FROM THE OFFICE OF PUBLIC AFFAIRS

The Treasury Department announced today that it expects to pay down $45 billion in marketable debt during the July - September quarter and to target a cash balance of $50 billion on September 30. In the quarterly announcement of its borrowing needs on May 1, 2000, the Treasury Department announced that it expected to pay down $47 billion in marketable debt and to target an end-of-quarter cash balance of $45 billion. The expected decrease in the paydown is due to an increase in outlays.

The Treasury Department also announced that it expects to pay down $10 billion in marketable debt during the October - December quarter and to target a cash balance of $30 billion on December 31.

The Treasury Department paid down $192 billion in marketable debt during the April-June quarter and ended with a cash balance of $57 billion on June 30. On May 1, 2000, the Treasury Department announced that it expected to pay down $185 billion in marketable debt and to target an end-of-quarter cash balance of $50 billion. The increase in the paydown and the larger cash balance were primarily the result of higher receipts.

The Quarterly Refunding Press Conference will be held at 9:00AM on Wednesday, August 2, 2000.