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ANNUAL REPORT
OF THE

FEDERAL DEPOSIT INSURANCE CORPORATION




FOR THE YEAR ENDED
DECEMBER 31, 1953




LE T T E R OF T R A N S M IT T A L

F e d e r a l D e p o s it In s u r a n c e C o r p o r a tio n

Washington, D. C.^July 29, 1954
SIRS: Pursuant to the provisions of section 17(a) of the Federal
Deposit Insurance Act, the Federal Deposit Insurance Corporation
has the honor to submit its annual report. Part One of the report,
separately submitted earlier in the year, is fully included in this
present volume.
Respectfully,
H . E.
T

he

P r e s id e n t

T

he

Speaker

of

of




the

the

H

Senate
ouse

of

R

e p r e s e n t a t iv e s

C ook,

Chairman

FEOERAL DEPOSIT IN SU R A N C E CORPORATION




FEDERAL DEPOSIT INSURANCE CORPORATION
N a t i o n a l P r e s s B u il d in g — W a s h in g t o n 25, D . C.

BOARD OF DIRECTORS
Chairman.............................................................................................H. E. C ook
Comptroller of the Currency........................................................... R a y M . G idney
Director................................................................................................ M aple T. H arl

OFFICIALS—July 29, 1954
Assistant to Chairman {Acting)................................................... Russell E. Shearer
Secretary.............. ...............................................................................Miss E. F. Downey
General Counsel, Legal Division...................................................Royal L. Coburn
Chieft Division of Examination....................................................Vance L. Sailor
Chief, Division of Liquidation...................................................... Edward C. Tefft
Chief, Division of Research and Statistics................................. Edison H. Cramer
Chief, Audit Division.......................................................................Mark A. Heck
Controller............................................................................................. William G. Loeffler
Director of Publications and Information..................................Forbes Campbell




D IS T R IC T O F F IC E S
D i s t . S u p e r v is in g
No.
E x a m in e r

A ddress

S t a t e s in d is t r ic t

1. Lundie W . Barlow

Room 1365, No. 10 P.O.
Square, Boston 9, Mass.

Maine, New Hampshire,
Vermont, Massachusetts,
Rhode Island, Connecticut

2. Neil G. Greensides

Room 1900, 14 Wall Street,
New York 5, N . Y .

New York, New Jersey,
Delaware, Puerto Rico,
Virgin Islands

3. Gilbert E. Mounts

City National Bank
Building, 20 East Broad
Street, Columbus 15, Ohio

Ohio, Pennsylvania

4. Robert N. McLeod

200 The Bank of Virginia
Building, Fourth and
Grace Streets,
Richmond 19, Va.

District of Columbia, Mary­
land, Virginia, West Vir­
ginia, North Carolina,
South Carolina

5. John E. Freeman

Fifth floor, 114 Marietta
St., N . W ., Atlanta 3, Ga.

Georgia, Florida, Alabama,
Mississippi

6. Charles M . Dunn

1059 Arcade Building,
St. Louis 1, Mo.

Kentucky, Tennessee,
Missouri, Arkansas

7. Raby L. Hopkins

715 Tenney Building,
Madison 3, Wis.

Indiana, Michigan,
Wisconsin

8. Eugene R. Gover

164 W . Jackson Blvd.,
Chicago 4, 111.

Illinois, Iowa

9. Charles F. Alden

1200 Minnesota Building,
St. Paul 1, Minn.

Minnesota, North Dakota,
South Dakota, Montana

10. George M . Hirning

1201 Federal Reserve Bank
Building, Kansas City 6,
Missouri

Nebraska, Kansas,
Oklahoma, Colorado,
Wyoming

11. Lloyd Thomas

Federal Reserve Bank
Building, Station K ,
Dallas 13, Tex.

Louisiana, Texas,
New Mexico, Arizona

12. William P. Funsten

Suite 1120, 315 Mont­
gomery Street, San
Francisco 4, Calif.

Idaho, Utah, Nevada,
Washington, Oregon, Cali­
fornia, Alaska, Hawaii




F E D E R A L DE P O S I T I N S U R A N C E C O R P O R A T I O N

Vll
DISTRICT 2 INCLUDES PUERTO RICO & VIRGIN ISLANDS
DISTRICT 4 INCLUDES DISTRICT OF COLUMBIA
DISTRICT 1 INCLUDES HAWAII & ALASKA
2




DISTRICTS




CONTENTS
Page
Summary............

.......

xvii

Deposit insurance coverage..................................................................................................
The deposit insurance fund..................................................................................................
Action to protect depositors in failing banks.................................................................
Supervisory activities.............................................................................................................
Legal developments.................................................................................................................
Organization and personnel..................................................................................................
Financial statements of the Corporation.........................................................................

3
5
7
9
13
13
16

PA R T ONE
O PERATION S OF TH E C O R PO R ATIO N

PART TW O
B A N K IN G D EVELO PM ENTS
Assets and liabilities of all banks....................................................................................... ........25
Assets and liabilities of insured commercial banks...................................................... ........29
Assets and liabilities of insured mutual savings banks............................................... ........ 30
Income of insured commercial banks................................................................................ ........ 33
Income of insured mutual savings banks........................................................................ ........ 38

P A R T TH REE
B A N K -O B L IG A T IO N IN SU RAN CE S Y S T E M S , 1829 T O 1866
Protection of bank creditors in States with bank-obligation insurance systems,
1829 to 1866.........................................................................................................................

45

P A R T FO U R
LE G ISL A T IO N A N D R EG U LATIO N S
Federal legislation and Corporation regulations...........................................................
State banking legislation.......................................................................................................

71
71

P A R T FIVE
ST A T IST IC S OF B AN K S AN D DEPO SIT INSURANCE
Number, offices, and deposits of operating banks........................................................
Assets and liabilities of operating banks..........................................................................
Earnings, expenses, and dividends of insured banks...................................................
Deposit insurance disbursements........................................................................................




ix

78
92
104
130

LIST OF CHARTS
Organization chart of the Federal Deposit Insurance Corporation....................
Federal Deposit Insurance Corporation districts (map). ....................................
A. Percentage of banks of deposit in each State which were insured, Decem­
ber 31, 1953 (map).......................................................................................
B. The deposit insurance fund, December 31, 1933-1953. ................................
C. Ratios of deposit insurance fund to total and insured deposits, all insured
banks, mid-year and year end, 1934-1953..................................................
D. Percentage change during 1953 in total assets, all banks in each State (map)
E. Percentage distribution of total assets, all banks, December 31, 1 9 5 3 ....
F. Sources and disposition of total income, insured commercial banks, 1953. .
G. Rates of net profits after taxes on total capital accounts, insured com­
mercial banks in each State, 1953 (map)...................................................
H. Sources and disposition of total income, insured mutual savings banks,
1953...............................................................................................................

Page
iv
vii
5
6
7
25
28
33
34
39

LIST OF TABLES
PART ONE
OPERATIONS OF THE CORPORATION
Page
D eposit insurance coverage:
1. Number of operating banks in the United States (continental U. S. and
other areas), December 31, 1953.................................................................

4

Supervisory activities:
2. Applications acted upon by the Board of Directors of the Federal Deposit
Insurance Corporation during 1953............................................................
3. Bank examination activities of the Federal Deposit Insurance Corporation
in 1953...........................................................................................................
4. Unsafe or unsound banking practices and violations of law charged against
five banks by the Corporation during 1953...............................................
5. Actions to terminate insured status of banks charged with engaging in
unsafe or unsound practices or violations of law or regulations,
1936-1953.......................................................................................................

13

Organization and personnel:
6. Number of officers and employees of the Federal Deposit Insurance
Corporation, December 31, 1953.................................................................
7. Results of the Corporation’s educational program for examiners, 1946-1953.

14
15

F inancial statements of the corporation:
8. Assets and liabilities of the Federal Deposit Insurance Corporation,
December 31, 1953.......................................................................................
9. Income and expenses of the Federal Deposit Insurance Corporation and
change in the deposit insurance fund for the year ended December 31,
1953................................................................................................................
10. Administrative and operating expenses of the Federal Deposit Insurance
Corporation for the year ended December 31, 1953.................................
11. Determination of net assessment income of the Federal Deposit Insurance
Corporation for 1953, and distribution of net assessment income, Decem­
ber 31, 1953...................................................................................................
12. Income and expenses of the Federal Deposit Insurance Corporation, by
years, from beginning of operations, September 11, 1933, to December
31, 1953, adjusted to December 31, 1953...................................................
13. Assets and liabilities of the Federal Deposit Insurance Corporation,
December 31, 1934-1953...............................................................................
14. Audit report of the Federal Deposit Insurance Corporation for the year
ended June 30,1953...................................................................................




x

9
11
12

16
17
18
18
19
20
21

LIST OF TABLES

XI

PAR T T W O
B A N K IN G D EVELOPM ENTS
Page
A s s e t s a n d l i a b il it i e s o f a l l b a n k s :

15. Amounts and changes in assets and liabilities, all banks in the United States
(continental U.S. and other areas), 1953...........................................................
16. Percentage changes in assets and deposits, all banks in the United States
(continental U.S. and other areas), half-years and years, 1947-1953..

27
28

A s se t s a n d l i a b il it i e s o f in s u r e d c o m m e r c ia l b a n k s :

17. Amounts, changes, and percentage distributions of assets and liabilities,
insured commercial banks in the United States (continental U.S. and
other areas), 1953.......................................................................................................

30

A s se t s a n d l i a b il it i e s o f in s u r e d m u t u a l s a y in g s b a n k s :

18. Amounts, changes, and percentage distributions of assets and liabilities,
insured mutual savings banks, 1953....................................................................

32

I n c o m e o f in s u r e d c o m m e r c ia l b a n k s :

19. Amounts and growth in total income, by sources and disposition, insured
commercial banks in the United States (continental U.S. and other
areas), 1952-1953........................................................................................................
20. Income, average assets, and rates of income on assets, insured commercial
banks in the United States (continental U.S. and other areas), 1952-1953
21. Losses, charge-offs, and transfers to valuation reserves on loans and
securities, insured commercial banks in the United States (continental
U.S. and other areas), 1953.....................................................................................

35
36

38

I n c o m e o f in s u r e d m u t u a l s a v in g s b a n k s :

22. Amounts and changes in total income, by sources and disposition, insured
mutual savings banks, 1952-1953..........................................................................
23. Income, average assets, and rates of income on assets, insured mutual
savings banks, 1952-1953.........................................................................................

40
41

PAR T THREE
PRO TECTIO N OF B A N K CRED ITO RS IN STATES W IT H B A N K O B LIG A TIO N INSURANCE SYS T E M S, 1 8 2 9 T O 1 8 6 6
S u m m a r y t a b l e s : n u m b e r o f b a n k s , o b l ig a t io n s o f b a n k s , a n d in s u r a n c e
FUNDS, STATES W IT H B A N K -O B LIG ATIO N IN SU R AN CE SYSTEM S, 1829-1866:

24. Extent of bank-obligation insurance in six States, 1829-1866.........................
25. Number and obligations of banks in serious financial difficulties, States
with bank-obligation insurance systems, 1829-1866.......................................
26. Number and obligations of participating banks in serious financial dif­
ficulties, States with bank-obligation insurance systems, 1829-1866.........
27. Insurance disbursements and bank creditor protection, States with bankobligation insurance systems, 1829-1866............................................................
28. Insurance funds and assessments, States with bank-obligation insurance
systems, 1829-1866.....................................................................................................

47
48
50
53
56

D e t a il e d t a b l e s : n u m b e r o f b a n k s , o b l ig a t io n s o f b a n k s , a n d in s u r a n c e
FUNDS, STATES W IT H B A N K -O B LIG A TIO N IN SU RAN CE SYSTEM S, 1829-1866:

29. Number of banks, States with bank-obligation insurance systems, 18291866.................................................................................................................................
30. Total obligations, banks in States with bank-obligation insurance systems,
1829-1866............................................. .........................................................................




60
62

xii

FEDERAL DEPOSIT INSURANCE CORPORATION

Page
31. Insured obligations, participating banks in States with bank-obligation
insurance systems, 1830-1866.................................................................................
32. Insurance funds, participating banks in States with bank-obligation
insurance systems, 1829-1866......................... .......................................................

64
66

PAR T FIVE
STA T IST IC S OF B AN K S AND DEPO SIT INSURANCE
N u m b e r , o f f ic e s , a n d d e p o s it s o f o p e r a t in g b a n k s :

Explanatory note............................................................................. ........................................
101. Changes in number and classification of operating banks and branches in
the United States (continental U.S. and other areas) during 1953..
102. Number of operating banks and branches in the United States (continental
U.S. and other areas), December 31, 1953
Grouped according to insurance status and class of bankf and by State
and type of office....................................................... ........................................
103. Number and deposits of operating banks in the United States (continental
U.S. and other areas), December 31, 1953
Banks grouped according to insurance status and by district and State..

78
80

82

90

A s se t s a n d l i a b il it i e s o f o p e r a t in g b a n k s :

Explanatory note.....................................................................................................................
104. Assets and liabilities of operating banks in the United States (continental
U. S. and other areas), June 30, 1953
Banks grouped according to insurance status and type of bank................
105. Assets and liabilities of operating banks in the United States (continental
U. S. and other areas), December 31, 1953
Banks grouped according to insurance status and type of bank................
106. Assets and liabilities of operating banks in the United States (continental
U. S. and other areas), December 31, 1953
Banks grouped by district and State................................................................
107. Assets and liabilities of operating insured banks in the United States
(continental U. S. and other areas), December 31, 1953, June 30, 1953,
and December 31, 1952.................................................. ........................................

92

94

96

98

100

E a r n in g s , e x p e n s e s , a n d d iv id e n d s of in s u r e d b a n k s :

Explanatory note.....................................................................................................................
108. Earnings, expenses, and dividends of insured commercial banks in the
United States (continental U. S. and other areas), 1945-1953...........
109. Ratios of earnings, expenses, and dividends of insured commercial banks
in the United States (continental U. S. and other areas), 1945-1953..
110. Earnings, expenses, and dividends of insured commercial banks in the
United States (continental U. S. and other areas), 1953
B y class of bank....................................................................................................
111. Ratios of earnings, expenses, and dividends of insured commercial banks
in the United States (continental U. S. and other areas), 1953
B y class of bank....................................................................................................
112. Earnings, expenses, and dividends of insured commercial banks operating
throughout 1953 in the United States (continental U. S. and other areas)
Banks grouped according to amount of deposits...........................................
113. Ratios of earnings, expenses, and dividends of insured commercial banks
operating throughout 1953 in the United States (continental U. S. and
other areas)
Banks grouped according to amount of deposits...........................................
114. Earnings, expenses, and dividends of insured commercial banks in the
United States (continental U. S. and other areas), by State, 1953..
115. Income, expenses, and dividends of insured mutual savings banks, 1953..
116. Ratios of income, expenses, and dividends of insured mutual savings
banks, 1953........................................................... .....................................................




104
106
108

110

112

114

116
118
128
129

LIST OF TABLBS

Xiii

Page
D e p o s it in s u r a n c e d is b u r s e m e n t s :

Explanatory note....................................... ..................... ............................ .........................
117. Disbursements, deposits, and depositors in insured banks financially aided
by the Federal Deposit Insurance Corporation, 1934-1953
Banks grouped by class of bank, year of receivership or absorption,
amount of deposits, and State........................................................................
118. Assets and liabilities of insured banks placed in receivership and of in­
sured banks absorbed with the financial aid of the Federal Deposit
Insurance Corporation, 1934-1953
A s shown by books of bank at date of closing................................................
119. Name, location, Federal Deposit Insurance Corporation disbursement,
and assets and liabilities of insured banks absorbed with the financial
aid of the Corporation during 1953...................................................................
120. Recoveries and losses by the Federal Deposit Insurance Corporation in
connection with insured banks financially aided by the Corporation,
1934-1953
A s shown by books of F D IC , December 81, 1953........................................




130

132

134

135

136







SUMMARY




Su m m ary

The Federal Deposit Insurance Corporation provides each insured
depositor with protection up to $10,000 against loss due to bank failure.
At the end of 1953, depositors in 94 percent of all banks in the nation
were thus insured. About 98 percent of the deposit accounts in insured
banks are fully protected. (Pp. 3-4).
During 1953 the Corporation disbursed $5 million to make possible
the assumption, by other insured banks, of the deposit liabilities of two
banks in financial difficulties. In the twenty years of deposit insurance,
1934 through 1953, the Corporation disbursed approximately $280
million to protect depositors of 422 financially distressed banks. Ninetenths of the disbursements have been recovered by the Corporation.
(Pp. 7-8).
On December 31, 1953, the assets of the Federal Deposit Insurance
Corporation amounted to $1,537 million, its liabilities to $86 million,
and its deposit insurance fund to $1,451 million. From its income of
$173 million during 1953, the Corporation provided for expenses and
losses of $8 million, added $87 million to the deposit insurance fund,
and credited $78 million to insured banks for use in paying assessments
becoming due in 1954. (Pp. 16-19).
At the end of the year all banks in the United States held assets of
$221 billion and deposits of $202 billion. Each of these magnitudes had
increased by a little less than 3 percent during 1953. Most of the asset
growth was in loans, and most of the deposit growth was in time deposits.
The growth rate of mutual savings banks was markedly greater than
that of commercial banks. (Pp. 25-32).
Of the total income received by insured banks in 1953, 56 percent
was derived from loans and a little less than one-fourth from United
States Government obligations. Income of insured commercial banks
was 11 percent greater than in 1952, due primarily to increased rates of
return on assets. Income of insured mutual savings banks was up 9
percent, due chiefly to the larger amounts of assets held by these banks.
(Pp. 33-42).
An analysis of bank-obligation insurance systems in six States prior
to 1866 shows that three of the systems were fully successful and two
were partially successful. The other one failed in a nationwide depression
that occurred during its early years of operation. Methods used to
provide protection for bank creditors in these systems were similar to
those which have been or may be used by the Federal Deposit Insurance
Corporation. (Pp. 45-59).




x v ii




PART ONE
OPERATIONS OF THE CORPORATION







D

e p o s it

Insurance C

overage

The Federal Deposit Insurance Corporation protects insured depositors
against loss due to bank failure. Deposit insurance is limited to $10,000
per depositor in each insured bank. This protection not only prevents or
reduces losses to individual depositors, but also strengthens confidence
in the safety of the banking system and thus contributes to a prosperous
economy.
Protection afforded individual depositors. Insurance up to $10,000
applies to the combined total of all deposits maintained by a depositor
in the same right and capacity in each insured bank. Deposits maintained
in different rights or capacities are separately insured. For example, a
joint deposit with right of survivorship is insured separately from the
individually owned funds of either joint owner. Deposits of a partnership
are insured separately from the deposits of each of the partners.
Deposits of a depositor as trustee, guardian, or in some other fiduciary
capacity, are insured separately from his individually owned deposits
or from his deposits in a different capacity. Where an insured bank acts
in a fiduciary capacity the funds of each trust estate held by the bank
are insured separately from the deposits of the owners of the trust funds
or the beneficiaries of the trust estates. Each officer, employee, or agent
of a governmental unit having custody of public funds and depositing
them in an insured bank is entitled to insurance up to $10,000 on such
deposits maintained by him in the same right and capacity. Deposits
of public funds maintained by such an officer, employee, or agent in
different rights or capacities are likewise separately insured.
The Corporation requires insured banks to report their deposits
classified by size of account only at intervals of several years. The last
call for such information was made on September 19, 1951. On that
date 98 percent of all deposit accounts in insured banks did not exceed
$10,000. All such accounts were therefore fully protected by insurance,
except for those which in combination with other accounts maintained
in the same right and capacity by the same depositor in a given bank
totaled more than $10,000. However, the relatively few accounts ex­
ceeding $10,000 contained almost half of the deposits in insured banks.
Experience has indicated that the percentages of accounts fully insured
and of total deposits which are insured change only gradually.
Though depositors whose accounts in an insured bank exceed $10,000
are not fully protected, those portions of deposits which are in excess
of $10,000 are nevertheless afforded some degree of safety by the existence




3

FEDERAL DEPOSIT INSURANCE CORPORATION

4

of deposit insurance. This is true because of the effect of deposit insurance
in reducing the likelihood and severity of runs on banks. Also, under
conditions specified by law the Federal Deposit Insurance Corporation
may act to avert receivership of an insured bank which is in financial
difficulty. When such action is taken even deposits in excess of $10,000
are fully protected.
Participation in deposit insurance. Federal deposit insurance
applies to national banks and State banks of deposit which are members
of the Federal Reserve System, and to nonmember national and State
banks of deposit which have applied for insurance and have met the
requirements of law for admission to insurance. Insurance applies both
to commercial banks and to savings banks. At the end of 1953 there
were 13,651 insured banks, comprising 94.2 percent of the 14,492 banks
of deposit in the continental United States and other areas. Table 1 shows
the number of operating banks grouped by type of bank and insurance
status, as of December 31, 1953.
T a b l e 1. N u m b e r o f O p e r a t in g B a n k s i n t h e U n it e d S t a t e s
(C o n t in e n t a l U . S. a n d O t h e r A r e a s ), D e c e m b e r 31, 1953
Number of banks

Percentage—

Type of bank
Insured

Total

Noninsured

Insured

All banks............................................

14,552

13,651

901

93.8%

Banks of deposit.................................
Commercial.......................................
Mutual savings.................................

14,492
13,96k
528

13,651
13, U 2
S
219

841
532
309

94.2
96.2
U .5

Trust companies not regularly en­
gaged in deposit banking................

60

60

Noninsured
6.2%
5.8
3.8
58.5
100.0

The number of insured banks increased by six during the year, and
the number of offices at which insured banks and their branches did
business increased by 390. The more rapid increase in banking offices
than in number of insured banks was due chiefly to the opening of 307
new branches and to absorption of 95 banks which continued to operate
as branches of the absorbing banks. The tendency toward expansion
of branch banking was especially evident in Pennsylvania, Ohio,
Michigan, and New York. The number of noninsured banks of deposit
decreased by 66 during 1953.
Chart A shows the percentage of banks of deposit in each State which
were insured at the end of 1953. In 11 States and the District of Columbia
all banks regularly engaged in deposit banking were insured, and in
25 other States 95 percent or more of the banks were insured. Only in
five States, all in New England, was the proportion of banks insured less
than three-fourths. In those States relatively large numbers of mutual
savings banks do not participate in Federal deposit insurance.




DEPOSIT INSURANCE COVERAGE

C hart A.

5

P e r c e n t a g e o f B a n k s o f D e p o s it in E a c h S t a t e W h ic h W e r e
I n s u r e d , D e c e m b e r 31, 1953

T

he

D

e p o s it

Insurance F und

Nature of the fund. Nearly three years ago the Federal Deposit
Insurance Corporation completed repayment, with interest, of its capital
stock originally subscribed by the United States Treasury and the Federal
Reserve banks. The Corporation now has no capital stock, the whole
excess of its assets over its liabilities being, therefore, of the character
traditionally called surplus in business accounting. This surplus of the
Corporation represents the resources which the Corporation holds
available to fulfil its deposit insurance obligations, and for this reason
it has been labeled the “ deposit insurance fund.”
Sources of the fund. The deposit insurance fund has been built
up from two sources: (1) assessments paid to the Corporation by insured
banks, and (2) earnings from the assets of the Corporation.
Assessments are paid semiannually by all insured banks, at an annual
rate of one-twelfth of one percent of total deposits. In recent years,
however, the net cost of insurance to the banks has been less than half
this amount. This is due to the procedure established by the Federal
Deposit Insurance Act of 1950, under which a portion of the assessments
payable during a given year are credited by the Corporation against
assessments becoming due in the following year, provided that the loss
experience of the Corporation is sufficiently favorable. Further in­



6

FEDERAL DEPOSIT INSURANCE CORPORATION

formation regarding the assessment credit is given in the section of this
report on financial statements of the Corporation.
In recent years more than 99 percent of the Corporation’s assets have
been United States Government securities. Interest earned on these
securities is a substantial source of additions to the deposit insurance
fund. Since the initiation of the assessment credit procedure, interest
earned on the Corporation’s assets has constituted approximately onethird of its total income after deduction of the credits.
Growth and size o f the fund. The above sources of funds have
provided more than enough to meet deposit insurance obligations in
each year during which the Corporation has operated. Hence there has
occurred an annual growth in the deposit insurance fund, except in
1947 when the bulk of the capital stock of the Corporation was repaid.
Chart B shows the amount of the deposit insurance fund at the end of
each year from 1933 to 1953.
Chart B .

T h e D e p o s it I n s u r a n c e F u n d , D e c e m b e r 31, 1933-1953

MILLIONS OF OOLLARS

1500-----------------------

1933

1934

1935

1936

1937

1939

1940

1941

1942

1943

1944

1945

1946 1947

1948

1949

1950

1951

IS52

1953

On December 31, 1953, the deposit insurance fund was $1,451 million.
Preliminary estimates of deposits indicate that the fund was on that
date %qual to 0.7?) percent of the total deposits of insured banks and
to 1.30 percent of estimated insured deposits. The movements in these
ratios over the period since Federal deposit insurance began are illustrated
in Chart C.



2®e«afcer 28, 1954

& a m m u * TO: Mr. C«m r
Mr*
Mr. UM rton
rtm
Mr. ?ot&toa
Mr* SUxs&ogi

M Werlick
r*
M . C aN m
r & M ell.
M r. McfcVoy

F U
JD j

Mr. G
oisrab
c*

iiUBJjECT:

Deposit iasuruace ftmd percentages

B Crwer ha@ r©©M©t®& that it be tarou^fct to
sr.
i'our atte&iioa that oa Seeesber 31, 1953 th® deposit la -

giOTiig# ftniil w 0*75 psresa* of totfcX teposits in lu titd
e&
bm&ii ttod 1*36 p w M t o f sstlBBl^ed ixurunA cUsp09lt&*

2;©se percent&gpa ttJO
tsM to mod isa place of those feeu
e
sed
oa preHaiaery ©stissates aa& show on page 6 of the 1953
iiaaml Beport.




THE DEPOSIT INSURANCE FUND

7

Chart C.

R a tio s o f D e p o s it In s u r a n c e F u n d t o T o t a l a n d In s u r e d
D e p o s i t s , A l l I n s u r e d B a n k s , M i d - Y e a r a n d Y e a r E n d , 1934-1953

Borrowing power of the Corporation. Under the provisions of the
Federal Deposit Insurance Act the Corporation is authorized to borrow
from the Federal Treasury, and the Secretary of the Treasury is directed
to lend, up to $3 billion if needed by the Corporation for insurance
purposes. This borrowing power has never been used, but its existence
provides additional assurance that the deposit insurance commitment
will be fulfilled under all circumstances.
A

c t io n

to

P rotect D

e p o s it o r s

in

F a il in g B a n k s

Disbursements for protection of depositors in 1953. Disbursements
by the Corporation were necessary for protection of depositors in two
insured banks during 1953. In each of these cases the Corporation
acted under Section 13(e) of the Federal Deposit Insurance Act to
facilitate absorption of the threatened bank by another insured bank.
Section 13(e) permits this procedure when in the judgment of the Board
of Directors it will reduce the risk or avert a threatened loss to the
Corporation. It is one of several processes, authorized in the law for
use in specified circumstances, that have the incidental effect of pro­
tecting against loss even those deposits which are in excess of $10,000
for each depositor.
In the case of each bank aided in 1953 the Corporation purchased
from the distressed bank those assets which were not acceptable for ac­



8

FEDERAL DEPOSIT INSURANCE CORPORATION

quisition by the assuming bank, paying to the distressed bank cash
equal to the difference between the acceptable assets and the deposit
liabilities on its books. The absorbing bank then took over these deposit
liabilities and an equal amount of acceptable assets, including the cash
provided by the Corporation. The Corporation assumed all other lia­
bilities of the distressed bank, and took over its unacceptable assets for
liquidation. Collections will be applied toward recovery of advances
for protection of the assets made subsequent to their acquisition, liquida­
tion expenses, the principal disbursement of the Corporation for protection
of depositors, and allowable return to the Corporation on that disburse­
ment at the contractual rate of four percent. In f ny such case if collections
a
exceed the amounts required for these purposes, the excess is paid over
to the stockholders of the absorbed bank.
The two banks to which the Corporation made disbursements in
1953 had deposits totaling $18.3 million, in 24,469 accounts. The cash
provided by the Corporation amounted to $5.0 million.
In one of the banks aided, the Mayfield State Bank, Mayfield,
Pennsylvania, difficulties arose from a kiting operation carried on in
collusion with a bank officer. In the other case, the First State Bank of
Elmwood Park, Illinois, the bank had passed into control of a corporation
engaged in the small loan business and had made a large unsecured loan
to that corporation and also purchased from it without recourse large
amounts of notes of questionable value. The bank was closed by the
State supervisory authority “ for examination and adjustment,” but
was not placed in receivership. Being unable to make required corrections,
the bank applied to the Federal Deposit Insurance Corporation for
financial aid to facilitate its absorption by a successor bank.
Disbursements for protection of depositors, 1934-1953. From
the beginning of deposit insurance to the end of 1953 the Corporation
made disbursements to protect depositors of 422 banks, of which 245
were placed in receivership and 177 absorbed by other insured banks.
The latest receivership case occurred in 1944. The banks aided by the
Corporation had approximately 1.4 million deposit accounts and total
deposits of about $559 million. Disbursements by the Corporation for
protection of depositors in these banks were about $280 million, ex­
clusive of expenses incurred in paying depositors of closed banks, liquida­
tion expenses, and advances for protection of assets. Liquidation of the
assets acquired by the Corporation in aiding banks has resulted in
recovery of more than 89 percent of these principal disbursements.
Statistics concerning the historical experience of the Corporation in
aiding failing banks, the number of depositors and amount of deposits
in such banks, and the results of liquidations are given in Part Five of
this report, Tables 117-120.



9

SUPERVISORY ACTIVITIES

S u p e r v is o r y A

c t iv it ie s

Applications from banks. The Corporation must act each year
upon applications for insurance submitted by new or operating noninsured
banks, and also upon proposals submitted by insured banks on matters
which require approval of the Board of Directors. Preliminary negotia­
tions, usually between the bank and the Corporation's examination
staff, result in the elimination or revision of many applications, so
that most of the applications acted upon by the Board of Directors are
approved.

Table 2.

A p p l ic a t io n s A c te d u p o n b y t h e B o a r d o f D ir e c t o r s o f t h e
F e d e r a l D e p o s it I n s u r a n c e C o r p o r a t io n d u r in g 1953

Type of application

Total
acted
upon

Approved

Dis­
approved

All ap p lication s.............................................................................

566

525

411

Admission to insurance— total.......................................................
New banks.....................................................................................
Operating banks............................................................................

115
65
50

101
51
50

141
U1

Termination of insurance of banks having only trust powers. ..

2

2

Change in corp orate powers—total...............................................
To engage in trust business..........................................................
To accept demand deposits...........................................................

12
11
1

9
8
1

Assumption of deposit liabilities—total........................................
Of another insured bank...............................................................
Of a noninsured bank...................................................................
Of a financial in stitution not a bank...........................................

21
1U
3
u

21
lb
3
U

Establishment of branches—total..................................................
New branch offices.........................................................................
Replacing head office relocated.................................................... .
Conversion of absorbed bank or financial institution...................

122
106
1
15

109
93
1
15

Continuance of operation of branches—total...............................
Upon admission to insurance......................................................
Of absorbed or predecessor bank...................................................

6
3
3

6
3
3

Change of location of offices—total..............................................
Main offices...................................................................................
Branches.......................................................................................

125
89
36

125
89
36

Retirement of capital—total..........................................................
Held by Reconstruction Finance Corporation..............................
Held by others...............................................................................

103
U
6
57

95
us
52

Other capital adjustments..............................................................

56

56

Service as director, officer, or employee of person convicted of
offense involving dishonesty or breach of trust....................

4

1

3
3

13
13

8
S
5

3

1Excludes one disapproval changed to approval by action of the Board of Directors later in the year.

During 1953 the Board of Directors acted upon 566 applications, of
which 115 were applications for insurance and 451 were other proposals
by insured banks to take actions requiring prior approval of the Cor­
poration. Of the 566 applications only 41 were disapproved by the Board.
Further details as to the nature and disposition of applications are given
in Table 2.



10

FEDERAL DEPOSIT INSURANCE CORPORATION

State banks of deposit which are not members of the Federal Reserve
System may be admitted to insurance only upon approval of their ap­
plication for insurance by the Board of Directors of this Corporation.
However, not all banks so admitted are opened in the year of approval,
and in a few cases banks alter their plans or fail to meet conditions
specified by the Corporation. Banks chartered as national banks in any
State or the District of Columbia, and State banks of deposit which
are admitted to the Federal Reserve System, become insured without
application to the Corporation. National banks which are not members
of the Federal Reserve System may become insured upon application
by the bank and certification by the Comptroller of the Currency. For
these reasons the number of applications for insurance which are approved
during a year differs from the number of banks actually admitted to
insurance during the year.
Approval of the Federal Deposit Insurance Corporation must be
obtained before an insured bank may merge or consolidate with, assume
liabilities of, or transfer its liabilities and equivalent assets to, any
noninsured bank or institution. These requirements apply to all insured
banks whether chartered by the Federal Government or by the States.
There are also a number of actions which require approval of the Comp­
troller of the Currency in the case of national banks, of the Board of
Governors of the Federal Reserve System in the case of State member
banks, and of the Federal Deposit Insurance Corporation only in the case
of insured State banks not members of the Federal Reserve System. These
include establishment of branches, changes of corporate powers, reloca­
tion of banking offices, and certain other actions. As shown in Table 2,
most of the applications from insured banks which were acted upon by
the Board of Directors in 1953 were for permission to establish new
branches, to relocate banking offices, or to retire capital.
Bank examinations. Insured State banks which are not members
of the Federal Reserve System are regularly examined by the Federal
Deposit Insurance Corporation. State banks which are members of the
Federal Reserve System are examined by the Federal Reserve banks,
and national banks are examined by the Office of the Comptroller of the
Currency. The Federal Deposit Insurance Corporation reviews examina­
tion reports on all insured banks, including those prepared by examiners
of the Federal Reserve banks or the Office of the Comptroller of the
Currency.
The Corporation gives particular attention to those banks in which
regular examinations reveal existence of special problems or unsound
conditions. Such banks are examined at frequent intervals until necessary
corrections have been made. These and other special-purpose exami­
nations are given priority, but the Corporation also seeks in so far as



SUPERVISORY ACTIVITIES

11

possible to make at least one regular examination per year of each insured
State bank which is not a member of the Federal Reserve System. The
number of examinations and investigations of various kinds conducted
by the Corporation in 1953, and the number of examination reports
reviewed by its Washington staff, are given in Table 3.
T able 3. B a n k E x a m i n a t io n A c t iv it ie s o f t h e
F e d e r a l D e p o s it I n s u r a n c e C o r p o r a t io n in 1953
Examination activity

Number

Bank exam inations— t o ta l...................................................................................................
Regular examinations of insured banks not members of Federal Reserve System.........
Special examinations..............................................................................................................
Entrance examinations of operating noninsured banks......................................................

6,956
6,737
168
53

Investigations— to ta l..............................................................................................................
New bank investigations.......................................................................................................
New branch investigations....................................................................................................

255
137
118

Reviews of reports o f exam ination o f insured banks— to ta l.......................................
National banks........................................................................................................................
State banks, members of Federal Reserve System.............................................................
State banks, not members of Federal Reserve System......................................................

15,776
5,187
1,891
8,698

Citations for unsafe and unsound banking practices. Except
in unusual cases unsafe and unsound banking practices are corrected by
normal supervisory processes. In those occasional cases where an insured
bank continues to engage in unsafe or unsound practices or violations
of law or regulations, the Board of Directors is required by law to submit
to the appropriate supervisory authority and to the bank a statement
with respect to such practices for the purpose of obtaining necessary
corrections. If these corrections are not made within the period of time
allowed, the Board of Directors may, under provisions of the Federal
Deposit Insurance Act, give notice of intention to terminate the insured
status of the bank. After affording the bank opportunity for a hearing,
the Board may in its discretion terminate the insured status of the bank
and require that the bank notify its depositors of such termination.
After termination of insurance in this manner no new deposits in the
bank are insured, but the insured deposits of each depositor on the date
of termination, less any subsequent withdrawals, continue to be insured
for two years.
During 1953 the Board of Directors brought charges of unsafe and
unsound practices against five insured banks. The practices and violations
cited by the Board are given in Table 4. It must be noted that the detailed
citations vary in form from case to case. Hence a practice specified in
one case may in other cases have been unspecified although implicit in
a broader charge. One of the five banks cited for unsafe and unsound
practices during the year was the First State Bank of Elmwood Park,
Illinois. This bank, as earlier noted, was subsequently absorbed by a
successor bank with the financial aid of the Federal Deposit Insurance



12

FEDERAL DEPOSIT INSURANCE CORPORATION

Corporation. In the cases of the other four banks cited during 1953,
action was being deferred at the end of the year pending results of cor­
rection programs, re-examination, or analysis of report of re-examination.
Table 4.

U n s a f e o r U n s o u n d B a n k in g P r a c t ic e s a n d V io l a t io n s o f
L a w C h a r g e d a g a in s t F iv e B a n k s b y t h e C o r p o r a t io n d u r in g 1953

Type of practice or violation

C apital:
Inadequate capital relative to liabilities or to amount and quality of
assets...........................................................................................................
Impaired capital accounts............................................................................

Case
identi­
fication
letters

Number
of banks
charged

5
3

abc de
cde

M anagem ent and general practices:
Weak or hazardous management................................................................
Self-serving management..............................................................................
Self-dealing through preferential treatment of affiliated companies........
Unwarranted and excessive pay-roll, other expenditures, and dividends. .
Insufficient and inaccurate records.............................................................
Failure to observe confidentiality of examination reports........................
Failure to comply with corrective recommendations of supervisory
authority and/or examiners of the Corporation.....................................

4
5
3
1
1
1

a cde
ab cde
bed
a
a
a

4

a

Deposits:
Honoring checks against uncollected funds................................................
Solicitation of funds outside normal trade area and payment of interest
thereon at a rate not supportable by local loans and investments. . . .

2

L oans:
Lax lending policies......................................................................................
Inadequate security on loans.......................................................................
Inadequate credit information.....................................................................
Making of excessive loans............................................................................
Excessive “ loss” “ doubtful,” and “ substandard” assets...........................
Undue concentration in consumer instalment loans..................................
Lax collection policies or excessive overdue loans.....................................

5
2
4
1
4
1
5

abc de
ab
abed
d
abed
b
abcde

Violations o f law and regulations:
Extensions of credit in excess of statutory limitations.............................
Failure of member bank to make proper reports of borrowings..............
Carrying shares of bank’s own stock..........................................................
Exceeding limits on deposits with another bank.......................................
Loans to officers............................................................................................
Failure to display deposit insurance signs..................................................
Permitting unspecified violations................................................................

3
1
1
1
1
1
1

bed
d
d
d
d
d

1

cde
cd
b

e

Since 1935, when the Corporation was given authority to terminate
the insurance of banks which continue to engage in unsafe or unsound
practices or violations of law or regulations, a total of 152 banks have
been charged with such practices and violations. Table 5 shows the
disposition or status of these cases, including separate data for cases
which were pending at the beginning of 1953 and those initiated during
the year.
Reports from banks. Insured State banks not members of the Federal
Reserve System, other than those in the District of Columbia, were
required to report their assets, liabilities, and capital accounts to the
Corporation as of June 30 and December 31, 1953. Summaries of corre­
sponding data for other insured banks were furnished to the Corporation
by the Federal agencies to which those banks made reports. Through
the cooperation of State banking authorities and of officials of banking



SUPERVISORY ACTIVITIES

13

institutions not under State or Federal supervision, mostly unincorporated
banks, the Corporation obtained, as of June 30 and December 31, reports
of assets and liabilities of noninsured banks and trust companies which
do not file reports with a Federal agency. The insured banks also sub­
mitted to the respective Federal agencies statements of their earnings,
expenses, and disposition of profits for the calendar year 1953.
The data on assets, liabilities, and capital, and those on earnings
and expenses, are reported and discussed in Parts Two and Five of this
report.
T a b le 5.
A c t io n s t o T e r m i n a t e I n s u r e d S t a t u s o f B a n k s C h a r g e d
w i t h E n g a g in g i n U n s a f e o r U n s o u n d P r a c t ic e s o r V i o l a t i o n s
o f L a w o r R e g u l a t i o n s , 1 9 3 6 -1 9 5 3

1936-19531

Disposition or status

T otal banks against w hich action was tak en .......................

Pending
beginning
of 1953

152

3

38
67
62
5

2

Cases closed :
Corrections made.........................................................................
Banks absorbed or succeeded by other banks..........................
With financial aid of the Corporation......................................
Without financial aid of the Corporation.................................
Banks suspended prior to setting date of termination of
insured status by Corporation............................................
Insured status terminated, or date for such termination set
by Corporation, for failure to make corrections.............
Banks suspended prior to or on date of termination of insured
status......................................................................................
Banks continued in operation2..................................................
Cases n ot closed Decem ber 31, 1953: Action deferred pending
results of correction program, re-examination, or analysis
of report of re-examination.................................................

Started
during
1953
5

1
1

32
10
7
S

5

1

4

1 No action to terminate the insured status of any bank was taken before 1936. In 5 cases where
initial action was replaced by action based upon additional charges, only the latter action is included.
2 One of these suspended 4 months after its insured status was terminated.
Back data: See the Annual Report of the Corporation for 1952, p. 15, and earlier reports.

L egal D

evelopm ents

No legislation directly affecting the Federal Deposit Insurance Cor­
poration was enacted during 1953 by the Congress or the State legisla­
tures. A summary of 1953 legislation pertinent to insured banks appears
in Part Four of this Report.
O r g a n iz a t io n

and

P erso n n el

Directors. Mr. H. E. Cook, a member of the Board of Directors
since 1947, became its Chairman on May 10, 1953. Mr. Maple T. Harl,
former Chairman, continues as a Director. The Comptroller of the
Currency is ex officio a member of the Board of Directors of the Corpora­
tion. This office has been held since April 16, 1953, by Mr. Ray M.
Gidney. Until February 15, 1953, it was held by Mr. Preston Delano.



14

federal

d e p o s it

in s u r a n c e

c o r p o r a t io n

In the interval between Mr. Delano’s resignation as Comptroller of the
Currency and Mr. Gidney’s appointment, Mr. L. A. Jennings, Acting
Comptroller of the Currency, was a member of the Board of Directors
of the Corporation.
Organization of the Corporation. Effective August 17, 1953, the
organization of the Corporation was altered in some respects. The
resulting structure is that shown by the organization chart on page iv.
Names of Corporation officials are given on page v.
In addition to its headquarters in Washington the Corporation main­
tains offices in each of its twelve districts. These offices are part of the
Division of Examination of the Corporation, and each is under the
direction of a Supervising Examiner. Names of the Supervising Examiners
and locations of the District Offices are given on pages vi and vii. As
their duties require, representatives of the Division of Liquidation and
the Audit Division temporarily establish offices in the field.
Number of employees. At the end of 1953 the Corporation had
1,028 employees, almost three-fourths of whom were members of the
Division of Examination. The number of employees working in each
of the divisions of the Corporation is given in Table 6.
T a b le 6 .

N u m b e r o f O f f i c e r s a n d E m p lo y e e s o f t h e F e d e r a l D e p o s i t
I n s u r a n c e C o r p o r a t i o n , D e c e m b e r 31, 1953

Division

T o ta l...........................................................................................
Directors.................................................................................
Executive offices.....................................................................
Legal Division........................................................................
Division of Examination.......................................................
Division of Liquidation.........................................................
Division of Research and Statistics..................................... !
Audit Division........................................................................ i
Office of the Controller.......................................................... j

Washington
office

District
and
field offices

1,028

286

742

3
16
19
737
40
42
44
127

3
16
19
43
25
42
11
127

694
15

Total

33

Health and safety. The hospitalization, surgical, and in-hospital
medical benefits program established for Corporation employees has
completed its first year of operation. Under this program uniform benefits
are provided for employees in all parts of the nation, through arrange­
ments with local associations. Approximately 98 percent of the Corpo­
ration’s employees participate in the plan, which is available to all
regular personnel who have completed ninety days’ service. The premiums
for employees are paid by the Corporation. Coverage is also available
to families of employees, with premiums paid by employees through
payroll deductions. Approximately half of the participating employees
purchase such family protection.



15

ORGANIZATION AND PERSONNEL

Statistics published in 1953 by the Bureau of Employees’ Compensation
of the United States Department of Labor showed that the safety record
of the Corporation continued to be excellent. This record was achieved
despite the large amount of travel under all weather conditions which
is required of the Corporation’s bank examiners.
Turnover of field bank examiners. From an average employment
of field bank examiners of 544, there were 78 such employees who left
the service of the Corporation during 1953, giving a turnover ratio of 14.3
per 100. Approximately half of the field examiners who left the Corpora­
tion did so to accept positions with banks or State banking departments.
Educational program for examiners. Since 1946 the Division of
Examination has carried on an educational program for its members,
seeking to obtain for the Corporation the benefits of better trained
personnel. This program consists primarily of correspondence courses
given by the American Institute of Banking, but also includes evening
courses offered by local chapters of the Institute, colleges, or universities,
plus special graduate courses at three universities. Costs of courses taken
with the American Institute of Banking and of the special graduate
courses are paid by the Corporation.
Each year a limited number of examiners who have qualified by prior
educational work participate in the special graduate programs. These
are given by The Graduate School of Banking at Rutgers University
sponsored by the American Bankers Association, the School of Banking
at the University of Wisconsin sponsored by the Central States Con­
ference of Bankers Associations, and the School of Consumer Banking
conducted by the Consumer Bankers Association at the University of
Virginia. The programs combine resident and correspondence study.
Three summer resident sessions, each of two weeks’ duration, and two
years of intensive nonresident study are required for completion.
Results of the educational program since its inception, and statistics
of enrollment and completions for 1953, are presented in Table 7.
Table 7.

R e s u l t s o f t h e C o r p o r a t io n ’ s E d u c a t io n a l P r o g r a m
f o r E x a m i n e r s , 1946-1953
Activity

1946-1953

1953

Educational courses completed............................................................................

1,456

211

American Institute of Banking Certificates received:
Pre-Standard.....................................................................................................
Standard.............................................................................................................
Graduate............................................................................................................

98
51
10

6
2
1

Graduate banking school diplomas received......................................................

67

15

Enrollment, end of year:
All educational courses.....................................................................................
Graduate banking schools................................................................................




396
48

FEDERAL DEPOSIT INSURANCE CORPORATION

16

F in a n c ia l S t a t e m e n t s

of

the

C o r p o r a t io n

Assets and liabilities. The statement of assets and liabilities of the
Corporation at the end of 1953 is presented in Table 8. At that time
the Corporation held total assets of $1,537 million, of which $1,531
million consisted of United States Government securities and accrued
interest on such securities. Cash, assets acquired through bank sus­
pensions and absorptions, and miscellaneous assets made up the re­
maining $6 million. United States Government securities and accrued
interest thus constituted 99.6 percent of the Corporation's assets, and
all other assets only 0.4 percent.
T a b le 8.

A s s e t s a n d L i a b il i t ie s o f t h e F e d e r a l D e p o s it I n s u r a n c e
C o r p o r a t io n , D e c e m b e r 31, 1953
ASSETS

Cash................................................................................................
U. S. Government securities at cost (market or redemption
value, $1,522,965,656):
Special U. S. Treasury notes....................................................
U. S. Treasury bonds................................................................

3,981,056

$ 813,300,000
712,908,213
$1,526,208,213
4,338,999

Accrued interest receivable.
Assets acquired through bank suspensions and absorptions:
Equity in assets purchased from merged insured banks...
Assets purchased outright.....................................................
Less— Reserve for losses.

$

3,683,087
771,771

$

1,530,547,212

4,454,858
2,351,380
117,546

Deferred charges and sundry assets.
Furniture, fixtures, and equipment.

1

$1,536,749,293

T otal assets.........................................................
LIABILITIES1
Accounts payable and miscellaneous accrued liabilities..........
Earnest money, escrow funds, and collections held for others.
Accrued annual leave of employees...........................................
Due insured banks:
Net assessment income credits available July 1, 1954.........
Other.........................................................................................

438,511
364,645
886,940
78,502,075
5,872,325

84,374,400
1,030

Deferred credits............................................ ..........
T otal liabilities...............................

$

86,065,526

DEPOSIT INSURANCE FUND
Fund2 (see Table 9 )......................... ......................

1,450,683,767

Total liabilities and fu n d ............

$1,536,749,293

1 Capital stock has been retired by payments to the U. S. Treasury in accordance with the pro­
visions of Public Laws 363 and 813, 80th Congress, approved August 5, 1947, and June 29, 1948,
respectively.
a The Deposit Insurance Fund represents the cumulative net income (surplus) of the Corporation
from its inception to December 31, 1953. For the protection of depositors, in addition to this fund,
the Corporation is authorized to borrow up to three billion dollars from the U. S. Treasury when in the
judgment of the Board of Directors such funds are required for insurance purposes.

Liabilities of the Corporation at the end of 1953 amounted to $86
million. Eighty-four million dollars of this total was indebtedness to
insured banks, mostly representing net assessment income credits to



FINANCIAL STATEMENTS OF THE CORPORATION

17

become available July 1, 1954, for use in paying assessments. These
credits were based upon 1953 assessments, and were determined in a
manner to be described below.
The excess of the Corporation’s assets over its liabilities at the end
of 1953 was $1,451 million, which constituted the deposit insurance
fund on that date.
T a b le 9 . In co m e a n d E x p e n s e s o f t h e F e d e r a l D e p o s it I n s u r a n c e

C o r p o r a t i o n a n d C h a n g e in t h e D e p o s i t I n s u r a n c e F u n d
f o r t h e Y e a r E n d e d D e c e m b e r 31, 1953
INCOME AND EXPENSES
Net income for the year ended December 31, 1953:
Income:
Deposit insurance assessments.............................................
Interest on U. S. Government securities.............................
Other income..........................................................................

$138,372,550
33,937,211
389,920
$ 172,699,681

Total income...............................................................
Expense^ and losses:
Administrative and operating expenses (see Table 1 0 )... .
Provision for insurance losses...............................................
Other insurance losses............................................................

7,270,791
298,379
15,001
7,584,171

Total expenses and losses......................................
Net income before deduction of net assessment income
credit due insured banks...................................................
Net assessment income credit due insured banks (see Table
11).......................................................................................

$ 165,115,510
78,474,579

Net income (addition to the deposit insurance fund)
for the year ended December 31, 1953.......................

$

86,640,931

DEPOSIT INSURANCE FUND
$1,363,491,945

Deposit insurance fund, December 31, 1952.......................
Adjustments applicable to periods prior to January 1, 1953
(increasing the fund):
By reduction of reserve for insurance losses (net):
Established prior to 1950......................................................
Established since 1949...........................................................
By additional assessments (net)...............................
Balance December 31, 1952, as ad ju sted ...............

26,884
2,586
29,470
521,421

550,891
$1,364,042,836

Addition to the fund, net income for 1953 (as above)

86,640,931

Deposit insurance fund, December 31, 19531.......

$1,450,683,767

1 See note 2 of Table 8.

Income, expenses, and growth in the deposit insurance fund.
Table 9 is a statement of operations of the Corporation for 1953, giving
the Corporation’s income and its expenses, losses, and credits to insured
banks, and showing how the fund was increased by $87 million during
the year. The major source of additions to the deposit insurance fund
was assessments paid by insured banks. These constituted 80 percent
of the income of the Corporation before taking account of net assessment
income credits, and 64 percent of income after making these credits.
Almost the whole of the remaining income of the Corporation consisted
of interest earned on its holdings of United States Government securities.



18

FEDERAL DEPOSIT INSURANCE CORPORATION
A d m in is tr a t iv e a n d O p e r a tin g E x p e n s e s o f t h e F e d e r a l D e p o s it
I n s u r a n c e C o r p o r a t i o n f o r t h e Y e a r E n d e d D e c e m b e r 3 1 , 1953

T a b le 10.

Personal services.............................................................................................................
Travel..............................................................................................................................
Transportation of things...............................................................................................
Communication services................................................................................................
Rents and utilities..........................................................................................................
Printing and reproduction.............................................................................................
Supplies and material.....................................................................................................
Other contractual services.............................................................................................
Equipment......................................................................................................................

,118,601
,319,858
10,470
55,629
394,926
88,111
49,553
204,588
57,874

T o ta l................................................................................................................

$7,299,610

Less:
Processing costs of Duplicating Section charged to other divisions and activities
Recoverable expenses and other credits...................................................................

$
$

Total credits..................................................................................................
Net adm inistrative and operating expenses.........................................................

27,718
1,101
28,819

$7,270,791

Administrative and operating expenses of the Corporation during
1953 were $7 million, absorbing 4.2 percent of total income. Table 10
presents a breakdown of these expenses.
D e te rm in a tio n o f N e t A ssessm en t In com e o f t h e
F e d e r a l D e p o s i t I n s u r a n c e C o r p o r a t i o n f o r 1953, a n d
D i s t r i b u t i o n o f N e t A s s e s s m e n t I n c o m e , D e c e m b e r 3 1 , 1953

T a b le 11 .

Determ ination of net assessment incom e for 1953:

j
|

Total assessments which became due during the calendar
year.................................................................................
Less:
Operating costs and expenses for the calendar year..........
Net additions to reserves to provide for insurance losses:
Provided in 1953................................................................
Adjustments to provisions made prior to 1953 (re­
duction) ...........................................................................
Insurance losses in excess of reserves...................................

$138,372,550
$
$

7,270,791

298,379
2,586

Total deductions.........................................................

295,793
15,001
$

7,581,585

$130,790,965

Net assessment income for 1953..............................................
Distribution o f net assessment incom e, Decem ber 31,
1953:
Net assessment income for 1953:
40 percent transferred to deposit insurance fund...............
Balance credited to insured banks.......................................

$ 52,316,386
78,474,579

Total............................................................................

$130,790,965

A llocation o f net assessment in com e credit am ong
insured banks, Decem ber 31, 1953:
Credit for 1953...........................................................................
Adjustment of credits for 1950 to 1952, inclusive..................

$78,474,579
27,496

Percent of total
assessments be­
coming due in 1953
56.71%
.02

Total............................................................................

$78,502,075

56.73%

Net assessment income credits to insured banks. Under pro­
visions of the Federal Deposit Insurance Act of 1950 a portion of the
“ net assessment income” of the Corporation for each year is credited
against assessments becoming due from insured banks in the following
year. The amount of these credits is determined in the following manner:



FINANCIAL STATEMENTS OF THE CORPORATION

19

From total assessments becoming due during the year are subtracted the
operating costs and expenses of the Corporation for that year, including
provision for insurance losses during the year, and losses from preceding
years in excess of provided reserves. The result is defined as the net
assessment income of the Corporation, of which 40 percent is added to
the deposit insurance fund. The remaining 60 percent of the net assess­
ment income becomes a credit to insured banks, and is allocated among
the banks in proportion to their assessments which became due during
the year.
In com e and E x p e n se s o f t h e F e d e r a l D e p o s it In s u r a n c e
C o r p o r a t i o n , b y Y e a r s , f r o m B e g i n n i n g o f O p e r a t io n s ,
S e p t e m b e r 11, 19 3 3 , t o D e c e m b e r 3 1 , 1953,
A d ju s t e d t o D e c e m b e r 3 1 , 1953

T a b le 12.

(In millions)
Income
Year
Total

1933-1953..

Deposit
insurance
assess­
ments

Expenses
In­
vestments
and
other
sources

Total

Deposit Interest
insurance
on
losses
capital
and
stock
expenses1

$1,650.7

$1,251.93

$398.8

$200.0

$28.2

1953
1952
1951
1950
1949

94.7
88.3
83.6
84.7
150.7

60.48
56.83
54.03
54.1s
122.2

34.3
31.5
29.6
30.6
28.5

7.5
7.6
7.2
7.6
6.4

.3
.6
.4
1.2
.3

1948........
1947........
1946
1945 , ,,
1944.......

146.8
157.7
130.9
121.2
99.5

119.3
114.4
107.1
93.7
80.9

27.5
43.3
23.8
27.5
18.6

7.4
10.4
10.4
9.8
9.7

1943 ,. .
1942 . . . .
1941
1940 , ,,
1939........

86.7
69.4
62.0
55.9
51.2

70.0
56.5
51.4
46.2
40.7

16.7
12.9
10.6
9.7
10.5

10.3
10.2
10.1
13.6
16.6

1938 . . . .
1937
1936 ,,
1935 , .,
1933-34..

47.8
48.1
43.8
20.7
7.0

38.3
38.8
35.6
11.5
(4
)

9.5
9.3
8.2
9.2
7.0

11.2
12.0
10.8
11.2
10.0

$80.6

Adminis­
trative
and
operating
expenses2
$91.26

Net
income
added to
deposit
insurance
fund

$1,450.7

7.2
7.0
6.8
6.4
6.1

87.2
80.7
76.4
77.1
144.3

.6
4.8
5.8
5.8
5.8

6.1
5.5
4.5
3.9
3.8

139.4
147.3
120.5
111.4
89.8

.2
.5
.6
4.2
7.4

5.8
5.8
5.8
5.8
5.8

4.3
3.9
3.7
3.6
3.4

76.4
59.2
51.9
42.3
34.6

2.4
3.5
2.5
2.7
.3

5.8
5.8
5.8
5.8
5.6

3.0
2.7
2.5
2.7
4.15

36.6
36.1
33.0
9.5
-3.0«

1 Includes nonrecoverable expenses incurred pursuant to the insurance of deposits in closed insured
banks.
2 Includes furniture, fixtures, and equipment charged off.
* Net after deducting portion of net assessment income credited to insured banks, pursuant to
provisions of the Federal Deposit Insurance Act.
4 Assessments collected from insured banks, members of the temporary insurance funds, were credited
to their accounts in total at the termination of the temporary funds, and were applied toward payment
of subsequent assessments becoming due under the permanent insurance fund, resulting in no income
to the Corporation from assessments during the existence of the temporary insurance funds.
6 Net after deducting the portion of expenses and losses charged to banks withdrawing from the
temporary insurance funds on June 30, 1934.
• Deduction.

The process of determination and distribution of net assessment
income for 1953 is shown in Table 11. As there indicated, each insured
bank has received a net assessment income credit, usable for payment
of assessments in 1954, equal to 56.7 percent of its 1953 assessments.



FEDERAL DEPOSIT INSURANCE CORPORATION

20

The comparable ratio has been between 56 percent and 57 percent
in each year since the net assessment income credit procedure was
instituted. This provision of the 1950 law has therefore reduced by more
than half the net cost of deposit insurance to the banks.
Historical financial data. Table 12 summarizes the annual income
and expenses of the Corporation since its beginning, and Table 13 its
assets and liabilities at the end of each year. Some effects of the net
assessment income credit provisions of the Federal Deposit Insurance
Act of 1950 are evident from these tables: a marked reduction in deposit
insurance assessments after assessment income credits, a reduced rate
of growth in the deposit insurance fund, and an increase in liabilities
of the Corporation by the amount of assessment income credits on its
books at the close of each year. The comparatively moderate amount
of deposit insurance losses since 1940 is indicated in Table 12, and the
associated decrease in holdings of assets acquired through deposit in­
surance operations in Table 13.
T a b le 1 3 .

A s s e ts an d L ia b ilit ie s o f t h e F e d e r a l D e p o s it In s u r a n c e
C o r p o r a t i o n , D e c e m b e r 31 , 1 9 3 4 -1 9 5 3
(In millions)

Dec. 31

Cash

u. s.

Government
securities

Insurance
assets1

Other
assets

Total
assets

Liabilities

Deposit
insurance
fund2

1953
1952
1951 . . . .
1950
1949.

$ 4.0
.4
.7
2.4
1.4

$1,530.5
1,441.4
1,356.3
1,309.5
1,207.3

$ 2.1
2.0
3.0
2.3
2.8

$ .1
.2
.3
.1
.2

$1,536.7
1,444.0
1,360.3
1,314.3
1,211.7

$86.0
80.5
78.1
70.4
7.8

$1,450.7
1,363.5
1,282.2
1,243.9
1,203.9

1948 , ,
1947........
1946
1945
1944..
.

2.3
4.6
7.3
15.7
17.8

1,066.0
1,022.5
1,047.7
900.0
762.0

3.6
3.6
5.6
15.1
26.1

.1
.1
.1
.3
.3

1,072.0
1,030.8
1,060.7
931.1
806.2

6.1
24.7
2.2
1.9
1.9

1,065.9
1,006.1
1,058.5
929.2
804.3

1943
1942
1941
1940 .
1939 ,

20.0
19.4
20.0
20.4
28.3

638.8
536.8
453.9
384.5
363.5

46.2
62.0
81.7
92.2
64.2

.5
.5
.1
.1
.1

705.5
618.7
555.7
497.2
456.1

2.4
1.8
2.2
1.2
3.4

703.1
616.9
553.5
496.0
452.7

1938
1937 . ..
1936
1935 ,
1934

22.2
20.6
9.1
33.5
16.0

372.8
348.5
332.6
298.2
316.7

26.5
16.1
11.4
5.4
.5

.1
.1
.1
.1
.1

421.6
385.3
353.2
337.2
333.3

1.1
2.2
9.8
31.2
41.6

420.5
383.1
343.4
306.0
291.7

1 Assets acquired in protecting depositors and in facilitating termination of liquidations.
2 Designated capital and surplus in Annual Reports of the Corporation prior to 1950.

Audit. The Comptroller General of the United States makes an
annual audit of the Corporation as directed by the Federal Deposit
Insurance Act. The short form of the audit report for the year ended
June 30, 1953, as furnished to the Corporation by the Comptroller
General, is given in Table 14.




21

FINANCIAL STATEMENTS OF THE CORPORATION

Table 14.

A u d it R e p o r t o f t h e F e d e r a l D e p o s it I n s u r a n c e
C o r p o r a t io n f o r t h e Y e a r E n d e d J u n e 30, 1953
C o m p t r o l l e r G e n e r a l o f t h e U n it e d S t a t e s
W a s h in g t o n 25

December 15, 1953
Board of Directors,
Federal Deposit Insurance Corporation,
Washington 25, D . C.
Gentlemen:
The Division of Audits, General Accounting Office, has made an audit of F ederal
D eposit I nsurance C orporation for the fiscal year ended June 30, 1953, in ac­
cordance with section 17(b) of the Federal Deposit Insurance Act, approved September
21, 1950 (12 U. S. C. 1827).
This audit included an examination of the balance sheet of Federal Deposit Insurance
Corporation as of June 30, 1953, and the related statement of income and deposit
insurance fund for the year then ended. The examination was made in accordance
with generally accepted auditing standards and included such tests of the accounting
records and such other auditing procedures as were considered necessary in the cir­
cumstances and appropriate in view of the effectiveness of the sytem of internal
control, including the work performed by the Corporation's internal auditors.
In the opinion of the General Accounting Office, the accompanying balance sheet
and statement of income and deposit insurance fund present fairly the financial
position of Federal Deposit Insurance Corporation at June 30, 1953, and the results
of its operations for the year then ended, in conformity with generally accepted
accounting principles applied on a basis consistent with that of the preceding year
and with applicable Federal laws.
Very truly yours,
F r a n k H . W e it z e l

Acting Comptroller General of the United States
Exhibit 1— B a l a n c e S h e e t — J u n e 30, 1953
ASSETS
C ash ...............................................................................................

$

United States G overnm ent securities, at cost (market or
redemption value, $1,489,116,656)......................................
Accrued interest receivable.......................................................

$1,507,519,489
4,197,705

Assets acquired through bank suspensions and absorp­
tions (note 1):
Equity in assets acquired under purchase agreements..........
Assets purchased outright.........................................................

5,067,479

6,401,285
855,374

1,511,717,194

7,256,659
2,633,000

Less estimate for losses.............................................................

4,623,659

Deferred charges and sundry assets......................................
Furniture, fixtures, and equipm ent, at nominal value. . . .

91,520
1
$1,521,499,853

LIABILITIES
A ccou nts payable and accrued liabilities............................
Earnest m oney, escrow funds, and collections held for
o th e rs.....................................................................................
Em ployees’ accrued annual leave..........................................
Deferred c re d its..........................................................................
Net assessment incom e credits due insured banks (note 2):
Available July 1, 1953..............................................................
Estimated amount available July 1, 1954, from net assess­
ment income for 6 months ended June 30, 1953................

$

538,030
310,007
996,293
3,960

73,938,429
39,084,794

Deposit insurance fund, representing accumulated income
from inception to June 30, 1953, available for future
deposit insurance losses and related expenses (note 3
and exhibit 2 ).........................................................................

113,023,223

1,406,628,340
$1,521,499,853

The notes following exhibit 2 are an integral part of this statement.




FEDERAL DEPOSIT INSURANCE CORPORATION

22

Table 14.

A u d it R e p o r t of t h e F e d e r a l D e p o s it I n s u r a n c e
C o r p o r a t io n f o r t h e Y e a r E n d e d J u n e 30, 1953— Continued

Exhibit 2 — S t a t e m e n t
for th e

o f I n c o m e a n d D e p o s it I n s u r a n c e F u n d
Y e a r E n d e d J u n e 30, 1953

Deposit insurance assessments.....................................................

135,404,255

Income from United States Government securities...................

32,710,344

Other income..................................................................................

158,499

Deduct:
Estimated loss on absorption cases acquired during the year. .
Administrative and operating expenses...................................
Deduct net assessment income credits due insured banks
(note 2):
Six months ended December 31, 1952.....................................
Six months ended June 30, 1953, estimated...........................

160,462,102
37,385,746
39,084,794

76,470,540

Net income for year transferred to deposit insurance fund. . . .
Deposit insurance fund, June 30, 1952.......................................
Net adjustment of prior years’ estimate of losses on absorption
cases restored to deposit insurance fund.............................

83,991,562
1,322,484,778

Deposit insurance fund, June 30, 1953 (note 3 and exhibit 1 )..

$1,406,628,340

152,000

Notes 2 ,3 , and 4 below are an integral part of this statement.
N o t e s t o t h e F in a n c ia l S t a t e m e n t s — J u n e 30, 1953
1. Assets acquired under purchase agreements are evidenced by purchase agreements allowing a
return at the rate of 4 percent per annum on the principal purchase price and any subsequent amounts
expended by the Corporation. Under this arrangement the Corporation acquires title to the assets which
it liquidates, paying excess recoveries, if any, as an additional purchase price to the stockholders of
the closed banks involved.
Assets purchased outright consist of: (a) residual assets of certain inactive purchase agreement
cases which the Corporation has set up in this category in order to effect an administrative termination
of the cases; these assets are subject to the terms of the original purchase agreements and (b) residual
assets of inactive receivership and absorption cases which the Corporation has purchased and converted
to outright ownership not subject to any agreements with the closed banks from which the assets were
originally acquired.
2. Section 7(d) of the Federal Deposit Insurance Act (12 U. S. C. 1817(d) ) provides that as of
December 31, 1950, and as of December 31 of each year thereafter, the Corporation shall credit pro
rata to the insured banks 60 percent of the net assessment income (as defined in the act) for the calendar
year, the credit to be applied toward the payment of assessments becoming due for the semiannual
period beginning the next July 1 and any excess credit to be applied to the assessment of the following
period.
At June 30,1953, the net amount due the banks for credits computed on the net assessment income
of calendar year 1952, as adjusted, was $73,938,429. The actual amount of credit due the banks from
calendar year 1953 net assessment income is not determinable until December 31, 1953. For statement
purposes, however, an estimated credit for the first six months of 1953 has been computed to be
$39,084,794.
3. At June 30, 1953, the deposit insurance fund was equivalent to 1.39 percent of the insured
deposits in all banks, estimated by the Corporation at 101.4 billion dollars. This fund, however, is not
a measure of the deposit insurance risk, and its adequacy to meet future losses will depend on future
economic conditions which cannot be predicted. Based on data compiled by the Corporation, the fund
appears to be adequate to cover any potential losses at June 30, 1953.
The Corporation may borrow from the Treasury such funds as in the judgment of the board of
directors of the Corporation are required from time to time for insurance purposes, not exceeding, in
the aggregate, three billion dollars outstanding at any time. The Corporation has never used this bor­
rowing power.
4. Under existing law, the Corporation is not required to bear the Government’s share of the cost
of furnishing retirement, disability, and compensation benefits to the employees of the Corporation.
These costs are estimated to be approximately $300,000 for the fiscal year 1953. Also, the Corporation
was furnished certain United States mail services without cost.







PART TWO
BANKING DEVELOPMENTS




A ssets a n d

L ia b il it ie s

of

all

Banks

Developments over the year 1953. Bank assets and deposits con­
tinued to grow in 1953, but the rate of growth was the lowest since 1949.
Total assets and total deposits of all banks each increased a little less
than 3 percent during the year, reaching $221 billion and $202 billion,
respectively, at the end of the year. The rate of asset growth varied
from State to State, ranging from a decline of 0.4 percent in North
Dakota to an increase of 9.7 percent in Nevada, as illustrated in Chart D.
Capital accounts of all banks in the nation rose by almost 5 percent
during 1953, to a year-end total of $16 billion.
C h art D .

P e r c e n t a g e C h a n g e d u r i n g 195 3 in T o t a l A s s e t s ,
A l l B a n k s in E a c h S t a t e

For the year as a whole there was a slight decline in bank holdings of
United States Government obligations. However, this decline was more
than offset by increased holdings of State, municipal, and other securities,
producing a net rise in total security holdings of 1.0 percent.
Total loans of the banks increased by 6.6 percent during 1953, an
increase which constituted about four-fifths of the growth in total assets
for the twelve months. The rise in total loans came about even though
a decrease occurred in commercial and industrial loans, the first such
decrease for a full year since 1949.




25

26

FEDERAL DEPOSIT INSURANCE CORPORATION

Real estate loans, which contributed most heavily to the dollar growth
in bank loans, increased by 9.4 percent during 1953. More rapid rates
of increase, although smaller dollar amounts, occurred in “ other loans
to individuals,” and in loans for purchasing, carrying, or dealing
in securities. These increased at rates of 14.0 percent and 12.6 percent,
respectively. “ Other loans to individuals” comprises loans to individuals
other than those for business or agricultural purposes, on real estate,
or for carrying securities.
Agricultural loans other than those on real estate increased by 26.4
percent during 1953, the most rapid growth of any component of total
loans. This increase, however, was the net effect of divergent movements
in bank holdings of agricultural paper guaranteed by the Commodity
Credit Corporation and that not so guaranteed. The latter decreased
by 13.6 percent during 1953, the first occasion on which such loans had
failed to rise over the course of a year since separate reporting of guar­
anteed and non-guaranteed farm loans was begun in 1942.
In marked contrast, agricultural bank credit guaranteed by the
Commodity Credit Corporation increased by 204 percent, reaching a
record high of $2,206 million at the end of the year. This rapid growth
is largely explained by an alteration in the last half of the year in the
Commodity Credit Corporation’s procedure for financing price support
loans. Under this program certificates of interest in pooled loan paper
held by that Corporation, payable on demand, and earning interest at
2-1/2 and 2-1/4 percent for the October and December offerings re­
spectively, were made available to the banks. From the two offerings
the banks purchased $806 million of certificates, which account for a
little over half of the year’s growth in Commodity Credit Corporation
guaranteed loans held by the banking system.
There was also growth in guaranteed farm loans as commodities were
moved into storage under the usual price support loan programs. This
growth was large but not unprecedented, since such loans had been
made by the banks in even greater volume in 1948.
Deposits of the United States Government were the only major
component of total bank deposits which decreased during 1953. The
$5,547 million growth in total deposits consisted almost entirely of a
rise in time deposits. By contrast, in other recent years the growth of
demand deposits has exceeded that in time deposits, although the rate
of growth in time deposits was above that for demand deposits in 1952.
More details concerning the assets and liabilities of all banks at the
beginning, middle, and end of 1953, and the amounts of change in the
various items during each half of the year and for the year as a whole,
are given in Table 15.




ASSETS AND LIABILITIES OF ALL BANKS

T a b le 15.

27

A m o u n t s a n d C h a n g e s in A s s e t s a n d L i a b i l i t i e s , A l l B a n k s

in t h e U n i t e d S t a t e s ( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) , 1953
(Amounts in millions)
Amount onAsset, liability, or capital
account item

Change during—

Dec. 31,
1953

June 30,
1953

Dec. 31,
1952

Year
1953

Last half First half
1953
1953

$221,133

$208,753

$214,831

$6,302

$12,380

$-6,078

Cash and funds due from banks
Currency and coin.......................
Member bank balances with F.
R. banks...................................
Balances with other banks.........
Cash items in process of collection

45,992
2,691

42,199
2,755

45,764
2,939

228
-248

3,793
-64

-3,565
-184

19,997
13,083
10,221

19,448
11,111
8,885

19,810
12,800
10,215

187
283
6

549
1,972
1,336

-362
-1,689
-1,330

Securities.......................................
U. S. Government obligations...
Obligations of States and sub­
divisions ....................................
Other securities............................

91,325
72,872

86,299
68,369

90,460
73,011

865
-139

5,026
4,503

-4,161
-4,642

11,283
7,170

10,962
6,968

10,564
6,885

719
285

321
202

398
83

Loans and discounts, n e t..........
Valuation reserves...........................
Loans and discounts, gross.......
Commercial and industrial.........
Agricultural (excludingrealestate)
Real estate...................................
For carrying securities................
Other loans to individuals..........
All other loans.............................
Miscellaneous assets...................

80,920
1,142
82,062
27,368
4,989
29,793
3,590
14,633
1,689
2,896

77,544
1,119
78,663
27,593
3,701
28,500
2,819
14,280
1,770
2,711

75,929
1,077
77,006
28,041
3,947
27,245
3,188
12,836
1,749
2,678

4,991
65
5,056
-673
1,042
2,548
402
1,797
-60
218

3,376
23
3,399
-225
1,288
1,293
771
353
-81
185

1,615
42
1,657
-448
-246
1,255
-369
1,444
21
33

Total liabilities and capital ac­
counts ......................................... $221,133

$208,753

$214,831

$6,302

$12,380

$-6,078

Deposits..........................................
Business and personal.................
Demand.....................................
Time..........................................
Certified checks, etc...................
United States Government........
States and subdivisions...............
Interbank (including postal sav­
ings) ..........................................

201,978
169,783
100,U17
66,84-6
3,020
4,541
11,649

190,040
161,127
9b,276
6b, 377
2,b7b
4,031
11,235

196,431
165,027
100,lb l
61,909
2,977
5,348
10,687

5,547
4,756
276
b,b87
bs
-807
962

11,938
8,656
6,lb l
1,969
5b6
510
414

-6,391
-3,900
-5,865
2,b68
-503
-1,317
548

16,005

13,647

15,369

636

2,358

-1,722

Miscellaneous liabilities.............

2,946

2,833

2,946

Capital accounts..........................

16,209

15,880

15,454

755

113 I
i
329

Number of banks1...............................

14,522

14,579

14,617 j

-95

-57

Total assets.......................................

-113
426
—
38

1
Includes noninsured banks for which asset and liability data were not available, as follows: 14 for
Dec. 31, 1953; 18 for June 30, 1953; 21 for Dec. 31, 1952.
Detailed data for 1953 call dates: See Tables 104 and 105, pp. 94-97.

Half-year movements in 1953. As has been true in each year be­
ginning with 1947, the growth in assets and deposits of all banks during
1953 was the net effect of contraction in the first half of the year and more
than compensating expansion in the second half. The smaller growth
in 1953 than in 1952 may be traced almost entirely to greater decreases in
assets and deposits during the first half of 1953, as their growth in the
last half of the year was about the same as that in the same period of
1952. From data shown in Table 16, the pattern of changes in assets
and deposits of banks in 1953 appears to have been more similar to
1949 than to any other postwar year, although the degree of changes
in each direction was slightly greater in 1953 than in 1949.




FEDERAL DEPOSIT INSURANCE CORPORATION

28

P e r c e n t a g e C h a n g e s in A s s e t s a n d D e p o s i t s , A l l B a n k s in
t h e U n i t e d S t a t e s ( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) ,

T a b le 1 6.

H a lf-Y e a r s and Y ea rs,

1947-1953

Assets
Year

Full
year

1953......................................................
1952......................................................
1951......................................................
1950......................................................
1949......................................................
1948......................................................
1947......................................................

2.9%
5.4
6.0
6.8
2.3
(2
)
4.0

First
half
-2.8%
-.5
-1.6
0)
-2.5
-2.9
-1.2

Deposits
Last
half
5.9%
5.9
7.7
6.8
4.9
3.0
5.2

Full
year
2.8%
5.3
6.0
6.6
2.0
-.4
3.8

First
half
-3.3%
-.6
-1.7
-.1
-2.7
-3.2
-1.4

Last
half
6.3%
5.9
7.7
6.6
4.8
3.0
5.3

1 Decrease less than .05 percent.
2 Increase less than .05 percent.

C h art E.

P e r c e n ta g e D is t r ib u t io n o f T o t a l A sse ts,
A l l B an k s, D e c e m b e r

31, 1953

Cash and funds due from banks decreased seasonally during the first
six months of 1953, but the major component of the decrease in total




ASSETS AND LIABILITIES OF ALL BANKS

29

assets was a decline by $4,642 million in bank holdings of United States
Government obligations. These movements were offset by expansion of
about the same magnitude in the second half of the year. Loans increased
in both halves of the year, although expansion in the second half was
about twice as rapid as in the first. Heavy concentration of the year’s
expansion of “ other loans to individuals” in the first part of the year
was an important offset to reductions in loans to business and farmers
in that period. So also were real estate loans, which grew at about the
same rate in the first six months as in the last.
On the liability side, business and personal demand deposits accounted
for the largest amount of the decrease during the first six months. Lasthalf expansion was only slightly more than equal to first-half contraction
in such deposits. Time deposits grew in each six-month period, a little
more rapidly in the first half of the year than in the last.
Com position o f bank assets. Chart E is a graphic presentation of
the composition of the assets of all banks in the nation at the end of 1953.
On that date slightly more than two-fifths of the assets of the banks
were in the form of securities, slightly less than two-fifths in loans and
discounts, and one-fifth in cash and funds due from banks. Obligations
of the United States Government constituted four-fifths of the banks’
securities and one-third of their total assets. Major components of total
loans were those upon real estate and those to commercial and industrial
borrowers. Each of these made up more than one-third of total loans, or
about one-eighth of total assets.

A

ssets

and

L ia b il it ie s

of

I nsured C

o m m e r c ia l

B anks

Developments in 1953. Insured commercial banks constitute ap­
proximately nine-tenths of the American banking system, both in terms
of number of banks and of assets held. Therefore these banks weigh
heavily in the statistics of all banks. Accordingly, the nature and magni­
tude of changes in assets and liabilities of insured commercial banks in
1953 were very similar to those already noted with respect to all banks.
Total assets of insured commercial banks increased by a moderate
2.3 percent, to a year-end total of $191 billion. Security holdings rose
by only 0.7 percent, essentially the whole increase being in securities of
States and political subdivisions. Loans grew by 5.4 percent, despite a
decrease in loans of the commercial and industrial category. Total deposits
increased 2.2 percent, to reach $175 billion. Virtually the whole of the
deposit growth was traceable to an 8.3 percent rise in time deposits.
Assets and liabilities of insured commercial banks at the beginning,
middle, and end of 1953, and the amount and percentage growth in




30

FEDERAL DEPOSIT INSURANCE CORPORATION

various items are given in Table 17. The table also shows for December
31, 1953, percentage distributions of total assets, of total liabilities and
capital, and of securities, loans, and deposits as separate categories.
Table 17.
A ssets

and

A m ou n ts, C h a n g e s, a n d P e r c e n t a g e D is t r ib u t io n s o f

L ia b ilit ie s ,

In su red

C o m m e r c ia l B a n k s in

th e

U n ite d

S ta te s

( C o n t i n e n t a l U. S. a n d O t h e r A r e a s ) , 1953
(Amounts in millions)
Change
during 1953

Amount onAsset, liability, or
capital account item

Percentage distribu­
tions, Dec. 31, 19531

Dec. 31,
1953

June 30,
1953

Dec. 31,
1952

Amount

Per­
cent1

Percent
of total
assets

T otal assets........................ $191,063

$179,586

$186,682

$4,381

2.3%

100.0%

44,478
76,852

40,830
71,762

44,299
76,280

179
572

.4
.7

23.3
40.2

62,473

57,766

62,408

65

.1

32.7

81.3

10,620
3,759

10,334
3,662

10,006
3,866

614
-107

6.1
-2.8

5.6
1.9

13.8
4.9

67,266
961

64,723
938

63,824
904

3,442
57

5.4
6.3

35.2
.5

Gross loans
98.6
1.4

Cash and funds due
from banks.............
S ecurities........................
U. S. Government obli­
gations.......................
Obligations of States
and subdivisions.......
Other securities............
Loans and discounts,
n e t.............................
Valuation reserves............
Loans and discounts,
gross.........................
Commercial and
industrial...................
Agricultural (excluding
real estate)................
For carrying securities..
Real estate....................
Other loans to indi­
viduals.......................
All other loans.............
Fixed and m iscellane­
ous assets...............

Percent of
indicated
component

Securities
100.0%

68,227

65,661

64,728

3,499

5.4

35.7

100.0

27,157

27,361

27,816

-659

-2.4

14.2

39.8

4,884
3,527
16,613

3,610
2,757
16,148

3,824
3,134
15,616

1,060
393
997

27.7
12.5
6.4

2.6
1.8
8.7

7.2
5.2
24.3

14,411
1,635

14,067
1,718

12,642
1,696

1,769
-61

14.0
-3.6

7.5
.9

21.1
2.4

8.3

1.3

2,467

2,271

2,279

188

T otal liabilities and capi­
tal a cco u n ts............ $191,063

$179,586

$186,682

$4,381

175,083
143,668

164,046
135,836

171,357
140,639

3,726
3,029

2.2
2.2

91.6
75.2

Deposits
100.0%
82.1

31,415
130,289
44,794

28,210
121,007
43,039

30,718
129,992
J^l.365

697
297
3,429

2.3
.2
8.3

16.4
68.2
23.4

17.9
74.4
25.6

Deposits...........................
Business and personal. .
Government and inter­
bank..........................
Total demand deposits. .
Total time deposits........

2.3%

100.0%

M iscellaneous liabilities

2,716

2,565

2,740

-24

-.9

1.5

C apital a cco u n ts...........

13,264

12,975

12,585

679

5.4

6.9

Number of banks.................

13,432

13,435

13,439

-7

-.1

1 Calculated before rounding of data.
Detailed data: See Table 107, pp. 100-103.

A ssets

and

L ia b il it ie s

of

I n su r e d M

utual

Sa v in g s B a n k s

M utual savings banking. Mutual savings banks differ from com­
mercial banks in that (1) they are owned by their depositors and have
no capital stock, (2) their deposits are almost wholly savings and time
deposits, and (3) their loans consist almost entirely of mortgages upon




ASSETS AND LIABILITIES OF INSURED MUTUAL SAYINGS BANKS

31

real estate. At the end of 1953, mutual savings banks comprised 4 per­
cent of the nation’s banks of deposit, but held 12 percent of total deposits,
including 35 percent of all time and savings deposits. With a few ex­
ceptions, mutual savings banking is carried on only in the Northeast.
Of the 528 insured and noninsured mutual savings banks operating in
the United States at the end of 1953, nearly nine-tenths were located in
New York and the New England States.
Participation in Federal deposit insurance. The total number
of operating mutual savings banks decreased by one during 1953, but
the number covered by Federal deposit insurance increased by 13.
Eleven of the newly-insured mutual savings banks, with deposits of
nearly $200 million, were located in New Hampshire. Prior to 1953 no
mutual savings banks in that State had been insured. Those which
became insured constitute one-third of the Stated mutual savings
banks and hold over one-half of its mutual savings bank deposits.
On December 31, 1953, 219 of the 528 operating mutual savings banks,
or 41 percent, were insured by the Federal Deposit Insurance Corpora­
tion. These banks held 75 percent of the deposits of all mutual savings
banks. In New York, where over half of all mutual savings bank deposits
are located, and in seven other States which together with New York
account for nearly three-fourths of such deposits, all mutual savings
banks are covered by Federal deposit insurance.
Developments in 1953. The amounts of assets and liabilities of
insured mutual savings banks at the beginning, middle, and end of 1953
are given in Table 18. Also shown are percentage data concerning the
growth of the various items and the composition of assets and deposits.
It will be seen that nearly half of the total assets of these banks are loans
and of these loans all but a negligible portion are on real estate, chiefly
residential. About one-third of the assets are United States Government
obligations, and most of the remaining one-sixth are securities of States,
political subdivisions, and business corporations. Over 95 percent of the
assets of mutual savings banks are thus earning assets. For commercial
banks the corresponding ratio is less than 80 percent.
Total assets and total deposits of insured mutual savings banks each
increased by more than 9 percent during 1953, reaching year-end totals
of $20 billion and $18 billion, respectively. The 9.5 percent growth in
deposits of insured mutual savings banks was moderately greater than
the 8.3 percent growth of time deposits of insured commercial banks,
and markedly greater than the 2.2 percent growth in total deposits of
insured commercial banks. Not since 1946 had the deposits of insured
mutual savings banks increased as rapidly as they did in 1953. Only a
minor portion of this growth, about one-seventh, was due to the increase
in the number of such banks which were insured.



FEDERAL DEPOSIT INSURANCE CORPORATION

32

Reflecting continued high levels of residential construction, approxi­
mately four-fifths of the growth in deposits of insured mutual sayings
banks during 1953 was used to make additional real estate loans. The
loans of these banks increased by 15 percent during the year, while
their holdings of securities increased only 3 percent. Moreover, the
small increase which did occur in security holdings was wholly in corporate
securities and in obligations of States and political subdivisions.
T a b l e IB .

A m o u n t s , C h a n g e s , a n d P e r c e n t a g e D is t r ib u t io n s o f

A s s e t s a n d L i a b i l i t i e s , I n s u r e d M u t u a l S a v in g s B a n k s , 1953
(Amounts in millions)
Change
during 1953

Amount onAsset, liability, or
surplus account item

Percentage distribu­
tions, Dec. 31, 19531

Dec. 31,
1953

T otal assets........................
Gash and funds due
from banks.............
S ecurities........................
U. S. Government ob­
ligations.....................
Obligations of States
and subdivisions.......
Other securities............

June 30,
1953

Dec. 31,
1952

Amount

Per­
cent1

Percent
of total
assets

$20,334

$19,590

$18,612

$1,722

9.3%

100.0%

Percent of
indicated
component

799

692

732

67

9.2

3.9

9,236

9,284

8,930

306

3.4

45.4

6,477

6,642

6,593

-116

-1.8

31.8

70.1

360
2,399

341
2,301

298
2,039

62
360

21.1
17.7

1.8
11.8

3.9
26.0

Securities
100.0%

Loans and discounts,
n e t .............................
Valuation reserves...........
Loans and discounts,
g ross.........................
Real estate loans—total
Agricultural..............
Residential................
Other real estate loans
Other loans...................

10,016
163

9,325
161

8,691
155

1,325
8

15.2
5.3

49.3
.8

Gross loans
98.4
1.6

10,179
10,070
41
8,763
1,266
109

9,486
9,384
39
8,139
1,206
102

8,846
8,753
38
7,546
1,169
93

1,333
1,317
3
1,217
97
16

15.1
15.0
5.8
16.1
8.3
17.7

50.1
49.5
.2
43.1
6.2
.6

100.0
98.9
.4
86.1
12.4
1.1

Fixed and m iscellane­
ous assets................

283

289

259

24

9.1

1.4

T ota l liabilities and cap i­
tal a cco u n ts............

$20,334

$19,590

$18,612

$1,722

18,383
18,362

17,695
17,679

16,785
16,772

1,598
1,590

9.5
9.5

90.4
90.3

Deposits
100.0%
99.9

21
36
18,3^7

16
35
17,660

13
SO
16,755

8
6
1,592

58.6
17.0
9.5

.1
.2
90.2

.1
,2
99.8

D eposits...........................
Business and personal..
Government and inter­
bank...........................
Total demand deposits. .
Total time deposits........

9.3%

100.0%

M iscellaneous liabilities

133

124

97

36

37.6

.7

Surplus a cco u n ts..........

1,818

1,771

1,730

88

5.1

8.9

Number of banks.................

219

213

206

13

6.3

1 Calculated before rounding of data.
Detailed data: See Table 107, pp. 100-103.

The growth in deposits of insured mutual savings banks was about
the same in the first and last halves of the year, as was also true of the
time deposits of commercial banks. Real estate loans of the mutual
savings banks likewise increased by nearly equal amounts in the two
six-month periods.



INCOME OF INSURED COMMERCIAL BANKS

Incom e

of

Insured C

o m m e r c ia l

33

Banks

Sources and disposition o f incom e in 1953. The income of banks
consists chiefly of current operating earnings arising as interest on loans
and securities or as fees charged for services performed by the banks.
In addition it includes a comparatively small amount of recoveries on
assets previously charged off as loss and amounts transferred to banks’
earnings from their asset valuation reserves. From their total income
the banks pay wages, interest, and other expenses; make provisions for
actual and potential losses; pay taxes and dividends; and make additions
to their capital accounts.
The sources and disposition of the total income of insured commercial
banks in 1953 are shown in Chart F. The total income was $5.6 billion.
Of this amount 56 percent was income from loans, and 27 percent from
securities. These are gross income figures, and because lending operations
are more expensive to banks than the purchase and holding of securities,
it follows that something less than 56 percent of the net income of the
banks was derived from their loans.

C h art F.




S o u r c e s a n d D is p o s it io n o f T o t a l I n c o m e ,
I n s u r e d C o m m e r c ia l B a n k s , 1953

34

FEDERAL DEPOSIT INSURANCE CORPORATION

Current expenses, almost half of which were wages and salaries,
absorbed 60 percent of the income of insured commercial banks in 1953.
More than half of the remainder of total income was absorbed by chargeoffs, losses, transfers to valuation reserves, and income taxes, leaving
18 percent of total income as net profits after taxes.
Net profits and their disposition. Net profits after taxes of insured
commercial banks were $1,026 million in 1953, exceeding the billiondollar level for the first time. Forty-six percent of these net profits was
used by the banks to pay dividends and interest on capital, and 54
percent was retained as additions to capital. The net profits after taxes
represented a return of 7.9 percent on the average total capital accounts
of the banks during the year.
Chart G illustrates the rates of return on capital accounts of insured
commercial banks by State. As in previous years, most of the States
having relatively high rates of return on bank capital were located in
the western part of the nation and most of those with relatively low
rates in the northeastern portion.
Chart G.

R a te s o f N e t P r o f it s a f t e r T a x e s o n T o t a l C a p ita l A c co u n ts ,
I n s u r e d C o m m e r c ia l B a n k s in E a c h S t a t e , 1953

Comparisons with 1952. Total income of insured commercial banks
in 1953 was 11 percent greater than that in 1952. There were increases
in all components of income and its disposition. A comparison of total
income in 1953 and 1952, by sources and disposition, is given in Table 19.



INCOME OF INSURED COMMERCIAL BANKS

T a b le 1 9 .

A m ounts

and

G rowth

I n s u r e d C o m m e r c ia l B a n k s
and

in

in

T otal Incom e,
th e

by

Sources

35

and

D

is p o s i t i o n ,

U n i t e d S t a t e s (C o n t i n e n t a l U . S.

O t h e r A r e a s ), 1 9 5 2 -1 9 5 3

(Amounts in millions)
Growth, 1952-1953

Amount
Item
1953

1952

Amount

Percent1

T otal in c o m e ..........................................................................

$5,636

$5,076

$560

Sources
Current operating earnings.................................................
Loans..................................................................................
U. S. Government obligations...........................................
Other securities..................................................................
Service charges on deposit accounts...................................
Other current earnings.......................................................
Recoveries, transfers from valuation reserves, and profits
on securities sold..............................................................

5,484
3,156
1,207
298
271
552

4,932
2,78U
1,099
277
2^5
527

552
372
108
21
26
25

11.2
13.3
9.8
7.5
10.9
U.8

152

144

8

5.7

Disposition
Current operating expenses.................................................
Salaries and wages............................................................
Interest on deposits............................................................
Other current expenses.......................................................
Charge-offs, losses, and transfers to valuation reserves...
Income taxes........................................................................
Net profits after taxes.........................................................
Dividends...........................................................................
Additions to capital accounts............................................

3,376
1,652
535
1,189
448
786
1,026
m
552

3,029
1,1,95
U58
1,076
362
695
990
U2
51+8

347
157
77
113
86
91
36
32
U

11.5
10.5
16.7
10.6
23.7
13.2
3.6
7.2
.8

11.0%

1 Calculated before rounding of data.
Detailed data: See Table 108, pp. 106-107.

Income from loans was 13 percent greater in 1953 than in 1952. Loan
income was not only the most important source of total i come but also
the most rapidly increasing source. Service charges on deposit accounts
were the next most rapidly growing source of income, being 11 percent
greater in 1953 than in 1952.
In the disposition of bank income, current operating expenses were
11 percent greater in 1953 than in the preceding year, due partly to a
17 percent increase in interest paid by the banks on time and savings
deposits. Charge-offs, losses, and transfers to valuation reserves grew
by 24 percent, more rapidly than any other claim upon bank income.
The smallest relative growth occurred in additions to bank capital,
which were only one percent greater than in 1952.
As a result of increased expenses, taxes, and provisions for losses, the
rate of growth in net profits of banks after taxes was substantially less
than that in total income. Net profits after taxes were only 4 percent
greater than in 1952, a growth rate but slightly higher than that of the
average assets of the banks, and somewhat lower than that of their
average capital. Accordingly, the rate of net profits after taxes upon
average total capital accounts of insured commercial banks declined
slightly, from 8.1 percent in 1952 to 7.9 percent in 1953.
Rates of income on assets. Total income of the banks may grow
due either to an increase in the amount of assets upon which income is



FEDERAL DEPOSIT INSURANCE CORPORATION

36

earned or to an increase in the rate of earnings upon a given amount of
assets. In each year beginning with 1948 both of these influences have
been present to some degree in the growth of bank income. In 1948 and
1949 the rate of earnings increased faster than did average assets, while
from 1950 through 1952 asset growth was the dominant influence.
In 1953, however, the average total assets of insured commercial
banks exceeded those for 1952 by only 3 percent, and accounted for less
than one-third of the growth in bank income. The more important
proximate cause of the 11 percent growth in total income was a rise in
income per $100 of total assets from $2.82 in 1952 to $3.04 in 1953.
Table 20.

I n c o m e , A v e r a g e A sse ts, an d R a te s of I ncom e on A sse ts,
I n s u r e d C o m m e r c ia l B a n k s in t h e U n it e d S t a t e s
(C o n t in e n t a l U . S. a n d O t h e r A r e a s ), 1952-1953

Item

T otal incom e
Amount of income (in millions).......................................................
Average total assets (in millions)....................................................
Income per $100 of total assets1......................................................
In com e on loans
Amount of income on loans (in millions)........................................
Average holdings of loans (in millions)..........................................
Income on loans per $100 of loans1.................................................
In com e on U. S. Governm ent obligations
Amount of income on U. S. Government obligations (in millions) .
Average holdings of U. S. Government obligations (in millions). .
Income on U. S. Government obligations per $100 of U. S.
Government obligations1..............................................................
In com e on other securities
Amount of income on other securities (in millions).......................
Average holdings of other securities (in millions)..........................
Income on other securities per $100 of other securities1...............

1953

$

5,636
185,685
3.04

1952

$

5,076
179,803
2.82

Per­
centage
increase1

11.0%
3.3
7.5

3,156
65,213
4.84

2,784
60,000
4.64

13.3
8.7
4.3

1,207
60,868

1,099
61,065

9.8
-.3

1.98

1.80

10.2

298
14,082
2.11

277
13,562
2.04

7.5
3.8
3.5

1 Calculated before rounding of data.

Table 20 presents an analysis of the growth in total income; and in
income from loans, United States Government obligations, and other
securities, taken separately. For each category the table shows for both
1952 and 1953 the amount of income received by insured commercial
banks, their average holdings of relevant types of assets, and the amount
of income received per $100 of such assets. In addition the table shows
the percentage increase between 1952 and 1953 in each of the magnitudes,
from which may be seen the extent to which the increase in income was
a consequence of asset growth or increase in rate of return, respectively.
For example, the growth in income from loans was primarily due to
growth in the average amount of loans and to a lesser extent to an in­
crease in the rate of income received on loans. By contrast, the increase
in income from United States Government obligations came about
solely through a rise in the rate of interest received.



INCOME OF INSURED COMMERCIAL BANKS

37

Charge-offs, recoveries, and changes in valuation reserves.
Under the valuation reserve method of accounting, funds are from time
to time transferred from earnings of banks into valuation reserves to
provide for actual or potential losses. When losses are incurred on assets,
or when it is considered desirable to charge off part of their value, the
banks may then make the charge against the valuation reserves rather
than directly against earnings. By contrast, banks not holding valuation
reserves make charge-offs directly to earnings. The statistics concerning
charge-offs, recoveries, and changes in valuation reserves must be inter­
preted in the light of this difference between valuation reserve accounting
and direct charge-off accounting.
At the end of 1953, 6,218 insured commercial banks, constituting
46.3 percent of all such banks, had established reserves for bad-debt
losses on loans in accordance with Section 23 (k) (1) of the Internal
Revenue Code. At that time these reserves aggregated $827 million, or
about 86 percent of total reserves for losses on loans. There were $136
million of other valuation reserves on loans and $235 million of reserves
on securities, making total valuation reserves on loans and securities
of $1,198 million.
During 1953 charges against earnings by the insured commercial
banks for losses, charge-offs, and transfers to reserve accounts amounted
to $448 million. In the same period the banks made recoveries on assets
previously charged off, profits on securities sold, and transfers from
reserve accounts to earnings totaling $152 million. Corresponding figures
for 1952 were $362 million and $144 million, respectively, indicating
that items of this character had a somewhat larger impact upon the
net profits of the banks in 1953 than in 1952.
It is not possible to give a complete breakdown of the $448 million
of charges against earnings in 1953 according to the portions which were
losses and charge-offs and those which were transfers to reserve accounts.
This is because $74 million of the total was reported as a combined
sum for losses, charge-offs, and transfers to reserve accounts on assets
other than loans and securities. However, the remaining $374 million
was reported in separate categories, as shown in the upper portion of
Table 21. As indicated there, transfers to reserve accounts were ap­
proximately four-fifths of total losses, charge-offs, and transfers to reserve
accounts in the case of loans, but only one-fourth in the case of securities.
Losses charged to reserve accounts do not affect current earnings.
With respect to loans and securities such items are reported separately
by the banks, making it possible to determine the total amount of loans
and securities charged off during the year, whether against valuation
reserves or directly against earnings. Data of this kind are given in the
lower portion of Table 21 where, it will be noted, the amounts charged



FEDERAL DEPOSIT INSURANCE CORPORATION

38

against earnings are repeated from the upper portion of the table. It
will be seen that of the $315 million of losses and charge-offs on loans
and securities made by insured commercial banks in 1953, $194 million,
or 62 percent, was on securities. Direct charges against earnings made
up $188 million, or 60 percent of the total charge-offs. Three-fourths
of the losses on loans, but only one-fifth of those on securities, were
charged to reserve accounts.
T a b le 2 1 .
on

L oans

L osses, C h ar g e - o ffs,

and

T ransfers

and

to

V a l u a t io n R e s e r v e s

S e c u r it ie s , I n s u r e d C o m m e r c ia l B a n k s
(C o n t i n e n t a l U . S.

and

in

th e

U n it e d St a t e s

O t h e r A r e a s ), 1 9 5 3

(Amounts in millions)
Item

Total

On loans

On securities

Losses, charge-offs, and transfers to reserve accoun ts
(exclusive o f losses charged to reserve a cco u n ts)..
Losses and charge-offs...........................................................
Transfers to reserve accounts...............................................

$374
188
186

$164
32
132

$210
156
54

Losses and charge-offs (inclusive o f losses charged to
reserve a cco u n ts)............................................................
Losses and charge-offs (as shown above).............................
Losses charged to reserve accounts......................................

$315
188
127

$121
32
89

$194
156
38

Incom e

of

I nsured M

utual

Sa v in g s B a n k s

Sources and distribution of income in 1953. The total income of
insured mutual savings banks in 1953 was $684 million. Of this amount,
56 percent was income from real estate loans, 24 percent was income
from United States Government obligations, and 12 percent was income
from other securities. These and the lesser sources of income, as well as
the disposition of total income of insured mutual savings banks, are
illustrated in Chart H.
Ten percent of the total income was used to pay salaries and wages,
10 percent for other current expenses and taxes, and another 10 percent
to provide for charge-offs and nonrecurring expenses. Sixty-one percent
of the total income was used to provide dividends and interest to the
depositor-owners of the banks, and the remaining 9 percent was added
to surplus.
Comparisons with insured commercial banks. Loans provided
57 percent of the income of insured mutual savings banks in 1953, almost
the same percentage as in the case of insured commercial banks, although
the types of loans upon which income was earned differed markedly. In
comparison with commercial banks, a somewhat larger share of the total
income of mutual savings banks was derived from both United States
Government obligations and other securities, and a smaller share from
service charges and miscellaneous current income.



INCOME OF INSURED MUTUAL SAVINGS BANKS

Chart H.

39

S o u r c e s a n d D is p o s it io n o f T o t a l In com e,

I n s u r e d M u t u a l S a v in g s B a n k s , 1 953

In the disposition of their income the mutual savings banks differed
considerably from the commercial banks. Current expenses absorbed
19 percent of the income of mutual savings banks, but 60 percent of
that of commercial banks. This contrast arises primarily from the dif­
ferences in the kind of banking services provided, and from the fact
that payments made to depositors for use of their funds are operating
expenses in the case of commercial banks but not in the case of mutual
savings banks. Franchise and income taxes required one percent of the
total income of mutual savings banks, whereas income taxes took 14
percent of the total income of commercial banks.
Comparisons with 1952. The current operating income of insured
mutual savings banks was 14 percent greater in 1953 than in 1952.
Most of the increase was, of course, in income derived from real estate
loans, although the most marked percentage increase occurred in income
from securities other than United States Government obligations.
Income from sources other than current operations fell off by one-third
as compared with 1952, due chiefly to a reduction in the amount of funds
transferred from valuation adjustment provisions to income. The net



40

FEDERAL DEPOSIT INSURANCE CORPORATION

effect of the growth in current operating income and the decline in income
from other sources was an increase in total income of 9 percent. The
sources and disposition of total income of insured mutual savings banks
for 1953 and comparative data for 1952 are shown in Table 22.
T a b le 2 2 .

A m o u n t s a n d C h a n g e s in T o t a l I n c o m e , b y S o u r c e s a n d

D i s p o s i t i o n , I n s u r e d M u t u a l S a v in g s B a n k s , 1 9 5 2 -1 9 5 3
(Amounts in millions)
Change, 1952-1953

Amount
Item
1953
T otal in c o m e ..........................................................................
Sources
Current operating income...................................................
Real estate mortgage loans.................................................
U. S. Government obligations...........................................
Other securities..................................................................
Other current income..........................................................
Other income........................................................................
Nonrecurring income.........................................................
Realized profits and recoveries2.........................................
Transfers from valuation adjustment provisions..............
Disposition
Current operating expenses.................................................
Salaries and wages............................................................
Other current expenses.......................................................
Franchise or income taxes...................................................
Dividends and interest on deposits....................................
Other expenses......................................................................
Nonrecurring expenses......................................................
Realized losses2..................................................................
Transfers to valuation adjustment provisions...................
Net addition to surplus from operations...........................

$684
647
382
165
82
18
37
12
8

Amount

1952

Percent1

$ 58

9.2%

$626
568
327- —
16U*
63,
U
58
15

79
55
1

19
u
-21
-3

6

17

37

-20

127
65
62
8415
71

117
60*
57
9
365'
84
2U
26
3U
51

10
5
5
-1
50
-13

12

29
30
63

-12

3
-u
12

13.8
16.9
.5
30.3
2U
.6
-36.2
-16.9
3U.3
-55.0
9.1
8.7
9.U
-6.7
13.5
-16.1
-U8.9
9.2
- 12.6
23.0

1 Calculated before rounding of data.
2 Excludes recoveries credited and realized losses charged to valuation adjustment provisions.
Detailed data for 1952: See Table 115, p. 128.

Both salaries and wages and also other current operating expenses
of the insured mutual savings banks were greater by 9 percent in 1953
than in 1952, growing at about the same rate as did their deposits, assets,
and total income. Dividends and interest paid to depositors, taking
more than half of mutual savings bank income, grew by 14 percent;
and additions to surplus from operations grew by 23 percent. Some
classes of expenses, especially the nonrecurring expenses, were lower in
1953 than in 1952. Nonrecurring expenses are those which either are
applicable to prior accounting periods or are not sufficiently regular
in character to be treated as current operating expenses. Realized losses
increased in 1953, as compared to 1952, but transfers to valuation ad­
justment provisions decreased by a larger amount, so that the share
of total income used to provide for current and future losses was smaller
in 1953 than in 1952.
Rates of income on assets. From each major category of earning
assets, the rate of income received by insured mutual savings banks
was at least slightly greater in 1953 than in 1952. For some assets, es­



41

INCOME OF INSURED MUTUAL SAVINGS BANKS

pecially loans other than on real estate, the increase in rate of income
was of a magnitude comparable with the increase in rates of income
experienced in the same period by commercial banks. On real estate
mortgage loans, however, the amount of income received per $100 of
loans outstanding rose only from $4.08 in 1952 to $4.11 in 1953. In view
of the long terms of real estate mortgages, it is to be expected that
current movements in interest rates have only moderate effect upon
average rates of income received by mutual savings banks.
Data concerning amounts and rates of income on assets of insured
mutual savings banks are given in Table 23. The data given concerning
loan income are net of fees paid to servicing agents for servicing of mort­
gages owned by the bank, as well as of premium amortization. The
rates of income on mortgage loans shown as received by the banks are
therefore somewhat below the rates paid by the borrowers.
T a b le 2 3 .

In com e, A v e r a g e A s s e ts , a n d R a t e s o f In com e o n A s s e ts ,
I n s u r e d M u t u a l S a v in g s B a n k s , 1 9 5 2 -1 9 5 3
Per­
centage
increase1

1958

1952

T ota l in com e
Amount of income (in millions).......................................................
Average total assets (in millions)................... ...............................
Income per $100 of total assets1......................................................

$ 684
19,625
3.49

$

In com e on real estate m ortgage loans
Amount of income on real estate mortgage loans (in millions).. .
Average holdings of real estate mortgage loans (in millions).......
Income on real estate mortgage loans per $100 of real estate
mortgage loans1..............................................................................

382
9,288

327
8,012

16.9
15.9

4.11

4.08

.8

In com e on other loans
Amount of income on other loans (in millions).............................
Average holdings of other loans (in millions).................................
Income on other loans per $100 of other loans1.............................

5
103
5.04

4
86
4.73

27.4
19.5
6.6

Incom e on U. S. Governm ent obligations
Amount of income on U. S. Government obligations (in millions).
Average holdings of U. S. Government obligations (in millions). .
Income on U. S. Government obligations per $100 of U. S.
Government obligations1...............................................................

165
6,621

164
6,756

.5
-2.0

2.49

2.43

2.5

Incom e on other securities
Amount of income on other securities (in millions).......................
Average holdings of other securities (in millions)..........................
Income on other securities per $100 of other securities1...............

82
2,591
3.16

63
2,065
3.05

30.3
25.5
3.8

Item

626
17,906
3.50

9.2%
9.6
-.4

1 Calculated before rounding of data.

The total income of insured mutual savings banks in 1953 was equal
to 3.5 percent of their average total assets during the year, as it had
also been in 1952. That the ratio of total income to average total assets
remained unchanged while rates of income from each major category
of assets increased is due to two circumstances. First, the increase be­
tween 1952 and 1953 in average rates of income received by mutual
savings banks on their holdings of securities was very moderate, and
the increase in average rate received on their most important asset



42

FEDERAL DEPOSIT INSURANCE CORPORATION

category, real estate loans, was negligible. Second, there was, as earlier
noted, a decline of one-third between 1952 and 1953 in income other
than from current operations. Income of this kind does not affect rates
of income received on specific kinds of assets, but does affect the ratio
of total income to total assets. In 1952 the decline in such income was
sufficient to offset the slight upward pressure on total income arising from
increased rates of income on specific assets. Almost the whole of the
growth in income of these banks was therefore due to the increase in
the amount of their average assets. This was in contrast to the income
growth of insured commercial banks, for which higher rates of return
were primarily responsible.
Dividend rates and additions to surplus. The average rate of
dividends and interest paid on time and savings deposits of insured
mutual savings banks was 2.35 percent in 1953, as compared to 2.27
percent in 1952. This increase in dividend rate was less marked than
that which had occurred in the preceding year.
After meeting operating expenses and paying dividends to depositors,
the mutual savings banks had left nearly a tenth of their total income
to augment their surplus accounts. This was sufficient to increase the
amount of their surplus accounts by 3.5 percent. This was relatively
less than the growth in assets, so that the ratio of surplus accounts to
assets declined. For all insured mutual savings banks at the beginning
of the year this ratio was 9.3 percent, and at the close of the year 8.9
percent.




PART THREE
BANK-OBLIGATION INSURANCE SYSTEMS,




1829 TO 1866




P r o te c tio n

of

Bank

C r e d ito r s

in

I n s u r a n c e S y stem s,

S ta tes

1829

w ith
to

B a n k -O b lig a t io n

1866

Prior to Federal deposit insurance fourteen States made use of the
insurance principle to provide protection for bank depositors or note­
holders or both. The objectives and character of the insurance plans
adopted in these States are described in the preceding annual report of
the Corporation.1The results achieved under the six systems that operated
prior to 1866 are described here. A similar report for the eight insurance
plans adopted between 1907 and 1917 is now in preparation.
Bank-obligation insurance in individual States prior to 1866 has not
received the attention it deserves, despite the fact that some of the
States had a remarkable record in this field. In three of the States no
insured creditor suffered any loss as a consequence of bank failure, and
in two others a substantial portion of losses that would otherwise have
been borne by creditors was covered by insurance payments. In five of
the States insurance ended only because participating banks had become
national banks or were otherwise ineligible to continue in their respective
systems.
Character and extent of insurance. During the first thirty years
after organization of the Federal government in 1789, banks were char­
tered by special acts of State legislatures or the Congress, usually for a
limited number of years. For two-thirds of this period there were no
bank failures; but in the last third many failures occurred and great
controversies developed about the operations of banks and their place
in the economy. In consequence, the next forty years was a period of
development of banking codes and experimentation with various types
of banking systems. It was during this time that six States inaugurated
their systems of bank-obligation insurance. The plans, as would be
expected in such circumstances, had both similar and diverse
characteristics.
Insurance protection in these plans took three forms: establishment
of an insurance fund, mutual guaranty, and a combination of a fund
and mutual guaranty. In three cases—New York, Vermont, and Michigan
—participating banks paid assessments into a fund out of which creditors
of failed banks were to be paid the difference between their claims and
the amounts provided from receivers’ dividends. Under the mutual
guaranty system, which in its pure form was adopted only in Indiana,
participating banks were to be assessed enough to make possible, to­
gether with receivers’ dividends and stockholders’ contributions, the
payment of all debts within one year following closing of the distressed
bank. The combined fund and mutual guaranty plans, adopted by Ohio
1 Annual Report of the Federal Deposit Insurance Corporation for 1952, pp. 59-72.




45

46

FEDERAL DEPOSIT INSURANCE CORPORATION

and Iowa, provided that creditors of failed banks be paid immediately
the amount of their insured claims through special assessments on
participating banks, the banks in turn to be reimbursed from the fund.
Two devices were used in arranging for participation in the insurance
systems. In three States—New York, Vermont, and Michigan—the
plan applied to all banks chartered, or rechartered, after p>assage of the
Act. Inasmuch as most of the existing banks had been chartered for
limited periods of time it was contemplated that eventually all (or nearly
all) of the banks operating in these States would participate. In the other
three States—Indiana, Ohio, and Iowa—insurance applied to the socalled “ Branch Banks,” which were chartered by the Act establishing
the system, or organized later under its provisions. Such “ Branch Banks”
were what would now be called unit or independent banks, each with
its own stockholders, board of directors, and officers. The “ Branch
Banks” collectively constituted the “ State Bank,” of which there was
a Board of Control, or Board of Directors, composed of representatives
of the Branch Banks, or in part of such representatives and in part of
appointees by the State legislature. The Board did not itself engage in
any banking operations; it was a bank supervisory agency and adminis­
trator of the insurance system.
In the late 18307 before any of the insurance systems had been
s,
thoroughly tested by experience, a movement developed to authorize
the organization of any bank meeting stated requirements. The main
purpose of this “ free banking” movement was to curb monopolistic
tendencies in banking, but associated with it was an alternative for
insurance of circulating banknotes. This was the posting with State
officials, by each bank, of bonds or mortgages in an amount equal to
its total issues of such notes. Sponsors of “ free banking” claimed that
bank depositors could look after their own interests and neither insurance
nor posting of collateral was required for deposits. Many States adopted
the “ free banking” idea—including those which also made use of the
insurance principle, and “ free banks” were excluded from insurance
except in Michigan. Consequently the insurance systems did not become
as universal in coverage as had been anticipated, and in the two States
where bank-obligation insurance had been first introduced—New York
and Vermont—the number of banks participating decreased as charters
expired and stockholders reorganized their banks under the “ free banking”
laws.
The idea that depositors did not need as much protection as note­
holders also spread to the insurance systems. In the four systems estab­
lished prior to 1840, both depositors and noteholders—in fact, all creditors
—were protected. But in 1842 New York restricted the protection to
noteholders, and in the two insurance systems established later—Ohio
and Iowa—only noteholders were protected.



BANK-OBLIGATION INSURANCE SYSTEMS, 1 8 2 9 TO 1 8 6 6

47

The period of operation of the insurance systems in each of the six
States and a summary of the extent of participation in them are given
in Table 24. Annual data for the number of participating banks and
their obligations, both total and insured, are given in Tables 29, 30,
and 31, pages 60-65.
T a b le 2 4 .

E x ten t

Item

of

B a n k -o b lig a t io n

New York

Period of operation. . . .

1829-1866

Number of participating
banks:
Minimum (year). . . .
Maximum (year). . . .

2(1865)
91(1839)

Percent of all banks in
State participating:
Minimum (year). . . . 2.0%

Minimum (year). . . . $401
Maximum (year). . . . 66,781

(1865)
(1836)

Percent of all bank
obligations covered:
Minimum (year). . . . 0.4%
Maximum (year). . . . 90.6

(1840)

S t a t e s , 1 8 2 9 -1 8 6 6

Michigan

Ohio

1831-1866

1834-1866

1836-1842

1845-1866

1858-1865

10(1834-35)
3(1832)
13(1841-48) 20(1857-64)

4(1836,39)
47(1837)

8(1865)
41(1849-51)

8(1858)
15(1864-65)

81.3

$307
1,936

8.3%
(1864)

S ix

Indiana

(1837)

Obligations covered by
insurance or guaran­
ty (in thousands):

in

Vermont

9.8%
(1865)

Maximum (year). . . . 92.6

In su ran ce

78.3

Iowa

100.0%
12.5%
33.3%
51.6%
(1855)
(1836)
(1845)
(1858-65)
100.0
85.5
100.0
75.7
(1864)
(1834-51)
(1837)
(1858-65)
(1843)
(1858)

$2,182
$136
$107
$1,388
(1836)
(1845)
(1842)
(1858)
1,391
8,782
1,440
(1847)
(1862)
(1837)
(1850)
(1864)
(1858)

7,898

24.2%

8.0%
31.3%
18.1%
(1854)
(1845)
(1836)
(1858,64)
100.0
54.9
62.3
50.4
(1845)
(1859)
(1835-51)
(1838)
(1862)
(1858)

Detailed data: See Tables 29-31, pp. 60-65.

Banks in financial difficulties. In all six insurance systems operated
prior to 1866 one or more participating banks became involved in serious
financial difficulties. Table 25 shows the number and obligations of
participating banks in financial difficulties, along with comparable data
for non-participating banks.
Participating banks accounted for only about one-third of all banks
in financial difficulties during the insurance periods. In each of four
States the number of failing non-participating banks exceeded the number
of participating banks in financial difficulties. The greatest difference
occurred in Indiana where of a total of 70 cases of bank difficulty, 69
were non-participating banks. Only in Michigan were there more failures
among participating banks than among those not operating under
insurance. In Iowa, where all banks participated in insurance, there
was one case of a bank in serious financial difficulty.
In the five States for which comparison between the two groups of
failing banks can be made, failing participating banks were, on the
average, of larger size than failing non-participating banks in New York
and Indiana, and of smaller size in Vermont, Michigan, and Ohio. How­



FEDERAL DEPOSIT INSURANCE CORPORATION

48

ever, in Ohio the average size of failing participating banks would have
exceeded that of non-participating banks except for inclusion in the
latter group of the Ohio Life Insurance and Trust Company. That
company was one of the nation’s largest banks, with a considerable
portion of its business conducted in New York, and its failure was one
of the factors contributing to the panic of 1857.

T a b le 2 5 .

N u m b e r a n d O b l i g a t i o n s o f B a n k s in S e r i o u s F i n a n c i a l

D i f f i c u l t i e s , S t a t e s w i t h B a n k - o b l i g a t i o n I n s u r a n c e S y ste m s, 1 8 2 9 -1 8 6 6 1
(b y i n s u r a n c e p e r i o d )
Number
State and insurance
period

Total

Partici­
pating in
insurance

Obligations (in thousands) 2
Not
partici­
pating in
insurance

Total

Partici­
pating
banks

Nonpartici­
pating
banks

$16,567

Number or
amount:
233

81

152

$28,064

$11,497

.

78

21

57

14,119

6,893

.

6

2

4

622

172

450

.

70

1

69

3,151

78

3,0735

Six States........
New York
(1829-1866)..
Vermont
(1831-1866)4.
Indiana
(1834-1866)..
Michigan
(1836-1842)..
Ohio
(1845-1866)..
Iowa
(1858-1865)..

.

55

46

9

1,8106

1,1986

.

23

10

13

8,153

2,947

.

1

1

2097

7,2263

6126
5,206

2097

Percent
distribution:
Six States. . .
New York
(1829-1866)..
Vermont
(1831-1866)..
Indiana
(1834-1866).
Michigan
(1836-1842).
Ohio
(1845-1866).
Iowa
(1858-1865).

34.8%

65.2%

100.0%

41.0%

59.0%

100.0

26.9

73.1

100.0

48.8

51.2

100.0

33.3

66.7

100.0

27.7

72.3

100.0

1.4

98.6

100.0

2.5

97.5

.

100.0%

.
.
.
.

100.0

83.6

16.4

100.0

66.2

33.8

.

100.0

43.5

56.5

100.0

36.1

63.9

.

100.0

100.0

100.0

100.0

1 For participating banks includes all those in serious financial difficulties, whether or not they were
placed in receivership; for non-participating banks only those placed in receivership. The comparisons
are therefore somewhat unfair to participating banks, particularly in New York and Ohio.
2 Deposits plus circulating notes (unless otherwise indicated) at or nearest time of failure.
3 Deposit component estimated.
4 For purposes of comparison data are limited to period 1831-1858 since from 1859 through 1866
there were no banks participating in insurance.
6 Circulating notes only; deposit information not available.
6 Estimated circulating notes only. Deposits were largely held by non-participating banks but
sufficient information to provide an estimate is not available.
7 Estimated.

Differences among the States in average size of failing participating
and non-participating banks are reflected in Table 25. For example,
the larger average size of failing participating banks in New York is
shown by the fact that although these banks comprised only about



BANK-OBLIGATION INSURANCE SYSTEMS,

1 8 2 9 TO 1 8 6 6

49

one-quarter of all failing banks, they held almost half of the total obliga­
tions in such banks. Contrariwise, more than four-fifths of Michigan’s
bank failures were participating banks, but they held only about twothirds of the obligations of failing banks.
The chief explanation for the differences in average size described
above lies in the position of the “ free banks.” These banks had been
authorized in most instances subsequent to the adoption of the insurance
programs. Consequently, the insurance systems which excluded these
banks—such as New York, Indiana, and Ohio—contained the older,
longer established banks. On the other hand, Michigan’s insurance
system included the “ free banks” but not the older banks, none of which
were required to participate until the expiration of their charters.
The number of distressed participating banks in each State, by year,
is shown in Table 26. Also shown for each year are the proportions of
all participating banks and of their total obligations involved in bank
difficulties. It will be noted that of the total of 81 cases of bank difficulty
in all six systems, 64 occurred during the long depression of the late
1830’s and early 1840’s. Most of the remaining cases occurred in the
depression years of 1854 and 1857.
In Michigan all but one of the participating banks failed within three
years. In other States the number of banks in financial difficulty in any
one year was small, although one or a few banks which failed constituted
in some cases a sizable percentage of the banks participating.
Failing participating banks were generally of smaller size than other
participating banks. However, in a few instances larger participating
banks did become involved in serious financial difficulties. One such case
occurred in Ohio during 1857 when larger banks were in difficulty because
of the unavailability of their New York deposits.
Methods used to protect creditors of banks in financial
difficulty. The measures taken in some of the States by insurance
authorities to protect the creditors of failed banks, and of banks in
imminent danger of failing, were not wholly contemplated by insurance
legislation. Such measures were developed in an attempt to provide
better coverage or to meet emergencies not foreseen at the time insurance
was adopted. In general they represented improvements on the original
plans and some are similar to those used under Federal deposit insurance
today.
New York made several important changes in her original insurance
plan. When the solvency of three participating banks was threatened
in 1837, the State Comptroller, acting under a law passed in the same
year giving him wide discretion as to how best to protect creditors, did
not place the banks in receivership but began redeeming their notes



50

FEDERAL DEPOSIT INSURANCE CORPORATION

from the insurance fund. As a result the banks were kept from failing
and later repaid with interest the sums advanced from the insurance
fund. In another case occurring in 1837 a participating bank whose
charter had been revoked because of threatened insolvency was able to
resume operations under a new charter as a consequence of redemption
of its notes from money advanced by the insurance fund. It too repaid
the fund with interest.
T a b le 26.

JNu m b e r a n d O b l i g a t i o n s o f P a r t i c i p a t i n g B a n k s in

S e r io u s F in a n c ia l D i f f i c u l t i e s , S ta te s w it h B a n k -o b lig a t io n
I n s u r a n c e S y ste m s, 1 8 2 9 -1 8 6 6 1
Participating banks in serious
financial difficulties

Year
N. Y.

Vt.

Ind.

Mich. Ohio

Percent of all participating banks
and of their total obligations 2
Iowa

N. Y .

Vt.

Ind.

Mich. Ohio

Iowa

N um ber o f
banks
1837___
1838
1839
1840___
1841___
1842___
1843
1848___
1850
1852
1854___
1857___
1860

5.6%

5
303
133
34

1
2
4
5

1

i
1
3

2.2
4.5
5.9
2
1
3
4

1

7.7%

1.3

1

1.8
7.5

63.8%
76.5
75.0

10.0%

4.9%
2.4
7.7
11.1

14.3

8.3%

Obligations
(in th o u ­
sands)
1837___
1838

$1,4576

1840___
1841___
1842___
1843
1848___
1850
1852
1854___
1857___
1860

1839
633
1,830
1,166

2.0
4.4
3.5

$78

791
125
891

2.2%

$750«
3926
56«

$70

102

$562
182
1,019
1,184

3.6%

1.4
.3
3.8
$209’

53.9%
65.4
27.7

6.6%

13.1

4.7%
1.7
10.0
12.2

14.7%

1 Includes banks placed in receivership, banks temporarily suspending operations because of financial
difficulties, and bants receiving financial aid in order to continue operations.
2 Participating banks in financial difficulties during the year as percentage of the number in operation
at the beginning of the year. Total obligations in failing participating banks as percentage of total obliga­
tions in all participating banks at beginning of year or, where failures were concentrated in one or several
months, at dates nearest and prior to failures.
*
The exact number of banks which operated under the “ free banking” law is not known but it is
estimated that there were at least 40, of which it is estimated that 30 failed in 1838 and ten in 1839.
4 The Bank of St. Clair was permitted to leave the insurance system by special act of the legislature,
March 19, 1840. All other participating banks failed.
6 Deposit component estimated.
6 Computed from estimated data, circulating notes only.
7 Estimated.

In 1842 New York’s insurance system faced a crisis because of the
failure of eleven participating banks within three years and claims against
the fund which far exceeded its capacity. It was apparent that although
the system would eventually be able to meet all losses, payment of claims



BANK-OBLIGATION INSURANCE SYSTEMS, 1 8 2 9 TO 1 8 6 6

51

was being held up for lack of funds. A borrowing power was required in
order to provide for the large disbursements then necessary. Consequently,
in 1845 the New York State Comptroller was authorized to sell bonds
sufficient to meet all claims against the insurance fund, the bonds to be
redeemed from subsequent payments into the fund by participating
banks.
The question of whether to place a distressed bank in receivership
and pay insured creditors or to arrange for its continued operation arose
in the first two cases handled by the insurance authority in Ohio. In these
cases receivership would have deprived the respective communities of
needed banking services and, in addition, it was feared that the failures
would adversely affect the credit of the other participating banks. It
was therefore decided to prevent the closing of the banks if possible.
The only information available as to the actual procedure used in
each case is contained in the correspondence of supervisory officials.
In the first case it appears that the situation was handled in a fashion
similar to that used on occasion under Federal deposit insurance. That
is, a new group of stockholders, or a new bank in essence, assumed all
of the liabilities and assets of the failing bank, receiving in addition a
cash payment presumably equal to either the excess of liabilities over
assets or the amount of capital impairment. This is suggested by the
following extracts from a series of letters relating to the transaction: 1
July 23, 1850: A proposition has been submitted for the purchase of the
Summit [County bank]. This should be attended to.
August 2, 1850: It was not contemplated to make a requisition upon the
Branches to supply the deficiency in the stock of the Summit Co. until a sale
should be effected.
October 30, 1850: I received this morning . . . a verbal communication . . .
that our terms as to the transfer of the Summit Co. . . . were accepted.
November 2, 1850: M r_________________ and associates had made propositions
to purchase the Summit Co. . . . stock at the price, or rather loss, proposed by
the Board.
December 14, 1850: [to the new owners] There appears to be awarded to
you and associates $98,000 and to others $2,000, the aggregate being the entire
stock.
July 6, 1855: [in the course of discussing a different transaction] This . . .
differs from that of the Summit Co. Bk. . . . in that case the Board transferred
all the assets and liabilities and paid them for assuming them. [Underscoring
in the original].

In the second Ohio case there is less information on the procedure
used to protect creditors. Apparently the bank was taken over by the
Board of Control soon after it began operation. At a later period, when
losses had been made up, largely through special assessments levied on
the other participating banks, the stock was sold to new investors.
1 Letterbooks of the Board of Control of the State Bank of Ohio, MSS, Ohio State Archaeological

and Historical Society Library, Columbus.




52

FEDERAL DEPOSIT INSURANCE CORPORATION

During the panic of 1857 the Board of Control in Ohio kept a number
of distressed banks from closing by levying upon sound participating
banks the sums necessary to keep them open. Although there was no
legal obligation to make such contributions the participating banks did
so since, under the mutual guaranty of the Ohio system, large assessments
might eventually have resulted had the distressed banks been closed
and placed in receivership.
Significantly, the Board of Control held as security an equivalent
amount of circulating notes of the failing banks. This, at least, is the
interpretation which must be drawn from a letter to one of the distressed
banks: 1
It being understood that any advances which may be made to the Branches
in aid of each other during the present crisis are to be secured to the satisfaction
of the Prest. of the Board of Control, you will please forward to this office sealed
packages of your circulating notes containing sums equal to any advances made . . .

This arrangement was, in effect, a form of subordinated deposit. In
circulating notes the Board held claims against the banks involved
which were payable on demand but which, it was understood, would
not be exercised so long as their solvency was threatened. It might be
noted that a subordinated deposit procedure is included in the Federal
Deposit Insurance Act of 1950. 2
Indiana and Iowa each had only one case of a participating bank
involved in serious financial difficulty and in each instance the bank
was kept from closing through action taken by the insurance authority.
Little information is available on the precise techniques which were
used but it appears that financial aid was granted in each case, either
in the form of a loan or a subordinated deposit by some or all of the sound
participating banks. For Indiana this is suggested by the following
letter from the Secretary of the State Board: 3
Mr. Merrill [President of the system] conferred with the Branch here and
the conclusion was that this Branch handed him $2,500 with an understanding
that before he use it [for the failing bank] he was to get $5,000 from [the Branch
at] Richmond and $2,500 from [the Branch at] Madison. It will be to the true
interests of the Branches to sustain them.

In the Iowa case the assistance of the sound participating banks was
secured and some loss was suffered by stockholders. 4
Disbursements to protect creditors of distressed banks. Insurance
disbursements made on behalf of creditors of participating banks in
financial difficulties and the degree of protection achieved thereby are
shown in Table 27. In the six States combined, more than four-fifths
1 October 3, 1857, Letterbooks of the State Bank of Ohio, op. cii.
8 Federal Deposit Insurance Act, Section 13 (c); Section 1823 (c) Title 12, U.S.C.
3 December 2, 1842, Letterbook of the State Bank of Indiana, MS, Indiana State Library,
Indianapolis.
4 This is reported by Howard H. Preston, History of Banking in Iowa, (Iowa City: 1922), p. 106.
The Corporation's study of the Iowa system is not yet as complete as for the other States.




53

BANK-OBLIGATION INSURANCE SYSTEMS, 1 8 2 9 TO 1 8 6 6

T a b le

27.
I n s u r a n c e D is b u r s e m e n t s a n d B a n k C r e d it o r P r o t e c t io n ,
S t a t e s w i t h B a n k - o b l ig a t io n I n s u r a n c e S y s t e m s , 1 8 2 9 -1 8 6 6
(Amounts in thousands)

of bank
difficulty

Insured
Num ber obliga­
tions1

Banks placed in receivership
Pay­
ments
to in­
sured
credi­
tors
by re­
ceiver2

Protection of in­
Banks
sured creditors:
reha­
Payments to in­ bilitated Percentage of in­
sured creditors by with in­ sured obligations—
Claims
against insurance system surance
Made
insur­
aid:
avail­
ance
Dis­
Not
Percent
able to
burse­
system Amount
paid4
of
credi­
ments
claims
tors3

Total six
States........

81

$9,449

$2,630

$4,561

$3,307

72.5%

New York,
total........
1837 ___
1840........
1841 ___
1842
1848
1854
1857

21
5
2
4
5
1
1
3

$5,9125
1,4576
6337
1,8307
1,166
1928
125
509

$2,218
195
224
640
476
192
20
471

$2,971
193
446
1,724
533

$2,971
193
446
1,724
533

100.0%
100.0
100.0
100.0
100.0

Vermont,
total........
1839
1857

2
1
1

$172
70
102

Indiana,
total........
1843........

1
1

$78
78

Michigan,
total........
1838
1839
1840

46
30
13
3

$1,198
7501
0
392io
561
0

Ohio,
total........
1850
1852
1854
1857

10
2
1
3
4

$1,994
432
179H
511
872

Iowa, total
1860

1
1

$95
9514

$14
12
2

}

75
$69
34
35

}

75
$44
31
13

J 100.0

}
)

83.2%

16.8%

95.3%
100.0
100.0
100.0
86.5
100.0
| 89.3

$327

4.7%

33.7%
61.4
14.7

63.8%
91.2
37.1
(9
)
(9
)

13.5
1 10.7
66.3%
38.6
85.3

100.0%
100.0
100.0%
100.0
100.0
100.0

$398

$292

$292

5
393

174
118

174
118

100.0%
100.0
100.0

$327
190
(1 )
2
8113
56

100.0%
100.0
100.0
100.0
100.0

(9
)
(9
)

o
©
op
©©

$1,198
750i°
3921°
561°

!
<
'

State and

Participating
banks in
serious financial
difficulties

1 At time of failure or last report prior to failure.
2 Amounts for New York in 1840,1841, and 1842, and Vermont in 1839 and 1857, represent reported
receivers’ collections. The amounts of receivership expenses charged against these sums, if any, are not
known.
3 Through payments by receivers and payments on claims in receivership cases, and through re­
habilitation of the bank in other cases.
4 In New York and Vermont chiefly because claims were not presented.
6 Circulating notes and deposits through 1842; circulating notes only 1848,1854, and 1857. Deposits
of two banks which failed in 1842, after passage of the law restricting insurance to circulating notes,
are included because of recognition of the liability of the insurance fund for their deposits by an act
passed in 1845.
6 Circulation at time of closing plus estimated deposits. Deposits estimated by assuming that
average decline in circulation of 19 percent between reporting date and dates of failure was matched
by a similar decline in deposits. Four of these banks were enabled to resume operations because of in­
surance aid.
7 Excludes obligations fraudulently issued and not shown on books at last reports prior to failure.
Most of these obligations were nevertheless valid claims in the hands of ultimate holders and were paid
by either the receiver or the insurance system. The difference between the total payments and the
amount of insured obligations exceeds the illegal issue by reason of: (1) the unknown amount of re­
ceivers* expenses (2) the difference between insured obligations at last report prior to failure (shown
here) and insured obligations at time of failure.
8 Records conflict as to circulation outstanding at time of failure, $186,000 being given in some
reports.
9 Amount of disbursements, presumably in the form of loans, made to rehabilitate bank not known.
1 Circulating notes only; deposit information not available.
0
1 Includes, as of date just prior to failure, notes in circulation of $156,000 plus $23,000 carried under
1
liabilities as “ sundries.” The latter sum probably represented circulating notes held as security by other
“ Branch Banks” for amounts previously advanced to sustain the failing bank.
1 Excludes the $23,000 mentioned in note 11 because the circulating notes presumably held as se­
2
curity by the other participating banks are assumed to be included among those redeemed by the pay­
ments to insured creditors.
1 Disbursement made to one of the banks prior to failure in an unsuccessful effort to prevent its
3
closing. The amount advanced in this case was apparently not recovered by the contributing banks.
1 Estimated.
4




54

FEDERAL DEPOSIT INSURANCE CORPORATION

of insured obligations in failing banks were made available to creditors
either through direct payments by the insurance systems and receivers
or through rehabilitation of distressed banks by insurance disbursements.
In individual States the degree of protection provided ranged from 100
percent in Indiana, Ohio, and Iowa to zero in the case of Michigan.
It will be noted that in some cases claims against the respective in­
surance systems were considerably less than the obligations insured at
or near time of failure. This was because four of the insurance plans—
New York, Vermont, Indiana, and Michigan—provided that insurance
payments need not be made until the receivers of the failed banks had
an opportunity to dispose of at least some of the assets and declare a
dividend. Although in Ohio and Iowa creditors of failed banks were to
be paid immediately, in practice there was sufficient time between the
failure of the bank and the return of circulating notes for redemption
to realize upon a portion of the assets of the bank involved.
Better protection of creditors of banks involved in financial difficulties
was achieved by the systems with mutual guaranty than by the simple
insurance fund systems. Full payment was made to the creditors of four
banks which had been placed in receivership in Ohio. In the case of eight
other distressed banks—six in Ohio and one each in Indiana and Iowa—
insurance disbursements made possible the continued operation of either
the bank involved or a successor bank. In Ohio and Iowa, where only
circulating notes were protected by insurance, this had the incidental
effect of providing full coverage for depositors.
Although all claims against New York’s insurance fund were paid,
as shown in Table 27, protection of creditors in that State was not as
complete as was the case in Indiana, Iowa, and Ohio. This was because
money was not immediately available to meet the claims of most creditors
of the banks which failed during and after 1840. As was pointed out
earlier, it was not until 1845 that the insurance authority in New York
was given power to borrow money and it was several years after that
before all claims arising from the 11 banks which failed in 1840-42 had
been presented and paid. Presumably most of these creditors suffered
some hardship and many disposed of their claims for less than full value.
Creditors of four of the five participating banks which failed in New
York after 1845 fared even more poorly. Under the 1845 law arrange­
ments to meet their claims could not be made until the bonds previously
issued had been retired. Although receivers’ dividends considerably
reduced these claims, full payment was made on those remaining in
1866 only because so few were presented.
Less than two-thirds of insured claims were paid by insurance
authorities in Vermont. This was chiefly due to the inadequacy of the



BANK-OBLIGATION INSURANCE SYSTEMS,

1 8 2 9 TO 1 8 6 6

55

insurance fund when the last Vermont failure occurred. The fund had
been diminished because of repayments to some participating banks
of the amount of their insurance assessments when they withdrew from
insurance under an option available to them. Such repayments were
later found to have been contrary to law but could not be recovered.
Michigan provides the only instance in which the insurance system
was unable to meet any of the claims made against it. This was primarily
due to the banking developments of the years immediately following its
adoption rather than to deficiencies in the insurance plan or its administra­
tion. Shortly after insurance began in 1836 seven banks were chartered
and thus became members of the insurance system. In March of 1837
a “ free banking” act was passed which resulted in the establishment by
the end of the year of at least 40 banks. These banks, which also auto­
matically became members of the insurance system, started while specie
payments were suspended in Michigan as a consequence of the panic
of 1837. When specie payments were resumed early in 1838 most of these
banks immediately failed and their obligations became claims upon the
insurance fund even though they had paid little or nothing into it.
Since the small sums secured from assessments prior to 1838 had already
been used to meet supervisory expenses it was not possible to pay any
insured claims.
Adequacy of insurance funds and assessments. Measures of
the adequacy of the insurance funds and rates of assessment in the five
State systems embodying an insurance fund are shown in Table 28.
It will be noted that in three States the funds and assessment rates
were sufficient to cover all insurance costs, although as was pointed out
earlier they were not sufficient in New York to cover all disbursements
at the time such were needed.
At the time of closing of the insurance systems the insurance funds
of Ohio and Iowa were at the levels required by law. New York’s in­
surance fund had a balance of about $13,000 but Vermont’s fund had
fallen short of the claims against it by about $22,000 and Michigan’s
by more than $1 million. The balance in Ohio and Iowa was distributed
among the participating banks and in New York it was turned over to
the State treasurer.
The average ratios of the insurance funds to total and to insured
obligations varied considerably from State to State. Michigan’s insurance
fund averaged less than one-tenth of one percent of insured obligations,
while the funds in Ohio and Iowa were 12 and 21 percent respectively
of insured obligations. It should be noted, however, that in Vermont,
Ohio, and Iowa, and in New York prior to 1840, most of the income
derived from investment of the insurance funds was returned to the
participating banks in proportion to their contributions.



FEDERAL DEPOSIT INSURANCE CORPORATION

56

I n s u r a n c e F u n d s a n d A s s e s s m e n ts , S t a t e s w i t h
B a n k - o b l i g a t i o n I n s u r a n c e S y ste m s, 1 8 2 9 - 1 8 6 6 1
(Amounts in thousands)

T a b le 2 8 .

Item

New York
(1829-1866)

Vermont
(1831-1866)

Michigan
(1836-1842)

Ohio
Iowa
(1845-1866) (1858-1865)
1

Insurance fu n d s:
$192

$19

$0.3

$759

$196

Average insured obligations. ..

0.6%
1.0

2.0%
2.0

.09%
.09

7.7%
11.5

8.4%
21.4

Balance or deficiency at close
of system................................

$13

-$22

-$1,198

Assessments and income avail­
able for insurance operations:
Assessments paid 3....................
Interest received 4.....................

$3,221
3,120
101

$63
63

$3
3

Used for insurance opera­
tions ....................................
Refunded
to
banks
or
State 6.................................

3,208

44

7225

13

19

845

Assessments necessary to cover
insurance costs.......................

$3,208

$66

Equivalent average annual rate
o f assessments on total
obligation s:
Paid.................................................
Necessary to cover insurance
costs 7......................................

0.24%

0.2%

0.25

0.2

Average size...................................
As percent of—

$8152

$3382

Assessments an d fu nd in com e:

$1,198

0.1%
51.5

$1,567
1,567

$338
338

338

$7225

0.8%

1.8%

0.4

(8
)

1 In Indiana the insurance system was one of mutual guaranty with no fund.
2 Amount in fund in last year of full operation of insurance system.
3 Assessments paid and used for insurance operations other than administrative expenses except
in Michigan, where amount paid was completely absorbed by such expenses.
4 In excess of amounts used to pay administrative expenses and amounts paid to banks. In Vermont,
Ohio, and Iowa such expenses absorbed the whole of investment income.
5 Total of special assessments used to redeem notes of failed banks or aid operating banks plus
estimated amounts secured from assets in insurance funds of failed banks. Recoveries from other assets
of such banks by insurance system are not known.
6 In New York paid into State treasury; in Vermont refunded to six banks withdrawing prior to
close of system; in Ohio refunded to one bank withdrawing prior to close of system and to all banks at
close of system; in Iowa refunded to all banks at close of system.
7 In Indiana, with no fund, and assessments levied only when necessary to meet the obligations
of a failed bank, no assessments were necessary, though in one case funds were advanced to help avert
a failure.
8 Banks advanced funds in one case to help avert a failure but no losses fell on the fund.
Detailed data: See Table 32, pp. 66-67.

All of the assessments paid by participating banks were on capital
stock or insured obligations and were intended to be made for a limited
number of years. However, to provide a basis for comparison with rates
under Federal deposit insurance, the equivalent average annual rates
on total obligations, i. e., deposits plus circulating notes, are shown in
Table 28. On this basis it will be seen that the rate most closely approxi­
mating the present statutory rate of one-twelfth of one percent under
Federal deposit insurance was Michigan’s one-tenth of one percent per
year. Other rates were substantially higher, ranging from one-fifth of
one percent in Vermont to almost two percent in Iowa.
Included in Table 28 are the assessment rates which would have been
necessary to cover the insurance costs. Because of the relatively small



BANK-OBLIGATION INSURANCE SYSTEMS,

1 8 2 9 TO 1 8 6 6

57

surplus and liability in New York and Vermont respectively such rates
in those States do not differ markedly from those actually paid. In Ohio
the rate could have been halved and in Iowa eliminated so far as the
ultimate cost of insurance—but not disbursements—was concerned.
On the other hand, to have been successful in the short and disturbed
period in which it operated, Michigan's insurance system would have
required a tremendously high assessment rate.
The differences between actual rates and computed necessary rates
in Michigan, Ohio, and Iowa do not depend solely on the claims made
by creditors of failed banks. In other words, Michigan’s computed rate
is high because of the small number of years over which the required
funds would had to have been contributed. The computed necessary
rate would have been much lower for Michigan if its system had started
earlier, or had experienced a decade or two of prosperous years before
encountering a wave of failures, and if it had had power to borrow funds
to meet claims as they arose. On the other hand, the lower computed
rates necessary for Ohio and Iowa do not take into account the fact that
the contributions actually paid provided insurance funds of substantial
size, the existence of which was probably in part responsible for preventing
the failure of more banks in these States.
Appraisal of bank creditor protection. The insurance and mutual
guaranty plans adopted prior to 1866 provided creditors of failing banks
with a degree of protection previously unknown in American banking;
but, as has been indicated, only part of them were wholly successful in
preventing losses to depositors and noteholders.
All of these pioneer systems operated under handicaps that were
inherent in the insurance plans or resulted from external pressures. The
most serious defect was in the systems of New York, Vermont, and
Michigan, where there was neither a mutual guaranty nor provision
for an original fund or for borrowing power. In Michigan and Vermont
the first failures came before a sufficient fund had been accumulated,
and these were so serious in the former State that the system collapsed.
In New York the fund was provided with borrowing power a decade
and half subsequent to its establishment, after insurance operations
had temporarily broken down.
A handicap common to all six of the insurance plans, associated with
the lack of borrowing power, was the pressure for rapid liquidation
arising out of the regulations governing the payment of insured creditors.
Liquidation under pressure usually results not only in smaller recovery,
but also tends to adversely affect values in a market likely to be already
depressed. In New York, Vermont, and Michigan such pressure came
from creditors, who, under most circumstances, could not be paid until
the liquidation of the failed bank had been wholly or substantially



FEDERAL DEPOSIT INSURANCE CORPORATION

58

completed. Indiana’s insurance plan was also subject to the same handicap
although the problem never arose in practice. In Ohio, and inherent in
the Iowa plan, pressure for rapid liquidation came from the participating
banks because the assessments necessary to make prompt payments to
creditors could be lessened, or even avoided, if sufficient funds were
secured from the receiver.
There are numerous illustrations in the correspondence of the Ohio
State Board of Control to illustrate the practical workings of the regula­
tions applicable to the payment of creditors of a failed bank. For example,
the receiver of one failed bank was warmly commended “ .....for, bad
as the assets of a broken bank usually are, it is surely something to be
able to say that enough has been realized to take up the circulation.....
without calling upon others to make advances..... ” Similarly, the re­
ceiver of another failed bank was informed by the head of the system:
I have been ready at any time since the meeting of the Board of Control to
close the transaction of our interest in the [assets] . . . I desire, as soon as it can
be done, to have the cash payment made, as our fund for redeeming the notes . . .
is exhausted, and I wish to avoid calling on the [participating banks] if possible.

The systems in Ohio, Indiana, and Iowa were also defective in that
assessments to redeem the notes of failed banks were made only after a
bank failed, and therefore came at a time when it was difficult for the
participating banks to meet them. Although Indiana and Iowa were not
affected in practice by this procedure, because assessments were never
necessary, there is evidence of the weakness of the procedure from the
operation of the Ohio system. It is clear that part of the pressure for
rapid liquidation in Ohio stemmed from the inability of some banks to
meet an assessment and the undesirability of assessing others at a time
when all were suffering from the impact of a depression.
In two of the six States, Ohio and Iowa, sizable insurance funds were
provided immediately upon organization of the systems. In these States
participating banks were required to make the major portion of their
insurance contribution prior to opening for business. Consequently it
is probable that confidence in the safety of insured obligations was more
widespread among creditors, and was achieved more quickly, than was
the case in New York, Vermont, and Michigan. Also, the assessment
rates in Ohio and Iowa, as computed on an equivalent annual average,
were much higher than in the other States.
Banking and business developments during the early years of the
insurance systems was also an important factor in their success or failure.
This is particularly evident when the Michigan experience is compared
with that in Ohio or in Iowa. Mention has been made above of the collapse
of the Michigan system, which was started at a time when the nation
was on the verge of a deep and prolonged depression. In Ohio the system



BANK-OBLIGATION INSURANCE SYSTEMS, 1 8 2 9 TO 1 8 6 6

59

was established after recovery from that depression was under way;
and in Iowa after the panic of 1857. In each case there was a subsequent
and fairly prolonged period characterized by general prosperity and
relatively few bank failures.
Another vital element in the results of bank-obligation insurance
prior to 1866 was the quality of bank supervision. In each of the six
States bank supervision was an integral part of the system and some
of the basic principles of bank supervision today were embodied in the
early laws providing for insurance of bank obligations.
The influence of supervision is reflected in the record of all of the
State systems. As a factor in the successful operation of insurance it was
most important in the cases of Indiana, Ohio, and Iowa. In Indiana,
which must be reckoned as the most successful of all systems in terms
of minimization of banking difficulties over a prolonged period of time,
it is difficult to attribute the success of the system to anything other than
the excellence of supervision, for it was subject to some of the handicaps
described above. The Indiana system had neither an original nor ac­
cumulated fund upon which to draw; and had been in operation only
a short time before the panic of 1837 and the long depression of the
late 1830’s and early 1840’s.
The distinguishing characteristics of supervision under the Indiana,
Ohio, and Iowa systems when contrasted with New York, Vermont,
and Michigan were, first, supervisory officials were largely chosen by
and responsible to the participating banks and, second, under mutual
guaranty the cost of lax supervision fell upon the participating banks.
Consequently, supervisory officials in the first three States were not
only provided with sufficient authority to prevent the continuance of
unsafe and unsound banking practices but were also under continual
pressure from sound participating banks to be especially vigilant against
such practices.
The development of bank supervision under all of the bank-obligation
insurance systems operated prior to 1866 was one of their notable features.
A more detailed study of this aspect of the systems is in preparation.
Detailed tables. Tables 29, 30, 31, and 32 give, respectively, annual
data regarding the number of banks, their total obligations, their insured
obligations, and the status of their insurance funds for each of the six
States.
Data presented in these detailed tables were taken wherever possible
from primary source material, particularly official reports included in
State documents. While it is believed that these data are the best presently
available, it is anticipated that continuing research will make refinements
and corrections possible at a later date.



D

e t a il e d

T

ables:

N

o f B a n k s , O b l ig a t io n s o f B a n k s , a n d I n s u r a n c e F
B a n k - o b l i g a t i o n I n s u r a n c e S y s t e m s , 1829-1866

um ber

Year
end

Participating
banks

Total

Participating
banks

Total

Participating
banks

Total

Total

Participating
banks
Number Percent

Number Percent

Number Percent

Num ber Percent

Number2 Percent

Participating
banks

Iowa

Ohio

Michigan

Indiana

43
49
63
69
79
86

23
29
51
58
69
76

53.5
59.2
81.0
84.1
87.3
88.4

10
13
17
17

3
7
8

23.1
41.2
47.1

10

10

100.0

1835..
1836..
1837..
1838..
1839..

86
98
95
1124
1724

77
90
88
89
91

89.5
91.8
92.6
79.5
52.9

19
19
19
19
19

9
9
10
10
10

47.4
47.4
52.6
52.6
52.6

10
11
11
13
13

10
11
11
13
13

100.0
100.0
100.0
100.0
100.0

1840..
1841..
1842..
1843..
1844..

1654
1554
1454
134
148

895
85
81
80
80

53.9
54.8
55.9
59.7
54.1

17
17
17
16
17

10
13
13
13
13

58.8
76.5
76.5
81.3
76.5

13
13
13
13
13

13
13
13
13
13

100.0
100.0
100.0
100.0
100.0

1845..
1846..
1847..
1848..
1849..

148
150
167
182
190

78
77
77
76
75

52.7
51.3
46.1
41.8
39.5

17
17
18
21
23

13
13
13
13
11

76.5
76.5
72.2
61.9
47.8

13
13
13
13
13

13
13
13
13
13

100.0
100.0
100.0
100.0
100.0

31
34
47
54
56

16
18
30
38
41

51.6
52.9
63.8
70.4
73.2

1850..
1851..
1852..
1853..
1854..

209
243
276
322
333

71
69
67
57
52

34.0
28.4
24.3
17.7
15.6

27
31
32
33
40

10
9
9
9
9

37.0
29.0
28.1
27.3
22.5

13
13
28
43
103

13
13
13
13
13

100.0
100.0
46.4
30.2
12.6

57
70
67
66
58

41
41
39
39
37

71.9
58.6
58.2
59.1
63.8

4
473
173
4

Number Percent

33.3
85.5
68.0
44.4

6
2
2

CORPORATION




12
553
253
9

Participating
banks

INSURANCE

1829..
1830..
1831
1832!!
1833..
1834..

Total

DEPOSIT

Total

w it h

N u m b e r o f B a n k s , S t a t e s w i t h B a n k - o b l i g a t i o n S y ste m s, 1 8 2 9 -1 8 6 6 1

Vermont

New York

Sta te s

FEDERAL

T a b le 2 9 .

unds,

286
312
294
301
303

42
40
32
30
28

1860.
1861.
1862.
1863.
1864.

306
302
308
309
284

25
24
17

1865.
1866.

99
77

1
0

(9
)

14.7

12.8
10.9
10.0
9.2

8.2

7.9
5.5
3.2

2.1
2.0
(9
)

42
41
41
41
41
41
40
41
41
40

6
5

(7
)

21.4
17.1
14.6
9.8

(7
)

104
53
46
38
37

13
13
206
20
20

(8
)
(8
)

(8
)
(8
)

58
57
53
54
54

36
36
36
36
36

62.1
63.2
67.9
66.7
66.7

8
12

8
12

100.0
100.0

20
20
20
20
20

40
38
38
34
30

12.5
24.5
43.5
52.6
54.1
50.0
52.6
52.6
58.8
66.7

55
53
53
51
37

36
36
36
36
28

65.5
67.9
67.9
70.6
75.7

14
14
14
14
15

14
14
14
14
15

100.0
100.0
100.0
100.0
100.0

8

66.7
(8
)

15

15

100.0

(8
)
(8
)

12
(8
)

(8
)

SYSTEMS,
1829
T
O
1866




INSURANCE

1 For periods of operation of the insurance systems. Excludes private banks and, for 1863-66, national banks.
# 2 Each of two participating banks had one branch during a portion of the insurance period, which branches were sometimes reported as separate banks. They are here included
with the parent banks.
3 Partially estimated. The exact number of banks which went into operation under the “ free banking” act of 1837 is not definitely known.
4 Partially estimated. Some banks opened under the provisions of the “ free banking” act of 1838 did not report their assets and liabilities to the Bank Commissioners, and the
number of such banks in actual operation during these years is not definitely known.
5 Excludes Wayne County Bank which failed near close of year but was included in Bank Commissioners’ report.
6 The Bank of the State of Indiana, consisting of 20 Branch Banks, succeeded the State Bank of Indiana system of 13 Branch Banks.
7All banks had withdrawn from insurance by 1859 but the insurance fund remained intact and, in 1866, was ordered paid to the creditors of the Danby Bank by the Vermont
Supreme Court.
8 Most banks converted to national banks during 1865-66. The number of banks remaining in operation and the amount of their obligations, in Indiana at the end of 1865-66,
and in Ohio at the end of 1866, are uncertain.
9 The charters of the last two participating banks expired in 1866.

BANK-OBLIGATION

1855.
1856.
1857.
1858.
1859.

O*
*
i—■

T a b le 3 0 .

T o t a l O b l i g a t i o n s , B a n k s in S t a t e s w i t h B a n k - o b l i g a t i o n I n s u r a n c e S y s te m s , 1 8 2 9 -1 8 6 6 1
(Amounts in thousands of dollars)

Year2

All
banks3

Vermont

Participating
banks
Percent3

Total

All
banks

Percent

Michigan

Participating
banks
Total

All
banks5

Percent4

Ohio

Participating
banks
Total5

Percent

136
1,391
599
202

All
banks6

Iowa

Participating
banks

8.0
52.4
62.3
52.5

Total

Percent

(8
)
37,7409
33,333®
38,9889
46,9589
56,723<>

(8
)
11,142
26,027
30,986
38,353
47,304

(8
)
29.5
78.1
79.5
81.7
83.4

1,405
(8
)
1,502
1,647

(8
)
(8
)
454
579

(8
)
(8
)
30.2
35.2

(8
)

(8
)

(8
)

1835..
1836..
1837..
1838..
1839..

73,382
79,313
48,272
57,183
44,456

59,201
66,781
41,314
50,293
32,346

80.7
84.2
85.6
88.0
72.8

1,856
2,511
1,784
2,255
2,249

697
1,000
873
1,059
1,029

37.6
39.8
48.9
47.0
45.8

3,266
5,603
3,910
3,941
3,695

3,266
5,603
3,910
3,941
3,695

100.0
100.0
100.0
100.0
100.0

1840..
1841..
1842..
1843..
1844..

45,490
43,656
45,241
63,596
70,786

41,224^0
33,229
33,047
47,099
49,828

90.6
76.1
73.0
74.1
70.4

1,338
1,791
1,080
1,513
2,033

748
1,353
787
1,179
1,552

55.9
75.5
72.9
77.9
76.3

3,652
3,722
2,182
2,602
3,538

3,652
3,722
2,182
2,602
3,538

100.0
100.0
100.0
100.0
100.0

1845..
1846..
1847..
1848..
1849..

71,953
69,027
81,948
69,016
84,602

50,551
47,262
57,040
54,655
53,959i2

70.3
68.5
69.6
79.2
63.8

1,688
1,900
2,768
2,019
2,673

1,321
1,388
1,936
1,186
1,329

78.3
73.1
69.9
58.7
49.7

4,163
3,960
4,458
4,260
4,071

4,163
3,960
4,458
4,260
4,071

100.0
100.0
100.0
100.0
100.0

7,679
9,453
13,854n
14,286
16,463

2,384
4,095
7,235
9,331
11,104

31.0
43.3
52.2
65.3
67.4

1850..
1851..
1852..
1853..
1854..

109,436
92,730
141,877
134,592
123,311

51,23212
49,806i2
48,75312
36,735i2
27,41912

46.8
53.7
34.4
27.3
22.2

3,475
4,099
4,577
5,552
4,832

1,265
1,276
1,427
1,659
1,269

36.4
31.1
31.2
29.9
26.3

4,177
4,676
6,184
9,274
15,433

4,177
4,676
5,094
4,829
3,733

100.0
100.0
82.4
52.1
24.2

17,467
11,878
18,436
11,871
20,205
12,355
19,37013 12,404
14,359
8,863

68.0
64.4
61.1
64.0
61.7

Total7

Percent

585
176
250

CORPORATION




1,690
2,657
962
387

Participating
banks

INSURANCE

1829..
1830..
1831..
1832..
1833..
1834..

All
banks7

DEPOSIT

Total

All
banks

Indiana

Participating
banks

FEDERAL

New York

151.398
161,590
129,360
175,153
164,050

23,816
23,723
13,175
16.694
15,328

1860..
1861..
1862..
1863..
1864..

178,179
196,581
297,397
311.399
326,421

14,367
17,311
20.695
19,881
13,576

1865..
1866..

59,969
47,703

710

(1)
7

15.7
14.7

10.2
9.5
9.3

8.1
8.8

4,571
4,765
5,024
3,693
4,624

1,323
780
644
307

(1)
6

28.9
16.4

1
2.8

8.3
(16)

9,084
7,196
6,910
7,450
7,132

7.0
6.4
4.2

4,329
3,261
6,739
7,396
8,195

9,185
7,672
10,130
10,234
6,527

1.2
(1)
7

4,274
708

(18)
(18)

4,084
4,195

4 71
,0 6 6
5,643
5,202

6,997
5,876i5
7,8£~

7 41
,6 8 5
4,419
(18)
(18)

45.0
58.3
59.0
75.7
72.9

17,30613
16,96314
11,206
13,39814
13,290

11,237
10,796
8,369
9,887
9,712

64.9
63.6
74.7
73.8
73.1

342
1,425

342
1,425

100.0
100.0

76.2
76.6
78.0
74.7
67.7

13,838
15,63414
20,002
18,90014
16,267

9,523
10,969
13,166
12,150
9,721

68.8
70.2
65.8
64.3
59.8

1,980
2,132
2,283
3,412
4,326

1,980
2,132
2,283
3,412
4,326

100.0
100.0
100.0
100.0
100.0

(18)
(18)

(18)
(18)

(!8
)
(18)

2,836

2,836

100.0

(18)
(18)

1829
T
O

1866




SYSTEMS,

t Percentages after 1851_ are not precise measures since reports of participating and non-participating banks were for different dates in each year.
IJata consist m part of estimates, particularly in the case of “ free banks” , and include circulating notes only. Deposit information is not sufficiently available for estimation.
, , “/-onsists ol end of year data for participating banks (except for 1845 where February 1846 data were used for all banks) plus available data for non-participating banks. Such
data for the latter group of banks were generally for early November dates.
I R aia for.,1? ? 8, 1859» and 1860 are for February dates in succeeding years, for 1865 are for an April date in the same year, and for 1861 are estimated.
8 Not available.
9 Estimated.
1 Includes data for one bank which failed near the end of the year.
0
1 Excludes data for seven participating banks and one non-participating bank, in operation by end of year but apparently not in operation at time of report.
1
1 Consists of circulating notes, shown m Table 31 as insured obligations, plus estimated deposits.
2
1 Includes data for one non-participating bank not in operation at year-end.
3
1 Excludes data for one non-participating bank.
4
,,
^atasecured by subtracting from deposits and circulating notes of all Indiana banks, as shown in the 1876 report of the Comptroller of the Currency, the respective amounts
attributed to free banks m the State Auditor’s reports for the indicated years. The dates of the two sets of reports differ and the results probably understate the actual amount of
deposits and circulating notes.
1 See note 7, Table 29.
8
1 See note 9, Table 29.
7
1 See note 8, Table 29.
8

INSURANCE

1 F°r Periods of operation of the insurance systems. Excludes obligations of private banks and, for 1863-66, of national banks. Total obligations as used here include circulating
notes and business, personal, interbank, and government deposits; capital accounts and miscellaneous liabilities are excluded.
2 All data are for dates nearest end of year, except where otherwise indicated.
banks overstated^or^th^0^ ^ 1 ^ ^
1 >an^s were no^ available for 1838-1842,1850, and 1854. Total obligations are thus understated, and the proportions of such obligations in participating

BANK-OBLIGATION

1855..
1856..
1857..
1858..
1859..

05
CO

Table 31.

I n s u r e d O b l i g a t i o n s , P a r t i c i p a t i n g B a n k s in S t a t e s w i t h B a n k - o b l i g a t i o n I n s u r a n c e S y ste m s, 1829-18661
(Amounts in thousands of dollars)

New York

Vermont

Percent of:
Amount
Year2
of
insured
obliga­
tions

Total
obliga­
tions
of all
oper­
ating
banks

Percent of:
Amount
of
insured
obliga­
tions

Total
obliga­
tions
of
partici­
pating
banks

Total
obliga­
tions
of all
oper­
ating
banks

Michigan

Percent of:
Amount
of
insured
obliga­
tions

Total
obliga­
tions
of
partici­
pating
banks

Total
obliga­
tions
of all
oper­
ating
banks

Ohio

Percent of:
Amount
of
insured
obliga­
tions3

Total
obliga­
tions
of
partici­
pating
banks

Total
obliga­
tions
of all
oper­
ating
banks

136
1,391
599
202

100.0
100.0
100.0
100.0

Iowa

Percent of:

8.0
52.4
62.3
52.5

Amount
of
insured
obliga­
tions

Total
obliga­
tions
of
partici­
pating
banks

Total
obliga­
tions
of all
oper­
ating
banks

(5
)
11,142
26,027
30,986
38,353
47,304

(6
)
100.0
100.0
100.0
100.0
100.0

(5
)
29.5
78.1
79.5
81.7
83.4

(6
)
(6
)
454
579

(6
)
(5
)
100.0
100.0

(8
)
(5
)
30.2
35.2

(6
)

1835..
1836..
1837..
1838..
1839..

59,201
66,781
41,314
50,293
32,346

100.0
100.0
100.0
100.0
100.0

80.7
84.2
85.6
88.0
72.8

697
1,000
873
1,059
1,029

100.0
100.0
100.0
100.0
100.0

37.6
39.8
48.9
47.0
45.8

3,266
5,603
3,910
3,941
3,695

100.0
100.0
100.0
100.0
100.0

100.0
100.0
100.0
100.0
100.0

1840..
1841..
1842..
1843..
1844..

41,2246
33,229
8,926
13,054
14,880

100.0
100.0
27.0
27.7
29.9

90.6
76.1
19.7
20.5
21.0

748
1,353
787
1,179
1,552

100.0
100.0
100.0
100.0
100.0

55.9
75.5
72.9
77.9
76.3

3,652
3,722
2,182
2,602
3,538

100.0
100.0
100,0
100.0
100.0

100.0
100.0
100.0
100.0
100.0

1845..
1846..
1847..
1848..
1849..

15,548
15,767
16,822
20,420
20,570

30.8
33.4
29.5
37.4
38.1

21.6
22.8
20.5
29.6
24.3

1,321
1,388
1,936
1,186
1,329

100.0
100.0
100.0
100.0
100.0

78.3
73.1
69.9
58.7
49.7

4,163
3,960
4,458
4,260
4,071

100.0
100.0
100.0
100.0
100.0

100.0
100.0
100.0
100.0
100.0

1,388
2,987
5,0657
6,876
8,303

58.2
72.9
70.0
73.7
74.8

18.1
31.6
36.6
48.1
50.4

1850..
1851..
1852..
1853..
1854..

19,464
18,658
18,610
14,559
8,000

38.0
37.5
38.2
39.6
29.2

17.8
20.1
13.1
10.8
6.5

1,265
1,276
1,427
1,659
1,269

100.0
100.0
100.0
100.0
100.0

36.4
31.1
31.2
29.9
26.3

4,177
4,676
5,094
4,829
3,733

100.0
100.0
100.0
100.0
100.0

100.0
100.0
82.4
52.1
24.2

8,782
8,420
8,195
8,124
6,146

73.9
70.9
66.3
65.5
69.3

50.3
45.7
40.6
41.9
42.8

Total
obliga­
tions
of all
oper­
ating
banks

(6
)

CORPORATION




(6
)

Total
obliga­
tions
of
partici­
pating
banks

INSURANCE

1829..
1830..
1831..
1832..
1833..
1834..

Percent of:
Amount
of
insured
obliga­
tions4

DEPOSIT

Total
obliga­
tions
of
partici­
pating
banks

Indiana

7,524
6,771
4,126
4,862
4,984

31.6
28.5
31.3
29.1
32.5

5.0
4.2
3.2
2.8
3.0

1860..
1861..
1862..
1863..
1864..

3,973
4,186
3,863
2,256
1,160

27.7
24.2
18.7
11.3
8.5

2.2
2.1
1.3
.7
.4

1865..
1866..

401
(10)

56.5
(i°)

(10)

.8

1,323
780
644
307
09

100.0
100.0
100.0
100.0
(9
)

28.9
16.4
12.8
8.3
(*)

4,084
4,195
4,076s
5,643
5,202

100.0
100.0
100.0
100.0
100.0

45.0
58.3
59.0
75.7
72.9

7,614
7,291
6,133
7,326
7,299

67.8
67.5
73.3
74.1
75.2

44.0
43.0
54.7
54.7
54.9

107
634

31.3
44.5

31.3
44.5

6,997
5,876s
7,898
7,648s
4,419

100.0
100.0
100.0
100.0
100.0

76.2
76.6
78.0
74.7
67.7

6,934
7,858
7,388
5,693
4,098

72.8
71.6
56.1
46.9
42.2

50.1
50.3
36.9
30.1
25.2

652
901
1,150
1,417
1,440

32.9
42.3
50.4
41.5
33.3

32.9
42.3
50.4
41.5
31.3

(n)
01
)

(n)
(")

1,030

36.3

36.3

(ii)
(u)

(u)
(“ )

(u)
(u)

(u)
(u)

SYSTEMS,

1829
T
O

1866




INSURANCE

1 For periods of operation of the insurance systems. Insured obligations for Vermont and Indiana are the same as total obligations, as defined in note 1, Table 30; for New York
are the same as total obligations through 1841 and thereafter are circulating notes only; for Ohio and Iowa are circulating notes only. In Michigan all obligations were insured but
complete data are not available; see note 5, Table 30.
2 All data are for dates nearest end of year, except where otherwise indicated.
3 See note 5, Table 30.
4 See note 7, Table 30.
6 Not available.
6 See note 10, Table 30.
7 Excludes data for seven banks in operation by end of year but apparently not in operation at time of report.
8 See note 15, Table 30.
9 See note 7, Table 29.
1 See note 9, Table 29.
0
1 See note 8, Table 29.
1

BANK-OBLIGATION

1855..
1856..
1857..
1858..
1859..

05
O
i

0
01

Table 32.

I n s u r a n c e F u n d s , P a r t i c i p a t i n g B a n k s in S t a t e s w i t h B a n k - o b l i g a t i o n I n s u r a n c e S y s te m s , 1829-18661
(Amounts in thousands of dollars)
Vermont

Percent of obligations
of participating banks:

Year2
3

Percent of obligations
of participating banks:
3

Amount
Of total Of insured
obligations obligations

Ohio

Percent of obligations
of participating banks:
Amount
Of total Of insured
obligations obligations

Iowa

Percent of obligations
of participating banks:
Of total
Of insured
obligations obligations

1829..............
1830..............
1831..............
1832..............
1833..............
1834..............

(5)
(6
)
26
88
184
289

.i
.3
.5
.6

.1
.3
.5
.6

1835..............
1836..............
1837..............
1838..............
1839..............

407
539
540
713
819

.7
.8
1.3
1.4
2.5

.7
.8
1.3
1.4
2.5

4
47
11
16
19

.6
.4
1.3
1.5
1.8

.6
.4
1.3
1.5
1.8

1840..............
1841..............
1842..............
1843..............
1844..............

556
499
315
109
145

1.3
1.5
1.0
.2
.3

1.3
1.5
3.5
.8
1.0

217
26
27
30
32

2.8
1.9
3.4
2.5
2.1

2.8
1.9
3.4
2.5
2.1

1845..............
1846..............
1847..............
1848..............
1849..............

59
13
66
92
106

.1
.03
.1
.2
.2

.4
.1
.4
.5
.5

34
367
38
39
397

2.6
2.6
2.0
3.3
2.9

2.6
2.6
2.0
3.3
2.9

136
342
537
730
855

5.7
8.4
7.4
7.8
7.7

9.8
11.4
10.6
10.6
10.3

1850..............
1851..............
1852..............
1853..............
1854..............

59
48
46
76
102

.1
.1
.1
.2
.4

40
15
16
18
21

3.2
1.2
1.1
1.1
8.0

3.2
1.2
1.1
1.1
8.0

907
894
906
875
860

7.6
7.5
7.3
7.1
9.7

10.3
10.6
11.1
10.8
14.0

.47
47
27

(8
)

.9
.3

(8
)

.9
.3
(9
)
(i°)

(9
)
1
1

0.01
0.2
0.5

(9
)

Of total Of insured
obligations obligations

INSURANCE

0.01
0.2
0.5

CORPORATION




.3
.3
.2
.5
1.3

(6
)

Amount
4

Percent of obligations
of participating banks:

DEPOSIT

Of total Of insured
obligations obligations

Michigan

FEDERAL

New York

1855.
1856.
1857.
1858.
1859.

116

.5
.4

11
0

1860.
1861.
1862.
1863.
1864.

72
33
46
78
109

.5
.2
.2
.4

1865.
1866.

135

1.5
1.5
3.9

1.2

69
^

19.0

( 14)

2
1

1.2

17
13
131
1

1.2

1 ii
3
1 ii
3
1 ii
3
1 ii
3
1 ii
3

33.6

12H

.3
.2

.7

3.5

( 14)

8.8

29

7
ii

12.9
25.2
18.2

C)
1
1
(”)
(“)
(»)
(“)
(»)
(“)
(u
)

12.9
25.2
18.2

(u
)
(»)
(»)
(u
)
(»)
(u
)
(»)
(u
)

836
813
815
815
815

7.4
7.5
9.7
8.2
8.4

11.0
11.2
13.3
11.1
11.2

32
108

9.4
7.6

29.9
17.0

815
815
815
815
774

8.6
7.4
6.2
6.7
8.0

11.8
10.4
11.0
14.3
18.9

140
181
221
239
309

7.1
8.5
9.7
7.0
7.1

21.5
20.1
19.2
16.9
21.5

338

11.9

32.8

(12)
(12)

(12)
(12)

(12)
(“ )

7 Estim ated.

1829
T
O

1866




SYSTEMS,

8 Not available.
9 Not available; presumably very small.
i° $145.
1 See note 7, Table 29.
1
1 See note 8, Table 29. Remaining fund was returned to control of participating banks.
2
1 S^Snote^9nTable*29 ^ear an<^ ava^able for creditors of failed banks. All but $13,144 was so disbursed, which remaining sum was paid into the State treasury.
4

INSURANCE

1 For periods of operation of the insurance systems. Indiana is omitted because its insurance system was one of mutual guaranty, with no fund.
2 .Data are for nearest end of year dates, unless otherwise indicated.
3 Data are largely as of September dates.
4 For dates applicable to data see note 7, Table 30.
6 Contributions were apparently not called for until 1831.
6 Contributions were apparently not called for until 1832.

BANK-OBLIGATION

162
56
36

05




PART FOUR
LEGISLATION AND REGULATIONS







F e d e r a l Le g is l a t io n

and

C o r p o r a t io n R e g u l a t io n s

There was not enacted during 1953 any Federal legislation directly affecting the
Federal Deposit Insurance Corporation, nor any applying to insured banks by virtue
of their insured status. The rules and regulations of the Corporation applying to
insured banks were not changed during the year.

St a t e B a n k in g Le g is l a t io n
In 1953 the legislatures of forty-four States held regular sessions and nine of these
legislatures held special sessions. The legislatures of two other States held special
sessions.
This summary includes the more important State banking legislation enacted
in 1953.
SU P E R V IS O R Y A U TH O R ITY

Approval of merger or consolidation....................................................... California (Ch. 476)
Approval of capital notes or debentures.. .California (Ch. 1438), New Jersey (Ch. 215)
Approval of acquisition of majority stock in bank or trust company................................
..........................................................................................................................Florida (Ch. 28016)
Banking code....................................................................................................Florida (Ch. 28016)
Examination fees.........................Delaware (Ch. 119), Montana (Ch. 59), North Dakota
(Ch. 95), Oklahoma (Laws 1953, p. 15), South Dakota (Ch. 13), Utah (Ch. 7)
Authority to withhold information...........................................................Nebraska (Ch. 329)
State banking commission membership.........................................................................................
........................................................ North Carolina (Ch. 1209), South Carolina (Act 371)
License of Commissioner required for business of selling or cashing checks or receiving
money as agent for paying bills and accounts........... California (Chs. 632, 642, 807)
Authority to adopt as his report of examination the report of examination by Federal
agency................................................................................................................Nevada (Ch. 101)
Consideration in approving new bank or branch of factor that probable volume of
business and reasonable public demand in community is sufficient to assure and
maintain solvency of the new bank or branch and of existing banks in community. .
............................................................................................................ North Carolina (Ch. 1209)
Compensation of supervisory authority............................................West Virginia (Ch. 35)

O RG A N IZA TIO N AN D C H A RTE R CHANGES

Certificate of incorporation...................................................... Colorado (Laws 1953, p. 168)
Branch offices and agencies....................................Alabama (Acts 16, 387, 485, 606, 617),
Delaware (Ch. 127), New Jersey (Ch. 17), North Carolina (Ch. 1209), South
Carolina (Act 371), Utah (Ch. 8), Wisconsin (Ch. 128)
Exchange of locations of main office and station office................Wisconsin (Ch. 128)
Incorporation of savings banks.............................. Florida (Ch. 28012), Indiana (Ch. 67)
Minimum capital requirements increased.................................North Carolina (Ch. 1209)
Capital notes or debentures..................................................................... California (Ch. 1438)
Authorization for trust company to convert into State bank........... Georgia (Act 290)
Merger or consolidation...................................................................................................California
(Ch. 476), New Jersey (Ch. 17), New York (Ch. 587), Pennsylvania (Act 22)




71

72

FEDERAL DEPOSIT INSURANCE CORPORATION

O R G AN IZATIO N AN D CH A RTE R CH ANGES---- C o n t i n u e d

Authorization for national banks to become State banks by conversion, merger, or
consolidation..........................................................................Arkansas (Act 349), Delaware
(Ch. 126), Georgia (Act 144), Indiana (Ch. 69— in the same county), Iowa (Ch. 232),
Missouri (Laws 1953, H .B. 36), New York (Chs. 465, 603), Washington (Ch. 234)
Authorization for State banks to become national banks by conversion, merger or
consolidation..........................................................................Arkansas (Act 349), Delaware
(Ch. 126), Georgia (Act 141), Indiana (Ch. 69— in the same county), Iowa (Ch.
232), Missouri (Laws 1953, H .B. 37), New York (Ch. 251), Washington (Ch. 234)
G E N E R A L O PE R A T IN G PR O V ISIO N S

Limitations on letters of credit................................................................. California (Ch. 231)
Retention and disposition of records..............................................................................................
............................................. Alabama (Act 247), Georgia (Act 142), Vermont (Ch. 120)
Admission in evidence of microphotographs of bank records...............................................
.................................................................Nevada (Ch. 276), Oklahoma (Laws 1953, p. 16)
Permissive transfers by savings banks of net income to general loss reserve................
....................................................................................................................... Connecticut (Act 47)
Transfer by savings banks of earnings to guaranty fund. . . . Massachusetts (Ch. 193)
Payment of dividends by savings banks.......................................................................................
......................... Massachusetts (Ch. 192), Minnesota (Ch. 82), Washington (Ch. 238)
Transfer of earnings to surplus.......................................................................Nebraska (Ch. 7)
Borrowing power of savings bank................................................ ...........New York (Ch. 399)
Working hours of female employees............................................ ....................Texas (Ch. 335)
Limitation of action by depositor against bank for payment of a forged or raised
check or check with forged or unauthorized endorsement..........................................
............................................................................... California (Ch. 1382), Vermont (Ch. 126)
Six year limitation of action on claims after final adjustment of statements of checking
account or entry of credit balance in savings account passbook.................................
........................................................................................... Utah (Ch. 10), Vermont (Ch. 126)
Charitable contributions..............................................................................Wisconsin (Ch. 181)
DEPOSITS

Deposit of and security for public funds. .. .California (Chs. 420, 1652), Florida (Chs.
28133, 28290), Georgia (Act 140), Massachusetts (Ch. 223), Minnesota (Ch. 85),
Nebraska (Ch. 284), Oregon (Ch. 352), Tennessee (Chs. 43, 234), Wisconsin (Ch. 181)
Joint deposits...................................... Connecticut (Act 228), Illinois (Laws 1953, p. 371)
Escheat of unclaimed deposits..........................................................................................................
........................Connecticut (Acts 23, 24), Minnesota (Ch. 589), New Jersey (Ch. 17)
Duplicate book of deposit where original lost.............................................Maine (Ch. 251)
Limitations on amount of deposits which may be received by a savings bank...........
.................................................................. Massachusetts (Ch. 141), Washington (Ch. 238)
Limitations on amount of deposits which may be received by banking companies. . . .
..................................................................................................... Massachusetts (Chs. 122, 123)
Tentative trust deposits..............................................................................New Jersey (Ch. 17)
School children savings deposits............................................................ New Jersey (Ch. 139)
Deposits of a minor................................................................................ Pennsylvania (Act 353)

loans

Real estate loans........................................ New Jersey (Ch. 210), Pennsylvania (Act 172)
Discounting of commercial paper, mortgages or other securities for a period not
exceeding 36 months.................................................................................. Arkansas (Act 330)




STATE BANKING LEGISLATION
lo a n s—

73

Continued

Loans on stock of any corporation limited to 3 0 % of capital and surplus, including
direct loans to corporation without ample security.................... Georgia (Act 768)
Statement of financial responsibility of borrower required where unsecured obligation
exceeds $1,000................................................................................................... Indiana (Ch. 71)
By savings banks on life insurance policies................................................... Maine (Ch. 95)
Revaluation of mortgaged premises securing bank loan required at intervals of not
more than three years..................................................................... Massachusetts (Ch. 157)
Foreign banking corporations authorized to acquire mortgage loans without being
licensed to do business in State...................................................................................................
..................... Missouri (Laws 1953, H .B. 296), Oregon (Ch. 717), Tennessee (Ch. 47)
Report to board of directors required of any discount, loan or advance in excess of
$100,000 or 1/1 0 of 1 % of capital funds.......................................... New York (Ch. 403)
Loan fees, charges, and interest rates............................................................................................
................................ Oregon (Ch. 388), Pennsylvania (Act 40), South Dakota (Ch. 15)
Instalment loans...................................... Pennsylvania (Act 168), South Dakota (Ch. 15)
Instalment selling and financing of automobiles..............Colorado (Laws 1953, p. 140)
Full value loans permitted on property in State held for benefit of bank with special
payments into surplus required.............................................................. Vermont (Ch. 140)

INVESTM EN TS

Equipment trust obligations.........................................................................Vermont (Ch. 189)
Real estate for needed housing accommodations for essential employees subject to
approval of supervisory authority....................................................... Wisconsin (Ch. 101)
Savings bank investments:
General limitations...........................................................................................................................
New Hampshire (Ch. 195), Pennsylvania (Act 91), Rhode Island (Chs. 3120, 3194)
Federal, State and municipal securities....................................................................................
.....................California (Chs. 236, 429), Minnesota (Ch. 496), Washington (Ch. 238)
Obligations of Federal home loan banks, Federal land banks, Federal intermediate
credit banks, or Central Bank for Cooperatives...................... Connecticut (Act 98)
Dominion of Canada obligation.................................................. Rhode Island (Ch. 3212)
Industrial and public utility obligations............................................California (Ch. 439)
Public utility preferred stock and revenue bonds............................................................
............................................................................. Connecticut (Act 219), Maine (Ch. 147)
Bank stocks. .Connecticut (Act 212), Massachusetts (Ch. 158), New Jersey (Ch. 78)
Preferred and common stock................................................................New Jersey (Ch. 78)
Mortgage bonds of natural gas companies................................................ Maine (Ch. 77)
Railroad securities....................................................................................New York (Ch. 875)
Insurance company stock................... Massachusetts (Ch. 160), New Jersey (Ch. 78)
Real estate..........................................................................................................................................
. . .Massachusetts (Ch. 194), Pennsylvania (Act 170), Rhode Island (Ch. 3211)
Contracts for sale of real estate........................................................Washington (Ch. 238)

reserves

Cash reserve on hand or in banks of 15 percent of demand deposits. . . . Maine (Ch. 94)
Cash reserve on hand or in banks of 15 percent of all savings deposits.........................
............................................................................................................ New Hampshire (Ch. 195)
Reserve requirements up to those of Federal Reserve System may be imposed by
Commissioner of Banks............................................................................Minnesota (Ch. 36)




74

FEDERAL DEPOSIT INSURANCE CORPORATION
TR U S T A C TIV IT IE S

Uniform Common Trust Fund A c t.............................................New Hampshire (Ch. 109)
Common trust funds....................................................................... .....................................................
................Alabama (Act 112), Nebraska (Ch. 67), New Jersey (Ch. 17), Oklahoma
(Laws 1953, H.B. 821), Oregon (Ch 258), Tennessee (Ch. 148), Wisconsin (Ch. 487)
Succession to fiduciary positions in conversion, merger, consolidation, or purchase
of assets transaction..................................................................................California (Ch. 476)
Uniform Fiduciaries A ct................................................................................ Tennessee (Ch. 82)
Investment of fiduciary funds...........................................................................................................
................... Florida (Ch. 28154), Ohio (Laws 1953, H .B. 138), Pennsylvania (Act 56)
Legal investment for fiduciary to deposit funds at interest in bank or trust company
insured by Federal Deposit Insurance Corporation............................................................
...................................................................................Georgia (Act 149), Wisconsin (Ch. 590)
Authorization for foreign corporations to act in fiduciary capacity....................................
............................................................ Illinois (Laws 1953, p. 1148), Minnesota (Ch. 368),
New York (Ch. 643), North Dakota (Ch. 98), Oklahoma (Laws 1953, H .B. 864)
Joint control of money or assets by fiduciary, required to give bond, and surety-----...................................................................................................................................Iowa (Ch. 253)
Allowance of compensation to fiduciaries for services out of trust income or principal
at any time.............................................................................................. Pennsylvania (Act 10)
Registration in name of nominee of any investment held by a fiduciary bank or trust
company................................................................................................................. .Utah (Ch. 12)
CHECKS AN D COLLECTIONS

Deferred posting and delayed returns............................................................ Kansas (Ch. 53)
Savings banks authorized to sell checks and drafts drawn by or on it and payable
through a trust company or national bank.................... New Hampshire (Ch. 146)
Stop-payment orders on checks................................. New Jersey (Ch. 282), Utah (Ch. 9)
D IR EC TO RS, TR U S TE E S, O FFIC ERS, AN D E M PLO YEE S

Qualifying shares of directors. . . . Colorado (Laws 1953, p. 169), Delaware (Ch. 124)
Qualifications of directors............................................................................. New York (Ch. 50)
Retiring allowances or life insurance for officers and employees of savings banks. . . .
................................................................................................................................ Maine (Ch. 143)
Banks’ and savings banks’ officers’ and employees’ retirement and benefit a ct..............
............................................................................................................. ........ New Jersey (Ch. 124)
Compensation of savings bank trustee.......................................... Rhode Island (Ch. 3210)
H OLIDAYS

Legal holidays...................................... Colorado (Laws 1953, p. 445), Nebraska (Ch. 224)
Monday following legal holiday...............................................................Minnesota (Ch. 445)
Saturday holiday........................................................................................ California (Ch. 1213),
Florida (Chs. 28949, 29578), Minnesota (Ch. 445— limited locations), New Mexico
(Ch. 107— where population over 50,000 and with right to substitute Wednesday
afternoon), North Carolina (Ch. 965— where population over 130,000), Utah (Ch. 11)
Wednesday holiday........................................................................................ Florida (Ch. 28673)
Saturday or Wednesday holiday.. . .Florida (Chs. 28352, 28457, 28713, 28841, 29352)
Wednesday, Thursday, or Saturday morning holiday...................... Tennessee (Ch. 175)
Any week day holiday.........................................................................................................................
................................ Florida (Ch. 28536), Indiana (Ch. 62), Ohio (Laws 1953, S.B. 52)
Banks authorized to remain open for business on certain holidays..................................
...................................... Maryland (Ch. 629), Nebraska (Ch. 224), Wisconsin (Ch. 51)




STATE BANKING LEGISLATION

75

TA X A T IO N

Recordation of mortgages, deeds of trust and similar instruments to secure agricultural
loans exempted from taxation.................................................................Alabama (Act 841)
Capital stock...................................................Pennsylvania (Act 150), Tennessee (Ch. 118)
Taxation of State and national banks and State and Federal savings and loan associa­
tions on same basis........................................................................................Georgia (Act 811)
Taxation of State savings banks and State and Federal savings and loan associations
at the same rate........................................................................................ New York (Ch. 282)
Franchise tax on savings banks deposits............................................... Maryland (Ch. 783)
l iq u id a t io n

Liability of stockholders of trust companies which are not banks. . California (Ch. 638)
Limitations on actions on prior claims against State bank receiverships and transfer
of unclaimed funds to State...............................................................................Iowa (Ch. 43)
Voluntary liquidation............................................................................... Washington (Ch. 236)
m is c e l l a n e o u s

Nonresidents prohibited from engaging in business of lending money through any
means of advertising without naming agent for service and filing waiver of service
...........................................................................................................................Arkansas (Act 559)
Community currency exchanges...............................................Illinois (Laws 1953, p. 1080)
Uniform Commercial Code....................................................................... Pennsylvania (Act 1)







PART FIVE
STATISTICS OF BANKS AND DEPOSIT INSURANCE




<
1
00

N

umber,

O f f ic e s ,

and

D e p o s it s

of

O p e r a t in g B a n k s

Number of operating banks and branches in the United States (continental U. S.
and other areas), December 31, 1953
Grouped according to insurance status and class of bank, and by State and type
of office

Table 103.

Number and deposits of operating banks in the United States (continental U. S.
and other areas), December 31, 1953
Banks grouped according to insurance status and by district and State




The tabulations for all banks and trust companies are prepared in
accordance with an agreement among the Federal bank supervisory
agencies. Deposit data are tabulated from individual reports of assets
and liabilities of the banks included. Institutions included are classified
in three groups: commercial and stock savings banks, nondeposit
trust companies, and mutual savings banks. However, the second
category does not apply to insured banks.

CORPORATION

The line of demarcation between banks and other types of financial
institutions is not always clear. In these tables provision of deposit
facilities for the general public is the chief criterion. However, trust
companies engaged in general fiduciary business though not in deposit
banking are included; and credit unions and savings and loan associa­
tions are excluded except in the case of a few which accept deposits
under the terms of special charters.

INSURANCE

Table 102.

DEPOSIT

Changes in number and classification of operating banks and branches in the United
States (continental U. S. and other areas) during 1953

FEDERAL

Table 101.

Commercial and stock savings banks include the following
categories of banking institutions:
National banks;




Federal Reserve banks and other banks, such as the Federal Home
Loan banks and the Savings and Loan Bank of the State of New
York, which operate as rediscount banks and do not accept deposits
except from financial institutions;
The postal savings system.

BANKS

trust company charters which are not regularly engaged in deposit
banking but are engaged in fiduciary business other than that incidental
to real estate title or investment activities.

Institutions chartered under banking or trust company laws, but
operating as investment or title insurance companies and not en­
gaged in deposit banking or fiduciary activities;

OPERATING

Nondeposit trust companies include institutions operating under

Branches of foreign banks, and private banks, which confine
their business to foreign exchange dealings and do not receive
“ deposits” as that term is commonly understood;

O
F

Private banks under State supervision, and such other private
banks as are reported by reliable unofficial sources to be engaged
in deposit banking;

Morris Plan companies, industrial banks, loan and investment
companies, and similar institutions except those mentioned in the
description of institutions included;

DEPOSITS

Special types of banks of deposit: cash depositories in South
Carolina; cooperative exchanges in Arkansas; savings and loan
companies operating under Superior Court charters in Georgia;
government operated banks in American Samoa, North Dakota,
and Puerto Rico; a cooperative bank, usually classified as a credit
union, operating under a special charter in New Hampshire; two
savings institutions, known as “ trust companies,” operating under
special charters in Texas; employes’ mutual banking associations in
Pennsylvania; the Savings Banks Trust Company in New York; and
four branches of foreign banks which engage in a general deposit
business in the continental United States or in Puerto Rico.

Building and loan associations, savings and loan associations,
credit unions, personal loan companies, and similar institutions,
chartered under laws applying to such institutions or under general
incorporation laws, regardless of whether such institutions are au­
thorized to accept deposits from the public or from their members
and regardless of whether such institutions are called l'banks” (a
‘
few institutions accepting deposits under powers granted in special
charters are included);

AN
D

Industrial and Morris Plan banks which operate under general
banking codes, or are specifically authorized by law to accept de­
posits and in practice do so, or the obligations of which are regarded
as deposits for deposit insurance;

Banks which have suspended operations or have ceased to accept
new deposits and are proceeding to liquidate their assets and pay
off existing deposits;

OFFICES,

Stock savings banks, including guaranty savings banks in New
Hampshire;

Institutions excluded. Institutions in the following categories are
excluded, though such institutions may perform many of the same
functions as commercial and savings banks:

NUMBER,

Incorporated State banks, trust companies, and bank and trust
companies, regularly engaged in the business of receiving deposits,
whether demand or time, except mutual savings banks;

M utual savings banks include all banks operating under State
banking codes applying to mutual savings banks.

T a b le 101.

C h a n g e s in N u m b e r a n d C l a s s i f i c a t i o n o f O p e r a t i n g B a n k s a n d B r a n c h e s

in t h e U n it e d S ta te s (C o n t in e n t a l U.

S. a n d O t h e r A r e a s ) d u r i n g 1953
Commercial and stock savings banks
and nondeposit trust companies

All banks

Type of change

-65

+6

65
64
1

59
59

130
1
1

112

115
10
3

Non­
Not
mem­ Banks deposit Total
of de­
trust
bers
com­
F. R.
posit
National State
System
panies

In­
Non­
sured1 insured

BANKS

Net chan ge during y e a r.............................................................
Banks beginning operations
.
....
New banks
........................
Financial institution becoming bank of deposit
Banks ceasing o p e ra tio n s.....................................................
Suspended banks not reopened or succeeded
Merged with financial aid of FDIC2....................................
Absorptions, consolidations and mergers (without FDIC
aid) ....................................................................................
Other liquidations .......................................................
Institutions deleted from counts

13,432
13,439

4,856
4,909

1,884
1,886

6,692
6,644

532
584

60
65

528
529

219
206

309
323

-71

-64

-7

-53

-2

+48

-52

-5

-1

+ 13

-14

6
5
1

65
64
1

59
59

12
12

10
10

37
37

6
5
1

18
1

129
1
1

112

63

18

31

12
1

5

1

108
3

7
7
3

114
10
3

108
3

r

1
1
3

1

+ 59
+6
+ 50
+3

N oninsured banks becom in g in su re d .....................
Successions to noninsured b a n k s ...............................
Admissions to insurance, operating banks4................
Admissions to F R System
.
.

901 14,024
972 14,088

-59
-6
-50
-3

1

1

............

.

18

+3
+3

27
3
+43
+6
+ 37

+ 7

1
2
1
120
13

1
2
1
118
12

2
1

1
2
1
119
13

1
2
1
117
12

14

1
1
1
79
12

+ 13

-13

+ 13

-46
-6
-37
-3

2
1

1

1

-13

+3

+3
-1

1
24

6

1

-1
-1
+4
-7

-3

-2
+2
-4

. . .............................................

Changes n ot involving num ber in any cla ss :
Absorption of nonbanking financial institution........
Suspended banks reopened
....................
Succession with financial aid of FDIC2 ....................
Change in title location, or name of location..........
Change in corporate powers
.....................................




63

+ 46
+6
+37

O ther changes in c l a s s i f i c a t i o n .............................
National banks succeeding state banks.
.....................
State banks succeeding national banks.............................
Admissions to F. R . System .............................................
Withdrawals from F. R . System with continuance of
insurance

1

1

1

CORPORATION

13,651
13,645

Total

INSURANCE

14,552
14,617

Members F. R.
System

DEPOSIT

In­
Non­
sured insured Total

FEDERAL

Total

Mutual savings banks

Noninsured

Insured

BRANCHES
Num ber o f branches, D ecem ber 31, 1953.
Num ber o f branches, D ecem ber 31, 1952.
Net change during year.

Branches d iscon tin u ed ................................................

6,047
5,663

180
170

5,957
5,587

5,855
5,486

2,746
2,556

1,652
1,550

1,457
1,380

100
99

+ 394

+384

+ 10

+370

+369

+ 190

+ 102

+77

423
20
97
2
304

407
19
95
2
291

16
1
2

393
19
94
2
278

214
13
58

95
1
25

13

398
20
96
2
280

143

69

84
5
11
2
66

29

28

1

28

28

16

4

8

+5
+4

-5
-4

+4
+3

-8

+ 11

+ 1
+3
-4

+ 1

23
172
8

20,779
20,450

19,698
19,308

+ 1

-8

-1
+9
-1

+ 1
+ 1

+ 1

+24

+ 15

+9

5
1
2

25

14

11

1

1

2

24

13

11

+ 1
+1

-1

2

1

1

1
-4
-3

1

-1

15

6

2

93
1

48

30
7

3
1

1,081 19,981
1,142 19,675

19,287
18,925

7,602
7,465

3,536
3,436

8,149
8,024

632
683

62
67

798
775

411
383

387
392

-5

+ 23

+28

-5

25

14

11

25

14

11

ALL BANKING OFFICES
N um ber o f offices, D ecem ber 31, 1953.
N um ber o f offices, D ecem ber 31, 1952.
Net change during year.

+390

-61

+306

+362

+ 137

+ 100

+ 125

-51

488
65
423

466
59
407

22
6
16

463
65
398

452
59
393

226
12
214

105
10
95

121
37
84

11
6
5

Offices closed.
Banks...........
Branches. . . .

159
130
29

140
112
28

19
18
1

157
129
28

140
112
28

79
63
16

22
18
4

39
31
8

12
12

+ 64
+ 59
+ 5

-64
-59
-5

+ 50
+ 46
+4

-10
-2
-8

+ 17
+6
+ 11

+ 43
+ 42
+ 1

-50
-46
-4

Changes in classification.
Among banks....................
Among branches..............

5
5

2
1
1

2
1
1
+ 14
+ 13
+1

-14
-13
_1

1 Includes 3 mutual savings banks members of the Federal Reserve System, December 31, 1953, and December 31, 1952.
2 The Corporation rendered financial aid to two banks in difficulties; the deposit liabilities of one were assumed by an existing bank, those of the other by a new bank.
3 2 these, 1 relinquished its trust business; and 2, though operating under trust company charters, are private trusts not engaged in a general fiduciary business.
4 Banks in operation at beginning of year.
5 Facilities established in or near military installations at request of the Treasury or the Commanding Officer of the installation.
®Includes m merger and consolidation cases a branch established by the successor bank at the head office location of one of the predecessor banks.
Includes 3 branches in operation prior to beginning of year but not included in count as of December 31, 1952; and 3 branches established in location of offices of absorbed
financial institutions.




BANKS

+329

Offices o p e n e d .
Banks.............
Branches........

OPERATING

23
171
8

O
F

23
174
9

4
1

DEPOSITS

23
176
9

-1

78
69

AND

C hanges n o t involving nu m ber in any class:
Branches transferred as result of absorption or succession.
Changes in title, location, or name of location, including
facilities......................................................................
Change in powers.........................................................

+4

192
177

OFFICES,

Other changes in classification am ong bran ch es. .
Branches of noninsured banks admitted to insurance.
Branches of insured banks admitted to F. R. System. . . .
Branches of insured banks withdrawing from F. R. System
with continuance of insurance........................................
Branches transferred as result of absorption or succession
Sale of branch to another bank..........................................

270
246

2
2

NUMBER,

Branches opened for bu sin ess...................................
Facilities provided as agents of the government5. . . .
Absorbed banks converted into branches6.................
Branches replacing banks relocated or placed in liquidation
Other branches opened7...............................................

6,227
5,833

T a b le 1 0 2 .

N

um ber of

O p e r a t in g B a n k s

grouped

a c c o r d in g

and

to

B ranches

in s u r a n c e

in th e

status

U n i t e d S t a t e s (C o n t i n e n t a l U . S.

and

class

of

b a n k , and

Not
mem­
bers
F.R.S.

Total

Non­
Banks deposit
of de­
trust
posit
com­
panies

8,149
6,692
5,927
765
1,457

632
532
502
30
100

Continental United States............ 20,608 19,611
All b a n k s......................................... 14,509 13,631
Unit banks..................................... 12,825 12 ,02^
1,607
Banks operating branches............. 1,681>
5,980
Branches....................... .................. 6,099

997 19,810 19,200
878 13,981 13,412
801 12,1+32 11,890
1,522
1,519
77
5,829
5,788
119

7,602
4,856
It,350
506
2,746

3,536
1,884
1,621
263
1,652

8,062
6,672
5,919
753
1,390

553
514
U89
25
39
79
18
13
5
61

171
43
26
17
128

87
20

87
20

8
12

8
12

262
231

262
" 231

262
231

262
231

222

222

88
14

86
13

2
1

88
14

7
73

1

1

6
8

74

pq

74

246
224
20 U

6
6

252
230

67

84
23
18
5
61

Insured banks as percentages
of banks of deposit1

67

67

62
60
58
2
2

57
M
2
2

5
5
5

Total

In­
Non­
sured2 insured

All
banks
of de­
posit

Com­
mercial
banks

798
528
393
135
270

411
219
13U
85
192

387
309
259
50
78

95.1
94.2
H .1
95.3
97.1

96.8
96.2
96.0
98.1
98.3

51.5
41.5
Sh.l
63.0
71.1

798
528
393
135
270

411
219
134
85
192

387
309
259
50
78

95.4
94.3
H .1
95.5
98.1

97.2
96.3
96.0
98.lt.
99.3

51.5
41.5
Slf.l
63.0
71.1

52.4
52.6
38.1
70.6
52.3 I

52.4
52.6
38.1
70.6
52.3

State
Afdtiama
T w J i'Y
T 'ii i/ i
D/»/m7»o

/<\>ni'n TimYi/hQ
\r£Ti' n *P

All KqtiVq

g
31

6
8

A f»1ra

nqq m

All
T% 4 TniI* q
7 i'% x y




252
230
210
20

22

222

9
31

6

20

22

9
31

6

210
20

22

9
31

100
71
64
7
29

27
25
23

86
13

55
3

7
2

222

2
2

7
73

1
2

1
1

52

5

246
224
20U

55
53
51

17
17
17

20

2
2

6

. 22

100.0 I
100.0

100.0
100.0

100.0
100.0

135
135
135

100.0
100.0

100.0

174
154
136
18
20

100.0

2

1

100.0
100.0

100.0
100.0

1
5
5
5

100.0 1
100.0

1

24
8
u
A
16

100.0

100.0
100.0

1
1

98.0
97.8
97.6

98.0
97.8
97.6

100.0

100.0

100.0

100.0

1

Mutual
savings
banks

100.0

CORPORATION

3,536
1,884
1,621
263
1,652

8
12

3 1 , 1953

INSURANCE

7,602
4,856
ft,350
506
2,746

87
20

ecem ber

o f f ic e

DEPOSIT

1,081 19,981 19,287
901 14,024 13,432
819 12,1*58 11,898
1,53^
1,566
82
5,957
5,855
180

171
43
26
17
128

of

Mutual savings banks

19,698
13,651
12,032
1,619
6,047

Othar ■
c
i
q
All Kanlra
X iftxt battles
J
T n lro rk orn L
Z 'n
'n t'i'Y fi
T i* n aVoq
5q )

O t h e r A r e a s), D

type

FEDERAL

Members F. R.
System
National State

Non­
In­
Total
sured insured

and

and

Noninsured

Insured
State and type of bank or office

20,779
14,552
12,851
1,701
Branches........................................... 6,227

state

Commercial and stock savings banks
and nondeposit trust companies

All banks

Total

by

10
10

C on n e cticu t.........................
All banks.............................
Unit banks.......................
Banks operating branches.
Branches.............................

273
181
148
33
92

177
99
72
27
78

96
82
76

D elaw are...............................
All banks.............................
Unit banks.......................
Banks operating branches.
Branches.............................

72
37
27

67
35
27

5
2

35

8

2

32

3

District o f C olu m b ia .........
All banks.............................
Unit banks.......................
Banks operating branches.
Branches.............................

70
19
4
15
51

70
19
4
15
51

F lorida...................................
All banks.............................
Unit banks.......................
Banks operating branches.
Branches.............................

229
217
205

225
213

G eorg ia ..................................
All banks.............................
Unit banks.......................
Banks operating branches,
Branches.............................

458
400
380

58

402
345
326
19
57

I d a h o ......................................
All banks.............................
Unit banks.......................
Banks operating branches.
Branches.............................

103
38
30

103
38
30

65

65

Illin o is ...................................
All banks.............................
Unit banks.......................
Banks operating branches.
Branches.............................

903
900
897
3
3

892
889

11
11

886

11




1
0

12
1
2
2
0

8

201
12

6

14

4
4
4

12

15
171

167
162
157
5
5

157
152
147
5
5

185
109
84
25
76

170
94
69
25
76

69
35
26
9
34

66
34
26

70
19
4
15
51

37
9
28

4
13

3
10

229
217
205

225
213

74
66
58

1
1
1
1
1
1

140
136
132
4
4

12

12
56
55
54

458
400
380

20

127
72
52

80
77
74
3
3

18
17
16

59
58
57

76
44
34

45
15

830

32
11
11

17
3

11

8

12

8

7
30

32

201
12

1
1

10

1
8

8

3
14
19

6
2

8
90
52
42

58

402
345
326
19
57

103
38
30

1
1

8

3
3

21

70
19
4
15
51

10

206
35

103
38
30

67
11
7
4
56

20

8

8

65

65

903
900
897
3
3

892
889
886

3
3

55

38

8
7
6
1
1

1

10

49
35
27
8

14
14
14

100.0
100.0
92.4
87.0
83.1

7
5
3
2

14

65.1
55.0
49.0
81.8
84.8

3
2

3
1

88
72
64
16

1
1
1

1
1

2
1

93.1
94.6

8

1

1
1

2

1

14
4

2

1

81
67
61

6

I
1

100.0

80.0
91.4
100.0
100.0
100.0
100.0
100.0

1

2
2

2

2

2

2

100.0
100.0

95.7
97.1

100.0
88.9
94.1

100.0
100.0
100.0
100.0

100.0

1
1

99.1
99.1
99.0
100.0
100.0

87.8
86.3
85.8
95.0
98.3

56
55
54

99.1
99.1
99.0
100.0
100.0

87.8
86.3
85.8
95.0
98.3

100.0
100.0

100.0
8
8
8

3
3
3

100.0
100.0

100.0

5

100.0
100.0

100.0

2

377
377
377

94.0
93.8
93.6

100.0
100.0

14
38
20
15
5
18

99.8
99.0
99.3
98.2
99.9

94.0
93.8
93.6

10
10

23
18
16

125
125
125

99.8
99.0
99.3

1
1

287
280
275
5
7

10

390
387
384
3
3

20

3
2
1
1

100.0

99.1
99.1
99.1

100.0
100.0

6.9
4.7
25.0
12.5
33.3
50.0
100.0

99.1
99.1
99.1

100.0

8.0

100.0

BANKS

157
152
147
5
5

920
90
69

OPERATING

167
162
157
5
5

2

1,253
197
141
56
1,056

O
F

C olora d o ................................
All banks.............................
Unit banks.......................
Banks operating branches
Branches..............................

2

1,264
206
148
58
1,058

DEPOSITS

11
9
7

AND

1,253
197
141
56
1,056

OFFICES,

1,264
206
148
58
1,058

NUMBER,

C aliforn ia..............................
All banks.............................
Unit banks.......................
Banks operating branches
Branches.............................

G
O
CO

T a b le 102. N

u m b e r of

O p e r a t in g B a n k s

and

B ranches

in th e

U n i t e d S t a t e s ( C o n t i n e n t a l U . S.

and

O t h e r A r e a s ), D

ecem ber

3 1 , 1 9 5 3 — C o n t.

G RO U PED A C CO RD IN G TO IN S U R A N C E STATU S AN D CLASS O F B A N K , AN D B Y STATE AN D T Y P E OF OFFICE

Commercial and stock savings banks
and nondeposit trust companies

All banks

Non­
In­
sured insured

Total

Members F. R.
System
Total
National State

129
55
3U

45
32
25
7
13

35
6
*
L
29

...............................
M aine
All banks
.................................
Unit banks
.........................
T//jI q n+r\DYr\n hm*} P Pt
^yy *»
nS
Branches
..........

180
95
67
28
85

137
63
U
2




74

21

74

6
6

13

1
1
1

2

270
250
232
18
20

16
16
16

154
119
92
27
35

1
1

49
17
7
10

32

2
2
2

100.0

100.0

99.6
99.4
99.2

99.6
99.4
99.2

100.0

100.0

76.1
66.3
62.7
75.0
87.1

87.8
87.3
9U.U
77.8
88.1

100.0

1

100.0

18
8
2
6

10

33
32
31

1

1

8
8
8

25
24
23

1
1

75.0
75.0
75.0

CORPORATION

147
63
36
27
84

266
171
125
U
6
95

6

1

INSURANCE

25
12

6

1

4
4
U

DEPOSIT

86
39
26
IS
47

Louisiana
All banks
Unit banks
••
Banks operating branches
T^rqn n tA
Y Q

21

96.3
95.7
95.U

265
170
12U
U
6
95

265
170
12 U
U
6
95

43
32
25
7
11

100.0

96.3
95.7
95.U

266
171
125
U
6
95

419
360
330
30
59

437
378
SU
8
SO
59

1

100.0

100.0

13

437
378
3U8
30
59

18
18
18

1
1

100.0

26

480
477
U
7U
3
3

...

78.8
78.7
78.6

33
20
1U

609
606
603
3
3

•

78.8
78.7
78.6

116
90
8U

129
129
129

Kentucky
All banks
Unit banks

2
129
129
129

419
360
330
30
59

480
477
U
7U
3
3

609
606
60S
3
3

93.6
92.3
91.0
98.3
98.8

264
264
26U

163

Kansas
All banks
Unit banks
Banks operating branches
Branches

100.0

93.6
92.3
91.0
98.3
98.8

41
41
U

121

163

121

69
68
67

Mutual
savings
banks

100.0

175
172
169
3
3

96
96
96

2
2

773
612
U93
119
161

773
612
U93
119
161

8

26

2
2
2

1
1

Com­
mercial
banks

100.0

1

827
664
5U
S

Iowa.
All banks
Unit banks
Banks operating branches
Branches

23
58

138
112
10U

3
3
3

All
banks
of de­
posit

100.0

53
51
U
9

54
52
50

827
664
5U
S

Batiks operating branches
Branches

101

In­
Non­
sured2 insured

98.9
98.5
98.S

608
448
330
118
160

182
124

10
10
10

Total

98.7
98.3
98.0

7
7
7

610
469
398
71
141

613
472
U01
71
141

Non­
Banks deposit
of de­
trust
com­
posit
panies

290
233
193
uo
57

619
478
1+07
71
141

623
482
Ull
71
141

Not
mem­
bers
F.R.S.

FEDERAL

Total

Insured banks as percentages
of banks of deposit1

Noninsured

Insured
State and type of bank or office

Mutual savings banks

100.0

100.0
24.2
25.0
25.8

385
173
116
57
212

254
194
152
42
60

M ich ig an .............................................
All banks...........................................
Unit banks.....................................
Banks operating branches............
Branches.........................................

738
431
351
80
307

720
419
3U
78
301

M in n esota.........................................
All banks.....................................
Unit banks.................................
Banks operating branches............
Branches.........................................

684
678
676

672
666

12
12

664
2

12

M ississippi..........................................
All banks...........................................
Unit banks.....................................
Banks operating branches.............
Branches...........................................

278
200
158
42
78

275
197
155
42
78

3
3
3

M issouri...............................................
All banks...........................................
Unit banks.....................................
Banks operating branches............
Branches...........................................

599
598
597

581
580
579

18
18
18

1

M o n ta n a .............................................
All banks...........................................
Unit banks.....................................
Banks operating branches............
Branches...........................................

2

6

6

6

12

8
6

26

58

393
179
58
214

385
173
116
57
212

221
114
89
25
107

738
431
851
80
307

720
419
341
78
301

683
677
675

671
665
663

2

18
12
10
2

298
153
115
38
145

2

121

6

84
58
46

72
14

142
81
61

3
1
1

28
g
3
5

61

2

20

107
25
7
18
82

57
34
20

8
6
5

14
23

2

246
188
147
41
58

192
77
61
16
115

279
150
129

249
192
151
41
57

12
6
4

183
177
175

28
28
28

460
460

11
11

460

11

21

129

20

1

6

33
25

9
7

22

599
598
597

1
1

581
580
579

78
77
76

1

1

1

109
109
109

109
109
109

109
109
109

i09
109
109

N ebraska.............................................
All banks...........................................
Unit banks.....................................
Banks operating branches............
Branches...........................................

421
419
417

375
373
871

421
419
417

375
373
371

2

2

2
2

2

Nevada.................................................
All banks...........................................
Unit banks.....................................
Banks operating branches.............
Branches...........................................

30
8
3
5
22

30
8
S
5
22

30
8
3
5

30
8
3
5
22




2

2

46
46
46

22

1

2

6
1
2

233
165
127
38
68

3
3
3

101
101

402
402

101

402

15
15
15

126
124

16
16
16

233
233
233

98.4
98.4
98.4

97.4
98.6

100.0

100.0
98.9
98.5
98.1

100.0

100.0

100.0
3
3
3

97.5
97.5
97.5

100.0
97.5
97.5
97.5

100.0

100.0

100.0
100.0

40
40
40

6
6

6

100.0
100.0

100.0

100.0

90.4
90.3
90.3

90.4
90.3
90.3

100.0

100.0

100.0

5
1

4
2

1

1
1

4

2

2

3

98.4
98.4
98.4

99.0
99.4

98.9
98.5
98.1

27
27
27

16

98.4
98.6
98.8
97.5
98.0

100.0
44
44
44

5

98.0
96.6
95.9
98.3
99.1

100.0

38
38
38

21

60.3
47.1
48.3
57.6
77.9

100.0

1

122
2
2

1
1
1

100.0

100.0

100.0
100.0

100.0
100.0

100.0
100.0

100.0
100.0

100.0

100.0

96.4
87.5
66.7
100.0

100.0

100.0
100.0
100.0

BANKS

275
197
155
42
78

1

1
1
1

98.8
98.8
99.2
97.7
98.8

100.0

278
200
158
42
78

1

246
188
147
41
58

2

6

8

5
20

6

1
1
1

1
1
I

98.4
98.6
98.8
97.5
98.0

2

6
6

2

6

3

27
7

OPERATING

639
367
268
99
272

2

301
154
115
39
147

O
F

M assachusetts...................................
All banks...........................................
Unit banks.....................................
Banks operating branches............
Branches3..........................................

4
2

DEPOSITS

1
1

AND

325
160
117
us
165

OFFICES,

329
162
118
44
167

NUMBER,

M arylan d ............................................
All banks...........................................
Unit banks.....................................
Banks operating branches.............
Branches...........................................

T a b le 102. N

um ber of

O p e r a t in g B a n k s

and

B ranches

U n i t e d St a t e s (C o n t i n e n t a l U . S.

in th e

and

O t h e r A r e a s ), D

ecem ber

3 1 ,1 9 5 3 — C o n t.

G RO U P ED A C CO RD IN G TO IN SU R AN CE STATUS AN D CLASS OF B A N K , AN D B Y STATE AN D T Y P E OF OFFICE

Commercial and stock savings banks
and nondeposit trust companies

All banks

In­
Non­
sured insured

Total

Members F. R.
System
Total
National State

77
52
38
U
25

77
75
73
2

2

547
330
252
78
217

3
3
3

76
51
37
1U
25

1
1
1

517
310
238
I-72
207
77
52
38
n
25

64
62
60
2

2
514
307
235
72
207
76
51
37
n
25

52
51
50

1
1
1

1

11
10
9
1
1

1
301
197
158
39
104

147
67
U
23
80

33
26

34
17

22

8

1

1
739
153

134
65
us

1,729
702
510
192
1,027

14
10
7
3
4

1,498
582
us
13U
916

1,484
572
m
131
912

611
354
296
58
257

102

North C srolin s
All banks
.................
Unit banks
.................
Banks operating branches
Branches
..................

498
226
1U9
77
272

495
225
1U9
76
270

3
i

498
226
11>9
77
272

495
225
1U9
76
270

85
46
29
17
39

44
9
3
6
35

366
170
117
53
196

N orth Dskotfl
................
All banks
..................
Unit banks
.
.................
Banks operating branches
Branches
................

175
153
138
15
22

170
148
133
15
22

175
153
138
15
22

170
148
133
15
22

39
39
39

2
2
2

129
107
92
15
22




10
1

1

33
23
17

23
23
23

33
23
17

6

6

51
586

22

69

All
banks
of de­
posit

Com­
mercial
banks

10

1
1
1

66.0
100.0

34.3
32.4
30.3

100.0

100.0

100.0

100.0
100.0
100.0

100.0
100.0

100.0
100.0

100.0
100.0

100.0
100.0

100.0
100.0

100.0

100.0

11
7
h
3
4

5
5
5

1
......... ! ..........
1

............|
.............

99.4
99.6
100.0

98.7
99.3

1
2

99.3
98.8
99.1
97.8
99.6

100.0

3
1

100.0

99.4
99.0
99.2
98.5
99.6
99.4
99.6

245
130
69
61
115

100.0

100.0

100.0

245
130
69
61
115

100.0

98.7
98.1
97.U

100.0

3
3
3

Mutual
savings
banks

83.1
82.7
82.2

67.9
67.0

98.7
93.1
974

10

9
17

1,743
712
517
195
1,031

5
5
5

3
3
3

10

u
7

12
11

1

23

New Y o r k ............................................
All banks .......................................
Unit banks .................................
Banks operating branches.
...
Branches®
.............................

i
2

35
34
33
1

66
43
33

9
8
7

13
13
13

Non­
In­
sured2 insured

98.7
99.3

97.1
96.7
964

97.1
96.7
964

100.0

100.0

100.0

100.0

100.0
100.0
100.0
100.0

100.0

CORPORATION

New M exico
.
.
All binks
Unit banks
Banks operating branches
Branches
••

550
333
255
78
217

36
36
36

Total

INSURANCE

New Jersey .
..............................
All banks
.....................................
Unit banks
...............................
Banks operating branches
Branches
.............................

76
73
70
3
3

Non­
Banks deposit
of de­
trust
posit
com­
panies

DEPOSIT

Banks operating branches
..
Branches .......................................

112
109
106
S
3

Not
mem­
bers
F.R.S.

FEDERAL

Total

Insured banks as percentages
of banks of deposit1

Noninsured

Insured
State and type of bank or office

Mutual savings banks

308

308

O klah om a.............................
All banks.............................
Unit banks.......................
Banks operating branches
Branches.............................

386
384
382

378
376
37h

O regon ...................................
All banks.............................
Unit banks.......................
Banks operating branches
Branches3............................

184

86

2
2

949
641
555

6
6
6

86

8
8
8

2
2

949
644
560
8h
305

943
638
55h
8h
305

356
235
199
36
121

322
177
158
19
145

265
226
197
29
39

386
384
382

378
376
37h

201
199
197

25
25
25

152
152
152

2
2

2

112
18
15
3
94
763
581
52h
57
182

184
97
78
19
87

187
23
41

15
5
3

36

98.2
98.2
98.2

100.0
100.0

99.5
98.5
98.1

100.0

48
38

98.2
98.2
98.2

99.5
98.5
98.1

13

21

100.0
100.0

100.0
100.0

98.6

98.6
98.6
98.7
97.1
98.7

100.0
100.0
100.0
100.0
100.0

94.1
81.8

58.8
62.5
66.7
50.0
55.6

182
66
53
13
116

2
2
2

Pennsylvania........................
All banks.............................
Unit banks.......................
Banks operating branches,
Branches3............................

1,248
911
805
106
337

1,228
895
792
103
333

20
16
13
3
4

1,218
904
802
314

1,198
888
789
99
310

R hod e Isla n d ........................
All banks.............................
Unit banks.......................
Banks operating branches,
Branches.............................

86
20
10
10
66

74
14
7
7
60

12
6
3
3
6

69
12
h

64
9
3

8

6

2

57

55

10

34

South C arolin a....................
All banks.............................
Unit banks.......................
Banks operating branches
Branches..............................

221
150
127
23
71

207
136
113
23
71

14
14
lh

221
150
127
23
71

207
136
113
23
71

76
25
16
9
51

1
0
8
6
2
2

121
103
91

South D a k o ta ......................
All banks.............................
Unit banks.......................
Banks operating branches,
Branches.............................

221
169
1U1
28
52

221
169
ni
28
52

221
169
m
28
52

221
169
HI
28
52

58
35
31
h
23

27
27
27

136
107
83
2h
29

100.0

100.0

100.0

100.0
100.0
100.0

T en n essee.............................
All banks.............................
Unit banks.......................
Banks operating branches
Branches..............................

422
298
257

7
7
7

422
298
257
hi
124

415
291
250
hi
124

142
74
60
lh
68

25

248
207
183

99.0
98.6
98.1

41

100.0
100.0

99.0
98.6
98.h

124

415
291
250
hi
124

100.0
100.0

T exas......................................
All banks.............................
Unit banks.......................
Banks operating branches
Branches.............................

938
921
903
18
17

899
882
86U
18
17

39
39
39

938
921
903
18
17

899
882
86h
18
17

460
443
h25
18
17

137
137
137

95.8
95.8
95.7

95.8
95.8
95.7

100.0
100.0

100.0
100.0

2
1
2

2

10

7
3
15

30
8

100.0

10

251
210

17
13

h
23
17

2

10
5
h
5

14
14

n

18

97.2
98.8
87.1
73.7
77.8
70.0
90.9

100.0

93.7
90.7
89.0

93.7
90.7
89.0

100.0
100.0

100.0

100.0
100.0

2
U

302
302

30
7
3
h
23

1

11

12

30
7

10

39
39
39

75.0
96.5

100.0
100.0
100.0

100.0

100.0
100.0

BANKS

h
i

102

9
7

OPERATING




68

O
F

55
13
116

DEPOSITS

181
65
52
13
116

100.0

100.0
100.0
100.0
100.0
100.0

AN
D

183
67
5h
13
116

100.0

2
2

99.4
99.1
98.9

100.0
100.0

2

99.4
99.1
98.9

OFFICES,

955
647
561

NUMBER,

O h io ........................................
All banks.............................
Unit banks.......................
Banks operating branches
Branches.............................

00

T a b le 102. N

um ber of

O p e r a t in g B a n k s

grouped

and

a c c o r d in g

to

B ranches
in su r a n c e

in th e

U n i t e d S t a t e s ( C o n t i n e n t a l U . S.

statu s

and

c l a ss

of

b an k , and

Insured
State and type of bank or office
Total

Total

94
74
65
9
20

93
73
64
9
20

Virginia...............................................
All banks...........................................
Unit banks.....................................
Banks operating branches............
Branches...........................................

460
316

1
1
1

91
54
45
9
37

32
9

78
67
59

77
66
58

41
37
34
3
4

1

144

196
133
107
26
63

93
71
58
13
22

282
109

188
33

88
21

20

21
15
13

73
61
55

8

11

460
316

460
316

460
316

248
68

248
68

144

144

248
68

248
68

Washington.......................................
All b a n k s.........................................
Unit banks....................................
Banks operating branches............
Branches3..........................................

293
116
93
23
177

290
113
90
23
177

3
3
3

West Virginia.....................................
All banks...........................................
Unit banks....................................
Banks operating branches.............
Branches...........................................

182
182
182

178
178
178

Wisconsin...........................................
All banks..........................................
Unit banks....................................
Banks operating branches.............
Branches...........................................

708
558
468




90
150

144

285
112
91
173

173

13
155

4
4
4

182
182
182

178
178
178

700
551

8

462

6
1

704
554
464
90
150

697
548
459
89
149

89
149

21

1

Non­
Banks deposit
of de­
trust
posit
com­
panies

Total

In­
Non­
sured2 insured

171
112
83
29
59

8

11

7

Mutual savings banks

35
28
23
5
7

23

3 1 , 1 9 5 3 - -Cont.

00
00

Insured banks as percentages
of banks of deposit1

1
1

2

28
25

100.0
100.0

3
3
16
7

16
7

1

6
1

6
1

9

9

68
68

110
95
91
4
15

78
71
67
4
7

509
382
301
81
127

68

100.0

100.0
100.0

100.0
100.0

100.0
100.0

100.0
100.0

100.0
100.0

100.0
100.0

100.0

100.0

8
4
2
2

4

4

2
1

1

100.0

100.0

3
3
3

4
4
4

3
3
3

1
1
1

100.0

97.8
97.8
97.8

4
4
4

4
3

98.9
97.3
96.7

100.0

2
2

100.0

99.0
97.4
96.8

8
4

100.0
100.0

100.0

100.0

100.0
100.0

100.0
100.0

6

36
36
36

100.0
100.0

100.0
100.0

3
3
3

Mutual
savings
banks

100.0
100.0

100.0

1
1

12

74
74
74

Com­
mercial
banks

100.0
100.0

22

6

All
banks
of de­
posit

99.4
99.5
99.6
98.9
99.3

100.0
100.0

97.8
97.8
97.8

99.3
99.3
99.4
98.9
99.3

100.0
100.0
100.0

75.0
75.0
75.0

CORPORATION

Vermont.............................................
All banks...........................................
Unit banks.....................................
Banks operating branches.............
Branches...........................................

31
20
15
5
11

Not
mem­
bers
F.R.S.

91
54
45
9
37

8
1

ecem ber

o f f ic e

INSURANCE

91
54
45
9
37

of

DEPOSIT

Banks operating branches............
Branches...........................................

91
54
45
9
37

type

Noninsured

Members P. R.
System
National State

Utah.................... ..............................

O t h e r A r e a s ), D
and

FEDERAL

In­
Non­
sured insured

and

sta te

Commercial and stock savings banks
and nondeposit trust companies

All banks

Total

by

W yom in g ....... ....................................
All banks...........................................
Unit banks.....................................
Banks operating branches.............
Branches...........................................

54
53
52

54
53
52

1

1

1

1

30
19

18
8
U
4
10

54
53
52
1

1

54
53
52

26
25
24

1

1

1

1

15
15
15

13
13
13

100.0
100.0

100.0
100.0

100.0
100.0

100.0
100.0

100.0

100.0

Other areas

1U

5
11

1

30
19
14
5
11

12
11
10
1

18
8
u
4
10

18
g
4
4

10

12
11
1

1
1

1

1

61
9
5
U
52

56
7
5

61
9
5

5
2

5
2

4

2

2

2

3

49

M ariana Islan ds..............................
All banks...........................................
Unit banks.....................................
Banks operating branches.............
Branches3..........................................

3

3

3

3

4

4

4

68
11
•
4
7
57

61
8
3
5
53

1

Virgin Islands6...................................
All banks...........................................
Unit banks.....................................
Banks operating branches.............
Branches...........................................

4
3

3
2

2
1

1
1

1

1

1

50.0
5.8

89.7
72.7
75.0
71.4
93.0

89.7
72.'7
75.0
71.4
93.0

75.0
66.7
50.0

75.0
66.7
50.0

100.0

100.0

4

Puerto R ic o ........................................
All banks...........................................
Unit banks.....................................
Banks operating branches.............
Branches3..........................................

50.0
5.8

3

Panam a Canal Z o n e ......................
All banks...........................................
Unit banks.....................................
Banks operating branches.............
Branches3..........................................

8.9
50.0

1

Hawaii6 ................................................
All banks...........................................
Unit banks.....................................
Banks operating branches.............
Branches...........................................

8.9
50.0

1
1

1

5
2
2

3

2

52

3

3

3

3

O
F

4

4

4

7
3

4

68
11
4
7
57

61
8
3
5
53

61
8
3
5
53

1
1

4
3

3
2

3
2

2
1
1

5
5
5

DEPOSITS

4

49

51
2

1
1

1
1

1

1

7
3
1
2

4
1
1
1

100.0

100.0

BANKS

1
1

OPERATING

1
1

AND

Am erican S a m oa ..............................
All banks...........................................
Unit banks.....................................
Banks operating branches.............
Branches...........................................

60.0
42.1
28.6
80.0
90.9

OFFICES,

60.0
42.1
28.6
80.0
90.9

10
1

NUMBER,

Alaska4.................................................
All banks...........................................
Unit banks.....................................
Banks operating branches.............
Branches...........................................

1 Percentages are based on totals for all banks, excluding nondeposit trust companies.
2 Includes 3 banks members of the Federal Reserve System: 1 in Indiana and 2 in Wisconsin.
*
Includes branches operated by banks located in other states or areas as follows: 1 noninsured branch in Massachusetts operated by a New York bank; 2 insured branches in
New York operated by a Puerto Rico bank; 1 insured branch in Oregon operated by a California bank; 1 insured branch in Pennsylvania operated by a New Jersey bank and 1 nonmsured branch in Pennsylvania operated by a New York bank; 2 insured branches in Washington operated by a California bank; 3 noninsured branches in the Mariana Islands operated
by a California bank; 4 noninsured branches in the Panama Canal Zone operated by 2 New York banks; and 9 insured branches in Puerto Rico operated by 2 New York banks.
4 Includes 6 insured national banks, not members of the Federal Reserve System.
8 Includes, among noninsured banks, 1 national bank operating 21 branches.
8 Includes, among insured banks not members of the Federal Reserve System, 1 national bank operating 1 branch.
Back figures: See the Annual Report for 1952,fpp.|86-93, and earlier reports.




T a b le 10 3 .

N u m b e r a n d D e p o s i t s o f O p e r a t i n g B a n k s in t h e U n i t e d S t a t e s ( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) , D e c e m b e r 31, 1953
banks

grouped

a c c o r d in g

to

in s u r a n c e

statu s

and

by

d is t r ic t

Number of banks

FDIC District
and State

Commercial and stock savings
banks and nondeposit
trust companies

Commercial and stock savings
banks and nondeposit
trust companies

Mutual savings banks

Non­
Banks deposit
of de­
trust
posit1 com­
panies

In­
sured

Nonin­
sured

13,432

532

60

528

219

309

13,981
43

13,412
20

514
18

55
5

528

219

309

3
6
3

341
155
10
8

36
154
10
7

305
1

8

6

2

1

1

5

5

FDIC D istrict
District 1 .................
District 22................
District 3 .................
District 4 .................
District 5 .................
District 6 .................
District 7 .................
District 8 .................
District 9 .................
District 10...............
District 11...............
District 123..............

846
1,096
1,558
1,055
1,048
1,504
1,471
1,564
1,109
1,624
1,158
519

505
941
1,548
1.047
1.048
1,504
1,463
1,564
1,108
1,624
1,158
514

459
923
1,526
1,027
986
1,455
1,436
1,501
1,091
1,431
1,116
481

43
12
19
20
60
40
16
59
16
186
41
20

State
Alabama..................
Arizona....................
Arkansas..................
California................
Colorado..................

231
14
230
206
162

231
14
230
206
162

231
13
224
197
152

5
2
10

Connecticut............
Delaware.................
Dist. of Columbia..
Florida.....................
Georgia....................

181
37
19
217
400

109
35
19
217
400

94
34
19
213
345

14
1

1

2
55

2

Idaho.......................
Illinois......................
Indiana....................
I o w a .......................
Kansas.....................

38
900
482
664
606

38
900
478
664
606

38
889
469
612
477

8
7
51
129

3
2
1




2
9
11
4
1
7
1
13

1

1
1
7
72
2

4

5
1

3

67
1

1

Total

Insured

Nonin­
sured

Total

201,978,297

177,580,415

175,083,481

2,496,934

201,099,520
878,777

176,701,638
878,777

174,696,905
386,576

2,004,733
492,201

14,959,249
56,762,195
22,541,148
10,135,889
7,195,428
10,371,093
14,554,589
17,440,098
5,375,440
7,322,984
12,312,039
23,008,1.45

8,470,165
41,458,873
20,945,037
9,686,714
7,195,428
10,371,093
14,484,640
17,440,098
5,167,368
7,322,984
12,312,039
22,725,976

8,183,379
40,818,410
20,884,039
9,556,540
7,165,167
10,325,954
14,299,546
17,302,655
5,040,189
7,114,136
12,216,521
22,176,945

286,786
640,463
60,998
130,174
30,261
45,139
185,094
137,443
127,179
208,848
95,518
549,031

1,491,290
636,479
944,638
16,822,185
1,431,038

Total

1,491,290
636,479
944,638
16,822,185
1,431,038

1,491,290
634,018
941,021
16,761,488
1,427,989

2,461
3,617
60,697
3,049

3,606,672
631,108
1,266,757
2,641,501
2,109,535

2,003,396
527,446
1,266,757
2,641,501
2,109,535

1,934,376
523,346
1,266,757
2,633,289
2,096,436

512,160
14,794,061
3,968,780
2,646,037
1,966,030

512,160
14,794,061
3,916,958
2,646,037
1,966,030

512,160
14,747,629
3,902,394
2,555,026
1,804,648

69,020
4,100

Insured

Nonin­
sured

24.397.882

18.382.535

6.015.347

24.397.882

18.382.535

6.015.347

6,489,084
15,303,322
1,596,111
449,175

573,626
15,222,057
1,596,111
* 444,994

5,915,458
81,265

14,443

4,181

69,949

55,506

208,072

208,072

282,169

282,169

1,603,276
103,662

92,742
22,397

1,510,534
81,265

51,822

37,942

13,880

CORPORATION

14,024

All
banks

8,212
13,099
46,432
14,564
91,011
161,382

INSURANCE

14,552
C on tin en ta l U. S .. 14,509
43
Other areas...........

Mutual savings banks

DEPOSIT

Total

In­
sured

T ota l United

state

Deposits (in thousands of dollars)

Noninsured

All
banks1

and

431
678

Nebraska...............
Nevada..................
New Hampshire...
New Jersey............
New M exico..........
New York..........
North Carolina.
North D akota..
Ohio...................
Oklahoma..........

419
8
109
333
52

419
75
310
52

373
8
62
307
51

712
226
153
647
384

582
226
153
644
384

572
225
148
638
376

68
20

150
169

67
904
12
150
169

Tennessee.
Texas........
Utah.........
Vermont. .
Virginia. ..

298
921
54
74
316

Washington...
West Virginia.
Wisconsin. . . .
Wyoming.......

116
182
558
53

182
554
53

Oregon.............
Pennsylvania. .
Rhode Island. .
South Carolina.
South D akota..

911

11

18,580
1,008
38,543
88,558
99,121

7,019,379
3,541,204
953,102
5,134,842
663,040

7,019,379
3,333,132
953,102
5,134,842
663,040

6,854,769
3,321,323
944,152
5,118,169
663,040

164,610
11,809
8,950
16,673

1,555,386
245,718
644,657
6,250,427
463,323

1,555,386
245,718
312,604
5,412,651
463,323

1,515,183
245,718
263,469
5,412,615
463,057

40,203

49,594,140
2,215,962
607,393
9,483,162
2,051,419

35,232,256
2,215,962
607,393
9,184,200
2,051,419

9
136
169

1,648,107
13,057,986
1,118,203
845,077
563,803

298
921
54
67
316

291
882
54
66
316

112

109
178
548
53

8

65
888

1

188

40
23

130

130

276,603
449,175
3,860,801

41,902
444,994

208,072

208,072

49,135
36
266

332,053
837,776

186,646
837,776

34,631,086
2,195,146
492,023
9,176,935
2,047,205

601,170
20,816
115,370
7,265
4,214

14,361,884

14,361,884

298,962

298,962

1,622,680
11,760,837
798,848
845,077
563,803

1,614,332
11,707,104
767,881
836,694
563,803

8,348
53,733
30,967
8,383

25,427
1,297,149
319,355

25,427
1,297,149
155,340

2,428,484
8,973,026
723,070
379,458
2,390,069

2,428,484
8,973,026
723,070
282,462
2,390,069

2,422,215
8,881,243
723,070
282,462
2,390,069

6,269
91,783
96,996

96,996

2,464,648
1,063,725
3,566,430
319,111

2,207,906
1,063,725
3,548,303
319,111

2,184,964
1,051,308
3,542,383
319,111

22,942
256,742
256,742
12,417
5,920 ........18,127 ........17,564 ......... 563

140,382
1,235
406,051
22,774
21,815
279,544
6,976

140,382
1,235
406,051
22,774
21,815
279,544
6,976

103,732
’ 31,481
244,566
6,797

36,650
1,235
374,570
22,774
21,815
34,978
179

234,701
4,181
3,860,801

145,407

164,015

BANKS

Other areas
Alaska..................
American Samoa.
Hawaii.................
Mariana Islands4.
Panama Canal Zone4
Puerto Rico4........
Virgin Islands.. . .

598
109

1,844,549
2,238,203
478,281
1,816,566
4,456,910

OPERATING

419
665
197
580
109

200

1,863,129
2,239,211
516,824
1,905,124
4,556,031

24

O
F

431
677
200
598
109

162

367

1,863,129
2,239,211
793,427
2,354,299
8,416,832

32
8
188

DEPOSITS

360
170
55
153
173

AND

Michigan.......
Minnesota.. . .
Mississippi. . .
Missouri........
Montana........

378
171
63
154
179

OFFICES,

378
171
95

NUMBER,

Kentucky........
Louisiana.........
Maine..............
Maryland........
Massachusetts.

1 Includes 14 noninsured banks of deposit (8 in Georgia, 2 in Iowa, and 4 in Texas) for which deposits are not available.
2 Includes Puerto Rico and the Virgin Islands.
8 Includes Alaska, American Samoa, Hawaii, Mariana Islands, and the Panama Canal Zone.
4
Includes deposit data for the following branches of insured banks in continental United States: 3 noninsured branches in the Mariana Islands (2 in Guam and 1 in Saipan); 4
noninsured branches in the Panama Canal Zone; and 9 insured branches in Puerto Rico. Data for these branches are not included in the figures for the States in which the parent
banks are located.
Back figures: See the Annual Report for 1952, pp. 98-99, and earlier reports.




A

ssets a n d

L ia b il it ie s

of

O p e r a t in g B a n k s

Table 104.

Assets and liabilities of operating banks in the United States (continental U. S.
and other areas), June 30, 1953
Banks grouped according to insurance status and type of bank

Table 105.

Assets and liabilities of operating banks in the United States (continental U. S.
and other areas), December 31, 1953
Banks grouped according to insurance status and type of bank

Table 106.

Assets and liabilities of operating banks in the United States (continental U. S.
and other areas), December 31, 1953
Banks grouped by district and State

Table 107.

Assets and liabilities of operating insured banks in the United States (continental
U. S. and other areas), December 31, 1953, June 30, 1953, and December 31, 1952




The data in these tables relate to banks operating in the United
States (continental U. S. and other areas). Data from the same tabu­
lations for all operating banks in each State and other area are also
shown in the Corporation’s publication, “ Assets, Liabilities, and
Capital Accounts, Commercial and Mutual Savings Banks,” as follows:
For June 30, 1953
For December 31, 1953

Report No. 39, pp. 8-9
Report No. 40, pp. 8-9

Statements of assets and liabilities are submitted by insured com­
mercial banks upon either a cash or an accrual basis, depending upon
the bank’s method of bookkeeping. Assets reported represent aggregate
book value, on the date of call, less valuation and premium reserves.
Assets and liabilities held in or administered by a savings, bond,
insurance, real estate, foreign, or any other department of a bank,
except a trust department, are consolidated with the respective assets
and liabilities of the commercial department. *
'‘Deposits of individuals,
partnerships, and corporations” include trust funds deposited by a trust
department in a commercial or savings department. Other assets held
in trust are not included in statements of assets and liabilities.
In the case of banks with one or more domestic branches, the assets
and liabilities reported are consolidations of figures for the head office
and all domestic branches. In the case of a bank with foreign branches,
net amounts due from its own foreign branches are included in “ Other
assets,” and net amounts due to its own foreign branches are included
in “ Other liabilities.” Branches outside the continental United States
of insured banks in the United States are treated as separate entities
but as in the case of other branches are not included in the count of
banks. Data for such branches are not included in the figures for the
States in which the parent banks are located. Asset and liability data
for nine branches in Puerto Rico of two national banks in New York
are included with insured bank figures for Puerto Rico and for all
insured banks.
Demand balances with and demand deposits due to banks in the
United States, except private banks and American branches of foreign
banks, exclude reciprocal interbank deposits. Reciprocal interbank
deposits arise when two banks maintain deposit accounts with each
other.
Individual loan items are reported gross instead of net of valuation
reserves. Accordingly, reserves for losses on loans under the provisions




of Mimeograph 6209 issued by the Bureau of Internal Revenue in
December 1947 and other loan valuation reserves have been shown
separately.
Instalment loans are ordinarily reported net if the instalment pay­
ments are applied directly to the reduction of the loan. Such loans are
reported gross if, under contract, the payments do not immediately
reduce the unpaid balances of the loan but are assigned or pledged to
assure repayment at maturity.
Total deposits shown in these tables are not the same as the deposits
upon which assessments paid to the Federal Deposit Insurance Cor­
poration are based. The assessment base is slightly lower due to certain
exclusions which are permitted and deductions which may be claimed.
Asset and liability data for noninsured banks are tabulated from
reports pertaining to the individual banks. In a few cases these reports
are not as detailed as those submitted by insured banks, and some of
the items reported have been allocated to more detailed categories
according to the distribution of asset and liability data for insured
State banks not members of the Federal Reserve System or for other
noninsured banks.

Sources of data
National banks and State banks in the District of Columbia not
members of the Federal Reserve System: Office of the Comptroller of
the Currency.
State banks members of the Federal Reserve System: Board of
Governors of the Federal Reserve System.
Other insured banks: Federal Deposit Insurance Corporation.
Noninsured banks: State banking authorities; Rand McNally Bankers
Directory; Polk’s Bankers Encyclopedia; and reports from individual
banks.

Table 104.

A sse ts

and

L ia b il it ie s

of

O p e r a t in g B a n k s

in th e

U n i t e d S t a t e s ( C o n t i n e n t a l U . S.

and

O t h e r A r e a s ), J u n e 3 0 , 1953

BANKS GROUPED ACCORDING TO INSURANCE STATUS AND TYPE OF BANK
(Amounts in thousands of dollars)
Commercial and stock savings banks and
nondeposit trust companies

All banks

Mutual savings banks

Noninsured
Asset, liability, or capital account item

Non­
insured

19,590,274

6,742,683

450,377
59,522

51,709
1,483

692,248
78,933
1,366
367,099
225,004

174,910
29,433

350,448
5,548
1,568
33,291

867,158
108,366
1,366
499,806
229,378

'132,707
48,478
4,374
89
13
1,646 ........28,242 ........19,846 ........8,396
108,021
63,856
16,328
9,173
18,664

13,033,083
9,463,992
378,368
2,802,055
388,668

9,284,388
6,642,422
340,757
2,178,729
122,480

3,748,695
2,821,570
37,611
623,326
266,188

702,893
2,292
705,185
197,571

26,366
35
26,401
1,822

12,091,415
177,963
12,269,378
32,322

9,325,239
160,928
9,486,167
27,391

2,766,176
17,035
2,783,211
4,931

284,914
3,324,801
1,704,336
1,052,982
16,148,116
1,081+,1+75

12,629
76,056
14,831
37,464
223,136
18,551+

187

1,903

1,587

316

4,701
15,972
1,167

4,339
12,112,357
50,1+37

2,695
9,383,976
39,199

1,644
2,728,381
11,238

3,798,1+87
3,012,619
5,733,61+1
2,738,281
14,170,758
155,432
1,606,049

3,729,520
2,975,811
5,650,979
2,707,331
14,066,747
155,022
1,563,253

317,971+
3,325,1+1+1+
3,007,1+70
65,290
3,677
766,963
2,287
2,590,301+
31+,521
1,823,31+1
1 ,658,1+30
+
75,1+30
7,232
3,308,1+71 1,31+9,959
1,609
1,205,1+95
282,21+7
1,1+87,71+2
29,31+1
45,476
109,508
64,032
103,739
272
410
39,349 ........3,447 ..........8,949 ..........6,486 ........2,463

2,370,096
1,363,807
140,252
866,037

2,271,035
1,343,946
127,171
799,918

199,176,232

9,577,077

182,420,352

179,585,958

2,630,134

Cash, balances with other banks, an d cash
collection item s— to ta l.............................
Currency and coin.............................................
Reserve with F. R. banks (member banks). .
Demand balances with banks in U. S............
Other balances with banks in U. S.................
Balances with banks in foreign countries. . . .
Cash items in process of collection.................

42,199,338
2,755,207
19,447,746
10,778,041
273,108
60,138
8,885,098

41,522,342
2,664,769
19,447,746
10,246,408
263,097
58,557
8,841,765

676,996
90,438
531,633
10,011
1,581
43,333

41,332,180
2,646,841
19,446,380
10,278,235
43,730
60,138
8,856,856

40,830,094
2,585,836
19,446,380
9,879,309
38,093
58,557
8,821,919

Securities— t o ta l.................................................
U. S. Gov’t, obligations (incl. guaranteed). . .
Obligations of States and subdivisions...........
Other bonds, notes, and debentures2..............
Corporate stocks...............................................

86,298,460
68,368,873
10,962,300
6,168,458
798,829

81,045,777
64,408,401
10,674,260
5,474,700
488,416

5,252,683
3,960,472
288,040
693,758
310,413

73,265,377
58,904,881
10,583,932
3,366,403
410,161

71,761,389
57,765,979
10,333,503
3,295,971
365,936

1,395,967
1,075,046
234,101
61,259
25,561

Loans and discounts, net— to ta l...................
Valuation reserves3................................................
Loans and discounts, gross— t o ta l................
Commercial and industrial loans.....................
Loans to farmers directly guaranteed by the
Commodity Credit Corporation
Other loans to farmers (excl. real estate). . . .
Loans to brokers and dealers in securities.. . .
Other loans for carrying securities..................
Real estate loans— total....................................
Farm land.......................................................
Residential 'properties:
Insured by F H A .........................................
Insured or guaranteed by V A ....................
Not insured or guaranteed by FHAyor V A .
Other properties...............................................
Other loans to individuals................................
Loans to banks..................................................
All other loans (including overdrafts)............

77,544,114
1,118,513
78,662,627
27,593,207

74,048,679
1,099,151
75,147,830
27,388,883

3,495,435
19,362
3,514,797
204,324

65,452,699
940,550
66,393,249
27,560,885

64,723,440
938,223
65,661,663
27,361,492

297,543
3,402,947
1,719,167
1,099,486
28,499,581
1 ,1 51+,633

284,914
3,326,388
1,704,336
1,055,677
25,532,092
1,123,671+

12,629
76,559
14,831
43,809
2,967,489
30,959

297,543
3,401,044
1,719,167
1,095,147
16,387,224
1,1 Ok,196

7,123,931
5,602,923
10,392,071
1 ,226,023
+
14,280,266
155,432
1,614,998

6,736,990
1+,799,152
8,959,1+50
3,912,826
14,130,779
155,022
1,569,739

386,91+1
803,771
1,1+32,621
313,197
149,487
410
45,259

M iscellaneous assets— t o t a l............................
Bank premises owned, furniture andlfixtures.
Other real estate— direct and indirect............
All other miscellaneous assets..........................

2,711,397
1,501,886
143,275
1,066,236

2,559,434
1,452,614
128,526
978,294

151,963
49,272
14,749
87,942




Banks
of
deposit

80,897
14,016
5,402
61,479

Nondeposit
trust
com­
panies1

18,164
5,845
7,679
4,640

341,301
138,079
3,023
200,199

288,399
108,668
1,355
178,376

52,902
29,411
1,668
21,823

C O RPORATION

26,332,957

208,753,309

Insured

INSURANCE

204,260

T otal assets..............................................................

Total

DEPOSIT

Insured

Insured

FEDERAL

Total

Total

Non­
insured

Total liabilities and capital accounts..............

182,420,352

179,585,958

2,630,134

204,260

26,332,957

19,590,274

6,742,683

137,517,312

135,836,267

1,609,298

71,747

23,609,712

17,678,475

5,931,237

93,142,581

1,133,424

94,251,398

93,118,662

1,062,221

70,515

24,607

23,919

688

57,923,020

6,454,166

40,800,458

40,276,448

522,934

1,076

23,576,728

17,646,572

5,930,156

24,692

2,465,456

2,441,157

24,143

156

8,377

7,984

393

15,265,776
3,712,491
318,599
9,425,287
1,809,399

14,941,304
3,642,618
318,033
9,254,078
1,726,575

324,472
69,873
566
171,209
82,824

15,249,898
3,710,238
318,593
9,423,546
1,797,521

14,927,295
3,640,912
318,027
9,252,587
1,715,769

322,541
69,326
566
170,897
81,752

62

15.878
2,253
6
1,741
11.878

14,009
1,706
6
1,491
10,806

1,869
547
250
1,072

Interbank and postal savings deposits—
total...............................................................
Banks in the United States— demand............
Banks in the United States— tim e..................
Banks in foreign countries— demand..............
Banks in foreign countries— time....................
Postal savings....................................................

13,647,113
11,421,502
191,474
1,344,331
656,817
32,989

13,284,416
11,248,072
43,354
1,305,872
654,772
32,346

362,697
173,430
148,120
38,459
2,045
643

13,644,552
11,421,452
188,963
1,344,331
656,817
32,989

13,281,954
11,248,022
40,942
1,305,872
654,772
32,346

362,518
173,351
148,021
38,458
2,045
643

80
79

2,561
50
2,511

2,462
50
2,412

99

Total d eposits.............................................
Demand.......................................................
Time............................................................

190,039,913
122,653, 449
67,386,464

181,740,462
121,042,362
60,698,100

8,299,451
1,611,087
6,688,364

166,411,762
122,616,421
43,795,341

164,045,516
121,007,212
43,038,304

2,294,357
1,538,396
755,961

71,889
70,813
1,076

23,628,151
37,028
23,591,123

17,694,946
35,150
17,659,796

5,933,205
1,878
5,931,327

Miscellaneous liabilities— total.....................
Rediscounts and other borrowed m oney........
All other miscellaneous liabilities....................

2,833,112
114,917
2,718,195

2,689,794
104,885
2,584,909

143,318
10,032
133,286

2,644,115
114,882
2,529,233

2,565,722
104,850
2,460,872

54,841
8,478
46,363

23,552
1,554
21,998

188,997
35
188,962

124,072
35
124,037

64.925

Total liabilities (excluding capital
accounts).................................................. 192,873,025

62

1

99

8,442,769

169,055,877

166,611,238

2,349,198

95,441

23,817,148

17,819,018

5,998,130

15,880,284
76,642
4,031,551
7,944,382
3,827,709

14,745,976
55,221
3,909,633
7,380,760
3,400,362

1,134,308
21,421
121,918
563,622
427,347

13,364,475
76,642
4,031,551
6,214,494
3,041,788

12,974,720
55,221
3,909,633
6,080,247
2,929,619

280,936
21,421
81,307
95,425
82,783

108,819

2,515,809
(4
)

1,771,256
(4
)

744,553

1,729,888
785,921

1,300,513
470,743

429,375
315,178

Number of banks5.....................................................

14,579

13,648

931

14,051

13,435

551

65

213

315

40,611
38,822
29,386

528 1

BANKS

184,430,256

Capital accounts— total...................................
Preferred capital...............................................
Common stock...................................................
Surplus...............................................................
Undivided profits and reserves........................

OPERATING

64.925

O
F

2,449,141

Government deposits— total...........................
United States Government— demand.............
United States Government— time...................
States and subdivisions— demand...................
States and subdivisions— time.........................

LIABILITIES

9,577,077
7,612,282

AND

199,176,232
153,514,742

ASSETS

208,753,309

Business and personal deposits— total........ 161,127,024
Deposits of individuals, partnerships, and
corporations— demand..................................
94,276,005
Deposits of individuals, partnerships, and
corporations— time........................................
64,377,186
Certified and officers’ checks, cash letters of
credit and travelers’ checks outstanding,
and amounts due to Federal Reserve banks.
2,473,833

1 Amounts shown as deposits are special accounts and uninvested trust funds, with the latter classified as demand deposits of individuals, partnerships, and corporations.
2 Includes obligations of United States Government corporations and agencies, not guaranteed by the United States Government.
3 Reserves for losses on loans authorized by the Bureau of Internal Revenue for income tax purposes and other valuation reserves.
4 Not reported separately. Included with “ Undivided profits and reserves.”
6 Includes 18 noninsured banks of deposit for which asset and liability data are not available.
Back figures: See the Annual Report for 1952, pp. 102-103, and earlier reports.




O
Q
ji

T a b le 1 05.

A s s e t s a n d L i a b i l i t i e s o f O p e r a t i n g B a n k s in t h e U n i t e d S t a t e s ( C o n t i n e n t a l U. S. a n d O t h e r A r e a s ) , D e c e m b e r 31, 1953
B A N K S GRO UPED ACCORDING TO INSURAN CE STATU S AN D T Y P E OF B A N K
(A m ounts in thousands o f dollars)

Commercial and stock savings banks and
nondeposit trust companies

All banks

Mutual savings banks

Noninsured
Asset, liability, or capital account item

Non­
insured

184,479

27,129,964

20,333,801

6,796,163

482,885
55,396

47,621
1,064

799,076
94,620
1,489
439,646
239,051

183,723
31,849

382,304
5,064
3,332
36,789

982,799
126,469
1,489
575,427
243,339

45,702
56
13
786 ........36,075 ........24,270

135,781
4,288

97,495
51,419
22,053
5,787
18,236

12,884,971
9,183,940
407,432
2,862,212
431,387

9,236,202
6,476,484
360,481
2,241,799
157,438

3,648,769
2,707,456
46,951
620,413
273,949

707,020
2,080
709,100
178,355

21,730
46
21,776
277

12,925,237
178,856
13,104,093
31,913

10,015,600
162,955
10,178,555
28,952

2,909,637
15,901
2,925,538
2,961

2,164,791
2,719,046
2,344,232
1,182,462
16,612,658
1,062,224

40,938
62,663
17,302
36,608
222,296
18,631

119

1,687

1,553

134

4,670
14,700
787

4,813
12,943,489
53,015

2,911
10,069,578
40,445

1,902
2,873,911
12,570

3,912,399
3,061,442
5,950,787
2,843,384
14,520,320
162,222
1,517,158

3,853,009
3,024,889
5,866,475
2,806,061
14,411,636
161,925
1,473,191

1,717
57,673
3,489,348
338,764
3,150,584
843,765
3,053,232
2,209,467
35,132
1,421
75,739
8,573
4,791,563
3,403,248 1,388,315
290,497
2,202
1,556,331
35,121
1,265,834
45,446
67,453
108,392
292
112,899
297
42,249 ........1,718 ..........9,292 ..........8,108 ........1,184

2,558,972
1,411,402
140,632
1,006,938

2,466,691
1,392,396
128,052
946,243

211,396,426

9,736,377

194,002,839

191,062,625

2,755,735

45,991,609
2,690,476
19,996,858
12,727,617
288,204
67,036
10,221,418

45,277,380
2,602,167
19,996,858
12,163,830
278,796
63,691
10,172,038

714,229
88,309
563,787
9,408
3,345
49,380

45,008,810
2,564,007
19,995,369
12,152,190
44,865
67,036
10,185,343

44,478,304
2,507,547
19,995,369
11,724,184
39,745
63,691
10,147,768

Securities— to ta l.................................................
U. S. Gov’t, obligations (incl. guaranteed)...
Obligations of States and subdivisions...........
Other bonds, notes, and debentures2..............
Corporate stocks...............................................

91,325,110
72,872,466
11,283,010
6,322,351
847,283

86,087,664
68,949,419
10,980,493
5,628,529
529,223

5,237,446
3,923,047
302,517
693,822
318,060

78,440,139
63,688,526
10,875,578
3,460,139
415,896

76,851,462
62,472,935
10,620,012
3,386,730
371,785

1,491,182
1,164,172
233,513
67,622
25,875

Loans and discounts, net— to ta l...................
Valuation reserves3................................................
Loans and discounts, gross— t o ta l................
Commercial and industrial loans.....................
Loans to farmers directly guaranteed by the
Commodity Credit Corporation..................
Other loans to farmers (excl. real estate). . . .
Loans to brokers and dealers in securities. . . .
Other loans for carrying securities..................
Real estate loans— total....................................
Farm land.......................................................
Residential 'properties:
Insured by F H A .........................................
Insured or guaranteed by V A ....................
Not insured or guaranteed by FHA or V A .
Other properties...............................................
Other loans to individuals................................
Loans to banks..................................................
All other loans (including overdrafts)............

80,920,155
1,142,299
82,062,454
27,368,089

77,281,768
1,124,272
78,406,040
27,186,496

3,638,387
18,027
3,656,414
181,593

67,994,918
963,443
68,958,361
27,336,176

67,266,168
961,317
68,227,485
27,157,544

2,205,729
2,783,515
2,361,534
1,228,553
29,793,143
1,134,657

2,164,791
2,720,599
2,344,232
1,185,373
26,682,236
1,102,669

40,938
62,916
17,302
43,180
3,110,907
31,988

2,205,729
2,781,828
2,361,534
1,223,740
16,849,654
1,081,642

7,401,747
6,114,674
10,742,350
4,399,715
14,633,219
162,222
1,526,450

7,003,593
5,234,356
9,269,723
4,071,895
14,479,089
161,925
1,481,299

398,154
880,318
1,472,627
327,820
154,130
297
45,151

M iscellaneous assets— t o ta l............................
Bank premises owned, furniture and fixtures.
Other real estate— direct and indirect............
All other miscellaneous assets.........................

2,895,929
1,556,540
143,300
1,196,089

2,749,614
1,506,865
129,169
1,113,580

146,315
49,675
14,131
82,509




Banks
of
deposit

74,648
13,650
4,902
56,096

Nondeposit
trust
com­
panies1

17,633
5,356
7,678
4,599

336,957
145,138
2,668
189,151

282,923
114,469
1,117
167,337

11,805

54,034
30,669
1,551
21,814

CORPORATION

221,132,803

Cash, balances with other banks, and cash
collection item s— t o ta l.............................
Currency and coin.............................................
Reserve with F. R. banks (member banks). .
Demand balances with banks in U. S.............
Other balances with banks in U. S.................
Balances with banks in foreign countries. . . .
Cash items in process of collection..................

Insured

INSURANCE

T otal assets..............................................................

Total

DEPOSIT

Insured

Insured

FEDERAL

Total

Total

Non­
insured

Total liabilities and capital accounts..........

211,396,426

9,736,377

194,002,839

191,062,625

2,755,735

184,479

27,129,964

20,333,801

6,796,163

162,029,962

7,753,472

145,408,536

143,667,798

1,662,960

77,778

24,374,898

18,362,164

6,012,73

99,216,948

1,200,679

100,395,568

99,195,829

1,123,077

76,662

22,059

21,119

940

59,817,273

6,528,446

42,001,120

41,484,058

516,019

1,043

24,344,599

18,333,215

6,011,384

73

3,011,848

2,987,911

23,864

8,240

7,830

410

15,846,486
4,137,855
319,991
9,448,844
1,939,796

343,845
80,703
2,703
175,893
84,546

16,169,851
4,215,454
322,664
9,620,398
2,011,335

15,828,516
4,135,590
319,967
9,444,755
1,928,204

341,274
79,864
2,697
175,582
83,131

20,480
3,104
30
4,339
13,007

17,970
2,265
24
4,089
11,592

2,510
839

Interbank and postal savings deposits—
total...........................................................
Banks in the United States— demand........
Banks in the United States— tim e..............
Banks in foreign countries— demand..........
Banks in foreign countries— tim e................
Postal savings................................................

16,004,532
13,457,360
176,236
1,346,638
993,445
30,853

15,589,568
13,229,080
50,520
1,296,108
983,650
30,210

414,964
228,280
125,716
50,530
9,795
643

16,002,028
13,457,310
173,782
1,346,638
993,445
30,853

15,587,167
13,229,030
48,169
1,296,108
983,650
30,210

414,768
228,188
125,613
50,529
9,795
643

2,504
50
2,454

2,401
50
2,351

’ 103

201,978,297
132,085,008
69,893,289

193,466,016
130,32k,576
63,1 kl MO

8,512,281
1,760,482
6,751,849

177,580,415
132,047,216
45,533,199

175,083,481
130,289,223
44,794,258

2,419,002
1,681,104
737,898

77,932
76,889
1,043

24,397,882
37,792
24,360,090

18,382,535
35,353
18,347,182

6,015,347
2,439
6,012,908

2,945,142
66,803
2,878,339

2,847,301
59,090
2,788,211

97,841
7,713
90,128

2,772,139
66,753
2,705,386

2,714,666
59,040
2,655,626

50,429
6,920
43,509

7,044
793
6,251

173,003
50
172,953

132,635
50
132,585

40.368

204,923,439

196,313,317

!,610,122

180,352,554

177,798,147

2,469,431

84,976

24,570,885

18,515,170

6,055,715

16,209,364
73,878
4,099,829
8,193,898
3,841,759

15,083,109
52,457
3,978,135
7,623,978
3,428,539

1,126,255
21,421
121,694
569,920
413,220

13,650,285
73,878
4,099,829
6,419,482
3,057,096

13,264,478
52,457
3,978,135
6,283,560
2,950,326

286,304
21,421
84,383
99,328
81,172

99,503

2,559,079

1,818,631

740,448

37,311
36,594
25,598

(4
)

(4
)

1,774,416
784,663

1,340,418
478,213

14,552

13,651

901

14,024

13,432

532

60

Total liabilities (excluding
accounts)...........

Number of banks5.

capital

433,998
306,450

219

BANKS

Gapital accounts— total............
Preferred capital........................
Common stock............................
Surplus........................................
Undivided profits and reserves.

40.368

OPERATING

Miscellaneous liabilities— total..............
Rediscounts and other borrowed money .
All other miscellaneous liabilities............

103

O
F

Total deposits.
Demand..........
Time...............

250
1,415

LIABILITIES

24,347

16,190,331
4,218,558
322,694
9,624,737
2,024,342

AND

2,995,741

Government deposits— total...............
United States Government— demand.
United States Government— time.
States and subdivisions— demand.......
States and subdivisions— time.............

ASSETS

221,132,803

Business and personal deposits— total........ 169,783,434
Deposits of individuals, partnerships, and
corporations— demand.................................. 100,417,627
Deposits of individuals, partnerships, and
corporations— time........................................
66,345,719
Certified and officers’ checks, cash letters of
credit and travelers’ checks outstanding
and amounts due to Federal Reserve banks!
3,020,088

Amounts shown as deposits are special accounts and uninvested trust funds, with the latter classified as demand deposits of individuals, partnerships, and corporations.
Includes obligations of United States Government corporations and agencies, not guaranteed by the United States Government,
j ^:e®
erves for losses on loans authorized by the Bureau of Internal Revenue for income tax purposes and other valuation reserves.
4 Not reported separately. Included with undivided profits and reserves.
6 Includes 14 noninsured banks of deposit for which asset and liability data are not available.
Back figures, 1934-1952: See the preceding table and the Annual Report for 1952, pp. 104-105, and earlier reports.




CO

Table 106.

A ssets

and

L ia b il it ie s

of

O p e r a t in g B a n k s
banks

in th e

U n it e d S t a t e s ( C o n t i n e n t a l U . S.

grouped

by

d is t r ic t

and

and

O t h e r A r e a s ), D

ecem ber

31, 1953

state

(A m ounts in thousands o f dollars)

Liabilities and capital accounts

Assets
FDIC District
and State

Deposits
Cash and
due from
banks

U. S. Gov­
ernment
obligations

Other
securities

Loans, dis­
counts, and
overdrafts

Miscel­
laneous
assets

Total
Business
and
personal2

Govern­
ment3

Inter­
bank4

Miscel­
laneous
liabilities

Total
capital
accounts

72,872,466

18,452,644

80,920,155

2,895,929

221,132,803

169,783,434

16,190,331

16,004,532

2,945,142

16,209,364

45,811,223
180,386

72,609,514
262,952

18,369,510
83,134

80,518,101
402,054

2,831,432
64,497

220,139,780
993,023

169,147,226
636,208

15,964,979
225,352

15,987,315
17,217

2,921,884
23,258

16,118,376
90,988

District 1.....................
District 25....................
District 3 .....................
District 4 .....................
District 5.....................
District 6 .....................
District 7.....................
District 8 .....................
District 9 .....................
District 10...................
District 11...................
District 126..................

846
1,096
1,558
1,055
1,048
1,504
1,471
1,564
1,109
1,624
1,158
519

2,180,640
11,591,126
4,958,331
2,500,694
2,031,260
3,004,362
3,232,570
4,232,312
1,194,388
2,090,127
4,119,579
4,856,220

6,006,936
18,513,556
8,401,340
3,917,944
2,603,361
3,561,612
6,443,799
7,353,266
2,066,438
2,713,466
3,778,992
7,511,756

1,631,457
5,495,403
2,670,617
847,388
623,858
678,853
1,153,555
1,508,187
478,875
597,815
758,725
2,007,911

6,685,252
26,820,566
8,424,958
3,625,043
2,416,083
3,861,292
4,610,259
5,544,946
2,007,591
2,423,268
4,336,183
10,164,714

205,273
1,038,636
296,902
162,591
97,753
109,066
142,461
124,996
45,813
58,275
215,698
398,465

16,709,558
63,459,287
24,752,148
11,053,660
7,772,315
11,215,185
15,582,644
18,763,707
5,793,105
7,882,951
13,209,177
24,939,066

13,758,912
48,147,079
19,849,818
8,338,872
5,659,366
7,953,407
12,700,815
14,392,735
4,383,787
5,782,352
9,155,992
19,660,299

707,403
2,831,283
1,559,210
1,037,406
925,714
952,222
1,328,431
1,380,931
576,912
909,695
1,531,337
2,449,787

492,934
5,783,833
1,132,120
759,611
610,348
1,465,464
525,343
1,666,432
414,741
630,937
1,624,710
898,059

180,342
1,386,796
205,157
117,826
65,074
92,365
119,051
130,456
47,404
41,784
105,383
453,504

1,569,967
5,310,296
2,005,843
799,945
511,813
751,727
909,004
1,193,153
370,261
518,183
791,755
1,477,417

State
Alabama......................
Arizona........................
Arkansas......................
California....................
Colorado......................

231
14
230
206
162

407,009
134,460
295,623
3,528,285
390,299

523,932
229,891
314,469
5,418,955
574,724

164,590
55,318
91,723
1,482,332
58,534

504,921
253,076
313,169
7,553,903
505,612

16,970
14,902
6,947
280,546
10,755

1,617,422
687,647
1,021,931
18,264,021
1,539,924

1,215,687
535,896
777,160
14,420,713
1,200,020

187,417
89,959
97,365
1,711,579
115,390

88,186
10,624
70,113
689,893
115,628

13,451
10,357
* 3,570
388,458
12,428

112,681
40,811
73,723
1,053,378
96,458

Connecticut................
Delaware.....................
District of Columbia. .
Florida.........................
Georgia........................

181
37
19
217
400

526,464
109,831
345,827
737,332
618,923

1,514,679
235,079
497,801
1,138,793
648,794

490,883
99,061
50,592
182,876
133,435

1,393,757
257,854
446,861
733,733
866,500

52,137
9,860
24,277
40,434
30,454

3,977,920
711,685
1,365,358
2,833,168
2,298,106

3,411,163
578,386
1,123,009
2,061,277
1,640,838

147,383
48,340
49,782
354,323
241,427

48,126
4,382
93,966
225,901
227,270

30,664
6,281
10,949
21,294
26,168

340,584
74,296
87,652
170,373
162,403

Idaho...........................
Illinois..........................
Indiana........................
Iowa.............................
Kansas.........................

38
900
482
664
606

102,249
3,608,209
952,432
624,103
527,184

198,056
6,340,488
1,856,354
1,012,778
717,293

19,872
1,273,781
245,826
234,406
207,293

218,009
4,580,615
1,158,597
964,331
646,467

4,888
107,235
34,675
17,761
12,288

543,074
15,910,328
4,247,884
2,853,379
2,110,525

425,955
12,168,149
3,346,047
2,224,586
1,471,091

79,516
1,110,838
482,321
270,093
386,590

6,689
1,515,074
140,412
151,358
108,349

2,962
123,525
29,637
6,931
7,049

27,952
992,742
249,467
200,411
137,446

FDIC District




CORPORATION

45,991,609

14,509
43

INSURANCE

14,552

Continental U. S. . . .
Other areas...............

DEPOSIT

Total United States. . .

FEDERAL

Num­
ber of
banks1

15,593
30,045
9,183
51,216
115,160

2,025,214
2,389,548
890,874
2,569,416
9,456,027

1,511,777
1,571,129
740,672
2,047,083
7,601,943

160,554
387,221
41,334
199,574
408,472

190,798
280,861
11,421
107,642
406,417

14,319
20,011
6,164
18,649
122,224

147,766
130,326
91,283
196,468
916,971

Michigan.....................
Minnesota...................
Mississippi..................
Missouri......................
Montana......................

431
678
200
598
109

1,507,098
812,549
267,996
1,467,406
165,609

3,038,363
1,261,641
291,842
1,795,111
279,580

632,163
346,098
142,957
343,552
46,218

2,262,494
1,380,522
310,929
1,883,856
204,192

75,004
31,975
9,895
47,267
5,527

7,515,122
3,832,785
1,023,619
5,537,192
701,126

6,161,358
2,872,592
741,564
3,850,401
556,241

628,938
309,320
142,547
451,671
75,295

229,083
359,292
68,991
832,770
31,504

75,240
35,559
4,161
43,612
5,318

420,503
256,022
66,356
358,738
32,768

Nebraska.....................
N evada........................
New Hampshire..........
New Jersey..................
New M exico................

419
8
109
333
52

420,827
47,499
81,259
1,066,275
152,294

622,494
101,858
256,189
2,427,051
174,551

124,266
14,370
76,968
855,331
13,726

493,602
95,658
309,739
2,330,611
144,817

10,390
3,903
6,123
92,678
5,846

1,671,579
263,288
730,278
6,771,946
491,234

1,252,307
209,172
605,746
5,663,927
336,700

131,827
35,837
28,536
508,117
111,193

171,252
709
10,375
78,383
15,430

6,404
3,815
4,044
54,685
2,031

109,789
13,755
81,577
466,834
25,880

New Y ork...................
North Carolina...........
North Dakota............
Ohio.............................
Oklahoma....................

712
226
153
647
384

10,358,918
579,660
97,350
2,147,546
662,376

15,787,463
710,525
290,741
3,810,420
663,680

4,504,491
274,469
54,799
767,060
189,544

24,057,806
834,561
206,821
3,382,046
682,267

913,961
30,973
3,610
107,903
22,444

55,622,639
2,430,188
653,321
10,214,975
2,220,311

41,707,124
1,674,179
468,689
8,262,544
1,599,487

2,194,025
267,210
126,499
810,362
228,327

5,692,991
274,573
12,205
410,256
223,605

1,306,106
46,422
3,261
89,391
14,419

4,722,393
167,804
42,667
642,422
154,473

Oregon.........................
Pennsylvania..............
Rhode Island..............
South Carolina............
South Dakota.............

68
911
20
150
169

362,563
2,810,785
158,005
247,513
118,880

559,070
4,590,920
459,885
318,813
234,476

152,977
1,903,557
110,848
76,257
31,760

689,127
5,042,912
484,806
257,714
216,056

26,044
188,999
18,114
8,598
4,701

1,789,781
14,537,173
1,231,658
908,895
605,873

1,414,608
11,587,274
1,039,330
667,416
486,265

193,083
748,848
63,958
149,072
65,798

40,416
721,864
14,915
28,589
11,740

22,666
115,766
14,250
7,007
3,266

119,008
1,363,421
99,205
56,811
38,804

Tennessee....................
Texas...........................
Utah.............................
Vermont......................
Virginia........................

298
921
54
74
316

707,275
3,142,133
176,802
53,108
598,660

746,665
2,545,223
264,568
112,402
865,703

158,600
499,520
38,748
29,698
160,010

979,049
3,288,967
289,245
223,037
948,454

39,259
164,905
7,146
4,556
35,485

2,630,848
9,640,748
776,509
422,801
2,608,312

1,814,069
6,712,267
585,373
360,058
1,940,645

242,632
942,964
89,001
17,720
241,560

371,783
1,317,795
48,696
1,680
207,864

30,864
72,984
7,375
2,996
27,326

171,500
594,738
46,064
40,347
190,917

Washington.................
West Virginia..............
Wisconsin....................
Wyoming.....................

116
182
558
53

514,538
259,534
773,040
89,441

770,260
479,331
1,549,082
135,275

252,998
69,240
275,566
18,178

1,091,013
351,344
1,189,168
95,320

33,578
12,042
32,782
2,398

2,662,387
1,171,491
3,819,638
340,612

2,165,912
886,540
3,193,410
259,447

196,220
130,208
217,172
47,561

102,516
46,977
155,848
12,103

24,694
7,473
14,174
1,484

173,045
100,293
239,034
20,017

19
1
9

32,029
426
86,130
1,066
4,633
54,577
1,525

61,981
14,428
916
134,357 ........32,186

37,548
47
184,418
4,183
1,563
172,172
2,123

2,127
10
8,556
17,780
13,887
21,987
150

148,113
1,399
445,647
23,029
21,818
345,157
7,860

90,728
1,000
323,941
11,765
11,132
192,424
5,218

47,567
201
76,092
11,006
9,685
79,068
1,733

2,087
34
6,018
3
998
8,052
25

329
2,947
255
3
19,640
84

7,402
164
36,649

Other area
Alaska..........................
American Samoa........
Hawaii.........................
Mariana Islands7........
Panama Canal Zone7
Puerto Rico7...............
Virgin Islands.............

11
3

1,735
60,449
3,514

35,972
548

45,973
800

1 Includes 14 noninsured banks of deposit (8 in Georgia, 2 in Iowa, and 4 in Texas) for which asset, liability, and capital account data are not available.
2 Demand and time deposits of individuals, partnerships, and corporations, certified and officers’ checks, cash letters of credit, etc.
3 Deposits of the United States Government and of States and subdivisions.
4 Interbank deposits and postal savings deposits.
* Includes Puerto Rico and the Virgin Islands.
6 Includes Alaska, American Samoa, Hawaii, Mariana Islands, and the Panama Canal Zone.
7 Includes asset and liability data for the following branches of insured banks in continental United States: 3 noninsured branches in the Mariana Islands (2 in Guam and 1 in
Saipan); 4 noninsured branches in the Panama Canal Zone and 9 insured branches in Puerto Rico. Data for these branches are not included in the figures for the States in which the
parent banks are located.
Back figures, 1945-1952: See the Annual Report for 1952, pp. 106-107, and earlier reports.




BANKS

685,218
649,323
324,012
786,109
3,949,901

OPERATING

84,978
190,161
104,451
216,820
818,609

O
F

705,367
829,327
330,385
1,045,771
3,333,396

LIABILITIES

534,058
690,692
122,843
469,500
1,238,961

AN
D

378
171
95
162
367

ASSETS

Maine..........................
Maryland....................
Massachusetts............

Kentucky....................

Table 107.

A ssets

and

L ia b il it ie s

of

O p e r a t in g I n s u r e d B a n k s

in

the

U n it e d St a t e s

(C o n t i n e n t a l U . S.

and

O t h e r A r e a s ),

D e c e m b e r 31, 1953, J u n e 30, 1953, a n d D e c e m b e r 31, 1952
(A m ou n ts in thousands o f dollars)

All insured banks
Assets

Insured commercial banks1

Insured mutual savings banks

June 30,
1953

Dec. 31,
1952

Dec. 31,
1953

June 30,
1953

Dec. 31,
1952

211,396,426

199,176,232

205,293,919

191,062,625

179,585,958

186,682,180

20,333,801

19,590,274

18,611,739

45,277,380
2,602,167
19,996,858

41,522,342
2,664,769
19,447,746

45,030,818
2,842,118
19,810,476

44,478,304
2,507,547
19,995,369

40,830,094
2,585,836
19,446,380

44,299,249
2,749,835
19,809,084

799,076
94,620
1,489

692,248
78,933
1,366

731,569
92,283
1,392

12,163,830
278,796
63,691
10,172,038

10,246,408
263,097
58,557
8,841,765

11,882,646
257,638
75,000
10,162,940

11,724,184
39,745
63,691
10,147,768

9,879,309
38,093
58,557
8,821,919

68,949,419

64,408,401

69,001,513

62,472,935

57,765,979

62,408,171

6,476,484

6,642,422

5,001,393
10,192,949
12,374,101
3,827,064
18,042,732
11,062,264
8,160,431
230,754
57,731

5,011,916
7,740,928
5,061,743
5,516,726
11,180,853
11,759,564
3,864,956
3,931,721
20,780,540
18,495,897
9,994,616
12,426,254
8,233,573
9,092,649
241,383
38,821 ......... 37,774

4,899,579
10,088,104
12,308,414
2,538,490
17,790,496
10,158,499
4,533,070
122,827
33,456

4,931,221
7,628,585
5,010,214
5,504,308
11,148,290
11,739,757
2,578,203
2,594,867
20,407,510
18,350,452
9,036,119
11,205,784
4,493,958
5,362,222
128,697
31,767 ..........22,196

101,814
104,845
65,687
1,288,574
252,236
903,765
3,627,361
107,927
24,275

112,343
80,695
12,418
51,529
19,807
32,563
1,336,854
1,286,753
145,445
373,030
1,220,470
958,497
3,730,427
3,739,615
112,686
7,054 ........15,578

Other securities— total.................................................
Obligations of States and subdivisions.......................
Other bonds, notes, and debentures3..........................
Corporate stocks:
Federal Reserve banks.............................................
Other corporate stocks.............................................

17,138,245
10,980,493
5,628,529

16,637,376
10,674,260
5,474,700

16,209,028
10,303,933
5,469,385

14,378,527
10,620,012
3,386,730

13,995,410
10,333,503
3,295,971

13,872,272
10,006,206
3,509,325

2,759,718
360,481
2,241,799

2,641,966
340,757
2,178,729

2,336,756
297,727
1,960,060

265,131
264,092

259,488
228,928

252,600
183,110

265,067
106,718

259,427
106,509

252,542
104,199

64
157,374

61
122,419

58
78,911

Total securities...................................................

86,087,664

81,045,777

85,210,541

76,851,462

71,761,389

76,280,443

9,236,202

9,284,388

8,930,098

Total assets .....................................
Gash, balances with other banks, and cash col­
lection items— total..............................................
Currency and coin.........................................................
Reserve with Federal Reserve banks (member banks)
Demand balances with banks in the United States
(except private banks and American branches of
foreign banks)............................................................
Other balances with banks in the United States ....
Balances with banks in foreign countries..................
Cash items in process of collection.............................
Obligations of the U. S. Government, direct and
guaranteed— total.................................................
Direct:
Treasury bills.............................................................
Treasury certificates of indebtedness......................
Treasury notes...........................................................
United States non-marketable bonds2..........
Other bonds maturing in 5 years or less ........
Other bonds maturing in 5 to 10 years..................
Other bonds maturing in 10 to 20 years ........
Other bonds maturing after 20 years...........
Guaranteed obligations (FHA debentures)........




402,922
11,479,724
439,646
367,099
215,677
41,961
225,004
239,051
75,000
10,143,645 ........24,270 ........ 19,846 ........19,295

6,593,342

CORPORATION

Dec. 31,
1953

INSURANCE

Dec. 31,
1952

DEPOSIT

June 30,
1953

FEDERAL

Dec. 31,
1953

Loans and discounts, net— total..........................
Valuation reserves4.......................................................
Loans and discounts, gross— total......................
Commercial and industrial loans (including open
market paper)...........................................................
Loans to farmers directly guaranteed by the Com­
modity Credit Corporation................................
Other loans to farmers (excluding loans on real

72,515,153
1,058,629
73,573,782

67,266,168
961,317
68,227,485

64,723,440
938,223
65,661,663

63,824,310
903,935
64,728,245

10,015,600
162,955
10,178,555

9,325,239
160,928
9,486,167

8,690,843
154,694
8,845,537

27,186,496

27,388,883

27,840,851

27,157,544

27,361,492

27,815,944

28,952

27,391

24,907

2,164,791

284,914

683,769

2,164,791

284,914

683,769

2,720,599
2,344,232

3,326,388
1,704,336

3,142,286
2.050.295

2,719,046
2,344,232

3,324,801
1,704,336

3,140,789
2,050,295

1,553

1,587

1,497

1,185,373
26,682,236
1,102,669

1,055,677
25,532,092
1,123,674

1,084,794
24,368,814
h ,074,732
l

1,182,462
16,612,658
1,062,224

1,052,982
16,148,116
1,084,475

1,083,439
15,615,871
1,036,500

2,911
10,069,578
40,445

2,695
9,383,976
39,199

1,355
8,752,943
5
38,232

7,003,593
5,23U,356
9,269,723
4,071,895
14,479,089
161,925
1,481,299

6,736,990
4.799.152
8,959,450
3,912,826
14,130,779
155,022
1,569,739

6.452.296
4,497,823
5
8,592,010
*3,751,953
12,699,259
157,357
1,546,357

3,853,009
3,024,889
5,866,475
2,806,061
14,411,636
161,925
1,473,191

3,729,520
2,975,811
5,650,979
2,707,331
14,066,747
155,022
1,563,253

3,607,833
2,971,349
5,416,693
2,583,496
12,641,861
157,357
1,538,920

3,150,584
2,209,467
3,403,248
1,265,834
67,453

3.007.470
1,823,341
3.308.471
1,205,495
64,032

2,8k U 463
,
1,526,474
3 75,317
3,1
n ,168,457
57,398

8,108

6,486

7,437

163,369,432

155,094,456

157,725,694

144,117,630

136,484,829

140,104,753

19,251,802

18,609,627

17,620,941

Bank premises, furniture and fixtures, and other
real estate— total.............................................
Bank premises.........................................................
Furniture and fixtures............................................
Real estate owned other than bank premises.......
Investments and other assets indirectly representing
bank premises or other real estate....................

1,636,034
1,208,834
298,031
39,642

1,581,140
1,166,123
286,491
32,573

1,519,992
1,127,997
266,107
31,648

1,520,448
1,098,761
293,635
38,525

1,471,117
1,061,552
282,394
31,218

1,414,150
1,028,685
262,113
29,112

115,586
110,073
4,396
1,117

110,023
104,571
4,097
1,355

105,842
99,312
3,994
2,536

89,527

95,953

94,240

89,527

95,953

94,240

Miscellaneous assets— total....................................
Customers’ liability on acceptances outstanding. .
Income accrued but not collected...........................
Prepaid expenses.......................................................
Other assets...............................................................

1,113,580
377,536
427,610
50,270
258,164

978,294
279,292
369,591
62,096
267,315

1,017,415
328,600
376,081
47,437
265,297

946,243
377,536
352,212
46,590
169,905

799,918
279,292
298,026
57,369
165,231

864,028
328,600
307,684
44,018
183,726

167,337

178,376

153,387

75,398
3,680
88,259

71,565
4,727
102,084

68,397
3,419
81,571

21.4%
32.6

20.8%

23.3%
32.7
7.5
35.2
1.3
6.9

22.72
32.2
7.8
36.0
1.3
7.2

23.7%
33.5
7.4
34.2

3.9%
31.8
13.6
49.3
1.4
8.9

° "O%
33.9
13.5
47.6
1.5
9.0

3.9^
35.4

Loans to brokers and dealers in securities.................
Other loans for the purpose of purchasing or carrying
securities...............................................................
Real estate loans— total...........................................
Farm land.............................................................
Residential properties:
Insured by F H A ...............................................
Insured or guaranteed by V A ..........................
Not insured or guaranteed by FHA or VA
Other properties.....................................................
Other loans to individuals......................................
Loans to banks........................................................
All other loans (including overdrafts)..................
Total loans and securities.

RATIOS
Percentages of total assets:
Cash and balances with other banks....................
U. S. Government obligations, direct and guaranteed
Other securities........................................................
Loans and discounts...............................................
Other assets.............................................................
Total capital accounts............................................




8.1

36.6
1.3
7.1

32.3
8.4
37.2
1.3
7.4

21.9?
33.6
7.9
35.3
1.3
7.0

1.2

6.7

12.6

46.7
1.4
9.3

BANKS

74,048,679
1.099.151
75,147,830

OPERATING

77,281,768
1,124,272
78,406,040

T able 107.

A s s e t s a n d L i a b i l i t i e s o f O p e r a t i n g I n s u r e d B a n k s in t h e

U n ite d S t a t e s

( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) ,

D e c e m b e r 31, 1953, J u n e 30, 1953, a n d D e c e m b e r 31, 1952— Continued
(A m ou n ts in thousands o f dollars)

Insured commercial banks1

All insured banks
Liabilities and capital

Insured mutual savings banks

June 30,
1953

Dec. 31,
1952

Dec. 31,
1953

June 30,
1953

Dec. 31,
1952

211,396,426

199,176,232

205,293,919

191,062,625

179,585,958

186,682,180

20,333,801

19,590,274

18,611,739

Business and personal deposits— total.................... 162,029,962
Deposits of individuals, partnerships, and cor­
99,216,948
porations— demand...................................................
Deposits of individuals, partnerships, and cor59,817,273
Certified and officers’ checks, cash letters of credit
and travelers’ checks outstanding, and amounts
2,995,741
due to Federal Reserve banks.................................

153,514,742

157,411,509

143,667,798

135,836,267

140,639,327

18,362,164

17,678,475

16,772,182

93,142,581

98,917,066

99,195,829

93,118,662

98,897,813

21,119

23,919

19,253

Government deposits— total.......................................
United States Government— demand.........................
United States Government— time...............................
States and subdivisions— demand...............................
States and subdivisions— time.....................................
Interbank
Banks in
Banks in
Banks in
Banks in

Total liabilities and capital accounts..........................

57,923,020

55,540,770

41,484,058

40,276,448

38,794,901

18,333,215

17,646,572

16,745,869

2,449,141

2,953,673

2,987,911

2,441,157

2,946,613

7,830

7,984

7,060

15,846,486
4,137,855
319,991
9,448,844
1,939,796

14,941,304
3,642,618
318,033
9,254,078
1,726,575

15,697,660
4,939,177
326,455
8,819,091
1,612,937

15,828,516
4,135,590
319,967
9,444,755
1,928,204

14,927,295
3,640,912
318,027
9,252,587
1,715,769

15,686,714
4,936,857
326,449
8,817,570
1,605,838

17,970
2,265
24
4,089
11,592

14,009
1,706
6
1,491
10,806

10,946
2,320
6
1,521
7,099

and postal savings deposits— total. . . .
the United States— demand........................
the United States— time..............................
foreign countries— demand..........................
foreign countries—time................................

15,589,568
13,229,080
50,520
1,296,108
983,650
30,210

13,284,416
11,248,072
43,354
1,305,872
654,772
32,346

15,032,881
12,955,589
44,124
1,437,724
'562,903
32,541

15,587,167
13,229,030
48,169
1,296,108
983,650
30,210

13,281,954
11,248,022
40,942
1,305,872
654,772
32,346

15,030,986
12,955,539
42,279
1,437,724
562,903
32,541

2,401
50
2,351

2,462
50
2,412

1,895
50
1,845

T otal d ep osits.........................................................

193,466,016
180,824,576
63,1hi M 0

181,740,462
121,0k2,362
60,698,100

188,142,050
130,022,320
58,119,730

175,083,481
130,289,223
kk,79k,258

164,045,516
121,007,212
k8,088,80k

171,357,027
129,992,116
U1,36k,911

18,382,535
35,353
18,3^7,182

17,694,946
35,150
17,659,796

16,785,023
30,20k
16,75k,819

Miscellaneous liabilities— total.................................
Bills payable, rediscounts, and other liabilities for
borrowed m oney........................................................

2,847,301

2,689,794

2,836,335

2,714,666

2,565,722

2,739,919

132,635

124,072

96,416

59,090
402,550
86,923
573,534
824,058
901,146

104,885
297,241
72,342
550,865
656,556
1,007,905

188,785
347,917
75,875
487,376
736,296
1,000,086

59,040
402,550
82,175
564,068
813,757
793,076

104,850
297,241
59,152
546,227
643,916
914,336

188,785
347,917
71,264
484,173
726,833
920,947

50

35

4,748
9,466
10,301
108,070

13,190
4,638
12,640
93,569

4,611
3,203
9,463
79,139

Total liabilities (excluding capital accounts). 196,313,317

184,430,256

190,978,385

177,798,147

166,611,238

174,096,946

18,515,170

17,819,018

16,881,439

Dividends declared but not yet payable....................
Income collected but not earned.................................
Expenses accrued and unpaid.....................................




CORPORATION

Dec. 31,
1953

INSURANCE

Dec. 31,
1952

DEPOSIT

June 30,
1953

FEDERAL

Dec. 31,
1953

15,083,109
4,030,592
7,623,978
2,868,498
560,041

14,745,976
3,964,854
7,380,760
2,841,984
558,378

14,315,534
3,876,080
7,208,239
2,677,798
553,417

13,264,478
4,030,592
6,283,560
2,498,871
451,455

12,974,720
3,964,854
6,080,247
2,471,136
458,483

12,585,234
3,876,080
5,938,187
2,306,828
464,139

Pledged assets and securities loan ed .......................

19,888,963

19,302,169

19,900,745

19,888,963

19,302,169

19,900,745

Capital stock, notes, and d ebentures:
Par or face value— t o ta l...........................................
Common stock...........................................................
Capital notes and debentures..................................
Preferred stock..........................................................

4,034,560
3,978,203
25,862
30,495

3,969,153
3,909,682
27,365
32,106

3,881,129
3,818,444
29,877
32,808

4,030,660
3,978,203
21,962
30,495

3,964,903
3,909,682
23,115
32,106

3,876,279
3,818,444
25,027
32,808

Retirable value of preferred stock..............................

67,058

70,204

71,561

67,058

70,204

71,561

Number of banks..................................................................

13,651

13,648

13,645

13,432

13,435

13,439

C apital accoun ts— t o ta l...............................................
Capital stock, notes, and debentures.........................
Surplus...........................................................................
Undivided profits..........................................................
Reserves.........................................................................

1,818,631
(6
)
1,340,418
369,627
108,586

1,771,256
(6
)
1,300,513
370,848
99,895

1,730,300
(6
)
1,270,052
370,970
89,278

MEMORANDA

4,250

4,850

4,250

4,850

AND

219

213

206

LIABILITIES
O
P
OPERATING
BAN KS




ASSETS

1 Includes stock savings banks.
2 United States savings bonds, Treasury bonds (investment series A-1965, and B-1975-80), and depositary bonds.
3 Includes obligations of United States Government corporations and agencies, not guaranteed by the United States Government.
4 Reserves for losses on loans authorized by the Bureau of Internal Revenue for income tax purposes and other valuation reserves.
6 Revised.
6 Not reported separately. Included with “ Reserves.”
Back figures, 1934-1952: See the Annual Report for 1952, pp. 108-111, and earlier reports.

3,900
3,900

O

E a r n in g s , E x p e n s e s ,

and

D iv id e n d s

of

Insured B an k s

Earnings, expenses, and dividends of insured commercial banks in the United States
(continental U. S. and other areas), 1945-1953
Ratios of earnings, expenses, and dividends of insured commercial banks in the
United States (continental U. S. and other areas), 1945-1953

Table 110.

Earnings, expenses, and dividends of insured commercial banks in the United States
(continental U. S. and other areas), 1953
By class of bank

Table 111.

By class of bank

Table 112.

Earnings, expenses, and dividends of insured commercial banks operating throughout
1953 in the United States (continental U. S. and other areas)

Table 113.

Ratios of earnings, expenses, and dividends of insured commercial banks operating
throughout 1953 in the United States (continental IT. S. and other areas)
Banks grouped according to amount of deposits

Table 114.

Earnings, expenses, and dividends of insured commercial banks in the United States
(continental U. S. and other areas), by State, 1953

Table 115.

Income, expenses, and dividends of insured mutual savings banks, 1953

Table 116.

Ratios of income, expenses, and dividends of insured mutual savings banks, 1953




CORPORATION

Banks grouped according to amount of deposits

INSURANCE

Ratios of earnings, expenses, and dividends of insured commercial banks in the
United States (continental U. S. and other areas), 1953

DEPOSIT

Table 109.

FEDERAL

Table 108.

o

C om m ercial banks




The new form attempts to present operations on a basis accurately
reflecting actual income and profit and loss, and provides more detailed
information regarding losses and valuation adjustments. For a dis­
cussion of the history and principles of this uniform report see pp.
50-52 in Part Two of the 1951 Annual Report.

Sources of data
National banks, and State banks not members of the Federal Reserve
System in the District of Columbia: Office of the Comptroller of the
Currency.
State banks members of the Federal Reserve System: Board of
Governors of the Federal Reserve System.

BANKS

Averages of assets and liabilities shown in Tables 108-111 and 114
are based upon figures at the beginning, middle, and end of each year,
as reported by banks operating on those dates, adjusted to exclude
asset and liability figures for insured branches in Puerto Rico of in­
sured national banks in New York. Consequently, the asset and lia­
bility averages are not strictly comparable with the earnings data,

A uniform report of income, expenses, and dividends for mutual
savings banks was adopted by the Corporation for the calendar year
1951. Summaries of these reports for 1953 are given in Tables 115 and
116. Historical data are omitted because of lack of comparability.

INSURED

M utual savings banks

O
F

On December 8, 1947, the Commissioner of Internal Revenue issued
Comm. Mimeograph Coll. No. 6209 entitled, “ Reserve Method of
Accounting for Bad Debts in the Case of Banks.” (See pp. 82-84 in
the 1947 Annual Report.) Under this ruling, banks are permitted to
accumulate limited amounts of tax-free reserves for bad debt losses on
loans. As a result, since 1947 unusually large amounts were set aside
from income to valuation reserves, and net profits were decreased
accordingly. The uniform report of earnings and dividends for com­
mercial banks was revised in 1948 to show separately for the first time
charge-offs and transfers to valuation reserves as well as recoveries
and transfers from valuation reserves. Also, the actual recoveries and
losses that are credited and charged to valuation reserves were reported
as memoranda items.

DIVIDENDS

Assets and liabilities shown in Table 112, and utilized for computation
of ratios shown in Table 113, are for the identical banks to which the
earnings data pertain. For national banks and State banks members
of the Federal Reserve System, assets and liabilities are as of December
31, 1953, and for other banks, are averages of beginning, middle, and
end of the year.

AN
D

Earnings data are included for all insured banks operating at the
end of the respective years, unless indicated otherwise. In addition,
appropriate adjustments have been made for banks in operation during
part of the year but not at the end of the year. Data for 9 insured
branches in Puerto Rico of insured national banks in New York are
not available.

EXPENSES,

but the differences are not large enough to affect the totals significantly.
Some further incomparability is also introduced into the data by class
of bank by shifts between those classes during the year.

EARNINGS,

Reports of earnings, expenses, and dividends are submitted to the
Federal supervisory agencies on either a cash or an accrual basis.

Other insured banks: Federal Deposit Insurance Corporation.
0
01

T a b le 108.

E a r n i n g s , E x p e n s e s , a n d D iv id e n d s o f I n s u r e d C o m m e r c ia l B a n k s in t h e
U n ite d S ta te s

( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) , 1945-1953

(Amounts in thousands of dollars)
1945

Earnings or expense item

1946

1947

1948

1949

1950

1951

1952

1953

3,097,670
1,079,535
179,408
1,263,788
18,386
147,761

3,403,586
1,008,138
189,559
1,577,633
22,315
173,791

3,606,879
1,013,515
201,691
1,733,690
26,090
194,013

3,930,696
1,015,456
225,425
1,976,100
31,724
212,272

4,395,411
983,662
249,495
2,390,106
34,595
230,507

4,931,688
1,099,059
276,993
2,742,100
42,295
244,696

5,483,954
1,206,965
297,739
3,107,885
47,850
271,444

90,617
120,317
134,782

97,995
140,340
153,589

97,264
144,734
166,794

97,456
156,678
178,016

95,420
160,430
182,030

104,602
180,674
184,445

116,140
192,313
198,593

121,868
204,967
199,713

132,978
217,996
201,101

Current operating expenses— t o ta l...............
Salaries— officers................................................
Salaries and wages—employees.......................
Fees paid to directors and members of execu­
tive, discount, and other committees.........
Interest on time and savings deposits............
Interest and discount on borrowed m oney. . .
Taxes other than on net income......................
Recurring depreciation on banking house,
furniture and fixtures...................................
Other current operating expenses....................

1,522,778
266,018
424,881

1,762,634
309,220
521,709

1,981,787
344,845
602,266

2,163,514
381,756
662,696

2,283,727
410,685
700,065

2,444,534
446,043
755,681

2,701,313
486,300
864,519

3,028,575
530,035
965,197

3,375,552
582,405
1,069,890

14,610
233,321
2,448
98,683

16,936
268,624
2,364
96,314

18,954
298,274
2,656
103,516

20,859
316,570
3,432
106,163

22,608
328,010
3,582
113,569

24,745
343,040
4,296
128,101

27,343
385,344
9,667
135,590

30,871
458,059
20,921
139,290

34,591
534,493
24,171
148,783

40,329
442,488

40,850
506,617

42,276
569,000

48,271
623,767

53,988
651,219

59,469
683,159

65,845
726,707

74,953
809,252

84,085
897,137

Net current operating earnin gs.....................

959,500

1,100,241

1,115,883

1,240,072

1,323,153

1,486,164

1,694,100

1,903,112

2,108,398

509,329

408,608

262,042

266,439

213,187

245,461

169,233

144,146

152,373

122,364
266,764

59,515
208,700

(
45,360 {
100,189

29,221
24,161
60,025

16,412
26,672
73,196

14,718
38,639
90,469

15,292
12,285
56,563

11,191
20,492
33,806

11,454
27,545
38,865

67,014
53,187

74,499
65,894

(
67,687 *
48,806

39,748
48,934
64,350

23,142
28,220
45,546

28,506
29,971
43,157

22,595
28,453
34,046

22,004
27,330
29,324

28,423
18,292
27,794

264,122

283,175

294,286

485,753

379,824

366,932

395,687

362,444

448,323

118,498 f
\

78,590
40,941

38,671
33,044

38,721
54,518

83,756
31,680

97,512
29,531

155,969
54,160

(
(

32,393
278,666
55,163

29,064
221,167
57,878

23,030
191,248
59,414

21,215
204,202
54,836

23,637
154,510
57,253

31,774
132,127
74,291

Recoveries, transfers from reserve accounts.
and profits—to ta l.......................................
On securities:
Recoveries...................................................... |
Transfers from reserve accounts..................
Profits on securities sold or redeemed........
On loans:
Recoveries.............................
. .
Transfers from reserve accounts..................
All other.............................................................

J

Losses, charge-offs, and transfers to reserve
accounts-—to ta l...........................................
On securities:
Losses and charge-offs...................................
Transfers to reserve accounts......................
On loans:
Losses and charge-offs...................................
Transfers to reserve accounts......................
Ail other.............................................................




J

132,870

132,254

J

55,901
75,351

71,253
79,668

120,370
55,418

CORPORATION

2,862,875
1,218,517
176,620
936,554
14,564
124,696

INSURANCE

2,482,278
1,132,977
167,198
707,738
18,860
109,789

DEPOSIT

Current operating earnings— to ta l...............
Interest on U. S. Government obligations. . .
Interest and dividends on other securities___
Interest and discount on loans........................
Service charges and fees on bank’s loans.......
Service charges on deposit accounts...............
Other service charges, commissions, fees, and
collection and exchange charges..................
Trust department..............................................
Other current operating earnings....................

1,364,690

1,467,645

1,684,813

1,812,451

325,148
304,572
20,576

427,776
402,582
25,194

559,475
530,810
28,664

694,883
662,277
32,606

786,490
750,796
35,693

Net profits after income taxes.......................

905,912

902,346

781,397

745,336

831,364

936,915

908,175

989,931

1,025,963

Dividends and interest on capital— total...
Dividends declared on preferred stock and
interest on capital notes and debentures...
Cash dividends declared on common stock...

274,438

298,983

315,215

331,833

354,144

391,249

418,860

441,971

473,866

11,769
262,669

8,345
290,638

5,981
309,234

5,230
326,603

5,093
349,052

4,333
386,916

3,876
414,984

3,675
438,298

2,979
470,888

Net additions to capital from profits..........

631,474

603,363

466,182

413,503

477,220

545,666

489,315

547,961

552,097

Memoranda
Recoveries credited to reserve accounts (not
included in recoveries above):
On securities.......................................................
On loans.............................................................
Losses charged to reserve accounts (not in­
cluded in losses above):
On securities.......................................................
On loans.............................................................

V)
0)

0)
0)

0)
(*)

7,224
10,844

2,600
19,645

3,565
2
23,507

2,363
28,477

4,355
31,508

2,232
33,612

0)
0

0)
0)

0)
0

18,031
46,487

6,104
72,978

6,324
257,733

17,725
64,735

25,598
64,607

38,480
89,186

Average assets and liabilities3
Assets— total.......................................................
Cash and due from banks................................
United States Government obligations..........
Other securities.................................................
Loans and discounts.........................................
All other assets..................................................

145,217,438
31,236,090
82,417,236
6,623,089
23,500,772
1,440,251

151,896,770
33,286,775
81,835,381
7,556,923
27,768,296
1,449,395

148,170,261
34,279,792
70,229,835
8,315,081
33,863,334
1,482,219

150,726,513
36,247,026
64,291,298
8,872,676
39,650,962
1,664,551

151,566,078
35,683,829
63,080,739
9,387,984
41,670,879
1,742,647

158,986,894
36,006,423
63,846,830
11,043,342
46,250,272
1,840,027

169,207,394
40,373,273
59,711,922
12,554,632
54,533,221
2,034,346

179,803,463
42,952,808
61,065,059
13,562,462
59,999,743
2,223,391

185,685,283
43,192,523
60,868,295
14,082,070
65,213,144
2,329,251

Liabilities and capital— total......................... 145,217,438
Total deposits.................................................... 135,948,387
Demand de-posits............................................. 108,968,917
Time and savings deposits.............................
26,979^70
Borrowings and other liabilities......................
934,381
Total capital accounts......................................
8,334,670

151,896,770
141,829,678
109,890,600
31,939,078
1,057,079
9,010,013

148,170,261
137,537,907
103,159,25U
SU,378,653
1,104,386
9,527,968

150,726,513
139,517,461
10U,195,063
35,322,398
1,257,852
9,951,200

151,566,078
139,764,394
103,862,159
35,902,235
1,380,578
10,421,106

158,986,894
146,269,294
109,822,638
36,U6,656
1,710,204
11,007,396

169,207,394 179,803,463
155,460,465 165,031,495
118,189,171 125,213,8U2
37,271,29U 39,817,653
2,131,162
2,501,055
12,270,913
11,615,767

185,685,283
170,075,888
127,028,332
US,0^7,556
2,667,917
12,941,478

59,119
245,275

62,697
271,395

65,740
284,072

67,609
292,015

69,439
296,308

71,566
312,324

73,806
334,961

76,754
358,325

79,574
376,750

Number of banks, December 31.........................

13,302

13,359

13,403

13,419

13,436

13,446

13,455

13,439

13,432

Note: Due to rounding, earnings data of State banks for 1949 through 1953 may not add precisely to the indicated totals.
1 Not available.
2 Revised.
3 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures, 19SU-19UU: See the following Annual Reports: 1950, pp. 250-251, and 1941, pp. 158-159.




BANKS

Number of active officers, December 31............
Number of other employees, December 31........

INSURED

1,156,514

275,422
258,490
16,932

O
F

1,020,758

302,242
283,046
19,196

DIVIDENDS

1,083,639

323,328
301,048
22,280

AND

1,225,674

298,795
277,538
21,257

EXPENSES,

1,204,707

EARNINGS,

Net profits before income taxes.....................
Taxes on net income— total...........................
Federal...............................................................
State...................................................................

M

T a b le 1 0 9 .

R a t i o s o f E a r n i n g s , E x p e n s e s , a n d D i v id e n d s o f I n s u r e d C o m m e r c ia l B a n k s in t h e
U n i t e d S t a t e s ( C o n t i n e n t a l U. S. a n d O t h e r A r e a s ) , 1945-1953

Earnings or expense item

1948

1947

1950

1949

1953

1952

1951

$100.00
29.62
5.57
47.01
5.11

$100.00
28.10
5.59
48.79
5.38

$100.00
25.83
5.74
51.08
5.40

$100.00
22.38
5.68
55.17
5.24

$100.00
22.29
5.62
56.46
4.96

$100.00
22.01
5.43
57.55
4.95

3.65
10.28

3.42
10.27

3.14
10.06

2.86
9.83

2.65
9.49

2.66
9.29

2.64
8.89

2.47
8.20

2.42
7.64

C urrent operating expenses— t o ta l...............
Salaries, wages, and fees..................................
Interest on time and savings deposits............
Taxes other than on net income......................
Recurring depreciation on banking house,
furniture and fixtures....................................
Other current operating expenses....................

61.35
28.42
9.40
3.98

61.57
29.62
9.38
3.36

63.98
31.19
9.63
3.34

63.57
31.30
9.30
3.12

63.32
31.42
9.10
3.15

62.19
31.20
8.73
3.26

61.46
31.35
8.77
3.09

61.41
30.95
9.29
2.82

61.55
30.76
9.75
2.71

1.62
17.93

1.43
17.78

1.36
18.46

1.42
18.43

1.50
18.15

1.51
17.49

1.50
16.75

1.52
16.83

1.53
16.80

Net current operating earn in gs.....................

38.65

38.43

36.02

36.43

36.68

37.81

38.54

38.59

38.45

1.71
1.05
.66

1.88
1.16
.72

2.09
1.34
.75

2.26
1.44
.82

2.38
1.51
.87

2.47
1.54
.93

2.60
1.60
1.00

2.74
1.68
1.06

2.96
1.82
1.14

A m ou nts per $100 o f total assets1
Current operating earnings— total......................
Current operating expenses— total......................
Net current operating earnings............................
Recoveries, transfers from reserve accounts,
and profits— total..............................................
Losses, charge-offs, and transfers to reserve
accounts— total.................................................
Net profits before income taxes...........................
Net profits after income taxes.............................
A m ou nts per $100 o f total capital
a ccou n ts1
Net current operating earnings...........................
Recoveries, transfers from reserve accounts,
and profits— total..............................................
Losses, charge-offs, and transfers to reserve
accounts— total..................................................
Net profits before income taxes...........................
Taxes on net income.............................................
Net profits after income taxes.............................
Cash dividends declared.......................................
Net additions to capital from profits..................




.35

.27

.18

.18

.14

.16

.10

.08

.08

.18
.83
.62

.18
.81
.59

.20
.73
.53

.32
.68
.49

.25
.76
.55

.23
.86
.59

.23
.87
.54

.20
.94
.55

.24
.98
.55

11.51

12.21

11.71

12.46

12.70

13.50

14.58

15.51

16.29

6.11

4.53

2.75

2.68

2.04

2.23

1.46

1.17

1.18

3.16
14.46
3.59
10.87
3.29
7.58

3.14
13.60
3.59
10.01
3.32
6.69

3.09
11.37
3.17
8.20
3.31
4.89

4.88
10.26
2.77
7.49
3.33
4.16

3.64
11.10
3.12
7.98
3.40
4.58

3.33
12.40
3.89
8.51
3.55
4.96

3.41
12.63
4.81
7.82
3.61
4.21

2.95
13.73
5.66
8.07
3.60
4.47

3.46
14.01
6.08
7.93
3.66
4.27

CORPORATION

$100.00
34.85
5.79
41.39
4.77

INSURANCE

$100.00
42.56
6.17
33.22
4.36

DEPOSIT

$100.00
45.64
6.74
29.27
4.42

FEDERAL

A m ou nts per $100 o f current operating
earnings
Current operating earnings— to ta l...............
Interest on U. S. Government obligations. . .
Interest and dividends on other securities---Income on loans.................................................
Service charges on deposit accounts...............
Other service charges, commissions, fees, and
collection and exchange charges..................
Other current operating earnings....................

1946

1945

Special ratios1
Income on loans per $100 of loans.....................
Income on securities per $100 of securities........
Service charges per $100 of demand deposits. ..
Interest paid per $100 of time and savings
deposits..............................................................

4.04
1.64
.17

4.22
1.68
.19

4.34
1.66
.19

4.45
1.71
.20

4.64
1.84
.20

4.84
2.01
.zi

.87

.84

.87

.90

.91

.94

1.03

1.15

1.24

Assets and liabilities per $100 o f total
assets1
Assets—t o t a l .......................................................
Gash and due from banks................................
United States Government obligations..........
Other securities.................................................
Loans and discount .........................................
All other assets..................................................

100.00
21.51
56.76
4.56
16.18
.99

100.00
21.91
53.88
4.98
18.28
.95

100.00
23.14
47.40
5.61
22.85
1.00

100.00
24.05
42.65
5.89
26.31
1.10

100.00
23.55
41.62
6.19
27.49
1.15

100.00
22.65
40.16
6.94
29.09
1.16

100.00
23.86
35.29
7.42
32.23
1.20

100.00
23.89
33.86
7.54
33.37
1.24

100.00
23.26
32.78
7.58
35.12
1.26

Liabilities and capital—to ta l.........................
Total deposits....................................................
Demand deposits.............................................
Time and savings deposits.............................
Borrowings and other liabilities......................
Total capital accounts......................................

100.00
93.62
75.04
18.58
.64
5.74

100.00
93.37
72.34
21.03
.70
5.93

100.00
92.82
69.62
23.20
.75
6.43

100.00
92.56
69.13
23.43
.84
6.60

100.00
92.21
68.52
23.69
.91
6.88

100.00
92.00
69.08
22.92
1.08
6.92

100.00
91.88
69.85
22.03
1.26
6.86

100.00
91.78
69.64
22.14
1.39
6.83

100.00
91.59
68.41
23.18
1.44
6.97

Number of banks, December 31.........................

13,302

13,359

13,403

13,419

13,486

13,446

13,455

13,439

13,432

O
F
INSURED
BANKS




DIVIDENDS

1Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures, 1934-1944: See the following Annual Reports: 1950, pp. 252-253, and 1941, pp. 160-161.

AND

3.79
1.60
.14

EXPENSES,

3.43
1.56
.11

EARNINGS,

3.09
1.46
.10

O

Table 110.

E a r n in g s , E x p e n s e s ,

and

D

iv id e n d s

U n i t e d S t a t e s (C o n t i n e n t a l U . S.

I n s u r e d C o m m e r c ia l B a n k s

of

and

in

the

O t h e r A r e a s ), 19 5 3

B Y CLASS OF B A N K

(Amounts in thousands of dollars)
Members F . R . System
Earnings or expense item

Total
National

State

Not
members
F. R.
System

Operating
throughout
the year

Operating
less than
full year1

894,387
196,261
45,997
516,720
7,314
52,613

5,463,757
1,202,647
296,722
3,100,382
47,761
270,451

20,197
4,318
1,018
7,504
89
992

132,978
217,996
201,101

59,882
85,967
119,366

32,435
121,248
57,691

40,661
10,781
24,044

132,606
213,359
199,837

372
4,638
1,264

Current operating expenses—to ta l...............................................................
Salaries— officers................................................................................................
Salaries and wages—employees........................................................................
Fees paid to directors and members of executive, discount, and other
committees.....................................................................................................
Interest on time and savings deposits............................................................
Interest and discount on borrowed m oney....................................................
Taxes other than on net income......................................................................
Recurring depreciation on banking house, furniture and fixtures...............
Other current operating expenses....................................................................

3,375,552
582,405
1,069,890

1,837,481
296,850
593,288

943,478
150,220
331,005

594,593
135,335
145,597

3,360,706
579,462
1,065,491

14,846
2,943
4,399

34,591
534,493
24,171
148,783
84,085
897,137

16,060
297,598
14,362
84,290
47,147
487,886

7,649
126,798
8,295
40,887
19,896
258,729

10,882
110,097
1,514
23,606
17,042
150,522

34,460
532,966
24,135
148,316
83,812
892,064

131
1,526
35
466
273
5,073

Net current operating earnin gs.....................................................................

2,108,398

1,220,272

588,336

299,790

2,103,051

5,347

Recoveries, transfers fro m reserve accoun ts, and profits—t o t a l..........
On securities:
Recoveries.......................................................................................................
Transfers from reserve accounts..................................................................
Profits on securities sold or redeemed.........................................................
On loans:
Recoveries.......................................................................................................
Transfers from reserve accounts..................................................................
All other.............................................................................................................

152,373

81,877

50,395

20,101

150,267

2,106

11,454
27,545
38,865

7,876
15,226
23,449

1,970
10,651
11,152

1,608
1,668
4,264

11,329
27,427
38,703

125
118
163

28,423
18,292
27,794

16,427
5,327
13,572

6,731
10,402
9,488

5,265
2,563
4,734

28,240
17,922
26,647

183
370
1,147

Losses, charge-offs, and transfers to reserve accounts—to ta l...............
On securities:
Losses and charge-offs...................................................................................
Transfers to reserve accounts......................................................................
On loans:
Losses and charge-offs...................................................................................
Transfers to reserve accounts......................................................................
All other.............................................................................................................

448,323

265,814

117,655

64,854

445,779

2,544

155,969
54,160

96,625
81,388

43,248
16,911

16,096
5,861

154,392
54,137

1,577
23

31,774
132,127
74,291

15,323
76,878
45,600

5,093
35,098
17,304

11,358
20,151
11,387

31,721
131,878
73,650

54
249
642




CORPORATION

1,531,814
317,856
75,663
845,354
12,635
68,932

INSURANCE

3,057,753
692,848
176,079
1,745,811
27,901
149,899

DEPOSIT

5,483,954
1,206,965
297,739
3,107,885
47,850
271,444

FEDERAL

Current operating earnings— t o ta l...............................................................
Interest on U. S. Government obligations.....................................................
Interest and dividends on other securities......................................................
Interest and discount on loans........................................................................
Service charges and fees on bank’s loans........................................................
Service charges on deposit accounts................................................................
Other service charges, commissions, fees, and collection and exchange
charges............................................................................................................
Trust department..............................................................................................
Other current operating earnings....................................................................

1,812,451

1,036,335

521,076

255,040

1,807,542

4,908

Taxes on net in com e— t o t a l .......................................................................
Federal...........................................................................................................
State...............................................................................................................

786,490
750,796
35,693

464,488
445,574
18,914

227,764
214,632
13,131

94,238
90,590
3,648

784,485
748,904
35,581

2,005
1,892
113

Net profits after in co m e taxes...................................................................

160,804

1,023,059

2,904

144,024

55,214

472,620

1,246

2,979
470,888

332
274,296

1,623
142,401

1,024
54,191

2,979
469,642

1,246

Net additions to capital from p rofits......................................................

552,097

297,219

149,288

105,590

550,440

1,658

M em oranda
Recoveries credited to reserve accounts (not included in recoveries above)
On securities...................................................................................................
On loans.........................................................................................................
Losses charged to reserve accounts (not included in losses above):
On securities...................................................................................................
On loans.........................................................................................................

2,232
33,612

449
19,743

318
9,187

1,465
4,682

2,223
33,563

49

38,480
89,186

22,448
52,837

11,478
21,657

4,554
14,692

38,386
88,853

94
333

Average assets and liabilities2
Assets—t o t a l...................................................................................................
Cash and due from banks............................................................................
United States Government obligations......................................................
Other securities.............................................................................................
Loans and discounts.....................................................................................
All other assets..............................................................................................

185,685,283
43,192,523
60,868,295
14,082,070
65,213,144
2,329,251

107,017,312
25,697,007
34,758,083
8,470,757
36,751,600
1,339,865

52,648,467
12,668,070
16,457,752
3,416,221
19,377,748
728,676

26,019,504
4,827,446
9,652,460
2,195,092
9,083,796
260,710

L iabilities and capital—to ta l.....................................................................
Total deposits................................................................................................
Demand deposits.........................................................................................
Time and savings deposits.........................................................................
Borrowings and other liabilities..................................................................
Total capital accounts..................................................................................

185,685,283
170,075,888
127,028,832
U3,01+7,556
2,667,917
12,941,478

107,017,312
98,034,428
7U,207,676
28,826,752
1,765,260
7,217,624

52,648,467
48,118,144
37,126,216
10,991,928
700,896
3,829,427

26,019,504
23,923,316
15,69U,U0
8,228,876
201,761
1,894,427

Number of active officers, December 3 1 ........................................................
Number of other employees, December 31....................................................

79,574
376,750

37,958
205,892

16,669
110,061

24,947
60,797

79,245
375,080

329
1,670

Number of banks, December 31.....................................................................

13,432

4,856

1,884

6,692

13,359

73

INSURED
BANKS




O
F

Note: Due to rounding, earnings data of State banks may not add precisely to the indicated totals.
1 Includes banks operating less than full year and a few banks which engage primarily in fiduciary business.
2 Asset and liability items are average of figures reported at beginning, middle, and end of year.
Back figures, 1931,-1952: See Table 108, pp. 106-107. See also the Annual Report for 1952, pp. 118-119, and earlier reports.

DIVIDENDS

293,312

274,628

AN
D

571,847

473,866

EXPENSES,

1,025,963

Dividends and interest on capital— to ta l...............................................
Dividends declared on preferred stock and interest on capital notes and
debentures..................................................................................................
Cash dividends declared on common stock................................................

EARNINGS,

Net profits before in co m e taxes.................................................................

T a b le 1 11.

R a t io s

of

E a r n in g s , E x p e n s e s ,

and

D

iv id e n d s

U n i t e d S t a t e s (C o n t i n e n t a l U . S.

and

of

I n s u r e d C o m m e r c ia l B a n k s

in

to

th e

O t h e r A r e a s ), 1953

BY CLASS OF B A N K

Members F. R. System

Not
members
F. R.
System

Total
National

State

$100.00
22.01
5.43
57.55
4.95
2.42
7.64

$100.00
22.66
5.76
58.01
4.90
1.96
6.71

$100.00
20.75
4.94
56.01
4.50
2.12
11.68

$100.00
21.94
5.14
58.59
5.88
4.55
3.90

Current operating expenses—t o ta l.......................................................................
Salaries, wages, and fees..........................................................................................
Interest on time and savings deposits....................................................................
Taxes other than on net income..............................................................................
Recurring depreciation on banking house, furniture and fixtures.......................
Other current operating expenses............................................................................

61.55
30.76
9.75
2.71
1.53
16.80

60.09
29.64
9.73
2.76
1.54
16.42

61.59
31.91
8.28
2.67
1.30
17.43

66.48
32.63
12.31
2.63
1.91
17.00

INSURANCE

Net current operating earnin gs.............................................................................

38.45

39.91

38.41

33.52

A m ou nts per $100 o f total assets1
Current operating earnings— total..............................................................................
Current operating expenses—total....................................... . ....................................
Net current operating earnings................................................................................
Recoveries, transfers from reserve accounts, and profits—total.............................
Losses, charge-offs, and transfers to reserve accounts— total.................................
Net profits before income taxes...................................................................................
Net profits after income taxes.....................................................................................

2.96
1.82
1.14
.08
.24
.98
.55

2.86
1.72
1.14
.08
.25
.97
.53

2.91
1.79
1.12
.10
.22
.99
.56

3.44
2,29
1.15
.08
.25
.98
.62

(2
)
.02

(2
)
.02

00
.02

.01
.02

.02
.05

.02
.05

.02
.04

.02
.06

M em oranda
Recoveries credited to reserve accounts (not included in recoveries above):
On securities...............................................................................................................
On loans.....................................................................................................................
Losses charged to reserve accounts (not included in losses above):
On securities...............................................................................................................
On loans.....................................................................................................................




CORPORATION

A m ou nts per $100 o f current operating earnings
Current operating earnings— t o ta l.......................................................................
Interest on United States Government obligations..............................................
Interest and dividends on other securities.............................................................
Income on loans........................................................................................................
Service charges on deposit accounts.......................................................................
Other service charges, commissions, fees, and collection and exchange charges
Other current operating earnings............................................................................

DEPOSIT

FEDERAL

Earnings or expense item

.01
.27

.01
.24

.08
.25

.30
.69

.31
.73

.30
.57

.24
.78

4.84
2.01
.21
1.24

4.83
2.01
.20
1.25
(

4.43
1.98
.19
1.15

5.77
2.04
.34
1.34

Assets an d liabilities per $100 o f total assets1
Assets—t o t a l..............................................................................................................................................
Cash and due from banks.......................................................................................................................
United States Government obligations...................................................................................................
Other securities..................................................................................................................................
Loans and discounts..................................................................................................................................
All other assets.........................................................................................................................

100.00
23.26
32.78
7.58
35.12
1.26

100.00
24.01
32.48
7.92
34.34
1.25

100.00
24.06
31.26
6.49
36.81
1.38

100.00
18.55
37.10
8.44
34.91
1.00

Liabilities and capital— t o ta l................................................................................................................
Total deposits...........................................................................................................................................
Demand deposits..................................................................................................................
Time and savings deposits..................................................................................................................
Borrowings and other liabilities..........................................................................................................
Total capital accounts.............................................................................................................................

100.00
91.59
68.41
23.18
1.44
6.97

100.00
91.61
69.34
22.27
1.65
6.74

100.00
91.40
70.52
20.88
1.33
7.27

100.00
91.94
60.32
31.62
.78
7.28

Number of banks, December 31..................................................................................................................

13,432

4,856

1,884

6,692

Special ratios1
Income on loans per $100 of loans...........................................................................................................
Income on securities per $100 of securities..............................................................................................
Service charges per $100 of demand deposits...........................................................................................
Interest paid per $100 of time and savings deposits...............................................................................




BANKS

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year,
a Less than .005.
Back figures, 1934-1952: See Table 109, pp. 108-109. See also the Annual Report for 1952, pp. 120-121, and earlier reports.

INSURED

.02
.26

M em oranda
Recoveries credited to reserve accounts (not included in recoveries above):
On securities...............................................................................................................................................
On loans......................................................................................................................................................
Losses charged to reserve accounts (not included in losses above):
On securities...............................................................................................................................................
On loans......................................................................................................................................................

O
F

15.82
1.06
3.42
13.46
4.97
8.49
2.92
5.57

DIVIDENDS

15.36
1.32
3.07
13.61
5.95
7.66
3.76
3.90

AN
D

16.91
1.13
3.68
14.36
6.44
7.92
3.80
4.12

EXPENSES,

16.29
1.18
3.46
14.01
6.08
7.93
3.66
4.27

EARNINGS,

A m ou n ts per $100 o f tota l capital accoun ts1
Net current operating earnings..................................................................................................................
Recoveries, transfers from reserve accounts, and profits—total........................................................ ..
Losses, charge-offs, and transfers to reserve accounts—total..................................................................
Net profits before income taxes.................................................................................................................
Taxes on net income....................................................................................................................................
Net profits after income taxes....................................................................................................................
Cash dividends declared.............................................................................................................................
Net additions to capital from profits..........................................................................................................

T a b le

112.

E a r n in g s , E x p e n s e s , a n d D iv id e n d s o f I n s u r e d C o m m e r c ia l B a n k s O p e r a t in g T
i n t h e U n i t e d S t a t e s (C o n t i n e n t a l U. S. a n d O t h e r A r e a s )
grouped

a c c o r d in g

to

amount

of

1953

d e p o s it s

14
1

banks

hroughout

Banks with deposits of— 2
$1,000,000
to
$2,000,000

5,463,757
1,202,647
296,722
3,100,382
47,761
270,451

49,778
10,117
1,508
31,207
350
2,345

158,162
36,485
6,299
95,250
818
7,740

132,606
213,359
199,837

3,460
16
776

8,484
170
2,916

18,321
1,229
10,116

13,555
3,608
11,751

15,062
11,163
20,069

Current operating expenses— t o ta l.............
Salaries— officers..............................................
Salaries and wages— employees.....................
Fees paid to directors and members of execu­
tive, discount, and other committees.......
Interest on time and savings deposits..........
Interest and discount on borrowed m oney. .
Taxes other than on net income....................
Recurring depreciation on banking house,
furniture and fixtures..................................
Other current operating expenses..................

3,360,706
579,462
1,065,491

31,855
12,733
4,437

99,682
34,540
16,198

307,023
84,735
62,385

308,611
67,677
77,004

34,460
532,966
24,135
148,316

901
4,119
31
1,311

2,863
15,870
128
4,395

8,444
55,047
457
13,745

83,812
892,064

724
7,600

2,689
23,000

Net current operating earnin gs...................

2,103,051

17,922

150,267
11,329
27,427
38,703




(A mounts in th ousands of dc>llars)
473,329
613,458
477,404
412,826
115,806
113,263
145,839
98,182
24,901
27,676
33,967
23,701
269,601
339,050
223,080
278,370
4,692
2,018
2,845
2,971
26,642
31,033
43,616
26,892

427,289
93,116
20,995
232,858
3,562
24,248

1,107,488
257,594
52,099
604,452
8,341
46,063

1,744,026
332,243
105,576
1,026,515
22,165
61,870

9,188
11,689
17,124

8,897
25,865
17,750

22,105
64,761
52,073

33,535
94,857
67,265

409,123
74,149
116,480

271,581
44,499
85,121

281,113
43,085
94,925

687,721
96,252
241,077

963,996
121,792
367,862

6,172
56,641
684
13,868

5,628
73,357
1,057
17,450

2,460
43,878
1,038
12,361

2,078
38,258
1,561
12,369

3,349
89,053
7,439
33,373

2,568
156,743
11,740
39,443

9,485
72,727

10,102
76,465

13,302
107,701

8,129
74,094

8,377
80,460

16,632
200,547

14,375
249,472

58,479

170,380

164,718

204,336

141,244

146,176

419,766

780,030

1,327

3,226

8,800

9,467

13,674

9,916

13,886

38,941

51,029

38
9
100

125
20
338

652
200
1,260

1,402
361
1,865

1,432
1,725
3,128

560
632
2,814

1,927
1,440
3,502

2,165
7,415
11,180

3,027
15,624
14,516

28,240
17,922
26,647

895
62
221

1,946
156
640

3,898
776
2,013

2,630
1,075
2,136

2,471
1,546
3,373

1,222
1,140
3,547

954
3,885
2,179

6,376
4,062
7,744

7,848
5,220
4,793

445,779

3,491

9,624

32,116

34,974

42,660

31,381

34,825

96,104

160,604

154,392
54,137

221
28

1,173
359

7,129
1,067

10,221
1,271

15,823
3,081

11,469
2,672

10,849
2,930

35,659
17,538

61,850
25,192

31,721
131,878
73,650

2,120
608
514

4,146
2,230
1,717

9,327
8,717
5,876

6,284
11,249
5,950

3,824
13,143
6,789

1,522
10,344
5,374

1,438
14,098
5,512

2,237
24,314
16,355

824
47,177
25,562

CORPORATION

Losses, charge-offs, and transfers to re­
serve accoun ts— t o ta l..............................
On securities:
Losses and charge-offs.................................
Transfers to reserve accounts....................
On loans:
Losses and charge-offs.................................
Transfers to reserve accounts....................
All other...........................................................

$5,000,000 $10,000,000 $25,000,000 $50,000,000 $100,000,000
More
to
to
to
to
to
than
$10,000,000 $25,000,000 $50,000,000 $100,000,000 $500,000,000 $500,000,000

INSURANCE

Recoveries, transfers from reserve a c ­
counts, and profits— to ta l......................
On securities:
Recoveries....................................................
Transfers from reserve accounts................
Profits on securities sold or redeemed. . . .
On loans:
Recoveries....................................................
Transfers from reserve accounts................
All other...........................................................

$2,000,000
to
$5,000,000

DEPOSIT

C urrent operating earnings— t o ta l.............
Interest on U. S. Government obligations.. .
Interest and dividends on other securities.. .
Interest and discount on loans......................
Service charges and fees on bank’s loans. . . .
Service charges on deposit accounts.............
Other service charges, commissions, fees,
and collection and exchange charges........
Trust department............................................
Other current operating earnings..................

$1,000,000
or
less

FEDERAL

Earnings or expense item

All
banks1

1,807,542

15,759

52,081

147,064

139,213

175,350

119,779

125,238

362,603

670,455

Taxes o n net in com e— t o t a l ..........................
Federal..............................................................
State..................................................................

784,485
748,904
35,581

4,571
4,350
221

15,127
14,479
648

49,035
47,306
1,728

54,367
52,709
1,658

72,987
70,744
2,243

50,905
49,370
1,535

55,884
53,872
2,012

167,322
160,303
7,020

314,289
295,771
18,518

Net profits after in co m e taxes......................

1,023,059

11,189

36,954

98,031

84,847

102,364

68,874

69,354

195,281

356,166

Dividends and interest o n capital— t o t a l..
Dividends declared on preferred stock and
interest on capital notes and debentures..
Cash dividends declared on common stock ..

472,620

3,693

11,614

33,548

30,373

37,651

26,973

28,620

90,075

210.073

2,979
469,642

16
3,677

44
11,570

220
33,328

231
30,142

358
37,293

210
26,763

832
27,790

1,070
89,005

210.073

Net ad ditions to cap ital from p ro fits.........

550,440

7,496

25,340

64,482

54,475

64,714

41,902

40,733

105,206

146,093

M em oranda
Recoveries credited to reserve accounts (not
included in recoveries above):
On securities.....................................................
On loans...........................................................
Losses charged to reserve accounts (not in­
cluded in losses above):
On securities.....................................................
On loans............................................................

2,223
33,563

1
159

6
644

22
2,620

27
3,251

1,336
4,005

173
2,102

28
3,178

246
6,171

384
11,434

38,386
88,853

5
409

63
1,774

166
7,348

384
9,631

2,241
10,844

1,328
7,757

1,796
8,326

8,734
16,462

23,669
26,303

AN
D

Assets and liabilities3
Assets— t o t a l...................................................... 189,751,099
Cash and due from banks.............................. 44,158,415
United States Government obligations........ 62,149,715
Other securities................................................ 14,239,018
Loans and discounts....................................... 66,765,513
2,438,438
All other assets...............................................

1,384,993
330,787
483,221
64,139
498,226
8,620

4,761,636
1,059,651
1,763,766
276,309
1,629,623
32,287

15,233,455
3,277,047
5,668,731
1,191,898
4,970,529
125,250

15,225,769
3,159,036
5,624,994
1,401,102
4,894,721
145,916

19,781,966
4,105,708
7,374,593
1,730,653
6,337,525
233,487

13,968,271
3,080,434
5,044,854
1,217,386
4,453,670
171,927

13,948,902
3,194,087
4,829,420
1,069,347
4,662,480
193,568

40,190,763
10,190,531
13,307,953
2,404,622
13,756,714
530,943

65,255,344
15,761,134
18,052,183
4,883,562
25,562,025
996,440

DIVIDENDS

Liabilities and capital— t o ta l........................ 189,751,099
Total deposits.................................................. 173,875,910
Demand deposits........................................... 129,591 ,344
Time and savings deposits........................... 44,284,566
2,703,823
Borrowings and other liabilities....................
Total capital accounts.................................... 13,171,366

1,384,993
1,243,242
946,437
296,805
2,880
138,871

4,761,636
4,331,023
3,122,384
1,208,639
13,138
417,475

15,233,455
14,009,506
9,633,571
4,375,935
52,367
1,171,582

15,225,769
14,069,428
9,270,686
4,798,742
84,494
1,071,847

19,781,966
18,318,890
11,983,653
6,335,237
155,262
1,307,814

13,968,271
12,963,114
9,042,938
3,920,176
123,288
881,869

13,948,902
12,894,312
9,479,243
3,415,069
165,455
889,135

40,190,763
37,219,824
29,547,162
7,672,662
467,740
2,503,199

65,255,344
58,826,571
46,565,270
12,261,301
1,639,199
4,789,574

Number of active officers, December 3 1 ..........
Number of other employees, December 3 1 ....

79,245
375,080

4,014
2,859

8,428
8,717

16,427
28,022

10,637
31,499

9,845
45,073

5,219
32,073

4,549
34,548

9,369
83,656

10,757
108,633

Number of banks, December 31........................

13,359

1,829

3,021

4,438

2,042

1,233

383

189

183

41

O
F
INSURED
BANKS




EXPENSES,

Note: Due to rounding, earnings data of State banks may not add precisely to the indicated totals.
1 This group of banks is the same as the group shown in Table 110 under the heading “ Operating throughout the year.”
* Deposits are as of December 31, 1953.
8 Asset and liability items are averages of figures reported at beginning, middle, and end of year for banks submitting reports to FDIC and are as of December 31, 1953, for banks
not submitting reports to FDIC.
^
Back figures, 1941-1952: See the Annual Report for 1952, pp. 122-123, and earlier reports.

EARNINGS,

Net profits before in co m e taxes...................

h*

T able 113.

R atios

of

E arnings , E xpenses , and D ividends of I nsured C ommercial B anks O perating T hroughout 1953
in the U nited States (C ontinental U. S. and O ther A reas )

■-*

BANKS GROUPED ACCORDING TO AMOUNT OF DEPOSITS

05

Banks with deposits of—2
Earnings or expense item

All
banks1

More
$5,000,000 $10,000,000 $25,000,000 $50,000,000 $100,000,000
to
to
than
to
to
to
$10,000,000 $25,000,000 $50,000,000 $100,000,000 $500,000,000 $500,000,000

$100.00
20.32
3.03
63.40
4.71

$100.00
23.07
3.98
60.74
4.89

$100.00
24.26
5.21
58.73
5.58

$100.00
23.93
5.85
57.56
6.56

$100.00
23.77
5.54
56.03
7.11

$100.00
23.78
5.74
54.76
6.51

$100.00
21.79
4.91
55.33
5.68

$100.00
23.26
4.70
55.33
4.16

$100.00
19.05
6.05
60.13
3.55

2.43
7.56

6.95
1.59

5.37
1.95

3.84
2.38

2.86
3.24

2.46
5.09

2.23
6.98

2.08
10.21

2.00
10.55

1.92
9.30

Current operating expenses— total.............
Salaries, wages, and fees................ #
..............
Interest on time and savings deposits..........
Taxes other than on net income. ..................
Recurring depreciation on banking house,
furniture and fixtures..................................
Other current operating expenses..................

61.51
30.74
9.76
2.71

64.00
36.30
8.28
2.63

63.03
33.89
10.04
2.78

64.31
32.58
11.53
2.88

65.20
31.87
11.97
2.93

66.69
31.99
11.96
2.84

65.79
31.99
10.63
3.00

65.79
32.79
8.95
2.89

62.10
30.76
8.04
3.02

55.27
28.22
8.99
2.26

1.53
16.77

1.46
15.33

1.70
14.62

1.99
15.33

2.13
16.30

2.17
17.73

1.97
18.20

1.96
19.20

1.50
18.78

.82
14.98

Net current operating earnings...................

38.49

36.00

36.97

35.69

34.80

33.31

34.21

34.21

37.90

44.73

2.88
1.77
1.11

3.59
2.30
1.29

3.32
2.09
1.23

3.13
2.01
1.12

3.11
2.03
1.08

3.10
2.07
1.03

2.95
1.94
1.01

3.06
2.01
1.05

2.75
1.71
1.04

2.67
1.48
1.19

Amounts per $100 of total assets3
Current operating earnings—total....................
Current operating expenses;—total....................
Net current operating earnings.........................
Recoveries, transfers from reserve accounts,
and profits— total........................................
Losses, charge-offs, and transfers to reserve
accounts— total............................................
Net profits before income taxes.........................
Net profits after income taxes...........................

.08

.10

.06

.06

.06

.07

.07

.10

.10

.08

.24
.95
.54

.25
1.14
.81

.20
1.09
.78

.21
.97
.64

.23
.91
.56

.22
.88
.52

.22
.86
.49

.25
.90
.50

.24
.90
.49

.24
1.03
.55

(4
)
.02

(4
)
.01

(4
)
.01

(4
)
.02

(4
)
.02

.01
.02

.02
.05

(4
)
.03

(4
)
.04

(4
)
.05

(4
)
.06

.01
.05

Memoranda
Recoveries credited to reserve accounts (not
included in recoveries above):
Losses charged to reserve accounts (not in­
cluded in losses above):




(4
)

.02
.01
.06

(4
)

.02

.01
.06

(4
)

.02
.02
.04

(4
)

.02

.04
.04

CORPORATION

$100.00
22.01
5.43
67.62
4.95

Amounts per $100 of current
operating earnings
Current operating earnings— total.............
Interest on U. S. Government obligations...
Interest and dividends on other securities. . .
Income on loans...............................................
Service charges on deposit accounts.............
Other service charges, commissions, fees,
and collection and exchange charges........
Other current operating earnings..................

INSURANCE

$2,000,000
to
$5,000,000

DEPOSIT

$1,000,000
to
$2,000,000

FEDERAL

$1,000,000
or
less

14.01

14.54

15.37

15.62

16.02

16.44

16.77

.95

.77

.75

.88

1.05

1.12

1.56

1.56

1.06

3.39
13.72
5.95
7.77
3.59
4.18

2.51
11.35
3.29
8.06
2.65
5.40

2.31
12.47
3.62
8.85
2.78
6.07

2.74
12.55
4.18
8.37
2.87
5.50

3.26
12.99
5.07
7.92
2.84
5.08

3.26
13.41
5.58
7.83
2.88
4.95

3.56
13.58
5.77
7.81
3.06
4.75

3.92
14.09
6.29
7.80
3.22
4.58

3.84
14.49
6.69
7.80
3.60
4.20

3.35
14.00
6.56
7.44
4.39
3.05

M em oranda
Recoveries credited to reserve accounts (not
included in recoveries above):
On securities.....................................................
On loans...........................................................
Losses charged to reserve accounts (not in­
cluded in losses above):
On securities.....................................................
On loans...........................................................

.02
.25

(4
)
.11

(4
)
.15

(4
)
.22

(4
)
.30

.10
.31

.02
.24

(4
)
.36

.01
.25

.01
.24

.29
.67

(4
)
.29

.02
.42

.01
.63

.04
.90

.17
.83

.15
.88

.20
.94

.35
.66

.49
.55

Special ratios3
Income on loans per $100 of loans....................
Income on securities per $100 of securities. . . .
Service charges per $100 of demand deposits. .
Interest paid per $100 of time and savings
deposits.........................................................

4.72
1.96
.21

6.33
2.12
.25

5.90
2.10
.25

5.64
2.05
.28

5.57
2.01
.33

5.42
1.97
.36

5.08
1.95
.30

5.07
1.93
.26

4.45
1.97
.16

4.10
1.91
.13

1.18

1.16

1.12

1.12

1.16

1.28

100.00
23.27
32.75
7.50
35.19
1.29

100.00
23.89
34.89
4.63
35.97
.62

100.00
22.25
37.04
5.80
34.23
.68

100.00
21.51
37.21
7.83
32.63
.82

100.00
20.75
36.94
9.20
32.15
.96

100.00
20.75
37.28
8.75
32.04
1.18

100.00
22.05
36.12
8.72
31.88
1.23

100.00
22.90
34.62
7.67
33.42
1.39

100.00
25.36
33.11
5.98
34.23
1.32

100.00
24.15
27.67
7.48
39.17
1.53

Liabilities and capital— to ta l........................
Total deposits...................................................
Demand deposits...........................................
Time and savings deposits............................
Borrowings and other liabilities....................
Total capital accounts....................................

100.00
91.63
68.29
2S.SU
1.43
6.94

100.00
89.76
68.33
21.U
S
.21
10.03

100.00
90.96
65.58
25.38
.27
8.77

100.00
91.97
63.2U
28.73
.34
7.69

100.00
92.41
60.89
31.52
.55
7.04

100.00
92.60
60.58
32.02
.79
6.61

100.00
92.81
6U.7U
28.07
.88
6.31

100.00
92.44
67.96
2U.U8
1.19
6.37

100.00
92.61
73.52
19.09
1.16
6.28

100.00
90.15
71.36
18.79
2.51
7.34

Number of banks, December 31........................

13,359

1,829

3,021

4,438

2,042

1,233

383

189

183

41

BANKS

1.26

INSURED

1.31

O
F

1.39

EXPENSES,

1.20

Assets and liabilities per $100 of
total assets3
Assets—t o t a l......................................................
Cash and due from banks..............................
United States Government obligations........
Other securities................................................
Loans and discounts........................................
All other assets.................................................

EARNINGS,

12.91

1.14

DIVIDENDS

16.29

15.97

AND

A m ou nts per $100 o f total capital
accou n ts3
Net current operating earnings..........................
Recoveries, transfers from reserve accounts,
and profits—total........................................
Losses, charge-offs, and transfers to reserve
accounts—total............................................
Net profits before income taxes.........................
Taxes on net income...........................................
Net profits after income taxes...........................
Cash dividends declared.....................................
Net additions to capital from profits................

1
This group of banks is the same as the group shown in Table 110 under the heading “ Operating throughout the year.” These ratios differ slightly from the ratios for all insured
commercial banks shown in Tables 109 and 111.
8 Deposits are as of December 31, 1953.
*
Asset and liability items are averages of figures reported at beginning, middle, and end of year for banks submitting reports to FDIC and are as of December 31, 1953, for banks
not submitting reports to FDIC.
4 Less than .005.
Back figures, 194.1-1952: See the Annual Report for 1952, pp. 124-125, and earlier reports.




Table 114.

E a r n in g s , E x p e n s e s ,

D

and

iv i d e n d s

of

I n s u r e d C o m m e r c ia l B a n k s

U n i t e d S t a t e s ( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ),
(Amounts in thousands of dollars)

Earnings or expense item

U. S.
(continental
U. S .an d
other
areas)

Other areas
Alaska

Puerto
Rico

by

Continental
United
States

Other1

Alabama

in

the

1953

St a t e ,

Arizona

Arkansas

California

Colorado

Connec­
ticut

5,469,927
1,205,275
296,793
3,099,606
47,504
271,026

49,511
9,753
3,090
29,222
212
2,675

25,621
4,393
1,021
15,373
575
1,798

28,969
6,515
2,155
15,040
192
1,739

628,164
106,938
31,821
395,447
11,090
37,814

47,095
11,270
1,248
27,086
400
3,748

65,213
13,401
3,380
34,746
327
4,239

132,978
217,996
201,101

771
23
115

1,062
6
205

143
25

131,002
217,967
200,756

1,949
1,043
1,567

684
443
1,335

2,181
229
919

9,577
16,996
18,484

858
1,323
1,164

986
5,527
2,609

Current operating expenses— t o ta l.............
Salaries— officers..............................................
Salaries and wages—employees.....................
Fees paid to directors and members of execu­
tive, discount, and other committees. . . .
Interest on time and savings deposits..........
Interest and discount on borrowed m oney.
Taxes other than on net income....................
Recurring depreciation on banking house,
furniture and fixtures..................................
Other current operating expenses..................

3,375,552
582,405
1,069,890

2,754
557
1,032

6,880
1,099
2,129

959
164
280

3,364,959
580,585
1,066,449

28,963
6,688
8,122

17,366
2,775
6,372

17,619
4,930
4,330

386,987
47,881
128,389

29,439
5,756
8,708

43,011
7,788
13,968

34,591
534,493
24,171
148,783

7
308

27
204

82

93
1,059
152
391

22

34,464
532,922
24,019
148,288

407
3,418
29
505

54
1,745
127
422

468
1,601
24
825

968
112,840
2,197
11,592

493
5,298
195
706

442
5,826
231
1,455

84,085
897,137

116
652

268
1,690

28
233

83,673
894,562

923
8,874

608
5,265

483
4,959

7,422
75,699

630
7,652

1,365
11,935

Net current operating earnings...................

2,108,398

1,394

1,665

375

2,104,964

20,549

8,254

11,350

241,177

17,658

22,202

152,373

156

593

45

151,579

1,022

136

593

12,093

1,440

1,405

11,454
27,545
38,865

31

2

12

148

11,421
27,545
38,705

6
115
244

83

38
43
122

811
2,395
1,772

324
25
200

33
83
321

28,423
18,292
27,794

67
1
45

8
396
39

3
42

28,345
17,853
27,710

297
105
255

42

225
14
152

3,036
1,708
2,372

441
183
269

181
360
427

448,323

626

491

112

447,094

4,379

2,255

1,867

48,654

4,438

5,708

155,969
54,160

110
66

28
84

3

155,828
54,010

1,280
135

600
12

661
45

12,563
10,931

809
32

2,136
147

31,774
132,127
74,291

176
153
121

28
153
198

96
12

31,474
131,821
73,960

999
1,150
816

224
853
566

613
271
278

840
19,805
4,515

1,186
1,730
681

40
1,185
2,200

1,812,451

925

1,767

309

1,809,450

17,191

6,136

10,076

204,618

14,660

17,899

Other current operating earnings..................

Recoveries, transfers from reserve a c ­
coun ts, and profits— to ta l......................
On securities:
Recoveries
.
...
Transfers from reserve accounts .
...
Profits on securities sold or redeemed. . . .
On loans:
Recoveries....................................................
Transfers from reserve accounts
All other...........................................................
Losses, charge-offs, and transfers to re­
serve accoun ts—t o ta l..............................
On securities:
Losses and charge-offs.................................
Transfers to reserve accounts ................
On loans:
Losses and charge-offs.................................
Transfers to reserve accounts
. ......


Net profits before incom e taxes...................


10

CORPORATION

1,334
241
81
765
4
74

INSURANCE

8,545
544
717
5,695
169
149

DEPOSIT

4,148
905
148
1,819
173
195

FEDERAL

5,483,954
1,206,965
297,739
3,107,885
47,850
271,444

Current operating earnings— t o ta l.............
Interest on U. S. Government obligations. .
Interest and dividends on other securities. .
Interest and discount on loans......................
Service charges and fees on bank’s loans. . . .
Service charges on deposit accounts.............
Other service charges, commissions, fees,
and collection and exchange charges........

8,162
7,334
828

2,688
2,536
152

3.558
3.558

101,483
94,878
6,604

7,154
6,612|
542

1,023,741

9,689

3,448

6,519

103,136

7,506

9,738

472,876

3,864

1,347

2,316

60,881

2,869

4,999

786,490
750,796
35,693

468
462
6

195
165
30

116
116

785,711
750,053
35,657

Net profits after in com e taxes......................

1,025,963

457

1,572

193

100

2,979
469,898

3,864

1,347

5
2,311

84
60,798

2,869

4,999

N et additions to capital from p rofits........

552,097

310

829

93

550,865

5,826

2,101

4,204

42,256

4,636

4,739

2,232
33,612

93

4

2,232
33,515

229

350

72

24
5,126

725

250

38,480
89,186

182

254
104

38,226
88,900

777

8
1,404

6
241

8,065
15,634

1
1,863

12
745

Average assets and liabilities2
Assets— t o t a l...................................................... 185,685,283
Cash and due from banks.............................. 43,192,523
United States Government obligations........ 60,868,295
Other securities................................................ 14,082,070
Loans and discounts....................................... 65,213,144
2,329,251

103,223
24,368
44,826
8,209
24,564
1,256

195,305
35,717
26,577
30,728
94,776
7,507

38,170 185,348,585
6,872 43,125,566
11,763 60,785,129
3,516 14,039,617
15,278 65,078,526
2,319,747
741

1,553,767
392,764
495,220
156,453
492,782
16,548

659,132
123,004
218,287
53,954
251,396
12,491

977,771 17,708,088
280,377 3,343,371
327,199 5,207,304
89,506 1,454,527
274,214 7,439,726
6,475
263,160

1,491,158
381,482
554,073
56,262
489,035
10,306

2,042,899
452,930
691,467
202,933
669,267
26,302

Liabilities an d capital—t o ta l........................ 185,685,283
Total deposits.................................................. 170,075,888
Demand deposits........................................... 127,028,332
Time and savings deposits............................ 48,047,556
2,667,917
Borrowings and other liabilities....................
Total capital accounts.................................... 12,941,478

103,223
98,603
63,476
35,127
243
4,377

195,305
169,577
85,171
84,406
9,000
16,728

38,170 185,348,585
35,056 169,772,652
19,928 126,859,757
15,128 42,912,895
2,658,512
162
2,952 12,917,421

1,553,767
1,431,654
1,128,078
308,576
12,151
109,962

659,132
613,864
479,671
134,198
9,745
35,523

977.771 17,708,088
903,410 16,303,894
780,638 9,225,481
122.772 7,078,413
388,452
3,081
71,280 1,015,742

1,491,158
1,389,417
1,065,667
823,750
10,465
91,276

2,042,899
1,883,561
1,451,048
432,518
18,547
140,791

Number of active officers, December 3 1 ..........
Number of other employees, December 3 1 ....

79,574
376,750

64
280

209
1,091

24
114

79,277
375,265

1,044
3,392

334
2,287

902
1,899

5,946
38,500

829
3,226

884
5,112

Number of banks, December 31........................

13,432

8

8

4

13,412

231

13

224

197

152

94

M em oranda
Recoveries credited to reserve accounts (not
included in recoveries above):
On loans............................................................
Losses charged to reserve accounts (not in­
cluded in losses above):
On securities
................ .............
On loans............................................................

Note: Due to rounding, earnings data of State banks may not add precisely to the indicated totals.
1 Includes 2 banks in Hawaii, and 2 banks in the Virgin Islands, not members of the Federal Reserve System.
2 Asset and liability items are averages of figures reported at beginning, middle, and end of year, adjusted for “ U. S. (continental U. S. and other areas)
to exclude data for 9 insured branches in Puerto Rico of insured national banks in New York; earnings data of these branches are not available.
Back figures, 1946-1952: See the Annual Report for 1952, pp. 126-135, and earlier reports.




and for Puerto Rico
h*

BANKS

743

INSURED

147

O
F

743

DIVIDENDS

147

2,979
470,888

AN
D

473,866

EXPENSES,

Dividends and interest o n capital— t o ta l..
Dividends declared on preferred stock and
interest on capital notes and debentures..
Cash dividends declared on common stock ..

100

EARNINGS,

7,502
6,832
670

Taxes on net in com e— t o t a l..........................

Table 114.

E a r n in g s, E x p e n s e s,

U n ite d S ta t e s

and

D

iv id e n d s

of

I n s u r e d C o m m e r c ia l B a n k s

in

th e

( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) , b y S t a t e , 1953— Continued

(Amounts in thousands of dollars)

Earnings or expense item

Delaware

District of
Columbia

Florida

Georgia

Idaho

Illinois

Indiana

Kansas

Iowa

Kentucky

Louisiana

79,131
23,121
3,846
36,178
353
7,264

77,782
12,522
3,317
46,812
1,008
4,479

18,548
4,270
459
11,600
194
1,170

380,941
120,152
24,207
179,281
3,288
15,919

111,645
34,395
4,395
57,741
573
5,249

78,327
18,448
3,852
46,008
177
4,987

52,937
13,613
3,200
29,024
327
3,353

55,806
13,772
2,051
33,269
372
2,101

61,957
16,225
4,284
31,286
r- 70
3,479

175
3,060
347

1,035
2,036
1,442

2,676
1,524
4,170

4,795
2,009
2,841

363
81
413

6,807
19,578
11,710

2,828
2,391
4,074

2,215
737
1,904

1,122
425
1,873

716
1,901
1,625

3,303
614
2,697

Current operating expenses— total.............
Salaries— officers..............................................
Salaries and wages— employees.....................
Fees paid to directors and members of execu­
tive, discount, and other committees.. . .
Interest on time and savings deposits..........
Interest and discount on borrowed m oney. .
Taxes other than on net income....................
Recurring depreciation on banking house,
furniture and fixtures..................................
Other current operating expenses..................

10,656
2,314
3,422

24,638
4,056
9,013

51,011
9,252
15,936

50,411
10,258
13,764

12,153
2,516
3,172

231,096
39,253
68,771

72,351
13,974
19,896

49,290
13,513
11,345

32,104
9,260
7,734

32,650
7,885
8,887

39,423
7,502
11,421

174
950
124
275

297
2,245
161
1,531

735
5,370
117
1,522

687
4,962
541
3,127

93
2,743
94
239

2,064
40,660
2,773
9,920

1,050
11,631
99
5,319

582
8,500
110
1,607

541
3,478
121
1,331

642
3,033
167
2,306

629
4,168
279
3,259

378
3,018

773
6,558

2,311
15,767

1,587
15,486

396
2,900

4,219
63,437

1,799
18,584

1,177
12,457

686
8,955

790
8,941

1,051
11,115

Net current operating earnings...................

8,563

13,086

28,120

27,372

6,395

149,845

39,295

29,037

20,833

23,155

22,534

196

1,497

1,344

1,506

333

18,872

2,964

1,283

1,119

1,847

1,900

4
47

72
12
337

360
25
576

90
6
634

126

84
181
900

66

90

1,710
6,173
5,266

405

22
3
239

132
846
445

16
739
564

26
94
24

107
969

107
12
263

317
212
247

25
2
90

1,243
2,094
2,387

437
263
1,100

303
121
387

593
10
252

196
47
181

230
156
194

1,400

1,361

5,167

5,000

1,831

36,209

8,422

3,695

4,234

4,438

4,038

206
83

634
150

2,368
432

2,185
3

781

8,405
3,824

2,088
952

1,268
85

900
8

715
465

833
646

118
370
624

185
187
207

472
1,386
509

561
1,316
936

79
324
648

1,111
12,590
10,279

314
2,779
2,289

602
885
855

1,896
568
861

443
1,863
952

439
985
1,134

7,359

13,223

24,297

23,878

4,897

132,507

33,837

26,625

17,718

20,564

20,396

Recoveries, transfers from reserve ac­
counts, and profits— total......................
On securities:
Recoveries...................................................
Transfers from reserve accounts................
Profits on securities sold or redeemed. . . .
On loans:
Transfers from reserve accounts................
Losses, charge-offs, and transfers to re­
serve accounts— total..............................
On securities:
Losses and charge-offs.................................
Transfers to reserve accounts....................
On loans:
Losses and charge-offs.................................
Transfers to reserve accounts....................
Net profits before income taxes...................




CORPORATION

37,724
9,923
1,284
18,980
173
2,855

INSURANCE

19,218
3,680
792
10,676
128
360

DEPOSIT

Current operating earnings— total.............
Interest on U. S. Government obligations..
Interest and dividends on other securities. .
Interest and discount on loans......................
Service charges and fees on bank’s loans... .
Service charges on deposit accounts.............
Other service charges, commissions, fees,
and collection and exchange charges........
Trust department............................................
Other current operating earnings..................

Taxes on n et in com e— t o t a l..........................
Federal..............................................................
State..................................................................

3.833
3.833

6,080
6,080

10.300
10.300

9.544
9.544

2,131
1,948
184

54.780
54.780

13.995
13.995

10.513
10.513

6.832
6.832

8.273
8.273

7.770
7.770

19,842

16,113

10,887

12,291

12,626

29,230

5,821

5,372

3,292

4,196

3,521

2.464

3.166

10
4,011

3
6,041

1.093

80
29,150

36
5,786

39
5,334

1
3,291

3
4,193

4
3,517

Net ad ditions to capital fro m p ro fits........

1,063

3,979

9,976

8,290

1,673

48,498

14,021

10,740

7,595

8,096

9,105

M em oranda
Recoveries credited to reserve accounts (not
included in recoveries above):
On securities.....................................................
On loans............................................................
Losses charged to reserve accounts (not in­
cluded in losses above):
On securities.....................................................
On loans............................................................

3
49

300

264

1
719

31

13
2,236

2
652

1
319

506

4
267

3
152

76
162

396

361
733

6
1,922

148

427
4,217

130
1,222

4
823

5
1,235

634
1,168

93
675

Average assets and liabilities1
Assets— t o t a l......................................................
Cash and due from banks..............................
United States Government obligations........
Other securities................................................
Loans and discounts........................................
All other assets.................................................

559,863
98,516
197,681
27,125
228,013
8,528

1,347,045
336,602
504,994
52,530
429,850
23,069

2,710,784
696,300
1,128,612
176,942
671,760
37,170

2,219,328
592,384
626,599
129,318
841,671
29,356

528,971 15,361,117
98,508 3,523,119
197,451 6,129,399
19,782 1,202,632
208,300 4,410,268
4,930
95,699

4,008,830
910,216
1,752,252
233,542
1,080,166
32,654

2,632,039
563,231
915,830
218,715
917,358
16,905

1,896,276
486,084
660,245
180,811
557,958
11,178

1,939,106
500,347
693,442
83,614
647,147
14,556

2,253,744
628,867
805,430
188,583
603,792
27,072

Liabilities and capital— t o ta l........................
Total deposits..................................................
Demand deposits...........................................
Time and savings deposits............................
Borrowings and other liabilities....................
Total capital accounts....................................

559,863
498,317
403,099
95,218
5,203
56,343

1,347,045
1,250,164
996,004
254,160
11,174
85,707

2,710,784
2,532,308
2,052,190
480,118
18,411
160,065

2,219,328
2,040,390
1,673,077
367,313
25,035
153,903

528,971 15,361,117
498,843 14,318,514
355,497 10,593,098
143,346 3,725,416
3,310
108,663
26,818
933,940

4,008,830
3,747,026
2,694,632
1,052,394
26,137
235,667

2,632,039
2,439,302
1,824,491
614,811
6,000
186,737

1,896,276
1,770,561
1,543,275
227,286
6,332
119,383

1,939,106
1,784,676
1,513,039
271,637
12,955
141,475

2,253,744
2,111,544
1,780,868
330,676
16,545
125,655

Number of active officers, December 3 1 ..........
Number of other employees, December 3 1 ... .

286
1,360

411
3,083

1,337
6,366

1,571
5,367

346
1,218

4,855
23,890

2,287
8,048

2,264
4,816

1,690
3,259

1,507
3,913

1,011
4,348

Number of banks, December 31........................

34

19

213

345

38

889

469

612

477

360

170

BANKS

77,727

1.093

INSURED

2,767

6,043

O
F

14,334

4,021

DIVIDENDS

13,998

3.166

AND

7,145

2.464

EXPENSES,

3,526

Dividends and interest o n capital— t o t a l ..
Dividends declared on preferred stock and
interest on capital notes and debentures, .
Cash dividends declared on common sto ck ..

EARNINGS,

Net profits after in com e taxes......................

Note: Due to rounding, earnings data of State banks may not add precisely to the indicated totals.
1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures, 1946-1952: See the Annual Report for 1952, pp. 126-135, and earlier reports.




to

Table 114.

E a r n in g s , E x p e n s e s,

and

D

i v id e n d s

of

I n s u r e d C o m m e r c ia l B a n k s

U n i t e d S t a t e s ( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ),
(Amounts in thousands of dollars)

Earnings or expense item

Maine

by

in

the

S t a t e , 1 9 5 3 — C on tin u ed

Maryland Massachusetts Michigan Minnesota Mississippi

Missouri

Montana

Nebraska

Nevada

New
Hampshire

206,704
57,604
10,879
114,548
1,936
9,786

110,905
23,086
5,705
61,592
695
6,058

30,684
5,866
3,246
15,570
77
1,570

145,781
33,736
7,193
88,154
681
5,389

20,271
5,537
928
10,621
222
1,526

42,670
11,070
2,066
23,807
100
2,566

8,612
1,949
312
5,063
232
411

10,022
1,909
490
6,058
22
878

276
439
415

1,125
1,460
1,611

4,602
10,799
7,497

4,468
2,880
4,604

7,828
2,751
3,190

3,299
168
890

2,807
3,448
4,372

678
68
693

1,054
541
1,465

179
179
287

164
144
358

Current operating expenses— to ta l.............
Salaries— officers..............................................
Salaries and wages— employees.....................
Fees paid to directors and members of execu­
tive, discount, and other committees. . . .
Interest on time and savings deposits..........
Interest and discount on borrowed m oney. .
Taxes other than on net income....................
Recurring depreciation on banking house,
furniture and fixtures..................................
Other current operating expenses..................

12,655
2,053
3,292

33,440
5,168
11,019

93,041
15,656
32,754

131,799
18,488
44,760

72,062
16,140
19,448

19,602
5,111
5,067

85,993
16,942
25,978

12,605
2,952
3,196

25,396
7,496
6,352

5,184
890
1,681

6,719
1,256
1,594

222
3,038
26
538

554
4,707
226
1,907

865
7,547
353
3,780

1,196
23,208
974
7,322

903
13,568
555
1,323

371
1,250
32
1,296

1,091
10,199
1,384
3,152

117
1,144
28
1,264

483
1,442
173
1,193

12
977
12
256

134
1,414
19
240

272
3,215

968
8,890

2,909
29,176

3,484
32,366

1,378
18,748

515
5,960

2,211
25,036

305
3,600

608
7,648

160
1,195

190
1,873

Net current operating earnin gs...................

5,958

19,759

59,878

74,905

38,843

11,082

59,787

7,666

17,274

3,427

3,303

574

1,060

12,638

2,267

2,640

1,149

2,688

730

913

72

380

109
22
207

162
63
247

866
4,799
1,131

81
37
918

163
401
315

144
141
134

384
82
1,016

40
45
130

323
2
145

51

87

107
28
100

111
143
335

4,442
249
1,151

326
159
747

1,054
18
689

214
296
221

495
237
473

407
21
86

235
97
110

4
18

81
6
137

1,534

4,121

19,168

17,733

6,038

3,090

9,054

2,282

2,992

285

1,030

658
28

1,956
107

2,682
6,107

10,870
1,104

2,313
77

788
287

2,794
1,212

726
427

587
311

57

428
95

172
491
185

83
1,224
750

163
3,841
6,375

564
2,737
2,458

1,489
954
1,204

365
1,064
585

1,243
2,673
1,132

655
229
245

472
1,021
601

13
161
53

122
225
160

4,997

16,699

53,349

59,439

35,444

9,143

53,420

6,114

15,195

3,215

2,654

Recoveries, transfers from reserve a c ­
coun ts, and profits— to ta l.....................
On securities:
Recoveries.....................................................
Transfers from reserve accounts................
Profits on securities sold or redeemed. . . .
On loans:
Recoveries.....................................................
Transfers from reserve accounts................
All other...........................................................
Losses, charge-offs, and transfers to re­
serve accounts— t o ta l..............................
On securities:
Losses and charge-offs.................................
Transfers to reserve accounts....................
On loans:
Losses and charge-offs.................................
Transfers to reserve accounts....................
All other...........................................................
Net profits before in com e taxes...................




69

CORPORATION

152,918
29,195
6,957
84,175
829
8,864

INSURANCE

53,198
14,686
2,449
28,239
120
3,510

DEPOSIT

18,613
3,629
809
11,859
70
1,118

FEDERAL

Current operating earnings— to ta l.............
Interest on U. S. Government obligations. .
Interest and dividends on other securities. .
Interest and discount on loans......................
Service charges and fees on bank’s loans. . . .
Service charges on deposit accounts.............
Other service charges, commissions, fees,
and collection and exchange charges........
Trust department............................................
Other current operating earnings..................

2.017
2.017

6.740
6.740

24,590
20,268
4,322

22,106
22,106

14,639
12,804
1,835

2.455
2.455

23,908
23,172
736

2,813
2,726
87

5.802
5.802

1,820
1,820

899
899

Net profits after in co m e taxes......................

2,980

9,958

28,759

37,332

20,805

6,687

29,512

3,300

9,394

1,395

1,755

Dividends and interest on capital— to ta l. .
Dividends declared on preferred stock and
interest on capital notes and debentures. .
Cash dividends declared on common stock. .

1,312

4,321

15,991

13,402

7,943

2,132

11,552

1,431

3,216

475

693

6
1,305

22
4,298

16
15,976

115
13,286

6
7,937

17
2,115

41
11,512

1
1,430

2
3,215

475

693

Net additions to capital from p rofits........

1,669

5,637

12,768

23,930

12,863

4,555

17,960

1,869

6,178

920

1,063

65

5
94

8
477

1,149

394

3
291

54
707

125

8
274

40

53

460

25
430

269
2,069

2,265
2,380

1,209

13
633

523
2,187

150
266

426
986

95

141

Average assets and liabilities1
Assets— t o t a l......................................................
Cash and due from banks..............................
United States Government obligations........
Other securities................................................
Loans and discounts........................................
All other assets................................................

524,738
100,365
173,203
37,847
207,628
5,695

1,936,713
439,092
749,424
125,133
597,538
25,531

4,908,419
1,112,287
1,514,801
323,372
1,867,661
90,298

7,075,570
1,440,390
2,866,562
594,969
2,106,293
67,356

3,459,024
760,635
1,161,856
284,904
1,221,899
29,730

969,357
245,023
291,337
138,944
284,339
9,714

5,350,058
1,406,769
1,715,741
318,912
1,865,364
43,272

675,538
157,970
280,413
45,201
185,773
6,181

1,568,397
400,254
573,498
116,642
468,510
9,493

249,566
46,934
99,296
13,147
86,608
3,581

282,017
61,073
90,616
21,032
106,541
2,755

Liabilities and capital— to ta l........................
Total deposits...................................................
Demand deposits...........................................
Time and savings deposits............................
Borrowings and other liabilities....................
Total capital accounts....................................

524,738
474,703
277,699
197,004
4,101
45,934

1,936,713
1.796.357
1.334.358
461,999
13,264
127,092

4,908,419
4,402,638
3,692,526
710,112
88,499
417,282

7,075,570
6,631,776
4,027,024
2,604,752
67,245
376,549

3,459,024
3,197,079
2,226,958
970,121
32,536
229,409

969,357
901,306
759,480
141,826
3,783
64,268

5,350,058
4,977,933
4,148,951
828,982
40,483
331,642

675,538
638,913
521,618
117,295
5,063
31,562

1,568,397
1,461,155
1,302,406
158,749
6,306
100,936

249,566
233,167
156,989
76,178
3,142
13,257

282,017
252,328
174,876
77,452
1,515
28,174

DIVIDENDS

Number of active officers, December 3 1 ..........
Number of other employees, December 3 1 ....

355
1,426

876
4,623

1,860
12,451

2,184
15,415

2,704
7,707

853
2,105

2,699
10,410

453
1,272

1,290
2,656

135
673

226
669

Number of banks, December 31........................

55

153

173

419

665

197

580

109

373

8

62

BANKS




INSURED

Note: Due to rounding, earnings data of State banks may not add precisely to the indicated totals.
1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures, 1946-1952: See the Annual Report for 1952, pp. 126-135, and earlier reports.

O
F

On loans...........................................................
Losses charged to reserve accounts (not in­
cluded in losses above):
On securities.....................................................
On loans............................................................

AN
D

EXPENSES,

M em oranda
Recoveries credited to reserve accounts (not
included in recoveries above):

EARNINGS,

Taxes on net in com e— t o t a l..........................
Federal..............................................................

T a b le 114.
U n ite d

E a r n in g s , E x p e n s e s ,
S ta tes

and

D

i v id e n d s

of

I n s u r e d C o m m e r c ia l B a n k s

( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) , b y S t a t e ,

in

the

1953— Continued

(Amounts in thousands of dollars)

Earnings or expense item

New
Jersey

New
Mexico

New
York

North
Carolina

North
Dakota

Ohio

Oklahoma

Oregon

Pennsylvania

Rhode
Island

South
Carolina

75,776
13,723
4,133
43,249
875
3,724

17,176
4,834
660
8,038
114
1,089

266,014
70,657
14,948
141,750
1,737
12,095

64,649
13,372
3,546
38,520
168
4,221

57,688
10,405
2,884
36,166
461
4,005

394,039
84,205
30,824
218,307
2,103
12,600

27,416
6,574
631
15,115
10
1,020

26,875
6,266
1,535
14,035
59
2,008

2,301
5,252
5,712

395
192
376

21,572
76,357
47,775

6,087
2,075
1,909

1,958
56
427

4,445
9,550
10,834

1,096
496
3,231

1,124
1,103
1,540

5,079
25,217
15,703

296
2,134
1,637

2,163
336
476

Current operating expenses— total.............
Salaries— officers..............................................
Salaries and wages— employees.....................
Fees paid to directors and members of execu­
tive, discount, and other committees. .. .
Interest on time and savings deposits..........
Interest and discount on borrowed m oney. .
Taxes other than on net income....................
Recurring depreciation on banking house,
furniture and fixtures.................................
Other current operating expenses..................

120,792
17,901
37,525

10,065
2,022
3,201

594,210
83,303
232,232

47,293
10,521
12,888

10,285
2,847
2,282

169,215
24,678
48,602

37,692
9,746
10,352

37,855
6,446
12,299

234,680
38,613
76,121

18,118
2,446
5,543

16,364
3,888
5,016

1,678
21,243
475
6,564

98
1,189
4
499

3,773
64,628
6,319
18,351

440
6,498
631
1,409

127
1,698
22
273

1,699
31,481
1,404
16,320

412
3,411
738
731

116
9,302
99
743

3,662
35,200
980
10,427

203
3,852
41
1,239

255
1,156
74
245

4,228
31,178

457
2,594

9,524
176,081

1,563
13,344

196
2,842

3,936
41,096

1,412
10,893

1,240
7,612

6,981
62,697

409
4,387

582
5,146

Net current operating earnings...................

55,246

5,183

439,249

28,483

6,892

96,799

26,957

19,833

159,359

9,299

10,511

5,289

349

31,984

1,524

272

3,975

1,153

647

13,493

1,263

279

898
303
1,958

26

74
87
1,013

12

409
315
976

47

12

45

1,408
5,991
9,786

187

425

889
1,975
3,661

340
101

46

549
802
779

227
1
51

5,395
6,425
2,979

176
28
147

119
79

582
786
908

571
1
346

56
6
148

1,276
1,489
4,204

16
236
570

68
4
151

15,372

1,596

85,758

6,819

1,071

16,574

3,585

2,371

41,610

3,639

1,607

5,087
893

70
75

41,652
6,371

3,220
127

424
6

5,745
2,367

852
190

1,664

13,067
10,806

1,394
540

671
74

481
6,712
2,199

389
867
195

1,635
27,067
9,034

428
1,918
1,126

138
275
228

875
5,106
2,481

1,355
628
561

32
405
271

936
11,195
5,606

6
591
1,109

169
503
190

45,161

3,936

385,474

23,187

6,092

84,200

24,524

18,109

131,242

6,923

9,183

Recoveries, transfers from reserve ac­
counts, and profits— total......................
On securities:
Recoveries
..
Transfers from reserve accounts
Profits on securities sold or redeemed. . . .
On loans:
Recoveries.....................................................
Transfers from reserve a cco u n ts..........
All other...........................................................
Losses, charge-offs, and transfers to re­
serve accounts— total..............................
On securities:
Losses and charge-offs.................................
Transfers to reserve accounts
On loans:
Losses and charge-offs.................................
Transfers to reserve accounts....................
All other...........................................................
Net profits before income taxes...................




61

11

CORPORATION

1,033,458
190,441
57,184
590,946
10,594
38,590

INSURANCE

15,248
3,442
230
9,440
224
951

DEPOSIT

176,038
43,597
12,835
94,847
724
10,773

FEDERAL

Current operating earnings— total.............
Interest on U. S. Government obligations. .
Interest and dividends on other securities. .
Interest and discount on loans......................
Service charges and fees on bank’s loans. . . .
Service charges on deposit accounts.............
Other service charges, commissions, fees,
and collection and exchange charges........
Trust department............................................
Other current operating earnings..................

Taxes on net income— total.........................
Federal..............................................................
State.................................................................

14.699
14.699

1.567
1.567

181,771
165,892
15,879

10,379
9,982
397

2,268
2,189
79

37.001
37.001

10,572
9,949
623

7,865
6,458
1,407

Net profits after income taxes......................

30,461

2,369

203,704

12,808

3,823

47,199

13,953

Dividends and interest on capital— total..
Dividends declared on preferred stock and
interest on capital notes and debentures. .
Cash dividends declared on common stock. .

11,052

808

122,420

4,672

1,332

18,845

4.969

882
10,170

2
806

1,253
121,167

3
4,669

1
1,331

60
18,785

Net additions to capital from profits........

19,410

1,561

81,284

8,136

2,492

Memoranda
Recoveries credited to reserve accounts (not
included in recoveries above):
On securities.....................................................
On loans...........................................................
Losses charged to reserve accounts (not in­
cluded in losses above):
On securities.....................................................
On loans...........................................................

20
588

233

699
8,711

1
267

658
2,290

667

5,566
15,143

Average assets and liabilities1
Assets— total......................................................
Cash and due from banks..............................
United States Government obligations........
Other securities................................................
Loans and discounts.......................................
All other assets................................................

5,707,425
991,958
2,115,446
636,401
1,883,499
80,121

Liabilities and capital— total.......................
Total deposits..................................................
Demand deposits...........................................
Time and savings deposits...........................
Borrowings and other liabilities....................
Total capital accounts....................................

5,707,425
5,284,684
3,104,789
2,179,895
45,784
376,957

Number of active officers, December 3 1 ..........
Number of other employees, December 3 1 ... .

2,331
13,655

301
1,234

7,543
70,341

Number of banks, December 31........................

307

51

572

4,042
3,770
272

4.969

4.635

1.835

1
1,920

28,355

8,983

5,609

43,220

1,775

3,220

113

8
1,050

589

265

1,314
1,248

92

98

23
713

307

1,036
2,667

1,144

670

15,418
5,092

40
388

32
507

471,509 38,263,288
138,606 9,601,505
172,924 10,010,265
13,268 2,674,227
141,241 15,348,528
5,470
628,763

2,304,665
552,259
668,982
239,993
814,252
29,179

515,760
87,365
232,819
33,493
158,477
3,606

9,543,955
2,025,217
3,625,033
722,321
3,071,398
99,986

2,137,823
610,903
662,882
183,681
659,871
20,486

1,707,349
341,613
523,269
145,117
672,162
25,188

12,850,709
2,728,515
4,124,313
1,293,897
4,538,227
165,757

840,481
142,351
330,813
33,762
318,092
15,463

873,361
232,787
309,068
73,716
249,720
8,070

471,509 38,263,288
444,769 33,909,393
371,513 28,699,645
73,256 5,209,748
1,817 1,205,721
24,923 3,148,174

2,304,665
2,101,008
1,613,002
488,006
43,781
159,876

515,760
480,486
358,749
121,737
2,966
32,308

9,543,955
8,860,043
5,893,803
2,966,240
80,362
603,550

2,137,823
1,973,296
1,751.579
221,717
14,974
149,553

1,707,349
1,571,779
1,048,706
523,073
21,378
114,192

12,850,709
11,534,626
8,196,143
3,338,483
104,853
1,211,230

840,481
767,592
482,178
285,414
10,885
62,004

873,361
812,540
702,071
110,469
6,163
54,658

1,497
5,168

508
1,040

3,398
17,329

1,642
4,135

981
4,224

5,163
27,021

282
2,169

635
2,009

148

638

376

65

888

9

136

225)

Note: Due to rounding, earnings data of State banks may not add precisely to the indicated totals.
1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures, 1946-1952: See the Annual Report for 1952, pp. 126-135, and earlier reports.




RANKS

1,921

27
40,403

INSURED

5,142

1.835

O
F

3,610

40,430

DIVIDENDS

83,650

4.635

AN
D

10,244

EXPENSES,

3,312
3,036
277

EARNINGS,

47.592
47.592

Table 114.

E a r n in g s , E x p e n s e s ,

U n ite d S t a t e s

Earnings or expense item

and

D

iv id e n d s

op

I n s u r e d C o m m e r c ia l B a n k s

( C o n t i n e n t a l U . S. a n d O t h e r A r e a s ) , b y S t a t e ,
(Amounts in thousands of dollars)

South
Dakota

Tennessee

Texas

Vermont

Utah

in

th e

1953— Continued

Virginia

Washington

West
Virginia

Wisconsin

Wyoming

255,315
48,912
10,701
159,337
2,230
12,003

25,140
5,134
821
15,363
618
1,277

11,508
1,958
563
7,706
76
620

84,020
16,952
3,426
52,420
738
4,323

78,647
12,767
4,736
48,141
851
6,429

35,347
9,507
1,490
20,140
215
1,264

98,774
30,443
5,392
51,017
653
4,984

9,971
2,501
355
5,676
46
647

1,640
91
446

2,341
1,250
2,678

4,308
3,667
14,155

786
500
643

152
183
248

1,474
2,657
2,030

2,108
1,763
1,851

723
909
1,101

1,923
1,327
3,035

291
60
396

Current operating expenses— total.............
Salaries— officers..............................................
Salaries and wages— employees.....................
Fees paid to directors and members of execu­
tive, discount, and other committees. . . .
Interest on time and savings deposits..........
Interest and discount on borrowed m oney. .
Taxes other than on net income....................
Recurring depreciation on banking house,
furniture and fixtures..................................
Other current operating expenses..................

12,351
3,653
2,827

49,059
9,207
12,797

157,892
35,061
44,450

16,344
2,575
4,353

8,414
1,305
1,690

52,970
9,906
14,011

51,482
9,048
17,566

20,524
4,140
5,411

65,635
14,017
17,317

6,060
1,512
1,577

221
1,743
38
265

453
9,254
336
3,047

1,889
10,888
696
13,319

252
4,251
109
291

161
3,077
13
164

823
11,166
372
2,470

244
7,998
112
1,137

382
3,857
111
840

1,195
13,065
243
1,484

113
1,007
33
260

278
3,327

1,411
12,553

5,118
46,472

379
4,134

194
1,812

1,793
12,431

1,795
13,582

680
5,103

1,726
16,588

176
1,382

Net current operating earnings...................

7,628

28,822

97,423

8,797

3,094

31,050

27,165

14,823

33,139

3,910

204

1,838

7,956

377

219

2,012

1,224

932

1,709

223

6

381
161
653

301
1,227
938

2
3
93

46
1
51

31
547
598

378
29
435

65
72
180

194
253
762

69

246
16
381

2,675
930
1,887

59

54

221

62
6
55

337
210
288

126
22
234

179
167
269

131
97
272

139
1
11

1,118

5,017

25,046

1,048

539

4,872

6,520

2,482

9,038

992

400

1,338
1,138

6,227
1,458

361
75

280

1,825
667

3,360
1,097

984
147

4,728
275

188
1

220
233
265

392
816
1,334

7,339
6,320
3,702

60
440
114

76
135
49

452
1,294
635

106
950
1,006

208
439
704

261
2,969
804

449
99
255

6,715

25,643

80,334

8,125

2,774

28,190

21,870

13,274

25,811

3,142

Recoveries, transfers from reserve ac­
counts, and profits— total.....................
On securities:
Recoveries.................................................
Transfers from reserve accounts................
Profits on securities sold or redeemed. . . .
On loans:
Recoveries....................................................
Transfers from reserve accounts................
Losses, charge-offs, and transfers to re­
serve accounts— total..............................
On securities:
Losses and charge-offs.................................
Transfers to reserve accounts....................
On loans:
Losses and charge-offs.................................
Transfers to reserve accounts....................
Net profits before income taxes...................




46
99

2

CORPORATION

77,881
14,319
3,759
50,849
461
2,224

INSURANCE

19,979
4,613
713
11,090
106
1,281

DEPOSIT

Current operating earnings— total.............
Interest on U. S. Government obligations. .
Interest and dividends on other securities..
Interest and discount on loans......................
Service charges and fees on bank’s loans. . . .
Service charges on deposit accounts.............
Other service charges, commissions, fees,
and collection and exchange charges........
Trust department............................................
Other current operating earnings..................

2,880
2,763
117

11,005
10,835
170

37.427
37.427

3,638
3,489
150

931
828
103

11.472
11.472

8,810
8,810

5.712
5.712

8,998
8,771
227

1.383
1.383

Net profits after in com e taxes......................

3,835

14,638

42,907

4,486

1,844

16,717

13,059

7,561

16,812

1,760

Dividends and interest o n capital— t o ta l..
Dividends declared on preferred stock and
interest on capital notes and debentures..
Cash dividends declared on common stock. .

1,407

6,080

21,980

1,800

720

6,454

4.780

2,725

6,477

575

3
1,404

1
6,079

17
21,963

8
1,792

68
652

48
6,406

4.780

1
2,723

109
6,368

7
570

Net ad d itions to capital from p rofits........

2,427

8,558

20,926

2,687

1,125

10,263

8,279

4,837

10,336

1,184

M em oranda
Recoveries credited to reserve accounts (not
included in recoveries above):
On securities.....................................................
On loans............................................................
Losses charged to reserve accounts (not in­
cluded in losses above):
On securities.....................................................
On loans...........................................................

142

330

53
2,152

119

92

9
353

467

141

2
453

100

314

222
1,096

125
9,976

419

11
95

325
987

1,173
847

248

98
867

250

AN
D

Average assets and liabilities1
Assets— t o t a l......................................................
Cash and due from banks..............................
United States Government obligations........
Other securities................................................
Loans and discounts.......................................
All other assets................................................

584,058
115,023
235,531
32,840
195,945
4,719

2,495,227
660,687
723,801
151,961
924,119
34,659

9,075,030
2,907,167
2,454,898
461,604
3,101,745
149,616

748,324
167,261
254,849
38,303
281,122
6,789

312,227
47,744
90,970
26,759
143,415
3,339

2,546,874
588,893
850,201
155,952
918,547
33,281

2,318,178
522,387
647,887
220,922
896,790
30,192

1,139,133
256,204
461,391
68,899
341,201
11,438

3,696,024
744,172
1,537,778
268,708
1,114,204
31,162

327,870
84,055
129,777
16,461
95,119
2,458

Liabilities and capital— t o ta l........................
Total deposits..................................................
Demand deposits...........................................
Time and savings deposits............................
Borrowings and other liabilities....................
Total capital accounts....................................

584,058
543,526
423,807
119,719
2,913
37,619

2,495,227
2,305,327
1,742,036
563,291
25,426
164,474

9,075,030
8,442,763
7,511,850
930,913
63,108
569,159

748,324
696,896
465,030
231,866
6,619
44,809

312,227
279,792
113,248
166,544
2,321
30,114

2,546,874
2,333,759
1,564,075
769,684
28,423
184,692

2,318,178
2,150,268
1,554,166
596,102
20,263
147,647

1,139,133
1,036,080
743,854
292,226
6,797
96,256

3,696,024
3,452,592
2,095,501
1,357,091
13,899
229,533

327,870
306,633
241,274
65,359
1,916
19,321

DIVIDENDS

Number of active officers, December 3 1 ..........
Number of other employees, December 3 1 . . . .

661
1,256

1,565
5,300

5,043
16,857

361
1,706

246
709

1,667
5,884

1,182
6,046

683
2,097

2,201
6,998

248
596

Number of banks, December 31........................

169

291

882

54

66

316

109

178

548

53

O
F
INSURED
BANKS




i—
1

EXPENSES,

Note: Due to rounding, earnings data of State banks may not add precisely to the indicated totals.
1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
Back figures, 1946-1952: See the Annual Report for 1952, pp. 126-135, and earlier reports.

EARNINGS,

Taxes on net Incom e— t o t a l..........................
Federal..............................................................

fcO

T a b le 115.

I n c o m e , E x p e n s e s , a n d D i v i d e n d s o f I n s u r e d M u t u a l S a v in g s B a n k s , 1 953
(Amounts in thousands of dollars)

Sources and disposition of income

Net current operating income......................................................................
Franchise and income taxes— total............................................................
State franchise and income taxes...................................................................
Federal income taxes.......................................................................................
Net current operating income after taxes . . . . .
Dividends and interest on deposits.............................................................
Net current operating income after taxes and dividends.....................

519,731
8,569
6,459

11,566
2,303
13,521
7,405
6,837
2,445
25,171

2,110

511,162
414,951
96,211

Non-recurring income, realized profits and recoveries credited to profit
and loss, and transfers from valuation adjustment provisions—
total
Non-recurring income......................................................................................
Realized profits and recoveries (see memoranda)........................................
Transfers from valuation adjustment provisions1 (see memoranda).........

36,962
12,372
7,863
16,727

Non-recurring expense, realized losses charged to profit and loss, and
transfers to valuation adjustment provisions— total........................
Non-recurring expense........................................................................................
Realized losses (see memoranda)2......................................................................
Transfers to valuation adjustment provisions1 (see memoranda).................
Net additions to total surplus accounts from operations.......................

70,507
12,156
28,630
29,721
62,666

Realized profits and recoveries credited, or realized
losses charged, to profit and loss—total.................
Securities sold or matured..................................................
Real estate mortgage loans............................................... .
Other real estate................................................................ .
All other assets...................................................................
Transfers from (or to) valuation adjustment pro­
visions1
—total.............................................................. .
Securities...............................................................................
Real estate mortgage loans............................................... .
Other real estate..................................................................
All other assets.....................................................................
Recoveries credited (or realized losses charged) to
valuation adjustment provisions1 (not included
in recoveries or losses above)—total.
Securities......................................................
Real estate mortgage loans........................
Other real estate.........................................
All other

7,863
5,287
783
304
1,489

28,630
28,333
152
39
106

16,727
6,132
9,965
275
355

29,721
10,639
17,005

59
15
33

13,764
12,523
469
683
89

10

1

11

2,066

Average assets and liabilities3
Assets—total.............................................
Cash and due from banks......................
United States Government obligations.
Other securities.......................................
Real estate mortgage loans....................
Other loans and discounts......................
Other real estate.....................................
All other assets........................................

19.625.429
744,369
6,620,535
2,591,176
9,288,364
102,768
2,432
275,785

Liabilities and surplus accounts—total.
Total deposits..............................................
Savings and time deposits........................
Demand deposits......................................
Other liabilities...........................................
Total surplus accounts...............................

19.625.429
17,718,957
17,688,777
30,180
119,359
1,787,113

Number of active officers, December 31.. .
Number of other employees, December 31.
Number of banks, December 31.

1,908
12,525
219

1 Includes “ Valuation reserves” and “ Other asset valuation provisions (direct write-downs)
* Total realized losses for the year were $42,394,000, of which a portion was charged to valuation adjustment provisions (see memoranda).
3 Asset and liability items are averages of figures reported at beginning, middle, and end of year.

Back figures, 1934-1952: Comparable data for 1951 and 1952 may be found in the 1951 and 1952 Annual Reports, pp. 184 and 136, respectively. Data for prior years, which how­
ever are not comparable with figures for 1951-1953, may be found in the following Annual Reports: 1950, pp. 272-273; and 1941, p. 173.
http://fraser.stlouisfed.org/

Federal Reserve Bank of St. Louis

bO

00

CORPORATION

127,336
21,142
44,351

5,184
77
338
261
7,171
6,107

Realized
Realized
losses and
profits and
recoveries,
transfers to
valuation
and transfers
from valuation adjustment
provisions
adjustment
provisions

INSURANCE

Current operating expense— total...............................................................
Salaries— officers..............................................................................................
Salaries and wages— employees......................................................................
Pension, hospitalization and group insurance payments, and other em­
ployee benefits..............................................................................................
Fees paid to trustees and committee members....... ....................................
Occupancy, maintenance, etc. of bank premises (including taxes and re­
curring depreciation)—net..........................................................................
Occupancy, maintenance, etc. of bank premises (including taxes and re­
curring depreciation)— gross.....................................................................
Less: Income from bank building................................................................
Deposit insurance assessments.......................................................................
Furniture and fixtures (including recurring depreciation)..........................
All other current operating expense..............................................................

4,886

Memoranda—realized profits and recoveries,
realized losses, and valuation adjustment
provisions1

DEPOSIT

647,067
164,630
82,003
381,895
396,264
9,483

FEDERAL

Current operating income— total.......................................
Interest on U. S. Government obligations..........................
Interest and dividends on other securities...........................
Interest and discount on real estate mortgage loans—n et.
Interest and discount on real estate mortgage loans— gross.
Less: Mortgage servicing fees...............................................
Premium amortization................................................
Interest and discount on other loans and discounts—net..
Income on real estate other than bank building—net.......
Income on real estate other than bank building— gross. . . .
Less: Operating expense.......................................................
Income on other assets...........................................................
Income from service operations............................................

Table

116.

R a t io s

of

I ncome, E xpen ses,

and

D

iv id e n d s

Amounts per $100 of current operating income

1953

Special ratios1
$100.00

25.44
12.67
59.02
.80
1.12
.95
19.68
3.27
6.85

Interest on U. S. Government obligations per $100 of U. S. Government
obligations......................................................................................................
Interest and dividends on other securities per $100 of other securities. . . .
Interest and discount on real estate mortgage loans per $100 of real estate
mortgage loans..............................................................................................
Interest and discount on other loans and discounts per $100 of other loans
and discounts........................................................................................... .
Dividends and interest on deposits per $100 of savings and time deposits.
Net additions to total surplus accounts from operations per $100 of total
surplus accounts........................................................................................

$2.49
3.16
4.11
5.04
2.35
3.51

1.79
.35
2.09
1.06
.38
3.89

Average assets and liabilities1

100.00

Total deposits............................................
Savings and time deposits......................
Demand deposits.....................................
Other liabilities.........................................
Total surplus accounts.............................

90.28
90.13
.15
.61
9.11

.32

Number of banks, December 31.

219

1 Asset and liability items are averages of figures reported at beginning, middle, and end of year.
2 Includes “ Valuation reserves” and “ Other asset valuation provisions (direct write-downs).”
Back figures, 193U and 1941-1952: Comparable data for 1951 and 1952 may be found in the 1951 and 1952 Annual Reports, pp. 185 and 137, respectively. Data for prior years,
which however are not comparable with figures for 1951-1953, may be found in the following Annual Reports: 1950, pp. 274-275, and 1947, pp. 154-155.




BANKS

.19

INSURED

3.79
33.74
13.20
47.33
.52
.01
1.41

O
F

3.30
.65
2.65
.05
2.60
2.11
.49

100.00

Cash and due from banks........................
United States Government obligations. .
Other securities.........................................
Real estate mortgage loans......................
Other loans and discounts.......................
Other real estate.......................................
All other assets..........................................
Liabilities and surplus accounts— total

80.32
1.32
1.00
.32
79.00
64.13
14.87

Assets—total...............................................

DIVIDENDS

Amounts per $100 of total assets1
Current operating income— total......................................................................
Current operating expense— total.....................................................................
Net current operating income............................................................................
State franchise or income tax............................................................................
Net current operating income after taxes........................................................
Dividends and interest on deposits..................................................................
Net current operating income after taxes and dividends..................................
Non-recurring income, realized profits and recoveries credited to profit and
loss, and transfers from valuation adjustment provisions2
—total.................
Non-recurring expense, realized losses charged to profit and loss, and transfers
to valuation adjustment provisions2 total.................................................
—
Net additions to total surplus accounts from operations...............................

S a v in g s B a n k s ,

AND

Net current operating income.....................................................................
Franchise and income taxes— total............................................................
State franchise and income taxes..................................................................
Federal income taxes.......................................................................................
Net current operating income after taxes................................................
Dividends and interest on deposits............................................................
Net current operating income after taxes and dividends....................

utual

EXPENSES,

Current operating expense— total..............................................................
Salaries— officers..............................................................................................
Salaries and wages—employees.........................................................................
Pension, hospitalization and group insurance payments, and other em­
ployee benefits.............................................................................................
Fees paid to trustees and committee members...............................................
Occupancy, maintenance, etc. of bank premises (including taxes and re­
curring depreciation)—net.........................................................................
Deposit insurance assessments......................................................................
Furniture and fixtures (including recurring depreciation).........................
All other current operating expense..............................................................

Insured M

EARNINGS,

Current operating income— total...............................................................
Interest on U. S. Government obligations..................................................
Interest and dividends on other securities...................................................
Interest and discount on real estate mortgage loans—net.........................
Interest and discount on other loans and discounts—net..........................
Income on other assets...................................................................................
Income from service operations.....................................................................

of

to
co

D

e p o s it

Insurance D

is b u r s e m e n t s

Table 117.

Disbursements, deposits, and depositors in insured banks financially aided by the
Federal Deposit Insurance Corporation, 1934-1953
Banks grouped by class of bank, year of receivership or absorption, amount of deposits,
and State

Table 118.

Assets and liabilities of insured banks placed in receivership and of insured banks
absorbed with the financial aid of the Federal Deposit Insurance Corporation,
1934-1953
As shown by books of bank at date of closing

Table 119.

Name, location, Federal Deposit Insurance Corporation disbursement, and assets
and liabilities of insured banks absorbed with the financial aid of the Corporation
during 1953

Table 120.

Recoveries and losses by the Federal Deposit Insurance Corporation in connection
with insured banks financially aided by the Corporation, 1934-1953
As shown by books of FDIC, December SI, 1958




Disbursements by the Federal Deposit Insurance Corporation
to protect depositors are made when insured banks because of

Details of the absorptions during 1953 are given in Table 119. The
disbursements by the Corporation were made to purchase assets from
the selling banks which were not acceptable to the absorbing banks.




Broadway Industrial
deposits $390,000.

Bank,

Denver,

Colorado,

January

1953,

For suspensions of noninsured banks in previous years, see the
Annual Reports of the Corporation as follows: 1943, p. 102; 1946,
p. 167; 1947, p. 159; 1949, p. 187; 1950, p. 277; 1951, p. 187; and 1952,
p. 139.

Sources of data
Insured banks: books of bank at date of closing; and books of FDIC,
December 31, 1953.
Noninsured bank: news report.

DISBURSEMENTS

Deposits of insured banks placed in receivership as given in Table
117 are taken from the books of F D IC at the end of the year and differ
from the deposits in Table 118 which are taken from books of the
bank at date of closing. This is because the former include deposits
discovered or reclassified after the date of a bank's closing.

One noninsured bank failed in 1953. The name and location of this
bank and its deposits and date of closing are given below.

INSURANCE

Detailed data for insured banks placed in receivership are omitted
since there has been no receivership since 1944. For such data, see
the Annual Reports of the Corporation for 1946, pages 167 and 171,
and 1950, page 280.

Noninsured bank failures

DEPOSIT

financial difficulties are placed in receivership or are absorbed with the
aid of the Corporation. In receiverships the disbursement is the amount
paid by the Corporation on insured deposits. In absorptions the Cor­
poration's disbursement is the amount loaned to absorbed banks, or
the price paid for assets purchased from them.

Two insured banks in Illinois which in 1953 were closed by the
State supervisory authority “ for examination and adjustment” and
were reopened without financial aid by the Corporation are excluded
from Tables 117-120.

Table 117.

D i s b u r s e m e n t s , D e p o s it s , a n d D e p o s i t o r s in I n s u r e d B a n k s F i n a n c i a l l y A id e d b y
t h e F e d e r a l D e p o s i t I n s u r a n c e C o r p o r a t i o n , 1934-1953

B A N K S G RO U PED B Y CLASS O F B A N K , Y E A R OF RE C E IV E R SH IP OR A B SO R P TIO N , A M O U N T OF D EPO SITS, AND STATE

Disbursements by FDIC
(in thousands of dollars)

Deposits
(in thousands of dollars)1

Number of banks

Number of depositors1

Classification
Total

Receiver­
ships

Total

Absorp­
tions

Total

281,112

87,044

194,068

422

245

177

558,946

52,883

14,808

38,075

73

21

52

112,548

Receiver­
ships
109,590

Absorp­
tions

Total

Receiver­
ships

Absorp­
tions3

382,722

1,008,271

290,349

55,406

234,943

368,424
732,220

82,818
244,498

285,606
487,722

449,356

1,390,993

19,474

93,074
161,119
195,163

80,271
75,722

22
327

6
218

16
109

187,656
258,742

Year
1934
193 5
193 6
193 7
193 8

941
8,890
14,781
19,160
30,479

941
6,025
8,056
12,044
9,092

2,865
6,725
7,116
21,387

9
25
69
75
74

9
24
42
50
50

1
27
25
24

1,968
13,320
27,508
33,349
59,684

1,968
9,091
11,241
14,960
10,296

4,229
16,267
18,389
49,388

15,767
44,655
89,018
130,387
203,961

15,767
32,331
43,225
74,148
44,288

12,324
45,793
56,239
159,673

193
194
194
194
194

9
0
1
2
3

67,771
74,134
23,880
10,825
7,172

26,197
4,895
12,278
1,612
5,500

41,574
69,239
11,602
9,213
1,672

60
43
15
20
5

32
19
8
6
4

28
24
7
14
1

157,772
142,430
29,717
19,185
12,525

32,738
5,657
14,730
1,816
6,637

125,034
136,773
14,987
17,369
5,888

392,718
256,361
73,005
60,688
27,371

90,169
20,667
38,594
5,717
16,917

302,549
235,694
34,411
54,971
10,454

194 4
1945
1946
1947
1948

1,503
1,768
265
1,724
2,990

404

1,099
1,768
265
1,724
2,990

2
1
1
5
3

1

1
1
1
5
3

1,915
5,695
347
7,040
10,674

456

1,459
5,695
347
7,040
10,674

5,487
12,483
1,383
10,637
18,540

899

4,588
12,483
1,383
10,637
18,540

2,551
3,986
1,885
1,368
5,039

4
4
2
3
2

4
4
2
3
2

5,475
5,502
3,408
3,170
18,262

5,475
5,502
3,408
3,170
18,262

5,671
6,365
5,276
6,751
24,469

1,411
3,839
25,850

38,055
83,370
89,949
147,613

29,695
65,512
56,777
63,487

8,360
17,858
33,172
84,126

48,805
72,054
65,397
64,068
159,418

193,530
225,188
170,841
170,119
272,328

54,324
51,756

139,206
173,432
170,841
108,948
272,328

..

....

.
. . .
..
...
..................
................

2,551
3,986
1,885
1,368
5,039

Banks with deposits of—
$100,000 or less......................
$100,000 to $250,000.............
$250,000 to $500,000.............
$500,000 to $1,000,000..........

4,946
12,906
14,588
27,897

4,308
11,554
10,223
13,901

638
1,352
4,365
13,996

106
109
59
58

83
86
36
24

23
23
23
34

6,358
17,759
20,976
43,440

4,947
13,920
12,462
17,590

$1,000,000 to $2,000,000___
$2,000,000 to $5,000,000___
$5,000,000 to $10,000,000 . . .
$10,000,000 to $25,000,000. .
$25,000,000 to $50,000,000. .

31,140
46,813
23,400
45,769
73,653

8,961
12,421

22,179
34,392
23,400
20,093
73,653

42
29
10
5
4

9
5

33
24
10
3
4

60,553
88,333
65,397
96,712
159,418

11,748
16,279

1949
1950
1951
1952
1953




25,676

2

32,644

5,671
6,365
5,276
6,751
24,469

61,171

CORPORATION

20,934
51,302

INSURANCE

101,205
127,024

26,537
63,579

DEPOSIT

Class o f bank
National banks.......................
State banks members F. R.
System.................................
Banks not members F . R . S . .

Absorp­
tions2

FEDERAL

All ba n k s...................................

Receiver­
ships

1,089
984
861
8
1,242

8
1,242

Florida.....................................
Georgia...................................
Illinois.....................................
Indiana....................................
Iowa.........................................

300
863
9,246
6,197
1,456

Kansas.....................................
Kentucky................................
Louisiana.................................
Maryland................................
Massachusetts........................

94
841

1
5
1
2

203
846
1,242
3,096
385

97
17
8,004
3,101
1,071

2
8
18
20
6

1
7
6
15
3

974
4,594
668
3,109
1,564

482
3,329
668
735

492
1,265

9
22
3
5
2

5
18
3
2

Michigan.................................
Minnesota...............................
Mississippi..............................
Missouri..................................
Montana.................................

6,290
640
257
4,981
639

139
640
257
4,335
186

646
453

8
5
3
46
5

3
5
3
34
3

Nebraska.................................
New Hampshire.....................
New Jersey.............................
New York...............................
North Carolina.......................

469
118
80,760
67,334
2,387

25,103
10,835
1,156

118
55,657
56,499
1,231

4
1
38
25
7

11
3
2

North Dakota........................
Ohio.........................................
Oklahoma...............................
Oregon.....................................
Pennsylvania..........................

2,656
1,868
2,444
962
51,292

29
3
8
1
29

18
2
5

10,133

1,259
258
1,311
962
41,159

South Carolina.......................
South Dakota.........................
Tennessee................................
Texas.......................................
Vermont..................................

274
2,412
1,278
2,761
3,445

136
2,388
1,164
2,468
3,259

138
24
114
293
186

2
23
12
18
3

Virginia...................................
Washington.............................
West Virginia.........................
Wisconsin................................
Wyoming.................................

4,907
935
1,458
7,188
202

511
1,458
5,096

4,396
935

8
1
3
31
1

469

1,397
1,610
1,133

2,374
1,564
6,151

2,092
202

2
1
1

2,286
1,763
1,078
8
1,526

8
1,526

1
1
12
5
3

491
1,027
27,321
13,594
5,516

217
998
1,637
3,932
498

4
4

1,233
7,951
1,652
4,566
3,019

3
2

794
3,529

274
29
25,684
9,662
5,018

1,642
8,094
43,291
30,006
13,665

448
7,773
5,372
12,549
1,676

1,194
321
37,919
17,457
11,989

539
694
3,954
3,997
1,652
828 ........3,738
3,019

5,145
34,620
6,087
22,567
9,046

2,254
18,490
6,087
6,643

2,891
16,130

13,371
2,033
880

31,663
2,650
1,651
34,929
1,500

928
2,650
1,651
26,760
849

296
161,502
125,525
1,845

2,224
1,780
520,380
259,889
10,408

161,614
28,440
3,677

14,103
8,544
10,795
2,209
166,893

43,828

7,343
959
4,921
2,209
123,065

1,848
12,515
12,358
19,862
11,057

403
11,412
9,993
18,334
8,687

1,445
1,103
2,365
1,528
2,370

12
2

160
818
334
5,116
215

1
27
22
5

538
296
192,417
138,811
3,266

538

8

11
1
3
1
21

3,830
3,139
4,371
1,302
75,746

14,340

2,278
794
2,712
1,302
61,406

1
22
8
16
2

1
1
4
2
1

850
2,988
1,942
3,925
3,725

136
2,862
1,620
3,239
3,375

714
126
322
686
350

3

5
1

10,756
1,536
2,006
9,511
2,033

4

3
20

11
1

1 Adjusted to December 31, 1953.
2 Excludes excess collections turned over to banks as additional purchase price at termination of liquidation.
* Number of deposit accounts.




7,905
4,433
3,169
10
5,379

13,531
818
334
7,149
1,095

5

7,111
904
3,169

2,185
595
1,078

101
1,168

30,915
13,286
1,421
1,552
2,345
1,659

10,127
629
1,536
2,006
5,966 ........3,545
2,033

10
5,379

2,224

6,760
7,585
5,874

15,924
9,046
30,735
8,169
651
1,780
418,766
231,449
6,731

DISBURSEMENTS

3
6
1
1
2

INSURANCE

995
143
861

DEPOSIT

State
Alabama.................................
Arkansas.................................
California................................
Colorado.................................
Connecticut............................

23,077
26,041
2,964
4,179
4,179
8,346 ........8,346
26,898
18,739 ........8,159
3,212
3,212

CO
CO

T able 118.

CO

A s s e t s a n d L i a b i l i t i e s o f I n s u r e d B a n k s P l a c e d in R e c e i v e r s h i p a n d o f I n s u r e d B a n k s A b s o r b e d w i t h
t h e F i n a n c i a l A id o f t h e F e d e r a l D e p o s i t I n s u r a n c e C o r p o r a t i o n , 1934-1953
as sh ow n b y b ook s o f ba n k a t d a te o f c lo s in g
Liabilities and capital accounts

Assets
U. S. Gov­
ernment
obligations

Other
securities

Loans,
discounts,
and
overdrafts

Banking
house,
furniture &
fixtures

Other
real
estate

Other
assets

Total

Total
deposits

Other
liabilities

R. F. C.
capital

Private
capital
stock

Other
capital
accounts1

$127,868,048 $90,339,763 $75,075,634 $245,317,986 $22,710,199 $59,563,796 $14,018,535 $634,893,961 $555,569,372 $11,715,554 $25,180,114 $38,688,611 $3,740,310

RECEP ^ERSHIPS2
$22,620,382 $10,154,078 $15,946,562
T ota l

$65,569,217

$5,375,616 $12,293,686

$5,896,246 $12,254,299 $4,642,916

$5,688,028 $494,603,913 $448,194,808

$1,593,531 $19,283,868 $26,434,312

$-902,606
373,772
685,333
21,006
- 428,459

404,834
3,109,830
4,717,074
8,133,887

233,395
2,071,296
2,495,254
7,018,796

1,403,807
2,080,059
3,520,186
10,377,037

2,256,417
8,917,554
8,678,629
20,896,236

608,467
1,277,605
562,181
2,873,257

1,184,658
926,359
3,913,009

10,808
325,362
186,497
2,380,489

4,917,728
18,966,364
21,086,180
55,592,711

4,228,816
16,287,262
18,384,923
49,428,383

140
19,769
262,651
168,674

310,000
609,200
3,726,463

1939
1940
1941
19423
1943

27,451,442
30,227,874
3,167,243
4,159,617
1,216,987

27,929,162
17,183,076
801,273
3,547,766
2,903,771

16,266,036
17,987,527
2,835,309
2,275,392
555,383

44,289,765
60,687,428
8,178,623
7,231,137
X| lO,i urt
U

5,142,882
4,553,388
798,028
759,861
274,331

15,459,743
22,840,095
1,014,582
1,824,586
15,844

1,049,600
458,831
197,669
354,362
34,523

137,588,630
153,938,219
16,992,727
20,152,721
6,676,573

125,038,946
136,731,549
14,990,768
17,195,146
5,897,691

679,659
157,766
57,508
584

6,103,500
7,186,655
289,000
913,400
96,000

6,381,000
8,666,162
1,111,250
1,748,200
300,000

- 614,475
1,196,087
544,201
295,391
382,882

1944
1945
1946
1947
1948

368,633
2,440,786
126,764
2,769,014
6,864,201

585,251
1,371,925
114,326
2,201,186
1,013,657

230,282
55,504
30,236
318,322
178,720

367,086
2,435,488
77,049
1,452,370
2,015,414

2,369
ec AuA
D |O U
O Q
119 9AA

67,428
4 609

32,108
83,603
425
215
156,808

1,650,788
6,391,915
351,169
6,797,738
10,360,196

1,459,091
5,695,202
316,402
6,965,742
10,454,520

200,000
331,500
10,000
197,500
375,000

-8,303
365,213
24,767
-365,504
-469,324

1O
yfQ
1OD
± 7K
5 A
U
1951
1952
1Q
CQ
l«/Do

9
09^
X,0*10,100
886,937
552,710
a asp;

647,349
335,163
625,657
781,093
8,326,289

217,903
89,643
6,450
40,728
660,548

1,336,785
1,965,624
1,484,869
924,419
4,878,142

61,705
40,500
34,502
35,121
141,556

5,853
26,030
11,493
54,320
319,032

4,885,620
4,005,118
3,049,908
2,388,391
18,811,217

4,977,235
5,466,946
3,408,095
3,006,036
18,262,055

19 196

5,959
200,915
8,659
8,908
22,339

1 Includes surplus, undivided profits, and reserve funds minus deficit, if any, as shown by books. Minus (-) indicates net deficit.
a No insured bank has been placed in receivership since 1944. For data by years see the Annual Report of the Corporation for 1950, p. zoO.
* Revised.




15,000
9,650
25,000

-255,074
142,500
114,150 -1,786,543
-451,846
85,000
-688,553
62,000
276,823
225,000

CORPORATION

1935
1936
1937
1938

315,000
1,664,000
1,808,400
2,697,650

INSURANCE

ABSOR PTIONS
T ota l $105,247,666 $80,185,685 $59,129,072 $179,748,769 $17,334,583 $47,270,110

$8,330,507 $140,290,048 $107,374,564 $10,122,023

DEPOSIT

T otal

Cash and
due from
banks

FEDERAL

Year

Table 119.

N am e, L o c a t io n , F e d e r a l D e p o s it I n s u r a n c e C o r p o r a t io n D is b u r s e m e n t, a n d A s s e t s a n d L ia b ilit ie s o f
I n s u r e d B a n k s A b s o r b e d w i t h t h e F i n a n c i a l A id o f t h e C o r p o r a t i o n D u r i n g 1953
Disbursement

Case
number

Name and location

Number of
accounts1

Class of bank

State bank not
member F. R. System

2,380

177

First State Bank of Elmwood Park,
Elmwood Park, Illinois

State bank not
member F. R. System

22,089

February 13, 1953

May 26, 1953

4,858,968

U. S. Gov­
ernment
obligations

Other
securities

Loans,
discounts,
and
overdrafts

Bank of Elmwood Park,
Elmwood Park, Illinois

Banking
house,
furniture &
fixtures

Other
real
estate

Other

Total
Deposits3

Other
liabilities

176

$105,370

$322,069

$405,558

$498,547

$18,500

$4,804

$1,354,848

$1,305,034

$12,482

177

4,380,280

8,004,220

254,990

4,379,595

123,056

314,228

17,456,369

16,957,147

R . F. C.
capital

52,394

$25,000

Private
capital
stock

Other
capital
accounts4

$25,000

$ - 12,668

200,000

DISBU RSEM EN TS

Cash and
due from
banks

The First National Bank of
Carbondale,
Carbondale, Pennsylvania

Liabilities and capital accounts

Assets
Case
number

$180,063

INSURANCE

Mayfield State Bank,
Mayfield, Pennsylvania

DEPOSIT

176

Absorbing bank
Amount2

Date

246,828

1 Number of accounts as of December 31, 1953, from books of FDIC.
2 As of December 31, 1953; does not include preliminary and field liquidation expense or advances for the protection of assets incident to the transaction.
3 As determined by FDIC agents after adjustment of books of bank for liabilities discovered subsequent to closing as of December 31, 1953.
* Includes surplus, undivided profits, and reserve funds minus deficit, if any, after adjustment for liabilities discovered subsequent to closing.




CO
Oi

T a b le 120.

R e c o v e r i e s a n d L o s s e s b y t h e F e d e r a l D e p o s i t I n s u r a n c e C o r p o r a t i o n in C o n n e c t i o n w i t h
I n s u r e d B a n k s F i n a n c i a l l y A id e d b y t h e C o r p o r a t i o n ,
AS SHOWN BY BOOKS OF FDIC, DECEMBER
(Amounts in thousands of dollars)

FDIC
disburse­
ment

Re­
coveries Estimated
additional
to
December recoveries
31, 1953

Number
of
banks

FDIC
disburse­
ment

Re­
coveries

Losses

Number
of
banks

FDIC
disburse­
ment2

Re­
coveries Estimated
additional
to
December recoveries
31, 1953

FEDERAL

Number
of
banks

Absorptions

Receiverships

All banks
Liquidation status
and year of
receivership or
absorption

1934-1953

31, 1953

422

281,112

251,831

1,332

27,949

245

87,044

72,866

14,178

177

194,068

178,965

1.332

13,771

Status
A ctive........
Terminated

9
413

11,807
269,305

8,123
243,708

1,332

2,352
25,597

87,044

72,866

14,178

168

11,807
182,261

8,123
170,842

1.332

245

2,352
11,419

941
8,890
14,781
19,160
30,479

734
6,160
12,370
15,607
28,047

207
2,730
2,411
3,553
2,432

941
6,025
8,056
12,044
9,092

734
4,274
6,596
9,517
7,908

207
1,751
1,460
2,527
1,184

1
27
25
24

2,865
6,725
7,116
21,387

5,774
6,090
20,139

193
194
194
194
194

9
0
1
2
3

67,771
74,134
23,880
10,825
7,172

60,555
69,947
23,269
10,139
7,048

7,216
4,187
611
124

26,197
4,895
12,278
1,612
5,500

20,399
4,313
12,065
1,320
5,376

5,798
582
213
292
124

28
24
7
14
1

41,574
69,239
11,602
9,213
1,672

40,156
65,634
11,204
8,819
1,672

194
194
194
194
194

4
5
6
7
8

1,503
1,768
265
1,724
2,990

1,463
1,768
265
1,421
2,331

40

404

364

40

1
1
1
5
3

1,099
1,768
265
1,724
2,990

1,099
1,768
265
1,421
2,331

194
195
195
195
195

9
0
1
2
3

2,552
3,985
1,885
1,368
5,039

2,173
2,467
1,698
440
3,929

4
4
2
3

2,552
3,985
1,885
1,368
5,039

2,173
2,467
1,698
440
3,929

686

229

83
85
125
810

74
659
379
1,435
102
803
300

2

979
951
1,026
1,248

1,886

1,418
3,605

229

83
85
125
810

74
659

CORPORATION

4
5
6
7
8

INSURANCE

Year

193
193
193
193
193

DEPOSIT

Total.............

379
1,435

102

803
300

i
Losses in the cases in which the disbursement by the Corporation was not paid in full, including estimated losses in active absorption cases. Excludes interest or allowable return
in cases in which the disbursement by the Corporation was fully recovered. Also excludes gains or losses on assets purchased by the Corporation from liquidations.
* Excludes excess collections turned over to banks as additional purchase price at termination of liquidations.







INDEX




I

n d e x

Page

Absorptions:
Applications to permit....................................................................................................
9 -10
Of insured banks with financial aid of the Corporation. See Banks in
financial difficulties.
Of operating banks, 1953............................................................................................. 4, 80-81
Under State systems of bank-obligation insurance, 1829-1866. See State
systems of bank-obligation insurance, 1829-1866, Methods used
to protect bank creditors.
Admission of banks to insurance:
Applications for. 4 ........................................................................................................... 9-10
Mutual savings banks admitted, 1953.......................................................................
31
Number of banks admitted, by class of bank, 1953............................................. 80-81
Areas outside continental United States, banks and branches located in:
Assets and liabilities, December 31, 1953................................................................. 98-99
Deposits, December 31, 1953............................................................................ 90-91, 98-99
Earnings, expenses, profits, and dividends, 1953................................................. 118-119
Number, December 31, 1953............................................................................ 82, 89, 90-91
American Institute of Banking...........................................................................................

15

Applications from banks........................................................................................................

9-10

Assessments for deposit insurance. See Federal Deposit Insurance Corporation;
State systems of bank-obligation insurance, 1829-1866.
Assets and liabilities of closed banks. See Banks in financial difficulties.
Assets, liabilities, and capital of operating banks (see also Deposits):
All banks:
Amount and changes in, by type, 1953.............................................................. 25-29
By FD IC district and State, December 31, 1953............................................ 98-99
In banks grouped according to insurance status and type of bank,
June 30 and December 31, 1953..................................................................... 94-97
Percentage changes, half-years and years, 1947-1953.................................... 27-28
Percentage distribution, December 31, 1953..................................................... 28-29
Commercial banks, June 30 and December 31, 1953............................................ 94-97
Insured banks, December 31, 1952, June 30 and December 31, 1 9 5 3 ... .100-103
Insured commercial banks:
Amount, December 31, 1952, June 30 and December 31, 1953................
..................................................................................................... 29-30, 94-97, 100-103
Major categories, average for year, 1945-1953.................................................
107
Major categories, 1953, by class or size of bank...........................................I l l , 115
Major categories, 1953, by State........................................... 119, 121, 123, 125, 127
Percentage distributions.............................................................................. 109, 113, 117
Insured mutual savings banks:
Amount, December 31, 1952, June 30 and December 31, 1953. .31-32, 100-103
Major categories, average for 1953......................................................................41, 128
Percentage distributions..........................................................................................32, 129
Mutual savings banks, June 30 and December 31, 1953.................................... 94-97
Noninsured banks, June 30 and December 31, 1953............................................ 94-97
Sources of data............................................................................................................. 12-13, 93
Assets and liabilities of the Federal Deposit Insurance Corporation.. 6, 16-17, 20-22
Assets pledged to secure bank obligations......................................................................

103

Assets purchased by the Federal Deposit Insurance Corporation from banks
in financial difficulties. See Banks in financial difficulties.
Audits of the Federal Deposit Insurance Corporation...............................................20-22




139

FEDERAL DEPOSIT INSURANCE CORPORATION

140

Page

Bad-debt reserves. See Valuation reserves.
Bank supervision. See Supervision of banks; Examination of insured banks;
State systems of bank-obligation insurance, 1829-1866.
Banking offices, number of. See Number of operating banks and branches.
Banking practices. See Unsafe and unsound banking practices.
Banks,

applications from, acted on by the Federal Deposit Insurance
Corporation............................................................................................................

9

Banks in financial difficulties:
Absorptions of insured banks with financial aid of the Corporation:
134
Assets and liabilities at date of absorption, by years, 1934-1953..............
Assets and liabilities of 1953 absorptions, December 31, 1953...................
135
Banks cited for unsafe and unsound practices................................................. 11-12
Deposits protected..........................................................................................7-8, 132-135
Disbursements by the Corporation........................................ 7-8, 132-133, 135-136
Loans made and assets purchased by Corporation...........................7-8, 16, 20-21
Losses incurred by Corporation.........................................................8, 17, 19, 22, 136
<135w
Name and location of banks absorbed, 1953........ ............................................
Number of banks.............................................................................. 8, 132-133, 135-136
Number of deposit accounts...................................................................8, 132-133, 135
Recoveries by the Corporation on assets acquired.................. ...................... 8, 136
Receivership, insured banks placed in:
Assets and liabilities of, at dates of suspension, 1934-1953.........................
134
Deposits, 1934-1953............................................................................................8, 132-134
Disbursements by the Corporation..................................................... 8, 132-133, 136
Losses by the Corporation on disbursements................................................... 8, 136
Number of banks....................................................................................... 8, 132-133, 136
Recoveries by the Corporation on disbursements........................................... 8, 136
Sources of data...................................................................................................................
131
Suspensions:
Insured banks (reopened without Federal Deposit Insurance Corporation
aid)............................................................................................................................
80
Noninsured banks.......................................................... ........................................ 80, 131
Under State systems of bank-obligation insurance, 1829-1866. See State
systems of bank-obligation insurance, 1829-1866.
Banks, number of. See Number of operating banks and branches.
Banks operating branches. See Number of operating banks and branches.
BoardJof Directors of the Federal Deposit Insurance Corporation. See Federal
Deposit Insurance Corporation.
Board of Governors of the Federal Reserve System............................................10, 93, 105
Borrowing power. See Federal Deposit Insurance Corporation; State systems
of bank-obligation insurance, 1829-1866.
Branches (see also Number of operating banks and branches):
Establishment approved by Federal Deposit Insurance Corporation, 1953. .
Increase during 1953, insured banks..........................................................................
Legislation, State...............................................................................................................
Business and personal deposits. See Deposits (items referring to type of
account).

Call reports. See Assets, liabilities, and capital of operating banks; Reports
from banks.
Capital of banks. See Assets, liabilities, and capital of operating banks; Banks
in financial difficulties; Earnings and expenses of insured commercial
banks; Earnings and expenses of insured mutual savings banks.
Charge-offs by banks. See Earnings and expenses of insured mutual savings
banks; Valuation reserves.




9-10
4
71

INDEX

1 41

Class of bank, banking data presented by:
Admissions to and terminations of insurance.......................................................... 80-81
Assets and liabilities of operating banks................................................................... 94-97
Banks absorbed with financial aid of the Corporation, 1953.............................
135
Deposits....................................................................................................................90-91, 94, 97
Earnings of insured commercial banks, 1953........................................................ 110-113
Insured banks financially aided by the Corporation, 1934-1953.......................
132
Number of banks and banking offices, 1953............................................................ 80-91
Ratios of earnings of insured commercial banks, 1953...................................... 112-113
Classification of banks...........................................................................................................

78-79

Closed banks. See Banks in financial difficulties.
Commercial banks. See Assets, liabilities, and capital of operating banks;
Deposits; Earnings and expenses of insured commercial banks;
Number of operating banks and branches.
Commodity Credit Corporation.........................................................................................

26

Comptroller General of the United States......................................................................

20

Comptroller of the Currency........................................................iv-v, 10, 13-14, 93,

105

Consolidations. See Absorptions.
Coverage of deposit insurance:
Banks participating........................................................................................... 4-5, 31, 80-91
Protection of individual depositors.............................................................................
3 -4
Credit, bank. See Assets, liabilities, and capital of operating banks.

Demand deposits. See Assets, liabilities, and capital of operating banks; De­
posits (items referring to type of account).
Deposit insurance fund.....................................................................................5-7, 16-17, 20-22
Deposits:
All banks:
By insurance status of bank and type of account, December 31, 1953. .
97
By insurance status of bank and type of account, June 30, 1953.............
95
By type of account in each State and F D IC district, December 31,1953. . 98-99
By type of bank in each State and FD IC district, December 31, 19 53 .. 90-91
Developments in 1953............................................................................................... 25-29
Growth rates, 1947-1953.......................................................................................... 27-28
All insured banks:
By type of account, December 31, 1953............................................................
97
By type of account, December 31, 1952, June 30 and December 31, 1953
102
By type of account, June 30, 1953.......................................................................
95
Ratios of deposit insurance fund t o .....................................................................
6 -7
Commercial banks:
By F D IC district and State, December 31, 1953............................................ 90-91
By type of account, December 31, 1953............................................................
97
By type of account, June 30, 1953.......................................................................
95
Insured banks placed in receivership or absorbed with financial aid of the
Corporation. See Banks in financial difficulties.
Insured commercial banks, by type of account, December 31, 1952, June 30
and December 31, 1953.............................................................................. 29-30, 102
Insured mutual savings banks:
By FD IC district and State, December 31, 1953............................................ 90-91
By type of account, December 31, 1952, June 30 and December 31, 1953
31-32 102
Interest on...................................................................................... 33-35, 38-40, 42, 106-129
Mutual savings banks:
By FD IC district and State, December 31, 1953............................................ 90-91
By type of account, December 31, 1953............................................................
97
By type of account, June 30, 1953.......................................................................
95




142

FEDERAL DEPOSIT INSURANCE CORPORATION
Page

Deposits:— Continued
Noninsured banks:
By F D IC district and State, December 31, 1953............................................
By type of account and type of bank, December 31, 1953..........................
By type of account and type of bank, June 30, 1953....................................
Sources of data...................................................................................................................
State legislation..................................................................................................................

90-91
97
95
93
72

Directors of the Federal Deposit Insurance Corporation. See Federal Deposit
Insurance Corporation.
Disbursements. See Banks in financial difficulties; State systems of bankobligation insurance, 1829-1866.
Dividends:
To depositors in insured mutual savings banks............................. 38-40, 42, 128-129
To stockholders of operating insured commercial banks. See Earnings and
expenses of insured commercial banks.

Earnings and expenses of insured commercial banks:
Amounts of principal components:
Annually, 1945-1953................................................................................................106-107
By class of bank, 1953............................................................................................110-111
By size of bank, 1953..............................................................................................114-115
By State, 1953...........................................................................................................118-127
Charge-offs, recoveries, and changes in valuation reserves................................. 37-38
Income, sources and disposition of total, 1952 -1 953 ........................................... 33-35
Rate of income on assets............................................35-36, 108-109, 112-113, 116-117
Rate of net profit on total capital accounts, by State, 1953..............................
34
Ratios of earnings items:
Annually, 1945-1953................................................................................................108-109
By class of bank, 1953............................................................................................112-113
By size of bank, 1953..............................................................................................116-117
Sources of data...................................................................................................................
105
Earnings and expenses of insured mutual savings banks:
Amounts of principal components, 1953...................................................................
128
Income, sources and disposition of total, 1952-1953............................................. 38-40
Rates of income on assets................................................. ..................................... 40-42, 129
Ratios of earnings items..................................................................................................
129
Sources of data...................................................................................................................
105
Educational program for bank examiners. See Federal Deposit Insurance
Corporation.
Employees:
Federal Deposit Insurance Corporation............................................................... 13-15, 22
Insured commercial banks:
Number and compensation, 1945-1953............................................................ 106-107
Number and compensation, by class of bank, bv size of bank, and by
State, 1 9 5 3 .. ...........................................................“ . .110-111, 114-115, 118-127
Insured mutual savings banks, number and compensation, 1953................
128
Examination of insured banks:
Banks examined by the Federal Deposit Insurance Corporation, 1953......... 10-11
Examination staff......................................................................................................... vi, 14-15
Expenses of banks. See Earnings and expenses of insured commercial banks;
Earnings and expenses of insured mutual savings banks.
Expenses of the Corporation. See Federal Deposit Insurance Corporation,
income and expenses.

Failures. See Banks in financial difficulties.
Federal bank supervisory authorities...........




10-13

INDEX

143
Page

Federal Deposit Insurance A c t......................................................................... 7, 11, 18, 20, 22
Federal Deposit Insurance Corporation:
Assessments on insured banks...............................................................................5-6, 16-22
Assets and liabilities........................................................................................ 6, 16-17, 20-21
Audit..................................................................................................................................... 20-22
Banks examined by, and submitting reports to ..................................................... 10-13
Board of Directors, actions on applications and banking practices........... 9-10, 11
Borrowing power............................................................................................................... 7, 22
Capital stock......................................................................................................................
5,16
Deposit insurance fund (surplus)............................................................5-7, 16-17, 20-22
Directors (members of the Board).....................................................................iv-v, 13-14
Disbursements for protection of depositors. See Banks in financial difficulties.
Districts...........................................................................................................................vi-vii, 14
Divisions.............................................................................................................................. iv, 14
15
Educational program for bank examiners................................................................
Employees........................................................................................................................... 14-15
Examination of banks. See Examination of insured banks.
Expenses. See Income and expenses.
Financial statements........................................................................................................ 16-22
Income and expenses.........................................................................................5-6, 17-20, 22
Insured banks receiving financial aid from. See Banks in financial difficulties.
Liabilities................................................................................................................. 16-17, 20-21
Loans to and purchase of assets from insured banks. See Banks in financial
difficulties.
Losses incurred, 1934-1953. See Banks in financial difficulties.
Methods of protecting depositors. See Banks in financial difficulties.
Organization and staff...........................................................................................iv-vi, 13-15
Payments to insured depositors. See Banks in financial difficulties.
Protection of depositors. See Banks in financial difficulties.
Recoveries. See Banks in financial difficulties.
Reports from banks.......................................................................................................... 12-13
Reserve for losses on assets acquired......................................................................... 16, 21
Retirement of capital stock of the Corporation.....................................................
5, 16
Rules and regulations......................................................................................................
71
Supervisory activities......................................................................................................
9-13
Federal Deposit Insurance Corporation districts, banking data classified by:
Assets and liabilities of all banks, December 31, 1953.........................................
Number and deposits of banks, by type of bank, December 31, 1953...........

98
90

Federal Reserve System. See Board of Governors of the Federal Reserve
System.
‘ ‘Free banking” ................................................................................................................... 46, 49, 55

General Accounting Office..................................................................................................
Government deposits. See Deposits (items referring to type of account).

History of State systems of bank-obligation insurance, 1829-1866. See State
systems of bank-obligation insurance, 1829-1866.

Income of insured banks. See Earnings and expenses of insured commercial
banks; Earnings and expenses of insured mutual savings banks.
Income of the Federal Deposit Insurance Corporation. See Federal Deposit
Insurance Corporation.
Insolvent banks. See Banks in financial difficulties.
Insurance of bank obligations prior to Federal Deposit Insurance. See State
systems of bank-obligation insurance, 1829-1866.




21

144

FEDERAL DEPOSIT INSURANCE CORPORATION
Page

Insurance status, banks classified by:
Assets and liabilities, June 30 and December 31, 1953.........................94-97, 100-103
Changes in number, 1953............................................................................................... 80-81
Deposits, June 30 and December 31, 1953.................................................. 90-91, 95, 97
Number, December 31, 1953......................................................................................... 82-91
Percentage of banks insured, by State, December 31, 1953...................... 4-5, 82-89
Insured banks. See Assets, liabilities, and capital of operating banks; Banks
in financial difficulties; Deposits; Earnings and expenses of insured
commercial banks; Earnings and expenses of insured mutual savings
banks; Number of operating banks and branches.
Insured commercial banks not members of the Federal Reserve System. See
Class of bank, banking data presented by.
Insured deposits. See Banks in financial difficulties.
Insured State banks members of the Federal Reserve System. See Class of
bank, banking data presented by.
Interbank deposits. See Deposits (items referring to type of account).
Interest. See Earnings and expenses of insured commercial banks; Earnings
and expenses of insured mutual savings banks.
Internal Revenue Code.................................................................................................. 37, 93, 105
Investments. See Assets, liabilities, and capital of operating banks; Assets and
liabilities of the Federal Deposit Insurance Corporation; Banks in
financial difficulties.

Law, violations of by insured banks. See Unsafe and unsound banking practices.
Legislation relating to deposit insurance and banking:
Federal, enacted in 1953................................................................................................. 13, 71
State, enacted in 1953............................................................... .................................13, 71-75
Loans. See Assets, liabilities, and capital of operating banks; Banks in financial
difficulties.
Losses:
Of banks, charged off. See Earnings and expenses of insured commercial
banks; Earnings and expenses of insured mutual savings banks.
Of the Federal Deposit Insurance Corporation. See Federal Deposit In­
surance Corporation.
Provision for, in banks....................................................................................37-38, 105-129

Mergers. See Absorptions.
Methods of tabulating banking data:
Assets and liabilities of operating banks...................................................................
93
Deposit insurance disbursements.................................................................................
131
Earnings, expenses, and dividends of insured banks.............................................
105
Number, offices, and deposits of operating banks................................................. 78-79
Mutual savings banks. See Assets, liabilities, and capital of operating banks;
Deposits; Earnings and expenses of insured mutual savings banks;
Number of operating banks and branches.

National banks. See Class of bank, banking data presented by.
Net assessment income credits. See Federal Deposit Insurance Corporation,
Assessments on insured banks.




INDEX

145
Page

Net earnings of insured commercial banks. See Earnings and expenses of
insured commercial banks.
Net profits of insured commercial banks. See Earnings and expenses of insured
commercial banks.
New banks. See Number of operating banks and branches.
Noninsured banks. See Absorptions; Admission of banks to insurance; Assets,
liabilities, and capital of operating banks; Class of bank, banking
data presented by; Deposits; Number of operating banks and
branches.
Number of operating banks and branches:
Banking offices (banks and branches):
By insurance status, type of bank, and State, December 31, 1953...........
Changes during 1953.................................................................................................
Banks:
By insurance status and type of bank, December 31, 1953..................... 4,
By insurance status and type of bank, June 30, 1953...................................
By insurance status, type of bank, and State, December 31, 1953..........
By insurance status, type of bank, FD IC district and State, December
31, 1953...................................................................................................................
Changes during 1953, by insurance status and type of bank......................
Banks operating branches, by insurance status and State, December 31, 1953
Branches:
By insurance status, type of bank, and State, December 31, 1953...........
Changes during 1953, by insurance status and type of bank......................
Insured banks, December 31, 1952, June 30 and December 31, 1953............
Insured commercial banks:
December 31, 1945-1953..........................................................................................
December 31, 1953, by class, and operating throughout the year...........
December 31, 1953, by size of bank....................................................................
Unit banks, by insurance status and State, December 31, 1953....................

82-89
4, 81
80, 97
95
82-89
90-91
80
82-89
82-89
81
103
107
Ill
115
82-89

Obligations of banks. See Assets, liabilities, and capital of operating banks;
Deposits; State systems of bank-obligation insurance, 1829-1866.
Officers of the Federal Deposit Insurance Corporation................................. v-vi, 13-14
Officers of insured banks. See Employees.
Operating banks. See Number of operating banks and branches.

Payments to depositors in closed insured banks. See Banks in financial
difficulties.
Personnel. See Employees.
Possessions, banks and branches located in. See Areas outside continental
United States, banks and branches located in.
Profits. See Earnings and expenses of insured commercial banks.
Protection of depositors. See Banks in financial difficulties.
Public funds. See Deposits (items referring to type of account).

Receivership, insured banks placed in. See Banks in financial difficulties.
Recoveries:
By banks on assets charged off. See Earnings and expenses of insured com­
mercial banks; Earnings and expenses of insured mutual savings
banks.
By the Corporation on disbursements. See Banks in financial difficulties.
Under State systems of bank-obligation insurance, 1829-1866. See State
systems of bank-obligation insurance, 1829-1866.




146

FEDERAL DEPOSIT INSURANCE CORPORATION
Page

Reports from banks................................................................................................................. 12-13
Reserves:
Of Federal Deposit Insurance Corporation, for losses on assets acquired.. 16-21
Of insured banks for losses on assets. See Valuation reserves.
With Federal Reserve banks. See Assets, liabilities, and capital of operating
banks.

Salaries and wages:
Federal Deposit Insurance Corporation....................................................................
Insured banks. See Earnings and expenses of insured commercial banks;
Earnings and expenses of insured mutual savings banks.

18

Savings and time deposits. See Deposits (items referring to type of account).
Securities. See Assets, liabilities, and capital of /operating banks; Assets and
liabilities of the Federal Deposit Insurance Corporation; Banks in
financial difficulties.
Size of banks, data for banks classified by amount of deposits:
Assets and liabilities, insured commercial banks operating throughout
1953....................................................................................................................... 115, 117
132
Banks receiving financialfaid from the Corporation, 1934-1953.......................
Disbursements for protection of depositors, 1934-1953.......................................
132
Earnings data of insured commercial banks, 1953..............................................114-115
Earnings ratios of insured commercial banks, 1953............................................116-117
Number of employees of insured commercial banks operating throughout
1953..........................................................................................................................
115
Number of insured commercial banks operating throughout 1953............... 115, 117
State bank supervisory authorities:
Data obtained from.....................................................................................................12-13, 93
State legislation regarding..................................................... ........................................
71
State, banking data classified by:
Assets and liabilities of operating banks, December 31, 1953........................... 98-99
Deposits of operating banks, December 31, 1953.................................................. 90-91
Disbursements, deposits, and depositors in insured banks financially aided
by the Corporation, 1934-1953.......................................................................
133
Earnings and expenses of insured commercial banks, 1953............................. 118-127
34
Net profits after taxes as a proportion of total capital accounts, 1953...........
Number of operating banks and branches, December 31, 1953, by class of
bank and type of office...................................................................................... 82-89
Number of operating banks, December 31, 1953, by class................................. 90-91
Percentage change in total assets, all banks, 1953................................................
25
Proportion of banks insured, December 31, 1953...........................................4-5, 82-89
State banking legislation enacted in 1953.................................................................. 13, 71-75
State banks members of the Federal Reserve System. See Class of bank, banking
data presented by.
State banks not members of the Federal Reserve System. See Class of bank,
banking data presented by.
State systems of bank-obligation insurance, 1829-1866:
Appraisal...........................................................................................................45, 53-55, 57-59
Assessments.............................................................................................................45, 52, 55-58
Banks in financial difficulties................................................................................... 47-50, 53
Borrowing power...................................................................................................50-51, 54, 57
Character............................................................................................................................. 45-46
Depression, effect o f.............................................................................................49, 55, 58-59
Disbursements to protect bank creditors.............................................................53-54, 56
Federal deposit insurance, similarities t o ..................................................... 49, 51-52, 56
“ Free banking,” effect o f.......................................................................................... 46, 49, 55
Future studies............................................................................ ........................................45, 59
Insurance funds...............................................................................................55-57, 59, 66-67




INDEX

147
Page

State systems of bank-obligation insurance:— Continued
Liquidation of assets........................................................................................................ 57-58
Methods used to protect bank creditors................................................................... 49-54
Number of banks.................................................................................................. 47-50, 59-61
Obligations of banks..................................................................................... 47-48, 59, 62-65
Periods of operation................ ........................................................................................
47
Recoveries of funds disbursed...................................................................................... 50, 53
States adopting.................................................................................................................. 45-46
Supervision of participating banks..............................................................................55, 59
Stockholders of banks, net profits available for. See Earnings and expenses of
insured commercial banks.
Summary of this report.........................................................................................................

xvii

Supervision of banks (see also Examination of insured banks):
By the Federal Deposit Insurance Corporation................................................... vi, 9-13
State legislation, 1953......................................................................................................
71
Under State systems of bank-obligation insurance, 1829-1866. See State
systems of bank-obligation insurance, 1829-1866.
Suspensions. See Banks in financial difficulties.

Taxes paid by insured banks. See Earnings and expenses of insured commercial
banks; Earnings and expenses of insured mutual savings banks.
Terminations of insurance for unsafe and unsound practices.................................

11-13

Time and savings deposits. See Deposits (items referring to type of account).
Trust companies:
Classification o f................................................................................................................. 78-79
Noninsured, not engaged in deposit banking..........................................4, 80-91, 94-97
State legislation.................................................................................................................
74
Trust powers, applications for.............................................................................................

9-10

Unit banks. See Number of operating banks and branches.
United States Department of Labor.................................................................................

15

United States Treasury Department, Commissioner of Internal Revenue,
ruling on reserves for bad-debt losses on loans..................................37, 93, 105
Unsafe and unsound banking practices............................................................................

11-13

Valuation reserves:
Amounts held, December 31, 1953............................................................37, 94, 96, 101
Changes in, 1953....................................................... ....................................... 37-38, 106-129
Commissioner of Internal Revenue, ruling on.................................................37, 93; 105
Violations of law or regulations, banks charged with. See Unsafe and unsound
banking practices.







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