US Treasury to Suspend Sales of SLGS At 12:00 Noon ET Dec 8

     WASHINGTON (MNI) - The following is the text of a statement from the US

Treasury issue Wednesday suspending sales of State and Local Government

Securities effective Friday ahead of the possible debt limit extension

expiration that day:

     The U.S. Department of the Treasury's Bureau of the Fiscal Service (Fiscal

Service) announced today the suspension of sales of State and Local Government

Series (SLGS) nonmarketable Treasury securities, effective 12:00 noon Eastern

Standard Time (EST), December 8, 2017, until further notice. This suspension is

necessary due to the statutory debt ceiling and will assist Treasury's

management of the debt subject to the limit.

     The suspension applies to demand deposit and time deposit securities.

Subscriptions for SLGS received by the Fiscal Service prior to 12:00 noon, on

December 8, 2017, will be issued on the date requested. New subscriptions for

SLGS will not be accepted during the suspension.

     The TreasuryDirect.gov website has more information about the effect of the

debt ceiling on SLGS, including how it impacts holders of outstanding demand

deposit securities, available at

http://www.treasurydirect.gov/govt/resources/faq/faq_slgs.htm#Effect.

     The Internal Revenue Service (IRS) provides guidance for affected

government entities in Revenue Procedure 95-47, 1995-47 I.R.B. 12, available at

http://www.irs.gov/Tax-Exempt-Bonds/Revenue-Procedures.

     The SLGS program began in 1972 to assist state and local government

entities in complying with IRS arbitrage regulations. The securities are not

available to the general public.

--MNI Washington Bureau; tel: +1 202-371-2121; email: kevin.kastner@marketnews.com

[TOPICS: MNUAU$,M$U$$$,MC$$$$,M$$FI$]