When Grant Jaeger went looking for a tin of paint in his shed he didn't anticipate uncovering a rare award made to Orange more than 70 years ago.
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But Mr Jaeger did discover the rare item stuck between a pile of photos.
"I didn't expect to find it," he said.
"I was looking for some paint and I saw what I thought was a cover of some sort.
"The pennant was among some old photos, football and wedding photos."
"I wasn't entirely sure [what it was]," he said.
However he said Bob Curran from the Orange and District Historical Society identified the red-felt banner as one presented to Orange for raising money to support Australia's WWII effort.
Mr Jaeger is the grandson of Jack Jaeger, who was mayor of Orange in 1945 when the war ended.
He said he did not know how the pennant had come to be among his grandfather's personal possessions or end up in a shed.
It is the second major gift to the city the family has now made following the handing over of rare rugby league books.
However, he said his family was now donating it to the historical society to be preserved.
ODHS secretary Liz Edwards said Allison Campbell, the collections officer at Orange Regional Museum, had treated it for insect infestation and put it in protective wrapping.
"The War Victory Loans called for towns and cities across Australia to raise funds for the war effort," she said.
"In the third loan Orange raised 108,470 pounds from 1630 subscribers, the best per capita result for any town in NSW in its class, and was awarded the pennant.
"Altogether, Orange raised more than one million pounds from Victory Loans throughout the war."
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