P&SP 2600 Letter of Credit

Instructions to Complete
Irrevocable, Transferable, Standby Letter of Credit
Form P&SP-2600
When you, as a packer, market agency, or dealer, provide a trust agreement to meet the bonding requirements of the
Packers and Stockyards Act, 1921, as amended and supplemented, one or more irrevocable, transferable, standby
letters of credit, issued by a Federally-insured bank or institution, must also be executed to cover your operation
with the Packers and Stockyards Program.
A letter of credit issued toward a trust agreement requires complete and correct information to be submitted to the
Packers and Stockyards Program on Form P&SP-2600. If any information is missing or incorrect, the Packers and
Stockyards Program will return the letter of credit form to the issuing bank or institution for completion or
correction.
Operating without proper registration and bond may subject the principal to severe penalties under law, including a
fine of not more than $11,000 for each violation.
Submission instructions for the bank: After completing the letter of credit, a photographically reproduced copy of
the letter of credit, a fully executed copy of such trust agreement, and of any endorsements, rider, amendment,
indemnity agreement or other attachment to such trust agreement, must be filed with the appropriate regional office.
The states covered by each regional office are listed below their address.
Regional Offices of the Packers and Stockyards Program
Grain Inspection, Packers and Stockyards Administration
Eastern Regional Office
Western Regional Office
Midwestern Regional Office
Suite 230
3950 Lewiston St., Suite 200
Room 317
75 Spring Street
Aurora, CO 80011-1556
210 Walnut Street
Atlanta, GA 30303-3308
Telephone: (303) 375-4240
Des Moines, IA 50309-2110
Telephone: (404) 562-5840
FAX: (303) 371-4609
Telephone: (515) 323-2579
FAX: (404) 562-5848
E-mail:
FAX: (515) 323-2590
[email protected]
E-mail: [email protected]
E-mail: [email protected]
States Covered
States Covered
States Covered
AL, AR, CT, DC, DE, FL, GA, LA, AK, AZ, CA, CO, HI, ID, KS, MT, IA, IL, IN, KY, OH, MI, MO, MN,
MA, MD, ME, MS, NC, NH, NJ,
NM, NV, OK, OR, TX, UT, WA,
ND, NE, SD, WI
NY, PA, RI, SC, TN, VA, VT, WV
WY
If you have any questions about the form or completing the form, please contact the regional office of the Packers
and Stockyards Program listed above.
The financial institution providing the Irrevocable, Transferable, Standby Letter of Credit completes lines 1 through
15 and signs line 15.
Subject

Instruction

2

Issuing Bank Address And
Telephone Number
Letter Of Credit Number

3
4

Amount
Date

Enter the name, branch division, department, address, and telephone
number of the issuing Federally-insured bank or institution.
Enter the number assigned to the irrevocable, transferable, standby
letter of credit, hereinafter known as “letter of credit”, by the issuing
bank or institution.
Enter the full amount for which the letter of credit has been executed.
Enter the date the letter of credit was issued.

Line
No.
1

P&SP-2600-i

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Line
No.
5

Subject

Instruction

Trustee’s Name

Enter the name of the trustee named to the trust agreement. A trustee
must be a financially responsible, disinterested person. Some States
require that a State agency or official be named as trustee.
A trustee MUST ALWAYS be named for a trust fund agreement and
accompanying letter of credit.

6

Effective Date of Trust
Agreement

7

Principal Name

8

Name Of Bank/Institution

9

Letter of Credit Number

10

Effective Date of Letter of
Credit
Amount

11
12
13
14
a and b

15
a
through
d

P&SP-2600-i

Effective Date of Trust
Agreement
Name of Principal
Conditions of Withdrawal

Authorized signature

See the separate Trustee and Contact Information package for
descriptions of suitable trustees and State trustee information.
This item must be completed with the original effective date of the
trust agreement. You may reference line 5 of Trust Agreement Form
P&SP-2300 for the effective date of the corresponding trust
agreement.
Enter the full name of the principal. The principal’s name must
match the name under which the principal is registered with the
Packers and Stockyards Programs.
For example, John Doe might be registered as:
John Doe OR
John Doe Livestock, Inc. OR
John Doe Livestock Co., L.L.C. OR
John Doe d.b.a. John Doe Livestock Company. OR
John Doe and Sam Doe d.b.a. Doe Livestock, OR
John Doe and Sam Doe.
Enter the name of the bank or financial institution. This is the same
as listed in item 1.
Enter the identifying number issued by the bank for the letter of
credit. This is the same as listed in item 2.
Enter the effective date of the letter of credit. This is the same as
listed in item 4.
Enter the full amount of the letter of credit. This is the same as listed
in item 3.
Enter the effective date of the trust agreement. This is the same as
listed in item 6.
Enter the full name of the principal. This is the same as listed in item
7.
Enter the expiration date of the letter of credit in either 14(a) or 14(b).
Use 14(a) when the letter of credit need not be presented,
and any drawer, endorser, or bona fide holder of the drafts may be
honored with a signed statement of appropriate notation of the
withdrawal.
Use 14(b) when the letter of credit must be presented and
endorsed before withdrawal of the funds.
Be reminded that the funds available under this letter of credit
may not be withdrawn and released without the written approval
of the Deputy Administrator of the Packers and Stockyards
Program.
An authorized officer of the bank must sign the letter of credit, and
state his/her name, where indicated. Also, enter the name, title, and
telephone number of the person signing the form.

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OMB Control No. 0580-0015
Expires: xx/xx/20xx
U.S. DEPARTMENT OF AGRICULTURE
GRAIN INSPECTION, PACKERS AND
STOCKYARDS ADMINISTRATION
PACKERS AND STOCKYARDS PROGRAM

IRREVOCABLE, TRANSFERABLE, STANDBY LETTER OF CREDIT

(1) Issuing Bank, Branch, Division, Department, Telephone Number

(2) Letter of Credit Number

(3) Amount

(4) Date

$

(5) To ______________________________________________________________________________________,
as Trustee or a successor trustee to a Trust Agreement that became effective on (6) __________________, to which
____________________________________________________________________________________, is a party:
(7) (Packer, Market Agency, Dealer)

This credit is transferable, one or more times, but only to a successor trustee designated by the Packers and
Stockyards Program under the same Trust Agreement. Any such transfer shall govern all rights of the Trustee,
including the entire amount that remains available under this credit at the time of such transfer.
Sight draft or drafts must be drawn on us. Your draft or drafts drawn at sight must bear the following clause:

Drawn under __________________________________________________________ standby letter of credit
(8)
number _____________________dated ___________________ up to the aggregate amount of $_______________.
(9)
(10)
(11)
The following signed statement must be made by the drawer and must accompany any such draft:
Drawer will dispose of the funds received under the accompanying draft in accord with the Trust Agreement
that became effective on ___________________________ to which
(12)
_____________________________________________________________________________________ is a party.
(13)
We (the bank) will not be responsible for the disposition of any funds received by drawers.
Form P&SP-2600

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Except as otherwise provided herein, any such draft does not need to be presented with any other document.
If any such draft is drawn by a successor trustee under the same Trust Agreement, it must be accompanied by a copy
of the letter issued by the Packers and Stockyards Program designating such drawer as the successor trustee. We
will not be responsible for verifying the authenticity of any such document that appears to be authentic on its face.
This credit may not be modified without the written approval of the Deputy Administrator, Packers and Stockyards
Program.
(14a)
Any such draft must be received by us on or before ___________________________________________________.
We hereby agree with drawers, endorsers, and bona fide holders of all drafts drawn hereunder and in compliance
herewith that such drafts will be duly honored on sight upon presentation to us.
If desired:
The amount of any draft drawn hereunder must be endorsed on the reverse side of this letter of credit by the
negotiating bank, and any such draft must be accompanied by a signed statement that an appropriate notation has
been made, or by this letter.
OR
(14b)
Any such draft must be received by us on or before ___________________________________________________.
We hereby agree with drawers of all drafts drawn hereunder and in compliance herewith that such drafts will be duly
honored on sight upon presentation to us.
If desired:
This letter must be presented with any such draft for endorsement of the amount of such draft on the reverse side of
this letter.
Except as provided above, this credit is subject to the Uniform Customs and Practice for Documentary Credits
(July 2007 revision), International Chamber of Commerce Publication No. 600.

(15a) Authorized Signature:

(15b) Name:
(15c) Title:
(15d) Telephone Number:

This form is authorized by 7 U.S.C. 204 and 9 CFR 201.27. If a Letter of Credit is used is lieu of the bonding requirement, the completed and
executed form must be submitted to the Packers and Stockyards Program.
According to the Paperwork Reduction Act of 1995, an agency may not conduct or sponsor, and a person is not required to respond to, a collection
of information unless it displays a valid OMB control number. The valid OMB control number for this information collection is 0580-0015. The
time required to complete this information collection is estimated to average 54 minutes per response, including the time for reviewing instructions,
searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information.
Form P&SP-2600

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The U.S. Department of Agriculture (USDA) prohibits discrimination in all its programs and activities on the basis of race, color, national origin,
age, disability, and where applicable, sex, marital status, familial status, parental status, religion, sexual orientation, genetic information, political
beliefs, reprisal, or because all or part of an individual’s income is derived from any public assistance program. (Not all prohibited bases apply to
all programs.) Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape,
etc.) should contact USDA’s TARGET Center at (202) 720-2600 (voice and TDD). To file a complaint of discrimination, write to USDA,
Director, Office of Civil Rights, 1400 Independence Avenue, S.W., Washington, D.C. 20250-9410, or call (800) 795-3272 (voice) or (202) 7206382 (TDD). USDA is an equal opportunity provider and employer.

Form P&SP-2600

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