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Fe d e r a l

reserve

Ba n k

OF DALLAS

Dallas, Texas, July 25,1946

CONDITION OF MEMBER BANKS, JUNE 29,1946

To the Member Banks of the
Eleventh Federal Reserve District:
There is presented on the opposite page a statement of the condition of all member
banks in the Eleventh Federal Reserve District as of June 29, 1946, with comparative
figures for December 31, 1945 and June 30, 1945. This statement reveals the substantial
changes in the principal items of assets and liabilities of member banks in this district
which occurred during the first six months of 1946.
In contrast with the sharp upward trend that had been in progress since 1939, the
gross deposits of member banks showed a decline of $371,000,000 during the first half of
1946. Nevertheless, total deposits of $5,368,000,000 on June 29 were still $434,000,000
greater than on the corresponding date of 1945. The marked decline since the beginning
of this year has resulted from the large decreases in Government and interbank deposits
and has been associated with the program of the United States Treasury to utilize a sub­
stantial amount of its large war loan deposits at depositary banks to retire a portion of
the outstanding Federal debt. The sharp decline in these classes of deposits was only
partially counterbalanced by the expansion of demand and time deposits of individuals,
partnerships, and corporations.
Total investments of member banks declined by only $83,000,000 during the six
months, partly because banks replaced through purchases in the open market a portion
of their Government securities that had been redeemed. Moreover, the banks were able
to expand their holdings of other securities in view of the larger market supply brought
about by the revival of corporate, state, and municipal financing.
The loans of member banks increased by $10,000,000 during the six months and
reached the highest level of record. The size of the net expansion was relatively small
because the substantial increases in commercial, industrial, and agricultural loans, in real
estate loans and in miscellaneous loans were largely counterbalanced by the sharp decline
in loans made during the Victory Loan Drive for the purpose of purchasing and carrying
Government securities. In view of the much smaller contraction in loans and investments
than in deposits, cash assets declined by $168,000,000 during the six months and on June
29 constituted a slightly smaller percentage of total assets than at the beginning of the
year.
On June 29, 1946, the total capital accounts of member banks in the district aggre­
gated $284,000,000, representing an increase of $30,000,000 during the six-month period.
This increase was about as large as the total expansion during 1945 and was larger than
that during any preceding year^since the establishment of the Federal Reserve System.
This growth in capital accounts during the six months reflected not only the retention
for capital purposes of a large share of net profits but also the sale by many member banks
of substantial amounts of new capital stock to the public.
Yours very truly,
R. R. GILBERT,
President.

This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)

COMPARATIVE STATEMENT OF CONDITION OF MEMBER BANKS
IN THE ELEVENTH FEDERAL RESERVE DISTRICT
June 29,
1946
(Preliminary)

ITEM

December 31,
1945
(Revised)

Member banks in Eleventh District____
589
Loans, including overdrafts___________ 1.148.981.000
U. S. Government obligations direct and
guaranteed_______________________ 2.590.970.000
Obligations of States and political sub­
divisions__________________________
145.255.000
44.620.000
Other securities—
:____________________
TO TAL LO AN S A N D IN V E ST M E N TS 3.929.826.000
Individual—Demand deposits_________ 3.413.345.000
447.442.000
Individual—Time deposits____________
Deposits of U. S. Government, including
410.900.000
postal savings__________ __________ _
Deposits of States and political sub­
308.940.000
d ivision s-....... ....... ............. ........... .
737.767.000
Deposits of banks................. ................. .
49.365.000
Other deposits______________ ___ _____
TO TAL DEPOSITS______________________ 5.367.759.000
284.096.000
TO TAL CAPITAL ACCOUNTS
Cash and balances due from banks___ 1.783.148.000
—
o —
Borrowings from Federal Reserve Bank
— o —
All other borrowings_____________ ___
Ratio of loans to total loans and invest­
ments......................... .............. ........ .
29.2%
Ratio of cash and exchange to total
deposits.—..........................................
33.2%

June 30,
1945
(Revised)

585
1.138.936.000

586
921.048.000

2.702.604.000

2.386.686.000

132.142.000
29,107,000
4.002.789.000
3.303.687.000
414.298.000

112.633.000
24.046.000
3.444.413.000
2.906.973.000
369.217.000

767.306.000

659.191.000

281.304.000
870.818.000
101.051.000
5.738.464.000
253.741.000
1.951.263.000

223.902.000
735.511.000
39.161.000
4.933.955.000
245.669.000
1.698.416.000
75,000
150,000

—

o—

28.5%

26.7%

34.0%

34.4%

PRINCIPAL ASSET AND LIABILITY ITEMS OF ALL MEMBER BANKS IN THE
ELEVENTH FEDERAL RESERVE DISTRICT AS OF JUNE 30
OF EACH YEAR 1939 TO 1946, INCLUSIVE
(Thousands of dollars)

June 30,

Total
Deposits

Total
Loans

Total
Investments

Total Loans
and Investments

Total U. S.
Gov. Secs.

Total
Capital
Accounts

1939
1940
1941
1942
1943
1944
1945
1946

1,436,977
1,571,489
1,813,657
2,094,757
3,115,118
3,866,006
4,933,955
5,367,759

474,688
489,655
569,475
591,477
544,657
741,970
921,048
1,148,981

419,029
418,587
482,994
656,032
1,488,739
1,933,527
2,523,365
2,780,845

893,717
908,242
1,052,469
1,247,509
2,033,396
2,675,497
3,444,413
3,929,826

279,998
275,819
332,020
500,034
1,346,185
1,813,127
2,386,686
2,590,970

166,351
173,513
181,719
188,288
195,584
215,327
245,669
284,096

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