TALKING POINTS 

FOR THE 

FINANCING PRESS CONFERENCE 

January 26, 1983 

Today we are announcing the terns of our regular February 

quarterly refunding. I will also discuss the Treasury's financing 

requirenents for the balance of the current quarter and our estimated 

cash needs £or the April-June quarter. 

1. ile are offering $14.5 billion of securities to refund 

55.8 billion of publicly-held coupon securities maturing 

on February 15 and raise approximately $0.7 billion of new 

cash. 

The three securities are: 

--First, a 3-year note in the amount of $6.5 billion maturing 

on February 15, 19DG. This note will be auctioned on a yield 

basis on Tuesday, February 1. The ninimum denomination will 

be $5,000. 

--Second, a 10 year note in the amount of $4.5 billion naturing 

on February 15, 1993. This note will be auctioned on a yield 

basis on Wednesday, February 2. The mininun denonination 

will be $1,000. 

--Third, a 29-3/4 year bond in the anount of $3.5 billion 

maturing on Novenber 15, 2012, and callable on Novelnber 15, 

2007. This will be a reopening of the 10-3/8 percent 

bond which was issued in Novexber 1982. This bond will be 

auctioned on a yield basis on Thursday, February 3. This 

will be a change from our past practice of auctioning on 
a price basis when we reopen securities. This change 

will conforn to market pricing conventions and sinplify 

bidding in the auction. The mininun denonination will be 

$1,000. 

On each of the three issues, we will accept noncompetitive 

tenders of up to $1,000,000. 

2. For the current January-March quarter, we estimate a net 

market borrowing of $59.5 billion assuming a $10 billion 

cash balance at the end of March. 

3. Including this refunding, we will have raised $16.6 billion 

in marketable borrowing. This was accomplished as follows: 

--$3.0 billion of new cash fron the 20-year bond which 

settled on January 4, 

--$4.8 billion of new cash from the 7-year note which 

settled on January 4, 

--$3.0 billion of new cash from the 2-year note settling 

January 31, 

--$2.2 billion of new cash from the 52-week bill settling 

January 27, 

--$3.0 billion of new cash from weekly bills, including 

the bills announced yesterday, 

--$8.7 billion of new cash from the February refunding, and 

--a paydown of $9.0 billion of cash nanagenent bills on 

January 20 and January 27. 
The renaininy net financing requirement of about $42.9 billion 

could he accomplished through sales of regular weekly and 

monthly hills, a note in early March in the 5-year maturity 

range, and additions to upconing 2- and 4-year note maturities. 

Cash management bills nay be required to bridge low points 

in our cash balances in March and April. 

4. Our net market borrowing need in the April-June quarter is 

currently estimated in the range of $33 to $38 billion, 

assuming a $20 billion cash balance at the end of June. 
TALKING POINTS 

FOR THE 

FINANCING PRESS CONFERENCE 

April 47, 1983 

Today we are announcing the terms of our regular May 

quarterly refunding. I will also discuss the Treasury's 

financing requirements for the balance of the current quarter 

and our estinated cash needs for the July-Septenber quarter. 

1. We are offering $15.0 billion of securities to refund 

$5.2 billion of publicly-held coupon securities maturing 

on May 15 and raise approximately $9.8 billion of new 

cash. 

The three securities are: 

--First, a 3-year note in the amount of $6.5 billion naturing 

on May 15, 1986. This note will be auctioned on a yield 

basis on Tuesday, May 3. The minimum denomination will 

be $5,000. 

--Second, a 10-year note in the amount of $4.75 billion 

maturing on May 15, 1993. This note will be auctioned 

on a yield basis on ~Gdnesday, May 4. The rninimun 

denomination will he $1,000. 

--Third, a 29-1/2 year bond in the amount of $3.75 billion 

naturing on November 15, 2012, and callable on November 15, 

2007. This will be a reopening of the 10-3/8 percent 

bond which was issued in November 1982 and reopened in 

February 1963. This bond will be auctioned on a yield 

basis on Thursday, May 5. The minimum denomination will 

be $1,000. 
On each of the three issues, we will accept noncompetitive 

tenders of up to $1,000,000. 

2. For the current April-June quarter, we estimate a net market 

borrowing of 540.5 billion assuning a $20 billion cash balance 

at the erd of June. 

3. Including this refunding, we will have raised 516.9 billion 

In marketable borrowing. This was acconplistied as follows: 

--$3.2 billion of new cash from the 20-year bad which 

settled on April 4, 

--$5.1 billion of new cash from the 7-year note which settled 

on April 4, 

--$3.9 billion of new cash fron the 2-year note settling 

April 30, 

--$2.5 billion of net7 casii from the 52-week bill which 

settled April 21, 

--$4.4 billion of new cash fron weekly bills, including 

the bills announced yesterday, 

--$9.8 billion of new cash from the Hay refunding, and 

--a net paydown of $12.0 billion of cash management bills, 

including the $3.0 billion to be paid down April 213. 

The remaining net financing requirenent of about $23.6 

billion could be acconpl ished through sales af regular 

weekly and monthly bills, a note in earl:? Jme in the 

5-year maturity range, and additions to upe 

and 4-year note maturities. Cash nanagement bills 

may be required to bridge the low point in 

balance in June. 
4. Our net market borrowing need in the July-September quarter 

is currently estimated in the range of $55 to $60 billion, 

assuning a $20 billion cash balance at the end of September. 

5. I would also like to note that we estimate that the current 

statutory debt limit of $1,290 billion will be exceeded on 

May 31. Thus legislation to increase the debt limit nust be 

enacted prior to the May 26 Congressional recess. The refunding package announced today will not be affected by the 

debt limit, but we may need to reduce the size of a regular 

weekly bill issue in the second half of May to avoid exceeding 

the debt limit. 
TALKING POINTS 

FOR THE 

FINANCING PRESS CONFERENCE 

July 27, 1983 

Today we are announcing the terms of our regular August 

quarterly refunding. I will also discuss the Treasury's 

financing requirements for the balance of the current quarter 

and our estimated cash needs for the October-December quarter. 

1. We are offering $15.75 billion of securities to refund 

$6.6 billion of publicly-held coupon securities maturing 

on August 15 and raise approximately $9.1 billion of new 

cash. 

The three securities are: 

--First, a 3-year note in the amount of $6.5 billion maturing 

on August 15, 1986. This note will be auctioned on a yield 

basis on Tuesday, August 2. The minimum denomination will 

be $5,000. 

--Second, a 10-year note in the amount of $5.25 billion 

maturing on August 15, 1993. This note will be auctioned 

on a yield basis on Wednesday, August 3. The minimum 

denomination will be $1,000. 

--Third, a 30-year bond in the amount of $4.0 billion 

maturing on August 15, 2013, and callable on August 15, 

2005. This bond will be auctioned on a yield basis on 

Thursday, August 4. The minimum denomination will be 

$1,000. 
On each of the three issues, we will accept noncompetitive 

tenders of up to $1,000,000. 

2. For the current July-September quarter, we estimate a net 

market borrowing of $48.0 billion assuming a $20 billion 

cash balance at the end of September. 

3. Including this refunding, we will have raised $24.7 billion 

in marketable borrowing. This was accomplished as follows: 

--$3.5 billion of new cash from the 20-year bond which 

settled on July 5. 

--$5.0 billion of new cash fron the 7-year note which settled 

on July 5. 

--$3.8 billion of new cash from the 2-year note settling 

August 1. 

--$1.0 billion of new cash from the 52-week bill which 

settled July 14. 

--$1.5 billion of new cash fron weekly bills, including 

the bills announced yesterday, and 

--$9.1 billion of net? cash from the August refunding. 

The remaining net financing requirement of about $23.3 

billion could be accomplished through sales of regular 

weekly and monthly bills, a note in early September in 

the 5-year maturity range, and additions to upcoming 

2- and 4-year note maturities. Cask management bills 

may...be required to bridge the low point in our cash .- ......... . " 

balance in September. 
4. Our net market borrowing need in the October-December quarter 

is currently estimated in the range of $60 to $65 billion, 

assuming a $15 billion cash balance at the end of December. 

5. I would also like to note that we estimate that the current 

statutory debt limit of $1,389 b i l l i o n w i l l be exceeded 

around the beginning of October. We hope that Congress 

will act in a timely manner to increase the debt limit 

in September, thus permitting the Treasury to carry out 

its market financing plans in an orderly manner. 
TALKING POINTS 

FOR THE 

FINANCING PRESS CONFERENCE 

October 26, 1983 

Today we are announcing the terms of our regular November 

quarterly refunding. I will also discuss the Treasury's 

financing requirements for the balance of the current quarter 

and our estimated cash needs for the January-March quarter. 

1. We are offering $16.0 billion of securities to refund 

$5.9 billion of publicly-held coupon securities maturing 

on November 15 and raise approximately $10.1 billion of 

new cash. 

The three securities are: 

" 

--First, a 3-year note in the amount of $6.5 billion maturing -- 

on November 15, 1986. This note will be auctioned on a 

yield basis on Tuesday, November 1. The minimum denomination 

will be $5,000. 

--Second, a 10-year note in the amount of $5.25 billion 

maturing on November 15, 1993. This note will be auctioned 

on a yield basis on Wednesday, November 2. The minimum 

denomination will be $1,000. 

--Third, a 29-3/4-year bond in the amount of $4.25 billion. 

This is a reopening of the 12 percent bond maturing 

on August 15, 2013, and callable on August 15, 2008. 

This bond will be auctioned on a yield basis on Thursday, 

November 3. The minimum denonination will be $1,000. 
on each of the three issues, we will accept noncompetitive 

tenders of up to $1,000,000. The size of the 3 and 10 

year issues is the same as in the August refunding; the 

long bond is $1/4 billion higher than the $4 billion 

issue in August. 

2. For the current October-December quarter, we estimate a net 

market borrowing of $42 billion assuming a $15 billion 

cash balance at the end of December. This does not 

include new cash raised in the January 3 refunding of the 

2 and 4 year notes maturing Saturday, December 31. 

3. Including this refunding, we will have raised $21.5 billion 

in marketable borrowing. This was accomplished as follows: 

--$3.5 billion of new cash from the 20-year bond which 

settled on October 5. 

--$5.0 billion of new cash from the 7-year note which settled 

on October 5. 

--$3.5 billion of new cash from the 2-year note settling 

October 31. 

--$1.5 billion of new cash from the 52-week bill which 

settled October 6 and the 52-week bill settling November 3. 

--a net paydown of $2.1 billion from weekly bills, including 

the bills announced yesterday, and 

--$10.1 billion of new cash from the November refunding. 

The remaining net financing requirement of about $20.5 

billion could be accomplished through sales of regular 

weekly and monthly bills and a note in early December 
in the 5-year maturity range. Cash management bills 

may be required to bridge the low point in our cash 

balance in December. 

4. Our net market borrowing need in the January-Narch quarter 

is currently estimated in the range of $50 to $55 billion, 

assuming a $10 billion cash balance at the end of March. 

This does not include new cash raised in the April 2 

refunding of the 2- and 4-year notes maturing Saturday, 

March 31. 

5. I would also like to emphasize that we estimate that the current 

statutory debt limit of $1,389 billion will be exceeded on 

November 1. We hope and expect that Congress will increase 

the debt limit by November 1, thus permitting the Treasury 

to carry out its market financing plans in an orderly 

manner. We are pleased to note that the Senate has 

scheduled a special session this Saturday to consider 

the debt limit bill. 

Congressional action on the debt limit by November 1 

is essential to permit the Treasury to conduct the auctions 

of the refunding issues on November 1, 2 and 3. If action 

on the debt limit is not assured by the scheduled auction 

dates, the auctions will be postponed. If the attendant 

market disruption caused an increase of just one-eighth 

of one percent in the cost of financing, this would add 

about $250 million to outlays for interest on the public 

debt. 
-4- 

Moreover, if the debt limit is not increased, the Treasury 

will be required to suspend sales of U.S. Savings Bonds, 

which are currently being purchased by about 6 million 

people. The Treasury must also suspend sales of special 

nonmarketable securities to State and local governments, 

which are designed to allow them to invest proceeds 

of tax-exempt bond issues without running afoul of the 

arbitrage rules. 

6. We are also announcing today a clarification of our rules 

with respect to noncompetitive tenders in all auctions of 

Treasury securities. Beginning with the securities 

announced today, we are explicitly prohibiting pre-auction 

trading in securities awarded to noncompetitive bidders. 

The purpose of this clarification is to reinforce the 

existing policy of limiting the size of noncompetitive 

awards to any one bidder. 

7. Next, as indicated in the schedules attached to the 

charts distributed today, the Treasury is shortening 

the period between the auction date and the settlement 

date of note and bond issues, beginning with the November 

2 year note. In 1981, the Treasury removed the ban on 

pre-auction trading, which provided a longer period for 

distribution of the issues. Thus, the period between 

auction and settlement may now be reduced without 

impairing the distribution of the securities. 

8. Finally, the fiscal year 1983 budget figures were released 

earlier today, and copies are available here for your 

convenience.