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Treasury Calls 13-1/4 Percent Bonds of 2009-14

FOR IMMEDIATE RELEASE

January 15, 2009

The Treasury today announced the call for redemption at par on May 15, 2009, of the 13-1/4% Treasury Bonds of 2009-14, originally issued May 15, 1984, due May 15, 2014 (CUSIP No. 912810 DJ 4). There are $4,481 million of these bonds outstanding, of which $3,459 million are held by private investors. Securities not redeemed on May 15, 2009 will stop earning interest.

These bonds are being called to reduce the cost of debt financing. The 13-1/4% interest rate is significantly above the current cost of securing financing for the five years remaining to their maturity. Using current market projections, Treasury estimates gross savings from the call and refinancing to be about $2,000 million.

Payment will be made automatically by the Treasury for bonds in book-entry form, whether held on the books of the Federal Reserve Banks or in Treasury Direct accounts. Bonds held in registered form should be mailed directly to the Bureau of the Public Debt, Definitives Section, Customer Service Branch 3, P.O. Box 426, Parkersburg, WV 26106-0426. For more information concerning called registered bonds, you may contact the Definitives Section at (304) 480-7711.