with not more than three
decimals, e. g., 99*92$. Fractions may not be used.

It is urged that tenders

RELEASE A'.M. NEWSPAPERS,
Thursday, August 14, 1958.

A-308

The Treasury Department, by this public notice, invites tenders
for $l,o00,000,000, or thereabouts, of 91-day Treasury bills, for
cash and in exchange for Treasury bills maturing August 21, 1958,
in the amount of $1,800,750,000, to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of this series will be dated August 21, 1958,
and will mature November 20, 1958,
when the face amount will be
payable without interest. They will be Issued In bearer form only,
and in denomination of $1,000, $5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, one-thirty o*clock p.m., Eastern Daylight
Saving time, Monday, August 18, 1958.
Tenders will not be
received at the Treasury Department, Washington. Each tender must
be for an even multiple of $1,000, and in,the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e. g., 99.925- Fractions may not
be used. It is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking Institutions will not be permitted to submit
tenders except for their own account. Tenders will be received
without deposit from Incorporated banks and trust companies and from
responsible and recognized dealers In investment securities. Tenders
from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an Incorporated bank
or trust company.
Immediately after the closing hour, tenders will be opened at the
Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
range of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereof. The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
in whole or In part, and his action in any such respect shall be
final. Subject to these reservations, non-competitive tenders for
$200,000 or less without stated price from any one bidder will be
accepted in full at the average price (in three decimals) of accepted

- 2 competitive bids. Settlement for accepted tenders in accordance
with the bids must be made or completed at the Federal Reserve Bank
on August 21, 1958,
in cash or other immediately available funds
or in a like face amount of Treasury bills maturing August 21, 1958.
Cash and exchange tenders will receive equal treatment. Cash
adjustments will be made for differences between the par value of
maturing bills accepted in exchange and the issue price of the new
bills.
The income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, does not have
any exemption, as such, and loss from the sale or other disposition
of Treasury bills does not have any special treatment, as such,
under the Internal Revenue Code of 1954. The bills are subject
to estate, inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the
possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury
bills are originally sold by the United States is considered to
be Interest. Under Sections k$k (b) and 1221 (5) of the Internal
Revenue Code of 1954 the amount of discount at which bills issued
hereunder are sold is not considered to accrue until such bills
are sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets. Accordingly, the
owner of Treasury bills (other than life insurance companies)
issued hereunder need Include in his Income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount actuallyreceived either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or
loss.
Treasury Department Circular No. 4l8, Revised, and this
notice, prescribe the terms of the Treasury bills and govern the
conditions of their Issue. Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.
0O0

PUBLIC DEBT SUBJECT TO LIMIT
$Bil.

288%
Proposal -»•
281%

,278 280\

285»

1
)
JV' 283.3

r* •
275. r-^""-]

280

_<r.275
Estimated

270

260

250

l " l

1954
v

Office of the Secretary of the Treasury

1955

1956

1957
Fiscal Years

1958

'•I'iI• M iiI iiI.i I

1959

I I

I •

I960 1961
'

B-II50-F

PUBLIC DEBT SUBJECT TO LIMIT
$Bil.

288%

285

Proposal
28lv^

278
ZSO\
CIO
t-W\/ -V

280

P&* 283.3
: ^

•

_275V r--&* 1

___<r_2J_5.
Estimated

270

260

250

1954

1955

1956

1957

1958

1959

I960 1961

Fiscal Years

B-II50-F

Office of the Secretary of the Treasury

(in billions)

C7>
OJ
i-i

Change in general fund balance —

July
1958

Aug.

Sept.'

-4.7

+1.2

9-7

5.0

-..2
6.2

Oct.

Nov.

Subtotal
D e c July-Dec.

-1-3

+1.1

4-7

Jan.
1959

Feb.

Mar.

Apr.

-5.2

+1.7

-1.0

-1.7

+.2

3-4

.9-7

4.5

6.2

5-2

3-5

May

June

Total

-.2

-4.8

3-7

5.1

9-7

4.6
General fund balance at end
Operating cash balance at e n d
(including gold) §J

5-0

6.2

\h£

4-7

3-4

4.5

4-5

6.2

5-2

3-5

3-7

5-1

4.9

^.3

5.6

4.0

4.1

2.8

3-9

5-5

4.6

2.9

3-0

4-5

4.2

276.3
-.4

275-9
+2.9

276.4: 280.2
-.2
+3-8

280.O
+2.2

276-3
+5-9

282.2
+3-0

285.2
-.8

284.4
-3-6

280.8
+3-1

283.9
+2.2

286.1
-2.5

276.3
+7-3

275-9

278.8 J 276.4

280.2

280.0

282.2

285.2

284.4

280.8

283.9

286.1

283.6

281.9

284.9

284.1

280 = 5 283.6

285.8

283-3

283.3

5-7
285.1

3-4
283.7

2.8
283.7

3-8
284.8

Public debt outstanding:

Mid-month figures:
Operating cash balance (including gold) a/ Debt subject to limit

278.8
•~-2.lV

275-6

278-5

276. 1: 279-9

279-7

281.9

6.0
275-7

5-2
277.8

2.2
276.3

3-0
279-6

2.9
282.0

5-5
280.2

4.2
283.7

m-l

2.2
285-5
1

This balance differs from the General Fund Balance as it includes
only Treasury accounts in Federal Reserve Banks (collected),
Treasury Tax and Loan Accounts and gold in General Fund.
Ju

iy 30, 1958

ACTUAL CASH BALANCE AMD DEBT JANUARY - JUNE 1958,
AND~FORECAST JULY, 1958 - JUNE 1959 BASED ON CONSTANT
OPERATING CASH BALANCE OF $3-5 BILLION (excluding "free gold)
(Based on tentative estimates - subject to revision)
(in billions)
Operating Balance
Federal Reserve Banks Public Debt
and Depositaries
subject to
(excluding free gold) limitation
ACTUAL
January 15, 1958
January 31
February 15
February 2 8 *

$1.7
2.2
1-7
3-4

$274.1
274.2
274.0
274.3

March 15
March 31
April 15
April 30

2.8
5.1
5.0
5.2

275-3
272.3
274.9
274.7

May 15
May 31
June 15
June 30

4.6
5-1
3-3
8.6

274.6
275-3
274.9
276.O

ESTIMATED
July 15 (actual)
July 31
August 15
August 31

Allowance to provide flexibility
in financing and
for
contingencies

275-2
275.2
276.5
276.8

$3.0
3-0
3-0

$278.2
2',!9-5
279-8

September 15
September 30
October 15
October 31

3-5
3-5
3-5
3-5

277.6
275.6
278.6
279.7

3-0
3-0
3-0
3-0

November 15
November 30
December 15
December 31

3-5
3-5
3-5
3-5

280.5
280.8
283.0
281.9

3-0
3-0
3-0
3-0

2,3-5
283-8
286.0
284.9

January 15, 1959
January 31
February 15
February 28

3-5
3-5
3-5
3-5

283.3
283.3
284.2
283.4

3-0
3-0
3-0
3-0

286.3
286.3
287.2
286.1)

March 15
March 31
April 15
April 30

3-5
3-5
3-5
3-5

284.8
281.5
283.4
284.5

3-0
3-0
3-0
3-0

287.8
284/
286.4
287.

3-5
3-5
3-5
3-5

284.9
285.2
287.2
283.0

3.0
3-0
3-0
3-0

May 15
May 31
June 15
June 30

127 3.
25 2.7

Statutory debt limitation of $275 billion was temporarily increased on February 26
1958 to $280 billion until June 30, 1959.
NOTE:

When the 15th of a month falls on Saturday or Sunday, the figures relate to the
following business day.
* **>

July 30, 1958?

1 Q-«
mU, \J J^

from tax collections prior to the expiration of the temporary increases
in the debt limit, and in fact they were. In the situation *we now face,
that is not the case. At this point I would like to direct your attention
to the attached chart which graphically illustrates this situation*
It would appear that the only sound course at the present time is to
permanently increase the statutory limit to $285 "billion. In addition, a
further temporary increase of $3 billion will afford us a margin to take
care of contingencies. Furthermore, a regular limit of $285 billion may
present problems to the Treasury before the end of the fiscal year because
there are still substantial seasonal fluctuations in the collection of
revenues. We will have to look at the situation again before the end of
the fiscal year to determine our course of action beyond that date in the
light of developments. When budget surpluses are again in prospect, the
matter of the permanent limit can be reviewed.
The figures we are using today do not include any changes in estimated
expenditures which could eventuate due to recent developments in the
international situation. These developments do, however, point up the
need for being in a position to take care of contingencies.
I am appending a table setting forth our forecast of cash balances
and outstanding public debt for the period ending June 50, 1959, including
actual figures for the period from January to June 1958.

0O0

- 3-

amount of public debt and guaranteed obligations subject to the debt limit
was $276,013,000,000 as compared to the debt subject to limit on June 30,
1957, of $270,188,000,000,
The general fund balance on June 30, 1958, amounted to about
$9,750,000,000, but the cash working balance (funds available to meet the
day-to-day expenditures representing balances in Federal Reserve Banks in
available funds and in Treasury tax and loan accounts) amounted to
$8,628,000,000, or about $4 billion higher than on June 30, 1957* The
lower balance a year ago was due to the fact that a large part of the tax
collections in that month was used to retire public debt obligations.
These reductions (of tax anticipation issues) amounted to $4,650,000,000
in June 1957> while in June 1958 there were no maturing tax anticipation
issues, and outstanding marketable public debt obligations increased about
$650,000,000. However, the lower 1957 balance made it necessary for the
Treasury to borrow $3 billion on July 5, 1951, to cover the heavy outlays
during July last year. With the higher balances on June 30, 1958, the
Treasury did not have to do any cash financing this July, even though

expenditures are expected to exceed receipts by $4.7 billion during the mont
We are borrowing $3.5 billion in early August for cash requirements of the
next couple of months.
The statutory debt limit should be amended to give recognition to the
current outlook for the year. During the period since 1954, while the
Treasury has been operating under temporary increases in the public debt
limit, and public debt obligations were issued in excess of the permanent
debt limit, it could be reasonably estimated that the excess could be repaid

- 2 profits, which are such an important source of revenue, and the extent of
the duration of the interruption in the growth of personal income were
hard to foresee for a period extending 18 months into the future.
Instead of a budget deficit of $388 million for the year ended June 30,
we incurred a deficit of $2.8 billion. This deficit was brought about because
our net revenues amounted to $69*1 billion, against the January estimates
of $72.4 billion.
Instead of entering the current fiscal year ending June 30, 1959>
with an anticipated budget surplus of $466 million, we are now faced with
an estimated budget deficit of about $12 billion. This amount is based on
estimates of $79 billion for expenditures and $67 billion for receipts. In
giving these estimates we recognize the difficulty of making judgments this
far ahead. They are our best estimates, and as such, provide a reasonable
approach to consideration of the debt limit.
This substantial change in the outlook of our fiscal situation for the
current year makes it imperative that we again review the statutory debt
limit. We can no longer operate with a $5 billion temporary extension of
the $275 billion limit because we cannot look forward to a debt of $275 billion
or less on June 30, 1959. The estimated deficit will result in the public
debt outstanding on June 30, 1959, of nearly $285 billion. It is estimated
that our cash working balance will amount to between $4 to $5 billion on
that date.
An increase in the debt limit is needed even though the general fund
balance in the Treasury on June 30, 1958, amounted to about $9,750,000,000,
as compared to $5,590,000,000 on June 30, 1957. 0 Q June 30, 1958, the gross

TREASURY DEPARMEHT
Washington
Statement by Secretary of the Treasury Robert B. Anderson before
the Senate Finance Committee on H. R. 13580, a bill to increase
the public debt limit, 10 A.M., E.D.T., Friday, August 15, 1958.
The President requested on July 28, in letters addressed to the Speaker
of the House and the President of the Senate, that the Congress increase the
regular statutory debt limit to $285 billion and provide an additional
temporary increase of $3 billion to expire June 30, i960. H.R. 13580 was
passed by the House on August 6 to carry out the Presidents request. I
am appearing this morning to urge your favorable consideration of this bill.
I appeared before this Committee last January to urge enactment of a bill
to provide a temporary increase of $5 billion in the statutory limit on
the public debt. The bill was enacted and approved on February 26, 1958,
and provides a temporary increase from $275 billion to $280 billion until
June 30, 1959, in the limit on the public debt.
When I appeared in January, the need for a debt-limit increase was
predicated on the following factors:
1. The fact that cash balances should be maintained at a more
adequate and prudent level.
2. There was need for more flexibility to allow efficient and
economical management of the debt.
3. Even with a balanced budget there would still be large
seasonal fluctuations in receipts which would make operations
under the $275 billion limit most difficult.
The budget estimates on which we made our recommendation anticipated a
deficit for the fiscal year ending June 30, 1958, of $388 million, and a
surplus for the fiscal year ending June 30, 1959, of about $466 million.
At that time, it was particularly difficult to estimate the extent of the
change in economic conditions. The impact of the recession on corporate
A-309

TREASURY DEPARTMENT
Washington

IK
y -^

Statement by Secretary of the Treasury Robert B. Anderson before
the Senate Finance Committee on H.' R. 13580, a bill to increase
the public debt limit, 10 A.Mo, E.D.T., Friday, August 15, 1958.

The President requested on July 28, in letters addressed to the Speaker
of the House and the President of the Senate, that the Congress increase the
regular statutory debt limit to $285 billion and provide an additional
temporary increase of $3 billion to expire June 30, i960. H.R. 13580 was
passed by the House on August 6 to carry out the President's request. I
am appearing this morning to urge your favorable consideration of this bill.
I appeared before this Committee last January to urge enactment of a bill
to provide a temporary increase of $5 billion in the statutory limit on
the public debt. The bill was enacted and approved on February 26, 1958,
and provides a temporary increase from $275 billion to $280 billion until
June 30, 1959, in the limit on the public debt.
When I appeared in January, the need for a debt-limit increase was
predicated on the following factors;
1. The fact that cash balances should be maintained at a more
adequate and prudent level.
2. There was need for more flexibility to allow efficient and
economical management of the debt.
3. Even with a balanced budget there would still be large
seasonal fluctuations in receipts which would make operations
under the $275 billion limit most difficult.
The budget estimates on which we made our recommendation anticipated a
deficit for the fiscal year ending June 30, 1958, of $388 million, and a
surplus for the fiscal year ending June 30, 1959> of about $466 million.
At that time, it was particularly difficult to estimate the extent of the
change in economic conditions. The impact of the recession on corporate
A-309

- 2 -

-. Q£
mL. y

profits, which are such an important source of revenue, and the extent of
the duration of the interruption in the growth of personal income were
hard to foresee for a period extending 18 months into the future .
Instead of a budget deficit of $388 million for the year ended June 30,
we incurred a deficit of $2,8 billion. This deficit was brought about because
our net revenues amounted to $69•! billion, against the January estimates
of $72.4 billion.
Instead of entering the current fiscal year ending June 30, 1959,
with an anticipated budget surplus of $466 million, we are now faced with
an estimated budget deficit of about $12 billion. This amount is based on
estimates of $79 billion for expenditures and $67 billion for receipts. In
giving these estimates we recognize the difficulty of making judgments this
far ahead. They are our best estimates, and as such, provide a reasonable
approach to consideration of the debt limit.
This substantial change in the outlook of our fiscal situation for the
current year makes it imperative that we again review the statutory debt
limit. We can no longer operate with a $5 billion temporary extension of
the $275 billion limit because we cannot look forward to a debt of $275 billion
or less on June 30, 1959* The estimated deficit win result in the public
debt outstanding on June 30, 1959, of nearly $285 billion. It is estimated
that our cash working balance will amount to between $4 to $5 billion on
that date.
An increase in the debt limit is needed even though the general fund
balance in the Treasury on June 30, 1958, amounted to about $9,750,000,000,
as compared to $5,590,000,000 on June JO, 1957- On June 30, 1958, the gross

- 5-- y i

amount of public debt and guaranteed obligations subject to the debt limit
was $276,013,000,000 as compared to the debt subject to limit on June 30,
1957, of $270,188,000,000.
The general fund balance on June 30, 1958, amounted to about
$9,750,000,000, but the cash working balance (funds available to meet the
day-to-day expenditures representing balances in Federal Reserve Banks in
available funds and in Treasury tax and loan accounts) amounted to
$8,628,000,000, or about $4 billion higher than on June 30, 1957. The
lower balance a year ago was due to the fact that a large part of the tax
collections in that month was used to retire public debt obligations.
These reductions (of tax anticipation: issues) amounted to $4,650,000,000
in June 1957* while in June 1958 there were no maturing tax anticipation
issues, and outstanding marketable public debt obligations increased about
$650,000,000. However, the lower 1957 balance made it necessary for the
Treasury to borrow $3 billion on July 3, 1957, to cover the heavy outlays
during July last year. With the higher balances on June 30, 1958, the
Treasury did not have to do any cash financing this July, even though
expenditures are expected to exceed receipts by $4.7 billion during the month.
We are borrowing $3.5 billion in early August for cash requirements of the
next couple of months.
The statutory debt limit should be amended to give recognition to the
current outlook for the year. During the period since 1951*-, while the
Treasury has been operating under temporary increases in the public debt
limit, and public debt obligations were issued in excess of the permanent
debt limit, it could be reasonably estimated that the excess could be repaid

1 1A
±-y>^

-4 from tax collections prior to the expiration of the temporary increases
in the debt limit, and in fact they were. In the situation we now face,
that is not the case. At this point I would like to direct your attention
to the attached chart which graphically illustrates this situation.
It would appear that the only sound course at the present time is to
permanently increase the statutory limit to $285 billion. In addition, a
further temporary increase of $3 billion will afford us a margin to take
care of contingencies. Furthermore, a regular limit of $285 billion may
present problems to the Treasury before the end of the fiscal year because
there are still substantial seasonal fluctuations in the collection of
revenues. We will have to look at the situation again before the end of
the fiscal year to determine our course of action beyond that date in the
light of developments. When budget surpluses are again in prospect, the
matter of the permanent limit can be reviewed.
The figures we are using today do not include any changes in estimated
expenditures which could eventuate due to recent developments in the
international situation. These developments do, however, point up the
need for being in a position to take care of contingencies.
I am appending a table setting forth our forecast of cash balances
and outstanding public debt for the period ending June 30, 1959, including
actual figures for the period from January to June 1958.

0O0

1Q
mm. y

ACTUAL CASH BALANCE AND DEBT JANUARY - JUNE 1958,
AND FORECAST JULY, 1958 - JUNE 1959 BASED ON CONSTANT
OPERATING CASH BALANCE OF $3-5 BILLION (excluding free gold)
(Based on tentative estimates - subject to revision)
(in "billions)
Operating Balance Allowance to proFederal Reserve Banks Public Debt
and Depositaries
subject to
(excluding free gold) limitation
ACTUAL
January 15, 1958 —
January 31 February 15
February 28*

$1-7
2.2
1.7
3-^

$274.1
274.2
274.0
274.3

March 15 2.8 275-3
March 31
April 15
April 30

5*1
5-0
5-2

272.3
274.9
27^.7

May 15 — 4.6 274.6
May 31 —
June 15
—
June 30

5-1
3.3
8.6

275-3
27^.9
276.0

ESTIMATED
July 15 (actual) —
July 31
August 15 —
August 31

5-5
3-5
3-5
3-5

275-2
275-2
276.5.
276.8

vide flexibility
in financing and
for
contingencies

Total public
debt limitation required

$3.0
3.0
3.0

$278.2
279-5
279-8

75-6
278.6
279-7

3-0
3.0
3-0

278.6
281.6
282.7

November 15 - 3-5 280.5 3-0 283.5
November 30
3-5
December 15
3-5
December 31
-3-5

280.8
283.0
281.9

3-0
3-0
3-0

283.8
286.0
284.9

January 15, 1959 — 3-5 283.3 3-0 286.3
January 31
— 3-5
Februarys
3-5
February 28
3-5

283.3
284.2
283-4

3-0
3-0
3-0

286.3
28J.2
286.4

March 15 3-5 284.8 3-0 287.8
March 31
April 15
April 30

3.5
3-5
3-5

281.5
283-4
284.5

3-0
3.0
3.0

2g4.5
286.4
287.5

May 15 - 3.5 284.9 3-0 287.9
May 31
June 15 - • —
June 30 -

3-5
3.5
3-5

285.2
287-2
283.0

3-0
3-0
3-0

288.2
290.2
286.0

September 15 3-5 277-6 3-0 2®~>'$
September 30
3-5
October 15
3-5
October 31
3-5

* Statutory debt limitation of $275 billion was temporarily increased on February 26,
1958 to $280 billion until June 30, 1959NOTE: When the 15th of a month falls on Saturday or Sunday, the figures relate to the
following business day.
July 30, 1958

BASED ON TENTATIVE
ESTIMATES — SUBJECT TO REVISION
FORECAST OF CASH POSITION AND DEBT, FISCAL YEAS 1959
(in billions)
1

Nov.

Subtotal
Dec. July-Dec.

+ .1'

-1-3.

+1.1

6.2

4.6

4.7

6.2

• 4.6

4.7

4.3

5.6

4.0

4.1

276.3
-.4

275-9
+2.9

278.8
-2.4

275-9

278.8 276.4

275-6

278.5

6.0
275-7

5-2
2.2
277.8 276.3

July
1958
Change in general fund balance
General fund balance at beginning
General fund balance at end

•

•--

Operating cash balance at end
(including gold) j&/

Jan.
1959

Feb.

Lfer.

Apr.

May

June

Total

-5.2

+1.7

-1.0

-1-7

+ .2

+1.4

-.2

-4.8

3-4

9-7

4-5

6.2

5-2

3-5

3-7

5-1

9-7-

3-4

4-5

6.2

5-2

3-5

3-7

5.1

* 4.9

4.9

2.8

3-9

5-5

4.6

2.9

3.0,

4.5

4.2

276.4 280.2
-.2
+3-8

280.0
+2.2

276.3
+5-9

282.2
+3.0

285.2
-.8

284.4
-3-6

280.8
+3.1

283.9
+2.2

286.1
-2.5

276.3
+7.3

280.2

280.0

282.2

285.2

284.4

280.8

283.9

286.1

283.6

276.1 279-9

279-7

281.9

284.9

284.1

280.5

283.6

285.8

283-3

283.3

5-7
285.1

3.4
283.7

2.8
283.7

4,2
283.7

3-8
284.8

2.2
285-5j

Aug.

Sept.

-4.7

+1.2.

9-7

5-0

5-0 •

-1.6

Oct.

Public debt outstanding:

Debt subject to limit
Mid-month figures:
Operating cash balance (including gold) aj Debt subject to limit

5-5
280.2

3.0
2.9
279-6 . 282.0

This balance differs' from the General Fund Balance as it includes
only Treasury accounts in Federal Reserve Banks (collected),
Treasury Tax and Loan Accounts and gold in General Fund.

July 30, 1958

PUBLIC DEBT SUBJECT TO LIMIT
$Bil.

288\

285

Proposal
280

Legal
Limit

28lv^

/CIO278

280^
tUVA
^ 275. r~^—'"I

• V* 283.3
: M

F V•

_<r.275
Estimated

270

260-

250-

i Ii i

1954

1955

1956

1957

1958

1959

I960 1961

Fiscal Years

Office of the Secretary of the Treasury
B-II50-F

142

Vtf

1"! *>*~*C*9f, O0**%1
Secretary of the Treasury Anderson today announced that in order
to afford the individuals (and personal trust estates) who have held
Series F and G savings bonds originally issued on and after September 1,
19k6, and -which mature "beginning September 1. 195$> for the full 12 years
until maturity, an opportunity to continue their investments in United
States Savings Bonds, they will be permitted until further notice to
reinvest the proceeds, as they mature, in Series E or H bonds, without
regard to the annual limitation of $10,000 (maturity value) for each
series.
Those holders can purchase Series E or H bonds or a combination
of both up to such denominational amounts as the proceeds of their
matured bonds will fully cover. This can be accomplished by presenting the Series F and G bonds to any Federal Reserve Bank or Branch.
Series E or H bonds so purchased will be dated as of the first
day of the month in which the matured Series F or G bonds are presented for payment. In order to preserve the continuity of their
investment, holders of the maturing bonds are urged to present them
for exchange during the month in which they mature.
Holders other than individuals and personal trust estates will
not be permitted to reinvest the proceeds of their maturing Series
F or G bonds outside of the limitation on holdings for Series E and
H bonds.
The
splendid
savings
- o 0 o -

TREASURY DEPARTMENT
WASHINGTON, D.C.
FOR RELEASE A.M. NEWSPAPERS,
Monday, August 18, 1953.

A-310

Secretary of the Treasury Anderson today announced that in
order to afford the individuals (and personal trust estates)
who have held Series F and G savings bonds originally issued on
and after September 1, 19'46, and which mature beginning
September 1, 1958, for the full 12 years until maturity, an
opportunity to continue their investments in United States
Savings Bonds, they will be permitted until further notice to
reinvest the proceeds, as they mature, in Series E or H bonds,
without regard to the annual limitation of $10,000 (maturity
value) for each series.
Those holders can purchase Series E or H bonds or a
combination of both up to such denominational amounts as the
proceeds of their matured bonds will fully cover. This can be
accomplished by presenting the Series F and G bonds to any
Federal Reserve Bank or Branch.
Series E or H bonds so purchased will be dated as of the
first day of the month in which the matured Series F o r 0
bonds are presented for payment. In order to preserve the
continuity of their investment, holders of the maturing bonds
are urged to present them for exchange during the month in
which they mature.
Holders other than individuals and personal trust estates
will not be permitted to reinvest the proceeds of their
maturing Series F or G bonds outside of the limitation on
holdings for Series E and H bonds.

oOo

5, !?$&

"i •

iiSfiliTiiHiniii,iii.i|i.>ii a m , , m ~ i > H I iimimnmiiiri - >

iii«i'jiiiipiOT];iii!iii»ii~'»

nBnii[Hi:inn~

*&m folloving tr«i@&©ti©BS were made in direct and guaranteed securititt
ox the Government for Trm&eury investments and.other mcounts during th©
soattt of July, 195S;
Purchases #60,618,000.00

Htt Purchases

$58»1$?»G00.Q0

(Sfed} C&arles T. Rrannaa
(Shift f, Investments Branefe
Division of Deposits & Investments

TREASURY DEPARTMENT

145

WASHINGTON, D.C

A' 1

IMMEDIATE RELEASE,

During teal 1958, market transactions in
direct and guaranteed securities of the government
for Treasury investment and other accounts
resulted in net purchases by the Treasury
Department of .$73J2Q6J flJO.

0O0

TREASURY DEPARTMENT
WASHINGTON, D.C.
IMMEDIATE RELEASE,
Friday, August 15.1958.

A-311

During July 1958, market transactions
in direct and guaranteed securities of the
government for Treasury investment and other
accounts resulted in net purchases by the
Treasury Department of $58,167,000.

0O0

Hy
3

RELEASE A. «. jmsphmss,

/ \ ^

mm frmmmmif Bsp«rt»snt annotiiiosa last twaing thst tfe* ttatarft for 11,000,600,000!

or thsrsabomts, of fl*#ay fmrnmy bill* to bm <§ats*i august 21 sad to a&ti

X9$%9 n&ioli wsys offered mm Augiiftt lb, wnm 0|*sii®$ at ths ftdtaral Bts
August IS.
Bi# details of this issue are as follows:
fatal allied tor - f2,SUE,*81i,000
total aeosptsd
- 1,800,029,00© (iatlttdtf 1215,335,000 satsroiS oa a aoacompetitive basis and accepted in full St
the average price shown below)

Bassgs of awnpted ooapstitiim Mist (Imqrilag- 2 ttntm tttoliog $1*350,0)0)
Oigb
loir

- 9**$39 ^ d w l s « t rats of 4A*mw&% a^proiu X#8ffe$ f®r amum
- 99.51*
s
s s
«
»
x.$m n
•

iwifi

- #.521

•

l*0f&

(19 wmrmmnt of tfeo mmmt bU tor at Ihs low piles was aeosfitsst)
fmtlmrmX isssrts
Mstrlot

total
A & U * * for

Total
l©©«pts4

Boston

tor fork
mil&mlmXphiM
CleTeland
MoimoM
Atlanta
Chieag©
St. £on!s
Minneapolis
Kansas City
Dallas
San Francisco

frtfrM.

39,221,000

i*iWfka7,oo©

Mte,tt7,ooo

t2,5X5,iiBI*,0O0

#1,800,029,000

38,2^,000
7O,23t,000
18,086,000
1*2,832,000
2fcO,3S7,O0O
22,507,00©
17,623,000
*M56,000
22,837*000
99,5^6,000

fOfaX

39,221,000

32,295,000
$1,117,000
18,086,000
12,532,000
178,Utf,O0O
22,507,000
17,623,000
10,721,000
17,637,000
12,10.6,000

TREASURY DEPARTMENT
WASHINGTON, D.C.
RELEASE A. M. NEWSPAPERS,
Tuesday, August 19, 1958.

X ^ ^ X

A-312

The Treasury Department announced last evening that the tenders for $1,800,

or thereabouts, of 91-day Treasury bills to be dated August 21 and to matur

1958, which were offered on August ll*, were opened at the Federal Reserve B
August 18.
The details of this issue are as followsj

Total applied for - $2,515,1*81*,000
Total accepted
• 1,800,029,000 (includes $285,335,000 entered on a noncompetitive basis and accepted in full at
the average price shown below)
Range of accepted competitive bidss (Excepting 2 tenders totaling $3,350,000
High - 99.539 Equivalent rate of discount approx. l.Q2k% per annum
Low
- 99.512
«
« »
•
«
1.931* n

Average - 99.521 • • • • ft i.895# " •
(79 percent of the amount bid for at the low price was accepted)
Federal Reserve
District

Total
Applied for

Total
Accepted

Boston
IZTorK

$ 39,221,000
l,8k7 M 7 000

$ 39,221,000
1,21*1,1*57,000

Cleveland
70,237,000
SSSSd
18,086,000
E S S ?
U2 832 000
CMca^
21*0357000
Minneapolis JI*?g'2X K*™'2£
Kansas City
&5&2K
Dallas
22,837,000
Sancisco
99,51*6,000
TOTAL $2,5l5,U81*,000 $1,800,029,000

6U,187,000
18,086,000
U2,532,000
178,11*7,000

PhllShia X'fg'22

IL'ST'SS

^ ^ T ' S S

17,837,000
82,1*16,000

or by any local taxing authority.

For purposes of taxation the amount of discount

at which Treasury bills are originally sold by the United States is considered to
be interest. Under Sections h$k (b) and 1221 (5) of the Internal Revenue Code of
1951* the amount of discount at which bills issued hereunder are sold is not
considered to accrue until such bills are sold, redeemed or otherwise disposed of,
and such bills are excluded from consideration as capital assets. Accordingly,
the owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
for such bills, whether on original issue or on subsequent purchase, and the
amount actually received either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 2jl8, Revised, and this notice, prescribe
the terms of the Treasury bills and govern the conditions of their issue. Copies
of the circular may be obtained from any Federal Reserve Bank or Branch*

- 2 -

2 percent of the face amount of Treasury bills applied for, unless the tenders are

accompanied by an express guaranty of payment by an incorporated bank or trust
company.
Immediately after the closing hour, tenders will be opened at the Federal Reserve Banks and Branches, following which public announcement will be made by

Treasury Department of the amount and price range of accepted bids. Those submitting tenders will be advised of the acceptance or rejection thereof. The

Secretary of the Treasury expressly reserves the right to accept or reject any
all tenders, in whole or in part, and his action in any such respect shall be

final. Subject to these reservations, noncompetitive tenders for $200,000 or l

without stated price from any one bidder will be accepted in full at the avera

price (in three decimals) of accepted competitive bids. Settlement for accepte

tenders in accordance with the bids must be made or completed at the Federal R
serve Bank on August 28, 1958 , in cash or other immediately available funds

i&k
or in a like face amount of Treasury bills maturing

August 28. 1958

Cash

and exchange tenders will receive equal treatment. Cash adjustments will be made
for differences between the par value of maturing bills accepted in exchange a
the issue price of the new bills.
The income derived from Treasury bills, whether interest or gain from the
sale or other disposition of the bills, does not have any exemption, as such,
loss from the sale or other disposition of Treasury bills does not have any

special treatment, as such, under the Internal Revenue Code of 1951*. The bill

are subject to estate, inheritance, gift or other excise taxes, whether Federa

or State, but are exempt from all taxation now or hereafter imposed on the pri

or interest thereof by any State, or any of the possessions of the United Stat

,-v ^

-•-

Mcttddcat
--N

LX.^ i .-J

IWM.
TREASURY DEPARTMENT
Washington

—J*

A. M.
SSEC RELEASE/ MKHXKS: NEWSPAPERS,
Thursday, August 21, 1958
The Treasury Department, by this public notice, invites tenders for
$1,800,000,000 , or thereabouts, of 92 -day Treasury bills, for cash and
in exchange for Treasury bills maturing August 28, 1958 , in the amount of
$ 1.800,250,000 , to be issued on a discount basis under competitive and non-

fe&k
competitive bidding as hereinafter provided.

The bills of this series will be

dated August 28, 1958 . and will mature November 28, 1958 , when the face

amount will be payable without interest. They will be issued in bearer form onl

and in denominations of $1,000, $5,000, $10,000, $100,000, $500,000 and $1,000,
(maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
one-thirty
Daylight Saving
closing hour,/twoco*clock p.m., Eastern/ScbaaxbbcKX time, Monday, August 25, 1958

"S5
Tenders will not be received at the Treasury Department, Washington. Each tender
must be for an even multiple of $1,000, and in the case of competitive tenders

the price offered must be expressed on the basis of 100, with not more than thr
decimals, e. g., 99*92$. Fractions may not be used. It is urged that tenders
be made on the printed forms and forwarded in the special envelopes which will
supplied by Federal Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit tenders
except for their own account. Tenders will be received without deposit from

incorporated banks and trust companies and from responsible and recognized dea

in investment securities. Tenders from others must be accompanied by payment of

REIxEASE A.M. NEWSPAPERS,
Thursday, August 21, 1958.

A-313

The Treasury Department, by this public notice, invites tenders
for $1,800,000,000, or thereabouts, of 92-day Treasury bills, for
cash and in exchange for Treasury bills maturing August 28, 1958,
in the amount of $1,800,230,000, to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of this series will be dated August 28, 1958,
and will mature November 28, 1958,
when the face amount will be
payable without interest. They will be issued in bearer form only,
and in denomination of $1,000, $5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, one-thirty o*clock p.m., Eastern Daylight
Saving time, Monday, August 25. 1958.
Tenders will not be
received at the Treasury Department, Washington. Each tender must
be for an even multiple of $1,000, and in the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e. g., 99.925. Fractions may not
be used. It is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit
tenders except for their own account. Tenders will be received
without deposit from incorporated banks and trust companies and from
responsible and recognized dealers in investment securities. Tenders
from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank
or trust company.
Immediately after the closing hour, tenders will be opened at the
Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
range of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereof. The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
in whole or in part, and his action in any such respect shall be
final
Subject to these reservations, non-competitive tenders for
$200 000 or less without stated price from any one bidder will be
accepted in full at the average price (in three decimals) of accepted

- 2 competitive bids. Settlement for accepted tenders in accordance
with the bids must be made or completed at the Federal Beserve Bank
on August 28, 1958,
in cash or other immediately available funds
or in a like face amount of Treasury bills maturing August 28, 1958.
Cash and exchange tenders will receive equal treatment. Cash
adjustments will be made for differences between the par value of
maturing bills accepted in exchange and the issue price of the new
frills.
The income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, does not have
any exemption, as such, and loss from the sale or other disposition
of Treasury bills does not have any special treatment, as such,
under the Internal Revenue Code of 1954. The bills are subject
to estate, inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the
possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury
bills are originally sold by the United States is considered to
be interest. Under Sections 454 (b) and 1221 (5) of the Internal
Revenue Code of 1954 the amount of discount at which bills issued
hereunder are sold is not considered to accrue until such bills
are sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets. Accordingly, the
owner of Treasury bills (other than life insurance companies)
issued hereunder need include in his income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount actuallyreceived either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or
loss.
Treasury Department Circular No. 4l8, Revised, and this
notice, prescribe the terms of the Treasury bills and govern the
conditions of their issue. Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.
0O0

RELEASE A. M. NEWSPAPERS,
Tuesday, August 26, 1958.
The Treasury Department announced last evoking that the tenders for #1,800,000,060^

or thereabouts, of 92-day treasury bills to b© dated August 28 and to mature #ovej*J>ar
1958, which were offered on August 21, were opened at the Federal Reserve Banks on
August 25.
The details of this issue are as follows:
Total applied for - $2,1*63,498,00©
Total accepted
- 1,800,138,000 (includes 1272,424,000 entered on a ,
noncompetitive basis and accepted in
full at the average price shown below)
Eange of accepted competitive bids* (Excepting four tenders totaling $1,250,000)
High
Low

* 99.469 Equivalent rate of discount approx. 2*078$ per annua
n
- 99.436
« H
n
«
2.2071 " •»

Average

- 99.448

ZMt%

•?.

•

(76 percent of the amount bid for at the low price was accepted)
Federal Reserve
District

Total
Applied for

Total
Accepted

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

$ 31^,297,000
1,785,406,000
32,870,000
101,582,000
14,1*32,000
30,917,000
254,932,000
23,386,000
14,579,000
50,707,000
31,479,000
88,911,000

1 314,297,000
1,161,766,000
2S,6?0,OO0
101,5fe,9QQ
14,432,000
30,917,000
222,212,000
23,386,000
14,579,000
50,707,000
31,479,000
88.911,000

12,1*63,1*98,000

fl,8OO,13B,G0Q

i yi

TREASURY DEPARTMENT
WASHINGTON. D.C.
RELEASE A, M. NEWSPAPERS,
Tuesday, August 26, 1958.

S-314

The Treasury Department announced last evening that the tenders for #1,800,000,000,

or thereabouts, of 92-day Treasury bills to be dated August 28 and to mature November 28,
1958, which were offered on August 21, were opened at the Federal Reserve Banks on
August 25*
The details of this issue are as follows:
Total applied for - #2,463,498,000
Total accepted
- 1,800,138,000 (includes #272,424,000 entered on a
noncompetitive basis and accepted in
full at the average price shown below)
Range of accepted competitive bidss (Excepting four tenders totaling #1,250,000)
High - 99*469 Equivalent rate of discount approx. 2*078$ per annum
M
w
n
n
Low
- 99*436
•w
2.201%
Average - 99.448

« " "

2.l62£ « "

(76 percent of the amount bid for at the low price was accepted)
Federal Reserve
District

Total
Applied for

Total
Accepted

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

# 34,297,000
1,785,406,000
32,870,000
101,582,000
I4,li32,000
30,917,000
254,932,000
23,386,000
14,579,000
50,707,000
31,479,000
88,911,000

# 34,297,000
1,161,766,000
25,870,000
101,582,000
14,432,000
30,917,000
222,212,000
23,386,000
14,579,000
50,707,000
31,479,000
88,911,300

#2,1*63,498,000

#1,800,138,000

TOTAL

- 3 -

or by any local taxing authority. For purposes of taxation the amount of disco

at which Treasury bills are originally sold by the United States is considered
be interest. Under Sections 454 (b) and 1221 ($) of the Internal Revenue Code
1954 the amount of discount at which bills issued hereunder are sold is not

considered to accrue until such bills are sold, redeemed or otherwise disposed

and such bills are excluded from consideration as capital assets. Accordingly,

the owner of Treasury bills (other than life insurance companies) issued hereu

need include in his income tax return only the difference between the price pa
for such bills, whether on original issue or on subsequent purchase, and the

amount actually received either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 4l8, Revised, and this notice, prescribe

the terms of the Treasury bills and govern the conditions of their issue. Copi
of the circular may be obtained from any Federal Reserve Bank or Branch9

- 2m^mm\XmmT.^fCL

2 percent of the face amount of Treasury bills applied for, unless the tenders

Treasury Department of the amount and price range of accepted bids. Those submitting tenders will be advised of the acceptance or rejection thereof. The

Secretary of the Treasury expressly reserves the right to accept or reject any
all tenders, in whole or in part, and his action in any such respect shall be

final. Subject to these reservations, noncompetitive tenders for #200,000 or l

without stated price from any one bidder will be accepted in full at the avera

price (in three decimals) of accepted competitive bids. Settlement for accepte

tenders in accordance with the bids must be made or completed at the Federal R

serve Bank on September 4, 1958 , in cash or other immediately available funds
or in a like face amount of Treasury bills maturing September 4, 1958 • Cash

S5F

special treatment, as such, under the Internal Revenue Code of 1954. The bills

are subject to estate, inheritance, gift or other excise taxes, whether Federa

or State, but are exempt from all taxation now or hereafter imposed on the pri

or interest thereof by any State, or any of the possessions of the United Stat

Kmxfiom
TREASURY DEPARTMENT
Washington
A. M.
BXS RELEASE/ BSSBOKX NEWSPAPERS,
Tuesday, August 26, 1958

,.
f\

The Treasury Department, by this public notice, invites tenders for
# 1,800.000,000 , or thereabouts, of 91 -day Treasury bills, for cash and

in exchange for Treasury bills maturing
September 4. 1958
, in the amount of
$1.800.204.000 » to be issued on a discount basis under competitive and non-

ux
competitive bidding as hereinafter provided.

The bills of this series will be

dated September 4, 1958 , and will mature December 4, 1958 , when the face

amount will be payable without interest. They will be issued in bearer form only,
and in denominations of #1,000, #5,000, #10,000, #100,000, #500,000 and #1,000,
(maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
one-thirty
Daylight Saving
closing hour, ftmai o«clock p.m., Eastern/Stesdaoa* time, Friday. August 29, 1958

•

Tenders will not be received at the Treasury Department, Washington. Each tende
must be for an even multiple of #1,000, and in the case of competitive tenders

incorporated banks and trust companies and from responsible and recognized deal

in investment securities. Tenders from others must be accompanied by payment of

TREASURY DEPARTMENT

159

^•^aaiiJSgssa^t&^ittJi^xMa'-tttM^^

WASHINGTON, D.C
RELEASE A.M. NEWSPAPERS,
Tuesday, August 26, 1958.

A-315

The Treasury Department, by this public notice, invites tenders
for $1,800,000,000, or thereabouts, of 91-day Treasury bills, for
cash and in exchange for Treasury bills maturing September 4, 1958,
in the amount of $1,800,204,000, to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of. this series will be dated September 4, 1958,
and will mature December 4, 1958,
when the face amount will be
payable without interest. They will be issued in bearer form only,
and in denomination of $1,000, $5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, one-thirty o'clock p.m., Eastern Daylight
Saving time, Friday, August 29, 1958.
Tenders will not be
received at the Treasury Department, Washington. Each tender must
be for an even multiple of $1,000, and in the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e.g., 99.925. Fractions may not
be used. It is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit
tenders except for their own account. Tenders will be received
without deposit from incorporated banks and trust companies and from
responsible and recognized dealers in investment securities. Tenders
from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank
or trust company.
Immediately after the closing hour, tenders will be opened at the
Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
range of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereof. The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
in whole or in part, and his action in any such respect shall be
final
Subject to these reservations, non-competitive tenders for
$200 000 or less without stated price from any one bidder will be
accepted in full at the average price (in three decimals) of accepted

- 2 competitive bids. Settlement for accepted tenders in accordance
with the bids must be made or completed at the Federal Reserve Bank
on September 4, 1958, in cash or other immediately available funds
or in a like face amount of Treasury bills maturing September 4, 195
Cash and exchange tenders will receive equal treatment. Cash
adjustments will be made for differences between the par value of
maturing bills accepted in exchange and the issue price of the new
bills.
The income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, does not have
any exemption, as such, and loss from the sale or other disposition
of Treasury bills does not have any special treatment, as such,
under the Internal Revenue Code of 1954. The bills are subject
to estate, inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the
possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury
bills are originally sold by the United States is considered to
be interest. Under Sections 454 (b) and 1221 (5) of the Internal
Revenue Code of 1954 the amount of discount at which bills issued
hereunder are sold is not considered to accrue until such bills
are sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets. Accordingly, the
owner of Treasury bills (other than life insurance companies)
issued hereunder need include in his income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount actuallyreceived either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or
loss.
Treasury Department Circular No. 4l8, Revised, and this
notice, prescribe the terms of the Treasury bills and govern the
conditions of their issue. Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.
0O0

RELEASE A. U. NEWSPAPERS,
Saturday, August 30. 1958.

The Treasury Department announced last evening that the tenders for $1,800,000,00^
or thereabouts, of 91~day Treasury bills to be dated September 4 and to mature December j
1958, which were offered on August 26, were opened at the Federal Reserve Banks on
August 29.
The details of this issue are as followst
Total applied for * #2,567,874,000
Total accepted
- 1,800,hkl9000

Range of accepted competitive bidet

(includes 1235,389,000 entered on a
noncompetitive basis and accepted in
full at the average price shown below)
(Bxcepting four tenders totaling #800,000)

High
tow

- 99.400 Equivalent rate of discount approx. 2*374$ per annua
* 99.369
«
i? »
»
«
2.496$ *
•

Average

- 99*378

•

2.462$ «

(35 percent of the amount bid for at the low pricm was accepted)
Federal Reserve
District

Total
Applied for

Total
Accepted

Boston
lew York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St• Louis
Minneapolis
Kansas City
Dallas
San Francisco

I 28,214,0001,913,223,00032,873,000*
60,384,00013,878,000 *
36,280,000 240,826,000
26,315,000
13,383,000
55,591,000
19,791,000
127,086,000

1
25,214,000*
1,224,623,000'
22,608,000 : 52,134,000'
13,878,000'
32,730,000
207,844,000
26,345,000
12,583,000
42,591,000
19,791,000
120,086,000

12,567,874,000

#1,800,427,000

T01IAL

TREASURY DEPARTMENT

±bJ

WASHINGTON, D.C.
^RELEASE A . M . NEWSPAPERS,
Saturday, August 30, 1958.

A-316

The Treasury Department announced last evening that the tenders for #1,800,000,000,

or thereabouts, of 91-day Treasury bills to be dated September 4 and to mature Dece
1958, which were offered on August 26, were opened at the Federal Reserve Banks on
August 29.
The details of this issue are as follows:
Total applied for - $2,567,874,000
Total accepted
- 1,800,427,000

(includes $235,389,000 entered on a
noncompetitive basis and accepted in
full at the average price shown below)

Range of accepted competitive bids* (Excepting four tenders totaling $800,000)
High - 99.400 Equivalent rate of discount approx. 2.374$ per annum
w
Low
- 99.369
«
n
«
n
2.496$ «
Average - 99.378

« a , H H 2.462$ m n

(35 percent of the amount bid for at the low price was accepted)

Federal Reserve
District

Total
Applied for

Total
Accepted

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

$
28,214,000
1,913,223,000
32,873,000
60,384,000
13,878,000
36,280,000
240,826,000
26,345,000
13,383,000
55,591,000
19,791,000
127,086,000

$
25,214,000
1,224,623,000
22,608,000
52,134,000
13,878,000
32,730,000
207,844,000
26,345,000
12,583,000
42,591,000
19,791,000
120,086,000

$2,567,874,000

$1,800,427,000

TOTAL

- 3 -

or by any local taxing authority.

For purposes of taxation the amount of discount

at which Treasury bills are originally sold by the United States is considered

be interest. Under Sections 454 (b) and 1221 ($) of the Internal Revenue Code o
1954 the amount of discount at which bills issued hereunder are sold is not
considered to accrue until such bills are sold, redeemed or otherwise disposed
and such bills are excluded from consideration as capital assets. Accordingly,

the owner of Treasury bills (other than life insurance companies) issued hereu

the terms of the Treasury bills and govern the conditions of their issue. Copie
of the circular may be obtained from any Federal Reserve Bank or Branch.

- 2 -

Secretary of the Treasury expressly reserves the right to accept or reject any o
all tenders, in whole or in part, and his action in any such respect shall be

final. Subject to these reservations, noncompetitive tenders for $200,000 or les

without stated price from any one bidder will be accepted in full at the average
price (in three decimals) of accepted competitive bids. Settlement for accepted

tenders in accordance with the bids must be made or completed at the Federal Reserve Bank on September 11, 1958 , in cash or other immediately available funds

3BEF

or in a like face amount of Treasury bills maturing September 11, 1958 . Cash
and exchange tenders will receive equal treatment. Cash adjustments will be made

for differences between the par value of maturing bills accepted in exchange and
the issue price of the new bills.
The income derived from Treasury bills, whether interest or gain from the

sale or other disposition of the bills, does not have any exemption, as such, an
loss from the sale or other disposition of Treasury bills does not have any
special treatment, as such, under the Internal Revenue Code of 1954. The bills
are subject to estate, inheritance, gift or other excise taxes, whether Federal

or State, but are exempt from all taxation now or hereafter imposed on the princ

or interest thereof by any State, or any of the possessions of the United States

TREASURY DEPARTMENT
Washington
A, M.
K8R RELEASE/BDEBHXDB NEWSPAPERS,
Thursday, September 4, 1958
The Treasury Department, by this public notice, invites tenders for
$ 1,800,000,000 , or thereabouts, of 91 -day Treasury bills, for cash and

JS"^

fe3&

in exchange for Treasury bills maturing

September 11, 1958

, in the amount of

$ 1.700.209.000 , to be issued on a discount basis under competitive and noncompetitive bidding as hereinafter provided.

The bills of this series will be

dated September 11, 1958 , and will mature December H, 1958 , when the face

amount will be payable without interest. They will be issued in bearer form on

and in denominations of $1,000, $5,000, $10,000, $100,000, $500,000 and $1,000
(maturity value).

Tenders will be received at Federal Reserve Banks and Branches up to the
one-thirty
Daylight Saving
1
closing hour, J-hatKo clock p.m., Eastern^fcbrawtogck time, Monday, September 8, 1958 .

Tenders will not be received at the Treasury Department, Washington. Each tend

must be for an even multiple of $1,000, and in the case of competitive tenders

the price offered must be expressed on the basis of 100, with not more than th
decimals, e. g., 99*92$. Fractions may not be used. It is urged that tenders

be made on the printed forms and forwarded in the special envelopes which will
supplied by Federal Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit tenders
except for their own account. Tenders will be received without deposit from

incorporated banks and trust companies and from responsible and recognized dea

in investment securities. Tenders from others must be accompanied by payment o

i g4

TREASURY DEPARTMENT
WASHINGTON, D.C.
RELEASE A.M. NEWSPAPERS,
Thursday, September 4, 1958,

A-317

The Treasury Department, by this public notice, invites tenders
for $1,800,000,000, or thereabouts, of 91-day Treasury bills, for
cash and in exchange for Treasury bills maturing September 11, 1958,
in the amount of $1,700,209,000, to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of this series will be dated September 11, 1958,
and will mature December 11, 1958,
when the face amount will be
payable without interest. They will be issued in bearer form only,
and in denomination of $1*000, $5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, one-thirty o'clock p.m., Eastern Daylight
Saving time, Monday, September 8, 1958.
Tenders will not be
received at the Treasury Department, Washington. Each tender must
be for an even multiple of $1,000, and in the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e. g., 99.925. Fractions may not
be used. It is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking Institutions will not be permitted to submit
tenders except for their own account. Tenders will be received
without deposit from incorporated banks and trust companies and from
responsible and recognized dealers in investment securities. Tenders
from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank
or trust company.
Immediately after the closing hour, tenders will be opened at the
Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
range of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereof. The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
in whole or in part, and his action in any such respect shall be
final. Subject to these reservations, non-competitive tenders for
$200,000 or less without stated price from any one bidder will be
accepted in full at the average price (in three decimals) of accepted

- 2 competitive bids. Settlement for accepted tenders in accordance
with the bids must be made or completed at the Federal Reserve Bank
on September 11, 1958,in cash or other immediately available funds
or in a like face amount of Treasury bills maturing September 11, 19c
Cash and exchange tenders will receive equal treatment. Cash
adjustments will be made for differences between the par value of
maturing bills accepted in exchange and the issue price of the new
bills.
The income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, does not have
any exemption, as such, and loss from the sale or other disposition
of Treasury bills does not have any special treatment, as such,
under the Internal Revenue Code of 1954. The bills are subject
to estate, inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the
possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury
bills are originally sold by the United States is considered to
be interest. Under Sections 454 (b) and 1221 (5) of the Internal
Revenue Code of 1954 the amount of discount at which-bills issued
hereunder are sold is not considered to accrue until such bills
are sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets. Accordingly, the
owner of Treasury bills (other than life insurance companies)
issued hereunder need include in his income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount actuallyreceived either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or
loss.
Treasury Department Circular No. 4l8, Revised, and this
notice, prescribe the terms of the Treasury bills and govern the
conditions of their issue. Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.
0O0

RELEASE A. M. NEWSPAPERS,
Tuesday, September 9, 1958.

The Treasury Department announced last evening that the tenders for $1,800,000,000^
or thereabouts, of 91-day Treasury bills to be dated September 11 and to mature Deeee- ,
ber 11, 1958, which were offered on September 4, ware opened at the Federal Reserve Btsfc
t

on September 8.
The details of this issue are as follows i
Total applied for - 12,549,532,000
Total accepted
- 1,800,142,000

(includes £353,790,000 entered on a
noncompetitive basis and accepted in
full at the average price shown below)

Range of accepted competitive bidss
High - 99.419 Equivalent rate of discount approx. 2.298$ per annai
Xov
- 99.398
"
•
n
•
a
Average - 99.404

• « • * 2.359$ "

2.382$ "

(96 percent of the amount bid for at the low price waa accepted)
Federal Reserve
District

Total
Applied for

Total
Accepted

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

I
40,802,000
1,783,646,000
41,054,000
60,119,000
22,627,000
53,691,000
259,7S2,000
32,227,000
18,860,000
89,393,000
29,380,000
117,981,000

f
30,602,000
1,127,456,000
30,734,000
60,119,000
22,627,000
48,359,000
222,162,000
32,227,000
18,252,000
74,293,000
25,770,000
107,341,000

*2,54?,532,000

11,800,142,000

TOTAL

TREASURY DEPARTMENT
WASHINGTON, D.C.
BLEASE A. M. NEWSPAPERS,
tfneeday, September 9. 1958,

A-318

Ths Treasury Department announced last evening that the tenders for $1,800,000,000,

n thereabouts, of 91-day Treasury bills to be dated September 11 and to mature Dec

ber 11, 1958, which were offered on September 4, were opened at the Federal Reserv
>n September 8.
The details of this issue are as follows:
Total applied for - $2,549,532,000
Total accepted
- 1,800,142,000

(includes $353,790,000 entered on a
noncompetitive basis and accepted in
full at the average price shown below)

Range of accepted competitive bids:
Higji
Low

- 99*419 Equivalent rate of discount approx. 2.298$ per annua
w
- 99.398
«
n
«
ti
2.382$ «
«

Average

- 99.404

t»

2.359$ »

(96 percent of the amount bid for at the low price was acceptsd)
Federal Reserve
District
Boston
New Tork
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco

Total
Applied for

Total
Accepted

$ 40,802,000
1,783,646,000
41,054,000
60,119,000
22,627,000
53,691,000
259,752,000
32,227,000
18,860,000
89,393,000
29,380,000
117,981,000

i 30,802,000
1,127,456,000
30,734,000
60,119,000
22,627,000
48,359,000
222,162,000
32,227,000
18,252,000
74,293,000
25,770,000
l°7> 341,000

TOTAL $2,549,532,000

$1,800,142,000

Comparison of principal items of assets and liabilities of active national banks - Continued

June 23,
1958
LIABILITIES
Deposits of individuals, partnerships, and corporations:
Demand
55,115,^5
Tim©
31.3^.692
Deposits of U. S. Government.
4,98*, 1*92
Postal savings deposits.
10,308
Deposits of States and political
subdivisions
8,611,982
Deposits of banks
8,685,l6l
Other deposits (certified and
cashiers1 checks, etc.)
1,669,619
Total deposits
110,H06,7^9
Bills payable, rediscounts, and
other liabilities for borrowed
money
491,502
Other liabilities
2,094,910
Total liabilities, excluding
capital accounts
112,993.161
CAPITAL ACCOUNTS
Capital stock:
Common
•
2,865,116
Preferred
2,7*3
Total
2,867.859
Surplus
4,51**,485
Undivided prof its.....
1,839,600
Reserves
253,710
Total surplus, profits and
reserves.
6,607,795
Total capital accounts
9.*^.65*
Total liabilities and
capital accounts.....
122,468,815
RATIOS:
Percent
U.S.Gov11 securities to total assets
28.25
Loans & discounts to total assets
41.56
Ca.-p3.feal accounts to total deposits
S.5S

(in thousands of dollars)
Increase or decrease
since Mar. 4, 1958
June 6,
1958
1957
Amount
s Percent

55.043,742
^,882,23*
2,163,907
10,786

54,380,7a
27,761,505
2,049,715
11,815

71,753
1,447,1158
2,820,585
-478

.13
«
130.15
k*3

: Increase or decrease
t since June 6, 1957
: Amount
: Percent

73*. 77*
3,568,187
2,93*. 777
-1,507

1.35
12.85
1*3.18
-12.75

7,677.687 593.577
7,967,3*7
-3.167

7.*K>

93*. 295
717.81*

12.17
9.01

1,446,341 250,768
1,418,851
105.226,253" 101,295,131 5,180,^6

17.67

223.278
9.111,618

15.**
9.00

8,018,405
8,688,328

"X92"

8l4,87*
1.937,798

-118,517
-68,132

-19.43
-3,15

-323.372
157.H2

-39.68
8.11

107,999,31* 104,047,803

4,993,847

4»62

8,9*5,358

8»60

162,434
-1,0*18
161,386
312,924
236,970
20,207

6.01
>27.6*

610,019
2,163.042

2,8*K),l60
2,7*3
2,842,903
*MH*8,129
1.69*,533
257.257

2,702,682
3,791
2,706,473
4,201,561
1.602,630
233.503

2*,956

.88

24,956
66,356
145,067
-3,5*7

.BB
1^9
8.56
-1.38

6,399.919
9,242,822

6,037,69*
8,7qq.i6T

207,876
232,832

3.25
2.52

117,242,136
Percent
27.12
42.38
S.7S

570,101
731,^7

31>
7^5
l*.79
8.65
9.**

112,791,970 5.226,679
4,46
9,676,845
8.58
Percent
26.98
A-A
HOTB: Minus sign denotes decrease, cri
43.05
g.63

Statement showing comparison of principal items of assets and liabilities of active national banks
as of June 23, 1958, March *, 1958 and Jane 6, 1957
(In thousands of dollars)
June 23,
1958
Bfcmher ©f samks. ..«.».••,.

•

ASSETS
Commercial and industrial loans. •»
Loans on real estate
All other loans, including overdrafts
Total gross loans
Less valuation reserves
loans
U. S. Government securities:
Direct obligations
Obligations fully guaranteed....
Total TJ. S. securities
Obligations of States and political subdivisions....
Other bonds, notes and debentures.
Corporate stocks, including stocks
of Federal
Reserve banks........
Total securities

*,606

Mar. *,
1958

June 6,
1957

4,622

*,65*

: Increase or decrease $ Increase or decrease
i since Mar. *, 1958
: since June 6, 1957
Percent
* Amount
: Percent : Amount

-48

«*l6

21,426,872
12,759.900

a,07*.075
12,517.201

21,28*, 77*
12.093.766

352.797
2*2,699

1.67
1.9*

1*2,098
666,13*

.67
5.51

17.713.632
51,900,^10*
997.971
50.902

17.076,092

3.73

1.6*5.62*
2.*53.856
111,586
2,342,270

10.E*

50,667,368
978,511
49,688,857

16,068,008
637.5*K)
49,446,5*8 1,233.036
886,385
19.*60
48,560,163 1,213.576

3**599.192
2,813
3*,602,005

31.795.87*
2,393
31,798.267

30.*32.8*5 2,803,318
420
3,620
3Q.*36.*65 2,803,738

8.82
8.82

*,166,3*7
-807
*,l65,5*K>

13.69
-22.29
13.69

8,364,896
* ».2*7
2,0*5

7,626,441
1,927,818

9.68
6.09

1,105,xko
370.097

15.22
22.09

27*»*38
45,286,586
96,189,019
1.565.247
11,261,086
11,206,103

271.708
*1,62*,23*
91,313,091
1.377.387
11,336,198
10,919.891

1.00
35.36*
8.80,^,5,676,141
5.34
8,018,411
13lb5
161,^66
-.66
-233,*27
2.62
1,515.7**

l*.79

25.

I.69
-2.10
4.46

6.39
10.57
£7$

Total loans and securities...
Currency and coin
Reserve with Federal Reserve banks
Balances with other banks.........
Total cash, balances with
other banks, including reserve
balances and cash items in
2*,032,*36
process of collection
Other assets
2,247,360
Total assets
122,468,815

7,259,756
1,675.150

738 .*55
U7.*29

339.07*
2,730
39,6lfr,**5 3.662,352
928
88,170,608
*,875.928
^70
187,860
1,H0J,881
-75,112
11,W,513
286,212
9.690,359

23,633.*76
22,588,753
398,960
2,295.569
2,032,609
209
117,242,136 112,791.970 5.226.679

2.*3
1.99

1,443,683
214,751
9.676,845

*.96
4.82

i*Ji
juoa.
11.49
2.03

• • C U
farmers, loans to banks, and other loans to individuals (repair an& modernization

and installment cash loans, and single-payment loans) of $10,400,000,000 increas

about 3.5 percent since March. The percentage of net loans and discounts to tota
assets on June 23, 1958 was 41.56 in comparison with 42.38 in March and 43.05
in June 1957 •
Total investments of the banks in bonds, stocks, and other securities aggregated $45,300,000,000, an increase of $3,700,000,000 since March. Included in

the investments were obligations of the United States Government of $34,600,000

($2,813,000 of which were guaranteed obligations). These investments, representing 28.25 percent of total assets, were increased by $2,800,000,000 during the

Other bonds, stocks, and other securities of $10,700,000,000, including $8,400,0

of obligations of States and other political subdivisions, showed an increase of
$850,000,000 since March.
Cash of $1,565,000,000, reserves with Federal Reserve banks of $11,261,000,000,

and balances with other banks (including cash items in process of collection) of

$11,206,000,000, a total of $24,032,000,000, showed an increase of $400,000,000.
Bills payable and other liabilities for borrowed money of $491,500,000 showed
a reduction of $118,500,000 since March.
Total capital funds of the banks on June 23 of $9,476,000,000, equal to 8.58

percent of total deposits, were $233,000,000 more than in March when they were 8
percent of total deposits. Included in the capital funds were capital stock of

$2,868,000,000, of which $2,700,000 was preferred stock; surplus of $4,514,000,0
undivided profits of $1,840,000,000, and capital reserves of $254,000,000.

farmers, loans to banks, and other loans to individuals (repair an§ modernizatio
and installment cash loans, and single-payment loans) of $10,400,000,000 increased
about 3.5 percent since March. The percentage of net loans and discounts to total
assets on June 23, 1958 was 41.56 in comparison with 42.38 in March and 43.05
in June 1957.
Total investments of the banks in bonds, stocks, and other securities aggregated $45,300,000,000, an increase of $3,700,000,000 since March. Included in
the investments were obligations of the United States Government of $34,600,000,000
($2,813,000 of which were guaranteed obligations). These investments, representing 28.25 percent of total assets, were increased by $2,800,000,000 during the period
Other bonds, stocks, and other securities of $10,700,000,000, including $8,400,000,OC
of obligations of States and other political subdivisions, showed an increase of
$850,000,000 since March.
Cash of $1,565,000,000, reserves with Federal Reserve banks of $11,261,000,000,
and balances with other banks (including cash items in process of collection) of
$11,206,000,000, a total of $24,032,000,000, showed an increase of $400,000,000.
Bills payable and other liabilities for borrowed money of $491,500,000 showed
a reduction of $118,500,000 since March.
Total capital funds of the banks on June 23 of $9,476,000,000, equal to 8.58
percent of total deposits, were $233,000,000 more than in March when they were 8.78
percent of total deposits. Included in the capital funds were capital stock of
$2,868,000,000, of which $2,700,000 was preferred stock; surplus of $4,514,000,000}
undivided profits of $1,840,000,000, and capital reserves of $254,000,000.

TREASURY DEPARTMENT
Comptroller of the Currency
Washington

RELEASE A. M. NEWSPAPERS,
Thursday, September 11, 1958. A-^1Q

The total assets reported by the 4,606 active national banks in the United
States and possessions on June 23, 1958 amounted to nearly $122,500,000,000, it

was announced today by Comptroller of the Currency Ray M. Gidney. This was an in

crease of $5,200,000,000 over the total assets reported by the 4,622 active nat
banks on March 4, 1958, the date of the previous call.
The deposits of the banks on June 23 were $110,400,000,000, an increase of

$5,200,000,000 since March. Included in the recent deposit figures were demand d

posits of individuals, partnerships, and corporations of $55,100,000,000, an in-

crease of $71,800,000, and time deposits of individuals, partnerships, and corpo
rations of $31,300,000,000, an increase of $1,400,000,000. Deposits of the

United States Government of nearly $5,000,000,000 increased $2,800,000,000 in th

period; deposits of States and political subdivisions of $8,600,000,000 increase
$600,000,000, and deposits of banks of $8,700,000,000 showed a decrease of

$3,000,000. Postal savings deposits were $10,300,000 and certified and cashiers1
checks, etc., were $1,700,000,000.
Net loans and discounts on June 23, 1958 of $50,900,000,000 showed an increase

of $1,200,000,000 since March. Commercial and industrial loans of $21,400,000,00
increased $350,000,000, while loans on real estate of $12,760,000,000 increased
$243,000,000. Retail automobile installment loans of $3,800,000,000 showed a

decrease of $43,000,000. Other types of retail installment loans of $1,350,000,0
showed a decrease of $32,000,000. Loans to brokers and dealers in securities,

and others for the purpose of purchasing or carrying stocks, bonds, and other se
curities of $2,166,000,000 increased $361,000,000. Other loans, including loans

TREASURY DEPARTMENT
Comptroller of the Currency
Washington

-. •-,.*
1 J --

RELEASE A. M. NEWSPAPERS,
Thursday, September 11, 1958.

The total assets reported by the 4,606 active national banks in the United
States and possessions on June 23, 1958 amounted to nearly $122,500,000,000, it

was announced today by Comptroller of the Currency Ray M. Gidney. This was an in

$5,200,000,000 since March. Included in the recent deposit figures were demand d

posits of individuals, partnerships, and corporations of $55,100,000,000, an in-

crease of $71,800,000, and time deposits of individuals, partnerships, and corpo
rations of $31,300,000,000, an increase of $1,400,000,000. Deposits of the

United States Government of nearly $5,000,000,000 increased $2,800,000,000 in th

period; deposits of States and political subdivisions of $8,600,000,000 increase
$600,000,000, and deposits of banks of $8,700,000,000 showed a decrease of

$3,000,000. Postal savings deposits were $10,300,000 and certified and cashiers'
checks, etc., were $1,700,000,000.
Net loans and discounts on June 23, 1958 of $50,900,000,000 showed an increase

decrease of $43,000,000. Other types of retail installment loans of $1,350,000,0
showed a decrease of $32,000,000. Loans to brokers and dealers in securities,

and others for the purpose of purchasing or carrying stocks, bonds, and other se
curities of $2,166,000,000 increased $361,000,000. Other loans, including loans

1 70
-

farmers, loans to banks, and other loans to individuals (repair and modernizatio
and installment cash loans, and single-payment loans) of $10,400,000,000 increased
about 3.5 percent since March.

The percentage of net loans and discounts to total

assets on June 23, 1958 was 41.56 in comparison with 42.38 in March and 43*05
in June 1957•
Total investments of the banks in bonds, stocks, and other securities aggregated $45,300,000,000, an increase of $3,700,000,000 since March. Included in
the investments were obligations of the United States Government of $34,600,000,000
($2,813,000 of whioh were guaranteed obligations).

These investments, represent-

ing 28.25 percent of total assets, were increased by $2,800,000,000 during the period.

Other bonds, stocks, and other securities of $10,700,000,000, including $8,400,000,000
of obligations of States and other political subdivisions, showed an increase of
$650,000,000 since March.
Cash of $1,565,000,000, reserves with Federal Reserve banks of $11,261,000,000,
and balances with other banks (including cash, items in process of collection) of
$11,206,000,000, a total of $24,032,000,000, showed an increase of $400,000,000.
Bills payable and other liabilities for borrowed money of $491,500,000 showed
a reduction of $118,500,000 since March.
Total capital funds of the banks on June 23 of $9,476,000,000, equal to 8.58
percent of total deposits, were $233,000,000 more than in March when they were 8.78
percent of total deposits. Included in the capital funds were capital stock of
$2,868,000,000, of which $2,700,000 was preferred stock; surplus of $4,514,000,000;
undivided profits of $1,840,000,000, and capital reserves of $254,000,000.

Statement shoving comparison of principal Items of assets and liabilities of active national banks
as of Jane 23, 1958, March 4, 1958 and Jane 6, 1957
(in thousands of dollars)
* June 23, * Mar. 4, *
5

$
Kumber of banks

Jmie

g 5 Increase or decrease ; Increase or decrease
5
s s i n C 8 Mag
5
1958
1958
*;
1957
* 4' ^ ^
since June 6, 1957
S
I
S Amount
s Percent I Amount
; Percent
4,606

4,622

4,65*

-16

-*8

ASS3TS
Commercial and industrial loans...
Loans on real estate...•••.•••.•••
All other loans, including overdrafts.
.«

21,*26,872
12,759,900

21,074,075
12,517,201

21,284,774
12,093.766

352,797
242,699

1.67
1.9*

142,098
666,13*

.67
5.51

I7,7l3r632

17.076,092

16,068,008

637,5*0

3.73

1,6*5,624

io«a4

49,446,5*8
886,385

1,233,036
19,*60

2*43
1.99
I.*4

2,453,856
111,586
2,3*2^

4.96
12.59
~"T7S2

30**32,8*5
3*62D
30**36**65

2,803,113
4-20
2,803.73%

B'«>S2
17.55
B.B2

4,166,347
~807
4,165,5*0

13.69
-22.29
13.69

7,259,756
1.675,150

738**55
117.429

9*68
6.09

1,105.1*0
370,097

15.22
22.09

Total gross loans............
51>900t*04
50,667,368
Less valuation reserves.....
997*971
978,511
Bet loans.................
50Jo57%J " ^ ^ ^
U. S. Government securities!
Direct obligations.............. 3**599*192
31*795*87*
Obligations fully guaranteed....
2f813
2,393
Total u. s. securities....... 5**602,005
31.798,267
Obligations of States and political subdivisions...........
8,36**896
7.626,**r
Other bonds, notes and debentures.
2,0*5,2*7
1,927,818
Corporate stocks, including stocks
of Federal Reserve banks........
27***3%
271*708
Total securities............. *5j,286,586
*lg65*,23*
Total loans and securities... " 6 3 9 7 ^ ^ ^ ^ 7 3 1 3 * 0 9 1
Currency and cola.................
iTfoTTi^T""' ~T,3773^7
Reserve with Federal Eeserv© banks
11,261,086
11,336,198
Bailees with other banks......... 11,806,103
10,919*891
Total cash, balances with
— — —
_
other banks, including reserve
balances and cash itsas in
process of collection
2*,032,*36
23,633**76
Other assets
2,2*7.360
2*235.569
Total assets
122,468,815
117,2*2,136

239.07*
2,730
1.00
35,364
59.6lQ,**5 3*662,352
8.80. . ..5,676,1*1
gg,17C^g^S75ti2o_.._ 575F~1n0l|7frll
"17^3»SSI
187,860
if^ST^^^^l.JoV"
11,*9*,513
-75,112
-.66
-233,427
9,6^0,359
286,213
2.62
1,515,744
_.
.- ~_
_

22,588,753
2,032,609
112,791,970

398,960
-*£,2Q9
5*226,679

I.69
-2.10
4.46

1,443,683
21*,751
9,676,8*5

l4.79
14.33
9709
537^9
-2.03
15.64

M67^
10»57
8.5s

Comparison of principal items of assets and liabilities of active national "banks - Continued
(in thousands of dollars)
Increase or decrease
Increase or decrease
Kar. 4,
June 23,
June 6,
since Mar. 4, 1958
since June 6, 1957
1958
1957
195S
Amount
Percent
Amount
: Percent
LIABILITIES
Deposits of individuals, partnerships, and corporations:
Deaand
55,H5,*95
Time
31*329,692
Deposits of U. S. Government........ 4,984,*§2
Postal savings deposits.............
10,308
Deposits of States and political
subdivi sions*•«...<•••....•«•...««. 8,611,982
Deposits of banks..........«....•••. 8,685,161
Other deposits (certified and
cashiers1 checks, etc.),.......... lf669t6l9
Total deposits...............«.110,406,7*9
Bills payable, rediscounts, and
other liabilities for borrowed
aoney
............,....*
*91f 502
Other liabilities................... 2,09*.§10
Total liabilities, excluding
capital accounts.
.112,993.161
CAPITAL ACCOUNTS
Capital stock:
2,865,116
Coupon. t. c « « e *
«»*^ecca«»ees
Preferred......
2.7*3
e»*c«ec&««eee
Total........
«*eee«eeeee
]EIIZ3IL
mt -Li* Q J.U 3 . . . « « « . * « .

c e* * *ee

Undivided profits
» t* « e e
Reserves.........
e«»««*e#»ee
Total surplus, profite and

"^514,485"
1,839.600
253,710

55.0*3,742
29,882,23*
2.163.907
10,786

5**3^0,721
71,753
27,761,505 l.**7.*58
2,049,715 2, S2D,585
11,815
-478

.13
*.8*
130.35
-*.*3

73*,77*
3.568,187
2,93*.777
-1.507

8,018,*05
8,688,328

7,677,687 593.577
7,967,3*7
-3.167

7.*o

93*.295
717.81*

1.35
12.85
1*3.18
-12.75
12.17
9.01

101,295,131 5,180 ; % F

17*67
TT92"

223,278
9,111,618

15.**
9.00

118,517
68,132

-19**3
-3.15

-323,372
157,112

-39.68
8.11

107*999»31* 10*.0*7,803 *,99?,8*7

*.62

8,9*5.358

8.60

1,418,851
IOTS0725J

2,8^0,160
•..2.7*3

lM§j^X__J^j

2,702,682
3.791

768

2*,956

T^2^T^T7ioQm^
"1pPl8,l^~-Ti7aoi75oi
i.69*.533
257,257
6,399,919
972*17^22

r S S Si' V e S s . . . « « . . « . « c « « » * c * . * c * s 6.607.795
Total capital accounts
..... __?_»7f?576"!pr
Total liabilities and
117,2*2,136
capital accounts..........
122,*6g,815
Percent
Percent
PJJTIOS;
U. 2. Gov't securities to total assets
27.12
28.25
Loane & discounts to total assets
42.38
*1.56
Capital accounts to total deposits
8.78
8.58

567^5"

1,602,630
233,503
6,037,69*
1774*7i6T

1*5,067
-3,5*7
2D7.876

112,791,970
percent

5.226,679

267
43.05
6.03

I.49
8.56
-1.38

162,*3*
6.01
_-i,0*48
-27.6*
l6l73Sg~~~
312,924
236,970
20,207

BOTE: Minus sign denotes decrease.S-~>

«aCOTTON WASTES
(In pounds)
COTTON CARD STRIPS made from cotton having-a staple of less than 1-3/16 inches in length, COMBER
WASTE, LAP WASTE, SLIVER WASTE, AND ROVING WASTE, WHETHER OR NOT MANUFACTURED OR OTHERWISE
ADVANCED IN VALUEt Provided, however., that not.-.more than 33-1/3 percent of the quotas shall
en
be filled by cotton wastes other than comber wastes made from cottons of 1-3/16 inches or more
in staple length in the case of the following countriest United Kingdom, France, Netherlands,
Switzerland, Belgium, Germany, and Italy.

Country of Origin
United Kingdom
Canada . . . .
France . . . .
British India .
Netherlands • ,
Switzerland . .
Belgium . . . .
Japan • • • • .
China • . • • .
Egypt . . • • .
V/UDa

Germany .- • • •
Italy . . . .

"Established
s TOTAL QUOTA

Total Imports
Established s
Imports
l/
: Sept. 20, 1957, to s 33-1 f3% of . Sept. 20, 1957
Total Quota s to Sept. 9. 1958
: Sept. 9, 1958
1,441,152

1,246,244

4,323,457
239,690
227,420
69,627
68,240
44,388
38,559
341,535
17,322
8,135
6,544
76,329
21.263

1,2*6,244
239,690

24,788
6,91'?

25,443
7,088

24,788
6,915

5,482,509

1,583,902

1,599,886

1,277,947

if Included in total imports, column 2.
Prepared in the Bureau of Customs.

75,807
66,265
22,747
14,796
12,853

TREASURY DEPARTMENT
Washington, D. C.
IMMEDIATE RELEASE

Wednesday, September 10, 1958.

A-320

Preliminary data on imports for consumption of cotton and cotton waste chargeable to the quotas V-*
—-a
established by the President's Proclamation of September 5, 1939, as amended

en
COTTON (other than linters) (in-pounds)
Cotton under 1-1/8 inches other than rough or harsh under 3/*"
Imports September 20, 1957 - September 9, 1958
Country of Origin

Established Quota

Imports

783,816
2*7,952
2,003,483
1,370,791
8,883,259
618,723

10,896

Country of Origin

Established Quota

Imports

752
871
124
195
2,240
71,388

£ypt and the AngloEgyptian Sudan ....
Peru
..
British India
China
Mexico
Brazil
Union of Soviet
Socialist Republics
Argentina
,
Haiti
Ecuador

*75,12*
5,203
237
9,333

8,883,259
618,723

3,6*9
-

Honduras
Paraguay
Colombia ..............
Iraq
British East Africa ...
Netherlands E. Indies .
Barbados
1/Other British W. Indies
Nigeria
2/0ther British W. Africa
3/other French Africa ...
Algeria and Tunisia ...

1/ Other than Barbados, Bermuda, Jamaica, Trinidad, and Tobago.
2/ Other than Gold Coast and Nigeria.
3/ Other than Algeria, Tunisia, and Madagascar.
Cotton 1-1/8" or more
Imports August 1, 1958 - August 30. 1958
Established Quota (Global) - 45,656,*20 Lbs.
Staple Length
1-3/8" or more
1-5/32" or more and under
1-3/8" (Tanguis)
-1-1/8" or more and under
1-3/8"

Allocation
39,590,778

Imports
39,590,778

1,500,000

957,778

4,565,642

21,321
5,377
16,oo4
689

Washington, D. C.
IMMEDIATE RELEASE
Wednesday, September 10, 1958.

y-Jm

A-320

Preliminary data on imports for consumption of cotton and cotton waste chargeable to the quotas
established by the President's Proclamation of September 5, 1939, as amended
COTTON (other than linters) (in pounds)
Cotton under 1-1/8 inches other than rough or harsh under 3/4"
Imports September 20, 1957 - September 9, 1958
Country of Origin
E;-ypt and the AngloEgyptian Sudan ....
Peru
British India
China
Mexico
Brazil
Union of Soviet
Socialist Republics
Argentina
Haiti
Ecuador

Established Quota

783,816
247,952
2,003,483
1,370,791
8,883,259
618,723
475,124
5,203
237
9,333

Imports

10,896

8,883,259
618,723

3,649
•

Country of Origin
Honduras
Paraguay
Colombia
Iraq
British East Africa ...
Netherlands E. Indies .
Barbados
l/Other British W. Indies
Nigeria
2/0ther British W. Africa
3/Other French Africa ...
Algeria and Tunisia ...

l/ Other than Barbados, Bermuda, Jamaica, Trinidad, and Tobago,
2/ Other than Gold Coast and Nigeria.
3/ Other than Algeria, Tunisia, and Madagascar.
Cotton 1-1/8" or more
Imports August 1, 1958 - August 30, 1958
Established Quota (Global) - 45,656,420 Lbs.
Allocation
Staple Imports
Length
1-3/8" or more
1-5/32" or more and under
1-3/8" (Tanguis)
1-1/8" or more and under

1-3/8"

39,590,778

1,500,000 957,778
4,565,642 4,565,642

Established Quota

Imports

752
871
124
195
2,240
71,388

21,321
5,377
16,004
689

COTTON WASTES
(In pounds)
COTTON CARD STRIPS made:from cotton having--*'staple-of less than 1-3/16 inches in length, COMBER
WASTE, LAP WASTE, SLIVER WASTE, AND ROVING Y^ASTE, WHETHER OR NOT MANUFACTURED OR OTHERWISE
ADVANCED IN VALUEt Provided, however., that not more than 33-1/3 percent of the quotas shall
be filled by cotton wastes other than comber wastes made from cottons of 1-3/16 inches or more
in staple length in the- case- of the following countries% United Kingdom, France, Netherlands,
Switzerland, Belgium, Germany, and Italy.

Country of Origin

t Established•
Total Imports
s Established s
Imports
TJ
% TOTAL QUOTA
\ Sept. 20, 1957, to s 33-l/3£ of % Sept. 20, 1957
" *
* s^Pt« 9. 1958
s Total Quota ; to Sept. 9. 1958

United Kingdom . . . . . 4,323,457
Canada
239,690
France .
227^420
British India . . . . . .
69,627
Netherlands .........
68,240
Switzerland . . . . . . .
44,388
Belgium
38,559
Japan • • . • • , . . . .
341,535
China
17,322
Egypt . • • • • • « . . •
8,135
Cuba . . . .
......
6,544
Germany
76,329
Italy . . . .
.......
21,263

1,246,244
239,690
66,265
-

1,441,152
75,807
22,747
14,796
I2S853
-

24,788
6.915

—
—
25,443
7,088

5,482,509 1,583,902 1,599,886 ' 1,277,947
1/ Included in total imports, column 2.
Prepared in the Bureau of Customs.

i 246 244
' '
I
I
I
I

_
24 780^
^'QIC;

y*\ Cj

- 2

Commodity

: Period

and

Quantity

:
Unit :
:
of
: Imports as of
: Quantity: August 30, 19

Absolute Quotas:
Peanuts, shelled, unshelled,
blanched, salted, prepared, or
preserved (incl. roasted peanuts
but not peanut butter)

12 mos. from
Aug. 1, 1958

1,709,000

Pound

1,389,514*

Rye, rye flour, and rye meal 12 mos. from
July 1, 1958
Canada
182,280,000
Other Countries
3,720,000

Pound
Pound

181,565,016*

Butter substitutes, including
butter oil, containing 45$
or more butterfat

1,200,000

Pound

1,199,991

18,475,901
2,437,128
739,366

Pound
Pound
Pound

Calendar Year

Tung oil Feb. 1 - Oct. 31, I958
Argentina
Paraguay
Other Countries

* - Imports through September 8, 1958

Quota Filled
Quota Filled
Quota Filled

TREASURY DEPARTMENT
Washington, D. C.
IMMEDIATE RELEASE
Wednesday, September 10. T Q ^ S

A-321

Commodity

: Period

and

Quantity

:
Unit :
•:
of
: Imports as of
: Quantity: Aug. 30, 1958

Tariff-Rate Quotas:
Cream, fresh or sour Calendar Year 1,500,000 Gallon

175

Whole milk, fresh or sour Calendar Year 3,000,000 Gallon

213

Cattle, less than 200 lbs. each .. 12 mos. from
April 1, 1958

200,000

Head

14,961

Cattle, 700 lbs. or more each July 1, 1958 (other than dairy cows)
Sept. 30, 1958

120,000

Head

47,393

Pound

Quota Filled

Fish, fresh or frozen, filleted,
etc., cod, haddock, hake,
pollock, cusk, and rosefish
Calendar Year

35,892,221

Tuna fish Calendar Year 44,693,874 Pound
White or Irish potatoes:
Certified seed
Other

31,034,647

12 mos. from
114,000,000
Sept. 15, 1957 36,000,000

Pound
Pound

Walnuts Calendar Year 5,000,000 Pound
Almonds, shelled, blanched,
roasted, or otherwise prepared
or preserved

Quota Filled
Quota Filled
2,413,480

Oct. 23, 1957 Sept. 30, 1958

5,000,000

Pound

July 1, 1958

3,000,000

Pound

July 1, 1958

80,000,000

Pound

4,938,005

Alsike clover seed 12 mos. from
Peanut oil 12 mos. from

Woolen fabrics Calendar Year 14,200,000 Pound

782,204

Quota Filled

(l) Imports for consumption at the quota rate are limited to 26,919,165 lbs. during
the first nine months of the calendar year.

(continued)

1 ft-!

TREASURY DEPARTMENT
Washington, D. C.
MMEDIATE RELEASE

Wednesday, September 10. 1 QRft .

A-321

The Bureau of Customs announced today preliminary figures showing the imports
'or consumption of the commodities listed below within quota limitations from the
,eginning of the quota periods to August 30, 1958, inclusive, as follows:

Unit :
of
: Imports as of
Quantity: Aug. 30, 1958

Commodity

Tariff-Rate Quotas:
Jream, fresh or sour Calendar Year 1,500,000

Gallon

175

Jhole milk, fresh or sour Calendar Year 3,000,00°

Gallon

213

Jattle, less than 200 lbs. each .. 12 mos. from
April 1, 1958

200,000

Head

14,961

,3attle, 700 lbs. or more each July 1, 1958 (other than dairy cows)
Sept. 30, 1958

120,000

Head

47,393

Pound

Quota Filled(1

?una fish Calendar Year 44,693,874

Pound

31,034,647

Ihite or Irish potatoes:
^Certified seed
[
0ther

Pound
Pound

Quota Filled
Quota Filled

Pound

2,413,480

4,938,005

ilsa, fresh or frozen, filleted,
etc., cod, haddock, hake,
pollock, cusk, and rosefish
Calendar Year

35,892,221

12 mos. from
114,000,000
Sept. 15, 1957 36,000,000

lalnuts Calendar Year 5,000,000
Imonds, shelled, blanched,
roasted, or otherwise prepared
:
'or preserved

Oct. 23, 1957 Sept. 30, 1958

5,000,000

Pound

July 1, 1958

3,000,000

Pound

July 1, 1958

80,000,000

Pound

782,204

Pound

Quota Filled

Isike clover seed 12 mos. from

'eanut oil 12 mos. from

'bolen fabrics Calendar Year 14,200,000

1) Imports for consumption at the quota rate are limited to 26,919,165 lbs. during
the first nine months of the calendar year.

(continued)

- 2-

Commodity

Period

and

Quantity

:
Unit :
:
of
: Imports as of
: Quantity: August 30, 19

Absolute Quotas:
Peanuts, shelled, unshelled,
blanched, salted, prepared, or
preserved (incl. roasted peanuts
but not peanut butter)

12 mos. from
Aug. 1, 1958

1,709,000

Pound

1,389,514*

Rye, rye flour, and rye meal 12 mos. from
July 1, 1958
Canada
182,280,000
Other Countries
3,720,000

Pound
Pound

181,565,016*

Butter substitutes, including
butter oil, containing 45$
or more butterfat

1,200,000

Pound

1,199,991

18,475,901
2,437,128
739,366

Pound
Pound
Pound

Calendar Year

Tung oil • Feb. 1 - Oct. 31, 1958
Argentina
Paraguay
Other Countries

•* - Imports through September 8, 1958

Quota Filled
Quota Filled
Quota Filled

TREASURY DEPARTMENT
Washington, D. C.

mL <y .A.

IMMEDIATE RELEASE
Wednesday. September 10. 1Q58,

A-322

The Bureau of Customs announced today the following preliminary
figures showing the imports for consumption from January 1, 1958, to
August 30, 1958, inclusive, of commodities for which quotas were established pursuant to the Philippine Trade Agreement Revision Act of 1955 >

Commodity

Established Annual : Unit of : Imports as of
: Quantity : August 30, 1958
Quota Quantity

Buttons

807,500

Cigars

190,000,000

Number

Coconut oil

425,600,000

Pound

134,737,122

6,000,000

Pound

3,216,244

1,904,000,000

Pound

Cordage
(Refined
Sugars
(Unrefined ....
Tobacco

Gross

293,536
2,487,738

24,171,870
1,496,890,415
6,175,000

Pound

3,069,953

TREASURY DEPARTMENT
Washington, D. C.

"*-^lZ

IMMEDIATE RELEASE
Wednesday. September 10, 1958.

A-322

Commodity

Buttons

Established Annual : Unit of
Quota Quantity
: Quantity
807,500

Gross

Imports as of
August 30, 1958

293,536

Cigars

190,000,000

Number

Coconut oil

425,600,000

Pound

134,737,122

6,000,000

Pound

3,216,244

904,000,000

Pound

Cordage
(Refined
Sugars
(Unrefined ....
Tobacco

2,487,738

24,171,870
1,496,890,415
6,175,000

Pound

3,069,953

STATUTORY DEBT LIMITATION
AS OF..A*|£S131,..1?58
Waehington, ..~.?.B„£...£.V.^rfrt&.,
ion 21 of Second Liberty Bond Act, as amended, provides that the face amount of obligations issued under ««hority
Section
ct, and the face amount of obligations guaranteed as to principal and interest by the United S J f l t |5 7 ( f^oo P oo 0 U oJ| U M ^
of that Act

shall be considered as its race amount. m c nti ui rcuiuoi/ ^.v, _•.,_•, v* • *-• "_• -./«-. ~*
—_•—- • *_
-- «>--period beginning on February 26/ 1958 and ending June 30, 1959, the above limitation ($275,000,000,000) shall be temporarily
increased by $5,000,000,000. ±J
The following table shows the face amount of obligations outstanding and the face amount which can still be issued under
this limitation:
Total face amount that may be outstanding at any one time
$280,000,000,000
OutstandingObligations issued under Second Liberty Bond Act, as amended
\

Interest-bearing:

Treasury bills
Certificates of indebtedness

$ 22,400,588,000
38,486,908,000

Treasury notes ...

20.664.910.000 $

BondsTreasury
* Savings (current redemp. value)
Depositary.
Investment series

87,630,911,250
51»85^*»XoHr,3°8
209,2?0,500
9.340.981.000

Special FundsCertificates of indebtedness
Treasury notes
Treasury bonds
Total interest-bearing
Matured, interest-ceased

23,563§625,000
15,811,976,000
6.937.500.QQQ

Bearing n o interest:
United States Savings Stamps
E x c e s s profits tax refund bonds ....
Special notes of the United States:
Internat'l Monetary F u n d series ,
Total

81,552,406,000

149,035»34?, 138

46.313.101.000
276,900,854,138
Hrff tHrQjt^XO

49,121,132
884,914
619,000,000

Guaranteed obligations (not held by Treasury):
Interest-bearing:
Debentures: F . H . A

669.006.046
278,047,263.402

107,636,400

Matured, interest-ceased
Grand total outstanding ._

8^*2»375

108,478,775
278.1^.742.177
1,844,257,823

Balance face amount of obligations issuable under above authority,
Reconcilement with Statement of the Public Debt
(Daily Statement of the United States Treasury,
_
..
OutstandingTotal gross public debt
Guaranteed obligations not owned by the Treasury.
Total gross public debt and guaranteed obligations.
D e d u c t ^ other_put_slanding public debt

~~~

^f?™..?^*....„?.5.?.
(Date)
^ ^ f . l f . %$• 1 9 5 8
'(Da't'e)

278,475,533,032
108.478.775
278,584,011,807
obligations not subject to Hebt limitation
428.269.630_
278,155,742,177
1/ Limitation amended September 2, 1958 to $285,000,000,000
with additional temporary limitation of $5,000,000,000
to June 30, 1959.
A-323

STATUTORY DEBT LIMITATION
AS 0F.-^iiHi?i..3lif..-i?58

Washin^bl/t.Sept^lO^^
uthorlty
ucbguar*
000
urrent re*
holder
during the
temporarily
The following table shows the face amount of obligations outstanding and the face amount which can still be issued under
this limitation:
$280,000,000,000
Total face amount that may be outstanding at any one time
' OutstandingObligations issued under Second Liberty Bond Act, as amended
Interest-bearing:
Treasury bills
Certificates of indebtedness
Treasury notes
BondsTreasury
• Savings (current redemp. value)
Depositary.....
Investment series
Special FundsCertificates of indebtedness
Treasury notes.
Treasury bonds
Total interest-bearing
Matured, interest-ceased
n,
Bearing no interest:
United States Savings Stamps
Excess profits tax refund bonds ,
Special notes of the United States:
lnternat'1 Monetary Fund series.......
Total
•..

$ 22,400,588,000
38,486,908,000
20.664.910,000 * 81,552 ,406 ,000
87,630,911,250
51,854,184,388
209,270,500
9.340.981.000
149,035,347,138
23,563,625,000
15,8119976,000
6.937.500.000

49,121,132
884,914
619,000,000

Guaranteed obligations (not held by Treasury):
Interest-bearing*.
107,636,400
Debentures: F.H.A
Matured, interest-ceased
___.
Grand total outstanding
„
, ,
Balance face amount of obligations issuable under above authority,

___J_&_2Zi

Reconcilement with Statement of the Public Debt
(Daily Statement of the United States Treasury,
1

669.006.046
278,047,263,402

mm*m*m

^15_LLZS3_OZZ
1,844,257,823

^.l^.tL.?^*
?5
(Date)
AUjgU^t.M29.t..i5:.?.T..... J
(Date)

278,475,533,032
108,4?8,??l
278,584,011,807
428,269,630
278,155,742,177
1/ Limitation amended September 2, 1958 to $28^,000,000,000
yith additional temporary limitation of $5,000,000,000
to June 30, 1959.

OutstandingTotal gross public debt
.
Guaranteed obligations not owned by the Treasury.
Total gross public debt and guaranteed obligations.
,
Deduct - othcroyxstanding public debt obligations not subject to debt limitation

A-323

- 3 -

or by any local taxing authority. For purposes of taxation the amount of discount
at which Treasury bills are originally sold by the United States is considered to
be interest. Under Sections 454 (b) and 1221 ($) of the Internal Revenue Code of
1954 the amount of discount at which bills issued hereunder are sold is not
considered to accrue until such bills are sold, redeemed or otherwise disposed of,
and such bills are excluded from consideration as capital assets. Accordingly,
the owner of Treasury bills (other than life insurance companies) issued hereunder
need include in his income tax return only the difference between the price paid
for such bills, whether on original issue or on subsequent purchase, and the
amount actually received either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or loss.
Treasury Department Circular No. 4l8, Revised, and this notice, prescribe
the terms of the Treasury bills and govern the conditions of their issue. Copies
of the circular may be obtained from any Federal Reserve Bank or Branch.

Secretary of the Treasury expressly reserves the right to accept or reject any o
all tenders, in whole or in part, and his action in any such respect shall be

final. Subject to these reservations, noncompetitive tenders for $200,000 or les

without stated price from any one bidder will be accepted in full at the average
price (in three decimals) of accepted competitive bids. Settlement for accepted

tenders in accordance with the bids must be made or completed at the Federal Reserve Bank on September 18. 1958 , in cash or other immediately available funds
or in a like face amount of Treasury bills maturing September 18, 1958 Cash

and exchange tenders will receive equal treatment. Cash adjustments will be made

for differences between the par value of maturing bills accepted in exchange and
the issue price of the new bills.
The income derived from Treasury bills, whether interest or gain from the

sale or other disposition of the bills, does not have any exemption, as such, an
loss from the sale or other disposition of Treasury bills does not have any
special treatment, as such, under the Internal Revenue Code of 1954. The bills
are subject to estate, inheritance, gift or other excise taxes, whether Federal

or State, but are exempt from all taxation now or hereafter imposed on the princ

or interest thereof by any State, or any of the possessions of the United States

&KKEBC

Y
TREASURY DEPARTMENT
Washington

— J

? ***\
J,

A. M.
KSffit RELEASE/ MBBKXHX NEWSPAPERS,
Thursday, September 11, 1958 .
The Treasury Department, by this public notice, invites tenders for
$1,800,000,000

, or thereabouts, of

-day Treasury bills, for cash and

in exchange for Treasury bills maturing
September 18. 1958
, in "the amount of
11,701,012,000 , to be issued on a discount basis under competitive and non-

—w—
competitive bidding as hereinafter provided. The bills of this series will be
dated September 18, 1958 , and will mature December 18, 1958
, when the face
amount will be payable without interest. They will be issued in bearer form only,
and in denominations of $1,000, #5,000, $10,000, $100,000, $500,000 and $1,000,000
(maturity value).

Tenders will be received at Federal Reserve Banks and Branches up to the
one-thirty
Daylight Saving
closing hour, ftoaoc o'clock p.m., Eastern/Stearataaqt time, Monday, September 15, 1958.
Tenders will not be received at the Treasury Department, Washington.

Each tender

must be for an even multiple of $1,000, and in the case of competitive tenders
the price offered must be expressed on the basis of 100, with not more than three
decimals, e. g., 99.925. Fractions may not be used.

It is urged that tenders

Tenders will be received without deposit from

incorporated banks and trust companies and from responsible and recognized dealers
in investment securities. Tenders from others must be accompanied by payment of

TREASURY DEPARTMENT
!ZJi2^Uim^i2E3i^!SW*URX.TSttiga:'iWi:x

WASHINGTON, D.C.
RELEASE A.M. NEWSPAPERS,
Thursday, September 11, 1958.

A-324

The Treasury Department, by this public notice, invites tenders
for $1,800,000,000, or thereabouts, of 91-day Treasury bills, for
cash and in exchange for Treasury bills maturing September 18, 1958,
in the amount of $1,701,012,000, to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of this series will be dated September 18, 1958,
and will mature December 18, 1958,
when the face amount will be
payable without interest. They will be issued in bearer form only,
and in denomination of $1,000, $5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, one-thirty o'clock p.m., Eastern Daylight
Saving time, Monday, September 15, 1958.
Tenders will not be
received at the Treasury Department, Washington. Each tender must
be for an even multiple of $1,000, and in the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e. g., 99.925. Fractions may not
be used. It is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit
tenders except for their own account. Tenders will be received
without deposit from Incorporated banks and trust companies and from
responsible and recognized dealers in investment securities
Tenders
from others must be accompanied by payment of 2 percent of the iace
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank
or trust company.
Immediately after the closing hour, tenders will be opened at the
F e d e r a T ^ ^ f Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
range of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereof. The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
in whole or in part, and his action in any such respect shall be
final
Subject to these reservations, non-competitive tenders lor
&200 000 or less without stated price from any one bidder will be
fccepted in full at the average price (in three decimals) of accepted

- 2 competitive bids. Settlement for accepted tenders in accordance
with the bids must be made or completed at the Federal Reserve Bank
on September 38, 1958, in cash or other immediately available funds
or in a like face amount of Treasury bills maturing September 18, 191
Cash and exchange tenders will receive equal treatment. Cash
adjustments will be made for differences between the par value of
maturing bills accepted in exchange and the issue price of the new
bills.
The income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, does not have
any exemption, as such, and loss from the sale or other disposition
of Treasury bills does not have any special treatment, as such,
under the Internal Revenue Code of 1954* The bills are subject
to estate, inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the
possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury
bills are originally sold by the United States is considered to
be Interest. Under Sections 454 (b) and 1221 (5) of the Internal
Revenue Code of 1954 the amount of discount at which bills issued
hereunder are sold is not considered to accrue until such bills
are sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets. Accordingly, the
owner of Treasury bills (other than life insurance companies)
issued hereunder need include in his income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount actuallyreceived either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or
loss.
Treasury Department Circular No. 4l8, Revised, and this
notice, prescribe the terms of the Treasury bills and govern the
conditions of their issue. Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.
0O0

189

ATh© following transactions worn m»<$» 'in fAAmmt
of the Oovommmt tor trommry immmtmmU and oth»r
aosth of August, I W I
Furohasos
Saloa
K@t Purchases

$n9tm,m.w
/*/ A. s. Wallace
m-flslon of Bapetitft 4 tmmtmmtm

TREASURY DEPARTMENT
WASHINGTON, D.C.

IMMEDIATE RELEASE,
Monday, September 15, 1958

A-325

During August 1958, market transactions in direct
and guaranteed securities of the government for
Treasury investment and other accounts resulted in
net purchases by the Treasury Department of $19*127,900.

oOo

BUEASE A. H, I»f$PAP£RS,
Tuesday, September 16, 1958.

the Treasury Department anaounee©: last evening tfeat the tenders tor f1,800,000,090,
or thereabouts, of 91-day Treasury bills to be dated September 1$ an®* to mature Deeea*
ber 18, 1956, which were offered on September 11, were opeaei at the Federal Reserve
Banks on September 15.
the details of this issue are as followst
Total applied for * 12*635,580,000
Total accepted
- 1,800,120,000 (includes #355,998,000 entered en m
noncompetitive basis and accepted in
fall at the average price shown below)
Hange of accepted eouspetitive bids? (txeepting four tenders totaling #£,640,000)
Hlgb - - 99*36$ Wftkiymlmnt rate of diseouist approx. 2m§QQ$ per annua
l®*
- 99.33X
*
« »
*
. • 2.647* •
Average * 99.342

•

» •» » " 2.60$% « "

(84 percent of the automat bid for at the low prise was accepted)
Federal Eeserve
District

totalApplied for

fetal
Accepted

Boston
lew fork Philadelphia
Cleveland
Eiehinotid
Atlanta
Chisago
St. Louis
Minneapolis
Kansas City
Bellas
San Franeisco

#
43,383*000
1,782,914,000
47,835,000
77,935,000
21,378,000
56,861,000
311,364,000
37,371,000
27,916,000
68,961,000
29,728,000
129,414,000

1
33,383,000
1,038,254,000
36,195,000
72,935,000
ai,378,000
56,861,000
266,224,000
37,871,000
27,916,000
65,961,000
29,728,000
119.414.000

12,635,580,000

11,800,120,000

TOTAL

1 Q9

TREASURY DEPARTMENT
W A S H I N G T O N , D.C.
RELEASE A. M. NEWSPAPERS,
ruesday, September 16, 1958.

A-326

The Treasury Department announced last evening that the tenders for $1,800,000,000,

or thereabouts, of 91-day Treasury bills to be dated September 18 and to mature De

ber 18, 1958, which were offered on September 11, were opened at the Federal Reser
Banks on September 15*
The details of this issue are as follows:
Total applied for - $2,635,580,000
Total accepted
- 1,800,120,000 (includes $355,998,000 entered on a
noncompetitive basis and accepted in
full at the average price shown below)
Range of accepted competitive bids; (Excepting four tenders totaling $2,640,000)
High - 99.368 Equivalent rate of discount approx. 2.500* per annum
Low
- 99.331
»
«
ii
»»
w
2.647* "
Average - 99.342 »»

« 2.605*

n w

(84 percent of the amount bid for at the low price was accepted)
Federal Reserve
District

Total
Applied for

Total
Accepted

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

$
43,383,000
1,782,914,000
47,835,000
77,935,000
21,378,000
56,861,000
311,384,000
37,871,000
27,916,000
68,961,000
29,728,000
129,414,000

1
33,383,000
1,032,254,000
36,195,000
72,935,000
21,378,000
56,861,000
266,224,000
37,871,000
27,916,000
. 65,961,000
29,728,000
119,414,000

$2,635,580,000

11,800,120,000

TOTAL

- 3 -

or by any local taxing authority. For purposes of taxation the amount of disco

considered to accrue until such bills are sold, redeemed or otherwise disposed

and such bills are excluded from consideration as capital assets. Accordingly,

the owner of Treasury bills (other than life insurance companies) issued hereu

need include in his income tax return only the difference between the price pa
for such bills, whether on original issue or on subsequent purchase, and the

the terms of the Treasury bills and govern the conditions of their issue. Copi
of the circular may be obtained from any Federal Reserve Bank or Branch.

- 2 -

2 percent of the face amount of Treasury bills applied for, unless the tenders
accompanied by an express guaranty of payment by an incorporated bank or trust
company.
Immediately after the closing hour, tenders will be opened at the Federal Re-

final. Subject to these reservations, noncompetitive tenders for $200,000 or le

without stated price from any one bidder will be accepted in full at the averag

price (in three decimals) of accepted competitive bids. Settlement for accepted

tenders in accordance with the bids must be made or completed at the Federal Re

serve Bank on September 25, 1958 , in cash or other immediately available funds
or in a like face amount of Treasury bills maturing September 25, 195o Cash

and exchange tenders will receive equal treatment. Cash adjustments will be mad

for differences between the par value of maturing bills accepted in exchange an
the issue price of the new bills.
The income derived from Treasury bills, whether interest or gain from the

are subject to estate, inheritance, gift or other excise taxes, whether Federal

or State, but are exempt from all taxation now or hereafter imposed on the prin

or interest thereof by any State, or any of the possessions of the United States

Bffiffiaxa

<y~\
TREASURY DEPARTMENT
Washington

- \.- •.
|

A. M.
IBS RELEASE^ EDKHSSB NEWSPAPERS,
Thursday, September 18. 1958

Ok
The Treasury Department, by this public notice, invites tenders for
$ 1,800,000,000 , or thereabouts, of

-day Treasury bills, for cash and

xix

in exchange for Treasury bills maturing September 25, 1958

, in the amount of

55
$ 1,700,384,000

to be issued on a discount basis under competitive and non-

SSE
competitive bidding as hereinafter provided. The bills of this series will be
dated September 25, 1958
, when the face
a n d w i l l ma ture December 26, 1958

BST

amount will be payable without interest. They will be issued in bearer form only,
and in denominations of $1,000, $5,000, $10,000, $100,000, $500,000 and $1,000,000
(maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
one-thirty
Daylight Saving
closing hour, inm/ofclock p.m., Eastern/Sxanstaxg time, Monday, September 22, 1958

t*t
Tenders will not be received at the Treasury Department, Washington.

Each tender

must be for an even multiple of $1,000, and in the case of competitive tenders
the price offered must be expressed on the basis of 100, with not more than three
decimals, e. g., 99*92$.

Fractions may not be used.

It is urged that tenders

Tenders will be received without deposit from

incorporated banks and trust companies and from responsible and recognized dealers
in investment securities. Tenders from others must be accompanied by payment of

TREASURY DEPARTMENT

T Qi

WASHINGTON, D.C.
RELEASE A.M. NEWSPAPERS,
Thursday, September 18, 1958.

A-327

f«v <feT^e«^e?;^X DePartment, by this public notice, invites tenders
«? v/ ^^0,000,000,or thereabouts, of 92-day Treasury bills, for
casn ana In exchange for Treasury bills maturing September 25, 1958,
in the amount of $ 1,700,384,000, to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of this series will be dated September 25. 1958,
and will mature December 26, 1958,
when the face amount will be
payable without interest. They will be issued in bearer form only,
and in denomination of $1,000, $5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, one-thirty o»clock p.m., Eastern Daylight
Saving time, Monday, September 22, 1958.
Tenders will not be
received at the Treasury Department, Washington. Each tender must
be for an even multiple of $1,000, and in the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e. g., 99.925. Fractions may not
be used. It is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit
tenders except for their own account. Tenders will be received
without deposit from incorporated banks and trust companies and from
responsible and recognized dealers in investment securities. Tenders
from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank
or trust company.
Immediately after the closing hour, tenders will be opened at the
Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
range of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereof. The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
in whole or in part, and his action in any such respect shall be
final
Subject to these reservations, non-competitive tenders for
$200 000 or less without stated price from any one bidder will be
accepted In full at the average price (in three decimals) of accepted

- 2 competitive bids. Settlement for accepted tenders in accordance
with the bids must be made or completed at the Federal Reserve Bank
on September 25, 1958in cash or other immediately available funds
or in a like face amount of Treasury bills maturing September 25, 1958.
Cash and exchange tenders will receive equal treatment. Cash
adjustments will be made for differences between the par value of
maturing bills accepted in exchange and the issue price of the new
bills.
The income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, does not have
any exemption, as such, and loss from the sale or other disposition
of Treasury bills does not have any special treatment, as such,
under the Internal Revenue Code of 1954. The bills are subject
to estate, inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter imposed
on the principal or interest thereof by any State, or any of the
possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury
bills are originally sold by the United States is considered to
be interest. Under Sections 454 (b) and 1221 (5) of the Internal
Revenue Code of 1954 the amount of discount at which bills issued
hereunder are sold is not considered to accrue until such bills
are sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets. Accordingly, the
owner of Treasury bills (other than life insurance companies)
issued hereunder need include in his income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount actuallyreceived either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or
loss.
Treasury Department Circular No. 4l8, Revised, and this
notice, prescribe the terms of the Treasury bills and govern the
conditions of their issue. Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.

oOo

1Q7
.&. y s

- 12 the overall debt management problem and to come up with
specific suggestions as to improved techniques and
procedures.
Despite the problems which we face today — and they
are real problems — the future is full of hope. Our
economic recovery is proving again that our reliance on
a free enterprise economy is well founded. A rising
economy, together with effective measures to overcome our
temporary budget difficulties, and our determination to
follow through with sound debt management policies and
other anti-inflationary measures makes confidence justified
that the purchasing power of the American dollar will be
maintained. The entire free world looks to us for sound
and constructive leadership and as a bulwark of financial
strength.
If all of us — in both public and private life —
work together with foresight and responsibility, we can
fulfill our high,aims. In so doing we assure that the
future of America is unlimited.

0O0

Corporation holdings are down — but the liquidation
here has been in the short-term area, as corporate liquidity
varies with the economic cycle. A matter of considerably
greater concern is the sharp drop in the Government security
holdings of nonbank financial institutions.
Because of its effect on the longer term debt picture,
this poses a tough problem for the Treasury. These
institutions, of course, have played a major part in
helping finance the growth of the economy during the past
decade. But in view of the size of our Government debt
today and with deficit financing looming large, there
are important responsibilities on the part of private
investment institutions for aggressive assistance in the
Treasury financing job, as well as in the industry financing
job.
The market for Treasury securities, apart from savings
bonds, is to a large extent an institutional market. The
flow of personal savings today also goes predominantly
through institutions — insurance companies, savings banks,
savings and loan associations, and pension funds. When
the great institutional holders of the nation^ savings
do not buy Treasury securities, the Treasury must turn to
the commercial banksa This means increased bank credit,
a larger money supply, and new inflationary pressures.
To the extent that inflation results, the customers of these
savings institutions are among the chief victims.
Again some tell us, as in the case of inflationary wage
and price increases, that the actions of a single institution
in a competitive market have little effect. It cannot,
some tell us, buy Treasury bonds to fight inflation when
its competitors are obtaining better yields elsewhere.
Our conduct cannot be guided exclusively by these
considerations. Since it is the goal of financial
institutions to help protect the purchasing power of the
savings entrusted to them, they must look not only to
the immediate results of their actions but to the ultimate
economic consequences as well.
There are a number of possibilities for improving
holdings in the nonbank area. We are now carrying on an
extensive program of study and consultation on all phases
of debt management. A number of groups, in and out of
Government, have been asked to join with us in studying

Huge as its operations are, the Treasury (unlike municipal
and private borrowers) employs no underwriters in the usual
sense of the term. The underwriting responsibility is, in
effect, shared by the entire financial community. Within
this community, the Treasury's debt management goals are,
I believe, fairly well understood. It is recognized that
the Treasury should rely as little as possible on debt
ownership by the commercial banking system. It should
make every effort to lengthen the debt so as to keep the
number of financing operations at a minimum. In addition,
it should generally conduct its operations so as to
interfere as little as possible with the freedom of action
of the Federal Reserve in its monetary operations.
I repeat — there is general agreement on these goals.
But how best to work toward them and how best to protect the
market from disruptive influences raises difficult questions
on which there is no unanimity of opinion.
You are all familiar with the principle that the Treasury
should seek to sell long-term bonds during periods of
prosperity when the tightening effects which their sale
may have on the money market would be in harmony with a
policy of monetary restraint. Similarly, it is said that
during periods of recession the Treasury should contribute
to liquidity and to the availability of capital by doing
most of its financing in the short-term area which will be
largely absorbed by the commercial banks.
These principles, as you know, have presented difficulties
^practice. The Treasury has found that there are few if any
made-to-order occasions for substantially lengthening the debt.
The opportunities which do arise are infrequent; they are
imperfect; and they are not necessarily linked to any
particular phase of the business cycle.
There were some who criticized the Treasury for its
debt extension efforts during the past year on grounds
that we should sell only short-term issues during a recession.
On the other hand, if we had done all of our financing in
the one-year area our debt would be indefensibly short as
we take on the serious problems of a period of sizable debt
expansion.
The issues are made clearer by a quick glance at the
changing Government ownership pattern during recent years.
Since 1952, tne Government security holdings of individuals
and personal trusts have increased somewhat on net balance,
as have the holdings of commercial banks. Ownership on the
part of retirement funds of State and local government and
the Government investment accounts is up substantially.

- 9Treasury in this area, and I am hopeful that you will come
forward with suggestions for new approaches at the present
time. As you know, the Treasury resisted pressure last
spring to cut back its savings bonds program because of the
recession; as a result, we are in a strong position to move
ahead now into even more active encouragement of individual
savings through purchases of savings bonds.
While we expect to put the strongest possible emphasis on
savings bonds, this means alone will not suffice. The
successful placement of Treasury marketable securities to the
greatest extent possible outside the commercial banks is of
exceptional importance at the present time.
I am sure that there is agreement on the fundamentals
applicable to activity in the Government bond market.
Fluctuations in market prices and yields serve an important
function in our private enterprise economy, and legitimate
dealer activity is important and necessary.
The experience of last summer, however, has focused
attention on certain unhealthy features of market activity;
in particular, the participation of market operators whose
only object is to secure a quick profit. Speculative activity
of this sort makes no contribution to the breadth, depth, or
resiliency of the market. On the contrary it is destructive
of these qualities.
We must all give continued thought to the ways in which
a recurrence of such excesses can be avoided. However, we
must recognize that there are other major forces behind the
recent decline in bond prices.
It is these funadmental factors which provide the fuel
for speculative activity, regardless of what short-run
circumstances may set it off. Permanent relief from
speculative excesses can only occur when the basic conditions
giving rise to fears of either creeping or runaway inflation
are recognized and dealt with. Because of this, as I have
said, all Americans must show determination and courage in
making the required hard choices.
As I see it, the problem of how to maintain a healthy
government securities market is one which must be attacked
cooperatively by all of us — banks, dealers, institutional
and other private investor groups, as well as the Treasury.

- 8maintaining monetary integrity, institutional liquidity,
and the achievement of growth. Decisions bearing on the
management of the debt touch the lives of every individual
of our nation and weigh heavily in the accomplishment of
our international objectives.
As you know, we have for fiscal 1959 a sizable financing
program:
$23 billion rollover of regular bills, 4 times yearly;
$49 billion of other maturing issues to be handled;
And $12 billion deficit to be financed; a portion of this
financing will be announced in a few days.
Finally, even with steady economic recovery and growth,
there is the prospect of some deficit in fiscal i960.
The size of our financing program increases the urgency
of our obligation to finance as large a part of our requirements as possible outside of the commercial banking system
and thus minimize the inflationary pressure of deficit
operations. This raises very difficult problems for us.
First of all, we are not able this year to place large
amounts of securities with the Government trust funds. Over
the past 10 years these funds added $20 billion to their
holdings of Government securities as their reserves accumulated.
Currently, however, the flow of funds is being reversed;
benefits and other payments are exceeding receipts, and
there will be a decline in holdings this year.
A further factor complicating our problem in the nonbank
area is the continuing drain on the Treasury resulting from
the cashing of Series F and G Savings Bonds, originally
issued in large denominations. To help meet this drain,
the Treasury, as you know, has recently opened up Series E and H
Savings Bonds for the investment of the proceeds of maturing
F's and G's, without regard to individual annual purchase
limits, believing that those who chose to hold their F's and
G's to maturity will continue to exhibit the same
characteristics in their holding of Series Eand H.
The problem of maintaining and enlarging the proportion
of the debt held outside of the commercial banking system may,
however, require a more aggressive savings bonds program. The
banking community has always given strong support to the

•^ \J c-

It takes courage^to put the lona^range genera^J-nterest"the hard choices — ahead of the immeoiate interests— the
easy and momentarily attractive. As I see it, the one truly
great requirement is that our people not just voice platitudes
but exhibit this hard courage in their demands on the government^
We are often told that in a competitive economy a single
firm, a single union, a single consumer cannot exercise such
restraint. If any of them did, it is said, they would only
injure themselves without influencing the course of events.
We cannot guide our conduct by these norms, £pr they
seem to relieve the individual of his civic respoisibilites.
After all, a single vote in an election may not seem to
count for much, yet each vote is important in our democratic
process. The same standards should apply to the business
man setting prices, and to the labor leader negotiating wages.
If such restraints are not exercised public opinion will in
due course demand some change in the ground rules.
A nation that has conquered so many of the forces in the
material world and which has achieved a high standard of
economic literacy is not going to repeat the mistakes so
many nations over the world have made in following unsound
fiscal and monetary policies which erode the purchasing
power of their currency. Other nations have learned this
lesson the hard way — by cruel experience.
This Administration pledges itself to a relentless
fight against inflation. In that, we need and I know we
will receive, your support. As people become more fully
aware of the problem, we will win the fight. We will not
sell America short.
I should like> to turn now to the particular problems
of Treasury financing and debt management.
All too often these problems are regarded as something
of concern only to the Treasury or involving only those
engaged in security transactions. That, of course, is
not true. The influence of the national debt and the way
in which it is handled penetrates every corner of American
economic society. The frequency with which we go to the
market, the volume of debt financing that is required, the
distribution of the debt in length of maturity and ownership, affect the whole scheme of individual, corporate,
municipal, and state financing, and bear a significant
relationship to how we accomplish the economic goals of
a free society.
There is more involved here than consideration of equity
and profit for the holders of securities. With a debt as
large as ours is now, debt management is at the heart of
the whole problem of national thrift. It^ is a major part
of the responsibility resting on a competitive society for

-6-

The demand for funds coming from all of these sources —
the recovery itself, Government programs, and business attitudes
toward the future — presents numerous problems for all who
engage in the activities of the financial community. To
mention one — . the sale of bonds, which constitutes the only
means for raising funds in the market to finance public
expenditures, state and municipal as well as Federal, and
a principal means to finance industrial growth, is being
placed more and more in jeopardy. Today prices of common
stocks have risen to a point where their average yields
are below the yields of senior bonds of the same corporations
and are getting closer to yields on U. S. Government bonds.
These developments furnish evidence, if more were needed,
that we must intensify our efforts toward meeting the
requirements of the Government and of the economy itself
without at the same time becoming active collaborators
with the destructive forces of monetization and inflation.
We have made great progress in the last quarter century
in developing techniques which mitigate recessions. The
unemployment which accompanies a downturn in activity is
abhorrent to our people and it brings about a prompt demand
for Government action.
Inflation, on the other hand, creeps upon us gradually
and insidiously. We must remember that inflation and booms
It has
been
that our
traditional
weapons
against
are the
cause
of argued
recessions.
They
impede sound,
sustainable
inflation
—
Federal
Reserve
monetary
policy,
sound
fiscal
growth in real terms, based on a sound monetary system.
policies^ and a management; of the^plblic debt aimed at
lengthening its average mlfturity and obtaining distribution
outside the commercial banks — are inadequate because this
inflation is a "special kind" of inflation. The new
inflation, so the argument goes, results from wage increases
which outrun productivity, from administered prices, not
from excessii£a^credi£_ expansion and Government deficits.
Monetary policy plus expenditure controls, it is said, cannot
cope with an inflation that is fed from a different source.
The fact is that inflation is fed from many sources.
It has to be attacked from many angles. The traditional
weapons of monetary policy, fiscal policy, and debt management
will be employed vigorously. But we must remain alert to
the possibility of other methods, too, and be prepared to
use them with vigor.
But the battle is not all up to the Government. Leadership,
in our type of system, is meaningless without a strong national
determination that the problem be solved. Leadership can call
for restraint; it can make the issues clear; it can program
this
the remedies.
job done.^ Q|t hard persoaial choices are required %o get

2 C JA
- 5 at th^ end of the journey. The journey on which the United
States has ventured stretches into the limitless future.
We must not, for the sake of covering a few miles perhaps
more quickly, jeopardize our progress along all the rest
of the way.
We have, of course, had considerable success in maintaining price stability in recent years. While it is true that
the purchasing power of the dollar in 1958 versus 1939
is about 48 cents, we often forget that all but 4 cents of
the decline occurred before 1953, and is largely chargeable to
the enormous expenses of World War II which could not be met
entirely out of taxes.
This helps remind us that inflation is not inevitable,
a blind force which we must accept with resignation.
Inflation is a phenomenon that is man-made and can be
man-controlled. The problem is how to control it without
employing methods that would limit too greatly individual
initiative and freedom of choice.
Progress in the uneasy atmosphere of inflation, moreover,
is not what the American people really want. The nervewracking race between prices and wages is no happy life even
for those who manage to stay ahead. The destruction of
savings does not make for a stable society. The drawing of
contracts in a currency that we would become resigned to let
depreciate is contrary to our traditions of good faith.
Inflation is not only uneconomic, it is immoral.
The time for a showdown with inflation is now. Each
delay makes victory harder, because more people become more
firmly convinced that inflation is unavoidable. We must
act now to keep an inflation psychology from becoming dominant.
As a first step, we must recognize and evaluate both
the economic and psychological factors influencing activity
at the present time. Foremost among these is the recovery
itself. What forces are generating it? How broadly based
is it and how well-sustained can we expect it to be? What
role is being performed by Government spending, induced or
accelerated by our desire to speed up output and reemployment?
Hpw should we evaluate business and investor attitudes toward
the economic outlook as reflected, for example, in the preference
being shown by the business community for debt vs. equity
financing, and on the other hand in the heavy demand on the
part of investors for industrial stocks which is in part at
least induced by fears of future inflation?

- 4-

90S
C.- *mJ ^

It is growth we need. The Government faces increased
responsibilities at home and abroad in a world of tensions.
We will meet those responsibilities. They can and will be
met with a growing national income which will come from
increased productivity, expanding employment opportunities,
and a demand on the part of our people for continually
rising standards of living.
We have written into our laws a recognition of the
government's responsibility to promote "maximum employment,
production and purchasing power." The Government has
accepted that responsibility; it is equally important that
we accept, either by statute or self-acknowledgment, the
principle of the integrity of money.
Let me repeat here a point that I have made many times.
We in the Treasury are never going to follow or urge policies
which are inimical to our national defense or try to impose
our judgment upon those responsible for our national safety.
However, military strength is based upon a strong and dynamic
economy. Weakening our economy plays into the hands of those
who threaten our way of life just as surely as weakening our
military position.
But coupled with the promise of growth, we also today
face the threat of inflation. No responsible government will
allow either inflation or deflation to run a ruinous course.
Nor can any business or organized labor group long maintain
the confidence of the American people if it so conducts its
affairs as to be unmindful of its own responsibility towards
promoting economic soundness.
There are those who say that inflation is the inevitable
price that we have to pay for continued growth. Such growth,
they say, demands easy money and big government spending.
If we curb these forces of inflation, so.it is argued, we
shall also sacrifice maximum growth.
I do not agree with this thesis. It has a superficial
plausibility because we could, of course, accelerate growth
for a certain time by inflationary finance, just as we can
accelerate a car by stepping on the gas. Over the longer
run, however, these inflationary methods would get us into
trouble, just as the recklessly speeding driver will find
himself in trouble. What counts is not how fast one goes
at any one instant, but how soon and how safely one arrives

- 3the American people can be confident that it will be dealt
with effectively. The economic recovery now well under way
is a factor which is on our side. A continuation of sound
recovery and economic growth will not only replenish our revenues,
but will give us an environment in which there will be less
pressure for Government expenditures in some areas.
We are not letting up in this fight to control spending.
In fact, in the last session of Congress we avoided a further
addition of $5-1/2 billion in spending authorizations. This
was accomplished by Presidential vetoes of several spending
authorizations, and by successful opposition, with help from
some members of Congress of both parties to other spending
proposals that had actually been passed by either the House
or the Senate. The President's drive to_reduce Government
employment by at least 2% during the rest of this fiscal year
is an additional evidence of our determination in this area.
With progress in controlling the budget, we can deal more
effectively with the economic and social burden imposed by our
present high level of taxation, and make further strides toward
tax simplification and reform so that our tax system can function
as effectively and equitably as possible. We are firmly convinced that the tax structure must be further improved so as
to provide the minimum of interference with the incentive of
individuals which is so basically important to our free
enterprise system.
Changes in our tax structure, however, must not be hastily
resorted to as a matter of expediency. You will recall that
those who were urging tax reductions last spring were making
•heir proposals on the ground that the reductions must be
accomplished in the ways they proposed, without regard to what
might be politically possible within the framework of the national
psychology at that time.
Now, six months later, it seems clear that hasty resort to
tax cuts would have been not only unwarranted but would have
added heavily to an already serious deficit. Temporary shifts
in our rate of economic growth do not justify either indiscriminate
tax reduction or indiscriminate spending.
We now look forward to a period of growth. During recent
years American Industry has invested large sums in plant and
equipment. We have built great productive reserves into our
economy. We must now wisely manage our affairs to use this
production for sustainable growth.

- 2-

onT

Among these are that:
We will continue to maintain the integrity of our currency;
We will operate the Federal Government at a minimum cost
consistent with our national defense and domestic responsibilities;
We will continue to recognize there is no escape from
the payments of debts which are created;
We will see to it that each generation does so far as
possible, carry its own burdens;
And we will firmly adhere to the simple proposition that
nations as well as individuals must carefully budget their
resources and their expenditures in relationship to an enduring
future of stable growth rather than on the basis of wide
fluctuations of a short-term nature.
We are emerging from a period of recession. None of us
is wise enough to know with exactness the rate of economic
growth that lies ahead. What we seek to achieve is a sustainable
rate of growth in terms of lasting jobs and real goods and
dollars which maintain their purchasing power. The current
resumption of growth we are experiencing is a demonstration
of great resiliency rooted in a competitive market.
Our financial mechanism has been a pillar of strength
in reversing the downward trend and bringing about a renewal
of growth. Our banks are sound. Our citizens are confident.
The stabilizers built into our economy have demonstrated their
effectiveness.
When evidence of the recession became clear last fall,
the Federal Reserve System eased credit, and the Administration
promptly took steps to stimulate housing and to accelerate needed
Government expenditures in areas where they could best aid
recovery. These expenditures, plus additional spending which
the last Congress authorized, have raised the level of expected
Government spending by $5 billion since the budget estimates in
January. In addition, there has been a $7 billion decline in
revenues for this fiscal year from the January estimates, a
decline associated with the recession. These two shifts are
expected to produce a budget deficit this fiscal year of
$12 billion.
We do not face a deficit of this size with complacency.
We are attacking it vigorously from every possible angle and

Cm W" '-'

TREASURY DEPARTMENT
Washington
FOR RELEASE P.M. NEWSPAPERS
TUESDAY, SEPTEMBER 23, 1958
REMARKS BY SECRETARY OF THE TREASURY ROBERT B. ANDERSON AT
AMERICAN BANKERS ASSOCIATION CONVENTION, CONRAD-HILTON HOTEL,
CHICAGO, ILLINOIS, TUESDAY, SEPTEMBER 23, 1958, 10:00 A.M.
The economic development of our Nation is a medley of
forces predominantly generated by competitive enterprise and
strongly affected by the activities of government. These
forces can never be adequately examined in the abstract.
They can be properly treated only in relation to how they
accomplish the purposes of free men — more goods and more
services at prices that people are able and willing to pay
in order to enhance the individual welfare and the preservation of freedom in all of its aspects.
One characteristic of our competitive system has been
its phenomenal growth and development. We have become the
greatest productive nation in the world. Yet at the same time,
there is increasing pressure on the government — almost overwhelming at times — for the solution of economic and social
problems.
About a year ago, economic discussion centered on the
expenditure reductions of the first session of the 85th Congress,
with strong competition among those who sought to be credited
with the reductions. The launching of the Russian Sputnik
and the decline of business activity in the late fall of 1957
and early 1958 generated strong demands for either a tremendous
expansion of governmental expenditures or massive tax reduction —
or both. Such actions could have led to serious long-range effects,
Today, a scant few months later, we are talking about inflation,
the size of prospective deficits, and — again — efforts toward
the reduction of governmental expenditures.
These rapidly changing events and points of view do not,
however, obscure the basic philosophy of a nation that is resolved
to be militarily strong, economically sound, and dedicated to
the achievement of progress in terms of real goods and services
within the framework of our cherished freedoms. Certain principles
A-328we accept as basic, despite wide variations in attitudes
toward the needs of the moment.

no
TREASURY DEPARTMENT
Washington
FOR RELEASE P.M. NEWSPAPERS
TUESDAY, SEPTEMBER 23, 1958
AMF?!ffi mM^ScET^ °P THE ^EASURY ROBERT B. ANDERSON AT
J ^ n S ™ B ^KERS ASSOCIATION CONVENTION, CONRAD-HILTON HOTEL,
CHICAGO, ILLINOIS, TUESDAY, SEPTEMBER 23, 1958, 10:00 A.M.
The economic development of our Nation is a medley of
forces predominantly generated by competitive enterprise and
strongly affected by the activities of government. These
forces can never be adequately examined in the abstract.
They can be properly treated only in relation to how they
accomplish the purposes of free men — more goods and more
services at prices that people are able and willing to pay
in order to enhance the individual welfare and the preservation of freedom in all of its aspects.
One characteristic of our competitive system has been
its phenomenal growth and development. We have become the
greatest productive nation in the world. Yet at the same time,
there is increasing pressure on the government — almost overwhelming at times — for the solution of economic and social
problems.
About a year ago, economic discussion centered on the
expenditure reductions of the first session of the 85th Congress,
with strong competition among those who sought to be credited
with the reductions. The launching of the Russian Sputnik
and the decline of business activity in the late fall of 1957
and early 1958 generated strong demands for either a tremendous
expansion of governmental expenditures or massive tax reduction —
or both. Such actions could have led to serious long-range effects.
Today, a scant few months later, we are talking about inflation,
the size of prospective deficits, and — again — efforts toward
the reduction of governmental expenditures.
These rapidly changing events and points of view do not,
however, obscure the basic philosophy of a nation that is resolved
to be militarily strong, economically sound, and dedicated to
the achievement of progress in terms of real goods and services
within the framework of our cherished freedoms. Certain principles
A-328we accept as basic, despite wide variations in attitudes
toward the needs of the moment.

V i• 1

- 2 Among these are that:
We will continue to maintain the integrity of our currency;
n^v^t wJl:L42perate the Federal Government at a minimum cost
consistent with our national defense and domestic responsibilities;
We will continue to recognize there is no escape from
the payments of debts which are created;
We will see to it that each generation does so far as
possible, carry its own burdens;
And we will firmly adhere to the simple proposition that
nations as well as individuals must carefully budget their
resources and their expenditures in relationship to an enduring
future of stable growth rather than on the basis of wide
fluctuations of a short-term nature.
We are emerging from a period of recession. None of us
is wise enough to know with exactness the rate of economic
growth that lies ahead. What we seek to achieve is a sustainable
rate of growth in terms of lasting Jobs and real goods and
dollars which maintain their purchasing power. The current
resumption of growth we are experiencing is a demonstration
of great resiliency rooted in a competitive market.
Our financial mechanism has been a pillar of strength
in reversing the downward trend and bringing about a renewal
of growth. Our banks are sound. Our citizens are confident.
The stabilizers built into our economy have demonstrated their
effectiveness.
When evidence of the recession became clear last fall,
the Federal Reserve System eased credit, and the Administration
promptly took steps to stimulate housing and to accelerate needed
Government expenditures in areas where they could best aid
recovery. These expenditures, plus additional spending which
the last Congress authorized, have raised the level of expected
Government spending by $5 billion since the budget estimates in
January. In addition, there has been a $7 billion decline in
revenues for this fiscal year from the January estimates, a
decline associated with the recession. These two shifts are
expected to produce a budget deficit this fiscal year of
$12 billion.
We do not face a deficit of this size with complacency.
We are attacking it vigorously from every possible angle and

- 3-

?7 7

w i t h A S ? ? e ^ ^ ? ° P l e ^ a n b e ^nfident that it will be dealt
econor
is a r*ol^ ,Z*l ,
nic recovery now well under way
1
n O U r side
rlcoverv « L
?°
' A continuation of sound
but I?vf t?f e c o n o m i c growth will not only replenish our revenues,
nr£«™i« ?i % U S a n e n v i r onment in which there will be less
pressure for Government expenditures in some areas.
a e n
Tn ™f ? °t letting up in this fight to control spending.
OJMJ27
^ * ? e 3 > a s t s e s s i o n °f Congress we avoided a further
addition of $5-1/2 billion in spending authorizations. This
was accomplished by Presidential vetoes of several spending
authorizations, and by successful opposition, with help from
some members of Congress of both parties to other spending
proposals that had actually been passed by either the House
or the Senate. The President's drive to reduce Government
employment by at least 2% during the rest of this fiscal year
is an additional evidence of our determination in this area.
With progress in controlling the budget, we can deal more
effectively with the economic and social burden imposed by our
present high level of taxation, and make further strides toward
tax simplification and reform so that our tax system can function
as effectively and equitably as possible. We are firmly convinced that the tax structure must be further improved so as
to provide the minimum of interference with the incentive of
individuals which is so basically important to our free
enterprise system.
Changes in our tax structure, however, must not be hastily
resorted to as a matter of expediency. You will recall that
those who were urging tax reductions last spring were making
their proposals on the ground that the reductions must be
accomplished in the ways they proposed, without regard to what
might be politically possible within the framework of the national
psychology at that time.
Now, six months later, it seems clear that hasty resort to
tax cuts would have been not only unwarranted but would have
added heavily to an already serious deficit. Temporary shifts
in our rate of economic growth do not justify either Indiscriminate
tax reduction or indiscriminate spending.
We now look forward to a period of growth. During recent
years American industry has invested large sums In plant and
equipment. We have built great productive reserves into our
economy. We must now wisely manage our affairs to use this
production for sustainable growth.

r* ««

- kr*«mJ^i?i?£?Wth We need- The Government faces increased
We S??? Soii iuB a t h 0 m e a n d a b r o a d i n a w o r l d o f tensions.
met w7f* ?
? Se resPonsibilities. They can and will be
i n o V p n c ^ A 8 ^ 1 ? ? nati°nal income which will come from
«nn 1 *1 p ^ oducti vity, expanding employment opportunities,
^ i L IT^ ° n t h e p a r t o f o u r p e o p l e *>r continually
rising standards of living.
We have written into our laws a recognition of the
government's responsibility to promote "maximum employment,
production and purchasing power." The Government has
accepted that responsibility; it is equally important that
we accept, either by statute or self-acknowledgment, the
principle of the integrity of money.
Let me repeat here a point that I have made many times.
We in the Treasury are never going to follow or urge policies
which are inimical to our national defense or try to impose
our judgment upon those responsible for our national safety.
However, military strength is based upon a strong and dynamic
economy. Weakening our economy plays into the hands of those
who threaten our way of life just as surely as weakening our
military position.
But coupled with the promise of growth, we also today
face the threat of inflation. No responsible government will
allow either inflation or deflation to run a ruinous course.
Nor can any business or organized labor group long maintain
the confidence of the American people if it so conducts its
affairs as to be unmindful of its own responsibility towards
promoting economic soundness.
There are those who say that inflation is the Inevitable
price that we have to pay for continued growth. Such growth,
they say, demands easy money and big government spending.
If we curb these forces of inflation, so It Is argued, we
shall also sacrifice maximum growth.
I do not agree with this thesis. It has a superficial
plausibility because we could, of course, accelerate growth
for a certain time by inflationary finance, just as we can
accelerate a car by stepping on the gas. Over the longer
run, however, these inflationary methods would get us into
trouble, just as the recklessly speeding driver will find
himself in trouble. What counts is not how fast one goes
at any one Instant, but how soon and how safely one arrives

-5-

513

%+*+?** Snd °f £he Journey. The journey on which the United
toll
/ e 2 t u r e d stretches into the limitless future.
m!Lo Z?*n?5' ? r t h e s a k e o f covering a few miles perhaps
more quickly, jeopardize our progress along all the rest
of the way.
We have, of course, had considerable success in maintaining price stability in recent years. While it is true that
the purchasing power of the dollar in 1958 versus 1939
is about 45 cents, we often forget that all but 4 cents of
the decline occurred before 1953, and is largely chargeable to
the enormous expenses of World War II which could not be met
entirely out of taxes.
This helps remind us that inflation is not inevitable,
a blind force which we must accept with resignation.
Inflation is a phenomenon that is man-made and can be
man-controlled. The problem is how to control it without
employing methods that would limit too greatly individual
initiative and freedom of choice.
Progress in the uneasy atmosphere of inflation, moreover,
is not what the American people really want. The nervewracking race between prices and wages is no happy life even
for those who manage to stay ahead. The destruction of
savings does not make for a stable society. The drawing of
contracts in a currency that we would become resigned to let
depreciate is contrary to our traditions of good faith.
Inflation is not only uneconomic, it is immoral.
The time for a showdown with inflation is now. Each
delay makes victory harder, because more people become more
firmly convinced that inflation is unavoidable. We must
act now to keep an inflation psychology from becoming dominant.
As a first step, we must recognize and evaluate both
the economic and psychological factors influencing activity
at the present time. Foremost among these is the recovery
itself. What forces are generating it? How broadly based
is it and how well-sustained can we expect it to be? What
role is being performed by Government spending, induced or
accelerated by our desire to speed up output and reemployment?
How should we evaluate business and investor attitudes toward
the economic outlook as reflected, for example, in the preference
being shown by the business community for debt vs. equity
financing, and on the other hand in the heavy demand on the
part of Investors for industrial stocks which is in part at
least induced by fears of future inflation?

- 6 -

^1 A

the r>The dema?d fo^ funds coming from all of these sources —
tnuaZxZZtr% i t s e l f * Government programs, and business attitudes
e ^
^ * £ U t U r f « ~ " p r e s e n t s numerous problems for all who
m*Sf™ ~
activities of the financial community. To
ne
£p«n« ? ^
7"\ t h e s a l e o f b o n d s > ^ich constitutes the only
raisin
*™^LiT
S f u n ^s in the market to finance public
o n!5« J ^ ? 8 ' S t a t e a n d municipal as well as Federal, and
a principal means to finance industrial growth, is being
placed more and more in jeopardy. Today prices of common
stocks have risen to a point where their average yields
are below the yields of senior bonds of the same corporations
and are getting closer to yields on U. S. Government bonds.
These developments furnish evidence, if more were needed,
that we must intensify our efforts toward meeting the
requirements of the Government and of the economy itself
without at the same time becoming active collaborators
with the destructive forces of monetization and inflation.
We have made great progress in the last quarter century
in developing techniques which mitigate recessions. The
unemployment which accompanies a downturn in activity is
abhorrent to our people and it brings about a prompt demand
for Government action.
Inflation, on the other hand, creeps upon us gradually
and insidiously. We must remember that inflation and booms
are the cause of recessions. They impede sound, sustainable
growth in real terms, based on a sound monetary system.
It has been argued that our traditional weapons against
inflation — Federal Reserve monetary policy, sound fiscal
policies, and' a management of the public debt aimed at
lengthening its average maturity and obtaining distribution
outside the commercial banks — are inadequate because this
inflation is a "special kind" of inflation. The new
inflation, so the argument goes, results from wage increases
which outrun productivity, from administered prices, not
from excessive credit,, expansion_and Government_def ic11s.
Monetary policy plus expenditure controls, it is said, cannot
cope with an inflation that Is fed from a different source.
The fact is that inflation is fed from many sources.
It has to be attacked from many angles. The traditional
weapons of monetary policy, fiscal policy, and debt management
will be employed vigorously. But we must remain alert to
the possibility of other methods, too, and be prepared to
use them with vigor.
But the battle is not all up to the Government. Leadership,
in our type of system, is meaningless without a strong national
determination
themake
problem
solved.
Leadership
can
call
this
for
the remedies.
restraint;
job done.that
But
it can
hard
personal
the be
issues
choices
clear;
are
required
it can program
to get

- 7It takes courage to put the long-range general interest —
the hard choices — ahead of the immediate interests — the
easy and momentarily attractive. As I see it, the one truly
great requirement is that our people not just voice platitudes
but exhibit this hard courage in their demands on the government.
We are often told that in a competitive economy a single
firm, a single union, a single consumer cannot exercise such
restraint. If any of them did, it is said, they would only
injure themselves without influencing the course of events.
We cannot guide our conduct by these norms, for they
seem to relieve the individual of his civic responsibilites.
After all, a single vote in an election may not seem to
count for much, yet each vote is Important in our democratic
process. The same standards should apply to the business
man setting prices, and to the labor leader negotiating wages.
If such restraints are not exercised public opinion will in
due course demand some change in the ground rules.
A nation that has conquered so many of the forces in the
material world and which has achieved a high standard of
economic literacy is not going to repeat the mistakes so
many natipns over the world have made in following unsound
fiscal and monetary policies which erode the purchasing
power of their currency. Other nations have learned this
lesson the hard way -- by cruel experience.
This Administration pledges itself to a relentless
fight against inflation. In that, we need and I know we
will receive, your support. As people become more fully
aware of the problem, we will win the fight. We will not
sell America short.
I should like to turn now to the particular problems
of Treasury financing and debt management.
All too often these problems are regarded as something
of concern only to the Treasury or involving only those
engaged in security transactions. That, of course, is
not true. The influence of the national debt and the way
in which it is handled penetrates every corner of American
economic society. The frequency with which we go to the
market, the volume of debt financing that is required, the
distribution of the debt in length of maturity and ownerr
ship, affect the whole scheme of individual, corporate,
municipal, and state financing, and bear a significant
relationship to how we accomplish the economic goals of
a free society.
There is more involved here than consideration of equity
and profit for the holders of securities. With a debt as
large as ours is now, debt management is at the heart of
of
thethe
whole
responsibility
problem of national
resting thrift.
on a competitive
It is a major
society
part
for

-8-

<16

^n^lnin?,m°netary integrity, institutional liquidity,
and the achievement of growth. Decisions bearing on the
management of the debt touch the lives of every individual
^ ~ ° y r + n a ? n a n d w e l S h heavily in the accomplishment of
our international objectives.
As you know, we have for fiscal 1959 a sizable financing
&
program:
$23 billion rollover of regular bills, 4 times yearly;
$49 billion of other maturing issues to be handled;
And $12 billion deficit to be financed; a portion of this
financing will be announced in a few days.
Finally, even with steady economic recovery and growth,
there is the prospect of some deficit in fiscal i960.
The size of our financing program increases the urgency
of our obligation to finance as large a part of our requirements as possible outside of the commercial banking system
and thus minimize the Inflationary pressure of deficit
operations. This raises very difficult problems for us.
First of all, we are not able this year to place large
amounts of securities with the Government trust funds. Over
the past 10 years these funds added $20 billion to their
holdings of Government securities as their reserves accumulated
Currently, however, the flow of funds is being reversed;
benefits and ,other payments are exceeding receipts, and
there will be a decline in holdings this year.
A further factor complicating our problem in the nonbank
area is the continuing drain on the Treasury resulting from
the cashing of Series F and G Savings Bonds, originally
issued in large denominations. To help meet this drain,
the Treasury, as you know, has recently opened up Series E
Savings Bonds for the Investment of the proceeds of maturing
F's and G's, without regard to individual annual purchase
limits, believing that those who chose to hold their F's and
G's to maturity will continue to exhibit the same
characteristics in their holding of Series E.
The problem of maintaining and enlarging the proportion
of the debt held outside of the commercial banking system may,
however, require a more aggressive savings bonds program. The
banking community has always given strong support to the

217
- 9Treasury in this area, and I am hopeful that you will come
iorward with suggestions for new approaches at the present
time. As you know, the Treasury resisted pressure last
spring to cut back its savings bonds program because of the
recession;^as a result, we are in a strong position to move
ahead now into even more active encouragement of individual
savings through purchases of savings bonds.
While we expect to put the strongest possible emphasis on
savings bonds, this means alone will not suffice. The
successful placement of Treasury marketable securities to the
greatest extent possible outside the commercial banks is of
exceptional importance at the present time.
I am sure that there is agreement on the fundamentals
applicable to activity in the Government bond market.
Fluctuations in market prices and yields serve an important
function in our private enterprise economy, and legitimate
dealer activity is important and necessary.
The experience of last summer, however, has focused
attention on certain unhealthy features of market activity;
in particular, the participation of market operators whose
only object is to secure a quick profit. Speculative activity
of this sort makes no contribution to the breadth, depth, or
resiliency of the market. On the contrary It is destructive
of these qualities.
We must all give continued thought to the ways in which
a recurrence of such excesses can be avoided. However, we
must recognize that there are other major forces behind the
recent decline in bond prices.
It is these funadmental factors which provide the fuel
for speculative activity, regardless of what short-run
circumstances may set it off. Permanent relief from
speculative excesses can only occur when the basic conditions
giving rise to fears of either creeping or runaway inflation
are recognized and dealt with. Because of this, as I have
said, all Americans must show determination and courage in
making the required hard choices.
As I see it, the problem of how to maintain a healthy
government securities market is one which must be attacked
cooperatively by all of us — banks, dealers, institutional
and other private investor groups, as well as the Treasury.

-io-

-»
do

anrt Jttrlt ? perat ions are, the Treasury (unlike municipal
s^ncS ^ ^ b o r r o w e r s ) employs no underwriters in the usual
Pf?p!t cJ
^ 6 ? m * T h e underwriting responsibility is, in
eiiect, snared by the entire financial community. Within
tnis community, the Treasury's debt management goals are,
tu! m l e v e > fai ^ly well understood. It is recognized that
tne Treasury should rely as little as possible on debt
ownership by the commercial banking system. It should
make every effort to lengthen the debt so as to keep the
number of financing operations at a minimum. In addition,
it should generally conduct its operations so as to
interfere as little as possible with the freedom of action
of the Federal Reserve in its monetary operations.
I repeat — there is general agreement on these goals.
But how best to work toward them and how best to protect the
market from disruptive influences raises difficult questions
on which there is no unanimity of opinion.
You are all familiar with the principle that the Treasury
should seek to sell long-term bonds during periods of
prosperity when the tightening effects which their sale
may have on the money market would be in harmony with a
policy of monetary restraint. Similarly, it is said that
during periods of recession the Treasury should contribute
to liquidity and to the availability of capital by doing
most of its financing in the short-term area which will be
largely absorbed by the commercial banks.
These principles, as you know, have presented difficulties
±1 practice. The Treasury has found that there are few if any
made-to-order occasions for substantially lengthening the debt.
The opportunities which do arise are infrequent; they are
imperfect; and they are not necessarily linked to any
particular phase of the business cycle.
There were some who criticized the Treasury for its
debt extension efforts during the past year on grounds
that we should sell only short-term issues during a recession.
On the other hand, if we had done all of our financing in
the one-year area our debt would be indefensibly short as
we take on the serious problems of a period of sizable debt
expansion.
The Issues are made clearer by a quick glance at the
changing Government ownership pattern during recent years.
Since 1952, the Government security holdings of individuals
and personal trusts have increased somewhat on net balance,
as have the holdings of commercial banks. Ownership on the
part of retirement funds of State and local government and
the Government Investment accounts Is up substantially.

- 11 he-p Corporation holdings are down — but the liquidation
ere nas been in the short-term area, as corporate liquidity
o-™**
economic cycle. A matter of considerably
a er concern is
^? ? '
the sharp drop in the Government security
holdings of nonbank financial institutions.
Because of its effect on the longer term debt picture,
this poses a tough problem for the Treasury. These
institutions, of course, have played a major part in
helping finance the growth of the economy during the past
decade. But in view of the size of our Government debt
today and with deficit financing looming large, there
are important responsibilities on the part of private
investment institutions for aggressive assistance in the
Treasury financing job, as well as in the industry financing
job.
The market for Treasury securities, apart from savings
bonds, is to a large extent an institutional market. The
flow of personal savings today also goes predominantly
through institutions — insurance companies, savings banks,
savings and loan associations, and pension funds. When
the great institutional holders of the nation's savings
do not buy Treasury securities, the Treasury must turn to
the commercial banks. This means increased bank credit,
a larger money supply, and new inflationary pressures.
To the extent that inflation results, the customers of these
savings institutions are among the chief victims.
Again some tell us, as in the case of inflationary wage
and price increases, that the actions of a single institution
in a competitive market have little effect. It cannot,
some tell us, buy Treasury bonds to fight inflation when
its competitors are obtaining better yields elsewhere.
Our conduct cannot be guided exclusively by these
considerations. Since it is the goal of financial
institutions to help protect the purchasing power of the
savings entrusted to them, they must look not only to
the immediate results of their actions but to the ultimate
economic consequences as well.
There are a number of possibilities for improving
holdings in the nonbank area. We are now carrying on an
extensive program of study and consultation on all phases
of debt management. A number of groups, in and out of
Government, have been asked to join with us in studying

ccj
- 12 the overall debt management problem and to come up with
specific suggestions as to improved techniques and
procedures.
Despite the problems which we face today — and they
are real problems — the future is full of hope. Our
economic recovery is proving again that our reliance on
a free enterprise economy is well founded. A rising
economy, together with effective measures to overcome our
temporary budget difficulties, and our determination to
follow through with sound debt management policies and
other anti-inflationary measures makes confidence justified
that the purchasing power of the American dollar will be
maintained. The entire free world looks to us for sound
and constructive leadership and as a bulwark of financial
strength.
If all of us — in both public and private life —
work together with foresight and responsibility, we can
fulfill our high aims. In so doing we assure that the
future of America is unlimited.

0O0

221
?> 1
RSIMSI A, n. nrnsmmm,
Tuesday^ September 23» 19$%*
Ibe fre&isury Bepartttent aaaouiKMd last evenisg that the to»4«*» for $1,800,000,000,
or thereabouts, of 92*<!ay treasury bill® to be dated September t$ mm to mature
Beeeiaber 2>r 195®, ^ i ® ^ ***** offered on Septaa&er 18, were opened at the federal
Reserve Banks on September 22.
Hie details of this issue are as follows!
Total applied for - f2,575 # f#>000
fetal aeeepted
** 1,800,117,000 (iaeltades #3$?f66O»00O entered oa a non~
ooapetltlve bails and mmmmpimA in f a n
at the average prlae sthowi* below)
lange of accepted eompetiiite bidet
High
Jm

» 99.37£ Equivalent rate of diteroat approx. i.kk&$ pmr momm
*> 99*352
«
• » • • «• •••;
»
2.516* 8
•

Awrage

* 99#358

•

«-.,..•*

2.511$

(78 percent of the-.,amount bid for at the.lew priee was

mmotmi)

Federal lesenre
Metriet

fetal
Applied for;; ;

fetal
Aocepted

Boston
lew fork
Philadelphia
Gleveland
Hehmond
Atlanta
Chicago
St. Louie
F.inneapolis
Kansas Oity
Delias
Saa Franeiseo

.-. , » « « • # * &

#
33,915,000
1,176,225,000
29,560,000
63,1*28,000
27,396,000
29,747,000
218,739,000
39,31*7,000
24,143,000
46,703,000
22,796,000
88,188,000

12,575,969,000

H f i00,187 # 000

W*,760,G00
63,928,-000-'
11,3^6,000

*t*tt?fooo

283,616,000
39»J*S2,00O
24,953,000
57,703,(500
22,996,000
fOlal,

/?MK to.^W.^

kk9SlS$WQf

i9m,m,om

•2_> (- 0 J "

«••

oOO

TREASURY DEPARTMENT
*—••"•wflll

Nihil III — — — —

-""- ""••''• " - ^ - ^ =

WASHINGTON, D.C.

RELEASE A* M„ NEWSPAPERS,
Tuesday, September 23, 1958.

A-329

The Treasury Department announced last evening that the tenders for 11,800,000,000,
or thereabouts, of 92-day Treasury bills to be dated September 25 and to mature
December 26, 1958, which were offered on September 18, were opened at the Federal
Reserve Banks on September 22.
The details of this issue are as follows;
Total applied for - #2,575,969,000
Total accepted
- 1,800,187,000 (includes $359,860,000 entered on a noncompetitive basis and accepted in full
at the average price shown below)
Range of accepted competitive bids?
- 99*31$ Equivalent rate of discount approx. 2,446$ per annum
w
- 99.352
w w w
w
Low
- 99.358

www M 2.$XX%

2.536$

n w

percent of the amount bid for at the low price was accepted)
Federal Reserve
District
New York
Philadelphia
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
TOTAL

Total
Applied for

Total
Accepted

1,837,785,000
44,760,000
63,928,000
28,396,000
32,147,000
283,616,000
39,482,000
24,953,000
57,703,000
22,996,000
95,688,000

$
33,915,000
1,176,225,000
29,560,000
63,428,000
27,396,000
29,747,000
218,739,000
39,347,000
24,143,000
46,703,000
22,796,000
88,188,000

$2,575,969,000

$1,800,187,000

44,5i5,ooo

- 3 -

or by any local taxing authority. For purposes of taxation the amount of disco

at which Treasury bills are originally sold by the United States is considered
be interest. Under Sections 454 (b) and 1221 (5) of the Internal Revenue Code
1954 the amount of discount at which bills issued hereunder are sold is not
considered#to accrue until such bills are sold, redeemed or otherwise disposed
and such bills are excluded from consideration as capital assets. Accordingly,

the owner of Treasury bills (other than life insurance companies) issued hereu

need include in his income tax return only the difference between the price pa
for such bills, whether on original issue or on subsequent purchase, and the

the terns of the Treasury bills and govern the conditions of their issue. Copi
of the circular may be obtained from any Federal Reserve Bank or Branch,

SstiSGBWSwSBdWHHlfli

KESXK

TREASURY DEPARTMENT
Washington
v

A. M.
FOR RELEASE/ KBXKJDffi NEWSPAPERS,
Thursday, September 25, 1958

The Treasury Department, by this public notice, invites tenders for
$1,800,000,000 , or thereabouts, of 92 -day Treasury bills, for cash and

in exchange for Treasury
bills maturing
2, 1958
, in the
$1,699,816,000
, to be issued
on a discountOctober
basis under
competitive
andamount
non- of

— «r—
competitive bidding as hereinafter provided. The bills of this series will be
dated October 2, 1958 • and will mature January 2. 1959 , when the face

—Haw

amount will be payable without interest. They will be issued in bearer form only,
and in denominations of $1,000, $5,000, $10,000, $100,000, $500,000 and $1,000,0
(maturity value).
Tenders will be received at Federal Reserve Banks and Branches up to the
Daylight Saving
closing hour, two o'clock p.m., Eastern/jBtaacudaxad time, Monday, September 29, 1958.
Tenders will not be received at the Treasury Department, Washington. Each tender
must be for an even multiple of $1,000, and in the case of competitive tenders

the price offered must be expressed on the basis of 100, with not more than thre
decimals, e. g., 99.925. Fractions may not be used. It is urged that tenders

incorporated banks and trust companies and from responsible and recognized deal
in investment securities. Tenders from others must be accompanied by payment of

TREASURY DEPARTMENT
rss^Rc.xj!.:ssxxmVT>aiSB,.v;.-x^r~',-

WASHINGTON, D.C.
RELEASE A.M. NEWSPAPERS,
Thursday, September 25, 1958.

A-330

*» <3.T^eftnnenA^^Pepartment^ by this Public notice, invites tenders
lor $ i,ouo,000,000, or thereabouts, of 92-day Treasury bills, for
cash and in exchange for Treasury bills maturing October 2, 1958,
in the amount of $ 1,699,816,000, to be issued on a discount basis
under competitive and non-competitive bidding as hereinafter
provided. The bills of this series villi be dated October 2, 1958,
and will mature January 2, 1959,
when the face amount will be
payable without interest. They will be issued in bearer form only,
and in denomination of $1,000, $5,000, $10,000, $100,000,
$500,000, and $1,000,000 (maturity value).
Tenders will be received at Federal Reserve Banks and Branches
up to the closing hour, one-thirty o'clock p.m., Eastern Daylight
Saving time, Monday, September 29, 1958.
Tenders will not be
received at the Treasury Department, Washington. Each tender must
be for an even multiple of $1,000, and In the case of competitive
tenders the price offered must be expressed on the basis of 100,
with not more than three decimals, e. g., 99.925. Fractions may not
be used. It is urged that tenders be made on the printed forms and
forwarded in the special envelopes which will be supplied by Federal
Reserve Banks or Branches on application therefor.
Others than banking institutions will not be permitted to submit
tenders except for their own account. Tenders will be received
without deposit from Incorporated banks and trust companies and from
responsible and recognized dealers in investment securities. Tenders
from others must be accompanied by payment of 2 percent of the face
amount of Treasury bills applied for, unless the tenders are
accompanied by an express guaranty of payment by an incorporated bank
or trust company.
Immediately after the closing hour, tenders will be opened at the
Federal Reserve Banks and Branches, following which public announcement will be made by the Treasury Department of the amount and price
rlnge of accepted bids. Those submitting tenders will be advised of
the acceptance or rejection thereof. The Secretary of the Treasury
expressly reserves the right to accept or reject any or all tenders
^ \ r M i e or in part, and his action In any such respect shall be
?n!l
Sublectto these reservations, non-competitive.tenders for
\lnn 000 or less without stated price from any one bidder will be
accepted in full at the average price (in three decimals) oi accepted

- 2 competitive bids. Settlement for accepted tenders in accordance
with the bids must be made or completed at the Federal Reserve Bank
on October 2, 1958, in cash or other Immediately available funds
or in a like" face amount of Treasury bills maturing October 2, 1958.
Cash and exchange tenders will receive equal treatment. Cash
adjustments will be made for differences between the par value of
maturing bills accepted in exchange and the issue price of the new
bills.
The income derived from Treasury bills, whether interest or
gain from the sale or other disposition of the bills, does not have
any exemption, as such, and loss from the sale or other disposition
of Treasury bills does not have any special treatment, as such,
under the Internal Revenue Code of 1954* The bills are subject
to estate, inheritance, gift or other excise taxes, whether Federal
or State, but are exempt from all taxation now or hereafter Imposed
on the principal or interest thereof by any State, or any of the
possessions of the United States, or by any local taxing authority.
For purposes of taxation the amount of discount at which Treasury
bills are originally sold by the United States is considered to
be interest. Under Sections 454 (b) and 1221 (5) of the Internal
Revenue Code of 1954 the amount of discount at which bills issued
hereunder are sold is not considered to accrue until such bills
are sold, redeemed or otherwise disposed of, and such bills are
excluded from consideration as capital assets. Accordingly, the
owner of Treasury bills (other than life insurance companies)
issued hereunder need Include in his income tax return only the
difference between the price paid for such bills, whether on
original issue or on subsequent purchase, and the amount actuallyreceived either upon sale or redemption at maturity during the
taxable year for which the return is made, as ordinary gain or
loss.
Treasury Department Circular No. 4l8, Revised, and this
notice, prescribe the terms of the Treasury bills and govern the
conditions of their issue. Copies of the circular may be obtained
from any Federal Reserve Bank or Branch.

oOo

22T

TREASURY DEPARTMENT

V<£.

aeesBsasas

™^^"<Myffi|y^r^i|i^H.|.<,iTC.viHw.,gJ!M|B^^i|a.,^BJ,,ii.)....T..

WASHINGTON, D.C
IMMEDIATE RELEASE,
Thursday, September 25. iflKft.

A-331

The Treasury Department announced today that on Monday, September 29,
it will offer for cash subscription $1 billion, or thereabouts, of 3-1/2 percent 13-month Treasury notes at par, and $2-l/2 billion, or thereabouts, of
219-day special Treasury bills (to be issued on a fixed-price basis) at 98.023,
at which price the yield to the purchaser is approximately 3.25 percent per
annum. In addition, up to $100 million of the notes may be allotted to Government Investment Accounts.
The notes will be dated October 10, 1958, and will mature November 15,
1959. Interest will be payable on a semiannual basis on May 15 and November 15, 1959.
The Treasury bills will be dated October 8, 1958, and will mature
May 15, 1959.
Subscriptions for either issue from commercial banks, which for this
purpose are defined as banks accepting demand deposits, for their own account, will be received without deposit but will be restricted in the case
of the notes to an amount not exceeding 25 percent, and in the case of the
bills not exceeding 50 percent, of the combined capital, surplus and
undivided profits of the subscribing bank. Payment of 2 percent of the
amount of notes or bills subscribed for must be made on all other subscriptions. The new securities may be paid for by credit in Treasury tax
and loan accounts.
Commercial banks and other lenders are requested to refrain from
making unsecured loans, or loans collateralized in whole or in part by
the securities subscribed for, to cover the deposits required to be
paid when subscriptions are entered.
Any subscription for either issue addressed to a Federal Reserve
Bank or Branch, or to the Treasurer of the United States, and placed in
the mail before midnight, September 29, will be considered as timely.

oOo

A ~5i 1~-

SSo

REI*EilSE A. U. HEWSPAP&RS,
Tuesday, September 30, 1958>

The Treasury Department announced last evening that the tenders for 11,800,000,000,

or thereabout®, of 92-day Treasury bill* to be dated October t, 1958, mtid to matu

January 29 1959, which were offered on September 2$9 were opened at the Federal lee
Banks on September 29.
The details of this ie@me are as follows
Total applied for - #2,290,612,000
Total accepted
- 1,800,1*77,000 (iaeludee $236,213,000 entered on a
noncompetitive basin mnd aeeepted in
full at the average price shown below)
Range of aeeepted competitive bids: (Bnspting tmo tenders totaling #100,000)
High
Low

* 99.292 Equivalent rate of discount approx. 2.770$ pmr annum
w
- 99.233
n
H
*
«
3.001$ »
"

Average

• 99.25k

2.920% »

(31 percent of the amount bid for at the low price was aeeepted)
federal leeerve
District

fetal
Applied for

total
Accepted

Bes&sii
Pew York
Philadelphia
Cleveland
ftlchmond
Atlanta
Chieaf©
St. Louie
Minneapolis
f&nsai? City
Dallas
San Francisco

'# ii6,19l*f000
1,618,107,000
39*21*1*000
49*2814,000
1S9U2$9Q00
299X0k9OO0
309,51*5,000
18,606,000
18,329,000
1*9,068,000
11,873,000
85,836,000

$
36,19li,000
1,168,2*22,000

12,290,612,000

*l,8O0,li77,0a)

T0T4I,

?, <7^
/>- >4' / 7

27f?ia,ooo
1*5*83*1,000
i5,li25,ooo
29,10i*,0G0
29fc,51*5*000
18,606,000
18,329,000
1*9,068,000
11,073,000
85,836,000

TREASURY DEPARTMENT
WASHINGTON, D.C
RELEASE A. M. NEWSPAPERS,
Tuesday, September 30, 1958.

A-332

The Treasury Department announced last evening that the tenders for $1,800,000,000,

or thereabouts, of 92-day Treasury bills to be dated October 2, 1958, and to matur

January 2, 1959, which were offered on September 25, were opened at the Federal Re
Banks on September 29 •
The details of this issue are as follows?
Total applied for - $2,290,612,000
Total accepted
- 1,800,1*77,000 (includes $236,213,000 entered on a
noncompetitive basis and accepted in
full at the average price shown below)
Range of accepted competitive bids* (Excepting two tenders totaling $100,000)
High
Low

- 99.292 Equivalent rate of discount approx. 2.110% per annum
M
M
M
- 99.233
"
"
"
3.00l£ "

Average

-99.251*

2.920* «

«•

(31: percent of the amount bid for at the low price was accepted)

Federal Reserve
District
Boston
New lork
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
TOTAL

Total
Applied for

Total
Accepted

$ i*6,19l*,000
1,618,107,000
39,21*1,000
l*9,28i*,000
15,1*25,000
29,10l*,000
309,51*5,000
18,606,000
18,329,000
1*9,068,000
11,873,000
85,836,000

%
36,19l*,000
1,168,1*22,000
27,21*1,000
1*5,83l*,000
15,1*25,000
29,10l*,000
29l*,5U5,000
18,606,000
18,329,000
1*9,068,000
11,873,000
85,836,000

$2,290,612,000

$1,800,1*77,000

cdu
UNITED STATES NET MONETARY GOLD TRANSACTIONS WITH
FOREIGN COUNTRIES
January 1, 1958 - June 30, 1958
(in millions of dollars at $35 per fine troy ounce)
Negative figures represent net sales by the
United States; positive figures, net purchases
Country

First
Quarter
1958

Afghanistan
Argentina
Bank for
International
-$•15.1
Settlements
Belgium
-14.2
Denmark
Indonesia
International Monetary
Fund
Italy
-41.9
Netherlands
—
Portugal
Peru
Philippines
Spain
-5.0
Switzerland
-300.0
United Kingdom
Uruguay
Vatican City
-1.2
All Other
-$377.4
TOTAL

Second
Quarter
1958

Fiscal Year 1958
July 1, 1957 June 30, 1958
-$.2
55.2

-$74.4

-89.5

-143.6
-17.0

-157.7
-17.0
-2.0

-7.1
-168.8
-62.9
-20.0

-7.3
-168.8
-104.8
-20.0
3.5
21.9
31.5
-140.1
-750.0
3.1
-1.5
-3.2
-$1,346.9

-135.1
-450.0
-1.5
-.9
-$l,08l.2

IMMEDIATE RELEASE,
Monday, September 29, 1958.

A-333

The Treasury Department today made public
a report of monetary gold transactions with
foreign governments, central banks, and international institutions for the second quarter
of 1958. In this period, net sales of gold by
the United States amounted to $1,081.2 million.
These transactions brought to $1,458.6 million
the net outflow of monetary gold from the
United States in the first half of this year.
In the fiscal year ended June 30, 1958,
net sales of monetary gold by the United States
totaled $1,346,9 million.
A table showing net transactions, by
country, for the first two quarters of 1958 and
for the fiscal year (ended June 30) 1958 is
attached.

TREASURY DEPARTMENT
WASHINGTON, D.C

IMMEDIATE RELEASE,
Monday, September 29, 1958.

A-333

The Treasury Department today made public
a report of monetary gold transactions with
foreign governments, central banks, and international institutions for the second quarter
of 1958. In this period, net sales, of gold by
the United States amounted to $1,081.2 million.
These transactions brought to $1,458.6 million
the net outflow of monetary gold from the
United States in the first half of this year.
In the fiscal year ended June 30, 1958,
net sales of monetary gold by the United States
totaled $1,346.9 million.
A table showing net transactions, by
country, for the first two quarters of 1958 and
for the fiscal year (ended June 30) 1958 is
attached.

UNITED STATES NET MONETARY GOLD TRANSACTIONS WITH
FOREIGN COUNTRIES
January 1, 1958 - June 30, 1958
(In millions of dollars at $35 per fine troy ounce)
Negative figures represent net £sales by the
United States; positive figures, net purchases
Country

First
Quarter
1958

Afghanistan
Argentina
Bank for
International
-$15.1
Settlements
Belgium
-14.2
Denmark
Indonesia
International Monetary
Fund
Italy
-41.9
Netherlands
—
Portugal
Peru
Philippines
Spain
-5.0
Switzerland
-300.0
United Kingdom
Uruguay
Vatican City
-1.2
All Other
-$377.4
TOTAL

Second
Quarter
1958

Fiscal Year 1958
July 1, 1957 June 30, 1958
-$.2
55.2

-$74.4

-89.5

-143.6
-17-0

-157.7
-17.0
-2.0

-7.1
-168.8
-62.9
-20.0

-7.3
-168.8
-104.8
-20.0
3.5
21.9
31.5
-140.1
-750.0
3.1
-1.5
-3.2
-$1,346,9

-135.1
-450.0
-1.5
-.9
-$1,081.2

f^ y* 1> K

:--- ^ h

Mr. Henry C. Wallich, Professor of Economics, Yale
University, will become an Assistant to the Secretary of
the Treasury.
Mr. Wallich will conduct economic studies on a
variety of problems, such as the impact of Federal taxation
and the budget on the economy, and "many other related matters.
The position which Mr. Wallich will fill is a new one and
"^S^will not cover^aagr-presently existing functions.
Mr. Wallich was in the investment business in New York
in the 1930s. From 1941 to 1951 he was with the Federal
Reserve Bank of New York and for five of these years, Chief
of the Bankfs Foreign Research Division. He has been
Professor of Economics at Yale since 1951.
Mr. Wallich has written widely in the field of monetary
problems and economic development and has served as Consultant
to a number of financial institutions and to several United
States Government agencies.
He attended Munich University and Oxford, and received
^wa-AArrrgg^p >£^em Now York UnivQ-r>n1 ty^fjggd a Ph.D. from
Harvard.
Mr. Wallich is a member of the American Economic
Association.

He is married to the former Miss Mabel Inness

Brown and has two daughters.

. j (? *^ ' r i f i n,.L u<-<X£ "3

nor
i^y y

IMMEDIATE RELEASE,
Tuesday, September 30, 1958.

A-334

Mr. Henry C. Wallich of New Haven, Connecticut,
who is on leave from his position of Professor of Economics,
Yale University, will become an Assistant to the Secretary
of the Treasury, effective October 1, 1958.
Mr. Wallich will conduct economic studies on a
variety of problems, such as the impact of Federal taxation
and the budget on the economy, and other related matters.
The position which Mr. Wallich will fill is a new one and
will not cover presently existing functions.
Mr. Wallich was in the investment business in
New York in the 1930s. From 1941 to 1951 he was with
the Federal Reserve Bank of New York and for five of
these years, Chief of the Bank's Foreign Research
Division. He has been Professor of Economics at Yale
since 1951.
Mr. Wallich has written widely in the field of monetary
problems and economic development and has served as
consultant to a number of financial institutions and to
several United States Government agencies.
He attended Munich University and Oxford, and received
a Ph.D. from Harvard.
Mr. Wallich is a member of the American Economic
Association, and the Council on Foreign Relations. He
is married to the former Miss Mabel Inness Brown and has
two daughters. He will reside in Chevy Chase, Maryland.

oOo

TREASURY DEPARTMENT
WASHINGTON, D.C.

IMMEDIATE RELEASE,
Tuesday, September 30, 1958.

A-334

0O0

Treas.
U.S. Treasury Dept.
HJ
10 Press Releases
.A13P4
v.114
Treas
HJ
10
^^P^j^jre^yjep^
AUTHOR

-press Releases

U.S. TREASURY LIBRARY

1 0031486

Full text of Press Releases of the United States Department of the Treasury : Volume 114

FRASER