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SEVENTEENTH ANNUAL REPORT
of the

FEDERAL RESERVE AGENT
of the

N I N T H FEDERAL
RESERVE DISTRICT
to the

FEDERAL RESERVE BOARD

Covering the Calendar Year
1931




Federal Reserve Bank of Minneapolis,
Office of the Federal Reserve Agent,
Minneapolis, Minn., February 19, 1932.
To Governor Eugene Meyer,
Federal Reserve Board,
Washington, D. C.
Sir:
In conformity with our custom, I have the honor to submit
herewith the Seventeenth Annual Report of the Federal
Reserve Agent of the Federal Reserve Bank of Minneapolis
relating to operations during the twelve months which ended
December 31, 1931.




Respectfully submitted,
J. R. MITCHELL,
Federal Reserve Agent.

REPORT
OF THE

FEDERAL RESERVE AGENT
AT MINNEAPOLIS

1931
BUSINESS, AGRICULTURAL AND BANKING
CONDITIONS
A.

Business

The year 1931 was a period of sharply declining business
volume in the Ninth Federal Reserve District. In the first
few months of the year, the general volume of business was
only slightly below the level in the fall of 1930, after allowance
for seasonal fluctuations. During the summer and fall, a serious
crop failure in a large part of the district, together with lower
prices for agricultural products and other effects of the national
business depression, caused a severe decline in business. This
decline was continuous until November. In December, especially mild weather prevailed and the volume of business was stimulated for that reason.
Comparing trends in various parts of the district by means
of bank debits, the mixed farming areas showed the best performance both as compared with 1930 and as compared with
the peak year of 1929. Three out of the four mixed farming
areas showed smaller declines between 1930 and 1931 than any
other sections of the district, including the large cities. All
four of the mixed farming areas showed smaller declines
between 1929 and 1931 than occurred in other parts of the
district. The poorest comparative record was made by the
Great Lakes Ports, where business fluctuations are ordinarily
large, since their business arises largely from shipments of
iron ore and grain, which are, in turn, subject to wide fluctuations in volume.
Trade was adversely affected by 1931 conditions. Retail
sales by department stores, furniture stores and country lumber yards and sales of securities and life insurance were all
smaller in 1931 than in 1930 or 1929. The same condition was
true of wholesale trade in shoes, hardware and groceries.
Freight carloadings of other manufactured products, such as
farm implements and automobiles, for distribution in the
district, also reflected decreases in 1931 as compared with
1930. The shrinkage in sales was accompanied by reductions
in merchandise stocks and by decreases in accounts and notes
receivable.
Almost all of the industries of the district experienced
decreases during the year. Electric power consumption, which
probably furnishes the broadest measure of industrial activity, declined slightly in the eastern part of the district and
sharply in Montana, where copper smelting is an important



factor. Flour and linseed products shipments were smaller in
1931 than 1930. Mineral output was sharply curtailed. Building permits were smaller in 1931 than in 1930 in all parts of
the district, except for the city of St. Paul. Building contracts
were smaller in 1931 than 1930, due almost entirely to a reduction in commercial and industrial building. Increases occurred
in contracts for public works, utilities and roads, residential
and miscellaneous building contracts. Livestock slaughter was
larger in 1931 than in 1930.
Business failures in this district totaled 867 in 1931, as
compared with 705 in 1930, according to reports from R. G.
Dun and Company. The 1931 total was the largest since 1927.
B. Agriculture
Farm income from cash crops and dairy products, hogs
and wool, as estimated by the Federal Reserve Agent, was 37
per cent smaller in 1931 than in 1930, following a 21 per cent
decrease between 1930 and 1929 and a 10 per cent decrease
between 1929 and 1928. Farm income in 1931 was smaller than
in any other year since the records began in 1923. More complete figures for Minnesota, prepared by the Agricultural
Economics Department of the University of Minnesota, indicate that for that state, 1931 farm income was probably as
small as in 1921. Decreases in the farm income of the district
between 1930 and 1931 occurred in all products for which
estimates were made in our office. The smallest percentage
decrease occurred in dairy products. Prices of most of the
important farm products in the Northwest were lower in December, 1931, than a year earlier. The exceptions were durum
wheat, barley and rye, for which the prices were moderately
higher than a year ago, and butter, for which the price was the
same in December as the price a year earlier. The greatest
decreases in price occurred in livestock. The 1931 crops were
smaller than crops of 1930 for all important commodities, except potatoes. The decreases were especially important in
spring wheat, barley, rye and flax.
The harvested acreage of 1931 crops in the district decreased by 10 million acres, or 17 per cent, from the acreage
harvested in 1930. The greatest reduction in acreage occurred
in wheat, with smaller reductions appearing in rye, flax, oats
and barley. Acreage increases occurred in potatoes, corn and
tame hay. Part of the decrease in acreage was due to abandonment of planted crops in areas where the drouth was most
severe. The harvested acreage in 1931 was the smallest since
1921.
Wheat marketings in January and February were stimulated by a cash price notably higher than the future price for
the grain, due to activities of the Federal Farm Board agencies
and by abnormally mild weather, which permitted free use of
the roads throughout the farming country. Wheat marketings
in the later months of the spring and early summer were correspondingly reduced. The carryover of wheat on farms and
in country elevators on July 1, 1931, was less than half as



large as the carryover in the preceding year. This small carryover, together with a crop less than half as large as the 1930
crop, provided wheat to be marketed during the new crop year
amounting to only 35 per cent of the volume available for marketing in the preceding crop year. Accordingly, wheat marketings in the last half of 1931 were sharply reduced. There
was no congestion at elevators in any part of the district.
Butter production in the United States continued to increase during 1931, but butter prices were reduced to a level
at which consumption exceeded production. Butter stocks in
cold storage were reduced to low levels by the close of 1931.
This shrinkage in cold storage stocks of butter created a firmer
price for butter, and at the close of the year, the price of butter was equal to the price a year ago. The number of dairy
cows in Minnesota, North Dakota, South Dakota and Montana
increased 4 per cent in 1931, but the number of dairy heifers
declined slightly. Decreases occurred in the number of other
cattle, hogs and sheep on farms in these states.
The farm real estate situation continued to become less
favorable in 1931 as a result of the combination of small crops
and low farm product prices. Involuntary sales of farm land
exceeded voluntary sales during the year ending March 15,
1931, in all states of the district. Farm land prices continued
to decline. The real estate holdings of .country banks were
further reduced during 1931, either by sale of land or by other
means.
C. Banking
The banks of the district experienced declining deposits
during 1931. In the cities, the member banks reported a deposit decrease of 10 per cent between the daily average for
December, 1930, and the daily average for December, 1931.
This shrinkage in deposits was due to reductions in deposits
due to other banks, public demand deposits and commercial
and individual demand deposits. Time deposits at city banks
increased slightly during the year. At country member banks,
average daily deposits decreased 14 per cent between December, 1930, and December, 1931. Partial evidence available for
all country banks (member and non-member) shows that a
similar decline occurred in the grand total of country bank
deposits in the district.
On the asset side of the consolidated balance sheet of city
banks, loans to customers at the end of the year were practically the same as at the beginning of the year. The shrinkage in deposits was offset by reductions in investments and
in balances due from correspondent banks, and by moderate
borrowing from the Federal Reserve Bank.
At country banks, the decrease in deposits was offset by
decreases in loans, investments and correspondent bank balances. Borrowings by country banks from other banks apparently increased by a small amount between the close of 1930
and the close of 1931.



Interest rates charged by Minneapolis banks were about
the same at the close of 1931 as at the close of 1930. The commercial paper rate (net to borrower) increased from 3 ^ per
cent to 4i/2 per cent.
Bank failures in the district during 1931 were 271 in number, as compared with 156 in 1930, and 84 in 1929. The deposits involved in 1931 bank failures amounted to $57,448,000,
as compared with $24,109,000 in 1930, and $15,300,000 in 1929.
The number of bank failures in the district and the deposits
involved were larger than in any year since 1926. The average
amount of deposits in banks which closed in the district in
1931 was $222,300, indicating that, as in past years, the bank
failures in this district were almost entirely confined to banks
of the smallest size. The number of banks in operation in the
Ninth Federal Reserve District decreased during 1931 from
2,146 to 1,846.

OPERATIONS OF MINNEAPOLIS FEDERAL RESERVE
BANK IN 1931
A.

General Survey

The earning assets of the bank fluctuated between wider
limits in 1931 than in 1930. The low point for the year was
reached on March 25, with a total of 32 million dollars. The
high point for the year was 61 million dollars on October 14.
During the entire year, the greater part of the earning assets
consisted of United States Government securities and purchased bankers' acceptances. Discounted bills for member
banks fluctuated between $3,400,000 on March 25 and $8,300,000 on October 21.
Country member banks were borrowing slightly more
from this Federal Reserve Bank at the close of 1931 than a
year earlier. Increases occurred in borrowings by banks in all
parts of the district, with the greatest increases in the eastern
half of the district. City member banks were borrowing moderately from the Federal Reserve Bank at the close of 1931,
whereas a year ago, they were out of debt to this bank.
Discounted Bills Held by Minneapolis Federal Reserve Bank
(000's omitted)
Dec. 31,
For Banks in
1931
Minneapolis and St. Paul
.-.$ 51
Other Minnesota
1,458
Montana
879
North Dakota
652
South Dakota
1,564
Wisconsin
590
Michigan
516
Federal Intermediate Credit Bank
of St. Paul
1,861
Total

$7,571

Dec. 31,
1930
0
$ 712
373
767
1,295
285
144

Dec. 31,
1929
$ 7,910
647
182
435
551
128
324

0

0

$3,576

$10,177

Federal reserve notes in circulation declined during the
first half of 1931 to the low point for the year of $46,800,000
on June 10. After that date, there was a steady increase in



6

Federal reserve note circulation, to a high point of $69,800,000
on December 23. There was some evidence that currency was
being issued for non-business purposes, inasmuch as an unusual proportion of the increase in Federal reserve note circulation was in bills of large denomination.
Member bank reserve deposits fluctuated with the seasonal
and other movements in the total deposits of member banks in
the district. The high point for the year in member bank reserve deposits was 52 million dollars on March 18. The lowest
level of the year was 44 million dollars, reached on October 28.
The cash reserves of this Federal Reserve Bank increased
from the beginning of the year to March 18, declined from
that date to May 27, and then increased to the high point of
the year on September 9, when they amounted to 81 million
dollars. After that date, there was a rapid decrease to 57
million dollars on October 14, which was the lowest figure for
the year. Subsequently, cash reserves increased and almost
equalled the high point of the year on December 31.
The net effect of these changes upon our balance sheet for
the year ending December 31, 1931, was as follows: Cash
reserves increased 11 million dollars; bills discounted increased
4 million dollars; bills bought in the open market decreased 1
million dollars; United States security holdings were practically unchanged; total earning assets increased 4 million dollars; Federal reserve notes in circulation increased 1 5 ^ million dollars; member bank reserve deposits decreased nearly
3 million dollars; and the ratio of total cash reserves to
deposits and Federal reserve note liabilities combined, increased from 66.3 per cent to 67.1 per cent.
This bank did not borrow from nor lend to any other Federal Reserve Bank during 1931.
The discount rate of this bank remained unchanged at
31/& per cent throughout the year.
B. Earnings and Expenses
The gross earnings of this bank during 1931 were nearly
$937,000, as compared with $1,235,000 in 1930. Reduced
earnings from purchased bills and United States securities
accounted for most of the decrease. Current expenses during
1931 were $919,000, as compared with $977,000 in 1930. Current net earnings during 1931 were only $18,000, as compared
with $258,000 in 1930. Miscellaneous additions to current net
earnings in 1931 amounted to $143,000, and deductions from
current net earnings amounted to $115,000, leaving final net
earnings available for dividends, surplus and franchise taxes
only $46,000, as compared with $194,000 in 1930. In 1931,
dividends totalling $180,455 were declared at the rate of 6 per
cent per annum on all paid-in capital stock, and paid to member
banks, necessitating a transfer from surplus account of
$134,650. No payment was made to the United States Government as a franchise tax.



C. Departmental Statistics of Volume (Including both the
Head Office and the Helena Branch)
The Transit, or Check Collection Department, handled
20,940,000 items during 1931, amounting to $3,559,161,000, as
compared with 23,448,000 items during 1930, amounting to
$4,169,356,000.
The Collection Department received 574,000 items during
1931, amounting to $170,818,000, as compared with 246,000
items during 1930, amounting to $130,939,000.
The Currency Department received and counted 38,088,000 bills, amounting to $186,519,000 in 1931, as compared with
44,356,000 bills, amounting to $226,283,000 in 1930. This department also received and counted 22,528,000 coins, amounting to $4,321,000 in 1931, as compared with 19,622,000 coins,
amounting to $4,980,000 in 1930.
The Vault Custody Department in its service of safekeeping of securities, received from or returned to member banks
128,743 bonds during 1931, as compared with 125,016 bonds
during 1930. This department cut and forwarded to the owners
of the securities, or turned over to other departments for collection or credit, 233,186 coupons during 1931, as compared with
199,788 coupons during 1930. On December 31, this department was holding for member banks $154,000,000 of securities
for safekeeping or pledged against government deposits, or as
collateral to bills payable, as compared with $155,000,000 a
year earlier.
Transfers of funds made for member banks, including
those made for the 5 per cent Redemption Fund, numbered
53,000, totaling $2,508,381,000 during 1931, as compared with
63,000, totaling $3,346,678,000 during 1930.
The Discount Department served 266 member banks during 1931. In 1930, 234 member banks were served. During
1931, 13,914 notes were discounted, amounting to $50,292,000,
as compared with 11,096 notes, amounting to $88,319,000 in
1930.
Bills drawn in dollars and foreign currencies which were
purchased by this bank in the open market for its own account
during 1931 amounted to $65,323,000, as compared with
$66,196,000 in 1930. No bills were purchased from other Federal Reserve Banks during 1931. Bills purchased from other
Federal Reserve Banks amounted to $5,025,000 in 1930.
FISCAL AGENCY FUNCTIONS
Issues, redemptions or exchanges of various United States
Government securities, including Treasury Savings certificates
redeemed at this bank, which were handled by the Fiscal
Agency operated by the bank for the United States Government, numbered 41,808 pieces and amounted to $136,451,775.00, as compared with 34,044 pieces, amounting to $80,475,397.75 in 1930.



8

This Agency also handled during 1931, 4,692 orders for
the purchase of Government securities and 9,326 resales of
Government securities totaling $99,608,150. In addition, either
delivery or payment, or both, was handled for banks and trust
companies on 320 transactions in Government securities
amounting to $74,321,900. There were also 621 transactions
of miscellaneous general market securities aggregating
$6,525,300. Altogether, there were 14,959 of these various
transactions, totaling $180,455,350, including those for the
bank's own account, as compared with 12,265 totaling $168,787,070 in 1930.
Delivery of 43,142 pieces totaling $94,297,700 was made
on purchase and resale transactions for other than the bank's
own account. In addition, on exchange transactions, such as
denominational exchange, the exchange of coupon for registered securities, etc., 24,523 pieces were delivered, amounting
to $49,748,550. The total number of pieces delivered was
67,665, amounting to $144,046,250, in comparison with 52,435,
totaling $89,744,550 during the preceding year.
With the exception of Treasury bills, there were ten offerings of United States Government securities during 1931. In
such operations, 2,737 individual subscriptions contained in
1,283 different applications were received in this district. The
amount allotted on these subscriptions was $49,309,850. During 1930, there were five similar offerings and $12,162,000 was
allotted.
During 1931, 65 tenders amounting to $16,572,000 were
received by this Agency on 29 offerings of Treasury bills. Of
these, 15 tenders for Treasury bills ranging from .51% to
2.47% and amounting to $9,315,000 were accepted. During
1930, 6 tenders totaling $116,000 were accepted on the 8 offerings of Treasury bills made that year.
Including the weekly circular giving current market quotations on the various outstanding government issues, 107
circular letters were sent to all banks and trust companies in
the district during 1931 in connection with fiscal agency operations. During the preceding year there were 81 circular letters.
In June, the Secretary of the Treasury announced that all
31/2% Treasury notes of Series C-1930-32, of which there were
then about $451,000,000 outstanding, were called for redemption on December 15, 1931.
At the close of the year, there were 285 banks and trust
companies in this district which were designated as special
depositaries of public moneys, thereby being qualified to make
payment through their War Loan Deposit Accounts on a "by
credit" basis for subscriptions to new offerings of Government
securities, with the exception of Treasury bills. This is 105
more than the number of banks so designated at the close of
the preceding year. During 1931, the rate of interest to be
paid on daily balances in the War Loan Deposit Accounts by



special depositaries was reduced from 1V6% to V2% Per
annum.
The Fiscal Agency operated by us for the Government
redeemed 481,534 Government and Federal Land Bank coupons
amounting to $7,629,163.04 during 1931, as compared with
534,226 coupons amounting to $9,274,533.96 during 1930.
ACTIVITIES OF THE FEDERAL RESERVE AGENT'S
OFFICE
A. Federal Reserve Note Issues
The new series of small-size Federal reserve notes which
were first issued early in July, 1929, had largely replaced the
old-size notes by December 31, 1931, on which date the outstanding new series Federal reserve note amounted to $62,528,060, compared with only $8,760,250 of the old series. The
denominational distribution of the outstanding old series Federal reserve notes on December 31, 1931, was as follows:
5's
10's
20's
50's
100's
500's
1,000's

$1,114,150
1,928,540
4,069,260
385,900
921,400
110,000
231,000

Total

$8,760,250

On December 31, 1931, the amount of old and new series
notes outstanding was $71,288,310, and the Federal Reserve
Agent held $28,530,000 of new and fit-for-use notes. Of this
total outstanding ($71,288,310) there was "in circulation"
$69,129,345; and the amount of notes held by our paying
tellers here at the Head Office and at the Helena Branch, together with the amount of mutilated Federal reserve notes in
transit for redemption, totaled $2,158,965.
During 1931, the Federal Reserve Agent and his assistants
received $26,100,000 of new Federal reserve notes from the
Comptroller of the Currency at Washington, and $10,000,000
of fit-for-use notes from our paying tellers. The issues of new
and fit-for-use notes totaled $42,180,000, as compared with
$39,052,000 during the preceding year and $73,754,000 in 1929.
The large total in 1929 was chiefly due to the issuance of the
new series of small-size bills. The amount of Federal reserve
notes outstanding with this Federal Reserve Bank increased
from $58,704,305 to $71,288,310 between December 31, 1930,
and December 31, 1931.
As collateral security for the Federal reserve notes outstanding with the Federal Reserve Bank, there was held by
the Agent on December 31, 1931, $58,470,000 in gold coin and
gold certificates in vault or on deposit with the Federal Reserve
Board, $6,700,000 in discounts and rediscounts and $6,600,000
in purchased bills, compared with $48,325,000 in gold, $3,000,000 in discounts and rediscounts and $7,600,000 in purchased
bills on December 31, 1930.



10

B. Membership
At the close of the year, there were 579 member banks
operating in this district, as compared with 642 member banks
at the beginning of the year. There was a net loss of 62
national banks and 1 state bank. The total membership
(banks in operation only) at the close of 1931 was divided into
539 national banks and 40 state banks. The banks which
joined the Federal Reserve System in 1931 are:
Name of Bank
Location
State Savings Bank
Escanaba, Mich
First National Bank in Anoka
Anoka, Minn
The Northwestern National Bank
of Dawson
Dawson, Minn
The Luverne National Bank
Luverne, Minn
The Klein National Bank of
Madison
Madison, Minn
First National Bank in Paynesville.-Paynesville, Minn
First National Bank in Wheaton Wheaton, Minn
The First National Bank of Ethan....Ethan, S. D
Farmers State Bank
Flandreau, S. D
The Northwestern National Bank
of Madison
Madison, S. D
Security Bank & Trust Company Madison, S. D
The First National Bank in Durand..Durand, Wis

No of Shares
Subscribed
120
36
18
36
36
21
36
17
33
38
36
36

NUMBER OF BANKS IN OPERATION IN THE NINTH
FEDERAL RESERVE DISTRICT
December 31, 1930, and December 31, 1931
National
State Members Non-Members
Total
1930 1931
1930 1931 1930 1931 1930 1931
75
31
29
77
8
7
38
Michigan
39
887
742
642 1,007
6
7
239
Minnesota
258
176
156
16
98
85
19
55
Montana ..
.. 59
325
0
0
218
164
250
86
North Dakota....l07
328
264
5
7
231
178
79
South Dakota.... 92
233
214
3
184
169
3
42
Wisconsin
46
Ninth Federal
40 1.504 1.267 2.146 1.846
539
41
Reserve Dist...601

C. Examination of Banks
During 1931, 52 credit investigations, examinations and
special visits were made by the Federal Reserve Agent's
Examiners. In the examination work this year, the examiners
and their assistants traveled in the aggregate of 24,920 miles.
In addition to the information obtained from the Federal
Reserve Examiners, 1,095 reports of examination of national
banks were received from the Chief National Bank Examiner
of this district, and 3 reports of examination of state member
banks were received from the various state banking departments. There were four calls for reports of condition of
national banks and four calls for state member banks during
the year. Also two semi-annual statements of earnings and
dividends were required from all member banks. Reports of
condition and of earnings and dividends totaling approximately
3,620 were received, verified and filed.



n

D. Applications for Fiduciary Powers
National banks have continued to apply for trust powers
under Section 11-K of the Federal Eeserve Act. Applications
received and approved by the Federal Reserve Board during
1931 include the following:
Name of Bank
Town
American National Bank Helena, Mont
(Title changed to First
National Bank and Trust
Co. of Helena)
First National Bank
Dickinson, N. D
Security National Bank
Brookings, S. D

Date
Approved
3-27-31
4-28-31
5-18-31

Capital
Powers
$300,000 1-7, incl.
and
9-11 incl.
100,000
50,000

Full
Full

CHANGES IN PERSONNEL
At the January meeting of the Board of Directors, the
officers of both the Head Office and Helena Branch were
re-elected. Letters from the Federal Reserve Board were presented announcing the redesignation of Mr. J. R. Mitchell as
Chairman of the Board of Directors for the year 1931, and of
Mr. Homer P. Clark as Deputy Chairman, and also the redesignation of Mr. Curtis L. Mosher and Mr. F. M. Bailey as Assistant Federal Reserve Agents, and of Mr. 0. S. Powell to act in
certain matters for the Federal Reserve Agent. A notice from
the Board was also presented announcing the appointment of
Mr. W. R. Strain of Great Falls as a director of the Helena
Branch for a two-year term beginning January 1, 1931. The
Board of Directors elected Mr. S. McKennan of Helena as a
director of the Branch for a term of two years beginning January 1, 1931. The Chairman of the Board announced that as
a result of an election held to select a successor for Director
Norman B. Holter, resigned, Mr. J. E. O'Connell of Helena had
been elected to fill the unexpired term as Class B director at
the Head Office, and that Mr. Geo. W. McCormick had been
reappointed by the Federal Reserve Board for a three-year
term as Class C director.
Mr. Harry Yeager was elected Secretary of the bank and
Mr. Curtis L. Mosher was elected Secretary of the Board of
Directors.
Mr. Geo. H. Prince was elected a member of the Federal
Advisory Council to serve for the year 1931.
Mr. Andreas Ueland was elected Counsel of the bank and
Mr. Sigurd Ueland Assistant Counsel. Mr. T. B. Weir was
elected Counsel for the Helena Branch.
At the regular meeting of the Board of Directors in May,
the Chairman announced the death on April 12, in Los Angeles,
of Mr. J. C. Bassett for many years a director at the Head
Office. In a special election concluded on June 3, Mr. H. R.
Kibbee, President of the Commercial Trust & Savings Bank of
Mitchell, South Dakota, was elected a Class A director to fill
the unexpired term.



12

In October, Mr. J. E. O'Connell, a director at the Head
Office, was named Acting Assistant Federal Reserve Agent at
the Helena Branch. Mr. A. T. Hibbard and Mr. Fred Heinecke,
both of Helena, were appointed Alternate Acting Assistant
Federal Reserve Agents.
At the December meeting of the Board of Directors, Mr.
T. A. Marlow was re-elected a Director of the Helena Branch
to serve a two-year term beginning January 1, 1932.
Mr. Theodore Wold was elected to succeed Mr. Geo. H.
Prince as a member of the Federal Advisory Council for the
year 1932.
The Chairman of the Board announced that as a result of
the regular fall elections, Mr. P. J. Leeman had been elected
a Class A director and Mr. W. 0. Washburn a Class B director,
at the Head Office, both for terms of three years beginning
January 1, 1932.
The complete staff of the Federal Reserve Bank of Minneapolis and its Helena Branch, including officers, employees and
building employees, but excluding temporary help, numbered
279 persons on December 31, 1931, as compared with 280 at
the close of the previous year.




13

Resources and Liabilities of the Federal Reserve Bank
of Minneapolis
(In Thousands of Dollars)
RESOURCES
Dec. 31,
1931
Gold with Federal Reserve Agent

Gold held exclusively against Federal reserve notes....$
%

58,470

48,325

704

$

Gold redemption fund with United States Treasury....

Dec. 31,
1930

802

59,174

$

49,127

Dec. 31,
1929
$

66,157

$

70,127

3,970

Gold settlement fund with Federal Reserve Board

9,367

10,076

Gold and gold certificates held by bank

5,735

5,208

4,254

64,411

92,466

4,258

2,731

Total gold reserves

$

Reserves other than gold
Total reserves

74,276

$

5,632

_

$

Non-reserve cash

79,908

$

1,732

68,669

18,085

$

2,432

95,197
2,467

Bills Discounted:
Secured by United States Government obligations

1,074

403

3,552

Other bills discounted

6,497

3,173

6,625

Total bills discounted

$

7,571

$

3,576

$

10,177

7,329

15,832
589

Bills bought in open market

8,411

5,936

5,996

10,185

5,693

6,636

United States Government Securities:
Bonds .._
Treasury notes
Certificates and bills

_

Other securities

_

$

27,302

$

39,522

_

_

$

_

43,471

Total resources

16,873

$

33,807

121

11,171

14,791

1,926

9,254
1,834
1,387

_

$

233

903

Total bills and securities
Uncollected items
Bank premises
All other resources

27,668

5,184

11,181

11,247

Total United States Government securities....$

2,018

544

559

$ 137,586

$

124,264

$

148,839

$

$

53,559

$

66,855

LIABILITIES
Federal reserve notes in actual circulation

69,129

Deposits:
Member bank reserve account
Government
Foreign bank
Other deposits _

45,827

_

„

Total deposits

$

Deferred availability items
Capital paid in
Surplus
_
All other liabilities
Total liabilities

_...

_

48,447

56,862

1,961
1,768
356

1,280

2,129

132
139

140
267

49,912

$

7,792
2,951
6,356
1,446

$ 137,586

Ratio of total reserves to deposit and Federal reserve
note liabilities combined (per cent)

5,716




14

$

59,398

9,776

7,143

724

817

124,264

$ 148,839

66.3
$

3,091

7,144

$

11,535

3,063

67.1

Contingent liability on bills purchased for foreign
correspondents
$

49,998

75.4

9,994

$

13,667

Earnings and Expenses of Federal Reserve Bank of Minneapolis
EARNINGS
Discounted bills
Purchased bills
U. S. Securities
Deficient reserve penalties
Miscellaneous
Total earnings
Current expenses

1931
$ 168,589
132,999
597,518
7,726
29,772
$ 936,604
918,942

•.

Current net earnings
$
Additions to current net earnings
Deductions from Current Net Earnings:
Bank premises—depreciation
Furniture and equipment
All other
Total deductions
$
Net earnings available for dividends, surplus and
franchise tax
Distribution of Net Earnings :
Dividends paid
Transferred to surplus account
Franchise tax paid U. S. Government

1930
$ 172,441
228,551
747,484
7,644
78,962
$1,235,082
976,867

1929
$1,047,771
310,209
388,604
12,475
166,972
$1,926,031
1,022,009

17,662
142,751

$ 258,215
293,206

$ 904,022
22,137

92,051
10,947
11,610
114,608

91,982
14,548
251,302
$ 357,832

91,982
24,733
14,682
$ 131,397

45,805

193,589

794,762

180,455
134,650**
None

184,445
914
8,230

184,030
61,073
549,659

$ 122,067
34,673
338,939
61,568
609
317
1,298
6,529
12,921
18,504
18,431

$ 117,783
31,325
346,319
57,964
567
320
1,396
6,564
14,716
19,433
17,077

30,721
69,399
6,155
17,202
0
5,166
18,032
64,934
12,230
13,916
19,447
17,537
29,342

30,755
77,128
7,097
17,967
0
5,494
18,421
63,011
11,048
14,809
18,601
18,504
43,323

$ 919,937

$ 939,622

$

$

CURRENT EXPENSES
Salaries:
Bank officers
_
$ 118,135
Special officers and watchmen
38,060
Clerical staff
330,399
All other
64,461
Governors' conferences
611
Federal Reserve Agent's conferences
0
Federal Advisory Council
1,316
Directors' meetings
7,062
Traveling expenses*
17,565
Assessment for Federal Reserve Board expenses
16,482
Legal fees
14,865
Insurance (other than on currency and security
shipments)
31,671
Taxes on banking house
69,505
Repairs and alterations, banking house
5,438
Light, heat and power
16,208
Rent
0
Telephone
~
5,584
Telegraph
17,664
Postage
52,523
Expressage
11,779
Insurance on currency and security shipments
12,410
Printing and stationery
14,784
Office and other supplies
13,280
All other expenses
32,686
Total exclusive of cost of currency
$ 892,488
Federal Reserve Currency (including shipping charges) :
Original cost
$ 23,386
Cost of redemption
_
„„..
3,068
Total current expenses

$ 918,942

52,685
4,245

$ 976,867

79,642
2,745

$1,022,009

REIMBURSABLE EXPENSES OP FISCAL AGENCY DEPARTMENT
Salaries
All other expenses

$

14,767
5,065

$

14,572
3,482

$

13,607
3,795

$

19,832

$

18,054

$

17,402

_

Total

•Other than those connected with governors' and agents' conferences and meetings of
the directors and of the Advisory Council.
••Withdrawn from surplus account.




15

DIRECTORS AND OFFICERS
FEDERAL RESERVE BANK OF MINNEAPOLIS
JANUARY 1, 1932
DIRECTORS
Class A
H. R. KIBBEE H. C. HANSEN PAUL J. LEEMAN

-

1932
1933
1934

Mitchell, So. Dak.
Churchs Ferry, No. Dak.
Minneapolis, Minn.

-

1932
1933
1934

Helena, Mont.
Eau Claire, Wis.
- St. Paul, Minn.

Class C
J. R. MITCHELL
HOMER P. CLARK GEO. W. McCORMICK

1932
1933
1934

Minneapolis, Minn.
St. Paul, Minn.
Menominee, Mich.

Class B
J. E. O'CONNELL
JOHN S. OWEN W. O. WASHBURN

OFFICERS
J. R. MITCHELL, Chairman and Federal
Reserve Agent
Deputy Chairman

HOMER P. CLARK

CURTIS L. MOSHER, Secretary, Board of
Directors & Asst. Federal Reserve Agent
FRED M. BAILEY, Assistant Federal Reserve Agent
Statistician
Legal Counsel
Asst. Counsel

OLIVER S. POWELL ANDREAS UELAND
SIGURD UELAND -

W. B. GEERY
Governor
HARRY YAEGER, Secretary and Deputy
Governor
HARRY I. ZIEMER, Deputy Governor and
Cashier
Controller
FRANK C. DUNLOP
Asst. Cashier
L. E. RAST - - .
Asst. Cashier
H. C. CORE - Asst. Cashier
A. R. LARSON - .
Asst. Cashier
R. F. HOMSTROM

MEMBER OF FEDERAL ADVISORY COUNCIL
THEODORE WOLD, Vice President, Northwestern National Bank,
Minneapolis, Minnesota

HELENA BRANCH—(MONTANA)
DIRECTORS
1932
1932
1932
1933
1933

R. E. TOWLE
S. McKENNAN W. R. STRAIN T. A. MARLOW HENRY SIEBEN

.

.

-

.
.

.

.

.

-

.

.
.
.
.
.

.
.
.
.
.

Helena,
Helena,
Great Falls,
Helena,
Helena,

Mont.
Mont.
Mont.
Mont.
Mont.

OFFICERS
J. E. O'CONNELL
FRED HEINECKE
.
A. T. HIBBARD .
R. E. TOWLE
H. L. ZIMMERMANN
A. A. HOERR
T. B. WEIR




.
.

.
.

Acting Assistant Federal Reserve Agent
Alternate Acting Assistant Federal Reserve Agent
Alternate Acting Assistant Federal Reserve Agent
Managing Director
Cashier
Assistant Cashier
Legal Counsel


Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102