EMBARGOED UNTIL 11:00 A.M. CONTACT: Office of Financing
March 8, 2007 202/504-3550
TREASURY OFFERS 9-YEAR 11-MONTH 4 5/8% NOTES
The Treasury will auction $8,000 million of 9-year 11-month 4 5/8% notes
to raise new cash.
Up to $1,000 million in noncompetitive bids from Foreign and International
Monetary Authority (FIMA) accounts bidding through the Federal Reserve Bank of New
York will be included within the offering amount of the auction. These
noncompetitive bids will have a limit of $100 million per account and will be
accepted in the order of smallest to largest, up to the aggregate award limit of
$1,000 million.
Treasury Direct customers have scheduled purchases of approximately $4 million
into the 9-year 11-month 4 5/8% note.
The auction will be conducted in the single-price auction format. All competi-
tive and noncompetitive awards will be at the highest yield of accepted competitive
tenders. The allocation percentage applied to bids awarded at the highest yield will
be rounded up to the next hundredth of a whole percentage point, e.g., 17.13%.
The notes being offered today are eligible for the STRIPS program.
This offering of Treasury securities is governed by the terms and conditions
set forth in the Uniform Offering Circular for the Sale and Issue of Marketable Book-
Entry Treasury Bills, Notes, and Bonds (31 CFR Part 356, as amended).
Details about the new security are given in the attached offering highlights.
oOo
Attachment
HIGHLIGHTS OF TREASURY OFFERING TO THE PUBLIC OF
9-YEAR 11-MONTH 4 5/8% NOTES TO BE ISSUED MARCH 15, 2007
March 8, 2007
Offering Amount ...............................$8,000 million
Maximum Award (35% of Offering Amount) ........$2,800 million
Maximum Recognized Bid at a Single Yield ......$2,800 million
NLP Reporting Threshold .......................$2,800 million
NLP Exclusion Amount ..........................$4,600 million
Description of Offering:
Term and type of security ....................9-year 11-month 4 5/8% notes
(reopening)
Series .......................................B-2017
CUSIP number .................................912828 GH 7
Auction date .................................March 13, 2007
Issue date ...................................March 15, 2007
Dated date ...................................February 15, 2007
Maturity date ................................February 15, 2017
Interest rate ................................4 5/8%
Currently outstanding ........................$14,193 million
Yield ........................................Determined at auction
Interest payment dates .......................August 15 and February 15
Minimum bid amount and multiples .............$1,000
Accrued interest payable by investor .........$3.57735 per $1,000 (from February 15
to March 15, 2007)
Premium or discount ..........................Determined at auction
STRIPS Information:
Minimum amount required ......................$1,000
Corpus CUSIP number .........................912820 PE 1
Due date(s) and CUSIP number(s)
for additional TINT(s) ......................Not applicable
Submission of Bids:
Noncompetitive bids:
Accepted in full up to $5 million at the highest accepted yield.
Foreign and International Monetary Authority (FIMA) bids:
Noncompetitive bids submitted through the Federal Reserve Banks as agents for
FIMA accounts. Accepted in order of size from smallest to largest with no more
than $100 million awarded per account. The total noncompetitive amount awarded
to Federal Reserve Banks as agents for FIMA accounts will not exceed $1,000
million. A single bid that would cause the limit to be exceeded will be
partially accepted in the amount that brings the aggregate award total to the
$1,000 million limit. However, if there are two or more bids of equal amounts
that would cause the limit to be exceeded, each will be prorated to avoid
exceeding the limit.
Competitive bids:
(1) Must be expressed as a yield with three decimals, e.g., 7.123%.
(2) Net long position (NLP) for each bidder must be reported when the sum of the
total bid amount, at all yields, and the net long position equals or exceeds
the NLP reporting threshold stated above.
(3) Net long position must be determined as of one-half hour prior to the closing
time for receipt of competitive tenders.
(4) Competitive bids from Treasury Direct customers are not allowed.
Receipt of Tenders:
Noncompetitive tenders:
Prior to 12:00 noon eastern daylight saving time on auction day
Competitive tenders:
Prior to 1:00 p.m. eastern daylight saving time on auction day