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1969 operating ratios of second district member banks FEDERAL RESERVE BANK of NEW YORK F E D E R A L R E S E R V E BAN K O F N EW Y O R K November 23, 1970 To All Member Banks in the Second Federal Reserve District: We are pleased to send you this report on the 1969 operating ratios of 361 member banks in the Second Federal Reserve District, although we regret the delay in its publication. W e believe you will find this report useful in analyzing your operat ing performance and comparing it with the results for banks o f similar size and deposit structure. The data are not comparable with results for prior years because o f the 1969 revisions in the underlying reports submitted by member banks, as well as other changes in the ratios. In the future, however, you will again be able to make year-to-year comparisons for your bank, and we hope that the new set of ratios will become an increasingly useful management tool. Because o f the revisions and processing delays, we have not presented our usual summary analysis o f the composite income data for Second District banks. We have instead included a discussion o f some of the major changes that are reflected in this year’ s operating ratios. If you have any questions about this report, or desire additional copies, you may contact our Banking Studies Department. A l f r e d H ay es, Presiden t Revisions in the Operating R a t io s ................................................................................................... Tables 1969 Average Operating Ratios of Member Banks in the Second Federal Reserve District 1969 Average Operating Ratios of Second District Member Banks — With Deposits under $5 Million ............................................................................................ W ith Deposits of $5 Million to $10 M illio n ........................................................................ With Deposits of $10 Million to $50 M illio n ...................................................................... With Deposits of $50 Million to $150 M illio n .................................................................... With Deposits of $150 Million and O v e r ............................................................................. Notes to ta b le s ...................................................................................................................................... Revisions in the Operating Ratios A number o f major revisions were made in both the Changes in the operating ratios Report o f Condition and the Report o f Income in The new terminology used to label many o f the 1969. These changes required many modifications in the computation of operating ratios and provided an opportunity to revise our annual publication o f the ratios reflects the changes made in the underlying statements. But other changes and additions are less apparent. Profitability (ratios 1 and 2 ) is now shown ratios of member bafiks in the Second Federal Reserve District. The new set o f ratios includes more detailed and relevant information for analyzing member bank operations. Because o f the revisions, few o f the 1969 as the return on equity capital, which is defined ratios are comparable with those o f previous years. The major changes in the condition and income reports, the revisions in the ratios themselves, and the new format o f this publication are discussed below. to include all reserves since reserves are essentially a segregation of net worth. Cash dividends declared as a percentage of net income (ratio 3) shows the “ pay-out ratio.” In the section showing the sources and disposition of income, several expense items are included as percentages of total assets (ratios 4 -1 1). For making Changes in the Reports of Condition and Income In both the condition and income reports for 1969, banks with total assets o f $50 million or more were required to report on an accrual accounting basis. Previously banks had been allowed to submit reports on either a cash or an accrual basis. (Effective in 1970, accrual accounting is required o f banks with total resources o f $25 million or more.) Moreover, banks were required, for the first time, to submit their condition and income statements on a consolidated basis, including their bank premises subsidiaries and comparisons between banks o f similar size, ratios based on total assets may prove more useful than those based on total operating income — as in past years — because the latter may be subject to wider variation. The greater detail provided for portfolio securities is reflected in a number o f ratios. Interest income on each type of security is given as a percentage o f total operating income (ratios 12-15) and the rates of return are given in ratios 35-38. Also, each cate gory is shown as a percentage o f total assets (ratios 41-44). A new section shows the distribution o f loans by type (ratios 48-52). A new ratio— income taxes other domestic subsidiaries that are majority-owned. to pre-tax income (ratio 5 6 )— indicates the effective tax rate paid by member banks. The new reports also require banks to provide several new breakdowns, such as the segregation of trading account securities and the division o f port Revised classification of banks As in prior years, average ratios are presented for groups o f banks divided by deposit size and sub divided by the proportion o f time deposits to total folio securities into four accounts. On the condition report, loans and securities are now reported on a gross basis rather than net o f reserves. The income report has been substantially affected by the inclusion deposits. This year most o f these statistical classes have been revised in an attempt to group banks more of loan losses and interest on capital notes and deben tures as operating expenses. Finally, income taxes homogeneously. To the extent that size and deposit must be allocated between operating earnings and such non-operating accounts as net securities gains structure differences are minimized within the vari ous groups o f banks, differences between the operating or losses. results of an individual bank and the averages o f its 1 group will reflect primarily factors within the control ability, using the ratio o f net income to total assets o f management. Variations may be explained, for example, by policy decisions as to the structure of (ratio 1 1 ). The averages o f the ratios of those banks ranking in the top 25 per cent of this array are shown the loan or security portfolios, by the rates o f interest in the Highest Quartile column. paid on deposits or borrowed money, or by the num ber o f employees and their salaries. “Highest Quartile” column An innovation in this year’ s report is the addition o f a column headed “ Highest Quartile” for each group o f banks. Within each deposit size and struc ture class, the banks were arranged in order of profit Comparison o f a bank’ s ratios with the results o f the higher-earning banks in its deposit size and struc ture group may prove useful in pointing out the areas in which bank management can work to improve prof itability. It should be noted, however, that there are many possible explanations for differences in individ ual bank results. Comparisons with high-earning banks should include careful consideration o f any special circumstances faced by an individual bank. 1 9 6 9 A verage O p eratin g R atios o f M em ber B an k s in th e S econ d F ed eral R eserv e D istrict All Second District Member Banks* PR O FITA B ILITY Number of banks........ All other banks with deposits of— Money Market B anks** 361 Under $5 Million $5-$10 Million $10-$50 Million $50-$150 Million Over $150 Million 44 46 161 55 46 9 YOUR B A NK P e rce n ta g e o f Equity C a p ita l Including All R e se rv es 10.48 10.06 9 11 7.95 7.75 7.18 9.84 9.79 10.81 10.22 11.23 11.09 11.99 11.68 33.66 67.54 28.24 39.70 28.82 37.19 38.91 5 83 1 36 1 99 21 98 4 55 89 85 5.17 1 12 85 17 1.87 4.02 69 .60 5.68 1.49 1.78 .17 1.11 4.56 .75 .68 5.76 1.39 1.93 .19 .92 4.44 .91 .90 5.82 1.30 2.11 .20 .90 4.53 .90 .85 5.99 1.37 2.15 .25 .94 4.72 .94 .93 6.04 1.43 1.81 .26 1.14 4.66 .96 .94 12 17 2.43 8.29 .52 68.29 8.26 5.40 .53 5.85 .35 71.98 15.87 19.17 2.44 4 .9 6 .74 66.30 6.37 15.89 3.42 5.92 .61 67.23 6.91 12.10 3.00 8.42 .49 68.38 7.58 8.43 1.67 11.35 .43 67.88 10.21 7.76 .77 10.24 .49 70.70 10.01 100.00 4.88 2.26 20.44 2.95 34.13 1.06 3.72 1.87 13.81 78.01 1.25 21.98 15.64 .80 100.00 1.09 8.45 18.26 3.17 16.66 13.32 3.49 1.18 21.99 78.10 1.00 21.89 13.33 - 1.65 100.00 4.91 23.82 2.69 31.36 .37 3.15 4.39 14.19 79.99 100.00 4.76 .96 21.45 2.83 33.59 .08 3.47 1.38 14.22 77.04 22.95 15.85 .35 + -24 15.74 100.00 5.12 1.14 19.68 2.77 36.48 .25 3.59 1.69 13.28 77.77 1.38 22.22 15.98 - 1.05 .03 14.89 100.00 5.24 2.79 19.70 3.23 36.06 .74 4.23 1.20 13.48 78.69 1.20 21.30 16.06 .33 + .05 15.78 100.00 4.38 2.91 20.14 3.56 30.21 3.55 4.41 1.50 13.69 77.08 1.23 22.91 16.17 .43 + .09 15.82 5.15 2.83 3.43 4.73 5.14 4.69 3.57 7.42 4.94 5.01 3 .73 7.14 5.27 5.07 3.78 6.22 P e rce n ta g e of N et Incom e SO U RCES A N D D ISP O S IT IO N OF INCO M E P e rce n ta g e o f Total A ssets P e rce n ta g e of Total O p e ra tin g Incom e 13. In terest on secu rities o f U . S. G o v t, ag en cies & c o rp o ra tio n s......... 14. In terest on o b lig a tio n s o f S ta te s and p olitical s u b d iv is io n s .......... 17. A ll oth er op era tin g in c o m e '........................................................................... 29. Interest on capital notes and debenturesd (part of item 27) .................. 32. N e t secu rities gains ( + ) or lo sses ( —) a fter ta x e ffe c t................... 33. A ll oth er a d d itio n s and su b tra ctio n s ( n e t ) ' .......................................... 34. N e t in c o m e ............................................................................................................ Return on Loans# 39. In terest and fees on lo a n s .............................................................................. 40. N e t losses ( —) or recoveries ( + ) on lo a n s ........................................... D ISTRIBU TIO N OF A SSETS P e rce n ta g e of Total Assets 41 U . S. T reasury securities-^....................................................................... 42. Securities of oth er U . S. G o v t, a gencies & corporations-^............... 43. O bligations of S ta te s and political subdivisions-^................................ 14.84 11.68 5.13 4.33 3.60 6.61 5.56 8.82 4.51 6.63 5.07 2.03 3.32 5.32 + t RATES OF RETURN O N SECURITIES A N D LO A N S Return on Se cu ritie s/ 35. In terest on U . S. T reasurv se c u r itie s ....................................................... 36. In terest on securities of U . S. G o v t, a gen cies & c o r p o r a tio n s .. . . 37. In terest on oblig a tio n s of S ta te s and p olitical su b d iv isio n s.......... 38. In terest and d iv id en d s on all oth er s e c u r itie s ..................................... - _ 20.00 13.56 - 1.17 .20 12.17 7.50 .12 - 8.15 .12 - 7.48 .15 __ - 7.70 .05 - 7.39 .12 - 7.52 .13 - 7.56 .14 13.44 2.96 13.40 .49 56.91 10.85 1.45 10.27 1.39 17.57 .35 55.98 11.89 1.38 8.92 .72 16.05 .42 57.98 12.91 1.48 .55 .27 1.41 30 33 .92 53 00 12 43 1.16 17 08 3.20 9.71 77 55.54 11.87 1.53 37 08 3 30 20 00 28.20 11.38 6 31 03 57 39 7.49 28.75 35 99 10 60 14 48 28 55 10.35 36.48 6 12 14.80 28.67 13.91 40.57 2 39 17.16 29.03 10.84 38.01 .78 22.23 30.49 8.47 31 42 37 30 50 25.86 11.82 9.31 56.47 4.05 20.45 7.02 8 03 21.73 5.64 26.43 7.22 12.04 55.06 3.64 22.68 7.14 9.60 55.89 3.91 25.96 6.89 8.67 60.47 3.94 20.27 6.87 8.75 58.09 4.29 13.87 7.13 9.60 49.29 4.37 20.18 7.34 $244,089 $ 26,093 $6,528,982 $ 732,265 $3,262 $ 443 $7,345 $ 790 $23,818 $ 2,256 $96,324 $ 9,479 $429,158 $ 41,062 13.58 2.36 4.98 .53 21.22 2 57 8 41 DISTRIBUTION OF LO A N S P e rce n ta ge of G ross Loans*7 OTHER RA TIO S 55. In terest on tim e and savings d ep o sits to to ta l tim e d ep o sits. . . . D O LLA R AM OUNTS IN TH O U SAN D S N o te s are on page 10. 100.00 M em ber B an k s w ith D ep osits u n der $ 5 M illion Time deposits to total deposits Group Average PR O FITA B ILITY 8 Number of banks........ P e rce n ta g e of Equity C a p ita l Inclu din g A ll R e se rv e s 1. Incom e after ta x es and before secu rities g a in s (lo sses)0 .................. P e rce n ta g e of N et Incom e 3. C ash d iv id en d s d e c la r e d .................................................................................. 19. Service charges on deposit accountsd (part of item 17) ......................... 20. Trust department incomed (part of item 17) ............................................ 27. A ll o th er o p era tin g e x p e n s e s ......................................................................... 13.08 12.24 33.89 22.44 27.21 23.52 26.68 20.70 5.23 1.58 1.06 .21 .95 3.82 .98 .90 5.38 1.49 .88 .23 .78 3.38 1.48 1.25 5.60 1.47 1.80 .17 .97 4.42 .85 .80 5.90 1.60 1.70 .16 .77 4.24 1.31 1.30 6.04 1.47 2.15 .13 1.40 5.17 .47 .39 6.19 1.07 2.39 .05 .81 4.33 1.54 1.44 24.29 .75 3.41 .39 63.44 7.68 18.50 .96 3.19 .48 71.58 5.27 17.12 2.87 5.75 .85 66.83 6.56 15.00 .98 7.05 .51 69.71 6.72 19.32 2.73 4.68 .77 67.08 5.39 15.31 1.22 8.12 .16 70.84 4.32 100.00 6.46 100.00 100.00 5.05 100.00 5.16 100.00 3.98 100.00 3 .1 7 Interest on capital notes and debentures'1 (part of item 2 7) .................. In com e before ta x es and secu rities ga in s (lo s s e s ).............................. Incom e a fter ta x es and before secu rities g a in s (lo sses)0 ................. N e t secu rities g a in s ( + ) or lo sses ( —) a fter ta x e ffe c t................... A ll oth er a d d itio n s and su b tra ctio n s (net)®......................... ................. D ISTRIBU TIO N OF A SSETS P e rce n ta g e of Total A ssets 41. U . S. T reasury s e c u r itie s '............................................................................... 42. S ecu rities o f o th er U . S. G o v t, ag en cies & c o r p o r a tio n s'............... 43. O b ligation s o f S ta te s and p olitical s u b d iv isio n s'............................ — — — 25.10 2.92 15.90 .18 4.32 .86 13.23 62.53 — — 23.71 2.48 32.70 .28 3.24 2.47 14.07 78.98 — — — — 21.50 2.98 35.71 .41 2.35 8.55 13.93 85.46 23.80 2.84 29.52 .05 2.81 .53 12.14 71.71 — 16.33 1.13 38.74 1.10 .92 .63 10.90 69.78 — — 27.58 19.04 - 1.19 .16 17.68 37.46 27.76 - 3.66 .44 23.66 21.01 15.05 .65 .22 14.17 28.28 22.56 + .56 .77 22.35 14.53 8.55 - 1.90 .21 6.42 30.21 25.12 - 1.04 .48 23.59 4.92 1.16 2.80 5.88 5.80 1.09 2.50 9.61 4.90 1.92 3.48 5.05 5.68 1.88 3.53 6.52 5.39 2.66 3.36 5.41 5.42 1.97 3 .77 5.13 RATES O F RETURN O N SECU RITIES A N D LO A N S Return on S e cu ritie s/ 35. In te r est on U . S . T reasury se c u r itie s........................................................ 36. In terest on secu rities o f U . S. G o v t, a g en cies & c o rp o ra tion s. . . . 37. In terest on o b lig a tio n s o f S ta te s and political su b d iv isio n s.......... 38. In terest and d iv id en d s on all o th er s e c u r itie s ...................................... Return on Loans£ 40. N e t lo sses ( —) or recoveries ( + ) on lo a n s ............................................ 4 15 7.09 6.45 — 24. In te r est on borrow ed m o n e y ......................................................................... 25. N e t o ccu p a n cy ex p en se o f b a n k p r e m ises.............................................. 6 21 Highest Quartile 11.29 11.20 28.44 2 .69 19.70 .53 4 .40 1.65 14.97 72.41 22. Officer a nd em p lo y e e b e n e fits ....................................................................... Group Average 7.52 7.14 10. Incom e a fter ta x es a nd before secu rities g a in s (lo sses) 0 ................. 17. A ll oth er o p era tin g in c o m e '........................................................................... 3 Highest Quartile 14.84 12.04 7. N e t o ccu p a n cy ex p en se o f ban k p r e m ises............................................... P e rce n ta g e of Total O p e ra tin g Incom e 12. In te r est on U . S. T rea su ry s e c u r itie s ........................................................ 13. In te r est on secu rities o f U . S. G o v t, a g en cies & c o rp o ra tio n s.......... 14. In terest on o b lig a tio n s of S ta te s and political s u b d iv isio n s ............ 15. In terest and d iv id en d s on all o th er s e c u r itie s ...................................... Group Average 9.63 8.67 SO U RCES A N D D ISP O S IT IO N O F INCO M E P e rce n ta g e o f Total A ssets 4. T o ta l op era tin g in c o m e .................................................................................... 5. Salaries, w ages a nd fringe b e n e fits ............................................................. 29. 30. 31. 32. 33. Highest Quartile YOUR Over 60 per cent 50-60 per cent Under 50 per cent - 8.00 .14 - 8.29 .14 - 7.10 .21 - 6.88 .05 - 7.73 .06 - 7.63 .06 26.26 1.10 5.64 .62 46.88 18.32 .93 16.82 2.17 6.38 .41 51.70 21.64 .71 19.02 2 .9 6 9.78 .98 53.90 12.11 1.07 14.96 1.79 11.51 .66 58.06 11.82 1.04 21.60 2.82 7.98 1.18 54.99 9.76 1.41 16.17 .94 14.14 .20 58.21 9.55 .59 29.26 6.62 24.00 20.58 19.53 30.06 2.04 11.41 23.08 33.39 38.65 11.63 12.09 32.41 5.20 34.48 12.67 12.12 33.43 7.29 35.87 11.29 12.74 27.41 12.67 43.83 13.71 11.41 25.98 5.05 11.86 33.82 2.98 26.86 6.84 10.99 26.28 2.92 17.87 6.62 11.13 55.46 3.72 19.04 6.94 11.87 54.11 3.64 20.30 7.04 13.42 65.81 3.86 25.56 7.58 11.86 69.46 4.04 17.87 7.54 $3,396 $ 474 $3,620 $ 417 $3,275 $ 413 $2,956 $ 386 $3,171 $ 469 $3,292 $ 454 D ISTRIBU TIO N OF L O A N S P e rce n ta g e of G ro ss Lo an s b 50. C om m ercial and ind ustrial lo a n s ................................................................ 51. C onsum er loans to in d iv id u a ls..................................................................... OTHER RA TIO S 53. T o ta l capital a cco u n ts and reserves to total a sse ts '1........................... 54. T im e and sav in g s d ep o sits to to ta l d e p o s its ......................................... 55. In terest on tim e and sav in g s d ep o sits to to ta l tim e d ep o sits. . . . 56. Incom e taxes to net incom e plus incom e ta x e s ................................... 57. In terest and fees on loans exclu d in g Federal fu n d s .......................... D O LLA R AM OUNTS IN TH O U SAN D S 59. A verage eq u ity capital inclu ding all r ese rv e s...................................... Notes are on page 10. 4 100.00 M em ber B an k s w ith D ep osits o f $ 5 M illion to $ 1 0 M illion Time deposits to total deposits Under 50 per cent PR O FITA BILITY Highest Quart ile Group Average Highest Quartile Group Average Highest Quartile 9 3 17 5 20 5 Number of banks........ RATES O F RETURN O N SECURITIES AN D LO A N S Return on Se cu ritie s/ 35. In terest on U. S. T reasury sec u r ities....................................................... 36. In terest on securities of U . S. G o v t, a gencies & corp orations. . . . 37. Interest on oblig a tio n s of S ta te s and political su b d iv isio n s.......... 38. In terest and d iv id en d s on all oth er s e c u r itie s ..................................... Return on Lo an s 8 39. In terest and fees on lo a n s .............................................................................. 40. N e t losses ( —) or recoveries ( + ) on lo a n s ............................................ Over 60 per cent Group Average P e rce n ta g e of Equity C a p ita l Including A ll R e se rv e s 1. Incom e after ta x es and before securities gains (lo sses)" ................. 2. N e t in c o m e ............................................................................................................ P e rce n ta g e of N et Incom e 3. C ash d iv id en d s d e c la r e d ................................................................................. SO U RCES A ND D ISP O S IT IO N O F INCOM E P e rce n ta g e of Total A ssets 4. T o ta l o p era tin g in c o m e ................................................................................... 5. Salaries, w ages and fringe b e n e fits ............................................................ 6 . In terest on d e p o s its ........................................................................................... 7. N e t occu p an cy expense of bank p rem ises.............................................. 8 . A ll other operating e x p e n se s......................................................................... 9. Total operating e x p e n se s................................................................................ 10. Incom e after taxes and before securities gains (losses)" ................. 1 1 . N e t in c o m e ............................................................................................................ P e rce n ta g e of Total O p e ra tin g Incom e 12. In terest on U . S. T reasury se c u r itie s....................................................... 13. In terest on securities of U . S. G o v t, a g en cies & c o rp o ra tio n s......... 14. In terest on o b lig a tio n s of S ta te s a nd p olitical su b d iv isio n s............ 15. In terest a nd d iv id en d s on all o th er s e c u r itie s ..................................... 16. In terest and fees on lo a n s6 ............................................................................ 17. A ll o th er op era tin g in co m e0.......................................................................... 18. T o ta l operating in c o m e .............................................................................. 19. Service charges on deposit accounts'1 (part of item 17) ........................ 20. Trust department income4 (part of item 17) ............................................ 21. Salaries a nd w a g e s ............................................................................................. 22. Officer and em p lo y ee b e n e fits...................................................................... 23. In terest on d e p o s its .......................................................................................... 24. In terest on borrow ed m o n e y ........................................................................ 25. N e t o ccu p an cy expense of bank p rem ises.............................................. 26. Provision for loan losses ( n e t ) ..................................................................... 27. A ll oth er operating e x p e n se s......................................................................... 28. Total operating e x p e n se s........................................................................... 29. Interest on capital notes and debenturesd (part of item 2 7) ................. 30. Incom e before ta x es and secu rities ga in s (lo s s e s ).............................. 31. Incom e after taxes and before securities gains (lo sses)0 ................. 32. N e t secu rities gains ( + ) or lo sses ( —) after ta x e ffe c t................... 33. A ll o th er a d d itio n s and su b tra ctio n s (n et)* .......................................... 34. N e t in c o m e ............................................................................................................ 50-60 per cent 11.01 10.75 10.62 10.86 9.11 9.10 13.28 13.42 9.94 9 .9 5 13.12 13.07 39.65 19.51 60.45 24.81 2 2.08 25.04 5.67 1.60 1.27 .22 1.03 4.14 1.00 .98 5.84 1.70 .80 .28 1.10 3.89 1.21 1.23 5.59 1.41 1.85 .17 .86 4.30 .84 .84 5.57 1.15 1.77 .12 .57 3.62 1.30 1.31 5 .95 1.28 2.30 .19 .91 4.70 .92 .91 5.93 1.19 2.22 .14 .81 4 .3 7 1.23 1.22 19.71 2.32 4.94 .42 65.08 7.50 14.35 2.33 5.61 .43 68.55 8.71 16.26 .70 6.45 .35 69.18 7.03 21.07 .8 4 . 8.05 .11 64.24 5.66 13.84 6.23 5.90 .91 66.54 6.54 16.15 7 .05 5.66 57 63.85 6.70 100.00 5.20 100.00 5.56 100.00 4.74 .51 22.45 2.93 33.21 .06 3 .26 1.58 13.44 76.96 100.00 4.5 9 100.00 5.09 — — 24.71 3.80 22.63 .05 4.04 1.63 16.14 73.03 24.10 5.35 13.62 — 5.03 1.10 17.76 66.97 — — — 100.00 4.10 18.32 2.53 31.90 .05 2.21 .18 9.86 65.08 17.26 21.12 5.00 3.96 3.24 6.00 5.08 5.52 3.50 3.92 5.09 2.11 3.72 4 .27 5.36 2.39 3.79 3 .7 6 7.52 -01 7.89 33.02 20.67 + .45 — 8.45 .14 - — + 7.60 .03 + 19.13 2.31 38.84 .10 3 .38 1.10 14.03 78.92 — 34.91 23.41 + .31 23.03 15.03 + .01 + .01 15.06 26.96 17.64 .37 — — 18.61 1.63 37.56 .10 2.49 .62 12.81 73.83 — __ 26.16 20.92 .10 23.73 21.07 15.74 .65 + .54 15.63 5.28 2.93 3.2 7 4 .54 5.57 3.31 3.38 5.43 — + + - 7.51 .07 20.81 - 7. 73 .05 D ISTRIBU TIO N OF A SSETS P e rce n ta g e of Total A ssets 41. U . S. T reasury s e c u r itie s '............................................................................... 42. Secu rities o f o th er U . S. G o v t, ag en cies & c o rp o ra tio n s'............... 43. O b lig a tio n s o f S ta te s and p olitical su b d iv isio n s'................................ 44. A ll oth er se c u r itie s '............................................................................................ 45. G ross lo a n s6 ........................................................................................................... 46. C ash a s s e t s ............................................................................................................. 47. R eal e sta te a s s e t s ............................................................................................... 21.14 2.16 7.92 .56 50.82 15.41 1.68 16.32 1.60 8.32 .66 54.03 16.88 2.02 17.78 .58 10.39 .50 56.52 12.41 1.56 21.87 .92 12.74 .19 50.57 12.84 .74 14.66 5.90 9.94 1.08 56.84 9 .82 1.44 D ISTRIBU TIO N O F LO A N S P e rce n ta g e of G ro ss Lo an s h 48. R eal e sta te lo a n s ................................................................................................. 49. L oans to fa rm ers................................................................................................. 50. C om m ercial a nd industrial lo a n s ................................................................ 51. C onsum er loans to in d iv id u a ls .................................................................... 52. A ll oth er loans6 ........................................................................................ 22.69 1.83 22.89 35.41 17.16 8.50 1.04 26.23 49.41 14.80 35.48 7.75 14.25 27.59 14.91 32.51 10.93 11.16 30.23 15.15 43.53 6.67 11.62 26.55 11.60 OTHER RA TIO S 53. T o ta l capital a cco u n ts and reserves to total a ssets* ........................... 54. T im e and savings d ep osits to to ta l d e p o sits......................................... 55. In terest on tim e and sav in g s d ep o sits to to ta l tim e d e p o sits. . . . 56. Incom e taxes to net incom e plus incom e t a x e s ................................... 57. In terest and fees on loans exclu d in g Federal fu n d s.......................... 9.21 35.23 4.07 29.66 7.06 11.43 22.58 4.12 34.14 6.87 9.45 54.91 3.79 32.82 6.73 10.08 53.23 3.79 30.83 6.92 9.91 66.01 3.94 18.47 6.96 65 10 3 81 D O LLA R AM OUNTS IN TH O U SAN D S 58. A verage total d e p o s its ..................................................................................... 59. A verage e q u ity capital including all reserv es...................................... $6,917 $ 709 $6,502 $ 861 $8,136 $ 859 $8,335 $ 955 $6,864 $ 767 $6,712 $ 716 Notes are on page 10. 5 17.38 7.13 9.70 .62 9 14 1.20 13.47 10.96 6.91 YOUR BANK 100.00 M em ber B an k s w ith D ep osits Time deposits to total deposits Under 50 per cent Group Average P R O FITA B ILITY Number of banks......... Highest Quartile 19 P e rce n ta ge of Equity C a p ita l Inclu din g A ll R e se rv es 1 . Incom e a fter ta x e s an d before secu rities ga in s (losses)“ ............................................. 50-55 per cent 5 Group Average Highest Quartile 22 6 10.26 10.15 11 44 14 49 10.34 12.99 12.88 31.93 19.33 23.69 15.11 5.80 1.57 1.43 .30 1.07 4 .3 9 .93 .92 6.09 1.54 1.38 1.34 5.60 1.41 1.76 .23 .95 4.36 .91 .83 1.18 1.73 .17 .80 3.89 1.28 1.26 10.84 2 .16 8 .53 .97 67.66 9.82 9 10 49 8 17 2.41 69.95 9 .86 13.58 4 .3 5 9 .02 .43 64.11 8 .48 11.81 2.41 11.42 .52 65.41 8 .40 100.00 6.06 2.38 23.50 3.46 2 5.15 .68 5.31 2.21 15.16 75.51 100.00 5.74 100 00 5 75 1 23 2 2.40 2.71 31.59 .15 4 20 2 20 14 33 77 60 100.00 6 .00 24.48 17.35 - 1.25 + -01 16.11 29.04 22.38 + .13 22 39 16 61 2 2.52 — .31 15.19 5.25 3 79 3 47 6.40 5.20 2.78 3 .5 2 6.74 7.58 .19 8 .4 9 .15 P e rce n ta ge o f N e t Incom e SO U RCES A ND D IS P O S IT IO N OF INCO M E P e rce n ta ge o f Total A sse ts 1.15 4 39 P e rce n ta ge of Total O p e ra tin g Incom e 17. All o th er o p era tin g in co m e* ...................................................................................................... 20 Trust department incomed (part of item 1 7 ) ........................................................................ __ 22.04 2 .6 8 2 3.02 .31 5.06 3.12 14.70 70.95 18.87 2.61 31.< 11. 7 0 .. + 2 9.75 2 3.33 .49 .10 22.94 RATES OF RETURN O N SECU RITIES A N D L O A N S Return on Se cu ritie s ) 4.85 4.62 3.40 3.67 6.40 Return on Lo an s £ - - .08 - 8.08 .10 DISTRIBU TIO N OF A SSETS P e rce n ta ge o f Total A ssets 42 Secu rities o f oth er U S G o v t, a g en cies & corporations-^.......................................... 11 56 2 30 13.34 67 55 73 14.16 1.54 12.05 15.43 4 .35 14.37 14.53 2.01 17.64 oO. 38 JL<i£.ZO 1.56 1.60 DISTRIBUTION OF LO A N S P e rce n ta ge o f G ro ss Loans b 33.51 41.59 1.64 19.63 25.92 OTHER RATIO S 53 T otal ca p ita l a cco u n ts and reserves to to ta l a sse ts* ..................................... 4.02 20.98 6.99 *1 3.76 20.29 6.90 D O LLA R AM OUNTS IN TH O U SA N D S $18,260 $ 2,090 Notes are on page 10. 6 $ 1 0 M illion to $ 5 0 M illion Time deposits to total deposits 55-60 per cent Group Average ^ 32 60-65 per cent 65-70 per cent Over 70 per cent Highest Quartile Group Average Highest Quartile Group Average Highest Quartile Group Average Highest Quartile 8 33 9 23 6 32 8 YOUR BA NK 11.76 11.27 13.77 13.32 10.69 10.40 11.44 12.41 10.59 9.91 11.95 12.29 10.77 9 .7 0 12.79 12.54 1. 2. 26.23 16.79 29.60 25.95 35.75 31.27 27.30 23.12 3. 5.87 1.33 2.02 .20 .87 4.44 .98 .95 6.09 1.22 2.00 .19 .78 4.20 1.30 1.26 5.85 1.25 2.18 .18 .87 4.50 .89 .86 5.52 1.04 2.02 .16 .69 3.93 1.01 1.10 5.84 1.21 2.35 .19 .93 4.7 0 .84 .80 5.82 1.13 2.25 .16 .85 4.41 1.05 1.08 5.88 1.17 2.58 .15 .81 4.73 .84 .77 5.81 .96 2 .49 .13 .60 4.19 1.13 1.11 4. 5. 6. 7. 8. 9. 10. 11. 13.62 1.46 7.79 .55 68.48 8.08 11.72 .63 8.37 .13 71.81 7.31 10.15 2.65 8.64 .20 71.19 7.14 11.69 4.34 10.64 .19 66.05 7.06 11.52 5.27 8.24 .37 67.26 7.31 10.17 6.81 11.58 .82 61.96 8 .6 4 12.77 2.82 8.47 .58 69.56 5.77 16.62 2.70 9.48 .86 65.46 4 .8 6 12. 13. 14. 15. 16. 17. 100.00 5.88 .43 20.01 2 .66 34.75 .17 3.55 1.26 13.25 75.68 1.34 24.31 16.85 .69 + .03 16.19 100.00 5.50 .51 18.02 1.95 32.92 .34 3.23 .75 11.47 68.70 — 31.29 21.56 .62 .09 20.85 100.00 4.83 1.28 18.59 2 .87 37.39 .21 3.31 1.32 12.95 76.67 — 23.32 16.33 - 1.31 + .05 15.07 100.00 5.14 .81 18.36 2.4 0 40.55 .28 3.39 2.0 4 13.30 80.34 1.68 19.65 14.60 .69 .08 13.83 100.00 5.82 1.52 16.54 2 .9 6 38.83 .25 2.92 1.27 12.96 75.76 — 24.23 18.15 + .58 — 18.74 100.00 3.65 .73 17.27 2.68 44.43 .14 2 .6 5 1.61 11.79 80.60 1.19 19.39 14.49 - 1.25 .01 13.22 100.00 3 .2 0 1.16 14.57 2 .0 9 43.15 .19 2 .33 .35 9.61 72.33 — 2 7.66 19.62 .42 .06 19.12 5.33 3 .09 3 .37 6.04 5.30 3.94 3.30 3.40 4.88 7.30 3.73 5.26 5.38 4.82 3.47 5.03 4.89 6.29 3.66 7.31 5.17 4.18 3.89 7.54 5.23 3.69 3.52 9.40 35. 36. 37. 38. 7.10 .07 39. 40. 100.00 4.56 1.50 16.49 2 .53 36.69 .05 3.04 1.08 11.28 71.18 — 28.81 20.51 .37 + 420.14 100.00 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. . } ^ - 7.38 .11 7.59 .09 - - 7.22 .08 5.00 5.29 3.81 5.43 - 6.79 .10 - 7.57 .20 - 8.01 .16 - 7.26 .10 - 14.91 1.57 12.61 .62 56.96 11.49 1.37 13.35 .59 12.81 .23 61.07 9.94 1.38 11.99 2.19 13.37 .29 60.05 10.07 1.56 12.95 3.86 15.66 .20 55.33 10.41 1.31 12.43 5.14 13.87 .45 56.12 10.23 1.33 12.01 6.27 18.25 .70 51.47 9.79 .96 13.96 2.9 9 13.24 .54 59.03 8.52 1.36 16.73 3 .2 7 15.48 .65 53.69 8.8 4 1.02 41. 42. 43. 44. 45. 46. 47. 40.73 2.08 18.51 29.10 9.55 40.61 3.49 17.75 29.44 8.69 39.31 2.36 17.26 29.94 11.10 45.79 1.14 15.93 23.64 13.47 45.05 2.0 6 15.78 28.83 8.26 44.32 .04 15.73 31.91 7.99 45.14 4.17 10.21 29.24 11.22 4 7.25 8.6 3 9.67 27.68 6.74 48. 49. 50. 51. 52. 8.61 57.71 3 .9 6 24.15 6.87 9.81 57.96 3.95 25.52 7.01 8.52 62.17 3.98 21.98 6.82 8.96 62.18 3.69 23.68 6.41 8.56 67.62 3.93 18.58 6.95 10.12 66.96 3 .8 6 20.87 6.90 8.41 72.87 3.97 17.02 6.79 10.21 73.11 3.87 25.83 6.84 53. 54. 55. 56. 57. $23,201 $ 2,199 $21,903 $ 2,356 $24,279 $ 2,333 $25,478 $ 2,564 $20,690 $ 1,862 $23,266 $ 2,325 $23,350 $ 2,043 $16,645 $ 1,845 58. 59. Notes are oil page 10. M em ber B an k s w ith D ep osits o f $ 5 0 M illion to $ 1 5 0 M illion Time deposits to total deposits Under 50 per cent PROFITABILITY Number of banks........ YOUR BA NK Over 60 per cent 50-60 per cent Group Average Highest Quartile Group Average Highest Quartile Group Average Highest Quartile 6 3 22 6 27 7 Percentage of Equity Capital Including All Reserves 12.90 12.81 12.94 12.99 11.02 10.65 13.14 13.00 11.02 11.08 13.28 13.43 36.13 29.17 39.53 40.63 35.52 35.62 6.01 1.49 1.61 .23 .99 4.32 1.18 1.17 5.37 1.17 1.48 .21 .85 3.72 1.37 1.37 5.96 1.42 1.94 .28 .92 4.58 .99 .95 6.13 1.43 1.86 .23 .79 4.32 1.26 1.25 6.02 1.31 2.43 .22 .94 4.91 .86 .86 5.95 1.18 2.36 .19 .83 4.57 1.07 1.08 9.11 .71 12.82 .38 63.21 13.75 100.00 6.14 5.99 20.77 3.94 26.73 1.00 3.98 1.28 14.29 72.02 8.86 .93 20.82 .28 59.05 10.05 100.00 7.13 9.18 1.54 11.44 .45 65.96 11.40 100.00 5.72 3.66 20.52 3.39 32.82 .80 4.89 1.07 13.45 76.97 8.72 1.88 13.11 .70 62.75 12.81 100.00 5.50 5.88 19.75 3.60 30.51 .56 3.90 .99 11.20 70.54 7.67 1.99 10.95 .43 70.48 8 .44 27.97 20.42 + .05 .13 20.34 30.82 25.88 + .09 25.98 23.02 16.81 .68 .01 16.11 29.45 20.69 .13 .04 20.50 100.00 4.45 1.50 18.80 2.94 40.79 .63 3.7 6 1.29 13.33 81.57 1.24 18.42 14.48 .13 + .15 14.50 8 .1 6 .64 14.18 .80 67.84 8 .3 6 100.00 4 .4 0 1.67 16.72 3.02 3 9.97 1.04 3.26 .79 11.73 76.56 5 04 3 .5 6 3 .7 4 11 16 4.82 3.15 4.29 5.54 5.11 5.09 3.73 7.31 5 00 6.12 3.74 8 97 4 77 5.26 3 .74 6 10 Percentage of Net Income SOURCES AND DISPOSITION OF INCOME Percentage of Total Assets Percentage of Total Operating Income 13. In terest on secu rities o f U ,S . G o v t, agen cies & c o rp o ra tio n s......... 17. A ll oth er op era tin g in co m e0........................................................................... _ 18.24 3.84 27.48 1.56 4.02 .47 13.55 69.18 _ _ _ _ _ 23.43 18.30 j + .20 18.51 RATES OF RETURN ON SECURITIES AND LOANS Return on Securities/ 36. In terest on secu rities o f U . S. G o v t, ag en cies & co rp o ra tio n s. . . . 37. In terest on o b lig a tio n s of S ta te s an d p o litica l su b d iv isio n s .......... 2 .9 5 3.82 8 09 Return on Loans £ - 7.38 .16 - 7.19 .09 7.57 - .11 8 28 - .11 - 7 51 .14 - 7 91 .07 DISTRIBUTION OF ASSETS Percentage of Total Assets 10.48 .92 16.72 .23 50.94 18.31 1.01 9.23 1.37 25.28 .27 45.92 15.76 1.11 10 72 1 46 18 13 .39 54.71 11.87 1.40 21.63 .13 36.87 24.85 16.50 28.05 .26 17.47 33.97 20.24 39.99 .57 22 05 29 19 8.18 9.84 35 99 5.27 24.20 7.16 10 66 35 86 5.05 14 25 6.59 $96,059 $10,334 $86,059 $11,224 1.91 21.33 47 52.71 11.06 1.18 1.44 17.30 9.76 .72 22.11 33 33 58 12 10.49 1.45 53.17 11.99 .98 34 93 4.25 40 04 1 11 19 12 32 80 6.91 32 81 1 56 23 43 33.54 8.64 9 13 54 88 4.10 18.35 7.09 4.09 26 50 7.09 8 20 65 62 4.2 3 7 92 7.16 8.33 62.76 4.34 18.14 7.26 $107,058 $ 11,216 $120,347 $ 13,459 $87,637 $ 7,874 $108,702 $ 10,382 DISTRIBUTION OF LOANS Percentage of Gross Loans b 36 84 31 OTHER RATIOS 55. In terest on tim e a nd sa v in g s d ep o sits to to ta l tim e d e p o sits. . . . 57. In terest a nd fees on lo a n s ex clu d in g Federal fu n d s .......................... DOLLAR AMOUNTS IN THOUSANDS Notes are on page 10. 100.00 M em ber B an k s w ith D ep osits o f $ 1 5 0 M illion and O ver Time deposits to total deposits Under 50 per cent PROFITABILITY Number of banks......... 50-60 per cent Over 60 per cent YOUR B A NK Group Average Highest Quartile Group Average Highest Quartile Group Average Highest Quartile 22 6 18 5 6 3 Percentage of Equity Capital Including All Reserves 1. Incom e after ta x es and before securities ga in s (lo sses)0 ................. 12.36 12.09 12.42 12.39 11.58 11.29 11.99 12 76 11 86 11 35 11.39 11 46 36.40 33.18 42.35 45.58 37.82 42.08 6 07 1 49 1 51 26 1 21 4.49 1.04 1.02 5.99 1.29 1.40 .23 1.00 3.94 1.34 1.33 6.04 1.40 2.00 .27 1.15 4.83 .90 .88 5 98 1.39 1.89 .29 .92 4 .5 0 1.06 1.15 5 92 1.30 2.37 .21 .89 4.77 .85 .82 5.87 1.22 2 .4 3 . 19 .87 4.72 .88 .89 6.74 .73 9.79 .30 71.41 7.41 .27 12.57 .42 70.41 8.90 8.79 .95 10.74 .58 69.61 9.29 11.90 .11 11.04 1.03 66.89 9.00 8.44 .37 10.41 .89 71.34 8.52 10.32 .07 11.45 .24 70.12 7.78 100.00 3.31 2.72 18.02 3.63 23.62 3.80 4.02 1.89 10.61 65.62 100.00 4.43 2.31 19.80 3.50 31.69 1.03 4.92 .65 13.51 75.12 100.00 4.03 2.91 18.76 3.06 40.21 1.06 3.65 1.23 12.47 80.46 100.00 4.71 1.14 18.15 2.63 41.40 .72 3.39 1.24 12.83 80.38 24.87 18.08 + 1.65 19.73 19.53 14.67 .59 + .02 14.10 19.61 15.32 + .06 + .04 15.43 5.60 1.51 3.64 6.52 5.28 8.69 3.56 7.87 5.53 12.90 3.57 6.75 Percentage of Net Income SOURCES AND DISPOSITION OF INCOME Percentage of Total Assets 10. Incom e a fter ta x es a nd before secu rities gains (losses)®................. 11. N e t in c o m e ............................................................................................................ Percentage of Total Operating Income 12. In terest on U . S. T reasury se c u r itie s ....................................................... 13. In terest on securities of U . S. G o v t, a gencies & co rp o ra tio n s......... 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. In terest and d iv id en d s on all o th er s e c u r itie s..................................... In terest and fees on lo a n s6 ..................................... A ll o th er op era tin g in com e0........................................................................... T o ta l o p era tin g in c o m e .............................................................................. Service charges on deposit accounts'^ (part of item 17) ........................ Trust department income4 (part of item 17) ............................................ Salaries and w a g e s ............................................................. Officer and em p lo y ee b e n e fits.................................................................... In terest on d e p o s its ................................................................ Interest on borrow ed m o n e y ......................................................................... N e t o ccu p an cy expense of ban k p rem ises.............................................. P rovision for loan losses ( n e t ) ................................................................... A ll oth er operating e x p e n se s.............................................. T o ta l operating e x p e n se s................................................ Interest on capital notes and debentures'i (part of item 2 7 ) ............... Incom e before ta x es and secu rities g a in s (lo s s e s ).............................. Incom e after ta x e s a nd before secu rities g a in s (lo sses)0................. N e t secu rities gains ( + ) or lo sses ( —) a fter ta x e ffe c t................... A ll oth er a d d ition s and subtraction s ( n e t ) '.............................. N e t in c o m e ........................................................................ 11.00 100.00 4 .3 6 3.46 20.94 3.61 25.00 4.29 4.48 1.69 13.84 73.87 1.81 26.12 17.43 .57 + .20 17.06 34.37 22.78 .07 + .05 22.75 100.00 4.52 2.22 19.63 3.65 33.24 3.47 4.57 1.36 13.92 79.87 1.15 20.12 15.12 .20 .02 14.88 4.84 3 .8 5 5 86 4 76 4.73 4.11 6 45 5 60 4 .14 3 .77 6 12 __ _ — RATES OF RETURN ON SECURITIES AND LOANS Return on Securities/ 35. 36. 37. 38. In terest In terest In terest In terest on U . S. T reasurv se c u r itie s............................ on secu rities o f U . S. G o v t, a g en cies & co rp o ra tion s. . . . on o b lig a tio n s o f S ta te s and p olitical s u b d iv isio n s .......... and divid en d s on all oth er s ec u r ities............. Return on Loans# 39. In terest and fees on lo a n s .................................................... 40. N e t lo sses ( —) or recoveries ( + ) on lo a n s ..................... 7.80 .17 - - 7.97 .19 - .13 - .05 - 7 14 .09 - 7.29 .14 DISTRIBUTION OF ASSETS Percentage of Total Assets 41. 42. 43. 44. 45 46. 47. U . S. T reasury s e c u r itie s '......................................................... Secu rities o f oth er U . S. G o v t, a g en cies & c o rp o ra tio n s'............... O b ligation s o f S ta te s and p olitical s u b d iv isio n s'................................ A ll oth er s e c u r itie s '.......................................................................... G ross lo a n s6............................................................................ C ash a s s e t s ...................................................................................... R eal e sta te a s s e t s ............................................................... 11 13 .05 18.75 20 56 94 10.82 1.15 9.78 23 17 29 38 54.76 15 11 1.06 9.79 89 16 98 48 57.54 11 38 1.50 12.57 08 17 80 59 55 51 11 20 1.16 14.77 24 47 99 22 93 9.38 39 24 62 27 57 9.93 38 50 29 20 95 31 17 9.06 11 06 40 04 4.51 27.92 7.49 11.04 35.36 4.84 32.09 7.57 8 48 55 74 4 .26 10 93 7.27 9 14 55 85 3.91 23 04 7.10 4.19 19 55 7.00 7.84 63.65 4.27 18.55 7.15 $480,687 $ 47,036 $415,581 $ 52,666 $424,462 $ 40,217 $254,464 $ 25,474 $254,306 $ 21,690 $289,402 $ 25,444 8.06 69 14 99 57.89 14 96 1.50 .35 17 14 76 10 01 1.38 DISTRIBUTION OF LOANS Percentage of Gross Loans*7 48 49 50 Real e sta te lo a n s ......................................................................................... L oans to fa rm ers......................................................................................... C om m ercial and industrial lo a n s ........................................................ 23.66 38 42 92 19 10 6.67 1 61 21 33 30.43 6.65 OTHER RATIOS S3 54 55. 56 57 T o ta l capital a cco u n ts and reserves to total a ssets* ........................... T im e and savin gs d ep osits to to ta l d e p o sits................................. In terest on tim e and savin gs d ep o sits to total tim e d ep o sits. . . . Incom e taxes to net incom e plus incom e ta x e s ................................... In terest and fees on loans ex cludin g Federal fu n d s......................... 7 60 DOLLAR AMOUNTS IN THOUSANDS 59 A verage e q u itv ca p ita l inclu ding all r ese rv e s...................................... Notes are on page 10. 9 100.00 N O T E S TO T A B L E S a Excludes m inority interest in operating income, if any. b Loans include Federal funds sold and securities pur chased under agreements to resell. c Includes net income on trading account securities. d Averages exclude banks not reporting these items, or reporting negligible amounts. Ratios are not shown when fewer than three banks comprise the group. e Net of tax effect. Includes m inority interest in operat ing income, if any. f Excludes trading account securities. s Denominator is average of total loans for the 15 cal endar days ending with each call date. Loans include Fed eral funds sold and securities purchased under agreements to resell. h Total capital accounts include capital notes and deben tures, and all valuation reserves. * Less than .01 per cent. Excludes two member banks whose ratios would have distorted the averages. Banks headquartered in M anhattan with deposits over $1 billion. Ex p la n atory Remarks All ratios are expressed in percentages and are arithmetic averages of the ratios of individual banks in each category, rather than ratios based on aggregate dollar figures. Ratios may not add to totals because of rounding. Condition report figures used are averages of amounts reported for June 30, 1969 and December 31, 1969. The column headed “Highest Quartile"’ indicates average ratios for those banks in the top 25 per cent (rounded up) when ranked by the ratio of net income to total assets (ratio 11). To m aintain confidentiality, the quartile consists of at least three banks. 10
@FedFRASER