Treasury Calls 12 Percent Bonds Of 2008-13
FOR IMMEDIATE RELEASE
April 15, 2008
The Treasury today announced the call for redemption at par on August 15, 2008, of the 12 % Treasury Bonds of 2008-13, originally issued August 15, 1983, due August 15, 2013 (CUSIP No. 912810 DF 2). There are $11,917 million of these bonds outstanding, of which $8,818 million are held by private investors. Securities not redeemed on August 15, 2008 will stop earning interest.
These bonds are being called to reduce the cost of debt financing. The 12% 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 interest savings from the call and refinancing to be about $3,400 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.