FROM THE OFFICE OF PUBLIC AFFAIRS

The Treasury Department announced today that it expects to pay down $187 billion in marketable debt during the April - June 2001 quarter and to target a cash balance of $60 billion on June 30. This includes the paydown of $178 billion in marketable Treasury securities and the buyback of an estimated $9 billion in outstanding marketable Treasury securities. In the quarterly announcement on January 29, 2001, the Treasury announced that it expected to pay down a total of $197 billion in marketable debt and to target an end-of-quarter cash balance of $60 billion. The decrease in the paydown is the result of a lower cash balance at the beginning of the quarter partially offset by higher net issuances of State and Local Government Series securities.

The Treasury also announced that it expects to pay down $57 billion in marketable debt during the July - September 2001 quarter and to target a cash balance of $60 billion on September 30.

During the January - March 2001 quarter, the Treasury raised $18 billion in marketable debt and ended with a cash balance of $28 billion on March 31. On January 29, the Treasury announced that it expected to raise $46 billion in marketable debt and to target an end-of-quarter cash balance of $45 billion. The decrease in the issuance of marketable debt reflected increased issuances of State and Local Government Series securities and a lower end-of-March cash balance.

The Quarterly Refunding Press Conference will be held at 9:00 A.M. on Wednesday, May 2, 2001.