Release Date: May 19, 2008
For release at 10:00 a.m. EDT
On May 19, 2008, the Federal Reserve will offer $75 billion in 28-day credit through its Term Auction Facility. Additional information regarding the auction is listed below; the auction will be conducted as specified in this announcement, Regulation A, and the terms and conditions of the Term Auction Facility (www.federalreserve.gov/monetarypolicy/taf.htm).
Description of Offering and Auction Parameters
|Offering Amount:||$75 billion|
|Bid Submission Date:||May 19, 2008|
|Opening Time:||11 a.m. EDT|
|Closing Time:||1 p.m. EDT|
|Notification Date:||May 20, 2008|
|Settlement Date:||May 22, 2008|
|Maturity Date:||June 19, 2008|
|Minimum Bid Amount (per bid):||$5 million|
|Maximum Bid Amount(per institution):||$7.5 billion (10% of Offering Amount)|
|Minimum Bid Rate:||1.99 percent|
|Incremental Bid Rate:||0.001 percent|
|Maximum Award:||$7.5 billion (10% of Offering Amount)|
Submission of Bids
Participants must submit bids by phone to their local Reserve Bank between the opening time and closing time on the bid submission date.
Summary auction results will be published on the website of the Board of Governors of the Federal Reserve System (www.federalreserve.gov/monetarypolicy/taf.htm) at approximately 10:00 a.m. EDT on the notification date. Between 10:00 a.m. and noon EDT on the notification date, Reserve Banks will notify individual institutions in their districts that have submitted winning bids of their awards. Participants have until 3:00 p.m. EDT on the notification date to inform their local Reserve Bank of any error.
Pro rata awards will be rounded to multiples of $10,000. Normal rounding convention will be used, except that awards under $10,000 will be rounded to $10,000.